ESCO Announces Selection by Southern California Gas Co. for AMI Technology Deployment

Aclara Power-Line Systems (TWACS Technology) - 05.23.2011

ESCO Technologies Inc. (NYSE:ESE) today announced that Aclara® has signed a contract with Southern California Gas Co. (SoCalGas), a Sempra Energy subsidiary, to deploy its advanced metering infrastructure (AMI) solution and utility data management software system-wide. SoCalGas has announced its plans to deploy Aclara’s integrated hardware, software and network architecture solution to approximately six million residential and most commercial natural gas customers throughout its service territory.

Consistent with Aclara’s past and present AMI contracts, most equipment required by SoCalGas will be ordered through formal purchase orders released under the contract.

The AMI project was approved by the California Public Utility Commission (CPUC) in April 2010. The signed contract, which requires final approval, is expected to be submitted to the CPUC in the next few weeks.

When completed, SoCalGas’ AMI deployment will represent North America’s only fully integrated meter-to-consumer AMI system used by a natural gas-only utility. This system will provide operational efficiencies to the utility, while engaging consumers to fully understand their natural gas consumption and related conservation opportunities.

Vic Richey, Chairman and Chief Executive Officer, commented, “Our proven AMI solutions and our extensive experience with successful, large-scale deployments make Aclara uniquely qualified to support SoCalGas in its efforts to improve operational efficiency and customer service, while proactively educating consumers on the benefits of reducing energy consumption.

“From a timing perspective, we don’t expect any revenues during the balance of fiscal 2011. We expect the project to begin in fiscal 2012 with SoCalGas building out the AMI network infrastructure and installing Aclara’s meter data management software, both of which are not high-dollar revenue contributors. The significant revenue ramp up on this project is expected in fiscal 2013 as the high volume AMI metering devices are installed, which is expected to drive significant revenues for Aclara in 2013.”

Forward-Looking Statements

Statements in this press release regarding the timing and size of the SoCalGas anticipated future deployment, timing and amount of revenue resulting from such project and any other written or oral statements which are not strictly historical are “forward-looking” statements within the meaning of the safe harbor provisions of the federal securities laws. Investors are cautioned that such statements are only predictions and speak only as of the date of this release, and the Company undertakes no duty to update. The Company’s actual results in the future may differ materially from those projected in the forward-looking statements due to risks and uncertainties that exist in the Company’s operations and business environment including, but not limited to: the timing and content of future purchase order releases; receipt of CPUC approval of the contract; the Company’s successful performance of requirements for SoCalGas; changes in SoCalGas demand or financial constraints impacting SoCalGas; technical difficulties; delivery delays or defaults impacting the Company; and termination for convenience of the contract.

About ESCO

ESCO, headquartered in St. Louis, is a proven supplier of special purpose utility solutions for electric, gas and water utilities, including hardware and software to support advanced metering applications and fully automated intelligent instrumentation. In addition, the Company provides engineered filtration products to the aviation, space and process markets worldwide and is the industry leader in RF shielding and EMC test products. Further information regarding ESCO and its subsidiaries is available on the Company’s web site at

About Aclara

The Aclara brand represents one of the industry’s leading Intelligent Infrastructure™ technologies for providing device networking, data-value management and customer communications to water, gas and electric utilities globally. Over 500 utilities in nine countries rely on proven Aclara solutions to connect with their customers. Aclara is part of the Utility Solutions Group of ESCO. Further information is available on Aclara’s web site at

For media inquiries:

Nancy E. Talley
Marketing Communications Manager


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