FOR MORE INFORMATION: Michael R. Cox Phone 765.497.5829 mcox@BASInc.com Bioanalytical Systems, Inc. Reports Financial Results for First Half of Fiscal 2009

INFORMATION: Michael R. Cox

Systems, Inc. Reports Financial Results for First Half of Fiscal

LAFAYETTE, Ind., May 15, 2009- Bioanalytical Systems, Inc. (Nasdaq:

BASI) today reported financial results for the second quarter and first six

months of fiscal 2009, ended March 31, 2009.

decreased 31.1% in the second quarter of fiscal 2009 to $7.1 million compared to

revenue of $10.3 million from continuing operations for the same period in

fiscal 2008. Service revenue declined 37.8% to $5.3 million and Products revenue

declined 0.4% to $1.8 million. The net loss for the second quarter was

$1,831,000, or $0.37 per basic and diluted share, compared to net income from

continuing operations of $432,000, or $0.09 per basic and diluted share, for the

second quarter of fiscal 2008.

decreased 27.8% in the first six months of fiscal 2009 to $15.1 million compared

to revenue of $20.9 million from continuing operations for the same period in

fiscal 2008. Service revenue declined 31.8% and Products revenue declined 10.5%

from the first six months of the prior fiscal year. The net loss for the first

six months was $3,415,000, or $0.69 per basic and diluted share, compared to net

income from continuing operations of $1,019,000, or $0.21 and $0.20 per basic

and diluted share, respectively, for the first half of fiscal 2008.

Company discontinued its Phase I clinical trials business in June

2008. The net loss from discontinued operations in the first six

months of the prior fiscal year was $1.2 million, or $0.24 and $0.23 per basic

and diluted share, respectively. This resulted in a net loss from all

operations for the six months ended March 31, 2008 of $152,000, or $0.03 per

basic and diluted share.

Cox, Chief Financial Officer, stated, "The first half of the current fiscal year

has been challenging for us as we have dealt with the economic

downturn. Our revenues declined and several projects were delayed or

cancelled. Foreign currency losses related to the decline

of the pound sterling relative to the U.S. dollar also added to our net

loss. We completed a reduction in force in January 2009 through both

attrition and terminations and have instituted a capital spending freeze in

order to reduce operating costs and improve cash flow. We serve a

market that we believe will continue to invest in new product development, and

thus employ our services. We have experienced an increase in new

bookings and new business opportunities since the beginning of the current

calendar year, which we hope will be sustained. We continue to be

anxious about the impacts the current economic conditions will have on our

customers and our business as we strive to control costs and conserve

Bioanalytical Systems, Inc.

pharmaceutical development company providing contract research services and

monitoring instruments to the world's leading drug development companies and

medical research organizations. The company focuses on developing innovative

services and products that increase efficiency and reduce the cost of taking a

new drug to market. Visit www.BASInc.com for

release contains forward-looking statements that are subject to risks and

uncertainties including, but not limited to, risks and

in the market and demand for our products and

services, the development, marketing and sales of

products and services, changes in technology, industry standards and regulatory

standards, and various market and operating risks detailed in the company's

filings with the Securities and Exchange Commission.

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CONSOLIDATED STATEMENTS OF OPERATIONS

thousands, except per share amounts)