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Homeland Security Group International, Inc. Primed for Growth in $570 Billion Global Homeland Security Market.


Homeland Security Group International, Inc. (Pink Sheets:HMSG) is a developmental stage company in the $570-billion homeland defense sector based in San Diego. HMSG's mission is to develop and commercialize technology focused on providing increased security for both civilian and military personnel throughout the world. Under the leadership of Colonel Jeffrey A. Powers (USMC, Retired), a 26-year veteran of the US Marine Corps, HMSG seeks to assemble a portfolio of technology and services through alliances with established defense-related companies and through internal development. In addition to a seasoned management team, HMSG has assembled a top notch Advisory Board consisting of a retired Marine Corps Lieutenant General, Former FBI sniper and a retired Navy combat pilot. HMSG has formed joint ventures and business relationships with established manufacturers of military gear and security-related products and services.

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Colonel Jeffrey A. Powers (USMC, Retired), Homeland Security Group International, Inc. Founder & CEO

Colonel Jeffrey Powers (USMC, retired) has recently retired from the US Marine Corps, achieving the rank of Colonel. He is a veteran of Operation Desert Shield/Storm, where he commanded a 1,200-man Task Force in Saudi Arabia as part of the lead Marine Corps contingent in Desert Shield. Colonel Powers was decorated for valor while serving as Operations Officer for the lead Task Force into Kuwait. Colonel Powers has over 26 years' experience in training, motivating and directing multinational, civilian and military personnel. Colonel Powers is a graduate of Villanova University, with a BA in Criminal Justice. He also has a MS in Urban and Environmental Studies from Renselaer Polytechnic Institute and a MA in National Security and Strategic Studies, Naval Warfare College, Newport, R.I.

Mark Wilson (USMC, Retired), HST, Inc. Director of Security Division

Mark Wilson retired from the US Marine Corps in 1997 after 27 years of honorable service. He was last posted as Sergeant Major of Headquarters Battalion, School of Infantry, at Camp Pendleton, Calif.

Wilson has extensive leadership and instructor experience. He served in billets as an Infantryman, Mortarman, Military Policeman and Drill Instructor. He served under Ambassador L. Paul Bremer as Detachment Commander of Marine Security Guard Detachment at the American Embassy, The Hague, Netherlands. Wilson also served as Marine Liaison to the Secret Service; as Detachment Commander of Marine Security Force aboard the US Navy Aircraft Carrier USS America; as Chief of Security, Supreme Allied Commander Atlantic (SACLANT) (NATO); as First Sergeant of numerous training companies at the School of Infantry; and as Sergeant Major of Headquarters Battalion, School of Infantry.

During Vietnam, Wilson served as an Aeromedical Evacuation Technician and participated in Operation Homecoming, accompanying re-patriated POWs from Hanoi back to the United States.

After retirement, Wilson was a Police Officer with the Escondido Police Department for 5-1/2 years. He was assigned to the patrol division and also served on the Mutual Aid Platoon, providing rapid response to riot situations throughout Southern California.

Wilson has been a security consultant to numerous corporations in the areas of executive protection and site security. He has provided security for numerous Hollywood celebrities and executives and has worked with the British SAS, providing security for members of the Saudi royal family.


Homeland Security Technology, Inc. (HST) is the wholly owned operating division of Homeland Security Group International, Inc. HST is comprised of three operating divisions: the Product Division, Security Division and the Ballistics Division.


COMBAT TRAUMA BAG -- Under the product division, HST is marketing the Combat Trauma Bag to the US military. Currently, we have received and completed orders to the US government for 11,000 Combat Trauma Bags. We are actively pursuing contracts with the US Marine Corps and US Army for additional CTBs and are in the process of developing other innovative products for use by military and law enforcement personnel.


Working In conjunction with the Marine Corps Systems Command, HST has developed the Combat Infantry Breacher's Kit (CIBT) consisting of tools and equipment used by the Marine Corps for rapid entry and extrication. HST has received a contract to provide the Marine Corps with standard breacher's kits and is actively marketing the breacher's kits to law enforcement and ffire departments.


HST has completed field testing of the hand-held GPS units with Iraq street maps. This testing was conducted by civilian contractors and military units in Iraq. The units were based on a Magellan Sportrac model. After-action reports led to a second-generation, hand-held GPS based on a Garmin model. This new model has increased functionality, color screen, larger field of view and more maps. The new unit also has built-in functions for updating maps and routing capabilities. HST has received numerous contracts to provide these models to Marine Corps and US Army units operating in Iraq and Afghanistan. The US government continues to be the is the target customer for these units.


PowerShield Safety and Security Film -- HST's management team has done exhaustive research in the area of ballistics and blast mitigation. Our management team has consulted with the world's leading experts in this field and has recently entered into a strategic relationship with a global industrial conglomerate. This agreement is focused on commercializing certain technology designed to address the ever-increasing threat and safety risk associated the collateral damage emanating from explosive blasts and firearms. HST has privately labeled the laminate and is marketing the product under the name "PowerShield."

PowerShield is a paper-thin, woven Poly Carbonate, adhesive-backed film that, when applied to the inside of glass, makes the glass nearly impenetrable to attack. Marketed as both a blast mitigant and an invisible barrier against smash-and-grab-type attacks, this product has passed testing by the GSA, NIJ and Blast Mitigation Action Group. By bonding to the glass, PowerShield creates an invisible barrier to attackers by strengthening the glass and holding it together to reduce the risk of injury caused by glass fragmentation.

HST has placed the laminate on military vehicles at Camp Pendleton, and is sending pre-cut paste-and-stick kits to Marine Corps units in Iraq for testing. HST has also placed the laminate on jewelry store windows and Chevron gas station Food Mart convenience store windows.

HST is marketing this product to government and civilian markets.


HST markets and coordinates the installation of security systems for homeland security markets, including commercial, residential and government clients. Currently, HST has a strategic alliance with a leading residential and commercial security and surveillance company, with advanced systems in place throughout the country.

This security system has been installed in some of the leading retail chains in the country, and HST, through its strategic partners, can offer the technology, manufacturing and financial capability to provide security systems on a nationwide basis for Fortune 1000 companies. Target markets include remote surveillance systems for convenience stores, retail chains, fast-food outlets and other multi-facility organizations.

HST is marketing a web-based remote surveillance system allowing management to remotely view operations from anywhere in the world via secure server technology. Features include pan-and-tilt cameras; night optics; audio interactivity; and compressed, archiveable storage capability with instant retrieval. This technology fills a much-needed void in the security industry. Having the technological capability to remotely monitor multiple facilities from one location has tremendous advantages over systems where the data is stored in each individual site. Reducing the terrorism threat; controlling employee shrinkage; and reducing theft, vandalism and crime are huge concerns in corporate America. The technology is a cost-effective solution to mitigating the damage and economic loss associated with these security risks.


HST has established a physical security division consisting of uniformed and plain clothes guards and protective agents who can be deployed during natural or manmade disasters to provide security for people and possessions. Named "Emergency Response Teams" (ERT), these teams of trained and licensed officers are totally self supported and can sustain operations up to thirty days.

During the recent elevation of the Department of Homeland Security threat level, HST's ERT teams were deployed at the Coronado Ferry Landing to assist the US Coast Guard provide security for Ferry passengers.

In the aftermath of Hurricane's Katrina and Rita, HST deployed ERTs to Louisiana and Texas and assisted local state and federal agencies by providing security and logistical support for insurance company mobile response units dispatched to assist victims in the area.

Gulf States Security Alliance (GSSA)

Working closely with federal emergency management, HST has established and is managing the GSSA, made up of security agencies licensed to provide security services in Texas, Louisiana, Mississippi, Alabama and Florida. HST has had several meetings with local, state and federal emergency management agencies and participated in briefings with officials at the emergency command posts during the recent hurricanes. GSSA is registered as a response unit in five states and will has established dual working headquarters in Texas and California.


Homeland Security Technology, Inc. has assembled a stellar team of military veterans with a broad range of experience to advise management on strategic issues.

Emil R. Bedard, Lieutenant General (USMC, Retired), HST, Inc. Advisory Board Member

Effective December 1, 2003, Lieutenant General Emil R. "Buck" Bedard retired with over 37 years of active duty service. General Bedard graduated from the University of North Dakota in 1967. In addition to holding a MS degree, General Bedard's formal military education includes the US Army Advanced Infantry Course (1973), Armed Forces Staff College (1980) and Army War College (1986).

Ronnie Frigulti, HST, Inc. Advisory Board Member

Ronnie J. Frigulti is a US Marine Corps combat veteran, having served as an infantry platoon and company commander in Vietnam, 1968-1969.

He has a BA degree in Public Administration and a MA degree in Criminal Justice. He retired from the Federal Bureau of Investigation as a Special Agent, with 25 years' service in the Los Angeles Field Office.

Frigulti founded and currently operates Police Training Consultants, LLC, a firearms and tactical training/consulting company. They are dedicated to officer safety by providing fundamental and practical training to officers in law enforcement and the military.

Kit Lavell, HST, Inc. Advisory Board Member

Kit Lavell is a distinguished naval aviator and flew 243 combat missions during Vietnam. He has written extensively on military and technology issues for newspapers and magazines. His book, "Flying Black Ponies: The Navy's Close Air Support Squadron in Vietnam," was published by the Naval Institute Press.

Kit is Executive Vice President of Strategic Operations, Inc., a San Diego company that provides tactical training facilities and simulations for the military and law enforcement agencies.


The defense contractor industry generates revenues in the hundreds of billions of dollars a year. Industry leaders include Northrop Grumman; Lockheed Martin; General Dynamics; Boeing; Armor Holdings; and Kroll, Inc. Numerous companies have recently entered the homeland defense sector and have made national headlines.

Smaller company standouts include Taser International; Ipix, Inc.; Mace, Inc.; MDM Group; Markland Technologies, Inc.; Aethlon Medical; Roaming Messenger, Inc.; Digital Recorders, Inc.; US Global Nanospace; Metal Storm, Inc.; and Firearm Training Systems, Inc.


Recent press reports have indicated that President Bush has proposed a 14.4% increase in spending for the Department of Homeland Security to $47.4 billion. The request for total military spending was slated at $402.6 billion. Highlights of the 2005 budget include $3.2 billion for Future Combat Systems, an Army program developing military gear for soldiers to use in combat situations. Eight hundred ninety million dollars was budgeted for aviation security measures such as bomb detection machines and air marshal training. The Justice Department is to receive a 242% budgetary increase from 2001 levels to $22 billion for counter-terrorism and homeland defense efforts allocating more than 2,600 FBI agents for counter-terrorism efforts. Recent reports peg the total expected expenditures for global homeland defense spending in excess of $570 billion for 2005.

This press release contains forward-looking statements pursuant to the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. These statements include risks and uncertainties that may cause the company's plans to change and are in no way intended to guarantee that the company will be successful in executing its plans. Homeland Security Group International Inc.'s common stock currently trades on the over-the-counter Pink Sheets under the symbol "HMSG." This press release in no way constitutes any recommendation regarding the securities of HST, Inc., or its affiliates. Any person reading this press release is advised that this release should be considered in light of all facts and circumstances regarding the business and financial condition and prospects of HST, and no inference is made that this release contains all such information.
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Publication:Business Wire
Date:Oct 10, 2005
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