LifeWatch AG: Agreement signed to utilize Vital Connect Inc.'s HealthPatch(R) MD in its cardiac monitoring business

Release of an ad hoc announcement pursuant to Art. 53 KR

LifeWatch AG signs agreement to utilize Vital Connect Inc.'s HealthPatch(R) MD in its cardiac monitoring business

LifeWatch AG (SIX Swiss Exchange: LIFE), a leading provider of medical solutions in remote cardiac monitoring, is pleased to announce the signing of an agreement with Vital Connect Inc. to utilize their HealthPatch MD as a 1-lead ECG device in its cardiac monitoring business.

LifeWatch and Vital Connect are working together to integrate the HealthPatch MD into LifeWatch's analytical mobile application and reporting systems with a view to bringing an integrated solution to market in the first half of 2015.

This move follows on the heels of the development of LifeWatch's already announced Vital Signs Patch (VSP) which is also due for release in the first half of 2015. Dr. Stephan Rietiker, CEO of LifeWatch, noted: "I am very excited about the new partnership as it comprises a breakthrough technology that will enable LifeWatch to expand its cardiac monitoring device offerings for patients to include the important patch technology area." Patch technology is easy to use and should increase the effectiveness of cardiac monitoring due to higher patient compliance.

Vital Connect Inc.'s HealthPatch MD biosensor for monitoring patients received FDA clearance for home use in July 2014 and, as a result of its weight and thickness (only 10 g and 6 mm (0.24"), respectively), offers patients a much more comfortable and less obtrusive monitoring solution in comparison to conventional monitoring equipment.

About LifeWatch AG:

LifeWatch AG, headquartered in Neuhausen am Rheinfall and listed on SIX Swiss Exchange (LIFE), Switzerland, is a leading healthcare technology and solution company, specializing in advanced telehealth systems and wireless remote patient monitoring services. LifeWatch's services provide physicians with critical information to determine appropriate treatment and thereby improve patient outcomes. LifeWatch AG has operative subsidiaries in the United States, in Switzerland and in Israel, and is the parent company of LifeWatch Services Inc., and LifeWatch Technologies, Ltd. LifeWatch Services, Inc. is a leading U.S.-based provider of cardiac monitoring services and home sleep testing of Obstructive Sleep Apnea (OSA). LifeWatch Technologies Ltd., based in Israel, is a leading developer and manufacturer of telemedicine products. For additional information, please visit www.lifewatch.com.

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About Vital Connect, Inc.: Vital Connect is a Silicon Valley-based startup founded in 2011 with the goal to develop the newest generation of technologies that help address some of the most challenging healthcare issues in the world today. Vital Connect's extensive expertise enables the company to create wireless, wearable biosensors that are small, powerful, and capable of capturing clinical-grade biometric measurements in a continuous, configurable and non-obtrusive manner. Through various partnerships, Vital Connect solutions will be available for use in hospitals, research facilities, doctor's offices, care facilities and homes. For more information, visit: www.vitalconnect.com.

This press release includes forward-looking statements. All statements other than statements of historical facts contained in this press release, including statements regarding future results of operations and financial position, the business strategy, and plans and objectives for future operations, are forward-looking statements. The words "believe," "may," "will," "estimate," "continue," "anticipate," "intend," "expect" and similar expressions are intended to identify forward-looking statements. LifeWatch AG has based these forward-looking statements largely on current expectations and projections about future events and financial trends that it believes may affect the financial condition, results of operations, business strategy, short-term and long-term business operations and objectives, and financial needs. These forward-looking statements are subject to a number of risks, uncertainties and assumptions. In light of these risks, uncertainties and assumptions, the forward-looking events and circumstances described may not occur and actual results could differ materially and adversely from those anticipated or implied in the forward-looking statements. All forward-looking statements are based only on data available to LifeWatch AG at the time of the issue of this press release. LifeWatch AG does not undertake any obligation to update any forward-looking statements contained in this press release as a result of new information, future events or otherwise.

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Language: English Company: LifeWatch AG Rundbuckstrasse 6 8212 Neuhausen am Rheinfall Switzerland Phone: +41 52 632 00 50 Fax: +41 52 632 00 51 E-mail: Internet: www.lifewatch.com ISIN: CH0012815459 Valor: 811189 Listed: Freiverkehr in Berlin, Stuttgart; Frankfurt in Open Market ; SIX