TRC
Awarded $15.7 Million Exit Strategy Contract
WINDSOR, Connecticut
- Jan 14, 2005 (BUSINESS WIRE) - TRC
(TRR, Trade) announced today that it signed an
Exit Strategy contract valued at $15.7 million
with Tecumseh Products Company (TECUA, Trade)(TECUB,
Trade) to assume responsibility for the environmental
closure of the Hayton Area Remediation Project
located in New Holstein, Wisconsin.
In this transaction, TRC
assumed the guaranteed fixed price liability
for the cleanup of PCB sediments which may have
originated from the Tecumseh Products Company
New Holstein, Wisconsin plant site and culminated
at a 30 acre pond located a few miles downstream
from the facility. TRC is tasked with completing
the investigation, design, remedial implementation,
and monitoring obligations for the project.
TRC is also a party to a Consent Order with
the Wisconsin Department of Natural Resources,
the primary environmental oversight agency for
the cleanup, which recognizes TRC's responsibility
to complete the required work.
A comprehensive insurance
and risk management program for the project
has been structured with AIG Environmental,
a member company of American International Group,
by The Hylant Group. This program, with
a combined policy limit of $41 million, protects
against known and unknown environmental issues
at the sites for a period of 20 years, substantially
longer than the anticipated duration of the
project.
"The TRC Exit Strategy program,
in conjunction with the associated environmental
insurance program, provided the degree of financial
certainty we needed to best resolve our environmental
compliance obligations for this project," said
James S. Nicholson, VP, Treasurer and CFO, Tecumseh
Products Company. "This program is consistent
with our desire to be environmentally responsible
in that it funds a comprehensive solution and
aids in the orderly resolution of the cleanup."
"This transaction reveals
our continuing commitment to resolve the complex
environmental obligations of our clients," said
Mike Salmon, TRC Senior Vice President. "The
HARP project assigns to us the regulatory compliance
requirements that have concerned Tecumseh for
several years in the past, and would have continued
for several years into the future. From this
point forward, we will substitute for our client
in the role of completing the regulatory requirements
for the affected area."
About TRC Companies, Inc.
Named one of FORTUNE Magazine's
100 Fastest Growing Companies in 2003, Forbes
Top 200 Best Small Companies and Business Week's
Top 100 Hot Growth Companies, TRC is a customer-focused
company that creates and implements sophisticated
and innovative solutions to the challenges facing
America's environmental, infrastructure, power,
and transportation markets. The Company is also
a leading provider of technical, financial,
risk management, and construction services to
both industry and government customers across
the country. For more information, visit TRC's
website at www.TRCsolutions.com.
Forward-Looking Statements
Certain statements
in this press release may be 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. You
can identify these statements by forward-looking
words such as "may," "expects," "plans," "anticipates,"
"believes," "estimates," or other words of similar
import. You should consider statements that
contain these words carefully because they discuss
our future expectations, contain projections
of our future results of operations or of our
financial condition, or state other "forward-looking"
information. We believe that it is important
to communicate our future expectations to our
investors. However, there may be events in the
future that we are not able to accurately predict
or control and that may cause our actual results
to differ materially from the expectations we
describe in our forward-looking statements.
Investors are cautioned that all forward-looking
statements involve risks and uncertainties,
and actual results may differ materially from
those discussed as a result of various factors,
including, but not limited to, the availability
and adequacy of insurance, the uncertainty of
our operational and growth strategies, the challenges
inherent in integrating newly acquired businesses,
regulatory uncertainty, the availability of
funding for government projects, the level of
demand for the Company's services, product acceptance,
industry-wide competitive factors, the ability
to continue to attract and retain highly skilled
and qualified personnel, and political, economic,
or other conditions. Furthermore, market trends
are subject to changes, which could adversely
affect future results. See additional discussion
in the Company's Annual Report on Form 10-K
for the fiscal year ended June 30, 2004, and
other factors detailed from time to time in
the Company's other filings with the Securities
and Exchange Commission.
SOURCE: E*TRADE Securities LLC via TRC
Dick Ellison, 949-727-7390
dellison@trcsolutions.com
Mike Salmon, 949-727-7350
or
Investor Contact:
Berkman Associates, 310-277-5162
info@BerkmanAssociates.com
