Mar 3, 2008

OSI Systems Announces Official Opening of its New Manufacturing Facility in China

OSI Systems Announces Official Opening of its New Manufacturing Facility in China

OSI Systems, Inc. (NASDAQ: OSIS), a vertically-integrated provider of specialized electronic products for critical applications in the Security and Healthcare industries announces today that its Healthcare Division, Spacelabs Healthcare, has officially opened its new manufacturing facility in Suzhou, China.

The approximate 55,000 square foot manufacturing facility, located approximately 50 miles west of Shanghai, will initially be focused on developing and manufacturing healthcare products for the emerging markets.  The facility will also serve as the cornerstone for the Companys emerging market activities providing R&D, aftermarket service, training, marketing and sales support while also operating within the Companys global supply chain.

Mr. Deepak Chopra, CEO of OSI Systems, stated, This world class manufacturing facility complements our global manufacturing strategy and underscores our commitment to the emerging markets. By expanding our presence in the Asia Pacific region we are able to provide our range of products at competitive prices improving our competitiveness globally. Additionally, the facility will play an integral role in our global supply chain expanding our range of suppliers and lowering our component costs for our entire product range. As a result we expect that the new facility will have a positive impact on our gross margins as we move into the next fiscal year.

About OSI Systems, Inc.

OSI Systems, Inc. and its subsidiaries is a vertically integrated designer and manufacturer of specialized electronic systems and components for critical applications. The Company sells its products in diversified markets, including homeland security, healthcare, defense and aerospace.  The Company has more than 30 years of experience in electronics engineering and manufacturing and maintains offices and production facilities located in more than a dozen countries. The Company implements a strategy of expansion by leveraging its electronics and contract manufacturing capabilities into selective end product markets through organic growth and acquisitions. For more information on OSI Systems Inc. or any of its subsidiaries, visit www.osi-systems.com.

About Spacelabs Healthcare Inc.

Spacelabs Healthcare, Inc. (www.spacelabshealthcare.com) is an international developer, manufacturer and distributor of medical equipment and services including solutions for patient monitoring and connectivity, anesthesia delivery and ventilation, diagnostic cardiology and supplies and accessories selling to hospitals, clinics and physician offices. Additionally, the company provides centralized cardiac safety and diagnostic services (QT Studies, ECG, Holter, ABP, and Event Monitoring) to biopharmaceutical companies undertaking clinical trials.

The company has established brand names in both medical devices and medical services such as "Spacelabs," "Blease" and Del Mar Reynolds. It employs approximately 1,100 personnel in its offices located in the United States, UK, Canada, France, Germany, Finland, India, China and Singapore.

This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Such statements include information regarding the companys expectations, goals or intentions about the future, including, but not limited to the Companys ability to improve its gross margin and successfully manufacture and deliver its range of products for the emerging markets. The actual results may differ materially from those described in or implied by any forward-looking statement.   Other important factors are set forth in the Securities and Exchange Commission filings OSI Systems, Inc. All forward-looking statements speak only as of the date made, and the Company undertakes no obligation to update, amend or clarify these forward-looking statements.

For Further Information

OSI Systems, Inc.
Jeremy Norton
Vice President, Investor Relations & Business Development    
12525 Chadron Ave
Hawthorne CA 90250
Tel: (310) 349 2372
E: jnorton@osi-systems.com