Increased order backlog in first quarter

Nio Security, Inc. (OSE: NIO) today announced its

first quarter results for 2010. Sales were down from

last year's first quarter, while Nio's net result was

slightly improved this year. However, the Company's

order intake is increasing significantly. See

attached Q1 2010 Interim Report for more information.

The reduction in sales in the first quarter was

mainly due to lack of working capital in 2009,

limiting the Company's production capacity during the

first quarter of 2010. This problem has now been

resolved and Nio is currently ramping up production

based on a growing order backlog. Additional orders

received after the first quarter places the current

order backlog at more than USD 1.2 million, which is

more than the the Company's total sales in 2009.

Nio's order backlog is expected to generate

increasing revenue going forward.

2009 was a difficult year Nio, which succeeded in its

refinancing and restructuring initiatives in December

last year. The Company's operating expenses have been

reduced by 75 per cent and its San Diego operations

have been closed down. Nio moves forward with no long

term debt, new main shareholders and a growing order

backlog.

For further information please contact Espen Brodin,

Chairman & CEO, +47 920 44 558

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