American Ecology Subsidiary Appeals Trial Court Decision Denying Ward Valley Damages Claim.

Business Editors

BOISE, Idaho--(BUSINESS WIRE)--June 27, 2003

Notice of Appeal Filed With California Court of Appeal,

Fourth Appellate District

Stephen Romano, President and Chief Executive Officer of American Ecology Corporation (Nasdaq:ECOL) today announced that subsidiary US Ecology, Inc., is appealing the March 26, 2003 decision by Judge E. Mac Amos in the Superior Court of California for the County of San Diego denying the Company's monetary damages claim against the State of California. US Ecology filed the suit following the State's abandonment of the Ward Valley low-level radioactive waste disposal project after earlier issuing a license to the Company in 1993. The Notice of Appeal was filed following a May 30, 2003 ruling by Judge Amos that denied US Ecology's motion to vacate the March 26 ruling and enter new judgment.

"American Ecology believes the Superior Court ruling misapplied the law to the facts," Romano stated, adding "We look forward to vigorously pursuing our claim on appeal."

On March 28, 2003, American Ecology announced that in light of the trial court's ruling, it was writing off the entire $21 million deferred site development asset then carried on its balance sheet for the Ward Valley project. The write off was based on management's view that it was no longer probable from an accounting standpoint that the Ward Valley asset will be recovered.

"American Ecology's prior decision to write off the Ward Valley asset reflects a conservative application of Generally Accepted Accounting Principles, not any lack of confidence that our claim is valid," Romano concluded.

American Ecology Corporation, through its subsidiaries, provides radioactive, PCB, hazardous and industrial waste services to commercial and government customers throughout the United States, such as nuclear power plants, steel mills, medical and academic institutions and petro-chemical facilities. Headquartered in Boise, Idaho, American Ecology is the oldest radioactive and hazardous waste services company in the United States.

This press release contains forward-looking statements that are based on our current expectations, beliefs, and assumptions about the industry and markets in which American Ecology Corporation and its subsidiaries operate. Actual results may differ materially from what is expressed herein and no assurance can be given that the Company can successfully implement its growth strategy, generate future earnings, or obtain monetary damages in the pending Ward Valley appeal. For information on factors that could cause actual results to differ from expectations, please refer to American Ecology Corporation's Report on Form 10-K, and most recent Form 10-Q filed with the Securities and Exchange Commission.