MDI, Inc. Subsidiary, FAS Construction Management, Chosen to Construct $11.2 Million Staybridge Suites Hotel

SAN ANTONIO, Texas –November 29, 2007 - MDI, Inc. (NASDAQ: MDII), announced today that FAS Construction Management, Inc. (“FAS”), a subsidiary of MDI, and Montex Real Estate Company, LLC (“Montex”), have signed a formal Letter of Intent dated November 27, 2007 pursuant to which FAS would construct for Montex a five-story Staybridge hotel with 120 suites in San Antonio, Texas. FAS has been performing the pre-construction project management services for Montex on this Project.

The hotel is owned by Montex, under a license agreement with the InterContinental Hotels Group, and will be located in the Stone Oak area of San Antonio at Highway 281 North near Loop 1604.

Work under the contract, which is currently valued at approximately $11,200,000, is scheduled to start in January 2008 with an estimated construction duration of 12 months.

“We are pleased to have been selected as the prime contractor for this project and look forward to continuing our working relationship with Montex,” said Bill Wurzbach, President of FAS.

Montex is investigating the development of two additional hotels in Texas and is considering FAS as the lead contractor on these projects.

About MDI, Inc. (NASDAQ: MDII)
MDI, Inc., companies deliver security technology products, services and training for high-security government, commercial and educational markets as well as comprehensive construction management solutions on an international scale. MDI companies include:
• MDI Security Systems™
• FAS Construction Management™
• MDI Professional Services Group™ (PSG) and
• The LearnSafe Initiative™
MDI’s security division currently protects over 10 million alarm points across the globe for many of the world’s most recognized organizations including Microsoft, Bank of America, John Deere, Pepsi, FBI, TSA (Homeland Security), Fidelity Investments, Bureau of Engraving & Printing, American Express, Department of Defense, IRS, Disney, Smithsonian Institution, San Diego Unified School District and MIT to name a few. FAS Construction Management, Inc., MDI’s construction unit, provides a broad spectrum of services to industries including food service, large retail, industrial, religious, educational, hotel, resort, multi-story office building, multi-family housing and subdivision development in the United States, Mexico, Canada and South America. MDI has received numerous industry awards for their security technology including Frost & Sullivan’s Security System Technology Leadership Award and the Security Industry Association’s Best Integrated Product Award for 2006. For more information on MDI or its diversified line of products and professional services, please visit www.mdisecure.com.

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MDI Investor Relations Contact:
Richard A. Larsen
MDI, Incorporated
Richard.Larsen@mdisecure.com
(210) 582.2664

MDI Media Contact:
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MDI, Incorporated
Mike.Garcia@mdisecure.com
(210) 477.5400