Computer Products Inc. acquires Jeta Power Systems Inc. high end power supplies expand communications product offerings.

BOCA RATON, Fla.--(BUSINESS WIRE)--Aug. 27, 1996--Computer Products Inc. (Nasdaq NM:CPRD), one of the world's leading manufacturers of electronic subsystems for power conversion, Tuesday announced that it has acquired privately-held Jeta Power Systems Inc. ("Jeta" or the "Company"), a Huntington Beach, California-based designer, manufacturer and marketer of medium and high wattage power systems.

Computer Products purchased Jeta for total consideration of $11.7 million. Computer Products previously held approximately 10% of Jeta's common stock and acquired the remaining 90% in exchange for $11.25 million in cash.

Jeta designs, manufactures and markets medium to high power systems in the 400 watt to 4 kilowatt range for applications in the telecommunications, networking, computing and instrumentation markets. Jeta's product offerings are primarily targeted at original equipment manufacturers ("OEMs") and include an array of custom, standard and modified standard products. Jeta's revenues are forecasted at $14 million for their fiscal year ending Sept. 30, 1996. The company currently has 70 employees.

Richard Thompson, CFO of Computer Products, stated: "Jeta is an excellent strategic fit that meets many of our acquisition criteria by adding important high power technology used by our communications customers. These products will be sold through Computer Products' existing distribution channels. Jeta also expands our North American manufacturing capacity, adds high power technology to our engineering capability and is expected to be accretive to earnings."

Computer Products Inc., headquartered in Boca Raton, is a manufacturer of standard and custom-designed electronic products and subsystems for power conversion, industrial automation, and other real-time systems applications. The majority of Computer Products' sales are derived from servicing the communications marketplace. The company has operations in Pompano Beach, Fla., Madison, Wis.., Boston, Fremont, Calif., Hong Kong and the Republic of Ireland.

"Safe Harbor" statement under the Private Securities Litigation Reform Act of 1995: This release, other than historical financial information, may consist of forward-looking statements that involve risks and uncertainties. These statements may differ materially from actual future events or results. Readers are referred to the documents filed by the company with the SEC, specifically the most recent reports on Forms 10-K and 10-Q, which identify important risk factors that could cause actual results to differ from those contained in the forward-looking statements. -0-

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CONTACT: Investor Relations Contact:

John Nesbett, Lippert/Heilshorn & Associates

212/838-3777

or

Company Contact:

Richard Thompson, Chief Financial Officer

407/451-1000