[GRRN] Waste Management/Eastern Environmental Merger
RecycleWorlds (anderson@msn.fullfeed.com)
Tue, 5 Jan 1999 09:58:24 -0600
Following the merger of USA Waste and Waste Management, the new firm,
coined the New Waste Management, announced a merger with Eastern
Environmental (a major regional integrated hauler in the northeast). This
merger was opposed by the US Department of Justice, New York, Virginia and
Florida, which sued to stop the merger, pending negotiations on possible
spin offs. Of especial concern was the fact that Eastern was one of only
three qualified bidders to transfer to another hauler New York City's waste
out of state after Fresh Kills landfill closes by 2002.
The 1/4/99 Wall Street Journal reported that the case was settled, with
New Waste Management agreeing to spin off Eastern's bid to another hauler.
Not stated is whether the spin off will to a truely independent hauler or
to one of the haulers which has foreshadowed a tendency to cooperate at
increasing margins instead of competing for greater market share.
____________________________________
Peter Anderson
RecycleWorlds Consulting
4513 Vernon Blvd. Ste. 15
Madison, WI 53705-4964
Phone:(608) 231-1100/Fax: (608) 233-0011
E-mail:recycle@msn.fullfeed.com