December 8 , 2005

QSGI Signs Two New Data Security & Regulatory Compliance Customers

HIGHTSTOWN, NJ—December 8, 2005—QSGI INC. (PCX: QGI) the only data security and regulatory compliance provider offering a full suite of life-cycle services for a corporation’s entire IT platform, today announced that it has signed two new customers for its data security and regulatory compliance services:

– One of the world’s largest private banking and asset management firms

– A major U.S. stock exchange

Marc Sherman, chairman and CEO, stated, “Improperly erased data on old hard drives represents one of the most frequently overlooked vulnerabilities within an organization. The addition of these customers reinforces the growing awareness, especially among one of our targeted industry sectors, financial institutions, of the significant liability and regulatory requirements to properly destroy data before disposing or remarketing hardware. Under the Gramm-Leach-Bliley Act, financial institutions are required to ensure the security and confidentiality of customer information. Our selection by these latest clients follows a vigorous due diligence process, and solidly entrenches us within their organizations.”

About QSGI
QSGI is the only data security and regulatory compliance provider offering a full suite of end-of-life and other life-cycle services for a Fortune 1000 corporation’s and government client’s entire information technology (IT) platform.  QSGI offsets its clients’ expenses through its value-added remarketing program. Prior to resale, the company utilizes its proprietary Department of Defense (DOD) level certified data sweep to eliminate otherwise recoverable data. QSGI reduces its clients' potential liability by ensuring regulatory and environmental compliance for IT products. QSGI also maintains and provides services on enterprise-class hardware, including mainframes, midrange servers, tape storage products and disk storage products. Given the sensitive nature of the company’s client relationships, it does not provide the names of its clients.

Statements about QSGI’s future expectations, including future revenues and earnings, and all other statements in this press release other than historical facts are ‘forward-looking statements’ within the meaning of Section 27A of the Securities Act of 1933, Section 21E of the Securities Exchange Act of 1934, and as that term is defined in the Private Litigation Reform Act of 1995.  QSGI intends that such forward-looking statements involve risks and uncertainties and are subject to change at any time, and QSGI’s actual results could differ materially from expected results.  QSGI undertakes no obligation to update forward-looking statements to reflect subsequently occurring events or circumstances.