For the three-month period, revenues were $21.3 million, compared to $21.9 million for the prior-year period. The Company recorded operating income of $0.6 million for the three-month period, compared to $3.1 million for the prior-year period. The Company recorded net income of $0.3 million for the three-month period, compared to $1.9 million for the prior-year period. Earnings per diluted share were $0.04, compared to $0.22 in the second quarter of 2008.

For the six-month period ended June 30, 2009, revenues were $42.0 million, compared to $42.6 million from the prior-year period. Operating income was $1.4 million, compared to $5.8 million for the prior-year period. The Company recorded net income of $0.7 million, compared to $3.5 million for the prior-year period. Earnings per diluted share were $0.08, compared to $0.39 for the prior-year period.

For the three-month period, in our Laboratory Segment, revenues from drugs-of-abuse (DAU) testing decreased a net 10.6%, to $9.6 million from $10.8 million in the prior-year period. The decrease is a result of lower testing volumes from our workplace clients due to economic conditions. Revenues from existing workplace clients were $7.9 million, down 26.7% for the quarter compared to the prior-year period. The decrease in revenue was mitigated by very strong new business from DAU laboratory clients of $1.7 million, or a 16.1% increase from the prior-year period for a total of $9.6 million. New account activity in our DAU laboratory continues to confirm and validate our strategy of gaining market share and preserving our existing clients during this recessionary period.

Our clinical laboratory expansion initiated in 2008 continues to gain momentum with quarterly revenues of $7.0 million, compared to $6.0 million for the prior-year period. This is a quarterly increase of 15.7%. Within the clinical laboratory, Clinical Trial Services (CTS) revenues increased to $1.6 million for the quarter, compared to $1.5 million for the prior-year period; and the rest of the clinical laboratory increased to $5.4 million from $4.6 million, or a 17.9% increase from the prior-year period. During the quarter CTS revenue growth was negatively impacted by cancellation of an ongoing trial and the continued, but temporary, curtailment of trial activity from a preferred client due to client regulatory issues. Since CTS is project based, variability from quarter to quarter may be expected. New account activity in the clinical laboratory for the quarter was solid and we maintain our long term positive view of clinical laboratory diversification efforts.

In the Diagnostic Segment, revenues were down 6.9% for the quarter, an improvement over a drop of 13.2% in the first quarter compared to the prior year period. The reduction in revenues is primarily due to lower testing volumes from our workplace drugs-of-abuse clients due to lower employment levels.

There will be a continuing negative impact on our drugs-of-abuse testing revenues caused by economic conditions affecting hiring in 2009. This should be mitigated by our expectation of strong on-going new business activity in this market segment in 2009. Gains in drugs-of-abuse testing market share in 2007, 2008 and anticipated in 2009, will have a positive impact on our performance when economic conditions improve and hiring rebounds.

MEDTOX will hold a teleconference to discuss 2009 second quarter results today at 9:30 a.m. Central Time (10:30 a.m. Eastern). The Company will discuss these results and other corporate matters. During the conference call, the Company may discuss and answer questions concerning business and financial developments and trends.