WALTHAM, Mass., June 11, 2015 /PRNewswire/ -- American DG Energy Inc. (NYSE MKT: ADGE), a leading On‑Site Utility™, offering clean electricity, heat, hot water and cooling solutions to hospitality, healthcare, housing and athletic facilities, today announced that it has reached an agreement with AES-NJ to reallocate nine of the ADGE LLC assets in order to better provide service and operation of the units.
The reallocation, based on a combination of tighter geographical footprint and customer relationships, in an effort to maximize performance and efficiency, will give 100% control and ownership over eight sites consisting of 13 units to American DG Energy. All maintenance will be provided by Tecogen Inc. The reallocation gives 100% control and ownership of seven sites, consisting of nine units to AES-NJ, which has personal relationships with the customers and the ability to closely manage these sites. Five sites consisting of 17 units will remain within the LLC, but will be under the operation and control of American DG Energy.
"We have an excellent relationship with AES-NJ, which was the basis for the initial LLC asset agreement. This reallocation benefits both parties in terms of service logistics and customer service. By assuming control of more sites, we will have increased flexibility to maintain, and potentially grow each site," stated Benjamin Locke, Co-CEO of American DG Energy.
Further to the above business model enhancement, American DG Energy is announcing that it achieved improved site productivity in the first two months of the second quarter over the first two months of Q2-14. Productivity of sites under American DG Energy control improved 12% in April and 19% in May over the previous period in 2014. "We are aggressively working to maximize the productivity of our fleet," added Benjamin Locke. "These improvements continue the trend of improvements we saw in Q1. We expect continued improvements that will result in improved revenues and margins going forward."
American DG Energy sells the energy produced from an onsite energy system to an individual property as an alternative to the outright sale of energy equipment. On-Site Utility™ customers only pay for the energy produced by the system and receive a guaranteed discount rate on the price of the energy. All system capital, installation and operating expenses are paid by American DG Energy.
About American DG Energy
American DG Energy supplies low-cost energy to its customers through distributed power generating systems. The Company is committed to providing institutional, commercial and small industrial facilities with clean, reliable power, cooling, heat and hot water at lower costs than charged by local utilities – without any capital or start-up costs to the energy user – through its On-Site Utility™ energy solutions. American DG Energy is headquartered in Waltham, Massachusetts. Learn more about how American DG Energy (NYSE MKT: ADGE) reduces energy costs at www.americandg.com or follow us on Facebook and Twitter.
This press release contains forward-looking statements under the Private Securities Litigation Reform Act of 1995 that involve a number of risks and uncertainties. Important factors could cause actual results to differ materially from those indicated by such forward-looking statements, as disclosed on the Company's website and in Securities and Exchange Commission filings. This press release does not constitute an offer to buy or sell securities by the Company, its subsidiaries or any associated party and is meant purely for informational purposes. The statements in this press release are made as of the date of this press release, even if subsequently made available by the Company on its website or otherwise. The Company does not assume any obligation to update the forward-looking statements provided to reflect events that occur or circumstances that exist after the date on which they were made.
SOURCE American DG Energy Inc.