Alliance with World’s Leading International Security Solutions Company to Accelerate TSI PRISM RFID Tracking Market Adoption

Alanco Technologies, Inc., (NASDAQ: ALAN), today announced that its Alanco/TSI PRISM (TSI) subsidiary, the world’s leading developer of in-facility RFID monitoring systems, has entered into international distribution, licensing and manufacturing agreements with G4S Justice Services Inc. (G4S). Under terms of the international distribution agreement, G4S has been granted exclusive distribution and licensing rights for the TSI system outside the continental U.S. Within the continental U.S., G4S will participate with TSI on certain major new market opportunities where the combined businesses can add value to the customer. G4S will also manufacture the RF transmitter bracelets worn by the offenders/detainees within prison and detention facilities utilizing TSI’s RFID monitoring system. The agreements further provide for initial licensing fees and payments to TSI during the Company’s current fiscal fourth quarter period beginning April 1, 2009.

G4S Justice Services Inc. CEO Blake Beach commented, “We are very excited about our new business relationship with Alanco/TSI PRISM and the benefits that each company can derive from it. Systems that monitor movement within correctional facilities promote transparency and accountability, which is critical in this era of increased focus on improving performance and reducing litigation. TSI’s RFID monitoring solution solves many problems for corrections administrators, ranging from basic activities such as accurate prison counts to more complex requirements such as identifying gang and radicalization activity.”

Alanco Chairman and CEO Bob Kauffman added, “This G4S alliance adds a significant new dimension to both our international and domestic business. G4S’ extensive global footprint, with operations in 110 countries, will enhance TSI PRISM international market opportunities to an extent only possible through the marketing capabilities of a dominant worldwide security industry leader. Domestically, G4S’ extensive relationships and strong reputation in the U.S. criminal justice market will help accelerate the adoption of TSI PRISM RFID tracking in certain U.S. market opportunities which have been historically difficult to penetrate.