Benthos Announces Fiscal 1998 Second Quarter Sales and Earnings.

NORTH FALMOUTH, Mass--(BUSINESS WIRE)--April 30, 1998--Benthos, Inc. (NASDAQ: BTHS) announced today that net income for the second quarter of fiscal 1998 ended March 31, 1998 was $113,000, or $0.08 per share, compared with $432,000 or $0.32 per share in the corresponding period of last year. Sales for the quarter were $3,517,000 compared to sales of $4,237,000 in the second quarter of last year.

For the first half of fiscal 1998, net income was $303,000, equal to $0.22 per share, against $986,000, or $0.72 per share in the first half of fiscal 1997.

In making today's announcement, President and Chief Executive Officer John L. Coughlin noted, "Revenues and profits during this most recent quarter were greatly impacted by heavy start-up costs associated with our new GeoPoint(TM) hydrophone. The GeoPoint is a major advancement in geophysical hydrophone design and supports the growing market in 3 and 4-dimensional offshore seismic exploration. Major geophysical customers have already tested and approved the design. For the first two months of the quarter, production yields were very low, resulting in higher manufacturing costs and delays in scheduled customer deliveries. These start-up costs are expected for a high volume, low cost, and highly specialized product, such as a hydrophone, and are part of the necessary development investment. All of these costs were recognized during the recent reporting period. This charge reduced earnings by $231,000, or $0.17 per share in the quarter." We are now meeting our weekly shipping schedules.

Expanding further, Mr. Coughlin also noted, "We expect results for the balance of fiscal 1998 to improve as orders increase for both operating divisions. These include the recently announced $900,000 contract for our Manta class remotely operated vehicle (ROV), which is scheduled to ship in July, and a $300,000 order for our RDA-EX hydrophones announced in a separate press release today. Our TapTone Container Inspection Systems Division is also involved in several promising large projects for which decisions are expected shortly."

Benthos, Inc., through its Undersea Systems Division, designs, manufactures, sells and services oceanographic and robotic equipment for undersea exploration and research; and through its TapToner Container Inspection Division markets systems for testing consumer packages made of glass, metal or plastic. The common stock of the Company is traded on the Nasdaq SmallCap market under the symbol BTHS.

For more information, Benthos can be found on the internet at http://www.benthos.com. -0-

                            BENTHOS, INC.
                COMPARATIVE CONDENSED INCOME STATEMENT

                 (IN THOUSANDS, EXCEPT PER SHARE DATA)
                              (UNAUDITED)

                        Second Quarter Ended  First Half Ended
                             March 31,           March 31,
                           1998      1997       1998      1997

Net Sales                 $3,517    $4,237    $6,637    $8,917
Net Income                $  113    $  432      $303     $ 986
Earnings Per Share
Basic                  $    0.09  $   0.35  $   0.23   $  0.81
Diluted                $    0.08  $   0.32  $   0.22   $  0.72
Weighted Average
Shares Outstanding
Basic                      1,315     1,231     1,304     1,220
Diluted                    1,397     1,360     1,395     1,371

The statements in this news release and in oral statements which may be made by representatives of the Company relating to plans, strategies, economic performance and trends and other statements that are not descriptions of historical facts may be forward- looking statements within the meaning of the Federal Securities Laws. Forward-looking information is inherently subject to risks and uncertainties, and actual results could differ materially from those currently anticipated due to a number of factors which include: the timing of large project orders, competitive factors, shifts in customer demand, government spending, economic cycles, availability of financing as well as the factors described in this news release. Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results or outcomes may vary materially from those described herein as anticipated, believed, estimated, expected or intended.

CONTACT: Company:

Benthos, Inc.

Peter Zentz

Corporate Communications Manager

508-563-1000

or

Frank Dunne

Treasurer & Chief Financial Officer

508-563-1000

or

Investor Relations:

The Foristall Company, Inc.

T.F. Curtin/L.E.Foristall

212-797-4646