Digital Angel Corporation Exceeds 2005 South American Sales Guidance With Sale of More Than 1.1 Million Livestock Tags

More Than 400,000 Tags Sold in Argentina in Last Two Weeks 


SO. ST. PAUL, Minn., Nov. 21  /PRNewswire-FirstCall/ -- Digital Angel Corporation (AMEX:DOC), an advanced technology company in the field of rapid and accurate identification, location tracking, and condition monitoring of high-value assets, announced today that it had exceeded its 2005 South American sales guidance.  To date, the Company has sold more than 1.1 million livestock tags in Argentina, exceeding the Company's guidance of 1 million livestock tags to be sold in all of South America announced earlier this year. Included in these sales figures are 402,000 tags sold into the large and competitive Argentine market in the last two weeks.

In its first year of operation, Digital Angel's South American Livestock Sales Division has performed better than expected and has expanded the Company's global presence as one of the world's leading livestock identification companies.  There are more than 200 million cattle raised in South America with the largest concentrations in Argentina, Brazil and Uruguay.

"In our first year of operation in the region, it is nice to exceed expectations," said CEO Kevin McGrath.  "As the global livestock identification market continues to broaden as a result of Mad Cow and disease management awareness, bio-terrorism threats and now potentially bird flu, a global presence is necessary for participation in national identification programs.  Digital Angel is one of two worldwide leaders in livestock identification and our expanding global presence will solidify this position. We continue to sign up new distributors and open new distribution channels in South America as well as in Europe and Asia."

About Digital Angel Corporation

Digital Angel Corporation develops and deploys sensor and communications technologies that enable rapid and accurate identification, location tracking, and condition monitoring of high-value assets.  Applications for the Company's products include identification and monitoring of humans, pets, fish and livestock through its patented implantable microchips; location tracking and message monitoring of vehicles and aircraft in remote locations through systems that integrate GPS and geosynchronous satellite communications; and monitoring of asset conditions such as temperature and movement, through advanced miniature sensors.

Digital Angel Corporation is majority-owned by Applied Digital Inc. (NASDAQ:ADSX).  For more information about Digital Angel, please visit http://www.digitalangelcorp.com/.

The statements in this press release that are not strictly historical, are "forward-looking" statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934 and are intended to be covered by the safe harbors created by these sections. The forward-looking statements are subject to risks and uncertainties and the actual results that the Company achieves may differ materially from these forward-looking statements due to such risks and uncertainties, including, but not limited to, that the Company's majority stockholder, Applied Digital Inc. owns 55.4% of the Company's common stock; that new accounting pronouncements may impact the Company's future results of operation; that the Company may continue to incur losses, that infringements by third parties on the Company's intellectual property or development of substantially equivalent proprietary technology by the Company's competitors could negatively affect the Company's business; that domestic and foreign government regulation and other factors could impair the Company's ability to develop and sell the Company's products in certain markets; that the Company relies on sales to government contractors of its animal identification products, and any decline in the demand by these customers for the Company's products could negatively affect the Company's business; that the Company depends on a single production arrangement for its patented syringe-injectable  microchips; that the Company depends on principal customers; that the Company competes with other companies and the products sold by the Company's competitors could become more popular than the Company's products or render the Company's products as obsolete; that the Company's earnings will decline if the Company must write-off goodwill and other intangible assets; that the exercise of options and warrants outstanding and available for issuance may adversely affect the market price of the Company's common stock; that currency exchange rate fluctuations could have an adverse effect on the Company's sales and financial results; and that the Company depends on a small team of senior management and the Company may have difficulty attracting and retaining additional personnel.  A detailed statement of risks and uncertainties is contained in the Company's reports to the Securities and Exchange Commission, including in particular the Company's Form 10-K for the fiscal year ended December 31, 2004.  Investors and stockholders are urged to read this document carefully.  The Company can offer no assurances that any projections, assumptions or forecasts made or discussed in this release will be met, and investors should understand the risks of investing solely due to such projections.  The Company undertakes no obligation to revise any forward-looking statements in order to reflect events or circumstances that may arise after the date of this press release.

  Contact:  Allen & Caron Inc
            Michael Lucarelli (investors)         Brian Kennedy (media)
            212-691-8087                          212-691-8087
                        

DATASOURCE: Digital Angel Corporation



CONTACT:  Michael Lucarelli (investors), ,

or Brian Kennedy (media), , both of Allen & Caron Inc,

[phone], for Digital Angel Corporation



Web site:  http://www.digitalangelcorp.com/

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