AXCESS Inc. Announces Results for First Quarter 2002.

Business Editors

DALLAS--(BUSINESS WIRE)--May 15, 2002

AXCESS Inc. (Nasdaq:AXSI), a leading provider of advanced technology security and asset management products and solutions, today reported results for the three months ending March 31, 2002.

Total revenue of $376,957 for the quarter ending March 31, 2002 compares to $238,029 for fourth quarter of 2001, a 58% increase. The increase was due to increased acceptance of the company's products and an improved outlook for security technology products.

Total revenue for the three months ended March 31, 2002 was $376,957, compared to $537,917 for the same period in 2001. Net loss applicable to common stock was $1,937,208 or $0.12 per basic and diluted shares at March 31, 2002, compared to a loss of $4,883,164 or $1.41 per basic and diluted shares at March 31, 2001. The reduction in the loss was due to reduced operating expenses and preferred stock dividends relating to the conversion of shares of preferred stock into common stock during the last quarter of 2001.

"At year end, we focused on improving our capitalization structure and our asset carrying costs in order to improve our P&L going forward. Now, we are focused on improving our P&L by reducing operating expenses and by increasing revenue through our growing portfolio of channel partners. The number of these integrators who have signed on to sell our products continues to grow. More importantly, the number who are integrating our products into their core software continues to grow evidencing the importance of our products in addressing today's security needs," said AXCESS President and CEO, Allan Griebenow. "We have improved our ability to replicate previously referenced sales in key vertical markets including education, data centers, logistics, retail, corporate security, and homeland defense. We continue to pursue additional outside financing sources that can help us grow and we remain optimistic as to the outcome."

For more information on AXCESS Inc.'s products and solutions, see the Company's web site at www.axcessinc.com.

About AXCESS Inc.

AXCESS Inc., headquartered in Dallas, provides advanced security and asset management systems which locate, identify, track, monitor, count, and protect assets. Its network-based systems provide application solutions that can reduce loss and liability, and boost productivity in areas that provide significant value for the customer. In security, the Company's solutions extend traditional system coverage through the use of the corporate network or Internet. A particular focus on automatic incident detection, recording, and notification, all of which can increase productivity and effectiveness. Beyond traditional security, the Company's solutions automatically locate, track, monitor and protect assets, which can maximize utilization of critical assets, such as computers, inventory, people, and vehicles, and improvement of business operations. The main applications are security video (CCTV), personnel and vehicle access control, and automatic asset tracking and protection. The Company provides solutions in the recently identified homeland security markets such as air and ground transportation, water treatment facilities, oil and gas, power plants, as well as in the markets for data centers, retail and convenience stores, education, and corporate offices. AXCESS utilizes two patented and integrated technologies: network-based radio frequency identification (commonly referred to as RFID) and tagging and streaming video. Both application and browser-based software options deliver critical real-time information tailored to each end user via the enterprise network or Internet, also providing custom alerts in the form of streaming video, e-mail, or messages delivered to wireless devices. AXCESS is a VennWorks LLC partner company.

This news release contains "forward-looking statements" within the meaning of the "safe-harbor" provisions of the Private Securities Litigation Reform Act of 1995. Such statements involve known and unknown risks, uncertainties and other factors that could cause the actual results of the Company to differ materially from the results expressed or implied by such statements, including changes from anticipated levels of sales, future national or regional economic and competitive conditions, changes in relationships with customers, access to capital, difficulties in developing and marketing new products, marketing existing products, customer acceptance of existing and new products, and other factors disclosed in the Company's Annual Report on Form 10KSB for the year ended Dec. 31, 2001 and all of the Company's subsequent Quarterly Reports on Form 10QSB, especially in the "risk factors" sections of these annual and quarterly reports. Accordingly, although the Company believes that the expectations reflected in such forward-looking statements are reasonable, there can be no assurance that such expectations will prove to be correct. The Company has no obligation to update the forward-looking information contained in this news release.