RAE Systems Expands Global Sales Team

Business Wire, Jan 23, 2007

Grows Sales Teams in US, Europe, Middle East, India, and Japan

SAN JOSE, Calif. -- RAE Systems Inc. (AMEX:RAE), a leading global provider of rapidly deployable sensor networks that enable customers to identify safety and security threats in real time, announced the addition of nine regional sales managers and two senior area managers to meet the global demand for toxic gas and radiation products.

* In the United States, two Senior Regional Sales Managers were promoted, with new responsibility for RAE Systems' Eastern U.S. Sales team and the RAE Systems' Western U.S. Sale team. Two replacement territory managers in addition to one new position were hired to manage Louisiana, the Midwest and Northwest United States.

* In Europe, new regional sales managers in Spain, the southern United Kingdom and southern Germany have been added to manage Austria and Switzerland.

* In the Middle East and North Africa, RAE Systems added a regional sales manager who will operate from Abu Dhabi, UAE, and manage relationships with global safety distributors serving the oil industry.

* In India, RAE Systems added a regional sales manager to pursue the need for gas detection products resulting from growing industrialization.

* In Japan, a regional sales manager was added to focus on Japan's gas detection and environmental radiation business, as well as its Japanese distribution channel.

"We are excited to see the global growth in demand for our toxic gas and radiation detection products, as well as our ability to provide protection and detection for workers in many industries," said Robert I. Chen, chief executive officer of RAE Systems. "By restructuring our worldwide sales organization and hiring several new regional sales managers, we will strengthen our overall global sales team to better serve our global customers."

For more information on the RAE Systems family of personal, wireless and fixed toxic gas and radiation monitoring solutions please go to www.raesystems.com.

About RAE Systems

RAE Systems is a leading global provider of rapidly deployable sensor networks that enable customers to identify safety and security threats in real time. Products include multi-sensor chemical detection, wireless gas detection, radiation and digital video monitoring networks for homeland security and industrial applications. RAE Systems' products enable the military and first responders such as firefighters, law enforcement and other emergency management personnel to detect, provide early warning and record events that involve weapons of mass destruction and other hazardous materials. Industrial applications include the detection of toxic industrial chemicals, volatile organic compounds and petrochemicals. RAE Systems' products are used by many U.S. government agencies, including the Department of Homeland Security, the Department of Justice, and the Department of State, as well as all branches of the U.S. military, and by numerous city and state agencies. Our end users also include many of the world's leading corporations in the airline, automotive, computer and oil industries. Our products are used in civilian and government atmospheric monitoring programs in over 50 countries. For more information about RAE Systems, please visit www.RAESystems.com.

Safe Harbor Statement

This press release may contain "forward-looking" statements, as that term is used in Section 21E of the Securities Exchange Act of 1934. Forward-looking statements include, without limitation: expressions of "belief," "anticipation," or "expectations" of management; statements as to industry trends or future results of operations of RAE Systems and its subsidiaries; and other statements that are not historical fact. These types of statements address matters that are subject to risks and uncertainties, which could cause actual results to differ materially. Factors that could cause or contribute to such differences include, but are not limited to, the general economic and industry factors and receptiveness of the market to RAE Systems and its products. In addition, our forward-looking statements should be considered in the context of other risk factors discussed in our filings with the Securities and Exchange Commission, including but not limited to our annual report on Form 10-K and Form 10-Q filings, available online at http://www.sec.gov. All forward-looking statements are based on information available to the Company on the date hereof, and the Company assumes no obligation to update such statements.