Fairview, Pa, March 27, 2008 ----- Spectrum Control, Inc. (NASDAQ: SPEC), a leading designer and manufacturer of electronic control products and systems, today reported results for the first quarter ended February 29, 2008.

For the first quarter of fiscal 2008, the Company reported net income of $1.8 million or 13 cents per share on sales of $31.2 million, compared to net income of $2.1 million or 16 cents per share on sales of $32.9 million for the same period last year.

Dick Southworth, the Company's President and Chief Executive Officer, commented, "During the fourth quarter of last year, we began to detect some softness in portions of our telecom equipment markets, as well as delays in the release of orders for certain military/defense programs. This soft demand continued throughout the first quarter of fiscal 2008, negatively impacting our total customer orders and shipments. Despite these market conditions, we are pleased to report significant first quarter profits and near record cash flows. Even more importantly, we believe the excess inventory levels, which led to lower demand by certain of our telecom equipment customers, have been substantially consumed and that customer inventory levels are now properly aligned with current business requirements. Accordingly, we anticipate orders from these customers will increase in the second quarter of fiscal 2008. In addition, we expect orders for several key military/defense programs, which were delayed in the first quarter, will be released in the second quarter of fiscal 2008. With customer orders and production requirements expected to rebound in the second quarter, we have maintained our production capacity and workforce to respond quickly and effectively to the anticipated increase in business levels."

First 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. These products are used in numerous industries including military and defense, communications equipment, medical and industrial instrumentation, and commercial aerospace.

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, countermeasures for improvised explosive devices, radar systems, and military aircraft.

During the first quarter of fiscal 2008, the current market conditions negatively impacted both of these business segments. Shipments of our signal and power integrity components were $13.2 million in the current quarter, down $2.1 million or 13.8% from the first quarter last year. Total customer orders received for these products amounted to $12.8 million in the current period, a decrease of 4.5% from the comparable period of fiscal 2007. Shipments of our microwave components and systems were $10.4 million in the first quarter of fiscal 2008, down $694,000 or 6.3% from the same period a year ago. Customer orders received for our microwave products totaled $8.0 million in the current quarter, down 37.1% from a year ago. We believe the excess inventory levels, which led to soft demand by certain of our telecom equipment customers, have been substantially consumed and that customer inventories are now properly aligned with current business requirements. Accordingly, we anticipate orders from these customers to increase in the second quarter of fiscal 2008. In addition, we expect orders for several key military and defense programs, which were delayed in the first quarter of fiscal 2008, will be released in the second quarter of fiscal 2008.

Our Sensors and Controls Business designs and manufactures rotary and linear precision sensors, temperature sensing probes, thermistors, resistance detector sensors, and related assemblies. Shipments of our sensors and controls amounted to $5.2 million in the first quarter of fiscal 2008, up $185,000 or 3.7% from the same period a year ago. Customer orders for these products totaled $7.1 million in the current quarter, up $1.3 million or 22.0% from the first quarter of last year. In particular, demand for our custom position sensors ( which are used in various medical equipment, commercial weather instruments, and military aircraft and vehicles ) continues to grow.

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. Shipments of our power management systems increased by $890,000 or 57.1%, with shipments of $2.4 million in the current quarter and $1.6 million in the comparable period last year. Customer orders for these systems amounted to $3.7 million in the first quarter of fiscal 2008, an increase of $1.7 million or 79.5% from a year ago. Demand for these products was particularly strong in applications for servers, optical networking equipment, voice-over-internet protocol ( "VoIP" ) equipment, and switching gear.

Current Business Outlook

Mr. Southworth added, "Based upon our existing sales order backlog, recent customer order trends, and the forecasted requirements for certain major customers and programs, we currently expect customer orders of $38.0 to $40.0 million and shipments of $33.0 to $35.0 million for our second quarter ending May 31, 2008. If this sales level is achieved, we anticipate generating earnings of 18 to 20 cents per share for the second quarter of fiscal 2008. While the first quarter market weakness may moderate our growth expectations for the full year, we believe our future results will increasingly reflect the leverage and effectiveness of our business model. We continue to build a diversified platform of products, while strengthening our status as a key supplier to all of our major customers. With our broad product portfolio and participation in a wide variety of markets, we are increasingly insulated from sustained weakness in any particular market sector. We firmly believe that this business strategy will deliver long-term shareholder value across all market cycles."

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 first quarter results on Thursday, March 27, 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 March 28, 2008, at 877-660-6853, access account 286, conference 278454, 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/defense 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.