On January 26, 2009, IGI Laboratories, Inc. (the "Company") entered into an amendment of its line of credit agreement with Pinnacle Mountain Partners LLC ("Pinnacle"). The amendment (a) revised the interest rate calculation from the Prime Rate as published by the Wall Street Journal plus 1.5% per annum to 8.5% per annum, and (b) extended the maturity date until July 31, 2009. Jane E. Hager, a director of the Company, is also the President of Pinnacle.

The foregoing description of the amendments to the Company's line of credit with Pinnacle is qualified in its entirety by reference to the full text of the Second Amendment to Loan and Security Agreement, dated January 26, 2009, between IGI Laboratories, Inc. and Pinnacle Mountain Partners LLC and Second Amended and Restated Revolving Note, dated January 26, 2009, of IGI Laboratories, Inc., made in favor of Pinnacle Mountain Partners LLC, which are attached as Exhibits 10.1 and 10.2, respectively, to this report and are incorporated in this report by reference.

(d) Exhibits

Exhibit Number     Description of Exhibit

Exhibit 10.1       Second Amendment to Loan and Security Agreement, dated
                   January 26, 2009, between IGI Laboratories, Inc. and Pinnacle
                   Mountain Partners LLC

Exhibit 10.2       Second Amended and Restated Revolving Note, dated January 26,
                   2009, of IGI Laboratories, Inc., made in favor of Pinnacle
                   Mountain Partners LLC