Acrodyne Announces Filing for Deregistration of Its Common Stock

Business Wire, August 12, 2003

Business Editors

COCKEYSVILLE, Md.--(BUSINESS WIRE)--Aug. 12, 2003

Acrodyne Communications, Inc. (ACROE) filed the necessary form today with the Securities and Exchange Commission to deregister its common stock, thereby relieving the company of requirements to file both quarterly financial statements (Form 10Q) and annual financial statements (Form 10K) with the SEC.

The Company has fewer than 300 shareholders of record and therefore, is not required to file such reports.

Nat Ostroff, President and Chairman, stated "We believe there is little benefit to the Company or our shareholders to continue to incur the costs necessary to generate reports that satisfy SEC requirements when it is not necessary. The reporting and filing requirements continue to become more stringent and costs, for a small company to comply, have become prohibitive.

Our competitors, who are not required to file these reports to the SEC, enjoy a tremendous advantage by availing themselves of information not only from our financial statements but also from the management discussion and analysis section of the reports that disclose our marketing strategies and new product information."

The Company will save substantial amounts previously spent on legal, accounting, and filing fees incurred to comply with SEC reporting regulations. However, Acrodyne Communications will continue to produce audited annual financial statements prepared in accordance with generally accepted accounting principles applied on a consistent basis with an opinion as to their conformity expressed by an independent accounting firm.

This press release may contain "forward-looking statements" concerning future expectations, plans, or strategies that involve a number of risks and uncertainties. Readers are also directed to consider other risks and uncertainties discussed in documents filed by the Company with the SEC.