Matrixx Initiatives, Inc. Reports Fiscal 3rd Quarter Net Sales of $30.8 Million and Net Loss of ($0.07)...(ing Expenses 20043 23766 ...),Health

Research and

Development 875 545 3,323 3,558

Income (Loss)

from Operations (1,176) (1,105) 7,025 7,163

Total Other Income 131 64 523 211

Net Income (Loss)

Before Tax (1,045) (1,041) 7,548 7,374

Income Tax Expense

(Benefit) (410) (578) 2,836 2,544

Net Income (Loss) $ (635) $ (463) $ 4,712 $4,830

Net Income per

Diluted Share $ (0.07) $ (0.05) $ 0.47 $0.48

Average Shares

Outstanding (mil) 9.7 9.7 10.1 10.0

Selected Balance Sheet Information

Dec. 31, 2007 March 31, Dec. 31,

($000s) (Unaudited) 2007 2006

Cash and Marketable Securities $13,166 $16,944 $13,948

Accounts Receivable - Trade $23,280 $8,257 $23,569

Inventory $17,421 $15,459 $16,785

Total Assets $80,836 $71,151 $85,107

Current Liabilities $16,619 $ 9,556 $25,929

Working Capital $41,659 $38,705 $36,083

Total Debt $ 0 $ 0 $ 0

Shareholders' Equity $63,002 $60,435 $58,087

About Matrixx Initiatives, Inc.

Matrixx Initiatives, Inc. is engaged in the development, manufacture and marketing of over-the-counter healthcare products that utilize innovative drug delivery systems. Zicam, LLC, its wholly-owned subsidiary, produces, markets and sells Zicam(R) and Nasal Comfort(TM) products in the cough and cold cate
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