SAN DIEGO, CA, May 24, 1999 - PRC, Inc., a subsidiary of Litton Industries (LIT: NYSE), today announced that the City of Las Vegas, Clark County, Nevada and the Las Vegas Metropolitan Police Department (LVMPD) awarded PRC a contract to modernize the department’s positive identification and information management systems.

The project, known as Las Vegas Metro Automated Identification Network (MAIN), has an estimated value of $18 million for the initial period of performance, plus 10 years of maintenance. The MAIN project represents the first time that a large metropolitan police department will combine both fingerprint and mugshot identification systems to provide fully integrated capabilities to identify criminals, employment applicants, and other mandated registrants.

As one of the fastest growing metropolitan areas in the country, Las Vegas will look to Litton PRC to replace the existing outdated systems while providing a solid foundation for future growth, upgrades and the integration of new applications. Current plans call for the new system to go into operation in 2000.

Litton PRC has assembled a world class team to make the MAIN project a reality, including ImageWare Software, Inc., NEC Technologies, Arcata Associates and Gifford Electric.

The MAIN system will serve officials performing a wide range of traditional law enforcement functions, including arrest and booking, confinement and release, investigations and forensics, and coroner's inquiries. In addition, the new capabilities will help satisfy unique requirements under Nevada state law for positive identification of gaming industry work applicants, which adds significant volume to normal law enforcement needs for identification.

Litton PRC has provided information technology solutions to the law enforcement community at the local, state, federal and international levels for over 35 years. Litton PRC is world’s leading provider of computer-aided dispatch systems to support "911" emergency functions. Litton ISG is a top 10 federal integrator and a leading provider of information technology-based solutions for public sector clients, and employs more than 9,500 people in 150 offices nationwide. Litton is a leader in worldwide technology markets for information, advanced electronic and defense systems, and is a major designer and builder of surface combatant ships for the US Navy and allied nations.

About ImageWare Systems, Inc.
ImageWare Systems, Inc. (AMEX:IW), is a leading developer and provider of identity management solutions, providing biometric, secure credential, law enforcement and digital imaging technologies. Scalable for worldwide deployment, the Company's biometric product line includes a multi-biometric engine that is hardware and algorithm independent, enabling the enrollment and management of unlimited population sizes. ImageWare's identification products are used to manage and issue secure credentials including national IDs, passports, driver licenses, smart cards and access control credentials. ImageWare's digital booking products provide law enforcement with integrated mug shot, fingerprint Livescan and investigative capabilities. The Company also provides comprehensive digital workflow solutions for the professional photography industry. ImageWare is headquartered in San Diego, with offices in Washington DC and Canada. For more information visit www.iwsinc.com.

Safe Harbor Statement
This news release may contain forward-looking statements made pursuant to the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995. While these statements are meant to convey to the public the company's progress, business opportunities and growth prospects, readers are cautioned that such forward-looking statements represent management's opinion. While management believes such representation to be true and accurate based on the information available to the company, actual results may differ materially from those described. The company's operations and business prospects are always subject to risks and uncertainties. Important facts that may cause actual results to differ are set forth in the company’s periodic filings with the U.S. Securities and Exchange Commission.

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