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Solexa Lays Off 17 Percent of Staff; Still Plans to Launch SBS Instrument by Year s End

NEW YORK, May 20 (GenomeWeb News) - Solexa has laid off approximately 25 employees, bringing its headcount to 116, following its merger with Lynx Therapeutics, the company said yesterday.

 

"Changes in product mix and operating improvements" were the chief causes of the restructuring, which mostly affected the company's genomics services business, which offers gene expression analysis based on Lynx's MPSS technology, according to the company statement.

 

However, that business unit will "remain a strategic part of the company" and is expected to create Solexa's first revenues from its Sequencing-by-Synthesis Cluster instrument for DNA sequencing and gene expression analysis. Solexa plans to place SBS-Cluster instruments in its genomics services facility by the end of the year and offer the instruments for sale in 2006, the company said.

 

Due to the lay-offs, which did not include members of senior management but affected positions in most functions, Solexa will record a non-recurring charge of approximately $350,000 in the second quarter.

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