South East Water Awards Water Metering Contract to Elster

Innovative V210 volumetric polymer water meter supplied with wireless automatic meter reading systems (AMR)

LUTON, England, September 27, 2010 - Elster announced today that South East Water has selected the company to
supply up to 250,000 volumetric water meters with wireless automatic meter
reading (AMR) systems over the next five years.

The V210 volumetric polymer meter can offer long life and high accuracy
over a wide operating range with very low environmental impact. The product
is designed to form an integral part of Elster's advanced metering system and
has been approved to the latest European Directive 2004/22/EC and
International ISO 4064 standards.

The V210 polymer meter can be equipped with the latest wireless AMR
technology and is the first water meter to achieve compliance with the UK
Water Industry Specification 4-32-19 making it suitable for all
installations, including land which may be contaminated or at risk of future
contamination.

"We are delighted to have received the tender award from South East
Water. The innovative V210 polymer water meter with a wireless AMR system has
been specifically developed to support UK utilities with their water
management programs," commented Jerry Lauzze, executive vice president of
Elster's global water business.

About Elster

Elster is one of the world's largest electricity, gas and water
measurement and control providers. Our offerings include distribution
monitoring and control, advanced smart metering, demand response, networking
and software solutions, and numerous related communications and services -
key components for enabling consumer choice, operational efficiency and
conservation. Our products and solutions are widely used by utilities in the
traditional and emerging Smart Grid markets.

Elster has one of the most extensive installed revenue measurement bases
in the world, with more than 200 million metering devices deployed over the
course of the last 10 years. It sells its products and services in more than
130 countries across electricity, gas, water and multi-utility applications
for residential, commercial and industrial, and transmission and distribution
applications.

Elster was acquired by funds advised by CVC Capital Partners in September
2005.

For more information about Elster, please visit www.elster.com.

About Elster Metering Limited

Elster Metering Limited is a world leader in providing innovative water
metering solutions, including low flow and leakage detection applications.
Elster Metering Limited manufactures water meters for utility, commercial and
domestic use at its factories worldwide and offers a complete water metering
portfolio including solutions for revenue metering, cost allocation, network
monitoring, distribution and industrial applications.

For more information about Elster Metering, please visit
www.elstermetering.com.

John Bluth of Elster Corporate Communications, +1-919-250-5425, john.bluth at elster.com, or Perry Shead of Elster Metering Limited, +44-1582-846400, perry.shead at gb.elster.com