BRLI Announces Record Revenues in Transitional Year.

Business &Health Editors

ELMWOOD PARK, N.J.--(BUSINESS WIRE)--Jan. 31, 2000

Bio-Reference Laboratories, Inc (NASDAQ: BRLI), announced today it had reported record revenues of $53,856,414 for its fiscal year ended October 31, 1999, which represents a 16% increase over its revenues for the previous year. The Company showed a loss of $4,978,448 for the period, of which $2,924,371 was attributable to an impairment charge associated with the Company's end stage renal dialysis business acquired from SmithKline Beecham and approximately $344,000 was attributable to a valuation allowance established in the event the Company is unable in future years to completely utilize its net operating tax loss carryovers. Despite the Company's loss, compared to a profit of approximately $600,000 for fiscal year 1998, the Company showed significant improvement in cash flow, generating a positive cash flow of approximately $1,800,000 for the fiscal year ended October 31, 1999. Of the Company's loss in fiscal year 1999, approximately $5,100,000 represents non-cash items including the impairment charge, the tax valuation allowance and depreciation and amortization of approximately $1,800,000.

Marc Grodman, M.D., Chairman and CEO of BRLI, stated, &uot;This has been a transitional year for BRLI. We are moving to emphasize new areas such as corporate drug screening, where we can move quickly to make an impact. During fiscal year 1999, the Company embarked on three new initiatives, all of which seek to redefine our core business by leveraging off of assets we already possess.

The Company has entered into the e-health marketplace with a business unit that seeks to enhance physician-patient and physician-payor electronic communications on a secured basis, including communicating laboratory results, e-mail, prescriptions, payor verification and eligibility, as well as offering other Internet based services to its physician network. DoctorNY.com is a health portal serving the New York metropolitan area. The Company created a business unit, PSIMedica, which will provide population health management services to third party payors utilizing information from laboratory, prescription and medical claims data. The Company also acquired Right Body Foods, distributor and manufacturer of freshly prepared, starch-free, low-carbohydrate, low-calorie food products to be distributed through health professionals such as physicians, dieticians, nutritionists, etc.&uot;

Dr. Grodman continued, &uot;Each of our acquisitions utilizes some part of the laboratory's strengths, including our marketing staff, physician network or the information generated through our facilities. It is through these initiatives, as well as through the stabilization of our underlying laboratory business that the Company seeks to enhance shareholder value in the coming year.

For further information about Right Body Foods, please visit our website at www.rightbodyfoods.com. For additional information about BRLI, please visit www.bioreference.com and www.doctorny.com.

BRLI, is a multi-faceted Health Services and Information Company as well as the largest regional clinical laboratory in the North East United States. It has major market positions in physician offices, industry, nursing homes and correctional institutions. Its toxicology laboratory performs employee drug testing for major corporations nationwide, as well as for drug treatment centers and psychiatric hospitals.

Statements included within this news release that are historical in nature constitute forward-looking statements for the purposes of the safe harbor provided by the Private Securities Litigation Reform Act of 1995. Investors are cautioned that this news release contains certain such forward-looking statements that involve substantial risks and uncertainties. When used, the words &uot;anticipate,&uot; &uot;believe,&uot; &uot;estimate,&uot; &uot;expect&uot; and similar expressions as they relate to the Company or its management are intended to identify such forward-looking statements. The Company's actual results, performance or achievements could differ materially from the results expressed in, or implied by, these forward-looking statements. Further discussion concerning the Company's business, results of operations and liquidity can be found in the Company's filings with the Securities and Exchange Commission.

The Company's common stock is traded on the Nasdaq Small Cap system under the symbol &uot;BRLI.&uot;

                   BIO-REFERENCE LABORATORIES, INC.

                       STATEMENTS OF OPERATIONS

                               (Audited)

                               Year Ended     October, 31
                                 1999            1998
                          ------------------------------
Net Revenues                  $ 53,856,414    $ 46,553,730


Cost of Services                30,850,337      25,058,008
                              ----------------------------
Gross Profit on Revenues      $ 23,006,077    $ 21,495,722

Expenses of Impaired Assets   $       --      $  2,924,371

General and Administrative      23,507,538      20,430,757
                              ----------------------------
Operating Income              $ (3,425,832)   $  1,064,965

Non-Recurring Gain                    --           333,900
Other Expense, net               1,185,316         840,582
                              ----------------------------
Net Income (Loss) Before

Income Tax                    $ (4,611,148)   $    558,283

Provision for Income
Taxes (Benefit)                    367,300         (38,300)
                              ----------------------------
Net Income (Loss)             $ (4,978,448)   $    596,583
                              ============================

Net Income (Loss)
 Per Share                    $       (.68)   $        .08
                              ============================