Digital Angel (NASDAQ:DIGA), an advanced technology company in the field of animal identification and emergency identification solutions, announced today that its Destron Fearing unit has signed a contract extension with Intervet Incorporated, the animal health unit of Schering-Plough Corporation, to provide syringe and RFID microchip systems and readers. While the terms of the contract were not disclosed, the agreement provides for price and volume minimums, and the extension runs through December 31, 2010. Intervet markets Destron Fearing's companion pet products under the HomeAgain® brand.

Joseph J. Grillo, Chief Executive Officer of Digital Angel, said: ?We're pleased to be able to announce this extended agreement with our partner Schering-Plough/Intervet. Since 1994, Digital Angel has provided Schering-Plough's animal health business with products for its HomeAgain pet recovery system, which has recovered over 600,000 lost pets during that time. We look forward to continuing this great partnership.?

About Digital Angel

Digital Angel (NASDAQ: DIGA) is an advanced technology company in the field of animal identification and emergency identification solutions. Digital Angel's products are utilized around the world in such applications as pet identification, using its patented, FDA-approved implantable microchip; livestock identification and herd management using visual and radio frequency identification (RFID) ear tags; and global positioning systems (GPS) search and rescue beacons for army, navy and air force applications worldwide. For further information please visit www.digitalangel.com and www.destronfearing.com.

This press release contains certain ?forward-looking? statements (as such term is defined in the Private Securities Litigation Reform Act of 1995). Forward-looking statements included in this press release include, without limitation, those concerning expectations regarding the expected benefits of the contract and the impact of the agreement on the Company's financial results. These forward-looking statements are based on the Company's current expectations and beliefs and are subject to a number of risks, uncertainties and assumptions. Additional information about these and other factors that could affect the Company's businesses is set forth in the Company's Form 10-K under the caption "Risk Factors" filed with the Securities and Exchange Commission ("SEC") on April 1, 2010, and subsequent filings with the SEC. The Company undertakes no obligation to update or release any revisions to these forward-looking statements to reflect events or circumstances after the date of this statement or to reflect the occurrence of unanticipated events, except as required by law.

KCSA Strategic Communications
Todd Fromer / Rob Fink
212-896-1215 / 212-896-1236
digitalangel@kcsa.com
or
Digital Angel
Jay McKeage, 651-554-1564
jmckeage@digitalangel.com