| §   | Revenue      set a record, increasing 43% to $6.4 million versus $4.5 million in the      third quarter ended September 30,2007. |
|--------------------|----------------------------------------------------------------------------------------------------------------------------------|

| §   | Net      income rose 72% to a record $741,810 versus $430,448 in the same period of      2007. |
|--------------------|------------------------------------------------------------------------------------------------|

| §   | Net      income per diluted share was $0.11 versus $0.07 in the prior-year      period.  Diluted weighted-average shares outstanding were 6.6      million versus 5.9 million in the third quarter of  2007. |
|--------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| §   | Results      for the quarter included approximately $188,000 in non-recurring expenses      for the acquisition and relatedfinancing. |
|--------------------|---------------------------------------------------------------------------------------------------------------------------------------|

| §   | Expand      per-procedure rentals of existing medical equipment and sales of      accompanying disposable items in markets that now cover 16 states      following the acquisition. |
|--------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| §   | Capitalize      on a growing number of medical procedures and increasing limits on      physician ownership of equipment. |
|--------------------|---------------------------------------------------------------------------------------------------------------------------|

| §   | Identify      and offer new, cost-effective medical technologies to hospitals and      physician groups with the aid of company-trained    technicians. |
|--------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------|

| §   | Pursue      acquisitions that expand Emergent’s sales and geographic      footprint. |
|--------------------|--------------------------------------------------------------------------------------------|

| §   | Revenue      increased 20% to $15.8 million versus $13.2 million for the nine months      ended September 30, 2007. |
|--------------------|---------------------------------------------------------------------------------------------------------------------|

| §   | Net      income rose 44% to $1.9 million versus $1.3 million for the same period of      2007. |
|--------------------|------------------------------------------------------------------------------------------------|

| §   | Net      income per diluted share was $0.30 versus $0.22 in the prior-year      period.  Diluted weighted-average shares outstanding were 6.3      million versus 5.8 million for the first nine months of    2007. |
|--------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| §   | Results      included the third quarter 2008 acquisition and related financing expenses      mentioned above. |
|--------------------|---------------------------------------------------------------------------------------------------------------|

----

----

|                                                              |   |               |       |   |              |   |
|-------------------------------------------------------------------|--------|--------------------|------------|--------|-------------------|--------|
|                                                              |   | September      30, |       |   | December      31, |   |
|                                                              |   | 2008               |       |   | 2007              |   |
| ASSETS                                                            |   | (Unaudited)        |       |   |              |   |
|                                                              |   |               |       |   |              |   |
| Current      assets                                               |   |               |       |   |              |   |
| Cash                                                              |   | $                  | 2,577,791  |   |              | $      | 3,043,654 |   |
| Accounts      receivable, net of allowance for doubtful           |   |               |       |   |              |   |   |   |
| accounts      of $49,984 and $17,460                              |   |               | 4,281,351  |   |              |   | 2,313,084 |   |
| Inventory,      net of reserves of $57,339 and $54,999            |   |               | 903,055    |   |              |   | 504,792 |   |
| Prepaid      expenses                                             |   |               | 246,335    |   |              |   | 164,857 |   |
| Deferred      tax assets                                          |   |               | 915,488    |   |              |   | 915,488 |   |
|                                                              |   |               |       |   |              |   |   |   |
| Total      current assets                                         |   |               | 8,924,020  |   |              |   | 6,941,875 |   |
|                                                              |   |               |       |   |              |   |   |   |
| Property      and equipment, net of accumulated depreciation and  |   |               |       |   |              |   |   |   |
| amortization      of $6,764,137 and $5,954,233                    |   |               | 6,197,024  |   |              |   | 4,142,230 |   |
| Goodwill                                                          |   |               | 1,120,058  |   |              |   | 1,120,058 |   |
| Other      intangible assets, net of accumulated amortization of  |   |               |       |   |              |   |   |   |
| $205,526      and $172,355                                        |   |               | 419,623    |   |              |   | 93,930 |   |
| Deposits      and other assets                                    |   |               | 79,384     |   |              |   | 104,758 |   |
|                                                              |   |               |       |   |              |   |   |   |
| Total      assets                                                 |   | $                  | 16,740,109 |   |              | $      | 12,402,851 |   |
|                                                              |   |               |       |   |              |   |   |   |
| LIABILITIES      AND SHAREHOLDERS' EQUITY                         |   |               |       |   |              |   |   |   |
|                                                              |   |               |       |   |              |   |   |   |
| Current      liabilities                                          |   |               |       |   |              |   |   |   |
| Current      portion of capital lease obligations                 |   | $                  | 1,855,551  |   |              | $      | 1,143,198 |   |
| Current      portion of notes payable                             |   |               | 25,222     |   |              |   | 100,888 |   |
| Accounts      payable                                             |   |               | 1,133,311  |   |              |   | 709,027 |   |
| Dividends      payable                                            |   |               | -          |   |              |   | 1,686,095 |   |
| Accrued      expenses and other liabilities                       |   |               | 1,933,059  |   |              |   | 1,559,046 |   |
|                                                              |   |               |       |   |              |   |   |   |
| Total      current liabilities                                    |   |               | 4,947,143  |   |              |   | 5,198,254 |   |
|                                                              |   |               |       |   |              |   |   |   |
| Capital lease      obligations, net of current portion            |   |               | 3,600,316  |   |              |   | 2,341,710 |   |
|                                                              |   |               |       |   |              |   |   |   |
| Total      liabilities                                            |   |               | 8,547,459  |   |              |   | 7,539,964 |   |
|                                                              |   |               |       |   |              |   |   |   |
| Minority      interest                                            |   |               | 702,900    |   |              |   | 592,807 |   |
|                                                              |   |               |       |   |              |   |   |   |
| Shareholders'      equity                                         |   |               |       |   |              |   |   |   |
| Preferred      stock, $0.001 par value, non-voting 10,000,000     |   |               |       |   |              |   |   |   |
| shares      authorized, no shares issued and outstanding          |   |               | -          |   |              |   | - |   |
| Common      stock, $0.04 par value, 100,000,000 shares authorized |   |               |       |   |              |   |   |   |
| 6,420,516      and 5,619,392 shares issued and outstanding        |   |               | 256,817    |   |              |   | 224,772 |   |
| Additional      paid-in capital                                   |   |               | 16,138,810 |   |              |   | 14,836,263 |   |
| Accumulated      deficit                                          |   |               | (8,905,877 | )      |              |   | (10,790,955 | ) |
|                                                              |   |               |       |   |              |   |   |   |
| Total      shareholders' equity                                   |   |               | 7,489,750  |   |              |   | 4,270,080 |   |
|                                                              |   |               |       |   |              |   |   |   |
|  Total      liabilities and shareholders' equity             |   | $                  | 16,740,109 |   |              | $      | 12,402,851 |   |

----

|                                               |   | Three      Months Ended |            |   | Nine      Months Ended |   |
|----------------------------------------------------|--------|-------------------------|-----------------|--------|------------------------|--------|
|                                               |   | September      30,      |            |   | September      30,     |   |
|                                               |   | 2008                    |            |   | 2007                   |   |   | 2008 |   |   | 2007 |   |
|                                               |   |                    |            |   |                   |   |   |   |   |   |   |   |
| Revenue                                            |   | $                       | 6,394,974       |   |                   | $      | 4,467,011 |   |   | $ | 15,800,812 |   |   | $ | 13,181,307 |   |
| Cost      of goods sold                            |   |                    | 3,751,747       |   |                   |   | 2,685,863 |   |   |   | 9,067,764 |   |   |   | 7,876,615 |   |
|                                               |   |                    |            |   |                   |   |   |   |   |   |   |   |   |   |   |   |
| Gross      profit                                  |   |                    | 2,643,227       |   |                   |   | 1,781,148 |   |   |   | 6,733,048 |   |   |   | 5,304,692 |   |
|                                               |   |                    |            |   |                   |   |   |   |   |   |   |   |   |   |   |   |
| Selling,      general, and administrative expenses |   |                    | 1,498,      459 |   |                   |   | 1,036,      272 |   |   |   | 3,753,553 |   |   |   | 3,224,372 |   |
|                                               |   |                    |            |   |                   |   |   |   |   |   |   |   |   |   |   |   |
| Income      from operations                        |   |                    | 1,144,768       |   |                   |   | 744,876 |   |   |   | 2,979,495 |   |   |   | 2,080,320 |   |
|                                               |   |                    |            |   |                   |   |   |   |   |   |   |   |   |   |   |   |
| Other      income (expense)                        |   |                    |            |   |                   |   |   |   |   |   |   |   |   |   |   |   |
| Interest      expense                              |   |                    | (79,800         | )      |                   |   | (54,208 | ) |   |   | (205,936 | ) |   |   | (165,810 | ) |
| Gain      on disposal of property and equipment    |   |                    | -               |   |                   |   | - |   |   |   | 28,937  |   |   |   | 8,214  |   |
| Other      income, net                             |   |                    | 9,298           |   |                   |   | 512 |   |   |   | 33,422 |   |   |   | 36,604 |   |
|                                               |   |                    |            |   |                   |   |   |   |   |   |   |   |   |   |   |   |
| Total      other income (expense)                  |   |                    | (70,502         | )      |                   |   | (53,696 | ) |   |   | (143,577 | ) |   |   | (120,992 | ) |
|                                               |   |                    |            |   |                   |   |   |   |   |   |   |   |   |   |   |   |
| Income      before provision for income taxes      |   |                    |            |   |                   |   |   |   |
| and      minority interest                         |   |                    | 1,074,266       |   |                   |   | 691,180 |   |   |   | 2,835,918 |   |   |   | 1,959,328 |   |
| Provision      for income taxes                    |   |                    | (77,972         | )      |                   |   | (39,086 | ) |   |   | (213,472 | ) |   |   | (134,498 | ) |
|                                               |   |                    |            |   |                   |   |   |   |   |   |   |   |   |   |   |   |
| Income      before minority interest               |   |                    | 996,294         |   |                   |   | 652,094 |   |   |   | 2,622,446 |   |   |   | 1,824,830 |   |
|                                               |   |                    |            |   |                   |   |   |   |   |   |   |   |   |   |   |   |
| Minority      interest in income of consolidated   |   |                    |            |   |                   |   |   |   |
| limited      liability companies                   |   |                    | (254,484        | )      |                   |   | (221,646 | ) |   |   | (737,368 | ) |   |   | (516,066 | ) |
|                                               |   |                    |            |   |                   |   |   |   |   |   |   |   |   |   |   |   |
| Net      income                                    |   | $                       | 741,810         |   |                   | $      | 430,448 |   |   | $ | 1,885,078 |   |   | $ | 1,308,764 |   |
|                                               |   |                    |            |   |                   |   |   |   |   |   |   |   |   |   |   |   |
| Basic      earnings per share                      |   | $                       | 0.12            |   |                   | $      | 0.08 |   |   | $ | 0.32 |   |   | $ | 0.24 |   |
|                                               |   |                    |            |   |                   |   |   |   |   |   |   |   |   |   |   |   |
| Diluted      earnings per share                    |   | $                       | 0.11            |   |                   | $      | 0.07 |   |   | $ | 0.30 |   |   | $ | 0.22 |   |
|                                               |   |                    |            |   |                   |   |   |   |   |   |   |   |   |   |   |   |
| Basic      weighted average shares outstanding     |   |                    | 6,183,074       |   |                   |   | 5,566,448 |   |   |   | 5,856,867 |   |   |   | 5,518,920 |   |
|                                               |   |                    |            |   |                   |   |   |   |   |   |   |   |   |   |   |   |
| Diluted      weighted-average shares outstanding   |   |                    | 6,606,416       |   |                   |   | 5,873,137 |   |   |   | 6,284,005 |   |   |   | 5,825,085 |   |