Digital Ally, Inc. Receives Second-Largest Commercial Order in Its History

LENEXA, KS--(Marketwired - Aug 5, 2013) - Digital Ally, Inc. (NASDAQ: DGLY), which develops, manufactures and markets advanced video surveillance products for law enforcement, homeland security and commercial applications, today announced the receipt of its second-largest order for its DVM-250 series of Event Recorders.  The order will be shipped to a major ambulance service provider that delivers emergency medical services throughout the midwestern United States.

"This order for 250 of our DVM-250 series of Video Event Recorders will increase the safety and security of Emergency Medical Technicians ("EMTs") and patients in our customer's Midwestern service area," stated John Rumage, Director of Commercial Sales at Digital Ally, Inc. "The systems were sold through a channel partner who will provide a telematics product that integrates seamlessly with our event recorders. For our commercial business division, the order is second in size only to the first quarter 2013 sale of DVM-250Plus Event Recorders to America's largest near-airport parking company for the outfitting of a fleet of 344 shuttle buses."

"We believe this order illustrates the acceptance of our DVM-250 product line by the Emergency Medical Service ("EMS") community and, in particular, the ambulance service provider market," noted Stanton E. Ross, Chief Executive Officer of Digital Ally, Inc. "The order is also indicative of the acceptance of our vehicle safety platform in large fleet environments that demand fully integrated and robust back office solutions capable of reporting, retrieving, archiving and maintaining the audio/visual recordings generated by our systems."

"The order will be shipped in the current quarter, which we expect to be a record quarter for sales in our commercial business division," concluded Ross.

About Digital Ally, Inc.

Digital Ally, Inc. develops, manufactures and markets advanced technology products for law enforcement, homeland security and commercial applications. The Company's primary focus is digital video imaging and storage. For additional information, visit www.digitalallyinc.com.

The Company is headquartered in Lenexa, Kansas, and its shares are traded on The Nasdaq Capital Market under the symbol "DGLY".

This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Act of 1934. These forward-looking statements are based largely on the expectations or forecasts of future events, can be affected by inaccurate assumptions, and are subject to various business risks and known and unknown uncertainties, a number of which are beyond the control of management. Therefore, actual results could differ materially from the forward-looking statements contained in this press release. A wide variety of factors that may cause actual results to differ from the forward-looking statements include, but are not limited to, the following: whether the Company will be able to continue to improve its revenues and operating results in 2013 given the current economic environment; the Company's ability to deliver its newer product offerings as scheduled, including its ability to obtain the required components and products on a timely basis, and have them perform as planned; its ability to maintain or expand its share of the markets in which it competes, including those outside the law enforcement industry; whether the Company's newer products, including the DVM-250 Video Event Recorder, will continue to generate an increasing portion of its total sales; whether the Company's commercial division will have a record quarter for sales in the third quarter of 2013; competition from larger, more established companies with far greater economic and human resources; its ability to attract and retain customers and quality employees; the effect of changing economic conditions; and changes in government regulations, tax rates and similar matters. These cautionary statements should not be construed as exhaustive or as any admission as to the adequacy of the Company's disclosures. The Company cannot predict or determine after the fact what factors would cause actual results to differ materially from those indicated by the forward-looking statements or other statements. The reader should consider statements that include the words "believes", "expects", "anticipates", "intends", "estimates", "plans", "projects", "should", or other expressions that are predictions of or indicate future events or trends, to be uncertain and forward-looking. The Company does not undertake to publicly update or revise forward-looking statements, whether as a result of new information, future events or otherwise. Additional information respecting factors that could materially affect the Company and its operations are contained in its annual report on Form 10-K for the year ended December 31, 2012 and quarterly report on Form 10-Q for the three and six months ended June 30, 2013, as filed with the Securities and Exchange Commission.