CHIP Verichip (MM)

Digital Angel Corporation (Amex:DOC), an advanced technology company in the field of rapid and accurate identification, location tracking and condition monitoring of high-value assets, announced today that its UK subsidiary, Signature Industries Ltd, has been awarded a $1.7 million order by the Royal Air Force of Oman to provide SARBE G2R Combat Recovery Radios to Omani Jet Fighter Pilots. Delivery of the radios will occur in the second half of 2007. Digital Angel President and Chief Executive Officer Kevin McGrath said, �We are honored that the Royal Air Force of Oman has chosen our SARBE G2R Combat Survival Radio, which further reinforces our SARBE unit�s capabilities as a world leader in the supply of state-of-the-art military combat survival radios.� �Our recent successes in winning two U.S. Air Force development contracts (valued at $1 million) and a Swedish Air Force order (valued at $1.5 million), clearly demonstrate, we believe, that our investment over the past four years in the early development of next generation 406Mhz survival radios positions us to provide customers with a first-class military rescue radio to replace the obsolete 121.5Mhz radios resulting from the satellite change,� continued McGrath. Satellite radios that operate on 121.5 and 243Mhz frequencies will be rendered obsolete when the Cospas-Sarsat satellite rescue system is changed to monitor only 406MHz radio frequency in 2009. Cospas-Sarsat is the international satellite system operator that detects activated search and rescue beacons and approves all rescue beacon systems. About Digital Angel Corporation Digital Angel Corporation (www.DigitalAngelCorp.com) develops and deploys sensor and communications technologies that enable rapid and accurate identification, location tracking, and condition monitoring of high-value assets. Applications for the Company�s products include identification and monitoring of humans, pets, fish, poultry and livestock through its patented implantable microchips; location tracking and message monitoring of vehicles and aircraft in remote locations through systems that integrate GPS and geosynchronous satellite communications; and monitoring of asset conditions such as temperature and movement, through advanced miniature sensors. Digital Angel Corporation is majority-owned by Applied Digital Inc. (Nasdaq:ADSX), which also owns a majority position in VeriChip Corporation (NASDAQ:CHIP). This press release includes forward-looking statements, including statements regarding the future opportunities that are expected due to changes in satellite communication technology and the Company�s belief that it is well positioned to capitalize on such opportunities. The Company wishes to caution readers that certain important factors and various risks may have affected and could in the future affect the Company�s actual results and could cause the Company�s actual results for subsequent periods to differ materially from those expressed in any forward-looking statement made by or on behalf of the Company. With respect to the Company's expectations expressed in this press release, such risk factors include, but are not limited to, the Company�s ability to successfully compete with other producers of competitive satellite communications products and the ability and willingness of customers to fund new Search & Rescue radios. This information is also qualified in its entirety by cautionary statements and risk factor disclosures contained in the Company�s Securities and Exchange Commission filings, including the Company�s annual report on Form 10-K for the fiscal year ended December 31, 2006 and its quarterly reports. The Company can offer no assurances that any projections, assumptions or forecasts made or discussed in this release will be met, and investors should understand the risks of investing solely due to such projections. The Company undertakes no obligation to revise any forward-looking statements in order to reflect events or circumstances that may arise after the date of this press release.