American Ecology Looks at Options After Accord

American Ecology, an Agoura Hills operator of radioactive and chemical waste disposal sites, is “considering what options may or may not be available to us” after an agreement by its controlling shareholder to sell its stake, according to the company’s chief financial officer, Karl J. Eimer.

Browning-Ferris Industries Inc., a Houston waste management company, agreed to sell its 52% stake in American Ecology to a former officer and director for $16.6 million in cash and notes, according to a filing with the Securities and Exchange Commission.

But Eimer said that American Ecology had the right of first refusal on such a deal. The Agoura Hills company has not reached an agreement with Harry J. Phillips Jr., the former Browning-Ferris director, under which he would provide new financing to American Ecology. The company has said it would like to arrange such a financing deal with any acquirer of the stake, which consists of preferred stock, bonds and warrants.

Separately, American Ecology said it had a profit of $493,000 for the first quarter ended March 31, compared to a loss of $278,000 a year ago. The company’s revenues climbed 37% for the period, to $11.1 million from $8.08 million a year before.

American Ecology said profits were hurt by a $671,000 charge for the quarter, due to payments made to executives under severance agreements reached in 1988; the agreements were activated when Browning-Ferris acquired its controlling stake in the company.

Offsetting the charge, American Ecology said it experienced “improved low-level radioactive waste and chemical hazardous waste receipts.”