IES Sells Two Business Units

May 13, 2005
Integrated Electrical Services Inc., Houston, has completed the sale of substantially all of the assets of Energy Systems Inc., based in Idaho, and Tech Electric Corp., a North Carolina corporation, for a combined sales price of approximately $3.2 million in cash.

Integrated Electrical Services Inc., Houston, has completed the sale of substantially all of the assets of Energy Systems Inc., based in Idaho, and Tech Electric Corp., a North Carolina corporation, for a combined sales price of approximately $3.2 million in cash. These units had combined revenues of $13.3 million and operating income of $0.6 million for the previous 12 months. The majority of the net proceeds from this sale will be used to retire IES’ senior secured indebtedness.

On a cumulative basis since November 29, 2004, IES has completed 10 sales for approximately $28.5 million in cash. During fiscal 2004, these 10 units produced combined revenues of $140.1 million and operating income of $4.2 million.