RadNet Reports First Quarter Financial Results and Reaffirms 2013 Full-Year Guidance Service Fee Revenue, net of contractual allowances and discounts ("Revenue") was $179.8 million, an increase of 6

RadNet Reports First

Quarter Financial Results and Reaffirms 2013 Full-Year Guidance

California, May 10, 2013 - RadNet, Inc. (NASDAQ: RDNT), a national leader in providing high-quality,

cost-effective, fixed-site outpatient diagnostic imaging services through a network of 248 owned and/or operated outpatient imaging

centers, today reported financial results for its first quarter of 2013.

For the first quarter of 2013, RadNet reported

Revenue of $179.8 million, Adjusted EBITDA(1) of $25.6 million and Net Loss of $1.3 million, respectively. Revenue

increased $11.3 million (or 6.7%), Adjusted EBITDA(1) decreased $3.5 million (or 12.2%) and Net Loss increased

$1.2, respectively, over the first quarter of 2012. Per share Net Loss for the first quarter was $(0.03),

compared to breakeven in the first quarter of 2012 (based upon a weighted average number of diluted shares outstanding of 39.3

million and 37.7 million for these periods in 2013 and 2012, respectively).

Loss in the first quarter of 2013 were certain non-cash expenses and non-recurring items including: $952,000 of non-cash employee

stock compensation expense resulting from the vesting of certain options, restricted stock and warrants; $123,000 of severance

paid in connection with headcount reductions related to cost savings initiatives from previously announced acquisitions; $170,000

loss on the sale of certain capital equipment; and $857,000 of non-cash Deferred Financing Expense related

to the amortization of financing fees paid as part of our existing credit facilities.

For the first quarter of 2013, as compared

to the prior year's first quarter, MRI volume increased 8.6%, CT volume decreased 2.9% and PET/CT volume decreased 2.5%.

Overall volume, taking into account routine imaging exams, inclusive of x-ray, ultrasound, mammography and other exams, increased

5.7% over the prior year's first quarter. On a same-center basis, including only those centers which were part of RadNet

for both the first quarters of 2013 and 2012, MRI volume decreased 4.3%, CT volume decreased 10.7% and PET/CT volume decreased

6.0%. Overall same-center volume, taking into account routine imaging exams, inclusive of x-ray, ultrasound, mammography and other

exams, decreased 3.0% over the prior year's same quarter.

Dr. Howard Berger, President and Chief

Executive Officer of RadNet, commented, "Our first quarter is generally our most challenging quarter with respect to procedural

volumes because of typical seasonality in our business. This is due to the increasing effect on procedural volumes of greater patient

participation in higher deductible health plans (which reset at the beginning of each year) and winter weather conditions on the

east coast, both of which negatively impact patient visits at our facilities."

"The comparison of this year's

first quarter to the same quarter last year was greatly affected by a number of factors that made last year's first quarter

performance unusually strong. Most notably, last year's quarter had one additional workday associated with the leap year.

Even more significant was that last year's first quarter had the mildest winter in recent history in the northeast, allowing

our centers to remain open without incident throughout last winter."

"Our northeast operations seemed

to suffer disproportionally from some of the trends we have been observing in our industry for some time, including overall declines

in physician office visits and lower utilization of healthcare services in general. We were, however, buoyed by the performance

of our west coast operations in the first quarter, which matched our internal budgets and contributed according to our annual plan,"

Dr. Berger continued, "There are

a number of things that make me optimistic about the rest of the year. First, we were encouraged that procedural volumes increased

in March and April, relative to those in January and February - particularly on the east coast. Second, in early April, we

completed the re-pricing of our senior secured term loan, which will provide us over $3.5 million of cash interest savings for

the remainder of the year. Third, we anticipate during the remainder of 2013 recognizing financial contribution from our relationship

with the Barnabas Health System in New Jersey, which we established in 2012. Subsequent to the first quarter, we began our management

contract to provide certain management services to Barnabas imaging locations, and we commenced managing the imaging needs of Barnabas

Health's approximately 30,000 employees who are part of its self-insured health plan. Fourth, we anticipate benefiting from

the contribution of several sites that are currently under construction, where today we are incurring certain expenses without

any corresponding revenue. Fifth, we anticipate improvement in our newly acquired operations in New York throughout 2013 as we

continue to integrate them into RadNet. Last, as the year progresses, we expect to benefit from additional cost savings from the

integration of our voice recognition, RIS and PACS information technology systems within our regional operations. At this time,

we are slightly less than 25% complete with this integration program."

On April 3, subsequent to the end of the

first quarter, RadNet re-priced its existing senior secured term loan under which, as of the closing of the transaction, RadNet

had approximately $348.3 million aggregate principal amount outstanding. Under the terms of the re-pricing, the spread above LIBOR

of RadNet's senior secured term loan decreased by 1.0%, from 4.25% to 3.25%. Additionally, prior to the re-pricing transaction,

the LIBOR rate underlying the senior secured term loan was subject to a floor of 1.25%. Under the terms of the re-pricing, the

LIBOR floor was reduced by 0.25%, to 1.00%.

Associated with the transaction is projected

annual interest expense savings of approximately $5.0 million resulting from the lower pricing on RadNet's $348.3 million

senior secured term loan and from replacing a substantial amount of outstanding revolver balance with the lower cost senior secured

term loan. Because proceeds from the re-pricing transaction repaid a substantial amount of outstanding revolving credit facility

balance, RadNet gained substantially more liquidity under its $101 million revolving credit facility.

Dr. Berger added, "During 2013, we

anticipate positioning our Company to capitalize on opportunities that may exist to refinance the most expensive part of our capital

structure, our senior unsecured notes, which become callable in April of 2014. These notes bear interest at 10 3/8%, more than

double the cost of our newly re-priced senior secured term loan and revolving credit facility. As a result, we will attempt to

build a cash reserve in 2013 and/or repay senior debt in advance of exploring refinancing opportunities of our senior unsecured

RadNet reaffirms the following previously announced 2013 fiscal

year guidance ranges:

Conference Call for Today

Dr. Howard Berger, President and Chief

Executive Officer, and Mark Stolper, Executive Vice President and Chief Financial Officer, will host a conference call to discuss

its first quarter 2013 results on Friday, May 10th, 2013 at 7:30 a.m. Pacific Time (10:30 a.m. Eastern Daylight Time).

Conference Call Details:

Date: Friday, May 10, 2013

Time: 10:30 a.m. EDT

Dial In-Number: 888-254-2798

International Dial-In Number: 913-312-0825

It is recommended that participants dial

in approximately 5 to 10 minutes prior to the start of the 10:30 a.m. call. There will also be simultaneous and archived webcasts

available at http://public.viavid.com/index.php?id=104664 or http://www.radnet.com

under the "Investors" menu section and "News Releases" sub-menu of the website. An archived

replay of the call will also be available and can be accessed by dialing 877-870-5176 from the U.S., or 858-384-5517 for international

callers, and using the passcode 2061631.

Regulation G: GAAP and Non-GAAP Financial

This release contains certain financial

information not reported in accordance with GAAP. The Company uses both GAAP and non-GAAP metrics to measure its financial results.

The Company believes that, in addition to GAAP metrics, these non-GAAP metrics assist the Company in measuring its cash-based performance.

The Company believes this information is useful to investors and other interested parties because it removes unusual and nonrecurring

charges that occur in the affected period and provides a basis for measuring the Company's financial condition against other quarters.

Such information should not be considered as a substitute for any measures calculated in accordance with GAAP, and may not be comparable

to other similarly titled measures of other companies. Non-GAAP financial measures should not be considered in isolation from,

or as a substitute for, financial information prepared in accordance with GAAP. Reconciliation of this information to the most

comparable GAAP measures is included in this release in the tables which follow.

Inc. is a national market leader providing high-quality, cost-effective diagnostic imaging services through a network of 248 fully-owned

and operated outpatient imaging centers. RadNet's core markets include California, Maryland, Delaware, Rhode Island, New

Jersey and New York. Together with affiliated radiologists, and inclusive of full-time and per diem employees and technicians,

RadNet has a total of approximately 6,300 employees. For more information, visit http://www.radnet.com.

This press release contains forward-looking

statements within the meaning of the U.S. Private Securities Litigation Reform Act of 1995. Specifically, statements concerning