ACAP acquires yet another tree service.
This just in from Barry Goverman.
AMCOR Capital Corporation Shareholder
Services NEWS RELEASE
1600 Washington Street, Stoughton, MA 02072 - (781) 341-1348
NASDAQ: ACAP
AMCOR Capital Corporation to Acquire Economy Tree Service
Coachella, California -- March 19, 1998 -- AMCOR Capital Corporation
("AMCOR" or the "Company"; ACAP:NASDAQ) is pleased to announce that it
has entered into a definitive agreement to acquire Economy Tree Service
("Economy") based in the City of Artesia, California.
Economy is a privately owned tree maintenance and green waste recycling
company that services residential, commercial, industrial, municipal and
school district customers in southern California. AMCOR intends to lend
its financial resources and bonding capabilities to its new subsidiary.
The Company believes that this will enable Economy to bid on more
commercial and industrial contracts and thereby significantly increase
its current annual revenues of $400,000.
AMCOR is the only public company with a biomass operation (green waste
and tree maintenance). The Company plans to take a leadership position
in this rapidly expanding industry through the acquisition and
consolidation of, among others, small, privately held companies that
currently operate in the biomass industry. The acquisition of Economy is
AMCOR's second acquisition within the last year. AMCOR's first
acquisition has already increased its projected annual biomass revenues
by over 50% (to $3 million in annualized revenues) since its acquisition
in November 1997
AMCOR believes it will achieve significant growth in its biomass
business as governmental agencies privatize these services by awarding
long term and renewable contracts to private businesses. In addition,
the Company believes the implementation of the California Integrated
Waste Management Act of 1989 (AB 939), which mandates that
municipalities must divert 50% of their waste stream from landfills by
the year 2000, will contribute to a significant rise in AMCOR's biomass
revenues.
AMCOR has three operating divisions: a fully integrated agricultural
division, which produces over 150 million pounds of food products
annually in California and Oregon; a biomass division which is engaged
in green waste recycling and municipal, county and State tree
maintenance in California and; a transitional land planning/development
division which manages a portfolio of development properties in
California and Texas.
AMCOR maintains a presence on the Internet at www.amcorcapital.com.
____________________________
"Safe Harbor" Statement Under the Private Securities Litigation Reform
Act of 1995 - With the exception of historical information, the matters
discussed in this press release are "forward-looking statements" that
involve a number of risks and uncertainties. The actual future results
of the Company could differ significantly from those statements due to
factors including, but not limited to : risks associated with managing
the Company's growth; the Company's ability to lend its financial
resources and bonding capabilities to Economy and Economy's ability to
successfully use such resources and capabilities to achieve revenue
increases; the continuation of the current trend in privatization of
biomass services and ability of the Company to take advantage of such
trend; general economic conditions; various conditions specific to the
agribusiness, real estate development, municipal tree trimming and green
waste processing industries; and factors discussed in the Company's
annual report on Form 10-KSB for the fiscal year ended August 31, 1997
/For further information contact:
AMCOR Capital Corporation
Fred H. Behrens, Chairman (760) 398-9520
Barry Goverman, AMCOR Shareholder Services (781) 341-1348
E-mail: bgoverman@worldnet.att.net
Overseas Investor Relations, Jacques Genicot (U.S.
Access)+1+760 630 7472 |
