NASA Purchases Arotech IES Simulator for Johnson Space Center

IES Simulators are Currently Being Used by NASA/Security at Kennedy Space Center

May 14, 2003 - Arotech Corporation (NasdaqNM: ARTX) announced today that its "use-of-force" training subsidiary, IES Interactive Training, Inc. has received an order for its Range3000 XP4 simulator from NASA's Johnson Space Center in Houston, Texas.

NASA/Security is utilizing an IES simulator at Kennedy Space Center in Cape Canaveral, Florida, and is rotating another IES portable trainer (also based at the Kennedy Space Center) to other NASA/Security facilities throughout the U.S. NASA/Security at the Johnson Space Center in Houston, Texas will be training on the IES Interactive Training Range3000 XP4 which will be a dedicated installation at the Johnson Space Center.

"NASA is also involved in Arotech's zinc-air battery for unmanned aerial vehicles (UAV) project," said Arotech Chairman and CEO Robert S. Ehrlich. "We greatly value NASA's involvement in our defense technology."

IES Interactive Training, (www.ies-interactive.com) is a world-leading manufacturer of hi-tech multimedia and interactive digital training solutions to local, state and federal, government agencies and law enforcement professionals around the world. Through the incorporation of a unique solution-driven philosophy and an experienced team of interdisciplinary professionals, IES has assumed a leadership role in delivering products that set the industry standard for interactive simulation training. The focus of IES Interactive Training is to develop and sell advanced multimedia training systems specifically targeted to law enforcement professionals.

About Arotech Corporation

Arotech's corporate mission is to provide quality defense and security products for the military, law enforcement and homeland security markets, including advanced zinc-air batteries, multimedia interactive simulators/trainers and lightweight armoring.

Arotech Corporation (www.arotech.com) operates two business divisions: Electric Fuel Batteries -- developing and manufacturing zinc-air batteries for military and homeland security applications and developing electric vehicle batteries for zero emission public transportation; and Arotech Defense -- consisting of IES Interactive, which provides advanced high-tech multimedia training systems for law enforcement and paramilitary organizations, and MDT Armor, which provides vehicle armoring for the military, industrial and private sectors.

Arotech is incorporated in Delaware under the name "Electric Fuel Corporation" and has corporate and sales offices in New York and Denver with research, development and production subsidiaries in Alabama, Colorado and Israel.

Except for the historical information herein, the matters discussed in this news release include forward-looking statements, as defined in the Private Securities Litigation Reform Act of 1995. Readers are cautioned not to place undue reliance on these forward-looking statements, as they are subject to various risks and uncertainties that may cause actual results to vary significantly. These risks and uncertainties include, but are not limited to, risks relating to: product and technology development; the uncertainty of the market for Arotech's products; changing economic conditions; delay, cancellation or non-renewal, in whole or in part, of contracts or of purchase orders; significant future capital requirements; and other risk factors detailed in Arotech's most recent Annual Report on Form 10-K for the fiscal year ended December 31, 2002, as amended, and other filings (under the name Electric Fuel Corporation) with the Securities and Exchange Commission. Arotech assumes no obligation to update the information in this release. Reference to the Company's website above does not constitute incorporation of any of the information thereon into this press release.