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G&K Services Expands East Coast Operations.


MINNEAPOLIS -- Acquires two locations from Coyne Textile Services; Expands coverage of top North American North American

named after North America.


North American blastomycosis
see North American blastomycosis.

North American cattle tick
see boophilusannulatus.
 markets

G&K Services, Inc. (Nasdaq:GKSRA), a market leader in branded identity apparel programs and facility services, today announced the acquisition of certain assets from Coyne Textile Services. The acquisition, which will add approximately $19.0 to $21.0 million of annual revenue, further expands G&K's geographic coverage of North America North America, third largest continent (1990 est. pop. 365,000,000), c.9,400,000 sq mi (24,346,000 sq km), the northern of the two continents of the Western Hemisphere. . G&K acquired two locations serving customers in Connecticut, New York New York, state, United States
New York, Middle Atlantic state of the United States. It is bordered by Vermont, Massachusetts, Connecticut, and the Atlantic Ocean (E), New Jersey and Pennsylvania (S), Lakes Erie and Ontario and the Canadian province of
, Pennsylvania and New Jersey, and also acquired certain customer assets in Maryland and Florida.

"Our acquisition strategy centers around quality businesses that either expand our market presence or leverage our existing asset base," said Richard Marcantonio, president and chief executive officer. "This acquisition supports both. We significantly enhanced our geographic coverage to serve customers in the northeast. Furthermore, we're driving greater utilization of existing assets in Maryland and Florida. We are excited to serve our new customers and demonstrate what our existing customers already know - that G&K focuses on providing image and safety solutions to support our customer's business. We also welcome the employees to G&K and look forward to their contributions in providing exceptional service to our customers."

G&K now covers 86 of the top 100 North American markets compared to just 48 in 1997. The company serves all of the top 30 markets.

"We are pleased with our acquisition efforts over the past nine months," Marcantonio said. "We've enhanced our position in both the rental and direct sale market through a number of acquisitions thus far in fiscal 2005. We will continue to seek acquisitions that support our strategic vision and growth initiatives."

Due to a confidentiality agreement with the sellers, the purchase price cannot be disclosed. No further details were made available.

Safe Harbor Safe Harbor

1. A legal provision to reduce or eliminate liability as long as good faith is demonstrated.

2. A form of shark repellent implemented by a target company acquiring a business that is so poorly regulated that the target itself is less attractive.
 for Forward-Looking Statements forward-looking statement

A projected financial statement based on management expectations. A forward-looking statement involves risks with regard to the accuracy of assumptions underlying the projections.
 

The Private Securities Litigation Reform Act The Private Securities Litigation Reform Act of 1995 (PSLRA) implemented several significant substantive changes affecting certain cases brought under the federal securities laws, including changes related to pleading, discovery, liability, class representation and awards fees and  of 1995 (the "Act") provides companies with a "safe harbor" when making forward-looking statements as a way of encouraging them to furnish fur·nish  
tr.v. fur·nished, fur·nish·ing, fur·nish·es
1. To equip with what is needed, especially to provide furniture for.

2.
 their shareholders with information regarding expected trends in their operating results, anticipated business developments and other prospective information. Statements made in this press release concerning our intentions, expectations or predictions about future results or events are "forward- looking statements" within the meaning of the Act. These statements reflect our current expectations or beliefs, and are subject to risks and uncertainties that could cause actual results or events to vary from stated expectations, which could be material and adverse. Given that circumstances may change, and new risks to the business may emerge from time to time, having the potential to negatively impact our business in ways we could not anticipate at the time of making a forward-looking statement, you are cautioned not to place undue reliance on these statements, and we undertake no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

Some of the factors that could cause actual results or events to vary from stated expectations include, but are not limited to, the following: unforeseen operating risks Operating risk

The inherent or fundamental risk of a firm, without regard to financial risk. The risk that is created by operating leverage. Also called business risk.
; the effects of overall economic conditions and employment; fluctuations in costs of insurance and energy; acquisition integration costs; the performance of acquired businesses; preservation of positive labor relationships; competition, including pricing within the branded identity apparel and facility services industry; and the availability of capital to finance planned growth. Additional information concerning potential factors that could affect future financial results is included in our Annual Report on Form 10-K Form 10-K

A report required by the SEC from exchange-listed companies that provides for annual disclosure of certain financial information.


Form 10-K

See 10-K.
 for the fiscal year ended July 3, 2004.

About G&K Services, Inc.

Headquartered in Minneapolis, Minnesota “Minneapolis” redirects here. For other uses, see Minneapolis (disambiguation).
Minneapolis (pronounced IPA: /ˌmɪniˈæpəlɪs/) is the largest city in the U.S.
, G&K Services, Inc. is a market leader in branded identity apparel programs and facility services in the United States United States, officially United States of America, republic (2005 est. pop. 295,734,000), 3,539,227 sq mi (9,166,598 sq km), North America. The United States is the world's third largest country in population and the fourth largest country in area. , and is the largest such provider in Canada. G&K operates over 130 processing facilities and branch offices, serving more than 160,000 customers.
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Copyright 2005, Gale Group. All rights reserved. Gale Group is a Thomson Corporation Company.

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Publication:Business Wire
Geographic Code:1USA
Date:Mar 21, 2005
Words:638
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