Airgas and Utilities Service Alliance Sign Five-Year Supply Agreement
RADNOR, PA - March 2, 2010 - Airgas, Inc. (NYSE: ARG), today announced it has signed a supply agreement with Utilities Service Alliance (USA). Based in Overland Park, KS, USA is a non-profit cooperative of 15 electric utilities that operate 17 nuclear power stations across the United States. Airgas will provide 15 USA-member nuclear power plants with industrial gases, specialty gases, liquid dewars, safety products and welding hardgoods. The five-year agreement, with estimated annual sales of $6 million, is part of the Airgas Strategic Accounts program established specifically for multi-location customers who benefit from sole-source supply and supply chain management services.
"The Airgas and USA relationship began just over three years ago with Airgas providing safety products and welding hardgoods to five USA-member nuclear power plants," said Steve Hope, Airgas vice president for energy markets. "We met their expectations and have now added industrial and specialty gases to the products we provide, and we've added 10 additional nuclear utilities. Key to success with USA is efficient supply chain management, effective communication, and accurate, detailed documentation."
"Airgas has served our locations very well with safety products and welding hardgoods," said Daniel Dale, USA Manager of Supply Chain. "In fact our member nuclear facility at Palo Verde named Airgas Supplier of the Year last year because of their accuracy in pricing and invoicing, dedication to safety, and their attention to customer service that has created a good relationship of trust and respect for each others' organizations."
Airgas has developed a strategic organization focusing on specific market segments in order to understand customer challenges and provide the right solutions. Airgas market segment leaders work with account managers and teams within 12 Airgas regional organizations and more than 850 branch locations nationwide to provide the right solutions for a broad array of industries. The Airgas energy group is working with USA-member nuclear power plants.
About Utilities Service Alliance (USA)
Utilities Service Alliance (USA), Inc., is a "fleet" of numerous nuclear power sites, owned by different corporations who have joined together primarily to reduce operating and maintenance costs, but also to improve each site's performance and to influence nuclear industry activities where appropriate. USA provides the framework to allow its members to collectively achieve benefits and economies of scale that are possible in a utility or company with several nuclear sites.
About Airgas, Inc.
Airgas, Inc. (NYSE: ARG), through its subsidiaries, is the largest U.S. distributor of industrial, medical and specialty gases, and hardgoods, such as welding equipment and supplies. Airgas is also one of the largest U.S. distributors of safety products, the largest U.S. producer of nitrous oxide and dry ice, the largest liquid carbon dioxide producer in the Southeast, and a leading distributor of process chemicals, refrigerants, and ammonia products. More than 14,000 employees work in over 1,100 locations, including branches, retail stores, gas fill plants, specialty gas labs, production facilities and distribution centers. Airgas also distributes its products and services through eBusiness, catalog and telesales channels. Its national scale and strong local presence offer a competitive edge to its diversified customer base. For more information, please visit www.airgas.com.
