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Alanco Investor Relations
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Alanco's StarTrak Bolsters Intellectual Property
With Key New Patent Applications

(Scottsdale, AZ – August 18, 2008) – Alanco Technologies, Inc. (NASDAQ: ALAN) today announced that subsidiary StarTrak Systems has added three key patent applications to its intellectual property portfolio, now totaling fourteen pending and issued patents covering a broad spectrum of functionality related to wireless refrigerated transport (“reefer”) monitoring, including:

• Sensing rapid reefer fuel loss and monitoring re-fueling events, allowing operators to detect leakage or theft and evaluate fuel consumption and costs

• Capability to remotely broadcast multiple reefer power on and off settings, eliminating operator involvement

• Remote temperature setting, allowing customers to assure reefer temperature is consistent with shipment documentation

• Monitoring wireless pre-cooling, loading and unloading notifications, allowing customers to evaluate idle time and excess fuel usage at loading and unloading facilities

• Remote geofenced inventory reporting of reefer trailers by customer location, and their associated service state, allowing customers to manage available trailers at drop off and pick up locations

• Capability to generate standard freight messages based on freight asset behavior

Tom Robinson, StarTrak Executive Vice President, commented, “Over the past decade StarTrak has pioneered innovative technical solutions for reefer wireless monitoring and logistical support services and has earned the dominant share of this emerging market. We believe that StarTrak’s unique, proprietary technology, including our patent portfolio, delivers to our customers industry-leading wireless reefer management solutions and provides the Company with formidable barriers to competition.”

Alanco Technologies, Inc. (NASDAQ: ALAN), headquartered in Scottsdale, Arizona, is a rapidly growing provider of wireless tracking and asset management solutions through its StarTrak Systems and Alanco/TSI PRISM subsidiaries. Corporate website: www.alanco.com

StarTrak Systems is a leading provider of GPS tracking and wireless asset management services to the transportation industry and the dominant provider of tracking, monitoring and two-way control services to the refrigerated or “Reefer” segment of the transportation marketplace. StarTrak products increase efficiency and reduce costs of the refrigerated supply chain through the wireless monitoring and control of critical Reefer data, including GPS location, cargo temperatures and Reefer fuel levels. StarTrak offers complete integrated solutions for refrigerated trailers, trucks, railcars, and containers. Additional information is available at www.StarTrak.com.

Alanco/TSI PRISM is the leading provider of RFID real-time tracking technologies for the corrections industry. TSI PRISM systems track and record the location and movement of inmates and officers, resulting in enhanced facility safety and security and significant staff productivity improvements. Utilizing proprietary RFID (Radio Frequency Identification) tracking technology, TSI PRISM provides real-time inmate and officer identification, location and tracking both indoors and out, and is currently utilized in prisons in Michigan, California, Illinois, Ohio, Missouri, Virginia, Indiana, and Minnesota. Additional information is available at www.TSIPRISM.com.

The Company also participates in the data storage industry through its wholly owned subsidiary, Excel Meridian Data, Inc. (EMD), which specializes in providing unique data storage, backup and disaster recovery solutions. EMD Storage product lines include: direct attached storage (DAS), network attached storage (NAS) and storage area network (SAN) solutions for any size business. In addition, EMD features partnerships with: EqualLogic, VMware, Microsoft, DoubleTake and other industry leading hardware and software solution providers. For more information visit: www.emdstorage.com

Except for historical information, the statements contained in this press release are forward-looking statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. All such forward-looking statements are subject to, and are qualified by, risks and uncertainties that could cause actual results to differ materially from those expressed or implied by those statements. These risks and uncertainties include, but are not limited to, reduced demand for information technology equipment; competitive pricing and difficulty managing product costs; development of new technologies which make the Company’s products obsolete; rapid industry changes; failure of an acquired business to further the Company’s strategies; the ability to maintain satisfactory relationships with lenders and to remain in compliance with financial loan covenants and other requirements under current banking agreements; and the ability to secure and maintain key contracts and relationships.


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