EXHIBIT 99.2

MEDIA SCIENCES INTERNATIONAL, INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

(UNAUDITED)

	Three Months Ended December 31,						Six Months Ended December 31,
	2009			2008			2009			2008
NET REVENUES	$	5,586,319		$	5,156,705		$	11,093,069		$	10,909,110
COST OF GOODS SOLD:
Cost of goods sold, excluding depreciation and         amortization, product warranty, shipping and freight		2,366,827			2,551,580			4,980,605			5,203,804
Depreciation and amortization		79,084			139,627			215,685			257,116
Product warranty		519,491			227,330			987,863			441,499
Shipping and freight		108,698			116,141			267,252			263,766
Total cost of goods sold		3,074,100			3,034,678			6,451,405			6,166,185
GROSS PROFIT		2,512,219			2,122,027			4,641,664			4,742,925
OTHER COSTS AND EXPENSES:
Research and development		372,004			348,194			712,884			721,246
Selling, general and administrative, excluding         depreciation and amortization		2,033,453			2,495,540			3,950,143			5,248,447
Depreciation and amortization		62,956			92,467			137,798			186,400
Litigation settlement		–			–			–			(1,500,000	)
Total other costs and expenses		2,468,413			2,936,201			4,800,825			4,656,093
INCOME (LOSS) FROM OPERATIONS		43,806			(814,174	)		(159,161	)		86,832
Interest expense		(89,914	)		(74,231	)		(176,769	)		(129,155	)
Interest income		51			2,307			71			2,966
Gain (loss) on change in fair value of warrant liabilities		14,205			–			(4,962	)		–
Amortization of debt discount on convertible debt		(35,173	)		(26,211	)		(67,852	)		(26,211	)
LOSS BEFORE INCOME TAXES		(67,025	)		(912,309	)		(408,673	)		(65,568	)
Benefit for income taxes		16,169			395,572			98,588			26,227
NET LOSS	$	(50,856	)	$	(516,737	)	$	(310,085	)	$	(39,341	)
LOSS PER SHARE
Basic and diluted	$	(0.00	)	$	(0.04	)	$	(0.03	)	$	(0.00	)
WEIGHTED AVERAGE SHARES USED TO COMPUTE LOSS PER SHARE
Basic and diluted		11,945,712			11,721,467			11,891,969			11,719,283

The above results of operations and following Balance Sheets and Statements of Cash Flows, as reported under U.S. Generally Accepted Accounting Principles (U.S. GAAP), will be presented in the Company’s 10-Q for the quarter ended December 31, 2009.  We encourage you to review the accompanying notes to these condensed consolidated statements, found in that filing.

MEDIA SCIENCES INTERNATIONAL, INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATED BALANCE SHEETS

	December 31, 2009			June 30,
ASSETS	(Unaudited)			2009
CURRENT ASSETS:
Cash and cash equivalents	$	438,163		$	550,602
Accounts receivable, net		2,931,038			3,427,550
Inventories, net		6,895,198			6,392,441
Taxes receivable		48,728			20,257
Deferred tax assets		830,447			830,447
Prepaid expenses and other current assets		420,593			541,153
Total Current Assets		11,564,167			11,762,450
PROPERTY AND EQUIPMENT, NET		1,785,973			2,096,986
OTHER ASSETS:
Goodwill and other intangible assets, net		3,584,231			3,584,231
Deferred tax assets		378,074			279,486
Other assets		66,578			75,159
Total Other Assets		4,028,883			3,938,876
TOTAL ASSETS	$	17,379,023		$	17,798,312
LIABILITIES AND SHAREHOLDERS' EQUITY
CURRENT LIABILITIES:
Accounts payable		1,063,168			1,128,187
Accrued compensation and benefits		428,900			690,948
Other accrued expenses and current liabilities		884,787			1,151,325
Short-term capital lease obligation		–			69,815
Accrued product warranty costs		447,967			436,578
Deferred rent liability		35,649			63,863
Deferred revenue		81,274			209,079
Total Current Liabilities		2,941,745			3,749,795
OTHER LIABILITIES:
Long-term debt		3,115,866			2,749,132
Deferred rent liability		42,726			58,010
Convertible debt, net of discount of $333,978 in December and $401,830 in June		916,022			848,170
Warrant liabilities		11,742			–
Deferred revenue, less current portion		4,398			38,708
Total Other Liabilities		4,090,754			3,694,020
TOTAL LIABILITIES		7,032,499			7,443,815
COMMITMENTS AND CONTINGENCIES
SHAREHOLDERS' EQUITY:
Preferred Stock, $.001 par value
Authorized 5,000,000 shares; none issued		–			–
Common Stock, $.001 par value 25,000,000 shares authorized;
issued and outstanding, respectively, 12,971,434 and 11,989,914         shares in December and 12,397,757 and 11,771,966 shares in June		11,990			11,772
Additional paid-in capital		13,023,671			13,000,680
Accumulated other comprehensive income (loss)		(41,625	)		216
Accumulated deficit		(2,647,512	)		(2,658,171	)
Total Shareholders' Equity		10,346,524			10,354,497
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY	$	17,379,023		$	17,798,312

MEDIA SCIENCES INTERNATIONAL, INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(UNAUDITED)

	Six Months Ended December 31,
	2009			2008
CASH FLOWS FROM OPERATING ACTIVITIES
Net loss	$	(310,085	)	$	(39,341	)
Adjustments to reconcile net loss to net cash used by operating activities:
Depreciation and amortization		394,220			471,108
Stock-based compensation expense		345,602			363,416
Deferred income taxes		(98,588	)		(26,227	)
Provision for (reduction of) inventory obsolescence reserves		(58,319	)		67,610
Provision for (recovery of) returns and doubtful accounts allowance		90,063			(52,568	)
Amortization of debt discount on convertible debt		67,852			26,211
Loss on change in fair value of warrant liabilities		4,962			–
Changes in operating assets and liabilities:
Accounts receivable		370,662			146,854
Inventories		(439,308	)		1,957,369
Income taxes		(29,074	)		(4,160	)
Prepaid expenses and other current assets		110,598			(25,863	)
Accounts payable		(66,043	)		(1,625,183	)
Accrued compensation and benefits		(266,793	)		(302,124	)
Other accrued expenses and current liabilities		(244,740	)		(910,236	)
Accrued product warranty costs		11,389			(11,432	)
Deferred rent liability		(43,498	)		(23,268	)
Deferred revenue		(162,115	)		(204,920	)
Net cash used by operating activities		(323,215	)		(192,754	)
CASH FLOWS FROM INVESTING ACTIVITIES
Purchases of property and equipment		(83,207	)		(597,482	)
Net cash used in investing activities		(83,207	)		(597,482	)
CASH FLOWS FROM FINANCING ACTIVITIES
Decrease in restricted cash		18,450			–
Bank credit line proceeds		366,734			284,474
Capital lease obligation repayments		(69,815	)		(200,000	)
Proceeds from issuance of subordinated convertible debt		–			1,250,000
Net cash provided by financing activities		315,369			1,334,474
Effect of exchange rate changes on cash and cash equivalents		(21,386	)		(61,334	)
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS		(112,439	)		482,904
CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD		550,602			236,571
CASH AND CASH EQUIVALENTS, END OF PERIOD	$	438,163		$	719,475
SUPPLEMENTAL CASH FLOW INFORMATION
Interest paid	$	158,426		$	111,447
Income taxes paid	$	49,160		$	6,240
SUPPLEMENTAL DISCLOSURE OF NON-CASH TRANSACTIONS
Capital lease additions	$	–		$	528,488