Jun 27, 2008

Pentair and GE Water & Process Technologies May Form Joint Venture

Preliminary discussions are underway to combine their water softener and residential filtration businesses

Pentair, Inc. and GE Water & Process Technologies announced last month that they are engaged in discussions to establish a joint venture to combine their respective global water softener and residential water filtration businesses.

Under the current framework in discussion, Pentair would own approximately 80% of the joint venture interests, and GE Water & Process Technologies would own approximately 20%. The combined businesses had 2007 net sales of approximately $450 million. It is not currently contemplated that significant cash contributions would be required from either party to form the joint venture.

The parties to the discussion believe that this joint venture creates significant sales growth opportunities and other operating synergies, and would accelerate the global development of innovative technologies to serve the residential water filtration and treatment market.