Circuit Research Labs, Inc. Amplifies On Its Proposed Acquisition of Orban, Inc.; $15 Million Purchase Price to be Financed by Debt.

Business Editors

TEMPE, Ariz.--(BUSINESS WIRE)--Jan. 5, 2000

Circuit Research Labs, Inc. (OTC/BB: CRLI or the "Company") and Harman International Industries, Inc. (NYSE: HAR) announced on December 27th that they have signed a letter of intent whereby CRLI will acquire Harman's Orban subsidiary. The $15 million transaction is expected to close at the end of January 2000, and will be financed by debt, the structure of which has not yet been announced. The transaction is subject to the ratification of a definitive agreement as well as customary closing conditions.

Based in San Leandro, California, Orban, Inc. is a leading manufacturer of audio processing for radio and TV stations worldwide. Orban has about 75 employees and annual sales of approximately $15 million. Circuit Research Labs will retain the Orban brand and employees, including founder and chief engineer Bob Orban.

Jay Brentlinger, President and CEO of Circuit Research Labs, stated, "This business combination is highly complementary and synergistic, since roughly 80% of Orban's products are digital and approximately 80% of Circuit Research's products are analog. We will soon be equipped to offer a full range of digital and analog audio processing solutions at many price points."

Mr. Brentlinger continued, "Once the deal is consummated, we will have approximately 70% of the world market for radio and TV processing. We plan to increase marketing and product development, and penetrate the largely untapped market of Internet webcasting."

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. Further, the assumptions contained in this release may depend on the integration of the operations of Orban with those of the Company. Any of these assumptions could prove inaccurate, and therefore there can be no assurance that the forward-looking information will prove to be accurate.