JULY 2008

Republic Services and Allied Waste discuss merger

Republic Services, Inc. and Allied Waste Industries, Inc. confirmed that the two companies have entered into discussions regarding the possibility of a business combination, which has the potential to be a $6.5 billion merger.

Allied Waste Industries, Inc. is the second largest trash hauler in the United States and Republic Services, Inc. follows closely as the third largest trash hauler.

The companies are contemplating a transaction in which Allied Waste shareholders would receive 0.45 shares of Republic Services common stock for each share of Allied Waste common stock. There can be no assurances that any transaction will occur at these terms or at any terms as a result of these discussions.

In order to protect the interests of both companies’ employees, shareholders and customers, the two companies will not comment further on these discussions until there are material developments.