TAMPA, FL, Aug. 20, 2004 (BUSINESS WIRE) -- EarthFirst Technologies Inc. announced today the completion of a common stock exchange agreement with Electric Machinery Enterprises Inc. Effective immediately, EME has become a wholly owned subsidiary of EFTI.
EME is a 70-year-old company based in Tampa, FL. Its principal businesses are: 1) Providing electrical contracting services both as a prime contractor and a subcontractor, electrical support for industrial and commercial buildings, power generation stations, and water and sewage plants in both domestic and foreign markets; 2) Through EME Modular Structures Inc., EME is engaged in the construction of concrete modular buildings, with emphasis on the modular classroom market; and 3) Through EME General Contractors Inc., EME constructs and services towers used in the cellular telephone industry. EME is established as a preferred contractor on Caribbean, Central and South American major construction projects.
EME has been consistently profitable throughout its long history. EFTI has been working closely with EME for more than a year on a reorganization strategy to conclude a bankruptcy filing that was precipitated by an adverse court decision on a disputed construction contract. EFTI plans to complete the consolidation of administrative and operational functions at the 140,000 square foot EME complex located on eleven acres in Tampa, FL.
CEO John Stanton stated, "The acquisition of EME, with 2003 revenues of about $45 million, will provide an ideal platform to commercialize certain of EFTI's technologies. We still have some work to do to confirm a Plan of Reorganization for EME. However, we believe that the conclusion of this transaction will facilitate a successful conclusion of the reorganization process."
EarthFirst Technologies Inc. and its subsidiaries are dedicated to producing environmentally superior products from carbon-rich solid and liquid materials currently considered wastes. The company has conducted more than five years of extensive research and development on advanced technologies to achieve this goal. Its website can be found at www.earthfirsttech.com.
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