We were graced by an angel ;-)
(BSNS WIRE) GreenMan Technologies Expands Tire Processing Capacity At It
GreenMan Technologies Expands Tire Processing Capacity At Its Jackson, Ga. and
Savage, Minn. Facilities; Expansion Secures Approximately $3 Million of New
Business to Date
Business Editors
LYNNFIELD, Mass.--(BUSINESS WIRE)--March 25, 1998--GreenMan
Technologies, Inc. (NASDAQ: GMTID, GMTWD) (BSE: GMY, GMYW), announced
today that it has increased capacity at its two tire processing
facilities. During December 1997 and January 1998, the company
increased the capacities at Jackson, GA by 100 percent and at Savage,
MN by 20 percent. For a total investment of approximately $400,000,
the company has secured approximately $3,000,000 in new annual
business, to date, to utilize the additional capacity at these two
locations.
With increased capacity at its two tire recycling operations,
GreenMan has secured a number of contracts in both the public and
private sectors. Recent contracts from the private sector include Mead
Corporation, to which the company will begin shipping tire chips next
month -- for a total of 1,250,000 tire equivalents over the next year,
and Blue Circle Cement, to which the company will provide 1,500,000
tire equivalents as Blue Circle's exclusive supplier.
In the public sector, the Georgia State Department of Health and
Regulation, and the Georgia Environmental Protection Department have
recently approved the use of tire chips for septic systems throughout
a 13-county area in the Macon district of the state. This approval
enables GreenMan to provide an expected 1,500,000 tire equivalents in
chip form to this growing market application during 1998. In addition,
the company recently completed a five-site tire pile clean-up for the
City of Atlanta in which 85,000 tires were abated, and provided
approximately 750,000 tire equivalents in chips for use in septic
system applications in and around Atlanta in 1997.
Other business from the public sector includes a recent,
first-ever, Iowa Department of Natural Resources-sponsored tire
clean-up contract to dispose of 250,000 tires in Jefferson, Iowa. This
news followed Nevada, Iowa's (Storey County) renewal of an abatement
contract with the company.
Bob Davis, the company's chief executive officer, said, "This
expansion reflects our continued commitment to enhance profitability
at both the Georgia and Minnesota sites, while moving ever closer to
overall corporate profitability. We are pleased to see our efforts at
attaining the highest quality products and services, while maintaining
strict compliance with environmental and safety requirements at all
our locations, is resulting in increased business from new markets.
Our growing reputation for quality and responsible tire recycling is
of utmost importance in this industry; reputation is key to our
developing new markets and in obtaining new business."
Chuck Coppa, acting chief financial officer, commented, "The
return on our initial investment in expanding capacity in Jackson, GA
and Savage, MN can be realized in one calendar quarter. This increased
capacity also represents a key part of our overall infrastructure for
addressing the growing markets and demands for our higher-value-added
products which incorporate both our GEM-stock technology and newly
awarded U.S. Department of Transportation/Federal Highway
Administration-modified crumb-rubber asphalt technology.
"As a side note, for a period of 20 days following the recent
five for 1 reverse split of our securities, our temporary ticker
symbols on the NASDAQ will be 'GMTID' for the common stock, and
'GMTWD' for the warrants. At the end of this 20-day period, we will
trade under our original symbols of 'GMTI' and 'GMTW', Coppa said."
GreenMan Technologies, Inc. addresses the world-wide issue of
tire disposal. Over 250 million tires are discarded in the U.S.
annually. Through vertically integrated operations, GMTI recycles
scrap tires and plastics into a wide variety of industrial and
consumer products and materials. With plants in Savage, MN, Jackson,
GA, Birmingham, AL, St. Francisville, LA and headquarters in
Lynnfield, MA, operations include tire remediation services,
collection and processing into metal-free chips for civil engineering
and alternative fuel applications and for use internally for crumb
rubber production; production of ultra-fine crumb rubber powders for
use in markets such as modified crumb rubber for asphalt, new tire
manufacture, and for internal use in the manufacture of the company's
proprietary GEM-Stock materials (a raw material made from recycled
plastics and rubber from tires). GEM-Stock is used in the manufacture
of GreenMan end-user products and is marketed to others on a merchant
chemical basis. Through its DuraWear subsidiary, the company
manufactures and markets wear-resistant ceramic, polymer composite and
alloy steel products for bulk material handling systems.
"Safe Harbor" Statement: Under the Private Security Litigation
Reform Act With the exception of the historical information contained
in this release, the matters described herein contain forward-looking
statements that involve risk and uncertainties that may individually
or collectively impact the matters herein described, including but not
limited to product acceptance, economic, competitive, governmental,
results of litigation, technological and/or other factors, outside the
control of the Company, which are detailed from time to time in the
Company's SEC reports, including the report on Form 10-QSB for the
quarter ended November 30, 1997. The Company disclaims any intent or
obligation to update these forward looking statements.
--30--fb/ny*
CONTACT: GREENMAN TECHNOLOGIES, INC.
Cindy Barker
(781) 224-2411
or
Porter, LeVay & Rose, Inc.
Debra Potter
John Chuhran, Media Consultant
(212) 564-4700
KEYWORD: MASSACHUSETTS GEORGIA MINNESOTA
INDUSTRY KEYWORD: ENMED ENVIRONMENTAL TRANSPORTATION GOVERNMENT
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