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Pro-Dex Inc. Subsidiary AnnouncesExpansion.

BOULDER, Colo.--(BUSINESS WIRE)--Dec. 10, 1997--Pro-Dex Inc. (Nasdaq:PDEX) Wednesday announced that its Biotrol subsidiary has signed a lease effective Jan. 1, 1998, for an additional 6,667 square feet of manufacturing and office space.

That brings the total square footage for the Louisville, Colo., operation to 21,650 square feet.

According to Dan Reinhardt, general manager, of Biotrol, "the opportunity to expand into contiguous space will allow for rapid growth and a more efficient operation." Biotrol expanded its sales force to 16 representatives in September and the impact of the larger sales force, as well as the introduction of three new products has increased revenue by approximately 40 percent over the previous year.

In addition, Biotrol also has taken an option on up to 9,000 square feet of manufacturing space and up to 1,600 square feet of additional office space.

Pro-Dex is a Colorado-based holding company with the following wholly owned subsidiaries: Micro Motors Inc., located in Santa Ana, Calif., is the manufacturer of miniature pneumatic (air) motors and handpieces used in dental, medical and industrial applications; Oregon Micro Systems Inc., located in Beaverton, Ore., manufactures motion control circuit boards; Biotrol International Inc., located in Louisville, Colo., is a manufacturer and marketer of a full line of infection control and preventative products specifically designed for the dental care provider; Challenge Products Inc. manufactures preventative care products, including a complete line of fluoride gels and polishing pastes that are marketed through Biotrol and other private label distributors.

NOTE: For further information about Pro-Dex, visit the company's Web site at http://www.PDEX.com . -0-

Except for the historical information contained herein, the matters discussed in this release are forward-looking statements that involve risks and uncertainties that could cause actual results to differ materially from those projected. These include the timely development and acceptance of new products, the impact of competitive products and pricing, and other risks detailed frequently in Pro-Dex's Securities and Exchange Commission reports, including the report on Form 10-KSB for the year ended June 30, 1997.

CONTACT: Pro-Dex Inc., Boulder

Kent Searl, 303/443-6136

or

Kehoe, White, Savage & Co. Inc.

James K. White, 562/437-0655

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