GEM Announces Energy Efficient Lighting Contract Valued at $2.6 Million with Co-op City
Largest Residential Development in the United States Enters into Ten-Year Agreement Which Should Significantly Reduce Electricity and Maintenance Costs
Teaneck, New Jersey, November [8], 2010 (BUSINESS WIRE) Green Energy Management Services Holdings, Inc. (GRMS) (“The Company”) announced today it signed a ten-year efficient lighting installation and maintenance contract with Co-op City, the largest residential development in the United States, located in The Bronx, New York (the “Contract” or “Project”). The Contract entails replacing and retrofitting over 6,000 lighting fixtures and elements in eight parking structures within Co-op City.
The Contract is estimated to provide Co-op City with approximately $350,000 in annual electricity savings, and approximately $2,500,000 in maintenance cost savings over ten years, by utilizing power-saving, long-life induction and LED lighting. As compensation for the Project, and upon the completion of certain contractual milestones, the Company should receive $800,000 in the form of a grant from the American Recovery and Reinvestment Act. In addition, the contract calls for the Company to receive approximately $1,800,000.00 over the anticipated ten-year balance of the contract.
Michael Samuel, the Company’s Chairman and Chief Executive Officer stated: “We are very excited about beginning our work with Co-op City and its operating team. Co-op is a great example of our business model of serving customers seeking cost savings through energy efficiency while providing a ‘green’ solution for their businesses. We also believe there are other products in our green technology portfolio that could help Co-op City achieve greater efficiencies in the future.”
Herbert Freedman, on behalf of Co-op City stated: “We have found a company which will provide us with a high-quality ‘green’ solution for our infrastructure upgrade while saving us significant energy costs. In addition, we will not have to concern ourselves with lighting maintenance for the next ten years.”
About Co-Op City
Construction began on Co-Op City in 1968 and was completed in 1973. Its 15,372 residential units, in 35 high rise buildings and seven clusters of townhouses, make it the largest single residential development in the United States. It sits on 320 acres but only 20% of the land was developed, leaving many green spaces.
Co-Op City also has eight parking garages, three shopping centers, a 25 acre educational park including a high school, two middle schools and three grade schools, power plant, a four-story air conditioning generator, 40 professional offices, a firehouse and at least 15 houses of worship. Spread throughout the community are six nursery schools and day care centers, four basketball courts and five baseball diamonds. The adjacent Bay Plaza Shopping Center has a 13 screen multiplex movie theater, department stores, and a supermarket.
About Green Energy Management Services Holdings, Inc.
Based in the eastern United States, GEM is a full service, national energy management company. GEM provides its clients all forms of energy efficiency solutions mainly based in three functional areas: energy efficient lighting upgrades, renewable energy generation and efficient water utilization. GEM is currently primarily involved in the distribution of energy efficient light emitting diode (“LED”) units (the “Units”) to end users who utilize substantial quantities of electricity. GEM structures its contracts with no upfront or maintenance costs to its customers and shares in the achieved energy and maintenance savings.
GEM maintains business operations on a nationwide basis, distributing products and services to municipal and commercial customers. Industry participants focus on assisting clients to effectively maximize their energy efficiency potential and couple that with maximizing their renewable energy potential.
GEM provides energy-saving technologies under long-term, fixed-price contracts. GEM provides and installs, on a turnkey basis, technology which should reduce, by between 50-70%, their monthly electric and other energy costs and reduce, by between 15-30%, their monthly water and sewer costs. GEM captures a significant portion of this benefit over the life of the contract, in exchange for providing the equipment, maintenance, management and technical expertise.
Addressing the energy efficiency arena, GEM concentrates its marketing efforts within geographic regions exhibiting higher than average per kilowatt hour utility rates and having energy customers who consume higher than average quantities of energy. GEM then develops an energy efficiency/energy management program which, potentially, provides end-users alternatives to decrease their energy consumption. Additionally, in many instances, GEM assumes the management and maintenance of its clients’ lighting needs which affords its clients greater labor efficiencies.
Within the renewable energy generation space, GEM’s operating team provides a comprehensive analysis of clients’ geographic location-related energy demographics to develop an energy plan which targets generating investment returns and best renewable resource solution for its clients. Currently, GEM has determined that solar voltaics are the most desirable of the renewable energy solutions and focuses its attention primarily in this area. As technologies change and become affordable, GEM is poised to begin wide-scale implementation of other forms of renewable technologies as well.
Additional information on GEM may be found at www.gempowered.com.
Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995
This press release contains certain “forward-looking statements” relating to the business of the Company, which can be identified by the use of forward-looking terminology such as “may,” “will,” “expect,” “anticipate,” “intend,” “estimate,” “believe,” “project,” “continue,” “plan,” “forecast,” or other similar words, or the negative thereof, unless the context requires otherwise, and which are intended to be covered by the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. The results anticipated by any or all of these forward-looking statements may not occur. In addition, these statements reflect management’s current views with respect to future events and are subject to numerous risks, uncertainties and other factors that could cause actual results to differ materially from those set forth in or implied by these forward-looking statements. Factors that could affect those results include, but are not limited to, those described in the Company’s Registration Statement on Form S-1, as well as the Company’s reports on Forms 8-K, 10-Q and 10-K and proxy statements and information statements, which have been or will be filed by the Company with the Securities and Exchange Commission (the “SEC”) and the “Risk Factors” sections of the most recent SEC filings by the Company. Many of the factors that will determine the outcome of the subject matter of this press release are beyond the Company’s ability to control or predict. The Company undertakes no obligation and expressly disclaim any obligation, to revise or publicly update any forward-looking statements, or to make any other forward-looking statements, whether as a result of new information, future events or otherwise.
Contact:
Investor Relations:
Green Energy Management Services Holdings, Inc.
Jason Edelboim
Executive Vice President
Strategy and Corporate Development
201.530.1200
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CEOcast
Dan Shustack
212.732.4300
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