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Press releases, Paris, France, 01/24/2003

SUEZ and Atlanta reach a mutual dissolution agreement for the City's drinking water services contract

 

United Water Services Atlanta (a SUEZ subsidiary) and the City of Atlanta, Georgia announced they have reached a mutual dissolution agreement for the contract they signed in 1999 to produce and provide drinking water to the area's two million residents.

Despite United Water Services Atlanta’s performance record* on operating, financing, and service quality levels, it has not been possible to reach an agreement with the new City government to continue to operate Atlanta's drinking water system in a manner consistent with SUEZ'S profit criteria.

On January 9, the Group announced their 2003-2004 action plan. Within this framework, SUEZ is much more demanding, with regard to its partners' upholding their contractual obligations. Throughout the world, SUEZ has always respected its obligations and will continue to do so. It expects the same level of commitment from its partners.

In the United States, United Water performs over 100 water and sanitation services contracts** for municipalities such as Jersey City and Indianapolis. In addition, United Water has recently been selected to manage drinking water and sanitation systems for such cities as Halifax, Nova Scotia; Laredo, Texas; and Lawrence, Massachusetts. Furthermore, in 2002, with the Commonwealth of Puerto Rico, SUEZ won the world's largest water system operations and maintenance contract.

* As established by recent performance reviews undertaken at the request of the City of Atlanta where United Water Services Atlanta posted scores averaging 97 out of 100.

** United Water 2001 revenues: USD 550 million - United Water Services Atlanta revenues: USD 20 million per year.


More about SUEZ

SUEZ is an international services group serving industrial, individual, and municipal customers. SUEZ is world-class player in each of its businesses: energy and environment. It generated 2001 revenues of EUR 42.4 billion, 87% of which originated in Europe and North America.

SUEZ (SZE) is listed on Euronext Paris and Euronext Brussels, as well as on the Luxembourg, Zurich and New York Stock Exchanges.
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