Item 2.01 Completion of Acquisition or Disposition of Assets

On January 6, 2009, Performance Technologies, Incorporated ("the Company") completed the disposition of its single auction rate municipal security. Pursuant to an offer made to the Company in October 2008 and accepted by the Company in November 2008, the brokerage firm that sold this security to the Company has purchased the security from the Company at its par value of $2,450,000. This security was most recently valued by the Company at $2,155,000; the Company anticipates that the associated unrealized loss of $295,000 ($189,000 net of tax) will be reversed in its fourth quarter 2008 financial statements.