LOGIC Devices Reports Fiscal 2008

• Press Release
• Source: LOGIC Devices Incorporated
• On 9:15 am EST, Tuesday December 2, 2008

SUNNYVALE, Calif., Dec. 2, 2008 (GLOBE NEWSWIRE) -- LOGIC Devices Incorporated (NasdaqCM:LOGC - News) today reported its revenues and results of operations for its fiscal year ended September 30, 2008. The Company's revenues were down to $3,352,100, compared to $4,686,400 for fiscal 2007. The Company recorded a net loss of $3,965,000, or ($0.58) per share, for fiscal 2008, compared to a net loss of $1,487,700, or ($0.22) per share, for fiscal 2007.

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Symbol	Price	Change
LOGC	0.97	+0.01

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``Our lack of new product introductions adversely affected revenues for our fiscal 2008. While revenues from older products continued to drop off, including the digital cinema project products, we had no new product revenues in fiscal 2008,'' stated Bill Volz, president of LOGIC Devices. ``Revenues from the digital cinema project were particularly disappointing as the initial customer forecast was much higher than actual orders.

``The net loss is primarily the result of further write-downs of inventory totaling $2,059,300 and the sharp decrease in revenues. We elected to maintain our research and development expenditures to push new products out. Maintaining expenditure levels while revenues decreased resulted in negative cash from operations for the first time since our fiscal year ended September 30, 2001.

``Liquidity has not been an issue for many years, but has recently become a concern with our lack of new product revenues,'' continued Mr. Volz. ``The illiquidity of the auction rate securities (ARS) market was of prime concern for us as we hold $975,000 in preferred ARS. In October 2008, we elected to accept an offer from UBS Financial Services, Inc. (UBS) to obtain ARS Rights to sell the ARS to UBS at par value during a two-year period beginning January 2, 2009. We intend to exercise these rights immediately. To ensure we have the cash in hand until then, in November 2008, we obtained a $975,000 no net-cost line of credit from UBS Bank USA for the par value of our ARS. The interest charged on this loan cannot exceed the interest/dividends we receive from the ARS. Obtaining this cash was crucial to our planned new product development and introductions. To that end, we are pleased to announce the introduction of our Integrated Module products (IMOD) family.

``The IMOD family is based on the integration of multiple silicon devices, manufactured on an organic laminate substrate and encapsulated with industry standard plastic encapsulating materials providing suitability of use in industrial, extended, and hi-reliability (military) markets, with target applications including diagnostic imaging arrays, core memory, high density/multi-port arrays, digital signal processor memory, and high end data/video streaming servers. We anticipate production shipments to begin in early 2009,'' concluded Mr. Volz.

``Safe Harbor'' Statement under the Private Securities Litigation Reform Act of 1995: Any statements in this press release regarding expectations of future events are ``forward-looking statements'' involving risks and uncertainties, including, but not limited to, market acceptance risks, the effect of economic conditions and shifts in supply and demand, the impact of competitive products and pricing, product development, commercialization and technological difficulties, availability of capital, and capacity and supply constraints. Please refer to the Management Discussion and Analysis of Financial Condition and Results of Operations (MD&A) for a discussion of risks in the most recent LOGIC Devices Annual Report on Form 10-K and the quarterly report under Form 10-Q.

LOGIC Devices Incorporated, an ISO 9001:2000 registered company, is focused on developing high-performance, digital silicon and integrated product solutions for high-performance, power-sensitive applications. Our products meet or exceed the requirements for broadcast video, medical imaging, industrial-embedded computer, surveillance, and instrumentation, as well as telecommunications companies. More information about LOGIC Devices and its products is available at http://www.logicdevices.com.

  FINANCIAL HIGHLIGHTS:

                     Quarter ended:            Fiscal year ended:
              --------------------------   ---------------------------
                09/30/08      09/30/07       09/30/08       09/30/07
              ------------  ------------   ------------   ------------


 Net revenues $    789,400  $    958,700   $  3,352,100   $  4,686,400

 Operating
  loss        $ (1,304,600) $   (131,100)  $ (3,891,100)  $ (1,518,500)

 Net loss     $ (1,293,700) $   (155,400)  $ (3,965,000)  $ (1,487,700)

 Basic loss
  per share   $      (0.19) $      (0.03)  $      (0.58)  $      (0.22)

 Basic wtd-
  avg common
  shares         6,814,438     6,808,355      6,814,313      6,814,438

 Inventory    $  1,424,700  $  4,388,700   $  1,424,700   $  4,388,700

          LOGIC Devices Incorporated
          Bill Volz, President
          Kimiko Milheim, CFO
          (408) 542-5400