Optelecom-NKF Deploys New S-44 in Three Major Subway Systems

Jan. 15, 2008

GERMANTOWN, Md., Jan. 15 /PRNewswire-FirstCall/ -- Optelecom-NKF, Inc. (Nasdaq: OPTC), a leading global manufacturer of advanced IP video solutions, announced today that it is deploying its breakthrough S-44 video server, a recently introduced 4-channel video codec, as part of three major subway system projects now underway around the world.

The largest installation is for the new rail line, "Line 10," of the Beijing Metro System (BMS) in China and will support the transport and recording of more than 1000 video signals. This is the third major contract award for Optelecom-NKF from BMS and the first to feature the new S-44 MC (Multi-Codec) version. The company won out over the industry's largest competitors based on S-44 superior performance, scalability, and price-per- channel.

The other two strategic project wins are subway security systems for major cities in France and Spain . As both of these projects develop, the company anticipates and is well-positioned to win additional business in the future. These key project wins, both of which include the S-44, highlight the market's strong response to the S-44 series, Optelecom-NKF's newest addition to the Siqura(R) Product Family.

The S-44's breakthrough design combines four Texas Instrument DSPs on a single board. Each DSP can simultaneously transmit two MPEG-2/4 video streams and one Motion JPEG stream, with all of them simultaneously running at full D1 resolution. This capability to "triple stream" makes each channel available for simultaneous recording, live viewing, and screen capture. The S-44 combines maximum functionality with density by helping customers scale up to 44 channels into a single, 3RU rack-mountable system resulting in an extremely low cost per channel. The S-44 also has a "quad" feature making it possible to view content in a quad split-screen configuration on any standard web browser.

"These project wins, resulting from the introduction of our Siqura(R) S-44 video server, are the next step in Optelecom-NKF's strategy to bring superior and competitively priced IP video technology to users hungry for practical and affordable solutions," said Edmund Ludwig , President and CEO of the company. "We are excited to see immediate positive response to the S-44 series reflected in orders from end-users responsible for major mission critical video surveillance systems."

About Optelecom-NKF

Optelecom-NKF, Inc. (Nasdaq: OPTC), is a global supplier of IP video and fiber transmission equipment, including IP cameras, video servers, network video recorders, video management, and video analytics software. We deliver complete solutions for traffic management and security of airports, seaports, casinos, prisons, utilities, public transport, city centers, hospitals, and corporate campuses.

Founded in 1972, Optelecom-NKF is committed to providing its customers with expert technical advice and support in addition to products that are developed and tested for professional and mission critical applications. All Optelecom-NKF IP surveillance solutions are marketed under the Siqura(R) name.

The Optelecom-NKF corporate headquarters is in Germantown, Maryland, USA, with European corporate offices in Gouda, The Netherlands , and sales offices in France , Spain , the UK, Germany , Italy , Dubai, and Singapore .

Investor inquiries should be directed to Mr. Rick Alpert at 301-948-7872.

SOURCE Optelecom NKF Inc.

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