Appliance Recycling Centers of America Enters Agreement to Provide Services for Austin Energy

Appliance Recycling Centers of America Enters Agreement to
Provide Services for Austin Energy 


MINNEAPOLIS, Dec. 15  /PRNewswire-FirstCall/ -- Appliance Recycling Centers of
America, Inc. (OTC:ARCI) (BULLETIN BOARD: ARCI)  today announced that it has
signed a service agreement with Austin Energy to manage appliance recycling
operations in the Texas utility's service territory.  Austin Energy is the
nation's 10th largest community-owned electric utility, serving 360,000
customers within the City of Austin, Travis County and a small portion of
Williamson County.

Preparations are underway to open ARCA's processing and recycling facility in
north Austin and begin program operations in January 2005.  The term of the
initial service agreement is 12 months, with options for Austin Energy to
extend the program annually through 2008.

Edward R. (Jack) Cameron, president and chief executive officer, said, "We are
gratified that Austin Energy has selected ARCA to provide services to support
their residential refrigerator and freezer recycling program.  Austin Energy is
at the forefront of innovative measures to promote energy efficiency in Texas
and clearly recognizes the positive impact of removing working but inefficient
household appliances from service.  ARCA is proud to be associated with Austin
Energy's program."

About ARCA

ARCA is the nation's largest recycler of major household appliances for the
energy conservation programs of electric utilities.  Through its ApplianceSmart
( http://www.appliancesmart.com/ ) operation, ARCA is also one of the nation's
leading retailers of special-buy household appliances, primarily those
manufactured by Maytag, GE, Frigidaire, and Whirlpool. These special-buy
appliances, which include close-outs, factory overruns and scratch-and-dent
units, typically are not integrated into the manufacturer's normal distribution
channel. ApplianceSmart sells these virtually new appliances at a discount to
full retail, offers a 100% money-back guarantee and provides warranties on
parts and labor. As of December 2004, ApplianceSmart was operating eleven
factory outlets: four in the Minneapolis/St. Paul market; three in the
Columbus, Ohio market; two in the Atlanta market; one in the Los Angeles
market; and one in the San Antonio, Texas market.

Statements about ARCA's outlook are forward-looking and involve risks and
uncertainties, including but not limited to: the strength of recycling
programs, the growth of appliance retail sales, the speed at which individual
retail stores reach profitability, and other factors discussed in the Company's
filings with the Securities and Exchange Commission.

Visit our web site at http://www.arcainc.com/ . 

DATASOURCE: Appliance Recycling Centers of America, Inc.



CONTACT:  Edward R. (Jack) Cameron of Appliance Recycling Centers of

America, Inc., [phone]



Web site:  http://www.appliancesmart.com/

http://www.arcainc.com/ 

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