Ionics Inc. restructures Australian operations under Ionics Australasia Pty. Ltd.

March 17, 2004
Ionics Inc., a provider of water purification and wastewater treatment, announces the restructuring and consolidation of its Australian operations under Ionics Australasia Pty. Ltd.

Watertown, MA, March 17, 2004 -- Ionics Inc., a provider of water purification and wastewater treatment, announces the restructuring and consolidation of its Australian operations under Ionics Australasia Pty. Ltd. Effective March 31, 2004 this new entity will integrate and carry out the business activities currently performed by its Ionics Watertec Pty. Ltd. and Elite Chemicals Pty. Ltd. business units.

Ionics Australasia Pty. Ltd. will continue to sell and service Ionics membrane products, systems and services for the water and wastewater treatment market, as well as continue the manufacture of sodium hypochlorite through its Elite Chemicals division. Ionics Australasia will provide Australian and New Zealand municipalities and industries with a total solution for water treatment, reuse, demineralization, desalination, and disinfection.

"The integration of Ionics' Australian business is part of Ionics' overall streamlining program initiated in 2003," said Douglas R. Brown, President and CEO of Ionics, Incorporated. "The activities of Ionics Australasia will allow this market to continue its growth in water and wastewater, while concurrently improving its operating efficiencies."

Ionics Australasia will take advantage of more than 50 years of water treatment experience, offering a range of technologies including Microfiltration (MF), Ultrafiltration (UF), Reverse Osmosis (RO), Electrodialysis Reversal (EDR), Electrodeionization (EDI) and Membrane Bioreactors (MBR). The company will also continue to manufacture and sell its sodium hypochlorite disinfection product under the Elite Chemicals brand.

"The integration of business activities under Ionics Australasia demonstrates a strong commitment to the Australian and New Zealand markets by Ionics, Incorporated," said Peter Vallance, Managing Director of Ionics Australasia Pty. Ltd. "We look forward to a very prosperous future."

Effective March 2004, the Brisbane staff of Ionics Watertec Pty. Ltd. will relocate to the Brisbane offices of Ionics Australasia. The Ionics Watertec Pty. Ltd. Sydney office will remain at Granville in Sydney under the new name, Ionics Australasia Pty. Ltd., and the office in Darra will move to Brisbane.

About Ionics, Incorporated

Ionics is a provider in water purification and wastewater treatment. The company has over 50 years of experience in the design, installation, operation and maintenance of water and wastewater treatment systems and is a leading provider of emergency and long-term water treatment services. More membrane-based desalination systems have been designed and built by Ionics than any other supplier worldwide. Ionics is also a supplier of zero-liquid-discharge systems, in providing ultrapure water systems for the power and microelectronics industries, and in the measurement and analysis of water impurities. The company also supplies Point-of-Use and Point-of-Entry water treatment systems for commercial and residential applications. For more information, visit www.ionics.com.

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