**Exhibit      99.1**

**For      Immediate Release**

**Emergent      Group Inc. Reports Record First Quarter EPS of $0.10 **

**on      Record Sales**

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| **Emergent                  Group Inc. and Subsidiaries**                                         |   |
|---------------------------------------------------------------------------------------------------|--------|
| **Condensed                  Consolidated Balance Sheet**                                         |   |
|                                                                                              |   |   |   |   |   |
|                                                                                              |   |   |   | **March                  31,** |   |
|                                                                                              |   |   |   | **2007** |   |
| **ASSETS**                                                                                        |   |   |   | (Unaudited) |   |
|                                                                                              |   |   |   |   |   |
| **Current                  assets**                                                               |   |   |   |   |   |
| Cash                                                                                              |   |   |   |   | $ | 682,989 |   |
| Accounts                  receivable, net of allowance for doubtful                               |   |   |   |   |   |   |   |
| accounts                  of $19,478                                                              |   |   |   |   |   | 2,625,918 |   |
| Inventory,                  net of reserves of $63,408                                            |   |   |   |   |   | 658,867 |   |
| Prepaid                  expenses                                                                 |   |   |   |   |   | 153,992 |   |
| Deferred                  tax assets                                                              |   |   |   |   |   | 905,400 |   |
|                                                                                              |   |   |   |   |   |   |   |
| Total                  current assets                                                             |   |   |   |   |   | 5,027,166 |   |
|                                                                                              |   |   |   |   |   |   |   |
| **Property                  and equipment, net of accumulated depreciation and**                  |   |   |   |   |   |   |   |
| **amortization                  of $4,875,973**                                                   |   |   |   |   |   | 4,072,038 |   |
| **Goodwill**                                                                                      |   |   |   |   |   | 1,120,058 |   |
| **Other                  intangible assets, net of accumulated amortization                  of** |   |   |   |   |   |   |   |
| **$**129,450****                                                                                  |   |  |   |   |   | 136,835 |   |
| **Deposits                  and other assets**                                                    |   |   |   |   |   | 106,857 |   |
|                                                                                              |   |   |   |   |   |   |   |
|                                                                                              |   |   |   |   |   |   |   |
| **Total                  assets**                                                                 |   |   |   |   | $ | 10,462,954 |   |
|                                                                                              |   |   |   |   |   |   |   |
| **LIABILITIES                  AND SHAREHOLDERS' EQUITY**                                         |   |   |   |   |   |   |   |
|                                                                                              |   |   |   |   |   |   |   |
| **Current                  liabilities**                                                          |   |   |   |   |   |   |   |
| Current                  portion of capital lease obligations                                     |   |   |   |   | $ | 843,847 |   |
| Current                  portion of notes payable                                                 |   |   |   |   |   | 160,978 |   |
| Accounts                  payable                                                                 |   |   |   |   |   | 1,155,280 |   |
| Accrued                  expenses and other liabilities                                           |   |   |   |   |   | 1,426,620 |   |
|                                                                                              |   |   |   |   |   |   |   |
| Total                  current liabilities                                                        |   |   |   |   |   | 3,586,725 |   |
|                                                                                              |   |   |   |   |   |   |   |
| **Capital                  lease obligations**,                  net of current portion           |   |   |   |   |   | 1,767,217 |   |
| **Notes                  payable**,                  net of current portion                       |   |   |   |   |   | 75,666 |   |
|                                                                                              |   |   |   |   |   |   |   |
| Total                  liabilities                                                                |   |   |   |   |   | 5,429,608 |   |
|                                                                                              |   |   |   |   |   |   |   |
| **Minority                  interest**                                                            |   |   |   |   |   | 411,871 |   |
|                                                                                              |   |   |   |   |   |   |   |
| **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                     |   |   |   |   |   |   |   |
| 5,534,104 shares                  issued and outstanding                                     |   |   |   |   |   | 221,361 |   |
| Additional                  paid-in capital                                                       |   |   |   |   |   | 14,756,465 |   |
| Accumulated                  deficit                                                              |   |   |   |   |   | (10,356,351 | ) |
|                                                                                              |   |   |   |   |   |   |   |
| Total                  shareholders' equity                                                       |   |   |   |   |   | 4,621,475 |   |
| **Total                  liabilities and shareholders' equity**                                   |   |   |   |   | $ | 10,462,954 |   |

----

| **Emergent                  Group Inc. and Subsidiaries**          |   |
|--------------------------------------------------------------------|--------|
| **Condensed                  Consolidated Statements of Income**   |   |
| **(Unaudited)**                                                    |   |
|                                                               |   |   |   |   |   |
|                                                               |   | **Three                  Months Ended** |   |
|                                                               |   | **March                  31,** |   |
|                                                               |   | **2007** |   | **2006** |   |
|                                                               |   |   |   |   |   |
| **Revenue**                                                        |   | $ | 4,382,808 |   | $ | 3,990,817 |   |
| **Cost                  of goods sold**                            |   |   | 2,567,105 |   |   | 2,439,680 |   |
|                                                               |   |   |   |   |   |   |   |
| **Gross                  profit**                                  |   |   | 1,815,703 |   |   | 1,551,137 |   |
|                                                               |   |   |   |   |   |   |   |
| **Selling,                  general, and administrative expenses** |   |   | 1,088,224 |   |   | 976,328 |   |
|                                                               |   |   |   |   |   |   |   |
| **Income                  from operations**                        |   |   | 727,479 |   |   | 574,809 |   |
|                                                               |   |   |   |   |   |   |   |
| **Other                  income (expense)**                        |   |   |   |   |   |   |   |
| Interest                  expense                                  |   |   | (51,804 | ) |   | (46,741 | ) |
| Gain                  on disposal of property and equipment        |   |   | 8,102 |   |   | 1,300 |   |
| Other                  income, net                                 |   |   | 14,220 |   |   | 30,577 |   |
|                                                               |   |   |   |   |   |   |   |
| Total                  other income (expense)                 |   |   | (29,482 | ) |   | (14,864 | ) |
|                                                               |   |   |   |   |   |   |   |
| **Income                  before provision for income taxes**      |   |   |   |   |   |   |   |
| **and                  minority interest**                         |   |   | 697,997 |   |   | 559,945 |   |
| **Provision                  for income taxes**                    |   |   | (55,902 | ) |   | (23,864 | ) |
|                                                               |   |   |   |   |   |   |   |
| **Income                  before minority interest**               |   |   | 642,095 |   |   | 536,081 |   |
|                                                               |   |   |   |   |   |   |   |
| **Minority                  interest in income of consolidated**   |   |   |   |   |   |   |   |
| **limited                  liability companies**                   |   |   | (124,985 | ) |   | (72,086 | ) |
|                                                               |   |   |   |   |   |   |   |
| **Net                  income**                                    |   | **$** | **517,110** |   | **$** | **463,995** |   |
|                                                               |   |   |   |   |   |   |   |
| **Basic                  earnings per share**                      |   | **$** | **0.10** |   | **$** | **0.09** |   |
|                                                               |   |   |   |   |   |   |   |
| **Diluted                  earnings per share**                    |   | **$** | **0.09** |   | **$** | **0.08** |   |
|                                                               |   |   |   |   |   |   |   |
| **Basic                  weighted average shares outstanding**     |   |   | **5,442,961** |   |   | **5,451,631** |   |
|                                                               |   |   |   |   |   |   |   |
| **Diluted                  weighted-average shares outstanding**   |   |   | **5,783,891** |   |   | **5,816,939** |   |