FREMONT, Calif., May 21 /PRNewswire/ -- Digital Power Corporation (Amex: DPW) today announced revenues and net loss for its first quarter ended March 31, 1999. For the quarter ended March 31, 1999, revenues decreased 36.4% to $3,216,463 from $5,055,331 for the prior year first quarter ended March 31, 1998. For the three months ended March 31, 1999, the Company had a loss from operations of $119,576 compared to income from operations of $599,550 for the three months ended March 31, 1998. Net loss for the three months ended March 31, 1999, was $155,536 compared to net income of $294,433 for the three months ended March 31, 1998. Commenting on the results, Robert O. Smith, President and Chief Executive Officer and Chairman of Digital Power, said, "Despite the continued softness in our industry and the resulting lower revenues, we have managed to significantly narrow our losses in the first quarter compared to the fourth quarter ended December 31, 1998. We are optimistic that our on-going cost reduction efforts and the sacrifices made by all of the employees of Digital Power, as well as a strengthening of backlog, will result in improved financial performance in the coming quarters." Digital Power designs, develops, manufactures and markets switching power supplies for sale to manufacturers of computer and other electronic equipment. The headquarters are located at 41920 Christy Street, Fremont, California, 94538-3158, phone number 510-657-2635. Contact Malcolm McGuire (CCRI) at 800-828-0406 or visit the Website at http://www.digipwr.com. The foregoing contains forward-looking statements which are subject to contingencies and uncertainties which are set forth in Digital Power's filings with the Securities and Exchange Commission. Such forward-looking statements are not guarantees of future performance, and are based on numerous assumptions about future conditions that could prove to be inaccurate. Actual events, transactions, and results may differ materially from anticipated events, transactions or results described in such statements. Financial Data (in thousands except for per share amounts) Quarters Ended March 31, Statement of Operations Data 1999 1998 Revenues $3,216 $5,055 Income (loss) from operations (120) 600 Income (loss) before income taxes (170) 551 Net income (loss) (156) 294 Net income (loss) per share Basic $(0.06) $0.11 Diluted $(0.06) $0.09 Shares used in per share calculation 2,771 2,699 Weighted Average Shares Issued 2,771 2,699 Weighted Average Options -- 422 Weighted Average Warrants -- 161 As of March 31, Balance Sheet Data 1999 1998 Working capital $4,886 $5,903 Total assets 12,175 15,088 Long-term debt 66 202 Shareholders' equity 7,302 8,153  