SKVY Sentry Technology Corp (CE)

Sentry Technology Corporation (OTC Pink: SKVY) security labeling subsidiary, Custom Security Industries (CSI), today announced the launch of three new security labels with an annual market opportunity of $10,000,000.

AM Protect is a label that incorporates the Sensormatic Acoustomagnetic (AM), anti-shoplifting sensor. The label is designed to stop thieves from easily removing the sensor from merchandise. AM labels are the best selling anti-shoplifting labels in North America.

UPC Guard is a specially designed cover label that blocks a thief from switching or replacing original barcodes with counterfeit barcodes in order to purchase a product at a much lower price.

Anti-Tamper Seal is a label with a unique construction that keeps boxed goods properly sealed and slows down efforts by thieves to open a box and remove the merchandise.

CSI has conducted market tests of these labels with major U.S. and Canadian retailers with excellent results. In the case of AM Protect, a large fashion retailer has begun rolling out a national program for the protection of packaged merchandise, and the loss prevention department of a large multinational chain has approved the AM Protect for a national program. In addition, CSI has also been directed by a large multinational DIY chain to work with its suppliers on applying the UPC Guard to specific SKUs.

"Our newest products create a large growth opportunity for CSI," said Dr. Morton Roseman, President of Custom Security Industries. "We have the manufacturing expertise and production capacity to deliver large quantities of labels without making significant capital investments to support the anticipated increase in revenue. We are very pleased with the success of product trials and initial orders received. Customers experience immediate benefit from adding incremental security label protection without the need to purchase additional equipment."

"A significant portion of national retailers are potential users of AM Protect while both UPC Guard and Anti-Tamper Seal can be used by every retailer." Dr. Roseman goes on to say, "The annual security label usage of national retailers is in the billions of units. The key national accounts that have accepted our products can impact CSI sales with just a small percentage of incremental label protection. We are optimistic these new products will dramatically grow our revenue."

Custom Security Industries (CSI) is a preferred global supplier in the development and manufacturing of quality assured, added value EAS and Source Tagging solutions for retailers, packagers and libraries, encompassing EM, AM, RF and RFID technologies. The company is 51% owned by Sentry Technology Corporation.

Sentry Technology Corporation designs, manufactures, sells and installs Closed Circuit Television (CCTV) solutions, Electro-Magnetic (EM) and RFID based Library security and self-service systems. Our CCTV product line features VideoRailway™ and SmartTrack™, a proprietary, traveling camera technology. Our OperationalVideo™, OVportal™ software application assists retailers with on-line management of safety and security, merchandising audits and employee procedure compliance. Products are used by libraries to secure inventory and improve operating efficiency, by retailers to deter theft and enhance productivity, and by industrial/institutional customers to protect assets and people. More information can be found at www.sentrytechnology.com.

This press release may include information that could constitute forward-looking statements made pursuant to the safe harbor provision of the Private Securities Litigation Reform Act of 1995. Any such forward-looking statements may involve risk and uncertainties that could cause actual results to differ materially from any future results encompassed within the forward-looking statements. Factors that could cause or contribute to such differences include those matters disclosed in the Company's Securities and Exchange Commission filings.

CONTACT: Peter L. Murdoch President & CEO (631) 739-2000