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Jul 05,2005

ABM To Proceed with World Trade Center Claim in Southern District of New York

ABM To Proceed with World Trade Center Claim in Southern District of New York

SAN FRANCISCO, CA – July 4, 2005 – ABM Industries Incorporated (NYSE: ABM) announced today that the United States Court of Appeals for the Second Circuit on June 27, 2005 denied the petition by Zurich American Insurance Co. (Zurich), filed February 24, 2005, to have its appeal of the February 9, 2005 summary judgment ruling heard by the Second Circuit Court of Appeals sitting en banc.

“We are pleased with the Court’s decision,” said Linda S. Auwers, ABM Senior Vice President & General Counsel. “We continue to look forward to a fair and timely resolution of our claims with Zurich.”

On February 9, 2005, the United States Court of Appeals for the Second Circuit granted summary judgment in favor of ABM on the Company’s insurance claims for business interruption losses resulting from the World Trade Center terrorist attack. The Court also ruled that ABM is entitled to recovery for the extra expenses the Company incurred after September 11, 2001, which include millions of dollars related to increased unemployment claims and costs associated with the redeployment of World Trade Center personnel at other facilities. The Court rejected the arguments of Zurich to limit the Company’s business interruption coverage and returned the case to the Southern District of New York for determination of appropriate additional compensation under the policy. Under the policy, coverage for business interruption and other related losses is capped at $127.4 million. ABM believes its losses exceed $100.0 million, of which $10.0 million has been paid under the contingent business interruption sub-limit, and $5.3 million has been paid for property and other losses.

About ABM Industries:
ABM Industries Incorporated is among the largest facility services contractors listed on the New York Stock Exchange. With fiscal 2004 revenues in excess of $2.4 billion and more than 73,000 employees, ABM provides janitorial, parking, security, engineering and lighting services for thousands of commercial, industrial, institutional and retail facilities in hundreds of cities across the United States and British Columbia, Canada. The ABM Family of Services includes ABM Janitorial; Ampco System Parking; ABM Security, which includes American Commercial Security (ACSS) and Security Services of America (SSA); ABM Facility Services; ABM Engineering; and Amtech Lighting Services.

Cautionary Statement Under the Private Securities Litigation Reform Act of 1995.
This press release contains forward-looking statements that set forth management’s anticipated results based on management’s plans and assumptions. Any number of factors could cause the Company’s actual results to differ materially from those anticipated. These risks and uncertainties include, but are not limited to subsequent adverse judicial rulings in the Company’s World Trade Center insurance litigation and each of the risks set forth in the Company’s 2004 Annual Report on Form 10-K.

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