INCON Reports Higher Sales and Net Income for the Quarter Ended March 31, 2002.

Business/Technology Editors

SACO, Maine--(BUSINESS WIRE)--April 16, 2002

Intelligent Controls, Inc. (INCON) - (AMEX symbol: ITC), a manufacturer of software and electronic measurement systems for the petroleum and utility industries, announced today that first quarter revenues increased 14 percent to $2,522,888 compared to $2,206,307 in the first quarter of 2001. Net income was $104,895 or $.02 basic and diluted earnings per share, and compares to a loss of ($26,876) or ($.01) per share in the first quarter of 2001.

Roger E. Brooks, President & CEO, said; "We are pleased with our strong start to 2002. Traditionally, the first quarter has been a slow period for INCON, but this year a number of important sales, particularly for our PRS/power reliability systems products, made the difference. We also received meaningful initial orders for a new portable TS-STS Sump Test System that was designed specifically to test dispenser and turbine containment sumps for leaks. Overall, FMS/fuel management system sales grew by 8 percent and PRS sales increased 35 percent from the first quarter of 2001, and continue to run at, or slightly above the sales levels of the second half of last year."

Mr. Brooks added; "A number of new products and marketing initiatives were key contributors to the first quarter. The PRS area benefited from an initial volume sale of INCON's CCSM/control circuit status monitor to a large utility located in the southeastern U.S. In addition, we shipped the first one-hundred units against the OEM design and supply contract announced late last year. Above-ground tank system/AST sales also were strong and our inventory based applications are increasing as part of overall FMS/AST."

Mr. Brooks also stated; "Our balance sheet continues to be strong and cash-on-hand was $5,120,141 as of March 31, 2002. Gross margins were 54.9 percent in the first quarter 2002, compared to 51.7 percent for the comparable period last year. We again passed an ISO 9001 quality audit and our warranty costs continue to decline, strongly confirming the effectiveness of our zero defects quality initiative."

Mr. Brooks concluded; "We are encouraged by the progress and strength in our PRS business area. The growth in FMS/AST product sales is also noteworthy and there are strong prospects for the new portable TS-STS Sump Tester. We continue our program of investment in product development and marketing/sales, while remaining dedicated to increasing shareholder value."

Intelligent Controls, Inc. is a leading supplier of software, fuel management systems (FMS) and line leak detection equipment for the petroleum industry as well as intelligent electronic devices (IEDs) and power reliability systems (PRS) for the power utility market and other industrial applications.

Additional information about INCON may be found on its web-site at www.incon.com.

                    INCON REPORTS OPERATING RESULTS

                                               Quarters Ended

                                        3/31/2002          3/31/2001

Net Sales                              $2,522,888         $2,206,307
Gross Margins                           1,385,019          1,140,608
Gross Margin %                                 55%                52%
Net income (loss)                        $104,895           $(26,876)

Basic earnings (loss) per share             $0.02             $(0.01)
Diluted earnings (loss) per share           $0.02             $(0.01)

Weighted average common shares          4,739,399          4,739,399
Weighted average common shares
 and common equivalent shares           4,740,890          4,739,399

Balance Sheet Data
                                        3/31/2002         12/31/2001

Total Assets                           $9,208,243         $9,392,326
Long-term debt                             $-                 $-

Stockholders' equity                   $7,706,969         $7,602,074

Safe harbor statement under Private Securities Litigation Reform Act of 1995: Statements contained in this news release which are not historical fact, such as forward-looking statements concerning future demand in the petroleum and power utility sectors, involve uncertainty. Future Company performance is subject to various factors including uncertainties regarding future market conditions, unforeseen product problems, new products and customer requirements. These factors are discussed in more detail in the Company's latest Annual Report on Form 10-KSB.