'Brazil 2001; The Water & Wastewater Market in Latin America's Largest Country'; CG/LA Infrastructure Releases New Report On Water & Wastewater Market in Latin America.

Business Editors

WASHINGTON, D.C.--(BUSINESS WIRE)--March 27, 2001

CG/LA Infrastructure today released the latest report in its series on Latin American water and wastewater markets, entitled "Brazil 2001; The Water and Wastewater Market in Latin America's Largest Country." This is the latest in a series of reports on drinking water and wastewater treatment in this fast-growing Latin American market.

Brazil 2001 highlights the fact that in this country of 162 million people, 75% of whom live in urban areas, water supply industry revenues will surpass $5.5 billion in 2001, with services and equipment comprising an additional $2.2 billion. These figures represent an increase of 20% over record 2000 levels.

Highlights of Brazil 2001 are the following:

-- The Sao Paulo Water Company (Sabesp), the largest water utility in the world, will spend US$ 615 million on services and equipment in 2001, an extraordinary increase of 95% over 2000 spending levels;

-- The Santa Catarina water utility, one of the best managed utilities in Brazil, will be privatized in October, 2001;

-- Brazilian demand for water-related equipment is growing at a rapid pace, especially in the areas of remote metering and membrane technologies - areas in which foreign manufacturers and suppliers have a significant competitive advantage.

The Brazilian economy is strong, and the Federal government has prioritized improvements/investment in the water and wastewater sectors in 2001. According to Norman F. Anderson, President and CEO of CG/LA Infrastructure, "Our analysts focused Brazil 2001 on actual, budgeted, opportunities to do business with Brazilian water utilities. We foresee a significant increase in sales opportunities in 2001 - growth that will be even higher than anticipated if the country begins to address the severe problems in the wastewater sector." He went on to add "with 5% GDP growth projected this year, and with more than $30 billion in foreign direct investment, we also see significant opportunities in the industrial wastewater sector

CG/LA's Brasil 2001 report, released on March 22nd, contains information especially pertinent to business decision-makers, including:

-- Procurement schedules for all major water utilities, including timing, expenditures and spending focus; o Privatization schedules and analyses of privatizations and concession opportunities;

-- Assessment of industrial market opportunities, by region and sector;

-- Overview of rules of the game, especially in terms of legislation and institutional capacity building; and

-- Independent intelligence on all major investments being executed, and planned for the sector during the next 2 years in both the municipal and industrial markets.

According to Anand Hemnani, Vice President, and Director of CG/LA's Brazilian Operations, Brazil 2001 is a practical guide to business opportunities, and a sophisticated way of thinking strategically about this complex marketplace. Mr. Hemnani adds that, along with basic business intelligence, "the report also provides an evaluation of major players and strategies that are critical to understanding how to make money and avoid pitfalls in this robust, complex marketplace."

"Brazil 2001; The Water and Wastewater Market in Latin America's Largest Country" is part of an on-going series of publications from CG/LA, including:

-- "Water and Wastewater Tariffs in Latin America; Market Potential (May 2000); and

-- "The Fox Government's Water and Wastewater Plan; Business Opportunities in Mexico's New Environment (forthcoming).

Reports are made available to subscribers, and are available to non-subscribers for a price of US $2,950. Reports bundled with half day Executive Briefings are available for $4,950.

CG/LA Infrastructure is a leading market research and strategy firm focused on the Latin American water and power marketplaces. CG/LA's Water and Wastewater Advisory Service is an annual subscription service in which a majority of the world's water and wastewater firms participate. The service addresses the operational and strategic needs of executives through a series of bundled products and services, including analysis and strategy briefings, strategic market reviews, tailored research, interactive consultation, and access to the firm's comprehensive, user-friendly data bases. CG/LA is a founding member of the Global CX marketplace - a non-profit Internet exchange dedicated to promoting clean water worldwide.

To receive more information on CG/LA and its cWater and Wastewater Advisory Service, please contact: