xG Technology, Inc. | News

15 April 2009

Significant Shareholder Change

xG Technology, Inc. (AIM: XGT-L, the "Company") announces that it was notified on 14th April 2009 that ACH Securities, en liquidation, now holds for its own account and as nominee for clients a total of 14,924,198 common shares in the Company, representing approximately 11.3% of the share capital of the Company. The Company was also notified that neither ACH Securities, en liquidation, nor any of its clients singly beneficially owns 3% or more of the share capital of the Company.

Contacts

xG Technology, Inc. Richard Mooers, Chairman and Chief Executive Officer Roger Branton, Chief Operating Officer and Chief Financial Officer Jonas Krepp, Director of Investor Relations	www.xgtechnology.com +44 20-7429-6666 +44 20-7429-6666 +44 78-2744-4634

Conduit PR Charlie Geller or Jos Simson	+44 20-7429-6666

Religăre, Hichens Harrison PLC Daniel Briggs	+44 20-7588-5171

Daniel Stewart & Company PLC Simon Starr	+44 20-7776-6550

ING Bank N.V., London Branch (Nominated Adviser) Xavier Moreels or Ali Awan	+44 20-7767-1000

ABOUT XG TECHNOLOGY

Based in Florida, United States, xG Technology, Inc. has developed innovative, patented wireless communications technologies which offer the potential to significantly reduce the required capital investment and operating costs of wireless voice and data communications services. Its mobile VoIP (Voice over Internet Protocol) base station and handset product line - branded as xMax - is intended for use by regional carrier partners which seek to deliver mobile Internet Protocol voice and data services directly to consumers without using the incumbent circuit switched or coaxial cable networks. The xMax system provides an extended range of operation and is expected to provide superior handset battery performance and double the call capacity of mobile WiMAX networks. Planned future releases of the xMax product line include integrated video and data applications.