Sentry Technology Installs OperationalVideo(TM) in a Major Retailer

Aug. 15, 2007

RONKONKOMA, N.Y., Aug. 15 /PRNewswire-FirstCall/ -- Sentry Technology Corporation (OTC Bulletin Board: SKVY) announced today, the signing of a contract for a trial installation of SentryVision(R) SmartTrack(TM) traveling CCTV systems including OperationalVideo(TM) in one of America's largest retailers, valued at approximately $100,000. The customer has more than 4,000 stores and expects to use OperationalVideo(TM) as a tool to provide improved information for business managers. OperationalVideo(TM) delivers real-time images over the internet to help control safety and security as well as remote viewing of store operations, merchandising, signage, displays, pricing and employee procedure compliance.

Managers will have access to all store operations from the home office, regional offices and any other fixed or mobile location equipped with an internet connection. As well, security personnel are able to walk the floor interacting with staff and customers while maintaining control of the SmartTrack(TM) system using a wireless PDA. Video is managed via the SentryVision(R) Server, a network device that provides real-time remote viewing and user passwords to manage hierarchal control of the system.

"Managing retail operations using video is a new market that will be a multi-billion dollar segment of the security industry and OperationalVideo(TM) is gaining traction as a leading solution," said Peter L. Murdoch, President and CEO of Sentry Technology Corporation. "We are encouraged to be installing systems in a second major retailer this month. Developing in-store applications for SmartTrack(TM) such as OperationalVideo(TM) dramatically increases the size of our target market compared to traditional installations in distribution centers alone. OperationalVideo(TM) for this single customer is a multi-million dollar opportunity."

Sentry designs, manufactures, sells and installs a complete line of Closed Circuit Television (CCTV) solutions, Electro-Magnetic (EM) and RFID based Library Management systems as well as Radio Frequency (RF) and Electro- Magnetic (EM) EAS systems. The CCTV product line features SentryVision(R), SmartTrack(TM), a proprietary, patented traveling Surveillance System. The Company's products are used by libraries to secure inventory and improve operating efficiency, by retailers to deter shoplifting and internal theft and by industrial and institutional customers to protect assets and people. For further information, please visit our website 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.

SOURCE Sentry Technology Corporation

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