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August 3, 2011

Dr. Jun Ma of Vasomedical Interviewed on OneMedRadio A Frank Discussion of the Company’s Growth Strategy

Dr. Jun Ma, President and Chief Executive Officer of Vasomedical was interviewed on July 29, 2011 on OneMedRadio, a division of OneMedPlace in New York City, during which he discussed the Company’s growth strategy and how the newly FDA-cleared BIOX™ series of products are an integral part of the implementation of the Company’s growth strategy. OneMedRadio, a division of OneMedPlace, is a New York based company providing research coverage, including interviews with CEO’s of microcap companies in the healthcare and life sciences sectors, to the financial and investment community.

Dr. Ma discussed recent FDA clearances the Company has received for its unique and technologically advanced line of BIOX™ ECG Holter and Ambulatory Blood Pressure Monitoring products and related analysis software and shared the key components of the Company’s growth strategy in the interview:

Product Diversification

Primarily known as the designer, manufacturer and market leader in the field of external counterpulsation therapy devices with its patented and trademarked Enhanced External Counterpulsation (EECP®) therapy, a non-invasive outpatient treatment for angina and heart failure, Vasomedical started to diversify and expand its product line in 2009 when the Company received its first U.S. FDA 510(k) clearance on an ECG Holter recorder and the CB Series Analysis Software. In 2010, the second FDA 510(k) clearance was granted for its unique Combined ECG Holter and Ambulatory Blood Pressure (ABP) monitoring device. Recently in June and July of 2011, the Company received FDA clearances for four additional products including an ultra lightweight and compact ECG Holter recorder. The Company now offers a complete line of ambulatory monitoring devices including 3-and 12-Channel ECG Holter recorders, ABP monitors, Combined 3-or 12-channel ECG Holter/ABP monitors; as well as its efficient, feature rich analysis and reporting software.

The Company continues to pursue other medical device products and opportunities that fit into our target market and serve our diversification strategy.

Broader Reimbursement Coverage for EECP® Therapy

Vasomedical started an initiative to increase and improve EECP® reimbursement earlier this year with a consulting firm, Edgary Consulting, to work in concert with insurance companies and government programs managed by the Centers for Medicare and Medicaid Services (CMS) to seek expansion of coverage for EECP® therapy. Currently, EECP® therapy is reimbursed by Medicare for angina patients who are not readily amenable to invasive procedures such as cardiac bypass surgery and percutaneous catheter intervention or stents. The reimbursement language was drafted, in concert with Medicare, by the Company more than ten years ago when clinical data was limited. Since then, there have been many controlled and randomized clinical studies reporting the positive outcomes and validating the mechanisms of action involved in EECP® therapy. The Company’s goal is to unify the insurance payers and the medical practice community to accept EECP® as a first line of treatment before palliative invasive procedures. The Company is currently working with the consultants at Edgary to provide the necessary information to the third party payers in order to successfully implement this growth strategy.

Expansion of Sales Representation Business

As part of its diversification and growth strategy, Vasomedical, through its wholly owned subsidiary VasoHealthcare, signed an exclusive representation agreement last year with GE Healthcare to sell certain GE diagnostic imaging products to a select market segment of customers in the United States. With the VasoHealthcare group performing well with diagnostic imaging products and providing great cash flow and revenue, this group is actively pursuing growth opportunities in playing a larger role with GE Healthcare in the near future.

The interview with Dr. Ma can be found in its entirety on the following link:
http://www.onemedplace.com/onemedtv/play.php?vid=1746

Vasomedical, Inc. is engaged in designing, manufacturing, marketing and supporting EECP® external counterpulsation systems based on the Company's proprietary technology. EECP® therapy is a non-invasive, outpatient therapy for the treatment of cardiovascular diseases and is currently indicated for use in cases of angina, cardiogenic shock, acute myocardial infarction and congestive heart failure. The Company provides hospitals, clinics and private practices with EECP® equipment, treatment guidance and a staff training and maintenance program designed to provide optimal patient outcomes. The Company also provides other noninvasive medical equipment including Holter monitors and ambulatory blood pressure monitors.

Vaso Diagnostics d/b/a VasoHealthcare, a wholly owned subsidiary of Vasomedical, Inc., is a professional sales representation organization offering vendors of medical devices an alternative third party sales channel. Through an agreement with GE Healthcare, it is currently engaged as an exclusive sales representative for certain GE Healthcare products.

Additional information is available on the Company's website at www.vasomedical.com.

Except for historical information contained in this release, the matters discussed are forward-looking statements that involve risks and uncertainties. When used in this release, words such as “anticipates”, “believes”, “could”, “estimates”, “expects”, “may”, “plans”, “potential” and “intends” and similar expressions, as they relate to the Company or its management, identify forward-looking statements. Such forward-looking statements are based on the beliefs of the Company’s management, as well as assumptions made by and information currently available to the Company’s management. Among the factors that could cause actual results to differ materially are the following: the effect of business and economic conditions; the effect of the dramatic changes taking place in the healthcare environment; the impact of competitive procedures and products and their pricing; medical insurance reimbursement policies; unexpected manufacturing or supplier problems; unforeseen difficulties and delays in the conduct of clinical trials and other product development programs; the actions of regulatory authorities and third-party payers in the United States and overseas; uncertainties about the acceptance of a novel therapeutic modality by the medical community; continuation of the GEHC agreement; and the risk factors reported from time to time in the Company’s SEC reports. The Company undertakes no obligation to update forward-looking statements as a result of future events or developments.