CYBEX Reports Record Third Quarter Sales and Net Income.

HUNTSVILLE, Ala.--(BUSINESS WIRE)--Feb. 12, 1998--CYBEX Computer Products Corporation (Nasdaq/NM:CBXC) today reported record sales and net income (prior to a one-time charge related to the Elsner acquisition) for the third fiscal quarter and nine months ended December 31, 1997. Net sales for the third quarter rose 40.6% to $12.5 million and net income rose 45.5% to $2.0 million, or $0.36 per share, prior to a $4.7 million, or $0.83 per share, one-time charge related to the Elsner acquisition, compared with the third quarter of fiscal 1997. Including the one-time charge, Cybex's net loss for the third quarter of fiscal 1998 was $2.7 million, or $0.47 per share.

"Cybex's third quarter sales growth was driven by increased demand for our KVM Switch products," stated Stephen F. Thornton, president and chief executive of Cybex Computer Products Corporation. "We posted strong sales from our major dealers and resellers in the U.S. and Europe. Our gross margins were a strong 52.4% in the third quarter even though a higher percentage of our products was sold through OEM and large volume distribution channels.

"The recent acquisition of Elsner Computertechnik GmbH significantly expands our market share in Europe, one of the fastest growing world markets for KVM switch products. The acquisition also broadens our technology in the high-end KVM switch market," continued Mr. Thornton. "We expect the Elsner acquisition to be additive to Cybex's earnings going forward. The one-time charge taken this quarter was anticipated and reflects the write-off associated with certain Elsner research and development expenses acquired as part of the acquisition."

Net sales for the third quarter of fiscal 1998 rose to $12.5 million compared with $8.9 million in the third quarter a year ago.

-- Sales of KVM switch products increased 45% to $10.9 million and

accounted for 87% of revenues in the third quarter of fiscal

1998. Cybex's AutoBoot Commander(TM) 4xP and related products

accounted for 33% of KVM Switch sales in the third quarter and

the new AutoView(TM) product line accounted for 25% of third

quarter sales. The Company also recorded its first sales of the

new SwitchView(TM) product during the third quarter.

-- KVM extension product sales were up 20% to $1.5 million compared

with the third quarter of the prior fiscal year. KVM extension

products benefited from higher sales of PC Extender Snap(TM) and

PC Plus(TM) line accounts.

-- International sales rose 32% to $2.6 million, or 21% of revenues

in the third quarter. Sales to European customers were up 42%,

and sales to all other international customers grew 17% compared

with the third quarter of fiscal 1997.

-- Sales to OEM businesses increased to 18% of total sales in the

third quarter, up from 15% in the same period of fiscal 1997.

Dealer and distributor sales accounted for 74% of total sales in

the latest quarter.

"We invested about 7% of year-to-date sales in Research and Development," continued Mr. Thornton. "Our R&D activities are focused on expanding our product lines and reducing the manufacturing costs during the life cycle of our major products. This quarters introduction of the SwitchView product line exemplifies our goal of providing expanded features at a lower cost than competitive products while still maintaining sufficient margins to market them to OEMs and private label accounts. We believe the combination of our R&D team with Elsner's organization will create one of the strongest groups in the industry. We anticipate our combined technologies will result in the continued development of leading-edge products for our customers in all our markets."

SwitchView is Cybex's first KVM switch packaged for two-tier retail distribution. It is a two- and four-port switch targeted at the desktop market. SwitchView was designed to address high volume sales channels including catalog and retail.

The Company's gross profit increased 40% to $6.6 million compared with $4.7 million in the third quarter of fiscal 1997. Gross margin declined slightly to 52.4% from 52.7% as a result of a change in product mix and the additional costs associated with Company's new Irish manufacturing facility.

Cybex purchased the stock of Elsner Computertechnik GmbH and PolyCon Data Systems GmbH for approximately $8.8 million including transaction costs, effective December 31, 1997. Elsner had sales of approximately $8.4 million in calendar year 1997. Elsner manufactures and markets console switching solutions to mid- to large-scale networks with high-end switching (KVM) products. The Company's products include some of the most advanced connectivity solutions in the industry. Elsner's products can be connected with either hard cable, Ethernet cable, coax, or fiber optics with a proven distance of over 16,500 feet. The PolyCon 32x256 full matrix console is the only KVM switch of its kind capable of controlling multiple computers from multiple consoles in a matrix based format.

Cybex Computer Products Corporation (Nasdaq:CBXC) is a 16-year-old multinational company which provides KVM connectivity solutions in support of PC and Macintosh personal computers and many Sun, Hewlett-Packard, Silicon Graphics, RS/6000, and DEC Alpha workstations.

Cybex and the Cybex logo are registered trademarks of Cybex Computer Products Corporation. SwitchView is a trademark of Cybex Computer Products Corporation. Sun, Hewlett-Packard, DEC and Silicon Graphics are trademarks of their respective companies. Macintosh is a registered trademark of Apple Computer, Inc. PS/2 and RS/6000 are trademarks of International Business Machines Corporation. IntelliMouse is a trademark of Microsoft Corporation.

This press release contains forward-looking statements which reflect managements best judgment based on factors currently known. Such statements are subject to certain risks and uncertainties which could cause actual results to differ materially from those in the statements included in this press release. Readers are cautioned not to place undue reliance on these forward-looking statements which speak only as of the date hereof. Readers are also urged to carefully review and consider the various disclosures made by the Company which attempt to advise interested parties of the factors which affect the Company's business, including the disclosures made in other periodic reports on Forms 10-K, 10-Q and 8-K filed with the Securities and Exchange Commission. -0-

                  CYBEX COMPUTER PRODUCTS CORPORATION
                    Unaudited Financial Highlights
             (Dollars in thousands, except per share data)

                             Three Months Ended     Nine Months Ended
                            -------------------   -------------------
                                December 31,           December 31,
                            -------------------   -------------------
                              1997        1996       1997       1996
                            --------   --------   --------   --------
Net sales                   $ 12,537   $  8,917   $ 34,499   $ 24,395
Operating income            $  2,686   $  1,846   $  7,234   $  5,229

One-time charge (Elsner)    $  4,705   $     --   $  4,705   $     --

Including Elsner one-time charge:
Net income (loss)           $ (2,659)  $  1,533   $    980   $  4,236
Earnings (loss) per share   $   (.47)  $    .27   $    .18   $    .75

Prior to Elsner one-time charge:
Net income                  $  2,046   $  1,533   $  5,685   $  4,236
Earnings per share          $    .36   $    .27   $   1.01   $    .75

Weighted average shares
  outstanding                  5,627      5,602      5,600      5,612


                             BALANCE SHEET

                                     December 31,        March 31,
                                        1997               1997
                                     -----------        -----------
Assets
Cash, cash equivalents and
short-term investments               $26,080,271        $41,113,221
Other current assets                  16,502,502         10,566,225
Property and equipment, net            5,078,208          2,422,292
Intangibles                            3,706,435                  0
Long-term investments and other        3,030,222          2,424,975
                                     -----------        -----------
  Total assets                       $54,397,638        $56,526,713
                                     ===========        ===========

Liabilities and shareholders' equity
Current liabilities                   $8,226,350        $11,459,524
Deferred income taxes                     80,000             80,000
Shareholders' equity
  Common stock                             6,102              6,091
  Additional paid-in capital          34,166,356         34,119,697
  Unrealized loss on investments               0            (77,669)
  Retained earnings                   17,189,374         16,209,614
  Treasury stock                      (5,270,544)        (5,270,544)
                                      ----------        -----------
Total shareholders' equity            46,091,288         44,987,189
                                      ----------        -----------
  Total liabilities and
  shareholders' equity               $54,397,638        $56,526,713
                                     ===========        ===========

CONTACT: CYBEX Computer Products Corporation, Huntsville

Stephen F. Thornton, 205/430-4000

URL: http://www.cybex.com