LATE BREAK: Allied Waste, American Disposal Agree to Merge

WORLD WASTES STAFF

SCOTTSDALE, ARIZ., & BURR RIDGE, ILL. Allied Waste Industries (NASDAQ: AWIN) and American Disposal Services (NASDAQ: ADSI) have agreed to merge by the end of fourth quarter 1998. Unanimously approved by both companies' board of directors, the combined company, "Allied Waste Industries," will be based in Scottsdale, Ariz.

American shareholders will receive 1.65 shares of Allied common stock for each share of American common stock. Allied will issue approximately 40.7 million shares in the transaction, representing a transaction equity value of approximately $1.1 billion, based on Allied's stock closing price on August 10, 1998.

The combined company has current annualized revenues of approximately $1.5 billion and will be the market leader in 25 states with 109 collection companies, 67 transfer stations and 69 landfills. It is expected that Allied's debt as a percentage of capital will decline from 69 percent at the end of second quarter 1998 to approximately 60 percent at closing.

Acquisitions Republic Industries Inc., Ft. Lauderdale, Fla., has signed agreements to acquire four automotive dealership groups in Austin, Texas, Atlanta, Torrance, Calif., and Cincinnati to add approximately $500 million in revenue to the company's operations.

Med/Waste Inc., Miami Lakes, Fla., has completed its purchase of Medwaste Inc., Philadelphia. It also has signed definitive agreements to acquire Med-waste Inc., Decatur, Ala., Target Medical Waste Services, Mobile, Ala., and Biotech Disposal Inc., Ft. Lauderdale, Fla.

Earth Tech., Long Beach, Calif., has agreed to acquire Rust Environment & Infrastructure, Bellingham, Wash.