Performance Technologies Wins Product of the Year Awards for Two of its Industry Leading Signaling Products

Press Inquiries

ROCHESTER, NY - December 10, 2001 - Performance Technologies, Inc. (Nasdaq: PTIX) today announced it has won "Product of the Year" awards for both its MicroLegend® Signaling Blade and its SEGway™ Edge Device. Technology Marketing Company (TMC), publisher of Internet Telephony® and Communications Solutions™ magazines, recognized Performance Technologies' products with these prestigious awards because they demonstrate true innovation, which is the hallmark of Product of the Year winners.

"The Product of the Year award is meant not only to honor the outstanding teams who developed and manufactured the products and services on our winning list, but also to educate our readers on the vast array of offerings in this market," said Internet Telephony editorial director Greg Galitzine. "Choosing the winners was a difficult process, and the editorial team spent many hours studying the applications we received from vendors, as well as looking through materials we collected on our own over the past year."

Performance Technologies' MicroLegend Signaling Blade is a full featured, embedded signaling gateway "system in a slot" in a CompactPCI® form factor, specifically designed for telecom equipment manufacturers seeking to integrate SS7/IP signaling capabilities into their current and next-generation chassis designs. The Signaling Blade enables system designers to easily implement integrated signaling applications with a smaller footprint, while lowering overall product cost. Performance Technologies began shipping this product to customers in July 2001.

The SEGway Edge Device is an SS7/IP interworking device that enables wireless and wireline operators to save money by offloading the growing amount of long-haul SS7 traffic currently carried over costly, dedicated SS7 links to lower-cost IP networks. SEGways have been deployed throughout the world by a number of telecom carriers since introduction in February 2001.

"Having two of our newest products judged to be Product of the Year by those who follow so closely the developments in our industry is a great honor," said Don Turrell, CEO of Performance Technologies. "These prestigious awards recognize our continued commitment to providing innovative IP communications products that reduce costs for our customers and allow them to take full advantage of next-generation technologies, even in challenging economic times."

About Performance Technologies, Inc.

Performance Technologies is a leading supplier of packet-based telecommunications and networking products for wireline, wireless and next-generation Internet Protocol networks. The company provides enabling carrier-grade technology solutions, including network access products, Ethernet switching products and SS7/IP solutions to network operators, equipment manufacturers and systems integrators worldwide.

Performance Technologies is headquartered in Rochester, New York. Additional engineering facilities are located in Raleigh, North Carolina; San Diego, California; and Ottawa, Canada. For more information about Performance Technologies, visit www.pt.com.

Forward-Looking Statements

The Private Securities Litigation Reform Act of 1995 provides a "safe harbor" for certain forward-looking statements. This press release contains forward-looking statements which reflect the Company's current views with respect to future events and financial performance, within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934 and is subject to the safe harbor provisions of those Sections.

These forward-looking statements are subject to certain risks and uncertainties and the Company's actual results could differ materially from those discussed in the forward-looking statements. These risks and uncertainties include, among other factors, general business and economic conditions, rapid or unexpected changes in technologies, cancellation or delay of customer orders including those relating to design wins, changes in the product or customer mix of sales, delays in new product development, customer acceptance of new products and customer delays in qualification of products. These statements should be read in conjunction with the audited Consolidated Financial Statements, the Notes thereto, and Management's Discussion and Analysis of Financial Condition and Results of Operations of the Company as of December 31, 2000, as reported in its Annual Report on Form 10-K and other documents as filed with the Securities and Exchange Commission.

Note to Editors: Brand or product names are registered trademarks or trademarks of their respective holders.