SOURCE: Law Enforcement Associates

Law Enforcement Associates

February 19, 2009 08:00 ET

Law Enforcement Associates Says $4 Billion in New Justice Department Grants Will Provide Financial Boost for LEA's Customer Base

RALEIGH, NC--(Marketwire - February 19, 2009) - Law Enforcement Associates Corporation (LEA) (OTCBB: LAWE), the largest U.S.-based developer and manufacturer of electronic surveillance equipment for the law enforcement industry, today lauded the $4 billion in new law enforcement grant funding that was included in the American Recovery and Reinvestment Act, which was signed into law by President Obama on February 17.

The U.S. Department of Justice, which will administer the grants, said $2 billion in new funding will be allocated to the Edward Byrne Justice Assistance Grant (JAG) program, and will be used to fund state and local crime fighting programs. The JAG program allocates 60 percent of its funds to states and 40 percent to local law enforcement efforts. Specifically, the grants are designed to provide personnel, equipment, training, technical assistance and information systems for more widespread apprehension, prosecution, adjudication, detention, and rehabilitation of offenders who violate state and local laws. More information about the JAG program can be found at the following links:

http://www.usdoj.gov/opa/pr/2009/February/09-opa-130.html

http://www.ojp.usdoj.gov/recovery/

In addition, $1 billion in new grant money will be used to fund hiring and equipping local police officers through the Community Oriented Policing Services (COPS) program. According to the Department of Justice, these grants will fund an estimated 5,500 local police officers through the COPS Hiring Recovery Program. The funds will also help local agencies acquire new crime fighting tools and technologies.

Paul Feldman, president of LEA, said funds from the JAG and COPS grant programs have historically been a vital resource to LEA's customers, who used the proceeds in part to augment their crime fighting equipment budgets. "Unfortunately, Congress has made dramatic reductions to these programs in recent years. In 2008, for instance, total funding for the Byrne Justice Assistance program was reduced to $170 million from $520 million in 2007. These deep cuts have severely limited our customers' capital spending programs. Consequently, we believe there now is substantial pent up demand for the new surveillance and security tools that have become available in recent years. We are optimistic that these new grant programs will assist state and local agencies in addressing those needs."

Feldman said new funding resources for customers is just one of several positive developments that have taken place in recent weeks. "As we have previously stated, we expect to report full-year revenue growth for fiscal 2008 of approximately 35%. Moreover, we have started fiscal 2009 with significant momentum and are optimistic that our financial growth will continue into the coming year."

LEA will provide additional detail on recent developments during a year-end conference call to be held in March. Details for participating in the call will be provided in a subsequent news release.

About Law Enforcement Associates Corporation

LEA is a leading security and surveillance technology company that manufactures and markets a diverse product line to the worldwide law enforcement, military, security and corrections markets. The company's Audio Intelligence Devices division has been serving the law enforcement sector for more than 30 years and is one of the most respected names in the surveillance equipment industry. LEA's products are used by a wide variety of government and non-governmental agencies, as well as public and private companies. These include military bases, nuclear facilities, embassies, government installations, oil refineries, United Nations and NATO locations. The company enjoys close working relationships with other prominent players in the security and surveillance industry, including Smith & Wesson, one of the world's largest manufacturers of quality firearms and firearm safety/security products. LEA's products have been used at high-profile events such as the Summer & Winter Olympics, Super Bowl, U.S. Golf Championship, and the Democratic and Republican National Conventions. Its products include the Under Vehicle Inspection System (UVIS), Smith & Wesson-branded UVIS Swift, EDK123 (Explosive Detection Kit), Bloodhound and Birddog GPS Tracking Systems, Graffiti Cam, Letter-bomb Visualizer Spray, and a wide variety of Audio & Video Surveillance Equipment. Headquartered in Raleigh, N.C., the company has been featured in many industry publications and websites. For more information, please visit www.leacorp.com.

Forward-Looking Information:

The statements in this news release contain forward-looking information within the meaning of the Private Securities Litigation Reform Act of 1995. Statements that use words such as "believe," "anticipate," "estimate," "intend," "could," "plan," "expect," "project," "predict," "forecast," "outlook," "potential," "continue," "may," "future," "can," "enhance," and "should," or the negative of these, as well as similar expressions, can be used to identify forward-looking statements. Such forward-looking statements involve certain risks, assumptions and uncertainties, including the inability to generate and secure the necessary product sales, or the lack of acceptance of the company's products by its customers. In each case actual results may differ materially from such forward-looking statements. The company does not undertake to publicly update or revise its forward-looking statements even if experience or future changes make it clear that any projected results (expressed or modified) will not be realized.

Contact Information

  • CONTACT:
    Pfeiffer High Investor Relations, Inc.
    Geoff High
    303-393-7044