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Digirad Corporation Signs Letter of Understanding With Johns Hopkins University School of Medicine
Date:5/22/2008

POWAY, Calif., May 22 /PRNewswire-FirstCall/ -- Digirad Corporation (Nasdaq: DRAD), a leading provider of medical diagnostic imaging systems and services to physicians' offices, hospitals and imaging centers, today announced the signing of a letter of understanding with Johns Hopkins University School of Medicine in Baltimore, Md.

Under terms of the arrangement, Johns Hopkins will be available to read diagnostic images for primary care physicians, throughout the greater Baltimore area and surrounding counties, utilizing Digirad in-office cardiac imaging. Digirad's mobile imaging service will provide state-of-the-art equipment and qualified, trained personnel who will perform the imaging procedures in the physicians' offices. Through agreements between the physicians and Johns Hopkins, patients' images will be interpreted by Johns Hopkins cardiologists and the results returned electronically to the referring physicians.

Digirad Chief Executive Mark Casner said that the company's business strategy supports better patient care, because it combines the family physician's patient-specific knowledge with the diagnostic expertise of specialists at leading medical institutions such as Johns Hopkins.

Casner commented: "We are pleased that Johns Hopkins will be available to assist local-area physicians with meeting the needs of their patients. As a result we anticipate substantial benefits for patients, including excellent quality imaging, readings by highly skilled cardiac specialists and the comfort of knowing that their own doctors will remain closely involved in their care.

"With this service, physicians can be more effective at patient scheduling, provide important diagnostic services, and offer the specialized expertise of a leading medical institution while maintaining the primary patient relationship," Casner added.

About Digirad

Digirad Corporation provides diagnostic medical imaging systems and services to physicians' offices, hospitals and imaging centers for cardiac, vascular, and general imaging applications. Digirad's Cardius XPO line of nuclear imaging cameras use patented solid-state technology and unique multi (single, dual, triple) head design for superior performance and advanced features for sharper digital images, faster processing, compact size, lighter weight for portability, ability to handle patients up to 500 pounds, and improved patient comfort compared to standard nuclear cameras. Digirad's 2020tc general-purpose nuclear imager has a small footprint and may also be configured for fixed or mobile use to supplement primary imaging. Digirad's installed base of equipment exceeds 450 systems; in addition, a mobile fleet of more than 120 nuclear and ultrasound imaging systems is being used in 22 states, primarily in the eastern, midwestern and southwestern United States. For more information, please visit http://www.digirad.com. Digirad(R), Digirad Imaging Solutions(R), and Cardius(R) are registered trademarks of Digirad Corporation.

Forward-Looking Statements

Digirad cautions that statements included in this press release that are not a description of historical facts are forward-looking statements. You can identify these statements by the fact that they do not relate strictly to historical or current facts and use words such as "anticipate," "estimate," "expect," "project," "intend," "plan," "believe" and other words and terms of similar meaning in connection with a discussion of future operating or financial performance or events. Examples of such statements include statements regarding terms of the agreement, performance of parties under the agreement, and patient benefits. The inclusion of these and other forward- looking statements should not be regarded as a representation by Digirad that any of its plans will be achieved. Actual results may differ materially from those set forth in this press release due to the risks and uncertainties inherent in Digirad's business including, without limitation: the degree to which personnel changes and related disruptions in our business activities may affect Digirad's products, customers, work force, suppliers, and our overall business prospects and operations; the degree to which Digirad's camera systems and related services will be accepted by physicians and hospitals some of whom may experience reliability issues or technical problems; the ability of Digirad effectively to market, sell and distribute its medical devices, and related services given its limited capabilities in these areas; Digirad's ability to manage risks relating to product liability, warranty claims, recalls, property damage and personal injury with respect to its imaging systems; and other risks detailed in Digirad's filings with the U.S. Securities and Exchange Commission, including its Annual Report on Form 10-K, Quarterly Reports on Form 10-Q, Form 8-K and other reports. Given these uncertainties, readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof. All forward-looking statements are qualified in their entirety by this cautionary statement and Digirad undertakes no obligation to revise or update this press release including the forward-looking statements contained herein to reflect events or circumstances after the date hereof or to update the reasons actual results could differ materially from those anticipated in these forward- looking statements, even if new information becomes available in the future.

Investor Contact: Company Contact:

Dan Matsui Mark Casner

Allen & Caron CEO

949-474-4300 858-726-1600

d.matsui@allencaron.com ir@digirad.com


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SOURCE Digirad Corporation
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