IUSI to sell Union Metal

International Utility Structures Inc. (IUSI; Calgary, Alberta) has entered into an agreement with an undisclosed U.S.-based purchaser for the sale of its subsidiaries — Union Metal Corp (Canton, OH) and Metal Pole-Lite Inc. (Montreal, Quebec). The transaction will result in gross proceeds to IUSI of U.S.$65 million — subject to certain closing adjustments — and is expected to close by the end of July 2000. Union Metal manufactures and sells metal poles for roadway and street lighting, traffic signal and highway signage structures, as well as cellular telecommunications towers.

President and CEO, Bob Jack said: "The sale of the Union Metal subsidiary, which was not key to our long-term strategic growth in the utility products sector, is in keeping with our previously stated three year strategy to improve our balance sheet and concentrate on our world-wide electrical distribution and transmission markets. This transaction reflects an excellent return on investment to our shareholders."

Edited by: Jerry R. Borland, P.E.