Utilx Announces New 5-year Agreement with Virginia Electric and Power Company

Business Wire, August 20, 1999

KENT, Wash.--(BUSINESS WIRE)--Aug. 20, 1999--

UTILX Corporation (Nasdaq:UTLX) announced that effective August 1, 1999, the company entered into a new 5-year agreement with Virginia Electric and Power Company ("Virginia Power") to provide cable replacement and other underground construction related services throughout the utility's service area.

The agreement designates UTILX as a contractor of choice, providing UTILX with priority status in performing these services. Although no guarantees are contained in the agreement, UTILX anticipates annual volumes of $7 - $12 million. UTILX has been a key supplier to Virginia Power since 1987, providing services which improve and enhance Virginia Power's cable infrastructure and service reliability.

UTILX Corporation provides critical services for the installation and rejuvenation of aged underground infrastructure with proprietary CableCURE(R) solution in the U.S. and Canada through a network of regional sales and service centers. The company also provides CableCURE(R) services throughout Europe and Asia.

This release contains forward-looking statements relating to the company's existing and future products and services and future operating results that are subject to certain risks and uncertainties that could cause actual results to differ materially from those projected. The words "believe", "expect", "intend", "plan", variations of such words, and similar expressions identify forward-looking statements, but their absence does not mean that the statement is not forward-looking. These statements are not guarantees of future performance and are subject to certain risks, uncertainties and assumptions that are difficult to predict. Factors that could affect the company's actual results include competitive pressures, levels of work received from key customers, weather, regulatory, other matters affecting the utility industry in general, and any matters that could cause sudden changes in customers' demand for the company's services. The company's contracts typically allow for cancellation on short notice. Reference is made to the company's latest Annual Report on Form 10-K filed with the SEC for a more detailed description of such factors. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this release. The company undertakes no obligation to update publicly any forward-looking statements to reflect new information, events or circumstances after the date of this release or to reflect the occurrence of unanticipated events.