GREAT WESTERN RECLAMATION, INC. TECHNICAL PROPOSAL PART 1

Home Browse Search

Earnings for the full year were increased by $.18 per share due to the net effect of a nontaxable gain from the April 1992 initial public offering of shares by the Company's Waste Management International plc subsidiary and second quarter special charges primarily relating to the revaluation of the Company's medical waste business and to two of its Chemical Waste Management, Inc. subsidiary's incinerators in addition to the fourth quarter charges discussed above. The Company also previously recorded onetime after-tax charges of approximately $71 million, or $.14 per share, related to the early adoption, effective January 1, 1992, of Financial Accounting Standard No. 109, Accounting for Income Taxes, and Financial Accounting Standard No. 106, Employer's Accounting for Postretirement Benefits Other Than Pensions. Full-year earnings for 1991 included an approximately $.03 per share gain in the second quarter relating to the sale by the Company's Wheelabrator Technologies Inc. subsidiary of its French abrasives business. Excluding these unusual items of income and expense from 1992 and 1991 results, net income for the year was $828,829,000, or $1.68 per share, versus $773,365,000, or $1.57 per share, in 1991. "Our environmental services businesses continued to grow in 1992 despite the effects of the lingering weak economy in North America," said Dean L. Buntrock, Chairman and Chief Executive Officer. "As 1993 begins, we are starting to see some signs of improvement in the economy. "During the past year, we made important organizational changes in our solid and hazardous waste companies, continued our international expansion and created a new group to pursue the environmental engineering, construction and infrastructure services markets. We believe these changes and continued attention to managing costs and improving productivity will help us achieve continued growth in 1993. Should the economy improve, we would expect it to benefit all of our environmental services businesses." In the quarter, Waste Management announced the formation of Rust International Inc., a company which will pursue the environmental, infrastructure, construction and industrial services markets. Rust, which began operations January 1, 1993, was created by combining certain businesses of Wheelabrator Technologies Inc. and Chemical Waste Management, Inc. and the businesses of The Brand Companies, Inc., all Waste Management subsidiaries. These businesses included Wheelabrator's Rust International industrial design, engineering, construction and project management business and its SEC Donohue environmental engineering and consulting business. Chemical Waste Management contributed its Remedial Services Group, its majority interest in The Brand Companies, an industrial services company, and its 12 percent ownership in Waste Management International plc. 2