Aqua Care Systems Inc. Launches ``Water Saver'' Filtration Breakthrough for Homeowners.

Business Editors

VISTA, Calif.--(BUSINESS WIRE)--Oct. 30, 2001

New Technology Conserves Water and Eliminates Bacterial Contaminates

Such as Cryptosporidium, Guardia, E-coli and Anthrax 

Aqua Care Systems Inc. (Nasdaq:AQCR) today announced the launch of its new "Water Saver" drinking water filtration product.

Water Saver is designed for use by homeowners to significantly conserve water and to greatly improve water quality and safety by eliminating contaminates or bacteria greater than 0.15 microns.

The product is based on a unique polymeric membrane called the Ster-O-Tap(R) micro-filter. The micro-filter unit is incorporated into the Water Saver drinking water system and may be mounted under the sink similar to an under-counter Reverse Osmosis system. Micro-filtration technology has been in existence for many years and is used by municipalities in the treatment of raw water for drinking water, but the new Ster-O-Tap(R) membrane enables the technology to be cost-effective for in-home use.

Compared to a conventional drinking water filtration system, such as Reverse Osmosis, which wastes as much as 90 percent of treated water, the Water Saver system wastes no water in the treatment process. Water Saver also removes all contaminates greater than 0.15 microns. Bacteria, such as Cryptosporidium, Guardia, E-coli and Anthrax, are 1-5 microns in size.

Aqua Care has entered into an exclusive distribution agreement to manufacture and market the product, which will be available immediately to homeowners nationally through a network of nearly 200 water treatment dealers. Aqua Care developed the product in conjunction with Prime Water GMbH, a privately held membrane technology company. Aqua Care will manufacture the product at its facility in Vista, California.

"Water Saver is a major new product introduction for Aqua Care and for consumers concerned about water quality. We look forward to working with our dealer network to both educate the consumer and to deliver product on a timely basis," stated H. Martin Jessen, president and chief executive officer of Aqua Care Systems, Inc.

Water Saver is priced competitively with other drinking water filtration systems. A typical system mounted under the kitchen sink will retail for about $600-$800. Customers may contact Aqua Care (phone [phone]) to order the product direct or for assistance in locating a dealer in their area. The current product is targeted for use by homeowners, but could be configured for use in commercial applications such as food service, and by the military for personal drinking water filtration.

"The product's arrival is very timely and the consumer benefit is a win-win from both the cost and resource savings generated through water conservation and by the improved water quality and safety," commented Mark Lambert, vice president and general manager, of Aqua Care's residential and consumer division.

Jim Scharstuhl, managing director of Prime Water GMbh, is the inventor and patent holder for the Ster-O-Tap(R) membrane. The Ster-O-Tap(R) membrane has been tested and certified by National Sanitation Foundation International (NSF) against ANSI/NSF standard 42 for particulate reduction and standard 53 for cysts and turbidity reduction.

"Prime Water and Aqua Care have had a great partnership in developing Water Saver. I am confident that Aqua Care's marketing savvy will leverage their dealer network in swiftly bringing this technology to the homeowner market," added Scharstuhl.

Aqua Care Systems Inc., through its wholly owned subsidiaries, is engaged in the design, engineering, manufacturing, assembly, marketing and distribution of water filtration and purification products, systems and services. The company was formed in 1990 and was listed on Nasdaq in 1993. The Residential/Commercial Division specializes in reverse osmosis and ion exchange products and services, and works through a network of 200 dealers internationally. The Industrial Division specializes in pressure leaf and tubular filters, filter presses and sludge dryers. Its customers include Proctor & Gamble, Anheuser Busch, Kodak, Boeing, Chevron and Caterpillar. The company relocated its headquarters from Coral Gables, Florida, to Vista, California, earlier in 2001 and employs 55 people.

This press release contains forward-looking statements. The company wishes to caution the reader of this press release that such forward looking statements are subject to various known and unknown risks and uncertainties, including the possibility that the company's stated goals will not be fulfilled in whole or in part. Additional information on factors that could potentially affect the company's financial results may be found in the company's filings with the Securities and Exchange Commission.