Weekly News Bulletin: Nov. 13-19, 2007


BFI Canada Posts Strong Third Quarter

Organic growth in both its Canadian and US segments helped BFI Canada to achieve third quarter revenue gains of 19.3% and EBITDA growth of 18% over last year's results. Canadian and US segment growth, excluding acquisitions, reached 11% and 9.2% respectively. Acquisitions including Winters Bros. Waste Systems in New York significantly added to the growth. The resulting increased interest expense and financing costs kept net income relatively flat...Read More »



Waste Management Moves to Enhance its Share Price

Waste management's Board of Directors recently authorized an additional $300 million to repurchase its stock. The company also announced the declaration of a quarterly cash dividend of $0.24 per share. The market's recent reaction to the company's third quarter earnings no doubt presents an opportunity to purchase its shares at a bargain. "The Board of Directors and management believe that the current stock price is not reflective of the true value of the Company. Waste Management has continued to produce strong and improving financial results, yet the share price is significantly off its 52-week high," said David P. Steiner, Chief Executive Officer...Read More »



Florida Gov. Announces $182 Million Deal to Bring Plasma to Tallahassee

Florida Gov. Charlie Crist announced a deal whereby a subsidiary of Jacksonville-based Green Power Systems LLC will install a plasma arc gasification plant in Tallahassee. Financing for the project which converts waste into clean energy, including electricity, will be provided through a $182 million funding agreement with Brazilian company Controlsud International Group. Green Power Systems LLC through its subsidiary, Renewable Fuels of Tallahassee LLC, will install a plasma arc gasifier system that uses plasma torches to convert waste into synthesis gas (syngas), which can be injected into a combustion turbine for the production of electricity. Green Power Systems consists of Jacksonville businessmen and former electric utility executives who share a clean energy vision for Florida's future...Read More »



Senate Farm Bill Will Include CAFO Study

Senate agriculture committee leaders will attach a requirement in the pending Farm Bill that the U.S. Department of Agriculture (USDA) study the cost of using animal manure as a feedstock in bioenergy production. Supporters of the waiver argue that the cost of bioenergy production would be prohibitive if not exempt from Superfund liability. At issue are long-standing agriculture industry concerns that concentrated animal feeding operations (CAFOs) are subject to Superfund liability. Although Superfund law exempts "normal field application of fertilizer," industry officials are seeking legislation that would also exempt manure storage and waste management practices from the Superfund liability system...Read More »



Startech Hires Firm to Keep Eye on Short Sellers

Waste-to-energy firm Startech Environmental, worried about abusive stock practices, has engaged the services of a short selling research firm. Steve Landa, Startech VP, is concerned about the controversial practice of "naked shorting" by which investors sell shares of stock without first borrowing them. The highly risky position could be employed "as a tool for illegal market manipulation." The SEC takes a dim view of the practice which they watch closely...Read More »



Safety-Kleen Expands into China

Industrial waste management giant Safety-Kleen, in an effort to better serve its customers as they expand globally, announced its planned expansion into China with the opening of an office in Shanghai. The company has existing licensee operations in other parts of Asia including Japan, South Korea, and Thailand. CEO and President Frederick J. Florjancic said that "during the past year, we've been very pleased with the high-quality equipment we have been able to have manufactured in China, and we plan to make Shanghai the hub of our China sourcing operations."...Read More »



Clean Harbors' Profits Off But Still Beats Expectations

Clean Harbors Inc. reported quarterly profit above market estimates, helped by strong landfill volumes and utilization at the its incinerators, and raised full-year outlook. Even though revenues were up by 15%, profits fell by 39% to $12.9 million, or $0.63 per share, hurt by a provision for income taxes and a sharp rise in its tax rate. For the rest of 2007, the company expects continued momentum across all areas of its business and revised its expectations for revenue growth between 12% and 13% year-over-year from an earlier forecast of between 8% and 9%...Read More »



Former Safety-Kleen CFO Sentenced to Five years

Former Safety-Kleen chief financial officer Paul Humphreys has been sentenced to five years and 10 months in prison after admitting to securities and bank fraud charges. Humphreys was accused of artificially inflating earnings in 1998, 1999 and 2000 to meet Wall Street analysts' expectations and to meet earnings targets that were set when the company was acquired by Rollins Environmental Services Inc. in 1998. Safety-Kleen filed for bankruptcy in 2000...Read More »



Waste Management to Test Automated Recycling

Waste Management Inc. has contracted with a Norwegian company Tomra Systems, which makes Automated Recycling Centers (ARC), for delivery and installation of 15 such units. Waste Management plans to pilot the systems in various non-deposit markets in North America in an effort to gauge consumer response to incentive-based recycling...Read More »



Industrial Services of America Third Quarter Revenues Up; Net is Down

Louisville KY-based Industrial Services of America increased revenue and income for its third quarter. Net income took a hit though mainly due to the issuance of restricted stock to the company's newly appointed President Brian G. Donaghy. That resulted in a 3.6 cents per share charge. Revenues for the quarter rose 17% to $17.9 million from $15.3 million a year earlier. The company cited continued demand in the U.S. and internationally as well as higher prices for 'ferrous scrap and other commodities.' Net income fell to $383,159, or $0.11 per share, from $439,568, or $0.12 per share, a year earlier...Read More »



Perma-Fix Environmental Services Slips To Loss In Q3

Despite a modest gain in revenues, Perma-Fix Environmental Services posted a third quarter loss of $1.9 million or $0.04 per share, compared to a profit of $330 thousand or $0.01 per share in the year-ago quarter. Net loss from continuing operations for the quarter were $124 thousand or breakeven per share, compared to a profit of $600 thousand or $0.01 per share in the prior year quarter. Quarterly revenues grew to$13.8 million from $12.1 million in the same quarter last year...Read More »



Avalon Holdings Reports Modest Third Quarter Gains

Avalon Holdings Corp. reported modest gains in third quarter revenues and earnings. Net operating revenues in the third quarter of 2007 increased to $12.1 million compared with $11.1 million in the prior year's third quarter. Net income for the quarter rose to $547 thousand, or $0.14 per share, from $501 thousand, or $0.13 per share, in last year's third quarter...Read More »


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