PRESS RELEASE

RAE Systems Partners with Aegison Corporation to Deliver Sensor Driven Digital Video for Security Applications


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 and Aegison Corporation, a digital surveillance systems company, today announced the signing of a cooperation agreement between RAE Systems and Aegison Corporation to deliver sensor driven digital video systems for security applications. The product has been demonstrated at the International Security West conference as well as the PSA-Tec Expo. This will be the first system to deliver chemical and radiation sensor data superimposed on the video recording in real-time.

Aegison Corporation has previously delivered portable and fixed digital video recording solutions for use in law enforcement and emergency vehicles, municipal transportation, U.S. military vehicles, and at entertainment venues such as Universal Studios.
 
“Having the ability to back trigger a digital recording based on sensor data gives security managers a tool that has not been previously available,” said Bin Lu, president of Aegison Corporation. “RAE Systems’ toxic gas and radiation sensor data combined with real-time video will provide a new security management solution for many of our customers.”

“We are pleased to be able to partner with a video recording supplier that can provide end-to-end solutions to both mobile and fixed security applications,” said Robert Chen, CEO of RAE Systems. “We look forward to being able to deliver security and safety solutions that now can incorporate both the real-time sensor data as well a visual record of the event.”

Aegison Corporation and RAE Systems expect to deliver integrated sensor and video recording systems by mid-summer.

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 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 60 countries. For more information about RAE Systems, please visit www.RAESystems.com.

About Aegison, Inc.
Aegison provides innovative digital surveillance systems worldwide where security and evidence and event documentation are crucial. Aegison digital surveillance systems are deployed in a variety of security environments, from simple home digital CCTV systems, to large-scale deployments such as use in law enforcement and aviation deployments with a central control room. Aegison product offerings include POS digital video recorders, security gateways and central security management servers. Founded in 2002, Aegison is headquartered in Silicon Valley, Calif., and has branch offices in Tianjin China. Additional information regarding Aegison is available at www.aegison.com. For more information, visit http://www.aegison.com

Safe Harbor Statement
This press release contains “forward-looking” statements, as that term is used in Section 21E of the Securities Exchange Act of 1934. These types of statements address matters that are subject to risks and uncertainties, which could cause actual results to differ materially. Factors that could cause or contribute to such differences include, but are not limited to, the general economic and industry factors and receptiveness of the market to RAE and its products. In addition, our forward-looking statements should be considered in the context of other 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.

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