Nighthawk Systems receives order from ATS

SAN ANTONIO, TX – Nighthawk Systems, Inc. (OTC BB: NIHK), a leading provider of intelligent wireless power control devices and solutions, today announced that it has received an initial order from American Traffic Solutions, Inc. (“ATS”), a preferred provider of photo traffic and electronic toll enforcement programs in North America with dominant market share in New York, Texas, Arizona, Missouri Pennsylvania, Florida, and Louisiana. The initial order of 600 Nighthawk wireless control units is expected to begin shipment this month with final delivery to be received by May 2008. Nighthawk Systems has already been notified to expect significant follow-on orders.

On September 25, 2007, ATS was granted the exclusive right to sell or resell Nighthawk’s wireless power control system for specific use in automated photo traffic enforcement and electronic toll and traffic management devices. Nighthawk designed and built a customized product to be integrated into the industry leading ATS solution. As such, the specialty product generates a higher return per unit to Nighthawk than other standard products, yet offers more functionality and a quicker return on investment to ATS than previously-used technologies.

ATS manufactures and markets vehicle traffic enforcement equipment and systems. Privately held and headquartered in Arizona, ATS has been rapidly growing over the past year as more city budgets have tightened, increasing the need for tools beyond the patrol car to help with traffic management and as the public has increasingly shown support for the use of cameras as a safety precaution to crack down on speeders and red-light runners. ATS has added over 200 employees in the past year and is currently deploying product into 16 states. At the core of ATS mission is its dedication to evolutionary technology. By adding the Nighthawk wireless control system, the ATS system has the ability to wirelessly access and control power to equipment at each site independently and simultaneously from a central source.

H. Douglas Saathoff, Nighthawk’s CEO, stated, “The sequential improvement in our revenues each quarter over the past two years was dominated by our success in the electric utility industry. With today’s announcement, we are establishing a new product line, a faulttolerant control system that provides secure and reliable access in mission-critical and emergency situations. This product carries higher returns than our current business and has applications in numerous industries beyond the photo enforcement market. There is a growing need for this product at ATS and within other communication networks that require reliable, remote access to ensure that critical equipment is working properly. Many internal and external factors within a network can cause network components and digital equipment to lockup or go down completely. Nighthawk is the only provider that offers a wireless, outof- band solution that enables on-demand access to those critical components, ensuring that equipment is operating when it needs to be. We look forward doing a great job addressing this new opportunity.”

About Nighthawk Systems, Inc.
Nighthawk is a leading provider of intelligent devices and systems that allow for the centralized, on-demand management of assets and processes. Nighthawk products are used throughout the United States in a variety of mission critical applications, including remotely turning on and off and rebooting devices, activating alarms, and emergency notification, including the display of custom messages. Nighthawk’s IPTV set top boxes are utilized by the hospitality industry to provide in-room standard and high definition television and video on demand.

Forward-looking statements
Statements contained in this release, which are not historical facts, including statements about plans and expectations regarding business areas and opportunities, acceptance of new or existing businesses, capital resources and future business or financial results are “forward-looking” statements. You should not place undue reliance on these forwardlooking statements. Such forward-looking statements are subject to risks and uncertainties, including, but not limited to, customer acceptance of our products, our ability to raise capital to fund our operations, our ability to develop and protect proprietary technology, government regulation, competition in our industry, general economic conditions and other risk factors which could cause actual results to differ materially from those projected or implied in the forward-looking statements. Although we believe the expectations reflected in the forward-looking statements are reasonable, they relate only to events as of the date on which the statements are made, and our future results, levels of activity, performance or achievements may not meet these expectations. We do not intend to update any of the forward-looking statements after the date of this press release to conform these statements to actual results or to changes in our expectations, except as required by law.

CONTACT:
Doug Saathoff, (877) 7-NIGHTHAWK, Ext 701, dsaathoff@nighthawksystems.com
Yvonne Zappulla, Managing Director, Grannus Financial Advisors, Inc, (212) 681-4108, Yvonne@grannusfinancial.com

About American Traffic Solutions, Inc.:
PlatePass® technology is powered by American Traffic Solutions, Inc., a provider of electronic toll and traffic management solutions, including vehicle detection and imaging technology designed and built specifically for automated toll collection and law enforcement applications. The company has provided some of the largest and most successful traffic safety and enforcement programs in the world, including New York City, Philadelphia, Houston, Seattle, Phoenix, St. Louis and Calgary. ATS’s patent-pending PlatePass® solution provides a unique, convenient, consumer offering to the rental car customer. The technology and service are built based on real-world experience providing toll violation processing solutions to some of the largest toll authorities in the United States. dev.www.atsol.com or www.PlatePass.com.

January 29th, 2008|