ITT Corporation

Travis Engen Addresses Stockholm Water Symposium; Speech Highlights Importance of Water Markets

    8/12/1999

        STOCKHOLM, Sweden, Aug. 12 /PRNewswire/ -- Travis Engen, Chairman and
    Chief Executive of ITT Industries, highlighted the importance of water markets
    and the knowledge of the industry in a speech given this week at the 9th
    Stockholm Water Symposium.  "Water is a valuable and unique commodity, yet it
    has been used without logic or understanding of its true worth," said Engen.
    "We have treated it as if the supply is endless and its worth marginal."
        In his remarks, Engen recalled that in 1854, Dr. John Snow found that
    cholera was carried in impure water leading to changes in hygiene and water
    management which affected the very nature of life in that century and this
    one.  Today, new problems have arisen.  Urbanization has a damaging effect on
    groundwater supplies.  By 2050, more than 40% of our population is likely to
    face some form of water shortage, with one in five suffering severe shortages.
    
        Water Markets Grow in Importance
        Mr. Engen emphasized that water can no longer be viewed as "free."  On the
    contrary we have to recognize that water has a value.
        "Just as energy conservation has increased the energy supply and
    stabilized prices, water will also benefit from market forces," said Mr.
    Engen.  "Water markets establish proper values for this resource and provide
    the economic incentives to move water from applications of lower value
    (and often waste) to areas of higher value."
        In his speech, he cited the example of the Southern California Water
    District, serving urban users, who paid rural districts for lining farm canals
    with concrete, and implemented other conservation strategies.  In exchange the
    urban district received the 130 million cubic meters of water that the
    conservation projects saved.  California farmers pay $30 per acre-foot for
    water while urban users can pay upwards of $3000.  The recognition of market
    values provides dramatic incentives to conserve and use this valuable resource
    most effectively.
        "At ITT Industries, we recognize that we have the skills and means to
    understand the economics, technology and applications which can help ensure
    water for the future," said Mr. Engen.  "But we must be more efficient in our
    recognition of the value of water; and this will improve the ways we
    distribute and use that water to meet the needs of the world's population
    today and in the future."
        ITT Industries, Inc. (NYSE: IIN) (http://www.ittind.com) is a global
    engineering and manufacturing company with leading positions in the markets it
    serves, generating 1998 sales of $4.5 billion.  ITT Industries is the world's
    premier supplier of pumps, systems and services to move and control water and
    other fluids.  The company is a major supplier of sophisticated military
    defense systems, and provides advanced technical and operational services to a
    broad range of government agencies.  ITT Industries also produces connectors,
    switches and cabling used in telecommunications, computing, aerospace and
    industrial applications, as well as network services.  Further, ITT Industries
    makes industrial components for a number of other markets, including
    transportation, construction and aerospace.  Based in White Plains, NY, ITT
    Industries employs approximately 33,000 people around the world.
        In addition to the New York Stock Exchange, ITT Industries' common stock
    is traded on the Midwest, Pacific, London, Frankfurt and Paris exchanges.
    
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    SOURCE  ITT Industries, Inc.
    
    Web site:  http://www.ittind.com
    CONTACT: Tom Glover of ITT Industries, 914-641-2160, or
    tglover@hq.ittind.com

About ITT

ITT is a diversified leading manufacturer of highly engineered critical components and customized technology solutions for the transportation, industrial, and oil and gas markets. Building on its heritage of innovation, ITT partners with its customers to deliver enduring solutions to the key industries that underpin our modern way of life. ITT is headquartered in White Plains, N.Y., with employees in more than 35 countries and sales in a total of approximately 125 countries. The company generated 2016 revenues of $2.4 billion.

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