Exhibit 99.1


                  HALIFAX ANNOUNCES SALE OF ITS SECURE NETWORK
                   SERVICES BUSINESS FOR $12.5 MILLION IN CASH
      Company Centralizes Focus on Enterprise Maintenance Services Business


ALEXANDRIA, VA - July 1, 2005 - Halifax Corporation (AMEX:HX) today announced
that it has sold its Secure Network Services business to INDUS Corporation for
$12.5 million in cash, subject to adjustment.  The sale, effective today,
includes all assets of the business including associated contracts and certain
liabilities.

Charles McNew, president and chief executive officer, stated, "Although the
Secure Network Services business generated $13.6 million in annual revenues for
our most recent fiscal year, it does not fit into our core enterprise
maintenance strategy.  Additionally, the infusion of cash significantly
strengthens our balance sheet and expands our options."

The sale was simultaneously signed and closed under an asset purchase agreement,
in which Halifax has sold substantially all of the assets and certain
liabilities of the Secure Network Services division for $12.5 million, subject
to certain adjustments and holdbacks described in the agreement among the
parties.  The Secure Network Services division provides infrastructure support
services (voice, data and video) for secure environments.

He added, "The contracts and customer relationships of the Secure Network
Services business will be valuable to INDUS, as it continues to expand its IT
services work for the federal government.  I'm confident that INDUS not only
will continue to provide a high level of service and support to our customers,
but that it will offer greater opportunities for growth for our employees and
suppliers given its exclusive focus on the federal marketplace."

BB&T Capital Market  Windsor Group served as the exclusive financial advisor for
Halifax in this transaction.  Reference is made to the Company's current Report
on Form 8K to be filed with the Securities and Exchange Commission, for
additional information on the transaction.



Since 1993, INDUS Corporation has provided sophisticated IT solutions to the
federal government.  INDUS specializes in mission-critical initiatives for such
government agencies as NASA, EPA, the Departments of Transportation, Commerce,
Health and Human Services, Education, Homeland Security and Defense, as well as
the intelligence community.  INDUS is supporting federal customers in over 50
locations throughout the United States.  For more information, visit
www.induscorp.com.

Founded in 1967, Halifax Corporation is an enterprise 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 high availability hardware maintenance services, technology
deployment and integration services.  More information on Halifax can be found
at www.hxcorp.com.

Certain statements made by the Company which are not historical facts may be
considered forward-looking statements, including, without limitation, statements
as to trends, management's beliefs, views, expectations and opinions, which are
based upon a number of assumptions concerning future conditions that ultimately
may prove to be inaccurate.  Such forward-looking statements are subject to
risks and uncertainties and may be affected by various factors described in the
Risk Factors Section in the Company's Annual Report on Form 10-K that may cause
actual results to differ materially from those in the forward-looking
statements.  For further information that could affect the Company's financial
statements, please refer to the Company's reports filed with the Securities and
Exchange Commission.