Brevard County, Florida Contracts with CompuDyne - Public Safety & Justice, Inc. for a Fire Computer Aided Dispatch System

Business Wire, July 31, 2006

ANNAPOLIS, Md. -- CompuDyne Corporation (NASDAQ:CDCY) an industry leader in sophisticated security products, integration and technology for the public security markets, announced today that the county of Brevard, Florida has signed a contract with CompuDyne - Public Safety & Justice, Inc. (formerly Tiburon, Inc.) to provide a fire Computer Aided Dispatch System. CompuDyne - Public Safety & Justice, Inc. (CompuDyne) is an industry-leading provider of automated public safety and justice systems which meet the demanding and complex needs of law enforcement, fire & rescue, corrections and justice environments. This comprehensive Computer Aided Dispatch (CAD) system will serve Brevard County Fire Rescue, the city of Rockledge Fire Department, the city of Cape Canaveral Fire Department, the town of Malabar Fire Department, the city of Melbourne Beach Fire Department and Brevard County Administrative Offices.

Brevard County Fire Rescue wanted to provide improved communications and advanced technologies for the fire department. The new CAD system will allow dispatchers to respond to and manage 9-1-1 calls more efficiently. Additionally, the system automatically transmits fire incident information to a printer located in each of the county's 35 fire stations. This information is immediately available to fire personnel to "rip and run" as they leave the station to respond.

CompuDyne's CAD system operates on fully distributed Microsoft Windows(R) workstations, providing server-independent processing of all critical CAD functions and a reliable configuration approaching 100% system availability. CompuDyne's distributed solution effectively places a complete desktop CAD system in front of every user and provides automatic and efficient synchronization for each workstation. If any component fails, the system continues to function.

Installed in some of the largest and most complex fire departments in the country, CompuDyne's CAD system is designed specifically to meet the unique requirements of fire dispatch operations. CompuDyne has installed several public safety systems for agencies throughout the state of Florida including the counties of Volusia and Orange, and the city of Melbourne.

Certain statements made in this press release constitute "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including those statements concerning the Company's expectations with respect to future operating results and other events. Although the Company believes it has a reasonable basis for these forward-looking statements, these statements involve risks and uncertainties that cannot be predicted or quantified and consequently, actual results may differ materially from those expressed or implied by such forward-looking statements. Factors which could cause actual results to differ from expectations include, among others, capital spending patterns of the security market and the demand for the Company's products, competitive factors and pricing pressures, changes in legislation, regulatory requirements, government budget problems, the Company's ability to secure new contracts, the ability to remain in compliance with its bank covenants, delays in government procurement processes, inability to obtain bid, payment and performance bonds on various of the Company's projects, technological change or difficulties, the ability to refinance debt when it becomes due, product development risks, commercialization difficulties, adverse results in litigation, the level of product returns, the amount of remedial work needed to be performed, costs of compliance with Sarbanes-Oxley requirements and the impact of the failure to comply with such requirements, risks associated with internal control weaknesses identified in complying with Section 404 of Sarbanes-Oxley, the Company's ability to realize anticipated cost savings, the Company's ability to simplify its structure and modify its strategic objectives, and general economic conditions. Risks inherent in the Company's business and with respect to future uncertainties are further described in its other filings with the Securities Exchange Commission, such as the Company's Form 10-K, Form 10-Q, and Form 8-K reports.