PS Group’s Stock Plunges on Word of Potential Ills

PS Group, which rode to a high of $72.25 in New York Stock Exchange trading earlier this year after noted investor Warren Buffett showed interest in the company, fell to $52.25 during the past week after a Dow Jones news story described potential regulatory problems at a PS Group subsidiary in Illinois.

The Dow Jones story suggested that the Illinois Environmental Protection Agency might take action against Recontek, a Newman, Ill.-based PS Group subsidiary that plans to open a commercial-scale hazardous waste recycling plant.

George Shortley, president of PS Group, on Monday dismissed the possibility of action by Illinois regulators as “old news.” PS Group had explained the Illinois situation in stock-offering registration materials filed with the federal Securities and Exchange Commission, Shortley said.