Caliper announces US consolidation plan

Caliper Life Sciences has announced its plan to consolidate its west coast US business operations.

The move is an attempt to cut costs and improve the company’s productivity and effectiveness of its research and development spending.

It is believed by the company, based on preliminary financial data for the first quarter of 2008, that the move will save $3.3 million (£1.66 million) per year once completed.

The firm revealed that it would cost approximately $3.7 million in the fist year to implement the move and achieve its forecasted savings.

"Caliper has completed several actions to reduce general and administrative costs and improve productivity, namely the streamlining of its finance organization announced several weeks ago and the recent settlement of two disputes involving litigation," a company statement said.

"A first quarter severance and retention charge of approximately $500,000 to $650,000 will be recorded for the west coast consolidation and other streamlining actions taken during the quarter."

The organisation claims to be a leading provider of cutting-edge technologies that enable life sciences researchers to create medicines and diagnostic tests quicker.