Improvements in results for the Engineered Products and Environmental Services segments have been offset by lower guaranteed rates of return for the ASWMS joint venture.
As previously reported, on July 12, 1996, BOVAR finalized an agreement with the Province of Alberta ("Province") to acquire, for a nominal sum, the shares of the subsidiary of the Crown which holds the Province's 40 percent interest in the ASWMS and cash of approximately $128 million.
Providing certain conditions are met by the Province, BOVAR has agreed to operate the ASWMS at a level at least able to treat Alberta generated waste delivered to the Facility through 1998.
Since the commencement of importation of PCB waste from east of Manitoba in July 1995, the ASWMS has generated positive operating cash flows from customer revenues after cash operating expenses.
Under the terms of the current operating agreements, the ASWMS continues to receive funding for operating deficiencies and guaranteed rates of return from the subsidiary of the Crown.
During the first quarter, the operations of the ASWMS continued to generate positive cash flow.
As previously announced, BOVAR has entered into a Letter of Intent with the Province of Alberta to acquire the Province's 40 per cent interest in the ASWMS
BOVAR has reached an agreement with the Province of Alberta (Province) whereby the Province transferred its 40 percent interest in the ASWMS
to a subsidiary and paid a total of $139.
BOVAR has entered into a Letter of Intent with respect to continuing negotiations to acquire the Province of Alberta's 40 percent interest in ASWMS
The Province of Alberta has indicated its desire to sell its forty percent interest in the ASWMS
and BOVAR has entered into discussions with the Province of Alberta regarding this desire as well as other issues contained in the joint venture agreements governing the ASWMS