Continental Waste Industries announces additional revenues from U.S. and Latin American operations.CLARK, N.J.--(BUSINESS WIRE)--Feb. 1, 1995--In its first public announcement since the successful completion of its Nov. 4, 1994 equity offering, Continental Waste Industries Inc. (symbol CONT CONT Continue CONT Contain CONT Continue/Continued CONT Control CONT Contents CONT Controller CONT Contractor CONT Continuous CONT Contrast CONT Container CONT Continuation Cont Contamination CONT Continent CONT Contingency CONT Contactor ) announced a key opening, plus progress and updates on several fronts. Continental announced that its expects the opening of its new transfer station in Paducah, Ky. on or before June 30, 1995. The Paducah transfer station will operate under a 10-year contract with the City and County, with annualized annualized Of or relating to a variable that has been mathematically converted to a yearly rate. Inflation and interest rates are generally annualized since it is on this basis that these two variables are ordinarily stated and compared. revenues from operations anticipated in the range of $2 million. Subject to completion of the year-end audit, Continental expects to report that sales, pretax income pretax income Reported income before the deduction of income taxes. Pretax income is sometimes considered a better measure of a firm's performance than aftertax income because taxes in one period may be influenced by activities in earlier periods. and net income should be modestly above analyst estimates, while earnings per share should meet analyst expectations. Continental also announced that it was in the final stages of documenting a $45 million, three-year revolving credit Revolving Credit A line of credit where the customer pays a commitment fee and is then allowed to use the funds when they are needed. It is usually used for operating purposes, fluctuating each month depending on the customers current cash flow needs. facility with its principal lending institution Noun 1. lending institution - a financial institution that makes loans financial institution, financial organisation, financial organization - an institution (public or private) that collects funds (from the public or other institutions) and invests them in . The transaction is expected to close during February and should make available approximately $20 million of incremental capital for acquisition activity or letters of credit. In January 1995, Continental appointed Jeffrey E. Levine to the position of executive vice president and general counsel replacing T. Kevin Sheehy, who left the company to assume significant responsibilities with a Fortune 100 company. Levine most recently served for nearly three years as primary outside acquisition counsel for United Waste Systems Inc. with responsibility for negotiating, coordinating and documenting most of United's acquisition efforts during that period. Prior to his work for United, Levine represented the New York City New York City: see New York, city. New York City City (pop., 2000: 8,008,278), southeastern New York, at the mouth of the Hudson River. The largest city in the U.S. branch of a Hong Kong merchant banking company in national and international transactions and financing. "We are extremely pleased to have him aboard, and to be able to rely on Levine's unique combination of transactional, securities, corporate, and merchant banking background," said Thomas A. Volini, Continental's chairman and chief operating officer Chief Operating Officer (COO) The officer of a firm responsible for day-to-day management, usually the president or an executive vice-president. . On the Latin America front, annualized sales for Continental's Costa Rican subsidiaries have more than doubled since December owing to the addition of two municipal contracts, while other potential contracts are in the negotiation or bidding process. In Mexico, current economic conditions and a technical ruling have prompted the company to terminate its previously announced venture with a local partner. As a result, the company will not begin operations under the Neza Concession Agreement Concession Agreement A right granted by a government to a corporation. It specifies rules under which the company can operate locally. Notes: Some concession agreements might include tax breaks for the corporation, in order to keep them from moving to another jurisdiction. . However, as a result of its on-going direct negotiations with State regulatory agencies state regulatory agency A state body responsible for establishing professional standards, and for certifying professionals or organizations through appropriate documentation and other private parties, Continental is optimistic about utilizing private avenues to enter the Mexican waste management market, especially through the operation of existing landfills and the construction of replacement sites. Carlos Aguero, president and CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. of Continental, noted that the company places great importance in making sure that its dealings in Latin America remain consistent with economic conditions and other factors. He stated that, "it is important to bear in mind, that less than 5% of Continental's total assets are located in Latin American markets." The company anticipates no material write-offs or other negative financial impact resulting from its termination of the Neza Agreement, since it has made no significant capital investments subsequent to the devaluation devaluation, decreasing the value of one nation's currency relative to gold or the currencies of other nations. It is usually undertaken as a means of correcting a deficit in the balance of payments. of the peso. Continental provides integrated solid waste management services to approximately 115,000 residential, commercial and industrial customers concentrated in the Midwestern and Mid-South regions of the United States. These services include non-hazardous landfill disposal, solid waste collection, and transfer station operations. The company also recently began solid waste management services in Latin America. Continental currently owns and operates eight landfills, six collection operations and seven transfer stations and employs over 350 persons. Three additional transfer stations are in various stages of permitting or construction. CONTACT: Continental Waste Industries Inc. Carlos E. Aguero or Michael Drury, 908/396-0018 |
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