SOURCE: ICOP Digital, Inc.

ICOP Digital, Inc.

January 07, 2010 09:35 ET

ICOP Fourth Quarter Sales up for Third Consecutive Quarter

2010 Looking Strong

LENEXA, KS--(Marketwire - January 7, 2010) - ICOP Digital, Inc. (NASDAQ: ICOP), an industry-leading company engaged in advancing digital surveillance technology solutions, today issued a corporate update, following preliminary review of its 2009 yearend financial and operational results, and commented on its outlook for the current year.

During the last 12 months, the Company reported several significant developments:

Key Operational Highlights

--  Sales for Q4 2009 are expected to exceed Q4 sales for 2008.
--  The percentage of purchase orders received from existing customers
    engaged in fleet deployments of the ICOP Model 20/20®-W was approximately
    81%.  Based on the estimated number of current customer patrol cars yet to
    be equipped with ICOP's digital surveillance solution, potential future
    sales to the Company's existing customer base is an estimated $100 million.
--  ICOP's international sales in 2009 to Saudi Arabia and Mexico
    continued to expand with additional orders expected in 2010, including the
    opening of new markets abroad.
--  The Company learned in the fourth quarter that its patent application
    for video streaming was allowed by the United States Patent and Trademark
    Office.
--  On July 15, 2009, the Company entered into an agreement with JPS
    Communications Inc., a wholly owned subsidiary of Raytheon Company, and
    announced Raytheon's first sale to the 88th MP Detachment in Camp Zama,
    Japan on October 1, 2009.
    

QUARTER OVER QUARTER INCREASE IN SALES FOR 2009

The Company expects to report quarter over quarter gains in sales for the fourth quarter, for the third consecutive quarter. ICOP continues to enjoy strong customer loyalty with an average 81% re-order rate from existing customers engaged in fleet deployments of the ICOP Model 20/20®-W and the ICOP 20/20 VISION™. Stimulus funds are beginning to flow to agencies, as demonstrated by some of the announced sales in 2009, including Billings, Montana, among others. Stimulus funds are expected to continue into 2010. ICOP also realized significant rewards as a result of some of its state contracts in 2009, including nearly $429,290 from its state contract in Utah, with five of those sales closing in the fourth quarter.

PRODUCT DEVELOPMENT

The Company was notified by the U.S. Patent and Trademark office that the Patent Application 11/558,821 is officially allowed, and is titled "SYSTEM AND METHOD FOR COLLABORATING EMERGENCY RESPONSE EFFORTS THROUGH MULTIMEDIA DATA DISSEMINATION."

Specifically, the allowed patent application is directed to an apparatus for sharing and communication of video and other surveillance related multimedia data by live streaming of video and other data from an emergency response unit to a variety of devices and other emergency response units. Multimedia data is wirelessly disseminated from a first response patrol car, or similar emergency response unit, to any number of playback devices on a digital network.

The ICOP 20/20 VISION was successfully introduced to the market in 2009 and was received very well by the law enforcement community. The company was able to announce several significant sales of this new laptop-based solution. ICOP also released in 2009 an 802.11n wireless upload solution, which provides upload speeds up to four times faster versus the previous 802.11g technology. Multi-lingual support was also launched, to support international sales efforts, and was particularly instrumental in winning the contract award in Saudi Arabia. Included in the Saudi deployment was integration between the ICOP Model 20/20-W and EyeNet, a provider of LPR technology, supported by DDIT, ICOP's partner in the Middle East markets. ICOP LIVE™, the Company's live streaming application that enables officers to live stream video from their cars while recording, is also seeing increased interest and was integral in winning several accounts in late 2009.

PENETRATING INTERNATIONAL MARKETS

In March of 2009, the Company announced a contract with the Ministry of the Interior in Saudi Arabia, and shipped the first order for 100 units through its Middle East partner, DDIT. ICOP returned to the region in August of 2009 to integrate servers into five Ministry of Interior Headquarters Offices and 15 Precincts across Riyadh, establishing the platform to support the installation of additional ICOP units.

In May, the Company announced its first sale into Mexico, to a prominent company, and largest in its industry sector, for installation in security vehicles. Later in the year, ICOP announced a second sale into Mexico to the Highway Patrol in the State of Querétaro.

ICOP has grown its domestic pipeline dramatically, under the leadership of Bob Bradley, ICOP's Director of National Sales and Marketing. Furthermore, ICOP continues to expand international sales, as well. ICOP management will return to Saudi Arabia in January 2010, to meet with the Ministry of the Interior, regarding follow-on orders to initial deployment in 2009. The Company also sees significant growth in sales to Mexico, in addition to other key global markets for 2010.

STRATEGIC PARTNERSHIP DEVELOPMENT

On July 15, 2009, the Company entered into an agreement with JPS Communications Inc., a wholly owned subsidiary of Raytheon Company. This five year agreement enables Raytheon to co-brand and market ICOP mobile video solutions to all of their existing markets, including; public safety, fire/EMS, transportation and military customers worldwide. The agreement grants Raytheon the right to resell ICOP products, including but not limited to, the ICOP Model 20/20®-W, ICOP 20/20 VISION™, ICOP LIVE™, ICOP iVAULT™, and ICOP DVMS™.

"The list of accomplishments for 2009, and our upward trend in sales, are very encouraging, especially in this challenged economy," said Dave Owen, Chief Executive Officer at ICOP. "Our partnership with Raytheon is poised for a very successful 2010. They have spent a considerable amount of time preparing and training their channel, to be effective in selling the ICOP product line. Our road show with Raytheon was well attended, with stops in 10 different cities across the U.S. Raytheon's Sales Organization and Tier One Tech Support team are now fully trained, and have been marketing ICOP's mobile video solutions to their public safety, transportation and military customers in the US and abroad," Owen stated.

"In closing, we have seen many successes in 2009 in what has been one of the toughest economic environments many of us have ever seen. We are very optimistic about the new year and our opportunities for continued growth and success in 2010," said Owen.

About ICOP Digital, Inc.

ICOP Digital, Inc. (NASDAQ: ICOP) is a leading provider of in-car video and mobile video solutions for Law Enforcement, Fire, EMS, Military, and Transportation markets, worldwide. ICOP solutions help the public and private sectors mitigate risks, reduce losses, and improve security through the live streaming, capture and secure management of high quality video and audio. www.ICOP.com

Forward-Looking Statements

This document contains forward-looking statements. You should not rely too heavily on forward-looking statements because they are subject to uncertainties and factors relating to our operations and business environment, all of which are difficult to predict and many of which are beyond our control. The Company may experience significant fluctuations in future operating results due to a number of economic, competitive, and other factors, including, among other things, our reliance on third-party manufacturers and suppliers, government agency budgetary and political constraints, new or increased competition, changes in market demand, and the performance or reliability of our products. This, plus other uncertainties and factors described in our most-recent annual report and our most-recent prospectus filed with the Securities and Exchange Commission, could materially affect the Company and our operations. These documents are available electronically without charge at www.sec.gov.

Contact Information

  • For more information, contact:
    Melissa K. Owen
    Dir. of Communications
    16801 West 116th Street
    Lenexa, KS 66219 USA
    Phone: (913) 338-5550
    Fax: (913) 312-0264
    Email Contact
    www.ICOP.com

    For Investor Relations:
    DC Consulting, LLC
    Daniel Conway
    Chief Executive Officer
    Phone: (407) 792-3332
    Email Contact
    Email Contact