Arotech Awarded $3 Million in Orders For Armored Vehicles

Orders received at both Arotech MDT units, in Israel and in the US

August 11, 2005 - Arotech Corporation (NasdaqNM: ARTX) announced today that its Armor Division has received new orders valued at approximately $3 million to supply armored vehicles. Arotech’s MDT vehicle armoring subsidiaries were chosen to provide armored Toyota Land Cruisers, Chevrolet Suburbans, Land Rover Defenders and ambulances to various customers.

“Our armored vehicles have saved the lives of passengers under the most extreme conditions,” said Robert S. Ehrlich, Chairman and CEO of Arotech Corporation. “Just recently, one of our armored Toyota Land Cruisers was attacked by a side bomb just outside Baghdad and was hit by dozens of pieces of shrapnel that did not penetrate the vehicle. As a result, the lives of all three passengers were saved. We will continue to serve our customers with quality products required to protect their passengers.”

About Arotech's Armor Division:
Arotech’s Armor Division is an innovative leader in lightweight armoring for vehicles. The Armor Division has years of battlefield and commercial protection experience and has provided life saving protection under the most extreme conditions. In addition to armoring vehicles for military and commercial customers, Arotech manufactures armor kits for military vehicles, aviation armor both for helicopters and for fixed wing aircraft, marine armor, personnel armor and fragmentation blankets.

The Armor Division consists of MDT Armor Corporation, MDT Protective Industries Ltd. and Armour of America Incorporated.

About Arotech Corporation
Arotech Corporation is a leading provider of quality defense and security products for the military, law enforcement and 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 Security and Batteries and Power Systems.
Arotech is incorporated in Delaware, with corporate offices in Auburn, Alabama, and research, development and production subsidiaries in Alabama, Colorado, Michigan, California 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; and other risk factors detailed in Arotech’s most recent Annual Report on Form 10-K for the fiscal year ended December 31, 2004, as amended, and other filings 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.