More Product Introductions and Expanded Sales and Support Staffing Encourage
Optimism for New Year, but First Quarter Outlook Impaired by Timing of Orders
                           And Component Shortages

    MUNDELEIN, Ill., May 16 /PRNewswire/ -- Bio-logic Systems Corp.
(Nasdaq: BLSC), a designer and marketer of computerized medical
electrodiagnostic equipment, today reported that both sales and earnings for
the fiscal year ended February 29, 2000 were the highest in the company's
21-year history, far exceeding the prior year's results.  The maker of
computer-assisted medical diagnostic equipment said that demand, both here and
abroad, was strong in all three of its platforms for neurological, hearing and
sleep disorders.
    "Substantial investments in staff and product development were made during
the year," according to Roderick G. Johnson, president.  "Yet our
profitability increased markedly, with the net profit margin almost five times
that of a year ago."  He attributed much of the recent year's progress to
similar investments made in fiscal 1999 and looks to robust contributions in
the future from fiscal 2000's investment in staffing and research.
    For the year ended February 29, 2000, Bio-logic's net income jumped
647.9 percent to $2,162,592, or $.52 per share on a diluted basis, compared
with $289,140, or $.07 per share for the prior fiscal year.  Sales were
$26,390,684, a 51.5 percent increase over the $17,418,286 achieved in fiscal
1999.
    Sales also rose sharply in the fourth quarter ended February 2000,
recording a gain of 36.9 percent to $6,801,171 compared with $4,969,005 for
the year-ago period.  "Higher material costs, however, were a burden on
profits in the final three months," Johnson said, "as were continued
expenditures for recruiting and training salespeople, customer service
representatives and field applications specialists to keep pace with customer
demand.  Research and development outlays also rose on a higher level of
effort for the company's ABaer system for screening hearing in newborns, and
more complex software features for Bio-logic's Ceegraph (epilepsy) and
Sleepscan (sleep) monitoring systems.  All of these expenditures resulted in a
27.3 percent decline in net income for the final three months, to $283,363, or
$.07 per share, from $389,872, or $.10 per share, in the fourth quarter of
fiscal 1999.
    "The pacesetter among Bio-logic's product line in the recent year was our
Ceegraph XL, the most advanced and reliable digital video/EEG system for
long-term epilepsy monitoring," Johnson said.  "This showpiece has driven
larger orders and supported increased margins.  Similar benefits accrued from
the shipments that began in the second quarter of an upgraded Windows version
of Sleepscan, our computerized system for comprehensive diagnosis of sleep
disorders.
    "Sales of hearing products, in particular screening systems, continue to
show impressive growth," Johnson said.  "Simplicity, low cost and
effectiveness along with more states mandating newborn hearing screening are
driving the growth."
    International revenues rose 18 percent for the year.  "We see more
optimistic signs in Asian economies and have experienced strong quarter-to-
quarter growth in recent periods," Johnson said.  "The Far East contributed
importantly to our overseas results, particularly in the fourth quarter, as
did the Middle East."
    Bio-logic's financial position strengthened, with book value increasing
18.4 percent and total assets growing 19.5 percent.  Working capital now is
$12.4 million, up from $10.6 million at the close of fiscal 1999.
    Looking ahead, Johnson believes that the current fiscal year ending
February 2001 will produce new records in sales and earnings, based on
continuing demand for epilepsy and sleep-apnea and hearing monitoring
equipment.  However, he warned that certain issues in the first quarter will
result in the company reporting lower sales and a net loss for the quarter
ending May 31, 2000 compared with the quarter ended May 31, 1999.
    Johnson attributes the decline in first quarter sales to a lack of urgency
by hospital purchasing managers in making capital-expenditure decisions now
that the pressure of Y2K compliance has lifted, and a temporary shortage of
electronic components, now rectified, that adversely impacted shipment dates
for Bio-logic's new compact ABaer audiology unit.
    Also adversely affecting first-quarter margins are staff additions to the
company's help desk and field application and installation teams made in the
third and fourth quarters of fiscal 2000.  "Relying on capital expenditures,
as we do, sometimes results in volatility," he said, "but historically the
trendline has had an upward bias.  We believe this trend should continue as
sales of our well-established neurology and sleep disorder monitoring products
are augmented by our sales of innovative audiology systems and consumables in
domestic and international markets."
    "While our budget for fiscal 2001 allowed for weakness in first-quarter
results due to the Y2K and components issues, the effect was greater than
anticipated," Johnson said.  "In spite of the initial shortfall in sales, we
are optimistic for fiscal 2001 based upon the following:

     -- an order backlog for ABaer units,
     -- encouraging signs for sales of our new Navigator Pro evoked-response
        system,
     -- an increasing number of states mandating newborn hearing screening,
        the most prevalent birth defect, and
     -- demand from the international marketplace for new audiology
        equipment."

    International sales also should benefit from a new agreement signed with a
well-established distributor in Japan.  Mansson KK, a subsidiary of Gadelius,
a Swedish company doing business in Japan for over a century, has begun the
registration process in Japan for ABaer hearing products and is optimistic
about sales for this and future years.  Japan, a country providing substantial
sales for Bio-logic, is in the process of mandating hearing screening for all
newborns.
    In addition to Japan, demonstration units have been ordered by
distributors in more than 20 countries as the company's international
distribution network prepares to launch new hearing products in their local
markets, according to Johnson.
    Bio-logic Systems Corp., headquartered in Mundelein, IL., designs,
develops, assembles and markets computer-based electrodiagnostic systems for
use by hospitals, clinics, universities and physicians.  The systems conduct
tests that are typically used by medical practitioners to aid in the diagnosis
of certain neurological disorders, brain disorders and tumors, and sensory
disorders, including audiological and hearing screening and diagnosis.
    Except for descriptions of historical facts, this release contains
forward-looking statements that involve known and unknown risks, which may
cause the company's actual results in the future to differ materially from
those currently anticipated.  These results include, among others,
fluctuations in sales and operating results; the company's ability to recruit
and train the necessary number of sales representatives and installation
technicians; risks associated with international operations including monetary
crisis; regulatory, competitive and contractual risks; the effects of economic
conditions; and the availability of capital to finance planned growth, as well
as other risks detailed from time to time in the company's filings with the
Securities and Exchange Commission.

    To receive Bio-logic's latest news release and other corporate documents,
free of charge via fax, simply dial 1-800-PRO-INFO.  Use company ticker BLSC.

                   BIO-LOGIC SYSTEMS CORP. AND SUBSIDIARIES
                    CONSOLIDATED STATEMENTS OF OPERATIONS
            Periods Ended February 29, 2000 and February 28, 1999
                                 (Unaudited)

                            Three Months Ended              Year Ended
                         Feb. 29,     Feb. 28,      Feb. 29,      Feb. 28,
                           2000         1999          2000          1999

    NET SALES           $6,801,171    $4,969,005  $26,390,684   $17,418,286
    COST OF SALES        2,418,227     1,684,005    8,547,205     5,633,758

    Gross profit         4,382,944     3,285,000   17,843,479    11,784,528

    OPERATING EXPENSES:
     Selling, general,
      and administrative 3,192,257     2,248,314   11,822,336     8,831,053
     Research and
      development          855,910       613,044    3,239,921     2,854,105

        Total operating
         expenses        4,048,167     2,861,358   15,062,257    11,685,158

    OPERATING INCOME       334,777       423,642    2,781,222        99,370

    OTHER INCOME (EXPENSE):
    Interest income         75,313        60,242      253,566       258,558
    Interest expense       (16,310)       (7,868)     (33,619)      (31,525)
    Miscellaneous             (242)       (2,060)       2,423        (3,704)

    INCOME BEFORE
      INCOME TAXES         393,538       473,956    3,003,592       322,699

    PROVISION FOR
      INCOME TAXES         110,175        84,084      841,000        33,559

    NET INCOME            $283,363     $ 389,872   $2,162,592     $ 289,140

    NET INCOME PER SHARE:
    Basic                   $ 0.07         $0.10        $0.54         $0.07

    Diluted                 $ 0.07         $0.10        $0.52         $0.07

    AVERAGE NUMBER OF
      SHARES OUTSTANDING
    Basic                4,066,960     4,005,492    4,014,066     4,008,201

    Diluted              4,324,990     4,042,854    4,180,094     4,095,939


                         SELECTED BALANCE SHEET DATA

                                                     2000           1999
    Cash and marketable securities                $4,959,902     $5,957,112
    Current assets                                16,242,693     13,385,871
    Total assets                                  19,168,147     16,038,207
    Current liabilities                            3,812,111      2,793,361
    Long-term obligations                            139,670        294,618
    Net Shareholders' equity                      15,040,567     12,705,333

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