Aegion Corporation (“Aegion” or the “Company”) (Nasdaq Global Select Market: AEGN) announced today that its subsidiary, Insituform Technologies USA, LLC (“Insituform”), has been awarded a $6.3 million contract from the City of Springfield, Missouri for the rehabilitation of over 114,000 feet of small-, medium- and large-diameter sewer pipelines.
The City of Springfield has initiated a four-year improvement plan valued at up to $30 million to eliminate infiltration issues impacting the integrity of its sewer pipelines. This project is the first year of the planned improvements and will include sewer pipeline inspection using closed-circuit television, manhole rehabilitation and the installation of cured-in-place pipe (CIPP) on laterals and pipelines. The remaining three years of the improvement plan will include yearly contracts valued at up to $8 million per year. It is expected that each of these remaining contracts will be awarded through a standard competitive bidding process.
Kenneth Foster, Vice President and General Manager of Insituform's North American Rehabilitation West Region, said, “We have been working with the City of Springfield since 1987 and are confident that our minimally disruptive products and services will continue to benefit the residents and businesses of Springfield. We look forward to continuing to work with the City on future pipeline projects as well.”
Work on this project will begin in July and is expected to take approximately eight months to complete. Insituform will utilize its proprietary Air Invert Steam Cure (AISC) method during the CIPP installation. This method reduces water and energy usage on the job site by approximately 95 percent. Insituform will perform the installations in residential and commercial areas throughout the City of Springfield.About Aegion Corporation Aegion Corporation is a global leader in infrastructure protection, providing proprietary technologies and services to protect against the corrosion of industrial pipelines and for the rehabilitation and strengthening of sewer, water, energy and mining piping systems and buildings, bridges, tunnels and waterfront structures. More information about Aegion can be found on its internet site at www.aegion.com. About Insituform Technologies USA, LLC For over forty years, Insituform Technologies USA, LLC, a subsidiary of Aegion Corporation, has been a global leader in the development and installation of proprietary technologies and services for rehabilitating sewer, water and other underground piping systems without digging or disruption. More information about Insituform Technologies can be found on its Internet site at www.insituform.com. Forward-Looking Statements The Private Securities Litigation Reform Act of 1995 provides a “safe harbor” for forward-looking statements. The Company makes forward-looking statements in this news release that represent the Company’s beliefs or expectations about future events or financial performance. These forward-looking statements are based on information currently available to the Company and on management’s beliefs, assumptions, estimates or projections and are not guarantees of future events or results. When used in this document, the words “anticipate,” “estimate,” “believe,” “plan,” “intend,” “may,” “will” and similar expressions are intended to identify forward-looking statements, but are not the exclusive means of identifying such statements. Such statements are subject to known and unknown risks, uncertainties and assumptions, including those referred to in the “Risk Factors” section of the Company’s Annual Report on Form 10-K for the year ended December 31, 2011, as filed with the Securities and Exchange Commission on February 29, 2012 and in the Company’s subsequent quarterly reports on Form 10-Q. In light of these risks, uncertainties and assumptions, the forward-looking events may not occur. In addition, the Company’s actual results may vary materially from those anticipated, estimated, suggested or projected. Except as required by law, the Company does not assume a duty to update forward-looking statement, whether as a result of new information, future events or otherwise. Investors should, however, review additional disclosures made by the Company from time to time in its periodic filings with the Securities and Exchange Commission. Please use caution and do not place reliance on forward-looking statements. All forward-looking statements made by the Company in this news release are qualified by these cautionary statements.