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Shakeup at Covanta Even as Q3 Shows Improvement

Date: October 29, 2020

Source: Covanta Holding Corporation

Covanta reported strong third quarter results reflective of the recovering economy in the wake of the pandemic, with year-over-year pricing improvement of 3 percent and waste volumes returning to near pre-pandemic levels. At the same time, Sam Zell, Chairman of the Board said the company is launching a strategic review of the company's operations, growth priorities, and capital structure and said that Michael Ranger has been appointed as President and CEO to lead the review. During its call with investors, Ranger said "there are no preset expectations for this review, and it has no scheduled end date."

Third quarter revenue grew to $491 million from $465 million a year earlier as price growth contributed $5 million, while lower volumes led to a $1 million headwind. Energy revenue too was down year-over-year.

PRESS RELEASE

You can view the company's presentation here: Q3 2020 Press Release.