Perma-Fix Environmental Services Receives $5.9 Million from Exercised Warrants
ATLANTA, July 11 /PRNewswire-FirstCall/ -- Perma-Fix Environmental Services, Inc. (Nasdaq: PESI) (BSE: PESI) (Germany: PES.BE) announced that year to date as of July 10, 2006, it had received $5.9 million from the exercise of warrants for approximately 3.4 million shares of common stock at exercise prices between $1.50 to $1.75 per share. Of the 3.4 million warrants exercised, 2.5 million shares of common stock or $4.4 million were exercised by Capital Bank Grawe Gruppe as nominee and agent for certain accredited investors. The warrants priced at $1.75 per share were issued as part of a private placement and a debt to equity exchange agreement both entered into by the Company and completed during July 2001. Additional warrants covering about 3.2 million shares of common stock are scheduled to expire as of July 30, 2006, with an exercise price of $1.75 per share or an aggregate of $5.7 million.
Dr. Louis F. Centofanti, chairman and chief executive officer, stated, "We appreciate the support from our warrant holders, and look forward to using these proceeds, coupled with our strong cash flow, to further strengthen our balance sheet and increase our cash reserves."
Perma-Fix Environmental Services, Inc. is a national environmental services company, providing unique mixed waste and industrial waste management services. The Company has increased its focus on the Nuclear services segment, which provides radioactive and mixed waste treatment services to hospitals, research laboratories and institutions, numerous federal agencies including DOE and the U.S. Department of Defense and nuclear utilities. The Industrial services segment provides hazardous and non-hazardous waste treatment services for a diverse group of customers including Fortune 500 companies, numerous federal, state and local agencies and thousands of smaller clients. The Company operates nine major waste treatment facilities across the country.
This press release contains "forward-looking statements" which are based largely on the Company's expectations and are subject to various business risks and uncertainties, certain of which are beyond the Company's control. Forward-looking statements include, but are not limited to, the information concerning the future prospects for our Company. These forward-looking statements are intended to qualify for the safe harbors from liability established by the Private Securities Litigation Reform Act of 1995. While the Company believes the expectations reflected in this news release are reasonable, it can give no assurance such expectations will prove to be correct. There are a variety of factors which could cause future outcomes to differ materially from those described in this release, including without limitation, future economic conditions; industry conditions; competitive pressures and our ability to apply and market our technologies; that neither the federal government nor any other party to a subcontract involving the federal government terminates or renegotiates any material contract granted to us prior to expiration of the term of the contract, as such contracts are generally terminable or renegotiable on 30 day notice, at the government's option; or the government or such other party to a contract granted to us fails to abide by or comply with the contract or to deliver waste as anticipated under the contract; that pending or future litigation or administrative proceeding (including, but not limited to, the pending proceedings brought by the U.S. Environmental Protection Agency against Perma- Fix of Dayton, Inc. ["PFD"] alleging that PFD's operations require it to operate under a title V Air permit and a citizens' suit against PFD alleging similar matters) is resolved unfavorably to us; and the additional factors referred to under "Special Note Regarding Forward-Looking Statements" of our 2005 Form 10-K and the Forward-Looking Statements discussed in our Form 10-Q for the first quarter of 2006. The Company makes no commitment to disclose any revisions to forward-looking statements, or any facts, events or circumstances after the date hereof that bear upon forward-looking statements.
Please visit us on the World Wide Web at http://www.perma-fix.com .
SOURCE Perma-Fix Environmental Services, Inc.
CONTACT: Dr. Louis F. Centofanti, Chairman and CEO, Perma-Fix
Environnemental Services, Inc., +1-770-587-5155; or David K. Waldman-US
Investor Relations, Crescendo Communications, LLC, +1-212-671-1020, ext. 101,
or dwaldman@crescendo-ir.com; or Herbert Strauss-European Investor Relations,
+011-43-316-296-316, or herbert@eu-ir.com; or Stephanie Stern, Stern & Co.,
+1-212-888-0044, all for Perma-Fix Environnemental Services
Released July 11, 2006