Infrastruct Security Acquires Two Local Security Firms

Houston-based critical infrastructure security solution provider announces the acquisition of a local security services firm, and strategic agreement with an investigative firm

Houston, Texas (November 16, 2006) – Infrastruct Security, Inc., a leading critical infrastructure and convergent security solutions integrator, announces two recent acquisitions. The company acquired Monarch Security of Houston, Texas, and purchased the systems and service account
base from Kimmons Security Services of Houston, Texas.

“These two recent transactions have accelerated the goals of Infrastruct Security in taking the dominant market position in our region and are consistent with our overall growth strategy. The synergistic effect translates into annual sales in the $10 million range. We expect sales to reach
$15 million in 2007 with recurring services close to $75,000 monthly,” said Dan Weiss, President and CEO of Infrastruct Security, Inc. The terms of the Monarch Security acquisition include all fixed assets, monitored and service customer accounts, installation backlog and inventory. All employees of Monarch Security have accepted positions with Infrastruct Security. “We are very excited about the great things the combined organizations can bring to the existing customer base as well as to the marketplace,” said Daniel Weiss.

Under the conditions of the Kimmons Security Services agreement, Infrastruct Security will be responsible for all service calls, monitoring, new installations, and account receivables for the Kimmons Security Services security account base. Kimmons Security Services select employees will continue to provide account transition and sales support while maintaining their core focus on providing a wide array of investigative and countermeasure services, including corporate investigations, civil litigation support, and asset discovery.

“The partnership with Kimmons supports our efforts in expanding our vertical market expertise and is another important step in our emergence as a single source provider of security services to the critical infrastructure marketplace,” according to Andrew Wray, Vice President of Marketing and Sales of Infrastruct Security, Inc.

Infrastruct Security plans on future acquisitions to expand its Texas presence with additional market growth in Louisiana, Oklahoma and Arizona in the first quarter of 2007.

“We expect the newly combined organizations to continue to provide exceptional service and support for all current and new customers while offering a more enhanced product and service profile including: local UL monitoring, video alarm verification, and database management from Infrastruct Security, Inc.’s state-of-the-art Command Center,” said Frank Farmilette, Vice President of Operations of Infrastruct Security, Inc.