Distribution Agreement in UK to exceed USD 1 Million

Nio Security, Inc. (OSE: NIO) announce today a
distribution
agreement with a new distributor that will focus
mainly on the UK market. The agreement includes a
guaranteed minimum sale of NIO products over a 12
month period of in excess of USD 1 million. Nio's
Partner sees this order as a verification of Nio's
avanced technology within the fast growing Video
Analytics market. Video Analytics is key to their
customers need for effective and efficient
surveillance. This market grows by more than an
estimated 25% per year.

Nio view this agreement as an important milestone for
their new sales strategy towards distributors, OEM and
VAR agreements. Since Nio's partner will buy products
at a monthly basis, Nio is close to the target of
profit within 2010. Nio's order backlog continues to
improve and is now more than USD 2.2 million.

Nio's partner is a privately funded company
specializing in the supply of high-quality security
equipment to the European market.

For further Information contact Espen Brodin,
Chairman & CEO, +47 920 44 558