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Serologicals Shutters Canadian Facility in Plant Consolidation Effort

NEW YORK, Jan. 9 (GenomeWeb News) - As part of its ongoing consolidation effort, Serologicals closed a Canadian plant and will not open another facility as planned in 2006 in Kansas, the company said last week.

 

A facility in Toronto will be closed and all cell culture product manufacturing will move to a facility in Kankakee, Ill., during the first half of 2006, the company said.

 

During the past six months, Serologicals has expanded the Kankakee facility's production capacity by more than 50 percent, making it unnecessary to open the facility in Lawrence.

 

Both the Toronto and Lawrence, Kan. facilities will be prepared for sale and written down to net realizable value and will be included in the company's fourth quarter 2005 results.

 

As GenomeWeb News reported in July 2005, Serologicals is restructuring to reduce research costs by $3 million to $3.5 million a year.

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