SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 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) February 24, 2003
PERMA-FIX ENVIRONMENTAL SERVICES, INC.
(Exact name of registrant as specified in its charter)
Delaware 1-11596 58-1954497
(State or other (Commission File (IRS Employer
jurisdiction of Number) Identification No.)
incorporation)
1940 N.W. 67th Place, Suite A, Gainesville, Florida 32653
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code (352) 373-4200
Not applicable
(Former name or former address, if changed since last report)
Item 5. Other Events and Regulation FD Disclosure.
On February 24, 2002, East Tennessee Materials and Energy Corporation ("M&EC"),
a subsidiary of Perma-Fix Environmental Services, Inc., commenced legal
proceedings against Bechtel Jacobs Company, LLC, in the chancery court for Knox
County, Tennessee, seeking payment from Bechtel Jacobs of approximately $4.3
million in surcharges relating to certain wastes that were treated by M&EC
during 2001 and 2002.
M&EC is operating primarily under three subcontracts with Bechtel Jacobs, which
were awarded under contracts between Bechtel Jacobs and the U. S. Department of
Energy. M&EC and Bechtel Jacobs have been discussing these surcharges under the
subcontracts for many months.
In 2002, the revenues generated by M&EC under the subcontracts with Bechtel
Jacobs represented approximately 11.5% of Perma-Fix's 2002 total revenues. As of
the date of this release, Bechtel Jacobs continues to deliver waste to M&EC for
treatment and disposal, and M&EC continues to accept such waste. Although
Perma-Fix does not believe that this lawsuit will have a material adverse effect
on its operations, Bechtel Jacobs could terminate the subcontracts with M&EC, as
the subcontracts may be terminated at any time by either party.
This report contains "forward-looking statements" which are based largely on
Perma-Fix's expectations and are subject to various business risks and
uncertainties, certain of which are beyond Perma-Fix's control. Forward-looking
statements include, but are not limited to, the information concerning possible
or assumed future results of operations of Perma-Fix and the effect the lawsuit
will have on Perma-Fix's operations and the term of the subcontracts. These
forward-looking statements are intended to qualify for the safe harbors from
liability established by the Private Securities Litigation Reform Act of 1995.
While Perma-Fix believes the expectations reflected in this report are
reasonable, it can give no assurance such expectations will prove to be correct.
There are a variety of factors which could cause future outcomes to differ
materially from those described in this report, including without limitation,
the ability of Bechtel Jacobs and Perma-Fix to terminate the subcontracts at any
time. Perma-Fix makes no commitment to disclose any revisions to forward-looking
statements, or any facts, events or circumstances after the date hereof that
bear upon forward-looking statements.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
Company has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.
PERMA-FIX ENVIRONMENTAL
SERVICES, INC.
By:/s/ Richard T. Kelecy
-----------------------
Richard T. Kelecy
Chief Financial Officer
Dated: March 7, 2003.
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