Corporate Governance

We are committed to maintaining a corporate governance structure that ensures best practices are followed, corporate assets are protected, and shareholder interests are promoted. We focus on good corporate governance not only because we have to comply with established industry-practice, but because ethical conduct and full and fair disclosure to our shareholders and the public are a part of who we are. Providing financial information that is transparent, timely, complete, relevant and accurate is of paramount importance to us. Put simply, our quest for competitive excellence begins and ends with our commitment to lawful and ethical conduct.

We strive to ensure that all members of our Board and all employees are individuals of the highest personal integrity and impeccable reputation, and that they remain committed to rigorously exercising their oversight responsibilities. At ELTEK, we take very seriously our responsibility to shareholders, our employees, and the community. Toward this end, we communicate openly about our business and business practices, and we remain committed to abiding by the spirit, not just the letter of the law. Some of the steps we have taken to fulfill this commitment include the following:
 

• Our Audit Committee has established policies to monitor and maintain our Corporate Governance structure, and our independent accountants report directly to the Audit Committee
• Each committee of the Board operates under a comprehensive charter which establishes the roles and responsibilities of the committee
• We operate under a Code of Conduct that is accepted in writing by each employee, officer and director
• We have established an email based conduit available to all employees and third parties to facilitate anonymous reporting of any questionable activities
• We have established procedures, overseen by our Audit Committee, to promote full and fair disclosure in our public filings
• Our Board and its committees have the right at any time to retain independent outside financial, legal or other advisors
• We encourage direct shareholder-to-board communication and have established a formal mechanism for this purpose

Performance with integrity is what we're about. We are also committed to diligently manage our affairs consistent with the highest principles of business ethics. This commitment to business integrity will continue to form the foundation upon which our future is built. We'll continue to challenge ourselves in every aspect of what we do to achieve tomorrow's goals.

/S/ Erik Thorsen                                               /S/ Colin Howe
Chairman                                                         CEO