October 13, 2008

Calypte Biomedical Corporation Receives Large Order for Aware Diagnostic Test From Middle Eastern Distributor

Calypte Biomedical Corporation (OTCBB: CBMC), a developer, manufacturer and marketer of HIV diagnostic tests, announced today that it has received an order for 50,000 tests of its Aware(TM) HIV-1/2 OMT product from LifeLine Scientific, its newly appointed distributor for the UAE and several other countries in the region. The purchase is the first large order resulting from a newly implemented sales initiative.

Donald Taylor, Calypte's President and Chief Executive Officer, stated, "I am delighted to announce that our local office in Dubai has signed such a significant order LifeLine Scientific is affiliated with a leading provider of healthcare in Abu Dhabi and has direct access to an expansive network of hospitals and pharmacies through which it plans to distribute Calypte's oral fluid HIV tests."

Mr. Taylor continued, "This order is the first result of our new sales initiative and reflects the hard work and commitment shown by our people around the world. It also shows the growing market acceptance of our Aware(TM) HIV-1/2 OMT product. While testing with oral fluid is clearly preferred by patients, easier to do, and safer than testing with blood, it has, nonetheless, faced significant adoption hurdles. As this UAE order demonstrates, we are on the right track and beginning to make headway. We are working hard in Africa, the Middle East, India and numerous other countries around the world to close more deals and build on the momentum we are gaining."

Mr. Taylor concluded, "I have been on board for just over three months with a clear mission. This is the firststep in our primary objective to increase sales of our products worldwide. I am looking forward to many others in the months and years to come."

Calypte will begin production as soon as the purchaser's irrevocable letter of credit is approved.

About Calypte Biomedical Corporation:

Calypte Biomedical Corporation is a US-based healthcare company focused on the development and commercialization of rapid testing products for sexually transmitted diseases such as the Aware(TM) HIV-1/2 OMT test that are suitable for use at the point of care and at home. Calypte believes there is a significant need for rapid detection of such diseases globally to control their proliferation, particularly in developing countries, which lack the medical infrastructure to support laboratory-based testing. Calypte believes that testing for HIV and other sexually transmitted infectious diseases may make important contributions to public health, and could increase the likelihood of treating those with undetected HIV and other sexually transmitted diseases. For more information, visit www.calypte.com.

Forward-Looking Statements

This press release contains forward-looking statements. Forward-looking statements include, but are not limited to, statements that express our intentions, beliefs, expectations, strategies, predictions or any other statements relating to our future activities or other future events or conditions. These statements are based on current expectations, estimates and projections about our business based on currently available information and assumptions made by managements. Although we believe that the assumptions on which the forward-looking statements contained herein are based are reasonable, any of those assumptions could prove to be inaccurate given the inherent uncertainties as to the occurrence or nonoccurrence of future events. These statements are not guarantees of future performance and involve risks and uncertainties that are difficult to predict. Therefore, actual outcomes and results may, and are likely to, differ materially from what is expressed or forecasted in the forward-looking statements due to numerous factors, including the potential risks and uncertainties set forth in Item 1A of our Annual Report on Form 10-K for the year ended December 31, 2007 and relate to our ability to commercialize our products, market acceptance of our products, implementation of our marketing program, implementation of our strategic, operating and people initiatives, our key agreements and strategic alliances, our ability to obtain sufficient financing, as and when needed, on acceptable terms, and to access funds from our existing financing arrangements, and general economic conditions specific to our industry, any of which could impact sales, costs and expenses and/or planned strategies and timing. We assume no obligation to, and do not currently intend to, update these forward-looking statements.