Exhibit 99.1

                      HEI ANNOUNCES MANAGEMENT REALIGNMENT

     -- Operating Unit Leadership Team Established

     -- Names Director of Quality and Regulatory

     -- Resignation of Vice President of Operations

    MINNEAPOLIS, Jan. 27 /PRNewswire-FirstCall/ -- HEI, Inc. (Nasdaq: HEII) (
http://www.heii.com ) announced today several changes to its senior management
team which are designed to enhance customer responsiveness, operational
efficiency and profitability. Under the changes announced today, HEI will create
the position of General Manager for each of its existing operating units. The
General Managers will now report directly to the President and CEO.

    The newly named Operating Unit General Managers are: Mark Stephenson, GM
Advanced Medical Operations; Len Klun, GM Microelectronics Operations; Gary
Homan, GM High Density Interconnect Operations; and Scott Stole, VP RFID
Operations. In an additional management change, HEI named Andy Snow to the newly
created position of Corporate Director of Quality and Regulatory. "Each of these
individuals has demonstrated superior leadership capabilities at HEI for years
and their promotion into these positions represent a natural progression for
them and the Company," stated Mack V. Traynor, President and CEO. "I am
tremendously excited about the management team that will lead our business
operations and look forward to working with them to ensure the continued success
of HEI, Inc.," continued Mr. Traynor.

    In an unrelated matter, James C. Vetricek, Vice President of Operations
advised HEI that he will be leaving HEI, Inc in mid February to pursue other
ventures outside of HEI and the EMS industry.

    "We are sorry to lose Jim. He made an outstanding contribution to HEI's
drive towards operational excellence. Jim advised us that his decision is based
solely on family considerations and HEI has planned for an orderly transition
that does not include replacing him," stated Mr. Traynor.

    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 industrial markets.
HEI provides its customers with a single point of contact that can take an idea
from inception to a fully functional, cost effective and manufacturability
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, Tempe, AZ
     Operations                          85281
    RF Identification Operations        1546 Lake Drive West, 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 implementation of business strategies, growth of
specific markets, and operational expectations. 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, our ability to satisfy financial or other obligations or covenants
set forth in our banking agreements, adverse competitive developments, change in
or cancellation of customer requirements, collection of outstanding debt, and
other risks detailed from time to time in HEI's SEC filings. We undertake no
obligation to update these statements to reflect ensuing events or
circumstances, or subsequent actual results.

SOURCE  HEI, Inc.
    -0-                             01/27/2006
    /CONTACT: Mack V. Traynor, CEO, or Timothy Clayton, CFO, both of HEI,
+1-952-443-2500/
    /Web site:  http://www.heii.com /
    (HEII)