BSD Medical Files Annual Report on Form 10-K and Reports on Subsequent Purchases of Hyperthermia Systems

BSD Medical Corporation (NASDAQ:BSDM) (the "Company” or "BSD”) announced today that it has filed its Annual Report on Form 10-K for the fiscal year ended August 31, 2010.

Commenting on the major accomplishments of the Company during the 2010 fiscal year and on recent significant developments, Harold R. Wolcott, President of the Company, said, "We have made solid progress in our strategy to diversify BSD’s products and increase revenue. We finalized the design and testing of our optimized MicroThermX Microwave Ablation System (MTX-180) and received FDA clearance to market the MTX-180 in August. We received CE Mark approval to market the MTX-180 in Europe in October, and we are finalizing our manufacturing and distribution channels for the MTX-180.

"Subsequent to the August 31, 2010, year-end period of the Annual Report, we have received purchase orders for seven hyperthermia systems totaling approximately $2.4 million. The timing of reporting the sales for these purchase orders in our fiscal year 2011 will depend on the delivery of the systems to the customers, collection of the sales price and other revenue recognition criteria.

"We are pleased to have significantly strengthened our cash position by completing four stock offerings since February 2010 using our shelf registration statement, which have provided the Company approximately $18 million in capital.”

About BSD Medical Corporation

BSD Medical Corporation develops, manufactures, markets and services systems to treat cancer and benign diseases using heat therapy delivered using focused radiofrequency (RF) and microwave energy. BSD’s product lines include both hyperthermia and ablation treatment systems. BSD’s hyperthermia cancer treatment systems, which have been in use for several years in the United States, Europe and Asia, are used to treat certain tumors with heat (hyperthermia) while increasing the effectiveness of other therapies such as radiation therapy. BSD’s microwave ablation system has been developed as a stand-alone therapy to employ precision-guided microwave energy to ablate (destroy) soft tissue. The Company has developed extensive intellectual property, multiple products in the market and established distribution in the United States, Europe and Asia. Certain of the Company’s products have received regulatory approvals and clearances in the United States, Europe and China. For further information, visit BSD Medical's website at www.BSDMedical.com.

Statements contained in this press release that are not historical facts are forward-looking statements, as defined in the Private Securities Litigation Reform Act of 1995. All forward-looking statements are subject to risks and uncertainties detailed in the Company's filings with the Securities and Exchange Commission. These forward-looking statements speak only as of the date on which such statements are made, and the Company undertakes no obligation to update such statements to reflect events or circumstances arising after such date.