HARRISBURG, Pa., Nov. 2, 2005 (PRIMEZONE) -- Worldwide industrial services and products company Harsco Corporation (NYSE:HSC) announced today its third new contract for railway track maintenance services within the last 90 days, adding to its growing portfolio of multi-year contract service programs with major railway customers.
The latest award, for mainline rail grinding services, could generate new revenues of approximately $90 million over its projected seven-year term. The contract includes, in addition to rail grinding, the pre-evaluation of track and general management of grinding operations. This full-service program scope is believed to be the first of its kind in this field. Work is scheduled to begin in mid-2006. Rail grinding removes surface irregularities and restores the profile of the rail to provide longer rail life, reduce wear on rolling stock and track components, and cut fuel consumption.
The award continues Harsco's objectives for increasing the services component of its Harsco Track Technologies (HTT) railway track maintenance division, consistent with the Company's overall growth strategies. In August, Harsco announced a similar multi-year contract for rail grinding services that is expected to generate revenues of more than $70 million over its term, while last month, Harsco announced another new contract introducing an innovative new ballast cleaning service, which is generating interest from other potential customers as well. With the addition of these latest contracts, the HTT division anticipates that contract service revenues will represent approximately 40 percent of its total revenues next year, up from 26 percent just three years ago.
Harsco Corporation is a diversified, worldwide industrial services and products company with annual sales in excess of $2.5 billion. The company's four market-leading business groups provide mill services, access services, engineered products and services, and gas containment and control technologies to customers worldwide. Harsco employs approximately 18,500 people at over 400 locations in more than 40 countries of operation. Additional information about Harsco, including its Harsco Track Technologies division, can be found at www.harsco.com.
The Harsco Corporation logo is available at: http://www.primezone.com/newsroom/prs/?pkgid=361