Fairview, Pa, January 8, 2008 ----- Spectrum Control, Inc. (NASDAQ: SPEC), a leading designer and manufacturer of electronic control products and systems, today reported results for the fourth quarter and fiscal year ended November 30, 2007.

For the fourth quarter of fiscal 2007, the Company reported net income of $3.2 million or 24 cents per share (23 cents diluted) on sales of $34.7 million, compared to net income of $2.0 million or 15 cents per share on sales of $35.0 million for the same period last year.

For the fiscal year 2007, the Company had net income of $11.1 million or 83 cents per share (81 cents diluted) on sales of $136.5 million. In fiscal year 2006, the Company had net income of $5.9 million or 45 cents per share (44 cents diluted) on sales of $125.7 million.

Dick Southworth, the Company's President and Chief Executive Officer, commented, "We are very pleased to report that fiscal 2007 was a record year for our Company in generating revenues, profitability, and operating cash flows. Compared to fiscal year 2006, our current year revenues grew 9%, our net income increased by 90%, and our earnings per share was up 84%. This strong 2007 performance reflects the completed ramp-up of our State College ceramics operation, the successful integration of our business acquisitions, and the effectiveness of our ongoing cost reduction and consolidation efforts. "

Mr. Southworth continued, "Customer orders were somewhat soft throughout most of the 2007 fiscal fourth quarter, before rebounding late in the period. Total customer orders received in the current quarter amounted to $33.1 million. As a result of this temporary softness, our fourth quarter revenues and earnings were slightly below our previous expectations. Going forward, however, our overall business outlook for fiscal 2008 remains very positive, as we expect to build upon our record 2007 fiscal year performance and further enhance shareholder value."

Fourth Quarter Highlights

Business Segment Discussion

Our operations are currently conducted in four reportable segments: signal and power integrity components; microwave components and systems; power management systems; and sensors and controls.

Our Signal and Power Integrity Components Business designs and manufactures a broad range of products including low pass electromagnetic interference ("EMI") filters, filter plates, filtered connectors, circular connectors, specialty ceramic capacitors, power entry modules, power line filters, antennas, and various value-added assemblies. During the current quarter, customer orders for these products were negatively impacted by overall soft market conditions. As a result, total customer orders received for these products in the fourth quarter of fiscal 2007 amounted to $13.5 million, compared to $15.6 million for the same period last year. Shipments of signal and power integrity components were also down in the current quarter, totaling $15.1 million, a decrease of 8% from a year ago. For the fiscal year, however, aggregate shipments of these products were $60.7 million in 2007, up $2.2 million or 4% from 2006. In addition, with our State College ceramic operations lowering material costs and improving productivity, operating margins for this segment continue to improve.

Our Microwave Components and Systems Business designs and manufactures microwave filters, amplifiers, frequency mixers, oscillators, synthesizers, multiple channel filter banks, and related products and integrated assemblies. These components and systems are predominantly used in various military and defense applications including secure communications, smart weapons and munitions, and countermeasures for improvised explosive devices. After several years of significant growth, sales for this business segment were relatively stable throughout 2007. In the current quarter, sales of our microwave products amounted to $12.3 million, an increase of 2% from the same period a year ago. For fiscal year 2007, sales of these products totaled $47.7 million, down 2% from fiscal year 2006. Recently, however, demand for our microwave products is once again demonstrating signs of growth. Customer orders received in the current quarter amounted to $12.7 million, up 9% from the same period a year ago. For fiscal year 2007, total orders for these products amounted to $53.1 million, an increase of $9.9 million or 23% from fiscal year 2006.

Our Sensors and Controls Business designs and manufactures rotary and linear precision sensors, temperature sensing probes, thermistors, resistance detector sensors, and related assemblies. Sales of our sensors and controls were relatively stable in the current period, with sales of $4.9 million in the fourth quarter of fiscal 2007 and 2006. For fiscal year 2007, sales of these products amounted to $20.5 million, up $8.7 million or 73% from fiscal year 2006. Of this increase, $5.5 million relates to our acquisition of Advanced Thermal Products, Inc. in July of last year, with the additional current year growth reflecting increased shipments of our custom position sensors and related assemblies. These products are used in various commercial, aerospace and military markets, with major applications in medical and meteorological instruments, aircraft flap position actuators, and military vehicles. With $3.2 million of increased shipments for our custom position sensor products in fiscal year 2007, the organic growth rate for our Sensors and Controls Business was a strong 27%.

Our Power Management Systems Business designs and manufactures power distribution units, breaker and fuse interface panels, custom power outlet strips, and our Smart Start power management systems. Customer orders for these products were $2.3 million in the fourth quarter of fiscal 2007, up 40% from a year ago. For the fiscal year 2007, customer orders totaled $8.0 million, an increase of 29% from fiscal year 2006. With this increased demand, sales of these products amounted to $ 2.3 million in the current quarter and $ 7.6 million for the current year, up 52% and 14%, respectively, from the comparable periods of 2006. Encouraged by this performance, we remain optimistic about the long-term growth potential of our power management systems, which are used in various infrastructure equipment including long-haul optical switching gear, air traffic control, and voice-over-internet (VoIP).

Forward-Looking Information

This press release contains statements that are forward-looking statements within the meaning of the Private Securities Reform Act of 1995. These statements are based on current expectations, estimates and projections about the Company's business based, in part, on assumptions made by management. These statements are not guarantees of future performance and involve risks, uncertainties and assumptions that are difficult to predict.

Therefore, actual outcomes and results may differ materially from what is expressed or forecasted in such forward-looking statements due to numerous factors and risks discussed from time to time in the Company's Securities and Exchange Commission filings and reports. In addition, such statements could be affected by general industry and market conditions and growth rates, and general domestic and international economic conditions. Such forward-looking statements speak only as of the date on which they are made and the Company does not undertake any obligation to update any forward-looking statement to reflect events or circumstances after the date of this release.

Simultaneous Webcast and Teleconference Replay

Spectrum Control, Inc. will host a teleconference to discuss its fourth quarter and year-end results on Tuesday, January 8, 2008, at 4:45 p.m., Eastern Time. Internet users will be able to access a simultaneous webcast of the teleconference at www.spectrumcontrol.com or www.vcall.com. A taped replay of the call will be available through January 9, 2008, at 877-660-6853, access account 286, conference 268373, or for 30 days over the Internet at the Company's website.

About Spectrum Control

Spectrum Control, Inc. designs and manufacturers a wide range of components and systems used to condition, regulate, transmit, receive, or govern electronic performance. The Company's largest markets are military and communications equipment, with applications in secure communications, smart weapons and munitions, countermeasures for improvised explosive devices, missile defense systems, wireless base stations, broadband switching gear, and global positioning systems. For more information about Spectrum Control and its products, please visit the Company's website at www.spectrumcontrol.com.