Q2 2008 Net Revenues - a record $35.5 million vs. $24.7 million in Q2 2007

                           - an increase of 43.4%

   Q2 2008 Diluted Net Income per Share - $0.13 vs. $0.08 in Q2 2007 - an

                             increase of 62.5%

       Q2 2008 Operating Income margin of 30.3% vs. 25.3% in Q2 2007

     Q2 2008 New Bookings of $49.0 million vs. $34.5 million in Q2 2007



    PHILADELPHIA, Aug. 4 /EMWNews/ -- eResearchTechnology,

Inc. (eRT), (Nasdaq: ERES), a leading provider of centralized ECG and

eClinical technology, ePRO and other services to the pharmaceutical,

biotechnology, medical device and related industries, announced today

results for the second quarter and six-month period ended June 30, 2008.



    Financial highlights for the second quarter of 2008 were:



    -- Record quarterly net revenues of $35.5 million, a 43.4% increase

from the second quarter of 2007;



    -- Diluted net income per share of $0.13, a 62.5% increase from the

second quarter of 2007;



    -- Gross margin of $20.2 million for a gross margin percentage of

57.0%, a 310 basis point increase from the second quarter of 2007. The

gross margin included the impact of the operating results of CCSS and the

integration of CCSS into eRT. CCSS generated net revenues of $3.0 million

while incurring costs of revenue of $2.4 million;



    -- Operating income of $10.8 million, a 72.2% increase from the second

quarter of 2007. Operating income margin percentage was 30.3%, a 500 basis

point increase from the second quarter of 2007. Operating income included a

loss of $0.3 million from the operations of CCSS and the integration of

CCSS into eRT;



    -- New bookings of $49.0 million compared to $34.5 million for the

second quarter of 2007, an increase of 42.0%;



    -- New bookings included a record 15 new Thorough ECG study agreements,

valued at an average of slightly greater than $900,000 each;



    -- The backlog was a record $157.9 million, an increase of $6.5 million

from March 31, 2008.



    -- The book-to-bill ratio was 1.4 in the second quarter of 2008, the

same as in the second quarter of 2007; and



    -- eRT ended the second quarter with $55.9 million in cash, cash

equivalents and investments, an increase of $7.0 million from $48.9 million

at March 31, 2008. For the three months ended June 30, 2008, net cash

provided by operating activities was $10.4 million.



    Other recent highlights:



    -- eRT appointed Keith Schneck as its new Chief Financial Officer in

July 2008; Mr. Schneck has extensive public company experience as the CFO

for Neoware, Inc. and Integrated Circuit Systems;



    -- The cancellation rate was an annualized 18.1% as compared to an

annualized cancellation rate of 17.6% in the second quarter of 2007;



    -- Reflecting our growth, we are moving our corporate headquarters (and

US-based core lab) in Philadelphia to a larger facility, also in

Philadelphia, by the end of 2008; and



    -- eRT appointed Michael DeMane to the Board of Directors in July 2008.

Mr. DeMane was previously Chief Operating Officer of Medtronic, Inc. and

served as Senior Vice President and President Europe, Canada, Latin America

and Emerging Markets. Mr. DeMane brings a wealth of international

operations and marketing experience to the Board.



    "We are very pleased with the second quarter results where we saw

record quarterly revenue, ECG transactions, backlog and very strong

bookings for eRT," commented Dr. Michael McKelvey, President and CEO of

eRT. "Our services revenue grew by 55.9%, driven by outstanding growth in

our core cardiac safety business. Bookings were strong, especially for

Thorough QT studies. In comparison to the first quarter of 2008, margins

increased in all three revenue categories -- services, site support, and

licenses. Net income was $6.7 million, an increase of 60.9% from $4.1

million for the second quarter of 2007. The second quarter results again

demonstrated the leverage in our business model as evidenced by expanding

gross margins and net income growth."



    For the six months ended June 30, 2008, the Company reported revenues

of $69.1 million compared to $45.8 million for the six months ended June

30, 2007, an increase of 50.9%. eRT reported net income of $12.4 million,

or $0.24 per diluted share, for the six months ended June 30, 2008 compared

to net income of $6.4 million, or $0.12 per diluted share, for the six

months ended June 30, 2007.



    The Company's gross margin percentage for the six months ended June 30,

2008 was 54.8% compared to 51.0% for the six months ended June 30, 2007.

Operating income margin for the six months ended June 30, 2008 was 27.8%

compared to 20.4% for the six months ended June 30, 2007. The Company's tax

rate was 37.7% for the six months ended June 30, 2008 compared to 39.0% for

the six months ended June 30, 2007. For the six months ended June 30, 2008,

cash provided by operating activities was $18.0 million.



    "We continue to execute very well on our projects. The integration of

the CCSS acquisition is approximately 3 months ahead of schedule. We are

very fortunate to hire someone of the caliber of Keith Schneck as our new

CFO. We believe that he will make a strong impact on our business. Our

pipeline of new opportunities is strong, reflecting the continued emphasis

on cardiac safety and eRT's reputation for quality, medical and scientific

leadership, project execution and technology innovation," continued Dr.

McKelvey. "The pricing environment continues to be stable. We continue to

see expanded opportunities with all of our CRO key partnerships and Phase I

units. While there are many areas in which we need to continue to improve,

the first half of the year has been an excellent start to the year."



    2008 Guidance



    The Company issued guidance for the third quarter of 2008 and for the

full year 2008. eRT expects to report revenues of between $33.0 million and

$35.0 million, reflecting a normal slowdown due to summer vacations which

typically reduces study activity, and diluted net income per share of

between $0.10 to $0.12 for the third quarter ending September 30, 2008. For

the full year 2008, the Company is confirming its previously issued

guidance for revenue of between $133.0 million and $140.0 million and

increasing the lower end of its guidance for diluted net income per share

to between $0.46 to $0.49; previously issued guidance for diluted net

income per share was between $0.44 to $0.49.



    Dr. McKelvey and Keith Schneck, the Company's Chief Financial Officer,

will hold a conference call to discuss these results. The conference call

will take place at 5:00 p.m. EDT on August 4, 2008. Interested participants

should call 800-659-2032 when calling within the United States or

617-614-2712 when calling internationally. Please use pass code 98614709.

There will be a playback available until August 11, 2008. To listen to the

playback, please call 888-286-8010 when calling within the United States or

617-801-6888 when calling internationally. Please use pass code 80358836

for the replay.



    This call is being webcast by Thomson Financial and can be accessed at

eRT's web site at http://www.eRT.com. The webcast may also be accessed at

Thomson's Institutional Investor website at

http://phx.corporate-ir.net/playerlink.zhtml?c=119164&s=wm&e=1903663. The

webcast can be accessed until August 4, 2009 on either site.

    About eResearchTechnology, Inc.



    Based in Philadelphia, PA, eResearchTechnology, Inc.

(http://www.eRT.com) is a provider of technology and services to the

pharmaceutical, biotechnology and medical device industries on a global

basis. The Company is a market leader in providing centralized

core-diagnostic electrocardiographic (ECG) technology and services to

evaluate cardiac safety in clinical development. The Company is also a

leader in providing technology and services to streamline the clinical

trials process by enabling its customers to automate the collection,

analysis, and distribution of clinical data in all phases of clinical

development.



    Statements included in this release may constitute forward-looking

statements within the meaning of the Private Securities Litigation Reform

Act of 1995. Such statements, including, but not limited to, 2008 financial

guidance, involve a number of risks and uncertainties such as the Company's

ability to obtain new contracts and accurately estimate net revenues due to

uncertain regulatory guidance, variability in size, scope and duration of

projects, and internal issues at the sponsoring client, integration of

acquisitions, competitive factors, technological development, and market

demand. As a result, actual results may differ materially from any

financial outlooks stated herein. Further information on potential factors

that could affect the Company's financial results can be found in the

Company's Reports on Form 10-K and 10-Q filed with the Securities and

Exchange Commission. The Company undertakes no obligation to publicly

update any forward-looking statement, whether as a result of new

information, future events, or otherwise.










                  eResearchTechnology, Inc. and Subsidiaries

                    Consolidated Statements of Operations

                   (in thousands, except per share amounts)

                                 (unaudited)



                                      Three Months Ended   Six Months Ended

                                             June 30,           June 30,

                                          2007     2008      2007     2008



    Net revenues:

      Licenses                            $580     $870    $1,362   $1,495

      Services                          17,561   27,380    31,529   52,653

      Site support                       6,593    7,222    12,927   14,997



    Total net revenues                  24,734   35,472    45,818   69,145



    Costs of revenues:

      Cost of licenses                      63      170       129      370

      Cost of services                   7,233   10,483    14,023   20,997

      Cost of site support               4,117    4,599     8,312    9,867



    Total costs of revenues             11,413   15,252    22,464   31,234



    Gross margin                        13,321   20,220    23,354   37,911



    Operating expenses:

      Selling and marketing              3,054    3,810     5,592    7,133

      General and administrative         2,919    4,601     6,388    9,474

      Research and development           1,102    1,051     2,027    2,050



    Total operating expenses             7,075    9,462    14,007   18,657



    Operating income                     6,246   10,758     9,347   19,254

    Other income, net                      569      244     1,119      671



    Income before income taxes           6,815   11,002    10,466   19,925

    Income tax provision                 2,676    4,342     4,079    7,519



    Net income                          $4,139   $6,660    $6,387  $12,406



    Basic net income per share           $0.08    $0.13     $0.13    $0.24



    Diluted net income per share         $0.08    $0.13     $0.12    $0.24



    Shares used to calculate basic

     net income per share               50,493   50,734    50,346   50,686



    Shares used to calculate diluted

     net income per share               51,782   52,182    51,606   52,038







                  eResearchTechnology, Inc. and Subsidiaries

                         Consolidated Balance Sheets

              (in thousands, except share and per share amounts)



                                                December 31,   June 30, 2008

    ASSETS                                          2007        (unaudited)



    Current assets:

      Cash and cash equivalents                   $38,082         $49,446

      Short-term investments                        8,797           6,405

      Accounts receivable, net                     26,718          29,302

      Prepaid income taxes                            743               -

      Prepaid expenses and other                    3,087           4,291

      Deferred income taxes                           901             899

        Total current assets                       78,328          90,343



    Property and equipment, net                    33,347          29,852

    Goodwill                                       30,908          33,229

    Intangible assets                               3,849           2,947

    Deferred income taxes                           1,011           1,375

    Other assets                                      253             660



        Total assets                             $147,696        $158,406



    LIABILITIES AND STOCKHOLDERS' EQUITY



    Current liabilities:

      Accounts payable                             $3,505          $3,223

      Accrued expenses                             12,103           8,078

      Income taxes payable                          2,352           1,970

      Current portion of capital lease

       obligations                                  1,097             290

      Deferred revenues                            13,905          14,487

        Total current liabilities                  32,962          28,048



    Capital lease obligations, excluding

     current portion                                   48               -

    Other liabilities                               1,174           1,162



        Total liabilities                          34,184          29,210



    Stockholders' equity:

      Preferred stock-$10.00 par value,

       500,000 shares authorized,

       none issued and outstanding                      -               -

      Common stock-$.01 par value,

       175,000,000 shares authorized,

       58,870,291 and 59,081,686 shares

       issued, respectively                           589             591

      Additional paid-in capital                   87,957          91,217

      Accumulated other comprehensive income        1,679           1,695

      Retained earnings                            85,477          97,883

      Treasury stock, 8,247,119 shares at cost    (62,190)        (62,190)



        Total stockholders' equity                113,512         129,196



        Total liabilities and stockholders'

         equity                                  $147,696           $158,406







                  eResearchTechnology, Inc. and Subsidiaries

                    Consolidated Statements of Cash Flows

                                (in thousands)

                                 (unaudited)



                                                     Six Months Ended June 30,

                                                          2007         2008

    Operating activities:

      Net income                                        $6,387      $12,406

      Adjustments to reconcile net income to net cash

       provided by operating activities:

        Depreciation and amortization                    7,139        8,574

        Cost of sales of equipment                         535          492

        Provision for uncollectible accounts                 -           60

        Share-based compensation                         1,142        1,366

        Deferred income taxes                              294         (360)

        Changes in operating assets and liabilities

         exclusive of CCSS acquisition:

          Accounts receivable                           (2,269)      (2,622)

          Prepaid expenses and other                      (833)      (1,616)

          Accounts payable                              (2,184)        (240)

          Accrued expenses                                 382       (1,013)

          Income taxes                                   2,553          348

          Deferred revenues                               (647)         583

            Net cash provided by operating activities   12,499       17,978



    Investing activities:

      Purchases of property and equipment               (7,995)      (5,239)

      Purchases of investments                         (40,651)           -

      Proceeds from sales of investments                39,530        2,392

      Payments for acquisition                               -       (4,798)

            Net cash used in investing activities       (9,116)      (7,645)



    Financing activities:

      Repayment of capital lease obligations            (1,132)        (855)

      Proceeds from exercise of stock options            1,462        1,174

      Stock option income tax benefit                      578          704

            Net cash provided by financing activities      908        1,023



    Effect of exchange rate changes on cash                108            8



    Net increase in cash and cash equivalents            4,399       11,364

    Cash and cash equivalents, beginning of period      15,497       38,082



    Cash and cash equivalents, end of period           $19,896      $49,446