>>> "John" == John Kitchin <jkitchin@andrew.cmu.edu> writes:

   > Maybe you need :exports and not :export.
   > John

I tried 

#+begin_src matlab :tangle test.m  :exports code :padline no 
function [ll x]=mitest(A0,x0)
% initialization 
format long
epsi=1.e-3;
nit=0;
nmaxit=200;
Delta=10;
A=A0;
while Delta>epsi & nit<nmaxit
    nit=nit+1; % counter
#+end_src

The basic idea is.
That we do.
We also will

#+begin_src matlab  :tangle test.m :exports code  :padline no 
    y=A*x0;
end
#+end_src


And obtain 

\begin{document}

%% [removed source block]
The basic idea is.
That we do.
We also will

%% [removed source block]
\end{document}

Anybody has a working example?