NEWS RELEASE                                                                                                    NOVEMBER 2012

$9 Billion Cross-flow Membrane Market Will Grow Faster Than the Economy Next Year

The markets for cross-flow membranes and equipment will grow faster than the economy and faster than total revenues for the multi product companies pursuing this market. This is the conclusion reached in the latest forecast in RO, UF, MF World Market, published by the McIlvaine Company.

Top of FoWorld Cross-flow Membrane Filtration Revenues

($ Millions)

Subject

2012

2013

 Micro Equipment

 1,824.49  

 1,925.87  

 Micro Membranes

 473.43  

 490.14  

 RO Equip

 3,355.28  

 3,661.86  

 RO Membranes

 998.53  

 1,070.79  

 UF Equipment

 1,968.16  

 2,085.38  

 UF Membranes

 608.72  

 634.45  

Total

9,229

9,869

In 2013, total revenues will increase by 6.9 percent and RO membrane sales will increase by 7 percent, whereas RO equipment sales are forecast to increase by over 9 percent. The equipment sales are more volatile. Growth is higher than membrane sales in recovery periods and lower than membrane sales in the downturns. 2013 is part of the upturn and, therefore, it is expected that equipment growth will exceed the consumables or membrane revenue growth.

Revenue Growth % for Selected Companies

Company

2013

2014

Dow

5.71

4.63

GE

4.83

3.88

Kurita

5.07

4.71

Siemens

3.78

4.57

Toray

3.82

4.18

All the large cross-flow filtration companies are divisions of larger companies. Total revenues for these companies are expected to increase in the range of 4-5 percent over the next two years. Therefore, the membrane groups will be higher performing than the total corporations.

For more information on RO, UF, MF World Market http://www.mcilvainecompany.com/brochures/water.html#no20