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WHEELABRATOR TECHNOLOGIES INC. REPORTS RECORD OPERATING RESULTS FOR THIRD QUARTER AND FIRST NINE MONTHS

 HAMPTON, N.H., Oct. 18 /PRNewswire/ -- Wheelabrator Technologies Inc. (NYSE: WTI) today reported record operating results for the three months and nine months ended Sept. 30, 1993.
 Net income in the third quarter of 1993 totaled $35.7 million, or $.19 per share, compared with $33.4 million, or $.18 per share, in the third quarter a year earlier. Net income in the 1993 third quarter includes a $7.7 million, or $.04 per share, increase in income taxes due to the Omnibus Budget Reconciliation Act of 1993. This tax provision increase reflects a revaluation of deferred taxes in accordance with SFAS No. 109 as well as a cumulative "catch up" adjustment to apply the new law retroactively to Jan. 1, 1993. On a pre-tax basis, third quarter 1993 income of $65.3 million increased 20 percent over 1992 third quarter income of $54.5 million. These record operating results reflect the growth of the company's Clean Air and Clean Water businesses, strong performance of Rust International Inc. and continuing strong contributions by the company's trash-to-energy and independent power facilities.
 After excluding the 1992 and 1993 non-operating gains from affiliate stock transactions, net income for the first nine months of 1993 increased 21 percent to $111.3 million, or $.59 per share, compared to income before accounting changes of $92.2 million, or $.49 per share, for the first nine months of the prior year. The 1993 nine months results include the above noted tax adjustment related to the Omnibus Budget Reconciliation Act of 1993. Growth and acquisitions in the Clean Air and Clean Water businesses, energy facility performance, and Rust International are responsible for these record operating results.
 Revenues totaled $284 million for the third quarter and $809 million for the first nine months of 1993, compared to $382 million and $1,063 million, respectively, in the prior year periods. The reduction in revenues reflects the company's contribution on Jan. 1, 1993 of its engineering and construction business, its environmental and infrastructure consulting service business and certain other assets to Rust International. Wheelabrator Technologies currently owns approximately 40 percent of Rust International and accounts for its investment using the equity method. The company's third quarter and nine months revenues increased 17 percent and 22 percent, respectively, compared with pro forma revenues for the comparable year earlier periods, primarily from growth in the Clean Air and Clean Water businesses.
 During the quarter, a letter of intent was signed with Westchester County, N.Y. which provides a framework for refinancing the company's Peekskill, N.Y. trash-to-energy facility to take advantage of prevailing low interest rates and for retrofitting the facility to meet the requirements of the Clean Air Act Amendments. In addition, the company entered into a joint development agreement with Babcock and Wilcox Inc. to develop international independent power projects. Finally, the company completed the acquisition of HPD Inc. Based in Naperville, Ill., HPD specializes in the design and installation of industrial wastewater treatment systems.
 In October, the company completed the financing for, and commenced construction of, a 500-ton-per-day trash-to-energy facility located in Lisbon, Conn. The facility is scheduled to commence operations in late 1995.
 Wheelabrator Technologies, a multi-faceted environmental services company, is a majority-owned subsidiary of WMX Technologies, Inc., the world's leading environmental services company. In addition to its trash-to-energy and cogeneration capabilities, Wheelabrator Technologies offers premier environmental engineering services and supplies air quality control systems for industrial and utility applications. It also provides a comprehensive range of water and wastewater treatment services including biosolids management.
 WHEELABRATOR TECHNOLOGIES INC. AND SUBSIDIARIES
 Consolidated Statements Of Income
 For The Three Months Ended Sept. 30, 1992 and 1993
 (Unaudited, 000's omitted, except per share amounts)
 1992 1993
 Revenue $381,953 $283,882
 Operating expenses 282,450 194,619
 Selling and administrative expenses 36,409 26,540
 Interest expense 20,938 15,849
 Interest income (8,291) (4,080)
 Equity in earnings of affiliates (4,108) (12,279)
 Other (income) or expense, net 73 (2,038)
 Income before income taxes 54,482 65,271
 Income tax provision 21,083 29,537
 Net income $ 33,399 $ 35,734
 Weighted average common shares
 outstanding 187,000 188,900
 Earnings per common share $ 0.18 $ 0.19
 Dividends declared per common share $ 0.01 $ --
 WHEELABRATOR TECHNOLOGIES INC. AND SUBSIDIARIES
 Consolidated Statements Of Income
 For The Nine Months Ended Sept. 30, 1992 and 1993
 (Unaudited, 000's omitted, except per share amounts)
 1992 1993
 Revenue $1,062,603 $809,385
 Operating expenses 793,513 559,968
 Selling and administrative expenses 109,280 77,176
 Interest expense 56,057 48,413
 Interest income (28,479) (13,880)
 Equity in earnings of affiliates (11,642) (33,217)
 Gains from stock transactions of affiliates (47,000) (7,680)
 Other income, net (3,960) (5,736)
 Income before income taxes and cumulative
 effects of accounting changes 194,834 184,341
 Income tax provision 55,628 65,399
 Income before cumulative effects of
 accounting changes 139,206 118,942
 Cumulative effects of accounting changes:
 Postretirement benefits, net (29,010) --
 Income taxes (13,220) --
 Net income $ 96,976 $118,942
 Weighted average common shares outstanding 187,200 188,600
 Earnings per common share:
 Before cumulative effects of
 accounting changes $ 0.74 $ 0.63
 Cumulative effects of accounting changes:
 Postretirement benefits, net (0.15) --
 Income taxes (0.07) --
 Net Income $ 0.52 $ 0.63
 Dividends declared per common share $ 0.03 $ 0.08
 -0- 10/18/93
 /CONTACT: Kevin Stickney, 603-929-3354, or John D. Sanford, analyst 603-929-3343, both for Wheelabrator Technologies Inc./
 (WTI)


CO: Wheelabrator Technologies Inc. ST: Illinois IN: ENV SU: ERN

LD -- NY105 -- 3674 10/18/93 21:33 EDT
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Publication:PR Newswire
Date:Oct 18, 1993
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