**Exhibit      99.1**

|  | **For                Immediate                Release**Contact:Harvey                Grossblatt, CEO Universal                Security Instruments, Inc.410-363-3000,                Ext. 224orDon                Hunt, Jeff Lambert Lambert,                Edwards & Associates,                Inc.616-233-0500 |
|--|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

**Universal      Security Instruments Reports**

**Second      Quarter Earnings**

**—      more—**

**7-A      GWYNNS MILL COURT • OWINGS MILLS, MARYLAND 21117, USA**

**(410)      363-3000 • **
**www.universalsecurity.com**

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**Universal/Page      2**

**UNIVERSAL      SECURITY INSTRUMENTS, INC.**

**CONSOLIDATED      STATEMENTS OF EARNINGS**

|                                                                |   | Three                Months Ended September 30, |       |
|---------------------------------------------------------------------|--------|-------------------------------------------------|------------|
|                                                                |   | 2007                                            |       | 2006 |   |
| Sales                                                               |   | $                                               | 13,678,994 |   | $ | 8,018,088 |   |
| Net                income                                           |   |                                            | 318,130    |   |   | 1,416,204 |   |
| Income                per share                                     |   |                                            |       |   |   |   |   |
| Basic                                                               |   | $                                               | 0.13       |   | $ | 0.59 |   |
| Diluted                                                             |   | $                                               | 0.13       |   | $ | 0.57 |   |
| Weighted                average number of common shares outstanding |   |                                            |       |   |   |   |   |
| Basic                                                               |   |                                            | 2,483,605  |   |   | 2,412,340 |   |
| Diluted                                                             |   |                                            | 2,515,513  |   |   | 2,490,647 |   |

|                                                                |   | Six                Months Ended September 30, |       |
|---------------------------------------------------------------------|--------|-----------------------------------------------|------------|
|                                                                |   | 2007                                          |       | 2006 |   |
| Sales                                                               |   | $                                             | 26,634,425 |   | $ | 16,056,525 |   |
| Net                income                                           |   |                                          | 1,109,133  |   |   | 2,993,672 |   |
| Income                per share                                     |   |                                          |       |   |   |   |   |
| Basic                                                               |   | $                                             | 0.45       |   | $ | 1.27 |   |
| Diluted                                                             |   | $                                             | 0.44       |   | $ | 1.20 |   |
| Weighted                average number of common shares outstanding |   |                                          |       |   |   |   |   |
| Basic                                                               |   |                                          | 2,481,802  |   |   | 2,361,155 |   |
| Diluted                                                             |   |                                          | 2,523,316  |   |   | 2,487,715 |   |

|                                                                                                                                                                                                                                                              |   | September                30, |       |
|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|------------------------------|------------|
|                                                                                                                                                                                                                                                              |   |  2007                   |       |  2006 |   |
| ASSETS                                                                                                                                                                                                                                                            |   |                         |       |   |   |
| Cash                                                                                                                                                                                                                                                              |   | $                            | 944,605    |   | $ | 3,069,981 |   |
| Accounts                receivable and amount due from factor                                                                                                                                                                                                     |   |                         | 9,911,057  |   |   | 5,881,341 |   |
| Inventory                                                                                                                                                                                                                                                         |   |                         | 11,055,548 |   |   | 6,320,688 |   |
| Prepaid                expenses                                                                                                                                                                                                                                   |   |                         | 386,470    |   |   | 332,365 |   |
| TOTAL                CURRENT ASSETS                                                                                                                                                                                                                               |   |                         | 22,297,680 |   |   | 15,604,375 |   |
| INVESTMENT                IN HONG KONG JOINT VENTURE                                                                                                                                                                                                              |   |                         | 9,939,283  |   |   | 8,603,010 |   |
| PROPERTY,                PLANT AND EQUIPMENT - NET                                                                                                                                                                                                                |   |                         | 4,725,926  |   |   | 56,015 |   |
| GOODWILL                                                                                                                                                                                                                                                          |   |                         | 2,018,019  |   |   | 0 |   |
| DEFERRED                TAXES AND OTHER ASSETS                                                                                                                                                                                                                    |   |                         | 739,965    |   |   | 642,870 |   |
| TOTAL                ASSETS                                                                                                                                                                                                                                       |   | $                            | 39,720,873 |   | $ | 24,906,270 |   |
| LIABILITIES                AND SHAREHOLDERS’ EQUITY                                                                                                                                                                                                         |   |                         |       |   |   |   |   |
| Current                portion of notes payable                                                                                                                                                                                                                   |   | $                            | 4,660,414  |   | $ | - |   |
| Accounts                payable                                                                                                                                                                                                                                   |   |                         | 4,852,846  |   |   | 1,315,296 |   |
| Accrued                liabilities                                                                                                                                                                                                                                |   |                         | 1,690,335  |   |   | 1,909,400 |   |
| TOTAL                CURRENT LIABILITIES                                                                                                                                                                                                                          |   |                         | 11,203,595 |   |   | 3,224,696 |   |
| LONG                TERM DEBT                                                                                                                                                                                                                                     |   |                         | 2,179,263  |   |   | - |   |
| SHAREHOLDERS’                EQUITY                                                                                                                                                                                                                         |   |                         |       |   |   |   |   |
| Common                stock, $.01 par value per share; authorized 20,000,000 shares; issued                and                outstanding 2,486,132 and 2,412,408 shares at September 30, 2007                and                September 30, 2006, respectively |   |                         | 24,882     |   |   | 18,095 |   |
| Additional                paid-in capital                                                                                                                                                                                                                         |   |                         | 13,304,330 |   |   | 12,657,760 |   |
| Retained                earnings and other comprehensive income                                                                                                                                                                                                   |   |                         | 13,008,803 |   |   | 9,005,719 |   |
| TOTAL                SHAREHOLDERS’ EQUITY                                                                                                                                                                                                                   |   |                         | 26,338,015 |   |   | 21,681,574 |   |
| TOTAL                LIABILITIES AND SHAREHOLDERS’ EQUITY                                                                                                                                                                                                   |   | $                            | 39,720,873 |   | $ | 24,906,270 |   |

*All      shares have been adjusted to reflect the 4-for-3 stock dividend payable on      October 16, 2006.*

*This      press release may contain forward-looking statements. These forward-looking      statements may generally be identified by the use of the words “may,” “expects,”“anticipates,” “believes,” “estimates,” and similar expressions and involve a      number of risks and uncertainties. For a variety of reasons, actually results      may differ materially, from those described in or contemplated by any such      forward-looking statement. Consequently, the reader is cautioned to consider      all      forward-looking statements in light of the risks to which they are subject.      We      are not able to identify or control all circumstances that could occur in the      future that may adversely affect our business and operating results. These      risks      include, but are not limited to, those risks identified in the Company’s      periodic reports filed with The Securities and Exchange Commission, including      our most recent Annual Report on Form 10-K.*

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