ADA-ES Announces Award to Norit in Arbitration (ADES)

ADA-ES ADES today announced that an arbitration panel in Atlanta, Georgia in the case of Norit Americas v. ADA-ES, has issued an Interim Award holding ADA liable for approximately $37.9 million dollars in damages for breach of a non-solicitation provision of a Market Development Agreement the Company entered into with Norit in 2001 and terminated in 2006, and further holding ADA jointly and severally liable together with several other ADA Defendants for payment of a royalty of 10.5% for 3 years and then 7% for an additional 5 years on the sales of activated carbon from the production facility owned by ADA Carbon Solutions in which the Company indirectly holds a minority interest, for misappropriation of certain Norit claimed trade secrets. The damages for breach of the non-solicitation provision relate to a large, long-term contract running through 2014 that ADA won in competition with Norit during the year after termination of the MDA and a second contract with another customer. These contracts are excluded from the sales on which royalties will be due.