Exhibit 99.1
FOR IMMEDIATE RELEASE Contact: Wade Gates/John Kyte
(803) 933-4224
SAFETY-KLEEN SEEKS CHAPTER 11 PROTECTION
Company Announces 1-888-94-KLEEN Hotline for Customers
COLUMBIA, South Carolina (June 9, 2000) - Safety-Kleen Corporation (NYSE: SK)
announced today that it and 73 of its U.S. subsidiaries filed voluntary
petitions for Chapter 11 relief in the United States Bankruptcy Court for the
District of Delaware. The Company filed these petitions with the support and
cooperation of its existing group of senior secured lenders holding in excess of
$1.6 billion in claims against the Company. Safety-Kleen's operations in Canada
and Mexico were not part of the bankruptcy filings.
The Company also announced that it is finalizing arrangements for initial
debtor-in-possession (DIP) financing from a syndicate of banks and financial
institutions to support operations during the reorganization process.
"The Chapter 11 filing is an extremely important step in getting our financial
house in order and improving Safety-Kleen's overall cash flow," said David E.
Thomas, Jr, Chairman and Chief Executive Officer. "We are especially pleased by
the continued support by the Company's lenders during these difficult
circumstances. We believe this continued support is a vote of confidence in the
Company and its future."
"Our customers and employees will be largely unaffected by the Chapter 11
process," said Grover Wrenn, President and Chief Operating Officer. "In
particular, customers will continue to receive the same high-quality, reliable
services that they have come to expect from Safety-Kleen. We do not expect any
interruption in normal business operations at any of our facilities."
Safety-Kleen has established a special toll-free information line for its
customers, suppliers and shareholders. These individuals are invited to call
1-888-94-KLEEN for current news and information regarding the Company's Chapter
11 filing.
"We still face significant challenges," Thomas said, "but with the capable and
experienced management team we have in place, the support of our lenders and
regulatory agencies, and our dedicated workforce of more than 10,000 people, I
believe we can complete a financial restructuring and implement a successful
turnaround plan."
(more)
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Based in Columbia, South Carolina, Safety-Kleen Corp. is the largest industrial
and hazardous waste management company in North America, serving more than
400,000 customers in the U.S. and Canada.
Private Securities Litigation Reform Act:
Forward-looking statements in this release are made pursuant to the safe harbor
provisions of the Private Securities Litigation Reform Act of 1995. Investors
are cautioned that all forward-looking statements involve risks associated with
the uncertainty of market acceptance of the Company's products, limited number
of customers, as well as risks of downturns in economic conditions generally,
risks associated with competition and competitive pricing pressures, and other
risks detailed in the Company's filings with the Securities and Exchange
Commission.
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