News Release

FOR IMMEDIATE RELEASE

Exel Transportation Signs with StarTrak Systems Intermodal trailers to be equipped with 500 ReeferTrak systems

(Morris Plains, NJ - September 23, 2008)) - StarTrak Systems, a subsidiary of Alanco Technologies, Inc. (NASDAQ: ALAN), and the leader in transport refrigeration wireless monitoring and control systems, today announced that Westerville, OH-based Exel Transportation Services will deploy 500 StarTrak ReeferTrak^® systems on its existing fleet of refrigerated intermodal trailers.

The ReeferTrak solution provides two-way logistical, monitoring and control capabilities for refrigerated trailer operations. Because Exel's trailer fleet travels by intermodal railcar for much of its shipment, the solution provides significant fuel monitoring and control capabilities, which permit efficient transportation management and remote control of special functions. The ReeferTrak solution is effective in this environment, because intermodal shipments occur largely without company drivers and the system identifies when customers shipments change handling responsibility. This visibility permits customers to better manage the quality of the shipment by remote control and measure the operational performance of third parties when they are in control of the shipment.

"We evaluated a number of systems, and found that StarTrak's was clearly superior for our operations", said Jospeh Garrity, General Manager - Refrigerated Intermodal. "Exel has unique refrigerated operations, and we frequently need to control and pre-trip systems remotely. Furthermore, the fuel management system that StarTrak offers provides significant savings in reefer fuel usage validation and dwell time management."

"StarTrak has provided refrigerated transportation systems in the intermodal market segment for a long time," said Tom Robinson, Executive Vice President of StarTrak. "Our system is really oriented towards providing the customer with assurances that intermodal based freight is delivered under the proper conditions and that the customer's operating costs are controlled through the process."

Exel Transportation Management Solutions designs and implements innovative contract logistics solutions for market-leading companies in a wide range of industries. They develop and sustain partnerships that deliver true value and thought leadership to make their client's business more competitive.

Exel is the North American leader in contract logistics, providing customer-focused solutions to a wide range of industries including retail, consumer, technology, automotive, life sciences, chemical and industrial. Exel's innovative supply chain solutions, skilled people and regional coverage, bring together all aspects of contract logistics in addition to a wide range of integrated, value-added and specialist services. Exel is a wholly owned entity of Deutsche Post World Net, the world's leading logistics group. For more information, visit www.exel.com.

Alanco Technologies, Inc. (NASDAQ: ALAN), headquartered in Scottsdale, Arizona, is a rapidly growing provider of wireless tracking and asset management solutions through its StarTrak Systems and Alanco/TSI PRISM subsidiaries. Corporate website: www.alanco.com.

StarTrak Systems is a leading provider of GPS tracking and wireless asset management services to the transportation industry and the dominant provider of tracking, monitoring and two-way control services to the refrigerated or "reefer" segment of the transportation marketplace. StarTrak products increase efficiency and reduce costs of the refrigerated supply chain through the wireless monitoring and control of critical reefer data, including GPS location, cargo temperatures and reefer fuel levels. StarTrak offers complete integrated solutions for refrigerated trailers, trucks, railcars, and containers. Additional information is available at www.startrak.com.

EXCEPT FOR HISTORICAL INFORMATION, THE STATEMENTS CONTAINED IN THIS PRESS RELEASE ARE FORWARD-LOOKING STATEMENTS MADE PURSUANT TO THE SAFE HARBOR PROVISIONS OF THE PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995. ALL SUCH FORWARD-LOOKING STATEMENTS ARE SUBJECT TO, AND ARE QUALIFIED BY, RISKS AND UNCERTAINTIES THAT COULD CAUSE ACTUAL RESULTS TO DIFFER MATERIALLY FROM THOSE EXPRESSED OR IMPLIED BY THOSE STATEMENTS. THESE RISKS AND UNCERTAINTIES INCLUDE, BUT ARE NOT LIMITED TO, REDUCED DEMAND FOR INFORMATION TECHNOLOGY EQUIPMENT; COMPETITIVE PRICING AND DIFFICULTY MANAGING PRODUCT COSTS; DEVELOPMENT OF NEW TECHNOLOGIES WHICH MAKE THE COMPANY’S PRODUCTS OBSOLETE; RAPID INDUSTRY CHANGES; FAILURE OF AN ACQUIRED BUSINESS TO FURTHER THE COMPANY’S STRATEGIES; THE ABILITY TO MAINTAIN SATISFACTORY RELATIONSHIPS WITH LENDERS AND TO REMAIN IN COMPLIANCE WITH FINANCIAL LOAN COVENANTS AND OTHER REQUIREMENTS UNDER CURRENT BANKING AGREEMENTS; AND THE ABILITY TO SECURE AND MAINTAIN KEY CONTRACTS AND RELATIONSHIPS.

For Additional Information Contact:
StarTrak Systems, LLC
Jerry Neuner
Director, Sales and Marketing
Tel: (719) 579-9796