RemoteMDx Continues to Increase Revenues While Initiating Distribution of Its Next Generation TrackerPAL

RemoteMDx (OTCBB: RMDX), a national leader in delivering patented monitoring systems that observe and track offenders no matter where they may be -- in their car, home or office, released operating results on August 15, 2008 for the quarter and nine months ended June 30, 2008. RemoteMDx continues to increase revenues, while initiating distribution of its next generation offender tracking device, the TrackerPAL II. The Company reported a 36% increase in total revenues for the quarter ending June 30, 2008, reaching $3,610,378 when compared to the prior quarter ending March 31, 2008 that showed $2,663,282 in total revenues.

"RemoteMDx attributes these increases to the continued market acceptance of its SecureAlert monitoring solutions, as well as from the successful integration of two acquisitions, MidWest Monitoring & Surveillance and Court Programs Inc.," stated John Hastings, President of RemoteMDx. "Our nationwide sales force and distribution network give the Company the base from which it can continue to grow and progress in meeting the needs of the corrections and rehabilitation marketplace."

For the quarter ended June 30, 2008, the Company reported a positive gross profit of $100,108 which represents the Company's on-going progress in improving its operating costs. The net loss for the quarter was approximately $17.5 million of which $12 million was non-cash expenditures (warrants, options, and stock issuances). "Given the substantial infrastructure, which the Company has built, there is a minimum threshold of offenders monitored that must be achieved in order to be cost effective. With over 12,000 offenders currently under management, we have now crossed the threshold of cost effectiveness and expect our gross profit to continue to grow. In addition, as we prepare for future profitability, the Company booked $12 million in non-cash expenses for the quarter plus nearly $800,000 in research and development," continued Mr. Hastings.

"The roll-out of our next generation TrackerPAL II has been very well received by the marketplace. By setting a conservative deployment schedule, we have been able to secure the success of our latest solution," said Hastings. "As sales continue to grow, the Company is quickly taking steps to implement all facets of its 2008 Business Plan. RemoteMDx will continue to focus on its profitable sales growth, as demonstrated by the positive gross margins for the quarter. Importantly, the TrackerPAL II now allows us to not only grow our existing customer base, but also to acquire new agency contracts previously unavailable to us, both domestically and internationally.

"Today, with a new leadership team solidly in place, combined with continued market acceptance of our enhanced and expanded monitoring programs and technologies, the Company is well poised to achieve increased revenues, realized profits and industry leadership," said Hastings.

About RemoteMDx

RemoteMDx, through its SecureAlert subsidiary, is a national leader in delivering patented monitoring systems that observe and track offenders no matter where they may be -- in their car, home or office. SecureAlert can intervene in real-time with direct voice communication when an offender is in violation of his probation or parole, such as sex offenders who are prohibited from entering school areas, parks, etc. Highly trained case managers monitor the offender's activities 24/7 through satellite mapping and computer systems. The SecureAlert programs allow convicted criminals to re-enter society by keeping them accountable 24 hours a day, every day, while reducing the burdens and costs carried by the criminal justice system. To learn more about RemoteMDx, visit www.remotemdx.com.

Non-GAAP financial measures. To supplement our reporting of operating results, we also use non-GAAP financial measures (such as "recurring revenues") which we believe are helpful in understanding our past financial performance and our future results. Our non-GAAP financial measures are not meant to be considered in isolation or as a substitute for comparable GAAP measures, and should be read only in conjunction with our consolidated financial statements prepared in accordance with GAAP. Our management regularly uses our supplemental non-GAAP financial measures internally to understand, manage and evaluate our business and make operating decisions. These non-GAAP measures are among the primary factors management uses in planning for and forecasting future periods.

Safe Harbor Statement

This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act and Section 21E of the Securities Exchange Act, including future growth and earnings opportunities of the Company. Examples of forward-looking statements in this release include references to the results of operations during future periods, the success of implementing future phases of the company's business plan, and the launch of new products. Actual results could differ materially from those projected in these forward-looking statements, which involve a number of risks and uncertainties, including the Company's ability to retain and to promptly satisfy current backorders and other economic, competitive, governmental, technological, regulatory, manufacturing and marketing risks associated with the Company's business and financial plans. The contents of this release should be considered in conjunction with the risk factors, warnings, and cautionary statements that are contained in the Company's most recent filings with the Securities and Exchange Commission.

SecureAlert, TrackerPAL™ and Offender Monitoring Center are trademarks of SecureAlert. RemoteMDx is a trademark of RemoteMDx, Inc.