Sutron Receives Hydrometeorological Monitoring Contract in India.

STERLING, Va.--(BUSINESS WIRE)--Sept. 18, 1998--Sutron Corp., a world leader in the manufacturing of real-time environmental monitoring and control systems, and Sutron's partners, IES Canada and IES India, recently received a contract from the Central Water Commission (CWC) in New Delhi, India, valued at $2,902,215.

Sutron will receive $1,597,116 as their portion of the contract and will provide fifty-five automatic hydrometeorological stations, two INSAT satellite Digital Direct Readout Ground Station (DDRGS), system software and warranty support. IES Canada and IES India will receive the remaining contract balance of $1,305,099 and will be responsible for project management and installation, respectively.

The contract period of performance is five years and approximately 88% of Sutron's contract amount will be converted into revenue within one year. The remaining amount will cover warranty support for the years 2001 to 2003.

This project includes the supply, installation, testing, and commissioning of two INSAT satellite based Hydrometeorological Data Acquisition Networks. The networks include Data Collection Platforms (DCPs), sensors, a Digital Direct Readout Ground Station (DDRGS), system software and training for the Mahanadi River Basin, Burla, and the Chambal River Basin, Jaipur on a turnkey basis.

The purposes of these two real-time data acquisition networks are to provide dam safety assurance and to modernize the Central Water Commission (CWC) flood forecasting activities; thus saving many lives, reducing significantly the damages due to flooding and to maximize the use of water resources in these two basins.

The project stipulates collection data for flood forecasting and warning systems for Hirakud Reservoir in Orissa and for dams located on the Chambal River upstream of Kota based on real-time data collection from remote sites through sensors and satellite based data communication system. The areas under the two basins are non-contiguous and have different characteristics.

Two parallel systems are, therefore, to be installed for flood forecasting in each of the basins with a capacity to back up each other in case of failure. Each of the systems will be operated and maintained by respective offices of CWC and monitored by a single center at R. M. Wing Head Quarters of CWC, New Delhi.

"This is only the beginning," stated Dr. Raul McQuivey, President and CEO of Sutron Corporation.

"The World Bank has set aside $150,000,000 to improve India's water resource monitoring and management over the next five years. This is the first large contract to be awarded by the national government. The national government and the thirteen states that are authorized to spend this money will award many more in the near future and we plan to aggressively pursue all hydrometeorological monitoring contracts."

Sutron Corp. provides real-time data collection, telemetry, and technical expertise to monitor, control, manage, model, and forecast activities in the areas of hydrology, meteorology, and water management. Sutron has sold over 19,000 data monitoring stations which operate in various places around the world providing weather and water data to their customers every day.

To learn more about Sutron (NASD OTC Bulletin Board: STRN) and their products or to receive a free Sutron product catalog, call 703/406-2800, email [e-mail], or visit the Sutron web site (www.sutron.com).