During the second quarter of 2007 werecognized a 9

Actual results could differmaterially from management's expectations. Factors that could cause orcontribute to such differences include the following: the Company's ability todevelop, manufacture, introduce and market new products and enhancements toexisting products; the impact of a weak economy on demand for the Company'sproducts and services; the impact of disruptions in financial and currencymarkets; the effectiveness of the Company's sales and marketing activities;disruptions, shortages or pricing changes that affect the Company's purchasesof products and materials from third parties, including from sole sourcesuppliers; the Company's ability to identify acquisition opportunities,complete acquisitions and integrate acquired businesses; the impact ofcompetition, technological change, and veterinary hospital consolidation onthe markets for the Company's products; the Company's ability to manufacturecomplex biologic products;the effect of government regulation on theCompany's business, including government decisions about whether and when toapprove the Company's products and decisions regarding labeling, manufacturingand marketing products; the impact of distributor purchasing decisions onsales of the Company's products that are sold through distribution; changes ortrends in veterinary medicine that affect the rate of use of the Company'sproducts and services by veterinarians; the Company's ability to obtain patentand other intellectual property protection for its products, successfullyenforce its intellectual property rights and defend itself against third partyclaims against the Company; the effects of operations outside the U.S.,includingfrom currency fluctuations, different regulatory, political andeconomic conditions, and different market conditions; and the loss of keyemployees. A further description of these and other factors can be found inthe Company's Annual Report on Form 10-K for the year ended December 31, 2007,and quarterly report on Form 10-Q for the quarter ended September 30, 2008, inthe section captioned "Risk Factors."Contact: Merilee Raines, Chief Financial Officer, (207) 556-8155IDEXX Laboratories, Inc. and SubsidiariesConsolidated Statement of OperationsAmounts in thousands except per share data (Unaudited)Three Months EndedTwelve Months EndedDecemberDecemberDecemberDecember 31, 31, 31, 31,2008200720082007Revenue: Revenue $243,293$244,969$1,024,030$922,555Expenses andIncome:Cost of revenue122,772 122,725 494,264 459,033 Gross profit 120,521 122,244 529,766 463,522 Sales andmarketing39,95141,796 169,693 151,882 General andadministrative 26,17926,937 115,586 108,119 Research anddevelopment17,06316,76970,55267,338 Loss on dispositionof pharmaceuticalproduct linesand relatedrestructuring 1,479 - 1,479 - Income fromoperations 35,84936,742 172,456 136,183 Interest income(expense),net(581)(19) (2,269) (1,340) Income beforeprovision forincome taxes 35,26836,723 170,187 134,843 Provision forincome taxes 11,71311,19554,01840,829Net Income: Net income $23,555 $25,528$116,169 $94,014 Earnings pershare: Basic$0.40 $0.42 $1.94 $1.53 Earnings pershare: Diluted$0.39 $0.40 $1.87 $1.46 Shares outstanding:Basic59,45361,18659,95361,560 Shares outstanding:Diluted61,08364,15662,24964,455IDEXX Laboratories, Inc. 31,20082007 20082007GAAP measurement $23,555 $25,528 $0.39 $0.40 of revenue 9.7 10.4Acquisition-related purchase accounting, and acquisition integration costs (1) -65 - -Disposition of pharmaceutical product lines and related restructuring(2)3,598 -0.06 -Non-GAAP comparative measurements(3) $27,153 $25,593 $0.44 $0.40 of revenue11.2 10.4Management believes adjusted diluted EPS is a useful non-GAAP financialmeasure to evaluate the results of ongoing operations, excludingsignificant specified events, period over period, and therefore believesthat investors may find this information useful in addition to the GAAPresults.We use these supplemental non-GAAP financial measures to evaluate theCompany's comparative financial performance. Specific acquisition-related discrete costs do not includeamortization expense related to acquired intangible assets. We appliedthe statutory income tax rates of the applicable tax jurisdictions tocalculate the after-tax impact of these discrete items.(2) We believe that the impact of the disposition of certainpharmaceutical product lines and the related restructuring of theremaining pharmaceutical business in the fourth quarter is notindicative of future performance because significant transactions andrelated costs of a similar nature are not likely to recur within areasonable period.

In the fourth quarter of 2008 we completed atransaction to sell our ACAREXX and SURPASS pharmaceutical products anda product currently under development, which were a part of our CAGsegment, and subsequently restructured the remaining pharmaceuticalbusiness.(3) The sum of the individual items may not equal the non-GAAPmeasurement due to rounding of the individual items in this presentation.IDEXX Laboratories, Inc. and SubsidiariesNon-GAAP Financial MeasuresAmounts in thousands except per share data (Unaudited) Twelve Months Ended Income fromGross Profit Operations Dec 31, Dec 31,Dec 31, Dec. 31, 2008 2007 20082007GAAP measurement$529,766$463,522$172,456$136,183 of revenue51.7 50.2 16.8 14.8Write-downs of certain pharmaceutical assets (1) -10,138 -10,138Acquisition-related purchase Accounting and acquisition integration costs (2) - 1,979 - 2,482Disposition of pharmaceutical product lines and restructuring(3)- - 1,479 -Discrete income tax benefits(4)- - - -Non-GAAP comparative measurements(5)$529,766$475,639$173,935$148,803 of revenue51.7 51.6 17.0 16.1 Twelve Months EndedEarnings per Share Net IncomeDiluted Dec 31, Dec 31,Dec 31, Dec. 31, 2008 20072008 2007GAAP measurement$116,169 $94,014 $1.87 $1.46 of revenue11.3 10.2Write-downs of certain Pharmaceutical assets (1) - 6,392 -0.10Acquisition-related purchase Accounting and acquisition integration costs (2) - 1,588 -0.02Disposition of pharmaceutical product lines and restructuring(3)3,598 -0.06Discrete income tax benefits(4) (1,472)- (0.02) -Non-GAAP comparative measurements(5)$118,295$101,994 $1.90 $1.58 of revenue11.6 11.1Management believes adjusted diluted EPS is a useful non-GAAP financialmeasure to evaluate the results of ongoing operations, excludingsignificant specified events, period over period, and therefore believesthat investors may find this information useful in addition to the GAAPresults.We use these supplemental non-GAAP financial measures to evaluate theCompany's comparative financial performance. The specified items thatare excluded in these non-GAAP measures are actual charges that impactnet income and cash flows, however, we believe that it is useful toevaluate our core business performance period over period excludingthese specified items, in addition to relying upon GAAP financialmeasures.(1) We believe that the write-down of certain pharmaceutical assets isnot indicative of future performance because significant costs of asimilar nature are not likely to recur within a reasonable period. During the second quarter of 2007, werecognized a $9.1 million write-down of raw materials inventory and a$1.0 million write-off of a prepaid royalty license associated withNavigator(R) paste, a nitazoxanide product for the treatment of equineprotozoal myeloencephalitis.

We wrote down these assets in the secondquarter of 2007 because the third-party contract manufacturer offinished goods gave notification that it would discontinue manufacturingthe product in 2009. Due in part to an estimated production volumewhich is low, we believe that we will not be able to enter into areplacement manufacturing arrangement on economically feasible terms andthat we will not be able to obtain the product after termination of theexisting manufacturing arrangement. Specific acquisition-related discrete costs do not includeamortization expense related to acquired intangible assets. We appliedthe statutory income tax rates of the applicable tax jurisdictions tocalculate the after-tax impact of these discrete items.(3) We believe that the impact of the disposition of certainpharmaceutical product lines and the related restructuring of theremaining pharmaceutical business in the fourth quarter of 2008 is notindicative of future performance because significant transactions andrelated costs of a similar nature are not likely to recur within areasonable period.