Abrams Announces Discussions With Servidyne Systems

Apr 11, 2001, 01:00 ET from Abrams Industries, Inc.

    ATLANTA, April 11 /PRNewswire/ --
 Abrams Industries, Inc. (Nasdaq: ABRI) today announced that it has entered
 into a non-binding letter of intent to acquire the assets of Servidyne
 Systems, Inc. for all cash.  Atlanta-based Servidyne Systems, which had
 revenues of approximately $3 million (unaudited) in 2000, has together with
 its predecessor provided energy management, engineering, project management
 and consulting services, principally to commercial and institutional building
 owners and operators, for 27 years.  Through its suite of specialized
 services, Servidyne Systems' professional staff helps its customers reduce the
 cost of owning and operating buildings by optimizing mechanical systems to run
 at maximum efficiency in order to reduce energy consumption and maintenance
 costs.
     In March 2001, Servidyne Systems earned national recognition when the
 Environmental Protection Agency awarded it the prestigious 2000 Energy Star
 Partner of the Year Award for its work in improving energy efficiency in
 buildings and businesses.
     Alan R. Abrams, Co-Chairman, President and CEO, noted that Abrams
 Industries has carefully considered alternatives for growing its revenue base.
 "We are seeking strategic growth in order to improve our gross margins,
 increase the return on shareholders equity, and broaden our customer base with
 new business activities.  Our goal is to implement this objective through
 business acquisitions, which minimize the risk of disruption to our existing
 businesses.
     "Abrams Industries has a long history of delivering building-related
 services to our institutional customers, who are constantly seeking ways to
 operate their building infrastructures more efficiently, and thereby reduce
 their ownership costs.  Many energy experts predict that the imbalance in the
 supply and demand for energy may continue for the next decade or longer, and
 the surge in energy costs will create an imperative for action.  Building
 owners increasingly will seek the commercial services offered by specialized
 consultants with respected track records to help them reduce their exposure to
 fluctuations in this essential commodity."
     The acquisition is subject to final negotiation and execution of
 definitive agreements, approval by both companies' Boards of Directors and
 other customary conditions.  There can be no assurance that any transaction
 will occur.
     Established in 1925, Abrams Industries engages in commercial construction
 and real estate investment and development.  Through wholly owned
 subsidiaries, the Company builds and renovates retail stores, shopping
 centers, distribution and manufacturing facilities, and engages in other types
 of commercial construction.  The Company's real estate segment currently
 controls over 2 million square feet of shopping centers in the Midwest and
 Southeast and approximately 200,000 square feet of office properties in metro
 Atlanta.
 
     Certain statements contained in this news release are forward-looking
 statements within the meaning of the federal securities laws.  Such forward-
 looking statements involve known and unknown risks, uncertainties and other
 matters which may cause the actual results, performance or achievements of the
 Company to be materially different from any future results, performance or
 uncertainties expressed or implied by such forward-looking statements.  Such
 risks, uncertainties and other matters include, but are not limited to, the
 possibility of not achieving projected backlog revenues or not realizing
 earnings from such revenues, the potential impact of factors beyond the
 control of the Company on future revenues, and the potential loss of a
 significant customer.
 
 

SOURCE Abrams Industries, Inc.
    ATLANTA, April 11 /PRNewswire/ --
 Abrams Industries, Inc. (Nasdaq: ABRI) today announced that it has entered
 into a non-binding letter of intent to acquire the assets of Servidyne
 Systems, Inc. for all cash.  Atlanta-based Servidyne Systems, which had
 revenues of approximately $3 million (unaudited) in 2000, has together with
 its predecessor provided energy management, engineering, project management
 and consulting services, principally to commercial and institutional building
 owners and operators, for 27 years.  Through its suite of specialized
 services, Servidyne Systems' professional staff helps its customers reduce the
 cost of owning and operating buildings by optimizing mechanical systems to run
 at maximum efficiency in order to reduce energy consumption and maintenance
 costs.
     In March 2001, Servidyne Systems earned national recognition when the
 Environmental Protection Agency awarded it the prestigious 2000 Energy Star
 Partner of the Year Award for its work in improving energy efficiency in
 buildings and businesses.
     Alan R. Abrams, Co-Chairman, President and CEO, noted that Abrams
 Industries has carefully considered alternatives for growing its revenue base.
 "We are seeking strategic growth in order to improve our gross margins,
 increase the return on shareholders equity, and broaden our customer base with
 new business activities.  Our goal is to implement this objective through
 business acquisitions, which minimize the risk of disruption to our existing
 businesses.
     "Abrams Industries has a long history of delivering building-related
 services to our institutional customers, who are constantly seeking ways to
 operate their building infrastructures more efficiently, and thereby reduce
 their ownership costs.  Many energy experts predict that the imbalance in the
 supply and demand for energy may continue for the next decade or longer, and
 the surge in energy costs will create an imperative for action.  Building
 owners increasingly will seek the commercial services offered by specialized
 consultants with respected track records to help them reduce their exposure to
 fluctuations in this essential commodity."
     The acquisition is subject to final negotiation and execution of
 definitive agreements, approval by both companies' Boards of Directors and
 other customary conditions.  There can be no assurance that any transaction
 will occur.
     Established in 1925, Abrams Industries engages in commercial construction
 and real estate investment and development.  Through wholly owned
 subsidiaries, the Company builds and renovates retail stores, shopping
 centers, distribution and manufacturing facilities, and engages in other types
 of commercial construction.  The Company's real estate segment currently
 controls over 2 million square feet of shopping centers in the Midwest and
 Southeast and approximately 200,000 square feet of office properties in metro
 Atlanta.
 
     Certain statements contained in this news release are forward-looking
 statements within the meaning of the federal securities laws.  Such forward-
 looking statements involve known and unknown risks, uncertainties and other
 matters which may cause the actual results, performance or achievements of the
 Company to be materially different from any future results, performance or
 uncertainties expressed or implied by such forward-looking statements.  Such
 risks, uncertainties and other matters include, but are not limited to, the
 possibility of not achieving projected backlog revenues or not realizing
 earnings from such revenues, the potential impact of factors beyond the
 control of the Company on future revenues, and the potential loss of a
 significant customer.
 
 SOURCE  Abrams Industries, Inc.