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AMERICAN WASTE SERVICES, INC. ANNOUNCES THIRD QUARTER RESULTS

 WARREN, Ohio, Oct. 28 /PRNewswire/ -- Ronald E. Klingle, Chairman of the Board of Directors of American Waste Services, Inc. (NYSE: AW) today announced financial results for the third quarter and first nine months of 1993.
 For the third quarter of 1993, net operating revenues increased to $23.9 million compared with $23.1 million in the third quarter of the prior year. Net income totaled $1.5 million, or $.05 per share, for the third quarter of 1993 compared with $1.7 million, or $.06 per share, for the third quarter of 1992. For the first nine months of 1993 net operating revenues were $64.5 million compared with $70.7 million for the prior year period while net earnings for the current period were $3.1 million, or $.10 per share, compared with net earnings of $4.8 million, or $.16 per share, for the first nine months of 1992.
 Klingle stated, "Our Company's net operating revenues increased by 3 percent in the current quarter compared with the third quarter of 1992 and by 12 percent when compared with the revenues recorded for the second quarter of 1993.
 "Although extremely competitive conditions continue to exist throughout most of our markets, we are pleased with the performance of our technical environmental services business which reported improved revenues and earnings during the third quarter and first nine months of 1993 compared with comparable periods of the prior year. For the third quarter of 1993, our technical environmental services business reported a 46 percent revenue increase and a significant improvement in profitability compared with the third quarter of 1992. For the first nine months of 1993, revenues improved 43 percent over revenues of the first nine months of the prior year and profitability improved significantly over the operating loss that was recorded by the technical environmental services business for the first nine months of 1992.
 "During the third quarter of 1993 a quarterly record was established for volumes of waste received at the Company's landfills. Disposal volumes increased 11 percent in the third quarter of 1993 compared with the third quarter of 1992 and increased 6 percent compared with the second quarter of 1993. However, extremely competitive conditions continue to exist for disposal services resulting in declining average disposal rates. Average disposal rates were 13 percent lower in the third quarter of 1993 compared with the third quarter of 1992 and were 4 percent lower compared with the second quarter of 1993. Earnings of the disposal operations declined in the third quarter of 1993 compared with the third quarter of 1992 as the impact of average disposal price decreases more than offset the impact of volume improvements. For the first nine months of 1993, disposal operations recorded lower net operating revenues and earnings when compared with the first nine months of the prior year due to a 10 percent decline in average disposal rates which was partially offset by the impact of a 1 percent increase in disposal volumes.
 "Transportation and transportation brokerage revenues declined by 9 percent and 18 percent for the third quarter and the first nine months of 1993, respectively, compared with the comparable periods of the prior year primarily as a result of continued competitive pressures on transportation rates. Earnings also declined in the current year periods compared with the third quarter and first nine months of 1992. Results for the third quarter of 1993 reflect improvements over results of the second quarter of 1993 as revenues increased 12 percent and the group returned to profitability after reporting a small operating loss in the second quarter of 1993. This improvement is primarily attributable to increased efforts to attain new business and the benefit of cost reduction measures which were implemented at the end of the second quarter of 1993.
 "During the third quarter of 1993 we implemented certain cost reduction measures throughout our Company. Additionally, the Company began accepting waste at its Mahoning Landfill, Inc. facility in mid- September and is pursuing additional disposal volumes for each of its landfill facilities. The Company will continue to focus on securing additional business; however, we expect competitive pressures for environmental services to continue for the foreseeable future."
 American Waste Services, Inc. provides integrated waste management and environmental services, including disposal, transportation and transportation-related services, disposal brokerage and management services, environmental engineering, site assessment, analytical laboratory and remediation services to industrial, commercial, municipal and governmental customers.
 AMERICAN WASTE SERVICES, INC. AND SUBSIDIARIES
 Condensed Consolidated Statements of Income (Unaudited)
 (in thousands except for per share amounts)
 Three Months Ended Nine Months Ended
 September 30, September 30,
 1993 1992 1993 1992
 Net operating revenues $23,870 $23,128 $64,458 $70,687
 Cost and expenses:
 Cost of operations 17,709 16,200 48,091 50,198
 Selling, general and
 administrative expense 3,430 3,720 10,181 11,361
 Income from operations 2,731 3,208 6,186 9,128
 Interest expense and
 amortization of
 debt discount (406) (536) (1,286) (1,682)
 Other income (expense),
 net 185 108 362 318
 Income before income taxes 2,510 2,780 5,262 7,764
 Income taxes 1,042 1,056 2,184 2,950
 Net income $ 1,468 $ 1,724 $ 3,078 $ 4,814
 Net income per share $ .05 $ .06 $ .10 $ .16
 Weighted average shares
 outstanding 29,686 29,686 29,686 29,720
 -0- 10/28/93
 /CONTACT: Charles Boryenace, chief financial officer, of American Waste Services, 216-856-8800/
 (AW)


CO: American Waste Services, Inc. ST: Ohio IN: ENV SU: ERN

AR -- CL027 -- 8212 10/28/93 17:58 EDT
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Publication:PR Newswire
Date:Oct 28, 1993
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