Viking Systems, Inc. Expands Its National Footprint Into the Southeastern U.S.

Viking Increases U.S. Presence by 35 Percent With the Addition of Diagnostic Healthcare Systems Inc.


SAN DIEGO, May 17, 2007 (PRIME NEWSWIRE) -- Viking Systems, Inc. (OTCBB:VKSY), a designer, manufacturer and marketer of high-performance laparoscopic vision systems for use in minimally invasive surgical (MIS) procedures, has expanded its domestic distribution network by adding a new partner, Diagnostic Healthcare Systems (DHS) of Raleigh, NC. Under the terms of the agreement, DHS will exclusively market and sell Viking's 3Di Vision System technology throughout the southeastern United States, including the District of Columbia, Eastern West Virginia, North Carolina, South Carolina, Georgia, Eastern Tennessee, Alabama and Northwest Florida.

"DHS is one of the most successful professional distributors of high quality medical imaging technologies in the United States," said Donald E. Tucker, president and chief executive officer of Viking Systems. "They provide the scale that Viking needs, with the focus, experience and professionalism that is essential to our continued growth. With the signing of DHS, we have completed a major step in our U.S. distribution strategy of implementing an integrated model of high quality distributors, independent representatives and direct sales representation."

With the addition of DHS to the Company's list of distribution agreements, Viking Systems now has sales and marketing representation for its 3-D vision systems in most major U.S. markets that cover some of the nation's leading, cutting-edge hospitals and surgical centers.

"Depth perception is important to our clients as surgeons perform more and more complicated laparoscopic procedures," said Mr. Bernie Byers, president of DHS. "The use of minimally invasive techniques is rapidly growing in our distribution area and we believe Viking's 3Di Digital Vision System will become the standard for minimally invasive surgery in the future."

Viking Systems will continue to pursue strategic partners in key markets globally and expects to further penetrate Latin America, Asia and Europe and other geographic regions in the near future.

About Diagnostic Healthcare Systems:

Diagnostic Healthcare Systems is a dynamic company created in 1986. They are engaged in the sales of advanced imaging systems in the SE USA covering Eastern TN; SC; NC; GA; AL; VA; and DC. With a complement of 14 representatives they focus on the surgical suite specializing in urology, general, gynecological surgical specialties.

About Viking Systems, Inc.

Viking Systems, Inc. is a designer, manufacturer and marketer of FDA-cleared, CE-marked, high-performance laparoscopic vision systems. The Company's primary branded product is the 3Di Digital Vision System, an advanced three-dimensional (3-D) vision system used by surgeons for complex minimally invasive laparoscopic surgery, with an initial focus on applications in urology, gynecology, bariatrics and general surgery. Viking also manufactures advanced two-dimensional (2-D) 2Di Digital Vision Systems for targeted configurations and channels, as well as 2D cameras and components, sold through strategic partners and OEM programs.



            

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