Frost & Sullivan: Romanian Water and Wastewater Treatment Equipment Market Poised for Significant Growth Opportunities

LONDON, July 6, 2010 - The Romanian water and wastewater treatment equipment market presents
considerable long-term growth opportunities. The market is driven by both
legislation and the inflow of European Union (EU) funds. In the municipal
segment, EU Directives drive the demand for water and wastewater treatment
applications, while available EU subsidies provide funds to execute projects.
Revenues in the industrial treatment segment are expected to grow by 86
percent from 2009 to 2015, while the municipal segment revenues are likely to
double over the same period.

    (Logo: photos.prnewswire.com/prnh/20081117/FSLOGO)
    (Logo: www.newscom.com/cgi-bin/prnh/20081117/FSLOGO)

New analysis from Frost & Sullivan (www.environmental.frost.com),
Romanian Water and Wastewater Treatment Market, finds that the market earned
revenues of US$173.1 million in 2009 and estimates this to reach
approximately US$396.5 million in 2015, growing at a compound annual growth
rate (CAGR) of 14.8 percent from 2009 to 2015. The markets covered in this
research service broadly include municipal and industrial water & wastewater
treatment.

"In the industrial market segment, only the wastewater applications are
driven by legislation, with the demand by water susceptible to industrial
growth and economic conditions," says Frost & Sullivan Research Manager
Fredrick Royan.

At present, three out of the four largest equipment suppliers in Romania
are local companies. Most of the notable Romanian equipment suppliers are
distributors of foreign equipment, representing various brands and offering
many products for both industrial and municipal segments. The market is
fragmented, with more than half of the market revenues being generated by
small companies.

However, bureaucratic hurdles present major long-term obstacles for
market growth. Despite considerable allocation of EU funds, the Romanian
Government finds it difficult to absorb and spend the available funds. Delays
in the investment processes are common in Romania.

"Corruption is a key challenge, particularly for foreign equipment
suppliers who are new to the region," explains Royan. "Romania is
consistently being ranked as one of the two most corrupt countries in the EU,
as well as in the lower-end of Europe."

In spite of these hindrances, significant opportunities are budding in
the wastewater treatment market, particularly in municipal applications.
Sizeable prospects exist in the package wastewater treatment plants segment,
which is designed primarily for small communities and rural areas.

"Substantial opportunities are also there for service providers,
especially in areas such as project management per the International
Federation of Consulting Engineers (FIDIC) guidelines, training, engineering
supervision, and acquisition of EU funds, as well as project design, to a
lesser extent," concludes Royan.

If you are interested in a complimentary brochure on this market, please
send an e-mail to Chiara Carella, Corporate Communications, at
chiara.carella@frost.com, with your full name, company name, title, telephone
number, company e-mail address, company website, city, and country.

Romanian Water and Wastewater Treatment Market is part of the
Environmental Growth Partnership Services programme, which also includes
research in the following markets: Global Ballast Water Treatment Market,
Global Biological Waste to Energy Market, European Batteries Waste Management
Market, Analysis of the Rainwater Harvesting Market in Europe and India and
Global Desalination Market, among others. All research services included in
subscriptions provide detailed market opportunities and industry trends that
have been evaluated following extensive interviews with market participants.

About Frost & Sullivan

Frost & Sullivan, the Growth Partnership Company, enables clients to
accelerate growth and achieve best-in-class positions in growth, innovation
and leadership. The company's Growth Partnership Service provides the CEO and
the CEO's Growth Team with disciplined research and best-practice models to
drive the generation, evaluation, and implementation of powerful growth
strategies. Frost & Sullivan leverages over 45 years of experience in
partnering with Global 1000 companies, emerging businesses and the investment
community from 40 offices on six continents. To join our Growth Partnership,
please visit www.frost.com.

    Contact:
    Chiara Carella
    Corporate Communications - Europe
    P: +44-(0)-20-7343-8314
    M: +44-(0)-753-3017689
    E: chiara.carella@frost.com

www.frost.com

Chiara Carella, Corporate Communications - Europe, Frost & Sullivan, P: +44-(0)-20-7343-8314, M: +44-(0)-753-3017689, chiara.carella at frost.com