RAE Systems Extends Family of Radiation Detectors for First Responders with NeutronRAE II; The First Intrinsically Safe Personal Gamma & Neutron Radiation Detector.

SAN JOSE, Calif. -- RAE Systems Inc. (AMEX:RAE), a leading global developer and manufacturer of rapidly-deployable, multi-sensor chemical and radiation detection monitors and networks for homeland security and industrial applications, today announces the launch of NeutronRAE II, a personal, combined gamma and neutron radiation detector that is certified as intrinsically safe. Intrinsically safe devices are specifically designed and certified to be safe for use in hazardous environments. This feature is critical for first responders working in unknown environmental conditions. The NeutronRAE II detects gamma and neutron radiation at extremely low levels and is designed to alert first responders to the presence of radioactive material including weapons-grade plutonium and illicit "dirty bomb" materials. As a front-line security device, this product is designed to provide life-critical, real-time detection of hidden radiation sources in high risk locations such as major metropolitan areas, ports and transportation hubs, government facilities, nuclear power plants and nuclear research and storage facilities. The NeutronRAE II delivers instantaneous feedback to law enforcement personnel including municipal police departments, border check-point personnel, hazmat teams, firefighters and cargo port screeners.

"This is the first combined gamma and neutron personal radiation detector to be certified intrinsically safe," said Rudy Mui, chief operating officer for RAE Systems. "It is critical that our first responders have intrinsically safe tools as they enter unknown environments. The NeutronRAE II provides advanced protection in high risk areas, especially where fissionable material is used, stored or hidden."

Being certified intrinsically safe for Class 1, Division 1, Groups A, B, C, and D means that the NeutronRAE II will not initiate an explosion in environments where flammable gases, vapors or liquids containing acetylene, hydrogen, ethylene, propane or derivatives of those chemicals are present. This is important for responding to incidents at chemical and industrial facilities, as well as other locations where these chemicals might be used or stored.

The NeutronRAE II is designed for use in rough environments. It is immersible (IP67) in water for easy decontamination, and a concussion-proof case provides shock protection if the detector is dropped. The two-button operation is designed for use even in Level A protection suits with two layers of gloves.

The NeutronRAE II features fast response time for both the neutron and gamma radiation. The NeutronRAE II also has multiple alarm modes with bright flashing LEDs and loud audible and vibration alerts. Alarm modes can be set to operate in "Search Mode" based on local background radiation levels or "Safety Mode" providing high and low alarm levels based on absolute dose rates.

The NeutronRAE II will be available in April 2006 for $1995.00. The instruments can be ordered now from any RAE Systems Distributor. For more information please refer to the datasheets at www.raesystems.com, e-mail [e-mail] or call 1-877-723-2878.

About RAE Systems

RAE Systems is a leading global developer and manufacturer of rapidly deployable, multi-sensor chemical detection monitors and networks for homeland security and industrial applications. In addition, RAE Systems offers a full line of portable single-sensor chemical and radiation detection products. RAE Systems' products enable the military and first responders such as firefighters, law enforcement and other emergency management personnel to detect and provide early warning of weapons of mass destruction and other hazardous materials. Industrial applications include the detection of toxic industrial chemicals, volatile organic compounds and petrochemicals. RAE Systems' products are used by many U.S. government agencies, including the Department of Homeland Security, the Department of Justice, and the Department of State, as well as all branches of the U.S. military, and by numerous city and state agencies. Our end users also include many of the world's leading corporations in the airline, automotive, computer and oil industries. Our products are used in civilian and government atmospheric monitoring programs in over 50 countries. For more information about RAE Systems, please visit www.RAESystems.com

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This press release may contain "forward-looking" statements, as that term is used in Section 21E of the Securities Exchange Act of 1934. Forward-looking statements include, without limitation: expressions of "belief," "anticipation," or "expectations" of management and statements regarding the Company and it products. Each of these forward-looking statements are subject to risks and uncertainties and readers are cautioned that these forward-looking statements are only predictions and may differ materially from actual future events or results due to a variety of factors. In addition, our forward-looking statements should be considered in the context of the risk factors discussed in our filings with the Securities and Exchange Commission, including but not limited to our annual report on Form 10-K and Form 10-Q filings, available online at http://www.sec.gov. All forward-looking statements are based on information available to the company on the date hereof, and the Company assumes no obligation to update such statements.