"Just as we made our identification products available to Gulf Coast
communities in the aftermath of Hurricane Katrina, we believe that our
proprietary technology should be made available to threatened countries and
researchers working to control the spread of avian flu," said McGrath .
"Leo is an eight year veteran of Digital Angel and, because he has broad
experience in Asia and other international markets, he is ideally suited to
leading this effort," McGrath said. The Company can offer no
assurances that any projections, assumptions or forecasts made or discussed in
this release will be met, and investors should understand the risks of
investing solely due to such projections. Through the PETCO Foundation, PETCO endeavors to be a community
leader in promoting the welfare of companion animals, as well as the
importance of the human-animal bond.

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Early Detection of Increased Temperature May Prove Pivotal to Identification
and Control of Avian Flu Outbreaks

SO. For more information about Digital Angel, please visit
http: //www.com. The
PETCO Foundation, PETCO's non-profit organization, has raised more than $24
million since inception in 1999.

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PAUL, Minn. Two-Day Adoption Fair to Highlight PETCO's Commitment to Animal Welfare

SAN DIEGO, This weekend, PETCO stores
across the country will host a pet adoption fair to celebrate the one-year
anniversary of the company's "Think Adoption First " program.

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Until now the Company has focused its implantable RFID temperature sensing
system on the companion pet and equine marketplace.

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DigitalAngelCorp.

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He also noted that the
Company's identity microchips have already been used in avian identification
applications.

About Digital Angel Corporation
Digital Angel Corporation develops and deploys sensor and communications
technologies that enable rapid and accurate identification, location tracking,
and condition monitoring of high -value assets. In conjunction with online partner
Petfinder.

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Digital Angel Corporation is majority-owned by Applied Digital Inc.
The forward-looking statements are subject to risks and uncertainties and the
actual results that the Company achieves may differ materially from these
forward -looking statements due to such risks and uncertainties, including, but
not limited to, that the Company 's majority stockholder, Applied Digital Inc."

PETCO (Nasdaq: PETC) is a leading specialty retailer of premium pet food,
supplies and services with a commitment to quality animal care and education. PETCO operates more
than 750 neighborhood stores in 49 states and the District of Columbia .

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PETCO's strategy is to offer its customers a complete assortment of
pet-related products and services at competitive prices, with superior levels
of customer service at convenient locations , by hiring pet lovers and training
them to become counselors to our pet-loving customers.

identity bird

com

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(Nasdaq: ADSX).

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"
"Our decision to target the poultry markets is an extension of the success
we've had in implantable microchips in Asia and elsewhere. Clearly we have
sold more implantable microchips for animals than anyone in the world,"
McGrath said. This Saturday
and Sunday, join PETCO and its community adoption partners to help raise
awareness on animal welfare and find loving families for homeless pets.

Identification services and products for all pets.

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PETCO Stores Nationwide to Host 'Think Adoption First' Weekend

More than 2,700 non-profit grassroots animal
welfare organizations from around the nation have received support from the
Foundation.

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PETCO does
not sell dogs or cats, and for over 40 years has worked with shelters to find
homes for millions of adoptable animals, but the stores do offer small
animals, reptiles and birds.

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Digital Angel Corporation to Introduce Its Proprietary Bio-Thermo(TM) (Temperature-Sensing) Implantable RFID Microchip and Identity System for Use in Avian Flu

Since
early detection of temperature increases could be important to identifying and
controlling bird flu outbreaks, our Bio-Thermo identity system may prove
instrumental in dealing with the disease in a cost effective manner within the
confines of a poultry farm."
McGrath said Leo Ortenblad, Managing Director of Digital Angel's
International Animal Applications sales activities, will lead the initiative.

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com, Think Adoption First urges customers to seek adoptable animals
in the community as a first option, providing informational kiosks and
in-store adoption opportunities to a larger variety of rescue organizations.

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"We
have had 200,000 bio-thermo chips manufactured for this and companion pet
applications and we are immediately prepared to work with research
institutions and government entities on any further research necessary to
control avian flu.

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"As disease and
bio-terrorism increasingly threaten the global food chain and the health of
humans and livestock, the Company has targeted new applications in this area,"
said Kevin McGrath , President and CEO of Digital Angel. Applications for the Company's
products include identification and monitoring of humans, pets, fish, poultry
and livestock through its patented implantable microchips; location tracking
and message monitoring of vehicles and aircraft in remote locations through
systems that integrate GPS and geosynchronous satellite communications; and
monitoring of asset conditions such as temperature and movement, through
advanced miniature sensors.

Contact: Allen + Caron Inc
Michael Lucarelli (investors) Brian Kennedy (media)
212-691-8087 212-691-8087
brian@allencaron.

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Launched in August 2004, Think Adoption First encourages PETCO customers
to consider adoption before the purchase of any companion animal.

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The statements in this press release that are not strictly historical , are
"forward-looking" statements within the meaning of Section 27A of the
Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934
and are intended to be covered by the safe harbors created by these sections.

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, Digital Angel
Corporation (Amex: DOC), an advanced technology company in the field of rapid
and accurate identification, location tracking, and condition monitoring of
high-value assets, announced today that it will introduce its patented
Bio-Thermo(TM) (temperature -sensing) implantable RFID microchip and related
identity system to international poultry/bird markets with the initial
geographic emphasis in Asia.4% of the Company's common stock; that new accounting pronouncements
may impact the Company's future results of operation; that the Company may
continue to incur losses, that infringements by third parties on the Company's
intellectual property or development of substantially equivalent proprietary
technology by the Company's competitors could negatively affect the Company's
business; that domestic and foreign government regulation and other factors
could impair the Company's ability to develop and sell the Company's products
in certain markets; that the Company relies on sales to government contractors
of its animal identification products , and any decline in the demand by these
customers for the Company's products could negatively affect the Company's
business; that the Company depends on a single production arrangement for its
patented syringe-injectable microchips; that the Company depends on principal
customers; that the Company competes with other companies and the products
sold by the Company's competitors could become more popular than the Company's
products or render the Company's products as obsolete; that the Company 's
earnings will decline if the Company must write-off goodwill and other
intangible assets; that the exercise of options and warrants outstanding and
available for issuance may adversely affect the market price of the Company's
common stock; that currency exchange rate fluctuations could have an adverse
effect on the Company's sales and financial results; and that the Company
depends on a small team of senior management and the Company may have
difficulty attracting and retaining additional personnel.

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The Company undertakes no
obligation to revise any forward-looking statements in order to reflect events
or circumstances that may arise after the date of this press release.

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The comprehensive identity system includes the
implantable Bio-Thermo microchip and related identity and temperature -sensing
scanners that allow early identification of temperature increases in
individual birds which may permit rapid identification and control of an
outbreak of bird flu or other avian diseases . "As the only provider of temperature sensing RFID microchips in
the world for livestock, the detection of elevated temperatures in avian
populations represents a new yet natural application of our technology .
"Think Adoption First not only increases the visibility of adoptable dogs
and cats in the area, it raises awareness that local rabbits, birds, and small
animals are also in need of good homes ," says Paul Jolly, Vice President and
Director of the PETCO Foundation. "With this program, PETCO is giving animals
of all kinds a second chance at life by helping them find their forever
families .

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ST. The system is in testing
phases for other livestock such as cattle and swine.
owns 55. A detailed statement
of risks and uncertainties is contained in the Company's reports to the
Securities and Exchange Commission, including in particular the Company's Form
10-K for the fiscal year ended December 31, 2004. Investors and stockholders
are urged to read this document carefully.