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OHM EXPECTS 2ND QUARTER EPS OF 9-10 CENTS; CITES STRENGTH OF GOVERNMENT SECTOR ON-SITE HAZARDOUS WASTE CLEAN UP

 Company Expects Record Backlog To Contribute
 To Positive Comparisons For Balance Of Year
 FINDLAY, Ohio, July 29 /PRNewswire/ -- OHM Corporation (NYSE: OHM), a leading on-site hazardous waste treatment firm, today said it expects earnings per share for its second quarter ended June 30, 1993, to be 9-10 cents, up from 7 cents in the second quarter of 1992. Net revenues are expected to be flat with the $41 million reported a year ago for the company's remediation business. The company plans to report final results for the second quarter early next week.
 James L. Kirk, chairman, president and chief executive officer, said, "Over the past several years, we have diversified our client base to stabilize our earnings and the anticipated second quarter results reflect the benefit of that strategy. The strength of our business with government entities, particularly Department of Defense agencies, as well as improved margins, more than offset sluggish demand from private sector clients. For the second quarter, we expect the operating margin to be about 8 percent, up from 5.5 percent a year ago. That gain reflects improvement in project margins and the benefits of our internal cost control strategies."
 Kirk continued, "Looking to the third and fourth quarters, we expect positive earnings comparisons over last year. Progress is being made on large multi-year contracts previously awarded to the company as the market has shifted from studies to the actual clean up of hazardous waste sites. At the end of the second quarter, we posted a record $430 million backlog of projects and term contracts. Backlog includes the $30 million Cleve Reber project for a group of PRP's at a National Priorities list site, awarded to OHM in the second quarter of 1993. Field work on this project will commence in the third quarter and is expected to take two years to complete."
 Kirk noted, "Government contracts have driven the remediation market during the first half of the year. We believe the weakness in the commercial sector reflects the continuing weakness in the economy as well as a 'wait and see' posture by business with respect to the transition of the policies and enforcement attitude of the EPA."
 Kirk concluded, "We are also optimistic about the outlook for 1994 based on our current backlog of projects and term contracts. In addition, there are a large number of government contract opportunities on which we have bid, or expect to bid, during the remainder of the year. With the government's emphasis on actual clean up, these contracts, if awarded to OHM, could expand and lengthen our pipeline of work over the next several years."
 With 24 years experience and the successful completion of more than 16,000 projects, OHM Corporation is a leading nationwide environmental remediation firm and a major emergency response contractor, providing a broad range of physical, chemical, and biological treatment technologies to clean up hazardous waste through its 25 locations in the United States. OHM provides its services to a diverse client base in the private sector, including petroleum, chemical, transportation, and general manufacturing firms as well as the public sector including the U.S. Army Corps of Engineers, the U.S. Department of the Air Force, the U.S. Department of the Navy, the U.S. EPA, and at U.S. Department of Energy facilities.
 -0- 7/29/93
 /CONTACT: Investors: Sam Iapalucci, 419-424-4924, or Pamela K. M. Beall, 419-425-6002; Media: Cheryl Rectorschek, 419-424-4929; all of OHM Corporation/
 (OHM)


CO: OHM Corporation ST: Ohio IN: ENV SU: ERP

KL -- CL004 -- 7127 07/29/93 08:52 EDT
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Publication:PR Newswire
Date:Jul 29, 1993
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