:	UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 12b-25 NOTIFICATION OF LATE FILING	OMB APPROVAL
		OMB Number: 3235-0058 Expires: April 30, 2009 Estimated average burden hours per response . . . 2.50
		SEC FILE NUMBER
		CUSIP NUMBER

(Check One)	¨  Form 10-K     ¨  Form 20-F     ¨  Form 11-K     þ  Form 10-Q ¨  Form 10-D     ¨   Form N-SAR     ¨  Form N-CSR
	For Period Ended: November 30, 2007
	¨  Transition Report on Form 10-K
	¨  Transition Report on Form 20-F
	¨  Transition Report on Form 11-K
	¨  Transition Report on Form 10-Q
	¨  Transition Report on Form N-SAR
	For the Transition Period Ended:

Read Instruction (on back page) Before Preparing Form. Please Print or Type.

Nothing in this form shall be construed to imply that the Commission has verified any information contained herein.

If the notification relates to a portion of the filing checked above, identify the Item(s) to which the notification relates:             

PART I — REGISTRANT INFORMATION

Matrix Service Company

Full Name of Registrant

Former Name if Applicable

10701 E. Ute Street

Address of Principal Executive Office (Street and Number)

Tulsa, Oklahoma 74116-1517

City, State and Zip Code

PART II — RULES 12b-25(b) AND (c)

If the subject report could not be filed without unreasonable effort or expense and the registrant seeks relief pursuant to Rule 12b-25(b), the following should be completed. (Check box if appropriate)

þ	(a)	The reasons described in reasonable detail in Part III of this form could not be eliminated without unreasonable effort or expense;
	(b)	The subject annual report, semi-annual report, transition report on Form 10-K, Form 20-F, Form 11-K, Form N-SAR or Form N-CSR, or portion thereof, will be filed on or before the fifteenth calendar day following the prescribed due date; or the subject quarterly report or transition report on Form 10-Q, or subject distribution report on Form 10-D, or portion thereof, will be filed on or before the fifth calendar day following the prescribed due date; and
	(c)	The accountant’s statement or other exhibit required by Rule 12b-25(c) has been attached if applicable.

PART III — NARRATIVE

State below in reasonable detail why Forms 10-K, 20-F, 11-K, 10-Q, 10-D, N-SAR, N-CSR, or the transition report or portion thereof, could not be filed within the prescribed time period.

(Attach Extra Sheets if Needed)

The Company has been working diligently to complete its Quarterly Report on Form 10-Q for the quarter ended November 30, 2007 (the “Form 10-Q”). As a result of the effort required to review and quantify the charges for cost overruns on a liquefied natural gas construction contract in the Gulf Coast region and as a result of lost time due to the December ice storm in Tulsa, Oklahoma, the Company requires additional time to complete the preparation and review of the Form 10-Q.

PART IV — OTHER INFORMATION

(1) Name and telephone number of person to contact in regard to this notification

George L. Austin	918	838-8822
(Name)	(Area Code)	(Telephone Number)

(2) Have all other periodic reports required under Section 13 or 15(d) of the Securities Exchange Act of 1934 or Section 30 of the Investment Company Act of 1940 during the preceding 12 months or for such shorter period that the registrant was required to file such report(s) been filed? If answer is no, identify report(s).    þ  Yes    ¨  No

(3) Is it anticipated that any significant change in results of operations from the corresponding period for the last fiscal year will be reflected by the earnings statements to be included in the subject report or portion thereof?    þ  Yes    ¨  No

If so, attach an explanation of the anticipated change, both narratively and quantitatively, and, if appropriate, state the reasons why a reasonable estimate of the results cannot be made.

Matrix Service Company

(Name of Registrant as Specified in Charter)

has caused this notification to be signed on its behalf by the undersigned hereunto duly authorized.

Date	January 9, 2008	By	/s/ George L. Austin
			George L. Austin

INSTRUCTION: The form may be signed by an executive officer of the registrant or by any other duly authorized representative. The name and title of the person signing the form shall be typed or printed beneath the signature. If the statement is signed on behalf of the registrant by an authorized representative (other than an executive officer), evidence of the representative’s authority to sign on behalf of the registrant shall be filed with the form.

	ATTENTION
Intentional misstatements or omissions of fact constitute Federal Criminal Violations (See 18 U.S.C. 1001).

EXPLANATION REFERRED TO IN PART IV, ITEM (3) OF FORM 12b-25

See attached earnings release

3

FOR IMMEDIATE RELEASE

MATRIX SERVICE CHARGES OF $17.9 MILLION REDUCE FULLY DILUTED EARNINGS

PER SHARE TO $0.01 IN THE SECOND QUARTER OF FISCAL 2008, ENDED

NOVEMBER 30, 2007

Second Quarter 2008 Highlights:

• Revenues were $194.7 million compared to $166.4 million a year earlier;

• Net income was $0.2 million compared with $8.1 million in the second quarter a year ago;

• Gross margins were 5.8% versus 13.2% for the second quarter a year earlier; and

• Fully diluted EPS was $0.01 per share versus $0.31 per share in the same quarter a year ago.

Six Month 2008 Highlights:

• Revenues were $356.1 million compared to $293.2 million for the same period in fiscal 2007; and

• Fully diluted EPS was $0.24 per share versus $0.43 per share a year earlier.

TULSA, OK – January 9, 2008 – Matrix Service Co. (Nasdaq: MTRX), a leading industrial services company, today reported its financial results for the second quarter of fiscal 2008, ended November 30, 2007. Total revenues for the quarter were $194.7 million compared to $166.4 million recorded in the second quarter of fiscal 2007.

Net income for the second quarter of fiscal 2008 was $0.2 million, or $0.01 per fully diluted share compared to $8.1 million, or $0.31 per fully diluted share, in the prior year second quarter. Current second quarter results included pre-tax charges of $17.0 million, or $0.38 per fully diluted share, for cost overruns on a liquefied natural gas (LNG) construction project in the Gulf Coast Region ($16.0 million) and to fully reserve a receivable from a customer who filed bankruptcy in the second quarter ($1.0 million). These results also reflect an additional $0.9 million pre-tax charge for non-recurring employee benefit costs. In addition to these charges, Matrix Service recorded a $0.7 million tax benefit in the second quarter resulting from the continuing assessment of the realizability of state investment tax credits.

Michael J. Bradley, president and chief executive officer of Matrix Service Company, said, “We are extremely proud of the continued growth in our underlying businesses and the hard work and dedication of our skilled workforce. With that said, we are disappointed with the charges related to cost overruns on the Gulf Coast LNG project which overshadowed what otherwise was an outstanding quarter.”

EBITDA⁽¹⁾ for the second quarter of fiscal 2008 was $1.5 million, compared to $14.9 million for the same period last year. Gross margins on a consolidated basis for the current quarter were 5.8% compared to 13.2% reported in the same quarter a year ago. Absent the impact of the special items discussed above, gross margins would have been 15.0% in the current quarter⁽²⁾.

(1) The Company uses EBITDA (earnings before net interest, income taxes, depreciation and amortization) as part of its overall assessment of financial performance by comparing EBITDA between accounting periods. Matrix Service believes that EBITDA is used by the financial community as a method of measuring the Company's performance and of evaluating the market value of companies considered to be in similar businesses. EBITDA should not be considered as an alternative to net income or cash provided by operating activities, as defined by accounting principles generally accepted in the United States (“GAAP”). A reconciliation of EBITDA to net income is included at the end of this release.

(2) Gross margins before special items (and the related amounts per share), a non-GAAP financial measure, exclude a $16.0 million pre-tax charge for the second quarter of fiscal 2008 and exclude a $17.5 million pre-tax charge for the first six months of fiscal 2008 relating to a LNG project. Also excluded is a $0.5 million pre-tax charge in the second quarter and the six month period related to non-recurring employee benefit costs. Management believes these charges affect the comparison of results for the periods presented. Management also believes that results excluding these items are useful in evaluating operational trends for Matrix Service and its performance relative to its competitors. A reconciliation of revenues, gross profit, gross margin %, SG&A and operating income before special items is included at the end of this press release.

Matrix Service Company

January 9, 2008

Page 2

Construction Services revenues for the second quarter 2008 were $116.3 million compared to $83.3 million in the same period a year earlier. The increase was a result of significantly higher construction work in Aboveground Storage Tanks, where second quarter revenues soared 53.0% to $58.3 million, from $38.1 million in the second quarter of fiscal 2007. The increase was also driven by Downstream Petroleum revenues, which gained 55.5% to $39.5 million, from $25.4 million for the year-earlier period, and by Specialty revenues, which increased 6.5% to $13.2 million, from $12.4 million for the year-earlier period. These improvements were partially offset by a decline of $2.1 million in Electrical and Instrumentation revenues. Construction Services’ gross margins were (1.6)% versus 11.3% in the second quarter of fiscal 2007. Absent the impact of the special items discussed previously, margins would have been 13.6% in the current quarter⁽²⁾.

Repair and Maintenance Services revenues were $78.5 million in the second quarter of 2008 versus $83.1 million in the same quarter in 2007. The decrease was primarily a result of lower Downstream Petroleum revenues, where second quarter revenues were $29.8 million compared to $42.8 million a year earlier, and by lower Electrical and Instrumentation revenues, which fell to $4.1 million, from $6.6 million for the year-earlier period. These declines were partially offset by Aboveground Storage Tank revenues which rose 32.0% to $44.5 million from $33.7 million in the year-earlier period. Gross margins were 16.7% in the quarter versus 15.1% in the second quarter a year ago. Repair and Maintenance Services’ gross margins benefited from continued high levels of callout work, particularly in our Aboveground Storage Tank segment.

Six Month Results

For the six months ended November 30, 2007, Matrix Service reported consolidated revenues of $356.1 million versus $293.2 million recorded in the year-earlier period.

Net income for the six month period was $6.5 million, or $0.24 per fully diluted share, compared to $11.1 million, or $0.43 per fully diluted share, in the comparable period last year. Current year results included pre-tax charges of $18.5 million, or $0.41 per fully diluted share for cost overruns on a LNG construction project in the Gulf Coast Region ($17.5 million) and to fully reserve a receivable from a customer who filed bankruptcy in the second quarter ($1.0 million). These results also reflect an additional pre-tax $0.9 million charge for non-recurring employee benefit costs. In addition to these charges, Matrix Service recorded a $0.7 million tax benefit in the second quarter resulting from the continuing assessment of the realizability of state investment tax credits. EBITDA⁽¹⁾ for the six months ended November 30, 2007 was $14.1 million, compared with $22.1 million for the year-earlier period. Consolidated gross margins were 8.5% compared to 12.0% a year earlier. Absent the impact of the special items discussed above, year-to-date margins would have been 14.9%⁽²⁾.

Revenues for the Construction Services segment were $215.1 million, compared with $160.1 million for the six months ending November 30, 2006. The increase was due to significantly higher construction work in Downstream Petroleum, where revenues for the six month period increased 82.3% to $73.1 million versus $40.1 million for the same six month period last year. The increase was also driven by higher Aboveground Storage Tank revenues, which jumped 28.0% to $97.8 million in the recent six month period, versus $76.4 million a year earlier, and by higher Specialty revenues, which gained 15.4% to $36.8 million in the recent six month period compared to $31.9 million a year earlier. These increases were partially offset by a decline of $4.4 million in Electrical and Instrumentation revenues. Gross margins in the Construction Services segment were 3.2% compared to 11.1% a year earlier. Absent the impact of the special items discussed previously, margins would have been 13.6% in the first half of fiscal year 2008⁽²⁾.

Matrix Service Company

January 9, 2008

Page 3

Revenues for Repair and Maintenance Services rose $7.9 million, or 5.9%, to $141.0 million, for the six month period ending November 30, 2007, from $133.1 million for the six month period ending November 30, 2006. The increase was primarily due to significantly higher Aboveground Storage Tank revenues which rose 43.6% to $86.0 million, versus $59.9 million for the same six month period last year. These increases were partially offset by lower Downstream Petroleum revenues, which fell 24.3% to $47.3 million in the six month period from $62.5 million in the same six month period last year, and by Electrical and Instrumentation revenues, which fell 29.0% to $7.6 million in the six month period from $10.7 million in the same six month period last year. Gross margins were 16.5% versus 13.1% a year earlier.

Mr. Bradley added, “Based upon the results of our LNG project, we will not meet our earlier gross margin guidance. We believe gross margins in the remaining six months of the fiscal year should be in the range of 11.5% to 13.5%, which would include approximately $27 million of additional LNG revenues at zero gross profit. We are maintaining our original revenue guidance of $700 million to $750 million and SG&A expense should still range between 5.0% and 5.5%.”

Conference Call Details

In conjunction with the press release, Matrix Service will host a conference call with Michael J. Bradley, president and CEO, and Les Austin, vice president and CFO. The call will take place at 11:00 a.m. (EST)/10:00 a.m. (CST) today and will be simultaneously broadcast live over the Internet at www.matrixservice.com or www.vcall.com. Please allow extra time prior to the call to visit the site and download the streaming media software required to listen to the Internet broadcast. The online archive of the broadcast will be available within one hour of completion of the live call.

About Matrix Service Company

Matrix Service Company provides general industrial construction and repair and maintenance services principally to the petroleum, petrochemical, power, bulk storage terminal, pipeline and industrial gas industries.

The Company is headquartered in Tulsa, Oklahoma, with regional operating facilities located in Oklahoma, Texas, California, Michigan, Pennsylvania, Illinois, Washington, and Delaware in the U.S. and Canada.

This release contains forward-looking statements that are made in reliance upon the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These statements are generally accompanied by words such as “anticipate,” “continues,” “expect,” “forecast,” “outlook,” “believe,” “estimate,” “should” and “will” and words of similar effect that convey future meaning, concerning the Company’s operations, economic performance and management's best judgment as to what may occur in the future. Future events involve risks and uncertainties that may cause actual results to differ materially from those we currently anticipate. The actual results for the current and future periods and other corporate developments will depend upon a number of economic, competitive and other influences, including the possibility of further overruns or delays on the Company’s Gulf Coast LNG project and those factors discussed in the “Risk Factors” and “Forward Looking Statements” sections and elsewhere in the Company’s reports and filings made from time to time with the Securities and Exchange Commission. Many of these risks and uncertainties are beyond the control of the Company, and any one of which, or a combination of which, could materially and adversely affect the results of the Company’s operations and its financial condition. We undertake no obligation to update information contained in this release.

For more information, please contact:

Matrix Service Company

Les Austin

Vice President Finance and CFO

T: 918-838-8822

E: laustin@matrixservice.com

Investors and Financial Media:

Trúc Nguyen

The Global Consulting Group

T: 646-284-9418

E: tnguyen@hfgcg.com

Matrix Service Company

January 9, 2008

Page 4

Matrix Service Company

Consolidated Statements of Operations

(In thousands, except share and per share data)

	Three Months Ended						Six Months Ended
	November 30, 2007			November 30, 2006			November 30, 2007			November 30, 2006
	(unaudited)						(unaudited)
Revenues	$	194,734		$	166,366		$	356,061		$	293,225
Cost of revenues		183,488			144,464			325,911			258,016
Gross profit		11,246			21,902			30,150			35,209
Selling, general and administrative expenses		11,841			8,749			19,887			16,433
Operating income (loss)		(595	)		13,153			10,263			18,776
Other income (expense):
Interest expense		(273	)		(759	)		(577	)		(1,505	)
Interest income		15			29			31			58
Other		47			198			37			302
Income (loss) before income taxes		(806	)		12,621			9,754			17,631
Provision (benefit) for federal, state and foreign income taxes		(1,016	)		4,547			3,208			6,549
Net income	$	210		$	8,074		$	6,546		$	11,082
Basic earnings per common share	$	0.01		$	0.35		$	0.25		$	0.50
Diluted earnings per common share	$	0.01		$	0.31		$	0.24		$	0.43
Weighted average common shares outstanding:
Basic		26,625			23,004			26,609			22,252
Diluted		27,131			26,589			27,109			26,572

Matrix Service Company

January 9, 2008

Page 5

Matrix Service Company

Consolidated Balance Sheets

(In thousands)

	November 30, 2007			May 31, 2007
	(unaudited)
Assets
Current assets:
Cash and cash equivalents	$	6,229		$	9,147
Accounts receivable, less allowances (November 30, 2007 - $192 and May 31, 2007 - $260)		134,802			98,497
Costs and estimated earnings in excess of billings on uncompleted contracts		43,158			45,634
Inventories		4,866			4,891
Income tax receivable		3,104			—
Deferred income taxes		5,819			3,283
Prepaid expenses		2,149			2,910
Other current assets		1,759			929
Total current assets		201,886			165,291
Property, plant and equipment at cost:
Land and buildings		23,719			23,405
Construction equipment		43,583			39,958
Transportation equipment		15,203			14,380
Furniture and fixtures		11,102			10,116
Construction in progress		5,472			1,788
		99,079			89,647
Accumulated depreciation		(46,894	)		(43,654	)
		52,185			45,993
Goodwill		23,530			23,357
Other assets		660			8,268
Total assets	$	278,261		$	242,909

Matrix Service Company

January 9, 2008

Page 6

Matrix Service Company

Consolidated Balance Sheets

(In thousands, except share data)

	November 30, 2007			May 31, 2007
	(unaudited)
Liabilities and stockholders’ equity
Current liabilities:
Accounts payable	$	63,414		$	52,144
Billings on uncompleted contracts in excess of costs and estimated earnings		51,994			34,243
Accrued insurance		6,396			6,422
Accrued wages and benefits		9,980			15,442
Income tax payable		—			956
Current capital lease obligation		854			753
Current portion of acquisition payable		2,781			2,712
Other accrued expenses		1,553			1,313
Total current liabilities		136,972			113,985
Long-term capital lease obligation		521			836
Long-term debt		3,250			—
Deferred income taxes		3,573			2,512
Stockholders’ equity:
Common stock – $.01 par value; 60,000,000 shares authorized 27,888,217 shares issued as of November 30, 2007 and May 31, 2007		279			279
Additional paid-in capital		106,157			104,408
Retained earnings		29,953			23,422
Accumulated other comprehensive income		1,439			967
		137,828			129,076
Less: Treasury stock, at cost – 1,218,518 and 1,297,466 shares as of November 30, 2007 and May 31, 2007		(3,883	)		(3,500	)
Total stockholders’ equity		133,945			125,576
Total liabilities and stockholders’ equity	$	278,261		$	242,909

Matrix Service Company

January 9, 2008

Page 7

Results of Operations

	Construction Services			Repair & Maintenance Services		Other			Combined Total
	(In thousands)
Three Months Ended November 30, 2007
Gross revenues	$	119,443		$	79,420	$	—		$	198,863
Less: Inter-segment revenues		3,170			959		—			4,129
Consolidated revenues		116,273			78,461		—			194,734
Gross profit (loss)		(1,839	)		13,085		—			11,246
Operating income (loss)		(9,269	)		8,508		166			(595	)
Income (loss) before income tax expense		(9,432	)		8,460		166			(806	)
Net income (loss)		(5,240	)		5,350		100			210
Segment assets		163,597			93,030		21,634			278,261
Capital expenditures		2,400			1,870		1,169			5,439
Depreciation and amortization expense		1,178			861		—			2,039
Three Months Ended November 30, 2006
Gross revenues	$	85,871		$	83,383	$	—		$	169,254
Less: Inter-segment revenues		2,568			320		—			2,888
Consolidated revenues		83,303			83,063		—			166,366
Gross profit		9,372			12,530		—			21,902
Operating income (loss)		4,609			8,590		(46	)		13,153
Income (loss) before income tax expense		4,487			8,180		(46	)		12,621
Net income (loss)		2,945			5,157		(28	)		8,074
Segment assets		93,561			82,739		20,014			196,314
Capital expenditures		1,921			1,173		378			3,472
Depreciation and amortization expense		896			677		—			1,573
Six Months Ended November 30, 2007
Gross revenues	$	222,460		$	143,405	$	—		$	365,865
Less: Inter-segment revenues		7,408			2,396		—			9,804
Consolidated revenues		215,052			141,009		—			356,061
Gross profit		6,834			23,316		—			30,150
Operating income (loss)		(5,345	)		15,527		81			10,263
Income (loss) before income tax expense		(5,719	)		15,392		81			9,754
Net income (loss)		(3,013	)		9,510		49			6,546
Segment assets		163,597			93,030		21,634			278,261
Capital expenditures		3,906			2,542		1,879			8,327
Depreciation and amortization expense		2,231			1,582		—			3,813
Six Months Ended November 30, 2006
Gross revenues	$	164,862		$	133,811	$	—		$	298,673
Less: Inter-segment revenues		4,750			698		—			5,448
Consolidated revenues		160,112			133,113		—			293,225
Gross Profit		17,819			17,390		—			35,209
Operating income (loss)		8,900			9,922		(46	)		18,776
Income (loss) before income tax expense		8,198			9,479		(46	)		17,631
Net income (loss)		5,172			5,938		(28	)		11,082
Segment assets		93,561			82,739		20,014			196,314
Capital expenditures		4,193			1,935		649			6,777
Depreciation and amortization expense		1,695			1,336		—			3,031

Matrix Service Company

January 9, 2008

Page 8

Segment Revenue from External Customers by Industry Type

	Construction Services		Repair & Maintenance Services		Total
	(In thousands)
Three Months Ended November 30, 2007
Aboveground Storage Tanks	$	58,326	$	44,504	$	102,830
Downstream Petroleum		39,499		29,810		69,309
Electrical and Instrumentation		5,239		4,147		9,386
Specialty		13,209		—		13,209
Total	$	116,273	$	78,461	$	194,734
Three Months Ended November 30, 2006
Aboveground Storage Tanks	$	38,147	$	33,685	$	71,832
Downstream Petroleum		25,411		42,761		68,172
Electrical and Instrumentation		7,315		6,617		13,932
Specialty		12,430		—		12,430
Total	$	83,303	$	83,063	$	166,366
Six Months Ended November 30, 2007
Aboveground Storage Tanks	$	97,801	$	86,033	$	183,834
Downstream Petroleum		73,050		47,347		120,397
Electrical and Instrumentation		7,410		7,629		15,039
Specialty		36,791		—		36,791
Total	$	215,052	$	141,009	$	356,061
Six Months Ended November 30, 2006
Aboveground Storage Tanks	$	76,351	$	59,893	$	136,244
Downstream Petroleum		40,087		62,481		102,568
Electrical and Instrumentation		11,774		10,739		22,513
Specialty		31,900		—		31,900
Total	$	160,112	$	133,113	$	293,225

Matrix Service Company

January 9, 2008

Page 9

Non-GAAP Financial Measures

EBITDA is a supplemental, non-generally accepted accounting principle (GAAP) financial measure. EBITDA is defined as earnings before net interest expense, taxes, depreciation and amortization. We have presented EBITDA because it is used by the financial community as a method of measuring our performance and of evaluating the market value of companies considered to be in similar businesses. We believe that the line item on our consolidated statements of operations entitled “net income (loss)” is the most directly comparable GAAP measure to EBITDA. Since EBITDA is not a measure of performance calculated in accordance with GAAP, it should not be considered in isolation of, or as a substitute for, net earnings as an indicator of operating performance. EBITDA, as we calculate it, may not be comparable to similarly titled measures employed by other companies. In addition, this measure is not necessarily a measure of our ability to fund our cash needs. As EBITDA excludes certain financial information compared with net income (loss), the most directly comparable GAAP financial measure, users of this financial information should consider the type of events and transactions, which are excluded. Our non-GAAP performance measure, EBITDA, has certain material limitations as follows:

• It does not include net interest expense. Because we have borrowed money to finance our operations, interest expense is a necessary and ongoing part of our costs and has assisted us in generating revenue. Therefore, any measure that excludes interest expense has material limitations.

• It does not include taxes. Because the payment of taxes is a necessary and ongoing part of our operations, any measure that excludes taxes has material limitations.

• It does not include depreciation and amortization expense. Because we use capital assets to generate revenue, depreciation and amortization expense is a necessary element of our cost structure. Therefore, any measure that excludes depreciation and amortization expense has material limitations.

A reconciliation of EBITDA to net income follows:

	Three Months Ended					Six Months Ended
	November 30, 2007			November 30, 2006		November 30, 2007		November 30, 2006
	(In thousands)					(In thousands)
Net income	$	210		$	8,074	$	6,546	$	11,082
Interest expense, net		258			730		546		1,447
Provision (benefit) for income taxes		(1,016	)		4,547		3,208		6,549
Depreciation and amortization		2,039			1,573		3,813		3,031
EBITDA	$	1,491		$	14,924	$	14,113	$	22,109

Matrix Service Company

January 9, 2008

Page 10

Non-GAAP Financial Measures (Continued)

A reconciliation of these categories before special items follows:

	Actual			LNG Construction Project			Bankrupt Customer Charge			Non- Recurring Employee Benefit Costs			Before Special Items
Three Months Ended November 30, 2007 Consolidated
Revenues	$	194,734		$	(9,939	)	$			$	—		$	184,795
Gross Profit		11,246			16,000						500			27,746
Gross Margin %		5.8	%											15.0	%
SG&A		11,841						(975	)		(358	)		10,508
Operating Income (loss)		(595	)		16,000			975			858			17,238
Three Months Ended November 30, 2007 Construction Services
Revenues	$	116,273		$	(9,939	)	$			$	—		$	106,334
Gross Profit		(1,839	)		16,000						290			14,451
Gross Margin %		(1.6	%)											13.6	%
SG&A		7,430						(975	)		(222	)		6,233
Operating Income (loss)		(9,269	)		16,000			975			512			8,218
Six Months Ended November 30, 2007 Consolidated
Revenues	$	356,061		$	(33,711	)	$			$	—		$	322,350
Gross Profit		30,150			17,500						500			48,150
Gross Margin %		8.5	%											14.9	%
SG&A		19,887						(975	)		(358	)		18,554
Operating Income		10,263			17,500			975			858			29,596
Six Months Ended November 30, 2007 Construction Services
Revenues	$	215,052		$	(33,711	)	$			$	—		$	181,341
Gross Profit		6,834			17,500						290			24,624
Gross Margin %		3.2	%											13.6	%
SG&A		12,179						(975	)		(222	)		10,982
Operating Income (loss)		(5,345	)		17,500			975			512			13,642

Revenues, gross profit, gross margins, SG&A and operating income before special items (and the related amounts per share), which are non-GAAP financial measures, exclude certain pre-tax charges for the first and second quarters of fiscal 2008 that management believes affect the comparison of results for the periods presented. Management also believes that results excluding these items are useful in evaluating operational trends for Matrix Service and its performance relative to its competitors.