Exhibit 99.1

                                  PRESS RELEASE

                      For further information contact:  Edward F. Ruttenberg
                                                        Phone: (412) 422-2377
                                                        Fax:   (412) 422-2378
                                                        Release No:  2004-05

(BW) (NY-AMERICAN-LOCKER-GROUP) (NASDAQ:ALGI) AMERICAN LOCKER GROUP INCORPORATED
POSTAL CONTRACT EXTENSION

BUSINESS EDITOR

JAMESTOWN,   NY-(BUSINESS   WIRE)  October  13,  2004   American   Locker  Group
Incorporated  announced that its current contracts with the United States Postal
Service (USPS) have been extended through February 28, 2005.

     On  October  8,  2004  the   Company   and  the  USPS  agreed  to  contract
     modifications  that extend the current contracts for both polycarbonate and
     aluminum  Cluster  Box Units  (CBUs)  through  February  28,  2005 and also
     lowered prices on all styles of CBU by approximately  one percent (1%). All
     other terms and conditions of the contracts remain unchanged.



Safe Harbor Statement under the Private Securities Litigation Reform Act Of 1995

     Except for  historical  information  contained in this press  release,  the
     matters   discussed  herein  which  contain   forward-looking   statements,
     including without  limitation,  statements relating to the Company's plans,
     strategies, objectives, expectations, intentions and adequacy of resources,
     are made pursuant to the Safe Harbor  Provisions of the Private  Securities
     Litigation   Reform  Act  of  1995.   Investors  are  cautioned  that  such
     forward-looking   statements  involve  risks  and  uncertainties  including
     without  limitation the  following:  (i) the Company's  plans,  strategies,
     objectives,  expectations, and intentions are subject to change at any time
     at the discretion of the Company,  (ii) the Company's  plans and results of
     operations  will be affected by the Company's  ability to manage its growth
     and  inventory,  (iii) the risk that the Company's  contracts with the USPS
     will not be renewed, and (iv) other risks and uncertainties  indicated from
     time to time in the  Company's  filings  with the  Securities  and Exchange
     Commission.

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