News Release

Horne International Settles Lawsuit with Federal Government over Plum Island Dispute

Fairfax, VA — July 18, 2007 — Horne International, Inc. (OTCBB: HNIN) today announced that it has settled its lawsuit against the federal government seeking payment for extra work undertaken by Horne Engineering Services, LLC, while under contract at the Plum Island Animal Disease Center in New York. Horne Engineering, LLC, is a wholly owned subsidiary of Horne International, Inc.

Under the settlement agreement, the federal government will pay Horne Engineering an additional $400,000 as compensation for claims for additional quantities and changing conditions experienced in 2002 on a project to create wetlands on the site of two wastewater treatment lagoons. Horne Engineering originally filed its complaint against the U.S. Department of Agriculture in August 2006, and subsequently re-filed the suit with the Department of Homeland Security after responsibility for the project changed as the result of a government reorganization.

The settlement was reached as the trial date approached before the Department of Transportation Board of Contract Appeals. “This is a win-win situation for Horne Engineering and the federal government,” said Darryl K. Horne, Chairman, President and Chief Executive Officer of Horne International. “We were able to reach a satisfactory monetary settlement while avoiding the inevitable delays and costs associated with a lengthy trial.” The company expects it will receive payment from the federal government in July 2007.

About Horne International, Inc.

Horne International (OTCBB: HNIN) delivers uniquely engineered solutions that advance some of today’s foremost agendas — winning the war on terrorism, strengthening national security, and fostering environmental sustainability. Service areas include program engineering; technology; manufacturing; maritime and industrial repair; environment, safety, and health; acquisition services; public outreach; and business process engineering. More information can be found at www.horne.com.

Forward-Looking Statements

This news release contains forward-looking statements as defined by the Private Securities Litigation Reform Act of 1995. Forward-looking statements include statements concerning plans, objectives, goals, strategies, future events or performance and underlying assumptions and other statements, which are other than statements of historical facts. These statements are subject to uncertainties and risks including, but not limited to, risks set forth in documents filed by the company from time to time with the Securities and Exchange Commission. All such forward-looking statements, whether written or oral, and whether made by, or on behalf of, the company, are expressly qualified by these cautionary statements and any other cautionary statements which may accompany the forward-looking statements. In addition, the company disclaims any obligation to update any forward-looking statements to reflect events or circumstances after the date hereof.

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