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ERBA Diagnostics Sets up a Subsidiary in Mexico

ERBA Diagnostics Inc. (NYSE MKT:ERB) announced the opening of its wholly-owned subsidiary, ERBA Diagnostics Mexico S.A., located in Mexico City. This new subsidiary is ERBA Diagnostics’ fifth wholly-owned subsidiary.

ERBA Mexico is in the process of employing a team of sales specialists and customer support engineers, which is expected to increase sales through improved customer support and brand image.

The IVD market in Mexico is estimated by market researchers to be approximately U.S.$ 400 million, with 70% of such market being composed of Immunochemistry (32 %), Hematology / Coagulation (14%) and Chemistry / Urine analysis (25%). ERBA Diagnostics’ product range is focused on these market segments, which product range, coupled with the composition of the Mexican market, is expected to give ERBA Diagnostics the potential for additional business opportunities in the near future. The Mexican market for diagnostics is expected by market researchers to continue to grow at the rate of approximately 15% per year.

ERBA Mexico is being equipped with a sales and service training center in an effort to provide better support to ERBA Diagnostics’ distributors and customers in over 20 counties of Latin America, with an aggregate population of over 600 million.

About ERBA Diagnostics, Inc.

ERBA Diagnostics, Inc. (www.erbadiagnostics.com), headquartered in Miami Lakes, Florida, is a fully integrated in vitro diagnostics company that develops, manufactures and distributes in the United States and internationally, proprietary diagnostic reagents, test kits and instrumentation, primarily for autoimmune and infectious diseases, through its legacy subsidiaries – Diamedix Corporation (U.S.), Delta Biologicals S.r.l. (Europe) and ImmunoVision, Inc. (U.S.) – and through its recently acquired subsidiaries – Drew Scientific, Inc. (U.S.) and JAS Diagnostics, Inc. (U.S.) – and through its newest subsidiary – ERBA Diagnostics Mexico S.A.

Safe Harbor Statement

Except for the historical matters contained herein, statements in this press release are forward-looking and are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Investors are cautioned that forward-looking statements involve risks and uncertainties that may affect the business and prospects of ERBA Diagnostics, Inc., including, without limitation, the risks and uncertainties related to: ERBA Diagnostics’ ability to successfully improve its financial condition, results of operations and cash flows; the ability of Erba Mexico’s employment of sales specialists and customer support engineers to successfully increase sales, whether through improved customer support and brand image or otherwise; the ability of ERBA Diagnostics to successfully achieve additional business opportunities, whether as a result of the combination of its product range and the composition of the Mexican market or otherwise, whether in the timeframe anticipated or at all; the ability of ERBA Mexico’s sales and service training center to successfully provide better support to ERBA Diagnostics’ distributors and customers in Latin America; and economic, competitive, political, governmental and other factors affecting ERBA Diagnostics and its operations, markets and products. In addition to the risks and uncertainties set forth above, investors should consider the economic, competitive, governmental, technological and other risks and uncertainties discussed in ERBA Diagnostics’ filings with the Securities and Exchange Commission, including, without limitation, the risks and uncertainties discussed under the heading “Risk Factors” in such filings.