On January 24, 2013, the Compensation Committee (the "Committee") of Performance Technologies, Inc. (the "Registrant") approved grants of time-vested non-qualified stock options to the Registrant's executive officers. The officers identified in the table below were granted options to purchase the following number of shares under the Registrant's 2003 Omnibus Incentive Plan:

  Named Executive Officer   Number of Shares
  John M. Slusser                    100,000
  Dorrance W. Lamb                    60,000
  John J. Grana                       60,000
  J. Patrick Rice                     40,000

The options were granted at an exercise price as of the market close on January 24, 2013, which was $.90, and will vest according to the following schedule: 50% will vest in the first year at the rate of 1/12 per month (4.167% per month); 25% will vest in the second year at the rate of 1/12 per month (2.083% per month); and 25% will vest in the third year at the rate of 1/12 per month (2.083% per month). All of the options expire five years from the date of grant and contain change-in-control/acceleration provisions. The form of the stock option agreement will be filed as an exhibit to the Registrant's annual report on Form 10-K.