Digital Angel's Sarbe Unit Receives $9 Million Order to Supply Personal Locator Beacon Systems to United Kingdom Ministry of Defense

SO. ST. PAUL, Minn.--(BUSINESS WIRE)--Digital Angel (NASDAQ: DIGA), an advanced technology company in the field of animal identification and emergency identification solutions, announced today that its SARBE division has signed a contract valued at $9 million with the United Kingdom Ministry of Defense (UK MoD) to supply latest generation SARBE Personal Locator Beacons and related equipment and support. The equipment, known as Personal Emergency Locator System (PELS), will replace the currently deployed SARBE 7, which from February 2009 will become obsolete due to changes in satellite monitoring technology. Supply of the systems will commence in Q4 2008.

PELS will be issued as standard survival equipment to aircrews in the Royal Air Force, Royal Navy and British Army. The supply contract is for over 4500 systems with additional training equipment, training and support. The equipment consists of the Advanced Aircrew Personal Locator Beacon (AAPLB) and an integration solution that allows the equipment to automatically activate and deploy antennas when fitted in a range of aircrew clothing. Once activated, the equipment transmits a distress signal on 406MHz, containing a unique identity and precise GPS coordinates. The signal is received and processed by the COSPAS-SARSAT network which then alerts the relevant authorities in the country of registration.

Digital Angel Chief Executive Officer Joseph J. Grillo commented, “We are delighted that the UK MoD has selected the SARBE PELS system after a very rigorous selection process. As the current supplier of PLBs to the armed forces of more than forty countries worldwide, we understand the challenges of providing a system that fully integrates within the difficult operational environment of military aircrews.”

About SARBE

A division of Digital Angel’s Signature Industries subsidiary, based in the United Kingdom, SARBE is a world-leading supplier of Search and Rescue Beacon Equipment and Personal Locator Beacons (PLBs). SARBE beacons are now among the most technologically advanced available, featuring digital satellite communications, global positioning system (GPS) and programmable functionality. Its SARBE trademark is widely considered the global standard for these devices, which are now found on ships, aircraft and submarines of the armed forces in more than 40 countries. SARBE’s sister brand, McMurdo, has been developing industry-leading emergency location beacons and NAVTEX technology since 1937. McMurdo products are used around the world on land, sea and in the air, by individuals, businesses and governments for commercial and recreational applications.

About Digital Angel

Digital Angel (www.digitalangel.com) is an advanced technology company in the field of animal identification and emergency identification solutions. Digital Angel's products are utilized around the world in such applications as pet identification using its patented, FDA-approved implantable microchip; livestock identification and tracking using visual and radio frequency identification (RFID) ear tags; and global positioning system (GPS) search and rescue beacons for use on aircraft, ships and boats, and by adventure enthusiasts.

This press release contains certain “forward-looking” statements (as such term is defined in the Private Securities Litigation Reform Act of 1995). Forward-looking statements included in this press release include, without limitation, those concerning expectations regarding the expected benefits of the technology, the performance of the product and the financial impact of the award on the Company. These forward-looking statements are based on the Company's current expectations and beliefs and are subject to a number of risks, uncertainties and assumptions. Additional information about these and other factors that could affect the Company's businesses is set forth in the Company's Form 10-K under the caption "Risk Factors" filed with the Securities and Exchange Commission ("SEC") on March 17, 2008, and subsequent filings with the SEC. The Company undertakes no obligation to update or release any revisions to these forward-looking statements to reflect events or circumstances after the date of this statement or to reflect the occurrence of unanticipated events, except as required by law.

Digital Angel
Jay McKeage, 651-554-1564
jmckeage@digitalangel.com