Ceradyne, Inc. Announces Common Stock Repurchase Program

COSTA MESA, CA, Aug 31 (MARKET WIRE) --
Ceradyne, Inc. (NASDAQ: CRDN) announced today that its Board of Directors
has authorized the repurchase of up to $100 million of Ceradyne common
stock in open market transactions, including block purchases, or in
privately negotiated transactions. This authorization is in addition to
the approximately $7.5 million remaining under the Company's $100 million
stock repurchase program authorized in March 2008.

The stock repurchase program does not include specific price targets or
timetables and may be suspended or terminated at any time prior to
completion. Ceradyne intends to use cash on hand to acquire the shares.
Repurchased shares will be cancelled.

Joel P. Moskowitz, Ceradyne's chairman and chief executive officer,
commented: "We believe a repurchase program is an appropriate use of our
cash and underscores our belief in the long-term value of our stock. At
our current trading levels, our Board of Directors believes that Ceradyne
stock is an attractive investment for Ceradyne and its shareholders."

About Ceradyne, Inc.
Ceradyne develops, manufactures, and markets
advanced technical ceramic products and components for defense,
industrial, energy, automotive/diesel, and commercial applications. In
many high performance applications, products made of advanced technical
ceramics meet specifications that similar products made of metals,
plastics or traditional ceramics cannot achieve. Advanced technical
ceramics can withstand extremely high temperatures, combine hardness with
light weight, are highly resistant to corrosion and wear, and often have
excellent electrical capabilities, special electronic properties and low
friction characteristics. Additional information about the Company can be
found at http://www.ceradyne.com.

Forward-Looking Statements
Except for the historical information
contained herein, this press release contains forward-looking statements
regarding future events and the future performance of Ceradyne that
involve risks and uncertainties that could cause actual results to differ
materially from those projected. Words such as "anticipates," "believes,"
"plans," "expects," "intends," "future," and similar expressions are
intended to identify forward-looking statements. These risks and
uncertainties are described in the Company's Annual Report on Form 10-K
for the fiscal year ended December 31, 2010 and its Quarterly Reports on
Form 10-Q as filed with the U.S. Securities and Exchange Commission.

Jerrold J. Pellizzon
Chief Financial Officer
(714) 549-0421, x8262

Phil Bourdillon/Gene Heller
Silverman Heller Associates
(310) 208-2550

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