NEWS RELEASE TRANSMITTED BY CANADIAN CORPORATE NEWS
FOR: AMERICAN ECO CORPORATION
TSE SYMBOL: ECX
NASDAQ SYMBOL: ECGOF
JULY 15, 1998
American Eco To Sell Partial Interest In Usis
HOUSTON, TEXAS--
Company to Sell Notes and Retain One Million USIS Common Shares
The Board of Directors of AMERICAN ECO CORPORATION (NASDAQ: ECGOF,
TSE: ECX), following a meeting held yesterday, announced that it
has signed an agreement in principal to sell the Notes it holds in
U.S. Industrial Services Inc. (USIS) at face value of US$17.2
million, US$5 million to be paid on closing with the balance to be
paid in cash on January 29, 1999. The sale to an investment group
headed by Albert V. Furman III, the Director and Chairman of the
Investment Committee of Texas Heritage Bancorp., is expected to
close on or before July 30, 1998.
In addition, as part of the above transaction, American Eco
intends to exercise its option to convert the remaining US$1.0
million of the Notes and accrued interest that American Eco holds
in USIS into 1.0 million common shares of USIS.
USIS (NASDAQ: USIS) is the new name of EIF Holdings, Inc. after a
1-for-10 share consolidation. American Eco originally held the
Notes in EIF Holdings, Inc. since February 1996. USIS, with
annualized revenues at approximately US$65.0 million, has achieved
a significant profit turnaround over the past 12 months.
American Eco is a leading North American provider of single-source
industrial support and specialty fabrication services in the
energy, pulp & paper, and power generating industries.
Except for the historical information in this press release, the
press release includes forward looking statements that involve
risks and uncertainties including, but not limited to quarterly
fluctuations in results, the management of growth, competition and
other risks detailed in the Company's Securities and Exchange
Commission filings. Actual results may differ materially from
such information set forth herein.
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FOR FURTHER INFORMATION PLEASE CONTACT:
American Eco Corporation - Houston, Texas
Bruce Tobecksen
Senior Vice President And CFO
1-888-774-3246
www.americaneco.com
or
American Eco Corporation - Houston, Texas
Cindy Jackson
Director of Investor Relations
1-888- 774-3246
cindy@americaneco.com
or
American Eco Corporation - New York, New York
Sylvia Dresner
Senior Vice President, VMW Inc.
(212) 605-3140
VMWeiner@aol.com
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