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Escalon(R) Reports Third Quarter Fiscal 2008 Results
Date:5/15/2008

p>Total adjustments $137,773 $155,392 $637,468 $561,246

Non-GAAP adjusted

(loss) income $(1,804,849) $8,426,854 $(2,773,291) $7,648,488

Shares used in computing

basic and fully diluted

earnings per share 6,389,315 6,251,847 6,388,905 6,238,515

Non-GAAP adjusted

income (loss) per

fully diluted share $(0.28) $ 1.35 $(0.43) $ 1.23

Founded in 1987, Escalon (http://www.escalonmed.com) develops markets and distributes ophthalmic diagnostic, surgical and pharmaceutical products as well as vascular access devices. Drew Scientific, which operates as a separate business unit, provides instrumentation and consumables for the diagnosis and monitoring of medical disorders in the areas of diabetes, cardiovascular diseases and hematology, as well as veterinary hematology and blood chemistry. Escalon seeks to utilize strategic partnerships to help finance its development programs and is also seeking acquisitions to further diversify its product line to achieve critical mass in sales and take better advantage of Escalon's distribution capabilities, although such partnerships or acquisitions may not occur. Escalon has headquarters in Wayne, Pennsylvania and manufacturing operations in Long Island, New York, New Berlin, Wisconsin, Dallas, Texas, Waterbury, Connecticut and Barrow-in-Furness, U.K.

Note: This press release contains statements that are considered forward-looking under the Private Securities Litigation Reform Act of 1995, including statements about the Company's future prospects. These statements are based on the Company's current expectations and are subject to a number of uncertainties and risks, and actual results may differ materially. The uncertainties and risks include whether the Company is able to:

-- implement its growth and marketing strategies, improve upon
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SOURCE Escalon Medical Corp.
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