----

| (Mark      One)                                                                                      |                                                                                                                 |
|------------------------------------------------------------------------------------------------------|----------------------------------------------------------------------------------------------------------------------|
| ý                                                                                               | QUARTERLY      REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF      1934                    |
|                                                                                                 |                                                                                                                 |
|                                                                                                 | For      the quarter ended March 31, 2008                                                                            |
|                                                                                                 |                                                                                                                 |
|                                                                                                 | OR                                                                                                                   |
|                                                                                                 |                                                                                                                 |
| q                                                                                                    | TRANSITION      REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF      1934 [NO FEE REQUIRED] |
|                                                                                                 |                                                                                                                 |
|                                                                                                 | For      the transition period from _______ to _____                                                                 |
| Commission      file number 0-27887                                                                  |
|                                                                                                 |
|   COLLECTORS      UNIVERSE, INC.(Exact      name of Registrant as specified in itscharter) |

| Delaware                                                                 | 33-0846191                                |
|--------------------------------------------------------------------------|-------------------------------------------|
| (State      or other jurisdiction of                                     | (I.R.S.      Employer Identification No.) |
| Incorporation      or organization)                                      |                                      |
|                                                                     |
| 1921      E. Alton Avenue, Santa Ana, California 92705                   |
| (address of principal executive      offices and zip code)               |
|                                                                     |
|                                                                     |
| Registrant's      telephone number, including area code: (949)  567-1234 |

| Large      accelerated filer o | Accelerated      filer ý | Non-accelerated      filer o |
|--------------------------------|-------------------------------|------------------------------|

|   | Class                             | Outstanding at  April 24,      2008 |
|--------|-----------------------------------|-----------------------------------------------|
|   | Common      Stock $.001 Par Value | 8,451,495                                     |   |
|   |                              |                                          |   |

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| PART      I                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        | Financial      Information                                                                              | Page                                                                                                                                                                          |
|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|---------------------------------------------------------------------------------------------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |                                                                                                    |                                                                                                                                                                          |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               | Item      1.                                                                                            | Financial Statements:                                                                                                                                                         |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |                                                                                                    |                                                                                                                                                                          |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |                                                                                                    | Condensed Consolidated Balance Sheets as      of  March 31, 2008and June      30, 2007 (unaudited)                                                                  | 1 |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |                                                                                                    |                                                                                                                                                                          |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |                                                                                                    | Condensed Consolidated Statements of      Operationsfor the Three and Nine Months Ended March 31,      2008 and 2007 (unaudited)                                              | 2 |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |                                                                                                    |                                                                                                                                                                          |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |                                                                                                    | Condensed Consolidated Statements of Stockholders’      Equity for the Years Ended June 30, 2006and 2007 and the Nine Months Ended March 31,      2008 (unaudited) |  3 |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |                                                                                                    |                                                                                                                                                                          |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |                                                                                                    | Condensed      Consolidated Statements of Cash Flows for      the Nine Months Ended March 31, 2008 and 2007    (unaudited)                                                    | 4 |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |                                                                                                    |                                                                                                                                                                          |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |                                                                                                    | Notes to Condensed Consolidated Financial      Statements (unaudited)                                                                                                         | 6 |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |                                                                                                    |                                                                                                                                                                          |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               | Item      2.                                                                                            | Management's Discussion and Analysis of Financial      Condition and Results of Operations                                                                                    | 20 |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |                                                                                                    | Forward Looking Information                                                                                                                                                   | 20 |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |                                                                                                    | Our Business                                                                                                                                                                  | 20 |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |                                                                                                    | Overview of Results of Operations for the Three and Nine      months Ended March 31, 2008                                                                                     | 21 |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |                                                                                                    | Factors That Can Affect Our Financial Position and      Operating Results                                                                                                     | 22 |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |                                                                                                    | Critical Accounting Policies and      Estimates                                                                                                                               | 24 |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |                                                                                                    | Results of Operations–For the Three and Nine Months Ended      March 31, 2008 versus the     Three      and Nine Months Ended March 31, 2007             |  24 |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |                                                                                                    | Liquidity and Capital Resources                                                                                                                                               | 30 |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |                                                                                                    | Risks and Uncertainties That Could Affect Our Future      Financial Performance                                                                                               | 32 |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |                                                                                                    |                                                                                                                                                                          |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               | Item      2A.                                                                                           | Quantitative and Qualitative Disclosures About Market      Risk                                                                                                               | 34 |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |                                                                                                    |                                                                                                                                                                          |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               | Item      3                                                                                             | Controls and Procedures                                                                                                                                                       | 34 |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |                                                                                                    |                                                                                                                                                                          |   |
| PART      II                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       | Other      Information                                                                                  |                                                                                                                                                                          |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |                                                                                                    |                                                                                                                                                                          |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               | Item      1                                                                                             | Legal Proceedings                                                                                                                                                             | 35 |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               | Item      1A.                                                                                           | Risk Factors                                                                                                                                                                  | 35 |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               | Item      2.                                                                                            | Unregistered Sales of Equity Securities and Use of      Proceeds                                                                                                              | 36 |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               | Item      6.                                                                                            | Exhibits                                                                                                                                                                      | 36 |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |                                                                                                    |                                                                                                                                                                          |
| SIGNATURES                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         |                                                                                                    | S-1                                                                                                                                                                           |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |                                                                                                    |                                                                                                                                                                          |
| INDEX TO      EXHIBITS                                                                                                                                           | E-1                                                                                                     |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |                                                                                                    |                                                                                                                                                                          |
| EXHIBITS                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |                                                                                                    |                                                                                                                                                                          |
| Exhibit 31.1                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       | Certifications      of Chief Executive Officer Under Section 302 of the Sarbanes-Oxley Act of      2002 |                                                                                                                                                                          |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |                                                                                                    |                                                                                                                                                                          |
| Exhibit 31.2                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       | Certifications      of Chief Financial Officer Under Section 302 of the Sarbanes-Oxley Act of      2002 |                                                                                                                                                                          |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |                                                                                                    |                                                                                                                                                                          |
| Exhibit 32.1                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       | Chief      Executive Officer Certification Under Section 906 of the Sarbanes-Oxley      Act of 2002     |                                                                                                                                                                          |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |                                                                                                    |                                                                                                                                                                          |
| Exhibit 32.2                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       | Chief      Financial Officer Certification Under Section 906 of the Sarbanes-Oxley      Act of 2002     |                                                                                                                                                                          |

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FINANCIAL STATEMENTS

COLLECTORS UNIVERSE, INC. AND SUBSIDIARIES

|                                                                                                                                     |   | March      31, |    |   | June      30, |   |
|------------------------------------------------------------------------------------------------------------------------------------------|--------|----------------|---------|--------|---------------|--------|
|                                                                                                                                     |   | 2008           |    |   | 2007          |   |
| ASSETS                                                                                                                                   |   |           |    |   |          |   |
| Current      assets:                                                                                                                     |   |           |    |   |          |   |
| Cash and cash      equivalents                                                                                                           |   | $              | 28,167  |   |          | $      | 42,386 |   |
| Accounts receivable, net of      allowance of $74 at March 31, 2008 and $60 at June 30,2007                                              |   |           | 1,744   |   |          |   | 1,276 |   |
| Refundable income      taxes                                                                                                             |   |           | 1,100   |   |          |   | 1,220 |   |
| Inventories, net                                                                                                                         |   |           | 1,073   |   |          |   | 442 |   |
| Prepaid expenses and other current      assets                                                                                           |   |           | 1,380   |   |          |   | 1,060 |   |
| Customer notes receivable, net of      allowance of $28 at March 31, 2008 and $23 at June 30,2007                                        |   |           | 3,985   |   |          |   | 2,536 |   |
| Net deferred income tax      asset                                                                                                       |   |           | 2,921   |   |          |   | 1,020 |   |
| Receivable from sale of net assets      of discontinued operations                                                                       |   |           | 92      |   |          |   | 92 |   |
| Total current    assets                                                                                                                  |   |           | 40,462  |   |          |   | 50,032 |   |
|                                                                                                                                     |   |           |    |   |          |   |   |   |
| Property      and equipment, net                                                                                                         |   |           | 4,544   |   |          |   | 4,081 |   |
| Goodwill                                                                                                                                 |   |           | 13,038  |   |          |   | 12,884 |   |
| Intangible      assets, net                                                                                                              |   |           | 10,181  |   |          |   | 10,365 |   |
| Note      receivable from sale of discontinued operations                                                                                |   |           | 160     |   |          |   | 229 |   |
| Other      assets                                                                                                                        |   |           | 565     |   |          |   | 510 |   |
|                                                                                                                                     |   | $              | 68,950  |   |          | $      | 78,101 |   |
| LIABILITIES      AND STOCKHOLDERS' EQUITY                                                                                                |   |           |    |   |          |   |   |   |
| Current      liabilities:                                                                                                                |   |           |    |   |          |   |   |   |
| Accounts payable                                                                                                                         |   | $              | 1,434   |   |          | $      | 1,435 |   |
| Accruedliabilities                                                                                                                       |   |           | 1,994   |   |          |   | 2,154 |   |
| Accrued compensation and      benefits                                                                                                   |   |           | 1,486   |   |          |   | 1,988 |   |
| Income taxes    payable                                                                                                                  |   |           | 289     |   |          |   | 14 |   |
| Deferred revenue                                                                                                                         |   |           | 2,530   |   |          |   | 2,233 |   |
| Current liabilities of      discontinued operations held for sale                                                                        |   |           | 4       |   |          |   | - |   |
| Total current      liabilities                                                                                                           |   |           | 7,737   |   |          |   | 7,824 |   |
|                                                                                                                                     |   |           |    |   |          |   |   |   |
| Deferred      rent and other long-term liabilities                                                                                       |   |           | 554     |   |          |   | 517 |   |
| Net      deferred income tax liability                                                                                                   |   |           | 1,118   |   |          |   | 869 |   |
|                                                                                                                                     |   |           |    |   |          |   |   |   |
| Stockholders’      equity:                                                                                                         |   |           |    |   |          |   |   |   |
| Preferred stock, $.001 par value;      5,000 shares authorized; no shares issued or outstanding                                          |   |           | -       |   |          |   | - |   |
| Common stock, $.001 par value;      45,000 shares authorized; 8,451 shares outstanding at      March 31, 2008 and 8,496 at June 30, 2007 |   |           | 8       |   |          |   | 9 |   |
| Additional paid-in      capital                                                                                                          |   |           | 76,481  |   |          |   | 76,737 |   |
| Accumulateddeficit                                                                                                                       |   |           | (16,948 | )      |          |   | (7,855 | ) |
| Total stockholders'      equity                                                                                                          |   |           | 59,541  |   |          |   | 68,891 |   |
|                                                                                                                                     |   | $              | 68,950  |   |          | $      | 78,101 |   |

----

CONDENSED CONSOLIDATED STATEMENTS OFOPERATIONS

|                                                                                                                                                |   | Three      Months Ended |   |   | Nine      Months Ended |   |
|-----------------------------------------------------------------------------------------------------------------------------------------------------|--------|-------------------------|--------|--------|------------------------|--------|
|                                                                                                                                                |   | March      31,          |   |   | March      31,         |   |
|                                                                                                                                                |   | 2008                    |   |   | 2007                   |   |   | 2008 |   |   | 2007 |   |
| Net      Revenues:                                                                                                                                  |   |                    |   |   |                   |   |   |   |   |   |   |   |
| Grading, authentication and      related services                                                                                                   |   | $                       | 10,875 |   |                   | $      | 11,068 |   |   | $ | 30,757 |   |   | $ | 29,629 |   |
| Product sales                                                                                                                                       |   |                    | 21     |   |                   |   | 13 |   |   |   | 928 |   |   |   | 143 |   |
|                                                                                                                                                |   |                    | 10,896 |   |                   |   | 11,081 |   |   |   | 31,685 |   |   |   | 29,772 |   |
| Cost      of Revenues:                                                                                                                              |   |                    |   |   |                   |   |   |   |   |   |   |   |   |   |   |   |
| Grading, authentication and      related services                                                                                                   |   |                    | 5,977  |   |                   |   | 5,130 |   |   |   | 17,153 |   |   |   | 13,753 |   |
| Product sales                                                                                                                                       |   |                    | 20     |   |                   |   | 8 |   |   |   | 841 |   |   |   | 108 |   |
|                                                                                                                                                |   |                    | 5,997  |   |                   |   | 5,138 |   |   |   | 17,994 |   |   |   | 13,861 |   |
| Gross      profit                                                                                                                                   |   |                    | 4,899  |   |                   |   | 5,943 |   |   |   | 13,691 |   |   |   | 15,911 |   |
| Operating      expenses:                                                                                                                            |   |                    |   |   |                   |   |   |   |   |   |   |   |   |   |   |   |
| Selling and marketing      expenses                                                                                                                 |   |                    | 2,164  |   |                   |   | 2,411 |   |   |   | 6,043 |   |   |   | 5,106 |   |
| General and administrative      expenses                                                                                                            |   |                    | 3,960  |   |                   |   | 3,729 |   |   |   | 11,637 |   |   |   | 11,389 |   |
| Amortization of intangible      assets                                                                                                              |   |                    | 317    |   |                   |   | 219 |   |   |   | 873 |   |   |   | 577 |   |
| Total operating      expenses                                                                                                                       |   |                    | 6,441  |   |                   |   | 6,359 |   |   |   | 18,553 |   |   |   | 17,072 |   |
| Operating      loss                                                                                                                                 |   |                    | (1,542 | )      |                   |   | (416 | ) |   |   | (4,862 | ) |   |   | (1,161 | ) |
| Interest      income, net                                                                                                                           |   |                    | 239    |   |                   |   | 511 |   |   |   | 979 |   |   |   | 1,624 |   |
| Other      income                                                                                                                                   |   |                    | 1      |   |                   |   | 2 |   |   |   | 4 |   |   |   | 8 |   |
| Income      (loss) before income taxes                                                                                                              |   |                    | (1,302 | )      |                   |   | 97 |   |   |   | (3,879 | ) |   |   | 471 |   |
| Provision      (benefit) for income taxes                                                                                                           |   |                    | (336   | )      |                   |   | 165 |   |   |   | (1,364 | ) |   |   | 336 |   |
| Income      (loss) from continuing operations                                                                                                       |   |                    | (966   | )      |                   |   | (68 | ) |   |   | (2,515 | ) |   |   | 135 |   |
| Income      (loss) from discontinued operations, net of gains on sales of    discontinued      businesses (net of income taxes) |   |                    | -      |   |                   |   | 99 |   |   |   | (4 | ) |   |   | 190 |   |
| Net      income (loss)                                                                                                                              |   | $                       | (966   | )      |                   | $      | 31 |   |   | $ | (2,519 | ) |   | $ | 325 |   |
|                                                                                                                                                |   |                    |   |   |                   |   |   |   |   |   |   |   |   |   |   |   |
| Net      income (loss) per basic share:                                                                                                             |   |                    |   |   |                   |   |   |   |   |   |   |   |   |   |   |   |
| Income (loss) from continuing      operations                                                                                                       |   | $                       | (0.11  | )      |                   | $      | (0.01 | ) |   | $ | (0.30 | ) |   | $ | 0.02 |   |
| Income from discontinued      operations, net of gains on      sales of     discontinued      businesses (net of income taxes)  |   |                    | -      |   |                   |   | 0.01 |   |   |   | - |   |   |   | 0.02 |   |
| Net      income (loss)                                                                                                                              |   | $                       | (0.11  | )      |                   | $      | - |   |   | $ | (0.30 | ) |   | $ | 0.04 |   |
|                                                                                                                                                |   |                    |   |   |                   |   |   |   |   |   |   |   |   |   |   |   |
| Net      income (loss) per diluted share:                                                                                                           |   |                    |   |   |                   |   |   |   |   |   |   |   |   |   |   |   |
| Income (loss) from continuing      operations                                                                                                       |   | $                       | (0.11  | )      |                   | $      | (0.01 | ) |   | $ | (0.30 | ) |   | $ | 0.02 |   |
| Income from discontinued      operations, net of gains on      sales of    discontinued      businesses (net of income taxes)   |   |                    | -      |   |                   |   | 0.01 |   |   |   | - |   |   |   | 0.02 |   |
| Net      income (loss)                                                                                                                              |   | $                       | (0.11  | )      |                   | $      | - |   |   | $ | (0.30 | ) |   | $ | 0.04 |   |
|                                                                                                                                                |   |                    |   |   |                   |   |   |   |   |   |   |   |   |   |   |   |
| Weighted      average shares outstanding:                                                                                                           |   |                    |   |   |                   |   |   |   |   |   |   |   |   |   |   |   |
| Basic                                                                                                                                               |   |                    | 8,470  |   |                   |   | 8,381 |   |   |   | 8,475 |   |   |   | 8,346 |   |
| Diluted                                                                                                                                             |   |                    | 8,470  |   |                   |   | 8,587 |   |   |   | 8,475 |   |   |   | 8,612 |   |
| Dividends      declared per common share                                                                                                            |   | $                       | 0.25   |   |                   | $      | 0.12 |   |   | $ | 0.75 |   |   | $ | 0.28 |   |

----

CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS'EQUITY

|                                                                                         |   | Common      Stock |   |   | AdditionalPaid-in |   |   | Accumulated |   |   | Treasury      Stock |   |   |   |    |
|----------------------------------------------------------------------------------------------|--------|-------------------|--------|--------|-------------------|--------|--------|-------------|--------|--------|---------------------|--------|--------|--------|---------|
|                                                                                         |   | Shares            |   |   | Amount            |   |   | Capital     |   |   | Deficit             |   |   | Shares |    |   | Amount |   |   | Total |   |
| Balance      at June 30, 2005                                                                |   |              | 8,610  |   |              | $      | 9      |        |   | $      | 78,594              |   |   | $      | (7,016  | ) |   |   | (125 | ) |   | $ | (1,021 | ) |   | $ | 70,566 |   |
| Exercise      of stock options                                                               |   |              | 47     |   |              |   | -      |        |   |   | 243                 |   |   |   | -       |   |   |   | - |   |   |   | - |   |   |   | 243 |   |
| Stock-based      compensation expense                                                        |   |              | -      |   |              |   | -      |        |   |   | 670                 |   |   |   | -       |   |   |   | - |   |   |   | - |   |   |   | 670 |   |
| Tax      benefit on exercise of stock options                                                |   |              | -      |   |              |   | -      |        |   |   | 29                  |   |   |   | -       |   |   |   | - |   |   |   | - |   |   |   | 29 |   |
| Shares      repurchased and cancelled under    the      Stock Repurchase Plan |   |              | (182   | )      |              |   | (1     | )           |   |   | (2,627              | )      |   |   | -       |   |   |   | - |   |   |   | - |   |   |   | (2,628 | ) |
| Net      income                                                                              |   |              | -      |   |              |   | -      |        |   |   | -                   |   |   |   | 3,700   |   |   |   | - |   |   |   | - |   |   |   | 3,700 |   |
| Dividends      paid to common stockholders                                                   |   |              | -      |   |              |   | -      |        |   |   | -                   |   |   |   | (674    | ) |   |   | - |   |   |   | - |   |   |   | (674 | ) |
| Balance      at June 30, 2006                                                                |   |              | 8,475  |   |              |   | 8      |        |   |   | 76,909              |   |   |   | (3,990  | ) |   |   | (125 | ) |   |   | (1,021 | ) |   |   | 71,906 |   |
| Exercise      of stock options                                                               |   |              | 161    |   |              |   | 1      |        |   |   | 275                 |   |   |   | -       |   |   |   | - |   |   |   | - |   |   |   | 276 |   |
| Stock-based      compensation expense                                                        |   |              | -      |   |              |   | -      |        |   |   | 726                 |   |   |   | -       |   |   |   | - |   |   |   | - |   |   |   | 726 |   |
| Issuance      of restricted shares                                                           |   |              | 57     |   |              |   | -      |        |   |   | 164                 |   |   |   | -       |   |   |   | - |   |   |   | - |   |   |   | 164 |   |
| Tax      benefit on exercise of stock options                                                |   |              | -      |   |              |   | -      |        |   |   | 633                 |   |   |   | -       |   |   |   | - |   |   |   | - |   |   |   | 633 |   |
| Shares      repurchased and cancelledunder the Stock Repurchase      Plan                    |   |              | (72    | )      |              |   | -      |        |   |   | (949                | )      |   |   | -       |   |   |   | - |   |   |   | - |   |   |   | (949 | ) |
| Net      loss                                                                                |   |              | -      |   |              |   | -      |        |   |   | -                   |   |   |   | (515    | ) |   |   | - |   |   |   | - |   |   |   | (515 | ) |
| Retirement      of treasury shares                                                           |   |              | (125   | )      |              |   | -      |        |   |   | (1,021              | )      |   |   | -       |   |   |   | 125 |   |   |   | 1,021 |   |   |   | - |   |
| Dividends      paid ($0.40 per share)                                                        |   |              | -      |   |              |   | -      |        |   |   | -                   |   |   |   | (3,350  | ) |   |   | - |   |   |   | - |   |   |   | (3,350 | ) |
| Balance      at June 30, 2007                                                                |   |              | 8,496  |   |              |   | 9      |        |   |   | 76,737              |   |   |   | (7,855  | ) |   |   | - |   |   |   | - |   |   |   | 68,891 |   |
| Cumulative      effect of adoption of   FIN      48 (see note 8)                   |   |              | -      |   |              |   | -      |        |   |   | -                   |   |   |   | (170    | ) |   |   | - |   |   |   | - |   |   |   | (170 | ) |
| Exercise      of stock options                                                               |   |              | 76     |   |              |   | -      |        |   |   | 242                 |   |   |   | -       |   |   |   | - |   |   |   | - |   |   |   | 242 |   |
| Issuance      of restricted shares                                                           |   |              | 21     |   |              |   | -      |        |   |   | 255                 |   |   |   | -       |   |   |   | - |   |   |   | - |   |   |   | 255 |   |
| Stock-based      compensation expense                                                        |   |              | -      |   |              |   | -      |        |   |   | 575                 |   |   |   | -       |   |   |   | - |   |   |   | - |   |   |   | 575 |   |
| Shares      repurchased and cancelled   under      the Stock Repurchase Plan       |   |              | (142   | )      |              |   | (1     | )           |   |   | (1,328              | )      |   |   | -       |   |   |   | - |   |   |   | - |   |   |   | (1,329 | ) |
| Dividends      paid ($0.75 per share)                                                        |   |              | -      |   |              |   | -      |        |   |   | -                   |   |   |   | (6,404  | ) |   |   | - |   |   |   | - |   |   |   | (6,404 | ) |
| Net      loss                                                                                |   |              | -      |   |              |   | -      |        |   |   | -                   |   |   |   | (2,519  | ) |   |   | - |   |   |   | - |   |   |   | (2,519 | ) |
| Balance      at March 31, 2008                                                               |   |              | 8,451  |   |              | $      | 8      |        |   | $      | 76,481              |   |   | $      | (16,948 | ) |   |   | - |   |   | $ | - |   |   | $ | 59,541 |   |

----

CONDENSED CONSOLIDATED STATEMENTS OF CASHFLOWS

|                                                                                                         |   | Nine      Months EndedMarch      31, |    |
|--------------------------------------------------------------------------------------------------------------|--------|--------------------------------------|---------|
|                                                                                                         |   | 2008                                 |    |   | 2007 |   |
| OPERATING      ACTIVITIES:                                                                                   |   |                                 |    |   |   |   |
| Net income    (loss)                                                                                         |   | $                                    | (2,519  | ) |   | $ | 325 |   |
| Adjustments to reconcile net      income (loss) to net cash provided by (used in) operating      activities: |   |                                 |    |   |   |   |   |   |
| Depreciation and      amortization                                                                           |   |                                 | 1,797   |   |   |   | 1,332 |   |
| Loss on disposal of fixed      assets                                                                        |   |                                 | (1      | ) |   |   | - |   |
| Interest on note      receivable                                                                             |   |                                 | (7      | ) |   |   | - |   |
| Stock-based compensation      expense                                                                        |   |                                 | 830     |   |   |   | 661 |   |
| Tax benefit from exercising of      stock options                                                            |   |                                 | -       |   |   |   | 623 |   |
| Provision for bad debts and      credits                                                                     |   |                                 | 34      |   |   |   | 33 |   |
| Provision for inventory write      down                                                                      |   |                                 | 10      |   |   |   | 1 |   |
| Discontinued      operations                                                                                 |   |                                 | 4       |   |   |   | (190 | ) |
| Deferred income      taxes                                                                                   |   |                                 | (1,434  | ) |   |   | (201 | ) |
| Changes      in operating assets and liabilities:                                                            |   |                                 |    |   |   |   |   |   |
| Accounts    receivable                                                                                       |   |                                 | (495    | ) |   |   | 213 |   |
| Inventories                                                                                                  |   |                                 | (641    | ) |   |   | (21 | ) |
| Prepaid expenses and other      current assets                                                               |   |                                 | (320    | ) |   |   | (602 | ) |
| Refundable income      taxes                                                                                 |   |                                 | 120     |   |   |   | - |   |
| Income taxes      payable                                                                                    |   |                                 | 2       |   |   |   | (579 | ) |
| Other assets                                                                                                 |   |                                 | (64     | ) |   |   | (80 | ) |
| Accountspayable                                                                                              |   |                                 | (1      | ) |   |   | 365 |   |
| Accrued    liabilities                                                                                       |   |                                 | (162    | ) |   |   | (44 | ) |
| Deferred rent and other      long-term liabilities                                                           |   |                                 | 40      |   |   |   | 74 |   |
| Accrued compensation and      benefits                                                                       |   |                                 | (502    | ) |   |   | 133 |   |
| Deferredrevenue                                                                                              |   |                                 | 297     |   |   |   | 295 |   |
| Net cash provided by (used in)      operating activities                                                     |   |                                 | (3,012  | ) |   |   | 2,338 |   |
| Net      cash provided by operating activities of discontinued      businesses                               |   |                                 | -       |   |   |   | 65 |   |
|                                                                                                         |   |                                 |    |   |   |   |   |   |
| CASH      FLOWS FROM INVESTING ACTIVITIES:                                                                   |   |                                 |    |   |   |   |   |   |
| Capital      expenditures                                                                                    |   |                                 | (1,436  | ) |   |   | (2,590 | ) |
| Proceeds      from sale of property and equipment                                                            |   |                                 | 63      |   |   |   | - |   |
| Purchase      of businesses, net of cash acquired                                                            |   |                                 | -       |   |   |   | (6,316 | ) |
| Advances      on customer notes receivable                                                                   |   |                                 | (5,343  | ) |   |   | (3,052 | ) |
| Proceeds      from collection of customer notes receivable                                                   |   |                                 | 3,896   |   |   |   | 4,784 |   |
| Purchase      of patents and other intangible assets                                                         |   |                                 | (20     | ) |   |   | (352 | ) |
| Capitalized      software                                                                                    |   |                                 | (943    | ) |   |   | (1,184 | ) |
| Cash      received on sale of discontinued businesses                                                        |   |                                 | 67      |   |   |   | 324 |   |
|            Net      cash used in investing activities |   |                                 | (3,716  | ) |   |   | (8,386 | ) |
|                                                                                                         |   |                                 |    |   |   |   |   |   |
| CASH      FLOWS FROM FINANCING ACTIVITIES:                                                                   |   |                                 |    |   |   |   |   |   |
| Proceeds from exercise of stock      options                                                                 |   |                                 | 242     |   |   |   | 229 |   |
| Payments for repurchase and      retirement of common stock                                                  |   |                                 | (1,329  | ) |   |   | (949 | ) |
| Dividends paid to common      stockholders                                                                   |   |                                 | (6,404  | ) |   |   | (2,332 | ) |
|      Net      cash used in financing activities                                     |   |                                 | (7,491  | ) |   |   | (3,052 | ) |
|                                                                                                         |   |                                 |    |   |   |   |   |   |
| Net      decrease in cash and cash equivalents                                                               |   |                                 | (14,219 | ) |   |   | (9,035 | ) |
| Cash      and cash equivalents at beginning of period                                                        |   |                                 | 42,386  |   |   |   | 52,110 |   |
| Cash      and cash equivalents at end of period                                                              |   | $                                    | 28,167  |   |   | $ | 43,075 |   |
| SUPPLEMENTAL      DISCLOSURES OF CASH FLOW INFORMATION:                                                      |   |                                 |    |   |   |   |   |   |
| Interest paid                                                                                                |   | $                                    | 15      |   |   | $ | 15 |   |
| Income taxes    paid                                                                                         |   | $                                    | 18      |   |   | $ | 868 |   |

----

|                                                                                                                                           |   | Nine      Months EndedMarch      31, |   |
|------------------------------------------------------------------------------------------------------------------------------------------------|--------|--------------------------------------|--------|
|                                                                                                                                           |   | 2008                                 |   |   | 2007 |   |
|  SUPPLEMENTAL      DISCLOSURE OF CASH FLOW INFORMATION (CONTINUED)                                                                   |   |                                 |   |   |   |   |
|                                                                                                                                           |   |                                 |   |   |   |   |
| Effective      July 1, 2006, the Company acquired Expos Unlimited, LLC (Expos) in a      transactionsummarized as follows:                     |   |                                 |   |   |   |   |
| Fair value of net liabilities      assumed                                                                                                     |   | $                                    | -      |   |   | $ | (385 | ) |
| Intangible    assets                                                                                                                           |   |                                 | -      |   |   |   | 1,810 |   |
| Goodwill                                                                                                                                       |   |                                 | -      |   |   |   | 1,001 |   |
| Purchase price, net of $49 cash      acquired                                                                                                  |   | $                                    | -      |   |   | $ | 2,426 |   |
|                                                                                                                                           |   |                                 |   |   |   |   |   |   |
| Effective      August 18, 2006, the Company acquired American Gemological Laboratories,      Inc.(AGL) in a transaction summarized as follows: |   |                                 |   |   |   |   |   |   |
| Fair value of net liabilities      assumed                                                                                                     |   | $                                    | 2      |   |   | $ | (42 | ) |
| Deferred tax liability      recognized at acquisition                                                                                          |   |                                 | 110    |   |   |   | (1,205 | ) |
| Intangible    assets                                                                                                                           |   |                                 | (274   | ) |   |   | 3,030 |   |
| Goodwill                                                                                                                                       |   |                                 | 162    |   |   |   | 2,083 |   |
| Purchase price, net of $81      cash acquired                                                                                                  |   | $                                    | -      |   |   | $ | 3,866 |   |

----

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS(UNAUDITED)

| Business                                     | Acquisition      Date | Purchase      Price |
|----------------------------------------------|-----------------------|---------------------|
| Expos      Unlimited, LLC                    | July      1, 2006     | $2.5      million   |
| American      Gemological Laboratories, Inc. | August      18, 2006  | $3.9      million   |

----

----

|                                          |   | Three      Months EndedMarch      31,(in      thousands) |   |   | Nine      Months EndedMarch      31,(in      thousands) |   |
|-----------------------------------------------|--------|----------------------------------------------------------|--------|--------|---------------------------------------------------------|--------|
|                                          |   | 2008                                                     |   |   | 2007                                                    |   |   | 2008 |   |   | 2007 |   |
| Included      in:                             |   |                                                     |   |   |                                                    |   |   |   |   |   |   |   |
| Cost      of revenues                         |   | $                                                        | 101    |   |                                                    | $      | 77 |   |   | $ | 223 |   |   | $ | 229 |   |
| Selling      and marketing expenses (1)       |   |                                                     | -      |   |                                                    |   | 3 |   |   |   | (7 | ) |   |   | 6 |   |
| General      and administrative expenses(2)   |   |                                                     | 217    |   |                                                    |   | 161 |   |   |   | 614 |   |   |   | 426 |   |
| Pre-tax      stock-based compensation expense |   | $                                                        | 318    |   |                                                    | $      | 241 |   |   | $ | 830 |   |   | $ | 661 |   |

|   | (1) | Includes      $8,000 related to a forfeiture of stock options during the nine months      ended March 31, 2008. |
|--------|-----|-----------------------------------------------------------------------------------------------------------------|

|   |  (2) | Includes      $88,000 and $255,000 in the three and nine months ended March 31, 2008,      respectively, and $66,000 and $104,000 in the three and nine months ended      March 31, 2007, respectively, for amortization of compensation expense      related to issuance of restrictedstock. |
|--------|-----------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|                         |   | Three      Months EndedMarch      31 |   |   | Nine      Months EndedMarch      31, |          |
|------------------------------|--------|--------------------------------------|--------|--------|--------------------------------------|---------------|
|                         |   | 2008                                 |   |   | 2007                                 |          |   | 2008 |   |   | 2007 |   |
| Dividend      yield          |   |                                 | -      |   |                                 |          | 3.4 | % |   |   | 6.9 | % |   |   | 2.5 | % |
| Expected      volatility     |   |                                 | -      |   |                                 |          | 49.0 | % |   |   | 48.4 | % |   |   | 51.1 | % |
| Risk-free      interest rate |   |                                 | -      |   |                                 |          | 4.7 | % |   |   | 3.9 | % |   |   | 4.6 | % |
| Expected      lives          |   |                                 | -      |   |                                 | 5.1      yrs. |   |   | 6.0      yrs |   |   | 5.1      yrs. |   |

----

|                                                                  |   |    Shares |    |   | Weighted      Average Exercise Price |   | WeightedAverageRemainingContractualTerm |   |  Aggregate      IntrinsicValue         |   |
|-----------------------------------------------------------------------|--------|--------------------------|---------|--------|--------------------------------------|--------|-----------------------------------------|--------|---------------------------------------------|--------|
| Options:                                                              |   |                     |    |   |                                 |   |                                    |   |                                        |   |
|     Outstanding      at June 30, 2007             |   |                     | 912,000 |   |                                 | $      | 12.98                                   |   | 6.4      yrs.           |   | $ | 3,280,000 |   |
|        Granted                     |   |                     | 30,200  |   |                                 |   | 14.50                                   |   |                                        |   |   |   |   |
|        Exercised                   |   |                     | (76,200 | )      |                                 |   | 4.22                                    |   |                                        |   |   |   |   |
|        Forfeited      or cancelled |   |                     | (23,100 | )      |                                 |   | 14.35                                   |   |                                        |   |   |   |   |
|    Outstanding      at March 31, 2008                  |   |                     | 842,900 |   |                                 | $      | 13.79                                   |   |  5.8      yrs.     |   | $ | 649,000 |   |
|    Exercisable      at March 31, 2008                  |   |                     | 604,700 |   |                                 | $      | 13.74                                   |   |  5.2      yrs.     |   | $ | 648,000 |   |
|    Unvested      at March 31, 2008                     |   |                     | 238,200 |   |                                 | $      | 13.91                                   |   |  7.2      yrs.     |   | $ | 2,000 |   |
|    Expect      to vest at March 31, 2008               |   |                     | 209,000 |   |                                 | $      | 13.91                                   |   |  7.2      yrs.     |   | $ | 2,000 |   |

|    Non-Vested      Shares: |   |   Shares |    |   | WeightedAverageGrant-Date Fair      Value |   |
|-------------------------------------------|--------|--------------------|---------|--------|------------------------------------------------|--------|
| Non-vested      at June 30, 2007          |   |               | 50,230  |   |                                           | $      | 13.68 |   |
| Granted                                   |   |               | 21,359  |   |                                           |   | 14.12 |   |
| Vested                                    |   |               | (17,680 | )      |                                           |   | 13.68 |   |
| Forfeited or      Cancelled               |   |               | -       |   |                                           |   | - |   |
| Non-vested      at March 31, 2008         |   |               | 53,909  |   |                                           | $      | 13.86 |   |

| Fiscal      Year Ending June 30, |   | Amount |      |
|----------------------------------|--------|--------|-----------|
| 2008                             |   | $      | 237,000   |   |
| 2009                             |   |   | 592,000   |   |
| 2010                             |   |   | 251,000   |   |
| 2011                             |   |   | 116,000   |   |
| 2012                             |   |   | 14,000    |   |
|                             |   | $      | 1,210,000 |   |

----

|   | Concentrations |
|--------|----------------|

----

----

----

|                                                 |   | Three      Months EndedMarch      31, |   |   | Nine      Months EndedMarch      31, |   |
|------------------------------------------------------|--------|---------------------------------------|--------|--------|--------------------------------------|--------|
|                                                 |   | 2008                                  |   |   | 2007                                 |   |   | 2008 |   |   | 2007 |   |
| Revenue                                              |   | $                                     | 10,896 |   |                                 | $      | 11,081 |   |   | $ | 31,685 |   |   | $ | 29,979 |   |
| Operating      loss                                  |   |                                  | (1,542 | )      |                                 |   | (416 | ) |   |   | (4,862 | ) |   |   | (1,161 | ) |
| Interest      income, net                            |   |                                  | 239    |   |                                 |   | 511 |   |   |   | 979 |   |   |   | 1,603 |   |
| Other      income                                    |   |                                  | 1      |   |                                 |   | 2 |   |   |   | 4 |   |   |   | 8 |   |
| Income      (loss) before provision for income taxes |   |                                  | (1,302 | )      |                                 |   | 97 |   |   |   | (3,879 | ) |   |   | 450 |   |
| Provision      (benefit) for income taxes            |   |                                  | (336   | )      |                                 |   | 165 |   |   |   | (1,364 | ) |   |   | 321 |   |
| Income      (loss) from continuing operations        |   |                                  | (966   | )      |                                 |   | (68 | ) |   |   | (2,515 | ) |   |   | 129 |   |
| Income      (loss) from discontinued operations      |   |                                  | -      |   |                                 |   | 99 |   |   |   | (4 | ) |   |   | 190 |   |
| Net      income (loss)                               |   | $                                     | (966   | )      |                                 | $      | 31 |   |   | $ | (2,519 | ) |   | $ | 319 |   |
|                                                 |   |                                  |   |   |                                 |   |   |   |   |   |   |   |   |   |   |   |
| Net      income (loss) per basic share:              |   |                                  |   |   |                                 |   |   |   |   |   |   |   |   |   |   |   |
| Income (loss) from continuing      operations        |   | $                                     | (0.11  | )      |                                 | $      | (0.01 | ) |   | $ | (0.30 | ) |   | $ | 0.02 |   |
| Income from discontinued      operations             |   | $                                     | -      |   |                                 | $      | 0.01 |   |   | $ | - |   |   | $ | 0.02 |   |
| Net      income (loss)                               |   | $                                     | (0.11  | )      |                                 | $      | - |   |   | $ | (0.30 | ) |   | $ | 0.04 |   |
|                                                 |   |                                  |   |   |                                 |   |   |   |   |   |   |   |   |   |   |   |
| Net      income (loss) per diluted share:            |   |                                  |   |   |                                 |   |   |   |   |   |   |   |   |   |   |   |
| Income (loss) from continuing      operations        |   | $                                     | (0.11  | )      |                                 | $      | (0.01 | ) |   | $ | (0.30 | ) |   | $ | 0.02 |   |
| Income from discontinued      operations             |   | $                                     | -      |   |                                 | $      | 0.01 |   |   | $ | - |   |   | $ | 0.02 |   |
| Net      income (loss)                               |   | $                                     | (0.11  | )      |                                 | $      | - |   |   | $ | (0.30 | ) |   | $ | 0.04 |   |

| 4.                  | INVENTORIES |
|----------------------------------------------------------------------------|-------------|

| Inventories      consist of the following:                                                                                                                                                                                                                                                                                                                                                                                       |   |
|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|
|                                                                                                                                                                                                                                                                                                                                                                                                                             |   | (in      thousands) |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                             |   | March      31, |   |   | June      30, |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                             |   | 2008 |   |   | 2007 |   |
| Coins                                                                                            |   | $ | 870 |   |   | $ | 253 |   |
| Other      collectibles                                                                          |   |   | 28 |   |   |   | 33 |   |
| Grading      raw materials consumable inventory                                                                                                                                                                                                                                                                                                                                                                                  |   |   | 277 |   |   |   | 247 |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                             |   |   | 1,175 |   |   |   | 533 |   |
| Less      inventory      reserve                                                                 |   |   | (102 | ) |   |   | (91 | ) |
| Inventories,      net                                                                                                                                                                                                                                                                                                                                                                                                            |   | $ | 1,073 |   |   | $ | 442 |   |

----

| Property      and equipment consist of the following:                                                                                                                                                                                                                                                                                                                                                |   |
|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|
|                                                                                                                                                                                                                                                                                                                                                                                                 |   | (in      thousands) |   |
|                                                                                                                                                                                                                                                                                                                                                                                                 |   | March      31, |   |   | June      30, |   |
|                                                                                                                                                                                                                                                                                                                                                                                                 |   | 2008 |   |   | 2007 |   |
| Coins      and stamp grading reference sets                                                                                                                                                                                                                                                                                                                                                          |   | $ | 643 |   |   | $ | 222 |   |
| Computer      hardware and equipment                                                                                                                                                                                                                                                                                                                                                                 |   |   | 1,823 |   |   |   | 1,664 |   |
| Computer      software                                                                             |   |   | 1,035 |   |   |   | 1,027 |   |
| Equipment                                                                                          |   |   | 3,969 |   |   |   | 3,366 |   |
| Furniture      and office      equipment                                                           |   |   | 1,115 |   |   |   | 1,064 |   |
| Leasehold      improvements                                                                        |   |   | 1,586 |   |   |   | 1,452 |   |
| Trading      card reference      library                                                           |   |   | 52 |   |   |   | 52 |   |
|                                                                                                                                                                                                                                                                                                                                                                                                 |   |   | 10,223 |   |   |   | 8,847 |   |
| Less      accumulated depreciation and amortization                                                                                                                                                                                                                                                                                                                                                  |   |   | (5,679 | ) |   |   | (4,766 | ) |
| Property      and equipment, net                                                                                                                                                                                                                                                                                                                                                                     |   | $ | 4,544 |   |   | $ | 4,081 |   |

| Accrued      liabilities consist of the following:                                                                                                                                                                                                                                                                                                                                                                     |   | (in      thousands) |   |
|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|---------------------|--------|
|                                                                                                                                                                                                                                                                                                                                                                                                                   |   | March      31,      |   |   | June      30, |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                   |   | 2008                |   |   | 2007 |   |
| Warranty      costs                                                                    |   | $                   | 687    |   |   | $ | 735 |   |
| Professional      fees                                                                 |   |                | 88     |   |   |   | 183 |   |
| Other                                                                                  |   |                | 1,219  |   |   |   | 1,236 |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                   |   | $                   | 1,994  |   |   | $ | 2,154 |   |

|                                                                                                                                                                                                                                                                                                                                                                                                                                            |   | (in      thousands)                 |   |
|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|-------------------------------------|--------|
|                                                                                                                                                                                                                                                                                                                                                                                                                                            |   | Nine      MonthsEndedMarch      31, |   |   | Nine      MonthsEndedMarch      31, |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                                            |   | 2008                                |   |   | 2007 |   |
| Warranty      reserve, beginning of      period                                                                 |   | $                                   | 735    |   |   | $ | 710 |   |
| Charged      to cost of      revenue                                                                            |   |                                | 1,193  |   |   |   | 288 |   |
| Payments                                                                                                        |   |                                | (1,241 | ) |   |   | (268 | ) |
| Warranty      reserve, end of      period                                                                       |   | $                                   | 687    |   |   | $ | 730 |   |

| 7.                  | DISCONTINUED      OPERATIONS |
|----------------------------------------------------------------------------|------------------------------|

----

|                                            |   | (in      thousands)                   |   |   | (in      thousands)                  |   |
|-------------------------------------------------|--------|---------------------------------------|--------|--------|--------------------------------------|--------|
|                                            |   | Three      Months EndedMarch      31, |   |   | Nine      Months EndedMarch      31, |   |
|                                            |   | 2008                                  |   |   | 2007                                 |   |   | 2008 |   |   | 2007 |   |
| Net      revenues                               |   | $                                     | 1      |   |                                 | $      | 5 |   |   | $ | 18 |   |   | $ | 54 |   |
| Income      (loss) before income taxes          |   |                                  | -      |   |                                 |   | 22 |   |   |   | (7 | ) |   |   | 63 |   |
| Gain      on sale of discontinued businesses    |   |                                  | -      |   |                                 |   | 101 |   |   |   | - |   |   |   | 252 |   |
|                                            |   |                                  | -      |   |                                 |   | 123 |   |   |   | (7 | ) |   |   | 315 |   |
| Income      tax (expense) benefit               |   |                                  | -      |   |                                 |   | (24 | ) |   |   | 3 |   |   |   | (125 | ) |
| Income      (loss) from discontinued operations |   | $                                     | -      |   |                                 | $      | 99 |   |   | $ | (4 | ) |   | $ | 190 |   |

| 8.                  | INCOME      TAXES |
|----------------------------------------------------------------------------|-------------------|

----

|                                                                                                                                                                                                       |   | (in      thousands)                   |   |   | (in      thousands)                  |   |
|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|---------------------------------------|--------|--------|--------------------------------------|--------|
|                                                                                                                                                                                                       |   | Three      Months EndedMarch      31, |   |   | Nine      Months EndedMarch      31, |   |
|                                                                                                                                                                                                       |   | 2008                                  |   |   | 2007                                 |   |   | 2008 |   |   | 2007 |   |
| Income      (loss) from continuing operations                                                                                                                                                              |   | $                                     | (966   | )      |                                 | $      | (68 | ) |   | $ | (2,515 | ) |   | $ | 135 |   |
| Income      (loss) from discontinued operations, net of gain on      sales        of  discontinued  businesses      (net      of income taxes) |   |                                  | -      |   |                                 |   | 99 |   |   |   | (4 | ) |   |   | 190 |   |
| Net      income (loss)                                                                                                                                                                                     |   | $                                     | (966   | )      |                                 | $      | 31 |   |   | $ | (2,519 | ) |   | $ | 325 |   |
|                                                                                                                                                                                                       |   |                                  |   |   |                                 |   |   |   |   |   |   |   |   |   |   |   |
| NET      INCOME PER SHARE–BASIC:                                                                                                                                                                     |   |                                  |   |   |                                 |   |   |   |   |   |   |   |   |   |   |   |
| Income (loss) from continuing      operations                                                                                                                                                              |   | $                                     | (0.11  | )      |                                 | $      | (0.01 | ) |   | $ | (0.30 | ) |   | $ | 0.02 |   |
| Income from discontinued      operations, net of gain on      sales             of  discontinued businesses (net      of income taxes)                        |   |                                  | -      |   |                                 |   | 0.01 |   |   |   | - |   |   |   | 0.02 |   |
| Total                                                                                                                                                                                                      |   | $                                     | (0.11  | )      |                                 | $      | - |   |   | $ | (0.30 | ) |   | $ | 0.04 |   |
|                                                                                                                                                                                                       |   |                                  |   |   |                                 |   |   |   |   |   |   |   |   |   |   |   |
| NET      INCOME PER SHARE–DILUTED:                                                                                                                                                                   |   |                                  |   |   |                                 |   |   |   |   |   |   |   |   |   |   |   |
| Income (loss) from continuing      operations                                                                                                                                                              |   | $                                     | (0.11  | )      |                                 | $      | (0.01 | ) |   | $ | (0.30 | ) |   | $ | 0.02 |   |
| Income from discontinued      operations, net of gain on      sales of         discontinued      businesses (net      of income taxes)                             |   |                                  | -      |   |                                 |   | 0.01 |   |   |   | - |   |   |   | 0.02 |   |
| Total                                                                                                                                                                                                      |   | $                                     | (0.11  | )      |                                 | $      | - |   |   | $ | (0.30 | ) |   | $ | 0.04 |   |
|                                                                                                                                                                                                       |   |                                  |   |   |                                 |   |   |   |   |   |   |   |   |   |   |   |
| WEIGHTED      AVERAGE SHARES OUTSTANDING:                                                                                                                                                                  |   |                                  |   |   |                                 |   |   |   |   |   |   |   |   |   |   |   |
| Basic                                                                                                                                                                                                      |   |                                  | 8,470  |   |                                 |   | 8,381 |   |   |   | 8,475 |   |   |   | 8,346 |   |
| Effect of dilutive      shares                                                                                                                                                                             |   |                                  | -      |   |                                 |   | 206 |   |   |   | - |   |   |   | 266 |   |
| Diluted                                                                                                                                                                                                    |   |                                  | 8,470  |   |                                 |   | 8,587 |   |   |   | 8,475 |   |   |   | 8,612 |   |

| 10.            | BUSINESS      SEGMENTS |
|-----------------------------------------|------------------------|

----

|                                             |   | Three      Months EndedMarch      31, |   |   | Nine      Months EndedMarch      31, |   |
|--------------------------------------------------|--------|---------------------------------------|--------|--------|--------------------------------------|--------|
| Net      revenues from external customers:       |   | 2008                                  |   |   | 2007                                 |   |   | 2008 |   |   | 2007 |   |
| Coins                                            |   | $                                     | 6,154  |   |                                 | $      | 6,793 |   |   | $ | 17,720 |   |   | $ | 17,279 |   |
| Sportscards                                      |   |                                  | 2,226  |   |                                 |   | 2,156 |   |   |   | 6,710 |   |   |   | 6,507 |   |
| Jewelry                                          |   |                                  | 350    |   |                                 |   | 270 |   |   |   | 1,264 |   |   |   | 936 |   |
| Other                                            |   |                                  | 2,166  |   |                                 |   | 1,862 |   |   |   | 5,991 |   |   |   | 5,050 |   |
| Total revenue                                    |   | $                                     | 10,896 |   |                                 | $      | 11,081 |   |   | $ | 31,685 |   |   | $ | 29,772 |   |
| Amortization      and depreciation:              |   |                                  |   |   |                                 |   |   |   |   |   |   |   |   |   |   |   |
| Coins                                            |   | $                                     | 62     |   |                                 | $      | 72 |   |   | $ | 182 |   |   | $ | 148 |   |
| Sportscards                                      |   |                                  | 37     |   |                                 |   | 22 |   |   |   | 84 |   |   |   | 64 |   |
| Jewelry                                          |   |                                  | 333    |   |                                 |   | 190 |   |   |   | 970 |   |   |   | 477 |   |
| Other                                            |   |                                  | 113    |   |                                 |   | 121 |   |   |   | 307 |   |   |   | 408 |   |
| Total                                            |   |                                  | 545    |   |                                 |   | 405 |   |   |   | 1,543 |   |   |   | 1,097 |   |
| Unallocated amortization and      depreciation   |   |                                  | 87     |   |                                 |   | 75 |   |   |   | 254 |   |   |   | 235 |   |
| Consolidated amortization and      depreciation  |   | $                                     | 632    |   |                                 | $      | 480 |   |   | $ | 1,797 |   |   | $ | 1,332 |   |
| Stock-based      compensation:                   |   |                                  |   |   |                                 |   |   |   |   |   |   |   |   |   |   |   |
| Coins                                            |   | $                                     | 63     |   |                                 | $      | 55 |   |   | $ | 131 |   |   | $ | 168 |   |
| Sportscards                                      |   |                                  | 9      |   |                                 |   | 3 |   |   |   | 18 |   |   |   | 23 |   |
| Jewelry                                          |   |                                  | 3      |   |                                 |   | 2 |   |   |   | 9 |   |   |   | 4 |   |
| Other                                            |   |                                  | 40     |   |                                 |   | 25 |   |   |   | 97 |   |   |   | 76 |   |
| Total                                            |   |                                  | 115    |   |                                 |   | 85 |   |   |   | 255 |   |   |   | 271 |   |
| Unallocated stock-based      compensation        |   |                                  | 203    |   |                                 |   | 156 |   |   |   | 575 |   |   |   | 390 |   |
| Consolidated stock-based      compensation       |   | $                                     | 318    |   |                                 | $      | 241 |   |   | $ | 830 |   |   | $ | 661 |   |
| Operating      loss before unallocated expenses: |   |                                  |   |   |                                 |   |   |   |   |   |   |   |   |   |   |   |
| Coins                                            |   | $                                     | 1,984  |   |                                 | $      | 2,976 |   |   | $ | 4,925 |   |   | $ | 7,098 |   |
| Sportscards                                      |   |                                  | 374    |   |                                 |   | 292 |   |   |   | 1,317 |   |   |   | 1,044 |   |
| Jewelry                                          |   |                                  | (2,138 | )      |                                 |   | (1,845 | ) |   |   | (5,830 | ) |   |   | (3,387 | ) |
| Other                                            |   |                                  | 105    |   |                                 |   | 186 |   |   |   | 427 |   |   |   | 333 |   |
| Total                                            |   |                                  | 325    |   |                                 |   | 1,609 |   |   |   | 839 |   |   |   | 5,088 |   |
| Unallocated operating      expenses              |   |                                  | (1,867 | )      |                                 |   | (2,025 | ) |   |   | (5,701 | ) |   |   | (6,249 | ) |
| Consolidated operating      loss                 |   | $                                     | (1,542 | )      |                                 | $      | (416 | ) |   | $ | (4,862 | ) |   | $ | (1,161 | ) |

|                      |   | March      31, |   |   | June      30, |   |
|---------------------------|--------|----------------|--------|--------|---------------|--------|
| Identifiable      Assets: |   | 2008           |   |   | 2007          |   |
| Coins                     |   | $              | 3,748  |   |          | $      | 2,622 |   |
| Sportscards               |   |           | 825    |   |          |   | 582 |   |
| Jewelry                   |   |           | 20,431 |   |          |   | 20,453 |   |
| Other                     |   |           | 9,368  |   |          |   | 7,866 |   |
| Total                     |   |           | 34,372 |   |          |   | 31,523 |   |
| Unallocated    assets     |   |           | 34,578 |   |          |   | 46,578 |   |
| Consolidated    assets    |   | $              | 68,950 |   |          | $      | 78,101 |   |

----

|                   |   | March      31, |   |   | June      30, |   |
|------------------------|--------|----------------|--------|--------|---------------|--------|
| Goodwill:              |   | 2008           |   |   | 2007          |   |
| Coins                  |   | $              | 515    |   |          | $      | 515 |   |
| Jewelry                |   |           | 10,410 |   |          |   | 10,251 |   |
| Other                  |   |           | 2,113  |   |          |   | 2,118 |   |
| Consolidated    assets |   | $              | 13,038 |   |          | $      | 12,884 |   |

| 11.                | LINE      OF CREDIT |
|-----------------------------------------------------------------|---------------------|

| 12.               | LEGAL      MATTERS |
|------------------------------------------------------|--------------------|

----

| 13.            | SUBSEQUENT      EVENT |
|-----------------------------------------------------------------------|-----------------------|

----

| ITEM      2. | MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL      CONDITION AND RESULTS OFOPERATIONS |
|--------------|-------------------------------------------------------------------------------------------------|

Forward-Looking Statements

Our Business

----

Overview of Results of Operations for the Three and Nine MonthsEnded March 31, 2008

|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |   | Three      Months EndedMarch      31, |   |   | Nine      Months EndedMarch      31, |   |
|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|---------------------------------------|--------|--------|--------------------------------------|--------|
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |   | 2008                                  |   |   | 2007                                 |   |   | 2008 |   |   | 2007 |   |
| Net      revenues                                                                                                                                                                                          |   |                                  | 100.0  | %      |                                 |   | 100.0 | % |   |   | 100.0 | % |   |   | 100.0 | % |
| Cost      of      revenues                                                                                                                                                                                 |   |                                  | 55.0   | %      |                                 |   | 46.4 | % |   |   | 56.8 | % |   |   | 46.6 | % |
| Gross      profit                                                                                                                                                                                          |   |                                  | 45.0   | %      |                                 |   | 53.6 | % |   |   | 43.2 | % |   |   | 53.4 | % |
| Operating      expenses:                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |   |                                  |   |   |                                 |   |   |   |   |   |   |   |   |   |   |   |
| Selling and marketing      expenses                                                                                                                                                                                       |   |                                  | 19.9   | %      |                                 |   | 21.8 | % |   |   | 19.1 | % |   |   | 17.1 | % |
| General and administrative      expenses                                                                                                                                                                                  |   |                                  | 36.3   | %      |                                 |   | 33.6 | % |   |   | 36.7 | % |   |   | 38.3 | % |
| Amortization of intangible      assets                                                                                                                                                                                    |   |                                  | 2.9    | %      |                                 |   | 2.0 | % |   |   | 2.8 | % |   |   | 1.9 | % |
| Total operating      expenses                                                                                                                                                                                             |   |                                  | 59.1   | %      |                                 |   | 57.4 | % |   |   | 58.6 | % |   |   | 57.3 | % |
| Operating      loss                                                                                                                                                                                        |   |                                  | (14.1  | %)     |                                 |   | (3.8 | %) |   |   | (15.4 | %) |   |   | (3.9 | %) |
| Interest      income,      net                                                                                                                                                                             |   |                                  | 2.2    | %      |                                 |   | 4.6 | % |   |   | 3.1 | % |   |   | 5.5 | % |
| Other      income                                                                                                                                                                                          |   |                                  | -      |   |                                 |   | 0.1 | % |   |   | 0.1 | % |   |   | - |   |
| Income      (loss) before provision for income      taxes                                                                                                                                                  |   |                                  | (11.9  | %)     |                                 |   | 0.9 | % |   |   | (12.2 | %) |   |   | 1.6 | % |
| Provision      (benefit) for income      taxes                                                                                                                                                             |   |                                  | (3.0   | %)     |                                 |   | 1.5 | % |   |   | (4.2 | %) |   |   | 1.1 | % |
| Income      (loss) from continuing operations after income taxes                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |   |                                  | (8.9   | %)     |                                 |   | (0.6 | %) |   |   | (8.0 | %) |   |   | 0.5 | % |
| Income      from discontinued operations, net of gain on sales of      discontinued         businesses (net of income      taxes)                                                                          |   |                                  | -      |   |                                 |   | 0.9 | % |   |   | - |   |   |   | 0.6 | % |
| Net      income      (loss)                                                                                                                                                                                |   |                                  | (8.9   | %)     |                                 |   | 0.3 | % |   |   | (8.0 | %) |   |   | 1.1 | % |

----

Factors That Can Affect our Financial Position and OperatingResults

----

|                    |   | Units      ProcessedThree      Months Ended March 31, |    |   | Declared      Value (000)Three      Months Ended March 31, |   |
|-------------------------|--------|-------------------------------------------------------|---------|--------|------------------------------------------------------------|--------|
|                    |   | 2008                                                  |    |   | 2007                                                       |   |   | 2008 |   |   | 2007 |   |
| Coins                   |   |                                                  | 484,100 |   |                                                       |   | 54.2 | % |   |   | 400,000 |   |   |   | 50.4 | % |   | $ | 336,683 |   |   |   | 69.6 | % |   | $ | 365,597 |   |   |   | 83.8 | % |
| Sportscards             |   |                                                  | 327,000 |   |                                                       |   | 36.6 | % |   |   | 321,600 |   |   |   | 40.6 | % |   |   | 25,865 |   |   |   | 5.3 | % |   |   | 22,503 |   |   |   | 5.2 | % |
| Autographs              |   |                                                  | 49,000  |   |                                                       |   | 5.5 | % |   |   | 39,800 |   |   |   | 5.0 | % |   |   | 4,514 |   |   |   | 0.9 | % |   |   | 5,488 |   |   |   | 1.3 | % |
| Stamps                  |   |                                                  | 12,400  |   |                                                       |   | 1.4 | % |   |   | 16,900 |   |   |   | 2.1 | % |   |   | 5,321 |   |   |   | 1.1 | % |   |   | 3,077 |   |   |   | 0.6 | % |
| Currency                |   |                                                  | 14,400  |   |                                                       |   | 1.6 | % |   |   | 9,000 |   |   |   | 1.1 | % |   |   | 9,855 |   |   |   | 2.1 | % |   |   | 8,201 |   |   |   | 1.9 | % |
| Diamonds                |   |                                                  | 4,900   |   |                                                       |   | 0.5 | % |   |   | 5,100 |   |   |   | 0.7 | % |   |   | 56,375 |   |   |   | 11.6 | % |   |   | 17,661 |   |   |   | 4.0 | % |
| Colored      Gemstones* |   |                                                  | 1,400   |   |                                                       |   | 0.2 | % |   |   | 800 |   |   |   | 0.1 | % |   |   | 45,542 |   |   |   | 9.4 | % |   |   | 13,924 |   |   |   | 3.2 | % |
| Total                   |   |                                                  | 893,200 |   |                                                       |   | 100.0 | % |   |   | 793,200 |   |   |   | 100.0 | % |   | $ | 484,155 |   |   |   | 100.0 | % |   | $ | 436,451 |   |   |   | 100.0 | % |

|                    |   | Units      ProcessedNine      Months Ended March 31, |      |   | Declared      Value (000)Nine      Months Ended March 31, |   |
|-------------------------|--------|------------------------------------------------------|-----------|--------|-----------------------------------------------------------|--------|
|                    |   | 2008                                                 |      |   | 2007                                                      |   |   | 2008 |   |   | 2007 |   |
| Coins                   |   |                                                 | 1,144,000 |   |                                                      |   | 48.2 | % |   |   | 1,162,700 |   |   |   | 50.3 | % |   | $ | 1,048,444 |   |   |   | 72.3 | % |   | $ | 1,153,192 |   |   |   | 82.9 | % |
| Sportscards             |   |                                                 | 978,500   |   |                                                      |   | 41.2 | % |   |   | 938,700 |   |   |   | 40.6 | % |   |   | 67,863 |   |   |   | 4.7 | % |   |   | 66,666 |   |   |   | 4.8 | % |
| Autographs              |   |                                                 | 143,800   |   |                                                      |   | 6.1 | % |   |   | 117,800 |   |   |   | 5.1 | % |   |   | 21,148 |   |   |   | 1.5 | % |   |   | 20,114 |   |   |   | 1.4 | % |
| Stamps                  |   |                                                 | 43,800    |   |                                                      |   | 1.8 | % |   |   | 47,200 |   |   |   | 2.0 | % |   |   | 17,308 |   |   |   | 1.2 | % |   |   | 8,433 |   |   |   | 0.6 | % |
| Currency                |   |                                                 | 36,200    |   |                                                      |   | 1.5 | % |   |   | 25,200 |   |   |   | 1.1 | % |   |   | 31,783 |   |   |   | 2.2 | % |   |   | 24,096 |   |   |   | 1.7 | % |
| Diamonds                |   |                                                 | 24,600    |   |                                                      |   | 1.1 | % |   |   | 20,000 |   |   |   | 0.9 | % |   |   | 195,002 |   |   |   | 13.4 | % |   |   | 74,795 |   |   |   | 5.4 | % |
| Colored      Gemstones* |   |                                                 | 3,400     |   |                                                      |   | 0.1 | % |   |   | 1,000 |   |   |   | - |   |   |   | 67,904 |   |   |   | 4.7 | % |   |   | 44,111 |   |   |   | 3.2 | % |
| Total                   |   |                                                 | 2,374,300 |   |                                                      |   | 100.0 | % |   |   | 2,312,600 |   |   |   | 100.0 | % |   | $ | 1,449,453 |   |   |   | 100.0 | % |   | $ | 1,391,407 |   |   |   | 100.0 | % |

----

Critical Accounting Policies andEstimates

Results of Operations – Three and Nine Months Ended March 31, 2008versus the Three and Nine Months Ended March 31, 2007

----

|                                 |   | Three      Months Ended March 31, |   |
|--------------------------------------|--------|-----------------------------------|--------|
|                                 |   | 2008                              |   |   | 2007 |   |   | Increase      (Decrease) |   |
|                                 |   | Amount                            |   |   | %      of NetRevenues |   |   | Amount |   |   | %      of NetRevenues |   |   | Amount |   |   | Percent |   |
|                                 |   | (Dollars      in thousands)       |   |
| Product      revenues                |   | $                                 | 21     |   |   |   | 0.2 | % |   | $ | 13 |   |   |   | 0.1 | % |   | $ | 8 |   |   |   | 61.5 | % |
| Grading      and authentication fees |   |                              | 9,007  |   |   |   | 82.7 | % |   |   | 9,526 |   |   |   | 86.0 | % |   |   | (519 | ) |   |   | (5.4 | %) |
| Other      related services          |   |                              | 1,868  |   |   |   | 17.1 | % |   |   | 1,542 |   |   |   | 13.9 | % |   |   | 326 |   |   |   | 21.1 | % |
| Total      services                  |   |                              | 10,875 |   |   |   | 99.8 | % |   |   | 11,068 |   |   |   | 99.9 | % |   |   | (193 | ) |   |   | (1.7 | %) |
| Total      net revenues              |   | $                                 | 10,896 |   |   |   | 100.0 | % |   | $ | 11,081 |   |   |   | 100.0 | % |   | $ | (185 | ) |   |   | (1.7 | %) |

|                                 |   | Nine      Months Ended March 31, |   |
|--------------------------------------|--------|----------------------------------|--------|
|                                 |   | 2008                             |   |   | 2007 |   |   | Increase      (Decrease) |   |
|                                 |   | Amount                           |   |   | %      of NetRevenues |   |   | Amount |   |   | %      of NetRevenues |   |   | Amount |   |   | Percent |   |
|                                 |   | (Dollars      in thousands)      |   |
| Product      revenues                |   | $                                | 928    |   |   |   | 2.9 | % |   | $ | 143 |   |   |   | 0.5 | % |   | $ | 785 |   |   |   | 549.0 | % |
| Grading      and authentication fees |   |                             | 25,658 |   |   |   | 81.0 | % |   |   | 25,296 |   |   |   | 85.0 | % |   |   | 362 |   |   |   | 1.4 | % |
| Other      related services          |   |                             | 5,099  |   |   |   | 16.1 | % |   |   | 4,333 |   |   |   | 14.5 | % |   |   | 766 |   |   |   | 17.7 | % |
| Total      services                  |   |                             | 30,757 |   |   |   | 97.1 | % |   |   | 29,629 |   |   |   | 99.5 | % |   |   | 1,128 |   |   |   | 3.8 | % |
| Total      net revenues              |   | $                                | 31,685 |   |   |   | 100.0 | % |   | $ | 29,772 |   |   |   | 100.0 | % |   | $ | 1,913 |   |   |   | 6.4 | % |

|                  |   | Three      Months Ended March 31, |   |
|-----------------------|--------|-----------------------------------|--------|
|                  |   | 2008                              |   |   | 2007 |   |   | 2008      vs. 2007 |   |
|                  |   |                              |   |   |   |   |   |   |   |   |   |   |   | Increase      (Decrease) |   |
|                  |   |                              |   |   | %      of Net |   |   |   |   |   | %      of Net |   |   | Revenues |   |   | Units      Processed |   |
|                  |   | Amount                            |   |   | Revenues |   |   | Amount |   |   | Revenues |   |   | Amount |   |   | Percent |   |   | Number |   |   | Percent |   |
|                  |   | (Dollars      in thousands)       |   |   |   |   |   |   |   |
| Product      revenues |   | $                                 | 21     |   |   |   | 0.2 | % |   | $ | 13 |   |   |   | 0.1 | % |   | $ | 8 |   |   |   | 61.5 | % |   |   | N/A |   |   |   | N/A |   |
| Coins                 |   |                              | 6,133  |   |   |   | 56.3 | % |   |   | 6,780 |   |   |   | 61.2 | % |   |   | (647 | ) |   |   | (9.5 | %) |   |   | 84 |   |   |   | 21.0 | % |
| Sportscards           |   |                              | 2,226  |   |   |   | 20.4 | % |   |   | 2,156 |   |   |   | 19.5 | % |   |   | 70 |   |   |   | 3.2 | % |   |   | 5 |   |   |   | 1.7 | % |
| Other      (1)        |   |                              | 2,516  |   |   |   | 23.1 | % |   |   | 2,132 |   |   |   | 19.2 | % |   |   | 384 |   |   |   | 18.0 | % |   |   | 11 |   |   |   | 14.7 | % |
| Net      Revenues     |   | $                                 | 10,896 |   |   |   | 100.0 | % |   | $ | 11,081 |   |   |   | 100.0 | % |   | $ | (185 | ) |   |   | (1.7 | %) |   |   | 100 |   |   |   | 12.6 | % |

|                  |   | Nine      Months Ended March 31, |   |
|-----------------------|--------|----------------------------------|--------|
|                  |   | 2008                             |   |   | 2007 |   |   | 2008      vs. 2007 |   |
|                  |   |                             |   |   |   |   |   |   |   |   |   |   |   | Increase      (Decrease) |   |
|                  |   |                             |   |   | %      of Net |   |   |   |   |   | %      of Net |   |   | Revenues |   |   | Units      Processed |   |
|                  |   | Amount                           |   |   | Revenues |   |   | Amount |   |   | Revenues |   |   | Amount |   |   | Percent |   |   | Number |   | Percent |   |
|                  |   | (Dollars      in thousands)      |   |   |   |   |   |   |   |
| Product      revenues |   | $                                | 928    |   |   |   | 2.9 | % |   | $ | 143 |   |   |   | 0.5 | % |   | $ | 785 |   |   |   | 549.0 | % |   |   | N/A |   |   |   | N/A |   |
| Coins                 |   |                             | 16,792 |   |   |   | 53.0 | % |   |   | 17,136 |   |   |   | 57.6 | % |   |   | (344 | ) |   |   | (2.0 | %) |   |   | (19 | ) |   |   | (1.6 | %) |
| Sportscards           |   |                             | 6,710  |   |   |   | 21.2 | % |   |   | 6,507 |   |   |   | 21.8 | % |   |   | 203 |   |   |   | 3.1 | % |   |   | 40 |   |   |   | 4.2 | % |
| Other      (1)        |   |                             | 7,255  |   |   |   | 22.9 | % |   |   | 5,986 |   |   |   | 20.1 | % |   |   | 1,269 |   |   |   | 21.2 | % |   |   | 41 |   |   |   | 19.2 | % |
| Net      Revenues     |   | $                                | 31,685 |   |   |   | 100.0 | % |   | $ | 29,772 |   |   |   | 100.0 | % |   | $ | 1,913 |   |   |   | 6.4 | % |   |   | 62 |   |   |   | 2.7 | % |

| (1) | Consists      of autographs, stamps, currency, diamonds and colored gemstones, CCE      subscription business, our CFC dealer financing business, and our      collectibles convention business. |
|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

----

|                       |   | Three      Months Ended March 31, |   |   | Nine      Months Ended March 31, |   |
|----------------------------|--------|-----------------------------------|--------|--------|----------------------------------|--------|
|                       |   | 2008                              |   |   | 2007                             |   |   | 2008 |   |   | 2007 |   |
|                       |   |                              |   |   | Gross      Profit                |   |   |   |   |   | Gross      Profit |   |   |   |   |   | Gross      Profit |   |   |   |   |   | Gross      Profit |   |
|                       |   | Amount                            |   |   | Margin                           |   |   | Amount |   |   | Margin |   |   | Amounts |   |   | Margin |   |   | Amount |   |   | Margin |   |
| Gross      profit-products |   | $                                 | 1      |   |                             |   | 4.8 | % |   | $ | 5 |   |   |   | 38.5 | % |   | $ | 87 |   |   |   | 9.4 | % |   | $ | 35 |   |   |   | 24.5 | % |
| Gross      profit-services |   |                              | 4,898  |   |                             |   | 45.0 | % |   |   | 5,938 |   |   |   | 53.6 | % |   |   | 13,604 |   |   |   | 44.2 | % |   |   | 15,876 |   |   |   | 53.6 | % |
| Gross      profit-totals   |   | $                                 | 4,899  |   |                             |   | 45.0 | % |   | $ | 5,943 |   |   |   | 53.6 | % |   | $ | 13,691 |   |   |   | 43.2 | % |   | $ | 15,911 |   |   |   | 53.4 | % |

|                                                                                                                                                                                                                                                                                                                       |   | Three      Months EndedMarch      31, |      |   | Nine      Months EndedMarch      31, |   |
|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|---------------------------------------|-----------|--------|--------------------------------------|--------|
|                                                                                                                                                                                                                                                                                                                       |   | 2008                                  |      |   | 2007                                 |   |   | 2008 |   |   | 2007 |   |
| Selling      and marketing expenses                                                                                                                                                                                                                                                                                        |   | $                                     | 2,164,000 |   |                                 | $      | 2,411,000 |   |   | $ | 6,043,000 |   |   | $ | 5,106,000 |   |
| Percent      of net      revenue                                                |   |                                  | 19.9      | %      |                                 |   | 21.8 | % |   |   | 19.1 | % |   |   | 17.1 | % |

----

|                                     |   | Three      Months EndedMarch      31, |      |   | Nine      Months EndedMarch      31, |   |
|------------------------------------------|--------|---------------------------------------|-----------|--------|--------------------------------------|--------|
|                                     |   | 2008                                  |      |   | 2007                                 |   |   | 2008 |   |   | 2007 |   |
| General      and administrative expenses |   | $                                     | 3,960,000 |   |                                 | $      | 3,729,000 |   |   | $ | 11,637,000 |   |   | $ | 11,389,000 |   |
| Percent      of net revenues             |   |                                  | 36.3      | %      |                                 |   | 33.6 | % |   |   | 36.7 | % |   |   | 38.3 | % |

|                         |   | Three      Months EndedMarch      31, |    |   | Nine      Months EndedMarch      31, |   |
|------------------------------|--------|---------------------------------------|---------|--------|--------------------------------------|--------|
|                         |   | 2008                                  |    |   | 2007                                 |   |   | 2008 |   |   | 2007 |   |
| Amortization      expense    |   | $                                     | 317,000 |   |                                 | $      | 219,000 |   |   | $ | 873,000 |   |   | $ | 577,000 |   |
| Percent      of net revenues |   |                                  | 2.9     | %      |                                 |   | 2.0 | % |   |   | 2.8 | % |   |   | 1.9 | % |

----

|                                     |   | Three      Months EndedMarch      31, |    |   | Nine      Months EndedMarch      31, |   |
|------------------------------------------|--------|---------------------------------------|---------|--------|--------------------------------------|--------|
| Included      in:                        |   | 2008                                  |    |   | 2007                                 |   |   | 2008 |   |   | 2007 |   |
| Cost      of revenues                    |   | $                                     | 101,000 |   |                                 | $      | 77,000 |   |   | $ | 223,000 |   |   | $ | 229,000 |   |
| Selling      and marketing expenses      |   |                                  | -       |   |                                 |   | 3,000 |   |   |   | (7,000 | ) |   |   | 6,000 |   |
| General      and administrative expenses |   |                                  | 217,000 |   |                                 |   | 161,000 |   |   |   | 614,000 |   |   |   | 426,000 |   |
|                                     |   | $                                     | 318,000 |   |                                 | $      | 241,000 |   |   | $ | 830,000 |   |   | $ | 661,000 |   |

| Fiscal      Year Ending June 30, |   | Amount |      |
|----------------------------------|--------|--------|-----------|
| 2008                             |   | $      | 237,000   |   |
| 2009                             |   |   | 592,000   |   |
| 2010                             |   |   | 251,000   |   |
| 2011                             |   |   | 116,000   |   |
| 2012                             |   |   | 14,000    |   |
|                             |   | $      | 1,210,000 |   |

|                                                                                                                                                                                                                                                                                                                                         |   | Three      Months EndedMarch      31, |    |   | Nine      Months EndedMarch      31, |   |
|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|---------------------------------------|---------|--------|--------------------------------------|--------|
|                                                                                                                                                                                                                                                                                                                                         |   | 2008                                  |    |   | 2007                                 |   |   | 2008 |   |   | 2007 |   |
| Interest      income,      net                                                     |   | $                                     | 239,000 |   |                                 | $      | 511,000 |   |   | $ | 979,000 |   |   | $ | 1,624,000 |   |
| Percent      of net      revenue                                                   |   |                                  | 2.2     | %      |                                 |   | 4.6 | % |   |   | 3.1 | % |   |   | 5.5 | % |

----

|                                                                                                                                                                                                                                                                                                                        |   | Three      Months EndedMarch      31, |     |   | Nine      Months EndedMarch      31, |   |
|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|---------------------------------------|----------|--------|--------------------------------------|--------|
|                                                                                                                                                                                                                                                                                                                        |   | 2008                                  |     |   | 2007                                 |   |   | 2008 |   |   | 2007 |   |
| Provision      (benefit) for income taxes                                                                                                                                                                                                                                                                                   |   | $                                     | (336,000 | )      |                                 | $      | 165,000 |   |   | $ | (1,364,000 | ) |   | $ | 336,000 |   |
| Percent      of net      revenues                                                |   |                                  | (3.0     | %)     |                                 |   | 1.5 | % |   |   | (4.2 | %) |   |   | 1.1 | % |

|                                                                                                                         |   | Three      Months EndedMarch      31, |   |   | Nine      Months EndedMarch      31, |   |
|------------------------------------------------------------------------------------------------------------------------------|--------|---------------------------------------|--------|--------|--------------------------------------|--------|
|                                                                                                                         |   | 2008                                  |   |   | 2007                                 |   |   | 2008 |   |   | 2007 |   |
| Income      (loss) from discontinued operations, net of gain on sales of discontinued      businesses (net of income taxes). |   | $                                     | -      |   |                                 | $      | 99,000 |   |   | $ | (4,000 | ) |   | $ | 190,000 |   |
| Percent      of net revenues                                                                                                 |   |                                  | -      |   |                                 |   | 0.9 | % |   |   | - |   |   |   | 0.6 | % |

Liquidity and Capital Resources

----

| Fiscal      Year              |   | Amount |       |
|-------------------------------|--------|--------|------------|
| 2008(remaining      3 months) |   | $      | 455,000    |   |
| 2009                          |   |   | 2,212,000  |   |
| 2010                          |   |   | 1,415,000  |   |
| 2011                          |   |   | 979,000    |   |
| 2012                          |   |   | 985,000    |   |
| Thereafter                    |   |   | 5,066,000  |   |
|                          |   | $      | 11,112,000 |   |

----

Risks and Uncertainties That Could Affect Our Future FinancialPerformance

| ·   | changes      in general economic conditions generally or changes in conditions in the      collectibles or high-value assets markets in which we operate, such as a      possible decline in the popularity of some high-value collectibles or      assets, either of which could reduce the volume of authentication and      grading submissions and, therefore, the grading fees we      generate; |
|--------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | a      lack of diversity in our sources of revenues and, more particularly, our      dependence on collectible coin authentication and grading for a      significant percentage of our total revenues, which makes us more      vulnerable to adverse changes in economic conditions, including volatility      in the value of precious metals or recessionary or other conditions that      could lead to reduced coin and other collectibles submissions or trade      show activities that would, in turn, result in reductions in our revenues      and income; |
|--------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | our      dependence on certain key executives and collectibles experts, the loss of      the services of any of which could adversely affect our ability to obtain      authentication and grading submissions and, therefore, could harm our      operating results; |
|--------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | the      fact that for the fiscal year ended June 30, 2007 and the nine months      ended March 31, 2008, our five largest coin authentication and grading      customers accounted, in the aggregate, for approximately 14% and 11% of      our net revenues, respectively, which means that the loss of any of those      customers, or a reduction in their grading submissions to us, would result      in a decline in our revenues and a reduction in our operating      income; |
|--------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | increased      competition from other collectibles’ authentication and grading companies      that could result in reductions in collectibles submissions to us or could      require us to reduce the prices we charge for our services, either of      which could result in reductions in our revenue and  income; |
|--------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | the      risk that we will incur unanticipated liabilities under our authentication      and grading warranties that would increase our operating      expenses; |
|--------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | the      risk that warranty claims will increase to a higher level than in the past      such that we will have to recognize additional warranty accruals in      anticipation of these claims and our ongoing warranty accrual rate will      need to be increased to cover potential higher claims in the      future; |
|--------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | the      risk that new collectibles service offerings and business initiatives,      such as autograph, stamp and paper currency grading services, diamonds and      colored gemstones, and our dealer financing program, will not gain market      acceptance or will be unsuccessful and will, as a result, increase our      operating expenses and reduce our overall profitability or cause us to      incur losses; |
|--------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | the      risks involved in acquiring existing or commencing new authentication and      grading businesses, including the risks that we will be unable to      successfully integrate new businesses into our operations; that our new      businesses (in particular our diamond and colored gemstones businesses)      may not gain market acceptance; that business expansion may result in a      costly diversion of management time and resources from our existing      businesses and increase our operating expenses; that acquisition-related      goodwill and intangible assets may become impaired, which could adversely      impact our financial statements and results of operations; and that we      will not achieve adequate returns on the investments we may make in      acquiring other or establishing new businesses, any of which would harm      our profitability or cause us to incurlosses; |
|--------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| ·   | the      risks that we will encounter problems with or failures of our computer      systems that would interrupt our services or result in loss of data that      we need for our business; and |
|--------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | the      potential of increased government regulation of our businesses that could      cause operating costs to increase. |
|--------------------|----------------------------------------------------------------------------------------------------------------------------|

----

ITEM 2A.   QUANTITATIVE AND QUALITATIVE DISCLOSURESABOUT MARKET RISK

ITEM 3.    CONTROLS AND PROCEDURES

----

| ITEM      1. | LEGALPROCEEDINGS |
|--------------|------------------|

| ITEM      1A. | RISK FACTORS |
|---------------|--------------|

----

UNREGISTERED SALES OF EQUITY SECURITIES AND USE OFPROCEEDS

|                                                                    |   | (a)                                       |    |   | (b)                                        |   |   | (c)                                                                                              |   |   | (d)                                                                                                 |   |
|-------------------------------------------------------------------------|--------|-------------------------------------------|---------|--------|--------------------------------------------|--------|--------|--------------------------------------------------------------------------------------------------|--------|--------|-----------------------------------------------------------------------------------------------------|--------|
|     Monthly      PeriodsThrough      March 31, 2008 |   |  TotalNumberof      Shares Purchased |    |   | Average Price      Paidper Share |   |   | Total Numberof      SharesPurchasedas      Part of PubliclyAnnounced      Program |   |   | ApproximateDollar      Valueof Shares thatMay      Yet BePurchasedunder      the Programs |   |
|                                                                    |   |                                      |    |   |                                       |   |   |                                                                                             |   |   |                                                                                                |   |
| January      1 to January 31, 2008                                      |   |                                      | 0       |   |                                       |   | N/A    |                                                                                             |   |   | N/A                                                                                                 |   |   | $ | 6,437,372 |   |
| February      1 to February 28, 2008                                    |   |                                      | 42,865  |   |                                       | $      | 9.62   |                                                                                             |   |   | 412,450                                                                                             |   |   | $ | 6,024,922 |   |
| March      1 to March 31, 2008                                          |   |                                      | 99,011  |   |                                       | $      | 9.18   |                                                                                             |   |   | 908,614                                                                                             |   |   | $ | 5,116,308 |   |
| Total                                                                   |   |                                      | 141,876 |   |                                       | $      | 9.31   |                                                                                             |   |   | 1,321,064                                                                                           |   |   |   |   |   |

| ITEM      6. | EXHIBITS |
|--------------|----------|

| (a)    | Exhibits:         |                                                                                                   |
|--------|-------------------|--------------------------------------------------------------------------------------------------------|
|   |              |                                                                                                   |
|   | Exhibit      31.1 | Certification      of Chief Executive Officer Under Section 302 of the Sarbanes-Oxley Act of      2002 |
|   |              |                                                                                                   |
|   | Exhibit      31.2 | Certification      of Chief Financial Officer Under Section 302 of the Sarbanes-Oxley Act of      2002 |
|   |              |                                                                                                   |
|   | Exhibit      32.1 | Chief      Executive Officer Certification Under Section 906 of the Sarbanes-Oxley      Act of 2002    |
|   |              |                                                                                                   |
|   | Exhibit      32.2 | Chief      Financial Officer Certification Under Section 906 of the Sarbanes-Oxley      Act of 2002    |

----

SIGNATURES

|                                                                                    |   | COLLECTORS      UNIVERSE, INC. |
|-----------------------------------------------------------------------------------------|--------|--------------------------------|
|                                                                                    |   |                           |
| Date:           May      9, 2008 |   | /s/      MICHAEL R. HAYNES     |
|                                                                                    |   | Michael      R. Haynes         |
|                                                                                    |   | Chief      Executive Officer   |

|                                                                                    |   | COLLECTORS      UNIVERSE, INC. |
|-----------------------------------------------------------------------------------------|--------|--------------------------------|
|                                                                                    |   |                           |
| Date:           May      9, 2008 |   | /s/      JOSEPH J. WALLACE     |
|                                                                                    |   | Joseph      J. Wallace         |
|                                                                                    |   | Chief      Financial Officer   |

----

|   | INDEX TOEXHIBITS |
|--------|------------------|

| Number            | Description                                                                                            |
|-------------------|--------------------------------------------------------------------------------------------------------|
|              |                                                                                                   |
| Exhibit      31.1 | Certification      of Chief Executive Officer Under Section 302 of the Sarbanes-Oxley Act of      2002 |
|              |                                                                                                   |
| Exhibit      31.2 | Certification      of Chief Financial Officer Under Section 302 of the Sarbanes-Oxley Act of      2002 |
|              |                                                                                                   |
| Exhibit      32.1 | Chief      Executive Officer Certification Under Section 906 of the Sarbanes-Oxley      Act of 2002    |
|              |                                                                                                   |
| Exhibit      32.2 | Chief      Financial Officer Certification Under Section 906 of the Sarbanes-Oxley      Act of 2002    |
|              |                                                                                                   |

----