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DOBI MEDICAL SYSTEMS SPONSORS AMERICAN ASSOCIATION FOR CANCER RESEARCH ANGIOGENESIS AND CANCER CONFERENCE

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MAHWAH, NJ, October 9, 2000. DOBI Medical Systems, LLC today announced its leading corporate sponsorship role in support of the American Association for Cancer Research's (AACR) worldwide Angiogenesis and Cancer Conference. The conference, chaired by Judah Folkman, MD of the Harvard Medical School in Boston, MA and David A. Cheresh, Ph.D. of the Scripps Research Institute in La Jolla, California, will take place October 11-15, 2000 at the Grand Traverse Resort in Traverse City, Michigan. In addition to its corporate sponsorship role, DOBI Medical will also participate in the Conferences poster session with a presentation highlighting clinical results thus far of the Company's Dynamic Optical Breast Imaging (DOBI) system.

The AACR's annual Angiogenesis and Cancer Conference brings together leading scientists from around the world who are actively researching the angiogenesis aspects of vascular development within the human body. It is now recognized that angiogenesis is a key component for the growth and development of such diseases as cancer, adult onset blindness, rheumatoid arthritis, and others. Researchers hope that cancer and other diseases can be treated more effectively in the future with drugs which target the body's efforts to create new blood supply lines to tumors and other affected areas.

DOBI Medical's breast cancer diagnostic system is initially being tested as a secondary screening device to non-invasively differentiate benign from malignant lesions within the human breast. A key purpose of the DOBI system is to substantially reduce the large number of invasive surgical breast biopsies performed that turn out to be benign while maintaining a high sensitivity to true malignancies. These surgical biopsy procedures, which often produce benign results, are estimated to cost over $5 billion annually worldwide. The DOBI System provides a digital, non-invasive, pain free test that takes less than 10 minutes to complete. A series of patents and trademark approvals protect the DOBI System's unique position in the marketplace.

The DOBI System is designated an investigational device at this time and may be used only for research purposes in the U.S. pending FDA approval. Use abroad is also subject to the regulations of the respective country. Except for historical information contained herein, the matters discussed in this news release are forward-looking statements that involve risks and uncertainties.

The forward-looking statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. In addition to the factors set forth above, other important factors that could cause actual results to differ materially include, but are not limited to, technical risks associated with new technology development, government regulatory approval, market acceptance of our product, competition and technological change.

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For further information:
Please contact: Phillip C. Thomas, Chief Executive Officer
201-760-6464
pct@igaot.pt

DOBI Medical International
1200 MacArthur Blvd.
Mahwah, New Jersey 07430
Voice: (201) 760 6464
Fax: (201) 760 8860
e-mail: information@igaot.pt