HERLEY ACQUIRES INNOVATIVE CONCEPTS, INC.
                           IN AN ALL CASH TRANSACTION

Lancaster,  PA April 13, 2005. Herley Industries,  Inc. (NASDAQ:HRLY)  announced
today that it has acquired Innovative Concepts, Inc. ("ICI"),  McLean, Virginia.
ICI  is an  ISO  9001-2001;  CMMI  Level  3  company.  The  purchase  price  was
approximately $20,000,000.

Sinceits  inception in 1985, ICI has developed a successful  heritage  providing
wireless  communications  technology and real-time  embedded systems,  software,
hardware and high speed  processing  in support of the defense  industry.  ICI's
core  competencies  are directly  applicable to the increasing  defense industry
requirements for tactical communications and data processing.

Lee N.  Blatt,  Chairman  of Herley,  stated,  "The  acquisition  of  Innovative
Concepts  completes our strategy to accumulate the technology that we believe is
essential  for Herley to  successfully  compete in the  defense  industry of the
future.  As the world's only super power,  the previous  U.S.  policy of massive
retaliation and mutually assured destruction is not the exclusive strategy to be
followed in today's  environment.  Rather,  active  surveillance  of enemies and
identifying  enemies  yet unknown  are the  military  tools  needed  today.  The
military  requirements  of the future  involve  unmanned  forces  equipped  with
precision weaponry with technology that detects and identifies, in real-time, to
eliminate terrorist threats.

"Herley has working  relationships with companies that provide us with access to
unmanned platforms. Our recent acquisition of Micro Systems and the strength and
market  acceptance  of their  command  & control  systems,  when  combined  with
Herley's  in-house  capabilities,  create a full line of  product  solutions  to
control unmanned platforms.

"The  millimeter  wave  technology  Herley  acquired last week when we reached a
licensing  agreement  with  Lockheed  Martin and  Xytrans  will give  Herley the
capability to be an active participant in lightweight, precision guided weaponry
that  will be on  next-generation  missiles  as well as a  variety  of  unmanned
platforms.



"The acquisition of Innovative  Concepts is the last link in the strategic chain
that will enable  Herley to provide  the data links  between  the  vehicle,  the
ground  stations and the long and growing list of diverse  electronic  equipment
that will need the products Herley now has to offer.

"The  acquisition  of ICI is an  excellent  fit  for  Herley  and  will  provide
immediate benefits for both business operations. Herley has strong relationships
with the U.S.  Navy and Air Force while ICI has strong ties with the U.S.  Army.
Herley has  significant  content on fixed-wing  platforms,  with ICI involvement
focused on rotary-wing  aircraft.  Herley is a hardware oriented company and ICI
is a software driven company.

"With the acquisition of Innovative Concepts  completed,  Herley now has a staff
of more than 1000 people,  including the addition of over 70 software  engineers
from  Innovative  Concepts.  We expect the  addition of this  talented  group to
increase our  visibility  and elevate Herley to a higher level of involvement in
the defense industry.

"Innovative Concepts had revenues in their last fiscal year of approximately $28
million.  Bookings are increasing and their business is growing.  The company is
profitable, and we expect this acquisition will be accretive.

"The tools for Herley to successfully pursue business  opportunities in the 21st
century are in hand.  We have a good track  record of  efficiently  assimilating
acquisitions;  and,  with the  complementary  characteristics  inherent in these
companies, we expect this success to continue."

Herley Industries,  Inc. is a leader in the design,  development and manufacture
of  microwave  technology  solutions  for the  defense,  aerospace  and  medical
industries  worldwide.  Based in Lancaster,  PA,  Herley has nine  manufacturing
locations and more than 1000 employees. Additional information about the company
can be found on the Internet at www.herley.com.



For information at Herley contact:
Tel:  (717)  735-8117
Peg Guzzetti, Investor Relations
www.herley.com

Safe Harbor Statement - Except for the historical  information contained herein,
this  release may contain  forward-  looking  statements.  Such  statements  are
inherently  subject to risks and  uncertainties.  The  Company's  results  could
differ  materially  based on  various  factors,  including,  but not  limited to
cancellation  or  deferral  of  customer  orders,  difficulties  in  the  timely
development  of  new  products,   difficulties   in   manufacturing,   increased
competitive pressures, and general economic conditions.