Proxity Digital Networks Subsidiary Cyber Aerospace Purchases AeroSphere SA-76 Airship From Techsphere Systems International

WEST PALM BEACH, Fla.--(BUSINESS WIRE)--July 21, 2004--Proxity Digital Networks, Inc. (Pink Sheets:PDNW) through Cyber Aerospace Corp., an operating subsidiary of Proxity's On Alert Systems, announces the purchase of the AeroSphere SA-76 from Techsphere Systems International, LLC. Billy Robinson, CEO of Proxity Digital Networks states, "Cyber is purchasing the SA-76 so we can have an airship readily available for future clients. Like the SA-60, the SA-76 is a field-ready low-cost drone-type helium airship. The SA-76 has five engines compared to three in the SA-60 and can achieve greater altitude than the SA-60. It is 76 feet in diameter and considered a pilot-option craft meaning it can operate as a UAV, or a pilot can be on board when it is operating in air-controlled situations. The SA-76 can carry highly sensitive surveillance gear and similar to the SA-60, it has the potential to guard borders and coastlines, and conduct military force protection and logistics operations. Delivery is expected in 120 days." Cyber Aerospace holds the exclusive global government marketing rights to the SA-60, the SA-76 and Techsphere's advanced airship designs. Mike Lawson, President of Techsphere Systems International noted, "The production model SA-76 airship can operate in automated or manned modes up to altitudes of 16,000 feet. It will incorporate the same technologies used in the higher-altitude models that we expect to put into production later this year. Future applications of the Techsphere fleet of airships will have the potential to improve both our national defense and telecommunications infrastructure. We expect to complete production of our first high-altitude airship, which will be capable of flying up to 65,000 feet, within the next twelve months." About Proxity Digital Networks, Inc. Proxity Digital Networks, Inc. is a developmental holding company specializing in the deployment and marketing of security protection technology and government contract fulfillment. The Company seeks to acquire and develop security technology. Proxity plans to enter into teaming and exclusive and nonexclusive marketing and distribution agreements with products developed for commercial, military and homeland defense. http://www.proxity.com About On Alert Systems, Inc. On Alert Systems, Inc. is a wholly owned subsidiary of Proxity Digital Networks. On Alert plans to acquire the marketing rights to offensive and defensive security technologies supporting a full line of interoperable protection disciplines. By acquiring a homogeneous Suite of Security Products through teaming and licensed marketing and distribution agreements, the Company plans to introduce the new product line to multiple markets. Through exclusive global licenses, On Alert has also licensed a developing system that uses acoustical and ultrasonic means to sense and evaluate activity pertinent to law enforcement, security and defense industries. Their prospective clients all share the need for enhanced security, mobile communication platforms and increased surveillance capabilities. http://www.onalertsystemsinc.com About Cyber Aerospace Corp. Cyber Aerospace Corp. is assembling a team of military experts, aerospace and composite engineers to design and build a new generation of airships. Cyber Aerospace plans to market the airships as multi-use platform vehicles deployed in surveillance and communication operations, and capable of target acquisition. Cyber Aerospace will provide engineering support and systems integration for the airships. Proxity's subsidiaries will market the airships to various branches of the U.S. government and allies. http://www.cyberaerospace.com About Techsphere Systems International, LLC Techsphere Systems International, LLC is a worldwide provider of low, mid and high altitude spherical airship platforms for use in commercial, research and government applications. Working in concert with 21st Century Air Ships of Canada, the Company will build unique airship designs. http://www.techspheresystems.com This release contains statements that constitute forward-looking statements. These statements appear in a number of places in this release and include all statements that are not statements of historical fact regarding the intent, belief or current expectations of the Company, its directors or its officers with respect to, among other things: (i) the Company's financing plans; (ii) trends affecting the Company's financial condition or results of operations; (iii) the Company's growth strategy and operating strategy; and (iv) the declaration and payment of dividends. The words "may," "would," "will," "expect," "estimate," "anticipate," "believe," "intend," and similar expressions and variations thereof are intended to identify forward-looking statements. Investors are cautioned that any such forward-looking statements are not guarantees of future performance and involve risks and uncertainties, many of which are beyond the Company's ability to control and those actual results may differ materially from those projected in the forward-looking statements as a result of various factors. -------------------------------------------------------------------------------- Contact: Proxity Digital Networks, Inc., West Palm Beach Billy Robinson, 504-524-5425 Fax: 504-524-5424 http://www.proxity.com or On Alert Systems Inc., Tulsa 918-493-2069, Fax: 918-493-6234 http://www.onalertsystemsinc.com or Cyber Aerospace Corp., West Palm Beach 561-624-2918, Fax: 561-694-0712 http://www.cyberaerospace.com or Techsphere Systems International, LLC Mike Lawson, 404-446-2200 mlawson@techspheresystems.com or MEDIA CONTACT Emerson Gerard Associates Jerry Jennings, 561-881-7318 Fax: 603-806-8508 mediareply@egaplus.com ----------------------------------------------------------------------- Source: Proxity Digital Networks, Inc.