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        ANALYTICAL SPECTRAL DEVICES INC. RECEIVES MULTI-SYSTEM ORDER FOR RxSpec™ DRUG VERIFICATION SYSTEM INSTALLATION INTO VA PHARMACIES
        June 19, 2005

        Analytical Spectral Devices, Inc (ASD) announced today the receipt of orders for five RxSpec™ systems for use in the Veterans Administration’s high volume Consolidated Mail Outpatient Pharmacies. The RxSpec™ systems are an integral part of a large contract awarded to SI Baker of McKesson Corporation. Installation of the systems is scheduled for later in 2005.

        Shown right: The RxSpec™ HV (High Volume) configuration for a Central Fill pharmacy. Near Infrared and vision systems use non-contacting technology to directly examine the drug contents in the prescription vials and verify their contents.

        The RxSpec™ drug verification system incorporates patented technology in a pharmacy environment to examine a drug directly in the dispensing vial, and confirms that the correct drug and dosage are being dispensed. The RxSpec™ system uses advanced analytical and imaging technology to read the chemical composition and dosage of the drug, then compares the information with a drug ID library, and confirms quality compliance with FDA approved drugs.

        “This VA order is one more step in the pharmacy industry’s acceptance of the RxSpec™ approach to drug verification”, states Dave Rzasa, CEO and President of ASD. “The VA is the third major customer to purchase the RxSpec™ system since ASD and SI Baker/McKesson introduced RxSpec™ technology to the high volume Mail Order and Central Fill pharmacy markets last year. The fundamental value of RxSpec™ technology is the improvement in pharmacist productivity achieved by automating the prescription verification process, while at the same time ensuring that the correct drug is being dispensed.”

        The RxSpec™ drug verification system is the only technology capable of directly examining and verifying that prescription drugs have the correct chemical composition and dosage. It has proven effective in distinguishing between drugs that look virtually identical, but which have, in fact, different formulations or dosages. This makes RxSpec™ technology a valuable tool for the prevention of drug dispensing errors and counterfeit detection. While RxSpec™ technology is currently available commercially for the high volume Central Fill and Mail Order pharmacies, ASD is currently developing versions for the Retail and Community Pharmacy markets.

        About ASD
        Founded in 1990, Analytical Spectral Devices Inc. is an analytical instrument company specializing in Vis/NIR technology used for material identification and verification. ASD’s instruments perform well in a range of environmental conditions, and have applications in pharmaceutical, nutraceutical, analytical chemistry, mining, grain, food and dairy, remote sensing, and pulp and paper industries world-wide. ASD provides cost effective, user-friendly, research grade NIR technology for use in and out of the laboratory, for scientific and industrial users.

        For more information, please contact our Marketing Communications Manager, ASD Inc., 2555 55th Street, Suite 100, Boulder, CO, 80301; 303/444-6522, 303/444-6825 (fax); www.asdi.com.

        Contact: Marketing Communications Manager
        Analytical Spectral Devices
        303.444.6522

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