Bringing military-grade, cybersecure technology to enable remote monitoring and predictive maintenance for building management

Princeton, N.J., Aug. 16, 2017: Mikros Systems Corporation (OTCQB: MKRS) and Elliott-Lewis Corporation announced today that they have entered into a memorandum of understanding to offer a condition-based maintenance solution for Heating Ventilation, Air Conditioning and Refrigeration (HVAC) equipment.

Mikros will provide hardware and software development, system integration and test services based on its proprietary Prognostics Framework solution. Elliott-Lewis will provide subject matter expertise and technical consulting services for requirements definition, on-site installation and testing. Currently, Mikros and Elliott-Lewis have two active pilot systems that are providing key maintenance data on a daily basis to their technicians.

According to a July 2016 report, the market for HVAC services is expected to reach over $90 billion by 2022. The Mikros/Elliott-Lewis maintenance solution aims to help property owners and managers increase the reliability and security of their HVAC systems. By integrating realtime and historical performance and reliability data from multiple sources, the solution can reduce system downtime, recommend proactive maintenance and decrease the likelihood of catastrophic failure.

“Building management is the tip of the spear in the industrial internet-of-things,” commented Mark Malone, Mikros Vice President of Commercial Markets. “Extending our proven military maintenance systems, which use remote monitoring, defense-grade cybersecurity and predictive analytics to the building maintenance market is the logical next step for Mikros. Together with Elliott-Lewis, an industry-leading service provider, we will provide property managers with a more cost-efficient, reliable and secure HVAC system monitoring and maintenance solution.”

“For over a century, Elliott-Lewis has delivered unparalleled service to our customers,” stated Jim Pizzi, Elliott-Lewis Vice President and Chief Operating Officer. “We are constantly evolving to meet customers’ expectations and deliver innovative and effective solutions. We are proud to partner with Mikros Systems to offer the next generation of HVAC maintenance service that will be proactive, vigilant and secure.”

ABOUT MIKROS SYSTEMS CORPORATION

Mikros Systems Corporation is an advanced technology company specializing in the development and production of electronic systems technology for advanced maintenance in military, industrial and commercial applications. Classified by the U.S. Department of Defense as a small business, its capabilities include technology management, electronic systems engineering and integration, radar systems engineering, command, control, communications, computers and intelligence systems engineering, and communications engineering. Please visit mikrossystems.com/news-events/ for more information.

ABOUT ELLIOTT-LEWIS CORPORATION

Since 1905, Elliott-Lewis Corporate has been providing its clients with solutions that enhance their customers’ health, comfort, safety, durability, reliability and energy efficiency in their facilities. Elliott-Lewis has established itself as the premier HVAC/R service company in the Delaware Valley, providing complete maintenance, repair, and operations, engineering, design, installation and energy solutions. In addition, Elliott-Lewis offers building automation, ultra lowtemp refrigeration, process piping, and plumbing services. Elliott-Lewis’ Facility Management Group provides customized on-site building operations management.

CONTACT: Thomas J. Meaney – (609) 987-1513

Important Information about Forward-Looking Statements All statements in this news release other than statements of historical facts are forward-looking statements which contain our current expectations about our future results. Forward-looking statements involve numerous risks and uncertainties. We have attempted to identify any forward-looking statements by using words such as “anticipates,” “believes,” “could,” “expects,” “intends,” “may,” “should” and other similar expressions. Although we believe that the expectations reflected in all of our forward-looking statements are reasonable, we can give no assurance that such expectations will prove to be correct. Such statements are not guarantees of future performance or events and are subject to known and unknown risks and uncertainties that could cause the Company’s actual results, events or financial positions to differ materially from those included within or implied by such forward-looking statements.  Such factors include, but are not limited to, changes in business conditions, a decline or redirection of the U.S. Defense budget, significant delays or reductions in appropriations for our projects, the termination of any contracts with the U.S. Government, changes in our sales strategy and product development plans, changes in the marketplace, continued services of our executive management team, our limited marketing experience, competition between us and other companies seeking SBIR grants, competitive pricing pressures, market acceptance of our products under development, delays in the development of products, our ability to adequately integrate our new software offerings into our business model, our ability to market our solutions to commercial customers, numerous other matters of national, regional and global scale, including those of a political, economic, business and competitive nature, statements of assumption underlying any of the foregoing, and other factors disclosed in our annual report on Form 10-K for the year ended December 31, 2016 and other filings with the SEC. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date made. Except as required by law, we undertake no obligation to disclose any revision to these forward-looking statements.