Question-and-Answer Session
Operator
(Operator Instructions) Your first question comes from line of Jon Wood of Banc of America Securities.
Jon Wood - Banc of America Securities
Hey, Norman.
Norman Schwartz
Hi, Jon.
Jon Wood - Banc of America Securities
How are you?
Norman Schwartz
Good.
Jon Wood - Banc of America Securities
Just a couple of knit-picky questions before general commentary. Was there an inventory step-up charge in the quarter?
Norman Schwartz
Inventories did build in the current quarter, yes. It was not a step-up related to purchasing accounting.
Jon Wood - Banc of America Securities
Okay. So there was $1 million in the first quarter, but that did not recur in the second quarter?
Norman Schwartz
That $1 million charge related to purchase accounting will continue for several quarters and that was in there. First I thought you might have been speaking of the balance sheet.
Jon Wood - Banc of America Securities
No, no. So there was a $1 million inventory step-up charge in the cost of goods sold, correct?
Norman Schwartz
Correct.
Jon Wood - Banc of America Securities
Then on the other expense line, can you give us what interest income was? I mean it looks like there was a large gain. Was that a foreign exchange transaction gain in the quarter?
Norman Schwartz
No. We have a couple of investments that declared dividends in the second quarter and then earn-out that we got. It is similar to the second quarter of the prior year and these are annual events, not quarterly events. So this happened for the one-time this year.
Jon Wood - Banc of America Securities
Okay. Can you give us the net impact there, approximately?
Norman Schwartz
Approximately $4 million.
Jon Wood - Banc of America Securities
Okay. Then, what was the core Bio-Rad gross margin? You gave that out last quarter at 56.3. I might have missed it.
Norman Schwartz
This is the gross margin for the first quarter.
Jon Wood - Banc of America Securities
Yes, just last quarter you provided the core Bio-Rad gross margin, which excluded DiaMed. Do you have that in front of you?
Norman Schwartz
Let's see, it looks like a little over 56%.
Jon Wood - Banc of America Securities
Okay. Then, Norman, can you give us just an update on Bio-Plex, I mean the placement activity in the quarter, your progress on menu I do not know if John is there, but how are you tracking on the new test approvals for 2008?
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