Summary of APPLIED ENERGETICS, INC.

Item 1.02. Notice of Delisting or Failure to Satisfy a Continued Listing Rule or Standard; Transfer of Listing

On September 17, 2009 the Registrant received a notice from The NASDAQ Stock Market stating that the minimum bid price of its common stock was below $1.00 per share for 30 consecutive business days and that the Registrant was therefore not in compliance with Marketplace Rule 5450(a)(2). The notification letter has no effect at this time on the listing of the Registrant's common stock on The NASDAQ Global Market. Applied Energetics common stock will continue to trade on The NASDAQ Global Market under the symbol AERG.

The notification letter states that the Registrant will be afforded 180 calendar days, or until March 16, 2010, to regain compliance with the minimum closing bid requirement. In accordance with Marketplace Rule 5810(c)(3)(a), the Registrant can regain compliance if the closing bid price of the Registrant's common stock meets or exceeds $1.00 per share for at least 10 consecutive business days.

If the Registrant does not regain compliance by March 16, 2010, NASDAQ will provide written notification to the Registrant that the Company's securities are subject to delisting. In the event the Registrant does not regain compliance by March 16, 2010, the Company may be eligible for an additional 180 calendar day grace period if it meets the initial listing standards, with the exception of bid price, for The NASDAQ Capital Market. The Registrant believes that it currently meets the initial listing requirements for The NASDAQ Capital Market (other than the bid price) and intends to apply for such listing if it does not regain compliance with the minimum bid price requirement for continued listing on The NASDAQ Global Market.