Statement regarding Observer news article

An article in yesterday's Observer newspaper (09 April 2000) claimed that Hyder will be switching off ultra violet (UV) treatment at coastal waste water treatment works.

This is incorrect. We have no such plans. Our operational plants which have this equipment will continue to use it to treat waste water to the highest standards. Without it we would be unable to meet environmental standards for bathing water quality.

Hyder has a long established reputation as an environmentally responsible company and we will continue to meet all our obligations towards our customers and the environment.

The article also stated that we are reducing our spend to reduce the risk of sewerage flooding. This is in line with Ofwat's determination on prices to customers and investment during the period 2000 - 2005. In the light of the limits imposed on us by Ofwat we have reassessed priorities to address this problem in as many homes as possible.

The issue of possible contamination of drinking water because of lead plumbing is being addressed at our treatment works, although we will still assist customers to renew lead communication pipes which are old and leaking.

ENDS

Enquiries to Wynford Emanuel / Elizabeth Warwick. 029 20 585 64 or e-mail Media@Hyder.com.