================================================================================

                       SECURITIES AND EXCHANGE COMMISSION
                             Washington, D.C. 20549

                             ----------------------

                                   FORM 10-K


 [X]  Annual Report Pursuant to Section 13 or 15(d) of the Securities
      Exchange Act of 1934 (Fee Required)

          For the Fiscal Year Ended December 31, 1995

          Transition Report Pursuant to Section 13 or 15(d) of the
          Securities Exchange Act of 1934 (No Fee Required) For the
          transition period from  ________ to _________

                         Commission File Number 0-11676

                             -----------------------

                                  BEL FUSE INC.
             (Exact name of registrant as specified in its charter)

         New Jersey                                   22-1463699
(State or other jurisdiction of                   (I.R.S. Employer
incorporation or organization)                    Identification No.)

               198 Van Vorst Street, Jersey City, New Jersey 07302
                                 (201) 432-0463

       (Address and telephone number, including area code, of registrant's
                           principal executive office)

Securities registered pursuant to Section 12(b) of the Act:  None

Securities registered pursuant to Section 12(g) of the Act:  Common Stock,
$.10 par value

     Indicate by check mark whether the Registrant (1) has filed all reports
required to be filed by Section 13 or 15(d) of the Securities Exchange Act of
1934 during the preceding 12 months (or for such shorter period that the
Registrant was required to file such reports), and (2) has been subject to such
filing requirements for the past 90 days.

                         Yes   X              No
                             -----              -----

     Indicate by check mark if disclosure of delinquent filers pursuant to Item
     405 of Regulation S-K is not contained herein, and will not be contained,
     to the best of Registrant's knowledge, in definitive proxy or information
     statements incorporated by reference in Part III of this Form 10-K or any
     amendment to this Form 10-K. [ ]

     Aggregate market value of voting stock held by non-affiliates as of March
15, 1996 was approximately $42,162,897 (based upon the closing sales price of
those shares reported on the National Association of Securities Dealers
Automated Quotation System for that day).

     Number of shares of Common Stock outstanding as of March 15, 1996:
5,052,445

Documents incorporated by reference:

     Bel Fuse Inc.'s Definitive Proxy Statement for the 1996 Annual Meeting of
Stockholders is incorporated by reference into Part III.

================================================================================


<PAGE>



                                  BEL FUSE INC.

                                      INDEX

Part I                                                     Page
------                                                     -----
 Item 1.    Business...................................      1

 Item 2.    Properties.................................      6

 Item 3.    Legal Proceedings..........................      7

 Item 4.    Submission of Matters to Vote of Security
            Holders....................................      7

 Item 4A.   Executive Officers of the Registrant.......      8

Part II
--------
 Item 5.    Market for Registrant's Common Equity
            and Related Stockholder Matters............     10

 Item 6.    Selected Financial Data....................     11

 Item 7.    Management's Discussion and Analysis
            of Financial Condition and Results of
            Operations.................................     12

 Item 8.    Financial Statements and Supplementary
            Data.......................................     17*

 Item 9.    Changes in and Disagreements with 
            Accountants on Accounting and Financial 
            Disclosure ................................     18

Part III
--------
 Item 10.   Directors of the Registrant.................    18

 Item 11.   Executive Compensation......................    18

 Item 12.   Security Ownership of Certain
            Beneficial Owners and Management............    18

 Item 13.   Certain Relationships and Related

            Transactions................................    18

Part IV
--------
 Item 14.   Exhibits, Financial Statement Schedules
            and Reports on Form 8-K.....................    19

Signatures .............................................    22

------------
*Page F-1 follows page 17.



<PAGE>



                                     PART I
                                     ------
Item 1. Business
        --------

     General
     -------
     Bel Fuse Inc. (the "Company"), organized under New Jersey law, is engaged
in the design, manufacture and sale of products used in local area networking,
telecommunication, business equipment, automotive and consumer electronic
applications. The Company operates facilities throughout the world. The Company
maintains its principal executive offices at 198 Van Vorst Street, Jersey City,
New Jersey 07302; telephone (201) 432-0463. The term "Company" as used in this
Annual Report on Form 10-K refers to Bel Fuse Inc. and its consolidated
subsidiaries unless otherwise specified.

     Recent Developments
     -------------------

     From October 3, 1994 through November 8, 1994, the Company acquired 531,400
Class A Voting Common Shares of Pulse Engineering, Inc. ("Pulse"), representing
approximately 9.7% of Pulse's outstanding shares, at a cost of $2,464,839.

     Effective September 29, 1995 Technitrol, Inc. ("Technitrol") acquired all
of the outstanding common stock of Pulse under an Agreement and Plan of Merger
dated May 23, 1995. The Company received $1,662,000 in cash plus 193,585 shares
of Technitrol common stock valued at $3,194,000. As of the date hereof, the
Company owns 112,485 shares of Technitrol, Inc. common stock.

     At December 31, 1995, the Company accrued $400,000 of severance and
relocation costs in connection with the relocation of its sales office in France
to the United Kingdom to service its changing European customer base.

                                       -1-


<PAGE>



Product Groups
--------------

     Magnetic Components
     -------------------

     The Company manufactures a broad range of magnetic components. These
wire-wound devices perform such functions as signal delay, signal timing, signal
conditioning, impedance matching, filtering, isolation, power conversion and
power transfer. The Company directs its design and marketing efforts to supply
the needs of the following markets: manufacturers of networking and
telecommunication equipment, computer manufacturers, and consumer, automotive
and industrial electronic manufacturers. Although applications tend to overlap,
the magnetic components manufactured by the Company fall into three major
groups:

     1. Pulse Transformers
        ------------------

          These small wire-wound components offer the end user an inexpensive
     answer to surge protection, isolation and signal transfer. The major
     customers are the manufacturers of networking equipment, telecommunication
     equipment and computers.

     2. Delay Lines, Filters and DC/DC Converters
        -----------------------------------------

          These components are supplied to the same customer base as pulse
     transformers. They are densely packaged combinations of wire-wound
     components and other passive and active components such as capacitors,
     resistors and silicon integrated circuits (IC's). They perform the critical
     functions of timing, signal conditioning and power conversion.

     3. Power Transformers, Line Chokes, Coils
        --------------------------------------

          The basic functions of power transformers include AC voltage
     conversion and isolation; and they convert the power from the supply line
     to the supply circuitry of a given electronic instrument such as a TV or
     VCR. Line chokes block the conducted and radiated emissions of a power
     supply, and coils are used for supply and control circuitry in TV's and
     VCR's. These products are typically sold in large volume orders and are
     subject to highly competitive pricing pressures.

                                       -2-


<PAGE>



     Packaged Modules and Thick Film Hybrids
     ---------------------------------------

     The Company supplies packaged modules to end users in several other
industries whose requirements can be satisfied by combining in one integrated
package one or more of the Company's capabilities in surface mount assembly,
automatic winding, hybrid fabrication and component encapsulation.

     Thick film hybrids are dense, reliable, high quality electronic
microcircuits. The term "thick film hybrid" describes a method for screen
printing conductors, resistors and capacitors onto a ceramic substrate. This
substrate becomes a hybrid circuit when components such as integrated circuits,
transistors, capacitors, and inductors are added to the substrate in order to
form a functioning electrical circuit. The Company incorporates facets of this
technology in the design and manufacture of many of its other products including
packaged modules.

     MINIATURE AND MICRO FUSES
     -------------------------

     Fuses prevent currents in an electrical or electronic circuit from
exceeding certain predetermined levels. Fuses act as a safety valve to protect
expensive components from damage or to cut off high currents before they can
generate enough heat to cause smoke or fire. The Company manufactures miniature
and micro fuses for supplementary circuit protection. The Company sells its
fuses to a world-wide market. They are used in such products as televisions,
VCR's, power supplies, computers, telephones and networking assemblies.

     Marketing
     ---------

     The Company sells its products to approximately 530 customers throughout
North America, Western Europe and the Far East. Sales are made through
independent sales representative organizations and authorized distributors who
are overseen by the Company's regional sales personnel throughout the world.
Presently the Company has 49 sales representative organizations, 24
non-exclusive distributors and a sales staff of 17 persons.

     The Company has written agreements with all of its sales representative
organizations and major distributors. Written agreements terminable on short
notice by either party are standard in the industry.

     Finished products manufactured by the Company in its Far East facilities
are, in general, either sold to the Company's Jersey City facility for resale to
customers or are shipped directly to customers throughout the world. For further
information regarding the Company's geographic operations, see Note 6 of Notes
to Consolidated Financial Statements.

     The Company had sales to two customers who manufacture electronic equipment
in excess of ten percent of 1995 consolidated sales. The amounts and percentage
of consolidated sales were approximately $9,163,000 (13%) and $8,606,000 (12%).

                                       -3-


<PAGE>



     Foreign Land Leases
     -------------------

     The territories of Hong Kong and Macau will revert to the Peoples Republic
of China pursuant to long-term land leases which expire in the middle of 1997
and the end of 1999, respectively. Management cannot presently predict what
impact, if any, the expiration of these leases will have on the Company or how
the political climate in China will affect its contractual arrangements in
China. Substantially all of the Company's manufacturing operations and
approximately 81% of its identifiable assets are located in Hong Kong, Macau,
and The People's Republic of China. Accordingly, events resulting from the
expiration of such leases could have a material adverse effect on the Company.

     Research and Development
     ------------------------

     The Company's research and development efforts in 1995 were spread amongst
all of the Company's current product lines. The Company maintains continuing
programs to improve the reliability of its products and to design specialized
assembly equipment to increase manufacturing efficiencies. The Company's
research and development facilities are located in Indiana, California and Hong
Kong. Research and development costs amounted to $3,384,000 in 1995.

     Suppliers
     ---------

     The Company has multiple suppliers for most of the raw materials that it
purchases. Increasing demand for surface-mount components throughout the
electronics industry may result in longer lead times. Where possible, the
Company has contractual agreements with suppliers to assure continuing supply of
critical components.

     With respect to those items which are purchased from single sources, the
Company believes that compatible items would be available in the event that
there were a termination of the Company's existing business relationships with
any such particular supplier. While such an eventuality resulting from such
termination could produce a disruption in production, the Company does not
believe that the termination of business with any of its suppliers would have a
material adverse effect on its long-term operations.

     Backlog
     -------

     The Company normally manufactures products against firm orders.
Cancellation and return arrangements are normally negotiated by the Company on a
transactional basis. The Company's backlog of orders as of February 29, 1996 was
approximately $28.0 million, as compared with a backlog of $19.9 million as of
February 28, 1995. Management expects that the Company's backlog as of February
29, 1995 will be shipped by December 31, 1996 except for approximately $7.0.

                                       -4-


<PAGE>



Trademarks and Patents
----------------------

     The Company has been granted a number of U.S. patents and has additional
U.S. patent applications pending relating to its products. While the Company
believes that the issued patents are defendable and that the pending patent
applications relate to patentable inventions, there can be no assurance that a
patent will issue from the applications or that its existing patents can be
successfully defended. It is management's opinion that the successful
continuation and operation of the Company's business does not depend upon the
ownership of patents or the granting of pending patent applications, but upon
the innovative skills, technical competence and marketing and managerial
abilities of its personnel. The patents have a life of seventeen years from the
date of issue.

     The Company utilizes six U.S. registered trademarks -- BELIMITER, BELFUSE,
BEL, SLOBEL, MICROBEL and SURFUSE -- to identify various products that it
manufactures. The trademarks survive as long as they are in use and expire
between 1997 and 2007.

     Competition
     -----------

     There are numerous independent companies and divisions of major companies
which manufacture products that are competitive with one or more of the
Company's products. Some of the Company's competitors possess greater financial,
marketing and other resources than those available to the Company. The Company's
ability to compete is dependent upon several factors, including product
performance, quality, reliability, design and price. For information regarding
the effect of price competition on the Company's consolidated results of
operations, see "Managements' Discussion and Analysis of Financial Condition and
Results of Operations".

     Employees
     ---------

     As of December 31, 1995, the Company had 680 full-time employees. The
Company employed 83 people in its U.S. facilities and 597 throughout the rest of
the world excluding workers employed by independent contractors. The Company's
employees are not represented by any labor union. The Company believes that its
relations with employees are satisfactory.

                                       -5-


<PAGE>



Item 2. Properties
        ----------

     The Company currently occupies approximately 247,000 square feet of
manufacturing, warehouse, office, technical and staff quarter space worldwide.
The Company has additional production processing arrangements with
subcontractors in the People's Republic of China occupying approximately 60,000
square feet of manufacturing space. In addition to the Company's principal
corporate offices in New Jersey, the Company maintains facilities in The
People's Republic of China, Hong Kong and Macau in The Far East, in California
and Indiana in the U.S.A. and in The United Kingdom and France in Europe. During
March, 1996 the office in France was closed. The Company also owns an idle
facility of 46,300 square feet in Illinois. Approximately 75% of the 247,000
square feet the Company occupies is owned while the remainder is leased. See
Note 10 of Notes to Consolidated Financial Statements for additional information
pertaining to leased properties.

     The territories of Hong Kong and Macau will revert to the People's Republic
of China pursuant to long-term land leases which expire in the middle of 1997
and the end of 1999, respectively. Management cannot presently predict what
impact, if any, the expiration of these leases will have on the Company or how
the political climate in China will affect its contractual arrangements in
China. Substantially all of the Company's manufacturing operations and
approximately 81% of its identifiable assets are located in Hong Kong, Macau,
and The People's Republic of China. Accordingly, events resulting from the
expiration of such leases could have a material adverse effect on the Company.

                                       -6-


<PAGE>



Item 3. Legal Proceedings
        -----------------

     In March 1996, legal proceedings were commenced in New York State Supreme
Court and New Jersey Superior Court relating to a claim by Peers & Co., a former
investment banker of the Company, seeking certain fees in connection with the
Company's acquisition of common stock of Pulse Engineering, Inc. ("Pulse") and
the subsequent acquisition of Pulse by Technitrol, Inc. The Company denies the
substance of Peers' claim and intends to vigorously litigate this matter.
Although outcomes of legal proceedings cannot be assured, the Company does not
believe that such proceedings will materially adversely affect the Company's
consolidated financial condition or results of operations.


Item 4. Submission of Matters to a Vote of Security Holders
        ---------------------------------------------------

     No matters were submitted to a vote of the Company's shareholders during
the fourth quarter of 1995.

                                       -7-


<PAGE>



Item 4A. Executive Officers of the Registrant
         ------------------------------------

     The following table and biographical outlines set forth the positions and
offices within the Company presently held by each executive officer of the
Company and a brief account of the business experience of each such officer for
the past five years.

                                                  Positions and Offices
                                Officer             With the Company/
Name and Age                     Since             Business Experience
------------                    -------            -------------------
Elliot Bernstein, 72 ........    1954             Chairman of the Board,
                                                  Chief Executive Officer
                                                  and Director

Daniel Bernstein, 42 ........    1985             President, Managing
                                                  Director of the Company's
                                                  Macau Subsidiary and
                                                  Director

Robert H. Simandl, 67 .......    1967             Secretary and Director

Arnold Sutta, 69 ............    1985             Vice President

Peter Christoffer, 54 .......    1986             Vice President

Colin Dunn, 51 ..............    1992             Vice President and
                                                  Treasurer

Joseph Meccariello, 45 ......    1995             Vice President of
                                                  Manufacturing

     Elliot Bernstein has been a Director of the Company since its inception in
January 1949, served as President and Chief Executive Officer from 1954 to 1992,
and has served as Chairman of the Board and Chief Executive Officer since 1992.
One of his sons (Daniel Bernstein) is the President and a Director of the
Company and his brother (Howard Bernstein) is a Director of the Company. Another
one of his sons (Alexander Bernstein) formerly was an executive officer of the
Company.

     Daniel Bernstein has served the Company as President since June, 1992. He
previously served as Vice President (1985-1992) and Treasurer (1986-1992) and
has served as a Director since 1986. He occupied other positions with the
Company since 1978. He was appointed Managing Director of the Company's Macau
subsidiary during 1991. Daniel Bernstein is Elliot Bernstein's son, and Howard
Bernstein's nephew.

                                       -8-


<PAGE>


Item 4A. Executive Officers of the Registrant (continued)
         ------------------------------------ 

     Robert H. Simandl, a director of the Company since 1967 and Secretary of
the Company since 1967, is a member of the law firm of Robert H. Simandl,
Counsellor At Law. He has been a practicing attorney in New Jersey since 1953.

     Arnold Sutta joined the Company in 1966 and has served the Company as Vice
President, sales since 1985. Mr. Sutta supervises the worldwide sales of the
Company.

     Peter Christoffer has served the Company as Vice President since 1986 and
in 1990 became the President of the Company's former subsidiary, CAC
Microcircuits, Inc. ("CAC"). His responsibilities included the supervision of
engineering and production of thick film hybrids at CAC. Since 1991, he has
supervised the engineering and production of thick film hybrids at the Company's
Indiana facility.

     Colin Dunn joined the Company in 1991 as Finance Manager and in 1992 was
named Vice President of Finance and Treasurer. Prior to joining the Company, Mr.
Dunn was Vice President of Finance and Operations at Kentek Information Systems,
Inc. from 1985 to 1991 and had previously held a series of senior management
positions with Braintech Inc. and Weyerhaeuser Company.

     Joseph Meccariello joined the Company in 1979 as a Manager of Mechanical
Engineering and in 1994 became the Deputy Managing Director of the Company's
foreign subsidiary, Bel Fuse, Ltd. In 1995 he was named Vice President of
Manufacturing with responsibility for Far East production operations.

                                       -9-

<PAGE>


                                     PART II
                                     -------

Item 5. Market for Registrant's Common Equity and Related
        Stockholder Matters
        -------------------------------------------------

     (a) Market Information
         ------------------

     The Company's common stock, par value $.10 per share (the "Common Stock"),
is traded in the over-the-counter market. The following table sets forth the
high and low closing sales price range (as reported by National Quotation
Bureau, Inc.) for the Common Stock in the over-the-counter market for each
quarter during the past two years.

                                             High           Low
                                             ----           ---
Year Ended December 31, 1994:
First Quarter.........................    $ 9 1/8       $ 7 1/4
Second Quarter........................      7 3/8         5 7/8
Third Quarter.........................      7 3/4         6
Fourth Quarter........................      8 5/8         6 7/8

Year Ended December 31, 1995:
First Quarter.........................      9 1/2         7 3/4
Second Quarter........................     12 1/2         8 1/4
Third Quarter.........................     14 1/4        11
Fourth Quarter........................     13 1/4        10 3/8


     The Common Stock is reported under the symbol BELF in the NASDAQ National
Market.

     (b) Holders.
         --------

     As of March 21, 1996, there were 287 registered shareholders of the
Company's Common Stock plus an estimated 2,969 beneficial shareholders.

     (c) Dividends.
         ----------

     The Company has not paid any cash dividends and has no current plans to pay
any such dividends. There are no contractual restrictions on the Company's
ability to pay dividends.

                                      -10-

<PAGE>


Item 6. Selected Financial Data
        -----------------------

<TABLE>
<CAPTION>

                                                    Years Ended December 31,
                            ------------------------------------------------------------------------
                            1995              1994            1993              1992             1991
                            ----              ----            ----              ----             ----
                                         (In thousands of dollars, except per share data)
Selected Statements of Operations Data:
<S>                      <C>               <C>              <C>               <C>              <C>
Net sales..............  $ 70,706          $ 45,747         $ 47,460          $ 50,354         $36,641
Cost of sales..........    50,590            36,349           32,711            31,726          23,539
Selling, general and
 administrative
 expenses.............     12,554            11,458           11,338            10,181           9,595
Provision for plant
 closings.............        --                --               --                --            6,395
Gain on sale of
 building - net.......        --                --               --             11,410             --
Earnings (loss) before
 income taxes.........      9,320            (1,761)           4,005            20,132          (2,775)
Income tax provision
 (benefit)............      1,222              (203)             222             1,204             480
Net earnings (loss)...      8,098            (1,558)           3,783            18,928          (3,255)
Earnings (loss) per
 common share.........       1.62              (.32)             .77              3.88            (.67)

<CAPTION>

                                                      As of December 31,
                            -------------------------------------------------------------------------
                            1995              1994            1993              1992             1991
                            ----              ----            ----              ----             ----
                                           (In thousands of dollars, except per share data)
Selected Balance Sheet Data:
<S>                      <C>               <C>              <C>               <C>              <C>
Working capital.......   $ 28,644          $ 22,670         $ 27,875          $ 26,966         $ 12,015
Total assets..........     64,475            51,653           53,122            50,005           28,430
Long-term debt,
 excluding current
 installments.........       --                 --               --                --                 7
Stockholders' equity..     55,889            45,926           48,270            44,423           25,315
Book value per share..      11.06              9.25             9.78              9.04             5.23

</TABLE>

                                      -11-

<PAGE>


Item 7. Managements' Discussion and Analysis of Financial Condition
        and Results of Operations
        -----------------------------------------------------------

     The following discussion and analysis should be read in conjunction with
the Company's consolidated financial statements and the notes related thereto.
The discussion of results, causes and trends should not be construed to imply
any conclusion that such results, causes or trends will necessarily continue in
the future.

Results of Operations
---------------------

     The following table sets forth, for the past three years, the percentage
relationship to net sales of certain items included in the Company's
consolidated statements of operations.

                                            Percentage of Net Sales
                                     ---------------------------------------
                                            Years Ended December 31,
                                     ---------------------------------------
                                     1995              1994             1993
                                     ----              ----             ----

Net sales.......................     100.0%            100.0%           100.0%
Cost of sales...................      71.5              79.5             68.9
Selling, general and 
 administrative expenses........      17.8              25.0             23.9
Other income, net of interest
 expense........................       2.5                .7              1.3
Earnings (loss) before income 
 taxes .........................      13.2              (3.8)             8.4
Income tax provision (benefit)..       1.7               (.4)              .5
Net earnings (loss).............      11.5              (3.4)             7.9

     The following table sets forth, for the periods indicated, the percentage
increase or decrease of certain items included in the Company's consolidated
statements of operations.

                                             Increase (Decrease) from
                                                  Prior Period
                                        ----------------------------------
                                        1995 Compared        1994 Compared
                                          with 1994            with 1993
                                        -------------        -------------
Net sales............................      54.6%                 (3.6)%
Cost of sales........................      39.2                  11.1
Selling, general and administrative
 expenses............................       9.6                   1.1
Other income - net                           *                  (49.4)
Earnings (loss) before income taxes..        *                     *
Income tax provision (benefit).......        *                     *
Net earnings (loss)..................        *                     *

----------
* Percentage not meaningful.

                                      -12-

<PAGE>



     Sales
     -----

     Net sales increased 54.6% from 1994 to 1995 from approximately $45.7
million to $70.7 million. The Company attributes this increase primarily to
strong demand from OEM customers for Network products and increased sales to the
automotive industry. Increased Network sales are due to a greater focus on
certain key OEM accounts and sales growth from improvements in the Company's
engineering service and support to major OEM customers.

     Net sales decreased 3.6% from 1993 to 1994 from approximately $47.5 million
to $45.7 million. The Company attributes this decrease primarily to decreases in
transformer unit sales and selling prices as a result of continuing competition
in the industry, and decreases in delay line unit sales due to the maturity of
this product line, offset in part by an increase in sales of packaged modules.

     Cost of Sales
     -------------

     Cost of sales as a percentage of net sales decreased 8% from 79.5% in 1994
to 71.5% in 1995. The decrease in the cost of sales percentage is primarily
attributable to increased sales, which resulted in better absorption of indirect
labor and overhead and the move to lower cost manufacturing facilities in The
Far East offset in part by higher material content associated with the
manufacture of packaged modules. The Company regularly reviews its inventory for
slow moving, obsolete and overstocked inventory. The Company uses the direct
write-off method except for items that have a high scrap value or overstocked
positions where the reserve method is generally used. As at December 31, 1995
the inventory reserve for those items was approximately $141,000.

     Cost of sales as a percentage of net sales increased from 68.9% in 1993 to
79.5% in 1994. The substantial increase in the relative percentage of cost of
sales to net sales was due primarily to selling price reductions on several
mature products and decreased sales. In addition, such percentage increased as a
result of increases in raw material costs due to product mix, and depreciation
expense in the Company's Far East facility and increased costs at the Company's
technical facilities in California and Indiana.

     Selling, General and Administrative Expenses
     --------------------------------------------

     The percentage relationship of selling, general and administrative expenses
to net sales decreased 7.2% from 1995 to 1994. The Company attributes the
decrease primarily to the increase in sales. Selling, general and administrative
expenses increased in dollar amount by 9.6%. The Company attributes the increase
in the dollar amount of such expenses primarily to increases in commission and
other sales related expenses, due to increased sales, accrued severance amounts
principally associated with the closing of the Company's sales office in France
(Europe) and increases in administrative salaries and related office expenses.
During 1994, the Company incurred a $1,190,000 charge related to severance costs
and moving expenses associated with a move to lower cost production facilities.

                                      -13-


<PAGE>


     Selling, General and Administrative Expenses (Continued)
     --------------------------------------------

     The percentage relationship of selling, general and administrative expenses
to net sales increased by 1.1% from 1994 to 1993. The Company attributes the
increase primarily to (1) severance and related moving and training expenses
incurred during the second quarter of 1994 in the amount of $1,190,000 in
connection with its Far East subsidiary's decision to move its manufacturing
from Hong Kong to lower cost areas in Macau and The People's Republic of China
and (2) decreased sales. Selling, general and administrative expenses increased
in dollar amount by 1.1% principally as a result of expenses in connection with
the manufacturing move described above offset in part by reductions in
commissions and related selling expenses.

     Other Income and Expenses; Gain on Sale
     ---------------------------------------

     Other income, consisting of earnings on cash equivalents and marketable
securities and net realized gains on the sale of marketable securities increased
by approximately $1,457,000 in 1995 from 1994. The increase is primarily due to
the Company's realizing approximately $1,483,000 of gains from the partial
liquidation of the Company's investment in Pulse's common stock upon Pulse's
acquisition by Technitrol, Inc. in September, 1995 offset in part by losses on
the sale of other marketable securities.

     Other income, consisting principally of earnings on cash and cash
equivalents and marketable securities offset in part by realized losses on the
sale of marketable securities and the loss on abandonment of fixed assets
incurred in connection with the Company's move from Hong Kong to Macau and The
People's Republic of China, decreased by approximately $288,000 in 1994 from
1993. The decrease is attributable to the Company and its Far East subsidiary
realizing approximately $135,000 of losses from the sale of marketable
securities during 1994, the loss on abandonment of fixed assets of approximately
$167,000 during 1994 and lower earnings on invested funds due to lower average
balances during 1994 versus 1993.

     Provision for Income Taxes
     --------------------------

     The Company has historically followed a policy of reinvesting substantially
all of the earnings of foreign subsidiaries in the expansion of its foreign
operations. If the unrepatriated funds were distributed to the parent
corporation rather than reinvested in the Far East, such funds would be subject
to United States Federal income taxes. No funds were repatriated during 1995,
1994 or 1993. (See Note 5 of Notes to Consolidated Financial Statements).

     The income tax provision was $1,222,000 in 1995 as compared to a benefit of
$203,000 in 1994. The Company attributes this change primarily to the earnings
before income tax provision in 1995 versus a loss before income tax provision in
1994. The utilization of United States and Far East net operating loss
carryforward and general business credits in the United States in 1995 reduced
income taxes by approximately $577,000.

                                      -14-


<PAGE>



     Provision for Income Taxes (Continued)
     --------------------------

     The income tax provision decreased from a charge of $222,000 in 1993 to a
$203,000 benefit in 1994. The Company attributes this change primarily to the
loss before income tax provision during 1994 versus earnings before income tax
provision for 1993.

     The Company's effective tax rate has been lower than the statutory United
States corporate rate primarily as a result of lower rates in Hong Kong and
Macau. In 1995 the tax rate was impacted by the utilization of net operating
loss carryforward in the United States, Hong Kong and Macau and the utilization
of general business credits in the United States. In 1993 the tax rate was
impacted by the utilization of net operating loss carryforward in the United
States. During 1994 there was no utilization of net operating loss carryforward.

     Inflation
     ---------

     During the past two years, the effect of inflation on the Company's
profitability was not material. Fluctuation of the U.S. dollar against other
major currencies does not significantly affect the Company's foreign operations
as most transactions are denominated in U.S. dollars.

     Liquidity and Capital Resources
     -------------------------------

     Historically, the Company has financed its capital expenditures through
operating cash flows. Management believes that the cash flow from operations,
combined with its existing capital base and the Company's available lines of
credit, will be sufficient to fund its operations for the near term.

     The Company has lines of credit, all of which were unused at December 31,
1995, in the aggregate amount of $7,000,000, of which $5,000,000 is from
domestic banks and $2,000,000 is from foreign banks.

     From October 3, 1994 through November 8, 1994, the Company acquired 531,400
Class A Voting Common Shares of Pulse Engineering, Inc. ("Pulse"), representing
approximately 9.7% of Pulse's outstanding shares, at a cost of $2,464,839.

     On July 20, 1995, Pulse announced that its Board of Directors had accepted
a revised offer from Technitrol, Inc. ("Technitrol"), to acquire all of Pulse's
outstanding common stock. Effective September 29, 1995, Technitrol acquired the
Pulse common stock from the Company at a per share price of $3.12 per share in
cash plus .364 shares of Technitrol common stock resulting in the Company
receiving $1,662,000 in cash and 193,585 shares of Technitrol common stock. As
of the date hereof, the Company owns 112,485 shares of Technitrol common stock.

     During June 1995, the Company's Far East subsidiary acquired 22,500 square
feet of additional production facilities for approximately $2,500,000 in cash
including improvements.

                                      -15-


<PAGE>



     Liquidity and Capital Resources (Continued)
     -------------------------------

     During 1995, the Company's cash positions increased by $5.5 million,
principally reflecting $7.0 million provided by operating activities, the
proceeds of approximately $7.1 million from the sale of marketable securities
and $310,000 from the exercise of stock options offset in part by $7.4 million
in purchases of fixed assets (including the above mentioned production
facilities), $1.2 million in purchases of marketable securities and repayment of
$300,000 of short-term debt.

     The Company has historically followed a policy of reinvesting the earnings
of foreign subsidiaries in the Far East. If the unrepatriated funds were
distributed to the parent corporation, such funds would be subject to United
States Federal income taxes. No funds were repatriated during 1995 or 1994.

     The Company's shareholders' equity increased by $10.0 million from December
31, 1994 to December 31, 1995, reflecting the Company's 1995 net earnings of
$8.1 million, a $1.3 million increase in the net unrealized gain on marketable
securities, the exercise of incentive stock options of $310,000 and the
utilization for U.S. tax purposes of carryforward and current incentive stock
option deductions of $221,000.

     Cash, accounts receivable and marketable securities comprised approximately
39.7% and 35.7% of the Company's total assets at December 31, 1995 and December
31, 1994, respectively. The Company's current ratio (i.e., the ratio of current
assets to current liabilities) was 4.6 to 1 and 5.1 to 1 at December 31, 1995
and December 31, 1994, respectively.

     Accounting Standards
     --------------------

     For information regarding certain recently promulgated accounting
standards, see Note 1 of the Notes to the Company's Consolidated Financial
Statements.

     Other Matters
     -------------

     The territories of Hong Kong and Macau will revert to the People's Republic
of China pursuant to long-term land leases which expire in the middle of 1997
and the end of 1999, respectively. Management cannot presently predict what
impact, if any, the expiration of these leases will have on the Company or how
the political climate in China will affect its contractual arrangements in
China. Substantially all of the Company's manufacturing operations and
approximately 81% of its identifiable assets are located in Hong Kong, Macau,
and The People's Republic of China. Accordingly, events resulting from the
expiration of such leases could have a material adverse effect on the Company.

                                      -16-


<PAGE>



Item 8. Financial Statements and Supplementary Data
        -------------------------------------------

                   Index to Consolidated Financial Statements
                     and Supplementary Financial Data Page
                   ------------------------------------------
                                                                   Page
                                                                   ----
Independent Auditors' Report ...............................        F-1

Financial Statements:

    Consolidated Balance Sheets, December 31, 1995
     and 1994 ..............................................     F-2 - F-3

    Consolidated Statements of Operations, Years
     Ended December 31, 1995, 1994 and 1993 ................        F-4

    Consolidated Statements of Stockholders' Equity,
     Years Ended December 31, 1995, 1994 and 1993 ..........        F-5

    Consolidated Statements of Cash Flows, Years
     Ended December 31, 1995, 1994 and 1993 ................     F-6 - F-8

    Notes to Consolidated Financial Statements .............     F-9 - F-19

Supplementary Financial Data:

    Selected Quarterly Financial Data (Unaudited)
     Years Ended December 31, 1995 and 1994 ................        F-20

    Schedule II: Valuation and Qualifying Accounts .........        S-1

                                      -17-


<PAGE>

                          INDEPENDENT AUDITORS' REPORT

To the Board of Directors and Stockholders of
Bel Fuse Inc.
Jersey City, New Jersey

     We have audited the accompanying consolidated balance sheets of Bel Fuse
Inc. and its subsidiaries (the "Company") as of December 31, 1995 and 1994, and
the related consolidated statements of operations, stockholders' equity, and
cash flows for each of the three years in the period ended December 31, 1995.
Our audits also included the financial statement schedule listed in the Index at
Item 14. These financial statements and financial statement schedule are the
responsibility of the Company's management. Our responsibility is to express an
opinion on these financial statements and financial statement schedule based on
our audits.

     We conducted our audits in accordance with generally accepted auditing
standards. Those standards require that we plan and perform the audit to obtain
reasonable assurance about whether the financial statements are free of material
misstatement. An audit includes examining, on a test basis, evidence supporting
the amounts and disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made by
management, as well as evaluating the overall financial statement presentation.
We believe that our audits provide a reasonable basis for our opinion.

     In our opinion, such consolidated financial statements present fairly, in
all material respects, the financial position of Bel Fuse Inc. and its
subsidiaries at December 31, 1995 and 1994, and the results of their operations
and their cash flows for each of the three years in the period ended December
31, 1995 in conformity with generally accepted accounting principles. Also, in
our opinion, such financial statement schedule, when considered in relation to
the basic consolidated financial statements taken as a whole, presents fairly in
all material respects the information set forth therein.

March 6, 1996
Deloitte & Touche LLP
                                      F-1

<PAGE>


                         BEL FUSE INC. AND SUBSIDIARIES

                           CONSOLIDATED BALANCE SHEETS

                                     ASSETS
                                     ------

                                                             December 31,
                                                    ---------------------------
                                                        1995           1994
                                                    -----------     -----------
Current Assets:
  Cash and cash equivalents ...................     $ 8,343,925     $ 2,842,894
  Marketable securities (Note 2) ..............       5,556,740       7,508,304
  Accounts receivable - less allowance
   for doubtful accounts of $155,000
   and $70,000 ................................      11,705,344       8,079,971
  Inventories (Note 3) ........................      10,799,731       8,766,203
  Prepaid expenses and other current
   assets (Note 9) ............................         239,511         959,764
                                                    -----------     -----------
     Total Current Assets .....................      36,645,251      28,157,136

Property, plant and equipment - net
  (Notes 4 and 10) ............................      26,662,351      22,226,076

Unamortized excess of cost over fair
    value of assets acquired ..................         145,579         166,925

Other assets (Note 10) ........................       1,022,493       1,102,898
                                                    -----------     -----------
     TOTAL ASSETS .............................     $64,475,674     $51,653,035
                                                    ===========     ===========




                 See notes to consolidated financial statements.

                                       F-2


<PAGE>


                         BEL FUSE INC. AND SUBSIDIARIES

                           CONSOLIDATED BALANCE SHEETS

                      LIABILITIES AND STOCKHOLDERS' EQUITY
                      ------------------------------------

                                                            December 31,
                                                    ---------------------------
                                                        1995            1994
                                                    -----------     -----------
Current Liabilities:

  Note payable (Note 10) ......................     $      --       $   300,000
  Accounts payable ............................       3,374,433       3,171,408
  Accrued expenses ............................       4,049,366       1,987,536
  Income taxes payable (Note 5) ...............         539,924            --
  Deferred income taxes .......................          38,000          28,000
                                                    -----------     -----------
    Total Current Liabilities .................       8,001,723       5,486,944

Deferred income taxes (Note 5) ................         584,000         240,000
                                                    -----------     -----------
    Total Liabilities .........................       8,585,723       5,726,944
                                                    -----------     -----------
Commitments and Contingencies
  (Notes 5, 6, 7, 8 and 10)

Stockholders' Equity (Note 8):
  Preferred stock, no par value,
    authorized 1,000,000 shares;
    none issued ...............................             --              --
  Common stock, par value $.10 per share -
    authorized 10,000,000 shares; out-
    standing 5,051,445 and 4,965,195
    shares ....................................         505,145         496,520
  Additional paid-in capital ..................       6,811,900       6,288,987
  Retained earnings ...........................      48,115,306      40,017,231
  Net unrealized gain (loss) on
    marketable securities (Note 2) ............         457,600        (876,647)
                                                    -----------     -----------
       Total Stockholders' Equity .............      55,889,951      45,926,091
                                                    -----------     -----------
       TOTAL LIABILITIES AND STOCKHOLDERS'
        EQUITY ................................     $64,475,674     $51,653,035
                                                    ===========     ===========




                 See notes to consolidated financial statements.

                                       F-3


<PAGE>


                         BEL FUSE INC. AND SUBSIDIARIES

                      CONSOLIDATED STATEMENTS OF OPERATIONS


                                                Years Ended December 31,
                                       ----------------------------------------
                                           1995           1994           1993
                                       -----------    -----------    -----------
Net sales ........................     $70,706,311    $45,746,724    $47,460,108
                                       -----------    -----------    -----------
Costs and Expenses:
    Cost of sales ................      50,590,056     36,349,461     32,711,024
    Selling, general and
     administrative ..............      12,554,649     11,458,246     11,337,782
                                       -----------    -----------    -----------
                                        63,144,705     47,807,707     44,048,806
                                       -----------    -----------    -----------
Income (loss) from
 operations ......................       7,561,606     (2,060,983)     3,411,302
                                       -----------    -----------    -----------
Other income (net) ...............       1,762,522        306,477        594,415
Interest expense .................           4,053          6,553          1,204
                                       -----------    -----------    -----------
Earnings (loss) before
 income taxes ....................       9,320,075     (1,761,059)     4,004,513
Income tax provision
 (benefit) (Note 6) ..............       1,222,000       (203,000)       222,000
                                       -----------    -----------    -----------
Net earnings (loss) ..............     $ 8,098,075    $(1,558,059)   $ 3,782,513
                                       ===========    ===========    ===========
Earnings (loss) per
 common share ....................           $1.62          $(.32)          $.77
                                              ====           ====            ===
Weighted average number
 of common shares
 outstanding .....................       5,010,778      4,947,060      4,921,076
                                       ===========    ===========    ===========




                 See notes to consolidated financial statements.

                                       F-4


<PAGE>

<TABLE>

                                                       BEL FUSE INC. AND SUBSIDIARIES

                                                CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY
<CAPTION>


                                                Common Stock                                           Net Unreal-
                                            -----------------------      Additional                    ized Loss on
                                              Shares          Par         Paid-in        Retained       Marketable
                                            Outstanding      Value        Capital        Earnings       Securities       Total
                                            -----------    --------     ----------     -----------     -----------    -----------
<S>                                          <C>           <C>          <C>            <C>             <C>            <C>        
Balance, January 1, 1993 .............       4,912,906     $491,291     $6,138,923     $37,792,777     $     --       $44,422,991
Exercise of stock options ............          21,382        2,138         62,759            --             --            64,897
Net earnings .........................            --           --             --         3,782,513           --         3,782,513
                                             ---------     --------     ----------     -----------     ----------     -----------
Balance, December 31, 1993 ...........       4,934,288      493,429      6,201,682      41,575,290           --        48,270,401
Exercise of stock options ............          30,907        3,091         87,305            --             --            90,396
Net unrealized loss on
  marketable securities ..............            --           --             --              --         (876,647)       (876,647)
Net (loss) ...........................            --           --             --        (1,558,059)          -         (1,558,059)
                                             ---------     --------     ----------     -----------     ----------     -----------
Balance, December 31, 1994 ...........       4,965,195      496,520      6,288,987      40,017,231       (876,647)     45,926,091
Exercise of stock options ............          86,250        8,625        301,913            --             --           310,538
Tax benefits arising from the
 non-qualified dispositions of
 incentive stock options .............            --           --          221,000            --             --           221,000
Net unrealized gain on
 marketable securities ...............            --           --             --              --        1,334,247       1,334,247
Net earnings .........................            --           --             --         8,098,075           --         8,098,075
                                             ---------     --------     ----------     -----------     ----------     -----------
Balance, December 31, 1995 ...........       5,051,445     $505,145     $6,811,900     $48,115,306     $  457,600     $55,889,951
                                             =========     ========     ==========     ===========     ==========     ===========


                                        See notes to consolidated financial statements.
</TABLE>

                                                              F-5


<PAGE>

<TABLE>

                                                BEL FUSE INC. AND SUBSIDIARIES

                                             CONSOLIDATED STATEMENTS OF CASH FLOWS
<CAPTION>


                                                                 Years Ended December 31,
                                                      ---------------------------------------------
                                                          1995            1994             1993
                                                      -----------     -----------      ------------
<S>                                                   <C>             <C>              <C>         
Cash flows from operating activities:
  Net income (loss) .............................     $ 8,098,075     $(1,558,059)     $  3,782,513
  Adjustments to reconcile net
    income (loss) to net cash
    provided by operating
    activities:
      Depreciation and amortization .............       2,955,181       2,619,083         2,409,123
      Deferred income taxes .....................          50,000        (374,000)          (87,000)
      Tax effect of non-qualifying
        disposition of incentive
        stock options ...........................         221,000            --                --
      Net (gain) loss on sale of
        marketable securities ...................      (1,359,343)        134,743            30,844
      Provision for doubtful
        accounts ................................          85,000          16,175            20,000
      Inventory reserve and write-
        offs ....................................         487,000         658,432           194,272
      Loss on disposal/abandonment
        of property and equipment ...............          74,805         167,094            25,017
      Changes in operating assets
        and liabilities .........................      (3,576,366)     (2,449,875)       (1,259,191)
                                                       ----------      ----------       -----------
          Net Cash Provided by (used
            in) Operating Activities ............       7,035,352        (786,407)        5,115,578
                                                       ----------      ----------       -----------
Cash  flows from investing activities:
  Purchase of property, plant
    and equipment ...............................      (7,444,915)     (6,318,700)       (5,099,913)
  Purchase of marketable
    securities ..................................      (1,329,414)     (4,924,030)      (12,478,210)
  Proceeds from sale of
    marketable securities .......................       7,140,470       5,545,242         3,286,460
  Proceeds from sale of
    equipment ...................................            --           807,764            50,372
  Proceeds from repayment
    by contractors ..............................          89,000          29,000            29,000
                                                       ----------      ----------       -----------
          Net Cash (used in)
            Investing Activities ................      (1,544,859)     (4,860,724)      (14,212,291)
                                                       ----------      ----------       -----------



                                                                                           (Continued)

                                        See notes to consolidated financial statements.
</TABLE>

                                                              F-6


<PAGE>


<TABLE>

                                          BEL FUSE INC. AND SUBSIDIARIES

                                  CONSOLIDATED STATEMENTS OF CASH FLOWS (CONTINUED)

<CAPTION>

                                                                 Years Ended December 31,
                                                      ---------------------------------------------
                                                          1995            1994             1993
                                                      -----------     -----------      ------------
<S>                                                   <C>             <C>              <C>         
Cash flows from financing activities:
  Proceeds from exercise of
    stock options ...............................         310,538          90,396            64,897
  Proceeds from borrowings ......................            --           300,000               --
  Repayment of borrowings .......................        (300,000)         (3,139)           (4,264)
                                                       ----------      ----------        ----------
    Net Cash Provided
      by Financing
      Activities ................................          10,538         387,257            60,633
                                                       ----------      ----------        ----------
Net Increase (Decrease)
  in Cash and Cash Equivalents ..................       5,501,031      (5,259,874)       (9,036,080)
Cash and Cash Equivalents
  -- beginning of year ..........................       2,842,894       8,102,768        17,138,848
                                                       ----------      ----------        ----------
Cash and Cash Equivalents
  -- end of year ................................      $8,343,925     $ 2,842,894       $ 8,102,768
                                                       ==========     ===========       ===========



                                                                                              (Continued)

                                        See notes to consolidated financial statements.
</TABLE>

                                                              F-7


<PAGE>


<TABLE>

                                                BEL FUSE INC. AND SUBSIDIARIES

                                       CONSOLIDATED STATEMENTS OF CASH FLOWS (CONTINUED)

<CAPTION>

                                                                 Years Ended December 31,
                                                      ---------------------------------------------
                                                          1995            1994             1993
                                                      -----------     -----------      ------------
<S>                                                   <C>             <C>              <C>         
Changes in operating assets
  and liabilities consist of:
    (Increase) decrease in
      accounts receivable .......................      (3,710,373)     (2,033,279)        1,450,207
    (Increase) in inventories ...................      (2,520,528)       (596,690)       (2,019,177)
    (Increase) decrease in
      prepaid expenses and
      other current assets ......................         631,253        (836,351)           51,909
    (Increase) decrease in other
      assets ....................................          80,405          63,703          (102,709)
    Increase (decrease) in
      accounts payable ..........................         203,025       1,910,315           (14,489)
    Increase (decrease) in
      accrued expenses ..........................       1,199,928        (957,573)         (549,128)
    Increase (decrease) in
      income taxes payable ......................         539,924            --             (75,804)
                                                      -----------     -----------      ------------

                                                      $(3,576,366)    $(2,449,875)     $ (1,259,191)
                                                      ===========     ===========      ============

Supplementary information:
    Cash paid during year for:

     Interest ...................................     $     5,828     $     4,778      $      1,204
                                                      ===========     ===========      ============
     Income taxes ...............................     $   428,834     $   680,783      $    387,809
                                                      ===========     ===========      ============


Supplemental disclosure of non-cash
  investing and financing activities:
    Unrealized (gain) loss on
      marketable securities .....................     $(1,334,247)    $   876,647
                                                      ===========     ===========




                                        See notes to consolidated financial statements.
</TABLE>

                                                              F-8


<PAGE>



                         BEL FUSE INC. AND SUBSIDIARIES

                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

1. DESCRIPTION OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

     Bel Fuse Inc. and its subsidiaries (the "Company") are engaged in the
design, manufacture and sale of products used in local area networking,
telecommunication, business equipment and consumer electronic applications.
Sales are predominantly in North America, Western Europe and the Far East.

     PRINCIPLES OF CONSOLIDATION -- The consolidated financial statements
include the accounts of the Company and its wholly-owned subsidiaries. All
significant intercompany transactions and balances have been eliminated.

     USE OF ESTIMATES -- The preparation of the financial statements in
conformity with generally accepted accounting principles requires management to
make estimates and assumptions that effect the reported amounts of assets and
liabilities and disclosure of contingent assets and liabilities at the date of
the financial statements and the reported amounts of revenues and expenses
during the reporting period. Actual results could differ from those estimates.

     CASH AND CASH EQUIVALENTS -- Cash equivalents include short-term
investments in U.S. treasury bills with an original maturity of three months or
less when purchased.

     MARKETABLE SECURITIES -- The Company classifies its investments in debt and
equity securities as "available for sale", and accordingly, reflects unrealized
gains and losses, net of deferred income taxes, as a separate component of
stockholders' equity. At December 31, 1994, the income tax benefit attributable
to the unrealized loss on marketable securities was entirely offset by a
valuation allowance.

     Marketable securities are held by the parent company, a domestic subsidiary
and its Hong Kong subsidiary. The fair values are estimated based on quoted
market prices. Realized gains or losses from the sales of marketable securities
are based on the specific identification method.

     CONCENTRATION OF CREDIT RISK -- Financial instruments which potentially
subject the Company to concentrations of credit risk consist principally of
accounts receivable, temporary cash investments and investments. The Company
grants credit primarily to original equipment manufacturers and to
subcontractors of original equipment manufacturers based on an evaluation of the
customer's financial condition, without requiring collateral. Exposure to losses
on receivables is principally dependant on each customer's financial condition.
The Company controls its exposure to credit risk through credit approvals,
credit limits and monitoring procedures and maintains allowances for anticipated
losses.

     The Company places its temporary cash investments and investments with high
credit quality financial institutions and by policy, limits the amount of credit
exposure with any one financial institution.

                                       F-9


<PAGE>


                         BEL FUSE INC. AND SUBSIDIARIES

             NOTES TO CONSOLIDATED FINANCIAL STATEMENTS--(Continued)

1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)

     INVENTORIES -- Inventories are stated at the lower of weighted average cost
(first-in, first-out) or market.

     DEPRECIATION -- Property, plant and equipment are stated at cost less
accumulated depreciation. Depreciation is calculated primarily using the
declining-balance method for machinery and equipment and the straight-line
method for buildings over their estimated useful lives.

     INCOME TAXES -- Deferred taxes are provided to reflect the tax effect of
temporary differences between financial reporting and tax basis of assets and
liabilities. The principal items giving rise to deferred taxes are the use of
accelerated depreciation methods for plant and equipment and certain expenses
which have been deducted for financial reporting purposes which are not
currently deductible for income tax purposes and taxes on unrealized gains on
marketable securities.

     LONG-LIVED ASSETS -- In March 1995, the Financial Accounting Standards
Board issued Statement No. 121, "Accounting for the Impairment of Long-Lived
Assets and for Long-Lived Assets to Be Disposed of". This statement is effective
for fiscal years beginning after December 15, 1995. The Company does not expect
the effect on its consolidated financial condition and results of operations
from the adoption of this statement to be material.

     RECENTLY ISSUED ACCOUNTING STANDARD -- In October 1995, the Financial
Accounting Standards Board issued SFAS No. 123, "Accounting for Stock-Based
Compensation". The standard encourages, but does not require, companies to
recognize compensation expense of grants for stock, stock options and other
equity instruments to employees based on fair value accounting rules. SFAS No.
123 requires companies that choose not to adopt the new fair value accounting
rules to disclose pro forma net income and earnings per share under the new
method. The standard is effective for fiscal years beginning after December 15,
1995. The Company has not yet determined if it will adopt the accounting
provisions of SFAS No. 123 or only the disclosure provision. However, the
Company does not believe that adoption of SFAS No. 123 will have a significant
effect on its results of operations.

     EARNINGS (LOSS) PER COMMON SHARE -- Earnings (loss) per common share are
computed using the weighted average number of common shares outstanding during
the year. The dilutive effect of outstanding options were not material in 1995
and 1993 and were not considered in 1994 as their effect was antidilutive.

                                      F-10


<PAGE>



                         BEL FUSE INC. AND SUBSIDIARIES

                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS--(Continued)

1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)

     FAIR VALUE OF FINANCIAL INSTRUMENTS -- For financial instruments including
cash, accounts receivable, accounts payable and accrued expenses, it was assumed
that the carrying amount approximated fair value because of their short
maturities. The fair value of marketable securities are based on quoted market
prices, or based on bid prices for the principal only strips.

     RECLASSIFICATIONS -- Certain reclassifications have been made to prior year
balances in order to conform with the current year's presentation.

2. MARKETABLE SECURITIES

<TABLE>
<CAPTION>


                                                 Estimated        Gross           Gross
                                  Amortized         Fair        Unrealized      Unrealized
                                    Cost           Value          Gains           Losses
                                 ----------      ----------     ----------     -----------
<S>                              <C>             <C>            <C>            <C>         
December 31, 1995:
  Municipalities .............   $1,329,414      $1,325,576     $     --       $    (3,838)
  U.S. Government
   agencies -- colla-
   teralized mortgage
   obligations (1) ...........      987,716         779,180           --          (208,536)
  Equities:
   Common stock (3) ..........    1,678,638       3,185,434      1,636,300        (129,504)
   Preferred stock ...........      319,212         266,550           --           (52,662)
                                 ----------      ----------     ----------     -----------
                                 $4,314,980      $5,556,740     $1,636,300     $  (394,540)
                                 ==========      ==========     ==========     ===========

December 31, 1994:
  Municipalities .............   $1,214,699      $1,197,913     $     --       $   (16,786)
  U.S. Government
   agencies -- colla-
   teralized mortgage
   obligations (1) ...........    1,575,511         924,942           --          (650,569)
  Equities:
   Common stock (2) ..........    3,857,513       3,746,674        138,939        (249,778)
   Preferred stock ...........      830,690         762,800           --           (67,890)
  Mutual funds ...............      545,963         528,350           --           (17,613)
  Foreign corporation
   bonds .....................      360,575         347,625           --           (12,950)
                                 ----------      ----------     ----------     -----------
                                 $8,384,951      $7,508,304     $  138,939     $(1,015,586)
                                 ==========      ==========     ==========     ===========

--------------

<FN>

(1)  Includes principal only strips valued at amortized cost of $987,716 and an
     estimated fair value of $779,180 and $415,649 at December 31, 1995 and
     1994, respectively.

(2)  Includes 531,400 Class A Voting Common Shares of Pulse Engineering, Inc.
     ("Pulse"), representing approximately 9.7% of Pulse's outstanding shares,
     at a cost of $2,464,839.
</FN>
</TABLE>

                                      F-11


<PAGE>


                         BEL FUSE INC. AND SUBSIDIARIES

             NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)

2. MARKETABLE SECURITIES (Continued)

     (3) Includes 112,485 shares of Technitrol, Inc. common stock at a cost of
$945,120.

     Gross realized gains were $1,529,489 in 1995 ($34,964 in 1994 and $38,128
in 1993). Gross realized losses were $151,472 in 1995 ($169,707 in 1994 and
$68,972 in 1993).

     All debt securities mature after December 31, 1998.

3. INVENTORIES

                                                      December 31,
                                             -----------------------------
                                                1995               1994
                                             -----------        ----------
Raw materials ...........................    $ 7,059,330        $6,552,826
Work in process .........................        191,518            35,897
Finished goods ..........................      3,548,883         2,177,480
                                             -----------        ----------
                                             $10,799,731        $8,766,203
                                             ===========        ==========

4. PROPERTY, PLANT AND EQUIPMENT

                                                      December 31,
                                             ----------------------------
                                                1995               1994
                                             -----------       -----------

Land ....................................    $   835,218       $   686,988
Buildings and improvements ..............     13,481,550        10,121,169
Machinery and equipment .................     30,379,639        27,004,661
Idle property held for sale .............        935,000           935,000
                                             -----------       -----------
                                              45,631,407        38,747,818
Less accumulated depreciation ...........     18,969,056        16,521,742
                                             -----------       -----------
                                             $26,662,351       $22,226,076
                                             ===========       ===========

     Depreciation expense for the years ended December 31, 1995, 1994 and 1993
was $2,933,835, $2,597,735, and $2,367,777, respectively.

                                      F-12


<PAGE>



                         BEL FUSE INC. AND SUBSIDIARIES

             NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)

5. INCOME TAXES

     The provision (benefit) for income taxes consists of the following:

                                            Years Ended December 31,
                                  -------------------------------------------
                                     1995            1994              1993
                                  ----------      ----------        ----------
Current:

  Federal(a) ..................   $  654,000       $   --            $ 22,000
  Foreign(b) ..................      464,000         162,000          286,000
  State .......................       54,000           9,000            1,000
                                  ----------       ---------         --------
                                   1,172,000         171,000          309,000
                                  ----------       ---------         --------
Deferred:
  Federal .....................     (195,000)           --               --
  Foreign .....................      245,000        (374,000)         (87,000)
                                  ----------       ---------         --------
                                      50,000        (374,000)         (87,000)
                                  ----------       ---------         --------

                                  $1,222,000       $(203,000)        $222,000
                                  ==========       =========         ========

-----------------

(a)  Reduced by $177,000 and $645,000 in 1995 and 1993 for utilization of a net
     operating loss carryforward and $175,000 of tax credits carry-forward in
     1995.

(b)  Reduced by $224,000 in 1995 for utilization of a net operating loss
     carryforward.

     A reconciliation of taxes on income at the federal statutory rate to
amounts provided is as follows:


                                                Years Ended December 31,
                                         -------------------------------------
                                            1995         1994          1993
                                         -----------   ---------    ----------
Tax provision (benefit) computed
 at the Federal statutory rate ........  $ 3,169,000   $(599,000)   $1,361,000
Increase (decrease) in taxes
 resulting from:
Effect of unused U.S. tax
 losses ...............................       --         163,000           --
Utilization of Federal and
 foreign net operating loss
 carryforward and various
 Federal tax credits ..................     (577,000)       --        (645,000)
Alternative minimum tax - U.S. ........       --            --          22,000
Lower tax rates applicable
 to foreign operations ................   (1,356,000)       --        (516,000)
Effect of unused foreign tax
 losses ...............................       --         107,000           --
Other, net ............................      (14,000)    126,000           --
                                         -----------   ---------    ----------
                                         $ 1,222,000   $(203,000)   $  222,000
                                         ===========   =========    ==========


                                      F-13


<PAGE>



                         BEL FUSE INC. AND SUBSIDIARIES

             NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)

5. INCOME TAXES (Continued)

     The types of temporary differences between the tax basis of assets and
liabilities and their financial reporting amounts that give rise to the deferred
tax liability and deferred tax asset and their approximate tax effects are as
follows:

                                              December 31,
                            ----------------------------------------------------
                                    1995                         1994
                            -----------------------     ------------------------
                            Temporary                   Temporary
                            Difference    Tax Effect    Difference   Tax Effect
                            ----------    ---------     -----------   ---------
Depreciation .............  $3,780,000    $ 585,000     $ 3,947,000   $ 576,000
Net operating loss carry-
 forward .................    (904,000)    (252,000)     (3,074,000)   (682,000)
Net unrealized gain
 (loss) on marketable
 securities ..............     895,000      304,000        (356,000)   (121,000)
Other temporary
 differences .............    (786,000)    (267,000)        (70,000)    (20,000)
Tax credit carry forward..        --           --          (175,000)   (175,000)
Valuation allowances(1) ..     904,000      252,000       1,786,000     690,000
                            ----------    ---------     -----------   ---------
                            $3,889,000    $ 622,000     $ 2,058,000   $ 268,000
                            ==========    =========     ===========   =========

---------------

(1)  Valuation allowances relate to net operating losses in foreign countries as
     the realization of this deferred tax benefit is not more than likely.
     Additionally in 1994, the valuation allowance was recorded to reduce the
     net deferred tax benefit relating to net unrealized losses on marketable
     securities.

     It is management's intention to permanently reinvest a substantial portion
of the earnings of foreign subsidiaries in the expansion of its foreign
operations. No funds were repatriated during 1995. Unrepatriated earnings, upon
which income taxes have not been accrued, amounted to approximately $46,085,000
at December 31, 1995. The related amount of income taxes would approximate
$10,838,000.

                                      F-14


<PAGE>



                         BEL FUSE INC. AND SUBSIDIARIES

             NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)

6. OPERATIONS IN GEOGRAPHIC AREAS, FOREIGN OPERATIONS AND EXPORT SALES

<TABLE>
<CAPTION>

                                                                      Adjustments   
                                     United          Foreign              and
                                     States         Countries(1)       Eliminations      Consolidated
                                  -----------       -----------        ------------      ------------
<S>                               <C>               <C>                <C>               <C>
1995
----
Sales to unaffiliated
 customers ....................   $44,702,623       $26,003,688        $     --          $70,706,311
Transfers between geographic
 areas ........................     6,580,116        35,775,197         (42,355,313)            --
                                  -----------       -----------        ------------      -----------
         Total Revenues .......   $51,282,739       $61,778,885        $(42,355,313)     $70,706,311
                                  ===========       ===========        ============      ===========
Operating income ..............   $ 1,155,081       $ 6,406,525        $      --         $ 7,561,606
                                  ===========       ===========        ============      ===========
Identifiable assets as at 
 December 31, 1995 ............   $12,472,024       $52,011,394        $     (7,744)     $64,475,674
                                  ===========       ===========        ============      ===========

1994
----
Sales to unaffiliated 
 customers ....................   $25,917,319       $19,829,405        $      --         $45,746,724
Transfers between geographic
 areas ........................     1,674,378        17,256,984         (18,931,362)            --
                                  -----------       -----------        ------------      -----------
         Total Revenues .......   $27,591,697       $37,086,389        $(18,931,362)     $45,746,724
                                  ===========       ===========        ============      ===========
Operating (loss) ..............   $  (621,758)      $(1,439,225)       $      --         $(2,060,983)
                                  ===========       ===========        ============      ===========
Identifiable assets as at
 December 31, 1994 ............   $15,124,357       $36,536,422        $     (7,744)     $51,653,035
                                  ===========       ===========        ============      ===========
1993
----
Sales to unaffiliated
 customers ....................   $25,381,690       $22,078,418        $      --         $47,460,108
Transfers between geographic
 areas ........................     3,364,331        16,891,277         (20,255,608)           --
                                  -----------       -----------        ------------      -----------
         Total Revenues .......   $28,746,021       $38,969,695        $(20,255,608)     $47,460,108
                                  ===========       ===========        ============      ===========

Operating income ..............   $ 1,685,644       $ 1,725,658        $      --         $ 3,411,302
                                  ===========       ===========        ============      ===========
Identifiable assets as at
 December 31,  1993 ...........   $12,811,141       $40,318,347        $     (7,744)     $53,121,744
                                  ===========       ===========        ============      ===========
</TABLE>
--------------

(1)  Consist principally of operations in The Far East.

                                      F-15


<PAGE>



                         BEL FUSE INC. AND SUBSIDIARIES

             NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)

6. OPERATIONS IN GEOGRAPHIC AREAS, FOREIGN OPERATIONS AND EXPORT SALES
   (Continued)

     Transfers between geographic areas include raw materials manufactured in
the United States which are shipped to foreign countries to be manufactured into
finished products and finished products manufactured in foreign countries and
transferred to the United States for sale. Operating income (loss) represents
total revenue less operating expenses. In computing operating income (loss),
none of the following items have been included: interest income or expense,
other income and income taxes.

     Identifiable assets are those assets of the Company that are identified
with the operations of each geographic area.

     The territories of Hong Kong and Macau will revert to the People's Republic
of China pursuant to long-term land leases which expire in the middle of 1997
and the end of 1999, respectively. Management cannot presently predict what
impact, if any, the expiration of these leases will have on the Company or how
the political climate in China will affect its contractual arrangements in
China. Substantially all of the Company's manufacturing operations and
approximately 81% of its identifiable assets are located in Hong Kong, Macau,
and The People's Republic of China. Accordingly, events resulting from the
expiration of such leases could have a material adverse effect on the Company.

     The Company realized exchange (gains) losses of approximately $(32,886),
$(2,000), and $32,000 for the years ended December 31, 1995, 1994 and 1993,
respectively. Unrealized exchange gains (losses) on foreign currency amounted to
approximately $7,835, $72,000, and $(101,000) for the years ended December 31,
1995, 1994 and 1993, respectively.

     The Company's research and development facilities are located in Indiana,
California and Hong Kong. Research and development costs amounted to $3,384,000
in 1995.

     The Company had sales in excess of ten percent to two customers who
manufacture electronic equipment. The amounts and percentages were approximately
9,163,000 (13%) and $8,606,000 (12%) in 1995; $4,602,000 (10%) in 1994 and
$6,720,000 (14%) and $5,338,000 (11%) in 1993.

7. RETIREMENT FUND AND PROFIT SHARING PLAN

     The Company maintains a domestic profit sharing plan, a contributory stock
ownership and savings 401(K) plan which combines stock ownership and individual
voluntary savings provisions to provide retirement benefits for plan
participants. The plan provides for participants to voluntarily contribute a
portion of their compensation, subject to certain legal maximums. The Company
will match, based on a sliding scale, up to $350 for the first $600 contributed
by each participant. Matching contributions plus additional discretionary
contributions will be made with Company stock. The expense for the years ended
December 31, 1995, 1994 and 1993 amounted to approximately $137,000, $125,000
and $107,000, respectively.

                                      F-16


<PAGE>



                         BEL FUSE INC. AND SUBSIDIARIES

                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)

7. RETIREMENT FUND AND PROFIT SHARING PLAN (Continued)

     The Company's Far East subsidiaries have a retirement fund covering
substantially all of their full-time employees. Eligible employees contribute up
to 5% of salary to the fund. In addition, the Company may contribute an amount
equal to a percentage of eligible salary, as determined by the Company, in cash
or Company stock. The expense for the years ended December 31, 1995, 1994 and
1993 amounted to approximately $311,000, $345,000 and $459,000, respectively.
The Company has agreed to repurchase its stock, if no market exists, should
it be requested to do so by the trustees of the Company's Far East plan.

8. STOCK OPTION PLAN

     The Company has a Qualified Stock Option Plan (the "Plan") which provides
for the granting to key employees of "Incentive Stock Options" within the
meaning of Section 422 of the Internal Revenue Code of 1954, as amended. The
Plan provides for the issuance of 700,000 shares.

     On May 26, 1994 the Company cancelled 103,500 options to employees
exercisable at $9.125 to $9.75 per share and regranted them at an option price
of $6.50 per share. On May 26, 1994 the Company granted options to employees
covering 43,000 shares at option prices of $6.50 to $7.00 per share and on
September 27, 1994 40,000 options to officers of the Company at an option price
of $7.70 per share.

     Substantially all options outstanding become exercisable twenty-five
percent one year from the date of the grant and twenty-five percent for each of
the three years thereafter.

     The following summarizes the stock option transactions for the years ended
December 31, 1995, 1994 and 1993:

<TABLE>
<CAPTION>

                                                                Number of                Per Share
                                                                 Shares                 Option Price
                                                                ---------               --------------
<S>                                                              <C>                    <C>

Outstanding at January 1, 1993 .............................     205,164                $2.34 - $9.125
 Cancelled .................................................     (18,000)               $2.34 - $9.125
 Granted ...................................................      38,000                    $9.75
 Exercised .................................................     (21,382)               $2.34 - $9.75

Outstanding at December 31, 1993 ...........................     203,782                $2.34 - $9.75
 Cancelled .................................................    (116,625)               $3.00 - $9.75
 Granted ...................................................     186,500                $6.50 - $7.70
 Exercised .................................................     (30,907)               $2.34 - $3.75

Outstanding at December 31, 1994 ...........................     242,750                $2.34 - $7.70
 Cancelled .................................................     (14,500)               $6.50 - $7.00
 Granted ...................................................        -                         -
 Exercised .................................................     (86,250)               $2.34 - $7.00

Outstanding at December 31, 1995 ...........................     142,000                $3.75 - $7.70

Available for future grant
 December 31, 1995 .........................................     218,375

Exercisable at December 31, 1995 ...........................      26,125

</TABLE>


                                      F-17


<PAGE>



                         BEL FUSE INC. AND SUBSIDIARIES

                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)

9. RELATED PARTY TRANSACTIONS

     At December 31, 1994 prepaid expenses and other current assets include
advances against compensation of $49,577, to the Company's Chief Executive
Officer.

10. COMMITMENTS AND CONTINGENCIES

     Leases
     ------

     The Company leases various facilities. Certain of these leases require the
Company to pay certain executory costs (such as insurance and maintenance).

     Future minimum lease payments for operating leases are as follows:

                        Years
                        Ending
                      December 31,
                      ------------
                        1996 .............  $  584,000
                        1997 .............     203,000
                        1998 .............     115,000
                        1999 .............     111,000
                        2000 ..............       --
                        Thereafter ........       --
                                            ----------
                                            $1,013,000
                                            ==========

     Rental expense was approximately $474,000, $318,000 and $267,000 for the
years ended December 31, 1995, 1994 and 1993, respectively.

     Credit Facilities
     -----------------

     The Company has two domestic unsecured line of credit amounting to
$5,000,000 which was unused at December 31, 1995. The lines of credit are
renewable annually.

     The Company's Hong Kong subsidiary has an unsecured line of credit of
approximately $2,000,000 which expires in August, 1996 and was unused at
December 31, 1995. Borrowing on the line of credit is guaranteed by the U.S.
parent.

     Production Arrangements
     -----------------------

     The Company's Hong Kong subsidiary has an agreement with a contractor in
the People's Republic of China for the assembly of electronic components. The
Company advanced the contractor monies for the construction of a 50,000 square
foot facility of which $256,000 is outstanding at December 31, 1995. The Company
is obligated to the contractor in the amount of approximately $259,000 a year
through 2003 for minimum labor charges which will be offset in part by the
$256,000 owed to the Company by the contractor.


                                      F-18

<PAGE>

     Litigation
     ----------

     In March 1996, legal proceedings were commenced relating to a claim by a
former investment banker of the Company which is seeking certain fees in
connection with the Company's acquisition of common stock of Pulse Engineering,
Inc. ("Pulse") and the subsequent acquisition of Pulse by Technitrol, Inc. The
Company denies the substance of the investment banker's claim and intends to
vigorously litigate this matter. Although outcomes of legal proceedings cannot
be assured, the Company does not believe that such proceedings will materially
adversely affect the Company's consolidated financial condition or results of
operations.

                                      F-19

<PAGE>



                         BEL FUSE INC. AND SUBSIDIARIES

                        SELECTED QUARTERLY FINANCIAL DATA
                                   (UNAUDITED)

<TABLE>
<CAPTION>


                                                                                                       Total Year
                                                                                                         Ended
                                March 31,      June 30,        September 30,       December 31,       December 31,
                                  1995           1995              1995                1995               1995
                              -----------    -----------       ------------        -----------        -----------
                      
<S>                           <C>            <C>               <C>                 <C>                <C>

Net sales .................   $15,849,971    $18,110,282       $17,567,632         $19,178,426        $70,706,311
                      
Gross profit ..............   $ 4,212,339    $ 4,720,512       $ 4,977,803         $ 6,205,601        $20,116,255
                      
Net earnings ..............   $ 1,473,572    $ 1,496,735       $ 1,979,700         $ 3,148,068        $ 8,098,075
                      
Earnings per share(1) .....          $.30           $.30              $.39                $.62              $1.62

</TABLE>
                    
-------------
               
(1)  Earnings per share is computed on a quarterly basis. The quarterly amounts
     of earnings per share may not agree to the total for the year.


<TABLE>
<CAPTION>

                                                                                                       Total Year
                                                                                                         Ended
                                March 31,      June 30,        September 30,       December 31,       December 31,
                                  1994           1994              1994                1994               1994
                              -----------     -----------       -----------         -----------       -----------
<S>                           <C>             <C>               <C>                 <C>               <C>

Net sales .................   $ 9,423,962     $10,110,328       $12,191,187         $14,021,247       $45,746,724

Gross profit ..............   $ 1,668,823     $ 1,787,821       $ 2,578,092         $ 3,362,527       $ 9,397,263

Net earnings (loss) .......   $  (665,492)    $(2,206,886)      $   354,731         $   959,588       $(1,558,059)

Earnings (loss) per share .         $(.13)          $(.45)             $.07                $.19             $(.32)

</TABLE>


                                      F-20


<PAGE>



Item 9. Changes in and Disagreements with Accountants on Accounting and
        ---------------------------------------------------------------
        Financial Disclosure
        --------------------

     None.

                                    PART III

Item 10. Directors of the Registrant
         ---------------------------

     The Company hereby incorporates by reference the applicable information
from its definitive proxy statement for its 1996 Annual Meeting of Shareholders.

Item 11. Executive Compensation
         ----------------------

     The Company hereby incorporates by reference the applicable information
from its definitive proxy statement for its 1996 Annual Meeting of Shareholders.

Item 12. Security Ownership of Certain Beneficial Owners and Management
         --------------------------------------------------------------

     The Company hereby incorporates by reference the applicable information
from its definitive proxy statement for its 1996 Annual Meeting of Shareholders.

Item 13. Certain Relationships and Related Transactions
         ----------------------------------------------

     The Company hereby incorporates by reference the applicable information
from its definitive proxy statement for its 1996 Annual Meeting of Shareholders.

                                      -18-


<PAGE>



                                     PART IV

Item 14. Exhibits, Financial Statement Schedules and Reports on Form 8-K
         ----------------------------------------------------------------

<TABLE>
<CAPTION>

                                                                                    Page
                                                                                    -----
<S>                                                                                <C>

(a)

   1.   Financial statements filed as a part of this report:

        Independent Auditors' Report ..........................................      F-1

        Consolidated Balance Sheets as of December 31, 1995 and 1994 ..........    F-2 - F-3

        Consolidated Statements of Operations for Each of the Three
          Years in the Period Ended December 31, 1995 .........................      F-4

        Consolidated Statements of Stockholders' Equity for
          Each of the Three Years in the Period  Ended
          December 31, 1995 ...................................................      F-5

        Consolidated Statements of Cash Flows for Each of the
          Three Years in the Period Ended December 31, 1995 ...................    F-6 - F-8

        Notes to Consolidated Financial Statements ............................    F-9 - F-19

        Selected Quarterly Financial Data - Years Ended
          December 31, 1995 and 1994 (Unaudited) ..............................      F-20

   2.   Financial statement schedules filed as part of this report:

        Schedule II:  Valuation and Qualifying Accounts .......................      S-1

        All other schedules are omitted because they are
        inapplicable, not required or the information is included
        in the financial statements or notes thereto.

(b)

   3.   Exhibits filed as part of this report.

</TABLE>


                                      -19-


<PAGE>



Item 14. Exhibits, Financial Statement Schedules and Reports on
         ------------------------------------------------------
         Form 8-K (continued)
         --------

Exhibit No.:
------------
    3.1       Certificate of Incorporation, as amended -- Incorporated
              by reference to Exhibit 3.1 of the Company's Annual Report
              on Form 10-K for the year ended December 31, 1992.

    3.2       By-laws, as amended, are hereby incorporated by reference
              to Exhibit 4.2 of the Company's Registration Statement on
              Form S-2 (Registration No. 33-16703) filed with the
              Securities and Exchange Commission on August 25, 1987.

   10.1       Agency agreement dated October 1, 1988 between Bel Fuse Ltd.
              and Rush Profit Ltd. -- Incorporated by reference to Exhibit 10.1
              of the Company's annual report on Form 10K for the year ended
              December 31, 1994.

   10.2       Contract dated March 16, 1990 between Accessorios Elec-
              tronicos (Bel Fuse Macau Ltd.) and the Government of Macau. --
              Incorporated by reference to Exhibit 10.2 of the Company's annual
              report on Form 10K for the year ended December 31, 1994.

   10.3       Loan agreement dated February 14, 1990 between Bel Fuse,
              Ltd. (as lender) and Luen Fat Lee Electronic Factory (as
              borrower).

   10.4       Lease dated April 15, 1990 between the Company's French
              subsidiary (as lessee) and lessor. -- Incorporated by
              reference to Exhibit 10.9 of the Company's Annual Report on
              Form 10-K for the year ended December 31, 1990.

   10.5       Lease dated March 20, 1992 between the Company's Central
              Coil Company, Inc. subsidiary (as lessee) and lessor. -- In-
              corporated by reference to Exhibit 10.12 of the Company's
              Annual Report on Form 10-K for the year ended December 31,
              1991.

   10.6       Stock Option Plan -- Incorporated by reference to Exhibit
              28.1 of the Company's Registration Statement on Form S-8
              (Registration No. 33-53462) filed with the Securities and
              Exchange Commission on October 20, 1992.

   10.7       Contract for purchase of the new manufacturing and office
              space of the Company's Macau subsidiary located in Macau,
              dated May 4, 1993 between Fundicio e Construciones Mecanicas
              (Macau) S.A.R.L. (seller) and Accessorios Electronicos "Bel
              Fuse" Macau LDA (buyer) -- Incorporated by reference to
              Exhibit 10-11 of the Company's Annual Report on Form 10-K
              for the year ended December 31, 1994.


                                      -20-

<PAGE>


Item 14. Exhibits, Financial Statement Schedules and Reports on
         ------------------------------------------------------
         Form 8-K (continued)
         --------

Exhibit No.:
------------
   11.1       A statement regarding the computation of earnings per share
              is omitted because such computation can be clearly
              determined from the material contained in this Annual Report
              on Form 10-K.

   22.1       Subsidiaries of the Registrant.

   23.1       Consent of Independent Auditors.

   27.1       Financial Data Schedule.

     (c) The Company did not file any reports or Form 8-K during the quarter
ended December 31, 1995.

                                      -21-


<PAGE>


                                   SIGNATURES

     Pursuant to the requirements of Section 13 or 15(d) of the Securities
Exchange Act of 1934, this report has been signed below by the following persons
on behalf of the registrant and in the capacities and on the dates indicated.


                                              BEL FUSE, INC.


                                              BY: /s/ DANIEL BERNSTEIN
                                                  ------------------------------
                                                  Daniel Bernstein, President

Dated:  March 29, 1996

           Pursuant to the requirements of the Securities Exchange Act of 1934,
this report has been signed below by the following persons on behalf of the
registrant and in the capacities and on the dates indicated.

      Signature                   Title                              Date 
      ---------                   -----                              ----

/s/ ELLIOT BERNSTEIN          Chairman of the Board
-------------------------     and Director (Principal           March 29, 1996
Elliot Bernstein              Executive Officer)

/s/ DANIEL BERNSTEIN          President, (Principal
-------------------------     Financial and Account-            March 29, 1996
Daniel Bernstein              ing Officer) and
                              Director

/s/ HOWARD B. BERNSTEIN       Director                          March 29, 1996
-------------------------
Howard B. Bernstein

/s/ ROBERT H. SIMANDL         Director                          March 29, 1996
-------------------------
Robert H. Simandl

/s/ PETER GILBERT             Director                          March 29, 1996
------------------------- 
Peter Gilbert

                                      -22-


<PAGE>

<TABLE>
<CAPTION>


                                                BEL FUSE INC. AND SUBSIDIARIES

                                        SCHEDULE II - VALUATION AND QUALIFYING ACCOUNTS

                Column A                      Column B           Column C           Column D          Column E           Column F
                --------                      --------           --------           --------          --------           --------
                                                                           Additions
                                                                 ---------------------------
                                                                    (1)               (2)
                                                                  Charged           Charged
                                              Balance at         to profit          to other                             Balance
                                              Beginning          and loss           accounts         Deductions          at close
              Description                     of period          or income         (describe)        (describe)          of period
              -----------                     ---------          ---------         ----------        ----------          ---------
<S>                                            <C>                <C>               <C>              <C>                 <C>
Year ended December 31, 1995
  Allowance for doubtful
   accounts ..............................     $  70,000          $  85,000         $   --           $     --            $ 155,000
                                               =========          =========         =======          =========           =========
  Allowance for excess and obsolete
   inventory .............................     $    --            $ 141,000         $   --           $     --            $ 141,000
                                               =========          =========         =======          =========           =========

Year ended December 31, 1994
  Allowance for doubtful
   accounts ..............................     $  70,000          $  16,175         $   --           $  16,175(a)        $  70,000
                                               =========          =========         =======          =========           =========


Year ended December 31, 1993
  Allowance for doubtful
     accounts ............................     $  50,000          $  20,000         $   --           $     --            $  70,000
                                               =========          =========         =======          =========           =========
----------
</TABLE>

(a) Write offs.


                                      S-1