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<SEC-DOCUMENT>0001035704-08-000344.txt : 20081028
<SEC-HEADER>0001035704-08-000344.hdr.sgml : 20081028
<ACCEPTANCE-DATETIME>20081028172425
ACCESSION NUMBER:		0001035704-08-000344
CONFORMED SUBMISSION TYPE:	DEF 14A
PUBLIC DOCUMENT COUNT:		1
CONFORMED PERIOD OF REPORT:	20090107
FILED AS OF DATE:		20081028
DATE AS OF CHANGE:		20081028
EFFECTIVENESS DATE:		20081028

FILER:

	COMPANY DATA:	
		COMPANY CONFORMED NAME:			Lifevantage Corp
		CENTRAL INDEX KEY:			0000849146
		STANDARD INDUSTRIAL CLASSIFICATION:	PHARMACEUTICAL PREPARATIONS [2834]
		IRS NUMBER:				841097796
		STATE OF INCORPORATION:			CO
		FISCAL YEAR END:			0630

	FILING VALUES:
		FORM TYPE:		DEF 14A
		SEC ACT:		1934 Act
		SEC FILE NUMBER:	000-30489
		FILM NUMBER:		081145515

	BUSINESS ADDRESS:	
		STREET 1:		6400 SOUTH FIDDLER
		STREET 2:		SUITE 1750
		CITY:			ENGLEWOOD
		STATE:			CO
		ZIP:			80111
		BUSINESS PHONE:		720-488-1711

	MAIL ADDRESS:	
		STREET 1:		6400 SOUTH FIDDLER
		STREET 2:		SUITE 1750
		CITY:			ENGLEWOOD
		STATE:			CO
		ZIP:			80111

	FORMER COMPANY:	
		FORMER CONFORMED NAME:	LIFELINE THERAPEUTICS, INC.
		DATE OF NAME CHANGE:	20041019

	FORMER COMPANY:	
		FORMER CONFORMED NAME:	YAAK RIVER RESOURCES INC
		DATE OF NAME CHANGE:	19920703

	FORMER COMPANY:	
		FORMER CONFORMED NAME:	ANDRAPLEX CORP
		DATE OF NAME CHANGE:	19920406
</SEC-HEADER>
<DOCUMENT>
<TYPE>DEF 14A
<SEQUENCE>1
<FILENAME>d64768def14a.htm
<DESCRIPTION>DEF 14A
<TEXT>
<HTML>
<HEAD>
<TITLE>def14a</TITLE>
</HEAD>
<BODY bgcolor="#FFFFFF">
<!-- PAGEBREAK -->
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>
<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="center" style="font-size: 18pt; margin-top: 12pt"><B>SCHEDULE 14A</B>
</DIV>


<DIV align="center" style="font-size: 12pt; margin-top: 12pt"><B>Proxy Statement Pursuant to Section&nbsp;14(a) of the Securities Exchange Act of 1934<BR>
(Amendment No. ___)</B>
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="27%">&nbsp;</TD>
    <TD width="10%">&nbsp;</TD>
    <TD width="52%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Filed by the Registrant
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><FONT face="Wingdings">&#254;</FONT></TD>
</TR>
<TR valign="bottom">
    <TD valign="top" nowrap><DIV style="margin-left:0px; text-indent:-0px">Filed by a Party other than the Registrant
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><FONT face="Wingdings">&#111;</FONT></TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Check the appropriate box:
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="2%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="90%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><FONT face="Wingdings">&#111;</FONT>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Preliminary Proxy Statement</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><FONT face="Wingdings">&#111;</FONT>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Confidential, for Use of the Commission Only (as permitted by Rule&nbsp;14a-6(e)(2))</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><FONT face="Wingdings">&#254;</FONT>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Definitive Proxy Statement</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><FONT face="Wingdings">&#111;</FONT>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Definitive Additional Materials</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><FONT face="Wingdings">&#111;</FONT>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Soliciting Material Pursuant to &#167; 240.14a-12</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>

<DIV align="center" style="font-size: 14pt; margin-top: 12pt"><FONT style="border-bottom: 1px solid #000000"><B>LIFEVANTAGE CORPORATION</B></FONT></DIV>

<DIV align="center" style="font-size: 10pt">(Name of Registrant as Specified In Its Charter)</DIV>


<DIV align="center"><DIV style="font-size: 3pt; margin-top: 16pt; width: 100%; border-top: 1px solid #000000">&nbsp;</DIV></DIV>

<DIV align="center" style="font-size: 10pt">(Name of Person(s) Filing Proxy Statement, if other than the Registrant)</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Payment of Filing Fee (Check the appropriate box):
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="2%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="90%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><FONT face="Wingdings">&#254;</FONT>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">No fee required.</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><FONT face="Wingdings">&#111;</FONT>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"> Fee computed on table below per Exchange Act Rules&nbsp;14a-6(i)(1) and 0-11.</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="3%" nowrap align="left">(1)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Title of each class of securities to which transaction applies:</TD>
</TR>

</TABLE>
</DIV>
<DIV align="center"><DIV style="font-size: 3pt; margin-top: 16pt; width: 100%; border-top: 1px solid #000000">&nbsp;</DIV></DIV>


<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="3%" nowrap align="left">(2)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Aggregate number of securities to which transaction applies:</TD>
</TR>

</TABLE>
</DIV>
<DIV align="center"><DIV style="font-size: 3pt; margin-top: 16pt; width: 100%; border-top: 1px solid #000000">&nbsp;</DIV></DIV>


<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="3%" nowrap align="left">(3)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Per unit price or other underlying value of transaction computed pursuant to Exchange Act
Rule&nbsp;0-11 (Set forth the amount on which the filing fee is calculated and state how it was
determined):</TD>
</TR>

</TABLE>
</DIV>
<DIV align="center"><DIV style="font-size: 3pt; margin-top: 16pt; width: 100%; border-top: 1px solid #000000">&nbsp;</DIV></DIV>


<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="3%" nowrap align="left">(4)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Proposed maximum aggregate value of transaction:</TD>
</TR>

</TABLE>
</DIV>
<DIV align="center"><DIV style="font-size: 3pt; margin-top: 16pt; width: 100%; border-top: 1px solid #000000">&nbsp;</DIV></DIV>


<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="3%" nowrap align="left">(5)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Total fee paid:</TD>
</TR>

</TABLE>
</DIV>
<DIV align="center"><DIV style="font-size: 3pt; margin-top: 16pt; width: 100%; border-top: 1px solid #000000">&nbsp;</DIV></DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="2%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="90%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><FONT face="Wingdings">&#111;</FONT>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Fee paid previously with preliminary materials.</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><FONT face="Wingdings">&#111;</FONT>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Check box if any part of the fee is offset as provided by Exchange
Act Rule&nbsp;0-11(a)(2) and identify the filing for which the
offsetting fee was paid previously. Identify the previous filing
by registration statement number, or the Form or Schedule and the
date of its filing.</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="3%" nowrap align="left">(1)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Amount Previously Paid:</TD>
</TR>

</TABLE>
</DIV>
<DIV align="center"><DIV style="font-size: 3pt; margin-top: 16pt; width: 100%; border-top: 1px solid #000000">&nbsp;</DIV></DIV>


<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="3%" nowrap align="left">(2)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Form, Schedule or Registration Statement No.:</TD>
</TR>

</TABLE>
</DIV>
<DIV align="center"><DIV style="font-size: 3pt; margin-top: 16pt; width: 100%; border-top: 1px solid #000000">&nbsp;</DIV></DIV>


<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="3%" nowrap align="left">(3)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Filing Party:</TD>
</TR>

</TABLE>
</DIV>
<DIV align="center"><DIV style="font-size: 3pt; margin-top: 16pt; width: 100%; border-top: 1px solid #000000">&nbsp;</DIV></DIV>


<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="3%" nowrap align="left">(4)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Date Filed:</TD>
</TR>

</TABLE>
</DIV>
<DIV align="center"><DIV style="font-size: 3pt; margin-top: 16pt; width: 100%; border-top: 1px solid #000000">&nbsp;</DIV></DIV>


<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">


</TABLE>
</DIV>
<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>
<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV style="margin-top: 6pt"><TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">



</TABLE>
</DIV>
<DIV align="left">
<!-- TOC -->
</DIV>
<DIV align="left">
<A name="tocpage"></A>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><U><B>TABLE OF CONTENTS</B></U>
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="94%">&nbsp;</TD>
<TD width="3%">&nbsp;</TD>
<TD width="3%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><A href="#101">NOTICE OF ANNUAL MEETING OF SHAREHOLDERS</A></DIV></TD>
<TD>&nbsp;</TD>
<TD align="right">3</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><A href="#102">PROXY STATEMENT</A></DIV></TD>
<TD>&nbsp;</TD>
<TD align="right">4</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><A href="#103">QUESTIONS AND ANSWERS ABOUT THIS PROXY MATERIAL AND VOTING</A></DIV></TD>
<TD>&nbsp;</TD>
<TD align="right">4</TD>
</TR>


<TR valign="bottom">

<TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><A href="#104">PROPOSAL 1 &#151; ELECTION OF DIRECTORS </A></div></TD>
<TD>&nbsp;</TD>
<TD align="right">8</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><A href="#105">PROPOSAL 2 &#151; RATIFICATION OF SELECTION OF INDEPENDENT AUDITORS</A></DIV></TD>
<TD>&nbsp;</TD>
<TD align="right">30</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><A href="#106">Householding of Proxy Materials</A></DIV></TD>
<TD>&nbsp;</TD>
<TD align="right">32</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><A href="#107">Other Matters</A></DIV></TD>
<TD>&nbsp;</TD>
<TD align="right">33</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Shareholders&#146; Proposals And Nominations For 2009 Annual Meeting</DIV></TD>
<TD>&nbsp;</TD>
<TD align="right">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><A href="#108">Incorporation By Reference</A></DIV></TD>
<TD>&nbsp;</TD>
<TD align="right">33</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Appendix&nbsp;A</DIV></TD>
<TD>&nbsp;</TD>
<TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>

<DIV align="left">
<!-- /TOC -->
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->2<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>Lifevantage Corporation<BR>
11545 W. Bernardo Court, Suite&nbsp;301<BR>
San Diego, California 92127</B>
</DIV>

<DIV align="left">
<A name="101"></A>
</DIV>
<DIV align="center" style="font-size: 10pt"><B>NOTICE OF ANNUAL MEETING OF SHAREHOLDERS</B></DIV>



<DIV align="Center" style="font-size: 10pt; margin-top: 6pt"><B>To Be
Held On January 7, 2009</B>

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt">Dear Shareholder:
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;You
are cordially invited to attend the 2008 Annual Meeting of Shareholders of Lifevantage
Corporation, a Colorado corporation (the &#147;Company&#148;). The
meeting will be held on January 7, 2009
at 9:00 a.m. local time in Denver, Colorado  for the following purposes<B>:</B>
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left"><B>1.</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>To elect six (6)&nbsp;directors to hold office for a one-year
term expiring at the 2009 Annual Meeting of Shareholders and until their respective successors are elected and qualified.</TD>
</TR>

</TABLE>
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left"><B>2.</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>To ratify the appointment of Ehrhardt Keefe Steiner &#038; Hottman PC as independent auditors of
the Company for its fiscal year ending June&nbsp;30, 2009.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left"><B>3.</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>To conduct any other business properly brought before the meeting.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>These items of business are more fully described in the Proxy Statement accompanying this
Notice.</TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Our Board of Directors has fixed November&nbsp;20, 2008 as the record date for determining the
shareholders entitled to receive notice of and to vote at the Annual Meeting. Only shareholders of
record at the close of business on that date may vote at the meeting or any adjournment or
postponement thereof.
</DIV>

<TABLE width="100%" border="0" cellspacing="0" cellpadding="0" style="font-size: 10pt">
<TR>
    <TD width="48%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="35%">&nbsp;</TD>
    <TD width="15%">&nbsp;</TD>
</TR>
<TR>
    <TD valign="top" align="left">&nbsp;</TD>
    <TD colspan="3" align="left">By Order of the Board of Directors<BR>
&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD colspan="3" style="border-bottom: 1px solid #000000" align="left">/s/ Bradford K. Amman
&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD colspan="3" align="left">Bradford K. Amman&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD colspan="3" align="left">Secretary&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR>
    <TD colspan="5">&nbsp;</TD>
</TR>
</TABLE>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt">San Diego, California<BR>
October&nbsp;28, 2008
</DIV>

<P>
<DIV style="width: 100%; border: 1px solid black; padding: 11px;">




<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>You are cordially invited to attend the meeting in person. Whether or not you expect to attend
the meeting, please complete, date, sign and return the enclosed proxy as promptly as possible in
order to ensure your representation at the meeting. A return envelope (which is postage prepaid if
mailed in the United States) is enclosed for your convenience. Even if you have voted by proxy, you
may still vote in person if you attend the meeting. Please note, however, that if your shares are
held of record by a broker, bank or other nominee and you wish to vote at the meeting, you must
obtain a proxy issued in your name from that record holder.</B>
</DIV>
</DIV>



<P align="center" style="font-size: 10pt"><!-- Folio -->3<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>Lifevantage Corporation<BR>
11545 W. Bernardo Court, Suite&nbsp;301<BR>
San Diego, California 92127</B>
</DIV>

<DIV align="left">
<A name="102"></A>
</DIV>

<DIV align="Center" style="font-size: 10pt; margin-top: 6pt"><B>PROXY STATEMENT<BR>
FOR THE 2008 ANNUAL MEETING OF SHAREHOLDERS</B>

</DIV>

<DIV align="Center" style="font-size: 10pt; margin-top: 6pt">November&nbsp;20, 2008

</DIV>
<DIV align="left">
<A name="103"></A>
</DIV>

<DIV align="Center" style="font-size: 10pt; margin-top: 6pt"><B>QUESTIONS AND ANSWERS ABOUT THIS PROXY MATERIAL AND VOTING</B>

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Why am I receiving these materials?</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We sent you this proxy statement and the enclosed proxy card because the Board of Directors of
Lifevantage Corporation (sometimes referred to as the &#147;Company&#148; or &#147;LifeVantage&#148;) is soliciting
your proxy to vote at the 2008 Annual Meeting of Shareholders. You are invited to attend the annual
meeting to vote on the proposals described in this proxy statement. However, you do not need to
attend the meeting to vote your shares. Instead, you may simply complete, sign and return the
enclosed proxy card.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We intend to mail this proxy statement and accompanying proxy card on or about November&nbsp;20,
2008 to all our shareholders of record as of the record date entitled to vote at the annual
meeting.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Where and when is the Annual Meeting?</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The
annual meeting will take place January 7, 2009 at 9:00 a.m. local
time at Plaza Tower One, First-floor Conference Center, 6400 S.
Fiddler&#146;s Green Circle, Greenwood Village, Colorado 80111.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>What am I voting on?</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;There are two matters scheduled to be voted on by shareholders at the annual meeting:
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="4%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Election of six (6)&nbsp;directors to our Board of Directors; and</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="4%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Approval of a proposal to ratify the appointment of Ehrhardt Keefe Steiner &#038; Hottman
PC as independent auditors of the Company for its fiscal year ending June&nbsp;30, 2009.</TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Who can vote at the annual meeting?</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Only shareholders of record at the close of business on November&nbsp;20, 2008 will be entitled to
vote at the annual meeting. As of October&nbsp;27, 2008, there were 24,766,117 shares of common stock
outstanding and entitled to vote.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Shareholders of Record: Shares Registered in Your Name</I>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;If on November&nbsp;20, 2008 your shares were registered directly in your name with our transfer
agent, Computershare Trust Co., Inc., then you are a shareholder of record. As a shareholder of
record, you may vote by proxy or vote in person at the meeting. Whether or not you plan to attend
the meeting, we urge you to fill out and return the enclosed proxy card to ensure your vote is
counted.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Beneficial Owner: Shares Registered in the Name of a Broker or Bank</I>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;If on November&nbsp;20, 2008 your shares were held, not in your name, but rather in an account at a
brokerage firm, bank, dealer, or other similar organization, then you are the beneficial owner of
shares held in &#147;street name&#148; and these proxy materials are being forwarded to you by that
organization. The organization holding your account is considered to be the shareholder of record
for purposes of voting at the annual meeting. As a beneficial owner, you have the right to direct
your broker or other agent on how to vote the shares in your account. You are also invited to
attend the annual meeting provided that you bring with you proof of your beneficial ownership of
shares, such as a brokerage account statement. However, if you are not the shareholder of record,
you may not vote your shares in person at the meeting unless you request and obtain a valid proxy
from your broker or other agent.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->4<!-- /Folio -->
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>How do I vote?</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;You may either vote &#147;For&#148; all the nominees to our Board of Directors or you may &#147;Withhold&#148;
your vote for any nominee you specify. For each of the other matters to be voted on, you may vote
&#147;For&#148; or &#147;Against&#148; or abstain from voting. The procedures for voting are fairly simple:
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Shareholder of Record: Shares Registered in Your Name</I>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;If you are a shareholder of record, you may vote by proxy using the enclosed proxy card or in
person at the annual meeting. Whether or not you plan to attend the meeting, we urge you to vote by
proxy to ensure your vote is counted. You may still attend the meeting and vote in person if you
have already voted by proxy.
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="4%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD><I>Voting Your Proxy By Mail. </I>To vote using the proxy card, simply complete, sign and
date the enclosed proxy card and return it promptly in the envelope provided. If you
return your signed proxy card to us before the annual meeting, we will vote your shares
as you direct.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="4%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD><I>Vote in Person</I>. To vote in person, come to the annual meeting and we will give you a
ballot when you arrive.</TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Beneficial Owner: Shares Registered in the Name of Broker or Bank</I>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;If you are a beneficial owner of shares registered in the name of your broker, bank, or other
agent, you should have received a proxy card and voting instructions with these proxy materials
from that organization rather than from LifeVantage. Simply complete and mail the proxy card to
ensure that your vote is counted.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>How many votes do I have?</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;On each matter to be voted upon, you have one vote for each share of common stock you own as
of November&nbsp;20, 2008.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>How are votes counted?</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Votes will be counted by the inspector of election appointed for the meeting, who will
separately count &#147;For&#148; and &#147;Withhold&#148; and, with respect to proposals other than the election of
directors, &#147;Against&#148; votes, abstentions and broker non-votes.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Because the approval of each proposal (other than the election of directors) requires the
affirmative vote of a majority of the outstanding shares of common stock, abstentions will be
counted towards the vote total for each proposal and will have the same effect as &#147;Against&#148; votes.
Broker non-votes have no effect and will not be counted towards the vote total for any proposal.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>What are broker non-votes?</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;When a broker indicates on its proxy that it does not have authority to vote certain shares
held in &#147;street name&#148; on particular proposals, the shares not voted are called &#147;broker non-votes.&#148;
Broker non-votes occur when brokers do not have discretionary voting authority on certain
&#147;non-routine&#148; proposals under the rules of the New York Stock Exchange (NYSE)&nbsp;and the beneficial
owner has not instructed the broker how to vote on these proposals. Both the election of directors
and ratification of the selection of our independent registered public accounting firm are
considered &#147;routine&#148; matters under the rules and interpretations of the NYSE.
</DIV>

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</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>How many votes are needed to approve each proposal?</B>
</DIV>


<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="4%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>For the election of directors, the six (6)&nbsp;nominees receiving the most &#147;For&#148; votes
(among votes properly cast in person or by proxy) will be elected. Only votes &#147;For&#148; or
&#147;Withheld&#148; will affect the outcome.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="4%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>The ratification of the selection of Ehrhardt Keefe Steiner &#038; Hottman PC as our
independent auditor for the fiscal year ended June&nbsp;30, 2009 will be approved if a
majority of the outstanding shares vote &#147;For&#148; such ratification. If you &#147;Abstain&#148; from
voting, it will have the same effect as an &#147;Against&#148; vote. Broker non-votes will have
no effect.</TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>What does it mean if I receive more than one proxy card?</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;If you receive more than one proxy card, your shares are registered in more than one name or
are registered in different accounts. Please complete, sign and return each proxy card to ensure
that all of your shares are voted.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Can I change my vote after submitting my proxy?</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Yes. You can revoke your proxy at any time before the final vote at the meeting. If you are
the record holder of your shares, you may revoke your proxy in any one of three ways:
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="4%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>You may submit another properly completed proxy card with a later date;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="4%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>You may send a written notice that you are revoking your proxy to LifeVantage&#146;s
Secretary at 11545 W. Bernardo Court, Suite&nbsp;301, San Diego, California 92127; or</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="4%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>You may attend the annual meeting and vote in person. Simply attending the meeting
will not, by itself, revoke your proxy.</TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;If your shares are held by your broker or bank as a nominee or agent, you should follow the
instructions provided by your broker or bank to change your vote.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>What if I return a proxy card but do not make specific choices?</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;If you return a signed and dated proxy card without marking any voting selections, your shares
will be voted &#147;For&#148; the election of all six (6)&nbsp;nominees for director and &#147;For&#148; the selection of
Ehrhardt Keefe Steiner &#038; Hottman PC as our independent auditor for our fiscal year ending June&nbsp;30,
2009. If any other matter is properly presented at the meeting, your proxy (one of the individuals
named on your proxy card) will vote your shares using his or her best judgment.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>What is the quorum requirement?</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;A quorum of shareholders is necessary to hold a valid meeting. A quorum will be present if at
least a majority<FONT style="font-variant: SMALL-CAPS"> </FONT>of the outstanding shares are represented by shareholders present at the
meeting or by proxy. As of October&nbsp;27, 2008, there were 24,766,117 shares of common stock
outstanding and entitled to vote. Thus, 12,383,059 shares of common stock must be represented by
shareholders present at the meeting in person or by proxy to constitute a quorum.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Your shares will be counted towards the quorum only if you submit a valid proxy (or one is
submitted on your behalf by your broker, bank or other nominee) or if you vote in person at the
meeting. Abstentions and broker non-votes will be counted towards the quorum requirement. If there
is no quorum, a majority of our shareholders entitled to vote at the meeting, present in person or
by proxy, shall have the power to adjourn the meeting to another date.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Who is paying for this proxy solicitation?</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We will pay for the entire cost of soliciting proxies. In addition to these mailed proxy
materials, our directors and employees may also solicit proxies in person, by telephone, or by
other means of communication. Directors and employees will not be paid any additional compensation
for soliciting proxies. We will also reimburse brokerage firms, banks and other agents for the cost
of forwarding proxy materials to beneficial owners.
</DIV>

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</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>When are shareholder proposals due for next year&#146;s annual meeting?</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">To be considered for inclusion in next year&#146;s proxy materials, your proposal must be submitted in
writing by July&nbsp;23, 2009 to LifeVantage&#146;s Secretary at 11545 W. Bernardo Court, Suite&nbsp;301, San
Diego, California 92127. If you wish to submit a proposal that is not to be included in next
year&#146;s proxy materials or nominate a director, you must do so by no earlier than July&nbsp;23, 2009 and
no later than August&nbsp;22, 2009<FONT style="font-variant: SMALL-CAPS">. </FONT>You are also advised to review the Company&#146;s Bylaws, which
contain additional requirements about advance notice of shareholder proposals and director
nominations.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>How can I find out the results of the voting at the annual meeting?</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Preliminary voting results will be announced at the annual meeting. Final voting results will
be published in our quarterly report on Form 10-Q for the second quarter of fiscal year 2009, which
we expect to file on or before February&nbsp;16, 2009. You can obtain a copy of the Form 10-Q, once it
is filed, on our website at <U>www.lifevantage.com</U>, by calling the Securities and Exchange
Commission at (800)&nbsp;SEC-0330 for the location of the nearest public reference room, or through the
EDGAR system at <U>www.sec.gov</U>. Our website does not constitute part of this proxy statement.
</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><B>IT IS THE INTENTION OF THE AGENTS DESIGNATED IN THE ENCLOSED PROXY CARD TO VOTE &#147;FOR&#148; THE ELECTION
OF EACH NOMINEE FOR DIRECTOR IDENTIFIED BELOW (UNLESS AUTHORITY IS WITHHELD BY THE SHAREHOLDER
GRANTING THE PROXY) AND &#147;FOR&#148; PROPOSAL 2 BELOW. IF ANY NOMINEE BECOMES UNAVAILABLE TO SERVE FOR ANY
REASON, THE PROXY WILL BE VOTED FOR A SUBSTITUTE NOMINEE OR NOMINEES TO BE SELECTED BY THE
COMPANY&#146;S BOARD OF DIRECTORS, UNLESS THE SHAREHOLDER WITHHOLDS AUTHORITY TO VOTE FOR THE ELECTION
OF DIRECTORS.</B>
</DIV>


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</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left">
<A name="104"></A>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>PROPOSAL 1 &#150; ELECTION OF DIRECTORS</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;LifeVantage&#146;s Board of Directors consists of six (6)&nbsp;directors. Our Board of Directors
proposes that Mr.&nbsp;David W. Brown, Dr.&nbsp;James D. Crapo, Mr.&nbsp;Jack R. Thompson, Dr.&nbsp;Joe M. McCord, Mr.
Richard Doutre&#146; Jones and Mr.&nbsp;Garry Mauro be elected as directors of the Company. Each director to
be elected will hold office until the next annual meeting of shareholders and until his successor
is elected and qualified, or, if sooner, until the director&#146;s death, resignation or removal. We
encourage nominees for directors to attend the annual meeting. All of the nominees for election as
a director at the Company&#146;s 2007 Annual Meeting of Shareholders attended the 2007 Annual Meeting of
Shareholders. Each of the nominees listed below, except for Mr.&nbsp;David Brown, Mr.&nbsp;Richard Doutre&#146;
Jones and Mr.&nbsp;Garry Mauro, is currently a director of the Company who was previously elected by the
shareholders. Mr.&nbsp;Brown was elected to the Company&#146;s Board of Directors on February&nbsp;21, 2008 and
Messrs.&nbsp;Jones and Mauro were elected to the Company&#146;s Board of Directors on March&nbsp;21, 2008 upon the
unanimous approval of the Board of Directors.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Directors are elected by a plurality of the votes properly cast in person or by proxy.
Cumulative voting is not permitted. The six (6)&nbsp;nominees receiving the highest number of
affirmative votes will be elected. Shares represented by properly executed proxies will be voted,
if authority to do so is not withheld, for the election of the six (6)&nbsp;nominees named below. If any
nominee becomes unavailable for election as a result of an unexpected occurrence, your shares will
be voted to fill any vacancy so arising in accordance with the discretionary authority of the
persons named in the proxy, unless contrary instructions are given. Each person nominated for
election has agreed to serve if elected. Our management has no reason to believe that any nominee
will be unable to serve.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Information Concerning Director Nominees</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The following information is furnished with respect to each of the director nominees for
election at the 2008 Annual Meeting of Shareholders:
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="38%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="54%">&nbsp;</TD>
</TR>

<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="left" style="border-bottom: 1px solid #000000"><B>Name</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Age</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Principal Occupation/Position with Company</B></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Mr. David W. Brown
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">45</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">President and Chief Executive Officer</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Dr. James D. Crapo
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">65</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Professor of Medicine/Independent Director</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Mr. Jack R. Thompson
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">59</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">President, Kepner Educational Excellence Program/Chairman of the Board</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Dr. Joe M. McCord
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">63</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Professor of Medicine/Director</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Mr. Richard Doutre&#146; Jones
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">55</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Network Television Executive/Independent Director</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Mr. Garry Mauro
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">60</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Independent Director</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;MR.&nbsp;DAVID W. BROWN Mr.&nbsp;David Brown was appointed President and CEO of LifeVantage Corporation
in January&nbsp;2008. Prior to joining LifeVantage he most recently was the Managing Director and
Co-Founder of Nutrition Business Advisors, a firm founded in 2003 to provide strategic consulting
services, capital raising and full-service business development focused on the $130&nbsp;billion Global
Nutrition Industry. During his tenure at Nutrition Business Advisors, Mr.&nbsp;Brown is credited with
strategically positioning clients for accelerated growth and successful capitalization to fuel
expansion and distribution. Mr.&nbsp;Brown also served as President and CEO of Metabolife International
from 2000-2003, where he strategically transitioned the company from its role as one of the
nation&#146;s largest direct sales organizations to that of a major force in the retail industry. From
1994 to 2000, Mr.&nbsp;Brown served as the President of Natural Balance, Inc., a Colorado-based dietary
supplement company. Mr.&nbsp;Brown began his career as a corporate attorney, serving at the law firm of
Ballard, Spahr, Andrews &#038; Ingersoll in 1994 and Kindel &#038; Anderson from 1991 &#151; 1994. Mr.&nbsp;Brown
received his Juris Doctorate from Cornell University and Bachelors of Arts from Brigham Young
University.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;DR.&nbsp;JAMES D. CRAPO Dr.&nbsp;Crapo has been a member of our Board of Directors since April&nbsp;2005.
Dr.&nbsp;Crapo has nearly 30&nbsp;years of experience in the health and science field. He has been a
Professor at National Jewish Medical and Research Center since June&nbsp;1996 and served as Executive
Vice President of Academic Affairs and Chairman of Medicine from June&nbsp;1996-2004. National Jewish is
a private institution in immunology and allergic diseases.<FONT style="font-variant: SMALL-CAPS"> </FONT>Dr.&nbsp;Crapo also served as Chief
Executive Officer of Aeolus Pharmaceuticals, Inc. from July&nbsp;2004 until December&nbsp;2004. He was the
first scientist to extend Dr.&nbsp;Fridovich&#146;s and Dr.&nbsp;Joe McCord&#146;s original discovery of superoxide
dismutase, a natural antioxidant (referred to as &#147;SOD&#148;) to mammalian models of disease. Prior to
joining National Jewish, Dr.&nbsp;Crapo spent over 15&nbsp;years as the Chief of the Pulmonary and Critical
Care Medicine Division at Duke University Medical Center. He is involved in a number of
professional societies, including service on the NHLBI Advisory Council and serving as President of
the American Thoracic Society and President of the Fleischner Society.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->8<!-- /Folio -->
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;MR.&nbsp;JACK R. THOMPSON Jack R. Thompson has been a member of the Board of Directors since
September&nbsp;2007. Mr.&nbsp;Thompson, who currently serves as an Independent Director and Chairman of the
Audit Committee of Sparx Asia Funds and serves as an Independent Director and Member of the
Investment Committee of Russell Funds, brings 35&nbsp;years of financial and operational expertise to
the Board of Directors. Mr.&nbsp;Thompson was previously President, CEO and Director of Berger Financial
Group. Prior to this, Mr.&nbsp;Thompson was President and Director of Janus Service Corporation and
Senior Vice President and Trustee of Janus Funds and Executive Vice President and Chief Operating
Officer of Janus Capital Corporation.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;DR.&nbsp;JOE M. MCCORD Dr.&nbsp;McCord has been a member of our Board of Directors since February&nbsp;2006
and was our Director of Science from April&nbsp;2004 to October&nbsp;2007. Dr.&nbsp;McCord together with Dr.&nbsp;Irwin
Fridovich discovered SOD in 1969. For this work, Drs.&nbsp;McCord and Fridovich received the Elliot
Cresson Medal of the Franklin Institute. Dr.&nbsp;McCord currently serves as Professor of Medicine,
Biochemistry, and Microbiology at the University of Colorado at Denver and Health Sciences Center
(UCDHSC). Dr.&nbsp;McCord received a lifetime achievement award from the Oxygen Society for outstanding
contributions to the field of free radical biology and medicine in 1997. He is Honorary President
of the International Society of Antioxidants in Nutrition and Health (ISANH). He chaired the Third
International Conference on Superoxide Dismutases: Recent Advances and Clinical Applications, held
at the Institut Pasteur in Paris in 2004, as well as earlier conferences in the series. Dr.&nbsp;McCord
has published articles in a number of scientific journals, including the New England Journal of
Medicine.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;MR.&nbsp;RICHARD DOUTRE&#146; JONES Richard Doutre&#146; Jones has a distinguished career in broadcast
management, with an impressive background in operations, marketing, Internet, new media, research
and sales. In addition, he has in-depth understanding of international business, with a focus on
U.S. and Mexico relations. Currently, he serves as the VP/General Manager of Bay City Television,
Inc. (which is XETV/San Diego6 (CW)&nbsp;formerly the FOX affiliate) of San Diego. In that capacity, he
is responsible for all aspects of the business and is credited with streamlining operations and
achieving profitability. Prior to joining Bay City Television, Mr.&nbsp;Doutre&#146; Jones held management
and executive positions in the television industry, including serving as the General Sales Manager,
Local Sales Manager and National Sales Manager of KBHKTV-UPN44 in San Francisco, California. He is
currently on the Executive Board of the San Diego Ad Club, and has served for many years on the Fox
Television Affiliate Board of Governors and various other civic and industry organizations.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;MR.&nbsp;GARRY MAURO Garry Mauro has worked for over 30&nbsp;years at the local, state and national
levels on behalf of both private and public sector entities and is often quoted in the media as an
expert on business and political topics. He served for 16&nbsp;years as Commissioner of the Texas
General Land Office overseeing the management of more than 20&nbsp;million acres of state land, 18,000
oil and gas wells, and the State&#146;s benefit program for Veterans. During his tenure as Commissioner,
he also chaired the Veterans Land Board, the School Land Board, the Parks and Wildlife Board for
Lease, the Texas Department of Corrections Board for Lease, the University Board for Lease, the
Coastal Coordination Council and the Texas Alternative Fuels Council; co-chaired the Sustainable
Energy Development Council; and held numerous other board memberships in Texas. His access to key
policy-makers and his first-hand knowledge of the governmental process has resulted in legislative
initiatives resulting in reductions in air pollution, sales of natural gas, improved recycling
efficiencies, creation of a state-of-the-art oil spill response and prevention program, and other
legislation considered both environmentally and economically sound. He has received numerous honors
and awards for his civic and philanthropic contributions in environmental, political and business
arenas, including the &#147;Man of the Year Award&#148; from the Texas League of Women Voters and the &#147;Rising
Star of Texas Award&#148; from Texas Business Magazine. In 1998, he was the Texas Democratic Party
nominee for Governor.
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>Board Recommendation</B>
</DIV>


<DIV align="Center" style="font-size: 10pt; margin-top: 6pt"><B>Our Board of Directors recommends the shareholders vote FOR each named director nominee.</B>

</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->9<!-- /Folio -->
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Independence of Board of Directors and Committees</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Even though we are not a listed issuer and our shares are not traded on an exchange, in order
to determine whether the members of our Board of Directors are independent, the Securities and
Exchange Commission (&#147;SEC&#148;) rules require that we use the definition of &#147;independence&#148; of a
national securities exchange (such as the New York Stock Exchange or the Nasdaq Stock Market) or
national securities association when making this determination. In determining the independence of
the members of our Board of Directors, our Board of Directors elected to use the definition of
independence contained in Nasdaq Stock Market (&#147;Nasdaq&#148;) listing requirements. As required under
Nasdaq listing standards, a majority of the members of a listed company&#146;s Board of Directors must
qualify as &#147;independent,&#148; as affirmatively determined by the Board of Directors. The Board of
Directors consults with the Company&#146;s counsel to ensure that its determinations are consistent with
all relevant securities and other laws and regulations regarding the definition of &#147;independent,&#148;
including those set forth in pertinent listing standards of the Nasdaq as in effect time to time.
Consistent with these considerations, after review of all relevant transactions or relationships
between each director, or any of his or her family members, and the Company, its senior management
and its independent auditors, our Board of Directors affirmatively has determined that Dr.&nbsp;Crapo,
Mr.&nbsp;Thompson, Mr. Doutre&#146; &nbsp;Jones and Mr.&nbsp;Mauro are independent directors within the meaning of the
applicable Nasdaq<FONT style="font-variant: SMALL-CAPS"> </FONT>listing standards. Mr.&nbsp;Brown, the Company&#146;s current President and Chief
Executive Officer, and Dr.&nbsp;McCord, are not independent directors.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Meetings of the Board of Directors and Committees</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;During the last fiscal year, our Board of Directors held thirteen (13)&nbsp;meetings. Each of our
incumbent directors attended at least 75% of the aggregate of (1)&nbsp;the total number of meetings of
our Board of Directors (held during the period for which he has been a director) and (2)&nbsp;the total
number of meetings held by all committees of our Board of Directors on which he served (held during
the periods that he served).
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Compensation of Directors</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The following table shows certain information with respect to the compensation of all
non-employee directors of the Company for the fiscal year ended June&nbsp;30, 2008:
</DIV>


<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>Director Compensation for Fiscal 2008</B>
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="18%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Option awards</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Total</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Name</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>($)(1)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Fees earned or paid in cash</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>($)</B></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD align="center"><DIV style="margin-left:30px; text-indent:-15px">Dr.&nbsp;James D. Crapo<SUP style="font-size: 85%; vertical-align: text-top">(2)</SUP></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">19,661</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">2,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">21,661</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD align="center"><DIV style="margin-left:30px; text-indent:-15px">Dr.&nbsp;Joe M. McCord<SUP style="font-size: 85%; vertical-align: text-top">(3)</SUP></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">19,661</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">2,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">21,661</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD align="center"><DIV style="margin-left:15px; text-indent:-15px">Mr.&nbsp;Jack R. Thompson<SUP style="font-size: 85%; vertical-align: text-top">(4)</SUP></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">13,821</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">$</TD>
    <TD align="right">2,000  </TD>
    <TD nowrap>*</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">15,821</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">

<TD align="center"><DIV style="margin-left:30px; text-indent:-15px">Mr.&nbsp;Richard
Doutre&#146; Jones<SUP style="font-size: 85%; vertical-align: text-top"> (5)</SUP></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">6,530</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">2,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">8,530</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD align="center"><DIV style="margin-left:45px; text-indent:-15px">Mr.&nbsp;Garry Mauro<SUP style="font-size: 85%; vertical-align: text-top">(6)</SUP></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">6,530</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">2,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">8,530</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>



<DIV align="left">
<DIV style="font-size: 3pt; margin-top: 16pt; width: 18%; border-top: 1px solid #000000">&nbsp;</DIV>
</DIV>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR>
    <TD width="3%"></TD>
    <TD width="1%"></TD>
    <TD width="96"></TD>
</TR>

<TR valign="top">
    <TD nowrap align="left"><B>*</B></TD>
    <TD>&nbsp;</TD>
    <TD><B>Accrued not yet paid.</B></TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">1.</TD>
    <TD>&nbsp;</TD>
    <TD>The amounts shown in this column represent the dollar amount recognized for financial
statement reporting purposes with respect to the fiscal year for stock options granted to
the non-employee directors, as determined in accordance with SFAS 123R. Pursuant to SEC
rules, the amounts shown exclude the impact of estimated forfeitures related to
service-based vesting conditions. For additional information on the valuation assumptions
used to calculate these amounts, see Notes 2 and 7 to the Financial Statements included in
the Company&#146;s Annual Report on Form 10-KSB for the year ended June&nbsp;30, 2008. These amounts
reflect the Company&#146;s accounting expense for these awards, and do not correspond to the
actual value that will be recognized by the non-employee directors.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">2.</TD>
    <TD>&nbsp;</TD>
    <TD>Grant date fair value of option to purchase 120,000 shares of common stock granted in
FY2008: $16,585. Total number of shares subject to stock options outstanding at June&nbsp;30,
2008: 264,000.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">3.</TD>
    <TD>&nbsp;</TD>
    <TD>Grant date fair value of option to purchase 120,000 shares of common stock granted in
FY2008: $16,585. Total number of shares subject to stock options outstanding at June&nbsp;30,
2008: 360,000..</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">4.</TD>
    <TD>&nbsp;</TD>
    <TD>Grant date fair value of option to purchase 160,000 shares of common stock granted in
FY2008: $22,113. Total number of shares subject to stock options outstanding at June&nbsp;30,
2008: 160,000.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">5.</TD>
    <TD>&nbsp;</TD>
    <TD>Grant date fair value of option to purchase 100,000 shares of common stock granted in
FY2008: $19,592 Total number of shares subject to stock options outstanding at June&nbsp;30,
2008: 100,000.</TD>
</TR>

</TABLE>


<P align="center" style="font-size: 10pt"><!-- Folio -->10<!-- /Folio -->
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">





<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR>
    <TD width="3%"></TD>
    <TD width="1%"></TD>
    <TD width="96"></TD>
</TR>

<TR valign="top">
    <TD nowrap align="left">6.</TD>
    <TD>&nbsp;</TD>
    <TD>Grant date fair value of option to purchase 100,000 shares of common stock granted in
FY2008: $19,592 Total number of shares subject to stock options outstanding at June&nbsp;30,
2008: 100,000.</TD>
</TR>

</TABLE>



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Cash Compensation. </I>The Company compensates its Board of Directors with cash compensation of
$1,000 per meeting and reimburses our directors for documented business- and travel-related expenses
directly related to Company business.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The director option grants described above were made pursuant to our 2007 Long-Term Incentive
Plan.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Committees of the Board of Directors</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Our Board of Directors has (1)&nbsp;an audit committee, (2)&nbsp;a nominating committee, (3)&nbsp;a
compensation committee, (4)&nbsp;a science committee and (5)&nbsp;a finance committee. Below is a
description of each committee of our Board of Directors.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Audit Committee</I></B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The audit committee was established by our Board of Directors in accordance with Section
3(a)(58)(A) of the Exchange Act. The current members of our audit committee are Mr.&nbsp;Jack R.
Thompson and Dr.&nbsp;James D. Crapo, with Mr.&nbsp;Thompson serving as chairman. Our Board of Directors has
determined that each member of the audit committee qualifies as &#147;independent.&#148; Our Board of
Directors has also determined that Mr.&nbsp;Thompson qualifies as an &#147;audit committee financial expert,&#148;
as that term is defined in applicable SEC regulations. Our Board of Directors made a qualitative
assessment of Mr.&nbsp;Thompson&#146;s level of knowledge and experience based on a number of factors,
including his formal education, experience as an executive officer for public reporting companies
and his experience as an audit committee chairman for other publicly traded companies. In addition
to serving on our audit committee, Mr.&nbsp;Thompson also serves as chairman of the audit committee of
Sparx Asia Funds. Our Board of Directors has determined that such simultaneous service does not
impair Mr.&nbsp;Thompson&#146;s ability to effectively serve as chairman of our audit committee.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The audit committee oversees (1)&nbsp;the integrity of our financial statements, (2)&nbsp;our compliance
with legal and regulatory requirements; (3)&nbsp;the engagement of our independent auditor and its
qualifications and independence; (4)&nbsp;the performance of our internal auditors and independent
auditor; and (5)&nbsp;compliance with our code of ethics and code of business conduct and ethics for our
personnel. For this purpose, the audit committee performs several functions. The audit committee
evaluates the performance of and assesses the qualifications and independence of the independent
auditors; determines and approves the engagement of the independent auditors; determines whether to
retain or terminate the existing independent auditors or to appoint and engage new independent
auditors; reviews and approves the retention of the independent auditors to perform any proposed
permissible non-audit services; monitors the rotation of partners of the independent auditors on
the audit engagement team as required by law; confers with management and the independent auditors
regarding the effectiveness of internal controls over financial reporting; reviews and approves all
related-party transactions; prepares an audit committee report as required by the SEC to be
included in the annual proxy statement; establishes procedures, as required under applicable law,
for the receipt, retention and treatment of complaints regarding accounting, internal accounting
controls or auditing matters and the confidential and anonymous submission by employees of concerns
regarding questionable accounting or auditing matters; and meets to review our annual audited
financial statements and quarterly financial statements with management and the independent
auditor, including reviewing disclosures under &#147;Management&#146;s Discussion and Analysis of Financial
Condition and Results of Operations.&#148; The audit committee operates under a written charter adopted
by our Board of Directors that is available on the Company&#146;s website at www.lifevantage.com.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The audit committee met two (2)&nbsp;times in during our last fiscal year.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Audit Committee Report</I></B><SUP style="font-size: 85%; vertical-align: text-top"><B><I>1</I></B></SUP>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The audit committee is responsible for overseeing (i)&nbsp;the integrity of our financial
statements, (ii)&nbsp;our compliance with legal and regulatory requirements, (iii)&nbsp;our independent
registered public accounting firm&#146;s qualifications and independence, (iv)&nbsp;the performance of our
independent registered public accounting firm and (v)&nbsp;compliance with our Code of Ethics and Code
of Business Conduct and Ethics. Management is responsible for the financial reporting process,
including the system of internal controls, for the preparation of consolidated financial statements
in accordance with generally accepted accounting principles. Ehrhardt Keefe Steiner &#038; Hottman PC,
our independent registered public accounting firm, is responsible for auditing our financial
statements and expressing an opinion as to their conformity with generally accepted accounting
principles.
</DIV>


<DIV align="left">
<DIV style="font-size: 3pt; margin-top: 16pt; width: 18%; border-top: 1px solid #000000">&nbsp;</DIV>
</DIV>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR>
    <TD width="3%"></TD>
    <TD width="1%"></TD>
    <TD width="96"></TD>
</TR>

<TR valign="top">
    <TD nowrap align="left"><SUP style="font-size: 85%; vertical-align: text-top">1</SUP></TD>
    <TD>&nbsp;</TD>
    <TD>The material in this report is not &#147;soliciting
material,&#148; is not deemed &#147;filed&#148; with the SEC and is not to be incorporated by
reference into any filing of the Company under the Securities Act of 1933, as
amended, or the Securities Exchange Act of 1934, other than the Company&#146;s
Annual Report on Form 10-KSB for the fiscal year ended June&nbsp;30, 2008, whether
made before or after the date hereof and irrespective of any general
incorporation language in such filing.</TD>
</TR>

</TABLE>


<P align="center" style="font-size: 10pt"><!-- Folio -->11<!-- /Folio -->
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">






<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The committee has held discussions with management and the independent registered public
accounting firm. Management represented to the committee that the Company&#146;s consolidated financial
statements were prepared in accordance with generally accepted accounting principles, and the
committee has reviewed and discussed the consolidated financial statements with management and the
independent registered public accounting firm. The committee received the written disclosures and
letter required by the Independence Standards Board Standard No.&nbsp;1 (Independence Discussions with
Audit Committees) and discussed the independence of the independent registered public accounting
firm with the firm. In addition, the committee has discussed with the independent registered public
accounting firm the matters required to be discussed by Statement on Auditing Standards No.&nbsp;61, as
amended (Codification of Statements on Auditing Standards, AU &#167;380).
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The committee has also considered whether the provision of non-audit services to us is
compatible with maintaining the independent registered public accounting firm&#146;s independence. The
committee has concluded that the independent registered public accounting firm is independent from
us and our management. The committee has reviewed with the independent registered public accounting
firm the overall scope and plans for their audit.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Relying on the foregoing reviews and discussions, the committee recommended to the Board of
Directors the inclusion of the audited consolidated financial statements in the Company&#146;s Annual
Report on Form 10-KSB for the year ended June&nbsp;30, 2008, for filing with the SEC.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 50%"><I>The Audit Committee</I><BR>
Jack R. Thompson, Chairman<BR>
James D. Crapo

</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->12<!-- /Folio -->
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Compensation Committee</I></B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The
current members of our compensation committee are Dr.&nbsp;Crapo,
Mr.&nbsp;Thompson, Mr. Doutre&#146;&nbsp;Jones, Mr.
Mauro and Dr.&nbsp;McCord, with Dr.&nbsp;Crapo serving as chairman. Our Board has determined that all members
of the compensation committee except Dr.&nbsp;McCord qualify as &#147;independent.&#148; The compensation
committee reviews and approves our overall compensation strategy and policies. The compensation
committee (1)&nbsp;reviews and approves corporate performance goals and objectives relevant to the
compensation of our executive officers and other senior management; (2)&nbsp;reviews and approves the
compensation and other terms of employment of our chief executive officer and other executive
officers, including the terms of any employment agreements, severance arrangements and change of
control arrangements; (3)&nbsp;makes recommendations to our Board of Directors regarding new
compensation plans and programs, including equity compensation plans; (4)&nbsp;administers the 2007
Long-Term Incentive Plan and any other similar programs and (5)&nbsp;reviews director compensation and
recommends from time to time to our Board of Directors any proposed changes in such compensation.
Our Board of Directors has not yet adopted a written charter for the compensation committee,
however the compensation committee formulates its compensation recommendations to the Board of
Directors based upon Company performance relative to plan.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Compensation Committee met nine (9)&nbsp;times during the last fiscal year.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;A discussion of the compensation committee&#146;s processes and procedures for the consideration
and determination of executive officer and director compensation is included in the Compensation
Discussion and Analysis beginning on page 19 of this Proxy Statement.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Compensation Committee Interlocks and Insider Participation</I></B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;As indicated above, the Company&#146;s compensation committee consists of Dr.&nbsp;Crapo, Mr.&nbsp;Thompson,
Mr. Doutre&#146;&nbsp;Jones, Mr.&nbsp;Mauro and Dr.&nbsp;McCord. Dr.&nbsp;McCord served as the Director of Science of the Company
until October of 2007. None of the Company&#146;s executive officers serve as a member of the board of
directors or the compensation committee of any entity that has one or more executive officers who
serve on the Company&#146;s Board of Directors or compensation committee.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Compensation Committee Report</I></B><SUP style="font-size: 85%; vertical-align: text-top"><B><I>2</I></B></SUP>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The compensation committee has reviewed and discussed with management of the Company the
Compensation Discussion and Analysis included in this Proxy Statement. Based upon this review and
discussion, the compensation committee recommended to the Board of Directors the inclusion of the
Compensation Discussion and Analysis in this Proxy Statement and its incorporation in the Company&#146;s
Annual Report on Form 10-KSB for the year ended June&nbsp;30, 2008, for filing with the SEC.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 50%"><I>The Compensation Committee</I><BR>
James D. Crapo, Chairman<BR>
Jack R. Thompson<BR>
Richard Doutre&#146; Jones<BR>
Garry Mauro<BR>
Joe M. McCord

</DIV>


<DIV align="left">
<DIV style="font-size: 3pt; margin-top: 16pt; width: 18%; border-top: 1px solid #000000">&nbsp;</DIV>
</DIV>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR>
    <TD width="3%"></TD>
    <TD width="1%"></TD>
    <TD width="96"></TD>
</TR>

<TR valign="top">
    <TD nowrap align="left"><SUP style="font-size: 85%; vertical-align: text-top">2</SUP></TD>
    <TD>&nbsp;</TD>
    <TD>The material in this report is not &#147;soliciting
material,&#148; is not deemed &#147;filed&#148; with the SEC and is not to be incorporated by
reference into any filing of the Company under the Securities Act of 1933, as
amended, or the Securities Exchange Act of 1934, other than the Company&#146;s
Annual Report on Form 10-KSB for the fiscal year ended June&nbsp;30, 2008, whether
made before or after the date hereof and irrespective of any general
incorporation language in such filing.</TD>
</TR>

</TABLE>


<P align="center" style="font-size: 10pt"><!-- Folio -->13<!-- /Folio -->
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">






<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 1%"><B><I>Nominating Committee</I></B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The current members of our Board of Directors&#146; nominating committee are Dr.&nbsp;McCord, Dr.&nbsp;Crapo,
Mr.&nbsp;Jack Thompson, Mr.&nbsp;David Brown, Mr.&nbsp;Richard Doutre&#146; Jones and Mr.&nbsp;Gary Mauro, with Dr.&nbsp;McCord
serving as Chairman. Our Board has determined that all members of the nominating committee except
Mr.&nbsp;Brown and Dr.&nbsp;McCord qualify as &#147;independent.&#148; The nominating committee of our Board of
Directors is responsible for (1)&nbsp;identifying, reviewing and evaluating candidates to serve as
directors of the Company (consistent with criteria set forth below under the section titled
&#147;Director Nomination Procedures,&#148; approved by our Board of Directors), (2)&nbsp;reviewing and evaluating
incumbent directors, (3)&nbsp;recommending to our Board of Directors candidates for election to the
Board of Directors, (4)&nbsp;considering questions of independence of members of the Board of Directors,
and (5)&nbsp;assessing the performance of our Board of Directors<FONT style="font-variant: SMALL-CAPS">.</FONT> Our Board of Directors has
not yet adopted a written charter for the nominating committee.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 1%"><B><I>Director Nomination Procedures</I></B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Our Board of Directors has established a nominating committee and assigned certain
responsibilities to the committee, but we have not yet adopted a written nominating committee
charter. Although we are not a listed issuer and we are not currently required to have a nominating
committee charter, our Board of Directors is nonetheless considering the proposed scope of the
nominating committee&#146;s responsibilities to be reflected in a written charter. Currently, the
nominating committee evaluates and reviews director nominee candidates and our Board of Directors
is responsible for proposing a slate of nominees to the shareholders for election to the board,
using information provided by the committee. Each of Mr.&nbsp;Thompson, Dr.&nbsp;Crapo, Dr.&nbsp;McCord, Mr.
Brown, Mr.&nbsp;Doutre&#146; Jones and Mr.&nbsp;Mauro were recommended by our Board of Directors for election at
the 2008 Annual Meeting of Shareholders.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Our members of the nominating committee, and other members of our Board of Directors are the
primary sources for the identification of prospective nominees. The nominating committee may also
retain third-party search firms to identify director candidates, and the committee may consider
proposed nominees that are identified by shareholders in the manner prescribed by our bylaws. In
order for a shareholder to recommend a prospective nominee for election to our Board of Directors
at a shareholder meeting, our bylaws require that the shareholder (i)&nbsp;be entitled to vote at the
meeting, (ii)&nbsp;provide written advance notice regarding such nomination to our corporate Secretary
in accordance with the procedures set forth in our bylaws and (iii)&nbsp;be a shareholder of record at
the time of giving the notice.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;While the nominating committee currently has no formal written process for evaluating proposed
nominees, the members of the committee generally will review the resume of a proposed nominee and
consult the proposed nominee&#146;s personal references. The nominating committee conducts any other
appropriate and necessary background checks of possible candidates. The committee may also
personally interview (and suggest that other members of our Board of Directors interview) the
proposed nominee, if the committee considers the proposed nominee sufficiently suitable.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The nominating committee evaluates the prospective nominee in order to determine whether the
nominee has experience and expertise in our industry, the ability to offer sound advice and
guidance to management, sufficient time to devote to the affairs of the Company, and has
demonstrated excellence in his or her field and the ability to exercise sound business judgment.
Candidates for director nominees are reviewed in the context of the current composition of our
Board of Directors, the operating requirements of the Company and its long-term best interests. In
conducting this assessment, the nominating committee considers diversity, age, skills, and such
other factors as it deems appropriate given the current needs of our Board of Directors and the
Company, to maintain a balance of knowledge, experience and capability. In the case of incumbent
directors whose terms of office are set to expire, the nominating committee reviews such directors&#146;
overall service to the Company during their term, including the number of meetings attended, level
of participation, quality of performance, and any other relationships and transactions that might
impair such directors&#146; independence. The nominating committee may modify these qualifications from
time to time and is currently considering whether to establish a set of corporate governance
practices and policies with additional standards and qualifications.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;After its evaluation of a candidate&#146;s qualifications, the nominating committee then selects a
nominee for recommendation to our Board of Directors by majority vote. The board determines the
nominees after considering the recommendation and report of the nominating committee.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;To date, the nominating committee has not paid a fee to any third party to assist in the
process of identifying or evaluating director candidates and the nominating committee has not
rejected a timely director nominee from a shareholder or shareholders holding more
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->14<!-- /Folio -->
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">than 5% of our voting stock. The members of the nominating committee recommended Mr.&nbsp;David
Brown, Mr.&nbsp;Richard Doutre&#146; Jones and Mr.&nbsp;Gary Mauro as a nominee for the Board of Directors.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 1%"><B><I>Other Committees</I></B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In addition to the audit committee, compensation committee and nominating committee, our Board
of Directors also has formed a science committee and a finance committee.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The current members of the science committee are Dr.&nbsp;Crapo and Dr.&nbsp;McCord, with Dr.&nbsp;McCord
serving as chairman. This committee meets on an ad hoc basis as our Board of Directors deems
necessary to review and advise the Board of Directors with respect to matters assigned by the board
from time to time. The science committee has a written mission statement.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The
current members of the finance committee are Mr.&nbsp;Thompson, Mr.
Doutre&#146;&nbsp;Jones, Mr.&nbsp;Mauro and Mr.
Brown, with Mr.&nbsp;Thompson serving as chairman. This committee meets on an ad hoc basis as our Board
of Directors deems necessary to review financial and fundraising matters.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Shareholder Communications With the Board of Directors</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Shareholders interested in communicating with our Board of Directors, a board committee, the
independent directors or an individual director may do so by sending an email to Brad Amman, our
Secretary at <u>BradA@Protandim.com</u> or writing to Board of Directors, Lifevantage Corporation, 11545
W. Bernardo Court, Suite&nbsp;301, San Diego, California 92127, Attention: Secretary. Communications
should specify the addressee(s) and the general topic of the communication. Our Secretary will
review and sort communications before forwarding them to the addressee(s). If no particular
director is named, letters will be forwarded, depending on the subject matter, to the chairman of
the appropriate committee.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->15<!-- /Folio -->
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Information Concerning Our Executive Officers</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The following table sets forth the names, ages and titles of our executive officers.
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="45%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="42%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="left" style="border-bottom: 1px solid #000000"><B>Name</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Age</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Position</B></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">David W. Brown</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">45</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">President and Chief Executive Officer</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Bradford K. Amman</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">46</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Chief Financial Officer, Secretary and Treasurer</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Each officer serves at the discretion of our Board of Directors and holds office until his or
her successor is appointed or until his or her earlier resignation or removal. There are no family
relationships among any of our directors or executive officers.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Set forth below is a description of the background of the persons named above.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;See &#147;Proposal 1 &#150; Election of Directors&#148; for Mr.&nbsp;Brown&#146;s biography.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;BRADFORD K. AMMAN Mr.&nbsp;Amman joined the Company in June&nbsp;2006 as the Company&#146;s Director of
Finance and was subsequently appointed as the Company&#146;s Secretary, Treasurer and Chief Financial
Officer. Prior to joining the Company, he provided financial consulting services to a unique client
base, including Lifevantage Corporation. Mr.&nbsp;Amman was the Treasurer and Vice President of Finance
and Administration for SKYDEX Technologies, Inc. and has served in various senior level financial
and accounting roles within the manufacturing and telecom industries. Mr.&nbsp;Amman received his B.S.
in Accounting from the University of Denver and his M.B.A. from the University of Notre Dame.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->16<!-- /Folio -->
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>Security Ownership of Certain Beneficial Owners and Management</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The following table sets forth certain information regarding the ownership of the Company&#146;s
common stock as of September&nbsp;30,<FONT style="font-variant: SMALL-CAPS"> 2008</FONT> by: (i)&nbsp;each director and nominee for director; (ii)
each of the executive officers named in the Summary Compensation Table; (iii)&nbsp;all executive
officers and directors of the Company as a group; and (iv)&nbsp;each person who is known to us to own
beneficially more than five percent of our common stock. The shares disclosed in this table are
based upon information supplied by officers, directors and principal shareholders and filings made
by shareholders with the Securities and Exchange Commission.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Except as otherwise noted, the address for each person listed below is c/o Lifevantage
Corporation, 11545 W. Bernardo Court, Suite&nbsp;301, San Diego, California 92127.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The percentages of beneficial ownership set forth below are based on 24,766,117 shares of our
common stock issued and outstanding as of September&nbsp;30, 2008.
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="76%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Beneficial Owner (1)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Number of Shares</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Percent of Class</B></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:0px; text-indent:-0px">David W. Brown</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right"><FONT style="white-space: nowrap">625,251</FONT></TD>
    <TD>(7)&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">2.5</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:0px; text-indent:-0px">Bradford K. Amman</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">173,852 </TD>
    <TD nowrap>(5)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">*</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:0px; text-indent:-0px">Dr.&nbsp;James D. Crapo</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">829,000 </TD>
    <TD nowrap>(4)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">3.3</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:0px; text-indent:-0px">Dr.&nbsp;Joe M. McCord</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">1,863,466 </TD>
    <TD nowrap>(2)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">7.5</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:0px; text-indent:-0px">Jack R. Thompson</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">719,477 </TD>
    <TD nowrap>(3)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">2.9</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:0px; text-indent:-0px">Richard Doutre&#146; Jones</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">90,000 </TD>
    <TD nowrap>(8)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">*</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:0px; text-indent:-0px">Garry Mauro</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">90,000 </TD>
    <TD nowrap>(9)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">*</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:0px; text-indent:-0px">Paul R. Myhill<br>
3466 Willowrun Court<br>
Castle Rock CO 80109</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">1,908,711 </TD>
    <TD nowrap>(6)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">7.7</TD>
    <TD nowrap>%</TD>
</TR>
<tr style="font-size: 10pt"><td>&nbsp;</td>
<td>&nbsp;</td>
</tr>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:0px; text-indent:-0px">All named executive
officers and
directors as a group
(seven persons)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">4,391,046 </TD>
    <TD nowrap>(10)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">17.7</TD>
    <TD nowrap>%</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>



<DIV align="left">
<DIV style="font-size: 3pt; margin-top: 16pt; width: 18%; border-top: 1px solid #000000">&nbsp;</DIV>
</DIV>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR>
    <TD width="3%"></TD>
    <TD width="1%"></TD>
    <TD width="96"></TD>
</TR>

<TR valign="top">
    <TD nowrap align="left">*</TD>
    <TD>&nbsp;</TD>
    <TD>Less than one percent.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">1</TD>
    <TD>&nbsp;</TD>
    <TD>The shares of our common stock beneficially owned are reported on the basis of regulations of
the SEC governing the determination of beneficial ownership of securities. Under the rules of
the SEC, a person is deemed to be a &#147;beneficial owner&#148; of a security if that person has or
shares voting power, which includes the power to vote or direct the voting of such security,
or investment power, which includes the power to dispose of or to direct the disposition of
such security. A person is also deemed to be a beneficial owner of any securities of which
that person has a right to acquire beneficial ownership within 60&nbsp;days. Securities that can be
so acquired are deemed to be outstanding for purposes of computing such person&#146;s ownership
percentage, but not for purposes of computing any other person&#146;s percentage. Under these
rules, more than one person may be deemed beneficial owner of the same securities and a person
may be deemed to be a beneficial owner of securities as to which such person has no economic
interest. This table is based upon information supplied by officers, directors and principal
stockholders and Schedules 13D and 13G filed with the SEC. Except as otherwise indicated in
these footnotes and subject to community property laws where applicable, each of the
beneficial owners has, to our knowledge, sole voting and investment power with respect to the
indicated shares of common stock. In accordance with the beneficial ownership rules of the
SEC, the table does not reflect an aggregate of 1,204,167 shares of common stock reserved for
issuance upon the exercise of outstanding options not exercisable within 60&nbsp;days held by
certain of our directors and executive officers.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">2</TD>
    <TD>&nbsp;</TD>
    <TD>Includes 1,606,800 shares of common stock and 146,666 shares which Dr.&nbsp;McCord has the right
to acquire or will have the right to acquire within 60&nbsp;days of September&nbsp;30, 2008 pursuant to
an option to purchase shares of our common stock at $0.49 per share and includes 110,000
shares which Dr.&nbsp;McCord has the right to acquire or will have the right to acquire within 60
days of September&nbsp;30, 2008 pursuant to an option to purchase shares of our common stock at
$0.21 per share.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">3.</TD>
    <TD>&nbsp;</TD>
    <TD>Includes 359,477 shares held of record by Mr.&nbsp;Thompson, and 60,000 shares which Mr.&nbsp;Thompson
has the right to acquire or will have the right to acquire within 60&nbsp;days of September&nbsp;30,
2008 pursuant to an option to purchase shares of our common stock at $0.21 per share. Also
includes 150,000 &#147;as converted&#148; common shares for which Mr.&nbsp;Thompson has the right to acquire
pursuant</TD>
</TR>

</TABLE>


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<DIV style="font-family: 'Times New Roman',Times,serif">





<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR>
    <TD width="3%"></TD>
    <TD width="1%"></TD>
    <TD width="96"></TD>
</TR>

<TR valign="top">
    <TD nowrap align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>to a convertible note received in the 2007 private placement
and 150,000 shares for which Mr. Thompson
 has the right to acquire pursuant to warrants issued in the 2007 private placement.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">4</TD>
    <TD>&nbsp;</TD>
    <TD>Includes 125,000 shares owned by Dr.&nbsp;Crapo and his wife as tenants in common and 450,000
shares held in Dr.&nbsp;Crapo&#146;s Individual Retirement Account. Also includes shares which Dr.&nbsp;Crapo
has the right to acquire or will have the right to acquire pursuant to an option to purchase
24,000 shares of our common stock at $3.37 per share, 120,000 shares at $0.49 per share and
110,000 shares for which he has a right to acquire within 60&nbsp;days of September&nbsp;30, 2008 at an
exercise price of $0.21.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">5</TD>
    <TD>&nbsp;</TD>
    <TD>Includes 28,614 shares owned by Mr.&nbsp;Amman. Also, includes shares which Mr.&nbsp;Amman has the
right to acquire or will have the right to acquire within 60&nbsp;days of September&nbsp;30, 2008
pursuant to options to purchase 86,667 shares at $0.76 per share and 28,571 shares at $0.49
per share and 30,000 shares at $0.35 per share.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">6</TD>
    <TD>&nbsp;</TD>
    <TD>Includes 1,033,766 shares held by Mr.&nbsp;Myhill and 874,945 shares held by Mr.&nbsp;Myhill&#146;s wife.
Pursuant to a voting agreement and irrevocable proxy with us dated February&nbsp;9, 2006, Mr.
Myhill and his wife agreed, among other things, to vote their shares of common stock as
directed by our Board of Directors until February&nbsp;7, 2016.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">7</TD>
    <TD>&nbsp;</TD>
    <TD>Includes shares which Mr.&nbsp;Brown has the right to acquire or will have the right to acquire
within 60&nbsp;days of September&nbsp;30, 2008 pursuant to an option to purchase 562,500 shares at $0.23
per share and 62,751 shares at $0.30 per share .</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">8.</TD>
    <TD>&nbsp;</TD>
    <TD>Includes shares which Mr.&nbsp;Richard Doutre&#146; Jones has the right to acquire or will have the
right to acquire within 60&nbsp;days of September&nbsp;30, 2008 pursuant to an option to purchase 90,000
shares at $0.30 per share.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">9.</TD>
    <TD>&nbsp;</TD>
    <TD>Includes shares which Mr.&nbsp;Mauro has the right to acquire or will have the right to acquire
within 60&nbsp;days of September&nbsp;30, 2008 pursuant to an option to purchase 90,000 shares at $0.30
per share.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">10.</TD>
    <TD>&nbsp;</TD>
    <TD>See notes (2)&nbsp;through (5)&nbsp;and (7)&nbsp;through (9)&nbsp;above.</TD>
</TR>

</TABLE>


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<DIV style="font-family: 'Times New Roman',Times,serif">






<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>EXECUTIVE COMPENSATION</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Compensation Discussion and Analysis</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;This compensation discussion and analysis provides information regarding the compensation
that may be awarded to, earned by or paid to the named executed officers. It includes information regarding the
objectives of our compensation program, our compensation processes and procedures, each element of
compensation that we provide, why we choose these elements, and how we determine the amount of each
component to pay. This compensation discussion and analysis should be read in conjunction with the
tables and related discussion beginning on page 22 of this Proxy Statement.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Compensation Program Objectives</I></B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Our executive compensation program is designed to attract, retain and motivate talented
executives capable of providing the leadership, vision and execution necessary to achieve our
business objectives and create long-term shareholder value. We actively seek to foster a
pay-for-performance environment that aligns the interests of our executive officers with the
creation of shareholder value. To this end, our compensation program is strongly linked to the
delivery of long-term returns to our shareholders, the achievement of short- and long-term
strategic business objectives, individual performance, and the demonstration of competencies that
are aligned with our culture and values and that will contribute to our long-term success.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Compensation Program Components and Procedures</I></B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Our compensation committee is responsible for overseeing our compensation policies, plans and
programs, and reviewing and determining the salary, bonuses, equity incentives, perquisites,
severance arrangements and other related benefits paid to our directors and executive officers.  Our
compensation committee has implemented a performance based compensation program, which ties a
substantial portion of our executives&#146; overall compensation to the achievement of measurable
corporate and individual performance objectives and the creation of shareholder value. As described
in more detail below, our executive compensation program consists  of
one or more of the following key components:
base salary, performance-based  bonuses, long-term equity incentives and severance and
change-in-control benefits. The compensation committee has not established any formal policies or
guidelines for allocating compensation between cash and non-cash
compensation except that due to cash constraints of the Company,
performance based compensation in fiscal 2008 has been in the form of non-cash
equity compensation. However,
commensurate with the Company&#146;s philosophy of establishing a link between compensation and
corporate performance, the compensation committee believes that a significant portion of each
executive&#146;s total compensation should be performance-based, reflecting both upside potential and
down-side risk.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The compensation committee&#146;s executive compensation procedure comprises two related elements:
the establishment of performance objectives and the determination of executive compensation levels.
At the beginning of each fiscal year, the compensation committee approves annual performance
objectives for the corporation as a whole and for each individual executive officer. The corporate
objectives generally target the achievement of specific product development, corporate development,
financial and operational milestones. The individual objectives focus on contributions that are
consistent with and support the corporate objectives or are otherwise intended to contribute to the
success of the Company. The annual corporate and individual performance objectives are proposed by
management and reviewed and approved by the compensation committee. The corporate objectives are
also subject to review and approval by the full Board.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;At the conclusion of each fiscal year, the Chief Executive Officer conducts a performance
appraisal for each executive officer (other than himself) for the year.  The Chief Executive Officer also evaluates
the degree of achievement of the annual corporate and individual performance objectives and submits
his recommendations to the compensation committee for any base salary increases, bonuses
and/or stock option awards for each executive officer (other than himself). The Chief Executive
Officer&#146;s recommendations and compensation committee&#146;s determinations are generally based upon a
number of factors, including: the executive&#146;s individual performance for the year, the degree of
achievement of annual corporate and individual performance objectives, comparisons with market data
for compensation paid to comparable executives of other nutraceutical companies, with a particular
focus on companies of comparable sizes and stages of development, the executive&#146;s compensation
relative to other executive officers at the Company, and the importance of the executive&#146;s
continued service with the Company.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In the case of the Chief Executive Officer, his individual performance appraisal is conducted
by the compensation committee, which determines his compensation adjustments and awards, if any,
based on these same factors. The Chief Executive Officer may not
</DIV>

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</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">participate in or be present during any deliberations or determinations of the compensation
committee regarding his compensation. To the extent approved, any base salary increases,
bonuses and/or stock option awards for the executives, including the Chief Executive Officer, are
implemented during the first fiscal quarter of the year when possible.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Compensation Elements</I></B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Our executive compensation program consists of the following key components: base salary,
performance-based bonuses, long-term equity incentives and severance and change in control
benefits.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Our compensation committee believes that these four components are the most effective
combination in motivating and retaining talented executive officers at this stage in our
development. The compensation committee does not have any specific targets for the percentage of
compensation represented by each component, although a significant percentage of total compensation
is allocated to long-term equity incentives as a result of the compensation philosophy discussed
above. As a general matter, subject only to limited exceptions relating to the relocation of
executive officers, we do not provide perquisites or benefits for our named executive officers on a
basis that is different from other eligible employees.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Base Salary</I>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Base salary is the primary fixed component of our executive compensation program. We use base
salary to compensate executives for services rendered during the fiscal year, and to ensure that we
remain competitive in attracting and retaining executive talent. Base salaries are generally set
within a range of salaries paid to industry peers with comparable qualifications, experience,
responsibilities and performance at similar companies.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;For newly hired executives, the compensation committee determines base salary on a
case-by-case basis by evaluating a number of factors, including the executive&#146;s qualifications and
experience, the competitive recruiting environment for his or her services, the executive&#146;s
anticipated role and responsibilities with the Company, the executive&#146;s past compensation history,
and comparisons to market data regarding compensation levels for comparable executives of other
nutraceutical companies of similar sizes and stages of development.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;For continuing executives, the compensation committee reviews base salaries annually as part
of the Company&#146;s performance review and appraisal process. Base salary increases, if any, are based
primarily on each executive&#146;s job performance for the prior year, as well as a review of
competitive market data, the executive&#146;s compensation relative to other executive officers, and the
importance of the executive&#146;s continued service with the Company.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Performance-Based Bonuses</I>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Our
performance-based  bonuses are  designed to promote the interests of the Company
and its shareholders by providing executive officers with the opportunity to earn bonuses based
upon the achievement of pre-specified corporate and individual performance objectives, and to
assist the Company in attracting and retaining executive talent.


During
fiscal 2008, the Company has granted bonuses in the form of stock
grants under the 2007 Long-Term Incentive Plan as a method of
rewarding employees and executive officers for meeting certain
performance objectives.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;At the conclusion of each year, the Chief Executive Officer evaluates the degree of
achievement of the annual corporate and individual performance objectives, and submits his bonus
recommendations to the compensation committee, which determines the final bonus amount, if any, for
each executive officer. The compensation committee may determine to grant a bonus even though
certain corporate or individual performance objectives are not met. If the compensation committee
determines that corporate or individual performance for the year exceeded objectives or was
excellent in view of prevailing conditions, the compensation committee may approve corporate or
individual performance multipliers. The compensation committee also retains the authority, in its
</DIV>

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</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">discretion, to identify any unplanned achievements that have been accomplished and to approve
adjustments to an executive officer&#146;s bonus award. Bonuses, if any, are generally paid in January
of each year for services rendered during the prior fiscal year.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Long-Term Equity Incentives</I>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Long-term equity incentives represent the largest at-risk component of our executive and
employee compensation program. Our long-term equity incentives are designed to align the interests
of our executive officers and employees with those of our shareholders by creating an incentive for
our executive officers and employees to maximize long-term shareholder value. The equity
compensation program is also designed to encourage our executive officers and employees to remain
employed with us.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Historically,
we have granted stock options to newly-hired executive officers and
employees when they commence employment with us. We have also granted stock options to continuing executive
officers once a year as part of our annual performance review and appraisal process. The annual
stock options are granted as a reward for past individual and corporate performance and as an
incentive for future performance. All stock options are granted with a 10-year term and an exercise
price equal to or greater than 100% of the fair market value of our common stock on the date of grant. The stock
options generally vest over a three-year period, with one sixth of the options vesting three months
after the date of grant, and the remaining five sixths of the options vesting in equal monthly
installments thereafter over the remaining term, subject to the executive&#146;s or employee&#146;s continued
employment with us through such vesting dates.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The compensation committee approves all equity grants to our executive officers. Grants
approved during scheduled meetings become effective and are priced as of the date of approval or a
predetermined future date (for example, new hire grants are effective as of the later of the date
of approval or the newly-hired executive&#146;s start date). Grants approved by unanimous written
consent become effective and are priced as of the date the last signature is obtained or as of
predetermined future date. The compensation committee has not granted, nor does it intend to grant,
equity compensation awards to executive officers or employees in anticipation of the release of
material nonpublic information that is likely to result in changes to the price of our common
stock, such as a significant positive or negative clinical trial result. Similarly, the
compensation committee has not timed, nor does it intend in the future to time, the release of
material nonpublic information based on equity award grant dates. Also, because equity compensation
awards typically vest over a three-year period (with a 3&nbsp;month &#147;cliff&#148; followed by monthly vesting
thereafter), the value to recipients of any immediate increase in the price of our common stock
following a grant will be attenuated. Our Chief Executive
Officer&#146;s
stock options are subject to vesting procedures different from those
described above and are described in further detail beginning on page
26 of this Proxy Statement under the heading &#147;Employment
Agreement with David W. Brown.&#148;
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The compensation committee determines the number of stock options to award to a newly-hired
executive officer using the same factors described above that are considered in determining the
base salaries of newly-hired executive officers. The compensation committee determines the number
of stock options to be awarded to continuing executives based on a variety of factors, including
its review of competitive market data, its assessment of each executive officer&#146;s individual
performance and expected future contribution, a review of each executive&#146;s existing equity
incentive awards, and the importance of the executive&#146;s continued service with the Company.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Severance and Change-in-Control Benefits</I>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We enter into employment agreements with our executives in select cases, generally when it is
necessary to secure the services of a newly hired executive. We have entered into an employment
agreement with Mr.&nbsp;Brown in connection with his commencement of employment with the Company. The
terms of such employment agreement, including the severance compensation payable thereunder, are
described in more detail beginning on page 26  of this Proxy Statement under the heading
&#147;Certain Related-Party Transactions.&#148;
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Perquisites</I>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Perquisites and other personal benefits are not factored into our executive compensation
program. We prefer to compensate executive officers using a mix of current, short- and long-term
compensation with an emphasis on performance and do not believe that providing an executive
perquisite program is consistent with our overall compensation philosophy. We typically provide
perquisites and other personal benefits to executive officers on an exception-only basis, and they
are generally limited to executive relocation assistance and temporary commuting and living
expenses.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Other Benefits</I>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We maintain health, dental and vision insurance plans for the benefit of all eligible
employees, including our executive officers. Basic coverage under each of these benefit plans is
paid by the Company and any premium in excess of the basic coverage is paid by the employee or
executive. These benefits are offered on the same basis to all employees including our executive
officers. We also
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">maintain a 401(k) retirement savings plan that is available to all eligible
employees. Currently, the 401(k) retirement plan is not matched by the
Company.  Executives are eligible to participate in the 401(k) plan up to ERISA limits. No
supplementary participation is available to executives or employees. Life, accidental death and
dismemberment, short- and long-term disability insurance coverage, and wellness programs are also
offered to all eligible employees and basic premiums are paid in full by the Company. Other
voluntary benefits, such as supplemental long-term disability insurance
coverage, are also made available and paid for by the employees. The above benefits are available
to our executive officers on the same basis as all other eligible employees.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Summary Compensation Table</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The following table shows for the fiscal years ended June&nbsp;30, 2007 and June&nbsp;30, 2008,
compensation awarded or paid to, or earned by, our Chief Executive Officer, any other person
serving as our Chief Executive Officer during the last fiscal year, our Chief Financial Officer,
any other person serving as our Chief Financial Officer during the last fiscal year, and our two
other most highly compensated officers required by the rules of the SEC to be included therein
(collectively, the &#147;named executive officers&#148;):
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="28%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Option</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>All other</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Salary</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Bonus</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>awards</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>compensation</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Total</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Name and principal position</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Year</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>($)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>($)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>($)(1)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>($)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>($)</B></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:60px; text-indent:-15px">David W. Brown,</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2008</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">111,846</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">67,432</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">179,278</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Chief Executive Officer (2)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2007</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="padding-top: 0em">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Bradford K. Amman,</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2008</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">130,160</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">33,995</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8,013</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">172,168</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Chief Financial Officer (3)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2007</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">133,583</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">20,588</TD>
    <TD nowrap></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">158,171</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="padding-top: 0em; background: #cceeff">
    <TD><DIV style="margin-left:60px; text-indent:-15px">James J. Krejci,</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2008</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">37,947</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">17,360</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">55,307</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Former Chief Executive Officer (4)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2007</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">97,481</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">159,322</TD>
    <TD nowrap></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">256,803</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="padding-top: 0em">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Stephen K. Onody,</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2008</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Former Chief Executive Officer (5)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2007</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">224,717</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">42,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">464,948</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">6,746 </TD>
    <TD nowrap>(6)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">738,411</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="padding-top: 0em; background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Gerald J. Houston,</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2008</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Former Chief Financial Officer (7)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2007</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">212,043</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">28,500</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">78,960</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">319,503</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>




<DIV align="left">
<DIV style="font-size: 3pt; margin-top: 16pt; width: 18%; border-top: 1px solid #000000">&nbsp;</DIV>
</DIV>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR>
    <TD width="3%"></TD>
    <TD width="1%"></TD>
    <TD width="96"></TD>
</TR>

<TR valign="top">
    <TD nowrap align="left">1.</TD>
    <TD>&nbsp;</TD>
    <TD>The amounts shown in this column represent the dollar amount recognized for financial
statement reporting purposes with respect to the fiscal year for stock options granted to
the named executive officers, as determined in accordance with SFAS 123(R). Pursuant to SEC
rules, the amounts shown exclude the impact of estimated forfeitures related to
service-based vesting conditions. For additional information on the valuation assumptions
used to calculate these amounts, see Notes 2 and 7 to the Financial Statements included in
the Company&#146;s Annual Report on Form 10-KSB for the year ended June&nbsp;30, 2008. These amounts
reflect the Company&#146;s accounting expense for these awards, and do not correspond to the
actual value that will be recognized by the named executive officers.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">2.</TD>
    <TD>&nbsp;</TD>
    <TD>Mr.&nbsp;Brown was hired as President and Chief Executive Officer on January&nbsp;10, 2008 and on
January&nbsp;10, 2008, Mr.&nbsp;Brown was granted options to purchase up to 1,800,000 shares of the
Company&#146;s common stock at various prices from $0.23 to $0.75 per share. The option award
was calculated using the Black Scholes method pursuant to SFAS 123(R).</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">3.</TD>
    <TD>&nbsp;</TD>
    <TD>Mr.&nbsp;Amman was granted an option to purchase 120,000 shares of the Company&#146;s common
stock on September&nbsp;26, 2006 at an exercise price of $0.76. On January&nbsp;16, 2007, Mr.&nbsp;Amman
was granted an option to purchase 26,571 shares at $0.49 per shares and on February&nbsp;21,
2008 Mr.&nbsp;Amman was granted an option to purchase an additional 120,000 shares at $0.35 per
share. The option award was calculated using the Black-Scholes method pursuant to SFAS
123(R).</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>Other compensation of $8,013 was the fair value of a grant of stock as of the date granted.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">4.</TD>
    <TD>&nbsp;</TD>
    <TD>Mr.&nbsp;Krejci who became the Company&#146;s Chief Executive Officer beginning on December&nbsp;21,
2006, left the Company on August&nbsp;31, 2007, and as a consequence the stock option granted to
Mr.&nbsp;Krejci terminated.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">5.</TD>
    <TD>&nbsp;</TD>
    <TD>Mr.&nbsp;Onody joined the Company as Chief Executive Officer on November&nbsp;28, 2005 and
resigned from the Company on November&nbsp;30, 2006 and as a consequence the stock option
granted to Mr.&nbsp;Onody terminated.</TD>
</TR>

</TABLE>


<P align="center" style="font-size: 10pt"><!-- Folio -->22<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">





<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR>
    <TD width="3%"></TD>
    <TD width="1%"></TD>
    <TD width="96"></TD>
</TR>

<TR valign="top">
    <TD nowrap align="left">6.</TD>
    <TD>&nbsp;</TD>
    <TD>For fiscal year end of June&nbsp;30, 2007, other compensation consists of $1,325 for an
annual life insurance premium and $5,421 for disability insurance premiums paid by the
Company on behalf of Mr.&nbsp;Onody.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">7.</TD>
    <TD>&nbsp;</TD>
    <TD>Mr.&nbsp;Houston joined the Company as Chief Financial Officer on January&nbsp;4, 2006 and
resigned from the Company on February&nbsp;16, 2007, and as a consequence the option granted to
Mr.&nbsp;Houston terminated.</TD>
</TR>

</TABLE>



<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Grants of Plan-Based Awards</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The following table sets forth certain information regarding grants of plan-based awards to
the named executive officers during the fiscal year ended June&nbsp;30, 2008:
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="18%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%" nowrap>&nbsp;&nbsp;&nbsp;&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>All Other</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>All Other</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Option</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Grant</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Stock Awards:</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Awards:</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Exercise</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Date Fair</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="11"><B>Estimated Possible Payouts</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Number</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Number of</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>or Base</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Value of</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="11"><B>Under Non-Equity Incentive</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>of Shares</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Securities</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Price of</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Stock and</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="11" style="border-bottom: 1px solid #000000"><B>Plan Awards(1)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>of Stock</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Underlying</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Option</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Option</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Threshold</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Target</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Maximum</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>or Units</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Options</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Awards</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Awards</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="left" style="border-bottom: 1px solid #000000"><B>Name</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Grant Date</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>($)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>($)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>($)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>(#)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>(#)(2)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>($/Sh)(3)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>($)(4)</B></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">David W. Brown</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1/10/08</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">450,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">0.23</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">93,364</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="padding-top: 0em">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">450,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">0.50</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">55,027</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">450,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">0.75</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">46,743</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">300,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">0.30</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">43,409</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="padding-top: 0em; background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Bradford K. Amman</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2/21/08</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">120,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">0.35</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">28,355</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>




<DIV align="left">
<DIV style="font-size: 3pt; margin-top: 16pt; width: 18%; border-top: 1px solid #000000">&nbsp;</DIV>
</DIV>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR>
    <TD width="3%"></TD>
    <TD width="1%"></TD>
    <TD width="96"></TD>
</TR>

<TR valign="top">
    <TD nowrap align="left">1.</TD>
    <TD>&nbsp;</TD>
    <TD>These columns show the possible threshold, target and maximum cash bonus payments to
the named executive officers for the year ended June&nbsp;30, 2008 under the Company&#146;s
performance-based cash bonus program, which is described in more detail in the Compensation
Discussion and Analysis beginning on page 19 of this Proxy Statement. The actual cash bonus
awards earned by the named executive officers for the year ended June&nbsp;30, 2008 are set
forth in the Summary Compensation Table above under the column entitled &#147;Non-Equity
Incentive Plan Compensation,&#148; and the amounts set forth in these columns do not represent
additional compensation paid to or earned by the named executive officers for the year
ended June&nbsp;30, 2008.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">2.</TD>
    <TD>&nbsp;</TD>
    <TD>This column shows the number of shares of common stock underlying stock options granted
to the named executive officers during the year ended June&nbsp;30, 2008. For Mr.&nbsp;Amman, stock
options have a 10-year term and vest over a three-year period, with one sixth of the
options vesting on the first anniversary of the date of grant and the remaining five sixths
of the options vesting in equal monthly installments thereafter over the next three years,
subject to the recipient&#146;s continued employment with the Company through such vesting
dates.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>For Mr.&nbsp;Brown, stock options have a 10-year term and vest as follows:</TD>
</TR>

</TABLE>



<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="8%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Option to purchase 150,000 shares vested immediately at $0.23 per share</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="8%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Option to purchase 450,000 shares vest monthly during calendar year 2008 at
$0.23 per share.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="8%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Option to purchase 450,000 shares vest monthly during calendar year 2009 at
$0.50 per share.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="8%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Option to purchase 450,000 shares vest monthly during calendar year 2010 at
$0.75per share.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="8%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Option to purchase 62,751 out of 300,000 shares vested on April&nbsp;18, 2008 at
$0.30 per share based on the exercise of 2005 private placement warrants.</TD>
</TR>

</TABLE>
</DIV>


<DIV align="left">
<DIV style="font-size: 3pt; margin-top: 16pt; width: 18%; border-top: 0px solid #000000">&nbsp;</DIV>
</DIV>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR>
    <TD width="3%"></TD>
    <TD width="1%"></TD>
    <TD width="96"></TD>
</TR>

<TR valign="top">
    <TD nowrap align="left">3.</TD>
    <TD>&nbsp;</TD>
    <TD>This column shows the exercise price for the stock options granted to the named
executive officers during the year ended June&nbsp;30, 2008, which equals the fair market value
of the Company&#146;s common stock on the date of grant.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">4.</TD>
    <TD>&nbsp;</TD>
    <TD>This column shows the full grant date fair value of the restricted stock awards and
stock options granted to the named executive officers during the year ended June&nbsp;30, 2008,
as determined in accordance with SFAS 123(R). The full grant date fair value is the amount
that the Company recognizes as stock-based compensation expense in its financial statements
over the required service period of the award. For additional information, see Notes 2 and
7 to the Financial Statements included in the Company&#146;s Annual Report on Form 10-KSB for
the year ended June&nbsp;30, 2008.</TD>
</TR>

</TABLE>


<P align="center" style="font-size: 10pt"><!-- Folio -->23<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">






<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Outstanding Equity Awards at Fiscal Year End</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The following table sets forth certain information regarding equity awards granted to the named
executive officers that were outstanding as of June&nbsp;30, 2008:
</DIV>

<DIV align="center">
<TABLE style="font-size: 7pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="24%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="left" style="border-bottom: 0px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="19" style="border-bottom: 1px solid #000000"><B>Option awards</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="15" style="border-bottom: 1px solid #000000"><B>Stock awards</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Equity</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Equity</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>incentive</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>incentive</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>plan</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>plan</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>awards:</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>awards:</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" colspan="3"><b>Number</b> </TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Market</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Number of</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Number of</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Number of</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Number of</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>of shares</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>value of</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>unearned</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>securities</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>securities</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>securities</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B> or units</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>shares of</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>shares, </B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Equity Incentive</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>underlying</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>underlying</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>underlying</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B> of stock</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>units of</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>units or </B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>plan awards: Market or payout</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>unexercised</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>unexercised</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>unexercised</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Option</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B> that have</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>stock that</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>other rights </B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>value of unearned shares, units</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>options</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>options</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>unearned</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>exercise</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B> not</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>have not</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>that have </B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>or others rights that have not</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>(#)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>(#)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>options</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>price</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Option expiration</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B> vested</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>vested</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>not vested</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>vested</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Name</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>exercisable</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>unexercisable</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>(#)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>($)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>date</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>(#)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>($)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>(#)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>($)</B></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">David W. Brown</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">375,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">225,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">0.23</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">01/10/18</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">450,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">0.50</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">01/10/18</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">450,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">0.75</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">01/10/18</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">62,751</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">237,249</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">0.30</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">01/10/18</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="padding-top: 0em">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Bradford K. Amman</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">70,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">50,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">0.76</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">09/26/16</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">28,571</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">0.49</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">01/16/17</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">13,333</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">106,667</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">0 .35</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">02/21/18</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>




<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Option Exercises And Stock Vested</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The following table sets forth certain information regarding option exercises and shares of
restricted stock that vested during the year ended June&nbsp;30, 2008 with respect to the named
executive officers:
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="52%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="7" style="border-bottom: 1px solid #000000"><B>Option Awards</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="7" style="border-bottom: 1px solid #000000"><B>Stock Awards</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Number of Shares</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Value Realized</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Number of Shares</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Value Realized</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Acquired on Exercise</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>on Exercise</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Acquired on Vesting</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>on Vesting</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="left" style="border-bottom: 1px solid #000000"><B>Name</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>(#)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>($)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>(#)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>($)(1)</B></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">David W. Brown</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Bradford K. Amman</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">28,614</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8,013</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>



<DIV align="left">
<DIV style="font-size: 3pt; margin-top: 16pt; width: 18%; border-top: 1px solid #000000">&nbsp;</DIV>
</DIV>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR>
    <TD width="3%"></TD>
    <TD width="1%"></TD>
    <TD width="96"></TD>
</TR>

<TR valign="top">
    <TD nowrap align="left">1.</TD>
    <TD>&nbsp;</TD>
    <TD>The value realized on vesting of shares of restricted stock equals the market value of
the Company&#146;s common stock on the vesting date, multiplied by the number of shares that
vested.</TD>
</TR>

</TABLE>



<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Pension Benefits</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;None of the named executive officers participate in or have account balances in qualified or
non-qualified deferred benefit plans sponsored by the Company.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->24<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Nonqualified Deferred Compensation</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;None of the named executive officers participate in or have account balances in non-qualified
defined contribution plans or other deferred compensation plans maintained by the Company. In the
future, the compensation committee may elect to provide the named executive officers and other
employees with non-qualified defined contribution or deferred compensation benefits if the
compensation committee determines that doing so is in the Company&#146;s best interests.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->25<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Related-Party Transactions Policies and Procedures</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Related-party transactions have the potential to create actual or perceived conflicts of
interest between the Company and its directors and executive officers or their immediate family
members. Under its charter, our audit committee is charged with the responsibility of reviewing and
approving all related-party transactions. To assist in identifying such transactions for our
fiscal year ended June&nbsp;30, 2008, the Company distributed questionnaires to directors, officers and
beneficial owners of more than 5% of any class of the Company&#146;s common stock.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Current SEC rules define a related-party transaction to include any transaction, arrangement
or relationship in which the Company is a participant and in which any of the following persons has
or will have a direct or indirect interest:
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="8%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>any executive officer, director or director nominee of the Company;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="8%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>any person who is an immediate family member (as defined under Item&nbsp;404 of
Regulation&nbsp;S-K) of an executive officer, director or director nominee or beneficial
owner of more than 5% of the Company&#146;s common stock;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="8%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>any person who is known to be the beneficial owner of more than 5% of the
Company&#146;s common stock; or</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="8%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>any firm, corporation or other entity in which any of the foregoing persons is
employed or is a partner or principal or in a similar position or in which such
person, together with any of the foregoing persons, has a 5% or greater beneficial
ownership interest.</TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Although the Company does not have a formal policy with regard to related-party transactions,
our audit committee may consider the following factors when deciding whether to approve a
related-party transaction: the nature of the related party&#146;s interest in the transaction; the
material terms of the transaction, including, without limitation, the amount and type of the
transaction; the importance of the transaction to the related party; whether the transaction would
impair the judgment of a director or executive officer to act in the best interests of the Company;
and any other matters deemed appropriate by our audit committee.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Certain Related-Party Transactions</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Employment Agreement with David W. Brown</I></B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;On January&nbsp;10, 2008, the Company entered into an Employment Agreement with David W. Brown
pursuant to which Mr.&nbsp;Brown was hired as President and Chief Executive Officer of the Company.
Unless sooner terminated pursuant to the terms of the Employment Agreement, the term of Mr.&nbsp;Brown&#146;s
employment as President and Chief Executive Officer of the Company will be from January&nbsp;10, 2008 to
December&nbsp;31, 2010. Mr.&nbsp;Brown will be entitled to an annual base salary of $240,000 and will be
eligible to receive an annual bonus of up to 75% of his base salary based upon meeting certain
operating and financial benchmarks to be established by the Company&#146;s Board of Directors and
compensation committee. Mr.&nbsp;Brown will also be eligible to participate in the Company&#146;s standard
benefit plans. Until no later than June&nbsp;1, 2008, the Company will provide Mr.&nbsp;Brown with temporary
living benefits pending his relocation to the Denver area.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In addition, Mr.&nbsp;Brown was granted options to purchase up to an aggregate of 1,800,000 shares
of the Company&#146;s common stock. The stock options shall vest and become exercisable in the amounts
and based upon the exercise prices as follows: 150,000 shares were fully vested upon grant and have
an exercise price of $0.23 per share; 450,000 shares vest in monthly installments of 37,500 shares
from January&nbsp;31, 2008 through December&nbsp;31, 2008 and have an exercise price of $0.23 per share;
450,000 shares vest in monthly installments of 37,500 shares from January&nbsp;31, 2009 through December
31, 2009 and have an exercise price of $0.50 per share; 450,000 shares vest in monthly installments
of 37,500 shares from January&nbsp;31, 2010 through December&nbsp;31, 2010 and have an exercise price of
$0.75 per share; and 300,000 shares that vested based upon warrants to purchase the Company&#146;s
common stock being exercised on or before April&nbsp;18, 2008 and have an exercise price of $0.30 per
share (of which 62,751 shares vested on April&nbsp;18, 2008 and of which 237,249 shares terminated on
April&nbsp;18, 2008).
</DIV>

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</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;During the term of his employment and for a period of six months thereafter, Mr.&nbsp;Brown has
agreed not to, directly or indirectly, as an officer, director, employee, consultant, owner,
shareholder, adviser, joint venturer, or otherwise, compete with Company within the United States
and all other countries in which the Company has, as of the effective date of the termination of
Mr.&nbsp;Brown&#146;s employment, a registered patent and/or any active business activity in: (i)&nbsp;the
antioxidant segment of the nutraceutical industry; or (ii)&nbsp;any other line of business in which
Company was engaged at any time during Mr.&nbsp;Brown&#146;s employment with Company; or (iii)&nbsp;any other line
of business into which Company, during Mr.&nbsp;Brown&#146;s employment with Company, formed an intention to
enter into. This covenant will not prohibit Mr.&nbsp;Brown from owning less than two percent of the
securities of any competitor of the Company, if such securities are publicly traded on a nationally
recognized stock exchange or over-the-counter market. In addition, during this time, Mr.&nbsp;Brown has
agreed not to solicit employees of the Company or interfere with the Company&#146;s business
relationships.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;If Mr.&nbsp;Brown is terminated without Substantial Cause or resigns for Good Reason (each as
defined in the Employment Agreement), then the Company will pay to Mr.&nbsp;Brown severance in the
amount of (i)&nbsp;all compensation accrued and unpaid as of the date of termination or resignation,
(ii) (a)&nbsp;if the termination or resignation occurs prior to the first anniversary of the date of the
Employment Agreement, a cash payment equal to one year of his annual base salary as of the date of
termination or resignation paid over a period of twenty-four months or (b)&nbsp;if the termination or
resignation occurs on or after the first anniversary of the date of the Employment Agreement, a
cash payment equal to one year of his annual base salary as of the date of termination or
resignation paid over a period of twenty-four months and the actual annual bonus paid to Mr.&nbsp;Brown
for the year before the year of termination or resignation, and (iii)&nbsp;the acceleration of the
vesting of all unvested stock-based long term incentive compensation granted to Mr.&nbsp;Brown pursuant
to the Employment Agreement.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;If the Company notifies Mr.&nbsp;Brown that it will not renew the Employment Agreement following
December&nbsp;31, 2010 or any subsequent renewal term, and Mr.&nbsp;Brown resigns from the Company on or
before the date that the Employment Agreement expires, then the Company will pay to Mr.&nbsp;Brown
severance in the amount of (i)&nbsp;all compensation accrued and unpaid as of the date of resignation
and (ii)&nbsp;a cash payment equal to six months of Mr.&nbsp;Browns annual base salary as of the date of
resignation paid over a period of twelve months from the date of resignation.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;If Mr.&nbsp;Brown is terminated with Substantial Cause or resigns without Good Reason, then he
shall be entitled to all compensation accrued and unpaid as of the date of termination or
resignation, but he shall not be entitled to any additional severance payments or acceleration of
vesting upon such termination or resignation.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Bolder Venture Partners</I></B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;On September&nbsp;28, 2007, the Company entered into a consulting arrangement with Bolder Venture
Partners (&#147;BVP&#148;) under a signed letter of intent, pursuant to which Gene Copeland served as the
Company&#146;s interim Chief Operating Officer. The Company paid a monthly, non-refundable retainer of
$15,000 per month to BVP, which was reduced to $7,500 per month after the hiring of a CEO. The
Company also paid to BVP a monthly incentive fee equal to 10% of the amount of monthly revenue
increase above its current monthly revenue. The Company was also required to reimburse BVP for
costs and expenses incurred by BVP pursuant to the arrangement, including lodging expenses for Mr.
Copeland, who is not a resident of the Denver metro area.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Company granted to BVP a warrant to purchase up to 1,200,000 shares of our common stock at
$.30 per share for five years. BVP was granted the same registration rights as those granted to
participants in our September&nbsp;2007 private placement offering. The warrant vests on the occurrence
of performance milestones by BVP. The consulting arrangement with BVP terminated on September&nbsp;28,
2008. The incentive fee, however, continues through October&nbsp;31, 2008.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->27<!-- /Folio -->
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>CODE OF ETHICS</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We have adopted the Lifevantage Corporation Code of Ethics which applies to our Chief
Executive Officer, Chief Financial Officer, principal accounting officer, and controller. The Code
of Ethics is available on our website at <U>www.lifevantage.com</U>. The Code of Ethics addresses
matters including: (1)&nbsp;honest and ethical conduct, including the ethical handling of actual or
apparent conflicts of interest between personal and professional relationships; (2)&nbsp;full, fair,
accurate, timely, and understandable disclosure in reports and documents that we file with, or
submits to, the SEC and in other public communications we make; and (3)&nbsp;compliance with laws, rules
and regulations applicable to us. The Board of Directors may grant waivers of provisions of the
Code of Ethics. Any amendments to, or waivers from, a provision of our Code of Ethics that shall be
disclosed by posting such information on our website at <U>www.lifevantage.com</U>. We have also
adopted the Lifevantage Corporation Code of Business Conduct and Ethics that applies to all
officers, directors and employees. Among other matters, the Code of Business Conduct addresses:
compliance with laws, rules, and regulations; conflicts of interest; corporate opportunities;
competition and fair dealing; discrimination; health and safety; confidentiality; protection of our
assets; and payments to governmental personnel.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->28<!-- /Folio -->
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>SECTION 16(A) BENEFICIAL OWNERSHIP REPORTING COMPLIANCE</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Section&nbsp;16(a) of the Securities Exchange Act of 1934, as amended, requires our directors,
executive officers, and persons who own more than ten percent of our common stock to report their
ownership of the common stock and any changes in that ownership to the Securities and Exchange
Commission. The Securities and Exchange Commission has established specific due dates for these
reports, and we are required to report in this proxy statement any failure to file by these dates.
To our knowledge, based solely on a review of the copies of such reports furnished to us and
written representations that no other reports were required, during the fiscal year ended June&nbsp;30,
2008, we believe that all such reports were filed on a timely basis except that an initial report
of ownership on Form&nbsp;3 for Mr.&nbsp;Mauro was filed late.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->29<!-- /Folio -->
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">
<DIV align="left">
<A name="105"></A>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>PROPOSAL 2 &#150; RATIFICATION OF SELECTION OF INDEPENDENT AUDITORS</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Gordon, Hughes &#038; Banks, LLP audited the Company&#146;s consolidated financial statements from
December&nbsp;22, 2004 until January&nbsp;30, 2008. On January&nbsp;30, 2008, after careful consideration, the
audit committee dismissed Gordon, Hughes &#038; Banks, LLP as the Company&#146;s independent registered
public accounting firm. On the same date, the audit committee unanimously approved the engagement
of Ehrhardt Keefe Steiner &#038; Hottman PC as the independent registered public accounting firm of the
Company for the remainder of the fiscal year ended June&nbsp;30, 2008.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The audit committee of our Board of Directors has selected Ehrhardt Keefe Steiner &#038; Hottman PC
as the Company&#146;s independent auditors for the fiscal year ending June&nbsp;30, 2009 and has further
directed that management submit the selection of independent auditors for ratification by the
shareholders at the Annual Meeting. Representatives of Ehrhardt Keefe Steiner &#038; Hottman PC are
expected to be present at the annual meeting. They will have an opportunity to make a statement if
they so desire and will be available to respond to appropriate questions.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Neither the Company&#146;s Bylaws nor other governing documents or law require shareholder
ratification of the selection of Ehrhardt Keefe Steiner &#038; Hottman PC as our independent auditors.
However, the audit committee is submitting the selection of Ehrhardt Keefe Steiner &#038; Hottman PC to
the shareholders for ratification as a matter of good corporate governance. If the shareholders
fail to ratify the selection, the audit committee will review its future selection of independent
auditors. Even if the selection is ratified, the audit committee in its discretion may direct the
appointment of different independent auditors at any time during the year if they determine that
such a change would be in the best interests of the Company and our shareholders.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The affirmative vote of the holders of a majority of the outstanding shares of common stock
will be required to ratify the selection of Ehrhardt Keefe Steiner &#038; Hottman PC. Abstentions will
be counted toward the tabulation of votes cast on proposals presented to the shareholders and will
have the same effect as negative votes. Broker non-votes are counted towards a quorum, but are not
counted for any purpose in determining whether this matter has been approved.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Principal Accountant Fees and Services</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The following table presents (1)&nbsp;fees for professional audit services rendered by Gordon,
Hughes &#038; Banks, LLP, the Company&#146;s principal accountant through January&nbsp;30, 2008, for the audit of
our annual financial statements for the fiscal year ended June&nbsp;30, 2007, and fees billed for other
services rendered by Gordon, Hughes &#038; Banks, LLP during that period, and (2)&nbsp;fees for professional
audit services rendered by Ehrhardt Keefe Steiner &#038; Hottman PC, the Company&#146;s principal accountant
beginning January&nbsp;30, 2008, for the audit of our annual financial statements for the fiscal year
ended June&nbsp;30, 2008, and fees billed for other services rendered by Ehrhardt Keefe Steiner &#038;
Hottman PC during that period:
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="76%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="7" style="border-bottom: 1px solid #000000"><B>Fiscal Year Ended</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>2008</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>2007</B></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Audit Fees</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">45,500</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">35,000</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Audit-related Fees (1)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">26,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">47,302</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Tax Fees (2)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8,164</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6,000</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">All Other Fees</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="7" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Total Fees</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">79,664</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">88,302</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>



<DIV align="left">
<DIV style="font-size: 3pt; margin-top: 16pt; width: 18%; border-top: 1px solid #000000">&nbsp;</DIV>
</DIV>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR>
    <TD width="3%"></TD>
    <TD width="1%"></TD>
    <TD width="96"></TD>
</TR>

<TR valign="top">
    <TD nowrap align="left">1</TD>
    <TD>&nbsp;</TD>
    <TD>Audit-related fees of $26,000 and $47,302 in fiscal years ended June&nbsp;30, 2008 and 2007 related to
assurance and other services related to performance of the audit and review of interim
reports.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">2</TD>
    <TD>&nbsp;</TD>
    <TD>Tax fees of $8,164 and $6,000 in fiscal years ended June&nbsp;30, 2008 and 2007 are for tax
compliance, advice and planning.</TD>
</TR>

</TABLE>



<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Pre-Approval Policies and Procedures</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The audit committee has adopted policies and procedures for the pre-approval of audit and
non-audit services rendered by our independent auditor, Ehrhardt Keefe Steiner &#038; Hottman PC. The
policies require pre-approval of all auditing and such non-auditing services as our independent
auditor is permitted to provide, subject to de minimus exceptions for services other than audit,
review, or
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->30<!-- /Folio -->
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">attest services that are approved by the audit committee prior to completion of the audit. All
of the items identified under &#147;Audit-Related Fees&#148;, &#147;Tax Fees&#148; and &#147;All Other Fees&#148; above were
approved by the audit committee. Alternatively, the engagement of our independent auditor may be
entered into pursuant to pre-approved policies and procedures that our audit committee may
establish, so long as these policies and procedures are detailed as to particular services and the
audit committee is informed of each service. In making these determinations, the audit committee
will consider whether the services provided are compatible with maintaining our auditor&#146;s
independence. We are prohibited by applicable law from obtaining certain non-audit services from
our independent auditor and, in that event, we would obtain these non-audit services from other
providers.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The audit committee has determined that the rendering of the services other than audit
services by Ehrhardt Keefe Steiner &#038; Hottman PC is compatible with maintaining the principal
accountant&#146;s independence.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;On January&nbsp;30, 2008, the Company dismissed Gordon, Hughes &#038; Banks, LLP as the Company&#146;s
independent registered public accounting firm. The Company appointed Ehrhardt, Keefe, Steiner &#038;
Hottman PC on January&nbsp;30, 2008 as its independent registered public accounting firm beginning for
the three months ended December&nbsp;31, 2007. The decision to change accountants was recommended and
approved by the Company&#146;s Board of Directors and its Audit Committee on January&nbsp;30, 2008.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Neither Gordon, Hughes &#038; Banks, LLP&#146;s audit report dated October&nbsp;10, 2007 on the Company&#146;s
consolidated financial statements as of and for the year ended June&nbsp;30, 2007, included in its Form
10-KSB filed October&nbsp;12, 2007, nor Gordon, Hughes &#038; Banks, LLP&#146;s audit report dated August&nbsp;15, 2006
and updated on November&nbsp;28, 2006 on the Company&#146;s consolidated financial statements as of and for
the year ended June&nbsp;30, 2006, included in its Form 10-KSB and amended Form 10-KSB/A filed September
28, 2006 and November&nbsp;30, 2006 respectively, contained an adverse opinion or a disclaimer of
opinion or was qualified or modified as to uncertainty, audit scope, or accounting principles.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In connection with the audits of the Company&#146;s financial statements for the fiscal years ended
June&nbsp;30, 2007 and 2006 and in the subsequent interim period through January&nbsp;30, 2008, the date of
the dismissal of the former accountant, there were no disagreements with Gordon, Hughes &#038; Banks,
LLP on any matter of accounting principles or practices, financial statement disclosure, or
auditing scope or procedure which, if not resolved to the satisfaction of Gordon, Hughes &#038; Banks,
LLP, would have caused Gordon, Hughes &#038; Banks, LLP to make reference to the subject matter of the
disagreement in connection with its report. During the years ended June&nbsp;30, 2007 and 2006, and the
subsequent interim period through January&nbsp;30, 2008, Gordon, Hughes &#038; Banks, LLP did not advise the
Company of any reportable events as described in Item&nbsp;304(a)(1)(iv)(B) of Regulation&nbsp;S-K. Gordon,
Hughes &#038; Banks, LLP&#146;s letter to the SEC stating its agreement with the statements in this paragraph
is filed as an exhibit to the Company&#146;s Current Report on Form 8-K dated February&nbsp;8, 2008.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Company engaged Ehrhardt, Keefe, Steiner &#038; Hottman PC as its independent registered public
accounting firm for the fiscal year ending June&nbsp;30, 2008. The Company has not consulted with
Ehrhardt, Keefe, Steiner &#038; Hottman PC during its two most recent fiscal years or during any
subsequent interim period prior to the appointment of Ehrhardt, Keefe, Steiner &#038; Hottman PC as the
Company&#146;s independent registered public accounting firm regarding any matters described in Item
304(a)(2)(i) or Item&nbsp;304(a)(2)(ii) of Regulation&nbsp;S-K.
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>Board Recommendation</B>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 6pt"><B>Our Board of Directors recommends the shareholders vote FOR ratification of Ehrhardt, Keefe,
Steiner &#038; Hottman PC as our independent auditors for the fiscal year ending June&nbsp;30, 2009.</B>
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->31<!-- /Folio -->
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left">
<A name="106"></A>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><FONT style="font-variant: SMALL-CAPS"><B>HOUSEHOLDING OF PROXY MATERIALS</B></FONT>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The SEC has adopted rules that permit companies and intermediaries (e.g., brokers) to satisfy
the delivery requirements for proxy statements and annual reports with respect to two or more
shareholders sharing the same address by delivering a single proxy statement addressed to those
shareholders. This process, which is commonly referred to as &#147;householding,&#148; potentially means
extra convenience for shareholders and cost savings for companies.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;This year, a number of brokers with account holders who are Lifevantage Corporation
shareholders will be &#147;householding&#148; our proxy materials. A single proxy statement will be delivered
to multiple shareholders sharing an address unless contrary instructions have been received from
the affected shareholders. Once you have received notice from your broker that they will be
&#147;householding&#148; communications to your address, &#147;householding&#148; will continue until you are notified
otherwise or until you revoke your consent. If, at any time, you no longer wish to participate in
&#147;householding&#148; and would prefer to receive a separate proxy statement and annual report, please
notify your broker, direct your written request to Lifevantage Corporation., Bradford K. Amman,
Secretary, 11545 W. Bernardo Court, Suite&nbsp;301, San Diego, California 92127<B>. </B>Shareholders who
currently receive multiple copies of the proxy statement at their address and would like to request
&#147;householding&#148; of their communications should contact their broker.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->32<!-- /Folio -->
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">
<DIV align="left">
<A name="107"></A>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><FONT style="font-variant: SMALL-CAPS"><B>OTHER MATTERS</B></FONT>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Our Board of Directors knows of no other matters that will be presented for consideration at
the Annual Meeting. If any other matters are properly brought before the meeting, it is the
intention of the persons named in the accompanying proxy to vote on such matters in accordance with
their best judgment.
</DIV>
<DIV align="left">
<A name="108"></A>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><FONT style="font-variant: SMALL-CAPS"><B>INCORPORATION BY REFERENCE </B></FONT>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;This proxy statement includes references to our website address. Our website address is
intended to provide inactive, textual references only. The information on our website is not part
of this proxy statement.
</DIV>

<TABLE width="100%" border="0" cellspacing="0" cellpadding="0" style="font-size: 10pt">
<TR>
    <TD width="48%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="35%">&nbsp;</TD>
    <TD width="15%">&nbsp;</TD>
</TR>
<TR>
    <TD valign="top" align="left">&nbsp;</TD>
    <TD colspan="3" align="left">By Order of the Board of Directors<BR>
&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD colspan="3" style="border-bottom: 1px solid #000000" align="left">/s/ Bradford K. Amman
&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD colspan="3" align="left">Bradford K. Amman&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD colspan="3" align="left">Secretary&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR>
    <TD colspan="5">&nbsp;</TD>
</TR>
</TABLE>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt">October&nbsp;28, 2008
</DIV>



<P align="center" style="font-size: 10pt"><!-- Folio -->33<!-- /Folio -->
</DIV>



<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>
<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="10%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="35%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="14%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="15%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="7" valign="top" align="center">(BAR CODE)<BR></TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><B>Lifevantage Corporation</B></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">(BAR CODE)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">MR</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">A</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="right">SAMPLE</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">DESIGNATION</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;&nbsp;&nbsp;(IF</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="right">ANY)</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">ADD</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>

    <TD align="right">1</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">ADD</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>

    <TD align="right">2</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">ADD</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>

    <TD align="right">3</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">ADD</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>

    <TD align="right">4</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">ADD</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>

    <TD align="right">5</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">ADD</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>

    <TD align="right">6</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">(SCALE)</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="40%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="45%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">000000000.000 ext</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">000000000.000 ext</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">000004</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">000000000.000 ext</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">000000000.000 ext</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">000000000.000 ext</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>Least Address Line</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">000000000.000 ext</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">000000000.000 ext</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">C 1234567890 J N T</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">(BAR CODE)</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="43%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><FONT face="Wingdings">&#111;</FONT></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Mark this box with an X if you have made changes to your name or address details above.</TD>
</TR>

</TABLE>
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="50%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>Annual Meeting Proxy Card</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="center"><B>(123456</B></TD>
    <TD nowrap><B>)</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center"><B>C0123456789</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center"><B>12345</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>

    <TD align="right"  style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>

    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>

    <TD align="right"  colspan="3" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 18pt">A <B>Election of Directors</B>

</DIV>

<DIV style="margin-top: 0pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left">1.</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>To elect six (6)&nbsp;directors to hold office for a one-year term expiring
at the 2009 Annual Meeting of Shareholders and until their respective successors
are elected and qualified.</TD>
</TR>

</TABLE>
</DIV>
<P align="center" style="font-size: 10pt"><!-- Folio --><!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV style="margin-top: 6pt"><TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">



</TABLE>
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="60%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="10%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="10%">&nbsp;</TD>
</TR>
<TR style="font-size: 10pt" valign="bottom">
    <TD nowrap align="left"><B>Nominees:</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>For</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Withhold</B></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">01 &#151; Dr.&nbsp;James D. Crapo
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top"><FONT face="Wingdings">&#111;</FONT>
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top"><FONT face="Wingdings">&#111;</FONT></TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">02 &#151; Mr.&nbsp;Jack R. Thompson
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top"><FONT face="Wingdings">&#111;</FONT>
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top"><FONT face="Wingdings">&#111;</FONT></TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">03 &#151; Dr.&nbsp;Joe M. McCord
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top"><FONT face="Wingdings">&#111;</FONT>
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top"><FONT face="Wingdings">&#111;</FONT></TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">04 &#151; Mr.&nbsp;David W. Brown
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top"><FONT face="Wingdings">&#111;</FONT>
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top"><FONT face="Wingdings">&#111;</FONT></TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">05 &#151; Mr.&nbsp;Richard Doutre&#146; Jones
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top"><FONT face="Wingdings">&#111;</FONT>
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top"><FONT face="Wingdings">&#111;</FONT></TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">06 &#151; Mr.&nbsp;Garry Mauro
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top"><FONT face="Wingdings">&#111;</FONT>
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top"><FONT face="Wingdings">&#111;</FONT></TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="35%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="30%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top"><B>For</B>
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top"><B>Against</B>
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top"><B>Abstain</B>
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>

    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>

    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>

    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>


<TR valign="bottom">

<TD valign="top"><DIV style="margin-left:21px; text-indent:-21px"><div align="justify">2.&nbsp;&nbsp;&nbsp;To ratify the appointment of
Ehrhardt Keefe Steiner &#038;
Hottman PC as independent
auditors of the Company for its
fiscal year ending June&nbsp;30,
2009
</DIV></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top"><FONT face="Wingdings">&#111;</FONT>
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top"><FONT face="Wingdings">&#111;</FONT>
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top"><FONT face="Wingdings">&#111;</FONT></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">E <B>Authorized Signatures &#151; Sign Here &#151; This section must be completed for your instructions to be
executed.</B></DIV>

<DIV align="justify" style="font-size: 10pt; margin-top: 0pt">NOTE: Please sign exactly as name appears on this proxy. If joint owners EACH should sign this
proxy. When signing as attorney, executor, administrator, trustee, guardian or corporate officer,
please give your FULL title as such.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 12pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</DIV>


<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom" style="font-size: 1px">

    <TD width="36%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="36%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="20%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">

<TD valign="top" align="center" nowrap><DIV style="margin-left:0px; text-indent:-0px">Signature 1 - Please keep signature within the box</DIV></TD>
    <TD>&nbsp;</TD>
    <TD  align="center" valign="top" nowrap>Signature 2 - Please keep signature within the box
</TD>
    <TD>&nbsp;</TD>
    <TD  align="center" valign="top" nowrap>Date (mm/dd/yyyy)</TD>
</TR>
<TR style="font-size: 6pt">
<TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="font-size: 15pt">
    <TD valign="top"><DIV style="border: 1px solid #000000">&nbsp;</DIV></TD>

    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><DIV style="border: 1px solid #000000">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top"><DIV style="border: 1px solid #000000">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#047;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#047;</DIV>

</TD>

</TR>

<!-- End Table Body -->
</TABLE>
</DIV>



<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><FONT style="font-family: wingdings; font-size: 40">&#167;</FONT>&nbsp;</div>


<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><DIV style="width: 100%; border-bottom: 3px double #000000; font-size: 1px">&nbsp;</DIV>

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 1pt"><B>Proxy &#151; LIFEVANTAGE CORPORATION</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 1pt"><DIV style="width: 100%; border-bottom: 3px double #000000; font-size: 1px">&nbsp;</DIV>

</DIV>
<DIV align="justify" style="font-size: 10pt; margin-top: 2pt"><B>PROXY FOR ANNUAL MEETING OF SHAREHOLDERS TO BE HELD ON JANUARY 7, 2009 THIS PROXY IS SOLICITED ON
BEHALF OF THE BOARD OF DIRECTORS<br></B>
The undersigned shareholder of LifeVantage Corporation (the &#147;Company&#148;) hereby appoints Bradford K.
Amman and David W. Brown and each of them, the proxies of the undersigned, with power to act
without the other and with full power of substitution, to attend and represent the undersigned at
the Annual Meeting of Shareholders of the Company to be held on Wednesday, January&nbsp;7, 2009 and at
any adjournment or postponement thereof, and to vote all of such shares that the undersigned is
entitled to vote at such Annual Meeting or at any adjournment or postponement thereof, as stated on
the reverse side.<br>
<B>THIS PROXY WILL BE VOTED BY THE PROXIES AS DIRECTED, OR IF NO DIRECTION IS INDICATED, WILL BE VOTED
&#147;FOR&#148; EACH OF THE DIRECTOR NOMINEES IN ACCORDANCE WITH THEIR BEST JUDGMENT UPON SUCH OTHER BUSINESS
AS MAY PROPERLY COME BEFORE THE ANNUAL MEETING OR ANY ADJOURNMENT OR POSTPONEMENT THEREOF.</B>
</DIV>


<DIV align="Center" style="font-size: 10pt; margin-top: 6pt"><B>Your are urged to mark, sign, date and return your proxy without delay in the return envelope provided for<BR>
that purpose, which requires no postage if mailed in the United States.</B>

</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>THANK YOU FOR VOTING</B>
</DIV>



<P align="center" style="font-size: 10pt"><!-- Folio -->2<!-- /Folio -->
</DIV>



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