LAB Research receives over $3 million in Government Subsidies and Loans for the Expansion of its Canadian Facilities



    LAVAL, QC, Sept. 3 /CNW Telbec/ - LAB Research Inc. (TSX: LRI)
("LAB Research" or the "Corporation"), a Canadian-based global non-clinical
contract research organization, announced that it has received more than
$3 million in government subsidies and loans to support the expansion of its
Canadian facilities.
    "The expansion of our Canadian facilities represents the Corporation's
largest investment to date," said Luc Mainville, President and Chief Executive
Officer of LAB Research. "This three-year $40 million investment will enable
us to more than double our surface area and ultimately triple our revenues
from the Canadian site. Due to the strategic nature of this project, we are
very happy that the Canadian and Québec governments as well as the city of
Laval have given us their financial support."
    The Corporation first obtained a non-refundable contribution of
$2 million as part of a program for attracting and retaining research
investments administered by the Québec government's Ministère du Développement
économique, de l'Innovation et de l'Exportation. Half of this amount will be
received in 2008.
    LAB Research was also awarded a $529,000 subsidy from the Québec
government's Ministère de l'Emploi et de la Solidarité sociale to contribute
to the creation of 242 new jobs.
    Furthermore, the Corporation obtained a $500,000 loan from Canada
Economic Development as part of the Business and Regional Growth Program
(CED-Growth).
    Finally, the Corporation will benefit from a municipal tax credit from
the City of Laval for a five-year period.

    About LAB Research Canada's expansion

    Initiated in the second half of 2007, the expansion project will increase
the site capacity from 87,000 to 170,000 square feet, including a 120%
increase of the vivarium activities and the addition of several new services
such as inhalation toxicology, metabolism studies and bio-analytical
capabilities. All new services will be launched over the coming quarters and
seasoned staff has already been hired to provide such services. Construction
is expected to be completed on budget and ahead of the initial schedule (a
portion of the expansion is set to be delivered by late September 2008). The
project's total cost is evaluated at $40 million over three years, $26 million
of which will be spent in 2008. By the time the expansion project is
completed, the Corporation will have increased plant capacity considerably,
along with the range of services it offers to pharmaceutical and biotechnology
companies. The site will be well positioned to capitalize on growing
opportunities in the toxicology sector for years ahead.

    About LAB Research Inc.

    LAB Research is a Canadian global non-clinical contract research
organization that provides contract research services to the pharmaceutical,
biotechnology, agro-chemical, petro-chemical and industrial markets. LAB
Research supports the development of its customers' products from three
state-of-the-art facilities located in Canada, Denmark and Hungary. LAB
Research's shares trade on the TSX under the symbol "LRI," with 18.1 million
shares outstanding.
    %SEDAR: 00023798EF




For further information:

For further information: Luc Mainville, President and Chief Executive
Officer, LAB Research Inc., (450) 973-2240, Ext. 1206,
mainvillel@labresearch.com; www.labresearch.com; Media and investor: Dominic
Sicotte, Echoes Financial Network Inc., 1-866-633-9551, (514) 842-9551,
dsicotte@echoesfinancial.com

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LAB RESEARCH INC.

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