Corrpro Companies, Inc., a unit of
), has secured a three-year fixed price and quantity contract
valued at $10 million from the US Army Corps of Engineers for
cathodic protection and corrosion control services.
Corrpro Companies provides extensive corrosion engineering
services and cathodic protection materials for steel reinforced
concrete structures including bridges, parking garages, buildings
and marine structures such as piers and wharves.
As per the contract, Corrpro Companies will provide engineering
services including the assessment, design and installation of
cathodic protection systems at military installations worldwide.
In addition, the company will offer corrosion studies, training
of base personnel and field consulting during construction. The
deal also involves system evaluation through post construction
Aegion will benefit from its strong backlog as of the third
quarter-end. Furthermore, these contract wins and the scope for
Aegion to win other future projects from Metro Water Services
bode well for the company.
On the flipside, Aegion slashed its fiscal 2013 adjusted earnings
guidance to the range of $1.27 to $1.32 per share from its
earlier guidance of $1.53 to $1.60. Most of the downward revision
in the yearly guidance was due to the expected weak results in
the Commercial and Structural segment.
Nevertheless, Aegion is witnessing strong performance from North
America Water and Wastewater and anticipates backlog for this
business to be at record levels at the end of this year. Corrpro
and United Pipeline Systems have supportive end markets in North
America and the Middle East.
Chesterfield, Missouri-based Aegion is a diversified building and
construction company, which provides infrastructure protection,
proprietary technologies and facilities. It also offers services
related to the rehabilitation and improvement of sewer, water,
energy and mining piping systems.
Aegion currently carries a Zacks Rank #5 (Strong Sell). Some
better-ranked stocks in the sector include
United Rentals, Inc.
Chicago Bridge & Iron Co. N.V.
). All these stocks hold a Zacks Rank #2 (Buy).
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