PRESS
      RELEASE SOURCE: WPCS International Incorporated
    
    
    
    WPCS
      Signs Letter of Intent to Acquire NECS
    
    
    EXTON,
      PA — (PR Newswire-First Call) - May 9, 2006 - NASDAQ: WPCS
      - News)
      WPCS
      International Incorporated (WPCS), a leader in design-build engineering services
      for specialty communication systems and wireless infrastructure, has announced
      that it has signed a letter of intent to acquire New England Communications
      Systems, Inc. (NECS) www.necommsys.com
      of
      Middletown, CT for $3.2 million in cash and the assumption of approximately
      $1.4
      million in debt. NECS is a provider of specialty communication systems and
      has
      deployed wireless networks for many corporate, government and educational
      clients including the Massachusetts State Police, University of Connecticut
      and
      Foxwoods Resort Casino. 
    
    NECS
      has
      a history of profitable operations, with steadily increasing revenues over
      the
      past five years. For the year ended December 31, 2005, NECS generated $9.9
      million in revenue and $540,000 of EBIT or earnings before interest and taxes,
      excluding certain non-recurring owner expenses (a non-GAAP measure). The gross
      margin for 2005 was approximately 29%. The current annual forecast for NECS,
      ending December 31, 2006 is to achieve $11.4 million in revenue and $936,000
      in
      EBIT.
    
    Myron
      Polulak, CEO of New England Communications Systems, Inc., commented, “The
      merging of operations with WPCS is very beneficial for our customers and our
      employees. For our customers, it allows us to continue to offer the highest
      quality of service with additional engineering and financial strength. For
      our
      employees, it offers the opportunity to be part of a larger organization and
      a
      recognized leader in specialty communication systems, which should enhance
      career development. We look forward to closing this transaction and contributing
      to the future growth of WPCS.” 
    
    Andrew
      Hidalgo, CEO of WPCS International Incorporated, commented, “This is a very
      strategic acquisition from many perspectives. First, it establishes WPCS with
      offices in New England, which has been a very important geographic region for
      our company. Secondly, WPCS will gain the benefit of an experienced and talented
      management team with very capable engineers and lastly, we add a financially
      successful company that is recognized in New England as a leader in specialty
      communication systems. We are truly excited about merging our operations and
      capitalizing on the future opportunities.”
    
    
    
    About
      WPCS International Incorporated:
    
    WPCS
      provides design-build engineering services for specialty communication systems
      and wireless infrastructure including site design, network integration,
      structured cabling, electrical work and project management. The company has
      an
      extensive customer base that includes corporations, government entities and
      educational institutions. For more information, please visit the website at
      www.wpcs.com.
    
    Statements
      about the company's expectations, including revenue and earnings and all other
      statements in this press release, other than historical facts, are "forward
      looking" statements and are made pursuant to the safe harbor provisions of
      the
      Private Securities Litigation Reform Act of 1995. Such forward looking
      statements involve risks and uncertainties and are subject to change at any
      time. The company’s actual results could differ materially from expected
      results. In reflecting subsequent events or circumstances, the company
      undertakes no obligation to update forward-looking statements.
    
    
    
    Contact:
      
    
    Heather
      Tocket / Corporate Communications Manager
    WPCS
      International Incorporated
    610-903-0400
      x102
    ir@wpcs.com