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Dehaier Awarded $1.32 Million Procurement Contract to Supply Medical Devices to Hospital 301 in Beijing
Date:6/1/2011

BEIJING, June 1, 2011 /PRNewswire-Asia-FirstCall/ -- Dehaier Medical Systems Ltd. (NASDAQ: DHRM) ("Dehaier" or the "Company"), an emerging leader in the development, assembly, marketing and sale of medical devices and homecare medical products in China, today announced that it has signed a medical equipment supply agreement with Hospital 301, which is located in Beijing, China. The contract is valued at $1.32 million, and Dehaier expects to recognize all revenues from the contract in 2011.

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Dehaier cooperated with German-based Leica Microsystems ("Leica") and U.S.-based ABI Medical ("ABI") to win the bid to distribute medical devices under the Hospital 301 procurement contract. Under the agreement Dehaier will provide the Hospital 301 with a Small Animal In-vivo Imaging System and two sets Laser Capture Microdissection Systems (LCM), both of which are manufactured by Leica, and DNA sequencers manufactured by ABI.

"Hospital 301 is one of the largest and most well renowned hospitals in China and we are honored to provide devices to the hospital. We are also pleased to have the chance to work with two well-respected medical device manufacturers such as Leica and ABI. This supply agreement demonstrates our ability to continue to make inroads with leading hospitals throughout the country and key international medical device manufacturers," said Mr. Ping Chen, CEO of Dehaier. "In over ten years of distributing medical devices in China, we have built strong relationships with over 3,000 hospitals and 2,000 dealers and distributors nationwide. Along with the solid development of medical devices business, we believe that this large, diversified growing network provides us with an ideal platform on which to expand and accelerate the growth of our homecare business."

About Dehaier Medical Systems Ltd.Dehaier is an emerging leader in the development, assembly, marketing and sale of medical products in China, including respiratory and oxygen homecare medical products. The company develops and assembles its own branded medical devices and homecare medical products from third-party components. The company also distributes products designed and manufactured by other companies, including medical devices from IMD (Italy), Welch Allyn (USA), HEYER (Germany), Timesco (UK), eVent Medical (US) and JMS (Japan). Dehaier's technology is based on two patents, six pending patents, and proprietary technology. More information may be found at http://www.chinadhr.com.

Forward-looking StatementsThis news release contains forward-looking statements as defined by the Private Securities Litigation Reform Act of 1995. Forward-looking statements include statements concerning plans, objectives, goals, strategies, future events or performance, and underlying assumptions and other statements that are other than statements of historical facts. These statements are subject to uncertainties and risks including, but not limited to, product and service demand and acceptance, changes in technology, economic conditions, the impact of competition and pricing, government regulation, future developments in payment for and demand for medical equipment and services, implementation of and performance under the joint venture agreement by all parties, and other risks contained in reports filed by the company with the Securities and Exchange Commission. All such forward-looking statements, whether written or oral, and whether made by or on behalf of the company, are expressly qualified by the cautionary statements and any other cautionary statements which may accompany the forward-looking statements. In addition, the company disclaims any obligation to update any forward-looking statements to reflect events or circumstances after the date hereof.Contact Us:In the US:The Piacente Group, Inc.Investor RelationsBrandi Floberg or Lee RothTel: (212) 481-2050Email: dehaier@tpg-ir.com In China:The Piacente Group, Inc.Investor RelationsWendy SunTel: +86-10-6590-7991Email: dehaier@tpg-ir.com Dehaier Medical Systems LimitedRita LiuCFOTel: +86-10-8844-5026Email: liuz@dehaier.com.cn
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SOURCE Dehaier Medical Systems Ltd.
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