RAE Systems Signs Deal With US Coast Guard, State of Iowa.

Business Editors/High-Tech Writers

SUNNYVALE, Calif.--(BUSINESS WIRE)--July 22, 2002

RAE Systems Inc. (OTCBB:RAEE.OB), a Gas Detection and Smart Sensing Network solution provider for environmental, safety and security monitoring, is pleased to announce AreaRAE wireless integrated

The US Coast Guard to date has purchased AreaRAE integrated systems to be used by three National Strike Teams. AreaRAE monitors measure atmospheric hazards such as combustible gas, oxygen deficiencies, and highly toxic volatile organic contaminants (VOCs) by means of RAE Systems' proprietary photoionization detector (PID) technology. AreaRAE monitors are able to wirelessly transmit real-time monitoring information to a mobile base station or incident command center located up to two miles away from the location of the detectors. The National Strike Teams will use the AreaRAE systems for hazmat, homeland security, and domestic preparedness response programs. The US Coast Guard order was placed in mid-July.

The State of Iowa has also purchased AreaRAE systems to be allocated on a county by county basis within the state. Each county is able to operate their system independently in the event of a small scale incident, or collaborate with the units in other counties to respond to large scale incidents. The State of Iowa, which has already received their AreaRAE systems, plans to utilize them for domestic preparedness and hazmat response.

AreaRAE systems are the industry's first wirelessly integrated multi-gas, multi-point environmental monitoring and security systems. The open architecture structure of the AreaRAE system allows many other types of safety and security monitoring devices, such as video, radiation and motion detectors, to be easily integrated into a single interoperable system.

Rapid and cost-effective deployment, easy-to-use operating interface, and reliable real-time transmission of monitoring information to a central location have made the AreaRAE increasingly popular in emergency response, hazmat, homeland security, weapons of mass destruction (WMD), and permanently installed fenceline safety and security monitoring applications.

To obtain more information on RAE Systems' AreaRAE solution, please contact us toll free at 877/723-2878 or by email at raesales@raesystems.com.

About RAE Systems

RAE Systems Inc. is a leading manufacturer of single and multiple sensor atmospheric monitors, photo-ionization detectors, gas detection tubes, sampling pumps and wirelessly connected gas detection and security monitoring devices. Our products and services are designed to enable our customers to monitor gas and other volatile organic compounds in confined spaces, and to establish a perimeter security around hazardous material sites and sites of weapons of mass destruction. RAE Systems' customers operate in such industries as safety and security, oil and gas, pharmaceuticals, utilities, food, chemical, airlines, military and hazardous material storage and disposal, and its monitors 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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