SOURCE: View Systems, Inc.

August 15, 2007 09:15 ET

View Systems Sets Record Earnings in Second Quarter

BALTIMORE, MD--(Marketwire - August 15, 2007) - View Systems, Inc. (OTCBB: VYST), a leading security products manufacturer and solutions provider, announced today that the firm became cash flow positive for the quarter ending June 30, 2007. As a result of additional products, faster delivery, increased marketing, lower cost of product delivery and wider distribution, the company boasts a positive cash flow this quarter and is closer to long-term profitability.

View is reporting revenue to date, 2007 of $961,769 up 54% over six months to date last year. Cost of sales decreased from 51% to 39% due to the result of economies of scale achieved through larger quantity purchases at lower unit costs. The effect is a 90% increase of gross profit from $306,239 to $582,988. Additional increases of sales should produce even greater margins.

Total operating expenses also decreased both year to date and quarter to date. The company is delivering product faster due to receivables and cash infusions applied directly to manufacturing allowing for faster delivery. Retrofitted positive ID/biometric capability add-ons enhance existing customer re-occurring revenue at highly desirable margins. Service, installation and training has doubled from $24,264 last year to date to $50,309 this year to date.

Gunther Than, CEO of View Systems, states, "The second quarter has seen very positive developments: the debut of the new, battery-operated, portable (less than 30 lbs. and fits in a golf bag case), rugged SecureScan-P that out-performs the competition; a cell phone detection system; IED/bomb detection; and a second-party liquid explosives detector.

"View has addressed the need for recognizing IEDs (Improvised Explosive Devices) by partnering with the premier millimeter wave sensor manufacturer. View markets a stand-off passive Millimeter Wave Imaging System with sensors and imaging technology built by Xytrans, Inc., a partner solutions provider. The imaging system can rapidly 'see' at 15 feet concealed weapons, IEDs, plastics, liquids, concealed contraband such as illegal drugs and even hidden compact disks (CDs).

"We are still developing nuclear sensor technology to integrate into our SecureScan and new more compact Visual First Responder products. We have continued to explore international markets and are establishing relationships with distributors and dealers abroad. We have entered into a definitive agreement to acquire a service company, Sigma International Holdings, Inc., (www.globalsigma.com), which has significant revenues and a cadre of consultants that will be of great benefit to enhance the distribution of View's products."

About View Systems, Inc.

View Systems, Inc. manufactures and installs unique security products to government agencies, schools, courthouses, event and sports venues, including the Military and commercial businesses. View Systems' headline products include the SecureScan concealed weapons detection (CWD) portal system with biometric capabilities and positive ID verification, as well the R&D 100 Award winning VFR Visual First Responder camera system which is geared toward emergency first responders.

Forward-Looking Statements: This press release contains certain forward-looking statements. Investors are cautioned that certain statements in this release are "forward-looking statements" and involve both known and unknown risks, uncertainties and other factors. Such uncertainties include, among others, certain risks associated with the operation of the company described above. The Company's actual results could differ materially from expected results.

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