Waste Mgmt meets target
November 6, 2000: 12:47 p.m. ET

Disposal company hits 3Q forecast though revenue falls from a year ago
graphic graphic
NEW YORK (CNNfn) - Waste Management Inc., the nation's No. 1 trash hauler that is reportedly under scrutiny by federal regulators, Monday reported third-quarter profits that matched Wall Street forecasts, though sales fell from a year ago.

For the quarter ended Sept. 30, Houston-based Waste Management  (WMI: Research, Estimates) reported pro forma net income of $207.6 million, or 33 cents a share, compared with a net loss of $947 million, or $1.53 a share, in the year-ago quarter. Analysts polled by earnings tracker First Call Corp. had expected earnings of 33 cents a share.

Including one-time charges, the company had a net loss of $190.8 million, or 31 cents a share.

Revenue dipped to $3.12 billion from $3.40 billion.

The company collected $2.1 billion from the sale of international and domestic non-core assets, which was used to reduce debt.

Operating cash flow totaled $560.3 million in the quarter.

Revenue from solid waste hauling increased 4.2 percent to $2.9 billion.

Earlier this year, the company and its accountants, Arthur Andersen, agreed to pay $229 million to settle a shareholder lawsuit over years of questionable accounting practices. Waste Management took a $3.5 billion charge in 1998 related to accounting irregularities.

The SEC is reportedly still investigating whether consulting fees Waste Management paid Arthur Andersen compromised the accounting firm's independence in conducting auditing work it did for the company.

Shares of Waste Management closed up 12 cents to $20.69 Friday. graphic


SEC probing Andersen - Aug. 25, 2000

Waste Management sells sludge unit - May 1, 2000


Waste Management

Note: Pages will open in a new browser window
External sites are not endorsed by CNNmoney