SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, DC 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934
Date of Report (Date of Earliest Event Reported) - May 15, 2000
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AMERICAN ECO CORPORATION
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(Exact name of registrant as specified in its charter)
Ontario, Canada 0-10621 52-1742490
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(State or other jurisdiction (Commission File Number) (IRS Employer
of Incorporation) Identification No.)
154 University Avenue, Toronto, Ontario M5H 3Y9
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(Address of principal executive offices) (zip code)
Registrant's telephone number, including area code - (416) 340-2727
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Not Applicable
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(Former Name or Former Address, if changed since last report)
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Item 5. Other Events.
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On May 15, 2000, American Eco Corporation (the "Company") announced
that it was deferring its semi-annual interest installment payment due on May
15, 2000 on its 9-5/8% Senior Notes (the "Senior Notes") due 2008, which had
been issued under an Indenture, dated as of May 21, 1998. As of May 15, 2000,
the outstanding principal balance on the Senior Notes was $117.5 million. Under
the Indenture, an Event of Default is the default by the Company in payment when
due of interest on the Senior Notes and such default continues for a period of
30 days. The Company's Board of Directors decided to defer the interest payment
in order to facilitate discussions during the grace period among the Company and
its financial advisors, the holders of the Senior Notes and the agent and
lender of the Company's principal secured credit facility.
The Company's Board of Directors also decided that the Annual Meeting
of Shareholders scheduled for May 30, 2000 be adjourned for 30 days to provide
time for the Company to make a meaningful presentation to the shareholders of
plans for strategic alternatives for restructuring the Company's indebtedness.
Item 7. Financial Statements and Exhibits.
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(c) Exhibits
99. Press Release, dated May 15, 2000.
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SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934,
the registrant has caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.
AMERICAN ECO CORPORATION
(Registrant)
Dated: May 15, 2000 By: /s/ Michael E. McGinnis
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Michael E. McGinnis,
President
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EXHIBIT INDEX
Exhibit Description
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99 Press Release, dated May 15, 2000
[GRAPHIC OMITTED][GRAPHIC OMITTED]
NEWS RELEASE
American Eco CORPORATION
FOR IMMEDIATE RELEASE
AMERICAN ECO DEFERS
SENIOR NOTE INTEREST PAYMENT,
INTENDS TO ADJOURN ANNUAL MEETING
TORONTO, May 15, ?000 - AMERICAN ECO CORPORATION (NASDAQ: ECGO, TSE: ECX)
announced that it has deferred its interest payment due May 15th on its Senior
Notes. This decision is intended to facilitate discussions during the 30-DAY
grace period, among the Company, its financial advisors Houhhan Lokey Howard &
Zukin capital, the Note holders and GE Capital concerning strategic alternatives
for restructuring Amenean Eco's current indebtedness.
American Eco Board Chairman, J.C.Pennie, also announced that The Annual
Shareholders meeting scheduled for May 30, 2000 will be adjourned for 30 days,
to provide time for the Company to be able to make a meaningful presentation to
the shareholders of its plans for capital restructuring.
The Company previously announced the appointment of Houlihan Lokey Howard &
Zukin Capital as a financial advisor to consider strategic alternatives for the
Company. It is expected that there will be announcements concerning these
alternatives prior to the adjourned Annual Meeting.
AMERICAN ECO is a consolidator of outsourcing services to the energy, pulp &
paper, power generation and construction management service industries, who
recently announced its intention to change its name to global outsourcing
corporation at its adjourned Annual Meeting on June 30, 2000.
Except for the historical information in this News Release, the News Release
includes forward looking statements that involve risk and uncertanities
including, but not limited to quarterly fluctuations in results, the management
of growth, compensation and other risks actual results may differ materially
from such information set forth herein.
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www.globaloui.com
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www.americaneco.coxn
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[email protected]
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Investor Relations 281-774-7000
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