Applied Digital Reports 2007 Third Quarter Financial Results

Business Wire, Nov 7, 2007

* VeriChip generated $53,000 from its implantable segment, the first revenue from that segment since its initial public offering, primarily from sales of its VeriTrace System; the Company also launched its Patient First program, a program under which patients receive the VeriMed[TM] implantable microchip with no up-front cost with a subscription to the VeriMed Patient Registry at a fee of $9.95 per month.

* VeriChip partnered with Independent Dialysis Foundation (IDF) of Maryland to provide IDF's 500 patients access to the VeriMed[TM] implantable microchip over a one-year period.

* VeriChip officially launched its VeriMed Patient Identification System project with Alzheimer's Community Care and more than 100 patients and caregivers received the VeriMed[TM] implantable microchip following the launch.

* VeriChip and Digital Angel entered into a memorandum of understanding with RECEPTORS LLC, an expert in the field of proteomics and the development of artificial receptors, to develop a prototype renewable glucose sensor to use in conjunction with an implantable bio-sensing RFID microchip to measure glucose levels in the human body.

* The number of hospitals registered in the VeriMed Patient Identification System network increased by 9.5% from 640 at the end of the second quarter of 2007 to 701 at the end of the third quarter of 2007. The number of protocol-adopted hospitals increased by 26.6% from 158 at the end of the second quarter of 2007 to 200 at the end of the third quarter of 2007.

Conference Call

Applied Digital and Digital Angel will host a joint conference call tomorrow, November 8, 2007, for investors, analysts, business and trade media, and other interested parties at 8:30 a.m. EST. Interested participants should call (866) 323-2725 within the United States or (706) 643-1836 internationally. Please use passcode 22892894. Alternatively, an audio-only, simultaneous Web cast of the live conference call can be accessed through Applied Digital's Web site at www.adsx.com. For persons unable to participate in either the conference call or the Web cast, a digitized replay will be available from November 8 at approximately 11:00 a.m. EST to November 15 at 11:59 p.m. EST. For the replay, dial (800) 642-1687 (USA) or (706) 645-9291 (international), using access code 22892894. Alternatively, a Web cast replay can be accessed through the Investor Relations section under "Audio Archives" on Applied Digital's Web site at www.adsx.com.

About Applied Digital - "The Power of Identification Technology"

Applied Digital develops innovative identification and security products for consumer, commercial, and government sectors worldwide. The Company's unique and often proprietary products provide identification and security systems for people, animals, the food supply, government/military arena, and commercial assets. Included in this diversified product line are RFID applications, end-to-end food safety systems, GPS/Satellite communications, and telecomm and security infrastructure, positioning Applied Digital as the leader in identification technology. Applied Digital is the owner of majority positions in Digital Angel Corporation (AMEX:DOC) and VeriChip Corporation (NASDAQ:CHIP).