Exhibit 99.1

For additional information contact:
Richard S. DeRose (703) 293-7901
For release: August 11, 2010 at 9:00 a.m.

Information Analysis Inc. Reports Stronger Sales and Profits for the Second Quarter

FAIRFAX, VIRGINIA – Information Analysis Inc. (OTCBB: IAIC) reported results for the second quarter ended June 30, 2010. Revenues were $1,688,000 compared to $1,404,000 reported in 2009’s second quarter. The Company reported net income of $78,000, or $0.01 per share, compared to net income of $6,000, or $0.00 per share in 2009’s second quarter. IAI had revenue of $3,703,000, compared to $2,799,000 reported for six months ending June 30, 2009. Net income for the first six months of fiscal 2010 was $182,000, or $0.02 per share, versus a net loss of $56,000, or ($0.01) per share, in the comparable 2009 period.

     The Company’s revenue and profits continue to show profitable improvement over last year’s results,” Sandor Rosenberg, Chairman and Chief Executive Officer of IAI said. “We have been aggressively pursuing new business opportunities to increase our order backlog, which should improve revenue results, not only for this year but for future years.

      “We are actively pursuing the conversion and system modernization business as well as Adobe and Web applications.”

About Information Analysis Incorporated

     Information Analysis Incorporated (www.infoa.com), headquartered in Fairfax, Virginia, is an information technology services company. The Company is a web solution provider and software conversion specialist, modernizing legacy systems and extending their reach to the Internet world.

Additional information for investors

     This release may contain forward-looking statements regarding the Company's business, customer prospects, or other factors that may affect future earnings or financial results. Such statements involve risks and uncertainties which could cause actual results to vary materially from those expressed in the forward-looking statements. These include the failure to obtain sufficient contracts, and to profitably complete those contracts. Investors should read and understand the risk factors detailed in the Company's 10-KSB for the fiscal year ended December 31, 2009 and in other filings with the Securities and Exchange Commission.

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Information Analysis Reports Second Quarter Results
August 11, 2010
Page 2 of 4
Information Analysis Incorporated
Condensed Income Statements
	Three months ended June 30,
(in thousands, except per share data; unaudited)		2010		2009
Sales:
Professional fees	$ 1,115		$ 1,198
Software sales		573		206
Total sales	1,688			1,404
Cost of goods sold and services provided:
Cost of professional fees		665		748
Cost of software sales		460		152
Total cost of sales	1,125			900
Gross margin		563		504
Operating expenses:
Selling, general and administrative		487		500
Operating income		76		4
Other income (expense)		2		2
Income before income taxes		78		6
Provision for income taxes		--		--
Net income		$ 78		$ 6
Comprehensive Income		$ 78		$ 6
Net income per share:
Basic and diluted		$ 0.01		$ 0.00
Shares used in calculating earnings per share:
Basic	11,196,760		11,196,760
Diluted	11,222,863		11,207,620

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Information Analysis Reports Second Quarter Results
August 11, 2010
Page 3 of 4
Information Analysis Incorporated
Condensed Income Statements
	Six months ended June 30,
(in thousands, except per share data; unaudited)		2010		2009
Sales:
Professional fees		$ 2,628		$ 2,299
Software sales		1,075		500
Total sales		3,703		2,799
Cost of goods sold and services provided:
Cost of professional fees		1,456		1,544
Cost of software sales		882		351
Total cost of sales		2,338		1,895
Gross margin		1,365		904
Operating expenses:
Selling, general and administrative		1,188		967
Operating income		177		(63)
Other income (expense)		5		7
Income before income taxes		182		(56)
Provision for income taxes		--		--
Net income		$ 182		($ 56)
Comprehensive Income		$ 182		($ 56)
Net income per share:
Basic and diluted		$ 0.02		($ 0.01)
Shares used in calculating earnings per share:
Basic	11,196,760		11,196,760
Diluted	11,215,187		11,196,760

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Information Analysis Reports Second Quarter Results
August 11, 2010
Page 4 of 4
Information Analysis Incorporated
Condensed Balance Sheets
		As of		As of
	June 30, 2010		December 31, 2009
	(unaudited)		(audited)
ASSETS
Current assets:
Cash and cash equivalents		$ 1,932		$ 1,479
Accounts receivable, net		850		940
Prepaid expenses		540		689
Total current assets		3,322		3,108
Fixed assets, net		38		36
Other assets		6		6
Total assets		$ 3,366		$ 3,150
LIABILITIES & STOCKHOLDERS' EQUITY
Current liabilities:
Accounts payable		$ 63		$ 89
Deferred revenues		680		779
Accrued payroll and related liabilities		246		255
Other accrued liabilities		467		307
Total liabilities		1,456		1,430
Common stock, par value $0.01, 30,000,000 shares authorized;
12,839,376 shares issued, 11,196,760 outstanding at
June 30, 2010, and at December 31, 2009		128		128
Additional paid in capital		14,562		14,554
Accumulated deficit	(11,850)		(12,032)
Accumulated other comprehensive loss		--		--
Less treasury stock; 1,642,616 shares at cost at
June 30, 2010, and at December 31, 2009		(930)		(930)
Total stockholders' equity		1,910		1,720
Total liabilities and stockholders' equity		$ 3,366		$ 3,150