Performance Technologies Announces New Line of Integrated Communication Servers

Managed WAN Gateway First in Series of New Bundled Offerings

October 10, 2007 - ROCHESTER, NY - Performance Technologies (NASDAQ: PTIX), a leading developer of communication platforms and systems, today announced the availability of the first in an emerging product line of communication server solutions. The initial bundled hardware and software offering, the Managed WAN Gateway, provides a communication bridge from legacy serial networks and protocols to contemporary Internet Protocol (IP) networks. Other members of the Performance Technologies' line of communication servers will be announced in the near future.

The Managed WAN Gateway acts as an IP communications server that allows system architects to consolidate several individual pieces of equipment, saving valuable rack space. These gateways are ideal for applications in aerospace and defense as well as commercial settings.

Built on standards-based hardware platforms, the Managed WAN Gateways include options for up to 56 ports of WAN connectivity as well as eight 10/100 and two 10/100/1000 Ethernet ports for IP connectivity. Any combination of WAN protocols can be supported on the ports. Additional features include remote system management with the company's exclusive Intelligent Shelf Management (ISM) architecture for all chassis elements, as well as optional redundant power supplies and hot-swap capability. All Managed WAN Gateways come pre-loaded and configured with Performance Technologies' Linux®-based NexusWare® software suite that provides designers with a variety of WAN protocol packages such as Radar, TADIL-B, X.25, Frame Relay, and HDLC, commonly used in WAN environments. NexusWare also includes a powerful set of APIs available for Linux®, Windows®, and Solaris® operating systems.

"These robust, pre-integrated platforms provide engineers with a flexible suite of solutions to easily bridge legacy systems to today's evolving IP networks, as well as dramatically reduce the development time-to-market of new communication offerings," said Steven Wigent, product manager at Performance Technologies.

For system developers seeking to learn more about remote system management using Performance Technologies' Intelligent Shelf Management (ISM) architecture, a detailed tutorial is available.

Design engineers needing advanced compute-intensive solutions can meet with company representatives at several upcoming industry events to learn more about the Managed WAN Gateways and other Performance Technologies products. Events include the AdvancedTCA Summit in Santa Clara, CA (October 16-18, 2007, booth 206), and the 2007 Military Communications Conference in Orlando, FL (October 29-31, 2007, booth 1506).    

About Performance Technologies

Performance Technologies (NASDAQ: PTIX) is a global supplier of integrated IP-based platforms and solutions for advanced communications networks and innovative computer system architectures. Our Embedded Systems Group offers robust application-ready platforms that incorporate open-standards based software and hardware, providing significantly accelerated end product deployment benefits for equipment manufacturers. Our Signaling Systems Group offers the SEGway™ product suite, which includes IP STPs, SS7 over IP transport solutions, and signaling gateways that enable lower operating costs through utilization of IP networks, thereby creating competitive advantages for carriers in existing and emerging markets.

Performance Technologies is headquartered in Rochester, New York. Additional engineering facilities are located in San Diego and San Luis Obispo, California, and Kanata, Ontario, Canada.
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 can differ materially from those discussed in the forward-looking statements. These risks and uncertainties include, among other factors, general business and economic conditions, rapid technological changes accompanied by frequent new product introductions, competitive pressures, dependence on key customers, the attainment of design wins and obtaining orders as a result, fluctuations in quarterly and annual results, the reliance on a limited number of third party suppliers, limitations of the Company's manufacturing capacity and arrangements, the protection of the Company's proprietary technology, the dependence on key personnel, changes in critical accounting estimates, potential impairments related to investments, foreign regulations, and potential material weaknesses in the future. Forward-looking statements should be read in conjunction with the audited Consolidated Financial Statements, the Notes thereto, Risk Factors, and Management's Discussion and Analysis of Financial Condition and Results of Operations of the Company as of December 31, 2006, as contained in the Company's Annual Report on Form 10-K, and other documents filed with the Securities and Exchange Commission.

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