First quarter results.

MILPITAS, Calif.--(BUSINESS WIRE)--Feb. 16, 1995--Net sales for the first fiscal quarter ended Dec. 31, 1994, were $1,451,000, a 38% increase from the same period last year.

The company incurred a net loss of $35,000, ($.08) per share, for the first fiscal quarter of 1995, as compared to a net loss of $295,000, ($.70) per share, incurred during the same period last year.

Incoming orders for the first fiscal quarter of 1995 were $1,661,000, a 12% decrease from the same period a year ago. Backlog at Dec. 31, 1994, was $1,013,000, a 14% decrease from the end of the first quarter last year. -0-

                         EIP Microwave Inc.
                (In thousands except per share data)

                                          Three Months Ended
                                              Dec. 31,
                                          1994         1993

Net sales                                 $1,451      $1,055
Net loss                                  $  (35)     $ (295)
Loss per share                            $ (.08)     $ (.70)
Common stock and equivalents                 423         423

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EIP Microwave manufactures microwave frequency test and measurement instruments, which are predominantly used in the telecommunications and defense industries. The company has manufacturing facilities in Milpitas. The company's common stock trades on the NASDAQ Small-Cap Market under the symbol "EIPM."

CONTACT: EIP Microwave Inc., Milpitas

John Ardizzone, 408/945-1477