H2O Innovation Inc.
TSX VENTURE : HEO

H2O Innovation Inc.
Professional Water Technologies

Professional Water Technologies

November 03, 2011 14:30 ET

H2O Innovation: Professional Water Technologies Adds Three New International Distributors in South Africa and South-East Asia

QUEBEC CITY, QUEBEC--(Marketwire - Nov. 3, 2011) - H2O Innovation Inc. ("H2O Innovation" or the "Company") (TSX VENTURE:HEO)(ALTERNEXT:MNEMO:ALHEO) announces that its Professional Water Technologies ("Professional Water Technologies" or "PWT") business unit, specialized in reverse osmosis specialty chemicals and membrane forensics services, has recently signed agreements with three new distributors, increasing its international outreach to Malaysia, Singapore and South Africa.

"As we continue to actively grow our network of international distributors, we are proud to announce today the recent signing of three new distributors, opening up Malaysia, Singapore and South Africa as new high-growth markets for our reverse osmosis antiscalants and membrane cleaners", stated David Russell, Vice President, Specialty Chemicals and Services. "Professional Water Technologies' antiscalants have sizable advantages compared to standard antiscalants for membrane filtration systems. Most notably, they are eleven times concentrated compared to standard formulations, which makes them 90% smaller and lighter to ship – a significant advantage in international markets", concluded David Russell.

Professional Water Technologies' new distributors are Sigma Water Engineering (M) Sdn Bhd in Malaysia, TuffChem Environmental Services in Singapore and Crest Chemicals PTY (Ltd.) in South Africa. In their respective national markets, the new distributors will represent Professional Water Technologies' line of patent-pending high performance reverse osmosis chemicals and membrane cleaners, including its flagship products SpectraGuard™, antiscalants.

In addition to the advantages of reducing freight and handling costs, Professional Water Technologies' SpectraGuard™ SC is phosphate-free, making it more desirable in environmentally conscious markets like Singapore, a global leader in water recycling and advanced water treatment technologies like reverse osmosis.

Shortly following the execution of their distributorship agreement, new Professional Water Technologies distributors place initial inventory stocking orders, following which PWT provides technical training and commercial field support.

The addition of these three new distributors brings to over 15 the number of international distributors of PWT reverse osmosis chemicals and membrane cleaners. Following the recent appointment of new resources to its U.S.-based internal sales force and the signing in September of a sales representation agreement with Swiss-based Omya to cover the fast-growing EMEA market, the three new distributors announced today are expected to contribute to PWT's double-digit sales growth. The terms of the agreements remain confidential.

Prospective disclosures

Certain statements set forth in this press release regarding the operations and the activities of H2O Innovation as well as other communications by the Company to the public that describe more generally management objectives, projections, estimates, expectations or forecasts may constitute forward-looking statements within the meaning of securities legislation. Forward-looking statements concern analysis and other information based on forecast future results and the estimate of amounts that cannot yet be yet determined. Forward-looking statements include the use of the words "expect", "believe", "estimate" and other similar terms as well as those usually used in the future and the conditional, notably regarding certain assumptions as to the success of a venture. Those forward-looking statements involve a number of risks and uncertainties, which may result in actual and future results of the Company to be materially different than those indicated. Information about the risk factors to which the Company is exposed is provided in the Annual Information Form dated September 28, 2011 available on SEDAR (www.sedar.com). Unless required to do so pursuant to applicable securities legislation, H2O Innovation assumes no obligation to update or revise forward-looking statements contained in this press release or in other communications as a result of new information, future events and other changes.

About H2O Innovation

Building on 11 years of experience, H2O Innovation provides integrated technological water treatment solutions based on membrane filtration technology to municipal, energy & mining end-users. H2O Innovation designs state-of-the-art custom-built water treatment systems for the production of drinking water and industrial process water, the reclamation and reuse of water, and the treatment of wastewater, while providing a complete line of specialty chemicals and consumables for membrane filtration and reverse osmosis systems. With more than 100 employees and seven locations in North America, H2O Innovation is also a founding partner of H2O Innovation India, a joint venture based in Mumbai, India. Shares of H2O Innovation are listed on the TSX Venture Exchange (HEO) and the NYSE Euronext Alternext Exchange (MNEMO:ALHEO). For more, visit www.h2oinnovation.com.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) nor the Alternext Exchange accepts responsibility for the adequacy or accuracy of this release.

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