CYBRA Corporation Issues Update on Chinese Joint Venture

CYBRA Corporation (OTCBB: CYRP), a leader in bar code and RFID technologies for IBM Power Systems and other major computing platforms, today announced an update on its strategic joint venture with the China Ministry of Transportation.

As previously announced, CYBRA Corporation signed an agreement with the People’s Republic of China Ministry of Transportation’s Waterborne Transportation Institute (WTI) and Key West Technologies, LLC to form a China-based joint venture to develop, manufacture, and market leading edge products that add intelligence to the supply chain by tracking and monitoring goods.

Under the terms of the agreement, CYBRA is to receive a 52% ownership interest in the joint venture with an option to increase its equity position by 10%. The technology to be provided by the company will aid in effective management of cargo through real-time visibility and knowledge of the status and whereabouts of clients’ shipments, deploy anti-theft and anti-counterfeiting detection, and aid in homeland security via sophisticated sensing devices.

Since the agreement was signed, CYBRA Corporation’s management has established a market penetration strategy intended to ensure that the joint venture offers both the highest quality products and most competitive pricing structure. Its monthly monitoring fees are projected to be 50% less than the present market leader, which the company believes should lead to rapid adoption and implementation. The joint venture plans to launch its initial marketing campaign by January 2011.

China’s shipping industry is one of the largest in the world, producing 98% of all shipping containers and servicing 60% of the world’s top ports. Meanwhile, stolen cargo results in $30-50 billion per year in losses, while some $38 billion per year is spent on managing empty containers. CYBRA Corporation’s technologies will be designed to minimize losses and more effectively manage shipping containers using cutting-edge RFID, GPS and communications technologies.

“We expect that CYBRA’s joint venture with China’s Ministry of Transportation will usher in the most advanced cargo tracking and sensing technologies, while establishing them as a new standard in the marketplace,” said CYBRA Corporation CEO Harold Brand. “Our cutting-edge technology and competitive pricing is intended to ensure rapid entry into the world’s largest shipping industry.”

About CYBRA Corporation

CYBRA Corporation is a leader in bar code and RFID technology for IBM Power Systems and other major computing platforms. An IBM Business Partner and Motorola/Symbol Partner, CYBRA is represented by a network of value added resellers throughout the United States and is represented internationally by sales and support offices.

MarkMagic™ Bar Code Labels, RFID Tags and Forms Software is used by thousands of customers worldwide, and has been selected as the bar code print engine of such leading software developers as Manhattan Associates™, Infor™ and VAI™. MarkMagic helps customers easily integrate barcode, RFID technology and electronic forms into their business systems.

CYBRA's latest product, EdgeMagic® is an integrated RFID control solution. EdgeMagic helps customers build any type of RFID system, from complying with the full range of RFID mandates to closed loop asset management RFID applications.

CYBRA software solutions run on all major computing platforms including IBM Power Systems (System i, iSeries, AS/400, AIX) as well as Linux, Unix, and Microsoft Windows.

CYBRA Corporation is located at One Executive Boulevard, Yonkers, NY 10701. Product information is available toll free at 1-800-CYBRA-88. CYBRA's web site is located at http://www.cybra.com. To request information via e-mail, write to: info@cybra.com.

Safe-Harbor Statements

This release and other statements issued or made from time to time by the company or its representatives contain forward-looking statements within the meaning of Rule 175 of the Securities Act of 1933, as amended, and Rule 3b-6 of the Securities Exchange Act of 1934, as amended, that involve substantial risks and uncertainties. These forward-looking statements are not historical facts, but rather are based on current expectations, estimates and projections about our industry, our beliefs and our assumptions. Words such as "anticipates", "expects", "intends", "plans", "believes", "seeks" and "estimates" and variations of these words and similar expressions are intended to identify forward-looking statements. These statements are not guarantees of future performance and are subject to risks, uncertainties and other factors, some of which are beyond our control and difficult to predict and could cause actual results to differ materially from those expressed or forecasted in the forward-looking statements.

These forward-looking statements include statements regarding projected revenue and income in future quarters and our beliefs with respect to the growth in the demand for our products. Other risks and uncertainties that may affect our business include our ability to expand beyond the IBM System i market for MarkMagic and expand into the radio frequency identification ("RFID") market with EdgeMagic; our ability to penetrate the emerging and competitive market for bar code and RFID encoding software; our ability to introduce, produce, improve and market new and existing products, such as MarkMagic and EdgeMagic, and the market acceptance of these and other products; the impact of competitive products and pricing; and our timely development of new products and market acceptance of those products. Actual results may differ from those expressed or implied in our forward-looking statements. These statements represent beliefs and expectations only as of the date they were made. We may elect to update forward-looking statements, but we expressly disclaim any obligation to do so, even if our beliefs and expectations change. In addition to the statements described above, such forward-looking statements include the risks and uncertainties described more fully in our reports filed or to be filed with the Securities and Exchange Commission, including our annual reports on Form 10-K and quarterly reports on Form 10-Q.