Mr. Bill Frain reports

LIBERTY DEFENSE SUCCESSFULLY DEMONSTRATES HEXWAVE AT RECENT EVENTS WITH CUSTOMERS AND INDUSTRY PARTNERS

Liberty Defense Holdings Ltd. has successfully demonstrated its Hexwave system effectively and efficiently detecting threats, and received interest at a recently announced open house and aviation trade show.

As previously announced, Liberty showcased its commercial Hexwave walkthrough people screening portal, currently in production at the company's Wilmington headquarters, to a group of current and potential customers that are leaders in multiple targeted urban security verticals in need of enhanced threat detection and seamless on-person screening.

In the wake of the recent TSA (Transportation Security Administration) mandate for screening of aviation workers for explosive materials, Hexwave was on display at the annual American Association of Airport Executives (AAAE) conference and exposition for airports, small and large, demonstrating its next-generation capabilities, including:

• Continuous flow of screening without having to pause or stop;
• No divesting of benign items like cell phones, keys and wallets;
• Detection of metallic and non-metallic threats like 3-D printed guns, liquid and plastic explosives;
• Automated detection with threat location on the resolution station for ease of clearing alarms;
• Quick set up and portability of the system;
• 100-per-cent operational availability.

"It was extremely valuable to get feedback from key industry leaders at the aviation event," says Bill Frain, chief executive officer of Liberty Defense. "We heard from a Category I airport director that, 'We are faced with having to quickly implement screening protocols for aviation workers at all access points for employees. This can be very manual intensive and expensive. The fact that the Hexwave can automatically detect explosive threats at high throughput rates is a big advantage. Plus, the mobility of the system will allow us the flexibility to screen at various locations.'"

Attending the show generated a demand for quotes from early adopter airports to meet explosives detection capability.

The company is currently in sales discussions with organizations that range from airports, professional sports, universities, a national laboratory, state legislatures and a large religious centre, as well as partner organizations.

About Liberty Defense Holdings Ltd.

Liberty Defense provides multitechnology security solutions for concealed weapons detection in high-volume-foot-traffic areas and locations requiring enhanced security such as airports, stadiums, schools and more. Liberty's Hexwave product, for which the company has secured an exclusive licence from Massachusetts Institute of Technology (MIT) as well as a technology transfer agreement for patents related to active 3-D radar imaging technology, provides discrete, modular and scalable protection to provide layered, standoff detection capability of metallic and non-metallic weapons. Liberty has also recently licensed the millimetre-wave-based, high-definition advanced imaging technology (HD-AIT) body scanner and shoe scanner technologies as part of its technology portfolio. Liberty is committed to protecting communities and preserving peace of mind through superior security detection solutions.

We seek Safe Harbor.