LOGIC DEVICES REPORTS PROFIT IN THIRD QUARTER OF FISCAL 2001

SUNNYVALE, Calif. (July 26, 2001) - LOGIC Devices Incorporated (Nasdaq: LOGC), today announced financial results for the three months ended July 1, 2001.

Revenues for the third quarter of fiscal 2001 were $2,490,000 compared to $2,990,000 reported for the same quarter in fiscal 2000. Earnings for the fiscal 2001 quarter were $13,800 ($0.00 per share) compared to $146,900 ($0.02 per share) reported in the same quarter of fiscal 2000. However, the revenues for the third quarter of fiscal 2001 were down by only two percent compared to the revenues of the second fiscal 2001 quarter, while earnings actually increased by 16 percent.

"Consistent with our industry, we experienced a challenging June quarter," stated Bill Volz, president of LOGIC Devices. "Although general demand is weak, we continue to enjoy certain special situation opportunities that stabilized our revenue far more than the steep declines reported by other semiconductor companies, and also allowed us to maintain a profitable bottom line."

"With confidence that these special opportunities will carry us through this industry down cycle, we have prioritized increasing our R&D efforts in anticipation of the inevitable positive rebound. As a result of this emphasis on new product development, R&D expenditures increased 24 percent in the third quarter of fiscal 2001 compared to the same quarter of fiscal 2000. Had we maintained a consistent level of R&D expenditures, earnings for the third quarter of fiscal 2001 would have been comparable to fiscal 2000," concluded 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.

Established in 1983, LOGIC Devices develops and markets high-performance integrated circuits. The Company's products are utilized in high-performance telecommunications and networks, and to perform digital video processing in high definition broadcast studio equipment, medical diagnostic imaging systems, and smart weapons systems.