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Listing: TSX Venture Exchange

Symbol: DNX


OSC Proceedings Against Dynex Director


Lincoln, England, May 14, 2007 - Dynex Power Inc., a leading, independent power semiconductor company, today announced that, in a matter unrelated to the Company, the Ontario Securities Commission has initiated proceedings against Dynex’s longest standing director Deborah Weinstein. The OSC alleges that Ms. Weinstein, a former director of AiT Advanced Information Technologies Corporation, failed to disclose to the public in a timely manner the 2002 acquisition of AiT by 3M Corporation. The transaction was announced immediately after the requisite Board approval and execution of the definitive agreement on May 23, 2002. Ms. Weinstein believes the board of AiT acted in accordance with well-established merger and acquisition practice at the time to ensure that premature disclosure of an uncertain transaction did not create unrealistic expectations in the marketplace.

The OSC also initiated proceedings against the one management director of AiT and AiT (now 3M) itself who have both settled with the OSC.

There are no allegations of any impropriety, such as insider trading or of any personal gain. Ms Weinstein has advised Dynex that she is unaware of the existence of any facts known to her regarding a possible merger transaction that were unknown to other Board members. Ms Weinstein intends to defend vigorously her judgement and reputation. The hearing is scheduled to commence July 9, 2007.

David Banks, Chairman of Dynex Power Inc., commented “In acknowledging our understanding of the OSC proceedings, we would be remiss if we didn’t also acknowledge Deborah Weinstein as our longest serving and one of our strongest Directors. In addition to the excellent legal advice she has given Dynex, Debbie has provided wisdom about good governance and common sense about commercial matters. We have relied heavily on her good counsel in the process of successfully turning around the financial fortunes of Dynex in the past few years. We are delighted Ms Weinstein is remaining on our board.



About the Company

Dynex is one of the world’s leading suppliers of specialist, high power semiconductor products. Dynex Semiconductor Ltd is its main operating business and is based in Lincoln, England in a facility housing the fully integrated silicon wafer fabrication, assembly and test, sales, design and development operations. Dynex designs and manufactures high power bipolar discrete semiconductors, power modules, including insulated-gate bipolar transistors (IGBTs), and high power electronic assemblies. Dynex products are used world wide in power electronic applications including electric power generation, transmission and distribution, marine and rail traction drives, aircraft, electric vehicles, industrial automation and controls. The company continues to produce and sell certain high reliability integrated circuits (ICs) for use in specialist applications led by its proven radiation hard Silicon-on-Sapphire products for space and nuclear applications.

Press announcements and other information about Dynex are available on the World Wide Web at http://www.dynexsemi.com.


All monetary values expressed in this release are in Canadian dollars unless stated otherwise.


The TSX Venture Exchange has neither approved nor disapproved of the information in this press release.



For more information:

Dr. Paul Taylor
President and Chief Executive Officer

or
Bob Lockwood
Finance Director and Chief Financial Officer

Dynex Power Inc.
Tel: UK +44 1522 500 500
Email: paul_taylor@dynexsemi.com



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