Sales gains 19.4% in its core network marketing business - Net Loss from
Continuing Operations totalled $2.7 Million, due to Marketing and Sales
investments

VAUDREUIL-DORION, QC, Feb. 12 /CNW Telbec/ - Immunotec Inc. (TSX Venture Exchange: IMM), a Canadian based company and a leader in the wellness industry (the "Company"), today reported a sales increase of 19.4% in its core network marketing business to reach $37.9M in 2009 compared to $31.8 in 2008, despite the challenging market environment in North America. Revenues in key US market grew by 30% to reach $20M., while Canada grew by 11% to reach $21M.

For the year ended October 31, 2009, EBITDA before impairment of other assets, restructuring charges and loss from discontinued operations totalled a negative $0.6M compared to $2.6M for Fiscal 2008. This performance is largely attributable to the investment associated with the introduction of the new compensation program during the year and certain additional promotional costs for recruitment.

"Although more expensive than we had originally planned, our new compensation program did drive significant growth in recruitment of new distributors and customers", said James A. Northrop, President and CEO of Immunotec Inc. "Most fundamentally, and most critically for our future, we established our presence across North America as a multi-level marketing company".

Fiscal 2009 Financial Results Highlights:

    
    -   Network Revenues reached $37.9M in 2009 compared to $31.8 in 2008,
        a $6.1M or 19.4% increase.

    -   Other Revenues that include international distribution revenues,
        freight and shipping, charge backs and educational material reached
        $6.8M in 2009 compared to $6.3M in 2008, a $0.5M or 8% increase.

    -   Canada remained the biggest segment at $21.1M in total revenues with
        an increase of 11% over the preceding year. Growing to nearly match
        Canada, the United States achieved $20.0M in total revenues
        representing a 30% increase over the preceding year. Revenues from
        other countries of $ 3.6M remained stable year over year.

    -   Sales incentives and commissions as a result of the introduction of
        the new compensation plan reached 53% on average for the 2009 period,
        compared to 49% for 2008.

    -   Expenses defined as being the cumulative amounts of Administration,
        Marketing, Sales, Quality Control and Research & Development expenses
        were $12.9M for 2009 representing 29% of total revenues and stable as
        a percentage of total revenues over last year of $10.5M or 28% for
        2008.

    -   The Company reorganized its operations and downsized its corporate
        overhead during the fourth quarter resulting in a onetime, non-
        recurrent charge of $0.4M.

    -   The Company closed, in July 2009, the operations of its subsidiary
        located in South Korea because of an Executory Preliminary Injunction
        launched against Immunotec Korea Inc. The net operating loss incurred
        from March 20, 2009 to October 31, 2009 from the operations related
        to South Korea amounted to $2.1M, net of future income tax of $0.2M
        and have been recorded during the year.

    -   Net loss from continuing operations for the year ended October 31 of
        2009 of $2.7 million, or $0.038 per diluted share, compared to net
        earnings from continuing operations of $0.9 million, or $0.013 per
        diluted share for the same period of 2008. Immunotec's net loss for
        the year end of 2009 was $4.5 million, or $0.065 per diluted share,
        compared to net earnings of $0.9 million, or $0.013 per diluted share
        for the last year. The additional decrease in net earnings is
        predominantly due to the loss experienced in closing the South Korean
        operations, the decrease in operating margins created from the
        introduction of the new compensation plan and a provision on
        impairment of other assets.
    

About Immunotec Inc.

Immunotec is a Network Marketing Company involved in the direct selling of scientifically validated natural health products and dietary supplements. The Company offers a lucrative business opportunity to its independent distributors. This business model provides Immunotec's network of people with an opportunity to earn a steady and recurring income, directly based on their level of involvement and performance. Individual distributors build their business by conveying product information and selling product to customers and by building teams of distributors to expand geographic penetration and market coverage to larger populations of customers.

Headquartered with manufacturing facilities near Montreal, Canada, the Company also subcontracts certain distribution logistics and capacity to support its activities in the United States, the Netherlands and Trinidad and Tobago.

The Company files its consolidated financial statements, its management and discussion analysis report, its press releases and such other required documents on the SEDAR database at www.sedar.com and on the Company's website at www.immunotec.com. The common shares of the Company are listed on the TSX Venture Exchange under the ticker symbol IMM.

CAUTION REGARDING FORWARD-LOOKING STATEMENTS

Certain statements contained in this news release are forward-looking and are subject to numerous risks and uncertainties, known and unknown. For information identifying known risks and uncertainties and other important factors that could cause actual results to differ materially from those anticipated in the forward-looking statements, please refer to the heading Risks and Uncertainties in Immunotec's most recent Management's Discussion and Analysis, which can be found at www.sedar.com. Consequently, actual results may differ materially from the anticipated results expressed in these forward-looking statements.

"The TSX Venture does not accept responsibility for the adequacy or accuracy of this release."

    
                         Consolidated Balance Sheets

    As at October 31                                      2009          2008

                                                             $             $
    -------------------------------------------------------------------------
    -------------------------------------------------------------------------

    ASSETS

    Current

      Cash                                           2,262,821     6,138,454
      Accounts receivable                              201,841       812,914
      Income taxes receivable                           70,306       118,692
      Inventories                                    3,941,847     2,979,230
      Prepaid expenses                                 436,251       548,333
      Future income taxes                               90,133     1,037,000
    -------------------------------------------------------------------------
                                                     7,003,199    11,634,623

    Long-term

      Property, plant and equipment                  6,068,313     6,210,788
      Intangible assets                              2,505,937     2,527,596
      Goodwill                                         499,541       499,541
      Future income taxes                            1,969,403       551,967
      Other assets                                     699,839     1,238,885
    -------------------------------------------------------------------------
                                                    18,746,232    22,663,400
    -------------------------------------------------------------------------
    -------------------------------------------------------------------------
    LIABILITIES AND SHAREHOLDERS' EQUITY

    Current liabilities

      Accounts payable                               2,629,247     2,739,945
      Accrued liabilities                            1,881,390     1,503,969
      Customer deposits                                308,557       261,735
      Income taxes payable                                   -        46,538
    -------------------------------------------------------------------------
                                                     4,819,194     4,552,187

    Shareholders' Equity (Deficit)

      Share capital                                  3,465,548     3,465,548
      Other equity - Stock options                   1,770,093     1,414,885
      Contributed surplus                           11,337,796    11,332,143
      (Deficit) Retained earnings                   (2,646,399)    1,898,637
    -------------------------------------------------------------------------

                                                    13,927,038    18,111,213
    -------------------------------------------------------------------------

                                                    18,746,232    22,663,400
    -------------------------------------------------------------------------
    -------------------------------------------------------------------------


                    Consolidated Statements of Changes in
                       Shareholders' Equity (Deficit)


               Number of
                  common
                  shares


              -----------
    Balance -
     October
     31,
     2007     69,994,300
              -----------

    Net
     earnings          -

    Stock-
     based
     compen-
     sation
     (note 11)         -
              -----------

    Balance -
     October
     31,
     2008     69,994,300
              -----------

    Net loss

    Stock-
     based
     compen-
     sation
     (note 11)
              -----------

    Balance -
     October
     31,
     2009     69,994,300
              -----------


                                Other
                               equity          Con-    (Deficit)
                   Share       -Stock     tributed     Retained
                 capital      options      surplus     earnings        Total

                       $            $            $            $            $
              ---------------------------------------------------------------
    Balance -
     October
     31,
     2007      3,465,548      736,416   11,326,406      956,836   16,485,206
              ---------------------------------------------------------------

    Net
     earnings          -            -            -      941,801      941,801

    Stock-
     based
     compen-
     sation
     (note 11)         -      678,469        5,737            -      684,206
              ---------------------------------------------------------------

    Balance -
     October
     31,
     2008      3,465,548    1,414,885   11,332,143    1,898,637   18,111,213
              ---------------------------------------------------------------

    Net loss                                         (4,545,036)  (4,545,036)

    Stock-
     based
     compen-
     sation
     (note 11)                355,208        5,653                   360,861
              ---------------------------------------------------------------

    Balance -
     October
     31,
     2009      3,465,548    1,770,093   11,337,796   (2,646,399)  13,927,038
              ---------------------------------------------------------------


                   Consolidated Statements of (Loss) Income
                           and Comprehensive Income

    Years ended October 31                                2009          2008

                                                             $             $
    -------------------------------------------------------------------------
    -------------------------------------------------------------------------
    REVENUES

      Network sales                                 37,909,574    31,757,078
      Other revenue                                  6,815,130     6,303,316
    -------------------------------------------------------------------------
                                                    44,724,704    38,060,394

    VARIABLE COSTS

      Cost of goods sold (excluding amortization)    7,996,599     6,346,411
      Sales incentives - Network                    20,241,290    15,434,576
      Other variable costs                           4,154,662     3,228,664
    -------------------------------------------------------------------------
      Margin before expenses                        12,332,153    13,050,743
    -------------------------------------------------------------------------
    Expenses

      Administrative                                 6,870,331     5,839,084
      Marketing and Selling                          5,096,634     3,839,729
      Quality and Development costs                    946,790       806,842
      Amortization                                   1,079,729     1,044,053
      Financial charges (revenues)                      36,099       (80,771)
      Impairment on other asset                        736,000             -
      Restructuring charges                            437,805             -
    -------------------------------------------------------------------------
                                                    15,203,388    11,448,937
    -------------------------------------------------------------------------
    (Loss) Earnings from continuing operations
     before income taxes                            (2,871,235)    1,601,806
    (Recovery of) Income taxes
      Current                                           39,789        58,949
      Future                                          (236,677)      601,056
    -------------------------------------------------------------------------
    (Loss) Earnings from continued operations       (2,674,347)      941,801
    Loss from discontinued operations               (1,870,689)            -
    -------------------------------------------------------------------------
    Net (loss) earnings and comprehensive
     (loss) income                                  (4,545,036)      941,801
    -------------------------------------------------------------------------
    -------------------------------------------------------------------------
    Basic Net (loss) earnings per share
      Continuing operations                             (0.038)        0.013
      Discontinued operations                           (0.027)            -
    -------------------------------------------------------------------------
    Total basic net (loss) earnings per share           (0.065)        0.013
    -------------------------------------------------------------------------
    -------------------------------------------------------------------------
    Diluted Net (loss) earnings per share
      Continuing operations                             (0.038)        0.013
      Discontinued operations                           (0.027)            -
    -------------------------------------------------------------------------
    Total diluted net (loss) earnings per share         (0.065)        0.013
    -------------------------------------------------------------------------
    -------------------------------------------------------------------------
    Weighted average number of common shares
     outstanding during the period (note 14)
    Basic                                           69,994,300    69,994,300
    Diluted                                         69,994,300    70,034,549


                     Consolidated Statement of Cash Flows

                                                          2009          2008

    Years ended October 31                                   $             $
    -------------------------------------------------------------------------

    Operating activities

    Net (loss) earnings and comprehensive
     (loss) income                                  (4,545,036)      941,801
    Loss from discontinued operations               (1,870,689)            -
    -------------------------------------------------------------------------
    (Loss) from continuing operations               (2,674,347)      941,801

    Add (deduct) non cash items:
    ----------------------------
        Amortization of property, plant and
         equipment                                     537,881       547,430
        Amortization of intangible assets              541,848       496,623
        Net gain on disposal of property, plant
         and equipment and intangible assets           (46,232)            -
        Impairment on other asset                      736,000             -
        Future income taxes                           (236,677)      601,056
        Stock-based compensation                       360,861       684,206
    -------------------------------------------------------------------------
    Cash (used) received prior to working
     capital variation                                (780,666)    3,271,116

    Net change in non-cash working capital              73,824      (151,040)
    -------------------------------------------------------------------------

    Cash (used) received in operating activities      (706,842)    3,120,076
    -------------------------------------------------------------------------
    -------------------------------------------------------------------------

    Investing activities

      Additions to property, plant and
       equipment                                      (873,752)     (142,771)
      Additions to intangible assets                  (520,211)     (601,959)
      Proceeds from disposal of property,
       plant and equipment                             524,600             -
      Research and development tax credits                   -      (111,450)
      Other receivable                                (196,954)            -
    -------------------------------------------------------------------------
    -------------------------------------------------------------------------

    Cash used in investing activities               (1,066,317)     (856,180)
    -------------------------------------------------------------------------
    -------------------------------------------------------------------------
    Net (decrease) increase in cash from
     continuing activities                          (1,773,159)    2,263,896
    Net (decrease) in cash from discontinued
     activities
        Operating activities                        (1,970,623)            -
        Investing activities                          (131,851)            -
    -------------------------------------------------------------------------
                                                    (2,102,474)            -

    Net (decrease) increase in cash during
     the year                                       (3,875,633)    2,263,896

    Cash at the beginning of year                    6,138,454     3,874,558
    -------------------------------------------------------------------------
    Cash at the end of year                          2,262,821     6,138,454
    -------------------------------------------------------------------------
    -------------------------------------------------------------------------
    

SOURCE IMMUNOTEC INC.

For further information: For further information: Patrick Montpetit, Chief Financial Officer, (450) 510-4527

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IMMUNOTEC INC.

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