SOURCE: Remote Surveillance Technologies, Inc.

January 16, 2007 08:00 ET

Remote Surveillance Technologies Completes Entry Into the Public Market as Part of Its Continuing Growth Strategy

Security Company Estimates Achieving $4,600,000 in Gross Sales in 2007 With Net Profits of Over $300,000

IRVINE, CA -- (MARKET WIRE) -- January 16, 2007 -- Remote Surveillance Technologies, Inc. (PINKSHEETS: RSUR) is pleased to announce its entry into the public market, as it begins trading under the symbol RSUR.PK. Remote Surveillance Technologies, Inc. ("RST or the "Company") (, since its formation 12 months ago, has positioned itself in the marketplace as a full-service electronic security systems integrator and remote surveillance monitoring company. RST provides security analysis, systems design, equipment purchase, installation, and integration for off-site video monitoring. Advances in technology, coupled with heightened security concerns of government and business, since the events of September 11, 2001, have resulted in an acceleration of the technology of existing video surveillance systems. The most reasonable and cost-effective approach to providing verification of alarm events and pro-active voice intervention, is through the use of remote video monitoring, in which RST specializes.

RST's market resides within the high-tech, financial services, pharmaceutical and bio-tech centers of America. It consists of silicon chip, computer component, and pharmaceutical makers, as well as their storage and distribution centers. The fact that this segment of business requires the utilization of security guard manpower, more than any other, makes this market the most compatible with the services RST is offering. These companies tend to consider security a "Necessary Evil," an expense, non-revenue producing department, most easily serviced by security guards.

Most of the functions a security guard performs can be done remotely by RST, with integrated and voice interactive video, access control, and other electronic security devices. This approach relieves the company of the guards' well-established shortcomings, while providing superior security, at cost savings that average fifty percent (50%), making that "Necessary Evil," a great deal more palatable.

RST brings effective and demonstratable remote surveillance and interactive security technologies to the technology producing centers of America, through the approach of locating its monitoring and sales facilities in their neighbourhoods. This would be accomplished through placing remote monitoring station "Hubs," tied to multiple and proximate "Satellite" sales offices, (which can exhibit the security technologies) in the West, the Midwest, the South, the Southeast, and the Northeast. The sites have been chosen by researching technology centers throughout the nation, with the greatest amount of revenues, employees, and concentrations of security guard manpower.

RST has two sources of income: (1) installation revenues, and (2) recurring monthly monitoring revenues, that compound as additional customers are attracted to the services provided by RST. The contracts signed by RST and its customers usually have a minimum term of twelve months. Therefore, RST revenues compound rapidly without a substantial increase of costs associated with this revenue stream.

The Company spent most of 2006, its initial year of business operations, developing the Company's infrastructure, building the 24/7 monitoring facility and soliciting contracts and accounts. Clients of the Company currently include: SC Fuels, Cajon Valley School District, Charriol Geneve Jewelers, Southland Transit and two very large high-tech companies in Southern California. The Company projects reaching $4.6 million of gross sales in 2007 and $16,500,000 of gross sales in 2008. Gross margins should exceed 40% in both 2007 and 2008, with the Company realizing net profits of $300,000 in 2007 and $1,600,000 in 2008.

The Company is also focused on implementing an acquisition strategy that exploits opportunities for consolidation in the industry, coupled with strong organic growth. Company management believes that it can significantly accelerate its growth through the execution of selective acquisition of, or investments in, complementary security technology products and services entities. The Company intends to actively pursue selective strategic acquisition opportunities that it believes will accelerate the development and deployment of new product and service offerings, enhance its market opportunities, and accelerate the Company's entry into attractive geographical markets. The first acquisition is under negotiation, and the Company anticipates closing this acquisition by the end of February, 2007.

RST's President and CEO, Dr. Laurence Harper has been a pioneer in the electronic technology industry. He was the first in the United States to introduce remote video monitoring by a third party, and has been a leader in the development of AVL/GPS technology. He previously founded a similar systems integration and monitoring company that was sold to an electronic security industry leader. In discussing the Company's entry into the public marketplace Dr. Harper stated, "2006 was primarily spent developing the Company's infrastructure, which consisted of the 24/7 remote surveillance monitoring station located in Irvine, California, soliciting initial contracts and clients, as well as assembling a highly qualified management team and team of systems' engineers. As we look forward, 2007's focus will be enhancing our sales and marketing team, developing strategic alliances with other electronic security companies and using our stock currency for strategic acquisitions throughout the year. We will utilize our unique market position to promote our services and exploit growth opportunities, which will result in a substantial return to our public shareholders."

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Remote Surveillance Technologies is a full-service electronic security systems integrator and remote surveillance monitoring company. RST provides security analysis, systems design, equipment purchase, installation, and integration for off-site video monitoring. RST revenue is generated from both recurring video monitoring fees and systems installations. The monitoring advantages offered by RST to its clients include: the elimination of false alarms; incident verification at physical plant and with corporate vehicles; immediate notification to law enforcement; description and physical location of perpetrator(s) to law enforcement during the crime; immediate voice interaction with perpetrator(s); 24/7 on-site digital image recording and storage; redundant recording of events at monitoring station to preserve evidence, alarm indicator points for ease of reviewing incidents; and the significant lowering of the clients' security costs by reducing or eliminating on-site guard personnel.

FORWARD-LOOKING STATEMENT: This press release contains forward-looking statements, including expected industry patterns and other financial and business results that involve known and unknown risks, uncertainties and other factors that may cause our actual results, levels of activity, performance or achievements to differ materially from results expressed or implied by this press release. Such risk factors include, among others: the sustainability of recent growth rates in the Security and Surveillance industry; the positioning of RST in the market; ability to integrate acquired companies and technology; ability to retain key employees; ability to successfully combine product offerings and customer acceptance of combined products; general market conditions, fluctuations in currency exchange rates, changes to operating systems and product strategy by vendors of operating systems; and whether RST can successfully gain market acceptance. Actual results may differ materially from those contained in the forward-looking statements in this press release.

Contact Information


    Remote Surveillance Technologies, Inc.
    Dr. Laurence Harper
    (949)829-9300 x 11

    Investor Relations Contact:
    Gerald Kieft or Ryan Audin
    Wall Street Resources, Inc.
    2646 SW Mapp Road, Suite 303
    Palm City, Florida 34990