Christ Water Technology spun off by BWT shareholders

Christ Water Technology has split from BWT (Best Water Technology, Austria) and will in future be an independent group of companies. This has been decided by the management of Christ and BWT, to which Christ belonged for the last four years, and was agreed to by the BWT shareholders. Thus the company gains flexibility, in order to achieve the objective for the future: to become the leading international company in industrial water treatment...

MONDSEE, Austria, Nov. 9, 2005 -- Christ Water Technology AG, with its headquarters in Mondsee, Austria, and until now a subsidiary of the BWT Best Water Technology AG, also in Mondsee, will in the future be an independent group of companies. At a shareholders' meeting at BWT AG in September 2005, it was unanimously decided to split off the industrial and communal water-technology activities provided by the Christ Water Technology Group. This spin-off will probably become effective in November 2005. The management of the company remains in the hands of Dr. Dr. Karl Michael Millauer, chairman of the board, Hartmut Gussmann, board member for the technology sector.

For Christ customers, this development means continuity at a high level: the product range for the various industrial sectors will remain available without restrictions. Furthermore, the service activities will be extended by, for example, improved after-sales measures and by considerable expansion of the sales network.

The new independence of Christ also reflects the differences in the business and investor structures: while Christ is active in plant engineering, the BWT activities are concentrated on water-technology products for private households, trade and small industrial users. The spin-off offers Christ more flexibility and this, in turn, simplifies growth of the company by opening up new markets, strategic alliances and acquisitions and capital increases. The objective is to become the leading international company in industrial water treatment.

Today, Christ is already a European leader in the areas of water treatment for the semiconductor, power, food & beverage and pharmaceutical industries, and belongs to the top five companies in the world. Last year, the company achieved a worldwide turnover of 178 million Euros with about 800 employees at 30 locations. "We are moving in an extremely interesting market with enormous growth potential, in which we can act more flexibly as an independent company. Various studies predict a growth from 500 million Euros in 2004 to 700 million in 2007, just in industrial water treatment in Europe. This corresponds to an annual growth of about 13 per cent. We wish to play our part in this dynamic process and participate in its benefits ", said Karl Michael Millauer.

The 17.833 million Christ shares, with a equivalent nominal share of the company capital of one Euro each, will be issued to all BWT shareholders after completion of the spin-off; for each BWT share, investors will receive one Christ share. "I am confident that this spin-off will be the foundation for a positive development of the share value", said Karl Michael Millauer about the prospective listing of the Christ stock in the prime sector of the Viennese stock exchange.

In the Christ Water Technology Group (www.christwater.com), total 2004 sales amounted to EUR 173.2 million, which equates to a surge in sales of 22%. Organic growth stood at more than 18% with some 4% attributable to acquisitions. Approximately 74% of AST sales were generated in Europe, 21% in Asia and 5% in the rest of the world. In the United States, CWT owns Christ Water USA Inc., based in Vancouver, Wash., and Tenergy Christ Water LLC (www.tenergychrist.com), based in New Britain, Conn.

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