ARAMARK; Electricity Procurement Yields Savings for Colleges and Universities

In today's unprecedented economic environment, colleges and universities are searching for cost efficiencies in every facet of campus operations. Faced with a complex regulatory market and volatile energy prices that have increased as much as 38 percent in a single year, several innovative colleges and universities are now using an electricity procurement strategy, called Managed Heat Rate, as an effective means to control prices and reap significant savings.



A new white paper, "Managed Heat Rate - How Colleges and Universities Can Secure Best Electricity Prices," developed by ARAMARK Higher Education and Amerex Energy Services, details how Managed Heat Rate, an innovative product that capitalizes on deregulation, can potentially deliver long-term savings in excess of traditional fixed-price electricity contracts. The white paper is available, at no charge, at www.aramarkhighered.com.



"The current economy has spurred many school officials to explore all avenues in search of cost efficiencies," said Michael Leone, Senior Vice President, ARAMARK Higher Education. "The Managed Heat Rate strategy allows institutions to reduce the volatility and expense of electricity procurement."



Available in states that have deregulated electricity markets, Managed Heat Rate uniquely separates, and then procures, the primary components that determine ever-changing electricity prices. Colleges and universities can purchase the components individually when they reach an attractive price point.



"In deregulated states, Managed Heat Rate manages risk by locking-in prices and securing predictable rates over the contracted period," said Larry Allen, Senior Energy Manager, Amerex Energy Services. "This strategy has proven very effective in helping educational institutions control energy costs."



The white paper includes Managed Heat Rate case studies highlighting Baylor University, Loyola University and Saint Xavier University, complete with quotes from the chief financial officers of these institutions.



Loyola University and Saint Xavier University, both located in Illinois, became the first educational institutions in the State to contract for deregulated electric power using a Heat Rate pricing model. Amerex Energy Services successfully unbundled the electric price components in Illinois, allowing ARAMARK to introduce this innovative approach to its client partners as a means to manage escalating utility budgets. About AmerexAmerex Energy Services is a division of Amerex Brokers LLC. Amerex Energy Services is a national energy consultant that provides industrial, commercial and institutional clients with a wide array of sophisticated energy and energy-related financial tools designed to provide a stable platform to manage risk. Founded in 1978, Amerex is a leading over-the-counter energy brokerage offering services in electricity, natural gas, emission credits and allowances, renewable energy credits, retail energy procurement and energy data services. From its office in Houston, Amerex offers liquidity and timely execution to meet the needs of a global client network of more than 1,000 firms including thousands of traders and risk management professionals. For additional information, please visit www.amerexenergy.com. Amerex Brokers LLC is a wholly-owned subsidiary of GFI Group Inc. (Nasdaq: GFIG), a leading inter-dealer broker specializing in over-the-counter derivatives products and related securities. GFI provides brokerage services, market data and analytics software products for a range of credit, financial, equity and commodity instruments. GFI operates one of the largest OTC energy brokerage businesses in North America both directly and through its Amerex and StarSupply businesses. About ARAMARK Higher EducationARAMARK Higher Education is dedicated to excellence in dining, facility, conference center, and stadium and arena services. ARAMARK enhances the living and learning experience and environment for more than 600 colleges and universities throughout North America. Dining services offered include: master planning; culinary development and venue design; catering; residential, quick-serve, and express dining concepts. Facility services offered include: facilities maintenance; custodial; grounds; energy management; capital project management; and building commissioning. For more information, visit www.aramarkhighered.com. About ARAMARKARAMARK is a leader in professional services, providing award-winning food services, facilities management, and uniform and career apparel to health care institutions, universities and school districts, stadiums and arenas, and businesses around the world. In FORTUNE magazine's 2009 list of "World's Most Admired Companies," ARAMARK was ranked number one in its industry, consistently ranking since 1998 as one of the top three most admired companies in its industry as evaluated by peers and analysts. ARAMARK seeks to responsibly address issues that matter to its clients, customers, employees and communities by focusing on employee advocacy, environmental stewardship, health and wellness, and community involvement. Headquartered in Philadelphia, ARAMARK has approximately 260,000 employees serving clients in 22 countries. Learn more at the company's Web site, www.aramark.com.



September 18, 2009


 
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