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PRESS RELEASE

FOR IMMEDIATE RELEASE
CONTACT: Stephen D. Reid
732-892-5000                                                                                              
sreidassoc@aol.com   

 

Allied Security Innovations, Inc. (formerly DDSI) First Quarter Reports 23.3% Gross Profit Increase

SEA GIRT, NJ (May 15, 2007) – Allied Security Innovations, Inc. (ASVN) – an industry leader in the development of Homeland Security and other commercial security related products – announced results for the first quarter 2007.  Revenues for the quarter grew 13.9 percent from the same period in 2006, an increase of $ 120,983.  Gross profit over the period rose $134,474, an increase of 23.3 percent.

“We are managing our operation with the objective of sustained growth.  The demand for our products is a key component to our increased revenues, said Anthony Shupin, CEO of ASI. “However, it is our talented employees and management team that are enabling us to increase efficiency and open the doors for new opportunities.  This increase in revenue is more noteworthy because it comes with a decrease in total operating expenses of 5.7 percent, or $30,075, despite our emphasis on increased quality control, new product development, and improved plant/production facilities.”  

Late last year, ASI announced that it would focus on increasing revenue, while controlling expenses and improving operations.  The company intends to continue to execute its plan to increase operational efficiencies, maintain high levels of client satisfaction, refine and develop new products and expand sales and distribution channels to meet market demand.

"Our earnings before interest, taxes and depreciation increased 154 percent to $60,949, compared to a loss of ($112,600) in the first quarter of 2006" adds ASI CFO Michael Pellegrino.  “This is a good indication that our plan is working.”

About Allied Security Innovations, Inc.

The company, based in Sea Girt, NJ, develops and markets integrated enterprise-wide image

applications specifically designed for criminal justice organizations. Customers include states, cities, counties, corrections, justice, and public safety agencies. Additional information is available online, at www.ddsi-cpc.com.

Its subsidiary, CGM Applied Security Technologies, Inc., based in Somerset, NJ, is a leading

manufacturer and distributor of Homeland Security products, including indicative and barrier security seals, security tapes and related packaging security systems, protective security products for palletized cargo, physical security systems for tractors, trailers and containers, as well as a number of highly specialized authentication products. Additional information is available online, at www.cgmsecuritysolutions.com.

Safe Harbor Statement:

Safe Harbor Statement Under the Private Securities Litigation Act of 1995 - With the exception of historical information, the matters discussed in this press release are forward-looking statements that involve a number of risks and uncertainties. The actual future results of the Company could differ significantly from those statements. Factors that could cause actual results to differ materially include risks and uncertainties such as the inability to finance the company’s operations or expansion, inability to hire and retain qualified personnel, changes in the general economic climate, including rising interest rate and unanticipated events such as terrorist activities. In some cases, you can identify forward-looking statements by terminology such as "may," "will," "should," "expect," "plan," "anticipate," "believe," "estimate," "predict," "potential" or "continue," the negative of such terms, or other comparable terminology. These statements are only predictions. Although we believe that the expectations reflected in the forward-looking statements are reasonable, such statements should not be regarded as a representation by the Company, or any other person, that such forward-looking statements will be achieved. We undertake no duty to update any of the forward-looking statements, whether as a result of new information, future events or otherwise. In light of the foregoing, readers are cautioned not to place undue reliance on such forward-looking statements.  For further risk factors associated with our Company, review our SEC filings.