Mechanics of non-rotating black holes was recently generalized by replacing
the static evens horizons used in standard treatments with 'isolated horiz
ons'. This framework is extended to incorporate dilaton couplings. Since th
ere can be gravitational and matter radiation outside isolated horizons, no
w the fundamental parameters of the horizon, used in mechanics, must be def
ined using only the local structure of the horizon, without reference to in
finity. This task is accomplished and the zeroth and first laws are establi
shed. To complement the previous work, the entire discussion is formulated
tensorially, without any reference to spinors.