PRINCETON, N.J., Oct. 20, 2009 (GLOBE NEWSWIRE) -- Orchid Cellmark Inc. (Nasdaq:ORCH), a leading international provider of identity DNA testing services, today announced a planned consolidation of the company's East Lansing, Michigan paternity testing operations into its Dayton, Ohio facility. The transfer of the paternity testing operations to the Dayton facility is expected to begin within the next month.

Commenting on the planned consolidation, Thomas Bologna, president and chief executive officer of Orchid Cellmark, said: "With the consolidation of our East Lansing operations into Dayton, we are taking advantage of the opportunity to increase our U.S. based paternity testing efficiencies and scalability while bringing all of our paternity operations under one roof. We already process a significant number of paternity samples at our Dayton facility and our customer service operation and call center are based in Dayton. This consolidation makes sense for a number of strategic, financial and pragmatic reasons, and represents the latest of our ongoing initiatives to provide high quality DNA testing services while aggressively reducing our cost structure."

Mr. Bologna added, "We expect to realize approximately $1 million in annual cost savings from operational efficiencies, reduction in lease and equipment expenses, and increased scalability. With the one-time consolidation costs of approximately $1 million, we anticipate that this consolidation has a one year payback. Additionally, the timing for renewing the lease on the East Lansing facility was a key factor in our decision since it expires in November of next year. With this consolidation, we plan to add approximately fifteen new positions at the Dayton facility to accommodate the increased workload."

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.