Corning Incorporated First Quarter Earnings Up 48%.

CORNING, N.Y.--(BUSINESS WIRE)--April 15, 1997--Corning Incorporated (NYSE:GLW) said today that for its first quarter ended March 31, 1997, earnings were $0.40 per share, an increase of 48 percent compared with earnings of $0.27 per share from the same operations for first quarter 1996. Net income for the first quarter totaled $92 million, an increase of 47 percent compared with $62.6 million for the same operations in the first quarter 1996. Sales totaled $945.4 million, an increase of 13 percent.

"These solid operating results reflect continued growth in sales and earnings from our optical fiber, cable and photonic technologies businesses as well as our environmental and advanced materials businesses," said Corning Chairman and Chief Executive Officer Roger G. Ackerman.

"We are also pleased with ongoing improvements in performance of the consumer products business," added Mr. Ackerman, "where manufacturing efficiency gains and strategic cost-reduction programs are having a positive impact on results."

The decline in equity earnings reflects costs associated with new ventures including the start up of American Video Glass Company and Samsung-Corning Precision Glass Company. These costs more than offset the strong performance of optical fiber equity companies and Eurokera, a specialty flat-glass equity company.

"Looking ahead, we continue to expect 1997 to be a strong year, although the rate of growth cannot be expected to match what we achieved in the first quarter. We are well positioned for extraordinary growth in our communications-related businesses. We are aggressively applying our leading materials and process technologies in other core businesses. And, we are on track with our strategy to invest significantly for the future," concluded Mr. Ackerman.

On December 31, 1996, Corning completed a strategic repositioning of the company by distributing all of the shares of Quest Diagnostics Incorporated (NYSE:DGX) and Covance Inc. (NYSE:CVD) to its shareholders on a pro rata basis. Corning's results for 1996 report Quest Diagnostics and Covance as discontinued operations. Income from discontinued operations totaled $9.2 million, or $0.04 per share, for the first quarter 1996.

Established in 1851, Corning Incorporated creates leading-edge technologies for the fastest growing segments of the world's economy. Corning manufactures optical fiber, cable and components, high performance glass and components for televisions, and other electronic displays for communications and communications-related industries; advanced materials for the scientific and environmental markets, and consumer products. Corning's total revenues in 1996 were $3.7 billion.

Corning Investor Relations Contact: Richard B. Klein, [phone] or [e-mail] Katherine M. Dietz, [phone] or [e-mail]

-0- The statements in this release, which are not historical facts or information, are forward-looking statements. These forward-looking statements involve risks and uncertainties that could cause the outcome to be materially different. Forward-looking statements include, but are not limited to, global economic conditions, product demand, competitive products and pricing, manufacturing efficiencies, cost reductions, manufacturing capacity, facility expansions and new plant start-up costs, the rate of technology change, and other risks. -0-

             Corning Incorporated and Subsidiary Companies
                   Consolidated Statements of Income
          (Unaudited; in millions, except per-share amounts)

                           Quarter Ended        Quarter Ended
                           March 31, 1997       March 31, 1996
Revenues
  Net sales                  $   945.4            $   837.6
  Royalty, interest and
    dividend income               10.5                  8.0
                                 955.9                845.6

Deductions
  Cost of sales                  554.9                517.0
  Selling, general and
    administrative expenses      159.4                158.4
  Research and development
    expenses                      51.1                 45.3
  Interest expense                25.0                 17.7
  Other, net                      11.0                  7.1

Income before taxes on income    154.5                100.1
Income tax expense                53.3                 33.5

Income before minority interest
  and equity earnings            101.2                 66.6
Minority interest in earnings
  of subsidiaries                (12.6)               (12.2)
Dividends on convertible
  preferred securities of
  subsidiary                      (3.4)                (3.4)
Equity in earnings of
  associated companies             6.8                 11.6

Income from continuing
  operations                      92.0                 62.6
Income from discontinued
  operations, net of taxes                              9.2

Net Income                    $   92.0              $  71.8

Earnings Per Common Share:
  Continuing operations       $   0.40              $  0.27
  Discontinued operations                              0.04
Net Income                    $   0.40              $  0.31

Dividends Declared            $   0.18              $  0.18

Weighted Average Shares
  Outstanding                    226.5                227.2

The accompanying notes are an integral part of these statements.
-0-

              Corning Incorporated and Subsidiary Companies
                  Condensed Consolidated Balance Sheets
                                (In millions)

                            March 31, 1997      Dec. 31, 1996
                              (Unaudited)
      Assets

Current Assets
  Cash and short-term
    investments               $   106.9         $   223.2
  Receivables, net                638.3             566.3
  Inventories                     538.6             498.5
  Deferred taxes on income and
    other current assets          117.6             130.7
  Total current assets          1,401.4           1,418.7

Investments                       325.5             337.2

Plant and Equipment, Net        1,967.6           1,977.7

Goodwill and Other Intangible
  Assets, Net                     322.1             330.4

Other Assets                      272.9             257.3
                             $  4,289.5        $  4,321.3

        Liabilities and Stockholders' Equity

Current Liabilities
  Loans payable              $     48.0        $     53.9
  Accounts payable                177.2             268.9
  Other accrued liabilities       513.3             484.7
  Total current liabilities       738.5             807.5

Other Liabilities                 658.1             646.2
Loans Payable Beyond One Year   1,195.1           1,208.5
Minority Interest in Subsidiary
  Companies                       316.5             310.7
Convertible Preferred Securities
  of Subsidiary                   365.1             365.1
Convertible Preferred Stock        21.7              22.2
Common Stockholders' Equity       994.5             961.1
                             $  4,289.5        $  4,321.3

The accompanying notes are an integral part of these statements.
-0-

Corning Incorporated and Subsidiary Companies
Notes to Consolidated Financial Statements
Quarter 1, 1997

(1)  Earnings per common share are computed by dividing net income
     less dividends on Series B convertible preferred stock by the
     weighted average number of common shares outstanding during the
     period.  The weighted average shares outstanding was 226.5
     million and 227.2 million for the first quarters of 1997 and
     1996, respectively.  Series B preferred dividends amounted to
     $0.4 million and $0.5 million in the first quarters of 1997 and
     1996, respectively.

(2)  Depreciation and amortization charged to continuing operations
     during the first quarters of 1997 and 1996 totaled $87.5 million
     and $71.9 million, respectively.

(3)  Corning's effective tax rate for continuing operations was 34.5%
     for the first quarter of 1997 and 33.5% for the first quarter of
     1996.  The higher 1997 rate was due to a higher percentage of
     Corning's earnings from consolidated entities with higher
     effective tax rates.

(4)  On December 31, 1996, Corning completed a strategic repositioning
     of the company by distributing all of the shares of Quest
     Diagnostics Incorporated and Covance Inc. to its shareholders on
     a pro rata basis.  Corning's results for 1996 report Quest
     Diagnostics and Covance as discontinued operations.  Income from
     discontinued operations totaled $9.2 million, or $0.04 per share,
     for the first quarter 1996.

CONTACT: Corning Incorporated

Kathryn C. Littleton

[phone]

[e-mail]

or

Kekst and Company

Todd Fogarty

[phone]

[e-mail]