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
"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