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Angelica Announces Acquisition in Northern Ohio

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FOR IMMEDIATE RELEASE

ST. LOUIS , MISSOURI

August 9, 2005

 

Angelica Announces Acquisition in Northern Ohio

ST. LOUIS, Missouri (August 9, 2005) — Angelica Corporation (NYSE:AGL), today announced that it has acquired customer contracts and selected assets located in the Cleveland, Ohio and upstate New York areas. These contracts represent approximately $3.1 million in annual revenues and were primarily serviced by Bob White Services, Inc. The new customers will be served by Angelica's existing operations in Lorain , Ohio and Batavia , New York . Terms of the transaction were not disclosed.

Commenting on the transaction, Steve O'Hara, Angelica's CEO said, “These tuck-in acquisitions strengthen Angelica's presence and increase our market share in the Northern Ohio and upstate New York regions, as well as improve our capacity utilization in our Lorain and Batavia facilities. We look forward to serving these new customers for a long time.” He added, “We will continue to seek additional opportunities that can expand and solidify our existing market presence or open adjacent new markets.“

 

Angelica Corporation, traded on the New York Stock Exchange under the symbol AGL, is a leading provider of textile rental and linen management services to the U.S. healthcare market. More information about Angelica is available on its website, www.angelica.com

 

Forward-Looking Statements

 

Any forward-looking statements made in this document reflect the Company's current views with respect to future events and financial performance and are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Such statements are subject to certain risks and uncertainties that may cause actual results to differ materially from those set forth in these statements. These potential risks and uncertainties include, but are not limited to, competitive and general economic conditions, the ability to retain current customers and to add new customers in competitive market environments, competitive pricing in the marketplace, delays in the shipment of orders, ability to mitigate work disruptions at our plants arising from a union's corporate campaign against the Company, availability of labor at appropriate rates, availability and cost of energy an water supplies, the cost of workers' compensation and healthcare benefits, the ability to attract and retain key personnel, the ability of the Company to recover its seller note and avoid future lease obligations as part of its sale of Life Uniform, the ability of the Company to accomplish its strategy of redirecting its resources to its healthcare linen management business in a timely and financially advantageous manner, unusual or unexpected cash needs for operations or capital transactions, the effectiveness of certain expense reduction initiatives, the ability to obtain financing in required amounts and at appropriate rates and terms, the ability to identify, negotiate, fund, consummate and integrate acquisitions, and other factors which may be identified in the Company's filings with the Securities and Exchange Commission.

 

 

For additional information contact:

JIM SHAFFER
CHIEF FINANCIAL OFFICER or
COLLEEN HEGARTY

DIRECTOR OF INVESTOR RELATIONS

ANGELICA CORPORATION
(314) 854-3800

 
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