A Look At Iron Mountain’s Business And Its Latest Announcement

A Look At Iron Mountain’s Business And Its Latest Announcement

Iron Mountain (NYSE: IRM) is an unfamiliar company to many investors but it is an $8 billion company that specializes in storage and information management.

The company’s real estate network includes more than 85 million square feet across 1,400 facilities in 45 different countries.

Iron Mountain stores and protects billions of assets, including critical business documents, electronic information, medical data and even stores cultural and historical artifacts.

Iron Mountain announced on Monday it has signed a wind power purchase agreement that will leverage renewable energy sources to power as much as 30 percent of its North American electricity footprint.  By doing so, management expects to see as much as $1.5 million in annual cost avoidance.

“When businesses like Iron Mountain directly purchase renewable energy for their operations, they’re not only saving money and reducing their energy footprint, but also leading and signaling a shift to their peers toward greening the grid that’s so critical for addressing climate change,” said Marty Spitzer, senior director, Climate and Renewable Energy at the World Wildlife Fund.

The company further added that the capacity could power all of its operations in Texas which consists of 75 facilities in addition to its operations in additional states.  

Iron Mountain will acquire 10 percent of the energy produced at the Amazon Wind Farm Texas which is a 253-megawatt 110+ turbine wind farm in Texas.  When the project is completed in 2017, the company’s share of the wind farm could generate up to 100,000 megawatt hours per year which is the equivalent of nearly one-third of its power consumption for North America.

Iron Mountain’s other investments in wind power include a 15-year agreement with a wind farm in Pennsylvania and ongoing investments in solar projects across the U.S. and Canada.

“Power consumption is an expensive and resource-consuming part of our global operational footprint , and one of the areas we’ve targeted as an opportunity to transform our business,” said Ty Ondatje, senior vice president of Corporate Responsibility and chief diversity officer,Iron Mountain. “Renewable energy strategies, along with energy efficiency, are at the heart of our efforts to deliver both savings back to the company and look for opportunities to innovate. We’ve discovered that it’s also helping us to open meaningful dialogue and collaboration opportunity with our customers who are seeking to understand and mitigate their own environmental impact. We believe that renewable energy strategies can benefit our business, positioning Iron Mountain and our customers to meet the growing expectations for sustainable business practices.”