N@N

BURNABY, British Columbia--([ BUSINESS WIRE ])--Viscount Systems, Inc. (OTCBB: VSYS) announced today that it has completed the sale of $1,000,000 of its Series A Convertible Redeemable Preferred Stock to two institutional investor groups managed from New York City. Pickwick Capital Partners, LLC acted as the sole placement agent for the transaction.

"We are pleased to have completed this private placement with two institutional investor groups that showed confidence in the uniqueness of our unified IT/access control platform. We believe that the cost and security advantages of our patent-pending technology will continue to attract end-users in both the commercial and government sectors."

Proceeds to the company from the sale of the Series A Shares will provide working capital to support and accelerate deployment of the Companyas Freedom Access Control security solution, for investor relations and for working capital purposes.

Steve Pineau, CEO of Viscount Systems, stated, aWe are pleased to have completed this private placement with two institutional investor groups that showed confidence in the uniqueness of our unified IT/access control platform. We believe that the cost and security advantages of our patent-pending technology will continue to attract end-users in both the commercial and government sectors.a

The Series A Shares are convertible into shares of common stock of the Company at the rate of $0.0407 per common share. The Company also issued the Series A Share investors 5 year warrants to purchase 12,285,012 shares of common stock at a price of $0.08 per common share. The Series A Shares are subject to the provisions of the Companyas Certificate of Designation, Preferences and Rights of the Series A Convertible Redeemable Preferred Stock, including restrictions on voting and conversion rights to 4.99% of the outstanding common stock per holder, and dividends of 8% payable in cash or Series A Shares. The Company also granted registration rights to the holders of the Series A Shares that may be exercised in certain circumstances. Additional information on the Series A Shares is included in the Form 8K filed with the SEC.

The securities referred to herein have not been and will not be (except in accordance with the registration rights provided to the investors) registered under the United States Securities Act of 1933 as amended (the aSecurities Acta) or any state securities laws and may not be offered or sold except pursuant to an effective registration statement under the Securities Act and applicable state securities laws or pursuant to an available exemption from, or in a transaction not subject to, such registration.

No stock exchange, securities commission or other regulatory authority has approved or disapproved the information contained herein. This press release is neither an offer to sell nor a solicitation of an offer to buy any of these securities and shall not constitute an offer, solicitation or sale in any jurisdiction in which such offer, solicitation or sale is unlawful.

For more information please email [ investors@viscount.com ], or call toll free as follows: