EXHIBIT 99.1

Innotrac Corporation Announces 2010 First Quarter Results

ATLANTA, GA (May 17, 2010) – Innotrac Corporation (NASDAQ-GM: INOC) announced financial results today for the first quarter ended March 31, 2010.  The Company reported revenues of $19.4 million for the quarter versus $28.8 million reported in the comparable period in 2009.  The decrease in revenue for the quarter ended March 31, 2010 was primarily due to the loss of two large fulfillment service contracts, combined with lower volumes from our existing customers due to general economic conditions.

The Company reported a net loss of $973,000, or $0.08 per share, fully diluted, for the three months ended March 31, 2010, versus net income of $1.9 million or $0.15 per share in the comparable period of 2009.

Innotrac

Innotrac Corporation, founded in 1984 and based in Atlanta, Georgia, is a full-service fulfillment and logistics provider serving enterprise clients and world-class brands.  The Company employs sophisticated order processing and warehouse management technology and operates seven fulfillment centers and a call center in six cities spanning all time zones across the continental United States.  For more information about Innotrac, visit the Innotrac Website, www.innotrac.com.

Information contained in this press release, other than historical information, may be considered forward-looking in nature.  Forward-looking statements are subject to various risks, uncertainties and assumptions. Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those anticipated, estimated or expected.  Among the key factors that may have a direct bearing on Innotrac’s operating results, performance or financial condition are competition, the demand for Innotrac’s services, Innotrac’s ability to retain its current clients, Innotrac’s success in growing its existing client base, developing new business, reducing operating costs in response to reduced service revenues, realization of expected revenues from new clients, the general state of the  industries that the Company serves, changing technologies, Innotrac’s ability to maintain profit margins in the face of pricing pressures and numerous other factors discussed in Innotrac’s 2009 Annual Report on Form 10-K and other filings on file with the Securities and Exchange Commission.  Innotrac disclaims any intention or obligation to update or revise any forward-looking statement whether as a result of new information, future events or otherwise.

George Hare

Chief Financial Officer

678-584-4020

ghare@innotrac.com

###

INNOTRAC CORPORATION
Condensed Statements of Operations
(in thousands, except per share amounts)
	Three Months Ended
	March 31,
	(Unaudited)
	2010			2009
Service revenue	$	16,028		$	24,656
Freight revenue		3,325			4,119
Total revenue		19,353			28,775
Cost of service revenues		7,346			10,660
Cost of freight revenues		3,291			4,058
Selling, general and
administrative expenses		8,802			10,810
Depreciation and amortization		848			1,208
Total operating expenses		20,287			26,736
Operating (loss) income		(934	)		2,039
Interest expense		39			106
Total other expense		39			106
(Loss) income before income taxes		(973	)		1,933
Income tax (benefit)		-			-
Net (loss) income	$	(973	)	$	1,933
(Loss) earnings per share:
Basic	$	(0.08	)	$	0.15
Diluted	$	(0.08	)	$	0.15
Weighted average shares
outstanding:
Basic		12,607			12,601
Diluted		12,607			12,601

INNOTRAC CORPORATION
Condensed Balance Sheets
(in thousands)
	March 31, 2010		December 31, 2009
ASSETS	(Unaudited)		(Audited)
Current Assets:
Cash	$	1,784	$	1,118
Accounts receivable (net of allowance for doubtful     accounts of  $118 at March 31, 2010 and $172 at     December 31, 2009)		12,824		14,521
Inventory		3,973		3,093
Prepaid expenses and other		936		1,693
Total current assets		19,517		20,425
Property and equipment, net		13,148		13,717
Other assets, net		1,084		1,061
Total assets	$	33,749	$	35,203
LIABILITIES AND SHAREHOLDERS' EQUITY
Current Liabilities:
Accounts payable	$	4,767	$	5,309
Line of credit		-		-
Accrued expenses and other		4,495		4,524
Total current liabilities		9,262		9,833
Noncurrent Liabilities:
Other non-current liabilities		1,567		1,491
Total noncurrent liabilities		1,567		1,491
Total shareholders' equity		22,920		23,879
Total liabilities and shareholders' equity	$	33,749	$	35,203

INNOTRAC CORPORATION
Condensed Statements of Cash Flows
(in thousands)
	Three Months Ended March 31,
	(Unaudited)
	2010			2009
CASH FLOWS FROM OPERATING ACTIVITIES:
Net (loss) income	$	(973	)	$	1,933
Adjustments to net (loss) income:
Depreciation and amortization		848			1,208
Provision for bad debts		(48	)		(41	)
Loss on disposal of fixed assets		1			-
Stock compensation expense-stock options		(5	)		11
Stock compensation expense-restricted stock		19			19
Decrease in other long-term assets		12			-
Increase in other long-term liabilities		108			5
Changes in working capital:
Accounts receivable, gross		1,745			4,563
Inventory		(880	)		640
Prepaid assets and other		757			(160	)
Accounts payable, accrued expenses and other		(566	)		(2,830	)
Net cash provided by operating activities		1,018			5,348
CASH FLOWS FROM INVESTING ACTIVITIES:
Capital expenditures		(285	)		(268	)
Net change in noncurrent assets and liabilities		(8	)		(8	)
Cash used in investing activities		(293	)		(276	)
CASH FLOWS FROM FINANCING ACTIVITIES:
Net repayments under line of credit		-			(4,912	)
Capital lease funding		(59	)		-
Loan fees paid		-			(115	)
Cash used in financing activities		(59	)		(5,027	)
Net increase in cash		666			45
Cash, beginning of period		1,118			1,056
Cash, end of period	$	1,784		$	1,101