Headwaters Incorporated Announces Acquisition of Fly Ash Marketer

  Headwaters Incorporated Announces Acquisition of Fly Ash Marketer

Business Wire

SOUTH JORDAN, Utah -- February 19, 2014

HEADWATERS INCORPORATED (NYSE: HW), a building products company dedicated to
improving lives through innovative advancements in construction materials,
today announced the acquisition of a small fly ash marketing firm.

We recently closed the acquisition of a small fly ash marketer located in
Pennsylvania. The Northeast has a number of smaller, older coal fired power
plants that do not produce high quality fly ash. Consequently, we are
interested in increasing our supply of high quality fly ash produced from
facilities that are newer, larger, and fully equipped with modern air quality
control equipment.

“We were fortunate to be able to close on the acquisition of a marketer that
distributes one of the best supplies of high quality fly ash in the
Northeast,” said Bill Gehrmann, President of Headwaters Resources. “We will be
able to immediately increase the beneficial use of the ash through our broad
based customer network.”

The acquisition will increase our high quality fly ash supply, improving our
competitive position in the region, as well as providing additional sources of
bottom ash. We expect incremental fly ash sales of more than 150,000 tons from
sales primarily in the Pennsylvania and New York markets. The asset
acquisition was paid for in cash and the transaction will be accretive to
earnings in 2014.

“The positive news that we have received over the last month from the EPA
supports our strategy to extend our supply sources, using fly ash as a
substitute for portland cement,” said Kirk A. Benson, Chief Executive Officer
of Headwaters Incorporated. “The EPA’s strong endorsement for fly ash in
concrete will help us increase the use of ash in a broad range of concrete
applications, and this acquisition will improve our positioning in the
Northeast.”

About Headwaters Incorporated

Headwaters Incorporated is improving lives through innovative advancements in
construction materials through application, design, and purpose. Headwaters is
a diversified growth company providing products, technologies and services to
the heavy construction materials, light building products, and energy
technology industries. Through its coal combustion products, building
products, and energy businesses, the Company has been able to improve
sustainability by transforming underutilized resources into valuable products.
www.headwaters.com

Forward-Looking Statements

Certain statements contained in this press release are forward-looking
statements within the meaning of federal securities laws and Headwaters
intends that such forward-looking statements be subject to the safe-harbor
created thereby. Forward-looking statements include Headwaters’ expectations
as to the managing and marketing of coal combustion products, the production
and marketing of building products, the licensing of residue hydrocracking
technology and catalyst sales to oil refineries, the development,
commercialization, and financing of new technologies and other strategic
business opportunities and acquisitions, and other information about
Headwaters. Such statements that are not purely historical by nature,
including those statements regarding Headwaters’ future business plans, the
operation of facilities, the availability of feedstocks, and the marketability
of the coal combustion products, building products and catalysts, are
forward-looking statements within the meaning of the Private Securities
Litigation Reform Act of 1995 regarding future events and our future results
that are based on current expectations, estimates, forecasts, and projections
about the industries in which we operate and the beliefs and assumptions of
our management. Actual results may vary materially from such expectations.
Words such as “may,” “should,” “intends,” “plans,” “expects,” “anticipates,”
“targets,” “goals,” “projects,” “believes,” “seeks,” “estimates,” “forecasts,”
or variations of such words and similar expressions, or the negative of such
terms, may help identify such forward-looking statements. Any statements that
refer to projections of our future financial performance, our anticipated
growth and trends in our businesses, and other characterizations of future
events or circumstances, are forward-looking. In addition to matters affecting
the coal combustion products, building products, and energy industries or the
economy generally, factors that could cause actual results to differ from
expectations stated in forward-looking statements include, among others, the
factors described in the caption entitled “Risk Factors” in Item 1A in
Headwaters’ Annual Report on Form 10-K for the fiscal year ended September 30,
2013, Quarterly Reports on Form 10-Q, and other periodic filings.

Although Headwaters believes that its expectations are based on reasonable
assumptions within the bounds of its knowledge of its business and operations,
there can be no assurance that our results of operations will not be adversely
affected by such factors. Unless legally required, we undertake no obligation
to revise or update any forward-looking statements for any reason. Readers are
cautioned not to place undue reliance on these forward-looking statements,
which speak only as of the date of this press release. Our internet address is
www.headwaters.com. There we make available, free of charge, our annual report
on Form 10-K, quarterly reports on Form 10-Q, current reports on Form 8-K and
any amendments to those reports, as soon as reasonably practicable after we
electronically file such material with, or furnish it to, the SEC. Our reports
can be accessed through the investor relations section of our web site.

Contact:

Headwaters Incorporated
Sharon Madden, 801-984-9400
Vice President of Investor Relations
or
Analyst Contact:
Financial Profiles
Tricia Ross, 310-622-8226
 
Press spacebar to pause and continue. Press esc to stop.