DAC Technologies Announces Six Months Results and July Sales

LITTLE ROCK, AR–(EMWNews – August 15, 2008) – DAC Technologies (OTCBB: DAAT) today

announced results for the quarter ended June 30, 2008. For the six months

ended June 30, 2008, the Company reported net sales of $5,440,027 as

compared to $5,579,528 for the same period in 2007, a decrease of 2%. Net

sales for the three month period ending June 30, 2008 were $2,724,258

versus $2,739,903 for 2007. Gross sales for July 2008 were $1,213,339

versus $1,026,067 in July 2007, an increase of 18%. Net income for the six

months ending June 30, 2008 was $50,064 as compared to $98,418 for the same

period in 2007.

David A. Collins, Chairman and CEO, stated, “The Company’s gross margin in

the second quarter was affected by the tremendous increase in commodity

prices, increases in container shipping prices from China, and the

devaluation of the US dollar versus the Chinese RMB. This trend now seems

to be reversing itself as commodity prices have dropped from their highs in

May/June by an average of 20%. The US dollar is showing strength and

stabilizing against the Chinese currency. The price of oil has dropped

significantly and we are hopeful that shipping expenses will stabilize or

be reduced.”

Collins also stated, “Sales for the first six months came in about where we

expected. We were disappointed in the decrease in gross margins in the

second quarter, but that situation seems to be, at a minimum, stabilizing.

The Company continues to be successful at introducing new products as

evidenced by its new fireplace accessory line that will begin shipping to

Wal-Mart in the third quarter, and by the addition of household cleaning

items. Although these items do not have the gross margins of our gun

cleaning items, they offer an opportunity for tremendous growth at

reasonable and profitable gross margins.”

Collins further stated, “The Company still projects sales in the third and

fourth quarters combined to be between $11,000,000 and $13,000,000, a big

contributing factor being the shipment of our fireplace accessories. The

Company has also received a commitment of almost $1,000,000 on a Holiday

promotion with Wal-Mart. We expect annual sales for 2008 of between

$16,000,000 and $18,000,000, and net profits between eleven and thirteen

cents per share. The Company continues to tightly control expenses and

improve its strong financial condition, as evidenced by current assets of

$5.62 million and current liabilities of only $1.55 million, a current

ration of 3.6 to 1, and shareholder equity of $4,757,145. The Company will

continue to develop new products, and in fact, has been asked to work on a

significant amount of new household cleaning items for 2008.”

About DAC:

DAC Technologies Group International, Inc. is an outsource manufacturer of

high quality, reasonably priced security safes, gunlocks, gun cleaning

kits, sporting goods, household cleaning products and various hardware

items. DAC distributes its products through mass merchandisers such as

Wal-Mart and Kmart, and sporting goods retailers and distributors such as

Cabela’s, Acusport, Jerry’s, RSR, Maurice, Academy Sports, Sports Authority

and others. DAC also provides gunlocks to OEM gun manufacturers such as

Glock, SigArms, Savage, Marlin, Weatherby, as well as others. Also, DAC’s

products are distributed through catalog companies.

The Private Securities Reform Act of 1995 provides a “safe harbor” for

forward-looking statements. Certain information included in this press

release (as well as information included in written statements to be made)

contains statements that are forward looking, such as those relating to

consummation of the transaction, anticipated future revenue of the

Company’s and success of current public offerings. Such forward-looking

information involves important risks and uncertainties that could

significantly affect anticipated results in the future and, accordingly,

such results may differ materially from those expressed in any

forward-looking statements.