PRESS RELEASE

RAE Systems Signs Cooperation Agreement with Security Integrator Henry Bros. Electronics


SAN JOSE, Calif. – RAE Systems Inc. (AMEX:RAE, HBE), a leading global developer and manufacturer of rapidly deployable, multi-sensor chemical and radiation detection monitors and networks for homeland security and industrial applications, today announced that it has signed a cooperation agreement with Henry Bros. Electronics, Inc. (HBE), an established player in the electronic physical security industry, specializing in integrated security systems and emergency preparedness.

HBE provides products and services to customers in the public and private sectors nationwide. Customers include transit authorities, seaports, airports, universities, office-buildings, hospitals and airlines. Current Henry Bros’ projects include Dodger Stadium, Metropolitan Transit Authority of New York, Port Authority of New York and New Jersey, Ports of Oakland and Los Angeles as well as other commercial and government operations.

“With the current state of the world, we believe a great need exists to integrate a broader range of sensors into commercial and industrial security systems,” said Jim Henry, CEO of Henry Bros. “RAE Systems wireless sensor networks provides us with a new set of products to solve the security concerns of our customers.”

“We are pleased to have the opportunity to integrate our chemical and radiation sensors into some of Henry Bros.’ future projects,” said Robert Chen, CEO of RAE Systems. “Henry Bros. will give us a vehicle to begin deployment of the first generation of pervasive sensing.”

Henry Brothers featured RAE Systems security products at the recent American Society of Industrial Security (ASIS) East Exposition held at the Jacob Javitz Convention Center in New York City.

About RAE Systems
RAE Systems is a leading global developer and manufacturer of rapidly deployable, multi-sensor chemical detection monitors and networks for homeland security and industrial applications. In addition, RAE Systems offers a full line of portable single-sensor chemical and radiation detection products. RAE Systems’ products enable the military and first responders to detect and provide early warning of weapons of mass destruction and other hazardous materials. Industrial applications include the detection of toxic industrial chemicals, volatile organic compounds and petrochemicals. RAE Systems’ products are used by many U.S. government agencies, including the Department of Homeland Security, the Department of Justice, and the Department of State, as well as all branches of the U.S. military, and by numerous city and state agencies. Our end users also include many of the world’s leading corporations in the airline, automotive, computer and oil industries. Our products are used in civilian and government atmospheric monitoring programs in over 60 countries. For more information about RAE Systems, please visit www.RAESystems.com.

About Henry Bros. Electronics, Inc.
Henry Bros. Electronics (Amex: HBE) provides technology-based integrated electronic security systems, services and emergency preparedness consultation to commercial enterprises and government agencies. The Company has offices in California, Texas, Arizona, Colorado and New Jersey.
For more information, visit http://www.hbeonline.net, or http://www.henrybroselectronics.com.

Safe Harbor Statement
This press release contains “forward-looking” statements, as that term is used in Section 21E of the Securities Exchange Act of 1934. These types of statements address matters that are subject to risks and uncertainties, which could cause actual results to differ materially. Factors that could cause or contribute to such differences include, but are not limited to, the general economic and industry factors and receptiveness of the market to RAE and its products. In addition, our forward-looking statements should be considered in the context of other risk factors discussed in our filings with the Securities and Exchange Commission, including but not limited to our annual report on Form 10-K and Form 10-Q filings, available online at http://www.sec.gov. All forward-looking statements are based on information available to the company on the date hereof, and the company assumes no obligation to update such statements.

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