NEWS RELEASE                                                                                        MAY 2012

Liquid Cartridge Market to Exceed $16 Billion Next Year

The market for cartridges utilized to purify liquids will grow to over $16 billion next year. This is the new forecast in Cartridge Filters: World Markets, an online report by the McIlvaine Company. (www.mcilvainecompany.com)

($ Millions)

Industry                     2013

 Chemical

    715

 Commercial - Point of Entry

    913

 Commercial - Point of Use

 2,554

 Electronics

    502

 Food

    552

 Healthcare

 1,330

 Metals

    196

 Oil & Gas

    333

 Other Industries

    663

 Pharmaceutical

 2,201

 Power

    244

 Residential - Point of Entry

    826

 Residential - Point of Use

 4,132

 Wastewater

    273

 Water

    772

Total

   16,206

This forecast does not include cartridges used in mobile devices such as automobiles. It does not include cartridges used with compressed gas or hydraulic fluids. No air purification applications are included.

Cartridges come in a variety of sizes, materials and performance parameters. Membrane cartridges can remove sub-micron materials. Carbon black cartridges are efficient in removing contaminants affecting taste. Metal cartridges are capable of operating at high temperatures.

The largest single user segment is the home owner. Cartridges may filter out sediment at the point of entry, under the sink, in the ice making system, or at the top of the pitcher. The poor quality of drinking water in many countries of the world has resulted in substantial investment by home owners to insure water safety. The pool and spa market is substantial.

The pharmaceutical industry uses disposable cartridges for process separation. This allows switching from one product to another without cross contamination worries. In the power industry, cartridges are less popular than filters which are continuously cleaned. In the electronics industry, cartridges are used as pre-filters for reverse osmosis systems.

Due to the pharmaceutical activity in the U.S. and Germany, these two countries are among the leading purchasers of cartridges. However, China is a much bigger purchaser than Germany in all applications outside of the pharmaceutical segment. As a result, it’s projected $1.5 billion in cartridge purchases in 2013 are more than twice that projected for Germany.

For more information on Cartridge Filters: World Market, click on: http://www.mcilvainecompany.com//brochures/water.html#nO24