Arotech Simulation and Training Division Announces $4.5 Million in New Orders for Driver Training Simulators

ANN ARBOR, Mich.--Sept. 11, 2006--Arotech Corporation announced today that its Simulation and Training Division, through its FAAC Incorporated subsidiary, has received over $4.5 million in new orders for driver training simulators since the end of the second quarter. The orders represent 16 simulators sold to 6 different customers.

"Represented in these orders are our latest generation bus, military truck, military police, and civilian truck simulators from customers including municipal, military, transportation, and educational/research organizations," said Kurt Flosky, FAAC Executive Vice President. "Simulation-based driver training has been proven to save lives and we are honored to be selected by these leading organizations to become an integral part of their training curriculum."

About Arotech's Simulation and Training Division

Arotech's Simulation and Training Division develops, manufactures, and markets advanced high-tech multimedia and interactive digital solutions for use-of-force and driver training of military, law enforcement, security, municipal and private industry personnel. The division's fully interactive driver-training systems feature state-of-the-art vehicle simulator technology enabling training in situation awareness, risk analysis and decision making, emergency reaction and avoidance procedures, and conscientious equipment operation. In addition, the division's use-of-force training products and services allow organizations to train their personnel in safe, productive, and realistic environments. The division also provides pilot decision-making support software for the F-15, F-16, F-18, and JSF aircraft, as well as simulation models for the ACMI/TACTS air combat training ranges.

Arotech's Simulation and Training Division consists of FAAC Incorporated and IES Interactive Training Inc.

About Arotech Corporation

Arotech Corporation is a leading provider of quality defense and security products for the military, law enforcement and homeland security markets, including multimedia interactive simulators/trainers, lightweight armoring and advanced zinc-air and lithium batteries and chargers. Arotech operates through three major business divisions: Armor, Simulation and Training and Battery and Power Systems.

Arotech is incorporated in Delaware, with corporate offices in Ann Arbor, Michigan, and research, development and production subsidiaries in Alabama, Michigan and Israel.