Homeland Security Capital Corporation Posts $23.3 Million in Consolidated Revenues for the Transition Period Ended June 30, 2008

Business Wire, Sept 29, 2008

ARLINGTON, Va. -- Homeland Security Capital Corporation ("HSCC") (OTCBB: HOMS), an international provider of specialized technology-based radiological, nuclear, environmental, disaster relief, and security solutions to government and commercial customers, announced its consolidated financial results for the transition period ended June 30, 2008. An investor conference call to discuss earnings will be held this Wednesday, October 1st at 4 pm (EDT). Details can be found below.

Consolidated gross revenues for the transition period of January 1, 2008 to June 30, 2008, totaled $23.3 million. Consolidated net loss from operations for the said transition period was $259,374. There was also a one-time charge of $3.9 million from a financing that closed in March 2008. The overall loss attributable to common stockholders was $4.2 million or $0.09 per common share. As of June 30, 2008, there were approximately 48.8 million shares of common stock outstanding.

As previously announced, the Company changed its year-end to June 30 and consolidated the financial results of HSCC, the holding company, and its subsidiaries, which include Safety and Ecology Corporation ("SEC"), Nexus Technologies Group, Inc., and Polimatrix, Inc.

HSCC Chairman and CEO C. Thomas McMillen said, "The acquisition of Safety and Ecology Corporation in March 2008 has had a very positive effect on our overall operations. We anticipate its expertise in the technology, radiological, nuclear, environmental, incident response, and security marketplaces will significantly broaden our sector footprint."

McMillen continued, "Overall, from an operational standpoint, we remain committed to growing the Company organically as well as through strategic acquisitions. This remains our first priority and the cornerstone of our future business plan."

"Joining the HSCC team has helped us refocus our business initiatives," commented HSCC President and Safety & Ecology Corporation CEO Christopher P. Leichtweis. "We look forward to participating in and contributing to in the future growth plans of the Company."

In separate news, HSCC CFO Michael T. Brigante has been appointed interim president of Nexus Technologies Group, Inc. Currently, the subsidiary will undergo a managerial restructuring and redistribution of duties.

Investor Earnings Conference Call:

The Company will host an investor conference call on Wednesday, October 1 at 4:00 PM EDT. We ask that all participants preregister by sending and e-mail to: HOMS@investorrelationsgroup.com or calling: The Investor Relations Group (212) 825-3210.

Dial-in number: (Toll Free):877-407-0782; (International): 201-689-8567
Conference ID: 298706
Replay number: (Toll Free) 1-877-660-6853; (International): 1-201-612-7415

About Homeland Security Capital Corporation

HSCC is an international provider of specialized technology-based radiological, nuclear, environmental, disaster relief, and security solutions to government and commercial customers through its portfolio companies. Former Maryland Congressman C. Thomas McMillen, who served three consecutive terms in the U.S. House of Representatives from the 4th Congressional District of Maryland, heads the company.

About HSCC Subsidiary Companies:

Safety and Ecology Corporation (SEC) is a rapidly growing environmental services company in the U.S., providing services nationally, in Europe and the Caribbean. The Company specializes in the removal and remediation of hazardous nuclear materials for the U.S. Department of Energy, U.S. Department of Defense, and other federal agencies. SEC also provides advanced environmental services for private industry across the country and internationally. Since its founding in 1991, SEC has grown approximately 30 percent per year, and has emerged as a technology innovator with more than 420 personnel worldwide and with annual revenues of more than $55 million. For more information on SEC, please visit us: www.sec-tn.com.

Polimatrix, Inc., a system integrator and total solutions provider delivering advanced radiation and nuclear protection and detection services. The company has been operating since September 2006 as a joint venture between Homeland Security Capital Corporation and Polimaster, Inc. For more information about Polimatrix, visit www.polimatrix.com.

Nexus Technologies Group, a mid-Atlantic security integrator for the corporate and governmental security markets that specializes in non-proprietary integrated security solutions including access control, alarm, video, communication, perimeter protection, and bomb and metal detection security systems. Utilizing cutting-edge technologies, Nexus provides innovative, engineered, and scalable solutions to effectively protect people, property, and assets. For more information about Nexus, visit www.nexusna.com.

For more information about Homeland Security Capital Corporation, or to be added to our e-mail distribution list, please visit www.hscapcorp.com.

Forward-Looking Statement

This release includes certain statements that may be deemed to be "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. All statements in this release, other than statements of historical facts, that address future activities, performance, events, or developments, are forward-looking statements. Although Homeland Security Capital Corporation believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance, and actual results or developments may differ materially from those in the forward-looking statements.