Homeland Security Capital Corporation Awarded $15.2 Million Stimulus Task Order

ARLINGTON, Va.--(BUSINESS WIRE)--Homeland Security Capital Corporation (OTCBB:HOMS), an international provider of specialized technology-based radiological, nuclear, environmental, disaster relief and security solutions to government and commercial customers, announced today that its environmental remediation subsidiary, Safety and Ecology Corporation (SEC) was awarded a task order valued at $15.2M to perform nuclear remediation services for the U.S. Army Corps of Engineers Buffalo District.

“At this early stage in the federal government’s stimulus efforts, we are pleased to be awarded another contract,” said C. Thomas McMillen, Chairman and CEO of HOMS. “So far, we have aggregated $16.7M in shovel ready stimulus projects for our company.”

This project is funded through the American Recovery and Reinvestment Act. Approximately forty jobs have been created, in support of this project, which is scheduled to conclude September, 2011. Contracted by the Army Corps through the Buffalo District, SEC will be performing remediation activities to include excavation, rail transportation, disposal, backfill, site restoration, site analysis and health & safety activities. Approximately 40,000 tons of radiological impacted material requires remedial action, however SEC will ensure that materials that may be recycled, free released or economically decontaminated are maximized.

“Our outstanding team of qualified personnel will complete the scope of work using innovative methods to minimize disposal cost and save tax payer money,” said Christopher Leichtweis, President of HOMS and CEO of SEC.

The Army Corps has been designated to remediate the radiologically contaminated site located in Painesville, Ohio. The effort is part of the Corps’s Formerly Used Sites Remedial Action Program which was established to identify, and clean up or control sites contaminated by activities of the Atomic Energy Commission and its predecessor, the Manhattan Engineer District. Remediation of substantial portions of the site has taken place in 1998, 2007 and 2008. The purpose of this scope of work is to address all remaining impacted soil and debris at the Painesville Site.

About Safety and Ecology Corporation

Safety and Ecology Corporation (SEC) is a rapidly growing environmental services company in the U.S., providing services nationally, in Europe and the Caribbean. The Company specializes in the removal and remediation of hazardous nuclear materials for the U.S. Department of Energy, U.S. Department of Defense, and other federal agencies. SEC also provides advanced environmental services for private industry across the country and internationally. Since its founding in 1991, SEC has grown approximately 30 percent per year, and has emerged as a technology innovator with more than 450 personnel worldwide and with annual revenues of more than U.S. $70 million. For more information on SEC, visit www.sec-tn.com.

About Homeland Security Capital Corporation (HOMS)

Homeland Security Capital Corporation is a company engaged in the strategic acquisition, development, and consolidation of homeland security-related businesses, within the fragmented homeland security industry. The company is focused on creating long-term value by taking controlling interest and developing its subsidiary companies through superior operations and management. The company is headed by former Congressman C. Thomas McMillen, who served three consecutive terms in the U.S. House of Representatives from the 4^th Congressional District of Maryland. HOMS operates businesses that provide homeland security products and services solutions, growing organically and by acquisitions. The company is targeting emerging companies that are generating revenues but face challenges in scaling their businesses to capitalize on homeland security opportunities.

HOMS’s portfolio of companies, in addition to SEC, includes:

Nexus Technologies Group, a mid-Atlantic security integrator for the corporate and governmental security markets that specializes in non-proprietary integrated security solutions including access control, alarm, video, communication, perimeter protection and bomb and metal detection security systems. Utilizing cutting-edge technologies, Nexus provides innovative, engineered and scalable solutions to effectively protect people, property and assets. For more information about Nexus, visit www.nexusna.com.

Polimatrix, Inc., a system integrator and total solutions provider delivering advanced radiation and nuclear protection and detection services. The company has been operating since September 2006 as a joint venture between Homeland Security Capital Corporation and Polimaster, Inc. For more information about Polimatrix, visit www.polimatrix.com.

For more information about Homeland Security Capital Corporation, visit www.hscapcorp.com.

Forward-Looking Statement

This release includes certain statements that may be deemed to be “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. All statements in this release, other than statements of historical facts, that address future activities, performance, events or developments, are forward-looking statements. Although HOMS believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance, and actual results or developments may differ materially from those in the forward-looking statements.