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Company Description Electromed, Inc. manufactures, markets and sells products that provide airway clearance therapy, including the SmartVest R Airway Clearance System (“SmartVest System”) and related products, to patients with compromised pulmonary function. The SmartVest System generates High Frequency Chest Wall Oscillation (“HFCWO”), a technique for airway clearance therapy, also known as High Frequency Chest Compression. The SmartVest System has been approved by the FDA to treat the condition of excess lung secretions. Consequently, it may be prescribed to patients suffering from cystic fibrosis, chronic obstructive pulmonary disease, muscular dystrophy, post-surgical airway complications and a variety of other diseases and conditions associated with impaired lung and airway capacity. By clearing airways, patients are able to rid their lungs of retained secretions and are therefore less likely to develop lung infections such as pneumonia. The SmartVest System is a doctor-prescribed therapy and, depending on the circumstances of the patient, its cost to an individual is generally reimbursable by Medicare, Medicaid and private insurance, or a combination of the three. ------ Electromed, Inc. was incorporated in Minnesota in 1992. Our corporate headquarters are located at 500 Sixth Avenue NW, New Prague, Minnesota 56071. Our telephone number is (952) 758-9299. Our websites can be found at www.electromed.com and www.smartvest.com.

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