PRESS RELEASE

Positron Corporation Receives Additional Funding Pursuant to Strategic Alliance with IMAGIN Diagnostic Centres, Inc. of Canada

Positron receives additional $500,000 pursuant to $2 million Convertible Debt Financing

Houston, TX -- (BUSINESS WIRE) -- July 15, 2004 -- Positron Corporation (OTCBB:POSC - News), manufacturer of positron emission tomography (PET) scanners received $500,000 in funding from IMAGIN, a privately-held Canadian PET centers company. Pursuant to financing agreements entered into in May, Positron previously received US$400,000. The current funding completes a US$700,000 purchase of 10% convertible secured notes and the first phase of a $1,300,000 loan agreement. IMAGIN has a further commitment to fund Positron in an amount of $1.1 million over the course of the next 5 1/2 months. When financing is completed and if all conversion rights are exercised, IMAGIN will control approximately one-half of Positron's common stock.

The securities sold in the placement, have not been, and will not be registered under the United States Securities Act of 1933 ("Securities Act"), and no offers or sales of such securities may be made in the United States or to United States persons. The securities are being offered and sold outside the United States in reliance under Regulation S under the Securities Act.

IMAGIN Diagnostic Centres, Inc. is a closely held developmental stage company dedicated to being the leader in bringing PET ("Positron Emission Tomography") and PET/CT ("Computed Tomography") technology to Canadians. A PET scan is the "gold standard" for the diagnosis and staging of cancer, heart and neurological conditions such as dementia, Alzheimer's, etc. IMAGIN is negotiating joint ventures with private IMAGIN centers and hospitals for the financing, installation and management of PET scan facilities across Canada. IMAGIN has developed marketing programs focused on the patient acquisition function for PET scans across North America. IMAGIN is negotiating various transactions in order to establish a foothold in multiple Canadian markets. IMAGIN is located in Toronto, Ontario. Additional information may be found at http://www.imagincentres.com/.

Positron Corporation is primarily engaged in designing, manufacturing, marketing and supporting advanced medical imaging devices utilizing positron emission tomography (PET) technology under the trade name POSICAM™ systems. POSICAM™ systems incorporate patented and proprietary technology for the diagnosis and treatment of patients in the areas of oncology, cardiology and neurology. POSICAM™ systems are in use at leading medical facilities, including the University of Texas -- Houston Health Science Center; Hadassah Hebrew University Hospital in Jerusalem, Israel; The Coronary Disease Reversal Center in Buffalo, New York; Emory Crawford Long Hospital Carlyle Fraser Heart Center in Atlanta; and Nishidai Clinic (Diagnostic Imaging Center) in Tokyo. Additional information may be found at http://www.positron.com/.

Except for the historical information contained herein, the matters discussed in this news release may contain forward-looking statements concerning plans, objectives, goals, strategies, future events or performance and underlying assumptions and other statements which are other than statements of historical facts. Certain statements contained herein are forward-looking statements and, accordingly, involve risks and uncertainties which could cause actual results or outcomes to differ materially from those expressed in the forward-looking statements. The Company's expectations, beliefs and projections are expressed in good faith and are believed by the Company to have a reasonable basis, including, without limitations, management's examination of historical operating trends, data contained in the Company's records and other data available from third parties, but there can be no assurance that management's expectations, beliefs or projections will result or be achieved or accomplished. In addition to other factors and matters discussed elsewhere herein, the following are important factors that, in the view of the Company, could cause actual results to differ materially from those discussed in the forward-looking statements: the ability of the Company to attain widespread market acceptance of its POSICAM™ systems; the ability of the Company to obtain acceptable forms and amounts of financing to fund future operations; demand for the Company's services; and competitive factors. The Company disclaims any obligation to update any forward-looking statements to reflect events or circumstances after the date hereof.

Source: Positron Corporation

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