LAKE SUCCESS, N.Y.--(BUSINESS WIRE)--E-Z-EM, Inc. (NASDAQ:EZEM) today announced preliminary financial results for its 2007 fiscal year-end. The Company expects net sales of approximately $137.8 million and net earnings of approximately $0.77 per diluted share. While the Company has exceeded its previously issued net earnings guidance of $0.66 per diluted share, the net sales results differ from the previously issued guidance by approximately $3.2 million due to the postponed recognition of revenues resulting from approximately $3.5 million in sales of RSDLTM skin decontaminants to the Department of Defense (DoD) during its 2007 fourth quarter. DoD logistics needs for this transaction required the Company to temporarily warehouse this product in its own facilities under a separate storage charge and contract. During the Company’s annual audit, it was determined that under interpretation of the accounting rules governing transactions of this type, revenue from this sale should be recognized when physical delivery to the DoD is made. The Company currently expects such delivery to occur in its 2008 fiscal year.
