Sonic Foundry, Inc.
                           Consolidated Statements of Operations
                  (in thousands, except for share and per share data)
                                      (Unaudited)

                                       Three Months          Nine Months
                                      Ended June 30,        Ended June 30,
                                      2009      2008        2009       2008
                                      ---------------       ---------------
    Revenue:
    Product                          $2,637     $3,022     $7,630     $6,146
    Services                          2,367      2,028      6,732      5,305
    Other                                23         37         87         85
                                        ---        ---        ---        ---
    Total revenue                     5,027      5,087     14,449     11,536
    Cost of revenue:
    Product                             956      1,244      2,917      2,850
    Services                            139         60        399        230
                                        ---        ---        ---        ---
    Total cost of revenue             1,095      1,304      3,316      3,080
                                      -----      -----      -----      -----
    Gross margin                      3,932      3,783     11,133      8,456

    Operating expenses:
    Selling and marketing             2,586      3,295      7,856     10,171
    General and administrative          652        530      2,168      2,244
    Product development                 845        778      2,635      2,706
                                        ---        ---      -----      -----
      Total operating expenses        4,083      4,603     12,659     15,121
                                      -----      -----     ------     ------
    Loss from operations               (151)      (820)    (1,526)    (6,665)

    Other income (expense), net         (11)        (9)       (28)        18
                                        ---        ---        ---        ---
    Net loss                          $(162)     $(829)   $(1,554)   $(6,647)
                                      =====      =====    =======    =======
    Net loss per common share:
     - basic and diluted             $(0.00)    $(0.02)    $(0.04)    $(0.19)
                                      ======          ======          ======          ======

        Weighted  average  common
          shares  -  basic  and  diluted    35,910,575  35,582,989  35,824,818  35,572,276
                                                                  ==========  ==========  ==========  ==========
        See  accompanying  notes