Contact: Merilee Raines, Chief Financial Officer, 1-207-556-8155

FOR IMMEDIATE RELEASE

IDEXX Laboratories Announces Second Quarter Results

WESTBROOK, Maine, July 23, 2010 — IDEXX Laboratories, Inc. (NASDAQ: IDXX) (otherwise referred to herein as “IDEXX,” “the Company,” “we,” and “our”), today reported that revenues for the second quarter of 2010 increased 6% to $281.5 million, from $265.7 million for the second quarter of 2009. Organic revenue growth, as defined below, was 5%. Earnings per diluted share (“EPS”) for the quarter ended June 30, 2010 increased 13% to $0.62, compared to $0.55 for the same period in the prior year.

Organic revenue growth excludes the impact of changes in foreign currency exchange rates and revenue from businesses acquired or divested subsequent to the beginning of the prior year period, each of which contributed less than 1% to revenue growth in the second quarter of 2010.

“I am very pleased with our second quarter results,” stated Jonathan Ayers, Chairman and Chief Executive Officer. “Our achievement of 5% organic revenue growth in an economic environment that remains challenging is a testament to our continued success in bringing innovative products and services to our veterinary and other customers. Earnings were ahead of our projection in April despite currency headwinds caused by a stronger U.S. dollar. This performance was due to continued gains in operating efficiency and our focus on disciplined expense management.

Capital placements in the second quarter were strong, led by sales of our Catalyst Dx® chemistry analyzer and our line of digital radiography systems. Total chemistry placements for the quarter, which include our VetTest® and Catalyst Dx® analyzers, grew nearly 15% to 950, of which 556 were Catalyst Dx® analyzers. We remain on track to place 2,400 Catalyst Dx® analyzers in 2010. Already in the third quarter we have launched ProCyte Dx™, our new hematology analyzer, and early customer response to this revolutionary new instrument has been highly enthusiastic.

We remain confident in the fundamental strength of our business model and in the long-term growth prospects for our core markets. Our focus on operating efficiency and disciplined expense management has enabled us to maintain our full year earnings per share guidance despite the strengthening of the U.S. dollar since we provided guidance in April and a slightly more conservative view of the pace of the recovery in our markets.”

IDEXX Announces Second Quarter Results

July 23, 2010

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Revenue Performance

Please refer to the table below entitled “Revenues and Revenue Growth Analysis by Product and Service Categories” in conjunction with the following discussion.

Companion Animal Group. Companion Animal Group (“CAG”) revenues for the second quarter of 2010 were $232.3 million compared to $217.3 million for the second quarter of 2009. Changes in foreign currency exchange rates and incremental revenues attributable to a business acquired in August 2009 each contributed less than 1% to revenue growth. Organic growth of 6% was primarily the result of higher testing volume in our laboratory diagnostic and consulting services business and increased sales volume of IDEXX VetLab® instruments and consumables. To a lesser extent, organic growth was favorably impacted by higher sales volume of companion animal radiography systems. These favorable effects were partly offset by lower average unit sales prices resulting from economic and competitive conditions.

Water. Water segment revenues for the second quarter of 2010 were $19.4 million compared to $19.2 million for the second quarter of 2009. Changes in foreign currency exchange rates contributed less than 1% to revenue growth. Organic revenue growth of 1% was the result of higher Colilert® sales volume, partly offset by higher relative sales of Colilert® products in geographies where products are sold at lower unit sales prices.

Livestock and Poultry Diagnostics. During the second quarter of 2010, we changed the name of our Production Animal Services segment to Livestock and Poultry Diagnostics (“LPD”) to more accurately describe to customers and others the products and services provided by this business. LPD revenues for the second quarter of 2010 were $19.2 million compared to $19.6 million for the second quarter of 2009. The decline in revenue was attributable to changes in foreign currency exchange rates, partly offset by organic revenue growth of less than 1% as higher sales volumes of certain bovine tests were substantially offset by lower average unit sales prices for certain bovine tests and lower sales volumes of certain swine tests.

Additional Operating Results for the Second Quarter

Gross profit for the second quarter of 2010 increased $10.8 million, or 8%, to $149.3 million from $138.4 million for the second quarter of 2009. As a percentage of total revenue, gross profit increased to 53.0% from 52.1%. The increase in the gross profit percentage was primarily attributable to reduced overall manufacturing costs associated with our IDEXX VetLab® instruments and lower depreciation on instruments placed at customer sites under usage agreements. Lower costs of service and higher selling prices in our laboratory diagnostic and consulting services business also contributed to the increase in gross profit percentage. These favorable effects were partly offset by lower average unit sales prices.

IDEXX Announces Second Quarter Results

July 23, 2010

Page 3 of 12

Research and development (“R&D”) expense for the second quarter of 2010 was $17.2 million, or 6.1% of revenue, compared to $16.6 million, or 6.2% of revenue for the second quarter of 2009. The increase in R&D expense was primarily due to increased headcount and increased personnel-related costs.

Selling, general and administrative (“SG&A”) expense for the second quarter of 2010 was $77.2 million, or 27.4% of revenue, compared to $72.7 million, or 27.3% of revenue, for the second quarter of 2009. The increase in SG&A expense resulted primarily from increased headcount and increased personnel-related costs. The net unfavorable impact of changes in foreign currency exchange rates and an increase in costs attributable to information technology investments also contributed to the increase in SG&A expense.

Supplementary Analysis of Results

The accompanying financial tables provide more information concerning our revenue and other operating results for the three and six months ended June 30, 2010.

Outlook for 2010

The Company provides the following updated guidance for the full year of 2010. This guidance reflects an assumption that the value of the U.S. dollar relative to other currencies will remain at its current level for the balance of 2010. Fluctuations in foreign currency exchange rates from current levels could have a significant positive or negative impact on our actual results of operations in 2010.

· Revenues are expected to be in the range of $1.090 to $1.100 billion, updated from guidance of $1.100 to $1.115 billion provided in April of this year, which represents reported and organic revenue growth of 6% to 7%. This change in the revenue outlook is largely due to the strengthening of the U.S. dollar against certain currencies since the date of our previous guidance.

· EPS are expected to be in the range of $2.23 to $2.28, which is unchanged from our previous guidance as improved business performance is expected to offset the negative impact from changes in foreign currency exchange rates.

· Free cash flow is expected to be approximately 110% of net income.(1)

(1) Free cash flow is a non-GAAP measure. It indicates the cash generated from operations and tax benefits attributable to stock option exercises, reduced by investments in fixed assets. We feel free cash flow is a useful measure because it indicates the cash the operations of the business are generating after appropriate reinvestment for recurring investments in fixed assets that are required to operate the business.  We believe this is a common financial measure useful to further evaluate the results of operations. With respect to this particular forward-looking projection, the Company is unable to provide a quantitative reconciliation at this time as the inputs to the measurement are difficult to predict and estimate and are primarily dependent on future events.

IDEXX Announces Second Quarter Results

July 23, 2010

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Conference Call and Webcast Information

IDEXX will be hosting a conference call today at 9:00 a.m. (eastern) to discuss its second quarter results and management's outlook. To participate in the conference call, dial 1-612-332-0718 or 1-800-288-8960 and reference confirmation code 165207. An audio replay will be available through July 30, 2010 by dialing 1-320-365-3844 and referencing replay code 165207.

The call will also be available via live or archived webcast on the IDEXX web site at www.idexx.com.

About IDEXX Laboratories, Inc.

IDEXX Laboratories, Inc. is a leader in pet healthcare innovation, serving practicing veterinarians around the world with a broad range of diagnostic and information technology-based products and services. IDEXX products enhance the ability of veterinarians to provide advanced medical care, improve staff efficiency and to build more economically successful practices. IDEXX is also a worldwide leader in providing livestock and poultry diagnostic tests and tests for the quality and safety of water and milk. Headquartered in Maine, IDEXX Laboratories, Inc. employs more than 4,800 people and offers products to customers in over 100 countries.

IDEXX Announces Second Quarter Results

July 23, 2010

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Note Regarding Forward-Looking Statements

This press release contains statements about the Company’s business prospects and estimates of the Company’s financial results for future periods that are forward-looking statements as defined in the Private Securities Litigation Reform Act of 1995. Forward-looking statements can be identified by the use of words such as “expects,” “may,” “anticipates,” “intends,” “would,” “will,” “plans,” “believes,” “estimates,” “should,” and similar words and expressions. These statements are based on management's expectations of future events as of the date of this press release, and the Company assumes no obligation to update any forward-looking statements as a result of new information or future events or developments. Actual results could differ materially from management’s expectations. Factors that could cause or contribute to such differences include the following: the Company’s ability to develop, manufacture, introduce and market new products and enhancements to existing products; the Company’s ability to achieve economies of scale in its worldwide network of laboratories; the impact of a weak economy on demand for the Company’s products and services; the effectiveness of the Company’s sales and marketing activities; the Company’s ability to identify acquisition opportunities, complete acquisitions and integrate acquired businesses; disruptions, shortages or pricing changes that affect the Company’s purchases of products and materials from third parties, including from sole source suppliers; the Company’s ability to manufacture complex biologic products; the impact of changes and disruptions in financial and currency markets; the effect of government regulation on the Company’s business, including government decisions about whether and when to approve the Company’s products and decisions regarding labeling, manufacturing and marketing products; the Company’s ability to obtain patent and other intellectual property protection for its products, successfully enforce its intellectual property rights and defend itself against third party claims against the Company; the impact of distributor purchasing decisions on sales of the Company’s products that are sold through distribution; the impact of competition, technological change, and veterinary hospital consolidation on the markets for the Company’s products; changes or trends in veterinary medicine that affect the rate of use of the Company’s products and services by veterinarians; the impact of the Company’s inexperience in the human point-of-care market; the effects of operations outside the U.S., including  from currency fluctuations, different regulatory, political and economic conditions, and different market conditions; the effects of interruptions to the Company’s operations due to natural disasters or system failures; the loss of key employees; class action litigation due to stock price volatility; the effect on the Company’s stock price if quarterly or annual operations results do not meet expectation of market analysts or investors in future periods; and potential exposures related to our worldwide provision for income taxes. A further description of these and other factors can be found in the Company's Annual Report on Form 10-K for the year ended December 31, 2009, and quarterly report on Form 10-Q  for the quarter ended March 31, 2010, in the section captioned "Risk Factors.”

IDEXX Announces Second Quarter Results

July 23, 2010

Page 6 of 12

IDEXX Laboratories, Inc. and Subsidiaries

Consolidated Statement of Operations

Amounts in thousands except per share data (Unaudited)

		Three Months Ended				Six Months Ended
		June 30,		June 30,		June 30,		June 30,
		2010		2009		2010		2009
Revenue:	Revenue	$	281,482	$	265,723	$	550,007	$	502,178
Expenses and
Income:	Cost of revenue		132,198		127,283		258,362		239,305
	Gross profit		149,284		138,440		291,645		262,873
	Sales and marketing		44,167		41,876		88,583		82,861
	General and administrative		33,076		30,794		65,884		59,862
	Research and development		17,206		16,594		33,915		32,533
	Income from operations		54,835		49,176		103,263		87,617
	Interest expense, net		551		403		863		799
	Income before provision for income taxes		54,284		48,773		102,400		86,818
	Provision for income taxes		17,087		15,106		32,175		27,080
Net Income:	Net income		37,197		33,667		70,225		59,738
	Less: Net income attributable to noncontrolling
	interest		4		-		6		-
	Net income attributable to IDEXX Laboratories, Inc.
	stockholders	$	37,193	$	33,667	$	70,219	$	59,738
	Earnings per share: Basic	$	0.64	$	0.57	$	1.21	$	1.01
	Earnings per share: Diluted	$	0.62	$	0.55	$	1.17	$	0.98
	Shares outstanding: Basic		57,747		58,911		57,890		59,041
	Shares outstanding: Diluted		59,646		60,697		59,875		60,688

IDEXX Laboratories, Inc. and Subsidiaries

Selected Operating Information (Unaudited)

		Three Months Ended						Six Months Ended
		June 30,			June 30,			June 30,			June 30,
		2010			2009			2010			2009
Operating	Gross profit		53.0	%		52.1	%		53.0	%		52.3	%
Ratios (as a percentage of revenue):	Sales, marketing, general and administrative expense		27.4	%		27.3	%		28.1	%		28.4	%
	Research and development expense		6.1	%		6.2	%		6.2	%		6.5	%
	Income from operations(1)		19.5	%		18.5	%		18.8	%		17.4	%
International Revenue:	International revenue (in thousands)	$	113,701		$	105,999		$	222,360		$	196,411
	International revenue as percentage of
	total revenue		40.4	%		39.9	%		40.4	%		39.1	%

(1) The sum of individual items may not equal the total due to rounding.

IDEXX Announces Second Quarter Results

July 23, 2010

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IDEXX Laboratories, Inc. and Subsidiaries

Segment Information

Amounts in thousands (Unaudited)

		Three Months Ended						Six Months Ended
		June 30,			June 30,			June 30,			June 30,
		2010			2009			2010			2009
Revenue:	CAG	$	232,320		$	217,289		$	453,737		$	410,981
	Water		19,448			19,165			37,312			35,016
	LPD		19,160			19,639			39,101			37,905
	Other		10,554			9,630			19,857			18,276
	Total	$	281,482		$	265,723		$	550,007		$	502,178
Gross Profit:	CAG	$	119,632		$	108,334		$	232,962		$	204,776
	Water		12,229			12,554			23,443			23,710
	LPD		13,105			13,299			26,579			26,407
	Other		4,248			4,193			8,401			7,741
	Unallocated		70			60			260			239
	Total	$	149,284			138,440		$	291,645		$	262,873
Income from Operations:	CAG	$	44,879		$	39,912		$	84,646		$	68,991
	Water		7,917			8,608			15,040			15,920
	LPD		4,188			5,108			8,922			10,058
	Other		202			(30	)		462			99
	Unallocated		(2,351	)		(4,422	)		(5,807	)		(7,451	)
	Total	$	54,835		$	49,176		$	103,263		$	87,617
Gross Profit
(as a percentage of revenue):	CAG		51.5	%		49.9	%		51.3	%		49.8	%
	Water		62.9	%		65.5	%		62.8	%		67.7	%
	LPD		68.4	%		67.7	%		68.0	%		69.7	%
	Other		40.3	%		43.5	%		42.3	%		42.4	%
	Total		53.0	%		52.1	%		53.0	%		52.3	%
Income from Operations
(as a percentage of  revenue):	CAG		19.3	%		18.4	%		18.7	%		16.8	%
	Water		40.7	%		44.9	%		40.3	%		45.5	%
	LPD		21.9	%		26.0	%		22.8	%		26.5	%
	Other		1.9	%		(0.3	)%		2.3	%		0.5	%
	Total		19.5	%		18.5	%		18.8	%		17.4	%

IDEXX Announces Second Quarter Results

July 23, 2010

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IDEXX Laboratories, Inc. and Subsidiaries

Revenues and Revenue Growth Analysis by Product and Service Categories

Amounts in thousands (Unaudited)

Three Months Ended
Net Revenue	June 30, 2010		June 30, 2009		Dollar Change			Percentage Change			Percentage Change from Currency (1)			Percentage Change from Acquisitions/ Divestitures (2)			Percentage Change Net of Acquisitions/ Divestitures and Currency Effect (3)
CAG	$	232,320	$	217,289	$	15,031			6.9	%		0.3	%		0.7	%		5.9	%
Water		19,448		19,165		283			1.5	%		0.3	%		-			1.2	%
LPD		19,160		19,639		(479	)		(2.4	)%		(2.8	)%		-			0.4	%
Other		10,554		9,630		924			9.6	%		(0.4	)%		-			10.0	%
Total	$	281,482	$	265,723	$	15,759			5.9	%		0.0	%		0.6	%		5.3	%

Three Months Ended
Net CAG Revenue	June 30, 2010		June 30, 2009		Dollar Change			Percentage Change			Percentage Change from Currency (1)			Percentage Change from Acquisitions/ Divestitures (2)			Percentage Change Net of Acquisitions/ Divestitures and Currency Effect(3)
Instruments and consumables	$	86,455	$	83,732	$	2,723			3.3	%		(0.6	)%		-			3.9	%
Rapid assay products		40,481		41,567		(1,086	)		(2.6	)%		0.4	%		-			(3.0	)%
Laboratory diagnostic and consulting services		86,048		77,876		8,172			10.5	%		0.9	%		1.8	%		7.8	%
Practice information systems and digital radiography		19,336		14,114		5,222			37.0	%		1.5	%		1.0	%		34.5	%
Net CAG revenue	$	232,320	$	217,289	$	15,031			6.9	%		0.3	%		0.7	%		5.9	%

(1) The percentage change from currency is a non-GAAP measure. It represents the percentage change in revenue resulting from the difference between the average exchange rates during the three months ended June 30, 2010 and the same period of the prior year applied against foreign currency denominated revenues for the three months ended June 30, 2010.

(2) Represents the percentage change in revenue during the three months ended June 30, 2010 compared to the three months ended June 30, 2009 attributed to incremental revenues from businesses acquired or revenues lost from businesses divested or discontinued subsequent to March 31, 2009.

(3) Organic Growth

IDEXX Announces Second Quarter Results

July 23, 2010

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IDEXX Laboratories, Inc. and Subsidiaries

Revenues and Revenue Growth Analysis by Product and Service Categories

Amounts in thousands (Unaudited)

Six Months Ended
Net Revenue	June 30, 2010		June 30, 2009		Dollar Change		Percentage Change			Percentage Change from Currency (1)			Percentage Change from Acquisitions/ Divestitures (2)			Percentage Change Net of  Acquisitions/ Divestitures and Currency Effect (3)
CAG	$	453,737	$	410,981	$	42,756		10.4	%		1.8	%		0.8	%		7.8	%
Water		37,312		35,016		2,296		6.6	%		2.3	%		-			4.3	%
LPD		39,101		37,905		1,196		3.2	%		0.8	%		-			2.4	%
Other		19,857		18,276		1,581		8.7	%		0.6	%		-			8.1	%
Total	$	550,007	$	502,178	$	47,829		9.5	%		1.7	%		0.6	%		7.2	%

Six Months Ended
Net CAG Revenue	June 30, 2010		June 30, 2009		Dollar Change			Percentage Change			Percentage Change from Currency (1)			Percentage Change from Acquisitions/ Divestitures (2)			Percentage Change Net of Acquisitions/ Divestitures and Currency Effect(3)
Instruments and consumables	$	169,837	$	155,967	$	13,870			8.9	%		1.4	%		-			7.5	%
Rapid assay products		79,924		79,244		680			0.9	%		0.9	%		-			0.0	%
Laboratory diagnostic and consulting services		165,888		146,568		19,320			13.2	%		2.9	%		1.9	%		8.4	%
Practice information systems and digital radiography		38,088		29,148		8,940			30.7	%		1.8	%		0.8	%		28.1	%
Pharmaceutical products		-		54		(54	)		(100.0	)%		-			(100.0	)%		-
Net CAG revenue	$	453,737	$	410,981	$	42,756			10.4	%		1.8	%		0.8	%		7.8	%

(1) The percentage change from currency is a non-GAAP measure. It represents the percentage change in revenue resulting from the difference between the average exchange rates during the six months ended June 30, 2010 and the same period of the prior year applied against foreign currency denominated revenues for the six months ended June 30, 2010.

(2) Represents the percentage change in revenue during the six months ended June 30, 2010 compared to the six months ended June 30, 2009 attributed to incremental revenues from businesses acquired or revenues lost from businesses divested or discontinued subsequent to December 31, 2008.

(3) Organic Growth

IDEXX Announces Second Quarter Results

July 23, 2010

Page 10 of 12

IDEXX Laboratories, Inc. and Subsidiaries

Consolidated Balance Sheet

Amounts in thousands (Unaudited)

		June 30,		December 31,
		2010		2009
Assets:	Current Assets:
	Cash and cash equivalents	$	117,975	$	106,728
	Accounts receivable, net		127,138		115,107
	Inventories, net		122,032		110,425
	Other current assets		43,407		44,078
	Total current assets		410,552		376,338
	Property and equipment, at cost		355,028		346,592
	Less: accumulated depreciation		158,314		146,646
	Property and equipment, net		196,714		199,946
	Other long-term assets, net		226,469		232,243
	Total assets	$	833,735	$	808,527
Liabilities and Stockholders’ Equity:	Current Liabilities:
	Accounts payable	$	23,190	$	19,133
	Accrued liabilities		99,629		104,959
	Debt		134,700		119,603
	Deferred revenue		13,681		12,610
	Total current liabilities		271,200		256,305
	Long-term debt, net of current portion		3,856		4,281
	Other long-term liabilities		34,402		33,362
	Total long-term liabilities		38,258		37,643
	Total IDEXX Laboratories, Inc. stockholders’ equity		524,261		514,569
	Noncontrolling interest		16		10
	Total stockholders’ equity		524,277		514,579
	Total liabilities and stockholders’ equity	$	833,735	$	808,527

IDEXX Laboratories, Inc. and Subsidiaries

Selected Balance Sheet Information (Unaudited)

		Jun 30,		Mar 31,		Dec 31,		Sept 30,		Jun 30,
		2010		2010		2009		2009		2009
Selected
Balance Sheet Information:	Days sales outstanding		41.8		41.7		38.9		41.2		40.2
	Inventory turns		1.9		2.0		1.9		1.8		1.8

IDEXX Announces Second Quarter Results

July 23, 2010

Page 11 of 12

IDEXX Laboratories, Inc. and Subsidiaries

Consolidated Statement of Cash Flows

Amounts in thousands (Unaudited)

		Six Months Ended
		June 30,			June 30,
		2010			2009
Operating:	Cash Flows from Operating Activities:
	Net income	$	70,225		$	59,738
	Non-cash charges		31,089			35,032
	Changes in current assets and liabilities		(16,857	)		(22,534	)
	Tax benefit from exercises of stock options and vesting of restricted stock units		(9,372	)		(1,355	)
	Net cash provided by operating activities		75,085			70,881
Investing:	Cash Flows from Investing Activities:
	Purchase of property and equipment		(17,437	)		(21,360	)
	Proceeds from disposition of pharmaceutical product lines		-			1,377
	Proceeds from sale of property and equipment		64			1,076
	Acquisitions of intangible assets		(144	)		-
	Net cash used by investing activities		(17,517	)		(18,907	)
Financing:	Cash Flows from Financing Activities:
	Borrowings on revolving credit facilities, net		15,099			3,782
	Payment of other notes payable		(400	)		(436	)
	Purchase of treasury stock		(83,724	)		(39,725	)
	Proceeds from the exercises of stock options and employee stock purchase plans		16,446			6,888
	Tax benefit from exercises of stock options and vesting of restricted stock units		9,372			1,355
	Net used by financing activities		(43,207	)		(28,136	)
	Net effect of changes in exchange rates on cash		(3,114	)		1,038
	Net increase in cash and cash equivalents		11,247			24,876
	Cash and cash equivalents, beginning of period		106,728			78,868
	Cash and cash equivalents, end of period	$	117,975		$	103,744

IDEXX Laboratories, Inc. and Subsidiaries

Free Cash Flow

Amounts in thousands (Unaudited)

		Six Months Ended
		June 30,			June 30,
		2010			2009
Free Cash Flow:	Net cash provided by operating activities	$	75,085		$	70,881
	Financing cash flows attributable to tax benefit from exercises of stock options
	and vesting of restricted stock units		9,372			1,355
	Purchase of property and equipment		(17,437	)		(21,360	)
	Free cash flow	$	67,020		$	50,876

IDEXX Announces Second Quarter Results

July 23, 2010

Page 12 of 12

IDEXX Laboratories, Inc. and Subsidiaries

Common Stock Repurchases

Amounts in thousands except per share data (Unaudited)

	Three Months Ended				Six Months Ended
	June 30,		June 30,		June 30,		June 30,
	2010		2009		2010		2009
Share repurchases during the period		422		593		1,513		1,061
Average price paid per share	$	61.66	$	41.72	$	55.32	$	37.46
Shares remaining under repurchase authorization as of June 30, 2010:						4,780

Share repurchases does not include shares surrendered by employees in payment for the minimum required withholding taxes due on the exercise of stock options, the vesting of restricted stock units and the settlement of deferred stock units, and in payment for the exercise price of stock options.