SL Industries Fourth Quarter & Year End Results, 2003

March 30, 2004

SL Industries, Inc. Announces Fourth Quarter and Year End Results for 2003

MT. LAUREL, NEW JERSEY, March 30, 2004. . . SL INDUSTRIES, INC. (AMEX & PHLX:SLI) announced today that its net income for the year ended December 31, 2003 was $1,320,000, or $.22 per diluted share. Net income for the year included a loss from discontinued operations, after tax, of $2,422,000, or $.41 per diluted share. Net income for the year from continuing operations was $3,742,000, or $.63 per diluted share. Discontinued operations include the businesses of three former subsidiaries of the Company: SL Waber, Inc., which was sold in September 2001, Elektro-Metall Export GmbH, which was sold in January 2003 (this sale was recorded in 2002) and SL Surface Technologies, Inc., which was sold in November 2003.

For the year ended December 31, 2002, net loss was $470,000, or $.08 per diluted share. The net loss for 2002 included a loss from discontinued operations of $1,271,000, or $.22 per diluted share. Net income from continuing operations for 2002 was $801,000, or $.14 per diluted share.

Net sales from continuing operations for 2003 was $105,284,000, compared with net sales from continuing operations for 2002 of $107,912,000.

Generally, the Company’s operating segments recorded improved results, as compared to 2002. The one exception was RFL Electronics, which experienced decreases in sales of teleprotection and
protective relaying equipment, as electric utilities postponed procurement and capital investment decisions pending passage of federal energy legislation. RFL Electronics recorded in 2003 net sales of $23,388,000, with income from operations of $2,236,000, compared with net sales of $27,239,000 and income from operations of $3,435,000 for 2002. The Power Electronics Group performed well: Condor D.C. Power Supplies recorded in 2003 net sales of $39,450,000, with income from operations of $3,377,000, compared with net sales of $38,058,000 and income from operations of $1,457,000 for 2002; and Teal Electronics recorded in 2003 net sales of $20,393,000, with income from operations of $2,671,000, compared with net sales of $19,608,000 and income from operations of $1,873,000 for 2002. SL Montevideo Technologies recorded in 2003 net sales of $22,053,000, with income from operations of $1,957,000, compared with net sales of $23,007,000 and income from operations of $1,873,000 for 2002. Each of the operating segments generated positive cash flows from operations and had good returns on invested capital.

For the three months ended December 31, 2003, net income was $280,000, or $.05 per diluted share. Net loss from discontinued operations for the period was $1,003,000, or $.16 per diluted share. Net income from continuing operations for the period was $1,283,000, or $.21 per diluted share.

For the three months ended December 31, 2002, net loss was $974,000, or $.17 per diluted
share. Net loss from discontinued operations for the period was $1,648,000, or $.28 per diluted share. Net income from continuing operations for the period was $674,000, or $.11, per diluted share.

Net sales from continuing operations for the three months ended December 31, 2003 were $26,404,000, compared with net sales from continuing operations of $27,111,000 for the same period last year.

Warren Lichtenstein, Chairman and Chief Executive Officer of SL Industries, commented, “SL Industries returned to profitability in 2003. Two years ago, we announced that the Company had started the process of implementing several initiatives to improve our performance, strengthen the balance sheet and increase shareholder value. I am pleased to report that we have achieved virtually all of our objectives.”

“SL completed the restructuring plan we put in place in early 2001 with the sale of its subsidiary, SL Surface Technologies, to that subsidiary’s management team in the fourth quarter of 2003. SL Surface Technologies was a non-core business that had incurred operating losses and negative cash flows for the past four years. Additionally, we established the Power Electronics Group, which is comprised of Condor D.C. Power Supplies and Teal Electronics. We did this in order to improve group operations and create a larger platform to pursue strategic relationships with customers and vendors. As a result of these successes, we have promoted Jim Taylor to Chief Operating Officer of SL Industries. Jim was previously the President of the Power Electronics Group.”

Lichtenstein continued, “Throughout the organization a new emphasis has been placed on improving productivity and customer satisfaction, as well as continued profitable growth and greater
returns on invested capital. Our 2004 business plan is based on these priorities.”

“In 2003, SL was successful in reducing its corporate and other expenses by $1,963,000, to
$3,563,000. Corporate expenses include legacy obligations relating to litigation expenses and
retirement liabilities, as well as public reporting costs. The corporate expenses in 2002 also included special charges of $1,834,000, which were not incurred during 2003. SL continues to make progress to reduce and resolve several of its legacy issues. In March 2004, we received $4 million from American Power Conversion, to settle our longstanding patent infringement litigation.”

“The Company’s improved performance has significantly strengthened its financial position. Over the past year bank debt was reduced by approximately $15 million, to $2.9 million at December 31, 2003. Today, the Company maintains a cash balance of $6.5 million, with outstanding bank debt of
approximately $2.7 million.”

Lichtenstein concluded, “At this juncture, SL Industries is financially strong; and we are poised to further increase the value of our Company. With our initial operational and restructuring plans achieved, the Company can now selectively increase its product lines and penetrate new markets.
Additionally, the Board of Directors has authorized management to utilize part of our liquidity to
repurchase shares of the Company’s common stock, as buying opportunities arise. We look forward to further improving the Company’s performance in the year ahead, and reporting our progress to our
shareholders.”

About SL Industries, Inc.

SL Industries, Inc. designs, manufactures and markets power electronics, power motion, power protection, teleprotection and communications equipment and systems that is used in a variety of medical, aerospace, computer, datacom, industrial, telecom, transportation and electric power utility applications. For more information about SL Industries, Inc. and its products, please visit the Company's web site at www.slindustries.com.

Forward-Looking Statements

This press release contains statements that are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements are based on current expectations, estimates and projections about the Company's business based, in part, on assumptions made by management. These statements are not guarantees of future performance and involve risks, uncertainties and assumptions that are difficult to predict. Therefore, actual outcomes and results may differ materially from what is expressed or forecasted in such forward-looking statements due to numerous factors, including those described above and the following: the effectiveness of the cost reduction initiatives undertaken by the Company, changes in demand for the Company's products, product mix, the timing of customer orders and deliveries, the impact of competitive products and pricing, constraints on supplies of critical components, excess or shortage of production capacity, difficulties encountered in the integration of acquired businesses and other risks discussed from time to time in the Company's Securities and Exchange Commission filings and reports. In addition, such statements could be affected by general industry and market conditions and growth rates, and general domestic and international economic conditions. Such forward-looking statements speak only as of the date on which they are made, and the Company does not undertake any obligation to update any forward-looking statement to reflect events or circumstances after the date of this release.

Source: SL Industries, Inc.