Dec 28, 2000

Waterlink Sells its Aero-Mod Subsidiary

Waterlink, Inc. has sold its Aero-Mod Incorporated subsidiary located in Manhattan, Kansas to Resi Enterprises. Aero-Mod had approximately $6 million in annual revenues and was part of the Company’s Biological Wastewater Treatment Division.

The company will continue to operate its Biological division, headquartered in Fall River, MA. The transaction is not expected to have a material impact on the Company’s operating profit but will result in an estimated pre-tax loss of approximately $1.7 million that will be reported in the Company’s results for the fiscal year ending September 30, 2000.