bioMerieux, Inc. to Lay Off 100 Workers as It Exits Portland Site

Published: Dec 07, 2010

bioMérieux (Paris:BIM) announced today that, as part of a restructuring of its culture media business in the U.S. and Canada, it will phase out the manufacturing of its prepared media for clinical applications and will transfer the production of all other products manufactured at its Portland, Oregon site to other locations. The site became part of bioMérieux two years ago when it acquired PML Microbiologicals Inc., a provider of culture media and microbiological solutions in North America. These products, for both clinical and industrial applications, included routine prepared media as well as innovative and proprietary technologies such as the LyfoCults® range.

bioMérieux is committed to supplying the most extensive line of culture media and reagents for the North American food and biopharmaceutical markets. The manufacturing of high performance, innovative solutions for the control of manufacturing environments and products will be transferred to bioMérieux's site in Lombard, IL, specialized in industrial applications.

For clinical applications, the production of routine prepared media products at the Portland site, which represent $9 million in annual revenues, will be discontinued. In North America, bioMérieux will focus on its chromIDTM chromogenic culture media range that includes MRSA*, VRE**, and other high medical value tests.

As part of its global manufacturing plan, the production of the LyfoCults lines for both clinical and industrial markets will be transferred to another bioMérieux site dedicated to microbiology. bioMérieux will work closely with its customers to ensure a smooth transition and steady supply of products during the restructuring.

Production at the Portland site should end during the second half of 2011. Approximately 100 employees will be affected by this decision and will be assisted by bioMérieux in their career transition.

In an initial estimation, this decision will result in the recognition of a non-recurring charge of approximately $5 million in the 2010 financial statements, while the closing is estimated to bring about $3 million in annual savings.

* MRSA: Methicillin-resistant Staphylococcus aureus

** VRE: Vancomycin-Resistant Enterococcus

About bioMérieux

Advancing Diagnostics to Improve Public Health

A world leader in the field of in vitro diagnostics for over 45 years, bioMérieux is present in more than150 countries through 39 subsidiaries and a large network of distributors. In 2009, revenues reached €1.223 billion with 85% of sales outside of France.

bioMérieux provides diagnostic solutions (reagents, instruments, software) which determine the source of disease and contamination to improve patient health and ensure consumer safety. Its products are used for diagnosing infectious diseases and providing high medical value results for cancer screening and monitoring and cardiovascular emergencies. They are also used for detecting microorganisms in agri-food, pharmaceutical and cosmetic products.

bioMérieux is listed on the NYSE Euronext Paris market (Symbol: BIM – ISIN: FR0010096479).

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