SIEMENS AND U-SYSTEMS ANNOUNCE WORLDWIDE DISTRIBUTIONAGREEMENT

admin Portfolio News, U-Systems

MOUNTAIN VIEW and SAN JOSE, Calif., March 23, 2007 – Siemens
Medical Solutions Ultrasound Division www.usa.siemens.com/medical and USystems
Inc. www.u-sys.com have entered into an agreement whereby Siemens
will distribute U-Systems’ SomoVu™ automated breast ultrasound system on a
worldwide scale. The completely automated system can be used as an adjunct to
mammography, focusing primarily on women with dense breast tissue. Studies
have shown that mammography is less effective in such patients.

“Ultrasound is emerging as a critically important breast imaging
complement to mammography for the detection and diagnosis of breast cancer,
particularly for women with dense breast tissue,” said Joseph W. Pepper,
president and CEO of U-Systems Inc. ”The challenge with ultrasound has always
been to produce standardized, repeatable images much like mammography has
done. Our automated ultrasound solution joined with the sales and marketing
expertise of Siemens Medical will allow us to achieve broader market awareness
and to accelerate the dissemination of this leading edge technology into the fight
against breast cancer.”

In a recently published study in The New England Journal of Medicine,
Canadian researchers reported that women with significantly dense breast tissue
have a risk of breast cancer three to five times higher than women with fatty
breast tissue. Furthermore, dense breast tissue makes the detection of cancer by
mammography more difficult.

The SomoVu system is a cost-effective, patient-friendly solution that
provides automated ultrasound image acquisition of the breast. In combination
with an integrated display system, it allows for comprehensive display and review
of 3-D breast volumes.

“Automated ultrasound acquisition systems, such as the SomoVu breast
scanner, mark the first steps to establish ultrasound as a cost-effective, breast
imaging supplement without the use of ionizing radiation,” said Klaus
Hambuechen, president of Siemens Medical Solutions Ultrasound Division.
“Automated image acquisition makes ultrasound studies less user-dependent
increasing reproducibility. The automated breast scanner is only the beginning.
Siemens Medical Solutions is already working on automated ultrasound
acquisition techniques for other applications as well.”

About U-Systems Inc.

U-Systems Inc. was founded in the Silicon Valley in 1997. The company
designs, manufactures and markets automated ultrasound systems to assist
healthcare providers in the diagnosis of breast cancer. The company has built a
leadership position in automated breast ultrasound imaging systems and has
incorporated proprietary hardware and software technology into its SomoVu
Automated Breast Ultrasound System. Siemens Venture Capital,
www.siemensventurecapital.com, has invested in U-Systems since 2003. For
more information, go to www.u-sys.com.

About Siemens Medical Solutions

Siemens Medical Solutions of Siemens AG (NYSE: SI) is one of the
world’s largest suppliers to the healthcare industry. The company is known for
bringing together innovative medical technologies, healthcare information
systems, management consulting, and support services, to help customers
achieve tangible, sustainable, clinical and financial outcomes. Recent
acquisitions in the area of in-vitro diagnostics – such as Diagnostic Products
Corporation and Bayer Diagnostics – mark a significant milestone for Siemens as
it becomes the first full service diagnostics company. Employing more than
41,000 people worldwide and operating in over 130 countries, Siemens Medical
Solutions reported sales of 8.23 billion EUR, orders of 9.33 billion EUR and
group profit of 1.06 billion EUR for fiscal 2006 (Sept. 30). Further information can
be found by visiting www.usa.siemens.com/medical-pressroom.