----

----

| T | QUARTERLY                  REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE                  ACT OF                  1934 |
|---|--------------------------------------------------------------------------------------------------------------------------------------------|

| o | TRANSITION                  REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE                  ACT OF                  1934 |
|---|---------------------------------------------------------------------------------------------------------------------------------------------|

| Pennsylvania                                                                    |   | 23-1683282                                            |
|---------------------------------------------------------------------------------|--------|-------------------------------------------------------|
| (State                  or other jurisdiction of incorporation or organization) |   | (I.R.S.                  Employer Identification No.) |
|                                                                            |   |                                                  |
| 160                  Cassell Road, P.O. Box 144                                 |   |                                                  |
|   Harleysville,                  Pennsylvania                         |   | 19438                                                 |
| (Address                  of principal executive offices)                       |   | (Zip                  Code)                           |

| 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 check mark whether the Registrant is a large accelerated                      filer, an                      accelerated filer or a non-accelerated filer. See definition                      of                      “accelerated filer and large accelerated filer” in Rule 12b-2 of the                      Exchange Act. Large accelerated filer [   ] Accelerated filer [                      X ] Non-accelerated filer [   ]                                                                                                                    |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |
| Indicate                      by check mark whether the Registrant is a shell company (as                      defined in                      Rule 12b-2 of the Exchange Act). Yes [   ]   No [ X                      ]                                                                                                                                                                                                                                                                                                                                     |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |
|                     As                    of April 30, 2007 the Registrant had 11,220,577 Common Shares,                    par value                    of $.10 per share, issued and                    outstanding.                                                                                                                                                                                                                                                                                                |

----

----

----

|   | · | Part                  I – Item 1 – Financial Statements |
|--------|--------|---------------------------------------------------------------------|

|   | · | Part                  I – Item 2 – Management’s Discussion and Analysis of Financial Condition                  and Results of Operations |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Part                  I – Item 4 – Controls and Procedures |
|--------|--------|------------------------------------------------------------------------|

|   | · | Part                  II – Item 6 – Exhibits |
|--------|--------|----------------------------------------------------------|

----

INDEX

| PART                  I – FINANCIAL INFORMATION |                                                                                                                                                        |                                                                                                                                                      |
|-------------------------------------------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------|
|                                                  |                                                                                                                                                        |                                                                                                                                                      |   |   |
| Item                  1.                              |                                                                                                                                                        | Financial                  Statements                                                                                                                     |   |   |
|                                                  |                                                                                                                                                        |                                                                                                                                                      |   |   |
|                                                  | Consolidated                  Balance Sheet (Restated) as of April 30, 2007 and                  January 31, 2007                                           |                                                                                                                                                      | 3 |
|                                                  | Consolidated                  Statement of Operations (Restated) for the                  three-month periods ended April 30, 2007 and 2006                 |                                                                                                                                                      | 4 |
|                                                  | Consolidated                  Statement of Shareholders’ Equity (Restated) for                  the three-month periods ended April 30, 2007 and 2006 |                                                                                                                                                      | 5 |
|                                                  | Consolidated                  Statement of Cash Flows (Restated) for the                  three-month periods ended April 30, 2007 and 2006                 |                                                                                                                                                      | 6 |
|                                                  | Notes                  to Consolidated Financial Statements                                                                                                 |                                                                                                                                                      | 7 |
|                                                  | Report                  of Independent Registered Public Accounting                  Firm                                                                   |                                                                                                                                                      | 17 |
|                                                  |                                                                                                                                                        |                                                                                                                                                      |   |   |
| Item                  2.                              |                                                                                                                                                        | Management’s                  Discussion and Analysis of Financial Condition                  and                  Results of Operations (Restated) |   |  18 |
|                                                  |                                                                                                                                                        |                                                                                                                                                      |   |   |
| Item                  3.                              |                                                                                                                                                        | Qualitativeand                  Quantitative                  Disclosures about Market Risk                                                               |   | 24 |
|                                                  |                                                                                                                                                        |                                                                                                                                                      |   |   |
| Item                  4.                              |                                                                                                                                                        | Controls                  and                  Procedures (Restated)                                                                                 |   | 24 |
|                                                  |                                                                                                                                                        |                                                                                                                                                      |   |   |
|                                                  |                                                                                                                                                        |                                                                                                                                                      |   |   |
| PART                  II – OTHER INFORMATION    |                                                                                                                                                        |                                                                                                                                                      |
|                                                  |                                                                                                                                                        |                                                                                                                                                      |   |   |
| Item                  1.                              |                                                                                                                                                        | Legal                  Proceedings                                                                                                                        |   | 25 |
|                                                  |                                                                                                                                                        |                                                                                                                                                      |   |   |
| Item                  1A.                             |                                                                                                                                                        | Risk                  Factors                                                                                                                             |   | 26 |
|                                                  |                                                                                                                                                        |                                                                                                                                                      |   |   |
| Item                  2.                              |                                                                                                                                                        | Unregistered                  Sales of Equity Securities and Use of                  Proceeds                                                             |   | 26 |
|                                                  |                                                                                                                                                        |                                                                                                                                                      |   |   |
| Item                  3.                              |                                                                                                                                                        | Defaults                  Upon Senior Securities                                                                                                          |   | 26 |
|                                                  |                                                                                                                                                        |                                                                                                                                                      |   |   |
| Item                  4.                              |                                                                                                                                                        | Submission                  of Matters to a Vote of Security                  Holders                                                                     |   | 27 |
|                                                  |                                                                                                                                                        |                                                                                                                                                      |   |   |
| Item                  5.                              |                                                                                                                                                        | Other                  Information                                                                                                                        |   | 27 |
|                                                  |                                                                                                                                                        |                                                                                                                                                      |   |   |
| Item                  6.                              |                                                                                                                                                        | Exhibits                                                                                                                                                  |   | 27 |
|                                                  |                                                                                                                                                        |                                                                                                                                                      |   |   |
|                                                  |                                                                                                                                                        |                                                                                                                                                      |   |   |
| SIGNATURES                                            |                                                                                                                                                        | 28                                                                                                                                                        |

----

Index

ET

CONSOLIDATED

| PART                    I – FINANCIAL INFORMATION                                                                                                                                                                                                                                    |        |                              |             |              |                                |        |
|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|------------------------------|-------------|--------------|--------------------------------|--------|
|                                                                                                                                                                                                                                                                                       |   |                         |        |         |                           |   |
| Item                    1.  Financial                    Statements                                                                                                                                                                                                              |        |                              |             |              |                                |        |
|                                                                                                                                                                                                                                                                                       |        |                              |             |              |                                |        |
|                                                                                                                                                                                                                                                                                       |        | April                    30, |             |              | January                    31, |        |
| ASSETS                                                                                                                                                                                                                                                                                     |   | 2007                         |        |         | 2007                           |   |
|                                                                                                                                                                                                                                                                                       |        | (Restated)                   |             |              | (Restated)                     |        |
| Current                    assets                                                                                                                                                                                                                                                          |        |                              |             |              |                                |        |
| Cash                    and cash equivalents                                                                                                                                                                                                                                               |        | $                            | 24,354,204  |              |                                | $      | 17,322,194 |  |
| Marketable                    securities                                                                                                                                                                                                                                                   |        |                              | 27,897      |              |                                |        | 24,090 |  |
| Accounts                    receivable, net of allowance for doubtful accounts of approximately                    $156,000 and $133,000, respectively                                                                                                                                     |        |                              | 18,170,299  |              |                                |        | 19,988,097 |  |
| Inventories                                                                                                                                                                                                                                                                                |        |                              | 21,562,232  |              |                                |        | 19,720,842 |  |
| Prepaid                    expenses, deposits and other current assets                                                                                                                                                                                                                     |   |                         | 2,058,342   |         |                           |   | 1,748,130 |   |
| Total                    current assets                                                                                                                                                                                                                                                    |        |                              | 66,172,974  |              |                                |        | 58,803,353 |  |
|                                                                                                                                                                                                                                                                                       |   |                         |        |         |                           |   |   |   |
| Property,                    plant and equipment, net                                                                                                                                                                                                                                      |        |                              | 16,114,947  |              |                                |        | 16,832,988 |  |
| Costs                    in excess of net assets of businesses acquired, net                                                                                                                                                                                                               |        |                              | 20,798,913  |              |                                |        | 20,798,913 |  |
| Other                    assets                                                                                                                                                                                                                                                            |   |                         | 300,022     |         |                           |   | 306,403 |   |
| Total                    assets                                                                                                                                                                                                                                                            |   | $                            | 103,386,856 |         |                      | $      | 96,741,657 |   |
|                                                                                                                                                                                                                                                                                       |        |                              |             |              |                                |        |  |  |
| LIABILITIES                    AND SHAREHOLDERS' EQUITY                                                                                                                                                                                                                                    |   |                         |        |         |                           |   |   |   |
| Current                    liabilities                                                                                                                                                                                                                                                     |        |                              |             |              |                                |        |  |  |
| Current                    portion of long-term debt                                                                                                                                                                                                                                       |        | $                            | 1,979,722   |              |                                | $      | 1,955,202 |  |
| Accounts                    payable                                                                                                                                                                                                                                                        |        |                              | 6,540,689   |              |                                |        | 6,419,951 |  |
| Accrued                    salaries, wages and expenses                                                                                                                                                                                                                                    |        |                              | 4,700,768   |              |                                |        | 4,005,300 |  |
| Dividend                    payable                                                                                                                                                                                                                                                        |        |                              | 757,389     |              |                                |        | 757,029 |  |
| Customers'                    advances                                                                                                                                                                                                                                                     |        |                              | 2,942,885   |              |                                |        | 981,680 |  |
| Deferred                    income taxes                                                                                                                                                                                                                                                   |   |                         | 242,457     |         |                      |   | 245,231 |   |
| Total                    current liabilities                                                                                                                                                                                                                                               |        |                              | 17,163,910  |              |                                |        | 14,364,393 |  |
|                                                                                                                                                                                                                                                                                       |   |                         |        |         |                           |   |   |   |
| Long-term                    debt                                                                                                                                                                                                                                                          |        |                              | 5,034,456   |              |                                |        | 5,417,990 |  |
| Other                    non-current liabilities                                                                                                                                                                                                                                           |        |                              | 3,317,132   |              |                                |        | 3,276,551 |  |
| Deferred                    income taxes                                                                                                                                                                                                                                                   |   |                         | 2,290,532   |         |                      |   | 1,369,591 |   |
| Total                    liabilities                                                                                                                                                                                                                                                       |   |                         | 27,806,030  |    |                      |   | 24,428,525 |   |
|                                                                                                                                                                                                                                                                                       |        |                              |             |              |                                |        |  |  |
| Shareholders'                    equity                                                                                                                                                                                                                                                    |        |                              |             |              |                                |        |  |  |
| Common                    shares, $.10 par value; 18,000,000 shares authorized, 12,846,608                    shares                    issued, of which 1,626,031 and 1,631,364 shares were reacquired                    and held                    in treasury at the respective dates |        |                              | 1,284,661   |              |                                |        | 1,284,661 |  |
| Additional                    paid-in capital                                                                                                                                                                                                                                              |        |                              | 8,039,875   |              |                                |        | 7,910,708 |  |
| Retained                    earnings                                                                                                                                                                                                                                                       |        |                              | 77,496,889  |              |                                |        | 74,657,888 |  |
| Accumulated                    other comprehensive income (loss)                                                                                                                                                                                                                           |        |                              | 228,458     |              |                                |        | (33,471 | ) |
| Treasury                    shares, at cost                                                                                                                                                                                                                                                |   |                         | (11,469,057 | )            |                           |   | (11,506,654 | ) |
| Total                    shareholders' equity                                                                                                                                                                                                                                              |   |                         | 75,580,826  |         |                           |   | 72,313,132 |   |
| Total                    liabilities and shareholders' equity                                                                                                                                                                                                                              |   | $                            | 103,386,856 |         |                           | $      | 96,741,657 |   |
| See                    accompanying notes to consolidated financial statements.                                                                                                                                                                                                            |        |                              |             |              |                                |

----

Index

ET

CONSOLIDATED

|                                                                 |   | Three                  Months EndedApril                  30, |       |
|----------------------------------------------------------------------|--------|---------------------------------------------------------------|------------|
|                                                                 |   | 2007                                                          |       |   | 2006 |   |
|                                                                 |   | (Restated)                                                    |       |   |   |   |
| Net                  sales                                           |   | $                                                             | 20,816,113 |   |   | $ | 19,779,041 |   |
| Cost                  of goods sold                                  |   |                                                          | 14,131,912 |   |   |   | 13,923,682 |   |
| Gross                  profit                                        |   |                                                          | 6,684,201  |   |   |   | 5,855,359 |   |
|                                                                 |   |                                                          |       |   |   |   |   |   |
| Operating                  expenses (income)                         |   |                                                          |       |   |   |   |   |   |
| Selling                                                              |   |                                                          | 2,069,877  |   |   |   | 1,896,179 |   |
| General                  and administrative                          |   |                                                          | 2,483,853  |   |   |   | 2,358,513 |   |
| Gain                  on sale of building                            |   |                                                          | (3,513,940 | ) |   |   | - |   |
|                                                                 |   |                                                          | 1,039,790  |   |   |   | 4,254,692 |   |
| Income                  from operations                              |   |                                                          | 5,644,411  |   |   |   | 1,600,667 |   |
|                                                                 |   |                                                          |       |   |   |   |   |   |
| Interest                  expense                                    |   |                                                          | (80,152    | ) |   |   | (59,805 | ) |
| Other                  income, net                                   |   |                                                          | 217,306    |   |   |   | 234,798 |   |
| Income                  before taxes                                 |   |                                                          | 5,781,565  |   |   |   | 1,775,660 |   |
|                                                                 |   |                                                          |       |   |   |   |   |   |
| Provision                  for taxes                                 |   |                                                          | 2,059,814  |   |   |   | 568,212 |   |
| Net                  income                                          |   | $                                                             | 3,721,751  |   |   | $ | 1,207,448 |   |
| Earnings                  per share, basic (1)                       |   | $                                                             | .33        |   |   | $ | .11 |   |
|                                                                 |   |                                                          |       |   |   |   |   |   |
| Earnings                  per share, diluted (2)                     |   | $                                                             | .32        |   |   | $ | .11 |   |
|                                                                 |   |                                                          |       |   |   |   |   |   |
| Cash                  dividend per share – declared (3)        |   | $                                                             | .0675      |   |   | $ | .0625 |   |
|                                                                 |   |                                                          |       |   |   |   |   |   |
| Cash                  dividend per share – paid  (3) |   | $                                                             | .0675      |   |   | $ | .0625 |   |

|   | (1) | Basic                  earnings per share are based upon the weighted average number of                  shares                  outstanding of 11,220,577 and 11,199,599 for the three-month periods                  ended                  April 30, 2007 and 2006, respectively. |
|--------|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (2) | Diluted                  earnings per share are based upon the weighted average number of                  shares                  outstanding of 11,468,767 and 11,439,813 for the three-month periods                  ended                  April 30, 2007 and 2006, respectively. |
|--------|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (3) | The                  Board of Directors declared quarterly dividends of $.0675 per share                  payable on March 14, 2007 and June 12, 2007 to shareholders of                  record as                  of February 28, 2007 and May 29, 2007, respectively. Quarterly                  dividends                  of $.0625 per share were paid on March 9, 2006 and June 7, 2006                  to                  shareholders of record as of February 24, 2006 and May 26, 2006,                  respectively. |
|--------|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

Index

ET

CONSOLIDATED        

|                                                                                   |   |   |      |   |       |   |      |     |   |   | Accumulated    |    |   |     |          |   |   |   |
|----------------------------------------------------------------------------------------|--------|--------|-----------|--------|------------|--------|-----------|----------|--------|--------|----------------|---------|--------|----------|---------------|--------|--------|--------|
|                                                                                   |   |   |      |   | Additional |   |      |     |   |   | Other          |    |   |     |          |   |   |   |
|                                                                                   |   | Common |      |   | Paid-in    |   |      | Retained |   |   | Comprehensive  |    |   | Treasury |          |   |   |   |
|                                                                                   |   | Shares |      |   | Capital    |   |      | Earnings |   |   | Income/(Loss)  |    |   | Shares   |          |   | Total  |   |
| Balances,                                                                              |   |   |      |   |       |   |      |     |   |   |           |    |   |     |          |   |   |   |
| January                  31, 2007 (Restated)                                           |   | $      | 1,284,661 |   |       | $      | 7,910,708 |     |   | $      | 74,657,888     |    |   | $        | (33,471       | )      |   | $      | (11,506,654 | ) |   | $ | 72,313,132 |   |
|                                                                                   |   |   |      |   |       |   |      |     |   |   |           |    |   |     |          |   |   |   |   |   |   |   |   |   |
| Comprehensive                  income:                                                 |   |   |      |   |       |   |      |     |   |   |           |    |   |     |          |   |   |   |   |   |   |   |   |   |
| Net                  income (Restated)                                                 |   |   | -         |   |       |   | -         |     |   |   | 3,721,751      |    |   |     | -             |   |   |   | - |   |   |   |   |   |
| Adoption                  of FIN No. 48                                                |   |   | -         |   |       |   | -         |     |   |   | (125,000       | )       |   |     | -             |   |   |   | - |   |   |   |   |   |
| Foreign                  currency translation adjustment                               |   |   |  -   |   |       |   |  -   |     |   |   |  -        |    |   |     |  234,333 |   |   |   |  - |   |   |   |   |   |
| Interest                  rate swap,                                                   |   |   | -         |   |       |   | -         |     |   |   | -              |    |   |     |          |   |   |   | - |   |   |   |   |   |
|                        net of tax of ($14,799) |   |   |      |   |       |   |      |     |   |   |           |    |   |     | 25,198        |   |   |   |   |   |   |   |   |   |
| Securities                  available for sale,                                        |   |   | -         |   |       |   | -         |     |   |   | -              |    |   |     |               |   |   |   | - |   |   |   |   |   |
|                         net of tax of ($1,409) |   |   |      |   |       |   |      |     |   |   |           |    |   |     | 2,398         |   |   |   |   |   |   |   |   |   |
| Total                  comprehensive income                                            |   |   |      |   |       |   |      |     |   |   |           |    |   |     |          |   |   |   |   |   |   |   | 3,858,680 |   |
|                                                                                   |   |   |      |   |       |   |      |     |   |   |           |    |   |     |          |   |   |   |   |   |   |   |   |   |
| Dividends                  declared, $.0675 per share                                  |   |   |  -   |   |       |   |  -   |     |   |   |  (757,750 | )  |   |     |  -       |   |   |   |  - |   |   |   |  (757,750 | )  |
| Stock-based                  compensation                                              |   |   | -         |   |       |   | 127,527   |     |   |   | -              |    |   |     | -             |   |   |   | - |   |   |   | 127,527 |   |
| Stock                  option transactions                                             |   |   | -         |   |       |   | 1,640     |     |   |   | -              |    |   |     | -             |   |   |   | 37,597 |   |   |   | 39,237 |   |
| Balances,                                                                              |   |   |      |   |       |   |      |     |   |   |           |    |   |     |          |   |   |   |   |   |   |   |   |   |
| April                  30, 2007 (Restated)                                             |   | $      | 1,284,661 |   |       | $      | 8,039,875 |     |   | $      | 77,496,889     |    |   | $        | 228,458       |   |   | $      | (11,469,057 | ) |   | $ | 75,580,826 |   |

|                                                                            |   |   |      |   |       |   |      |     |   |   |           |    |   |     |     |   |   |   |
|---------------------------------------------------------------------------------|--------|--------|-----------|--------|------------|--------|-----------|----------|--------|--------|----------------|---------|--------|----------|----------|--------|--------|--------|
|                                                                            |   |   |      |   |       |   |      |     |   |   | Accumulated    |    |   |     |     |   |   |   |
|                                                                            |   |   |      |   | Additional |   |      |     |   |   | Other          |    |   |     |     |   |   |   |
|                                                                            |   | Common |      |   | Paid-in    |   |      | Retained |   |   | Comprehensive  |    |   | Treasury |     |   |   |   |
|                                                                            |   | Shares |      |   | Capital    |   |      | Earnings |   |   | Income/(Loss)  |    |   | Shares   |     |   | Total  |   |
| Balances,                  January 31, 2006                                     |   | $      | 1,284,661 |   |       | $      | 7,564,180 |     |   | $      | 70,645,717     |    |   | $        | (321,821 | )      |   | $      | (11,634,499 | ) |   | $ | 67,538,238 |   |
|                                                                            |   |   |      |   |       |   |      |     |   |   |           |    |   |     |     |   |   |   |   |   |   |   |   |   |
| Comprehensive                  income:                                          |   |   |      |   |       |   |      |     |   |   |           |    |   |     |     |   |   |   |   |   |   |   |   |   |
| Net                  income                                                     |   |   | -         |   |       |   | -         |     |   |   | 1,207,448      |    |   |     | -   |   |   |   | - |   |   |   |   |   |
| Foreign                  currency translation adjustment                        |   |   | -         |   |       |   | -         |     |   |   |  -        |    |   |     | 169,659  |   |   |   | - |   |   |   |   |   |
| Interest                  rate swap,                                            |   |   | -         |   |       |   | -         |     |   |   | -              |    |   |     |     |   |   |   | - |   |   |   |   |   |
|                        net of tax of $43,114 |   |   |      |   |       |   |      |     |   |   |           |    |   |     | 89,833   |   |   |   |   |   |   |   |   |   |
| Total                  comprehensive income                                     |   |   |      |   |       |   |      |     |   |   |           |    |   |     |     |   |   |   |   |   |   |   | 1,466,940 |   |
|                                                                            |   |   |      |   |       |   |      |     |   |   |           |    |   |     |     |   |   |   |   |   |   |   |   |   |
| Dividends                  declared, $.0625 per share                           |   |   |  -   |   |       |   |  -   |     |   |   |  (700,287 | )  |   |     |  -  |   |   |   |  - |   |   |   |  (700,287 | )  |
| Stock-based                  compensation                                       |   |   | -         |   |       |   | 81,800    |     |   |   | -              |    |   |     | -        |   |   |   | - |   |   |   | 81,800 |   |
| Stock                  option transactions                                      |   |   | -         |   |       |   | 2,589     |     |   |   | -              |    |   |     | -        |   |   |   | 52,642 |   |   |   | 55,231 |   |
| Balances,                  April 30, 2006                                       |   | $      | 1,284,661 |   |       | $      | 7,648,569 |     |   | $      | 71,152,878     |    |   | $        | (62,329  | )      |   | $      | (11,581,857 | ) |   | $ | 68,441,922 |   |

----

Index

ET

CONSOLIDATED        

|                                                                                                                |   | Three                  Months Ended |       |
|---------------------------------------------------------------------------------------------------------------------|--------|-------------------------------------|------------|
|                                                                                                                |   | April                  30,          |       |
|                                                                                                                |   | 2007                                |       |   | 2006 |   |
|                                                                                                                |   | (Restated)                          |       |   |   |   |
| INCREASE                  (DECREASE) IN CASH AND CASH EQUIVALENTS                                                   |   |
|                                                                                                                |   |
| Cash                  flows from operating activities                                                               |   |                                |       |   |   |   |
| Net                  income                                                                                         |   | $                                   | 3,721,751  |   |   | $ | 1,207,448 |   |
| Adjustments                  to reconcile net income to net cash                  provided by operating activities: |   |                                |       |   |   |   |   |   |
| Depreciation                  and amortization                                                                      |   |                                | 417,784    |   |   |   | 370,964 |   |
| Deferred                  income taxes                                                                              |   |                                | 904,929    |   |   |   | (553 | ) |
| (Gain)                  on sale of property and equipment, net                                                      |   |                                | (3,513,998 | ) |   |   | (4,410 | ) |
| Stock-based                  compensation                                                                           |   |                                | 127,527    |   |   |   | 81,800 |   |
| Allowance                  for doubtful accounts                                                                    |   |                                | 23,302     |   |   |   | (79,003 | ) |
| (Increase)                  decrease in operating assets:                                                           |   |                                |       |   |   |   |   |   |
| Accounts                  receivable                                                                                |   |                                | 1,938,770  |   |   |   | 1,740,117 |   |
| Inventories                                                                                                         |   |                                | (1,739,073 | ) |   |   | (1,147,983 | ) |
| Prepaid                  expenses, deposits and other current assets                                                |   |                                | (296,451   | ) |   |   | 86,777 |   |
| Other                  assets                                                                                       |   |                                | (1,935     | ) |   |   | (2,250 | ) |
| Increase                  (decrease) in operating liabilities:                                                      |   |                                |       |   |   |   |   |   |
| Accounts                  payable and accrued expenses                                                              |   |                                | 580,832    |   |   |   | (1,072,742 | ) |
| Customers’                  advances                                                                          |   |                                | 1,958,922  |   |   |   | 262,518 |   |
| Other                  non-current liabilities                                                                      |   |                                | 40,581     |   |   |   | 549 |   |
| Net                  cash provided by operating activities                                                          |   |                                | 4,162,941  |   |   |   | 1,443,232 |   |
|                                                                                                                |   |                                |       |   |   |   |   |   |
| Cash                  flows from investing activities                                                               |   |                                |       |   |   |   |   |   |
| Proceeds                  from sale of property and equipment                                                       |   |                                | 4,342,598  |   |   |   | 4,410 |   |
| Acquisitions                  of property and equipment                                                             |   |                                | (354,559   | ) |   |   | (2,227,748 | ) |
| Net                  cash provided by (used in) investing activities                                                |   |                                | 3,988,039  |   |   |   | (2,223,338 | ) |
|                                                                                                                |   |                                |       |   |   |   |   |   |
| Cash                  flows from financing activities                                                               |   |                                |       |   |   |   |   |   |
| Proceeds                  from new borrowings                                                                       |   |                                | -          |   |   |   | 3,602,921 |   |
| Reduction                  of debt                                                                                  |   |                                | (367,235   | ) |   |   | (330,508 | ) |
| Exercise                  of stock options                                                                          |   |                                | 39,238     |   |   |   | 55,232 |   |
| Payment                  of dividends                                                                               |   |                                | (757,390   | ) |   |   | (699,820 | ) |
| Net                  cash provided by (used in) financing activities                                                |   |                                | (1,085,387 | ) |   |   | 2,627,825 |   |
| Effect                  of exchange rate changes on cash                                                            |   |                                | (33,583    | ) |   |   | 29,778 |   |
|                                                                                                                |   |                                |       |   |   |   |   |   |
| Net                  increase in cash and cash equivalents                                                          |   |                                | 7,032,010  |   |   |   | 1,877,497 |   |
|                                                                                                                |   |                                |       |   |   |   |   |   |
| Cash                  and cash equivalents at February 1                                                            |   |                                | 17,322,194 |   |   |   | 17,683,305 |   |
| Cash                  and cash equivalents at April 30                                                              |   | $                                   | 24,354,204 |   |   | $ | 19,560,802 |   |

----

Index

ET

NOTES

|                                                   |   | Three                  Months EndedApril                  30, 2007 |       |
|--------------------------------------------------------|--------|--------------------------------------------------------------------|------------|
|                                                   |   | As                  Restated                                       |       |   | As                  Previously Reported |   |
| Consolidated                  Statement of Operations: |   |                                                               |       |   |   |   |
| Net                  sales                             |   | $                                                                  | 20,816,113 |   |   | $ | 21,916,609 |   |
| Net                  income                            |   |                                                               | 3,721,751  |   |   |   | 3,878,243 |   |
| Earnings                  per share, basic             |   | $                                                                  | .33        |   |   | $ | .35 |   |
| Earnings                  per share, diluted           |   | $                                                                  | .32        |   |   | $ | .34 |   |

|                                                                 |   | Period                  EndedApril                  30, 2007 |       |
|----------------------------------------------------------------------|--------|--------------------------------------------------------------|------------|
|                                                                 |   | As                  Restated                                 |       |   | As                  Previously Reported |   |
| Consolidated                  Balance Sheet:                         |   |                                                         |       |   |   |   |
| Accounts                  receivable                                 |   | $                                                            | 18,170,299 |   |   | $ | 20,197,550 |   |
| Inventory                                                            |   |                                                         | 21,562,232 |   |   |   | 20,613,149 |   |
| Prepaid                  expenses, deposits and other current assets |   |                                                         | 2,058,342  |   |   |   | 1,717,692 |   |
| Accounts                  payable                                    |   |                                                         | 6,540,689  |   |   |   | 6,699,695 |   |
| Accrued                  salaries, wages and expenses                |   |                                                         | 4,700,768  |   |   |   | 4,909,644 |   |
| Customers’                  advances                           |   |                                                         | 2,942,885  |   |   |   | 2,892,004 |   |
| Retained                  earnings                                   |   |                                                         | 77,496,889 |   |   |   | 77,917,406 |   |

----

Index

----

Index

|                                     | Three                  Months Ended |
|------------------------------------------|-------------------------------------|
|                                     | April                  30,          |
|                                     | 2007                                |   | 2006 |
| Expected                  term (years)   | 5.0                                 |   | 5.0 |
| Risk-free                  interest rate | 4.50%                  - 4.58%      |   | 3.63%                  - 4.58% |
| Expected                  volatility     | 29%                  - 30%          |   | 30%                  - 32% |
| Dividend                  yield          | 1.86%                  - 3.39%      |   | 2.26%                  - 3.39% |

----

Index

|                                                |   |   |    |   |                            |   |    | Weighted                      |   |   |                             |   |
|-----------------------------------------------------|--------|--------|---------|--------|---------------------------------|--------|---------|-------------------------------|--------|--------|----------------------------------|--------|
|                                                |   |   |    |   | Weighted                        |   |    | Average                       |   |   |                             |   |
|                                                |   |   |    |   | Average                         |   |    | Remaining                     |   |   | Aggregate                        |   |
|                                                |   | Shares |    |   | Exercise                  Price |   |    | Life                  (years) |   |   | Intrinsic                  Value |   |
| Options:                                            |   |   |    |   |                            |   |    |                          |   |   |                             |   |
| Outstanding                  at February 1, 2007    |   |   | 956,941 |   |                            | $      | 10.6892 |                          |   |   | 7.49                             |   |   |   |   |
| Granted                                             |   |   | -       |   |                            |   | -       |                          |   |   |                             |   |   |   |   |
| Forfeited                                           |   |   | -       |   |                            |   | -       |                          |   |   |                             |   |   |   |   |
| Expired                                             |   |   | -       |   |                            |   | -       |                          |   |   |                             |   |   |   |   |
| Exercised                                           |   |   | 5,333   |   |                            |   | 7.3575  |                          |   |   |                             |   |   |   |   |
| Outstanding                  at April 30, 2007 |   |   | 951,608 |   |                            | $      | 10.7078 |                          |   |   | 7.25                             |   |   | $ | 4,189,169 |   |
|                                                |   |   |    |   |                            |   |    |                          |   |   |                             |   |   |   |   |   |
| Exercisable                  at April 30, 2007 |   |   | 716,269 |   |                            | $      | 9.6471  |                          |   |   | 7.25                             |   |   | $ | 3,912,906 |   |

|                              |                                 |   | Options                  Outstanding |   |    | Options                  Exercisable |   |
|-----------------------------------|--------------------------------------|--------|--------------------------------------|--------|---------|--------------------------------------|--------|
|                              |                                 |   |                                 |   |    | Weighted                  Average    |   |   |   |   |   |   |   |   |   |   |
|                              |                                 |   |                                 |   |    | Remaining                            |   |   | Weighted                  Average |   |   |   |   |   | Weighted                  Average |   |
|                              |                                 |   | Shares                               |   |    | Life                  (years)        |   |   | Exercise                  Price |   |   | Shares |   |   | Exercise                  Price |   |
| Range                  of prices: |                                 |   |                                 |   |    |                                 |   |   |   |   |   |   |   |   |   |   |
| $                                 | 5.48                  – 5.99   |   |                                 |   | 32,980  |                                 |   |   | 2.71 |   |   | $ | 5.5533 |   |   |   | 32,980 |   |   | $ | 5.5533 |   |
| $                                 | 6.00                  – 6.99   |   |                                 |   | 64,716  |                                 |   |   | 3.88 |   |   |   | 6.8063 |   |   |   | 64,716 |   |   |   | 6.8063 |   |
| $                                 | 7.00                  – 8.99   |   |                                 |   | 199,898 |                                 |   |   | 5.51 |   |   |   | 7.3744 |   |   |   | 199,898 |   |   |   | 7.3744 |   |
| $                                 | 9.00                  – 11.99  |   |                                 |   | 161,340 |                                 |   |   | 7.93 |   |   |   | 9.8813 |   |   |   | 161,340 |   |   |   | 9.8813 |   |
| $                                 | 12.00                  – 12.99 |   |                                 |   | 313,674 |                                 |   |   | 7.94 |   |   |   | 12.4230 |   |   |   | 257,335 |   |   |   | 12.5047 |   |
| $                                 | 13.00                  – 14.99 |   |                                 |   | 179,000 |                                 |   |   | 9.77 |   |   |   | 14.5300 |   |   |   | - |   |   |   | - |   |
|                              |                                 |   |                                 |   | 951,608 |                                 |   |   | 7.25 |   |   | $ | 10.7078 |   |   |   | 716,269 |   |   | $ | 9.6471 |   |

----

Index

|                              |   | April                  30, |       |   | January                  31, |   |
|-----------------------------------|--------|----------------------------|------------|--------|------------------------------|--------|
|                              |   | 2007                       |       |   | 2007                         |   |
| Raw                  materials    |   | $                          | 14,269,243 |   |                         | $      | 13,596,396 |   |
| Work                  in progress |   |                       | 4,337,645  |   |                         |   | 2,790,042 |   |
| Finished                  goods   |   |                       | 2,955,344  |   |                         |   | 3,334,404 |   |
|                              |   | $                          | 21,562,232 |   |                         | $      | 19,720,842 |   |

|                                              |   | Three                  Months Ended |    |
|---------------------------------------------------|--------|-------------------------------------|---------|
|                                              |   | April                  30,          |    |
|                                              |   | 2007                                |    |   | 2006 |   |
| Cash                  paid during the period for: |   |                                |    |   |   |   |
| Interest                                          |   | $                                   | 88,237  |   |   | $ | 59,277 |   |
| Income                  taxes                     |   |                                | 376,903 |   |   |   | 360,475 |   |

----

Index

|                                                                                                                                                                                                                                                                                                                                                      |   | April                  30, |      |   | January                  31, |   |
|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|----------------------------|-----------|--------|------------------------------|--------|
|                                                                                                                                                                                                                                                                                                                                                      |   | 2007                       |      |   | 2007                         |   |
|                                                                                                                                                                                                                                                                                                                                                      |   |                       |      |   |                         |   |
| Bond                  payable, bank, payable in quarterly installments of $58,460, plus                  interest                  at a rate of 16 basis points below the ninety day LIBOR rate (effective                  interest rate of 5.20% at April 30, 2007), maturing April, 2021,                  collateralized by the Telford, PA building. |   | $                          | 3,273,785 |   |                         | $      | 3,332,246 |   |
|                                                                                                                                                                                                                                                                                                                                                      |   |                       |      |   |                         |   |   |   |
| Note                  payable, bank, payable in quarterly installments of $300,000, plus                  interest at a rate of 75 basis points over the ninety day LIBOR                  rate                  (effective interest rate of 6.11% at April 30, 2007), maturing                  October,                  2008.                          |   |                       | 2,100,000 |   |                         |   | 2,400,000 |   |
|                                                                                                                                                                                                                                                                                                                                                      |   |                       |      |   |                         |   |   |   |
| Note                  payable, bank, payable in quarterly installments of $34,117 (25,000                  Euro),                  plus interest at a fixed rate of 3.82%, maturing January,                  2016.                                                                                                                                       |   |                       | 1,194,114 |   |                         |   | 1,173,061 |   |
|                                                                                                                                                                                                                                                                                                                                                      |   |                       |      |   |                         |   |   |   |
| Line                  of credit, $409,410 (300,000 Euro), payable upon demand, plus interest                  at                  a rate of 70 basis points over the thirty day EURIBOR rate (effective                  interest rate of 4.56% at April 30, 2007).                                                                                       |   |                       | 409,410   |   |                         |   | 391,020 |   |
|                                                                                                                                                                                                                                                                                                                                                      |   |                       |      |   |                         |   |   |   |
|                                                                                                                                                                                                                                                                                                                                                      |   |                       | 6,977,309 |   |                         |   | 7,296,327 |   |
| Less                  current portion                                                                                                                                                                                                                                                                                                                     |   |                       | 1,979,722 |   |                         |   | 1,955,202 |   |
|                                                                                                                                                                                                                                                                                                                                                      |   |                       | 4,997,587 |   |                         |   | 5,341,125 |   |
| Fair                  market value of interest rate swap liability                                                                                                                                                                                                                                                                                        |   |                       | 36,869    |   |                         |   | 76,865 |   |
| Long-term                  portion                                                                                                                                                                                                                                                                                                                        |   | $                          | 5,034,456 |   |                         | $      | 5,417,990 |   |

----

Index

| Year                  Ending |   |   |      |
|------------------------------|--------|--------|-----------|
| January                  31, |   |   |      |
| 2008                         |   | $      | 1,979,722 |   |
| 2009                         |   |   | 1,570,312 |   |
| 2010                         |   |   | 370,308   |   |
| 2011                         |   |   | 370,308   |   |
| 2012                         |   |   | 370,308   |   |
| Thereafter                   |   |   | 2,316,351 |   |
|                         |   | $      | 6,977,309 |   |

|                                                                          |   | April                  30, |     |   | January                  31, |   |
|-------------------------------------------------------------------------------|--------|----------------------------|----------|--------|------------------------------|--------|
|                                                                          |   | 2007                       |     |   | 2007                         |   |
| Interest                  rate swap, net of tax                               |   | $                          | (23,227  | )      |                         | $      | (48,425 | ) |
| Unrealized                  gain on securities available-for sale, net of tax |   |                       | 3,828    |   |                         |   | 1,430 |   |
| Foreign                  currency translation adjustment                      |   |                       | 926,063  |   |                         |   | 691,730 |   |
| Minimum                  pension liability adjustment, net of tax             |   |                       | (678,206 | )      |                         |   | (678,206 | ) |
|                                                                          |   | $                          | 228,458  |   |                         | $      | (33,471 | ) |

----

Index

|                                         |   | Three                  Months EndedApril                  30, |    |
|----------------------------------------------|--------|---------------------------------------------------------------|---------|
|                                         |   | 2007                                                          |    |   | 2006 |   |
| Interest                  income             |   | $                                                             | 222,359 |   |   | $ | 245,091 |   |
| Other                  miscellaneous expense |   |                                                          | (5,053  | ) |   |   | (10,293 | ) |
|                                         |   | $                                                             | 217,306 |   |   | $ | 234,798 |   |

|                                                |   | Pension                  Cost                                 |     |
|-----------------------------------------------------|--------|---------------------------------------------------------------|----------|
|                                                |   | Three                  Months EndedApril                  30, |     |
|                                                |   | 2007                                                          |     |   | 2006 |   |
| Service                  cost                       |   | $                                                             | 37,064   |   |   | $ | 177,062 |   |
| Interest                  cost                      |   |                                                          | 260,041  |   |   |   | 267,907 |   |
| Expected                  return on plan assets     |   |                                                          | (314,875 | ) |   |   | (292,465 | ) |
| Amortization                  of transition asset   |   |                                                          | (371     | ) |   |   | (4,029 | ) |
| Amortization                  of prior service cost |   |                                                          | 8,695    |   |   |   | 24,703 |   |
| Recognized                  net actuarial loss      |   |                                                          | 10,184   |   |   |   | 25,839 |   |
| Net                  periodic benefit cost          |   | $                                                             | 738      |   |   | $ | 199,017 |   |

----

Index

----

Index

|                                                             |   | Three                  Months EndedApril                  30, |       |
|------------------------------------------------------------------|--------|---------------------------------------------------------------|------------|
|                                                             |   | 2007                                                          |       |   | 2006 |   |
| Net                  sales                                       |   | (Restated)                                                    |       |   |   |   |
| Product                  recovery/pollution control technologies |   | $                                                             | 9,446,390  |   |   | $ | 9,298,349 |   |
| Fluid                  handling technologies                     |   |                                                          | 6,054,072  |   |   |   | 5,917,494 |   |
| Filtration/purification                  technologies            |   |                                                          | 5,315,651  |   |   |   | 4,563,198 |   |
|                                                             |   | $                                                             | 20,816,113 |   |   | $ | 19,779,041 |   |
|                                                             |   |                                                          |       |   |   |   |   |   |
| Income                  from operations                          |   |                                                          |       |   |   |   |   |   |
| Product                  recovery/pollution control technologies |   | $                                                             | 677,734    |   |   | $ | 566,714 |   |
| Fluid                  handling technologies                     |   |                                                          | 1,163,314  |   |   |   | 695,544 |   |
| Filtration/purification                  technologies            |   |                                                          | 289,423    |   |   |   | 338,409 |   |
|                                                             |   |                                                          | 2,130,471  |   |   |   | 1,600,667 |   |
| Gain                  on sale of building                        |   |                                                          | 3,513,940  |   |   |   | - |   |
|                                                             |   | $                                                             | 5,644,411  |   |   | $ | 1,600,667 |   |

|                                                             |   | April                  30, |        |   | January                  31, |   |
|------------------------------------------------------------------|--------|----------------------------|-------------|--------|------------------------------|--------|
|                                                             |   | 2007                       |        |   | 2007                         |   |
| Identifiable                  assets                             |   | (Restated)                 |        |   | (Restated)                   |   |
| Product                  recovery/pollution control technologies |   | $                          | 34,072,680  |   |                         | $      | 34,907,323 |   |
| Fluid                  handling technologies                     |   |                       | 20,968,230  |   |                         |   | 21,667,719 |   |
| Filtration/purification                  technologies            |   |                       | 20,822,904  |   |                         |   | 20,514,339 |   |
|                                                             |   |                       | 75,863,814  |   |                         |   | 77,089,381 |   |
| Corporate                                                        |   |                       | 27,523,042  |   |                         |   | 19,652,276 |   |
|                                                             |   | $                          | 103,386,856 |   |                         | $      | 96,741,657 |   |

----

Index

ME

REPORT

|   | /s/                  Margolis &                  Company P.C. |
|--------|-------------------------------------------------------------------|
|   | Certified                  Public Accountants                     |

----

Index

Item

|                                                   |   | Three                  Months EndedApril                  30, 2007 |       |
|--------------------------------------------------------|--------|--------------------------------------------------------------------|------------|
|                                                   |   | As                  Restated                                       |       |   | As                  Previously Reported |   |
| Consolidated                  Statement of Operations: |   |                                                               |       |   |   |   |
| Net                  sales                             |   | $                                                                  | 20,816,113 |   |   | $ | 21,916,609 |   |
| Net                  income                            |   |                                                               | 3,721,751  |   |   |   | 3,878,243 |   |
| Earnings                  per share, basic             |   | $                                                                  | .33        |   |   | $ | .35 |   |
| Earnings                  per share, diluted           |   | $                                                                  | .32        |   |   | $ | .34 |   |

|                                                                 |   | Period                  EndedApril                  30, 2007 |       |
|----------------------------------------------------------------------|--------|--------------------------------------------------------------|------------|
|                                                                 |   | As                  Restated                                 |       |   | As                  Previously Reported |   |
| Consolidated                  Balance Sheet:                         |   |                                                         |       |   |   |   |
| Accounts                  receivable                                 |   | $                                                            | 18,170,299 |   |   | $ | 20,197,550 |   |
| Inventory                                                            |   |                                                         | 21,562,232 |   |   |   | 20,613,149 |   |
| Prepaid                  expenses, deposits and other current assets |   |                                                         | 2,058,342  |   |   |   | 1,717,692 |   |
| Accounts                  payable                                    |   |                                                         | 6,540,689  |   |   |   | 6,699,695 |   |
| Accrued                  salaries, wages and expenses                |   |                                                         | 4,700,768  |   |   |   | 4,909,644 |   |
| Customers’                  advances                           |   |                                                         | 2,942,885  |   |   |   | 2,892,004 |   |
| Retained                  earnings                                   |   |                                                         | 77,496,889 |   |   |   | 77,917,406 |   |

----

Index

|                                                 |   |                                                          |   |
|------------------------------------------------------|--------|---------------------------------------------------------------|--------|
|                                                 |   | Three                  Months EndedApril                  30, |   |
|                                                 |   | 2007                                                          |   |   | 2006 |   |
|                                                 |   | (Restated)                                                    |   |   |
| Net                  sales                           |   |                                                          | 100.0  | % |   |   | 100.0 | % |
| Cost                  of goods sold                  |   |                                                          | 67.9   | % |   |   | 70.4 | % |
| Gross                  profit                        |   |                                                          | 32.1   | % |   |   | 29.6 | % |
|                                                 |   |                                                          |   |   |   |   |   |   |
| Selling                  expenses                    |   |                                                          | 9.9    | % |   |   | 9.6 | % |
| General                  and administrative expenses |   |                                                          | 11.9   | % |   |   | 11.9 | % |
| Gain                  on sale of building            |   |                                                          | (16.8  | %                ) |   |   | - |   |
| Income                  from operations              |   |                                                          | 27.1   | % |   |   | 8.1 | % |
|                                                 |   |                                                          |   |   |   |   |   |   |
| Interest                  expense                    |   |                                                          | (.4    | %                ) |   |   | (.3 | %                ) |
| Other                  income, net                   |   |                                                          | 1.1    | % |   |   | 1.2 | % |
| Income                  before taxes                 |   |                                                          | 27.8   | % |   |   | 9.0 | % |
|                                                 |   |                                                          |   |   |   |   |   |   |
| Provision                  for taxes                 |   |                                                          | 9.9    | % |   |   | 2.9 | % |
| Net                  income                          |   |                                                          | 17.9   | % |   |   | 6.1 | % |

----

Index

| Gross                  sales price                               |   | $      | 4,600,000 |   |
|------------------------------------------------------------------|--------|--------|-----------|--------|
| Less:                  Commission, transfer tax and closing cost |   |   | 273,304   |   |
| Cash                  proceeds                                   |   |   | 4,326,696 |   |
| Less:                  Net book value                            |   |   | 812,756   |   |
| Gain                  before tax                                 |   |   | 3,513,940 |   |
| Tax                                                              |   |   | 1,300,158 |   |
| Gain                  after tax                                  |   | $      | 2,213,782 |   |

----

Index

----

Index

----

Index

| · | the                  write-down of costs in excess of net assets of businesses acquired                  (goodwill), as a result of the determination that the acquired                  business is                  impaired. Our Flex-Kleen business unit, which initially performed                  well                  after being acquired by Met-Pro, thereafter had several years of                  declining                  performance which we attributed primarily to a general weakness                  in its                  served markets, followed by improved performance in the fiscal                  years ended                  January 31, 2007, 2006 and 2005. During the fiscal year ended January                  31,                  2007, we performed an impairment analysis of the $11.1 million                  of goodwill                  that the Company carries for Flex-Kleen and concluded that no impairment                  had occurred. For the three-month period ended April 30, 2007,                  the                  annualized projection for net sales and operating profit for our                  Flex-Kleen business unit currently exceeds the projections used                  in our                  annual impairment model for the fiscal year ended January 31, 2008; |
|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| · | materially                  adverse changes in economic conditions in the markets served by                  us or in                  significant customers of ours; |
|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| · | material                  changes in available technology; |
|--------|------------------------------------------------------------|

| · | adverse                  developments in the asbestos cases that have been filed against                  the                  Company, including without limitation the exhaustion of insurance                  coverage, the insolvency of our insurance carriers, the imposition                  of                  punitive damages or other adverse developments in the availability                  of                  insurance coverage; |
|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| · | changes                  in accounting rules promulgated by regulatory agencies, including                  the SEC,                  which could result in an impact on earnings; |
|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

Index

| · | the                  cost of compliance with Sarbanes-Oxley and other applicable legal                  and                  listing requirements, and the unanticipated possibility that Met-Pro                  may                  not meet these requirements; |
|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| · | unexpected                  results in our product development activities; |
|--------|----------------------------------------------------------------------------|

| · | loss                  of key customers; |
|--------|-----------------------------------------|

| · | changes                  in product mix and the cost of materials, with effect on margins; |
|--------|--------------------------------------------------------------------------------------------|

| · | changes                  in our existing management; |
|--------|------------------------------------------------------|

| · | exchange                  rate fluctuations; |
|--------|----------------------------------------------|

| · | changes                  in federal laws, state laws and regulations; |
|--------|-----------------------------------------------------------------------|

| · | lower                  than anticipated return on investments in the Company’s defined benefit                  plans, which could affect the amount of the Company’s pension liabilities; |
|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| · | the                  assertion of litigation claims that the Company’s products, including                  products produced by companies acquired by the Company, infringe                  third                  party patents or have caused injury, loss or damage; |
|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| · | the                  effect of acquisitions and other strategic ventures; |
|--------|---------------------------------------------------------------------------|

| · | failure                  to properly quote and/or execute customer orders, including                  misspecifications, design, engineering or production errors; |
|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| · | the                  cancellation or delay of purchase orders or shipments; |
|--------|-----------------------------------------------------------------------------|

| · | losses                  related to international sales; and/or |
|--------|----------------------------------------------------------------|

| · | failure                  in execution of acquisition strategy. |
|--------|----------------------------------------------------------------|

Item

Item
Controls        and Procedures (Restated)

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Item        

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Index

Item

Item

| (a) | During                  the first quarter ended April 30, 2007, we did not sell any of                  our equity                  securities that were not registered under the Securities Act of                  1933. |
|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (b) | Not                  applicable. |
|-----|----------------------------------|

| (c) | The                  following table summarizes Met-Pro’s purchases of its Common Shares for                  the quarter ended April 30, 2007: |
|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------|

|                                 |                               |                       |   |   |                        |   |   |                        |   |   |                       |      |
|--------------------------------------|------------------------------------|----------------------------|--------|--------|-----------------------------|--------|--------|-----------------------------|--------|--------|----------------------------|-----------|
|                                 |                               |                       |   |   |                        |   |   | Total                       |   |   | Maximum                    |      |
|                                 |                               |                       |   |   |                        |   |   | Number                  of  |   |   | Number                  of |      |
|                                 |                               |                       |   |   |                        |   |   | Shares                      |   |   | Shares                     |      |
|                                 |                               |                       |   |   |                        |   |   | Purchased                   |   |   | That                  May  |      |
|                                 |                               |                       |   |   |                        |   |   | As                  Part of |   |   | Yet                  Be    |      |
|                                 |                               | Total                      |   |   |                        |   |   | Publicly                    |   |   | Purchased                  |      |
|                                 |                               | Number                  of |   |   | Average                     |   |   | Announced                   |   |   | Under                  the |      |
|                                 |                               | Shares                     |   |   | Price                  Paid |   |   | Plans                  or   |   |   | Plan                  or   |      |
| Period                               |                               | Purchased                  |   |   | Per                  Share  |   |   | Programs                    |   |   | Programs                   |  (1) |
|                                 |                               |                       |   |   |                        |   |   |                        |   |   |                       |      |
| February                  1-28, 2007 |                     |                       | 0      |   |                        | $      | -      |                        |   |   | 0                          |      |   |   | 270,918 |   |
| March                  1-31, 2007    |                               |                       | 0      |   |                        |   | -      |                        |   |   | 0                          |      |   |   | 270,918 |   |
| April                  1-30, 2007    |                               |                       | 0      |   |                        |   | -      |                        |   |   | 0                          |      |   |   | 270,918 |   |
| Total                                |                               |                       | 0      |   |                        | $      | -      |                        |   |   | 0                          |      |   |   | 270,918 |   |

|  | (1) | On                  December 15, 2000, our Board of Directors authorized a Common Share                  repurchase program that was publicly announced on December 19,                  2000, for                  up to 533,333 (adjusted for stock split) shares. The program has                  no fixed                  expiration date. |
|--|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

Item        

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Item

Item

Item

| (a)    | Exhibits                  Required by Item 601 of Regulation S-K |                                                                                                                              |
|--------|------------------------------------------------------------------|-----------------------------------------------------------------------------------------------------------------------------------|
|   |                                                             |                                                                                                                              |
|   | Exhibit                  No.                                     | Description                                                                                                                       |
|   |                                                             |                                                                                                                              |
|   | 31.1                                                             | Certification                  of Chief Executive Officer, under Section                  302 of the Sarbanes-Oxley Act of 2002.* |
|   |                                                             |                                                                                                                              |
|   | 31.2                                                             | Certification                  of Chief Financial Officer, under Section                  302 of the Sarbanes-Oxley Act of 2002.* |
|   |                                                             |                                                                                                                              |
|   | 32.1                                                             | Certification                  of Chief Executive Officer, Pursuant 18                  U.S.C. Section 1350.*                     |
|   |                                                             |                                                                                                                              |
|   | 32.2                                                             | Certification                  of Chief Financial Officer, Pursuant                  18 U.S.C. Section 1350.*                     |

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Index

SIGNATURES

|                               | Met-Pro                  Corporation                                                                                                                                         |
|------------------------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|                               | (Registrant)                                                                                                                                                                 |
|                               |                                                                                                                                                                         |
|                               |                                                                                                                                                                         |
| February                  12, 2008 | /s/                  Raymond J. De Hont                                                                                                                                      |
|                               | Raymond                  J. De Hont                                                                                                                                          |
|                               | Chairman,                  President and Chief Executive Officer                                                                                                             |
|                               |                                                                                                                                                                         |
|                               |                                                                                                                                                                         |
| February                  12, 2008 | /s/                  Gary J. Morgan                                                                                                                                          |
|                               | Gary                  J. Morgan                                                                                                                                              |
|                               | Senior                  Vice President of Finance, Secretary and Treasurer, Chief Financial                  Officer, Chief Accounting Officer and                  Director |

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