8-K

                       SECURITIES AND EXCHANGE COMMISSION
                             Washington, D.C. 20549

                                    FORM 8-K

                                 Current Report
                     Pursuant to Section 13 or 15(d) of the
                         Securities Exchange Act of 1934

         Date of Report (Date of earliest event reported): June 3, 2004

                                    HEI, Inc.
               (Exact name of Registrant as Specified in Charter)

         Minnesota                      0-10078                  41-0944876
- ----------------------------          -----------            -------------------
(State or Other Jurisdiction          (Commission              (IRS Employer
    of Incorporation)                 File Number)           Identification No.)

         PO Box 5000, 1495 Steiger Lake Lane, Victoria, Minnesota 55386
         --------------------------------------------------------------
          (Address of Principal Executive Offices, including Zip Code)

                                 (952) 443-2500
              ----------------------------------------------------
              (Registrant's telephone number, including area code)

                                       N/A
          -------------------------------------------------------------
          (Former name or former address, if changed since last report)



Item 5. OTHER EVENTS.

      On June 3, 2004, HEI, Inc. ("the Company") today announced the recovery of
an additional $521,000 from its former CEO.

A copy of the press release is attached as Exhibit 99.1 and incorporated herein
by reference.

Item 7. FINANCIAL STATEMENTS AND EXHIBITS.

      (a)   Financial Statements.

            Not Applicable.

      (b)   Pro Forma Financial Information.

            Not Applicable.

      (c)   Exhibits:

            99.1  Press Release dated June 3, 2004, regarding the recovery of an
                  additional $521,000 from its former CEO.

                                   SIGNATURES

      Pursuant to the requirements of the Securities Exchange Act of 1934, the
Registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.

                                               HEI, INC.

Dated:  June 3, 2004                           By /s/ Douglas Nesbit
                                                  ----------------------------
                                                  Douglas Nesbit
                                                  Its: Chief Financial Officer



                                  Exhibit Index

99.1 Press Release dated June 3, 2004, regarding the recovery of an additional
$521,000 from its former CEO.

EX-99.1

                                                                    Exhibit 99.1

          HEI, Inc. Recovers an Additional $521,000 From Former CEO

    MINNEAPOLIS, June 3 /PRNewswire-FirstCall/ -- HEI, Inc. (Nasdaq: HEII)
( http://www.heii.com ) today announced that it has collected an additional
$521,000 towards its judgment against its former Chief Executive Officer,
President and Chairman, and a current director, Anthony J. Fant.  Previously,
HEI was granted total judgments of approximately $2,250,000 against Mr. Fant
in HEI's lawsuit for non-payment of promissory note, conversion, breach of
fiduciary duty, unjust enrichment, corporate waste, and costs associated with
the forensic audit into Mr. Fant's activities.  To date, HEI has collected
approximately $1,400,000 of its total judgment against Mr. Fant.  The
additional $521,000 will be accounted for as income in HEI's 4th quarter of FY
2004, which ends in August 2004.
    The additional $521,000 was recovered through the court-ordered
liquidation of Mr. Fant's shares of HEI stock.  A registration statement for
the resale of these shares was filed with the Securities and Exchange
Commission on May 31, 2004.  It is believed that Mr. Fant no longer owns any
shares in HEI. Although Mr. Fant still maintains the title of a director of
HEI, he has not participated in any board activities since June 2003.  In
addition, the board of directors of HEI has repeatedly requested the
resignation of Mr. Fant from the board, but to date this request has been
ignored.
    HEI continues to pursue collection on the judgments in the normal course
in Minnesota and other states, where it is believed that Mr. Fant may have
non-exempt assets.  There is no assurance that HEI will be able to collect the
full amount of its judgments against Mr. Fant.
    HEI, Inc. designs, develops and manufactures microelectronics, subsystems,
systems, connectivity and software solutions for OEMs engaged in the medical
equipment and medical device, hearing, communications and RFID industries. HEI
provides its customers with a single point of contact that can take an idea
from inception to a fully functional, cost effective and manufacturable
product utilizing innovative design solutions and by the application of state-
of-the-art materials, processes and manufacturing capabilities.

     Headquarters & Microelectronics      PO Box 5000, 1495 Steiger Lake Lane,
      Operations                           Victoria, MN  55386
     Advanced Medical Operations          4801 North 63rd Street,
                                           Boulder, CO  80301
     High Density Interconnect            610 South Rockford Drive,
      Operations                           Tempe, AZ  85281
     RF Identification and Smart Card     1546 Lake Drive West,
      Operations                           Chanhassen, MN  55317

    FORWARD-LOOKING INFORMATION
    Information in this news release, which is not historical, includes
forward-looking statements made pursuant to the safe harbor provisions of the
Private Securities Litigation Reform Act of 1995.  Statements contained in
this press release, including the recognition of the amount collected as well
as the Company's efforts to collect on the judgments, are forward-looking
statements.  All of such forward-looking statements involve risks and
uncertainties including, without limitation, continuing adverse business and
market conditions, the ability of HEI to secure and satisfy customers, the
availability and cost of materials from HEI's suppliers, HEI's ability to
satisfy financial or other obligations or covenants set forth in its banking
agreements, adverse competitive developments, change in or cancellation of
customer requirements, the integration of the Advanced Medical Operations,
collection of outstanding debt, HEI's ability to succeed on the merits and
defend against litigation, and other risks detailed from time to time in HEI's
SEC filings. HEI undertakes no obligation to update these statements to
reflect ensuing events or circumstances, or subsequent actual results.

SOURCE  HEI, Inc.
    -0-                             06/03/2004
    /CONTACT:  Mack V. Traynor, CEO, or Douglas J. Nesbit, CFO, both of HEI,
Inc., +1-952-443-2500/
    /Web site:  http://www.heii.com /
    (HEII)

CO:  HEI, Inc.
ST:  Minnesota
IN:  CPR CSE MTC
SU:  LAW