Company Highlights

    -- Total net sales rise 51 percent;
    -- Volume across all product categories increases;
    -- Domestic selling network expanded;
    -- Margins expand on growing demand for higher-margin audiology products
       and accelerating sales of high-ticket epilepsy systems;
    -- Executive management team reinforced with appointment of new president
       and COO;
    -- New president takes on added responsibility as director of board,
       increases board size to seven.

    MUNDELEIN, Ill., Sept. 30 /PRNewswire/ -- Bio-logic Systems Corp.
(Nasdaq: BLSC) today reported substantial growth for its fiscal 2000 second
quarter.  Strong demand for products and advanced technologies, and a larger
selling network led to a 51 percent increase in sales for the latest three
months ended August 31, 1999.
    "We are seeing terrific demand in the U.S. for all of our product lines,"
said Gabriel Raviv, chairman and chief executive officer.  "New technologies,
such as our digital 64/128 channel epilepsy monitoring system, Ceegraph XL,
provide us with a competitive advantage and also drive increased sales of
other products as customers look for a single vendor with the capability to
supply all of their advanced diagnostic and monitoring needs.  We are
currently one of only four companies offering the digital 64/128 channel
technology."
    Additionally Raviv said, "Upgraded software that is more compatible with
customer systems has also benefited our selling effort.  With the initial
shipments of Windows software for our Sleepscan platform in the second
quarter, our software packages are now upgraded across both the EEG and Sleep
product lines and we are experiencing a positive sales impact as a result.
Finally, sales of the higher-margin audiology products continue to steadily
expand their contribution to total sales and we see this market increasing.
In the second quarter, six more states passed legislation mandating newborn
hearing screening.  There are approximately 4 million babies born each year in
the U.S., and it is estimated that by 2002-2003, 95 percent of all newborns
will have their hearing tested before leaving the hospital.  This represents a
substantial growth opportunity for us," said Raviv.
    Sales for the fiscal 2000 second quarter increased 51 percent to
$6.6 million compared with $4.4 million in the similar fiscal 1999 quarter.
The sales increase was supported, in part, by the expansion of Bio-logic's
sales network by 29 percent over last year.  Domestic sales rose 67 percent,
while international sales declined 37 percent from a year earlier due to the
continued adverse impact of the Asian economic crisis.  Operating expenses as
a percent of sales declined nearly 7 percent in the latest three months.  The
substantially stronger sales and comparatively modest increase in operating
expenses led to a greatly improved bottom line.  Net income was $723,750, or
$0.17 per diluted share, compared with $89,687, or $0.02 per share, a year
ago.
    For the six months ended August 31, 1999, Bio-logic reported a 60 percent
increase in net sales to $12.9 million from $8.1 million last year.  Net
income was $1.4 million, or $0.35 per diluted share, compared with a net loss
of $128,276, or $0.03 per diluted share, for the six months a year earlier.
    The 18 percent increase in research and development expenses in the second
quarter should slow somewhat in the second half of fiscal 2000, since the
software upgrades are complete and the Ceegraph XL is commercially available.
The company is now focused on developing new products to capitalize on the
growing audiology market.  SG&A expenses, on the other hand, are expected to
increase as the company allocates greater resources for hiring more customer
support and service personnel and equipment technicians to manage this level
of growth.
    Bio-logic has a goal of becoming a $50 million company in the next four
years.  In order to achieve that objective, the company recently reinforced
its executive ranks to effectively build and guide the growth of the company.
Last week, Bio-logic announced the appointment of Roderick G. Johnson as
president and chief operating officer of the company, and a director to the
board.  Johnson brings strong operational leadership skills, acquisition
expertise and experience with high-growth organizations, supporting an
executive platform that ensures Bio-logic is capitalizing on every growth
opportunity.
    "These are exciting times at Bio-logic.  The market's increasing demand
for leading-edge technology positions us to aggressively compete for greater
market share.  We are a pioneer in developing computerized diagnostic
equipment, known for offering the latest, most innovative systems.  Our
modular designs provide a cost-effective means of upgrading systems as next-
generation models are introduced, making our products even more appealing to
existing and potential customers," said Raviv.  "We anticipate record growth
for fiscal 2000 based on the sales trends we are experiencing.  Our biggest
challenge will be hiring sales and technical support fast enough to capitalize
on all opportunities.  This is our priority for the second half of the year
and we are committing both the financial and executive resources to ensure
this gets done."

    Financial Position
    The company's cash and marketable securities increased to $6.4 million at
August 31, 1999, from $6.0 million on February 28, 1999.  Long-term debt as a
percent of capitalization decreased to 1.5 percent, and the current ratio was
4.4 to 1.  Shareholders' equity increased to $14.1 million, or nearly
11 percent.
    Bio-logic Systems Corp., headquartered in Mundelein, Ill., 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.

    Safe Harbor Statement
    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 risks 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; any delays or additional costs associated with the marketing of
the AuDX(R) product; 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
                                    UNAUDITED

                           THREE MONTHS ENDED          SIX MONTHS ENDED

                         August 31,   August 31,    August 31,   August 31,
                            1999         1998          1999         1998

    NET SALES           $6,590,484    $4,361,167  $12,868,768    $8,068,481

    COST OF SALES        1,917,890     1,364,980    3,914,814     2,592,134

      Gross Profit       4,672,594     2,996,187    8,953,954     5,476,347

    OPERATING EXPENSES:
       Selling,
        general &
        administrative   2,892,790     2,213,705    5,561,174     4,328,366
       Research &
        development        829,942       703,019    1,513,462     1,450,222

         Total
          Operating
          Expenses       3,722,732     2,916,724    7,074,636     5,778,588

    OPERATING INCOME
     (LOSS)                949,862        79,463    1,879,318      (302,241)

    OTHER INCOME (EXPENSE):
      Interest Income       60,961        63,705      119,488       128,357
      Interest expense      (4,682)       (8,839)     (12,106)      (18,189)
      Miscellaneous           (916)          458       (1,445)         (403)

    INCOME (LOSS) BEFORE
     INCOME TAXES        1,005,225       134,787    1,985,255      (192,476)

    PROVISION (BENEFIT)
     FOR INCOME TAXES      281,475        45,100      555,875       (64,200)

    NET INCOME (LOSS)     $723,750       $89,687   $1,429,380     $(128,276)

    EARNINGS (LOSS)
     PER SHARE:
      Basic                  $0.18         $0.02        $0.36        $(0.03)
      Diluted                $0.17         $0.02        $0.35        $(0.03)

    BASIC SHARES
     OUTSTANDING         3,987,152     4,023,184    3,991,092     4,005,888

    DILUTED SHARES
     OUTSTANDING         4,139,639     4,115,047    4,082,467     4,144,381

                           SELECTED BALANCE SHEET DATA

                                 As of                   As of
                               August 31,             February 28,
                                  1999                    1999

    Cash and marketable
     securities                $6,370,474              $5,957,112
    Current Assets             15,651,157              13,385,871
    Total Assets               18,139,937              16,038,207
    Current liabilities         3,581,735               2,793,361
    Long-term obligations         220,691                 294,618
    Shareholders' equity       14,092,616              12,705,333

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