Circuit Research Labs Reports First Quarter Results.

Business Editors

TEMPE, Ariz.--(BUSINESS WIRE)--May 18, 2000

Circuit Research Labs, Inc. ("OTC/BB": CRLI) today announced results for the first quarter ended March 31, 2000.

              Consolidated Condensed Statements of Income

                          Three Months Ended
                               March 31,
                               2000                  1999
                               ----                  ----

Net Sales               $      208,068          $      374,293

Net Loss                $     (206,848)         $     (170,524)

Net Loss per Share
(basic & diluted)               $(0.34)                 $(0.42)
                        ---------------         ---------------
Weighted Shares
  Outstanding                  600,155                 410,182

Sales for the first quarter of 2000 decreased to $208,068 from $374,293 in the same period last year. The Company recorded a net loss for the first quarter of 2000 of $206,848, or $0.34 per share, compared to a net loss of $170,524, or $0.42 per share, in the same quarter of 1999.

The decrease in revenue and wider loss reflect slower demand across product lines, as well as the negative effects created by the decision to liquidate the Company by the Board of Directors in July of 1999. As previously reported, this decision was subsequently reversed in conjunction with Jay Brentlinger's investment in Circuit Research Labs.

Jay Brentlinger, President and CEO of Circuit Research Labs, Inc, commented, "We remain confident that recent measures to strengthen management and marketing, along with our proposed acquisition of Orban, Inc. will position CRL for future growth. This acquisition is highly complementary, since it will combine Orban's predominantly digital product line with CRL's analog products, and will enable the combined companies to offer a wide range of audio processing solutions at multiple price points."

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. As of May 18, 2000, there can be no assurance that the Company will be able to acquire the necessary financing for the acquisition. The transaction is subject to the ratification of a definitive agreement as well as customary closing conditions.