Aerospace Systems Division of Nortech Systems Achieves Two Quality Certifications; Facility Certified to Both ISO 9001 and AS9000 Standards

Business Wire, May 25, 2000

Business Editors

MINNEAPOLIS--(BUSINESS WIRE)--May 25, 2000

The Aerospace Systems division of Nortech Systems, Inc. (Nasdaq: NSYS) recently achieved certification under two prestigious quality standards -- ISO 9001 and AS9000. ISO 9001 is an international quality system for design and manufacturing. AS9000 contains specific quality criteria required by the aerospace/defense industry. Aerospace Systems, located in Fairmont, Minn., designs and manufactures a wide range of molded cable assemblies and custom wire harnesses for defense and commercial industries. Aerospace Systems specializes in cable assemblies designed to perform under extreme environmental conditions, high levels of strain and electromagnetic interference.

"Compliance to ISO quality standards is quickly becoming an expectation of Aerospace Systems' customers, both defense and commercial,"says Pete Kucera, Vice President of Corporate Quality for Nortech Systems. "On the defense side, ISO and AS9000 program requirements are often superseding traditional military quality specifications.

"Throughout our company, an uncompromising dedication to quality has been instrumental to our continuing growth and success," adds Kucera. Four of Nortech Systems' divisions are now ISO-certified. The remaining division, in Augusta, Wis., is expected to earn ISO 9002 certification in early 2001. Last month Nortech Systems announced strong financial results for the first quarter of 2000. Compared to the same period in 1999, net sales rose 33 percent to $12,568,981, and net income increased 65 percent to $410,220, or $0.17 per share.

"We've been winning quality awards from customers for years, which is a credit to our skilled and dedicated team of employees," says Michael Wasmund, General Manager of the Aerospace Systems division. "Obtaining these third-party certifications was a strategic and logical next step."

Recently, Aerospace Systems was named a certified supplier by Cubic Defense Systems, San Diego, Calif., for the MILES 2000 battle-simulation training system. "We were the first supplier to complete their stringent quality requirements, and this accomplishment was made possible by our work toward ISO and AS certifications," adds Wasmund. (More information about Aerospace Systems is available by visiting their web site: www.nortechsys.com/aerospace.)

Nortech Systems, Inc., based in Wayzata, Minn., is a manufacturer of wire harnesses, cable and electromechanical assemblies, printed circuit board assemblies and higher-level assemblies for a wide range of commercial and defense industries. Nortech Systems has additional Minnesota facilities in Aitkin, Bemidji, Fairmont and Merrifield; and facilities in Augusta, Wis. Nortech Systems is traded on the Nasdaq Stock Market under the symbol NSYS; its web site is www.nortechsys.com.

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