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IOSA: Information Systems Associates Announces Letter of Intent to Merge with DUOS Technologies

Information Systems Associates (OTC Markets:IOSA) or ("ISA") has entered into a non-binding letter of intent to merge with Duos Technologies, Inc. ("DUOS"), a privately held advanced intelligent technologies company headquartered in Jacksonville Florida. The merger will be structured as a reverse triangular merger. Each company's Board of Directors has unanimously approved the letter of intent.

Information Systems Associates has proposed to exchange all of DUOS' outstanding capital stock for common stock of Information Systems Associates. After the merger, DUOS shareholders will own 96% of Information Systems Associates on a fully diluted basis. Additionally, Information Systems Associates will need to enact a reverse stock split to facilitate the merger. Closing, which is intended to occur by January 31, 2015, will be subject to satisfactory due diligence by the parties and the entry into a definitive merger agreement. At closing, DUOS' management will assume management of ISA.

The combined Company anticipates executing on its strategy involving significant growth in revenue and long-term profitability. This strategy includes continued R&D investment, new initiatives in sales and marketing, as well as strategic acquisitions. The plan involves growing ISA's current professional services and software business based on management's evaluation of the best return on investment.

ISA's executive management strongly endorse the planned merger, "Over the past three years, we have been searching for ways to grow our business, both organically and through potential mergers and acquisitions," said Joe Coschera, ISA's CEO. "During this process we have evaluated and considered many alternatives. We concluded that in order to expand our capabilities we needed to find a partner with a broad technology foot print that could enable us to achieve proper scale and execute on our aggressive growth strategy. I believe that DUOS Technologies under the leadership of Gianni Arcaini and team is the right merger partner for us."

Adrian Goldfarb, ISA's President and CFO reiterated that ISA's strategic search process chiefly targeted innovative technology companies to either partner with or invest in. "I am very pleased and firmly believe that the proposed transaction will be beneficial to both companies' shareholders."

Gianni Arcaini, DUOS' founder and CEO stated, "We believe the union of our two enterprises will lay the foundation for an aggressive growth strategy. The combination of organic growth with our planned M&A strategy will drive shareholder value, as it will allow us to properly scale our combined entity. We are confident that the transition of DUOS to a publicly traded platform will enhance our ability to secure growth capital and to fund the delivery inf rastructure for our innovative technologies."