diff --git a/docs/guides/java-integration.md b/docs/guides/java-integration.md
index 0ef22b205..5e589b2d3 100644
--- a/docs/guides/java-integration.md
+++ b/docs/guides/java-integration.md
@@ -77,6 +77,52 @@ try {
 }
 ```
 
+### Handling Script Exit
+
+When a Perl script calls `exit()`, PerlOnJava throws a `PerlExitException` instead of
+terminating the JVM. This allows your Java application to handle script completion
+gracefully and continue execution.
+
+Note: Like in standard Perl, `exit()` is not caught by Perl's `eval{}` blocks - it
+always propagates to the Java caller.
+
+```java
+import org.perlonjava.runtime.runtimetypes.PerlExitException;
+
+ScriptEngine engine = manager.getEngineByName("perl");
+
+try {
+    engine.eval("print 'Processing...'; exit 0;");
+} catch (ScriptException e) {
+    if (e.getCause() instanceof PerlExitException exitEx) {
+        System.out.println("Script exited with code: " + exitEx.getExitCode());
+        // Continue with other work...
+    } else {
+        throw e;
+    }
+}
+```
+
+This is particularly important when running scripts like ExifTool that call `exit()`
+after completing their work:
+
+```java
+import org.perlonjava.app.cli.ArgumentParser;
+import org.perlonjava.app.cli.CompilerOptions;
+import org.perlonjava.app.scriptengine.PerlLanguageProvider;
+import org.perlonjava.runtime.runtimetypes.PerlExitException;
+
+String[] scriptArgs = new String[]{"path/to/exiftool", "-ver"};
+CompilerOptions options = ArgumentParser.parseArguments(scriptArgs);
+
+try {
+    PerlLanguageProvider.executePerlCode(options, true);
+} catch (PerlExitException e) {
+    System.out.println("ExifTool exited with code: " + e.getExitCode());
+    // Script completed successfully, continue processing...
+}
+```
+
 ## Using PerlOnJava Directly
 
 For more control, you can use PerlOnJava's internal API directly.
diff --git a/src/main/java/org/perlonjava/app/cli/Main.java b/src/main/java/org/perlonjava/app/cli/Main.java
index 79da90829..9600e299f 100644
--- a/src/main/java/org/perlonjava/app/cli/Main.java
+++ b/src/main/java/org/perlonjava/app/cli/Main.java
@@ -3,6 +3,7 @@
 import org.perlonjava.app.scriptengine.PerlLanguageProvider;
 import org.perlonjava.runtime.runtimetypes.ErrorMessageUtil;
 import org.perlonjava.runtime.runtimetypes.GlobalVariable;
+import org.perlonjava.runtime.runtimetypes.PerlExitException;
 import org.perlonjava.runtime.runtimetypes.RuntimeScalar;
 
 import java.util.Locale;
@@ -49,6 +50,9 @@ public static void main(String[] args) {
             if (rawChildStatus > 0 && rawChildStatus <= 255) {
                 System.exit(rawChildStatus);
             }
+        } catch (PerlExitException e) {
+            // Perl's exit() throws PerlExitException - convert to real System.exit() for CLI
+            System.exit(e.getExitCode());
         } catch (Throwable t) {
             if (parsedArgs.debugEnabled) {
                 // Print full JVM stack
diff --git a/src/main/java/org/perlonjava/app/scriptengine/PerlLanguageProvider.java b/src/main/java/org/perlonjava/app/scriptengine/PerlLanguageProvider.java
index 37dc7d400..bd7119461 100644
--- a/src/main/java/org/perlonjava/app/scriptengine/PerlLanguageProvider.java
+++ b/src/main/java/org/perlonjava/app/scriptengine/PerlLanguageProvider.java
@@ -286,6 +286,10 @@ private static RuntimeList executeCode(RuntimeCode runtimeCode, EmitterContext c
                 System.out.println(errorMessage);
                 System.out.println("END failed--call queue aborted.");
             }
+        } catch (PerlExitException e) {
+            // PerlExitException already ran END blocks and closed handles in WarnDie.exit()
+            // Just re-throw for the caller to handle
+            throw e;
         } catch (Throwable t) {
             if (isMainProgram) {
                 runEndBlocks();
diff --git a/src/main/java/org/perlonjava/backend/bytecode/BytecodeInterpreter.java b/src/main/java/org/perlonjava/backend/bytecode/BytecodeInterpreter.java
index 1ebfc94a2..ab0f7e853 100644
--- a/src/main/java/org/perlonjava/backend/bytecode/BytecodeInterpreter.java
+++ b/src/main/java/org/perlonjava/backend/bytecode/BytecodeInterpreter.java
@@ -1590,6 +1590,9 @@ public static RuntimeList execute(InterpretedCode code, RuntimeArray args, int c
                     String javaLine = (st.length > 0) ? " [java:" + st[0].getFileName() + ":" + st[0].getLineNumber() + "]" : "";
                     String errorMessage = "ClassCastException" + bcContext + ": " + e.getMessage() + javaLine;
                     throw new RuntimeException(formatInterpreterError(code, errorPc, new Exception(errorMessage)), e);
+                } catch (PerlExitException e) {
+                    // exit() should NEVER be caught by eval{} - always propagate
+                    throw e;
                 } catch (Throwable e) {
                     // Check if we're inside an eval block
                     if (!evalCatchStack.isEmpty()) {
@@ -1604,9 +1607,9 @@ public static RuntimeList execute(InterpretedCode code, RuntimeArray args, int c
                     }
 
                     // Not in eval block - propagate exception
-                    // If it's already a PerlDieException, re-throw as-is for proper formatting
-                    if (e instanceof PerlDieException) {
-                        throw (PerlDieException) e;
+                    // Re-throw RuntimeExceptions as-is (includes PerlDieException)
+                    if (e instanceof RuntimeException re) {
+                        throw re;
                     }
 
                     // Check if we're running inside an eval STRING context
diff --git a/src/main/java/org/perlonjava/runtime/operators/WarnDie.java b/src/main/java/org/perlonjava/runtime/operators/WarnDie.java
index 2f45ba7f5..026ff618c 100644
--- a/src/main/java/org/perlonjava/runtime/operators/WarnDie.java
+++ b/src/main/java/org/perlonjava/runtime/operators/WarnDie.java
@@ -34,10 +34,17 @@ private static Throwable unwrapException(Throwable throwable) {
     }
 
     /**
-     * Catches the exception in an eval-block
+     * Catches the exception in an eval-block.
+     * Note: PerlExitException should NEVER be caught by eval{} - it always propagates.
      */
     public static RuntimeScalar catchEval(Throwable e) {
         e = unwrapException(e);
+        
+        // exit() should never be caught by eval{} - re-throw it
+        if (e instanceof PerlExitException) {
+            throw (PerlExitException) e;
+        }
+        
         RuntimeScalar err = getGlobalVariable("main::@");
 
         if (e instanceof PerlDieException pde) {
@@ -276,23 +283,28 @@ private static RuntimeBase dieEmptyMessage(RuntimeScalar oldErr, String fileName
     }
 
     /**
-     * Terminates the program
+     * Terminates the program by throwing PerlExitException.
+     * <p>
+     * This allows embedded/library use where the calling Java application
+     * can catch the exception and continue execution. The CLI (Main.main())
+     * catches this and converts it to a real System.exit() call.
      *
      * @param runtimeScalar with exit status
-     * @return nothing
+     * @return nothing (always throws)
+     * @throws PerlExitException always thrown with the exit code
      */
     public static RuntimeScalar exit(RuntimeScalar runtimeScalar) {
+        int exitCode = runtimeScalar.getInt();
         try {
             runEndBlocks();
-            RuntimeIO.closeAllHandles();
         } catch (Throwable t) {
             RuntimeIO.closeAllHandles();
             String errorMessage = ErrorMessageUtil.stringifyException(t);
             System.err.println(errorMessage);
-            System.exit(1);
+            throw new PerlExitException(1);
         }
-        System.exit(runtimeScalar.getInt());
-        return new RuntimeScalar(); // This line will never be reached
+        RuntimeIO.closeAllHandles();
+        throw new PerlExitException(exitCode);
     }
 
     /**
diff --git a/src/main/java/org/perlonjava/runtime/perlmodule/JavaSystem.java b/src/main/java/org/perlonjava/runtime/perlmodule/JavaSystem.java
index dd47b5862..91b780388 100644
--- a/src/main/java/org/perlonjava/runtime/perlmodule/JavaSystem.java
+++ b/src/main/java/org/perlonjava/runtime/perlmodule/JavaSystem.java
@@ -167,13 +167,17 @@ public static RuntimeList gc(RuntimeArray args, int ctx) {
     }
 
     /**
-     * Exit the JVM
+     * Exit the JVM by throwing PerlExitException.
+     * <p>
+     * This allows embedded/library use where the calling Java application
+     * can catch the exception and continue execution.
      * Usage: exit(0);
+     *
+     * @throws PerlExitException always thrown with the exit code
      */
     public static RuntimeList exit(RuntimeArray args, int ctx) {
         int status = args.size() > 0 ? (int) args.get(0).getLong() : 0;
-        System.exit(status);
-        return scalarUndef.getList(); // Never reached
+        throw new PerlExitException(status);
     }
 
     /**
diff --git a/src/main/java/org/perlonjava/runtime/runtimetypes/PerlExitException.java b/src/main/java/org/perlonjava/runtime/runtimetypes/PerlExitException.java
new file mode 100644
index 000000000..0c7bd417e
--- /dev/null
+++ b/src/main/java/org/perlonjava/runtime/runtimetypes/PerlExitException.java
@@ -0,0 +1,30 @@
+package org.perlonjava.runtime.runtimetypes;
+
+import java.io.Serial;
+
+/**
+ * Exception used to implement Perl's exit() semantics for embedded/library use.
+ * <p>
+ * When Perl code calls exit(), this exception is thrown instead of calling
+ * System.exit(), allowing the calling Java application to handle the exit
+ * gracefully and continue execution.
+ * <p>
+ * The CLI (Main.main()) catches this exception and converts it to a real
+ * System.exit() call, while library users can catch it and handle the exit
+ * code as needed.
+ */
+public class PerlExitException extends RuntimeException {
+    @Serial
+    private static final long serialVersionUID = 1L;
+
+    private final int exitCode;
+
+    public PerlExitException(int exitCode) {
+        super("exit " + exitCode);
+        this.exitCode = exitCode;
+    }
+
+    public int getExitCode() {
+        return exitCode;
+    }
+}
diff --git a/src/main/java/org/perlonjava/runtime/runtimetypes/RuntimeCode.java b/src/main/java/org/perlonjava/runtime/runtimetypes/RuntimeCode.java
index f20c8edbb..87c9d4ed4 100644
--- a/src/main/java/org/perlonjava/runtime/runtimetypes/RuntimeCode.java
+++ b/src/main/java/org/perlonjava/runtime/runtimetypes/RuntimeCode.java
@@ -1965,10 +1965,12 @@ public RuntimeList apply(RuntimeArray a, int callContext) {
             }
         } catch (InvocationTargetException e) {
             Throwable targetException = e.getTargetException();
-            if (!(targetException instanceof RuntimeException)) {
-                throw new RuntimeException(targetException);
+            if (targetException instanceof RuntimeException re) {
+                throw re;
             }
-            throw (RuntimeException) targetException;
+            throw new RuntimeException(targetException);
+        } catch (RuntimeException e) {
+            throw e;
         } catch (Throwable e) {
             throw new RuntimeException(e);
         }
@@ -2037,10 +2039,12 @@ public RuntimeList apply(String subroutineName, RuntimeArray a, int callContext)
             }
         } catch (InvocationTargetException e) {
             Throwable targetException = e.getTargetException();
-            if (!(targetException instanceof RuntimeException)) {
-                throw new RuntimeException(targetException);
+            if (targetException instanceof RuntimeException re) {
+                throw re;
             }
-            throw (RuntimeException) targetException;
+            throw new RuntimeException(targetException);
+        } catch (RuntimeException e) {
+            throw e;
         } catch (Throwable e) {
             throw new RuntimeException(e);
         }
diff --git a/src/test/java/org/perlonjava/PerlExitExceptionTest.java b/src/test/java/org/perlonjava/PerlExitExceptionTest.java
new file mode 100644
index 000000000..0dd294e6d
--- /dev/null
+++ b/src/test/java/org/perlonjava/PerlExitExceptionTest.java
@@ -0,0 +1,104 @@
+package org.perlonjava;
+
+import org.junit.jupiter.api.BeforeEach;
+import org.junit.jupiter.api.Tag;
+import org.junit.jupiter.api.Test;
+import org.perlonjava.app.cli.CompilerOptions;
+import org.perlonjava.app.scriptengine.PerlLanguageProvider;
+import org.perlonjava.runtime.runtimetypes.PerlExitException;
+
+import static org.junit.jupiter.api.Assertions.*;
+
+/**
+ * Test that PerlExitException is thrown when Perl code calls exit(),
+ * allowing library users to catch it and continue execution.
+ * 
+ * This addresses GitHub issue #291 where executePerlCode() was
+ * terminating the JVM instead of returning.
+ */
+@Tag("unit")
+public class PerlExitExceptionTest {
+
+    @BeforeEach
+    void setUp() {
+        PerlLanguageProvider.resetAll();
+    }
+
+    @Test
+    void testExitZeroThrowsException() {
+        CompilerOptions options = new CompilerOptions();
+        options.fileName = "<test>";
+        options.code = "exit 0;";
+
+        PerlExitException thrown = assertThrows(PerlExitException.class, () -> {
+            PerlLanguageProvider.executePerlCode(options, true);
+        });
+
+        assertEquals(0, thrown.getExitCode(), "exit 0 should have exit code 0");
+    }
+
+    @Test
+    void testExitNonZeroThrowsException() {
+        CompilerOptions options = new CompilerOptions();
+        options.fileName = "<test>";
+        options.code = "exit 42;";
+
+        PerlExitException thrown = assertThrows(PerlExitException.class, () -> {
+            PerlLanguageProvider.executePerlCode(options, true);
+        });
+
+        assertEquals(42, thrown.getExitCode(), "exit 42 should have exit code 42");
+    }
+
+    @Test
+    void testExitAfterOutputThrowsException() {
+        CompilerOptions options = new CompilerOptions();
+        options.fileName = "<test>";
+        options.code = "print 'hello'; exit 0;";
+
+        PerlExitException thrown = assertThrows(PerlExitException.class, () -> {
+            PerlLanguageProvider.executePerlCode(options, true);
+        });
+
+        assertEquals(0, thrown.getExitCode());
+    }
+
+    @Test
+    void testScriptWithoutExitReturnsNormally() throws Exception {
+        CompilerOptions options = new CompilerOptions();
+        options.fileName = "<test>";
+        options.code = "my $x = 1 + 1;";
+
+        // Should not throw - script completes without calling exit()
+        assertDoesNotThrow(() -> {
+            PerlLanguageProvider.executePerlCode(options, true);
+        });
+    }
+
+    @Test
+    void testExceptionMessage() {
+        CompilerOptions options = new CompilerOptions();
+        options.fileName = "<test>";
+        options.code = "exit 123;";
+
+        PerlExitException thrown = assertThrows(PerlExitException.class, () -> {
+            PerlLanguageProvider.executePerlCode(options, true);
+        });
+
+        assertEquals("exit 123", thrown.getMessage());
+    }
+
+    @Test
+    void testExitInsideEvalNotCaught() {
+        // In Perl, exit() should NOT be caught by eval{} - it should always exit
+        CompilerOptions options = new CompilerOptions();
+        options.fileName = "<test>";
+        options.code = "eval { exit 99; }; print 'should not reach here';";
+
+        PerlExitException thrown = assertThrows(PerlExitException.class, () -> {
+            PerlLanguageProvider.executePerlCode(options, true);
+        });
+
+        assertEquals(99, thrown.getExitCode(), "exit inside eval should still throw PerlExitException");
+    }
+}