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Biohazards

Cepheid Enters Into Five-Year Agreement With Northrop Grumman for the Purchase of Anthrax Test Cartridges for Use in United States Postal Service Biohazard Detection Systems

Published in Medical Letter on the CDC and FDA, September 2nd, 2007

Cepheid (NASDAQ:CPHD) announced that it has entered into a five-year master purchase order with Northrop Grumman for the purchase of up to $200 million in Bacillus anthracis (anthrax) test cartridges and associated materials. The anthrax test is currently used in Biohazard Detection Systems (BDS), installed at United States Postal Service (USPS) mail processing centers nationwide. The agreement covers the USPS fiscal years of 2007 through 2011. Cepheid began supplying USPS with GeneXpert(R) modules and anthrax test cartridges in 2003.

Under the terms of the agreement, the purchase quantity of anthrax tests will be determined on an annual basis, based on the USPS fiscal...

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