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ENTERGY SUBSIDIARY ACQUIRES ENERGY EFFICIENCY FIRM

 LITTLE ROCK, Ark., April 16 /PRNewswire/ -- Entergy Corporation's (NYSE: ETR) non-utility subsidiary, Entergy Enterprises, Inc., has acquired a Memphis-based electric energy efficiency company, American Systems and Service, Inc. (American SASI) and an approximately 9.95 percent equity interest in its former parent, Systems and Service International (SASI).
 Entergy Enterprises, which earlier received Securities and Exchange Commission approval to make the acquisition, has renamed the company Entergy Systems and Service, Inc. (Entergy SASI), according to Jack King, Entergy Enterprises' president and chief operating officer. The entire transaction, including the subsidiary purchase and equity position in SASI, totals approximately $11 million.
 "What we hope to do with Entergy SASI," King said, "is continue what had been American SASI's success in the energy efficiency market. Their products are clearly at the forefront of technology being developed for the commercial lighting market. One product in particular," King said, "attaches to fluorescent lights and makes them more efficient by regulating the electric current and voltage needed to keep the lights operating. This greater efficiency effectively lowers lighting costs."
 King said Entergy went after the energy efficiency services company because of the product line, the company's market experience (more than 700 installations have been recorded in the company's four-year history) and because Entergy SASI's services complement Entergy Corporation's emphasis on Least-Cost Planning.
 Least-Cost Planning initiatives, King explained, are aimed at improving electric energy efficiency and conservation, thereby delaying an electric utility's need to add capacity by building costly new generating units. Entergy Corporation has undertaken Least-Cost Planning initiatives in all of its operating company jurisdictions.
 The acquisition establishes Entergy SASI as a distributor and marketer of certain proprietary products offered by the 4-year-old company. Entergy SASI will have exclusive distribution rights within Arkansas, Louisiana, Mississippi and portions of other states adjacent to that three-state region for a 30-year period. Additionally, a non- exclusive distributorship will extend for 30 years elsewhere in the U.S.
 Prior to its acquisition and renaming, the energy efficiency company (American SASI) was a subsidiary of Systems and Service International, Inc. Also headquartered in Memphis, the parent company engages in research and development as well as the manufacture and marketing of energy-efficient lighting technologies for commercial and industrial applications. American SASI was its domestic marketing and service arm.
 The new company's president, Paul Williams, said the acquisition by Entergy Corporation brings "tremendous strength and credibility to our company and has catapulted Entergy SASI into the national arena. We are on the verge of becoming a major force in the energy efficiency services industry."
 Entergy SASI's market, Williams said, is the commercial and industrial sector where lighting costs and other energy management expenditures constitute a sizable portion of a company's operating overhead. "The system offered by Entergy SASI," Williams said, "makes it possible for commercial and industrial users to increase their profits by sharply reducing their energy consumption, utility bills and maintenance costs."
 Entergy SASI consults on customer lighting applications, designs energy-efficient systems using leading-edge technologies, provides installation and maintenance, and guarantees savings and performance levels. "We work on a simple performance basis," Williams explained. "Our revenue is derived from a share of the savings our designs and equipment generate. If our services fail to generate greater efficiencies or savings, our customers incur no expense. They have no liability, nor any capital expenditures related to Entergy SASI's contract."
 Currently, Entergy SASI employs approximately 60 people and has offices in Memphis and Nashville. In addition, the company has sales representatives in Knoxville, Chattanooga and Tri-Cities, Tenn., and Birmingham, Ala., and services clients in New Orleans, St. Louis and Dallas.
 Entergy Corporation is a public utility holding company with subsidiaries including Arkansas Power & Light Company, Louisiana Power & Light Company, Mississippi Power & Light Company, and New Orleans Public Service Inc. The Entergy system of companies occupies an 84,000-square- mile service area and provides electric energy to more than 1.7 million customers.
 -0- 4/16/93
 /CONTACT: Patrick Sweeney of Entergy, 504-569-4160/
 (ETR)


CO: Entergy Corporation; Energy Enterprises, Inc.; American Systems
 and Service, Inc.; Systems and Service International; Entergy
 System and Service, Inc. ST: Arkansas, Tennessee IN: UTI SU: TNM


BN-BR -- AT003 -- 6770 04/16/93 12:44 EDT
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Copyright 1993 Gale, Cengage Learning. All rights reserved.

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Publication:PR Newswire
Date:Apr 16, 1993
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