Texas Utilities Co. subsidiary TU Integrated Solutions formed astrategic venture with ServiceMaster to own and operate an energymanagement business. The new venture has acquired all the assets ofServiceMaster Energy Management (SEM), currently a division ofServiceMaster, and will be owned 85% by Texas Utilities and 15% byServiceMaster. Texas Utilities will invest $46 million for itsshare of the venture.

Since its inception in 1976, SEM has developed a package ofservices that assists customers in achieving energy cost savingsfor large, complex energy projects. SEM has access toServiceMaster’s established customer base and has been providing arange of services, including initial energy audits, feasibilitystudies, engineering, construction, training and performancemonitoring. The company has posted annual earnings growth ofapproximately 16% since 1992.

“There is a growing desire in the business community tooutsource non-core functions,” said Kenneth R. Breeden, presidentof TU Integrated Solutions. “We are capitalizing on theseoutsourcing trends and needs to help customers increaseefficiencies and productivity.”

Texas Utilities Co. is one of the largest investor-owned energyservice companies with assets exceeding $40 billion and serves morethan 8 million customers worldwide.

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