Marcy l'Etoile, France - December 19, 2006. bioMérieux, a global leader in the field of in vitro diagnostics, today announced it will phase out production of microplate immunoassay business at its Durham, N.C. facility next year. Sold predominantly in the United States, the microplate business line produced in Durham comprises tests used to diagnose HIV and HTLV (Human T-Cell Lymphotropic Virus), primarily in reference laboratories and blood banks.
This move is aligned with the company’s continued commitment to focus on product lines that are strategic for the company’s future growth in each market. It follows an executive review of both the line’s growth and profit outlook in the United States and of the support and capital commitment it requires.
bioMérieux is dedicated to satisfying its customers. Looking forward, the company would not be able to meet its standards of supply, service and quality for the microplate line in the U.S. bioMérieux will work closely with customers and health authorities to ensure a smooth transition. In addition, every effort will be made to retain employees and support them through this period.
HIV diagnostics remains of paramount importance to bioMérieux and the company continues to enhance its offer and develop new generation tests. bioMérieux is also committed to the microplate business outside the U.S., in particular for emerging markets.
The U.S. microplate business line is expected to report around €15 million in revenue in 2006, unchanged from the year before. This decision will result in the recognition of a charge of approximately €7 million in the 2006 accounts, corresponding mainly to restructuring provisions. It is not expected to have a material impact on the 2007 accounts, since bioMérieux will ensure a transition period for customers. Following this period, the remaining fixed costs previously covered by the business’ revenue should have only a limited impact on company earnings.
Contacts
Investor Relations 1.
bioMérieux
Hervé Laurent
Tel: +33 4 78 87 22 37
investor.relations@eu.biomerieux.com
LT Value
Nancy Levain
Tel: +33 1 55 27 15 88
nancy.levain@ltvalue.com
Media Relations
bioMérieux
Christelle Chabert
Tel: +33 4 78 87 52 01
christelle.chabert-toujas@eu.biomerieux.com
Image Sept
Laurence Heilbronn
Tel: +33 1 53 70 74 59
lheilbronn@image7.fr
Tiphaine Hecketsweiler
Tel: +33 1 53 70 74 59
thecketsweiler@image7.fr
US Press Contact
Paige Sargent, French/West/Vaughan
Tel: 919-277-1162
psargent@fwv-us.com