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Clean Harbors Completes Acquisition Of Safety-Kleen

Clean Harbors, Inc. (“Clean Harbors”) (NYSE: CLH), the leading provider of environmental, energy and industrial services throughout North America, today announced the completion of its acquisition of Safety-Kleen, Inc., a leading provider of parts cleaning and environmental services and the largest re-refiner and recycler of used oil in North America. Clean Harbors purchased Safety-Kleen in an all-cash transaction valued at approximately $1.25 billion, financed through the combination of $289 million of existing cash, $370 million in net proceeds from its recently completed follow-on offering of common stock and $591 million in net proceeds from its recently completed Senior Notes offering.

“The acquisition of Safety-Kleen aligns perfectly with our strategy of expanding our Environmental Services business in North America,” said Alan S. McKim, Chairman and Chief Executive Officer. “Safety-Kleen brings well-established leadership positions in several important markets, including parts cleaning, small quantity waste generators and used oil recycling. We expect the transaction to drive a substantial increase in waste volumes into our waste disposal treatment network. Safety-Kleen services more than 200,000 customer locations – we are looking forward to the substantial cross-selling opportunities we anticipate across our combined customer base. In addition, Safety-Kleen’s re-refining and recycling capabilities significantly broadens our existing portfolio of services and enhances the sustainability offerings available to our customers. We believe this transaction greatly enhances shareholder value and will support our growth momentum in 2013 and beyond. We welcome Safety-Kleen’s employees to the Clean Harbors team and look forward to advancing our combined organization.”

Based on the current operating and anticipated future performance of Safety-Kleen, Clean Harbors expects the acquisition will be immediately accretive, excluding one-time fees and acquisition-related expenses. For 2012, Safety-Kleen expects revenues of approximately $1.35 billion and adjusted EBITDA of approximately $160 million. For 2013, Clean Harbors expects that on a combined basis with Safety-Kleen, it will have revenues in the range of $3.72 billion to $3.77 billion. The Company expects its combined 2013 adjusted EBITDA to be in the range of $605 million to $620 million, including approximately $30 million of acquisition-related synergies. These combined estimates include the previously announced stand-alone revenues for Clean Harbors in the range of $2.30 billion to $2.35 billion and adjusted EBITDA in the range of $425 million to $435 million.

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