June 23,2011

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23 June 2011



Rutland, Vermont based
waste management company, Casella Waste Systems, Inc. has reported financial results down 2.8% for its fourth quarter
from the same time last year.



For the quarter ended
April 30, 2011, revenues were $109.5 million, down $3.2 million from
the same quarter last year, the company attributes the fall to lower
volumes and divestitures.



Casella also reported an
operating loss was $2.6 million for the quarter, down $10.3 million
from the same quarter last year.



The current quarter
includes a $3.7 million asset impairment charge, a $0.5 million
environmental remediation charge, a $3.5 million one-time discretionary
bonus payable in connection with the completion of the divestiture of
the non-integrated recycling assets and debt re-financings, and a
$3.0 million bargain purchase gain on the McKean landfill.



The company's net income
available to common shareholders was $48.8 million, or $1.85 per common
share for the quarter, compared to a net loss of ($5.2) million, or
($0.20) per share for the same quarter last year.



With the divestiture of
the non-integrated recycling assets and the refinancing of various
components of the its debt during the quarter, the company said that
net income for the quarter includes a loss on debt refinancing of $7.3
million before taxes, a loss from discontinued operations net of income
taxes of $1.1 million, and a gain on the disposal of discontinued
operations net of income taxes of $45.6 million. Adjusted EBITDA* for
the quarter was $18.3 million, down $6.9 million from same quarter last
year.



"Over the past year we
have made significant progress on important strategic initiatives,
including the sale of our non-integrated recycling assets for an
accretive multiple and the refinancing of our then existing senior
subordinated notes and senior secured credit facilities," said John W.
Casella, chairman and CEO of Casella Waste Systems.



Casella went on to explain
that while the company has performed well on these long-term
initiatives, it has experienced significant operational challenges over
the last six months of our fiscal year, with both internal and external
factors contributing to its underperformance.



"We had extremely
challenging weather across the Northeast during the last 6 months of
our fiscal year, with record snowfalls followed by record rainfalls
across our operating footprint. The extreme weather impacted
operational performance, with lower than projected productivity
throughout the solid waste business, higher operating costs, most
notably leachate at the landfills, and a delayed seasonal uptick for
solid waste volumes," he added.



In late May, the company
said that it began to see the expected seasonal volume increase,
although two months later than usual, with volumes boosted by the
improving weather and clean-up activities from the devastating floods
and storms.

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