EXHIBIT 99
NEWS RELEASE
THURSDAY, AUGUST 8, 2002
Contact: Chad Hyslop (208) 331-8400
chyslop@americanecology.com www.americanecology.com
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AMERICAN ECOLOGY FULLY RESOLVES FEDERAL INVESTIGATION
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OF OAK RIDGE, TENNESSEE SUBSIDIARY
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BOISE, Idaho - Steve Romano, President and Chief Executive Officer of
American Ecology Corporation [NASDAQ: ECOL], announced that subsidiary American
Ecology Recycle Center (AERC) of Oak Ridge, Tenn. has fully resolved a
longstanding investigation by the United States Attorney's Office for the
Eastern District of Tennessee and other federal agencies. Today, attorneys
representing AERC entered a guilty plea in United States District Court for the
Eastern District of Tennessee to a single felony count of storing hazardous
waste without the necessary permit at the subsidiary's Oak Ridge facility from
1997 to 2000. AERC also paid a $10,000 fine. The plea agreement recognizes the
company's recent, voluntary contributions of $12,500 to the Tennessee Wildlife
Resources Agency and $12,500 to the Tennessee Valley Authority Police to support
environmental training and enforcement.
"The past, improper management of these materials was an unacceptable
departure from American Ecology's commitment to the highest standards of
compliance with environmental regulations," Romano stated, adding "Today's plea
agreement resolves all outstanding matters regarding these past practices."
AERC purchased the Oak Ridge facility from Quadrex Corporation in 1994. In
the months previous to purchasing the facility, a fire in a treatment process
area at the facility resulted in the creation of contaminated liquid, which
became AERC's responsibility with the acquisition. In 2000, AERC entered a
Consent Agreement, paid a related $100,000 civil penalty
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to the U.S. Environmental Protection Agency for storing hazardous material
without a permit, and obtained the required permit. The waste was properly
removed and disposed of in December 2000.
"The senior managers responsible for the Oak Ridge subsidiary when this
problem arose are no longer employed by the company," Romano added, concluding,
"The final resolution of this long-standing legal matter demonstrates the
Company's commitment to addressing environmental and regulatory issues in a
responsible fashion."
American Ecology Corporation, through its subsidiaries, provides
radioactive, PCB, hazardous and non-hazardous waste services to commercial and
government customers throughout the United States, such as nuclear power plants,
steel mills, medical and academic institutions and petro-chemical facilities.
This press release contains forward-looking statements based on current
expectations, beliefs, and assumptions. Actual results and outcomes may differ
materially from what is expressed herein and no assurance can be given that
resolution of this or any legal matter will result in improved financial
performance at the Oak Ridge facility. For information on risk factors that
could cause actual results to differ from expectations or could adversely impact
operations, please refer to American Ecology Corporation's Report on Form 10-K,
and most recent Form 10-Q filed with the Securities and Exchange Commission.
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