Princeton Security Technologies Reports Second Quarter Fiscal Year 2008 Results

PRINCETON, NJ--(Marketwire - August 26, 2008) - Princeton Security Technologies, Inc. (OTCBB: PSGY), through its wholly owned subsidiary, Princeton Gamma-Tech Instruments (PGT), a leading supplier of X-ray and Gamma-ray Detectors and Spectroscopy systems, portable Radioisotope Identifiers, and portable Chemical Analyzers, announced today financial results for the second quarter and six months ended June 30, 2008.

Net revenues for the quarter ended June 30, 2008 increased 9% to $707,785 as compared to $648,104 for the comparable period last year. Net loss for the quarter was $99,882, or $0.01 per share, as compared to a net loss of $231,129, or $0.02 per share for the second quarter of the prior year.

For the six months ended June 30, 2008, revenues decreased 9% to $1,412,693 from $1,503,159 in the comparable period last year. Net loss for the first six months of fiscal 2008 was $131,812, or $0.01 per share, compared to net loss of $335,856 or $0.03 per share for the six months period in the prior year.

Investors are encouraged to review the company's Form 10-Q at www.sec.gov.

Juhani Taskinen, CEO & President, stated, "We are very pleased with our continued sales growth, despite a very challenging market. We believe that the investments we've made in recent years have positioned us favorably to compete in our increasingly global industry. Additionally, in our ongoing focus to improve operations, we have successfully lowered our operating expenses as a percentage of sales from the prior year and have improved gross profit margins and lowered expenses."

On August 8th from CBRNE Technologies, an independent firm that specializes in identifying appropriate equipment to fulfill capability gaps in CBRNE (chemical, biological, radiological, nuclear and explosives) response, issued a report for hand-held radioisotope identifiers.

The SAM 940™ was the most highly rated by all of the technicians present at the evaluation. Several distinguishing features caused the SAM 940™ to stand out amongst the other two instruments evaluated.

"We are also very pleased with the independent test results for our SAM Radioisotope Identifier product line in which it was selected the best unit for the Hazmat team environment. Such results should impact our product sales the next 3 to 6 months," concluded Mr. Taskinen.

About Princeton Security Technologies Inc.:

Princeton Security Technologies, through its wholly owned subsidiary, Princeton Gamma-Tech Instruments (PGT), is a supplier of X-ray and Gamma-ray Detectors and Spectroscopy systems, portable Radioisotope Identifiers, and portable Chemical Analyzers. The Company serves a broad customer base in scientific research, industrial materials analysis, and Home Land Security. PGT operates a full customer service and Reachback program via its partners, backed by highly skilled R&D and manufacturing staff in its Princeton facility.

Princeton Gamma Tech Instruments has brought leadership and technical innovation to the semiconductor gamma and X-ray detection field for over 35 years. Recent accomplishments include a state-of-the-art isotope identification technology for fixed and portable applications and a scalable software control application for the rapid deployment of multiple sensors. The corporation offers an online catalog of off the shelf products and services, as well as a distributor network domestically and internationally.

Further information regarding Princeton Security Technologies can be found at www.PGT.com

To the extent that statements in this press release are not strictly historical, including statements as to revenue projections, business strategy, outlook, objectives, future milestones, plans, intentions, goals, future financial conditions, future collaboration agreements, the success of the Company's development, events conditioned on stockholder or other approval, or otherwise as to future events, such statements are forward-looking, and are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. The forward-looking statements contained in this release are subject to certain risks and uncertainties that could cause actual results to differ materially from the statements made.