Comfort Systems USA Announces $210 Million in Acquisitions.

HOUSTON--(BUSINESS WIRE)--Oct. 22, 1998--Comfort Systems USA, Inc. (NYSE: FIX), a leading provider of commercial/industrial heating, ventilation and air conditioning (HVAC) services today announced that it has closed the acquisitions of companies with annualized revenues of more than $210 million.

These transactions include the completion of $125 million in acquisitions the Company previously announced in July, as well as $85 million in additional acquisitions. Following these transactions, Comfort Systems annualized revenues will be in excess of $885 million.

The companies not previously announced who are joining Comfort include the Fagan Company of Kansas City, KS; Armani Plumbing and Mechanical of Syracuse, NY; Kilgust Mechanical of Madison, WI; Central Mechanical of Manhattan, KS; ACI Mechanical of Ames, IA; H&H Plumbing and Heating and Target Construction of Grand Rapids, MI; Capital Refrigeration of Montgomery, AL; and Industrial Cooling of Freeport, NY. These acquisitions include two pooling-of-interests transactions involving companies with annualized revenues of approximately $50 million.

"These acquisitions continue our strategy of adding high quality companies both to open new markets as well as to strengthen existing markets," said Fred Ferreira, Comfort's Chairman and Chief Executive Officer. "The Comfort Systems network now reaches 54 cities across the country as we build the premier provider of commercial/industrial HVAC services in the US."

Mr. Ferreira added, "We are also pleased to continue to build Comfort Systems while maintaining a strong financial position. Following the completion of these acquisitions, the Company's estimated debt to total capitalization level remains at a conservative 29%, with ample capital available under existing credit facilities to support operational and acquisition opportunities."

Comfort Systems USA is a national provider of commercial/industrial heating, ventilation and air conditioning services with 68 companies located in 54 cities around the U.S. Comfort Systems has annualized revenues of more than $885 million and is headquartered in Houston. For more information, visit the Company's web-site at www.comfortsystemsusa.com.

This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements are based on the current plans and expectations of Comfort Systems USA, Inc. and involve risks and uncertainties that could cause actual future activities and results of operations to be materially different from those set forth in the forward-looking statements. Important factors that could cause actual results to differ include, among others, risks associated with acquisitions and variations in stock prices, changes in government regulations, competition, and risks entailed in operations and growth of newly acquired businesses and other risks detailed in the Company's reports filed with the Securities and Exchange Commission.