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Proc-Type: 2001,MIC-CLEAR
Originator-Name: webmaster@www.sec.gov
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<SEC-DOCUMENT>0001144204-10-009646.txt : 20100224
<SEC-HEADER>0001144204-10-009646.hdr.sgml : 20100224
<ACCEPTANCE-DATETIME>20100224124642
ACCESSION NUMBER:		0001144204-10-009646
CONFORMED SUBMISSION TYPE:	8-K
PUBLIC DOCUMENT COUNT:		2
CONFORMED PERIOD OF REPORT:	20100224
ITEM INFORMATION:		Regulation FD Disclosure
ITEM INFORMATION:		Other Events
ITEM INFORMATION:		Financial Statements and Exhibits
FILED AS OF DATE:		20100224
DATE AS OF CHANGE:		20100224

FILER:

	COMPANY DATA:	
		COMPANY CONFORMED NAME:			ACORN ENERGY, INC.
		CENTRAL INDEX KEY:			0000880984
		STANDARD INDUSTRIAL CLASSIFICATION:	SERVICES-COMPUTER PROGRAMMING SERVICES [7371]
		IRS NUMBER:				222786081
		STATE OF INCORPORATION:			DE
		FISCAL YEAR END:			1231

	FILING VALUES:
		FORM TYPE:		8-K
		SEC ACT:		1934 Act
		SEC FILE NUMBER:	001-33886
		FILM NUMBER:		10629002

	BUSINESS ADDRESS:	
		STREET 1:		4 WEST ROCKLAND ROAD
		CITY:			MONTCHANIN
		STATE:			DE
		ZIP:			19710
		BUSINESS PHONE:		3026561708

	MAIL ADDRESS:	
		STREET 1:		4 WEST ROCKLAND ROAD
		CITY:			MONTCHANIN
		STATE:			DE
		ZIP:			19710

	FORMER COMPANY:	
		FORMER CONFORMED NAME:	ACORN FACTOR, INC.
		DATE OF NAME CHANGE:	20060920

	FORMER COMPANY:	
		FORMER CONFORMED NAME:	DATA SYSTEMS & SOFTWARE INC
		DATE OF NAME CHANGE:	19931019

	FORMER COMPANY:	
		FORMER CONFORMED NAME:	DEFENSE SOFTWARE & SYSTEMS INC
		DATE OF NAME CHANGE:	19930328
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communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR
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7 &#8211; Regulation FD</font></div>
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7.01 Regulation FD Disclosure.</font></div>
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February 24, 2010, the Company issued a press release announcing its strategic
investment in US Sensor Systems Inc..&#160;&#160;The press release is filed as
Exhibit 99.1 hereto.</font></div>
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8 &#8211; Other Events</font></div>
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8.01 Other Events.</font></div>
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Inquiry Regarding Comverge Share Transactions</font></div>
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    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">The
Company and its Chairman and Chief Executive Officer, John A. Moore, have
received subpoenas from the staff of the Securities and Exchange Commission (the
&#8220;SEC&#8221;) for information about their transactions in the shares of Comverge, Inc.
from January 1, 2008 through October 31, 2008. The SEC staff has advised the
Company that issuance of the subpoenas should not be construed as an indication
by the SEC staff that any violation of the law has occurred, nor should it be
considered a reflection upon any person, entity or security.</font></div>
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Company believes that all of its and Mr. Moore&#8217;s transactions in Comverge shares
were made in full compliance with all laws. The Company and Mr. Moore have
responded to the SEC staff and are committed to responding fully to any
inquiries of the SEC staff.&#160;&#160;<font style="DISPLAY: inline; FONT-FAMILY: Times New Roman">In the course of
responding to the SEC staff's inquiry,&#160;the Company's counsel has not
identified any information indicating that the transactions in Comverge stock by
the Company or Mr. Moore were in violation of any applicable
laws.</font></font></div>
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to Purchase Shares of US Sensor Systems Inc.</font></div>
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February 23, 2010, the Company entered into an option agreement with US Sensor
Systems Inc., or USSI, a company which designs, integrates, manufactures, and
sells fiber optic sensing systems and solutions for the energy, defense and
security markets, and a related option agreement with certain stockholders of
USSI.&#160;&#160;The Company currently owns 146,386 shares of USSI&#8217;s common
stock which the Company purchased for $500,000 and which represents
approximately 10.0% of USSI&#8217;s fully diluted capitalization.</font></div>
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terms of the option agreement with USSI, the Company has the right to acquire up
to an additional 159,115 shares of USSI&#8217;s common stock for a purchase price of
$500,000.&#160;&#160;The Company has the right to acquire 63,646 of these shares
under the option in consideration for payment of $200,000 on or before May 31,
2010.&#160;&#160;If the Company exercises this installment, it has the right to
acquire the remaining 95,469 shares under the option on or before August 27,
2010 in consideration for payment of $300,000.</font></div>
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Company&#8217;s agreement with certain of USSI&#8217;s stockholders, the Company has the
right to&#160;&#160;acquire 516,378 shares of USSI common stock held by such
stockholders in consideration for payment to them of $2,111,986&#160;&#160;on or
before August 27, 2010.&#160;&#160;The purchase price is payable in the
Company&#8217;s common stock which shall be priced on the basis of the volume weighted
average of the Company&#8217;s common stock on the 20 trading days ending on the day
that is five days preceding the date that the Company exercises its option to
acquire the shares of the USSI stockholders.&#160;&#160;The shares of the
Company&#8217;s common stock that are issued to the USSI stockholders in consideration
for their shares would be restricted securities under Securities Act of 1933 and
would be subject to a lock-up by certificate legend.&#160;&#160;The shares would
be released from the lock-up over a one year period, with 25% being released
each three months. If the Company exercises the options described in this and in
the preceding paragraph, the Company would own common stock of USSI representing
approximately 51% of USSI&#8217;s fully diluted capitalization.</font></div>
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agreement with USSI, if the Company exercises the options to acquire USSI&#8217;s
common stock described in the two preceding paragraphs, the Company would have
the right to acquire 1,693,391 additional shares of USSI&#8217;s common stock from
USSI on or before November 30, 2010 in consideration for payment of
$1,500,000.&#160;&#160;If the Company exercises this option, it would have the
right to acquire 1,693,391 additional shares of common stock from USSI on or
before May 30, 2011 in consideration for payment of $1,500,000.</font></div>
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Company purchases all of the USSI common stock it is entitled to purchase under
the agreements, the Company would hold USSI shares representing approximately
84% of USSI&#8217;s fully diluted capitalization.</font></div>
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    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-STYLE: italic; FONT-FAMILY: Times New Roman">Proposed
Acquisition of GridSense</font></div>
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    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">As
previously announced, on November 4, 2009 the Company entered into a binding
letter of intent with GridSense Pty Ltd and the principal stockholders of
GridSense to acquire all of the outstanding shares of GridSense that the Company
does not already own.&#160;&#160;The Company currently own 15,714,285 shares of
GridSense representing 31% of GridSense&#8217;s outstanding
shares.&#160;&#160;Immediately prior to the completion of the acquisition, the
Company intends to convert a Gridsense promissory note in the principal amount
of approximately $730,000 plus accrued interest thereon into approximately
8,861,096 GridSense shares which, after giving effect to other simultaneous
issuances of GridSense shares, will result in the Company owning 24,575,381
shares of GridSense representing approximately 40.6% of GridSense&#8217;s outstanding
shares.</font></div>
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terms of the transaction, the Company will acquire the outstanding GridSense
shares that are not owned by the Company in consideration for 440,894 shares of
the Company&#8217;s common stock. Under the letter of intent these shares were at the
time valued at $5.91 per share which was the volume weighted average of the
Company&#8217;s common stock for the 20 trading days preceding October 16,
2009.&#160;&#160;In addition, the Company will acquire $1,128,339 principal
amount of promissory notes of GridSense at a price equal to the principal amount
plus accrued interest.&#160;&#160;Under the letter of intent, 50% of the
purchase price of the notes would be paid in cash and 50% would be paid
in&#160;&#160;shares of the Company&#8217;s common stock, valued at $5.91 per share,
which&#160;&#160;would result in the issuance of approximately 150,000 shares of
the Company&#8217;s common stock. In addition, the Company agreed to provide to
Gridsense at closing with approximately $600,000 to be used to pay a shareholder
loan.</font></div>
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    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Under the
letter of intent, the Company has also agreed to pay an earn-out to the
shareholders of GridSense as part of the consideration for their
shares.&#160;&#160;To the extent that GridSense&#8217;s calendar year 2010 sales
exceed $4,383,720, the Company will pay the GridSense shareholders an amount
equal to 50% of that excess, up to $2,435,400, multiplied by .5954 (representing
their ownership interest in GridSense) for a maximum earn-out of
$1,449,799.&#160;&#160;The Company has the option of paying any earn-out in cash
and/or shares of the Company&#8217;s common stock.&#160;&#160;If the Company uses
shares as all or part of the payment, each share would be valued as the volume
weighted average price of the Company&#8217;s common stock on the 20 trading days
preceding the date of the issuance of the auditor&#8217;s report relating to the
Company&#8217;s 2010 financial statements.</font></div>
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Company&#8217;s shares of common stock which are issued in consideration for acquiring
GridSense&#8217;s shares and debt, including any shares issued in payment of the
earn-out,&#160;&#160;will be subject to an escrow for possible indemnity claims
and a lock-up, with 50% of the shares released after six months and the balance
one year after issuance.</font></div>
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Company signed the letter of intent, the Company loaned GridSense $550,000 which
accrues interest at 8% per annum and is due in October 2011.&#160;&#160;If the
transaction to acquire GridSense does not close or is terminated, the Company
may declare the unpaid principal and accrued interest on that note (as well as
$730,000 of principal amount of GridSense notes that the Company holds plus
accrued interest) immediately due and payable and the Company has the right to
convert such indebtedness into shares of GridSense.</font></div>
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GridSense acquisition is completed, the Company has agreed to provide GridSense
with up to $2,000,000 in working capital which may be in the form of debt or
equity.</font></div>
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documentation for the GridSense acquisition is being prepared and the
transaction is expected to close by March 12, 2010.</font></div>
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9 &#8211; Financial Statements and Exhibits</font></div>
    <div style="DISPLAY: block; TEXT-INDENT: 0pt"><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-WEIGHT: bold; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Item
9.01&#160;&#160;Financial Statements and Exhibits</font></div>
    <div style="DISPLAY: block; TEXT-INDENT: 0pt"><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-WEIGHT: bold; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">(d)&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;Exhibits</font></div>
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    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left">

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                    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman">Press
      Release dated February 24,
2010</font></div>
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      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt; TEXT-ALIGN: center" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">SIGNATURES</font></div>
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    <div style="DISPLAY: block; TEXT-INDENT: 0pt"><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Pursuant
to the requirements of the Securities Exchange Act of 1934, the Registrant has
duly caused this report to be signed on its behalf by the undersigned hereunto
duly authorized on this 24th day of February, 2010.</font></div>
    <div style="DISPLAY: block; TEXT-INDENT: 0pt"><br></div>

    <div style="DISPLAY: block; TEXT-INDENT: 0pt">
      <div style="DISPLAY: block; TEXT-INDENT: 0pt" align="left">
        <div style="DISPLAY: block; TEXT-INDENT: 0pt" align="left">
          <div style="DISPLAY: block; TEXT-INDENT: 0pt" align="left">
            <div style="DISPLAY: block; TEXT-INDENT: 0pt" align="left">
              <div style="DISPLAY: block; TEXT-INDENT: 0pt" align="left">
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      ENERGY, INC.</font></div>
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      </font></td>
                      <td valign="top" width="5%"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman">&#160;
      </font></td>
                      <td valign="top" width="25%"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman">&#160;
      </font></td>
                      <td valign="top" width="20%"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman">&#160;
      </font></td>
                    </tr>
                    <tr>
                      <td valign="top" width="50%"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman">&#160;
      </font></td>
                      <td align="left" valign="top" width="5%">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman">By:</font></div>
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                        <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman"><font style="DISPLAY: inline">/s/ Joe B. Cogdell, Jr.</font></font></div>
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      </font></td>
                    </tr>
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                      <td valign="top" width="50%"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman">&#160;
      </font></td>
                      <td align="left" valign="top" width="5%">
                        <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman">Name:</font></div>
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      </font></td>
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Counsel</font></div>
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<DOCUMENT>
<TYPE>EX-99.1
<SEQUENCE>2
<FILENAME>v175379_ex99-1.htm
<TEXT>
<html>
  <head>
    <title>Unassociated Document</title>
    <!--Licensed to: VF-->
    <!--Document Created using EDGARizer 4.0.6.1-->
    <!--Copyright 1995 - 2008 EDGARfilings, Ltd., an IEC company. All rights reserved-->
    </head>
    <body bgcolor="#ffffff" style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-WEIGHT: bold; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Acorn
Energy Invests in Revolutionary 4D Seismic Technology for Oilfield
Monitoring</font></div>
    <div style="DISPLAY: block; TEXT-INDENT: 0pt"><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-STYLE: italic; FONT-FAMILY: Times New Roman">Purchases
stock and options to acquire control of US Sensor Systems, Inc.</font></div>
    <div style="DISPLAY: block; TEXT-INDENT: 0pt"><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Montchanin,
DE &#8211; February 24, 2009 &#8211; Acorn Energy, Inc. (NASDAQ: ACFN) announced today a
strategic investment with an option to acquire control of US Sensor Systems Inc.
(USSI), developer of a seismic monitoring system that promises to revolutionize
field management of hydrocarbon reserves.</font></div>
    <div style="DISPLAY: block; TEXT-INDENT: 0pt"><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">US Sensor
Systems is utilizing Acorn&#8217;s $500,000 investment to date to conduct field trials
comparing its new fiber optic geophone technology to the current best-in-class
conventional geophones, which are based upon 50 year-old
technology.&#160;&#160;USSI&#8217;s state of the art fiber optic geophone system is
designed to finally provide the industry with the needed tools to make the
transition from 3D seismic to 4D seismic monitoring feasible, which is expected
to greatly increase recoveries from existing oilfields.&#160;&#160;USSI&#8217;s fiber
optic geophone, which is currently in tests with several customers, is expected
to provide much more detailed subsurface images of an oilfield at significantly
lower cost than existing equipment.</font></div>
    <div style="DISPLAY: block; TEXT-INDENT: 0pt"><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">For its
investment to date, Acorn has acquired approximately 10% of USSI, and has a
series of options to acquire up to approximately 84% of the company for
aggregate consideration of approximately $6,100,000 in cash and stock through
May 2011.</font></div>
    <div style="DISPLAY: block; TEXT-INDENT: 0pt"><br></div>
    <div style="DISPLAY: block; TEXT-INDENT: 0pt"><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">US Sensor
Systems is headquartered in Northridge, California and focuses primarily on
designing, integrating, manufacturing, and selling fiber optic sensing systems
and solutions for the energy and security markets.&#160;&#160;USSI&#8217;s fiber optic
sensor systems are being designed to replace the legacy expensive, unreliable,
and bulky electronic sensors currently in widespread use today, with its small,
low-cost, ultra-reliable fiber optic sensors.&#160;&#160;USSI has also developed
and is marketing a fiber optic sensor solution for the security market. Primary
product lines for which USSI is currently developing products
include:</font></div>
    <div>
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          <tr valign="top">
            <td align="right" style="WIDTH: 81pt">
              <div><font style="DISPLAY: inline; FONT-SIZE: 10pt;" face="Symbol, serif">&#183;&#160;&#160;</font></div>
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              <div style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Downhole
      Fiber Optic Sensor Systems for Oilfield 4D Reservoir
      Monitoring</font></div>
            </td>
          </tr>
      </table>
    </div>
    <div>
      <table cellpadding="0" cellspacing="0" id="list" width="100%">
          <tr valign="top">
            <td align="right" style="WIDTH: 81pt">
              <div><font style="DISPLAY: inline; FONT-SIZE: 10pt;" face="Symbol, serif">&#183;&#160;&#160;</font></div>
            </td>
            <td>
              <div style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Fiber
      Optic Perimeter Security Systems (including commercial and
      military)</font></div>
            </td>
          </tr>
      </table>
    </div>
    <div>
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              <div style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Fiber
      Optic Pipeline/Coal Mine Monitoring
Systems</font></div>
            </td>
          </tr>
      </table>
    </div>
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    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">USSI has
three patents pending and a fourth application in process.</font></div>
    <div style="DISPLAY: block; TEXT-INDENT: 0pt"><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Acorn CEO
John A. Moore notes, &#8220;The use of technology such as directional drilling,
flooding and fracking has been transformational for the oil &amp; gas
industry.&#160;&#160;The 50-year old magnetic coil geophone has reached its
economic limit as the industry requires increasing resolution from seismic data
in order to drill more precisely.&#160;&#160;The USSI technology represents a
breakthrough in both cost and image resolution, and the business and technical
team are world-class and internationally recognized in the field.&#160;&#160;I
am confident that this accomplished team will deliver value over time to USSI
customers and Acorn shareholders.&#8221;</font></div>
    <div style="DISPLAY: block; TEXT-INDENT: 0pt"><br></div>
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Andersen, CEO of US Sensor Systems, was previously Business Unit Director for
Litton Industries Fiber Optic Acoustic Systems, which was Litton&#8217;s fastest
growing business unit from 1995 to 2002.&#160;&#160;At Litton, he and his
colleagues landed the first (and still the largest) fiber optic sonar production
contract, valued at over $400 million.&#160;&#160;Prior to Litton, he held
positions in companies that developed systems for oil exploration and ocean
applications.&#160;&#160;The team at US Sensor Systems is composed primarily of
members of his successful team at Litton.</font></div>
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    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">&#8220;We are
delighted to have secured Acorn Energy as our partner,&#8221; Mr. Andersen
said.&#160;&#160;&#8220;Acorn&#8217;s history of successful energy technology investing and
its strong ties to the financial community will allow us to concentrate on what
we do best.&#160;&#160;John and his board believe that energy is as infinite as
the human imagination, and we&#8217;re out here helping prove them right every
day.&#8221;</font></div>
    <div style="DISPLAY: block; TEXT-INDENT: 0pt"><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><font style="DISPLAY: inline; FONT-WEIGHT: bold">About Acorn Energy,
Inc.</font></font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Acorn
Energy, Inc. is a publicly traded holding company with equity interests in
CoaLogix, Coreworx, DSIT and GridSense. These companies leverage advanced
technologies to transform and upgrade the energy infrastructure around the
world. Acorn companies are focused on three problems in the energy sector:
improving the efficiency of the energy grid, reducing the risk for owners of
large energy assets, and reducing the environmental impact of the energy sector.
Acorn's strategy is to take primarily controlling positions in companies led by
great entrepreneurs. For more information visit <font style="DISPLAY: inline; TEXT-DECORATION: underline">http://www.acornenergy.com</font></font></div>
    <div style="DISPLAY: block; TEXT-INDENT: 0pt"><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">About US
Sensor Systems Inc.</font></div>
    <div style="DISPLAY: block; TEXT-INDENT: 0pt"><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">US Sensor
Systems Inc. designs, integrates, manufactures, and sells fiber optic sensing
systems and solutions for the Energy and Defense markets. US Sensor Systems
utilizes All-Optical sensing technology for their state-of-the-art sensing
systems. The optical fiber itself is the sensor and is designed to replace the
legacy electronic-based sensor systems at a lower cost and with improved
performance and reliability. For more information visit the USSI website at:
www.ussensorsystems.com</font></div>
    <div style="DISPLAY: block; TEXT-INDENT: 0pt"><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-WEIGHT: bold; FONT-SIZE: 10pt; FONT-STYLE: italic; FONT-FAMILY: Times New Roman">Safe
Harbor Statement</font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-STYLE: italic; FONT-FAMILY: Times New Roman">This
press release includes forward-looking statements, which are subject to risks
and uncertainties. There is no assurance that US Sensor Systems will be
successful in commercializing its fiber optic seismic sensing technology and
growing its business or that the Company&#8217;s investment in USSI&#160;&#160;will
achieve desired returns in the short or long term. &#160;Factors which may cause
results to differ from expectations include (i)&#160;&#160;results of current
customer tests of USSI&#8217;s technology, (ii)level of&#160;&#160;market acceptance
of USSI&#8217;s technology and/or products to replace existing technologies and (iii)
risks associated with new product development and commercialization generally.
&#160;A&#160;&#160;discussion of the risks and uncertainties which may affect
Acorn Energy's business generally is included in "Risk Factors" in the Company's
most recent Annual Report on Form 10-K as filed by the Company with the
Securities and Exchange Commission.</font></div>
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