Charles Jayson Brentlinger to Purchase Controlling Interest in Circuit Research Labs, Inc.

TEMPE, Ariz.--(BUSINESS WIRE)--July 1, 1999--

Company to Resume Production of Current Product Lines Brentlinger

Named President & CEO 

Circuit Research Labs, Inc. ("OTC/BB": CRLI, the "Company") today announced that Charles Jayson Brentlinger and the Company entered an agreement to purchase a controlling interest in Circuit Research Labs, Inc. The transaction is subject to customary conditions and is expected to close on or before September 30, 1999.

Mr. Brentlinger will purchase 187,500 shares of the Company's authorized but unissued common stock at $3.05 per share for a total of $571,875. Mr. Brentlinger has assumed the positions of President and Chief Executive Officer of the Company. Gary Clarkson, who previously held these positions, will remain with the Company as an Advanced Products Engineer, under a three year employment contract, and will also remain as Chairman of the Board. At the closing, Mr. Brentlinger will also purchase all of Mr. Clarkson's 121,312 shares of common stock at $3.05 per share, bringing his holdings to 308,812 shares, or 51.67% of the shares outstanding. At the closing of the agreement with Mr. Brentlinger, the Board of Directors will vote not to dissolve Circuit Research Labs, reversing an earlier stockholders vote to dissolve the Company passed on May 11, 1999. After closing, Mr. Brentlinger will also be appointed to the Company's Board of Directors.

Within one year of the closing Mr. Brentlinger will purchase an additional 171,250 of the Company's common stock at $2.50 per share for a total of $428,125. Mr. Brentlinger will also have a five-year option to purchase an additional 500,000 shares of common stock at $2.50 per share for a total of $1,250,000.

With over 26 years of experience in the radio industry, Mr. Brentlinger has held numerous positions, and is currently President and owner of Rainbow Broadcasting Inc., which owns radio station KBZG and is purchasing radio station KESP, both of Phoenix, Arizona. Mr. Brentlinger is also President and owner of Brentlinger Broadcasting, Inc., which owns KBZR Radio in Arizona City, Arizona.

Mr. Brentlinger commented, "I have been a client of CRL since 1980 when I purchased my first CRL Processor. The improvement in my station's coverage area and sound quality was so dramatic that it was covered in the local media. I have been using and recommending CRL products ever since. When I learned that CRL was for sale I felt that it was a great opportunity to carry on the CRL tradition of superior audio processing into the new Millenium."

Mr. Clarkson, former President and Chief Executive Officer of the Company, commented, "We are most pleased that Jay will be investing his time and resources to resume production of the Company's current product lines. Jay's leadership, vision and energy has been instrumental in raising the level of activity at the Company."

Mr. Brentlinger noted that future plans for CRL under his leadership include a new management team, implementation of an aggressive marketing plan, and new product development.

Circuit Research Labs, Inc. manufactures and markets high quality electronic audio processing, transmission encoding and noise reduction equipment for the worldwide radio, television and professional audio markets.

This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Management's anticipation of future events is based upon assumptions regarding levels of competition, research and development results, raw material markets, the markets in which the Company operates, and stability of the regulatory environment. Any of these assumptions could prove inaccurate, and therefore there can be no assurance that the forward-looking information will prove to be accurate.