Lehman Brothers ranks OnSSI among industry leaders in IP-Based Video Surveillance in its 2005 Security Industry Annual Report

Report echoes OnSSI's emphasis on open architecture and interoperability with physical security systems

New York, 10 November, 2005 – Lehman Brothers, Inc. (NYSE: LEH), in its Security Industry Annual 2005 Report, ranks On-Net Surveillance Systems Inc. (OnSSI) among the 2005 industry leaders in IP-Based Video Surveillance.

The report names OnSSI among large-scale players and integrators such as Honeywell, GE and Tyco, as well as manufacturers of IP cameras and video encoders including Sony, Toshiba and Axis Communications.

Among OnSSI's products, the Lehman Brothers' report especially notes the NetMatrix Push Live Video and Intelligent Viewing add-on to the company's Network Video Recorders. From the report, "The system has too many features to recount, but chief among these is an events-driven push of live video to a desktop or alarm sport monitor… The intuitive functionality and ease of use for multiple functions, have received extremely high marks from several potential corporate users we have talked to".

The Lehman Brothers' report cites the most current trends in IP-based video surveillance, namely interoperability with physical security systems and the importance of flexible open architecture systems able of running on a variety of platforms. The increased awareness to the need for corporate-wide security frameworks, advent by the growing number of companies with CSOs (Chief Security Officers), has resulted in the willingness to take the next step in video surveillance – a 100% IP-based security system. Enterprises and businesses of all sizes, as well as government agencies and the educational sector, acknowledge the advantages of migrating to a fully digital system that provides more freedom and enables easier data storage, search and retrieval for both video and access control. In terms of ROI, it is clear today that in spite of the higher cost of IP-enabled cameras, the overall cost of ownership of a IP-based system is below that of a traditional system, due to the elimination of coax wiring, dedicated hardware and infrastructure maintenance costs.

Gadi Piran, President of On-Net Surveillance Systems Inc., responded to the Company's inclusion in Lehman Brothers' report: "It's much more than the honor of being named among other respectable industry leaders. The report reaffirms the very approaches OnSSI has maintained over years of development. This includes insistence on creating a true open-architecture system, which can seamlessly communicate with other components of the physical security system; delivering non-proprietary solutions so that the user could incorporate existing and best-of-breed cameras and hardware – in fact, a great deal of our R&D goes to making all leading manufacturers' cameras available for OnSSI users; and most importantly, assuring that critical video reaches whoever needs it, wherever, whenever."

About Lehman Brothers

Lehman Brothers, an innovator in global finance, serves the financial needs of corporations, governments and municipalities, institutional clients, and high net worth individuals worldwide. Founded in 1850, Lehman Brothers maintains leadership positions in equity and fixed income sales, trading and research, investment banking, private investment management, asset management and private equity. The Firm is headquartered in New York, with regional headquarters in London and Tokyo, and operates in a network of offices around the world.

About OnSSI

On-Net Surveillance Systems Inc. offers a comprehensive IP video surveillance control and management solution. Ocularis, OnSSI's IP Video Control platform, is designed to operate on a single platform with unprecedented levels of user-intuitiveness, open architecture and scalability. With core competencies rooted in both the IT and professional security markets, OnSSI's unique solution provides feature-rich camera management, sophisticated recording and archiving, automatic Push Live Video on event, control-room video-wall management and virtual matrix functionality. OnSSI's IP solutions can be found in a wide range of municipalities, federal and local government agencies, as well as enterprise, industrial, and educational settings. For more information, visit: www.onssi.com.