<DOCUMENT>
<TYPE>DEFA14A
<SEQUENCE>1
<FILENAME>pressrelease.txt
<DESCRIPTION>PRESS RELEASE
<TEXT>
                            SCHEDULE 14A INFORMATION
    Proxy Statement Pursuant to Section 14(a) of the Securities Exchange
                        Act of 1934 (Amendment No. )

Filed by Registrant /x/
Filed by a Party other than the Registrant / /

Check the appropriate box:
/ /   Preliminary Proxy Statement
/ /   Confidential, for Use of the Commission Only (as permitted by Rule
      14a-6(e)(2))
/ /   Definitive Proxy Statement
/ /   Definitive Additional Materials
/x/   Soliciting Material Pursuant to Rule 14a-11(c) or Rule 14a-12

                            ALANCO TECHNOLOGIES, INC.
-------------------------------------------------------------------------------

                    Name of Registrant as Specified in its Charter

-------------------------------------------------------------------------------
    (Name of Person(s) Filing Proxy Statement, if other than the Registrant)

Payment of Filing Fee (Check the appropriate box):

/x/   No fee required
/ /   Fee computed on table below per Exchange Act Rules 14a-6(i)(1) and 0-11.
      1.  Title of each class of securities to which transaction applies:

          ---------------------------------------------------------------------
      2.  Aggregate number of securities to which transaction applies:

          ---------------------------------------------------------------------
      3.  Per unit price or other underlying value of transaction computed
          pursuant to Exchange Act Rule 0-11:

          ---------------------------------------------------------------------
      4.  Proposed maximum aggregate value of transaction:

          ---------------------------------------------------------------------
      5.  Total fee paid:

          ---------------------------------------------------------------------
/ /      Fee paid previously with preliminary materials.
/ /      Check box if any part of the fee is offset as provided by Exchange
         Act Rule 0-11(a)(2) and identify the filing for which the offsetting
         fee was paid previously. Identify the previous filing by registration
         statement number, or the Form or Schedule and the date of its filing.

      1.  Amount Previously Paid:

          ---------------------------------------
      2.  Form, Schedule or Registration Statement No.:

          ---------------------------------------
      3.  Filing Party:

          ---------------------------------------
      4.  Date Filed:

          ---------------------------------------


<PAGE>

FOR IMMEDIATE RELEASE                     CONTACT:    Alanco Investor Relations
                                                      (480) 607-1010
                                                      Web:  www.alanco.com


                             ALANCO AND TSI EXECUTE
                        DEFINITIVE ACQUISITION AGREEMENT

                           Early May Closing To Follow
                   NASDAQ-Required Alanco Shareholder Approval

(Scottsdale, AZ - March 18, 2002) - ALANCO TECHNOLOGIES, INC. (NASDAQ: ALAN)
announced today that it has executed a definitive agreement to acquire
privately-held wireless RF (radio frequency) tracking technology developer,
Technology Systems International, Inc. (TSI), also located in Scottsdale,
Arizona. TSI's proprietary identification, location and tracking technology is
utilized for area security management and personnel monitoring systems, with
present commercial focus upon the correctional facilities market. TSI's target
market is the approximate 1,400 minimum and medium security State and Federal
prisons with over 500 inmates each, representing a $1.5 billion opportunity for
TSI's real-time tracking and monitoring technology.

The preliminary acquisition agreement between Alanco and TSI was previously
announced on December 13, 2001, with an anticipated January 2002 completion. The
Company subsequently determined that, in order to comply with recent NASDAQ
Marketplace Rules, the TSI transaction would require approval by a voting
majority of Alanco's shareholders at a special shareholders meeting further
requiring formal proxy solicitation. In late January, Alanco submitted a
preliminary proxy statement to the U.S. Securities and Exchange Commission
(SEC), which was reviewed within the usual 30-day turnaround period and returned
with comments. The Company is submitting its amended proxy statement to the SEC
the week of March 18, 2002. Anticipating an expeditious review and final
approval, and accommodating the minimum required shareholder notification
period, the earliest possible Alanco special shareholders meeting date was
determined to be early May, and is tentatively scheduled for May 8, 2002.

Under terms of the agreement, the TSI acquisition is structured as an asset
purchase, with an initial payment at the close of 6,000,000 shares of Alanco
Class A common stock. Additional future payments of a newly-created Class B
common stock with one-one hundredth (1/100th) of the voting rights of the
current outstanding Class A common stock are contingent upon TSI's achievement
of specific calendar year 2002 profit results. The maximum possible contingent
pay-out would total 17,000,000 Class B common shares based upon TSI's gross
profit in calendar year 2002 exceeding $6,000,000.

Post acquisition, the Company intends to organize and operate the TSI business
as a wholly-owned subsidiary of Alanco Technologies, Inc. with the current TSI
management team continuing to function in their present capacities.

Greg M. Oester, Chief Executive Officer of TSI, adds, "The recently completed
Michigan project, which represents our first significant commercial contract, as
well as our largest installation to date, is achieving tracking location
accuracies far superior to those previously experienced in the pilot
installations. With our proof of concept and technology further validated, and
commercial performance exceeding design specifications, we believe the stage is
set for accelerated acceptance of the TSI system as the new standard for area
security management and real-time inmate monitoring throughout the corrections
industry."

Robert R. Kauffman, Alanco Chairman and CEO, stated, "While we are disappointed
that our closing of the TSI acquisition has been delayed, TSI's progress in the
past few months has been everything we expected and more, including the highly
successful completion in March of TSI's first major contract installation at the
W. J. Maxey juvenile facility in Whitmore Lake, Michigan. We are looking forward
to finally consummating the TSI acquisition immediately following our early May
special shareholders meeting, at which (I predict) our shareholders will
overwhelming approve the transaction."

Alanco Technologies, Inc., headquartered in Scottsdale, Arizona, is a publicly
owned company focused on high-growth information  technology  markets.  Alanco
Technologies companies include Network Attached Storage (NAS) provider,
Excel/Meridian Data, Inc., and Arraid, Inc., a provider of storage upgrade
solutions for legacy computer systems.  Alanco's common stock is traded on the
NASDAQ stock market under the symbol ALAN.

Except for historical information, the statements contained in this press
release are forward-looking statements made pursuant to the safe harbor
provisions of the Private Securities Litigation Reform Act of 1995. All such
forward-looking statements are subject to, and are qualified by, risks and
uncertainties that could cause actual results to differ materially from those
expressed or implied by those statements. These risks and uncertainties include,
but are not limited to, reduced demand for information technology equipment;
competitive pricing and difficulty managing product costs; development of new
technologies which make the Company's products obsolete; rapid industry changes;
failure of an acquired business to further the Company's strategies; the ability
to maintain satisfactory relationships with lenders and to remain in compliance
with financial loan covenants and other requirements under current banking
agreements; and the ability to secure and maintain key contracts and
relationships.
                                  # # #


</TEXT>
</DOCUMENT>