PRINCETON, N.J., July 16 /PRNewswire-FirstCall/ -- Orchid Cellmark Inc.
(Nasdaq: ORCH), a leading worldwide provider of identity DNA testing services,
today announced that the State of Florida's Department of Revenue has upheld
the contract award to the company to conduct all publicly-funded paternity
testing for the State of Florida.
The contract was originally awarded to Orchid Cellmark late last year, but
was delayed when Laboratory Corporation of America (LabCorp), a former State
of Florida DNA paternity testing provider, protested the award. The award of
the entire contract to Orchid Cellmark was upheld by the Department of Revenue
based on the findings of the administrative law judge in Florida who presided
over a three-day trial in April 2008.
The new, multi-year contract begins September 1, 2008 and is extendable
for an additional three years beyond its expiration in 2011. Under the terms
of the contract, Orchid Cellmark will provide DNA paternity testing services
for the Division of Child Support Enforcement of Florida's Department of
Revenue throughout the whole state. Orchid Cellmark previously provided DNA
testing services for approximately one-third of the State of Florida, while
LabCorp serviced the remaining two-thirds of the state.
Thomas Bologna, Orchid Cellmark's President and Chief Executive Officer
said, "We could not be happier with this decision by the judge and the State
of Florida's Department of Revenue. We look forward to providing critical
support to the Department of Revenue's ongoing efforts to enforce the
collection of mandated, child support payments. This contract has a potential
revenue value to the company of approximately $1.2 million annually."
About Orchid Cellmark
Orchid Cellmark (Nasdaq: ORCH) is a leading international provider of DNA
testing services primarily for forensic and family relationship applications.
Orchid Cellmark is one of the largest providers of forensic DNA testing
services and its DNA results are used by the criminal justice system to assist
with the identification of perpetrators, the exclusion of suspects and the
exoneration of wrongfully convicted individuals. The company provides DNA
family relationship testing to numerous child services organizations and
individuals seeking to verify parentage. Orchid Cellmark also serves
immigration and security authorities for DNA testing of individuals. In the
agriculture field, the company provides DNA testing services for selective
trait breeding. Orchid Cellmark's strong market positions in these areas
reflect the company's accredited laboratories in the U.S. and U.K., its
innovative genetic analysis technologies and expertise, and the company's
reputation for exceptional quality, reliability and customer service for
nearly two decades. More information on Orchid Cellmark can be found at
www.orchidcellmark.com
All statements in this press release that are not historical are forward-
looking statements within the meaning of the Private Securities Litigation
Reform Act of 1995, including, but not limited to, statements regarding: the
expectation that the new contract with the State of Florida will begin on
September 1, 2008; and our belief that the contract with the State of Florida
has a potential revenue value of approximately $1.2 million annually. Such
statements are subject to the risks and uncertainties that could cause actual
results to differ materially from those projected, including, but not limited
to, risks and uncertainties relating to technologies, product development,
manufacturing, market acceptance, cost and pricing of Orchid Cellmark's
products and services, dependence on government funding and collaborations,
regulatory approvals, competition, intellectual property of others, patent
protection, litigation, the timing of release of federal funds, the timing and
amount of contracts put up for bid, and Orchid Cellmark's ability to
successfully offer its services directly to U.K. police forces. These risks
and other additional factors affecting these forward-looking statements and
Orchid Cellmark's business are discussed under the headings "Risks Related to
Our Business" and "Risks Associated with Our Common Stock" in Orchid
Cellmark's Annual Report on Form 10-K for the year ended December 31, 2007, as
filed with the Securities and Exchange Commission, and in other filings made
by Orchid Cellmark with the Securities and Exchange Commission from time to
time. Orchid Cellmark expressly disclaims any obligation or undertaking to
release publicly any updates or revisions to any forward-looking statements
contained herein to reflect any change in Orchid Cellmark's expectations with
regard thereto or any change in events, conditions, or circumstances on which
any such statements are based, except as may be required by law.
Contact:
Investors: Media:
Mary Bashore Rick Anderson
Orchid Cellmark Inc. The Torrenzano Group
(609) 750-2324 (212) 681-1700
ir@orchid.com randerson@torrenzano.com
SOURCE Orchid Cellmark Inc.