1. © Copyright 2003 Frost & Sullivan. All Rights Reserved. U.S. Security Services Market Critical Security Requirements Act as Catalyst for Revenue Growth Auto ID/Security Group “In an effort to reduce consumer attrition and attract new customers, companies have begun to offer products and services in non-traditional spaces such as home automation, structured cabling, and systems integration.”

2. © Copyright 2003 Frost & Sullivan. All Rights Reserved. Industry Trends New security consciousness in the post September 11, 2001 era is spurring demand for security products and services The residential security services market is greatly influenced by the activity in the housing construction market Players are increasingly widening their product portfolio to include non-traditional products and services such as home automation, structured wiring, medical alerts, and systems integration The economic slowdown in the U.S. has dampened demand Government spending on security products and services has increased particularly to secure critical infrastructure facilities Technology advancements are creating an upgrading market

3. © Copyright 2003 Frost & Sullivan. All Rights Reserved. Key Features Frost & Sullivan Provides: Detailed insights into the United States security services market Drivers, restraints and industry challenges Analysis by end-user segment – residential and non-residential markets Analysis by product category – burglar alarm, fire and life safety, video surveillance, and other products Revenue forecasts across end-user segments and product categories Revenue split by service category – sales/installation, monitoring, and maintenance & service Market share analysis and competitive structure Market and technology trends

4. © Copyright 2003 Frost & Sullivan. All Rights Reserved. What We Offer Proven methodology encompassing extensive primary and secondary data and research Accurate information and analysis for business planning and strategic decision-making Comprehensive and reliable information on industry dynamics, existing and emerging applications and market and technological trends Critical insights into related industries covering the entire gamut of players

5. © Copyright 2003 Frost & Sullivan. All Rights Reserved. Who Will Benefit? Market Participants Find out the potential of the U.S. market Assess current and future drivers and restraints Determine and exploit new market share opportunities New Entrants Analyze challenges associated with the industry Calculate time scales for strategy implementation Position yourself to capitalise on the market’s unmet needs Get information on technology trends for the industry

6. © Copyright 2003 Frost & Sullivan. All Rights Reserved. Who Will Benefit? (Cont’d) Related Industry Players Determine and exploit potential and opportunities in the systems integration and home automation industries Utilise accurate information for business planning and strategic decision-making Assess current and future drivers and restraints Investment Community Assess the attractiveness of investing in the security services market Determine long-term trends of the industry

7. © Copyright 2003 Frost & Sullivan. All Rights Reserved. Adelphia Security ADT Security Services, Inc. AFA Protective Systems, Inc. Alarm Detection Systems, Inc. Bay Alarm Co. Brink's Home Security, Inc. Counterforce USA Greater Alarm Co., Inc. Guardian Alarm Co. Guardian International, Inc. Guardian Protection Services Honeywell, Inc. Interface Security Systems Key Market Participants Kern Security Systems, Inc. Monitronics International, Inc. Mountain Alarm Per Mar Security Services Protect America, Inc. Protection One, Inc. Protection Service Industries, L.P. Ranger American SAFE Slomin's Security, Inc. Sonitrol Corp. Vector Security, Inc.

8. © Copyright 2003 Frost & Sullivan. All Rights Reserved. Sales Dave McSorley: 210-247-3865 Jim Hawkins:210-348-1024 Research Prianka Chopra, 408-392-2065 Deepak Shetty, 210-247-3828 Visit: www.frost.com www.autoid.frost.com For More Information Contact