Full Financial Performance Will Be Released on January 27

HUNT VALLEY, Md., Jan. 15 /PRNewswire-FirstCall/ -- TESSCO Technologies (Nasdaq: TESS), a leading supplier of integrated product plus supply chain solutions(TM) to the wireless communications industry, today announced its third quarter revenue performance. Earnings will be released on January 27.

Total revenues were $65.0 million for the third quarter, equaling revenue for the same period last year. These results were achieved in the face of the recovery and rebuilding efforts required as a result of the October 12 public water main burst that severely damaged TESSCO's central sales, support, data and phone center. The event delayed or prevented the launch and effectiveness of several growth-driving marketing and sales initiatives. The Company feels these initiatives would have produced continued sequential growth in new customers, new product offerings, revenues and profits. In addition, results were negatively affected by impaired phone, fax and TESSCO.com(R) service, which prevented many customers from placing orders and contacting the Company concerning their business needs.

The Company expects to be profitable this quarter; however, due to the lack of revenue growth, earnings per share will not meet the Company's previous estimates. In the prior Business Outlook, it was estimated that third quarter performance would approximate that of the second quarter of fiscal 2003.

The Company has incurred significant extra expense in order to maintain business continuity and will incur other significant costs in rebuilding its facilities. The Company is recording these extra expenses, net of insurance reimbursements as an insurance receivable, a current asset on its balance sheet. Thus far, the cash outlay related to disaster recovery has been funded primarily by insurance reimbursements and supplemented by cash flow from operations. The Company's balance sheet remains strong and no borrowings on its revolving line of credit occurred during the quarter. While the final outcome of the related insurance claims will not be known for some time, the Company continues to believe that insurance proceeds, less minimal deductibles, will be adequate to cover short term recovery costs and the costs related to the rebuilding of its facilities.

In addition, the Company will file a business interruption insurance claim to recover lost profits caused by the disaster. As the timing and amount of future business interruption claims is uncertain, the Company is not able to estimate or accrue an amount at this time.

Robert Barnhill, Jr., chairman and chief executive officer, said:

"I am very pleased with TESSCO's response and performance despite the devastation to our operational core. While the loss and related recovery effort delayed our initiatives to continue to grow revenues and profits, we feel we are now tracking to regain our momentum. Today we have temporarily relocated our displaced team members and operations are almost back to normal. We have begun rebuilding and pursuing our aggressive marketing and sales programs. TESSCO's reputation and credibility with our customers is stronger than ever.

"Because of the efforts, commitment and the `make it happen' attitude of the TESSCO people and outside partners, TESSCO accomplished the impossible. I extend special gratitude to this group whose prowess and devotion were capable of turning the tide of the disaster."

A full earnings release will be made on January 27 and a conference call to discuss third quarter financial performance is scheduled for Tuesday, January 28, at 10 am ET (7 am PT). Participant call-in, webcast and replay information will be released during the week of January 20, 2003.

About TESSCO

Welcome to TESSCO Technologies Incorporated: "the vital link to a wireless world"(TM). TESSCO links customers with integrated product plus supply chain solutions configured from product choices made by world-class manufacturers. TESSCO is the leader in supplying Your Total Source(R) solutions to the professionals that design, build, run, maintain and use wireless voice, data, messaging, location tracking and Internet systems. While improving the way its customers do business, TESSCO presents, markets, sells, and supports manufacturers' products as a part of a total customer solution, thus providing a cost-effective channel to a broad and diverse customer base. Our operational platform providing Knowledge, Configuration, Delivery & Control streamlines the supply chain process, lowers customers' total inventories and costs by providing guaranteed availability and complete, on-time delivery to the point of use. TESSCO is in the vital link(R) position between buyers and manufacturers.

TESSCO began its "total source" operations in 1982, and completed its public offering (Nasdaq: TESS) in 1994. Today, TESSCO operates 24 hours a day, seven days a week, under ISO 9001:2000 registration. TESSCO's Global Logistics Center and Solutions Development Center in Hunt Valley, Maryland and Americas Logistics Center in Reno, Nevada configure orders for complete, on-time and error-free delivery throughout the world. Its solution offerings, consisting of over 34,000 items from over 400 manufacturers, fall within the broad categories of network infrastructure, mobile devices and accessories and test and maintenance products. TESSCO currently serves approximately 15,000 business customers and 48,000 consumers per quarter, including a diversified mix of cellular, PCS and paging carriers, wireless ISP, fixed broadband and mobile dispatch operators, infrastructure site owners, contractors and integrators, wireless dealers, value-added resellers, retailers, self- maintained users and consumers.

This press release may contain a number of forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements may generally be identified by the use of the words "may," "will," "expects," "anticipates," "believes," "estimates," and similar expressions and involve a number of risks and uncertainties. For a variety of reasons, actual results may differ materially from those described in any such forward-looking statement. Consequently, the reader is cautioned to consider all forward-looking statements in light of the risks to which they are subject. SOURCE TESSCO Technologies Incorporated

CONTACT: Robert C. Singer, TESSCO Technologies Incorporated, +1-410-229-1378 or singer@tessco.com