Sutron Reports Record Third Quarter Sales and Earnings.

Business Editors

STERLING, Va.--(BUSINESS WIRE)--Nov. 1, 2000

Sutron Corporation (NASD OTCBB:STRN), an environmental monitoring firm, announced today that sales for the third quarter totaled $3,569,338, up 14% from $3,133,389 for the same period the previous year.

Net income for the quarter was up 27% to $414,264 or $.10 per share as compared with net income of $325,538 or $.08 per share in the previous year.

Sales for the nine months ended September 30, 2000 totaled $7,249,800, down 17% from $8,727,213 for the same period the previous year. Net income for the nine months ended September 30, 2000 was down 87% to $97,315 or $.02 per share as compared with net income of $779,312 or $.18 per share in the previous year.

Sales and income information for the quarter and for the year to date is summarized in the table shown below:

                       3rd Qtr      3rd Qtr      2000         1999
                        2000         1999         YTD          YTD
                     ----------   ----------   ----------   ----------
Net Sales            $3,569,338   $3,133,389   $7,249,800   $8,727,213
Net Income           $  414,264   $  325,538   $   97,315   $  779,312
Basic Earnings
 Per Share           $     0.10   $     0.08   $     0.02   $     0.18
Average Number
 of Common Shares     4,298,351    4,298,351    4,298,351    4,298,351
Diluted Earnings
 Per Share           $     0.10   $     0.07   $     0.02   $     0.18
Average Number of
 Common Shares        4,298,351    4,391,737    4,298,351    4,375,742

"We are extremely pleased to announce that Sutron Corporation set records for third quarter sales and earnings in 2000," reported Raul McQuivey, Chief Executive Officer. "We shipped four large international orders to Peru and Central America which totaled approximately $1,754,000 or 49% of third quarter sales. Our orders backlog stood at $3,407,000 at September 30, 2000 which is a 30% increase over the backlog at September 30, 1999 of $2,620,000.

"We project annual revenues for fiscal year 2000 of approximately $10,000,000 as compared to $11,405,000 in the prior year due to parts shortages on the 8210 product line and the integration time required by our systems business. The inability to ship backlog in fiscal year 2000 will however significantly benefit fiscal year 2001 as we project entering the new year with approximately $3,000,000 of backlog. This puts Sutron in the position of starting the new year off with a strong first quarter which historically have been slow."

Sutron sells environmental monitoring systems that monitor and collect environmental, hydrological and meteorological real-time data. Sutron Corporation is a major provider of real-time data collection systems to government agencies and industry with over 23,000 stations in operation around the world.

This press release contains forward-looking statements that involve a number of risks and uncertainties.

Important factors that could cause actual results to differ materially from those indicated by such forward-looking statements include uncertainties relating to competition and technological change, setbacks in product development programs, slower-than-anticipated customer acceptance of new products, delays or cancellation of government procurements, dependence on certain key industries, and risk associated with the company's international operations.

The Company's common stock is traded on the NASD OTC Bulletin Board under the symbol STRN. For more information see our web site at www.sutron.com.