Trojan Technologies Fuels Growth With Expansion Into New Markets

Jan 15, 2003, 00:00 ET from Trojan Technologies Inc.

    LONDON, ON, Jan. 15 /PRNewswire-FirstCall/ - Today at its Annual and
 Special Meeting of Shareholders, Trojan Technologies Inc. (TUV:TSX) said it is
 on track to becoming a $250-million company by 2006 as a result of its
 strategy to expand into new markets and diversify its product mix.
     Established in 1977, Trojan has built a reputation as the leading
 provider of ultraviolet (UV) disinfection systems for municipal wastewater
 plants. With more than 3,000 municipal systems in over 25 countries using its
 technology, it has the largest installed base in the world.
     Only recently has the Company pushed into other arenas. "The strategy has
 been bang on," Trojan President and CEO Allan Bulckaert told shareholders.
 While the wastewater sector will still account for more than half its revenues
 this year, other markets are now growing at a faster clip -- particularly
 municipal drinking water, industrial, and environmental contaminant treatment
     In the drinking water arena, Trojan is the selected supplier to three of
 the largest UV plants in the world -- Seattle, Rotterdam, and Victoria, B.C.
 Trojan expects the municipal drinking water market to grow by more than 20 per
 cent a year.
     One of the key `drivers' of this growth is the increasingly stringent
 regulatory environment as governments act to safeguard their water supplies.
 In Ontario, for example, there is now legislation requiring multi-barrier
 treatment of drinking water.
     In Europe, new drinking water standards and rules governing bathing water
 have been passed. In the U.S., the Environmental Protection Agency is moving
 to increase protection against Cryptosporidium and reduce chlorination
 by-products in water supplies.
     In the emerging field of ECT, Bulckaert said Trojan is winning most of
 the jobs. In little more than a year, the Company has received contracts in
 this arena amounting to more than $30 million. Continued strong demand is
 anticipated as low concentrations of toxic chemicals are now being detected in
 water supplies throughout North America and Europe.
     In the U.S., for example, the National Water Quality Assessment Program
 found pesticides in 95 per cent of the streams and rivers and in 50 per cent
 of the groundwater sampled. And the European Environment Agency has warned
 that groundwater quality is threatened by pesticides in almost all European
     "Our ECT technology has proved effective and cost-efficient in removing
 toxic substances from water. It also shows great promise in being able to
 destroy endocrine disruptors -- typically, pharmaceuticals which end up in our
 water supplies and pose human health risks," Bulckaert explained.
     In the industrial sector, the Company is particularly focused on the
 pharmaceutical industry in Europe and electronics manufacturers in Asia where
 there are significant opportunities.
     Bulckaert said management's objectives this year are to:
     - grow by 20 per cent, increasing revenue to over $110 million
     - produce earnings of approximately 40 cents a share
     - grow the business, especially in Europe and Asia where he expects to
       double revenues
     - strengthen customer service and satisfaction
     - improve efficiency
     - and focus R&D efforts on drinking water, wastewater and ECT product
     "We continue to look at acquisitions and alliances, particularly in
 Europe where we are determined to expand our business in order to balance our
 strength in North America," Bulckaert added.
     Trojan designs, manufactures and sells UV systems for municipal
 wastewater and drinking water facilities, as well as for the industrial,
 commercial and residential markets. The Company also provides UV treatment for
 the removal of toxic chemicals from water.
     The Company has over 350 employees around the world. Headquartered in
 London, Ontario, Trojan has offices in Germany, the U.K., Netherlands, Norway,
 Spain, and the U.S. Its shares are listed on The Toronto Stock Exchange under
 the trading symbol TUV.
     The Annual and Special Meeting of Shareholders was held at 11 a.m. today
 in London, Ontario, and the event was also webcast. The webcast has been
 archived and is available on the company's website at until
 April 15, 2003.

SOURCE Trojan Technologies Inc.