Sep. 22, 2009 (PR Newswire) --

OVERLAND PARK, Kan., Sept. 22 /PRNewswire-FirstCall/ -- Digital Ally, Inc. (Nasdaq: DGLY), which develops, manufactures and markets advanced video surveillance products for law enforcement, homeland security and commercial security applications, today announced that it has been awarded a new two-year Term State Contract by the State of Arkansas. The contract provides that Digital Ally will supply its DVM-500/DVM-500 Plus In-Car Digital Video Systems to the Arkansas State Police. The Contract includes an option for renewal in five one-year increments by mutual agreement.

"The State of Arkansas is a long time user of our In-Car Video Systems, having awarded its initial contract to Digital Ally in June 2007," stated Stanton E. Ross, Chief Executive Officer of the Company. "The initial contract was renewed in June 2008, and to date we have sold over 200 DVM-500 units to the Arkansas State Police. This new Term State Contract allows the Arkansas State Police to continue outfitting their fleet of law enforcement vehicles with Digital Ally In-Car Video Systems over the next several years and illustrates the State of Arkansas' satisfaction with the performance of our systems in the field."

"We are pleased with the level of confidence exhibited by the State of Arkansas through the awarding of this new Term State Contract, which has the potential to become a seven-year contract if all renewal options are exercised," continued Ross. "While there are no guarantees regarding the number of units the State Police may order, we believe that the value of the contract over the next two years could be close to $1 million. The contract stipulates a minimum order of 50 units, and Digital Ally is expecting initial orders under the contract after October 1, 2009."

About Digital Ally, Inc.

Digital Ally, Inc. develops, manufactures and markets advanced technology products for law enforcement, homeland security and commercial security applications. The Company's primary focus is digital video imaging and storage. For additional information, visit www.digitalallyinc.com

The Company is headquartered in Overland Park, Kansas, and its shares are traded on The Nasdaq Capital Market under the symbol "DGLY".

This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Act of 1934. These forward-looking statements are based largely on the expectations or forecasts of future events, can be affected by inaccurate assumptions, and are subject to various business risks and known and unknown uncertainties, a number of which are beyond the control of management.