MDI Security Systems Launches New PointGuard Xtreme IP-Based Access Control Solution

Next Generation PointGuard Xtreme Ready-Kit™ to be Sold via Distribution Channel Partners and Thousands of Upgrade Customers Worldwide

SAN ANTONIO, Texas –March 12, 2008 – MDI, Inc. (NASDAQ: MDII) announced today that MDI Security Systems has formally launched its new PointGuard® Xtreme IP-based access control software and hardware. PointGuard Xtreme is a cost-effective and scalable system designed in partnership with Security Dealers and IT Integrators to meet universal requirements and security budgets for organizations of all sizes. MDI Engineers have worked with physical security industry and IT professionals for over 18 months to gather product requirements and develop features that will deliver extreme value to security dealers, integrators and end users around the world.

To highlight PointGuard Xtreme’s industry leading scalability, the baseline product is capable of expanding effortlessly from 2 readers to 512 readers. For larger system requirements, it offers numerous enterprise-level modular software plug-ins (including HSPD-12 for Government) and a seamless upgrade path for up to 16,384 readers.

In addition to its scalability and attractive price-point, PointGuard Xtreme is easy to install, manage, train and use. Comprehensive system training can be accomplished in under one day and will be available online, which is a critical selling factor for small and medium sized security dealers.

The new Ready-Kit™, a bundled turn-key access control package is available using a single part number for system configurations between 2 and 12 doors. These kits arrive pre-wired, pre-configured and ready to install and use. This new packaging dramatically reduces the preparation, installation, troubleshooting and programming time for the integrator.

Unlike other basic access control packages, PointGuard Xtreme is a feature-rich solution that is built on MDI’s award-winning ONE Unified Technology™ platform. The product’s open architecture design empowers seamless expansion of the system from a single door basic access control product into an enterprise command and control application.

To gain immediate market adoption and decrease the field hardware configuration learning curve, PointGuard Xtreme has integrated with all five series of Mercury Security access control panels (SCP, SCP-C, SCP-E, SCP-EP2500 and SCP-EP1502). Mercury develops the most respected and widely-used security controllers in the industry, allowing PointGuard Xtreme to offer multiple communication channels which include serial (single and multi-drop), dial up and Ethernet IP communication. MDI has partnered with Mercury Security for over 10 years and integrates their panels into all products built on the ONE Unified Technology platform (SAFEnet®, PointGuard Xtreme, etc.).
PointGuard Xtreme will be available for purchase via numerous distribution channels and partners in the Physical Security, Educational and IT markets including:

• Nortel
• Northern Video Systems
• The PSA Security Network
• The Cooperative Purchasing Network (TCPN)
• The LearnSafe Initiative – School Security and Safety Products Catalog

These channels will become an immediate sales force multiplier for MDI Security Systems along with its current dealer network, which service an existing customer base of thousands of implementations currently using legacy PointGuard stand-alone systems. An upgrade from PointGuard to PointGuard Xtreme requires no change in existing system hardware or wiring structure. A cross-section of existing PointGuard users include:

• Multiple Veterans Administration (VA) Hospitals across the country
• Numerous Municipalities across the country
• Mars, USA (Masterfoods)
• Panasonic, USA
• Harrah’s Casino
• Dayton Medical Center
• Black Oak Casino
• British Petroleum America
• Venice, FL Airport
• Clark County Health District
• US Department of Health and Human Services
• Towne Bank
• Kansas State Bank
• ING, Italy
• Ferrari, Italy
• Cartier, Switzerland
• Montana Refinery Co.
• Uncle Bens Foods
• American Red Cross
• Royal Beach Casino
• Sea World
• Tyson Foods
• Wagner Oil

MDI will be showcasing the new PointGuard Xtreme solution in booth #23045 at the ISC West Security Conference on April 2-4, 2008 at the Sands Convention Center in Las Vegas, NV. Over 25,000 security professionals, dealers and integrators are scheduled to attend.

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.

Forward-Looking and Cautionary Statements
Except for historical information and discussions contained herein, certain statements included in this press release may constitute "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. All statements included in this document, other than statements of historical fact, that address activities, events or developments that management expects, believes or anticipates will or may occur in the future are forward-looking statements. These statements represent our reasonable judgment on the future based on various factors and using numerous assumptions and are subject to known and unknown risks, uncertainties and other factors that could cause our actual results and financial position to differ materially from those contemplated by the statements. You can identify these statements by the fact that they do not relate strictly to historical or current facts. They use words such as “anticipate,” “estimate,” “project,” “forecast,” “plan,” “may,” “will,” “should,” “expect” and other words of similar meaning.

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

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