PRESS RELEASE - MAY 15, 2007


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          TRANSTECH INDUSTRIES, INC. REPORTS RESULTS

        FOR THE THREE MONTH PERIOD ENDED MARCH 31, 2007

 

 

     PISCATAWAY, N.J., May 15, 2007 - Robert V. Silva, President and Chief Executive Officer of Transtech Industries, Inc. (OTC BULLETIN BOARD:TRTI) announced the results of operations for the three month period ended March 31, 2007.  The Company’s subsidiaries perform environmental services and generate electricity utilizing methane gas as fuel.

 

     Revenues for the electricity generation segment for the three months ended March 31, 2007 and 2006 were $133,000 and $109,000, respectively.  The increase in revenue was due to an increase in kilowatts delivered.  Gross revenues of the environmental services segment for the period in 2007 and 2006 were $272,000 and $253,000, respectively.  The environmental services in both periods were conducted on sites owned or leased by members of the consolidated group and therefore eliminated in the calculation of net revenues.

 

     The cost of operations for the three months ended March 31, 2007 and 2006 were $578,000 and $549,000, respectively.  The net increase was primarily due to increased equipment repair and general operating costs.

 

     Other income for the three months ended March 31, 2007 and 2006 was $114,000 and $275,000, respectively.  The amount reported for 2006 includes $129,000 received in settlement of litigation.

 

     Income tax benefit for the three months ended March 31, 2007 and 2006 was $110,000 and $45,000, respectively.


     Net loss for the three months ended March 31, 2007 was $221,000, or $.07 per share, versus a net loss of $120,000, or $.04 per share, for the period in 2006.

 

     The Company and certain subsidiaries previously participated in the waste recovery and waste management industries.  The Company continues to incur administrative and litigation expenses on matters related to past participation in those industries.  In addition, the Company may incur significant remediation and post-closure costs related to sites of past operations.

 

     This news release may contain forward-looking statements as defined by federal securities laws, that are based on current expectations and involve a number of known and unknown risks, uncertainties and other factors that may cause the actual results, levels of activity, performance or achievements to differ materially from results expressed or implied by this press release.  Such risks and uncertainties include among others, the following: general economic and business conditions; the ability of the Company to implement its business strategy; the Company’s ability to successfully identify new business opportunities; changes in the industry; competition; the effect of regulatory and legal proceedings.  The forward-looking statements contained in this news release speak only as of the date of release; and

the Company does not undertake to revise those forward-looking statements to reflect events after the date of this release.

 

     Presented below are the unaudited consolidated balance sheet as of March 31, 2007 and comparative consolidated statements of operations for the three ended March 31, 2007 and 2006.

    

 

TRANSTECH INDUSTRIES, INC.

AND SUBSIDIARIES

CONSOLIDATED BALANCE SHEET

As of March 31, 2007

(In $000's)

 

Assets

Cash and cash equivalents                              $3,063

Marketable securities                                   2,780

Restricted escrow account                               1,000

Other current assets                                      273

   Total current assets                                 7,116

Restricted escrow account                               6,596

Other assets                                            2,019

   Total assets                                       $15,731

 

Liabilities and Stockholders' Equity

Total current liabilities                             $ 2,075

Income taxes payable                                      878

Accrued post-closure costs                              8,236

Other liabilities                                          23

Stockholders' equity                                    4,519

   Total Liabilities and Stockholders' Equity         $15,731

 

 

 

CONSOLIDATED STATEMENTS OF OPERATIONS

(In $000's, except per share data)

 

                                           For the Three Months

                                             Ended March 31,

                                          2007              2006

Gross Revenues                           $ 405             $ 362

Less: Eliminations                        (272)             (253)

Net Revenues                               133               109

Cost of operations                        (578)             (549)

Other income                               114               275

Income (taxes) benefit                     110                45

Net income (loss)                        $(221)            $(120)

Income (loss) per common share:

  Net income (loss)                      $(.07)            $(.04)

 

Number of shares used in

  calculation                        2,979,190         2,979,190

 

 


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