Safeguard Security Holdings Inc. Announces Two New Members to its Board of Directors.

HOUSTON -- Safeguard Security Holdings, Inc. (IQIN.PK), a leading provider of turnkey security staffing solutions, announced today that its has added two new members to the company's board of directors. Joining the board are Rear Admiral Joel D. Sipes, USCG, retired, and Dennis Orsi, president of Sunshine Greeting Cards.

Said Jack Heard, the founder of Safeguard, "The process of building a great public company starts with the board of directors. The addition of Rear Admiral Sipes and Dennis Orsi is a positive development for Safeguard's shareholders and demonstrates our commitment to sound corporate governance."

During the past three decades, Rear Admiral Joel D. Sipes has represented the United States in a variety of international forums and bilateral agreements. He was Officer in Charge, Marine Inspection and Captain of the Port in two major U.S. ports. Rear Admiral Sipes also served for several years at the U.S. Coast Guard headquarters in Washington, D.C. as national director of the Coast Guard's Marine Safety, Security and Environmental Protection programs. There he was responsible for port safety and security and was deeply involved in the federal response to the hijacking of the cruise ship Achille Lauro. Before retiring, Sipes served as commander of the First Coast Guard District, Boston, where he managed all Coast Guard activities in the Northeast United States, including maritime safety, port safety and security and law enforcement.

Rear Admiral Sipes received a bachelor of science degree from the U.S. Coast Guard Academy and a masters of public administration from the University of Rhode Island.

Dennis Orsi, J.D., CPA, (55) has spent more than 30 years in corporate finance and management. He is currently president of Sunshine Greeting Cards, a greeting card manufacturer controlled by Mr. Orsi and his family. During his career, he has served on public boards, spent several years as a mergers and acquisition finance executive for Pulte Corp., and served as senior vice president and treasurer of Ensign Bank, a $2 billion New York savings bank. He also spent more than 10 years in the New York corporate finance departments of Kidder Peabody and Nippon Credit Bank's U.S. investment and merchant banking subsidiary, Eastbridge Capital and Asset Management, where he was senior vice president and co-head of corporate finance.

Mr. Orsi was trained at Peat Marwick, Mitchell where he was a CPA. He received his J.D. at St. John's University and his B.S. in finance at Syracuse University.

Headquartered in Houston, Safeguard Security Holdings, Inc. is a publicly traded company (OTC Pink Sheets: IQIN.PK). Safeguard provides its clients with turn-key security staffing solutions and has broad experience in providing security services to the Department of Homeland Security, 12 other federal agencies, as well as large commercial interests. The company is a GSA-approved vendor, maintaining all required federal security clearances, and specializes in analyzing and streamlining security services across multiple locations. Services include armed security personnel, security management and administration, consulting and analysis and equipment. Operations are directed from its headquarters in Houston and include other domestic offices in Miami and Pittsburgh. The company has more than 600 employees with annual revenues exceeding $24 million.

Forward Looking Statements: The statements which are not historical facts contained in this release are forward looking statements that involve risks and uncertainties, including but not limited to, the effect of economic conditions, the impact of competition, the results of financing efforts, changes in consumers' preferences and trends. The words "estimate," "possible," and "seeking" and similar expressions identify forward-looking statements, which speak only to the date the statement was made. The Company undertakes no obligation to publicly update or revise any forward-looking statements, because of new information, future events, or otherwise. Future events and actual results may differ materially from those set forth herein, contemplated by, or underlying the forward looking statements.

(C) 2004 Safeguard Security Holdings, Inc. The information herein is subject to change without notice. Safeguard shall not be liable for technical or editorial errors or omissions contained herein.