Mikros Systems Corporation Awarded Phase III Contract

PRINCETON, N.J., Sept. 9, 2004 /PR Newswire-FirstCall/ — Mikros Systems Corporation (BULLETIN BOARD: MKRS) announced today the receipt of a Small Business Innovation Research (SBIR) Phase III contract from the Naval Surface Weapons Center – Dahlgren, VA. Valued at approximately $2,400,000, the contract is to complete the development and to begin initial production of an intelligent test tool for Navy radars. The Multi-Function Distributed Analysis Tool (MFDAT) has been designed by the Company under a $1,000,000 SBIR Phase II contract, which began in August 2003.

The MFDAT, an integrated test tool, incorporates standard test equipment such as an oscilloscope, multimeter, and spectrum analyzer into an open architecture, ruggedized computer. Along with integrating all the necessary test equipment functionality into a single unit, the MFDAT contains all the documentation, procedures, manuals, and measurement data necessary for the efficient and accurate servicing of complex military electronic systems. It retains its "personal computer" aspect such that it is operated in a similar way by the individual technician.

Although initially targeted to aid in the alignment and maintenance of the AN/SPY-1 Series Radar in the Navy’s Aegis ships, the MFDAT has broad application in the maintenance and troubleshooting of many types of sophisticated electronic systems. These include other military radars, FAA radar systems, military communication systems, and commercial communication systems which need an effective yet adaptable way to maintain system operation at peak performance.

Mikros Systems Corporation is a high-technology company focused upon the development and application of new technologies in the defense industry and commercial markets.

The public is encouraged to view the Mikros website (www.Mikros.us) for further information and updates on the Company.
Source: Mikros Systems Corporation
CONTACT: Thomas J. Meaney – (609) 987-1513

Important Information about Forward-Looking Statements: All statements in this news release other than statements of historical facts are forward-looking statements which contain our current expectations about our future results. Forward-looking statements involve numerous risks and uncertainties. We have attempted to identify any forward-looking statements by using words such as “anticipates,” “believes,” “could,” “expects,” “intends,” “may,” “should” and other similar expressions. Although we believe that the expectations reflected in all of our forward-looking statements are reasonable, we can give no assurance that such expectations will prove to be correct. Such statements are not guarantees of future performance or events and are subject to known and unknown risks and uncertainties that could cause the Company’s actual results, events or financial positions to differ materially from those included within the forward-looking statements. Such factors include, but are not limited to, changes in business conditions, changes in our sales strategy and product development plans, changes in the marketplace, continued services of our executive management team, our limited marketing experience, competition between us and other companies seeking SBIR grants, competitive pricing pressures, market acceptance of our products under development, delays in the development of products, statements of assumption underlying any of the foregoing, and other factors disclosed in our annual report on Form 10-KSB for the year ended December 31, 2007 and other filings with the SEC. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date made. Except as required by law, we undertake no obligation to disclose any revision to these forward-looking statements to reflect events or circumstances after the date hereof.

Mikros Systems Corporation, 220 Commerce Drive Suite 300, Fort Washington, PA 19034 Phone 215.371.3913