Stantec (TSX: STN) (NYSE: SXC) recently it has signed letters of intentto acquire two U.S. Midwest firms, R.D. Zande of Columbus, Ohio, andFuller, Mossbarger, Scott & May Engineers (FMSM) of Lexington, Ky.
The addition of these two firms will enhance Stantec’s existing GreatLakes Region, create a new region for Stantec in the area of Kentuckyand Tennessee and add more than 600 employees.

R.D. Zande is a civil and environmental engineering firm with more than300 employees principally in Ohio, with additional offices in WestVirginia, Kentucky, South Carolina, Pennsylvania and Georgia. Thefirm’s cross-disciplinary team of engineers, planners, environmentalscientists, landscape architects, surveyors and constructionadministrators provides services mainly in water and wastewatertreatment facility design, environmental management, andtransportation, as well as complementary service in planning, landscapearchitecture, surveying and land development.

“We look forward to R.D. Zande joining Stantec,” says TonyFranceschini, Stantec president and CEO. “The addition of R.D. Zandewill strengthen our Great Lakes region in the Midwest United States,and grow our depth of service offerings to public sector clients in ourenvironment practice.”

The firms expect to complete the transaction in early January 2008. The firm is consistently ranked in Engineering News Record’s Top 500Design firms and is currently listed as number 394.

Fuller, Mossbarger, Scott & May (FMSM) has more than 300 employeesprimarily located in Kentucky with additional offices in Ohio,Missouri, Indiana, Georgia and Tennessee. The addition of FMSM willcreate a new region for Stantec in the area of Kentucky and Tennesseeas well as a new practice area in geotechnical engineering.

“We have been looking to add an appropriate geotechnical engineeringpractice and FMSM adds expertise in several specialty engineering areasincluding dams, levees, and underwater structures that complement ourexisting services,” says Franceschini. “In addition, FMSM enhances ourwater resource capabilities and provides improved access to U.S.Federal clients such as the Corps of Engineers and the FederalEmergency Management Agency (FEMA).”

FMSM provides earth and water resource engineering solutions. The firmoffers a wide scope of services in civil, environmental, geotechnical,structural and water resources engineering, as well as specialized andtargeted areas in Geographic Information Systems (GIS), particularly infloodplain mapping. The firm also has an integrated materials testinglaboratory and drilling operation to support its engineering projects.The firms expect to complete the transaction at the end of December2007.

FMSM revenues in 2006 were approximately $36 million and the firm iscurrently listed as number 327 in Engineering News Record’s Top 500Design Firms in the United States.

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