Scantek Updates the Status of Its Brazilian Operations.

Business Editors, Health/Medical Writers

DENVILLE, N.J.--(BUSINESS WIRE)--Oct. 23, 2001

Scantek Medical, Inc. (OTCBB:SKML.OB) ("Scantek" or the "Company") today provided an update regarding the status of its operations in Brazil.

The Company was assured that the BreastCare purchase from Nova Iguacu and surrounding territory of Baixada Fluminense in the State of Rio de Janeiro is in the final stage of completion and will result in a major distribution contract and purchase order. The approximate three million dollar order will start with an initial purchase for approximately one million dollars of BreastCare units for the Women's Health Care Program in Nova Iguacu and will be the largest contractual order to date in the Company's history.

In the Northeast territory of Brazil, the Federal Incentive Program, Sudene Finor, granted Scantek an extension for development of its manufacturing facility until the end of 2001. The Company will be receiving government incentives for building its production facility.

Scantek is a medical technology Company engaged in development, commercialization and licensing of products and devices to assist in the early detection and diagnosis of disease. The Company's initial focus is on the introduction of the Company's first flagship product, the BreastCare/BreastAlert, in response to the global demand for the early detection of breast disease. Breast cancer is a major threat to women's health in developing and industrialized countries. The Company's focus is currently in South America with major a target in Brazil.

The BreastCare/BreastAlert device has been cleared for marketing by the United States Food and Drug Administration ("FDA") for use as an adjunct to existing screening modalities and has a CE mark for marketing in the European Community. BreastCare/BreastAlert is a single-use, non-invasive, easy to use, and cost effective test to alert the physician to the possibility of a physiological condition that may be thermally active breast cancer.

Certain statements in this press release with respect to future expectations and plans may be regarded as "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, Section 21E of the Securities Exchange Act of 1934, and as that term is defined in the Private Securities Litigation Reform Act of 1995. Such statements involve risks and uncertainties and are subject to change at any time. The Company's actual results could differ materially from such statements.