Competitive Technologies reports fourth quarter and fiscal 1996 results.

WESTPORT, Conn.--(BUSINESS WIRE)--Sept. 30, 1996--

Operating revenues increase

Competitive Technologies Inc. (AMEX: CTT) today released fourth quarter and full year results for the fiscal year ended July 31, 1996.

Operating revenues for the quarter ended July 31, 1996 were $840,866, a 29 percent increase over the $651,309 revenues in the prior year's fourth quarter. The Company reported a loss from continuing operations of $66,613 compared with income of $12,740 in the prior year's fourth quarter.

Revenues for the full fiscal year ended July 31, 1996 were $2,280,196, an increase of 34 percent over the $1,703,195 in revenues in fiscal 1995. The Company posted a loss from continuing operations of $588,101, compared to a loss from continuing operations of $641,249 in fiscal 1995. Fiscal 1995 contained income of $2,633,973 from operations and the sale of a portion of its investment in University Communications Inc. which is reported as discontinued operations. There was no similar transaction in fiscal 1996. CTT continues to own approximately 15 percent of University Communications Inc.

George M. Stadler, President and CEO, commented that fiscal 1996 reflected a significant expansion of CTT's business focus. Corporate reengineering and downsizing presented an opportunity to CTT to enter a new segment of the technology transfer and commercialization market. Corporations, both large and small, were willing to outsource commercialization of their intellectual property.

"The Company made a conscious decision in fiscal 1996 to open our Cleveland office and add key staff in order to address the corporate client market and this resulted in higher operating expenses compared to fiscal 1995. This investment in CTT's future was critical in order to position the Company to professionally handle the largest corporate clients' needs," he said.

"CTT has been fortunate to add to its client roster the likes of IBM, Chrysler, and several other Fortune 100 clients. The deal flow that has presented itself is far more mature than our traditional university client deal flow. Corporate properties are already patented, and often there is know-how available in connection with a sale or license. These are important factors that will help shorten the time from obtaining the property to sale or license. I expect that the Company will begin to see sales of licenses of corporate properties during fiscal 1997," he added.

"Another transaction that is important to our Company was the acquisition on Jan. 31, 1996 of the balance of the original portfolio of licensed and available technologies that had been owned by United Services Automobile Association and Texas Research and Technology Foundation. The financial results for fiscal 1996 include results of the acquired portfolio from the date of acquisition. Fiscal 1997 will include the full year's results."

Stadler commented further that he expects fiscal 1997 will be an exciting year for the Company as it crosses into profitability. "We have been laying the groundwork for the past two years and I fully expect all the efforts of our team will begin to be reflected in fiscal 1997."

Competitive Technologies Inc. -- based in Westport, CT, with offices in Bethlehem, PA; Cleveland, OH; Osaka, Japan; and London, England -- is in the technology transfer business concentrating primarily on the commercialization and licensing of high-tech company and university research. CTT has evaluated over 8,000 technologies, been responsible for closing several hundred license agreements, and helped launch 15 new companies. CTT has also been awarded a number of collaborative R&D contracts involving partnerships between university, industry and federal/state governments. Additional information about CTT can be found on its web-site: WWW.CTI.Lehigh.edu. -0-

                   COMPETITIVE TECHNOLOGIES INC.
                         AND SUBSIDIARIES

           CONDENSED CONSOLIDATED STATEMENT OF OPERATIONS

                               Fourth Quarter         Fiscal year
                               ended July 31,        ended July 31,
                              1996       1995       1996        1995
Revenues
 Retained royalties        $633,113   $324,406 $1,619,909    $796,243
 Revenues under service
  contracts and grants      207,753    326,901    660,287     906,952
   Total revenues           840,866    651,307  2,280,196   1,703,195

Total operating expenses    929,128    635,968  3,101,958   2,332,021

Income (loss) from
 continuing operations      (66,613)    12,740   (588,101)   (641,249)

Discontinued operations          --         --         --   2,633,973

Net income (loss)          $(66,613)   $12,740  $(588,101) $1,992,724

Net income (loss) per share:
 Continuing operations       $(0.01)        --     $(0.10)     $(0.11)
 Discontinued operations         --         --         --        0.45
  Net income (loss) per
   share                     $(0.01)        --     $(0.10)      $0.34

Weighted average number of
 shares outstanding       5,853,814  5,815,579  5,853,814   5,815,579

CONTACT: Competitive Technologies Inc., Westport

George M. Stadler (President), Frank R. McPike Jr. (VP)

203/255-6044, fax [phone]