Viterra Energy Services Announces New Extended Collection Service; Service Increases Revenues and Cash Flow by Reducing Bad Debt

Business Wire, Oct 16, 2003

Energy Editors/Business Editors

SAN DIEGO--(BUSINESS WIRE)--Oct. 16, 2003

Viterra Energy Services, the market leader in the consumption-based metering and billing of energy and water, today announced its new Extended Collection Service. The service increases prompt collection, maximizes reimbursement, and increases cash flow and property value by reducing bad debt.

Viterra's Extended Collection Service accelerates payment using a cost-effective solution that employs a third-party collection agency to send out a series of collection letters. The letters escalate in tone as a resident's period of delinquency continues and are intended to avoid alienating residents while producing excellent collection results. This approach to collections focuses on recovering debt as quickly as possible in a manner that preserves the image and goodwill of property management with late-paying residents.

According to Viterra President Mike Clements, "Viterra's new Extended Collection Service presents a win-win situation for our clients. Because we charge a flat, per delinquency fee for this service, the risk and added expense to our clients is negligible. We do not charge anything unless a delinquency exists and the service is initiated. There is nothing but upside for our clients."

Extended Collections Service benefits include:

-- Accelerated cash flow

-- Increased property value

-- Rapid energy expense reimbursement

-- Reduced bad debt losses

-- Reduced overall debt

Viterra's Extended Collections Service stimulates prompt payment among delinquent residents as well as property-wide. Implementing an extended collection service not only raises the professionalism of property management, but also let's residents know that the property manager is committed to collecting unpaid utility fees.

Viterra Energy Services is the global market leader for the billing of water and energy consumption for more than 10 million homes worldwide and 700,000 in the U.S. Viterra has operations in 28 countries, including the U.S., Germany, China and Scandinavia. With over 100 years of experience and approximately 3,700 employees, Viterra achieved revenues of nearly $500 million in 2002.