FOR: FIRSTSERVICE CORPORATION

COMPANY CONTACT:
Jay S. Hennick
President & Chief Executive Officer
FirstService Corporation
(416) 960-9500

INVESTOR RELATIONS:
Jeffrey Elliott
Jeffrey Elliott Communications
(416) 250-1078

FOR IMMEDIATE RELEASE

TSE: FSV
Nasdaq: FSRV

 

FIRSTSERVICE COMPLETES THREE TUCK-UNDER ACQUISITIONS, INCREASES OWNERSHIP IN INTERCON SECURITY

 

TORONTO, Ontario (January 5, 1999) -- FirstService Corporation (NASDAQ: FSRV; TSE: FSV) today announced that its Community Association Management division, North America's largest, has made three more tuck-under acquisitions, bringing the total number of communities under management to 1,500--representing more than 285,000 individual residential units in nine US States.

Through Rossmar Management Company, its platform company in the Phoenix, Arizona area, FirstService has acquired Graham Management and Community Association Management Inc., both of Phoenix. FirstService now serves about 250 Communities in the Phoenix area, representing more than 75,000 residential units. Separately, FirstService acquired Sterling Management Inc., of Largo, Florida through The Continental Group, Inc., one of its platform companies in Florida. Sterling manages about 60 residential communities, accounting for more than 16,000 individual units - and expands FirstService's geographic presence into the Tampa Bay area.

Together, the three acquired community association management companies generate annual revenue of approximately US $5 million.

In addition, FirstService announced that it acquired an additional 34.9% of Intercon Security from co-founders Brian Legge and Rick Grange, President and Executive Vice President of Intercon, respectively. Messrs. Legge and Grange will continue to drive the growth and development of Intercon, a leading provider of security systems and manpower to office buildings, shopping malls and residential communities in the United States and Canada.

"FirstService's ownership in Intercon is now 85%, a level consistent with our ownership position in our other major service lines," said Jay Hennick, President and Chief Executive Officer. "At the same time, Intercon's senior management continues to own a significant interest in the company -- a key element of FirstService business strategy," he concluded.

FirstService Corporation is a leader in the rapidly growing service sector, providing a variety of specialized Property and Business Services to corporate, government, and residential customers throughout North America, including community association management, security, lawn care, franchising, business outsourcing and specialized business material fulfillment.