Radiant Logistics Announces Results for the Fiscal Third Quarter Ended March 31, 2008

BELLEVUE, Wash., May 14 /PRNewswire-FirstCall/ -- Radiant Logistics, Inc. (BULLETIN BOARD: RLGT) , a domestic and international freight forwarding and logistics services company, today reported financial results for the three and nine months ended March 31, 2008.

For the three months ended March 31, 2008, Radiant reported net income of $87,000 on $25.8 million of revenues, or $0.00 per basic and fully diluted share. For the three months ended March 31, 2007, the Company reported net income of $24,000 on $19.4 million of revenues, or $0.00 per basic and fully diluted share.

For the nine months ended March 31, 2008, Radiant reported net income of $1,499,000 on $74.4 million of revenues, or $0.04 per basic and fully diluted share including net non-recurring income of $1,266,000 resulting from a reduction in estimate of liabilities assumed in the Company's acquisition of Airgroup. For the nine months ended March 31, 2007, the Company reported net income of $248,000 on $52.2 million of revenues, or $0.01 per basic and fully diluted share.

The Company also reported adjusted EBITDA (earnings before interest, taxes, depreciation amortization), of $495,000 for the three months ended March 31, 2008, compared to an adjusted EBITDA of $328,000 for the comparable prior year period.

The Company also reported adjusted EBITDA (earnings before interest, taxes, depreciation amortization), excluding the non-recurring items, of $1,416,000 for the nine months ended March 31, 2008 compared to adjusted EBITDA of $1,062,000 for the comparable prior year period. In December of 2007, the Company recognized a total of $1,918,000 in non-recurring income in connection with a reduction of its estimate of liabilities assumed in the acquisition of Airgroup and related tax indemnities net of $652,000 in corresponding tax expense. This income is not included in our adjusted EBITDA calculation for the nine months ending March 31, 2008. A reconciliation of our adjusted EBITDA to the most directly comparable GAAP measure appears at the end of this release.

"We remain very pleased with our continued revenue growth and our improved profitability," said Bohn Crain, Chairman and CEO. "For the quarter ended March 31, 2008, revenues increased to $25.8 million compared to $19.4 million, a 32.9% improvement from the comparable prior period and net transportation revenues increased to $9.5 million from $7.1 million, a 33.5% improvement from the comparable prior period. This positive trend also continued in terms of profitability with our adjusted EBITDA improving 50.9% over the comparable prior year period to $495,000."

Crain continued, "In addition to our efforts to drive organic growth, we also remain very active in exploring potential acquisition opportunities. Through this process we have identified and are in conversations with a select number of potential partners that could materially accelerate our growth and I

look forward to updating you on our progress over the course of 2008 as these opportunities continue to develop."

Supplemental Pro Forma Information

We believe that supplemental disclosure of our adjusted EBITDA, or earnings before interest, taxes, depreciation and amortization adjusted for stock-based compensation and other non-cash costs is a useful measure for investors because it eliminates the effect of certain non-cash costs and provides an important metric for our business. A reconciliation of adjusted EBITDA amounts to the most directly comparable GAAP measure for the three and nine months ended March 31, 2008 and 2007 is shown below:

(Amounts in 000's) THREE MONTHS ENDED NINE MONTHS ENDED MARCH 31, MARCH 31, 2008 2007 2008 2007 Net income $87 $24 $1,499 $248 Interest expense - net 26 3 98 9 Income tax expense (benefit) 36 37 772 18 Depreciation and amortization 239 209 721 600 EBITDA 388 273 3,090 875 Stock-based compensation and other non-cash charges 107 55 244 187 Change in estimate of liabilities assumed in Airgroup acquisition - - (1,431) - Tax indemnity - - (487) - Adjusted EBITDA $495 $328 $1,416 $1,062

This supplemental pro forma financial information is presented for informational purposes only and is not a substitute for the historical financial information presented in accordance with accounting principles generally accepted in the United States.

Investor Conference Call

Radiant will host a conference call for shareholders and the investing community on Thursday May 15, 2008 at 4:00pm, ET to discuss the contents of the release. The call can be accessed by dialing [phone], or [phone] for international participants, and is expected to last approximately 30 minutes. Callers are requested to dial in 5 minutes before the start of the call. An audio replay will be available for one week after the teleconference by dialing [phone], or [phone] for international callers, and using account number 286 and conference ID number 283780.

About Radiant Logistics (BULLETIN BOARD: RLGT)

Radiant Logistics (http://www.radiant-logistics.com/) is executing a strategy to build a global transportation and supply chain management company through organic growth and the strategic acquisition of regional best-of-breed non-asset based transportation and logistics providers, to offer its customers domestic and international freight forwarding and an expanding array of value added supply chain management services, including asset recovery/reverse

logistics, order fulfillment, inventory management and warehousing. For more information about Radiant Logistics, please contact Bohn Crain at [phone].

This press release includes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, regarding future operating performance, events, trends and plans. We have based these forward-looking statements on our current expectations and projections about future events. These forward-looking statements are not guarantees and are subject to known and unknown risks, uncertainties and assumptions about us that may that may cause our actual results, levels of activity, performance or achievements to be materially different from any future results, levels of activity, performance or achievements expressed or implied by such forward-looking statements. Important factors relating to our ability to develop additional agency locations, as well as to locate and finance acquisition opportunities, as well as other important factors that could cause our actual results to differ from our expectations, include but are not limited to those risk factors disclosed in our Report on Form 10-K for the year ended June 30, 2007 and other filings with the Securities and Exchange Commission and other public documents and press releases which can be found on our web-site (http://www.radiant-logistics.com/). Readers are cautioned not to place undue reliance on our forward-looking statements, as they speak only as of the date made. Such statements are not guarantees of future performance or events and we undertake no obligation to disclose any revision to these forward-looking statements to reflect events or circumstances occurring after the date hereof.

RADIANT LOGISTICS, INC. Consolidated Balance Sheets (UNAUDITED) March 31, June 30, 2008 2007 ASSETS Current assets - Cash and cash equivalents $279,626 $719,575 Accounts receivable, net of allowance for doubtful accounts of $641,493 at March 31, 2008 and $259,960 at June 30, 2007 13,536,141 15,062,910 Current portion of employee loan receivables and other Receivables 176,592 42,800 Prepaid expenses and other current assets 153,276 59,328 Deferred tax asset 805,516 234,656 Total current assets 14,951,151 16,119,269 Property and equipment, net 810,513 844,919 Acquired intangibles, net 1,379,253 1,789,773 Goodwill 7,433,057 5,532,223 Employee loan receivable 40,000 80,000 Investment in real estate 40,000 40,000 Deposits and other assets 173,056 618,153 $24,827,030 $25,024,337 LIABILITIES AND STOCKHOLDERS' EQUITY Current liabilities - Notes payable $233,306 $800,000 Accounts payable and accrued transportation costs 9,709,769 13,270,756 Commissions payable 1,155,562 700,020 Other accrued costs 205,845 344,305 Income taxes payable 1,084,917 224,696 Total current liabilities 12,389,399 15,339,777 Long term debt 3,011,269 1,974,214 Deferred tax liability 468,945 608,523 Total liabilities 15,869,613 17,922,514 Minority Interest 11,840 57,482 Stockholders' equity: Preferred stock, $0.001 par value, 5,000,000 shares authorized; no shares issued or outstanding - - Common stock, $0.001 par value, 50,000,000 shares authorized: issued and outstanding: 34,401,696 at March 31, 2008 and 33,961,639 at June 30, 2007 15,857 15,417 Additional paid-in capital 7,539,252 7,137,774 Accumulated earnings (deficit) 1,390,468 (108,850) Total stockholders' equity 8,945,577 7,044,341 $24,827,030 $25,024,337 RADIANT LOGISTICS, INC. Consolidated Statements of Income (Operations) (unaudited) THREE MONTHS ENDED NINE MONTHS ENDED MARCH 31, MARCH 31, 2008 2007 2008 2007 Revenue $25,765,377 $19,394,026 $74,431,411 $52,155,055 Cost of transportation 16,264,393 12,278,178 48,093,022 33,357,039 Net revenues 9,500,984 7,115,848 26,338,389 18,798,016 Agent commissions 6,611,130 5,419,646 18,617,364 14,389,716 Personnel costs 1,199,467 659,130 3,836,707 1,747,252 Selling, general and administrative expenses 1,268,558 742,061 2,703,589 1,760,558 Depreciation and amortization 238,822 209,348 720,426 600,295 Total operating expenses 9,317,977 7,030,185 25,878,086 18,497,821 Income (loss) from operations 183,007 85,663 460,303 300,195 Other income (expense): Interest income 800 2,490 3,200 6,801 Interest expense (27,173) (5,397) (101,045) (15,849) Other-non recurring - - 1,918,146 - Other (47,811) (21,783) (54,550) (24,466) Total other income (expense) (74,184) (24,690) 1,765,751 (33,514) Income before income tax benefit and minority interest 108,823 60,973 2,226,054 266,681 Income tax expense 35,841 37,449 772,378 18,327 Income before minority interest 72,982 23,524 1,453,676 248,354 Minority Interest 13,696 (18) 45,642 (18) Net income $86,678 $23,506 $1,499,318 $248,336 Net income per common share - basic $ - $ - $ .04 $ .01 Net income per common share - diluted $ - $ - $ .04 $ .01 Weighted average shares outstanding: Basic shares 34,115,010 33,961,639 34,012,391 33,856,712 Diluted shares 34,134,454 34,162,532 34,218,416 34,363,106 RADIANT LOGISTICS, INC. Reconciliation of EBITDA to Net Income and Net Cash Provided By (Used In) Operating Activities (UNAUDITED)

As used in this report, adjusted EBITDA means earnings before interest, income taxes, depreciation and amortization adjusted for stock-based compensation and other non-cash charges. We believe that adjusted EBITDA, as presented, represents a useful method of assessing the performance of our operating activities, as it reflects our earnings trends without the impact of certain non-cash charges. Adjusted EBITDA is also used by our creditors in assessing debt covenant compliance. We understand that although securities analysts frequently use EBITDA in their evaluation of companies, it is not necessarily comparable to other similarly titled captions of other companies due to potential inconsistencies in the method of calculation. EBITDA is not intended as an alternative to cash flow provided by (used in) operating activities as a measure of liquidity, as an alternative to net income as an indicator of our operating performance, nor as an alternative to any other measure of performance in conformity with accounting principles generally accepted in the United States of America.

The following is a reconciliation of adjusted EBITDA to both net income and cash flow provided by (used in) operating activities:

THREE MONTHS ENDED NINE MONTHS ENDED MARCH 31, MARCH 31, 2008 2007 2008 2007 Adjusted EBITDA $ 495,241 $327,978 $1,415,870 $1,062,359 Stock-based compensation and other non-cash charges Change in Estimate of liabilities assumed in Airgroup 107,527 54,768 244,049 186,389 Acquisition - - 1,431,452 - Tax indemnity - - 486,694 - EBITDA 387,714 273,210 3,089,967 876,006 Depreciation and amortization 238,822 209,348 720,426 600,295 Interest expense, net 26,373 2,907 97,845 9,048 Income tax expense 35,841 37,449 772,378 18,327 Net income 86,678 23,506 1,499,318 248,336 ADJUSTMENTS TO RECONCILE NET INCOME (LOSS) TO NET CASH PROVIDED BY OPERATING ACTIVITIES: Non-cash compensation expense (stock options) 57,282 49,255 150,384 141,876 Stock issuable for investor relations services 37,500 - 37,500 - Amortization of intangibles 136,840 152,956 410,520 458,871 Depreciation and amortization 101,982 56,392 309,906 141,423 Amortization of deferred tax liability (46,526) (52,005) (139,578) (156,016) Other deferred taxes 10,935 11,935 (570,860) (6,661) Minority interest in income of subsidiaries (13,697) 12,018 (45,642) 12,018 Amortization of employee receivable 40,000 40,000 Provision for doubtful accounts 165,629 24,517 381,533 23,369 Tax indemnity (486,694) - Change in purchased accounts receivable - - - (6,128) CHANGE IN OPERATING ASSETS AND LIABILITIES: Accounts receivable (782,232)(1,792,191) 1,145,236 (3,182,902) Other receivables (2,375) (1,200) (8,792) (1,271) Prepaid expenses and other current assets (40,983) 3,269 334,898 (33,100) Accounts payable & accrued transportation costs 139,819 1,358,876 (3,346,953) 3,458,480 Commissions payable 450,906 317,847 455,542 547,167 Other accrued costs 15,016 8,881 (138,460) (47,966) Income taxes payable (178,568) (505,887) 860,221 (880,564) Total adjustments 51,528 (361,875) (611,239) 508,596 Net cash provided (used) by operating activities $138,206 $(338,369) $ 888,079 $756,932