Waste Services Announces Acquisition of Republic Services' Miami-Dade Operations
October 05 2009 - 3:34PM
PR Newswire (US)
- Closes two significant acquisitions in Miami-Dade adding $28
million in revenue and $12.5 million in fully integrated EBITDA. -
Accretive to 2010 earnings and free cash flow of $0.05 to $0.07 and
over $6 million respectively. - Both Miami-Dade acquisitions
support continued focus on margin expansion and increasing free
cash flow. BURLINGTON, Ontario, Oct. 5 /PRNewswire-FirstCall/ --
Waste Services, Inc. (NASDAQ:WSII) today announced that it has
completed an acquisition of the operations and related assets of
Republic Services, Inc. (NYSE:RSG) in Miami-Dade County, Florida.
In a separate transaction on September 1, 2009, Waste Services,
Inc. acquired the Miami-Dade operations of DisposAll, Inc. David
Sutherland-Yoest, President and Chief Executive Officer of Waste
Services, stated, "We are very pleased to announce the completion
of these two highly accretive acquisitions. Our strategic assets in
the region allow us to internalize disposal from the acquired
businesses and to realize significant operating cost savings." The
combined purchase price of the two acquisitions is $48 million.
Certain assets, including operating facilities, will become
redundant and be sold to reduce the investment. The acquisitions
are expected to add approximately $28 million in annual revenue and
$12.5 million in EBITDA after synergies are realized. Waste
Services intends to internalize all of the waste flow from both
acquisitions through its centrally located Miami-Dade transfer
station in to the JED landfill. "The acquired customers will be
integrated into our existing route structure within 60 to 90 days,
adding 25 net new routes as compared to the 40 routes previously
operated. These acquisitions are expected to add from 5 to 7
additional cents per share to our 2010 results, contribute to our
continuing trend of margin expansion, add free cash flow in excess
of $6 million, and in the near term will put us at the top of our
EPS guidance for 2009." Safe Harbor for Forward-Looking Statements
Certain matters discussed in this press release are
"forward-looking statements" within the meaning of Section 27A of
the Securities Act of 1933 and Section 21E of the Securities
Exchange Act of 1934. These statements describe the company's
future plans, objectives and goals. These forward-looking
statements involve risks and uncertainties which could cause actual
results to differ materially from the plans, objectives and goals
set forth in this press release. Factors which could materially
affect such forward-looking statements can be found in the
company's periodic reports filed with the Securities and Exchange
Commission, including risk factors detailed in the company's Form
10-K for the year ended December 31, 2008. Shareholders, potential
investors and other readers are urged to consider these factors
carefully in evaluating the forward-looking statements and are
cautioned not to place undue reliance on such forward-looking
statements. The forward-looking statements made in this press
release are only made as of the date hereof and Waste Services
undertakes no obligation to publicly update such forward-looking
statements to reflect subsequent events or circumstances. Waste
Services, Inc. is a multi-regional, integrated solid waste services
company that provides collection, transfer, disposal and recycling
services in the United States and Canada. The company's website is
located at http://www.wasteservicesinc.com/. Information on the
company's website does not form part of this press release.
DATASOURCE: Waste Services, Inc. CONTACT: Ed Johnson, Executive
Vice President and Chief Financial Officer, Waste Services, Inc.,
+1-905-319-1237; or J. Todd Atenhan, Investor Relations,
+1-888-917-5105 Web Site: http://www.wasteservicesinc.com/
Copyright