iSECUREtrac Corp Issues Convertible Preferred Stock

    OMAHA, Neb.--Dec. 18, 2001--iSECUREtrac(TM) Corp (OTCBB:ISRE) announced today the issuance of $8.6 million of Series A Convertible Preferred Stock ("preferred stock") to certain private investors. The preferred stock was issued in consideration of forgiveness of debt to certain investors and the assumption of other Company indebtedness with financial institutions by Total Tech, LLC. The forgiveness of and assumption of debt totaled $6.7 million in notes payable, long-term debt and accrued interest. The Company also with the issuance of the preferred stock repurchased for cancellation 11,071,716 stock purchase warrants held by certain investors. The preferred stock has a fixed conversion price ratio to common stock of $1.00 and the Company may redeem the preferred stock in whole or in part over the next three years.
    "We are pleased to have completed this preferred stock placement," stated James E. Stark, President of iSECUREtrac. "This transaction strengthens our balance sheet as we enter our growth period." Stark added.

    About iSECUREtrac(TM)

    iSECUREtrac sells its GPS-based tracking applications for specific markets through qualified third-party partners. The company also provides an Internet based services platform where authorized system users can monitor/track the movement of people, vehicles and assets either in a real-time mode or by viewing historical tracking information. Further information on iSECUREtrac Corp can be found on the company's World Wide Web site at www.isecuretrac.com.

    Forward-Looking Statement

    Except for historical information contained herein, the statements in this release are forward-looking statements that are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements involve known and unknown risks and uncertainties, which may cause the companies actual results in future periods to differ materially from forecasted results. Such risks and uncertainties include but are not limited to the continued growth of the company and other risks. For further risk information, please refer to the Company's Form-10KSB filed with the Securities and Exchange Commission March 27, 2001.