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Health Discovery Corporation Announces Allowance of New U.S. Patent and Issuance of a European Patent Covering Fractal Genomics Modeling Technology

Wednesday, August 08, 2007

HDC’s Portfolio Will Include 26 Issued U.S. and Foreign Patents Covering Uses of SVM and FGM Technology

Savannah, GA -- Health Discovery Corporation (OTC Bulletin Board: HDVY) announced today that it has received a Notice of Allowance from the U.S. Patent and Trademark Office for its patent application entitled "Method for the Manipulation, Storage, Modeling, Visualization and Quantification of Datasets." Once issued, the patent will be the second of a series of applications covering the Fractal Genomics Modeling (FGM) Technology to issue. This patent covers use of the FGM technology for identifying patterns within a dataset by recognizing repeated data strings within a long sequence of data, then associating each repeated string with a single point within a grid. The points are then used to create a visual map which is capable of graphically representing the complete dataset. The claims of the new patent are not limited to biotechnology applications, but also encompass application of the FGM technology to pattern recognition within other types of data.

The FGM technology has been used to recognize patterns within gene expression data and causal relationships between genes to identify biomarkers that may be useful in developing potential treatments, diagnoses or prognoses of diseases, including HIV and leukemia. In addition to its applications in biomarker discovery, FGM technology has clear applications in data compression for image data and other data types that involve datasets made up of repeated data strings of varying lengths.

Health Discovery Corporation also reported that the European Patent Office has recently granted a new patent covering the FGM technology. The claims of European Patent No. 1252588 correspond to those of the first issued U.S. patent covering the FGM technology, Patent No. 6,920,451, which provides for either graphical or mathematical mapping of the points that represent strings of data.

Once the USPTO issues the new FGM patent, Health Discovery Corporation will hold the exclusive rights to 26 issued U.S. and foreign patents covering uses of SVM and FGM technology for discovery of knowledge from large data sets. Other issued patents cover methods and systems for pre-processing of data to enhance knowledge discovery using SVMs, analysis of data using multiple support vector machines and for multiple data sets, and providing SVM analysis services over the Internet. HDVY’s pending U.S. and foreign patent applications cover numerous improvements to and applications of SVMs including computer-aided image analysis using SVMs, with particular application to diagnosis using medical images, methods of feature selection for enhanced SVM efficiency and biomarkers for colon cancer, prostate cancer, BPH and renal cancer discovered with these methods, and use of SVMs for analysis of spectral data, such as mass spectrometry data used for protein analysis.

"The intelligent growth of HDC’s patent portfolio is a critical component of our business plan," said Stephen D. Barnhill, M.D., HDC's Chairman and CEO. "Expansion of our dynamic patent estate underscores our commitment to increasing shareholder value including additional patent protection of our core pattern recognition technology and similar protection of our discoveries resulting from the application of that technology. Regularly increasing the strength of our patent portfolio allows HDC to grant its licensing partners a much better commercial offering with vastly improved potential for protection."

Savannah-based Health Discovery Corporation is uniquely positioned in the field of pattern recognition technology. Through the application of its patent protected technology, HDC is a biology-oriented biomarker discovery company providing all aspects of First-Phase Biomarker Discoverysm. The Company's SVM and FGM pattern recognition tools have significant application potential in other sizable commercial markets such as radiology, financial markets, Internet search and spam, homeland security, and other areas where analysis of large volumes of complex data is required.

This news release contains "forward-looking statements" within the meaning of Section 27a of the Securities Acts of 1933 and Section 21E of the Securities Exchange Act of 1934. Although the management team of HDC believes that the expectations reflected in such forward-looking statements are reasonable, they can give no assurance that such expectations will prove correct.

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