Telkoor Advice

Digital Power wins major Cisco development contract


Netanya, Israel, January 28, 2009 - Digital Power Corporation, of which Telkoor Telecom Ltd. (TASE: TLK), a market leader in the field of power supplies, is a major shareholder recently won an important contract with Cisco Systems to develop a custom switching power supply solution for their next generation video encoder system. The power supply incorporates very high efficiency, high power density, active input power factor correction and multiple output voltages.

Digital Power was awarded the Cisco development contract for three important reasons. First, the technology is state-of-the-art, with an operating efficiency exceeding 90% over much of the intended operating range. Second, Digital Power was able to offer this power solution at a very attractive price. Third, Digital Power Corporation has a proven track record providing high quality, reliable power solutions to Cisco for other programs.

"We are providing Cisco with one of the most technologically-advanced power supply solutions on the market today, and I'm sure this was a big factor in Cisco's decision to award Digital Power with the development contract." commented Amos Kohn, President and CEO of Digital Power. He added, "But in addition we have enjoyed a very good relationship with Cisco. I think they understand our capability and commitment to their programs. Those factors played a part as well."

E.A.B. Inc., represented by Harry Abrams, the Digital Power rep in Atlanta, was instrumental in identifying, communicating and coordinating this new opportunity with Digital Power. Fernando Sandoval, Digital Power's Regional Sales Director, was also deeply involved in obtaining the new development order. He coordinated Digital Power personnel with Cisco NPI (New Product Introduction) staff and Toronto regulatory compliance staff. He continues to manage the business relationship with Cisco to support current programs and pursue new business opportunities. On an earlier program both Sandoval and Abrams worked extensively with Cisco and Digital Power's Chinese manufacturer to expedite deliveries, reducing lead times by eight weeks.

About Cisco Systems
Cisco (NASDAQ: CSCO) hardware and software network solutions enable people to connect, providing easy access to information anywhere, at any time. Cisco was founded in 1984 by a small group of computer scientists from Stanford University. Since the company's inception, Cisco engineers have been leaders in the development of Internet Protocol (IP)-based networking technologies. Today, with more than 63,050 employees worldwide, this tradition of innovation continues with industry-leading products and solutions in the company's core development areas of routing and switching, as well as in advanced technologies.

About Telkoor Telecom Ltd.

Telkoor Telecom Ltd.,   (TASE: TLK) is a market leader in power supplies for military and commercial applications, ranging from airborne, missiles, land-based, naval, ground vehicles and UAV to custom and off-the shelf commercial systems for the telecom, industrial and consumer markets. Founded in 1979, Telkoor has extensive experience in design, manufacturing and delivering of custom military power supply platforms. The company is an approved vendor by many armies, air forces, navies and global defense organizations.

About Digital Power Corporation

Digital Power Corporation (AMEX:DPW) is a world-class solution-driven organization that designs, develops, manufactures, markets and sells switching power supply solutions to telecom, datacom, industrial, medical and military industries. The corporate office includes administrative, sales, and engineering services functions and is located at 41324 Christy St., Fremont, California. 94538-3115 Tel 510-657.2635 website

For international media inquiries, please contact:

Boaz Weiss, VP Marketing & Sales  Tel: +972-9-8632313


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