DIGITAL ANGEL CORPORATION WINS $1.5 MILLION ORDER TO SUPPLY THE SWEDISH AIR FORCE

SO. ST. PAUL, MN (March 28, 2007) -- Digital Angel Corporation (Amex: DOC), an advanced technology company in the field of rapid and accurate identification, location tracking and condition monitoring of high-value assets, announced today that its UK subsidiary, Signature Industries Ltd, has won a $1.5 million order to provide the Swedish Air Force with a quantity of 600 SARBE 6-406 Personal Location Beacons (PLB). The Swedish Air Force also has an option for 200 additional units at a value of $500,000.

Military forces throughout the world are now engaged in a process to renew their Search & Rescue Radios before February 2009. The current satellite system operating on analog 121.5Mhz will switch off in 2009, and the 406Mhz digital system will be adopted.

Digital Angel President and Chief Executive Officer Kevin McGrath said, “We are very pleased that the Swedish Air Force has selected the SARBE 6-406 following a rigorous technical and commercial evaluation of all major military beacon manufacturers.”

“As a leading supplier of military Search & Rescue radios for more than 50 years, the investment we have made over the past three years is critical to ensure we have the capability to protect our customer base in the 40+ countries we serve. The change in satellite communications for Search & Rescue provides substantial opportunities over the next two years and we believe we are well positioned to capitalize on this.”

About Digital Angel Corporation
Digital Angel Corporation (www.DigitalAngelCorp.com) develops and deploys sensor and communications technologies that enable rapid and accurate identification, location tracking, and condition monitoring of high-value assets. Applications for the Company’s products include identification and monitoring of humans, pets, fish, poultry and livestock through its patented implantable microchips; location tracking and message monitoring of vehicles and aircraft in remote locations through systems that integrate GPS and geosynchronous satellite communications; and monitoring of asset conditions such as temperature and movement, through advanced miniature sensors. Digital Angel Corporation is majority-owned by Applied Digital Inc. (Nasdaq:ADSX), which also owns a majority position in VeriChip Corporation (NASDAQ: CHIP).

This press release includes forward-looking statements, including statements regarding the ability of the Company protect its customer base, the future opportunities that are expected due to changes in satellite communication technology and the Company’s belief that it is well positioned to capitalize on such opportunities. The Company wishes to caution readers that certain important factors and various risks may have affected and could in the future affect the Company’s actual results and could cause the Company’s actual results for subsequent periods to differ materially from those expressed in any forward-looking statement made by or on behalf of the Company. With respect to the Company's expectations expressed in this press release, such risk factors include, but are not limited to, the Company’s ability to successfully compete with other producers of competitive satellite communications products and the ability and willingness of customers to fund new Search & Rescue radios. This information is also qualified in its entirety by cautionary statements and risk factor disclosures contained in the Company’s Securities and Exchange Commission filings, including the Company’s annual report on Form 10-K for the fiscal year ended December 31, 2006 and its quarterly reports. The Company can offer no assurances that any projections, assumptions or forecasts made or discussed in this release will be met, and investors should understand the risks of investing solely due to such projections. The Company undertakes no obligation to revise any forward-looking statements in order to reflect events or circumstances that may arise after the date of this press release.