FONAR STAND-UP MRI SALES CLIMB TO 90

          MELVILLE, NEW YORK, July 9, 2004 - FONAR Corporation (NASDAQ-FONR), The MRI Specialist™, announced today that it sold 43 Stand-Up™ MRI scanners over the twelve month period ending June 2004. This represents an 87% increase in sales when compared to the 23 units sold in the corresponding period a year earlier. Total Stand-Up™ MRI sales now stand at 90. Fonar sold 14 Stand-Up™ MRIs in the April-June 2004 quarter compared to 11 sales during the corresponding quarter in 2003.
          “We are proud to have achieved 90 sales of the Stand-Up™ MRI,” said Raymond Damadian, president and founder of Fonar. The Company continues to improve its fundamentals especially over the last three quarters. [For more information, see the 3rd quarter earnings release http://www.fonar.com/news/051704.htm.]
          “Our sales success rests primarily on the unique features of the Stand-Up™ MRI,” continued Dr. Damadian. “Other MRIs can only scan patients lying down. The Stand-Up™ MRI not only scans patients lying down but also scans them upright, either standing or sitting. Actually, patients can be scanned in any position. We call this capability Position Imaging™ (pMRI™), and only the Fonar Stand-Up™ MRI has it. In fact, the ability to scan patients in upright, weight-bearing positions has enabled Stand-Up™ MRI scanners, on numerous occasions, to detect pathology that was missed on conventional, lie-down scanners.”
          “A second reason for the success of the Stand-Up™ MRI is its ability to produce diagnostic images of exceptional quality,” said Dr. Damadian. “The Stand-Up™ MRI is built on a proven platform of 0.6 Tesla technology – technology that Fonar scientists and engineers have been developing since we introduced the first commercial MRI scanner back in 1980,” continued Dr. Damadian.
          “Finally, as medicine becomes more and more patient driven, MRI patients are becoming less and less tolerant of “tunnel” MRIs, which are highly confining, claustrophobic, and noisy. With the Stand-Up™ MRI, patients typically are scanned in a seated position watching a 42” TV,” said Dr. Damadian. “Nearly 100% of patients of all ages scanned in the Stand-Up™ MRI complete their exams without any difficulty. They love it!”
          Sol Ginzburg, Vice President of Sales at Fonar, said, “We are delighted with our sales performance in the first half of calendar 2004, and we’re off to a good start for the second half of calendar 2004. While our sales force is out there selling, I’m pleased to report that Fonar is manufacturing a superior, highly-engineered product and is installing scanners, on time, all over the country. That, of course, is key to our sales effort.”