Oridion and Bound Tree Sign Distribution Agreement for U.S. Emergency Medical Services Segment.

Business Editors and Health/Medical Writers

JERUSALEM, BOSTON & COLUMBUS, Ohio--(BUSINESS WIRE)--March 14, 2002

Oridion Systems Ltd. (SWX NM: ORIDN) and Bound Tree Medical, LLC today announced that they have signed a distribution agreement. Oridion is the leading supplier of OEM capnography (non-invasive CO2 monitoring) products, and a technological leader in diagnostic breath tests. Bound Tree is the largest distributor to the emergency medical services (EMS) market in the U.S.

Under this agreement, Bound Tree will distribute Oridion's Microcap(R) series monitors and consumable products to the EMS customers that provide medical, rescue and transport services on land, sea and in the air. The Microcap(R), which contains Oridion's patented Microstream(R) CO2 measuring technology offers an accurate, easy-to-use and cost effective solution for continuous and/or spot check EtCO2 monitoring. EtCO2 monitoring provides the earliest indicator of an adverse event in ventilatory function.

"We are extremely pleased to have signed this agreement with Bound Tree," commented Patricia Hennessey, Senior VP of Field Operations for Oridion's U.S. Capnography Business Unit. "We believe Bound Tree's extensive distribution network, servicing almost 40,000 customers in the U.S. through 5 different distribution centers, is an ideal channel for selling our handheld Microcap(R) monitors in the EMS market."

Bound Tree will be offering Oridion's Microcap(R) products through both its sales organization and over its Web site. Bound Tree plans to launch the Microcap(R) products at the EMS Today Conference & Exposition taking place March 14-16, 2002 in Kansas City, MO.

Linden P. Joseph, President for Bound Tree noted, "Oridion's products are a welcome addition to the large group of emergency medical products we currently offer. We expect the quality, reliability and patient group versatility offered by Oridion's monitors and consumable products will help make them a popular choice with our customers. Oridion's product is a simple-to-use capnography device. The proprietary FilterLine(R) products help EMS personnel in their clinical assessment of respiratory distressed non-intubated patients and to verify endotracheal tube (ETT) placement when intubating patients."

About Bound Tree

Bound Tree Medical, LLC, and its wholly owned subsidiary PMX Medical, LLC, is the nation's largest distributor of emergency medical products, equipment and related supplies to Emergency Medical Service Units, Fire and Police Departments, and other pre-hospital services throughout the United States. The company has 65 product specialists in the field sales organization, approximately 180 employees, and operates five distribution facilities. From the company's distribution centers in Henniker, NH; Galloway, OH; Knoxville, TN; Tempe, AZ; and Salt Lake City, UT, it is able to offer two-day ground delivery service to nearly all of its 40,000 customers nation-wide.

About Oridion Systems Ltd.

Oridion Systems Ltd., operating through its wholly owned subsidiaries in the United States, Europe, Asia Pacific and Israel, is a hi-tech medical device company active through two separate but related business units: the Capnography Business Unit and the Breath Testing Business Unit. The Capnography Business Unit promotes the enhancement of patient safety monitoring by designing, manufacturing, and marketing proprietary medical devices and consumables that are used for the measurement of carbon dioxide contained in human breath to determine the status and adequacy of a patient's ventilation. Customers for the Company's capnography products include leading international medical device companies such as Philips Medical Systems (formerly Agilent Technologies Inc.'s Health Care Solution Group), Tyco International Ltd. (Nellcor), Medtronic Physio-Control Manufacturing Corporation, Draegerwerk Medizintechnik GmbH, Datex Ohmeda Inc., Medical Data Electronics Inc., Datascope Corp., and more.

The Breath Testing Business Unit designs and manufactures proprietary medical devices and consumables used in the non-invasive diagnosis of the status of a patient's internal organs. These devices enable physicians to screen, diagnose, and treat a range of organ-specific medical conditions within minutes, all while at the physician's office or hospital clinic. Applying Oridion's patented Microstream(R) platform technology, this unit is responsible for developing Oridion's H. pylori breath test and is currently working on the development of further applications for Oridion's BreathID(TM) device.

Certain statements made herein that are not historical are forward-looking within the meaning of the Private Securities Litigation Reform Act of 1995. The words "estimate" "project" "intend" "expect" "believe" and similar expressions are intended to identify forward-looking statements. These forward-looking statements involve known and unknown risks and uncertainties. Many factors could cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements that may be expressed or implied by such forward-looking statements, including, among others, changes in general economic and business conditions, inability to maintain market acceptance to the Company's products, inability to timely develop and introduce new technologies, products and applications, rapid changes in the market for the Company's products, loss of market share and pressure on prices resulting from competition, introduction of competing products by other companies, inability to manage growth and expansion, loss of key OEM partners, inability to attract and retain qualified personnel, inability to protect the Company's proprietary technology.

Furthermore, this press release does not constitute an offer to sell or a solicitation of an offer to buy any securities. The Company's shares issued have not been, and will not be, registered under the US Securities Act of 1933, as amended (the "Securities Act"), or under any of the relevant Securities Laws of any state of the United States. The Company's shares may not be offered, sold or delivered, directly or indirectly, to, or for, the account of any US person (as defined in regulation S under the Securities Act) in or into the United States, or by use of the US mail, or by any means or instrumentality of United States interstate commerce, absent registration, or an exemption from registration under the Securities Act.