CompuMed Announces Kodak China Installs First OsteoGram(R)-Enhanced Digital X-Ray Platform.

Fully Integrated OsteoGram Functions Seamlessly to Provide Cost-Effective Osteoporosis Testing

LOS ANGELES -- CompuMed, Inc. (OTCBB:CMPD) - a medical informatics company leading the development of advanced imaging technology for cost-effective analysis and monitoring - announced today that the first OsteoGram-enhanced KODAK DIRECTVIEW DR 3000 platform has been installed in Wuxi, China.

CompuMed's OsteoGram is a software-based system for the screening, diagnosing and monitoring of osteoporosis. The OsteoGram provides an accurate, low-cost alternative to DXA bone mineral density (BMD) testing. Earlier this year, CompuMed announced a licensing agreement that enables Kodak Electronic Products Shanghai Co., LTD (KEPS) to enhance its market-leading digital radiography (DR) and computed radiography (CR) systems with CompuMed's proprietary OsteoGram software. KEPS is a wholly owned subsidiary of the Eastman Kodak Company (NYSE:EK).

"We are pleased to complete the project to integrate our OsteoGram software with Kodak's DR 3000 platform," said CompuMed CEO Jerry McLaughlin. "Now we can begin marketing the first-of-its-kind integrated system to penetrate the world's largest osteoporosis market."

According to China's 2000 national census, approximately 100 million of its citizens suffer from various stages of osteoporosis, making China the nation with the world's highest number of osteoporosis patients. The annual medical cost to treat those affected by the disease is estimated to be about 15 billion Yuan ($84 billion US), a figure that does not take into account the significant strain osteoporosis incurs on China's national healthcare program.

CompuMed is planning to leverage its expertise in computer-aided diagnostics to provide solutions and services that improve healthcare provider workflow and patient care, while reducing costs. The OsteoGram's benefits in terms of cost and efficiency facilitate wider osteoporosis screening and treatment for at-risk patients. It is far less costly and cumbersome to use than conventional BMD testing systems, which require dedicated and expensive equipment, computers, office space and staff.

About CompuMed:

Founded in 1973, CompuMed, Inc. (OTCBB:CMPD) is leading the development of advanced imaging and medical informatics solutions that provide cost-effective analysis and monitoring. CompuMed focuses on cardiovascular and musculoskeletal diseases, as well as other diseases associated with aging populations. Its unique expertise in telemonitoring, imaging and analysis facilitates the development of new solutions and services designed to improve healthcare provider workflow and patient care, while reducing costs. CompuMed's core products, the OsteoGram([R]) and CardioGram(TM) systems, are cleared by the FDA and reimbursable by Medicare. The OsteoGram is an accurate and precise technology for osteoporosis testing. The underlying OsteoGram technology has significant cost advantages over other technologies and will be applied to a suite of value-added applications, such as following the progression of arthritic disease and diagnosing vertebral fractures and scoliosis. The CardioGram system is one of the first telecommunication networks designed to remotely interpret electrocardiograms and is used by private practice, as well as government and corporate healthcare providers nationwide. The CardioGram delivers online electrocardiogram interpretations within two minutes of receipt, and has the additional capability to automatically provide an over-read (i.e., follow- up review) by a cardiologist. CompuMed is headquartered in Los Angeles. Visit CompuMed at www.compumed.net.

This news release contains forward-looking statements as defined by the Private Securities Litigation Reform Act of 1995. Forward-looking statements include statements concerning plans, objectives, goals, strategies, future events or performance and underlying assumptions and other statements that are other than statements of historical facts. These statements are subject to uncertainties and risks, including, but not limited to, product and service demand and acceptance, changes in technology, ability to raise capital, availability of appropriate acquisition candidates and/or business partnerships, economic conditions, impact of competition and pricing, capacity and supply constraints or difficulties, government regulation and other risks defined in this document. All such forward-looking statements whether written or oral, and whether made by or on behalf of the Companies are expressly qualified by these cautionary statements and any other cautionary statements which may accompany the forward-looking statements. In addition, the Company disclaims any obligation to update any forward-looking statements to reflect events or circumstances after the date hereof.