FORM 10-K

                       SECURITIES AND EXCHANGE COMMISSION
                             Washington, D.C. 20549

         (Mark One)      ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF
                X        THE SECURITIES EXCHANGE ACT OF 1934
               ---
                     For the fiscal year ended May 31, 1999

                                       OR

                         TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF
                         THE SECURITIES EXCHANGE ACT OF 1934
               ---
                     For the transition period from     to

                         Commission file number 0-14820

                                  IMMUCOR, INC.
             (Exact name of registrant as specified in its charter)

              Georgia                                  22-2408354
(State or other jurisdiction of            (I.R.S. Employer Identification No.)
incorporation or organization)

              3130 GATEWAY DRIVE,                                30091
                 P.O. BOX 5625                                (Zip Code)
               Norcross, Georgia
         (Address of principal executive offices)

      Registrant's telephone number, including area code, is (770) 441-2051

           Securities registered pursuant to Section 12(b) of the Act:

                                      NONE

           Securities registered pursuant to Section 12(g) of the Act:

                          COMMON STOCK, $.10 PAR VALUE
                                (Title of Class)

                          COMMON STOCK PURCHASE RIGHTS
                                (Title of Class)

         Indicate by check mark whether the registrant (1) has filed all reports
required to be filed by Section 13 or 15(d) of the  Securities  Exchange  Act of
1934  during  the  preceding  12 months  (or for such  shorter  period  that the
Registrant was required to file such reports),  and (2) has been subject to such
filing requirements for the past 90 days.
                                            YES     X         NO

         Indicate by a check mark if disclosure of delinquent filers pursuant to
Item 405 of Regulation S-K is not contained  herein,  and will not be contained,
to the best of  registrant's  knowledge,  in  definitive  proxy  or  information
statements  incorporated  by  reference  in Part  III of this  Form  10-K or any
amendment to this Form 10-K.
[    X   ]

         As of July 30 1999, the aggregate market value of the voting stock held
by non-affiliates of the registrant was $109,716,000.

         As of July 30  1999,  there  were  7,690,031  shares  of  common  stock
outstanding.

<PAGE>

                                    PART I

Item 1.--Business

         Founded in 1982, Immucor, Inc., a Georgia corporation ("Immucor" or the
"Company"),  develops,  manufactures  and sells a complete  line of reagents and
automated systems used primarily by hospitals,  clinical  laboratories and blood
banks in a number of tests performed to detect and identify  certain  properties
of the cell and serum components of human blood prior to blood transfusion.

         During  fiscal  1999 the  Company  implemented  its  strategic  plan of
consolidating  the U.S.  blood bank market  leaving  Immucor and Ortho  Clinical
Diagnostics as the only two companies  offering a complete line of blood banking
reagents in the U.S. and thereby strengthening its direct presence in Europe and
Canada.  The Company achieved this through a series of  acquisitions,  which are
listed below:

         Acquisition of Canadian  Distribution  Rights. On September 1, 1998 the
Company  acquired the Canadian  distribution  rights for the Company's  complete
line of reagents from its Canadian  distributor for a total transaction value of
approximately  $2.1  million.  Distribution  of the entire range of products was
taken over by Dominion Biologicals,  Ltd.  ("Dominion"),  Immucor's wholly owned
Canadian  subsidiary.  Dominion  is  currently  the market  leader in Canada for
conventional reagents. See - Liquidity and Capital Resources.

         Acquisition of Gamma Biologicals, Inc. On October 27, 1998, the Company
completed  the  acquisition  of Gamma  Biologicals,  Inc.  ("Gamma") for a total
transaction  value  of  approximately  $27.3  million  (see  -  Note  3  to  the
Consolidated   Financial   Statements).   Located  in  Houston,   Texas,   Gamma
manufactures and distributes a wide variety of in-vitro  diagnostic  reagents to
blood  donation   centers,   transfusion   departments  of  hospitals,   medical
laboratories  and  research  institutions  through  a  direct  sales  force  and
distributor  network.  Gamma was the third largest  domestic blood bank serology
company  before  the   acquisition.   Through  this   acquisition   the  Company
strengthened its competitive  position in the U.S. market, added to its customer
base,  and added to its product  offerings,  all of which  extend the  Company's
marketing  reach  both in the  U.S.  and  internationally.  Combining  Immucor's
Automated  Product Family and Capture with Gamma's line of monoclonal  reagents,
red cell  products  and ReACT  product  represents  a natural fit and creates an
ample selection of products for our customers worldwide (see - Products).

         Acquisition of French and Belgian  Distributor's  Rights.  On March 15,
1999,  the  Company  acquired  its  former  distributors  in France  (Immunochim
s.a.r.l.) and Belgium (Medichim S.A.), for a combination of cash,  Immucor stock
options and an incentive earn out for a total transaction value of approximately
$1.8  million  (see  - Note 3 to the  Consolidated  Financial  Statements).  The
Company's direct presence will allow it to take advantage of the large potential
for blood bank automation  installations in the French market, which the Company
believes is the second largest market in Europe.

         Acquisition   of  the  BCA  blood  bank  division   assets  of  Biopool
International,  Inc. On April 30, 1999 the Company  purchased  certain assets of
the BCA blood bank  division of Biopool  International,  Inc. for  approximately
$4.5  million  (see  - Note 3 to the  Consolidated  Financial  Statements).  The
acquired product lines generated  approximately  $5.5 million in annual revenues
for Biopool, and the Company expects to maintain up to 90% of these sales.

         The above acquisitions have allowed Immucor to become the market leader
in North America in terms of sales and has strengthened its position  worldwide.
See - Competition and Marketing and  Distribution.  The  acquisitions  have been
financed  through the use of the Company's  cash and a loan  agreement  with the
Company's  primary U.S. bank. See- Liquidity and Capital Resources and Note 3 to
the Consolidated Financial Statements.

         Since  1992  the  Company  has  worked  with  the  medical   instrument
manufacturer Bio-Tek  Instruments,  Inc., a wholly owned subsidiary of Lionheart
Technologies,  Inc., to develop an automated,  "walk-away",  blood bank analyzer
called the ABS2000, using Immucor's proprietary Capture(R) technology.  In March
1996,  the  Company  filed a 510(k)  application  with  the  U.S.  Food and Drug
Administration  (the "FDA") for market  clearance.  On July 6, 1998, the Company
announced  that the FDA  cleared  the  ABS2000  for  marketing  in the U.S.  The
instrument is designed for patient testing in hospital transfusion  laboratories
and is  the  first  fully  automated  blood  bank  system  that  performs  blood
compatibility  tests  currently done manually by blood bank  technologists.  The
Company  introduced the ABS2000 to the U.S.  market during the second quarter of
fiscal 1999.

         In March 1998, Immucor signed an exclusive  distribution agreement with
IBG Systems Limited ("IBG") headquartered in England whereby Immucor assumed the
sale,  marketing  and service of all  current  and future IBG  products in North
America.  IBG presently has the only semi-automated  microtitration plate reader
available for sale in the U.S., which  interprets  Immucor's  proprietary  solid
phase  Capture(R)  assays.  With this agreement  Immucor also obtained the North
American  distribution  rights for blood bank  applications  of the ROSYS  Plato
system  manufactured  by ROSYS  Anthos Ag of  Switzerland.  The system  provides
medium sized donor centers and large hospital transfusion laboratories automated
liquid and sample handling for processing of microtitration plates and also uses
Immucor's  proprietary solid phase Capture(R) assays. The Company introduced the
system to the U.S. and European  markets  during  fiscal 1999.  In July 1999 the
Company purchased the exclusive  distribution rights of the Rosys Plato from IBG
for approximately  $250,000 in cash. The Company has entered into a distribution
agreement  directly with Rosys Anthos Ag for the distribution of the Rosys Plato
(marketed as ABS Precis in Europe) in North America and Europe.

         In 1998, the Company began marketing an automated  medical  instrument,
previously referred to as the ABSHV, utilizing DYNEX Technologies, Inc.'s 510(k)
clearance  for its product  called the DIAS PLUS.  The  instrument,  marketed as
ABSHV in Europe,  provides  large blood donor  centers  and  clinical  reference
laboratories  automated batch processing and positive sample  identification  of
routine blood donor tests, and uses the Company's solid phase Capture(R) assays.

Industry

         Immucor is part of the immunohematology industry, which generally seeks
to prevent or cure certain  diseases or conditions  through the  transfusion  of
blood and blood components. In the U.S., the FDA regulates human blood as a drug
and as a biological  product,  and it regulates the  transfusion of blood as the
administration  of a drug and of a biological  product.  The FDA  regulates  all
phases of the  immunohematology  industry,  including  donor  selection  and the
collection, classification, storage, handling and transfusion of blood and blood
components.  The FDA requires all facilities that manufacture  products used for
any of those purposes, and the products themselves, to be registered or licensed
by the FDA. See Regulation of Business.

         The principal  components  of blood are plasma (the fluid  portion) and
cells. Blood also contains antibodies and antigens. Antibodies are proteins that
are  naturally  produced by the human body in response  to the  introduction  of
foreign  substances  (antigens).  Antigens are  substances  that  stimulate  the
production of antibodies. Red blood cells, which transport oxygen from the lungs
to other  parts of the  body,  and  return  carbon  dioxide  to the  lungs,  are
categorized  by four  blood  groups  (A,  B, AB and O) and two  blood  types (Rh
positive and Rh negative),  based on the presence or absence of certain antigens
on the  surface  of the  cells.  It is crucial  that the  health  care  provider
correctly  identify the  antibodies  and  antigens  present in patient and donor
blood.  For example,  if a donor's red blood cells  contain  antigens that could
react with the corresponding  antibody in the patient's plasma,  the transfusion
of  the  red  blood  cells  may  result  in  the  potentially  life  threatening
destruction of the red blood cells.

         Because of the critical importance of matching patient and donor blood,
compatibility  testing  procedures  are generally  performed  manually by highly
educated technologists in hospitals,  blood banks and laboratories.  At present,
with few  exceptions,  these  tests are  performed  using  procedures  which the
Company believes can be  significantly  improved using its  instrumentation  and
solid phase and ReACT testing  systems to automate the testing  procedures.  See
Products -- Blood Bank Automation and Solid Phase and Microcolumn Technology.

         The Company  believes that the worldwide  market for traditional  blood
bank reagents is approximately $265 million,  and that this market is relatively
mature given current technology. The industry is labor-intensive and the Company
estimates  worldwide  industry labor costs approach $1 billion.  Therefore,  the
introduction  of  labor-saving  products will provide  additional  growth in the
market.  The Company  believes that its blood bank  automation,  solid phase and
ReACT blood testing system improve test results and reduce the time necessary to
perform certain test procedures,  thereby offering a cost-effective  alternative
for its  customers.  See Products -- Blood Bank  Automation  and Solid Phase and
Microcolumn Technology. The Company anticipates that it will be able to increase
the available  market for  traditional  and  automated  reagents to $575 million
while  decreasing  the  overall  cost of blood  testing  by  reducing  the labor
component of testing by approximately $450 million.

Products

         Most of Immucor's  current reagent products are used in tests performed
prior to blood  transfusions  to determine the blood group and type of patients'
and  donors'  blood,  in  the  detection  and   identification  of  blood  group
antibodies, in platelet antibody detection, in paternity testing and in prenatal
care. The FDA requires the accurate  testing of blood and blood components prior
to transfusions  using only FDA licensed reagents such as those manufactured and
sold by the Company.

         The following  table sets forth the products sold by or exclusively for
the Company, most of which are manufactured by or exclusively for the Company.

Product Group                         Principal Use

ABO                      Blood Grouping  Detect and identify ABO antigens on red
                         blood  cells in order to  classify a  specimen's  blood
                         group as either A, B, AB or O.

Rh                       Blood Typing  Detect Rh antigens in order to classify a
                         specimen as either Rh positive or Rh  negative,  and to
                         detect other Rh-hr antigens.

Anti-human  Globulin     Used with other  products  for routine
                         crossmatching,   and  antibody   detection  and  Serums
                         (Coombs  Serums)  identification;  allows a reaction to
                         occur by bridging between antibodies that by themselves
                         could not cause a reaction.

Reagent Red Blood Cells  Detect and identify  antibodies  in
                         patient  or donor  blood,  confirm  ABO blood  grouping
                         results and  validate  the  performance  of  anti-human
                         serum in the test system.

Product Group  (continued)            Principal Use  (continued)


Rare Serums              Detect the presence or absence of rare antigens.

Antibody Potentiators    Increase the sensitivity of antigen-antibody tests.

Quality Control Systems  Daily  evaluation  of the  reactivity of routine blood
                         testing reagents.

Monoclonal  (Hybridoma)  Detect and identify ABO and other antigens on red blood
Antibody-based Reagents  cells.


Technical Proficiency    Reagent tests used  to determine technical  proficiency
Systems                  and provide continuing education for technical staff.

Fetal Bleed Screen Kit   Used to detect  excessive  fetal-maternal hemorrhage in
                         Rh-negative women.

Capture-P(R)             Used for the detection of platelet antibodies.

Capture-R(R)             Used to detect and identify unexpected blood group
                         antibodies.

Capture-CMV(R)           Used for the detection of antibodies to
                         cytomegalovirus.

Capture(R)-S             Used for the  detection of  antilipid antibodies for
                         syphilis screening.

ReACT-(TM)-Test System   Microcolumn technology used to detect
                         and identify unexpected blood group antibodies.

SegmentSampler-(TM)      Disposable blood handling safety device.

ABS2000                  Fully  automated  blood bank system used for patient
                         ABO/Rh  grouping,   antibody  screening, donor  ABO/Rh
                         confirmation testing and crossmatching.


The following table includes additional products not manufactured by the Company
but sold by the Company:

Product Group                          Principal Use

Rh(D)Immune Globulin     Administered by injection once during
(Human)                  and once  after  pregnancy  to an Rh  negative
                         woman who  delivers  an Rh  positive  infant to prevent
                         hemolytic disease of the newborn.

HLA Serums               Transplant typing and paternity testing.

DNA Probes               Transplant typing, paternity testing, forensic medicine
                         and genetic research.

Infectious Diseases      Diagnosis of certain infectious diseases
                         by the methods of ELISA,  Immunofluorescence  and Latex
                         Slide Tests.

Clinical Chemistry       Blood analysis and pathological testing.

Immunofluorescent        Used in clinical  research to identify  rare cell
Monoclonal Antibodies    surface antigens.


Automated Microtitration  Instruments providing laboratories  automated  batch
Plate Processors          processing and positive sample identification of
and Liquid Handlers       routine blood donor tests.


Microtitration Plate     Instrument  that reads  and interprets   test  results
 Reader                  of  Immucor's   proprietary Capture(R) products.


I-TRAC                   Transfusion  management  system  used to verify  the
                         correct  patient  has been  selected to receive a blood
                         component before administration.

Microvolume Fluorimetry   Automated  cell  enumeration  and characterization
                          for patients  undergoing  transfusion therapy.





Systems

         The  Company   believes  that  the  blood  banking  industry  today  is
labor-intensive,  and that a  market  exists  for  further  automation  of blood
compatibility  tests currently  being  performed  manually by hospital and donor
center blood bank  technologists.  Based on the results of independent  workflow
studies,   the  Company  believes  that  its  Blood  Bank  Automation   products
significantly  reduce the amount of blood bank  technologist  time  required  to
perform routine blood compatibility tests.

         ABS2000:  Fully  Automated  Blood Bank  System.  On July 6,  1998,  the
Company  announced it received  FDA  clearance to market the ABS2000 in the U.S.
This  automated,  "walk-away",  blood bank analyzer uses  Immucor's  proprietary
Capture(R)  reagent product technology to perform blood bank patient testing and
is manufactured  exclusively for Immucor by Bio-Tek Instruments,  Inc., a wholly
owned subsidiary of Lionheart Technologies, Inc. During fiscal 1999, the Company
began to implement its marketing plan for domestic sale of the product.

         ROSYS Plato: Microplate Liquid Handler and Sample Processor. The system
provides medium sized donor centers and large hospital transfusion  laboratories
automated liquid and sample handling for processing of microtitration plates and
also uses Immucor's proprietary solid phase Capture(R) assays.

         DIAS PLUS: High Volume Microplate  Processor.  The instrument  provides
large blood donor centers and clinical  reference  laboratories  automated batch
processing and positive sample  identification of routine blood donor tests, and
uses the Company's Capture-R(R), Capture-CMV(R) and Capture(R)-S products.

         Multireader Plus: Microplate Reader. Semi-automated  spectraphotometric
microtitration  plate reader that reads and interprets test results of Immucor's
proprietary Capture(R) products. Together with the ROSYS Plato or the DIAS PLUS,
the Multireader Plus completes a semi-automated blood bank system ideally suited
for blood donor centers and large hospital transfusion  laboratories,  and large
reference laboratories.

         I-TRAC:  I-TRAC is a comprehensive  transfusion  management system that
documents  and  verifies  information   electronically  and  gives  health  care
professionals  the tools to ensure that the right blood is  administered  to the
right patient.  In an environment that demands accuracy,  Immucor recognized the
need for a system that could verify  information and catch  potential  mistakes,
before they are made.  The solution  was a  closed-loop  process of  information
management.   This  electronic  tracking  system   incorporates   portable  data
terminals,  automated blood banking systems, and lab information management. The
system  identifies  each  patient  using  barcoded   wristbands,   and  uniquely
identifies  each specimen drawn from a patient using barcoded labels produced at
the  bedside.  I-TRAC  provides  automated  transfusion  testing  using  any  of
Immucor's products,  verifies the correct patient has been selected to receive a
blood component before  administration,  and prints a transfusion  report at the
bedside.

         Laboratory  Equipment.  Immucor also distributes  laboratory  equipment
designed to automate  certain blood test procedures and used in conjunction with
the Company's Capture(R) and ReACT products.

         Microvolume  Fluorimetry.  Microvolume  fluorimetry  is  a  laser-based
imaging  system,  which detects  fluorescently-tagged  cells held in stasis in a
defined volume, enabling an automated cellular assay delivery system.

Proprietary Technology

         Under current  agglutination blood testing  techniques,  serum is mixed
with red  blood  cells  in a test  tube and the  technologist  performs  several
procedures and then examines the mixture to determine  whether there has been an
agglutination  reaction.  A positive  reaction will occur if the cells are drawn
together in clumps by the presence of  corresponding  antibodies  and  antigens.
However,  the mixture remains in a fluid state and it is sometimes difficult for
the technologist to determine whether the positive reaction has occurred.

         Because of the critical importance of matching patient and donor blood,
testing procedures using agglutination techniques are usually performed manually
by highly educated technologists.  Depending on the technical proficiency of the
person  performing  the test,  the process can take from 30 minutes to one hour,
and if the  test  results  are  ambiguous  the  entire  process  may  need to be
repeated.  Thus, a  significant  amount of  expensive  labor is involved in such
testing.  Based on industry  sources,  the Company believes that labor costs are
the largest  component of the total cost of operating a hospital blood bank. The
Company  believes that its solid phase and ReACT blood testing  systems  improve
test results and reduce the time  necessary  to perform  certain  blood  testing
procedures related to the transfusion of blood and blood components.

         Solid Phase Technology.  In the Company's proprietary solid phase blood
test system,  one of the reactants (either an antigen or an antibody) is applied
or bound to a solid support,  such as a well in a microtitration  plate.  During
testing,  the bound reactant captures other reactants in a fluid state and binds
those fluid  reactants to the solid phase (the bound  reactant).  The binding of
the fluid  reactants  into the solid phase occurs rapidly and results in clearly
defined test  reactions  that are often easier to interpret  than the subjective
results  sometimes  obtained from existing  agglutination  technology.  Based on
results obtained with Capture-P(R), Capture-R(R),  Capture-CMV(R),  Capture(R)-S
and the Company's ongoing  research,  the Company believes that solid phase test
results can  generally be obtained in  substantially  less time than by existing
techniques.

         Immucor has obtained FDA  clearance for sale of four test systems using
its solid phase technology: a Platelet Antibody Detection System,  Capture-P(R);
a Red Cell Antibody Detection System,  Capture-R(R);  and two Infectious Disease
Tests,  Capture-CMV(R) and Capture(R)-S (see below). In these four test systems,
antigens  are  applied  and bound to the  surface  of a small  well in a plastic
microtitration  plate,  and  patient  or donor  serum or plasma is placed in the
well. After the addition of special proprietary  indicator cells manufactured by
Immucor,  positive  reactions  indicating the presence of blood group antibodies
adhere to the well as a thin  layer and  negative  reactions  do not  adhere but
settle to the bottom as a small cell button.


         Microcolumn  Technology  (ReACT-(TM)- Test System).  Gamma Biologicals,
Inc.,  the  Company's  wholly owned  subsidiary,  has  developed  and received a
patent,  in September 1997, on a microcolumn  technology to be used for red cell
affinity testing.  Products based on this technology should help Immucor compete
with other microcolumn tests marketed very successfully in Europe since 1988 and
recently  introduced in the United States. The acronym ReACT (Red Cell Adherence
Technology) has been chosen as a commercial trade name for the product line. The
principle  of  ReACT  is  based on the  affinity  adherence  of red  cells to an
immunologically  active matrix. The matrix consists of specially treated agarose
beads.  Gamma  received FDA clearance to market the first ReACT  products in the
United States in September 1997, and the Company's first ReACT products are used
for  antibody  detection  and  identification.  Since the  purchase  of Gamma in
October 1998, the Company has  re-examined  and modified the marketing  strategy
for ReACT and has re-launched the product both internationally and domestically.
See  "Item 3. - Legal  Proceedings"  regarding  a claim of  patent  infringement
against the Company.

Products Under Development

         Immucor  continually  seeks to improve  its  existing  products  and to
develop new ones in order to enhance its market share.  Prior to their sale, any
new  products  will  require  licensing  or  premarket  approval by the FDA. The
Company employs several persons whose specific duties are to continue to improve
existing  products  and develop new  products  for the  Company's  existing  and
potential customers.  The Company also has established  relationships with other
individuals  and  institutions  who  provide  similar  services  and the Company
expects  that it will  continue  to do so. The Company  intends to continue  its
product  development  efforts  primarily  in the area of blood bank  automation,
microcolumn and solid phase  technology and in several other areas that may also
be useful in connection with the  development of these products.  For the fiscal
years ended May 31, 1999, 1998 and 1997, the Company spent $1,293,600, $970,900,
and $907,100, respectively, for research and development. The Company may in the
future acquire related technologies and product lines, or the companies that own
them, to improve the Company's  ability to meet the needs of its customers.  For
the seven year period  ending May 31, 1999 the Company has invested $5.2 million
in instrument research and development principally under research contracts with
Bio-Tek and DYNEX.

         Blood Bank  Automation.  The Company  believes  that the blood  banking
industry  today  is  labor-intensive,  and  that a  market  exists  for  further
automation of blood  compatibility  tests currently being performed  manually by
hospital and donor center blood bank technologists.

         Since 1992 the Company has worked with  Bio-Tek  Instruments,  Inc.,  a
wholly owned subsidiary of Lionheart Technologies,  Inc., to combine the reagent
manufacturing expertise of Immucor with the medical instrumentation expertise of
Bio-Tek, to develop an automated,  "walk-away", blood bank analyzer. Bio-Tek has
been responsible for engineering,  software  development and manufacturing.  The
Company  announced  clearance to market the product in the U.S.  from the FDA on
July 6, 1998 and  continues  to upgrade  and  develop  system  software/hardware
upgrades  to add  additional  tests to its menu,  to  increase  ease of use,  to
improve throughput and to add stat testing capabilities.

         The Company is working with Rosys Anthos AG of  Switzerland to automate
its  microcolumn  applications  on the Rosys  Plato,  known as the ABS Precis in
Europe.  The Company  expects this  application to be ready for European  market
introduction during fiscal 2000. See- Note 11.

         Antibody  Identification  Website. During fiscal 1999 the Company began
to  develop  together  with  Sanguin  International  Limited,  headquartered  in
England,  the industry's first dedicated  Internet website for online assistance
with   the   identification   of   unexpected   red  cell   antibodies,   called
www.ready-id.com.  Additionally,  www.ready-id.com will provide customers access
to continuing education,  guidance on serological  techniques,  industry related
topic searches and online consultation  services.  The Company believes that the
demand for the  service  will  increase  in the future as more  accounts  become
automated  and the number of  laboratory  workers with a high level of technical
knowledge in the blood bank industry begins to decline. The Company expects that
the web service will be completely operational in fiscal 2000.

         Additional Solid Phase  Applications.  The Company plans to continue to
develop and refine its patented, solid phase technology.  Currently, the Company
is developing a screening test for the detection of weak D antigens on donor red
cells.

         Additional Microcolumn Applications.  Products to be used for red  cell
antigen typing in the ReACT Test System are currently under development.

         Monoclonal  Antibodies.  Monoclonal antibodies are derived by fusing an
antibody-producing  cell with a tumor cell,  resulting in a hybridoma  cell that
manufactures  the  original  antibody.  The Company is  actively  engaged in the
development of additional monoclonal antibodies for a variety of uses, including
the detection of blood group and infectious disease antigens, and for use in the
solid phase test systems.  Monoclonal  antibodies are highly  specific,  a trait
which allows them to detect and identify  antigens with greater  efficiency than
other  reagents.  Product  quality and consistency is maintained from production
lot to production  lot. The Company  continues to pursue the development of such
antibodies principally through Gamma and its Canadian subsidiary, Dominion.

Marketing and Distribution

         Immucor's potential U.S. customers are approximately 6,000 blood banks,
hospitals and clinical laboratories. The Company maintains an active client base
of over 5,500 customers  worldwide,  and no one customer  purchases  annually in
excess of 5% of the Company's  current sales volume.  The Company believes there
is little  seasonality to its sales activity and there is no material backlog of
orders.

         During fiscal 1999,  the Company has increased its market share through
the  implementation  of its  acquisition  strategy (see Item 1.  Business).  The
Company  believes it is the market  leader in North  America.  In addition,  the
Company  seeks to continue to increase its market  share  through the use of its
experienced  direct sales force and through the expansion of its product line to
offer  customers a full range of products for their reagent  needs.  The Company
believes it can increase its market  share by  marketing  products  based on its
blood bank automation strategy, solid phase and ReACT technologies.

         The Company  markets and sells its products to its  customers  directly
through 114 sales,  marketing and support  personnel  employed by the Company in
the U.S., Canada,  Germany,  Portugal,  Italy,  Spain,  France,  Belgium and the
Netherlands.  In addition,  the Company  utilizes 16 sales agents in Italy.  The
Company has hired personnel whom the Company considers to be highly  experienced
and respected for their  knowledge of the blood bank  diagnostic  business.  The
Company  believes  that it can more  effectively  market  its  products  through
persons who  specialize  in blood  testing  reagents and related  equipment,  as
opposed to persons who  generally  sell a broader  line of medical  supplies but
without any expertise in blood testing products. To enable the smooth transition
to a systems company the company has conducted  extensive capital sales training
of its  existing  sales  force and has begun the  process  of adding  additional
capital sales representatives to the organization to capitalize on its strategy.
Continuing  technical  support and service is also provided to customers through
the  Company's  Consultation  Laboratory  which was  significantly  strengthened
through its  acquisition  of Gamma in October  1998.  It assists  the  Company's
customers  in  identifying  certain  blood  group  antibodies  which are rare or
difficult to detect.  Immucor also sponsors workshops in the U.S., Europe, Latin
America and Asia to which customers are invited to hear the latest  developments
in the field.

         The  Company  also  markets  its   products   internationally   through
distributors  located  throughout the world.  For the fiscal years ended May 31,
1999,  1998 and 1997, the Company had foreign net sales,  including net domestic
export  sales  to  unaffiliated   customers,   of   approximately   $30,241,000,
$24,101,000,  and  $22,130,000,  respectively,  and these  sales  accounted  for
approximately  51%,  61%,  and 62% of the  Company's  total  net  sales  for the
respective fiscal years. See Note 14 to the Consolidated  Financial  Statements.
Most of the  Company's  foreign  sales  occurred in Europe and Canada  where the
Company maintains subsidiaries.

Suppliers

         The Company obtains raw materials from numerous outside suppliers.  The
Company  is  not   dependent   on  any  single   supplier   except  for  certain
instrumentation  manufacturers  including  Lionheart  Technologies  Inc. for the
ABS2000,  Dynex Technologies Inc. for the DIAS Plus, and Rosys Anthos AG for the
Rosys Plato (see Note 12 to the Consolidated Financial Statements) and the joint
manufacturer of some of the Company's monoclonal  antibody-based  products.  The
Company  believes that its business  relationship  with  suppliers is excellent.
Management  believes  that if the supply of  instrumentation  were  interrupted,
alternate  suppliers could be found,  but the  commencement of supply could take
one to two years.

         Certain  of the  Company's  products  are  derived  from  blood  having
particular or rare combinations of antibodies and antigens, which are found in a
limited number of individuals. The Company to date has not experienced any major
difficulty  in  obtaining  sufficient  quantities  of  such  blood  for  use  in
manufacturing its products,  but there can be no assurance that the Company will
always have available to it a sufficient supply of such blood.

Regulation of Business

         The  manufacture  and  sale  of  blood  banking  products  is a  highly
regulated business and is subject to continuing  compliance with various federal
and state statutes, rules and regulations generally include, licensing,  product
testing,  facilities compliance,  product labeling, and consumer disclosure (see
Industry).  The Company operates under U.S. Government Establishment License No.
886 granted by the FDA in December 1982, U.S. Government  Establishment  License
No.  435,  granted  by the  National  Institutes  of  Health  in 1971  to  Gamma
Biologicals,  Inc.,  and under U.S.  Government  Establishment  License No. 1151
granted by the FDA in May 1992 to Dominion  Biologicals  Limited. An FDA license
is issued for an indefinite period of time, subject to the FDA's right to revoke
the  license.  As part of its overview  responsibility,  the FDA makes plant and
facility  inspections  on an  unannounced  basis.  Further,  a  sample  of  each
production  lot of many of the  Company's  products  must  be  submitted  to and
approved by the FDA prior to its sale or distribution.

         In addition  to its  facilities  license,  the  Company  holds  several
product  licenses to manufacture  blood grouping  reagents.  To obtain a product
license, the Company must submit the product  manufacturing  methods to the FDA,
perform a clinical trial of its product,  and demonstrate to the satisfaction of
the FDA that the product meets certain efficacy and safety standards.  There can
be no  assurance  that any  future  product  licenses  will be  obtained  by the
Company.

         To sell its products in Germany, Immucor GmbH must license its products
with the Paul-Ehrlich-Institute  prior to product introduction.  In addition, an
import license for products purchased outside the European Economic Community is
required.  To date,  Immucor  GmbH has been  able to obtain  licenses  needed to
effectively promote its products in Germany and throughout Europe.

         In North America,  the Company has hired and retained several employees
who are highly experienced in FDA and other regulatory authority compliance, and
the  Company  believes  that its  manufacturing  and  on-going  quality  control
procedures conform to the required federal and state rules and regulations.

Patents, Trademarks and Royalties

         Since 1986,  the U.S.  Patent  Office has issued to Immucor six patents
pertaining to its solid phase technology.

         Immucor's solid phase technology, including patent rights, was acquired
from five  researchers  at the  Community  Blood  Center of Greater  Kansas City
("Blood  Center")  pursuant to an agreement  entered into on March 11, 1983, and
amended in 1985 and 1987. In 1987, one of the researchers  joined the Company as
Director of Research and  Development  to continue to develop new products using
the solid phase  technology.  The agreement  terminates on August 26, 2006,  the
date on which the first patent issued on the technology expires. The Company has
agreed  to pay the Blood  Center  royalties  equal to 4% of the net  sales  from
products  utilizing the solid phase  technology.  For the fiscal years ended May
31,  1999,  1998  and 1997  the  Company  paid the  Blood  Center  royalties  of
approximately $411,100, $389,900, and $368,800 under this agreement. (See - Note
11)

         In May 1994, Gamma applied for United States and international  patents
covering a new antigen/antibody  detection procedure using an affinity adherence
technology (see Products).  The U.S. patent was issued in September 1997.  Gamma
was able to attain the patent rights by entering into a license  agreement  with
Pasteur Sanofi  Diagnostics  ("Sanofi"),  a company with headquarters in France,
for the use and sale of their  microcolumn  test  procedure for the detection of
antibodies  called ReACT.  Under the terms of the agreement the Company will pay
Sanofi  royalties  equal to 12% of the net sales from the ReACT  products in six
countries in Europe..  The agreement  expires on the expiration of the patent of
the  technology.  To date the  Company  has made  insignificant  payments as the
product is in the  initial  stages of its market  launch.  However,  the Company
expects  royalty  payments  to  increase  significantly  as sales of the product
increase  in fiscal  2000.  In addition  Gamma has five  royalty  agreements  on
various  reagent  products with royalties being paid at rates between 2% and 5%.
During  fiscal  1999   approximately   $65,000  was  paid  under  these  royalty
agreements.   See-  Products-   ReACT-TM-  Test  System  and  Item  3.  -  Legal
Proceedings,  regarding  a claim  of  patent  infringement  by the  Company.  An
additional patent application has been submitted covering the ReACT technology.

         Through its development  activities involving its solid phase and ReACT
technology,  the Company has  acquired  expertise  in such  technology  which it
considers  trade  secrets.  While  the  Company  will  continue  to seek  patent
protection  for its  solid  phase  and  ReACT  technology  and new  applications
thereof,  the  Company  believes  that  its  acquired  expertise  and  know-how,
including  the above  mentioned  trade  secrets,  will  provide  more  important
protection from competition.

         The Company has registered the trademark  "Immucor" and several product
names, such as "ABS2000", "ImmuAdd", "Capture", "Capture-P", "MCP", "Capture-R",
"Ready-Screen",  "Ready-ID",  "Capture-CMV" and "I-TRAC".  Dominion  Biologicals
Limited has registered the trademark  "NOVACLONE".  Gamma Biologicals,  Inc. has
registered the trademark  "Gamma" and several product names  including  "ReACT",
"RQC",  "ELU-Kit",   "Quinn",  "EGA-Kit",   "RiSE",  "Tech-Chek",   "PV-Plates",
"SegmentSampler", and "Saber".

         Through  the  acquisition  of the BCA blood  bank  division  of Biopool
International,  Inc., the Company  acquired  several  registered  trademarks but
plans to continue  production  of only one of the products  with the  registered
trademark "RESt".

Competition

         Due to the  Company's  purchase of Gamma and the asset  purchase of the
BCA blood bank division of Biopool  International,  Inc.,  the Company  believes
that  Ortho-Clinical  Diagnostics,  a  Johnson &  Johnson  company,  is its sole
competitor  with  licenses  to  manufacture  a  complete  line of blood  banking
reagents in the United States.  The Company  believes that during fiscal 1999 it
has become the North American market leader in terms of sales.

          Additional  European  competitors  for  blood  bank  products  include
Biotest, a German company; and Diamed, a Swiss company.  Both of these companies
have been established  longer,  Diamed has a larger global market share than the
Company,  and may have greater  financial and other  resources than the Company.
However, the Company believes that it is well positioned to compete favorably in
the business  principally because of the quality and price of its products,  the
sale of  innovative  products  such as  blood  bank  automation,  the  Company's
Capture(R) and ReACT products (see Products), continuing research efforts in the
area of blood bank automation (see Products Under  Development),  the experience
and expertise of its sales  personnel (see Marketing and  Distribution)  and the
expertise of its technical and customer support staff.

Employees

         At July 30, 1999 the Company  and its  subsidiaries  had a total of 385
employees.

         At July 30, 1999,  the Company had 257 full time employees in the U.S.,
of whom 57 were in sales and marketing, 179 were in manufacturing,  research and
distribution, and 21 were in administration.

         At July 30, 1999 in Germany,  Portugal,  Italy, Spain, Canada,  France,
Belgium, and the Netherlands,  the Company had 128 full-time employees,  of whom
57  were  in  sales  and  marketing,  50  were  in  research,  distribution  and
administration and 21 were in manufacturing.

         The Company has experienced a low turnover rate among its technical and
sales staff and none of the Company's  employees are represented by a union. The
Company considers its employee relations to be good.

Item 2.--Properties.

         The  Company  leases  approximately  67,500  square  feet in  Norcross,
Georgia,  a suburb  of  Atlanta,  as its  executive  offices,  laboratories  and
manufacturing  facilities.  Rent  charges for the fiscal year ended May 31, 1999
were $446,900. The term of the lease is for a six-year period ending August 2005
with a right to renew for an additional  five years. In northwest  Houston,  the
Company owns a 41,000 square foot building on a three-acre  tract of land, which
is used  primarily for  manufacturing  and  shipping.  The land and building are
subject to a first lien mortgage.

         In Germany, the Company leases 1,566 square meters near Frankfurt. Rent
expense for the fiscal year ended May 31, 1999,  totaled  $189,000.  The term of
the lease in Germany is through April 2009. In Italy rent expense for the fiscal
year ended May 31, 1999 totaled $107,900 for 805 square meters.  The Company has
four separate lease  agreements for the facility in Italy. The term of the first
lease is through April 2000, the second lease is through October 2000, the third
lease is through September 2002 and the fourth lease is through October 2003. In
the  Netherlands,  the Company  leases 232 square meters of office and warehouse
space near  Amsterdam.  Rent  expense  for the fiscal  year ended May 31,  1999,
totaled $30,400.  In France, the Company leases 60 square meters and the term of
the lease is through  October  2007.  Rent expense for the fiscal year ended May
31, 1999  totaled  $2,500.  In Belgium,  the Company  owns land and a 575 square
meter  building  subject to a first lien mortgage.  In Canada,  the FDA approved
facility is owned by the Company. The Company believes all of its facilities and
lease terms are adequate and suitable for the Company's  current and anticipated
business for the foreseeable future.

Item 3.--Legal Proceedings.

         When the Company  acquired Gamma in October 1998,  Gamma was a party to
existing legal  proceedings  involving  Gamma.  On May 12, 1998,  Gamma received
notice that a claim of patent  infringement  had been filed on that date in U.S.
District Court,  Southern District of Florida,  Miami Division,  by Micro Typing
Systems,  Inc.  and  Stiftung  fur  Diagnostiche   Forschung  (the  Foundation).
Subsequently,  in February 1999 the Company  received notice that a second claim
was filed in the U.S.  District  Court for the  Northern  District  of  Georgia,
against  the  Company  and Gamma for  patent  infringement  on the first  patent
described  above and a second patent  recently  granted to the  Foundation.  The
claim alleges that the recently introduced Gamma ReACT Test System (See Products
- ReACT-TM- Test System")  infringes U.S.  patent No.  5,512,432  granted to the
Foundation  April  30,  1996  and  U.S.  patent  No.  5,863,802  granted  to the
foundation on January 26, 1999. The plaintiffs  seek a preliminary and permanent
injunction against the continued alleged  infringement by Gamma and Immucor,  an
award of treble damages, with interest and costs and reasonable attorney's fees.
Management  believes that the ReACT technology does not infringe any claims made
in either of the Foundation's  patents;  however, an unfavorable outcome in this
action could have a material adverse effect upon the business and the results of
operations  in a given  reporting  period.  Since this matter is in the earliest
stage of proceedings and due to uncertainties involved in litigation, management
cannot predict the likelihood of a particular outcome.

         On January  23,  1998,  a former  employee of Gamma filed a suit in the
District  Court of Harris County,  Texas,  alleging that Gamma breached a verbal
contract to provide  certain  post-employment  benefits.  The  plaintiff  sought
specific performance of the contract or, in the alternative, money damages in an
amount not less than $1,500,000. Management of Gamma denied that it had breached
any  obligations  to the  plaintiff,  and believed that it was unlikely that the
outcome of this case would have a material impact on the financial  condition of
the Company.  A settlement  agreement  for the case was finalized on October 23,
1998 and the case has been dismissed.

         On November  16, 1998 the Company was notified  that Vector  Securities
International,  Inc.  ("Vector")  filed a civil suit against Gamma for breach of
contract in the U.S.  District Court for the Northern District of Illinois under
court file no. 98C 7334. Vector contended that as a result of the acquisition of
Gamma by  Immucor,  Gamma was  liable  to it for an  investment  banking  fee of
$749,000.  On April 30, 1999 the parties reached a settlement  agreement and the
case has been dismissed.

Item 4.--Submission of Matters to a Vote of Security Holders.

         Not applicable.

                                                      PART II

Item 5.--Market for Registrant's Common Equity and Related Stockholder Matters.

         Immucor's  Common Stock trades on The NASDAQ  National Market System of
The NASDAQ Stock Market under the Symbol:  BLUD. The following  table sets forth
the  quarterly  high and low sale  prices of the  Common  Stock  for the  fiscal
periods indicated. These prices represent inter-dealer quotations without retail
markups, markdowns or commissions and may not represent actual transactions.


                                                High                  Low
                                         ----------------     ----------------

Period June 1 through July 30, 1999           $18.875              $11.500


Fiscal Year Ended May 31, 1999
First Quarter                                  $11.188             $  8.000
Second Quarter                                  10.250                7.375
Third Quarter                                   10.000                7.750
Fourth Quarter                                  14.375                7.750


Fiscal Year Ended May 31, 1998
First Quarter                                  $10.875             $  7.125
Second Quarter                                  12.000                7.750
Third Quarter                                   10.625                7.500
Fourth Quarter                                  10.000                7.063


         As of July 30, 1999,  there were 447 holders of record of the Company's
Common Stock. The last reported sales price of the Common Stock on such date was
$15.063.

         Immucor has not declared any cash  dividends with respect to its Common
Stock.  The Company  presently  intends to  continue  to retain all  earnings in
connection with its business.


<PAGE>



Item 6.--Consolidated Selected Financial Data.

                       (All amounts are in thousands, except per share amounts)
<TABLE>
<CAPTION>

                                                                           Year Ended May 31,
                                             ---------------------------------------------------------------------------------
                                                1999 (2)          1998           1997 (1)           1996            1995
                                             ---------------  --------------   --------------  ---------------  --------------
<S>                                                <C>             <C>              <C>              <C>              <C>


Statement of Income Data:
Net sales                                         $59,525          $39,790          $35,653         $30,964          $28,892
Cost of sales                                      27,551           18,168           15,055          12,005           10,865
                                             ---------------  --------------   --------------  ---------------  --------------


Gross profit                                       31,974           21,622           20,598          18,959           18,027
                                             ---------------  --------------   --------------  ---------------  --------------

Operating expenses:
Research and development                            1,294              971              907             998            1,130
Selling, general, and administrative               23,812           16,918           16,647          14,318           12,660
Merger-related expenses                               559                -                -               -                -
                                             ---------------  --------------   --------------  ---------------  --------------

Total operating expenses                           25,665           17,889           17,554          15,316           13,790
                                             ---------------  --------------   --------------  ---------------  --------------


Income from operations                              6,309            3,733            3,044           3,643            4,237
                                             ---------------  --------------   --------------  ---------------  --------------


Other:
Interest income                                       313              789              848             868              805
Interest expense                                   (1,416)            (616)            (486)           (388)            (534)
Other                                                 202              (27)            (264)             53               23
                                             ---------------  --------------   --------------  ---------------  --------------


Total other                                          (901)             146               98             533              294
                                             ---------------  --------------   --------------  ---------------  --------------


Income before income taxes                          5,408            3,879            3,142           4,176            4,531
Income taxes                                        1,847            1,810            1,302           1,403            1,641
                                             ---------------  --------------   --------------  ---------------  --------------


Net income                                       $  3,561         $  2,069         $  1,840        $  2,773         $  2,890
                                             ===============  ==============   ==============  ===============  ==============


Earnings per share:

     Basic                                        $     .47        $    .26         $   .23         $    .35        $     .38
                                             ===============  ==============   ==============  ===============  ==============

     Diluted                                      $     .45        $    .25         $   .22         $    .32        $     .37
                                             ===============  ==============   ==============  ===============  ==============


Weighted average shares outstanding

     Basic                                          7,646            8,095            8,066           7,867            7,695
                                             ===============  ==============   ==============  ===============  ==============

     Diluted                                        7,959            8,443            8,535           8,653            7,809
                                             ===============  ==============   ==============  ===============  ==============


Balance Sheet Data:
Working capital                                   $21,141          $32,948          $31,868         $32,524          $29,101
Total assets                                       99,734           57,544           57,726          47,207           43,979
Long-term debt, less current portion               31,548            8,912           10,666           3,909            5,744
Retained earnings                                  25,499           21,938           19,869          18,029           15,256
Shareholders' equity                               40,053           42,433           41,221          39,345           34,067

<FN>

(1) Includes results of Dominion Biologicals Limited since December 11, 1996.
(2)  Includes  results  of Gamma  Biologicals,  Inc.  since  October  27,  1998,
     Medichim  and  Immunochim  since  March 15,  1999 and BCA,  a  division  of
     Biopool, since April 30, 1999.
</FN>
</TABLE>



<PAGE>


Item 7.--Management's Discussion and Analysis of Financial Condition and Results
 of Operations.

         Any  statements  contained  herein  that  are not  historical  fact are
forward-looking   statements  within  the  meaning  of  the  Private  Securities
Litigation  Reform  Act of  1995,  and  involve  risks  and  uncertainties.  All
forward-looking  statements  included in this document are based on  information
available  to the  Company  on the  date  hereof,  and the  Company  assumes  no
obligation  to update any such  forward-looking  statements.  Further  risks are
detailed in the Company's  filings with the Securities and Exchange  Commission,
including those set forth in this Form 10-K and Quarterly Reports on Form 10-Q.

 (a)     Liquidity and Capital Resources

         Net  cash  provided  by  operating   activities   totaled   $5,985,000,
$3,783,000, and $510,000 for the fiscal years 1999, 1998 and 1997, respectively.
As of May 31, 1999, the Company's cash and cash equivalents balance totaled $2.8
million.

         During  fiscal  1999,  the  Company  experienced  an  increase in trade
accounts  receivable of $9,360,000  over the previous  year  principally  due to
acquisitions  during the year  resulting  in higher sales levels in the U.S. and
Europe.  Accounts  receivable  from a  former  officer  and  director  decreased
$554,000 primarily as a result of this former director repaying loans payable to
the Company.  See Note 5 to the Consolidated  Financial Statements and Item 13 -
Certain Relationships and Related Transactions.

         In fiscal 1998,  the Company  authorized a program to  repurchase up to
10% of its common stock in the open  market.  During  fiscal  1999,  the Company
repurchased  822,800 shares of its common stock for approximately  $7.4 million.
At this time the Company does not plan to repurchase further shares.

         On  September 1, 1998 the Company  acquired  the Canadian  distribution
rights for the Company's complete line of reagents from its Canadian distributor
for a total transaction value of approximately $2 million.

         On October 30, 1998, the Company acquired Gamma Biologicals, Inc. for a
cash tender offer of $5.40 per share and certain  transaction  costs for a total
value of  $27,348,700.  In addition,  as of May 31,  1999,  the Company has made
severance payments related to the acquisition in the amount of $2,387,000.

         On March 15,  1999,  the Company  acquired the  distribution  rights to
market its  products  in France and Belgium  through the  purchase of its former
distributors,  Immunochim s.a.r.l.  (France) and Medichim S.A. (Belgium),  for a
combination of cash and Immucor stock options for a total  transaction  value of
approximately  $1.8  million.  The  purchase  price also  contains an  incentive
earnout (see Note 3 to the Consolidated Financial Statements).

          On May 1, 1999 the Company  purchased  certain assets of the BCA blood
bank division of Biopool International, Inc. for approximately $4.5 million.

         In connection  with the  acquisition  of Gamma in October 1998, and the
subsequent  acquisitions  of Medichim  S.A.,  Immunochim  s.a.r.l.,  and the BCA
division  assets  of  Biopool  International,  Inc.,  the  Company  obtained  an
acquisition  term note of  $20,000,000  maturing in December 2005, an additional
term  loan of  $4,500,000  maturing  in  March  2004,  and a line of  credit  of
$2,000,000  maturing in October 2001. On November 4, 1998,  the Company  entered
into an interest rate swap agreement with an effective date of December 1, 1998,
for a  notional  amount  of  $15,000,000,  also  maturing  December  2005.  This
transaction  effectively converts the acquisition term loan's floating rate to a
fixed rate of 5.33% on the principal  balance of $15,000,000.  On April 30, 1999
the line of credit  for  $2,000,000  was  canceled  and a new line of credit was
executed for  $5,000,000.  These  borrowings,  other than the interest rate swap
notional amount, bear interest rates at LIBOR plus additional  percentage points
based on certain  calculations.  The interest rates have ranged from 6% to 8% on
the  Company  borrowings.  At May  31,  1999,  the  outstanding  balance  of the
acquisition term note was  $19,625,000,  the additional term loan was $4,500,000
and the line of credit was $5,000,000.  The fair value of the interest rate swap
agreement  of  $328,000  at May 31,  1999  is not  recognized  in the  financial
statements.

         In connection with the acquisition of Dominion  Biologicals  Limited in
December 1996, the Company entered into a $4,566,200 long-term revolving line of
credit facility with the Company's  primary U.S. bank maturing December 2001 and
bearing  interest at LIBOR plus .4375%.  At the same time,  the Company  entered
into an interest rate swap agreement with a notional  amount of $2,374,600  also
maturing December 2001. This transaction effectively converts the revolving line
of  credit's  floating  rate  to a  fixed  rate  on  the  principal  balance  of
$2,374,600. The interest rate on the remaining principal of $678,400 is adjusted
every 90 days. The balance of the  acquisition of Dominion was financed from the
issuance to Dominion's  former  shareholders  of subordinated  promissory  notes
totaling  $3,894,800  due December  1999 and from the issuance of warrants  (see
Notes 4 and 6 to the Consolidated Financial Statements).  During fiscal 1999 the
Company repaid  $477,300 under the long-term  revolving line of credit  facility
leaving a remaining principal balance at May 31, 1999 of $3,122,800.

         In March 1995, the Company  refinanced its remaining Deutsche Mark debt
with the  proceeds of a note  payable,  and entered  into an interest  rate swap
agreement  with  a  U.S.  bank  (see  Note  4  to  the  Consolidated   Financial
Statements). The note, which initially matured September 1998, has been extended
to September 2000 while the interest rate swap agreement expired September 1998.
At May 31,  1999,  the  outstanding  balance of the note  payable was  $799,200.
During  fiscal  1999  and  1998,  the  Company  repaid  $603,500  and  $835,500,
respectively.

         The  Company's  Italian  and  Spanish  subsidiaries  had  approximately
$662,000  in  borrowings  under a line of  credit  as of May 31,  1999,  with an
additional $1.9 million available.

         On August 11,  1999,  the Company  signed an amendment to its lease for
the  expansion of the  facilities  in the U.S.  which will provide an additional
13,500  square feet of office and  warehouse  space.  The Company plans to spend
approximately $250,000 related to the expansion. During fiscal 1999, the Company
spent approximately  $750,000 to complete the expansion into an additional 6,000
square feet of laboratory, training facilities and office space and renovate its
Norcross  manufacturing  facility.  Also, during fiscal 1999 the Company entered
into  a  capital  lease  related  to  the  purchase  and  implementation  of  an
enterprise-wide  software  system  with a cost of  $435,400  (see  Note 4 to the
Consolidated Financial Statements).

         Management   believes  that  the   Company's   current  cash  and  cash
equivalents balance, internally generated funds, and amounts available under the
lines of credit should be more than sufficient to support  operations to support
planned  product  introduction  and continued  improvement  and  development  of
products during the next 12 months.  Management also believes  additional credit
lines  would be  available  should  the need  arise  for  capital  improvements,
acquisitions or other corporate purposes.

(b)      Results of Operations

Comparison of Years Ended May 31, 1999 and May 31, 1998

Net Sales

         Net sales  increased from  $39,790,000 in fiscal 1998 to $59,525,000 in
fiscal 1999. Net sales from the operations of companies acquired during the year
accounted for $13,267,000 of the sales increase (Gamma acquired  October 1998 of
$11,425,000,  Medichim and Immunochim acquired March 15, 1999 of $1,359,000, and
BCA, a division of Biopool,  acquired in April 1999 of $483,000). (See Liquidity
and Capital Resources).  The remaining sales increase was caused by higher sales
in the U.S. of the Company's blood bank automation products and reagent products
used with  automation.  The Company's  European  operations  increased  sales by
$4,171,000, of which $2,536,000 was a result of the Company's acquisitions.  The
increase was primarily due to reagents used with blood bank automation.

Gross profit

         As a  percent  of sales  revenue,  the  gross  profit  margin  remained
constant at 54%.  Instrumentation  sales of  approximately  $6,400,000  at lower
gross  profit  margins were offset by  increased  reagent  sales at higher gross
profit margins.

Operating expenses

         When  compared  to the  prior  year,  research  and  development  costs
increased  $323,000  with  $308,000  year-to-date  additional  research  expense
resulting from the acquisition of Gamma (see Liquidity and Capital Resources).

         Selling and  marketing  expenses for the year  increased  $3,357,000 as
compared to last fiscal  year.  Part of the  increase  was due to  acquisitions:
Gamma had $1,391,000 and Medichim and Immunochim had $152,000.  The remainder of
the increase is  primarily  due to the effect of higher  payroll  expense due to
additional  personnel  required  for  the  Company's  instrumentation  strategy,
increased expenses for the launch of the ABS2000, and expansion of the Company's
Spanish operations.

         Distribution expenses increased $1,285,000 when compared to last fiscal
year of which Gamma  accounts for $741,000.  The remaining  increase  relates to
increased shipping activity.

         General  and  administrative  expenses  increased  $1,750,000  over the
previous year, with additional  expenses of $674,000 resulting from the purchase
of Gamma and the  remainder  due to  higher  expenses  as we  expand  operations
worldwide.

         Merger-related  expenses are one-time expenses related to the Gamma and
BCA acquisitions.

Amortization Expense

         Amortization   expense   increased   $503,000  due  to  the   Company's
acquisition of Gamma, BCA, Medichim,  Immunochim,  and the Canadian distribution
rights.



<PAGE>


Interest Income

         Interest  income  decreased  $476,000  for the year  due to lower  cash
balances as compared to last year caused by the Company's stock  repurchases and
acquisitions of Gamma Biologicals,  Inc., Medichim and Immunochim, and BCA which
were  partially  funded by the use of the  Company's  cash.  (See  Liquidity and
Capital Resources).

Interest Expense

         Interest  expense  increased from $616,000 in fiscal 1998 to $1,416,000
in  fiscal  1999 as a result  of the  financing  of the  acquisitions  of Gamma,
Medichim and  Immunochim,  and BCA. The  increase  was  partially  offset by the
Company  reducing its outstanding  principal loan balance in Germany and Canada.
(See Liquidity and Capital Resources).

Other income(expense)

         The  increase in other  income of $229,000 as compared to last year was
caused by reduced foreign currency transaction losses recorded in Europe.

Income Taxes

         As a percent of pretax income, the provision for income taxes decreased
in fiscal  1999 from 47% to 34%.  Lower  taxes have been  provided in Germany as
compared to the prior year as a result of the company's  ongoing  implementation
of tax planning strategies.  Additionally,  the Company reduced its deferred tax
valuation allowance due to the increased viability of anticipated future taxable
income in Italy combined with certain tax planning strategies.

Comparison of Years Ended May 31, 1998 and May 31, 1997

Net Sales

         Net sales  increased from  $35,653,000 in fiscal 1997 to $39,790,000 in
fiscal  1998.  Net sales from the  operations  of Dominion  Biologicals  Limited
acquired  December 1996  accounted for  $2,503,000 of the sales  increase.  (See
Liquidity and Capital  Resources).  The remaining  sales  increase was caused by
higher sales in the U.S. of the  Company's  blood bank  automation  products and
reagent  products  used  with  automation.  The  Company's  European  operations
increased sales in local currencies by 3%; however,  unfavorable  exchange rates
caused a 2% decline when translated into U.S. dollars.

Gross profit

         As a percent of sales revenue, gross profit margin declined from 58% to
54%. This decline was primarily due to the Company's efforts to emphasize longer
term market share growth by focusing  efforts on large  national  accounts which
demand lower product pricing due to increased  purchasing volume,  combined with
higher manufacturing costs which could not be passed on to customers in the form
of higher prices given current competitive market conditions. Other contributing
factors included  unfavorable foreign exchange rates in Europe and U.S. sales of
the DIAS  PLUS and  IMAGN(R)  2000  which  are  sold at lower  margins  than the
Company's proprietary products.

Operating expenses

         Selling,  general and  administrative  expenses increased $335,000 over
the  previous  year.  Dominion  Biologicals  Limited  acquired in December  1996
accounted for $612,000 of increased selling,  general and administrative  costs.
This increase was offset by savings in Europe which are  partially  attributable
to the effect of unfavorable  exchange rates. In the U.S., increases in selling,
general and administrative  expenses over the prior year of $259,000 were caused
primarily by costs related to the Company's instrument programs.


Interest expense

         Interest expense  increased from $486,000 in fiscal 1997 to $616,000 in
fiscal  1998  as a  result  of the  financing  of the  acquisition  of  Dominion
Biologicals  Limited.  The increase was partially offset by the Company reducing
its  outstanding  principal  loan balance in Germany.  See Liquidity and Capital
Resources.

Other income(expense)

         The decrease in other  expense of $236,000 as compared to last year was
caused by reduced foreign currency transaction losses recorded in Europe.


<PAGE>



Income Taxes

         As a percent of pretax income, the provision for income taxes increased
in fiscal  1998 from 41% to 47%,  principally  due to the  earnings  of Dominion
Biologicals Limited being subject to a higher income tax rate in Canada than the
U.S.  tax rate.  In addition,  the  provision  increased  because of the need to
provide for income taxes on increased  profits in Germany,  which are also taxed
at higher rates than income in the U.S.

(c)      Impact of Year 2000

         The Company is aware of the issues that many companies will face as the
year 2000  approaches.  In order to become year 2000 compliant,  the Company has
set up a project team to address the issue and has taken the following steps:

         Impact Assessment - Instances where electronics are used in the Company
and the associated  potential risks have been  identified.  The Company believes
that  non-information  technology systems and its products are not significantly
impacted.  However,  internal business information software is affected and will
require program changes in order to become year 2000 compliant.

         Third Party Impact Assessment - The Company has substantially completed
the  verification  of the readiness of its  significant  suppliers and customers
through  the  distribution  of a  questionnaire.  Although  this  process is not
complete,  based on information available,  the Company has no reason to believe
that any year 2000 problems  encountered  by customers and suppliers will have a
significant effect on the Company's operations.  The Company estimates that this
assessment will be completed by September 1999.

         Project  Plan -  Based  on the  impact  assessment,  the  need  to make
software program changes to the Company's internal business information software
has been  identified.  In Europe,  minor  software  program  changes to existing
systems are being made at a nominal cost making them year 2000 compliant  before
the autumn of 1999. In North America,  since the Company had already  planned to
implement a new enterprise wide internal  business  information  software system
beginning in September  1999, the need to make software  changes to the existing
system are for the most part not  required.  The  Company  has  entered  into an
agreement  with a  major  software  provider  for an  enterprise  wide  business
software system that is year 2000 compliant.  The Company installed the software
in March  1999,  and the  remainder  of the  implementation  plan is to test and
modify by November  1999 and be operating  by December 31, 1999.  The Company is
monitoring progress closely.

         Contingency  Plan - The  risk  the  Company  faces  is a  delay  in the
implementation of the new internal business information software. The Company is
uncertain what the costs  associated with a delay would be or the related impact
on operations,  liquidity and financial condition.  Because of this, the Company
has in  place  a  contingency  plan  and is in the  process  of  making  program
modifications  to the existing  internal  business  software,  which the Company
estimates will be completed by October 1999 at a cost of approximately  $20,000,
which will be expensed as incurred. Other related expenses to date are nominal.

         The Company  believes  that it is diligently  addressing  the year 2000
issue and expects that through its actions year 2000 problems are not reasonably
likely to have a material adverse effect on the Company's operations.  There can
be no assurance that such problems will not arise.

(d) Impact of Recently Issued Accounting Standards

         In  June  1997,   the  FASB  issued   Statement   No.  130,   Reporting
Comprehensive Income.  Statement 130 establishes new standards for the reporting
and display of comprehensive  income and its components in a full set of general
purpose  financial  statements.  These  new  standards  require  that all  items
recognized  as  components  of  comprehensive  income be reported in a financial
statement  that is  displayed  with  the  same  prominence  as  other  financial
statements. Statement 130 is effective for fiscal years beginning after December
15, 1997.  The Company  adopted  Statement 130 for the fiscal year ended May 31,
1999, which had no significant impact on the consolidated financial statements.

         In April 1998, the American  Institute of Certified Public  Accountants
(AICPA)  issued  SOP  98-5,  "Reporting  Costs  of  Start-Up  Activities".  This
statement establishes  accounting and reporting standards for start-up costs and
organization  costs.  This SOP is  effective  for fiscal years  beginning  after
December 15, 1998.  The adoption of SOP 98-5 will not have a significant  impact
on the Company's consolidated financial statements.

         In June 1997,  the FASB issued  Statement  No. 131,  Disclosures  About
Segments of an Enterprise and Related Information. Statement 131 changes the way
public companies report segment  information in annual financial  statements and
also requires those companies to report selected segment  information in interim
financial  reports.  The Company has adopted  Statement  131,  and the effect of
adoption had no impact on the Company's consolidated financial statements.

         In June  1998,  the FASB  issued  Statement  No.  133,  Accounting  for
Derivative  Instruments  and  Hedging  Activities.   Statement  133  establishes
accounting and reporting  standards for derivative  instruments  and for hedging
activities.  Statement 133, as amended by Statement 137, is effective for fiscal
quarters  of fiscal  years  beginning  after  June 15,  2000.  The  adoption  of
Statement 133, as amended by Statement  137, will not have a significant  impact
on the Company's consolidated financial statements.

(e)      Effects of Inflation on Operations

         Since the rate of inflation has slowed  during the past few years,  raw
material prices for the Company's  products have not materially  increased.  The
Company  believes  that any increase in  personnel-related  expenses or material
costs would also be experienced by others in the industry.

Item 7A.--Quantitative and Qualitative Disclosures About Market Risk

         Market Risk. The Company is exposed to various market risks,  including
changes in foreign  currency  exchange  rates and  interest  rates  which  could
adversely  impact its results of operations and financial  condition.  To manage
the volatility  relating to these typical  business  exposures,  the Company may
enter into various derivative  transactions when appropriate.  We do not hold or
issue derivative instruments for trading or other speculative purposes.

         Interest Rate Risk. Interest rate swap agreements are entered into with
the objective of managing  exposure to interest  rate  changes.  We have entered
into interest rate swaps to  effectively  convert a portion of our variable rate
bank debt into fixed rates.  At May 31, 1999 the Company had interest  rate swap
agreements,  maturing in 2001 and 2005,  with an  aggregate  notional  principal
amount of $17.4  million.  The fair value of the interest  rate swap  agreements
represent the estimated receipts or payments that would be made to terminate the
agreements.  At May 31,  1999  the  Company  would  have  received  $606,500  to
terminate the agreements.  See - Note 4 to the Company's  Consolidated Financial
Statements.

         Foreign  Currency.  Operating income being generated outside the United
States  was 54% in 1999,  79% in 1998 and 73% in 1997.  Fluctuations  in foreign
exchange  rates  could  impact  operating   results  when  translations  of  our
subsidiaries'   financial   statements  are  made  in  accordance  with  current
accounting guidelines.  It has not been the Company's practice to actively hedge
its foreign  subsidiaries'  assets or liabilities  denominated in local currency
except for the occasional  purchase of forward exchange  contracts.  Most of the
foreign  currency  exposures  are managed  locally by our  foreign  subsidiaries
through  the hedging of purchase  commitments  with the advance  purchase of the
required non-functional currencies. However, the Company believes that over time
weaknesses  in one  particular  currency are offset by  strengths in others.  In
1999, 1998, and 1997 the Company recorded  foreign  currency  transaction  gains
(losses) of approximately $202,000, $(27,400), and $(263,700), respectively.

Item 8.--Financial Statements and Supplementary Data.

         The  following  consolidated  financial  statements  of the Company are
included under this item:

 -Report of Independent Auditors

 -Consolidated Balance Sheets, May 31, 1999 and 1998

 -Consolidated Statements of Income for the Years Ended May 31, 1999,
1998 and 1997

 -Consolidated Statements of Shareholders' Equity for the Years Ended
May 31, 1999, 1998 and 1997

 -Consolidated Statements of Cash Flows for the Years Ended May 31, 1999,
1998 and 1997

 -Notes to Consolidated Financial Statements

 -Consolidated Financial Statement Schedule



<PAGE>



                         REPORT OF INDEPENDENT AUDITORS


To the Board of Directors and Shareholders
   of Immucor, Inc.:

We have audited the accompanying consolidated balance sheets of Immucor, Inc. as
of May 31,  1999 and 1998 and the  related  consolidated  statements  of income,
shareholders'  equity,  and cash flows for each of the three years in the period
ended May 31, 1999.  Our audits also included the financial  statement  schedule
listed in the Index at Item 14(a).  These financial  statements and schedule are
the responsibility of the Company's management. Our responsibility is to express
an opinion on these financial statements and schedule based on our audits.

We  conducted  our  audits  in  accordance  with  generally   accepted  auditing
standards. Those standards require that we plan and perform the audits to obtain
reasonable assurance about whether the financial statements are free of material
misstatement.  An audit includes examining, on a test basis, evidence supporting
the amounts and disclosures in the financial statements.  An audit also includes
assessing the  accounting  principles  used and  significant  estimates  made by
management,  as well as evaluating the overall financial statement presentation.
We believe that our audits provide a reasonable basis for our opinion.

In our opinion, the consolidated  financial statements referred to above present
fairly,  in all  material  respects,  the  consolidated  financial  position  of
Immucor,  Inc. at May 31,  1999 and 1998,  and the  consolidated  results of its
operations  and its cash flows for each of the three  years in the period  ended
May 31, 1999, in conformity with generally accepted accounting principles. Also,
in our opinion,  the related financial  statement  schedule,  when considered in
relation to the basic financial statements taken as a whole,  presents fairly in
all material respects the information set forth therein.

                                                     Ernst & Young LLP

Atlanta, Georgia
July 21, 1999,  except  for  paragraph  7 of Note 4 as to which
          the date is August  24,  1999 and
          paragraph  5 of Note 5 as to  which
          the date is August 9, 1999
<PAGE>

IMMUCOR, INC. AND SUBSIDIARIES

CONSOLIDATED BALANCE SHEETS

<TABLE>
<CAPTION>


                                                                                                        May 31,
                                                                                       ------------------------------------------
ASSETS                                                                                        1999                  1998
<S>                                                                                           <C>                    <C>

CURRENT ASSETS:
   Cash and cash equivalents                                                                   $ 2,793,592           $15,816,217
   Accounts receivable, trade (less allowance for doubtful accounts of  $804,470 in
     1999 and $502,372 in 1998)                                                                 21,573,846            12,214,270
   Accounts receivable from former officer and director                                            140,946               695,430
   Inventories                                                                                  16,065,190             8,462,850
   Income tax receivable                                                                           553,451                95,166
   Deferred income taxes                                                                           907,530               370,029
   Prepaid expenses and other                                                                    1,587,817               447,661
                                                                                       --------------------  --------------------

     Total current assets                                                                       43,622,372            38,101,623

LONG-TERM INVESTMENT - At cost                                                                   1,000,000             1,000,000

PROPERTY, PLANT AND EQUIPMENT - Net                                                             15,126,162             6,018,792

DEFERRED INCOME TAXES                                                                            1,108,279                     -

OTHER ASSETS - Net                                                                               2,934,409               801,779

DEFERRED LICENSING COSTS - Net                                                                   2,307,837                     -

EXCESS OF COST OVER NET TANGIBLE ASSETS ACQUIRED - Net                                          33,634,458            11,622,082
                                                                                       --------------------  --------------------

                                                                                               $99,733,517           $57,544,276
                                                                                       ====================  ====================


</TABLE>











See notes to consolidated financial statements.


<PAGE>

IMMUCOR, INC. AND SUBSIDIARIES

CONSOLIDATED BALANCE SHEETS
(continued)

<TABLE>
<CAPTION>


                                                                                                        May 31,
                                                                                       -------------------------------------------
LIABILITIES AND SHAREHOLDERS' EQUITY                                                           1999                  1998
<S>                                                                                           <C>                    <C>
CURRENT LIABILITIES:
   Current portion of borrowings under bank line of credit agreements                        $  1,619,312           $    359,325
   Current portion of long-term debt                                                            5,000,062                      -
   Note payable to related party                                                                1,637,495                      -
   Current portion of capital lease obligations                                                   194,476                      -
   Accounts payable                                                                            10,039,489              3,069,973
   Income taxes payable                                                                            27,739                359,598
   Accrued salaries and wages                                                                   1,125,216                862,550
   Deferred income taxes                                                                          118,280                      -
   Other accrued liabilities                                                                    2,719,496                501,739
                                                                                       ---------------------  --------------------

     Total current liabilities                                                                 22,481,565              5,153,185

Borrowings under bank line of credit agreements                                                 8,052,917                      -
Long-term debt                                                                                 22,694,938              7,255,126
Note payable to related party                                                                           -              1,656,601
Capital lease obligations                                                                         800,117                      -

Deferred income taxes                                                                           3,024,550              1,046,814

Other liabilities                                                                               2,626,763                      -

SHAREHOLDERS' EQUITY:
   Common stock - authorized 30,000,000 shares, $.10 par value; issued and
     outstanding 7,488,411 in 1999 and 8,078,811 in 1998                                          748,841                807,881
   Additional paid-in capital                                                                  16,945,885             22,079,468
   Retained earnings                                                                           25,498,721             21,937,697
   Accumulated other comprehensive loss                                                        (3,140,780)            (2,392,496)
                                                                                       ---------------------  --------------------


     Total shareholders' equity                                                                40,052,667             42,432,550
                                                                                       ---------------------  --------------------


                                                                                              $99,733,517            $57,544,276
                                                                                       =====================  ====================


</TABLE>



See notes to consolidated financial statements.

<PAGE>

IMMUCOR, INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF INCOME


<TABLE>
<CAPTION>

                                                                                        Year Ended May 31,
                                                                 -----------------------------------------------------------------
                                                                        1999                  1998                   1997
<S>                                                                       <C>                  <C>                      <C>

NET SALES                                                               $59,524,539           $39,790,434           $35,653,617

COST OF SALES                                                            27,550,548            18,167,840            15,055,254
                                                                 --------------------  --------------------  ---------------------


GROSS PROFIT                                                             31,973,991            21,622,594            20,598,363

OPERATING EXPENSES:
   Research and development                                               1,293,576               970,924               907,141
   Selling and marketing                                                 10,612,516             7,255,579             6,727,431
   Distribution                                                           3,648,456             2,363,293             2,434,073
   General and administrative                                             8,460,525             6,710,838             7,035,975
   Merger-related expenses                                                  558,973                     -                     -
   Amortization expense                                                   1,091,278               588,555               449,982
                                                                 --------------------  --------------------  ---------------------

                                                                         25,665,324            17,889,189            17,554,602
                                                                 --------------------  --------------------  ---------------------


INCOME FROM OPERATIONS                                                    6,308,667             3,733,405             3,043,761

OTHER:
   Interest income                                                          313,219               788,870               847,916
   Interest expense                                                      (1,416,179)             (615,705)             (485,799)
   Other                                                                    202,093               (27,381)             (263,674)
                                                                 --------------------  --------------------  ---------------------

                                                                           (900,867)              145,784                98,443
                                                                 --------------------  --------------------  ---------------------


INCOME BEFORE INCOME TAXES                                                5,407,800             3,879,189             3,142,204

INCOME TAXES                                                              1,846,776             1,810,416             1,302,290
                                                                 --------------------  --------------------  ---------------------


NET INCOME                                                              $ 3,561,024           $ 2,068,773           $ 1,839,914
                                                                 ====================  ====================  =====================


INCOME PER SHARE

    Basic
                                                                 $           .47       $           .26       $           .23
                                                                 ====================  ====================  ====================

    Diluted

                                                                 $           .45       $           .25       $           .22
                                                                ====================  ====================  =====================




</TABLE>










See notes to consolidated financial statements.



<PAGE>


IMMUCOR, INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY
<TABLE>
<CAPTION>

                                                                                                     Accumulated
                                                                   Additional                           Other              Total
                                          Common Stock               Paid-In        Retained        Comprehensive      Shareholders'
                                  -----------------------------
                                     Shares          Amount          Capital        Earnings             Loss             Equity
                                  -------------   -------------   --------------  --------------   -----------------  --------------
<S>                                    <C>            <C>              <C>             <C>               <C>              <C>

BALANCE, JUNE 1, 1996                 8,054,380   $  805,438       $ 21,485,849    $ 18,029,010     $   (975,047)      $ 39,345,250


Exercise of stock options                24,357        2,435            114,217                                             116,652
Issuance of warrants                                                    800,000                                             800,000
Tax benefits related to stock options                                   102,864                                             102,864
Comprehensive income:
   Foreign currency translation
     adjustment                                                                                         (983,812)          (983,812)
   Net income                                                                         1,839,914                           1,839,914
                                                                                   --------------   -----------------  -------------
Total comprehensive income                                                            1,839,914         (983,812)           856,102
                                   -------------  -------------   --------------  --------------   -----------------  --------------

BALANCE, MAY 31, 1997               8,078,737        807,873         22,502,930      19,868,924       (1,958,859)        41,220,868

Exercise of stock options             119,774         11,978            602,419                                             614,397
Tax benefits related to stock options                                   177,551                                             177,551
Exchange of stock for cancellation of
   non-compete agreement              (16,500)       (1,650)          (336,369)                                           (338,019)
Stock repurchase                     (103,200)      (10,320)          (867,063)                                           (877,383)
Comprehensive income:
   Foreign currency translation
     adjustment                                                                                        (433,637)          (433,637)
   Net income                                                                         2,068,773                           2,068,773
                                                                                  --------------   -----------------  --------------
Total comprehensive income                                                            2,068,773         (433,637)         1,635,136
                                   -------------  -------------   --------------  --------------   -----------------  --------------

BALANCE, MAY 31, 1998                8,078,811        807,881        22,079,468      21,937,697       (2,392,496)        42,432,550

Exercise of stock options and warrants 232,400         23,240         1,661,232                                           1,684,472
Tax benefits related to stock options                                   188,855                                             188,855
Issuance of warrants                                                    310,000                                             310,000
Stock repurchase                      (822,800)       (82,280)       (7,293,670)                                         (7,375,950)
Comprehensive income:
   Foreign currency translation
     adjustment                                                                                         (748,284)          (748,284)
   Net income                                                                         3,561,024                           3,561,024
                                    -------------   -------------   --------------
                                                                                   --------------   -----------------  -------------
Total comprehensive income                                                            3,561,024         (748,284)         2,812,740
                                                                                   --------------   -----------------  -------------

BALANCE, MAY 31, 1999                 7,488,411      $ 748,841      $16,945,885     $25,498,721      $(3,140,780)       $40,052,667

                                  =============   =============   ==============  ==============   =================  ==============

</TABLE>

See notes to consolidated financial statements.
<PAGE>
IMMUCOR, INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF CASH FLOWS

<TABLE>
<CAPTION>


                                                                                       Year Ended May 31,
                                                                      -----------------------------------------------------
                                                                           1999               1998              1997
<S>                                                                         <C>               <C>                 <C>

OPERATING ACTIVITIES:
   Net income                                                             $3,561,024        $2,068,773         $1,839,914
   Adjustments to reconcile net income to net cash provided by
     operating activities:
     Depreciation and amortization of property and equipment               2,215,848         1,392,534          1,198,699
     Amortization of other assets and excess of cost over net
       tangible assets acquired                                            1,091,278           588,555            449,982
     Deferred tax provision                                                  225,045           481,340            276,002
     Changes in assets and liabilities:
       Accounts receivable, trade                                         (2,382,232)       (1,147,751)        (1,347,699)
       Accounts receivable from former officer and director                  554,484           913,570         (1,609,000)
       Income taxes                                                          (34,608)           88,433            442,315
       Inventories                                                        (2,749,627)         (800,086)        (1,241,278)
       Other current assets                                                 (767,083)          146,934             31,559
       Accounts payable                                                    2,383,200           (66,145)           343,539
       Other current liabilities                                           1,887,806           117,154            126,101
                                                                      ----------------  -----------------  ----------------

         Total adjustments                                                 2,424,111         1,714,538         (1,329,780)

                                                                      ----------------  -----------------  ----------------

Cash provided by operating activities                                      5,985,135         3,783,311            510,134

INVESTING ACTIVITIES:
   Purchases of / deposits on property and equipment                      (2,993,638)       (1,506,005)        (2,930,330)
   Cash paid for acquisition, net of cash acquired                       (32,571,040)                -         (4,366,734)
   Acquisition-related severance                                          (2,387,449)                -                  -
   Increase in other assets                                               (3,280,765)          (35,014)          (481,715)

                                                                      ----------------  -----------------  ----------------

Cash used in investing activities                                       $(41,232,892)      $(1,541,019)       $(7,778,779)


</TABLE>






See notes to consolidated financial statements.

<PAGE>


IMMUCOR, INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF CASH FLOWS
(continued)

<TABLE>
<CAPTION>


                                                                                         Year Ended May 31,
                                                                    -------------------------------------------------------------
                                                                           1999                 1998                 1997
<S>                                                                         <C>                 <C>                   <C>

FINANCING ACTIVITIES:
   Borrowings (repayments) under line of credit agreements              $  5,379,103          $   (86,363)        $    (57,367)
   Proceeds from issuance of long term debt and capital lease             24,566,514                    -            4,228,163
     obligations
   Repayment of long-term debt and capital lease obligations              (1,737,409)          (1,246,185)          (1,300,293)
   Exercise of stock options                                               1,684,472              614,397              116,652
   Stock repurchases                                                      (7,375,950)            (877,383)                   -
                                                                    -------------------  -------------------  -------------------

Cash provided by (used in) financing activities                           22,516,730           (1,595,534)           2,987,155

EFFECT OF EXCHANGE RATE CHANGES ON CASH                                     (291,598)            (548,775)            (533,698)

                                                                    -------------------  -------------------  -------------------

INCREASE/(DECREASE) IN CASH
  AND CASH EQUIVALENTS                                                   (13,022,625)              97,983           (4,815,188)

CASH AND CASH EQUIVALENTS
  AT BEGINNING OF YEAR                                                    15,816,217           15,718,234           20,533,422
                                                                    -------------------  -------------------  -------------------


CASH AND CASH EQUIVALENTS
  AT END OF YEAR                                                          $2,793,592          $15,816,217          $15,718,234
                                                                    ===================  ===================  ===================


Noncash investing and financing activities:
  Exchange of stock for cancellation of non-compete agreement          $           -       $     338,019       $             -
  Transfer of equipment deposit to property and equipment                          -              562,361                    -
  Capital lease obligations                                                  435,400                    -                    -

  Fair value of assets acquired                                           25,463,127                    -            2,234,241
  Cost in excess of assets acquired                                       23,207,232                    -            8,119,926
  Liabilities assumed                                                    (15,789,319)                   -             (959,270)
  Notes and warrants / options issued for assets acquired                   (310,000)                   -           (5,028,163)
                                                                    ===================  ===================  ===================
  Net cash paid for acquisition, net of cash acquired                  $  32,571,040       $            -      $     4,366,734

                                                                    ===================  ===================  ===================

CASH PAID DURING THE YEAR FOR:
   Interest                                                            $   1,270,147       $     662,185       $      325,686
   Income taxes                                                            1,459,500           1,143,802              596,492



</TABLE>




See notes to consolidated financial statements.


<PAGE>


IMMUCOR, INC. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

1.   NATURE OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

     Nature of Business - The Company's  principal  business  activities are the
     development,  manufacture and marketing of immunological diagnostic medical
     products. The Company operates facilities in North America and Europe.

     Consolidation  Policy - The consolidated  financial  statements include the
     accounts of the Company and its wholly owned subsidiaries.  All significant
     intercompany   balances   and   transactions   have  been   eliminated   in
     consolidation.

     Use of Estimates - The  preparation  of financial  statements in conformity
     with generally accepted  accounting  principles requires management to make
     estimates and assumptions that affect the amounts reported in the financial
     statements and accompanying  notes.  Actual results could differ from those
     estimates.

     Reclassifications  - Certain  prior  year  balances  have been reclassified
     to  conform  with the 1998 and 1999 presentation.

     Concentration  of Credit Risk - At May 31, 1999 the  Company's  entire cash
     balance of  $2,793,592  was on deposit  with high  quality  U.S.  financial
     institutions.  At May 31, 1998  approximately  $2,467,000  of the Company's
     cash balance was on deposit with high quality U.S.  financial  institutions
     and  $11,478,000  was  invested  in "AAA" rated  municipal  bonds and money
     market funds.

     The Company  obtains raw materials  from numerous  outside  suppliers.  The
     Company  is not  dependent  on  any  single  supplier  other  than  certain
     instrumentation  manufacturers  (see Note 12) and the joint manufacturer of
     some of the  Company's  monoclonal  antibody-based  products.  The  Company
     believes that its business relationship with suppliers is excellent.

     Certain of the Company's  products are derived from blood having particular
     or rare  combinations  of  antibodies  and  antigens  which  are found in a
     limited number of individuals.  The Company to date has not experienced any
     major difficulty in obtaining  sufficient  quantities of such blood for use
     in  manufacturing  its  products,  but there can be no  assurance  that the
     Company will always have available to it a sufficient supply of such blood.

     The Company generally does not require collateral from its customers.

     Cash and  Cash  Equivalents  - The  Company  considers  all  highly  liquid
     investments  with an  original  maturity  of  three  months  or  less  when
     purchased to be cash and cash equivalents.

     Management determines the appropriate  classification of debt securities at
     the time of purchase and reevaluates such designation at each balance sheet
     date.  Available  for sale  securities  are  carried  at fair  value,  with
     unrealized   gains  and  losses   reported  in  a  separate   component  of
     stockholders' equity.  Realized gains and losses are included in investment
     income and are determined on a first-in, first-out basis.

     At  May  31,  1999  and  1998,   the  Company  held  $0  and   $11,478,000,
     respectively,  in municipal  bonds,  overnight  Eurodollar  investments and
     money market funds.  All investments  were classified as available for sale
     as of May 31, 1998. The carrying amounts reported in the balance sheets for
     cash and cash equivalents approximate their fair values.

     Inventories  - Inventories  are stated at the lower of first-in,  first-out
     cost or market. Cost includes material, labor and manufacturing overhead.

     Long-Term Investment - The long-term investment, representing a 3.4% Common
     Stock investment in Lionheart  Technologies,  Inc., acquired in April 1992,
     is accounted for using the cost method of accounting.  Bio-Tek Instruments,
     Inc. (see Note 12), is a wholly owned subsidiary of Lionheart Technologies,
     Inc.

     Property, Plant and Equipment - Property, plant and equipment are stated at
     cost less  accumulated  depreciation.  Depreciation  is computed  using the
     straight-line method over the estimated lives of the related assets ranging
     from three to 30 years.

     Interest Rate Swap - The Company uses interest rate swaps to hedge interest
     rate risk associated with its borrowings.  Any differences paid or received
     on interest rate swap  agreements are recognized as adjustments to interest
     expense  over  the  life of each  swap,  thereby  adjusting  the  effective
     interest rate on the  underlying  obligation.  The Company has  established
     strict  counterparty  credit  guidelines and only enters into  transactions
     with financial institutions of investment grade or better. As a result, the
     Company estimates the risk of counterparty default to be minimal.

     Fair Value of Financial  Instruments - The carrying amounts reported in the
     consolidated  balance  sheets  for  cash  and  cash  equivalents,  accounts
     receivable,  long-term  investment and accounts payable  approximate  their
     fair values.  The fair values of the Company's  long-term debt  approximate
     the reported  amounts in the  accompanying  consolidated  balance sheets as
     their interest rates approximate the May 31, 1999 and 1998 market rates for
     similar debt instruments.

     Intangible Assets

     Deferred  Licensing Costs - Deferred  licensing costs primarily  consist of
     distribution  rights for the Company's  complete line of reagents purchased
     from its Canadian distributor,  Immucor Canada, Inc., on September 1, 1998,
     which are being  amortized using the  straight-line  method over ten years.
     The  remaining  balance is  attributed  to  license  fees  acquired  in the
     purchase  of Gamma  Biologicals,  Inc.  Once a product  is  developed,  the
     related license fee is amortized over the term of the respective agreement,
     generally  five  years.   Accumulated   amortization  related  to  deferred
     licensing costs at May 31, 1999 and 1998 was $159,400 and $0, respectively.

     Excess of Cost Over Net  Assets  Acquired  - Excess of cost over net assets
     acquired  comprises  the cost of purchased  businesses  in excess of values
     assigned to net tangible assets received,  and is being amortized using the
     straight-line method over 20 to 30 years.  Accumulated  amortization at May
     31, 1999 and 1998 was $2,937,600 and $2,214,000, respectively.

     The Company  evaluates  long-lived  assets for  impairment  when events and
     circumstances  indicate  that the assets  might be impaired  and records an
     impairment loss if the undiscounted cash flows estimated to be generated by
     those  assets  are less  than the  carrying  amount  of those  assets.  The
     impairment  loss  recognized  is  equal  to  the  difference   between  the
     discounted  cash flows and the carrying  amount of the assets.  The Company
     believes that the carrying value of recorded intangibles is not impaired.

     Foreign  Currency   Translation  -  The  financial  statements  of  foreign
     subsidiaries have been translated into U.S. dollars in accordance with FASB
     Statement No. 52, Foreign Currency Translation.  All balance sheet accounts
     have been  translated  using the  exchange  rates in effect at the  balance
     sheet  dates.  Income  statement  amounts  have been  translated  using the
     average  exchange rates for each year. The gains and losses  resulting from
     the  changes  in  exchange  rates  from  year to year  have  been  reported
     separately as a component of  comprehensive  income.  The effect of foreign
     currency transaction gains and losses has been recorded in the accompanying
     statements of income.

     Revenue  Recognition - Revenue from the sale of the  Company's  reagents is
     recognized  upon  shipment,  and  revenue  from the  sale of the  Company's
     medical  instruments  is  recognized  based  on the  terms  of the  related
     agreement  (i.e.  F.O.B.   shipping  point  or  installation  and  customer
     acceptance).

     Stock Based  Compensation  - The Company  grants stock  options for a fixed
     number of shares to  employees  with an  exercise  price  equal to the fair
     value of the  shares at the date of the grant.  The  Company  accounts  for
     stock option grants in accordance  with APB Opinion No. 25,  Accounting for
     Stock Issued to Employees,  and accordingly does not recognize compensation
     expense for the stock option grants. As required by FASB Statement No. 123,
     Accounting for Stock-Based Compensation,  the Company presents supplemental
     information disclosing pro forma net income and net income per common share
     as if the  Company had  recognized  compensation  expense on stock  options
     granted subsequent to December 31, 1994 under the fair value method of that
     statement (see Note 7 of Notes to Consolidated Financial Statements).

     Earnings per Share - In 1997, the FASB issued  Statement No. 128,  Earnings
     per Share, changing the calculation and presentation of earnings per share.
     All earnings per share  amounts for all periods  have been  presented,  and
     where appropriate, restated to conform to the Statement 128 requirements.

     Impact of Recently  Issued  Accounting  Standards - In June 1997,  the FASB
     issued Statement No. 130, Reporting Comprehensive Income, which establishes
     new standards for the reporting and display of comprehensive income and its
     components  in a full set of  general  purpose  financial  statements.  The
     Company adopted Statement 130 for the fiscal year ended May 31, 1999, which
     had no significant impact on the consolidated financial statements.


     In June 1997, the FASB issued Statement No. 131, Disclosures About Segments
     of an  Enterprise  and Related  Information.  Statement 131 changes the way
     public companies report segment information in annual financial  statements
     and also requires those companies to report selected segment information in
     interim financial  reports.  The Company has adopted Statement 131, and the
     effect of adoption had no impact on the  Company's  consolidated  financial
     statements.


     In June 1998, the FASB issued Statement No. 133,  Accounting for Derivative
     Instruments and Hedging  Activities.  Statement 133 establishes  accounting
     and  reporting  standards  for  derivative   instruments  and  for  hedging
     activities.  Statement 133 is effective for fiscal quarters of fiscal years
     beginning after June 15, 2000. The adoption of Statement 133, as amended by
     Statement  137,  is not  expected  to  have  a  significant  impact  on the
     Company's consolidated financial statements.

2.   BALANCE SHEET DETAIL

                                                          May 31,
                                            -----------------------------------
                                                  1999               1998
    Inventories:

    Raw materials and supplies                $   3,856,309      $   2,668,444
    Work in process                                 967,889            762,475
    Finished goods and
       goods purchased for resale                11,240,992          5,031,931
                                            ----------------   ----------------

                                              $  16,065,190      $   8,462,850
                                            ================   ================

    Property, Plant and Equipment:

    Land                                      $     351,111      $      44,612
    Buildings and improvements                    6,016,144            544,726
    Leasehold improvements                          749,738            926,894
    Furniture and fixtures                        1,407,133            873,447
    Machinery and equipment                      11,671,032          8,116,087
                                            ----------------   ----------------

                                                 20,195,158         10,505,766
    Less accumulated depreciation                (5,068,996)        (4,486,974)
                                            ----------------   ----------------


    Property and equipment - net               $ 15,126,162      $   6,018,792
                                            ================   ================

3.    ACQUISITIONS

     Gamma Biologicals, Inc.

     Pursuant to a definitive  merger  agreement  dated  September 21, 1998, the
     Company,   through   a  newly   formed   subsidiary   ("Gamma   Acquisition
     Corporation"),  acquired  on  October  27,  1998  94.27% of the  issued and
     outstanding  shares  of Gamma  Biologicals,  Inc.  ("Gamma").  The  Company
     purchased the shares from Gamma  shareholders  ("Shareholders")  for a cash
     tender  offer  of  $5.40  per  share  for  a  total  transaction  value  of
     $24,831,841  plus  acquisition  costs of  $2,516,875  for an  aggregate  of
     $27,348,716 ("Purchase Price"),  subject to certain adjustments.  According
     to the depository for the offer, 4,361,110 shares were tendered pursuant to
     the offer and Immucor  purchased all shares  tendered.  On October 30, 1998
     all remaining shares were acquired by merging Gamma Acquisition Corporation
     with and into Gamma which became a majority owned subsidiary of Immucor. As
     a result of the merger,  the 5.73% of the shares that had not been tendered
     were cancelled and converted into a right to receive $5.40 per share. As of
     May 31, 1999 Immucor had purchased or satisfied its obligation to pay $5.40
     per share with  respect to a total of  4,598,489  (99.4%) of the issued and
     outstanding shares of Gamma. The total transaction value of $24,831,841 was
     satisfied  with  $5,000,000  paid  in  cash  and  $19,831,841  funded  by a
     $20,000,000 loan from the Company's  primary U.S. bank to Gamma Acquisition
     Corporation.  Included  in  the  liabilities  assumed  was an  accrual  for
     severance payments of $2,474,000 to Gamma employees of which $2,387,000 was
     paid prior to May 31, 1999.

     Located in Houston,  Texas,  Gamma manufactures and sells a wide variety of
     in-vitro  diagnostic  reagents  to  blood  donation  centers,   transfusion
     departments of hospitals,  medical  laboratories and research  institutions
     through a direct sales force and distributor network. The Company accounted
     for the transaction as a purchase business combination.  The results of the
     operations  of  Gamma  since  October  27,  1998 are  included  in the 1999
     Consolidated  Statement  of  Income.  The  excess of costs  over net assets
     acquired,  including  goodwill and customer lists, is being amortized using
     the straight-line  method over the related assets' useful life ranging from
     20 to 30 years.

     The preliminary  purchase price allocation,  which is subject to adjustment
     when certain appraisals are completed, is as follows:

     Current assets                                               $  9,832,812
     Property, plant and equipment, net                              7,535,909
     Other assets                                                    3,236,819
     Excess of costs over net assets acquired                       17,555,799
     Less:  Liabilities assumed                                    (10,812,623)
                                                               ----------------

                                                                   $27,348,716
                                                               ================

     Medichim, S.A. and Immunochim, s.a.r.l.

     On March 15, 1999, the Company, through a newly formed subsidiary ("Immucor
     Acquisitions  Inc.,  S.A."),  acquired the available issued and outstanding
     shares of  Immunochim  s.a.r.l.  (France)  ("Immunochim)  and Medichim S.A.
     (Belgium)  ("Medichim")  for a cash  payment  of  $990,000,  Company  stock
     options valued at $310,000,  acquisition costs of $105,719 and an incentive
     earnout of up to  $501,000,  which is earned over the course of three years
     from the  acquisition  date based on  attaining  certain  operating  profit
     goals,  as  defined.   Amounts  earned,   if  any,  will  be  reflected  as
     compensation  expense in the Statement of Income.  In conjunction  with the
     acquisition,  a non-compete agreement and intellectual property rights were
     purchased for $100,000 and $257,148,  respectively.  Such amounts are being
     amortized  over the terms of the related  agreements  and are classified as
     other assets.

     The acquisition was accounted for as a purchase business  combination.  The
     results of the operations of Medichim and  Immunochim  since March 15, 1999
     are included in the 1999 Consolidated  Statement of Income. Excess of costs
     over net assets acquired is being amortized using the straight-line  method
     over 25 years.

     The purchase price allocation subject to certain adjustments is as follows:


     Fair value of assets acquired                                $  3,695,751
     Excess of costs over net assets acquired                        2,738,316
     Less:  Liabilities assumed                                     (4,671,200)
                                                                ---------------

                                                                  $ 1,762,867
                                                                ===============


     BCA

     On April 30, 1999,  the Company  acquired  certain  assets of the BCA blood
     bank division of Biopool  International,  Inc. ("BCA") for a total purchase
     price of  approximately  $4.5  million.  The  purchase  price is subject to
     adjustments  for  accounts  receivable  acquired  by the  Company  but  not
     collected by October 30, 1999.

     The acquisition was accounted for as a purchase business  combination.  The
     results of the  operations  of BCA since April 30, 1999 are included in the
     1999  Consolidated  Statement  of  Income.  Excess of costs over net assets
     acquired, is being amortized using the straight-line method over 20 years.

     The preliminary purchase price allocation,  which is subject to adjustments
     for accounts receivable, is as follows:


     Fair value of assets acquired                                 $ 1,851,000
     Excess of costs over net assets acquired                        2,913,117
     Less:  Liabilities assumed                                       (305,496)
                                                                ---------------

                                                                   $ 4,458,621
                                                                ===============


     The pro forma  unaudited  results of operations  for the year ended May 31,
     1999 and May 31, 1998, assuming  consummation of all of the above purchases
     as of June 1, 1997,  including  financing  from the proceeds of a bank loan
     and ignoring any cost-saving initiatives are presented below:

                                      Year Ended                  Year Ended
                                     May 31, 1999                May 31, 1998
                                  --------------------      -------------------

     Net sales                      $75,214,000                 $69,326,000
     Net income                       2,484,000                   2,857,000

     Net income per common share:
          Basic                           .32                         .35
          Diluted                         .31                         .34




<PAGE>


4.   BANK LINE OF CREDIT AGREEMENTS, DEBT AND CAPITAL LEASE OBLIGATIONS

     Bank Line of Credit Agreements and Long-term Debt

     The  Company's  Italian   subsidiary  has  $1,605,000  in  line  of  credit
     agreements  denominated  in Lira with three  Italian and one  Spanish  bank
     bearing interest between 8.5% and 14.5%. The Company's  Spanish  subsidiary
     has an  additional  $1,000,000  line of  credit  agreement  denominated  in
     Pesetas with a Spanish bank bearing  interest at 8.5%.  This line of credit
     is  guaranteed  by a letter of credit in the amount of $1 million  with the
     Company's  primary U.S.  bank.  Outstanding  borrowings  were  $662,000 and
     $268,000  under these lines at May 31,  1999 and 1998,  respectively.  Such
     lines mature in fiscal 2000 and are  guaranteed by the Company.  At May 31,
     1999,  the  Company  had  $1,943,000  available  under these line of credit
     agreements.

     In  connection  with the  acquisition  of Dominion  Biologicals  Limited in
     December 1996, the Company  entered into a $4,566,200  long-term  revolving
     line of credit  facility  with the  Company's  primary U.S.  bank  maturing
     December  2001 and  bearing  interest  at LIBOR plus  .4375%.  The  Company
     simultaneously entered into an interest rate swap agreement with a notional
     amount  of  $2,374,600,  also  maturing  December  2001.  This  transaction
     effectively  converts  the  revolver's  floating  rate to a  fixed  rate of
     6.6375%  on the  principal  balance  of  $2,374,600.  At May  31, 1999, the
     outstanding  balance of the line of credit  facility  was  $3,122,800.  The
     interest rate on the remaining  principal balance of $678,400 is LIBOR plus
     .4375%,  which was 5.3125% at May 31, 1999,  and is adjusted every 90 days.
     The  Company  also  issued  subordinated  promissory  notes  to the  former
     shareholders  of  Dominion  totaling  $4,228,200,  bearing  interest  at 6%
     payable  semiannually  with principal due in December 1999. The outstanding
     balance of the subordinated  promissory notes was $3,894,800 and $3,941,200
     at May 31, 1999 and 1998, respectively (including $1,637,500 and $1,656,600
     at May 31, 1999 and 1998,  respectively owed to a related party).  The fair
     value of the interest rate swap agreement is $278,500 at May 31, 1999.

     In March 1995, the Company  refinanced its Deutsche Mark  denominated  debt
     through the issuance of a note payable to the  Company's  primary U.S. bank
     in Deutsche  Marks,  which  initially  matured  September 1998 and has been
     extended to September  2000 with interest of LIBOR plus .375%.  At the same
     time,  the Company  entered into an interest rate swap  agreement  with the
     bank which expired  September 1998,  which  effectively  converted the note
     payable's floating rate to a fixed rate of 6.915% per annum up to September
     1998. At May 31, 1999 and 1998, the outstanding balance of the note payable
     was $799,200 and $1,402,700,  respectively,  which 1998 amount corresponded
     to the notional amount of the interest rate swap agreement.

     In  connection  with the  acquisition  of Gamma in  October  1998,  and the
     subsequent  acquisitions  of  Medichim,  Immunochim  and BCA,  the  Company
     entered  into a  bank  loan  agreement  (the  "Loan  Agreement")  with  the
     Company's   primary  U.S.  bank  including  an  acquisition  term  note  of
     $20,000,000   maturing  in  December  2005,  an  additional  term  loan  of
     $4,500,000  maturing  in March  2004  and a line of  credit  of  $2,000,000
     maturing in October 2001. On November 4, 1998, the Company  entered into an
     interest rate swap  agreement  with an effective  date of December 1, 1998,
     for a notional  amount of  $15,000,000,  also maturing  December 2005. This
     transaction  effectively converts the acquisition term note's floating rate
     to a fixed rate of 5.33% on the principal balance of $15,000,000.  On April
     30, 1999 the line of credit for  $2,000,000  was canceled and a new line of
     credit  was  executed  for  $5,000,000.  These  borrowings,  other than the
     interest  rate swap  notional  amount,  bear  interest  rates at LIBOR plus
     additional  percentage  points  ranging  from .5% to 1.4%  based on certain
     calculations as defined in the Loan Agreement. At May 31, 1999 the interest
     rates  ranged  from 6.2% to 8.0% on the  Company's  borrowings.  Debt issue
     costs of $56,250 for  advisory  fees were paid to an  investment  banker in
     conjunction with the acquisition of Gamma. These debt issue costs have been
     deferred and are being  amortized over the life of the Loan  Agreement.  At
     May 31, 1999,  the  outstanding  balance of the  acquisition  term note was
     $19,625,000, the additional term loan was $4,500,000 and the line of credit
     was  $5,000,000.  The fair value of the interest  rate swap  agreement  was
     $328,000 at May 31, 1999.

     When the  Company  acquired  Gamma,  it  assumed a  mortgage  note which is
     collateralized by a first lien on the Gamma  Biologicals' land and building
     located in northwest Houston.  The mortgage note, which matures in November
     2000, bears interest at the bank's base rate, but not less than 7% nor more
     than  13%.  At May 31,  1999,  the note  bore  interest  at  8.75%  and the
     outstanding balance was $145,300.

     Upon the acquisition of Medichim, the Company assumed a mortgage note which
     is  collateralized  by a first lien on Medichim's  land and  building.  The
     mortgage note,  which matures in November 2007, bears interest at 6.15%. At
     May 31, 1999, the  outstanding  balance was $280,000.  Medichim has various
     notes payable with a local bank bearing interest between 3.2% and 4.4% with
     a total outstanding  balance at May 31, 1999 of $88,000.  Medichim also has
     $1,164,600 in line of credit agreements  denominated in Belgian Francs with
     one Belgian  bank  bearing  interest at rates  ranging from 6.56% to 8.50%.
     Outstanding  borrowings  were  $887,700  under these lines at May 31, 1999.
     Such lines mature in fiscal 2000 and are guaranteed by the Company.  At May
     31,  1999,  the Company had $276,900  available  under these line of credit
     agreements.



<PAGE>


     The Loan  Agreement,  Dominion  revolving  line of credit and Deutsche Mark
     note payable are  guaranteed by the Company and require the  maintenance of
     certain  income  and other  financial  ratios,  and place  certain  limited
     restrictions  on the  Company's  ability to  acquire  other  entities.  The
     Company was not in compliance with certain covenants as of May 31, 1999 but
     obtained  appropriate  waivers and amended its loan agreement with the U.S.
     bank effective  August 24, 1999. The interest rate swap agreements with the
     U.S.  bank are  guaranteed  by the Company.  In  addition,  the Company has
     pledged 66% of the shares of stock of the Company's subsidiaries,  whereby,
     in the event of default,  the bank would gain control of the shares' voting
     rights.

     Capital lease obligations

     The Company  assumed a capital lease  obligation  with the  acquisition  of
     Gamma for a filling  and  sealing  machine  for ReACT  strips  which  bears
     interest  at  8.82%  and  matures  in  April  2003.  At May 31,  1999,  the
     outstanding  balance  was  $588,500.  The net book  value of the  asset and
     accumulated amortization were $691,700 and $69,200, respectively at May 31,
     1999. The Company  entered into another capital lease agreement for its new
     enterprise wide resource  planning (ERP) computer system which is scheduled
     for  implementation  in December 1999.  This  obligation  bears interest at
     8.23% and  matures in  February  2004.  At May 31,  1999,  the  outstanding
     balance of this capital lease was $406,100. The net book value of the asset
     was  $435,400  at  May  31,  1999  and no  amortization  expense  has  been
     recognized  as of  May  31,  1999  as  the  system  is  not  scheduled  for
     implementation until November 1999.

     fties of all long-term  obligations,  including capital leases, for each of
     the next five years and thereafter are as follows:

     Year Ending May 31:
     2000                                                       $ 8,451,345
     2001                                                         4,020,196
     2002                                                        12,468,484
     2003                                                         4,778,348
     2004                                                         4,859,278
     Thereafter                                                   5,421,666
                                                              ===============
                                                               $ 39,999,317
                                                              ===============

5.   ACCOUNTS RECEIVABLE FROM FORMER OFFICER AND DIRECTOR

     In fiscal  1997,  Mr. Josef Wilms,  the former  president of the  Company's
     German  subsidiary,  Immucor  GmbH,  borrowed,  prior  to his  resignation,
     $300,000  from the  Company  at 6%  interest,  secured by his  warrants  to
     purchase  143,750 shares of the Company's Common Stock. At May 31, 1998 the
     amount outstanding under the loan was $167,000, and as of July 14, 1998 the
     loan including accrued interest was fully paid.

     In July 1997,  management  of the  Company  discovered  that Mr.  Wilms had
     caused  Immucor  GmbH to make  unauthorized  loans to him since  1994.  The
     amounts advanced were documented in the records of Immucor GmbH,  including
     interest  rates ranging from 7.75% to 9.5%, and were generally paid down by
     the end of each accounting  period, but were not disclosed to the Company's
     management.  The largest  aggregate  amounts  outstanding under the Immucor
     GmbH loans were $29,600 in fiscal 1994,  $290,000 in fiscal 1995,  $669,000
     in fiscal 1996 and $1,311,000 in fiscal 1997. At May 31, 1999 and 1998, the
     aggregate  amounts   outstanding   including  interest  were  approximately
     $141,000 and $528,000, respectively.

     Mr. Wilms and his family granted liens on certain property owned by them in
     Germany  and  Portugal  to  collateralize  the loans from the  Company  and
     Immucor  GmbH,  and Mr.  Wilms  has  agreed  to grant  liens on  additional
     property owned by him and located in the United States.

     Mr.  Wilms had agreed to pay all  amounts  borrowed  from the  Company  and
     Immucor  GmbH,  plus  interest  at 8.25%.  Although  the loans had not been
     repaid by  October  31,  1997,  the  Company  agreed to extend the date for
     payment of these loans to December 31, 1997 based upon the Company's belief
     that Mr. Wilms had been working  diligently to liquidate the  collateral to
     obtain the funds.  At December 31, 1997,  as Mr. Wilms had not fully repaid
     these amounts,  the Company began to arrange the sale of some or all of the
     collateral  to the extent  necessary  to recover the unpaid  balance of the
     loan.  Since  December  31,  1997 and up to May 31,  1999 the  Company  had
     arranged  the  sale  of  collateral  reducing  the  debt  to  approximately
     $141,000.

     As of August 9,  1999 the  entire  unauthorized  loan  balance  owed to the
     Company by Mr.  Wilms,  plus  accrued  interest  and amounts of  incidental
     collection  expenses  allowable  under  German  law,  have been paid to the
     Company. In addition,  Mr. Wilms agreed to pay and has paid an amount equal
     to Immucor's outstanding trade receivable totaling  approximately  $320,000
     from Diag  Human,  a company  Mr.  Wilms owed  monies to, on behalf of Diag
     Human. The remaining collateral has been released to Mr. Wilms.

     Mr. Wilms has had no continuing employment or consulting relationships with
     Immucor, Inc. or Immucor GmbH since December 31, 1997.


6.   COMMON STOCK

     At May 31,  1999,  the  following  shares of Common  Stock are reserved for
future issuance:

         Common stock options - directors and employees           2,724,761

         Common stock warrants - other                              889,918
                                                                  ---------
                                                                  3,614,679

     In  connection  with the  acquisition  of Medichim,  S.A.  and  Immunochim,
     s.a.r.l.,  the Company issued to the seller an option to acquire,  in whole
     or in part,  100,000  shares of  Immucor  stock at $8.938  per  share.  The
     100,000  options become  exercisable at the rate of 33% per year commencing
     March  2001,  expire in fiscal year 2010 and were valued at $310,000 at the
     date of the acquisition.

     As part of the  acquisition of Dominion  Biologicals  Limited,  the Company
     issued to the sellers five and ten year warrants to acquire, in whole or in
     part,  478,417 and 150,000 shares of Immucor stock at $12.00 and $11.98 per
     share,  respectively.  These warrants became exercisable one year after the
     issuance  date,  with  the  five-year  warrants  expiring  in 2001  and the
     ten-year  warrants  expiring in 2006.  Immucor has  submitted  the required
     registration to the Securities and Exchange  Commission for approval of the
     resale of the shares covered by both sets of warrants.

     In connection  with other prior years' business  acquisitions,  the Company
     issued to the sellers warrants to acquire, in whole or in part, 150,000 and
     375,000 shares of the Company's Common Stock at $26.95 and $7.75 per share,
     respectively.  The 150,000  warrants became  exercisable at the rate of 20%
     per year  commencing  August  1993,  and expire in 2001.  At May 31,  1999,
     363,499 of the 375,000  warrants had been exercised.  The remaining  11,501
     warrants are currently exercisable and expire in 2008.

     The Company has a  Shareholders'  Rights Plan under which one Common  Stock
     purchase  right is presently  attached to and trades with each  outstanding
     share of the Company's  Common Stock.  The rights  become  exercisable  and
     transferable  apart from the Common Stock ten days after a person or group,
     without the Company's  consent,  acquires  beneficial  ownership of, or the
     right to  obtain  beneficial  ownership  of,  20% or more of the  Company's
     Common Stock or  announces  or  commences a tender offer or exchange  offer
     that could result in at least 20% ownership.  Once exercisable,  each right
     entitles the holder to purchase one share of the Company's  Common Stock at
     an exercise price of $16,  subject to adjustment to prevent  dilution.  The
     rights have no voting power and, until exercised, no dilutive effect on net
     income per common  share.  The rights  expired on April 20,  1999,  and are
     redeemable at the  discretion  of the Board of Directors at $.01 each.  All
     reservations  of shares of Common Stock for purposes  other than the rights
     plan shall take  precedence and be superior to any reservation of shares in
     connection with or under the rights plan.

     If a person or a group acquires at least 20% ownership,  except in an offer
     approved by the Company under the rights plan, then each right not owned by
     the acquirer or related parties will entitle its holder to purchase, at the
     right's exercise price,  Common Stock or Common Stock equivalents  having a
     market value immediately prior to the triggering of the right of twice that
     exercise  price.  In  addition,  after an  acquirer  obtains  at least  20%
     ownership,  if  the  Company  is  involved  in  certain  mergers,  business
     combinations,  or asset  sales,  each  right not owned by the  acquirer  or
     related  persons  will  entitle  its  holder to  purchase,  at the  right's
     exercise  price,  shares  of  Common  Stock  of  the  other  party  to  the
     transaction  having a market value  immediately  prior to the triggering of
     the right of twice that exercise price.

7.   STOCK OPTIONS

     The Company has various  stock option plans which  authorize  the Company's
     Compensation  Committee to grant employees,  officers and directors options
     to purchase shares of the Company's Common Stock.  Exercise prices of stock
     options are  determined by the  Compensation  Committee and have  generally
     been the fair market value at the date of the grant.

     The Company's 1995 Non-Incentive  Stock Option Plan authorizes the grant of
     options to employees,  officers and directors for up to 1,000,000 shares of
     the  Company's  common  stock.  All options have 10 year terms and vest and
     become  fully  exercisable  50% at the end of 2 years,  25% at the end of 3
     years, and 25% at the end of 4 years of continued employment.

     The Company's 1998 Non-Incentive  Stock Option Plan authorizes the grant of
     options to employees,  officers and directors for up to 1,000,000 shares of
     the  Company's  common  stock.  All options have 10 year terms and vest and
     become  fully  exercisable  50% at the end of 2 years,  25% at the end of 3
     years, and 25% at the end of 4 years of continued employment.

     The Company has elected to follow  Accounting  Principles Board Opinion No.
     25,  Accounting  for  Stock  Issued  to  Employees,  (APB  25) and  related
     Interpretations  in accounting for its employee  stock options  because the
     alternative  fair value  accounting  provided for under FASB  Statement No.
     123,  Accounting  for  Stock-Based  Compensation,  requires  use of  option
     valuation  models that were not developed for use in valuing employee stock
     options. Under APB 25, because the exercise price of the Company's employee
     stock options equals the market price of the  underlying  stock on the date
     of grant, no compensation is recognized.

     Pro forma  information  regarding  net  income  and  earnings  per share is
     required by Statement  123,  which also  requires that the  information  be
     determined as if the Company has  accounted for its employee  stock options
     granted  subsequent  to June 1, 1995  under the fair  value  method of that
     Statement.  The fair value for these  options was  estimated at the date of
     grant  using a  Black-Scholes  option  pricing  model  with  the  following
     weighted average assumptions: a risk-free interest rate of 5.34%, 6.22% and
     6.36% in fiscal 1999, 1998 and 1997  respectively,  no dividend  yields;  a
     volatility  factor of the  expected  market price of the  Company's  common
     stock of .525 for 1999, .458 for 1998, and .473 for 1997 based on quarterly
     closing  prices  since 1986;  and an expected  life of each option of eight
     years.

     For  purposes of pro forma  disclosures,  the  estimated  fair value of the
     options is  amortized to expense over the  options'  vesting  periods.  The
     Company's pro forma information follows:

                                            1999            1998          1997
                                            ----            ----          ----

     Net income as reported              $3,561,024      $2,068,773   $1,839,914

     Pro forma net income                $2,980,206      $1,646,037   $1,738,227

     Earnings per share as reported:
          Basic                          $ .47           $ .26           $ .23
          Diluted                        $ .45           $ .25           $ .22

     Pro forma earnings per share:
          Basic                          $ .39           $ .20           $ .22
          Diluted                        $ .37           $ .19           $ .20

     Because  Statement 123 is applicable only to options granted  subsequent to
     May 31, 1995, its pro forma effect will not be fully reflected until fiscal
     year 2000.

     The Company is  authorized  to issue up to  2,724,761  shares of its Common
     Stock under various employee and director stock option arrangements.  These
     arrangements  include employee incentive plans and various voluntary salary
     reduction  plans.  Options granted under these plans become  exercisable at
     various  times and unless  exercised  expire at various dates through 2009.
     Transactions  involving these stock option  arrangements  are summarized as
     follows:

<TABLE>
<CAPTION>

                                                                                     Range          Weighted Average
                                                                                  of Exercise            Exercise
                                                              Shares                 Prices               Price
                                                        -------------------  ------------------------------------------
<S>                                                              <C>                  <C>                  <C>

    Outstanding at May 31, 1996                               1,632,347        $3.00   -  15.375          $7.38
         Granted                                                 36,500        $9.375  -  10.50           $9.92
         Exercised                                              (24,357)       $4.59   -   6.25           $4.79
         Canceled                                                     -
                                                        -------------------

    Outstanding at May 31, 1997                               1,644,490        $3.00   -  15.375          $7.53
         Granted                                                343,500        $8.00   -  12.00           $8.20
         Exercised                                             (119,774)       $3.00   -   6.00           $5.13
         Canceled                                               (77,250)       $6.00   -  12.00           $7.10
                                                        -------------------

    Outstanding at May 31, 1998                               1,790,966        $3.13   -  15.375          $7.84
         Granted                                                779,750        $8.75   -   9.688          $9.35
         Exercised                                              (88,650)       $3.13   -   9.33           $6.43
         Canceled                                               (27,144)       $8.00   -  12.00           $8.41
                                                        -------------------

    Outstanding at May 31, 1999                               2,454,922        $3.33   -  15.375          $8.37
                                                        ===================
</TABLE>

     At May 31, 1998 and 1997,  options for 1,293,535  and  1,238,240  shares of
     Common Stock, respectively,  were exercisable, at weighted average exercise
     prices of $7.87 and $7.80, respectively.  At May 31, 1999 269,839 shares of
     Common Stock were available for future grants.

     The  following  table as of May 31,  1999 sets  forth by group of  exercise
     price ranges,  the number of shares,  weighted  average exercise prices and
     weighted average remaining  contractual lives of options  outstanding,  and
     the number  and  weighted  average  exercise  prices of  options  currently
     exercisable.

<TABLE>
<CAPTION>

                                              Options Outstanding                            Options Exercisable
                                   -------------------------------------------          -------------------------------
                                                                  Weighted
           Range of                   Number       Weighted        Average                 Number         Weighted
           Exercise                     of          Average      Contractual                 of            Average
            Prices                    Shares       Exercise     Life (Years)               Shares      Exercise Price
                                                     Price
     ---------------------         ------------- -------------- --------------          -------------- ----------------
<S>        <C>       <C>                 <C>            <C>           <C>                      <C>             <C>

        $ 3.33     $ 5.50               112,935          $5.40            1.2                 112,935            $5.40
          6.00       9.88             2,293,987           8.46            6.1               1,208,487             7.96
         10.00      15.38                48,000          10.85            6.3                  34,375            10.91
                                   =============                                        ==============
          3.33      15.38             2,454,922           8.37            5.9               1,355,797             7.82
                                   =============                                        ==============
</TABLE>

8.       EARNINGS PER SHARE

      In 1997, the FASB issued  Statement No. 128 which replaced the calculation
      of primary  and fully  diluted  earnings  per share with basic and diluted
      earnings per share.  Unlike primary earnings per share, basic earnings per
      share  excludes  dilutive  effects of options,  warrants  and  convertible
      securities.  Diluted  earnings per share is very similar to the previously
      reported fully diluted  earnings per share. All earnings per share amounts
      for all periods have been presented,  and where  appropriate,  restated to
      conform to the Statement 128 requirements.  The following table sets forth
      the computation of basic and diluted earnings per share.

<TABLE>
<CAPTION>

                                                                                   Year Ended May 31,
                                                                   ----------------------------------------------------
                                                                         1999             1998              1997
     <S>                                                                   <C>              <C>               <C>

      Numerator for basic and diluted earnings per share:
        Income available to common shareholders                        $3,561,024        $2,068,773        $1,839,914
                                                                   ====================================================

      Denominator:
        For basic earnings per share - weighted average basis            7,645,769         8,095,254        8,066,137

      Effect of dilutive stock options and warrants                        312,844           347,847          468,947
                                                                   ----------------------------------------------------

        Denominator for diluted earnings per share -
        Adjusted weighted-average shares                                 7,958,613         8,443,101        8,535,084
                                                                   ====================================================

      Basic earnings per share                                               $0.47             $0.26           $0.23
                                                                   ====================================================

      Diluted earnings per share                                             $0.45             $0.25           $0.22
                                                                   ====================================================
</TABLE>

9.   COMMITMENTS AND CONTINGENCIES

     Lease Commitments

     The  Company  leases  domestic  office and  warehouse  facilities  under an
     operating  lease  agreement  expiring  in 2003 with a right to renew for an
     additional  five years.  The Company  leases  foreign  office and warehouse
     facilities and automobiles  under operating  lease  agreements  expiring at
     various dates through 2009.  Total rental  expense,  principally for office
     and warehouse space,  was $776,800 in fiscal 1999,  $690,400 in fiscal 1998
     and $672,600 in fiscal 1997.

     In Germany, the office facility is leased from a company owned by Mr. Josef
     Wilms' family (see Note 5). Rental payments under this lease were $189,000,
     $184,500 and $209,100 for fiscal 1999, 1998 and 1997, respectively.



<PAGE>


     The following is a schedule of  approximate  future  annual lease  payments
     under all  operating  leases that have initial or  remaining  noncancelable
     lease terms in excess of one year as of May 31, 1999:

     Year Ending May 31:
     2000                                                            $ 836,222
     2001                                                              796,887
     2002                                                              741,525
     2003                                                              664,275
     2004                                                              213,172
     Thereafter                                                      1,021,506
                                                                  =============
                                                                   $ 4,273,587
                                                                  =============

     The Company may, at its option,  extend its office and warehouse facilities
lease terms through various dates.

     Other Commitments

     In connection with certain sales of the Company's  automated  systems,  the
     customers are committed to purchasing reagent products exclusively from the
     Company  based on the terms of the  agreement.  The Company is committed to
     supplying  its  reagent  products  over  the  term  of  these   commitments
     (generally five years).

     On July 1, 1999 the  Company  entered  into a  purchase  agreement  with an
     equipment  manufacturer for an instrument product currently marketed by the
     Company  which  requires  the  Company  to  purchase  a  minimum  number of
     instruments with an aggregate purchase price totaling $315,000 on or before
     July 1, 2001.

     Contingencies

     When the Company  acquired  Gamma in October 1998,  Gamma was a party to an
     existing legal  proceeding.  On May 12, 1998,  Gamma received  notification
     that a claim of  patent  infringement  had been  filed on that date in U.S.
     District Court,  Southern  District of Florida,  Miami  Division,  by Micro
     Typing  Systems,   Inc.  and  Stiftung  fur  Diagnostiche   Forschung  (the
     Foundation).   Subsequently,   in  February   1999  the  Company   received
     notification  that a second claim was filed in the U.S.  District Court for
     the  Northern  District of Georgia,  against  Immucor,  Inc.  and Gamma for
     patent infringement on the first patent described above and a second patent
     recently  granted to the  Foundation.  The claim  alleges that the recently
     introduced  Gamma ReACT Test System  infringes  U.S.  patent No.  5,512,432
     granted to the  Foundation  April 30,  1996 and U.S.  patent No.  5,863,802
     granted to the  foundation  on January  26,  1999.  The  plaintiffs  seek a
     preliminary  and  permanent   injunction   against  the  continued  alleged
     infringement  by Gamma and Immucor,  and an award of treble  damages,  with
     interest and costs and reasonable  attorney's fees. Management is confident
     that ReACT technology does not infringe the Foundation's patents;  however,
     an unfavorable  outcome in this action could have a material adverse effect
     upon the  business  and the  results  of  operations  in a given  reporting
     period.  Since this matter is in the earliest stage of proceedings  and due
     to  uncertainties  involved in  litigation,  management  cannot predict the
     likelihood of a particular  outcome or estimate the financial  impact of an
     unfavorable  resolution.  Management  believes it has a meritorious defense
     against the alleged infringement.

10.  INCOME TAXES

     Sources of income before income taxes are summarized below:

                                          Year Ended May 31,
                            ---------------------------------------------------
                             1999              1998               1997

    Domestic Operations      $2,799,843         $1,962,591        $2,122,795
    Foreign Operations        2,607,957          1,916,598         1,019,409
                            --------------  ----------------  -----------------

         Total               $5,407,800         $3,879,189        $3,142,204
                           ===============  ================  =================



<PAGE>


     The provision for income taxes is summarized as follows:

                                Year Ended May 31,
                       -------------------------------------------------------
                              1999               1998               1997

    Current:
         Federal          $  481,466           $652,941           $648,258
         Foreign           1,083,622            645,914            327,647
         State                56,643             30,221             50,383
                        -----------------  -----------------  -----------------

                           1,621,731          1,329,076          1,026,288
                        -----------------  -----------------  -----------------


    Deferred:
         Federal             181,162             10,394            (25,849)
         Foreign              22,570            469,723            304,892
         State                21,313              1,223             (3,041)
                        -----------------  -----------------  -----------------

                             225,045            481,340            276,002
                        -----------------  -----------------  -----------------


    Income taxes          $1,846,776         $1,810,416         $1,302,290
                        =================  =================  =================

     Deferred  income  taxes  reflect  the net tax  effects  of:  (a)  temporary
     differences  between the  carrying  amounts of assets and  liabilities  for
     financial  reporting  purposes and income tax  purposes;  and (b) operating
     loss carryforwards.  Valuation allowances are established when necessary to
     reduce deferred tax assets to the amounts  expected to be realized.  During
     fiscal 1999 the Company reduced its valuation  allowance by $493,086 due to
     the  increased  viability of  anticipated  future  taxable  income in Italy
     combined  with certain tax planning  strategies.  Based on an assessment of
     all  available  evidence  including,   but  not  limited  to,  the  Spanish
     subsidiary's  operating history and lack of  profitability,  the Company is
     uncertain as to the realizability of the Spanish subsidiary's net operating
     loss  carryforwards  and,  as a  result,  a  100%  deferred  tax  valuation
     allowance has been  recorded  against  these  deferred tax assets.  The tax
     effects of  significant  items  comprising  the  Company's net deferred tax
     liability at May 31, 1999 and 1998 are as follows:
<TABLE>
<CAPTION>

                                                                                            Year Ended May 31,
                                                                                  ---------------------------------------
                                                                                        1999                  1998
<S>                                                                                      <C>                   <C>

     Deferred tax liabilities:
             Amortization                                                              $(1,112,470)          $(1,439,110)
             Depreciation                                                               (1,487,692)             (228,949)
                    Other                                                                 (753,251)                    -
    Deferred tax assets:
             Reserves not currently deductible                                           1,307,655                75,767
             Foreign operating loss carryforwards                                          469,161             1,358,556
             Uniform capitalization                                                        702,478               302,939
                                                                                  ------------------    -----------------
                                                                                          (874,119)               69,203
    Valuation allowance                                                                   (252,902)             (745,988)
                                                                                  ------------------    -----------------

    Net deferred tax liability                                                      $   (1,127,021)         $   (676,785)
                                                                                  ==================    =================

</TABLE>

     The Company's effective tax rate differs from the federal statutory rate as
follows:

<TABLE>
<CAPTION>

                                                                                    Year Ended May 31,
                                                                      -----------------------------------------------
                                                                       1999                1998               1997
<S>                                                                       <C>              <C>                 <C>

    Federal statutory tax rate                                          34%                34%                34%
    State income taxes, net of federal tax benefit                       1                  1                  1
    Interest on state municipal obligations                             (1)                (2)                (3)
    Foreign Sales Corporation commissions                               (4)                (5)                (5)
    Higher effective income tax rates of other countries                4                  10                  6
    Excess of cost over tangible assets acquired - net                   4                  3                  2
    Reduction in deferred tax valuation allowance                       (9)                 -                  -
    Research and development tax credits                                 -                 (1)                (1)
    Other                                                                5                  7                  7
                                                                      --------           ---------          ---------

                                                                        34%                47%                41%
                                                                      ========           =========          =========
</TABLE>

     As a result of  utilizing  compensation  cost  deductions  arising from the
     exercise  of  nonqualified  employee  stock  options  for federal and state
     income tax purposes,  the Company realized income tax benefits of $133,713,
     $122,409,  and  $47,722  in  fiscal  1999,  1998  and  1997,  respectively.
     Additionally, the Company recorded income tax benefits of $55,142 in fiscal
     1999,  1998 and  1997,  caused by patent  amortization  expense  deductions
     resulting  from a 1993  exercise  of stock  options  previously  issued  in
     connection  with the  acquisition  of certain  technology  (Note 11). These
     income tax benefits are recognized in the accompanying financial statements
     as additions to additional paid-in capital rather than as reductions of the
     respective   income  tax  provisions   because  the  related   compensation
     deductions  are  not  recognized  as  compensation  expense  for  financial
     reporting purposes.

     At May 31, 1999,  the Company's  Italian  subsidiary had net operating loss
     carryforwards for income tax purposes of $827,000, which expire in 2000 and
     2001. The Company's Spanish subsidiary had net operating loss carryforwards
     for income tax purposes of $441,000, which expire in 2002, 2003 and 2004.


11.   TECHNOLOGY RIGHTS

      In March 1983,  the Company  acquired  rights to  technology to be used in
      developing   diagnostic   testing   products.   In  connection  with  this
      acquisition,  the Company has agreed to pay to the Blood Center of Greater
      Kansas City royalties equal to 4% of the net sales from products utilizing
      the technology.  Royalties under this agreement  amounted to approximately
      $411,100,   $389,900  and   $368,800  in  fiscal  1999,   1998  and  1997,
      respectively.

      In May 1997 Gamma  entered into a license  agreement  with Pasteur  Sanofi
      Diagnostics ("Sanofi") with headquarters in France for the use and sale of
      their microcolumn test for the detection of antibodies called ReACT. Under
      the terms of the agreement the Company will pay Sanofi  royalties equal to
      12% of the net sales from the ReACT  products in six  countries of Europe.
      The agreement  expires on the expiration of the patent of the  technology.
      To date the Company has made  insignificant  payments as the product is in
      the initial stages of its market launch.

12.   INSTRUMENT DEVELOPMENT AND MANUFACTURING AGREEMENTS

      The Company has contracted with Bio-Tek Instruments, Inc. (see Note 1) for
      the development of a fully  automated,  "walk-away",  blood bank analyzer.
      Known  as the  ABS2000,  the  analyzer  utilizes  the  Company's  patented
      Capture(R)  products  technology  and is being  marketed in Europe and the
      United States to hospital  transfusion  laboratories  for patient testing.
      Under the terms of the 15 year agreement,  the Company  reimburses Bio-Tek
      Instruments,  Inc. for its development  costs,  and the Company is granted
      worldwide  marketing  rights to sell the  instrument  for use in the human
      clinical  diagnostic market for testing of human blood or blood components
      with  centrifugation.  Bio-Tek  Instruments,  Inc. may sell the product in
      other markets  paying the Company up to a 4% royalty of the selling price.
      In order to maintain the exclusive  worldwide marketing rights the Company
      must  purchase 250  instruments  over a 6 year period  beginning  with the
      delivery of the first production instrument which occurred in fiscal 1997.
      If the Company purchases less than 250 instruments over a 6 year period it
      has the right to continue to purchase the  instruments on a  non-exclusive
      basis. Based upon the Company's current projections, the Company presently
      believes  it will  maintain  its  exclusivity  rights  for the term of the
      agreement.

      During  fiscal 1996,  the Company  entered into a second  development  and
      manufacturing agreement with DYNEX Technologies, Inc. ("DYNEX"). Under the
      terms  of the  agreement,  DYNEX  will  design  and  manufacture  a second
      analyzer  known as the ABSHV  utilizing  the  Company's  Capture  products
      technology  which will be marketed  by the Company to blood donor  centers
      for donor testing.  In exchange for reimbursing  DYNEX for its development
      costs and pursuing FDA 510(k) approval,  the Company is granted  exclusive
      distribution  rights to sell the instrument to blood banks and centralized
      and  hospital  transfusion  laboratories.  In order to maintain  exclusive
      distribution  rights the Company must  purchase 240  instruments  over a 3
      year period  beginning on the date FDA 510(k)  clearance  is granted.  The
      510(k)  application  has yet to be  submitted.  If the  Company  does  not
      purchase  the  minimum  amount  of  instruments  within  the  time  period
      specified the Company has the right to continue purchasing the instruments
      on a non-exclusive basis. Based upon the Company's current projections, it
      does not appear that these minimums will be met.

      In April 1999 the Company  entered into a  manufacturing  and  development
      agreement with Rosys Anthos AG ("Rosys") with headquarters in Switzerland.
      Under the terms of the agreement,  Rosys will  manufacture  and develop an
      analyzer known as the Rosys Plato in the U.S. and the ABS Precis in Europe
      utilizing the Company's  Capture and ReACT  technologies.  The  instrument
      will  be  marketed   exclusively   by  Immucor  to  hospital   transfusion
      laboratories  and blood donor  centers for patient and donor blood  typing
      and antibody screening and identification.  In order to maintain exclusive
      worldwide  distribution  rights the Company must purchase 120  instruments
      over  the  three  year  initial  term  of the  agreement.  If the  Company
      purchases less than 120 instruments  over the period it will be allowed to
      continue  purchasing  the  instrument  on a  non-exclusive  basis  for  an
      additional  two year  period.  The Rosys Plato has been cleared by the FDA
      for  market  in the  United  States  and based on  fiscal  1999  sales and
      purchases the Company presently  believes it will maintain its exclusivity
      rights for the term of the agreement.

      In fiscal 1999, 1998 and 1997, the Company incurred $161,480, $302,850 and
      $342,040,  respectively,  in  instrument  research and  development  costs
      principally under these contracts.



<PAGE>


13.   DOMESTIC AND FOREIGN OPERATIONS

      Information  concerning the Company's  domestic and foreign  operations is
summarized below (in 000s):
<TABLE>
<CAPTION>

                                                                Year Ended May 31, 1999
                          ----------------------------------------------------------------------------------------------------
                                                                                   Note 1
                            U.S.         Germany        Italy        Canada        Other        Eliminations    Consolidated
<S>                          <C>           <C>           <C>           <C>           <C>             <C>           <C>

Net sales:
   Unaffiliated            $34,842       $10,246        $6,804        $4,368        $3,265             -         $59,525
customers
   Affiliates                5,100           381            15           160           647       $(6,303)              -
                          ----------    ----------    ----------    ----------    ---------     ------------    --------------
      Total                 39,942        10,627         6,819         4,528         3,912        (6,303)         59,525

Income from operations       2,912         1,537           774         1,167           (96)           15           6,309


Interest expense              (909)          (44)           (2)         (436)          (25)            -          (1,416)
Interest income                241            44            28             -             -             -             313

Income tax expense             740           750           (65)          388            33             1           1,847


Long-lived assets           53,259         3,917         2,409         7,965         4,263       (16,810)         55,003
Identifiable assets         85,366         8,180        10,064         9,616         9,334       (22,826)         99,734
Net assets                  41,632         5,022        (1,286)        1,755         1,327        (8,397)         40,053

</TABLE>

<TABLE>
<CAPTION>

                                                                Year Ended May 31, 1998
                          ----------------------------------------------------------------------------------------------------
                                                                                   Note 2
                            U.S.         Germany        Italy        Canada        Other        Eliminations    Consolidated
<S>                          <C>           <C>           <C>           <C>           <C>             <C>           <C>
Net sales:
   Unaffiliated            $19,207        $9,493        $5,834        $4,439          $817             -         $39,790
customers
   Affiliates                3,716           285             -           149             -       $(4,150)              -
                          ----------    ----------    ----------    ----------    ---------     ------------    --------------
      Total                 22,923         9,778         5,834         4,588           817        (4,150)         39,790

Income from operations         756         1,015           567         1,290            84            21           3,733


Interest expense                 -          (122)           (1)         (466)          (27)            -            (616)
Interest income                621           137            31             -             -             -             789

Income tax expense             684           600             -           516             -            10           1,810


Long-lived assets           19,826         4,165         2,475         7,974           445       (15,442)         19,443
Identifiable assets         47,293         8,085         9,944         9,593         1,513       (18,884)         57,544
Net assets                  45,060         4,282        (1,072)        1,404           758        (7,999)         42,433

</TABLE>

<TABLE>
<CAPTION>


                                                                Year Ended May 31, 1997
                          ----------------------------------------------------------------------------------------------------
                                                                                   Note 2
                            U.S.         Germany        Italy        Canada        Other        Eliminations    Consolidated
<S>                          <C>           <C>           <C>           <C>           <C>             <C>           <C>
Net sales:
   Unaffiliated            $17,184       $10,103        $5,750        $2,013          $604             -         $35,654
customers
   Affiliates                3,731           324             -            72             -       $(4,127)              -
                          ----------    ----------    ----------    ----------    ---------     ------------    --------------
      Total                 20,915        10,427         5,750         2,085           604        (4,127)         35,654

Income from operations         842          1301           396           590           (76)           (9)          3,044


Interest expense                 -          (226)           (2)         (216)          (42)            -            (486)
Interest income                728            71            48             -             1             -             848

Income tax expense             674           409             -           222             -            (3)          1,302


<FN>


Note     1:  Included  in  "Other"  are  net  sales,   income  from  operations,
         long-lived  assets,  identifiable  assets  and  net  assets  of  Spain,
         Portugal, France, Belgium, and the Netherlands.

Note     2:  Included  in  "Other"  are  net  sales,   income  from  operations,
         long-lived  assets,  identifiable  assets  and net  assets in Spain and
         Portugal.

</FN>
</TABLE>

<PAGE>



     During the years ended May 31,  1999,  1998 and 1997,  the  Company's  U.S.
     operations made net export sales to unaffiliated customers of approximately
     $5,558,000,  $3,518,000 and $3,660,000,  respectively. The Company's German
     operation  made net export sales to  unaffiliated  customers of $1,309,000,
     $1,191,000 and $1,189,000 for the years ended May 31, 1999, 1998, and 1997,
     respectively.  The Company's  Canadian  operation  made net export sales to
     unaffiliated  customers of  $2,542,010,  $3,137,000  and $1,418,000 for the
     years ending May 31, 1999, 1998, and 1997, respectively.

     Product sales to affiliates are valued at market prices.


14.   RETIREMENT PLAN

      The Company  maintains a 401(k)  retirement  plan  covering  its  domestic
      employees  who meet  certain  age and length of service  requirements,  as
      defined.  The Company matches a portion of employee  contributions  to the
      plan.  During the years ended May 31, 1999,  1998 and 1997,  the Company's
      matching  contributions  to the plan were $149,000,  $88,000 and $101,000,
      respectively.  Vesting in the Company's matching contributions is based on
      years of continuous service.


15.   QUARTERLY FINANCIAL DATA (UNAUDITED)

<TABLE>
<CAPTION>
                                                          (In thousands, except per share amounts)
                                                                                                    Basic      Diluted
                                         Net             Gross         Operating         Net       Earnings    Earnings
                                        Sales            Margin          Income        Income     Per Share   Per Share
                                   ----------------- --------------- --------------- ------------ ----------- -----------
<S>                                      <C>               <C>             <C>           <C>          <C>         <C>

FISCAL 1999
First Quarter                          $10,358            $5,706          $1,033           $628         $.08        $.08
Second Quarter                          13,665             7,349           1,358            716          .09         .09
Third Quarter                           16,758             9,168           1,955            976          .13         .13
Fourth Quarter                          18,744             9,751           2,032          1,241          .17         .16

                                   ================= =============== =============== ============ =========== ===========
                                       $59,525           $31,974          $6,378         $3,561         $.47        $.45
                                   ================= =============== =============== ============ =========== ===========

FISCAL 1998
First Quarter                           $9,273            $5,426          $1,004           $558         $.07        $.07
Second Quarter                          10,192             5,431             971            546          .07         .06
Third Quarter                           10,155             5,363             916            465          .06         .06
Fourth Quarter                          10,170             5,403             888            500          .06         .06
                                   ================= =============== =============== ============ =========== ===========
                                       $39,790           $21,623          $3,779         $2,069         $.26        $.25
                                   ================= =============== =============== ============ =========== ===========


</TABLE>

<PAGE>




IMMUCOR, INC. AND SUBSIDIARIES

SCHEDULE II - VALUATION AND QUALIFYING ACCOUNTS
YEARS ENDED MAY 31, 1999, 1998 AND 1997

<TABLE>
<CAPTION>


                                                                            Charged
                                         Balance at       Charged to        to Other                          Balance
                                          Beginning        Costs and        Accounts         Deductions       at End
                                          of Period         Expense          (Note 1)        (Note 2)         of Period
<S>                                            <C>              <C>             <C>              <C>               <C>

1999:
   Allowance for doubtful accounts           $502,372         $116,031         $236,902        $(50,835)        $804,470
                                             ========         ========         ========        =========        ========

1998:
   Allowance for doubtful accounts           $395,076         $114,334          $   0           $(7,038)        $502,372
                                             ========         ========          =======         ========        ========

1997:
   Allowance for doubtful accounts           $350,545          $75,521          $   0          $(30,990)        $395,076
                                             ========          =======          =======        =========        ========

<FN>

Note 1:   "Charged to Other Accounts" represents allowance for doubtful accounts
           of acquired  businesses at date of acquisition.

Note 2:   "Deductions" represent accounts written off during the period less
           recoveries of accounts previously written off.

</FN>
</TABLE>





<PAGE>
Item  9.--Changes  in and  Disagreements  with  Accountants  on  Accounting  and
Financial Disclosure.

         None.

                                                      PART III

Item 10.--Directors and Executive Officers of the Registrant.

         The  following  table sets forth  certain  information  concerning  the
directors and executive officers of the Company.

Name                        Age   Position with Company

Edward L. Gallup            60   Chairman of the Board of Directors,  President
                                  and Chief Executive Officer
Ralph A. Eatz               55   Director and Senior Vice President--Operations
Dr. Gioacchino De Chirico   46   Director, Director of European Operations and
                                  President of Immucor Italia S.r.l
Daniel T. McKeithan         75   Director
Didier L. Lanson            49   Director
G.       Bruce Papesh       52   Director
Dennis M. Smith, Jr., MD    47   Director
Joseph E. Rosen             55   Dirctor
Steven C. Ramsey            50   Vice President--Chief Financial Officer and
                                  Secretary
Patrick Waddy               42   President of Dominion Biologicals Limited and
                                 European Finance Director

         All members of the Board of Directors hold office until the next annual
meeting of  shareholders  or until their  successors  are duly  elected and have
qualified or until their earlier death,  resignation,  or removal. All executive
officers serve at the pleasure of the Board of Directors.

         Messrs.  Gallup and Eatz  founded  Immucor in 1982,  and have 34 and 30
years experience in the blood banking diagnostic reagent industry.  In addition,
they worked together for  approximately  six years at Biological  Corporation of
America  ("BCA"),  which later  became the blood  banking  reagents  division of
Biopool,  Inc.  Including  the time they worked  together as officers of BCA and
Immucor, they now have worked together as a management team for over 23 years in
the blood banking diagnostic reagent business.

         Edward L. Gallup has been Chairman of the Board of Directors, President
and Chief Executive Officer of the Company since its founding.   Mr. Gallup has
worked in the blood banking business for over 34 years.

         Ralph A. Eatz, who has been working in the blood banking  reagent field
for over 30 years,  has been a director and Vice  President - Operations  of the
Company  since its  founding,  and Senior  Vice  President  -  Operations  since
December 1988.

         Dr.  Gioacchino  De Chirico has been  Director  of European  Operations
since May 1998 and President of Immucor Italia S.r.l.  since February 1994. From
1989  until  1994,  he was  employed  in the United  States by Ortho  Diagnostic
Systems,   Inc.,   a  Johnson  and   Johnson   Company,   as  General   Manager,
Immunocytometry,  with  worldwide  responsibility.  From 1979 until 1989, he was
with  Ortho  Diagnostic  Systems,  Inc.,  in  Italy,  where  he began as a sales
representative and held several management positions,  including Product Manager
and European  Marketing Manager for Immunology and Infectious  Disease products.
Immucor Italia S.r.l. was acquired by the Company on September 30, 1991.

         Daniel T.  McKeithan has been a director of the Company since  February
28, 1983.  Since 1986, he has served as a consultant  to health care  companies.
From April 1979 until  March 1986 he was  employed  by Blood  Systems,  Inc.,  a
supplier of blood and blood products, as a general manager and as Executive Vice
President  of  Operations.  Mr.  McKeithan  also  has  30  years  experience  in
pharmaceutical and diagnostic products with Johnson and Johnson, Inc., including
Vice President - Manufacturing of the Ortho Diagnostic Systems Division.



<PAGE>


         Didier L. Lanson has been a director of the Company  since  October 24,
1989.  Since  September  1, 1999,  he serves as CEO of a start up company  HLA-G
Technologies in Paris, France.  Based on proprietary  discoveries on the role of
HLA in tolerance induction, HLA-G Technologies develops products in the field of
transplantation, cancer therapy and dermatology. From September 1992 until March
1999, he served as Vice  President,  Europe  ('92-97) and Vice President  Global
Operations  and  International  Affairs  ('97-'99) of SyStemix  Inc., a Novartis
Company.  SyStemix Inc. is primarily  engaged in the development of cellular and
gene  therapy  products.  He  was a  Director  and  the  President  and  CEO  of
Diagnostics   Transfusion   ("DT"),   a  French   corporation   which  develops,
manufactures  and  distributes  reagent  products,  and Vice President  Business
Development  of ESPACE  VIE, a French  corporation  which  develops  and markets
pharmaceutical  blood  based  products  and  biotech  products,  from 1987 until
December 1991.

         G. Bruce  Papesh is the  co-founder  of Dart,  Papesh & Co., a Lansing,
Michigan based company that provides  investment  consulting and other financial
services. He has served as President of Dart, Papesh & Co. Inc., since 1987. Mr.
Papesh has over 28 years of experience in investment  services  while serving in
stock broker,  consulting and executive  management  positions.  Mr. Papesh also
serves as a Director  and as Secretary of Neogen  Corporation,  an  agricultural
biotechnology company.

          Dennis M. Smith,  Jr., M.D. currently is, and for the  last five years
has  been, the  Chairman  of  the  Section of  Pathology  and  the  Director  of
Laboratories at Columbia Memorial Hospital in Jacksonville, Florida. In addition
to these duties, Dr. Smith is a member of  the  Board of  Directors  of  Medical
Equity Partners, Jacksonville, Florida; Vice President of Laboratory Physicians,
St. Petersburg, Florida; and  Managing Director, Florida  Region  of  AmeriPath,
Inc.  Dr. Smith is a past president of  the American  Association of Blood Banks
and  is  currently  Chairman of  the  Board  of Trustees  of  the National Blood
Foundation. He has over 19 years of experience in the medical field.

         Joseph E. Rosen has been with Sera-Tec  Biologicals since its inception
in 1969 and has served as its President for the past fifteen years. Mr. Rosen is
currently  serving as  Chairman  of the Board of the  American  Blood  Resources
Association, the plasma industry trade group, and has been a member of the Board
of Directors of several public and private health care companies. He has over 25
years of experience in the blood banking industry.

         Steven C. Ramsey has been Vice  President and Chief  Financial  Officer
since  March  1998.  Prior to such  time,  Mr.  Ramsey  worked  for six years at
International Murex Technologies Corporation,  the last three as Chief Financial
Officer. He has more the 25 years of financial management experience.

        Patrick  Waddy has been the European  Finance Director since March 1999.
Mr. Waddy  has  been  with Dominion Biologicals Limited since March 1988 and has
served  as  President for  the  past five  years.  The Company acquired Dominion
Biologicals in December 1996.

         There  are no  family  relationships  among  any of  the  directors  or
executive officers of the Company.

         Section 16(a) Beneficial Ownership Reporting Compliance.  Section 16(a)
of the  Securities  Exchange Act of 1934 and  regulations  of the Securities and
Exchange  Commission  thereunder  require the Company's  executive  officers and
directors  and  persons who own more than ten  percent of the  Company's  Common
Stock,  as well as  certain  affiliates  of such  persons,  to file  reports  of
initial,  annual,  and changes in such  person's  ownership of Immucor's  Common
Stock with the Securities and Exchange Commission. Executive officers, directors
and  persons  owning  more than ten percent of the  Company's  Common  Stock are
required by Securities and Exchange Commission regulation to furnish the Company
with copies of all Section 16(a) forms they file.  Based solely on its review of
the copies of such forms  received  by it and  written  representations  that no
other reports were required for those persons, the Company believes that, during
the fiscal year ended May 31, 1999,  all filing  requirements  applicable to its
executive  officers,  directors,  and  owners  of more than ten  percent  of the
Company's Common Stock were complied with.



<PAGE>


Item 11.--Executive Compensation.

         The following table sets forth the compensation earned by the Company's
Chief Executive  Officer and all of the Company's  other executive  officers for
services  rendered in all  capacities  to the Company for the last three  fiscal
years.
<TABLE>
<CAPTION>

                                             SUMMARY COMPENSATION TABLE
                                                                                           Long Term
                                                                                         Compensation
                                                  Annual Compensation                       Awards
                                     -----------------------------------------------    ----------------

                                                                                          Securities
             Name and                                               Other Annual          Underlying            All Other
        Principal Position               Year       Salary        Compensation (1)        Options (2)       Compensation (3)
------------------------------------    -------    ----------    -------------------    ----------------    ------------------
<S>                                       <C>          <C>             <C>                   <C>                    <C>

Edward L. Gallup                         1999        $206,601           $29,609             80,000                 $55,209
Chairman of the Board, President         1998         190,253            35,619                  -                   4,752
and Chief Executive Officer              1997         183,993            33,415                  -                   4,812

Ralph A. Eatz                            1999         200,579            20,830             80,000                  55,177
Director and Senior Vice                 1998         185,091            29,628                  -                   4,726
President - Operations                   1997         178,593            28,108                  -                   4,782

Dr. Gioacchino De Chirico                1999         175,565            13,100             80,000                       -
President, Immucor Italia, S.r.l.        1998         150,575            12,752                  -                       -
and
Director of European Operations          1997         177,188            13,021                  -                       -

Steven C. Ramsey (4)                     1999         178,946                 -             30,500                       -
Vice President - Chief Financial         1998          14,385                 -             30,000                       -
Officer and Secretary

Patrick Waddy (5)                        1999          69,260             2,500             30,500                  25,719
President of Dominion Biologicals        1998          70,822                 -                  -                   3,541
Limited and European Finance             1997          34,438                 -            251,139                   1,722
Director

Josef Wilms (6)                          1999               -             -                      -                   -
Former President, Immucor GmbH           1998          29,156             2,408                  -                  75,461
                                         1997         193,548            16,093                  -                       -
<FN>


(1)      Includes the value of life  insurance  premiums  and an  allowance  for
         automobile  expenditures for each of the above named executive officers
         as follows: For 1999 - for Mr. Gallup, Eatz, De Chirico and Waddy, life
         insurance premiums of $20,009, $11,230, $3,500 and $2,500 respectively,
         and an allowance for automobile  expenditures for Mr. Gallup,  Eatz and
         Dr. De Chirico of $9,600 each. For 1998 - for Mr. Gallup,  Eatz, Wilms,
         and De Chirico,  life insurance premiums of $26,019,  $20,028, $317 and
         $3,152, respectively,  and an allowance for automobile expenditures for
         Mr.  Gallup,  Eatz and Dr. De Chirico of $9,600 each, and for Mr. Wilms
         $2,091.  For 1997 - for Mr. Gallup,  Eatz, Wilms, and De Chirico,  life
         insurance   premiums  of   $23,815,   $18,508,   $1,898,   and  $3,421,
         respectively,  and an allowance  for  automobile  expenditures  for Mr.
         Gallup,  Eatz,  and Dr. De  Chirico  of $9,600  each and for Mr.  Wilms
         $14,195.

(2)      Includes stock options  granted for each of the above named officers as
         follows:  For 1999 - for Mr. Gallup, Eatz, and De Chirico 25,000 shares
         each and 7,500  shares for Mr.  Ramsey  and Waddy  under the 1995 Stock
         Option  Plan to purchase  shares of the  Company's  Common  Stock at an
         exercise price of $9.6875. 50% of the options are exercisable beginning
         July 31, 2000, and 25% per year thereafter.  For Mr. Gallup,  Eatz, and
         De Chirico  55,000  shares  each and 23,000  shares for Mr.  Ramsey and
         Waddy  under  the 1998  Stock  Option  Plan to  purchase  shares of the
         Company's  Common  Stock at an  exercise  price of  $9.375.  50% of the
         options  are  exercisable  beginning  April 9,  2001,  and 25% per year
         thereafter.  For 1998 - represents  options granted to Mr. Ramsey under
         the 1995 Stock Option Plan to purchase  shares of the Company's  Common
         Stock at an exercise price of $8.38. 50% of the options are exercisable
         beginning  April  20,  2000,  and 25% per year  thereafter.  For 1997 -
         represents  warrants  issued  in  connection  with the  acquisition  of
         Dominion  Biologicals  Limited  with  201,139  5-year  warrants  at  an
         exercise price of $12.00 and 50,000 10-year  warrants at an exercise of
         $11.98.

(3)      Represents  amounts the Company  contributed  to the 401(k)  retirement
         plan on behalf of the named executive officers,  a bonus for Mr. Gallup
         and Eatz of $50,000 and Mr. Waddy of $22,256,  in 1999,  and Mr. Wilms'
         consulting fees for August 1 through December 31, 1997.

(4)      Mr. Ramsey assumed the position of Vice President  and Chief  Financial
         Officer in April 1998.

(5)      Mr. Waddy  became  an  employee  of  the  Company  upon  acquisition of
         Dominion  Biologicals  Limited in December 1996.

(6)      Mr. Wilms resigned as  President  of Immucor  GmbH in July 1997 and was
         retained as a  consultant  until December 31, 1997.
</FN>
</TABLE>


Stock Options

         Options  Granted.  During the fiscal  year  ended May 31,  1999,  stock
options were granted to Mr. Gallup,  Eatz, De Chirico, and Ramsey under the 1995
Stock Option Plan and the 1998 Stock Option Plan.

         The table below sets forth  information  regarding the options  granted
during the fiscal year ended May 31, 1999 to the  executive  officers  listed in
the Summary Compensation Table.
<TABLE>
<CAPTION>

                                         OPTION GRANTS IN LAST FISCAL YEAR

                                  Individual Grants
-------------------------------------------------------------------------------------- ----------------------------
                                 Number of     % of Total                              Potential Realizable Value
                                 Securities      Options                               at Assumed Annual Rates of
                                 Underlying    Granted to     Exercise                  Stock Price Appreciation
                                  Options     Employees in     or Base    Expiration         for Option Term
                                                                Price
                                                                                       ----------------------------
Name                            Granted (#)    Fiscal Year    ($/share)      Date           5%            10%
------------------------------  ------------- -------------- ------------ ------------ -------------  -------------
<S>                                <C>             <C>            <C>        <C>              <C>           <C>

Edward L. Gallup (1)                  25,000      3.2%         $9.6875     07/31/08       $ 152,300      $ 386,000
Edward L. Gallup (2)                  55,000      7.0%         $9.3750     04/09/09         324,300        821,800

Ralph A. Eatz (1)                     25,000      3.2%         $9.6875     07/31/08         152,300        386,000
Ralph A. Eatz (2)                     55,000      7.0%         $9.3750     04/09/09         324,300        821,800

Dr. Gioacchino De Chirico (1)         25,000      3.2%         $9.6875     07/31/08         152,300        386,000
Dr. Gioacchino De Chirico (2)         55,000      7.0%         $9.3750     04/09/09         324,300        821,800

Steven C. Ramsey (1)                   7,500      1.0%         $9.6875     07/31/08          45,700        115,800
Steven C. Ramsey (2)                  23,000      2.9%         $9.3750     04/09/09         135,600        343,700

Patrick Waddy (1)                      7,500      1.0%         $9.6875     07/31/08          45,700        115,800
Patrick Waddy (2)                     23,000      2.9%         $9.3750     04/09/09         135,600        343,700

<FN>

 (1)     Stock options granted under the 1995 Stock Option Plan with 50% of the options exercisable beginning July
         31, 2000, and 25% per year thereafter.
 (2)     Stock options granted under the 1998 Stock Option Plan with 50% of the options are exercisable beginning
         April 9, 2001, and 25% per year thereafter.
</FN>
</TABLE>

Option Holdings

The table below presents information concerning option exercises during the past
fiscal  year and the  value  of  unexercised  options  held as of the end of the
fiscal year by each of the individuals listed in the Summary Compensation Table.
<TABLE>
<CAPTION>

                                           FISCAL YEAR-END OPTION VALUES
                                                                 Number of Securities
                                                                Underlying Unexercised             Value of Unexercised
                                Shares                                Options at                 In-the-Money Options at
                             Acquired On         Value               May 31, 1999                    May 31, 1999 (1)
                               Exercise        Realized      Exercisable   Unexercisable       Exercisable   Unexercisable
                             -------------     ----------    ------------------------------    -----------------------------
<S>                              <C>              <C>            <C>         <C>                     <C>         <C>

Edward L. Gallup                        -              -     149,250         80,000              $654,266     $232,188

Ralph A. Eatz                           -              -     149,250         80,000               654,266      232,188

Dr. Gioacchino De Chirico               -              -      75,000         80,000               478,125      232,188

Steven C. Ramsey                        -              -           -         60,500                     -      209,156

Patrick Waddy                           -              -     251,139         30,500                95,177       89,153

<FN>

 (1)     Based on the  difference  between  the  exercise  price and the closing
         price for the Common Stock on May 31,  1999,  of $12.375 as reported by
         NASDAQ.
</FN>
</TABLE>

Compensation Committee Interlocks and Insider Participation

     The Compensation Committee has responsibility for determining the types and
amounts of executive compensation, including setting the number of stock options
that can be granted to executive officers as a group. Messrs. McKeithan,  Papesh
and Lanson are members of the Compensation Committee. The Stock Option Committee
determines the number of shares to be granted to individual  executive officers.
Messrs. Gallup, Eatz, Rosen and Smith are members of the Stock Option Committee.
Mr. Ramsey serves on the  Compensation  Committee at the request of the Board of
Directors.  Neither Mr.  McKeithan,  Mr. Papesh,  Mr. Lanson,  Mr. Rosen nor Dr.
Smith are, nor have they ever been, officers or employees of the Company. Edward
L. Gallup and Ralph A. Eatz are the founders of the Company, have been directors
and  executive  officers of the Company  since its  inception,  and each of them
participates in decisions on all stock options granted.

Compensation of Directors

         Members of the Board of Directors,  who are not also executive officers
of the  Company,  receive  $500 per  meeting and are  reimbursed  for all travel
expenses to and from meetings of the Board.  In addition,  the Company  provides
each of the  non-employee  directors a grant of an option to purchase  shares of
the Company's common stock upon their election as a director at the stock's then
current fair market value,  and at the direction of the Board,  they may receive
additional options.  The amount of shares subject to the option is determined at
the time of the grant. Messrs. McKeithan and Lanson hold 13,750 options each and
Messrs.  Papesh,  Smith and Rosen hold 10,000 options each to purchase shares of
the Company's common stock.

Employment   Contracts,   Termination   of  Employment  and  Change  of  Control
Arrangements

         The Company has in effect employment agreements (the "Agreements") with
five of its  executive  officers and certain key managers:  The Company  entered
into written  employment  agreements  with Edward L. Gallup and Ralph A. Eatz on
October 13,  1999.  Each  agreement  is for a five-year  term and  automatically
renews for a five-year term, unless sooner  terminated.  The agreements  provide
base   salaries  for  Mr.   Gallup  and  Mr.  Eatz  of  $211,219  and  $205,041,
respectively.  The agreements also contain covenants  prohibiting Mr. Gallup and
Mr. Eatz from  disclosing  confidential  information and from competing with the
Company,  both during and for specified  periods after the  termination of their
employment.

         The  agreements  with Mr.  Gallup and Mr. Eatz  obligate the Company to
make certain  payments to them in certain  circumstances  if their employment is
terminated.  If the Company  terminates the employment of Mr. Gallup or Mr. Eatz
"without cause", then Mr. Gallup or Mr. Eatz would continue to be compensated at
a rate equal to their average  annual  compensation  (that is, their base salary
plus their  average bonus over the last two years) for the remainder of the five
year period as renewed,  and such amounts would be paid over such period of time
rather than in a lump sum.  "Cause" is defined in the  agreements  generally  to
include  dishonesty,  embezzlement,  continuing  inability or refusal to perform
reasonable  duties  assigned  to  him,  and  moral  turpitude.  If  the  Company
terminates  the  employment  of Mr.  Gallup or Mr. Eatz within two years after a
change of control,  or if Mr. Gallup or Mr. Eatz terminate  their own employment
within 60 days after a change of control,  then the Company instead must pay Mr.
Gallup  or Mr.  Eatz a lump  sum  equal  to  five  times  their  average  annual
compensation,  plus certain  additional  amounts to compensate Mr. Gallup or Mr.
Eatz if such  payments  subject Mr.  Gallup or Mr. Eatz to a federal  excise tax
under  Section 4999 of the Internal  Revenue Code.  The  Company's  agreement to
compensate  these  executives in connection with a change of control is designed
to secure for the Company such  executives' full time and attention to negotiate
the best deal for the Company and its  shareholders  in the event of a change of
control without such executives  being  distracted by the effects of such change
of control upon their own financial interest.

                  The  Company  has  in  effect   employment   agreements   (the
"Agreement")  with Dr.  Gioacchino De Chirico entered into on December 31, 1993.
The  Agreement  renews  for a period of five years  from each  anniversary  date
unless sooner  terminated  based upon sales  performance of Immucor Italia.  The
Company may only terminate the employment  agreement "for cause",  as defined in
the agreement. If the Company terminates the employment of the Employee "without
cause",  the Employee  would receive his base annual salary for the remainder of
the five year period as renewed upon such  termination.  On October 13, 1998 the
company  entered into a Severance  Agreement with Dr. De Chirico which clarifies
the rights and  obligations  of the parties in the event of a change of control.
If the Company  terminates  the  employment  of Dr. De Chirico  within two years
after a change of control, or if he terminates his own employment within 60 days
after a change of control,  then the Company  instead  must pay Dr. De Chirico a
lump sum equal to five times his average annual compensation. Dr. De Chirico has
agreed to refrain from  competition  with Immucor Italia,  S.r.l.  following the
termination  of the  agreement  for a period  of two  years if he is  terminated
without  cause,  and for a period of four years if he is terminated for cause or
if he voluntarily terminates the agreement.

         The Company has in effect an  employment  agreement  (the  "Agreement")
with Mr. Steven C. Ramsey  entered into on October 13, 1998 which  clarifies the
rights and  obligations  of the parties in the event of a change of control.  If
the Company  terminates  the  employment  of Mr. Ramsey within two years after a
change of control, or if he terminates his own employment within 60 days after a
change of control, then the Company instead must pay Mr. Ramsey a lump sum equal
to two times his average annual compensation.  The Agreement renews for a period
of twelve months from each anniversary date unless sooner terminated. Mr. Ramsey
has agreed to refrain  from  competition  with Immucor for a period of two years
after his employment  has  terminated  and for any additional  period that he is
compensated by the Company.


         The Company has in effect an  employment  agreement  (the  "Agreement")
with Mr.  Patrick  Waddy  entered into on October 13, 1998 which  clarifies  the
rights and  obligations  of the parties in the event of a change of control.  If
the Company  terminates  the  employment  of Mr.  Waddy within two years after a
change of control, or if he terminates his own employment within 60 days after a
change of control,  then the Company instead must pay Mr. Waddy a lump sum equal
to two times his average annual compensation.  The Agreement renews for a period
of twelve months from each anniversary date unless sooner terminated.  Mr. Waddy
has agreed to refrain  from  competition  with Immucor for a period of two years
after his employment  has  terminated  and for any additional  period that he is
compensated by the Company.

Item 12.--Security Ownership of Certain Beneficial Owners and Management.

         The  following  table  sets  forth as of July 30,  1999,  the number of
shares of Common  Stock of Immucor  beneficially  owned by each  director of the
Company,  and by each  person  known to the  Company  to own more than 5% of the
outstanding  shares of Common Stock,  and by all of the  executive  officers and
directors of the Company as a group.

Name of Beneficial Owner
(and address for those                     Shares                     Percent
owning more than five percent)            Owned(1)                  of Class(1)

Edward L. Gallup                          259,357 (2)                    3.4%

Ralph A. Eatz                             337,526 (2)                    4.4%

Dr. Gioacchino De Chirico                  75,000 (3)                     *

Steven C. Ramsey                            5,000                         *

Patrick Waddy                             271,139 (4)                     *

Didier L. Lanson                           13,750 (5)                     *

Daniel T. McKeithan                        58,778 (5)                     *

G. Bruce Papesh                             5,500 (6)                     *

Dennis M. Smith                            35,312                         *

Joseph E. Rosen                             5,750 (7)                     *

Wellington Management Co. LLP             405,000 (8)                    5.3%
75 State Street
Boston, MA  02109

All directors and executive officers
as a group (nine persons)               1,067,112                       13.9%

         * less than 1%.

(1)      Except as otherwise  noted herein,  percentages  are  determined on the
         basis of 7,690,031  shares of Common Stock issued and outstanding  plus
         securities  deemed  outstanding  pursuant  to  Rule  13-3(d)(1)  of the
         Securities  Exchange  Act  of  1934,  as  amended.  As  a  result,  the
         percentage  of shares of Common Stock is  calculated  assuming that the
         beneficial  owner has  exercised  any options  held by such  beneficial
         owner that are currently exercisable,  or exercisable within 60 days of
         July 30, 1999,  and that no other options have been exercised by anyone
         else. Unless otherwise  indicated,  the Company believes the beneficial
         owner has sole voting and investment power over such shares.

(2)      Includes for Messrs. Gallup and Eatz an option to acquire 89,250 shares
         at an exercise price of $9.33 andan option to acquire 60,000 shares at
         an exercise price of $6.00.

(3)      Includes a currently  exercisable  option to acquire  15,000  shares of
         Common  Stock at an  exercise  price of $6.00 and an option to  acquire
         60,000 shares of Common Stock at an exercise price of $6.00.

(4)      Includes warrants issued in connection with the acquisition of Dominion
         Biologicals  Limited with 201,139 5-year  warrants at an exercise price
         of $12.00 and 50,000 10-year warrants at an exercise of $11.98.

(5)      Includes  a  currently  exercisable  option to  acquire  3,750  shares
         at $5.40 per share and a currently exercisable option to acquire 10,000
         shares at $6.00 per share.

(6)      Includes 400 shares over which Mr.  Papesh shares  investment  power in
         his role as an investment advisor and a currently exercisable option to
         acquire 5,000 shares at $8.00 per share.

(7)      Includes a currently exercisable option to acquire 3,750 shares at
         $5.40 per share.

(8)      Wellington  Management Co. LLP ("WMC") reported in a Schedule 13G dated
         February 9, 1999, that WMC in its capacity as an investment adviser may
         be deemed to  beneficially  own 405,000  shares or 5.3% of the Company,
         which are held of record by clients of WMC. WMC  indicated  that it had
         the  shared  power to vote or direct  the vote of  361,000  shares  and
         shared power to dispose or to direct the  disposition of 405,000 shares
         and that it had no sole power to vote or dispose of the shares.

Item 13.--Certain Relationships and Related Transactions.

         The Company's German subsidiary,  Immucor  Mediziniche  Diagnostik GmbH
("Immucor  GmbH"),  leases  approximately  1,566  square  meters of space from a
corporation of which Josef Wilms' son is a majority stakeholder. Josef Wilms was
formerly the  President  of Immucor  GmbH and a director of the Company.  Rental
payments for the 1998 fiscal year totaled  $184,500,  and the lease term extends
through April 2009.

         In fiscal 1997, Mr. Josef Wilms,  the former president of the Company's
  German subsidiary, Immucor GmbH, borrowed, prior to his resignation,  $300,000
  from the Company at 6% interest,  secured by his warrants to purchase  143,750
  shares of the Company's  Common Stock. At May 31, 1998 the amount  outstanding
  under the loan was $167,000,  and at July 14, 1998 the loan including  accrued
  interest was fully paid.

         In July 1997,  management of the Company  discovered that Mr. Wilms had
caused  Immucor GmbH to make  unauthorized  loans to him since 1994. The amounts
advanced  were  documented in the records of Immucor  GmbH,  including  interest
rates  ranging from 7.75% to 9.5%,  and were  generally  paid down by the end of
each accounting period, but were not disclosed to the Company's management.  The
largest aggregate amounts  outstanding under the Immucor GmbH loans were $29,600
in fiscal 1994,  $290,000 in fiscal 1995, $669,000 in fiscal 1996 and $1,311,000
in fiscal 1997. At May 31, 1998, the  outstanding  amount under the Immucor GmbH
loan  was  approximately  $528,000  and at May 31,  1999 the  aggregate  amounts
receivable were approximately $141,000.

Mr.  Wilms and his family  granted  liens on certain  property  owned by them in
Germany  and  Portugal to  collateralize  the loans from the Company and Immucor
GmbH,  and Mr. Wilms has agreed to grant liens on additional  property  owned by
him and located in the United States.

         Mr. Wilms had agreed to pay all amounts  borrowed  from the Company and
Immucor GmbH,  plus interest at 8.25%,  by October 31, 1997.  Although the loans
had not been repaid by October 31, 1997,  the Company  agreed to extend the date
for payment of these loans to December 31, 1997 based upon the Company's  belief
that Mr. Wilms had been working diligently to liquidate the collateral to obtain
the funds.  At  December  31,  1997,  as Mr.  Wilms had not fully  repaid  these
amounts,  the Company began to arrange the sale of some or all of the collateral
to the extent  necessary  to  recover  the  unpaid  balance  of the loan.  Since
December  31, 1997 and up to May 31, 1999 the Company had  arranged  the sale of
collateral reducing the debt to approximately $141,000.

     As of August 9,  1999 the  entire  unauthorized  loan  balance  owed to the
Company by Mr.  Wilms plus  accrued  interest  as well as amounts of  incidental
collection expenses allowable under German law have been paid to the company. In
addition,  Mr.  Wilms  agreed to pay and has paid an amount  equal to  Immucor's
outstanding trade receivable totaling  approximately $320,000 from Diag Human, a
company  Mr.  Wilms  owed  monies  to, on behalf of Diag  Human.  The  remaining
collateral has been released to Mr. Wilms.

     Mr. Wilms has had no continuing employment or consulting relationships with
Immucor, Inc. or Immucor GmbH since December 31, 1997.

         In connection with the acquisition of Dominion  Biologicals  Limited in
December 1996, the Company issued  subordinated  promissory  notes to the former
shareholders of Dominion  totaling  $4,228,200,  bearing  interest at 6% payable
semiannually with principal due in December 1999. The outstanding balance of the
subordinated  promissory notes was $3,894,800 and $3,941,200 at May 31, 1999 and
1998, respectively, including $1,637,500 and $1,656,600 owed to the President of
Dominion Biologicals Limited at May 31, 1999 and 1998, respectively.

                                                      PART IV

Item 14.--Exhibits, Financial Statement Schedules, and Reports on Form 8-K.

(a)      Documents filed as part of this report:

1. Consolidated Financial Statements

         The Consolidated  Financial  Statements,  Notes thereto,  and Report of
         Independent  Auditors  thereon are  included in Part II, Item 8 of this
         report.

2. Consolidated Financial Statement Schedule included in Part II, Item 8 of this
report

         Schedule II -- Valuation and Qualifying Accounts

         Other  financial  statement  schedules  are  omitted  as  they  are not
required or not applicable.

         3.       Exhibits

         3.1        Articles of  Correction  to the  Articles  of  Incorporation
                    (incorporated by reference to Exhibit 3.2 to Immucor, Inc.'s
                    Registration statement of Form S-3 filed on May 20, 1999).

         3.2        Amended and  Restated  Bylaws  (amended  and  restated as of
                    April 16,  1999)  (incorporated  by  reference  to  Immucor,
                    Inc.'s  Registration  statement of Form S-3 filed on May 20,
                    1999).

         4.1        Immucor,  Inc.  Shareholder  Rights Plan,  adopted April 16,
                    1999  (incorporated  by  reference  to Exhibit 1 to Immucor,
                    Inc.'s Current Report on Form 8-K dated April 16, 1999).

         10.1       Standard  Industrial Lease, dated July 21, 1982, between the
                    Company and Colony Center,  Ltd.  (incorporated by reference
                    to Exhibit  10.2 to Immucor,  Inc.'s  Annual  Report on Form
                    10-K for the fiscal year ended May 31, 1985).

         10.1-1     Lease Amendment dated June 28, 1989, between the Company and
                    Colony Center,  Ltd.  (incorporated  by reference to Exhibit
                    10.1-1  to  Immucor's  Annual  Report  on Form  10-K for the
                    fiscal year ended May 31, 1989).

         10.1-2     Lease Amendment dated November 8, 1991,  between the Company
                    and  Colony  Center,  Ltd.  (incorporated  by  reference  to
                    Exhibit  10.1-1 to Immucor's  Annual Report on Form 10-K for
                    the fiscal year ended May 31, 1992).

         10.1-3     Lease Agreement, dated February 2, 1996, between the Company
                    and    Connecticut    General   Life   Insurance    Company.
                    (incorporated  by reference  to Exhibit  10.1-3 to Immucor's
                    Annual Report on Form 10-K for the fiscal year ended May 31,
                    1996).

         10.1-4     Lease  Amendment,  dated  March 8, 1998, between the Company
                    and  Connecticut  General  Life Insurance Company.

         10.1-5     Lease  Amendment, dated August 11, 1999, between the Company
                    and  Connecticut  General  Life Insurance Company.

         10.2       Agreement, dated March 11, 1983, between the Company and The
                    Kansas  City  Group,  as amended  through  January  21, 1985
                    (incorporated  by reference to Exhibit 10.2 to  Registration
                    Statement No. 33-16275 on Form S-1).

         10.3       Agreement dated August 27, 1987, between the Company and the
                    Kansas City Group  amending  Exhibit 10.2  (incorporated  by
                    reference to Exhibit 10.3 to Immucor's Annual Report on Form
                    10-K for the fiscal year ended May 31, 1989).

         10.4       United  States  Department  of  Health  and  Human  Services
                    Establishment  License  dated  December  28,  1982,  for the
                    manufacture   of  biological   products   (incorporated   by
                    reference to Exhibit  10.12 to  Registration  Statement  No.
                    33-966 on Form S-1).

         10.5       United  States  Department  of  Health  and  Human  Services
                    Product License dated December 28, 1982, for the manufacture
                    and  sale  of  reagent  red  blood  cells  (incorporated  by
                    reference to Exhibit  10.13 to  Registration  Statement  No.
                    33-966 on Form S-1).

         10.6       United  States  Department  of  Health  and  Human  Services
                    Product  License dated May 20, 1983, for the manufacture and
                    sale of blood  grouping sera  (incorporated  by reference to
                    Exhibit 10.14 to  Registration  Statement No. 33-966 on Form
                    S-1).

         10.7       United  States  Department  of  Health  and  Human  Services
                    Product  License date November 18, 1983, for the manufacture
                    and sale of anti-human  serum  (incorporated by reference to
                    Exhibit 10.15 to  Registration  Statement No. 33-966 on Form
                    S-1).

         10.8*      Employment Agreement dated October 13, 1998, between the
                    Company and Edward L. Gallup.

         10.9*      Employment Agreement dated October 13, 1998, between the
                    Company and Ralph A. Eatz.

         10.10*     Employment  Agreement  dated  September  12,  1990,  between
                    Immucor GmbH and Josef Wilms  (incorporated  by reference to
                    Exhibit  10.11 to Immucor,  Inc.  Annual Report on Form 10-K
                    for the fiscal year ended May 31, 1991).

         10.11*     Agreement  dated December 31, 1993,  between Immucor Italia,
                    S.r.l.  and  Dr.  Gioacchino  De  Chirico  (incorporated  by
                    reference to Exhibit 10.12 to Immucor, Inc. Annual Report on
                    Form 10-K for the fiscal year ended May 31, 1995).

         10.12*     Agreement  dated December 31, 1993,  between Immucor Italia,
                    S.r.l.  and  Dr.  Gioacchino  De  Chirico  (incorporated  by
                    reference to Exhibit 10.13 to Immucor, Inc. Annual Report on
                    Form 10-K for the fiscal year ended May 31, 1995).

         10.13*     Severance Agreement dated October 13, 1998, between Immucor
                    Inc. and Dr. Gioacchino De Chirico.

         10.14*     1999 Stock Option Plan, including form of Stock Option
                    Agreement used thereunder.

         10.15*     1995  Stock  Option  Plan,  including  form of Stock  Option
                    Agreement  used  thereunder  (incorporated  by  reference to
                    Exhibit  10.14 to Immucor,  Inc.  Annual Report on Form 10-K
                    for the fiscal year ended May 31, 1995).

         10.16*     1990  Stock  Option  Plan,  including  form of Stock  Option
                    Agreement  used  thereunder  (incorporated  by  reference to
                    Exhibit  10.15 to Immucor,  Inc.  Annual Report on Form 10-K
                    for the fiscal year ended May 31, 1995).
         .
         10.17*     Description of 1983 and 1984 Salary  Reduction Plans
                    (incorporated by reference to Exhibit 10.9 to Immucor,
                    Inc.'s Annual Report on Form 10-K for the fiscal year ending
                    May 31, 1985).

         10.18*     Description  of 1983  Stock  Option  Plan  (incorporated  by
                    reference to Exhibit 10.10 to Immucor,  Inc.'s Annual Report
                    on Form 10-K for the fiscal year ending May 31, 1985).

         10.19*     1986  Incentive  Stock Option  Plan,  amended July 29, 1987,
                    including  form of Stock Option  Agreement  used  thereunder
                    (incorporated  by reference to Exhibit 10.9 to  Registration
                    Statement No. 33-16275 on Form S-1).

         10.20*     Employment Agreement dated October 13, 1998, between the
                    Company and Steven C. Ramsey.

         10.21*     Agreement  dated July 26, 1997 between the Company and Josef
                    Wilms   (incorporated  by  reference  to  Exhibit  10.20  to
                    Immucor, Inc. Annual Report on Form 10-K for the fiscal year
                    ended May 31, 1998).
         .
         10.22*     Employment Agreement dated October 13, 1998, between the
                    Company and Patrick Waddy.

         10.23      Loan  Agreement  between  Immucor,  Inc. and Wachovia  Bank,
                    National Association dated October 27, 1998 (incorporated by
                    reference to Exhibit 10.1 to Immucor,  Inc. Quarterly Report
                    on Form  10-Q for the  fiscal  quarter  ended  November  30,
                    1998).

         10.24      First Modification of Loan Agreement dated April 30, 1999.


         21         Subsidiaries of the Registrant.

         23.1       Consent of Ernst & Young LLP.

         27         Financial Data Schedule

    *Denotes a management contract or compensatory plan or arrangement.

(b)      Reports on Form 8-K

         The Company filed a Current  Report on Form 8-K April 19,1999  relating
         to its adoption of a Shareholder Rights Agreement on April 16, 1999.

(c)      Exhibits

         The exhibits  required to be filed with this Annual Report on Form 10-K
         pursuant to Item 601, of Regulation S-K are listed under  "Exhibits" in
         Part IV,  Item  14(a)(3) of this  Annual  Report on Form 10-K,  and are
         incorporated herein by reference.

(d)      Financial Statement Schedule

         The Financial  Statement Schedule required to be filed with this Annual
         Report on Form 10-K is listed under "Financial  Statement  Schedule" in
         Part IV,  Item  14(a)(2)  of this  Annual  Report on Form 10-K,  and is
         incorporated herein by reference.


<PAGE>


                                                     SIGNATURES

         Pursuant to the  requirements  of Section 13 or 15(d) of the Securities
Exchange Act of 1934, the registrant has duly caused this report to be signed on
its behalf by the undersigned, thereunto duly authorized.

IMMUCOR, INC.

By:      /s/ EDWARD L. GALLUP
         Edward L. Gallup, Chairman of the Board of Directors,
         President and Chief Executive Officer
         August 30, 1999

Pursuant to the requirements of the Securities Exchange Act of 1934, this report
has been signed below by the following  persons on behalf of the  registrant and
in the capacities and on the dates indicated.

/s/ EDWARD L. GALLUP
Edward L. Gallup, Director, Chairman of the Board of Directors,
President and Chief Executive Officer
(Principal Executive Officer)
August 30, 1999

/s/ STEVEN C. RAMSEY
Steven C. Ramsey, Vice President - Chief Financial Officer and Secretary
(Principal Financial and Accounting Officer)
August 30, 1999

/s/RALPH A. EATZ
Ralph A. Eatz, Director, Senior Vice President - Operations
August 30, 1999

/s/ PATRICK WADDY
Patrick Waddy, European Finance Director and President of Dominion
Biologicals Limited
August 30, 1999

/s/DANIEL T. MCKEITHAN
Daniel T. McKeithan, Director
August 30, 1999

/s/G. BRUCE PAPESH
G. Bruce Papesh, Director
August 30, 1999

/s/ DIDIER L. LANSON
Didier L. Lanson, Director
August 30, 1999

/s/ DR. GIOACCHINO DE CHIRICO
Dr. Gioacchino De Chirico, Director, Director of European Operations and
President of Immucor Italia S.r.l.
August 30, 1999

/s/ DENNIS M. SMITH
Dennis M. Smith, Jr., M.D., Director
August 30, 1999

/s/JOSEPH E. ROSEN
Joseph E. Rosen, Director
August 30, 1999


<PAGE>


EXHIBIT INDEX


Number                                      Description

3.1        Articles  of  Incorporation  (composite  as  of  December  22,  1989)
           (incorporated  by  reference  to  Exhibit  3.1  to  Immucor,   Inc.'s
           Quarterly  Report on Form 10-Q for the fiscal  quarter ended November
           30, 1989).

3.2        Bylaws (amended and restated as of August 28, 1991)  (incorporated by
           reference to Exhibit 19 to Immucor,  Inc.'s  Quarterly Report on Form
           10-Q for the fiscal quarter ended August 31, 1991).

4.1        Immucor,   Inc.  Shareholder  Rights  Plan,  adopted  April  7,  1989
           (incorporated by reference to Exhibit 4.1 to Immucor,  Inc.'s Current
           Report on Form 8-K dated April 7, 1989).

10.1       Standard  Industrial Lease,  dated July 21, 1982, between the Company
           and Colony Center, Ltd. (incorporated by reference to Exhibit 10.2 to
           Immucor,  Inc.'s Annual Report on Form 10-K for the fiscal year ended
           May 31, 1985).

10.1-1     Lease Amendment  dated June 28, 1989,  between the Company and Colony
           Center,  Ltd.   (incorporated  by  reference  to  Exhibit  10.1-1  to
           Immucor's  Annual  Report on Form 10-K for the fiscal  year ended May
           31, 1989).

10.1-2     Lease  Amendment  dated  November  8, 1991,  between  the Company and
           Colony Center,  Ltd.  (incorporated by reference to Exhibit 10.1-1 to
           Immucor's  Annual  Report on Form 10-K for the fiscal  year ended May
           31, 1992).

10.1-3     Lease  Agreement  dated  February  2, 1996,  between  the Company and
           Connecticut   General  Life  Insurance   Company.   (incorporated  by
           reference to Exhibit  10.1-3 to Immucor's  Annual Report on Form 10-K
           for the fiscal year ended May 31, 1996).

10.1-4     Lease  Amendment dated March 8, 1998,  between the Company and
           Connecticut  General Life Insurance Company.

10.1-5     Lease  Amendment  dated  August 11,  1999,  between  the  Company and
           Connecticut General Life Insurance Company.

10.2       Agreement,  dated March 11, 1983,  between the Company and The Kansas
           City Group,  as amended  through  January 21, 1985  (incorporated  by
           reference to Exhibit 10.2 to  Registration  Statement No. 33-16275 on
           Form S-1).

10.3       Agreement  dated August 27, 1987,  between the Company and the Kansas
           City Group  amending  Exhibit  10.2  (incorporated  by  reference  to
           Exhibit 10.3 to Immucor's  Annual  Report on Form 10-K for the fiscal
           year ended May 31, 1989).

10.4       United States  Department of Health and Human Services  Establishment
           License dated  December 28, 1982,  for the  manufacture of biological
           products  (incorporated by reference to Exhibit 10.12 to Registration
           Statement No. 33-966 on Form S-1).

10.5       United States Department of Health and Human Services Product License
           dated December 28, 1982, for the  manufacture and sale of reagent red
           blood  cells   (incorporated   by  reference  to  Exhibit   10.13  to
           Registration Statement No. 33-966 on Form S-1).

10.6       United States Department of Health and Human Services Product License
           dated May 20, 1983,  for the  manufacture  and sale of blood grouping
           sera  (incorporated  by  reference to Exhibit  10.14 to  Registration
           Statement No. 33-966 on Form S-1).

10.7       United States Department of Health and Human Services Product License
           date November 18, 1983,  for the  manufacture  and sale of anti-human
           serum  (incorporated  by reference to Exhibit  10.15 to  Registration
           Statement No. 33-966 on Form S-1).

10.8*      Employment  Agreement  dated  October 13,  1998,  between the Company
           and Edward L.Gallup.

10.9*      Employment  Agreement  dated  October  13,  1998, between the Company
           and Ralph A. Eatz.

10.10*     Employment Agreement dated September 12, 1990,  between  Immucor GmbH
           and Josef Wilms (incorporated  by reference to Exhibit 10.11 to
           Immucor,  Inc. Annual Report on Form 10-K for the fiscal year ended
           May 31, 1991).

10.11*     Agreement dated December 31, 1993, between Immucor Italia, S.r.l. and
           Dr. Gioacchino De Chirico (incorporated by reference to Exhibit 10.12
           to Immucor, Inc. Annual Report on Form 10-K for the fiscal year ended
           May 31, 1995).

10.12*     Agreement dated December 31, 1993, between Immucor Italia, S.r.l. and
           Dr. Gioacchino De Chirico (incorporated by reference to Exhibit 10.13
           to Immucor, Inc. Annual Report on Form 10-K for the fiscal year ended
           May 31, 1995).

10.13*     Severance  Agreement  dated  October  13,  1998,  between  Immucor,
           Inc.  and  Dr. Gioacchino De Chirico.

10.14*     1999 Stock Option Plan, including form of Stock Option Agreement used
           thereunder.

10.15*     1995 Stock Option Plan, including form of Stock Option Agreement used
           thereunder  (incorporated  by reference to Exhibit  10.14 to Immucor,
           Inc.  Annual  Report on Form 10-K for the  fiscal  year ended May 31,
           1995).

10.16*     1990 Stock Option Plan, including form of Stock Option Agreement used
           thereunder  (incorporated  by reference to Exhibit  10.15 to Immucor,
           Inc.  Annual  Report on Form 10-K for the  fiscal  year ended May 31,
           1995).

10.17*     Description of 1983 and 1984 Salary Reduction Plans  (incorporated by
           reference to Exhibit 10.9 to Immucor,  Inc.'s  Annual  Report on Form
           10-K for the fiscal year ending May 31, 1985).

10.18*     Description of 1983 Stock Option Plan  (incorporated  by reference to
           Exhibit  10.10 to Immucor,  Inc.'s Annual Report on Form 10-K for the
           fiscal year ending May 31, 1985).

10.19*     1986 Incentive  Stock Option Plan,  amended July 29, 1987,  including
           form of Stock  Option  Agreement  used  thereunder  (incorporated  by
           reference to Exhibit 10.9 to  Registration  Statement No. 33-16275 on
           Form S-1).

10.20*     Employment Agreement dated October 13, 1998,  between the Company and
           Steven C. Ramsey.

10.21*     Agreement  date July 26,  1997,  between  the Company and Josef Wilms
           (incorporated  by reference to Exhibit 10.20 to Immucor,  Inc. Annual
           Report on Form 10-K for the fiscal year ended May 31, 1998).

10.22*     Employment Agreement dated October 13, 1998, between the Company and
           Patrick Waddy

10.23      Loan Agreement  between  Immucor,  Inc. and Wachovia  Bank,  National
           Association  dated  October 27, 1998  (incorporated  by  reference to
           Exhibit 10.1 to Immucor,  Inc.  Quarterly Report on Form 10-Q for the
           fiscal quarter ended November 30, 1998).

10.24      First Modification of Loan Agreement dated April 30, 1999.

21         Subsidiaries of the Registrant.

23.1       Consent of Ernst & Young LLP

27         Financial Data Schedule

    *Denotes a management contract or compensatory plan or arrangement.