HEI's first-quarter 2010 net sales increase to $9,520,000

HEI, Inc. (Pink Sheets: HEII) (http://www.heii.com) today announced its financial results for its first quarter of fiscal year 2010, which ended April 3, 2010.

Net sales for the first quarter were $9,520,000 compared to $8,883,000 for the first quarter of fiscal year 2009.  The Company generated net income of $293,000 for the first quarter of fiscal year 2010 compared to a net income of $268,000 for the same period of fiscal year 2009.

HEI CEO, Mark B. Thomas, remarked: "The new customers and new programs that we added in all three operating divisions in the latter part of 2009 have started to show contributions in the early part of 2010, along with an increase in demand from our existing customers.  Although we realize that one quarter of results does not demonstrate a trend, it is nice to see that the operations are coming back around as we emerge from the slump in sales experienced in 2009.  Our drive throughout the remainder of 2010 will be to continue to grow sales, improve gross margins and expand our customer base."

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HEI, Inc.

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