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Calgon Carbon Awarded 10-Year Contract for Reactivation Services by the City of Glendale, AZ
PITTSBURGH, PA – 11/04/2013
Calgon Carbon Corporation (CCC: NYSE) announced that the company and the City of Glendale, Arizona (Glendale), have signed a ten-year contract to provide reactivation services for activated carbon used to treat the city’s drinking water. The value of the contract will depend upon the amount of spent activated carbon that is reactivated annually, which is expected to be approximately 1.25 million pounds.
Glendale is using granular activated carbon (GAC) in response to the U.S. Environmental Protection Agency’s Stage 2 Disinfectants and Disinfection Byproducts Rule which establishes maximum levels at which disinfection byproducts (DBPs) are permitted to be present in drinking water. The GAC removes organic compounds from the water, reducing the formation of byproducts after the addition of chlorine. The city of Glendale chose this method rather than replacing chlorine with alternative disinfectants which would not be as effective and would produce other potentially harmful byproducts. Glendale has been using reactivated GAC for several years, and expects to realize significant savings under this new contract.
This is the third ten-year reactivation services contract that the company has secured in Arizona since the beginning of 2012. In March 2012, the company signed a ten-year contract with the City of Phoenix, Arizona, and in June 2012, the company signed another ten-year contract with the City of Scottsdale, Arizona. To support the needs of these three cities, as well as other cities throughout the southwestern United States, the company constructed a new state-of-the art reactivation facility in Gila Bend, Arizona. The reactivation facility, which began operations in April 2013, is owned and operated by Calgon Carbon and has an annual reactivation capacity of approximately 25 million pounds.
Commenting on the award, Bob O’Brien, executive vice president and chief operating officer of Calgon Carbon, said, “This contract affirms the city of Glendale’s commitment to the use of GAC as their primary means of complying with the US-EPA’s disinfection byproducts regulations. The city has been using reactivated carbon for a number of years, and their willingness to enter into a long-term contract demonstrates their belief in the economic and environmental benefits of reactivated GAC for drinking water treatment.”
The city of Glendale, Arizona, located on the west side of the Phoenix metropolitan area is a community of about 226,000 residents and has over 62,000 water customers. For additional information on Glendale’s Water Services Department, visit www.glendaleaz.com/waterservices.
For more information about Calgon Carbon’s leading activated carbon and ultraviolet technology solutions for municipalities and industries, visit calgoncarbon.dev.
Calgon Carbon Corporation, headquartered in Pittsburgh, Pennsylvania, is a global leader in services and solutions for making water and air safer and cleaner.
This news release contains historical information and forward-looking statements. Forward-looking statements typically contain words such as “expect,” “believe,” “estimate,” “anticipate,” or similar words indicating that future outcomes are uncertain. Statements looking forward in time, including statements regarding future growth and profitability, price increases, cost savings, broader product lines, enhanced competitive posture and acquisitions, are included in the company’s most recent Annual Report pursuant to the “safe harbor” provision of the Private Securities Litigation Reform Act of 1995. They involve known and unknown risks and uncertainties that may cause the company’s actual results in future periods to be materially different from any future performance suggested herein. Further, the company operates in an industry sector where securities values may be volatile and may be influenced by economic and other factors beyond the company’s control. Some of the factors that could affect future performance of the company are changes in, or delays in the implementation of, regulations that cause a market for our products, acquisitions, higher energy and raw material costs, costs of imports and related tariffs, labor relations, capital and environmental requirements, changes in foreign currency exchange rates, borrowing restrictions, validity of patents and other intellectual property, and pension costs. In the context of the forward-looking information provided in this news release, please refer to the discussions of risk factors and other information detailed in, as well as the other information contained in the company’s most recent Annual Report.
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Gail A. Gerono
Vice President – Investor Relations and Communications
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