Sentry Technology Signs $1,400,000 Contract

Ronkonkoma, New York, April 18, 2008 -- Sentry Technology Corporation (OTC Bulletin Board: SKVY) announced today, the signing of a $1,400,000 contract to sell more than 100 SentryVision® SmartTrack™ traveling camera systems to the Mexico City Subway system via one of its Spanish dealers. The contract was won in competition with more than 30 companies.

SmartTrack™ uses patented technology to transmit video images from two pan, tilt and zoom cameras traveling along an aluminum rail mounted on the ceiling. The camera carriage travels at high speeds and provides unobstructed views of people, goods and processes. Systems will begin shipping in May with the entire contract completed before the end of September 2008.

The Mexico City Subway is 201 Km in length with 11 lines and 175 stations. It transports more than 1.4 billion passengers annually making it one of the world’s largest subway systems.

“We are very pleased to win this prestigious international contract,” said Peter L. Murdoch, President and CEO of Sentry Technology Corporation. “The public transportation market is a growth opportunity for Sentry. Smart Track is well suited to this sector and we expect that other business will follow from this success both in Mexico and in other countries where the company is soliciting business.”

Sentry Technology Corporation designs, manufactures, sells and installs a complete line of Closed Circuit Television (CCTV) solutions, Electro-Magnetic (EM) and RFID based Library Management systems as well as Radio Frequency (RF) and Electro-Magnetic (EM) EAS systems. The CCTV product line features SentryVisionâ, SmartTrack, a proprietary, patented traveling Surveillance System. The Company’s products are used by libraries to secure inventory and improve operating efficiency, by retailers to deter shoplifting and internal theft and by industrial and institutional customers to protect assets and people. For further information, please visit our website at www.sentrytechnology.com.

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This press release may include information that could constitute forward-looking statements made pursuant to the safe harbor provision of the Private Securities Litigation Reform Act of 1995. Any such forward-looking statements may involve risk and uncertainties that could cause actual results to differ materially from any future results encompassed within the forward-looking statements. Factors that could cause or contribute to such differences include those matters disclosed in the Company's Securities and Exchange Commission filings.