January 12, 2008

VeriChip Corporation’s Infant Protection Systems Now Installed In More Than Half Of All Birthing Facilities In Ohio

Article From Verichip Website:


DELRAY BEACH, FL – December 12, 2007 – VeriChip Corporation (Nasdaq: CHIP), a provider of RFID systems for healthcare and patient-related needs, announced today that the Company’s wholly-owned subsidiary, Xmark, recently completed a sale of an infant protection system in the state of Ohio, where Xmark’s infant protection systems are now installed in more than half of all birthing facilities. This install base features systems sold under the Company’s HUGS® brand.

“Our HUGS system, which is the industry standard, continues its sustained growth in maternity wards and birthing centers throughout the U.S.” said Daniel A. Gunther, President and CEO of Xmark. “The expansion of our install base is critical to our ongoing success. From sales to new hospital customers, replacement systems and upgrades to existing systems, we are pleased to be the provider of choice for infant security systems for the majority of hospitals.”

Xmark’s infant protection systems are designed to prevent infant abductions and inadvertent child mismatching. The main component of the systems is a wearable RFID tag that is assigned to child and mother following birth. Monitors positioned throughout the hospital detect the integrity of the tags and location of the child. If a newborn is removed from the ward, if the tag is lifted from the baby’s skin or if the ankle strap is compromised, the system immediately triggers an alarm, alerting hospital security to the situation.

Xmark infant protection systems also protect against mismatching events by affixing matching RFID tags to mother and child. If the mother is given the wrong child, the RFID tag detects the mismatch and activates an audible alarm.

About Xmark

Based in Ottawa, Ontario, Xmark is a wholly owned subsidiary of VeriChip Corporation. For over 25 years, Xmark Corporation has provided Radio Frequency Identification (RFID) solutions to identify, locate, and protect people and assets in healthcare environments. Its market-leading infant protection, wander prevention, personal duress, and asset tracking applications are trusted by over 5,000 healthcare institutions worldwide to keep individuals safe.

Xmark products are installed and serviced through an international network of authorized dealers, backed by a dedicated technical services department at Xmark. All aspects of Xmark’s business are certified to the ISO 9001 quality standard.

About VeriChip

VeriChip Corporation, headquartered in Delray Beach, Florida, develops, markets and sells radio frequency identification, or RFID, systems used to identify, locate and protect people and assets. VeriChip's goal is to become the leading provider of RFID systems for people in the healthcare industry. The Company recently began marketing its VeriMed(TM) Patient Identification System, a passive RFID system for rapidly and accurately identifying people who arrive in an emergency room and are unable to communicate. This system uses the first human-implantable passive RFID microchip, the implantable VeriChip(TM), cleared for medical use in October 2004 by the United States Food and Drug Administration.

VeriChip Corporation is majority-owned by Applied Digital Solutions Inc. (Nasdaq: ADSX), which also owns a majority position in Digital Angel Corporation (Amex: DOC). Digital Angel, a leader in RFID and GPS technologies, owns the patent on the human implantable, passive RFID microchip and manufactures it for VeriChip.

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