HALIFAX ANNOUNCES FISCAL
2009 FINANCIAL RESULTS

Net Income of $903,000 and Earnings Per Share of $.28

ALEXANDRIA, Va., June 30, 2009 -- Halifax Corporation of Virginia (NYSE Amex: HX) today announced its financial results for the quarter and fiscal year ended March 31, 2009.

Revenues for of fiscal year 2009 were $34.0 million compared to $43.9 million for the prior year. The decrease in revenues in 2009 was attributable to the termination of certain large nation-wide enterprise maintenance contracts, including the loss of a large aeronautic manufacturing customer at the end of fiscal year 2008.

The Company reported operating income of $1.3 million compare to an operating loss of $1.8 million for the prior fiscal year. The improvement in operating results was primarily due to the lowering of our operating costs which offset our reductions in revenue, and improvement in the mix of our business to more profitable contracts.

The Company reported net income of $903,000, or $.28 per basic and diluted share.

Charles McNew, President and Chief Executive Officer, stated, "It's a pleasure to be discussing profitable results on a full year basis. We are successfully executing a difficult transformation in an extremely challenging economic environment."

"Financial performance has improved on virtually every front, under performing contracts have been eliminated, margins are improving, working capital is growing and bank debt continues to decline."  

For the quarter ended March 31, 2009 revenues were $8.0 million compared to $9.0 million for the same period last year. The Company had operating income of $268,000 compared to an operating loss of $887,000 for the same period last year. The Company reported net income of $241,000, or $.08, per basic and diluted share for the three months ended March 31, 2009, compared to a net loss of $955,000 or $(.30) per basic and diluted share for the quarter ended March 31, 2008.

McNew added, "We have every reason to believe that our return to profitability is sustainable going forward and as noted in a recent announcement, our supply chain services program (Enterprise Logistics Solutions) is being well received by the business process outsourcing community on both a domestic and international basis and is affording us a variety of higher margin growth opportunities. Our legacy maintenance business has its challenges but given the current state of our sales pipeline it appears to be on track for an acceptable performance in the coming year." 

The Company will host a conference call for investors at 11 a.m. EDT on Tuesday, June 30, 2009, to review the financial and operational results for the quarter. The conference call phone number is 800-926-6734 for U.S. callers and 212-231-2904 for international callers. The conference call replay will be available from 1 p.m. EDT on Tuesday, June 30, 2009, to 1 p.m. EDT on Wednesday, July 1. The replay number is 800-633-8284 for U.S. callers and 402-977-9140 for international callers. The reservation number is 21429957.

Founded in 1967, Halifax Corporation of Virginia is an enterprise logistics and maintenance solutions company providing a wide range of technology services to commercial and government customers throughout the United States. The Company's principal products are enterprise logistics solutions and high availability hardware maintenance services. More information on Halifax can be found at www.hxcorp.com.