XeDAR Corporation Announces 2nd Quarter Numbers; EBITDA Positive for July

Business Wire, August 18, 2008

DENVER -- XeDAR Corporation (OTCBB: XDRC) (the "Company") provides homeland security consulting and IT services to the Departments of Homeland Security and Defense, as well as agencies of the nation's Intelligence Community and the U.S. Military. In addition to announcing second-quarter results recently, the Company indicated that in July the Company attained a positive EBITDA (earnings before interest, taxes, depreciation and amortization, and further adjusted for equity payments and goodwill impairment charges, which are non-cash expenses).

During the first half of 2008, we rationalized numerous redundancies in three subsidiary companies to increase efficiencies, particularly in sales, operations, and technology development. First-half results also reflect costs associated with initiating a multi-year, multi-million dollar geospatial-imaging project to map parts of the nation's major urban areas including critical infrastructure. Revenues and EBITDA for July suggest that the results of these numerous first-half activities are starting to bear fruit, the efficiencies sought are being captured, and XeDAR is striving for an EBITDA-positive second-half of 2008.

We believe that the disclosure of EBITDA is important because it more closely indicates the state of our cash flows than the net profit or loss, which is impacted by significant amortization expenses that are associated with acquired intangible assets.

To discuss these results and to address how they affect the overall business strategy, XeDAR management has scheduled the Company's first-ever conference call for shareholders. The call is set for August 21, 2008 at 2 p.m. Eastern (11a.m. Pacific) and is intended to facilitate continued clear communication about the Company's fiscal year-to-date results and the progress it's making on several fronts. To participate on the call, dial 1-877-440-5785 approximately 10 minutes prior to the starting time (when prompted for a confirmation code, please dial 5327433).

For those shareholders who are unable to participate at the time of the call, a replay of the entire conference call will be made available two hours after its conclusion and for five business days following the call; dial 1-877-440-5785 and when prompted, enter the confirmation code 5327433). The text of the call will also be archived on the Investor Relations page of the XeDAR website (www.xedarinc.com).

About Xedar Corporation

Xedar Corporation provides strategic consulting, systems analysis, predictive modeling, digital imaging, and geospatial data analysis tools and services to the Department of Homeland Security, the Department of Defense and other national intelligence agencies, as well as commercial clients.

Forward-Looking Statements

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