SOURCE: SteelCloud, Inc.

March 24, 2008 11:16 ET

New Military Program Nets SteelCloud Orders Exceeding $300K

Unmanned Aerial Vehicle Program Has Potential for Additional Sales

HERNDON, VA--(Marketwire - March 24, 2008) - SteelCloud, Inc. (NASDAQ: SCLD), a manufacturer of embedded integrated computing systems for the industrial automation marketplace ("SteelCloud"), today announced that it recently received its second purchase order from a major U.S. Department of Defense integrator for additional servers in support of a U.S. Air Force Unmanned Aerial Vehicle (UAV) program.

"Our total orders for this program now exceed $300,000 with the potential for another $2.6m in revenue by the end of 2008," said Robert Frick, SteelCloud's President and CEO. "Our success in critical government and Department of Defense Programs like this is part of our strategy and the plan that we initiated in December 2007. I am pleased with the work of the SteelCloud Engineering and Sales Teams in the identification, capture and execution of this program. We look forward to our ongoing relationship with multiple major government and Department of Defense prime integrators in support of this and other very critical programs."

This unmanned aerial reconnaissance system is funded by the Defense Airborne Reconnaissance Office and managed by the Defense Advanced Research Projects Agency and the U.S. Air Force.

About SteelCloud

SteelCloud is a manufacturer of embedded integrated computing systems for the industrial automation marketplace. SteelCloud designs and manufactures specialized servers and appliances for federal integrators, software vendors and volume users. For both the government and commercial markets SteelCloud delivers integration services and software focused on risk management and network management solutions. SteelCloud's ISO 9001:2000 certified Quality Management System provides procedures for continuous quality improvement in all aspects of its business. Over its nearly 20-year history, SteelCloud has won numerous awards for technical excellence and customer satisfaction. SteelCloud can be reached at (703) 674-5500. Additional information is available at www.steelcloud.com.

"Safe Harbor" statement under the Private Securities Litigation Reform Act of 1995: Except for historical information, all of the statements, expectations and assumptions contained in the foregoing are forward looking statements that involve a number of risks and uncertainties. It is possible that the assumptions made by management are not necessarily the most likely and may not materialize. In addition, other important factors that could cause actual results to differ materially include the following: business conditions and the amount of growth in the computer industry and general economy; competitive factors; ability to attract and retain personnel, including key sales and management personnel; the price of the SteelCloud's stock; and the risk factors set forth from time to time in SteelCloud's SEC reports, including but not limited to its annual reports on Form 10-K, quarterly reports on Form 10-Q; and any current reports on Form 8-K. SteelCloud takes no obligation to update or correct forward-looking statements.