Newpark Resources Inc (NR)

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Newpark Resources and CCS, Inc. Mutually Agree to Terminate the Sale of Newpark's U.S. Environmental Services Business
Monday November 24, 8:00 am ET


THE WOODLANDS, Texas, Nov. 24 /PRNewswire-FirstCall/ -- Newpark Resources, Inc. (NYSE: NR - News; "Newpark") today announced that it has mutually agreed with CCS, Inc. ("CCS") to cancel the proposed sale of Newark's U.S. environmental services business to CCS. As previously announced on October 23, 2008, the Federal Trade Commission ("FTC") filed suit to block the proposed sale of Newpark's environmental services business to CCS. The FTC stated that it believed that the proposed sale would be anti-competitive.
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Paul Howes, President and Chief Executive Officer of Newpark, stated, "While the Company disagrees with the conclusions reached by the FTC, CCS has advised us that they no longer wish to pursue the matter in the courts. Consequently, we have mutually agreed to terminate the agreement to sell our environmental services business to them and we intend to bring the environmental services business back in as part of the Newpark group of companies.

"Newpark Environmental Services, a leading provider of waste disposal services to the E&P industry along the U.S. Gulf Coast, continued to perform well during the period of time that we pursued its sale. They reported revenues of $47.4 million for the nine months ended September 30, 2008. For the same time period they reported income before income taxes of $5.1 million, which included transaction-related costs of $3.5 million," concluded Howes.

Newpark Resources, Inc. is a worldwide provider of drilling fluids, temporary worksites and access roads for oilfield and other commercial markets, and environmental waste treatment solutions. For more information, visit our website at http://www.newpark.com.