ST. PAUL, MN – January 4, 2001 – Hypertension Diagnostics, Inc., (NASDAQ SmallCap: HDII; HDIIW; HDIIU) announced today that it filed a registration statement with the Securities and Exchange Commission in connection with its proposed offering of up to 2,752,192 Redeemable Class B Warrants enabling holders to purchase one share of the Company’s $.01 par value Common Stock (the "Class B Warrants"). As an incentive to exercise the

Company’s outstanding Redeemable Class A Warrants, the Company is planning to offer the Class B Warrants to those holders of the Redeemable Class A Warrants, issued in connection with the Company’s initial public offering (the "Class A Warrants"), who properly exercise a Class A Warrant after the effective date of the offering and on or before the termination of the offering. The terms of the offering, as well as the terms of the Class B Warrant, will be determined upon effectiveness of the offering. The Class A Warrants expire on July 22, 2002 and are redeemable by the Company for $.01 per warrant, provided that the closing bid price of the Company’s Common Stock exceeds $6.50 (subject to adjustment) for 14 consecutive trading days, as reported by The Nasdaq SmallCap Market.

A registration statement relating to these securities has been filed with the Securities and Exchange Commission but has not yet become effective. These securities may not be sold nor may offers to buy be accepted prior to the time the registration statement becomes effective. This announcement shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of these securities in any state in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state.

Forward-looking statements in this press release are made under the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. The Company wishes to caution readers not to place undue reliance on any forward-looking statements and to recognize that the statements are not predictions of actual future results. Actual results could differ materially from those presented and anticipated in the forward-looking statements due to the risks and uncertainties set forth in the Company’s 2000 Annual Report on Form 10-KSB under the caption "Risk Factors", as well as others not now anticipated.

Hypertension Diagnostics, HDI/PulseWave™ and CVProfilor^® are trademarks of Hypertension Diagnostics, Inc. All rights reserved.

Contact: Greg H. Guettler, President