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Signing of Japanese Distribution Agreement & B2C Update

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Five-year agreement with well-respected trading company for distribution of B2C products in Japan. B2C Update: Indesit commences distribution of Waterlogic B2C range in Russia and Turkey; Italian pre-launch underway.

Waterlogic Plc (AIM: WTL.L), a leading designer, manufacturer and global distributor of point-of-use (“POU”) drinking water purification and dispensing systems, is pleased to announce that it has signed an agreement with a well-respected trading company for the distribution of the Company’s B2C products in Japan.

The five-year agreement grants Waterlogic exclusivity for the supply of drinking water purification devices to the Japanese partner, which will in turn become the sole distributor of Waterlogic B2C products to the Japanese market. The agreement has volume commitments in place for the first year and includes certain performance clauses. The volume commitments for the following years of the agreement will be negotiated in line with the Company’s expectations.

The B2C range of products is expected to be launched in Japan in late 2013. The products will carry the “Waterlogic” and “Firewall™” branding for direct distribution, and “OEM brand” and “Firewall™” for OEM. The Japanese partner will be distributing to the market through kitchen manufacturers and wholesalers, mail order catalogues and through healthcare organisations to the medical industry.

In addition and further to the Company’s announcement in October 2012, Waterlogic is pleased to announce that Indesit has launched Waterlogic’s B2C range in Russia and Turkey and is pre-launching in Italy.

Jeremy Ben-David, Waterlogic Group CEO, commented: “We are very pleased to be able to announce this deal, which will enable us to extend the reach of our B2C products further into East Asia and add to the strong presence we already have in Europe, parts of Asia, India and the Middle East. The Japanese residential water treatment market is the largest in the world, valued at more than $2 billion, and has the potential to greatly enhance the Company’s offering. This agreement is another milestone for the Group’s B2C division and we look forward to updating the market with further news on its development in due course.