Covanta in Waste-to-Energy Project Refinancing

July 23, 2004

Cleary Gottlieb is representing Covanta Waste-to-Energy of Italy, Inc. as minority sponsor in the €77 million refinancing of a waste-to-energy plant construction and operation project. The plant is located in a province of Milan and is owned by Prima S.r.l, the project company and a Falck Group subsidiary in which Covanta has a minority stake. The new facility agreement and related security package were executed today, and the drawdown is expected to occur in August, after satisfaction of the conditions precedent.