Gyyr, Inc. Separates Into Two Divisions

Anaheim, CA — March 6 , 2001 — Gyyr, a subsidiary of Odetics, Inc. (NASDAQ: ODETA & ODETB) today announces the separation of its operations into two divisions. Going forward, Gyyr will be comprised of two groups serving the security industry: Gyyr CCTV Products and Gyyr Electronic Access Control (EAC). Gyyr CCTV Products, which manufactures analog and digital storage solutions, will continue to focus on developing innovative solutions in the rapidly growing fields of digital storage and network-based remote video surveillance. Gyyr EAC manufactures enterprise security management systems and will continue to focus on developing network-based access control products for multi-site applications.

"The separation of Gyyr into two divisions is a direct result of the rapid transition to digital technologies in the security sector and the success we have had with our DVMS product line both domestically and internationally," explains Peter Strom, president and CEO of Gyyr CCTV Products. "We expect the shift to digital solutions to continue its rapid growth over the course of the next five years, and this change will allow Gyyr to focus its resources in the key growth areas of the security sector."

"This focus allows us to better support our customers and to rapidly address product development opportunities," adds Wesley R. Appleby, vice president and general manager of Gyyr Electronic Access Control.

Both executives report to Odetics CEO Joel Slutzky.

Gyyr CCTV Products

Gyyr CCTV Products manufactures fully integrated digital video management systems, VCRs, digital processing and network video products for the collection, storage and processing of security information. By leveraging its capabilities in developing innovative data storage and processing solutions for financial institutions, Gyyr will expand its presence in the retail and transportation markets. In retail, Gyyr will use its expertise in transaction management to build systems for retail customers. In the transportation market, Gyyr will continue to expand its relationship with the Odetics Iteris division and other key OEM partners to develop systems for traffic management and mobile applications. Gyyr CCTV Products emphasizes digital networked storage technology, in line with market demands, and is backed by a team of digital storage experts in sales, marketing and engineering.

"Gyyr's CCTV products enjoy a long, successful history in the security industry," explains Steve Kuntz, vice president of marketing for Gyyr CCTV Products. "We will continue to support our core analog recording technology and will grow from this solid base by marketing four new time-lapse recorders this year, introducing new, innovative digital products and features, and securing strategic partnerships."

Gyyr Electronic Access Control

Gyyr Electronic Access Control (EAC) manufactures enterprise security management systems, consisting of software, hardware and digital video badging. These systems are feature-rich with intuitive, user-friendly interfaces and a compatible open-architecture that allows integration and customization to customer needs. Gyyr EAC's system solutions are widely used in commercial businesses, Fortune-ranked companies, educational institutions and medical facilities. Sales and installation takes place through a long-standing, worldwide network of systems integrators, supported by Gyyr EAC's internal sales staff and experienced application engineers. Expansion plans for this division include the development of new products and product enhancements, as well as further market presence and strengthening of sales channels.

"Gyyr EAC has been providing access control solutions since the 1980s - longer than most of our competitors," states Appleby. "We will aggressively pursue the development of new products and enhancements to continue providing leading-edge security management solutions."

About Gyyr

Founded in 1971, Gyyr has since gained worldwide name recognition for high quality, reliable and innovative security products. The company is credited with developing the security industry's first time-lapse video recorders and the most advanced Windows-based security management software. For more information about Gyyr CCTV Products, please call (714) 780-7435 or toll free at (800) 854-6853, or send a fax (714) 780-7487.  To contact Gyyr Electronic Access Control, please call (714) 780-7458 or toll free at (800) 842-0221, or send a fax to (714) 780-7487.  Gyyr's Web site is located at www.gyyr.com. Gyyr is a wholly owned subsidiary of Odetics, Inc. Both divisions are headquartered at 1515 South Manchester Avenue, Anaheim, CA 92802-2907.

About Odetics

Odetics Inc. is a California-based company engaged in the development of communication and technology companies that may be spun-off to its shareholders. Odetics companies develop software and hardware-based solutions for the television broadcast, video security, telecommunications, and intelligent transportation systems markets. Odetics headquarters are located in Anaheim, California with additional operations in Europe and Asia.

IMPORTANT NOTICE:

This press release contains statements that may be deemed to be forward looking. These forward-looking statements may include statements about revenue growth, profit margins, the effect of cost reduction measures, and other statements relating to the operating results of Odetics or its subsidiaries. Actual results could differ materially from those projected in the forward-looking statements as a result of risk factors such as: short product lives, technological shifts, current technical issues that cannot be resolved on a timely basis, component availability, competition (including new and directly competitive products from others), pricing pressures, incorrect assumptions regarding market demand, the significant uncertainty of market acceptance of new products by both distributors and end-user customers, unanticipated capital requirements, retention of key personnel, general economic conditions, the inability of the Company to execute its business development strategy including the completion of both private and public equity financings of its subsidiaries, and other factors identified in the Odetics Annual Report on Form 10-K and Quarterly Report on Form 10-Q.

Investors are strongly encouraged to review the risk factors set forth in the Odetics most recent SEC filings.