One of our major problems in the past has been fluctuating sales volume resulting in poor utilization of resources and reduced profits. To address this problem we have several major focus including:

Long term RELATIONSHIP Build on Total Value

Maximizing THROUGHPUT using "Fill the Holes"

INTERNATIONAL work

The results of these efforts are very good for the years 1999 - 2002

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The "fill in the holes" team has looked at several approaches at leveling the sales cycle. The first approach has focused on manpower utilization and pricing projects competitively to meet the weekly goal of 110 field mandays. This approach is beneficial in increasing throughput by utilizing available manpower, but it is unsuccessful in filling the large schedule holes that develop when projects for our large accounts (i.e., MSW projects, trial burns, etc.) are rescheduled or canceled. This was the case in April when we had a project from both OMS and APC push.

Because the above situation exists with the large projects, we are targeting in 1998 to focus on areas of non-traditional sales for CleanAir. The goal of this approach will be to develop business that is less schedule and regulatory compliance dependent and hopefully create a backlog that can be used to fill in the holes caused by the rescheduling of large projects. One area is the optimization of RTO’s.

We are also looking to develop more office billable work in the following areas:

• QA/QC Plans
• Risk Management Plans
• Permitting
• CAM Rule
• Cluster Rule for Pulp & Paper
• Data Management