Proxity-EC Announces Its 600th Client for Its PECS Database

Proxity, Inc. (PINKSHEETS: PRXT) announced today that Proxity Electronic Commerce Systems LLC, ("PECS") today announced that it now has 600 clients and over 1,000 users. Barry Nelsen, CEO of PECS, stated, "Our company has turned the corner on its first phase of development of services and sales and now looks to turn a profit next quarter. This will include targeting larger accounts that have become PECS clients such as 3M, General Dynamics as well as the Department of Defense." PECS now provides daily solicitations from all parts of the Military and Federal Government and prospecting tools for use inside and outside of the Federal market for PECS clients.

PECS offers daily bid opportunities as well as logistics support and research tools to assist the companies' client base in data mining key Governmental contacts in acquisition management in all areas of the Government as well as being able to research all contracts over twenty-five thousand dollars, providing key competitive knowledge unique to the current competitive systems.

About Proxity

Proxity, Inc. is a developmental holding company specializing in the deployment and marketing of security protection technology and government contract fulfillment. Proxity formed Proxity Electronic Commerce Systems, LLC and owns 38.5%. The company also owns approximately 14,750,000 shares of Cyber Defense Systems, Inc. (OTCBB: CYDF). Proxity seeks to acquire and develop both internet-based business opportunities and security technology. The Company plans to enter into developmental, teaming and exclusive and nonexclusive marketing and distribution agreements with products developed for Government, commercial, military and homeland defense areas. http://www.proxity.com. (PINKSHEETS: PRXT).

About Proxity Electronic Commerce Systems, LLC (PECS)

PECS was founded in 2005 with the goal of becoming the leader in providing information systems dealing with Government logistics databases and vendor awareness of business opportunities in selling both to the Government as well as industry. The founders of PECS are the originators of the current systems of logistics used by industry and the Military including FEDLOGS, Haystack and the ILI Logicom parts database.

The PECS databases provide information on 12 million parts, their suppliers, Government specs and standards as well as non-Government standards, which are linked from the database to the cited standards. The system also provides an alert service on sales opportunities to the Government's 400,000 contractors as well as requisite data used by the Military.

Forward-Looking Statements:

This release contains statements that constitute forward-looking statements. These statements appear in a number of places in this release and include all statements that are not statements of historical fact regarding the intent, belief or current expectations of the Company, its directors or its officers with respect to, among other things: (i) the Company's financing plans; (ii) trends affecting the Company's financial condition or results of operations; (iii) the Company's growth strategy and operating strategy; and (iv) the declaration and payment of dividends. The words "may," "would," "will," "expect," "estimate," "anticipate," "believe," "intend," and similar expressions and variations thereof are intended to identify forward-looking statements. Investors are cautioned that any such forward-looking statements are not guarantees of future performance and involve risks and uncertainties, many of which are beyond the Company's ability to control and those actual results may differ materially from those projected in the forward-looking statements as a result of various factors.