Welcome to Consolidated Water

CONSOLIDATED WATER (the "Company") was incorporated asCayman Water in 1973. It benefited from, and indeed the availabilityof good drinking water assisted in promoting, the explosivegrowth in tourism-related development in the Cayman Islands.The Company operates in the Cayman Islands as Cayman WaterCompany Limited and Ocean Conversion (Cayman) Limitedwhich, together, operate six plants to produce all the piped drinkingwater on Grand Cayman. In July 2007, the Company wasawarded a contract to build and operate a seventh plant on GrandCayman, with a production capacity of 2.4 million gallons per day,which is currently under construction and will provide water tothe northeastern areas of the island.

In 1979, the Company was granted an exclusive 20-year franchiseto supply the famed Seven Mile Beach tourist area. This franchisewas replaced, in 1990, with a new 20-year exclusive franchise forboth Seven Mile Beach and the residential district of West Bay.

The 1990 franchise introduced a new business model which isnow used throughout the Company's operations. The base sellingprice of water is specified in the franchise and is adjusted monthlyfor changes in the cost of fuel and annually for changes in inflation.The Company has a right of first refusal on the renewal ofthe franchise.

The Company installed its first Sea Water Reverse Osmosis(SWRO) plant in 1989 and, therefore, has more than 20 years ofdesign insight and operational experience with this technology.SWRO is used in all the Group's operations.

In July 2000, Consolidated Water acquired Consolidated Water(Belize) Limited which supplies up to 550,000 US gallons of waterper day to the operator of the distribution system on AmbergrisCaye, Belize, Central America. In 2003, a new 23-year exclusivesupply agreement was signed with the Belize distributor.

Consolidated Water moved into the Bahamian market in July of2001 by supplying and operating a plant under a 10-year agreementto produce up to 115,000 US gallons per day for the BiminiSands marina and resort development in South Bimini. TheCompany also supplies water to the Water & SewerageCorporation of the Bahamas from time to time when its regularsupply is unavailable on South Bimini.

In February 2003, through the acquisition of five companies frommultiple investors, Consolidated Water commenced operations inBarbados, obtained affiliate operations in the British Virgin Islandsand expanded its operations in the Cayman Islands and theBahamas.

In Barbados, the Company operated, through June 2007, a plantthat provides up to 1.3 million US gallons of irrigation water perday for the three golf courses of the prestigious Sandy Lane Resort.The Company owns 50% of the voting shares and has Engineeringand Management Services Agreements with its affiliate OceanConversion (BVI) Ltd. that operates plants on Tortola and Jost vanDyke and supplies water to the government of the British VirginIslands for distribution. Design and construction of a 40% capacityincrease of the Tortola plant was completed in November 2003and the plant is now capable of supplying up to 1.7 million USgallons per day. A second plant, to supply 700,000 US gallons perday primarily to the Eastern end of Tortola, was completed in 2007and began selling water to the government in January 2009.

Through private transactions and a tender offer, ConsolidatedWater acquired approximately 91% of the issued shares ofConsolidated Water (Bahamas) Ltd. that produces and supplieswater to the Water & Sewerage Corporation of the Government ofthe Bahamas to distribute to Nassau and the remainder of NewProvidence Island. In 2006, the Company completed constructionof a new plant in the Bahamas under a 20-year contract and nowsupplies up to 10 million US gallons of water per day in theBahamas.

In 2008, the Company expanded the production capacity of oneof its Grand Cayman plants by 200,000 US gallons per day. Inearly 2009, the Company will also complete construction of aplant that will provide a further 1 million US gallons per day to itsexclusive franchise area. In addition, the Company was awardeda contract to build and operate a plant for Water Authority-Cayman, which will have a production capacity of 2.4 million USgallons per day when it is completed in the first half of 2009.

The Company formed a Bermudan affiliate, Consolidated Water(Bermuda) Limited, with two other shareholders in 2006 and inearly 2007 was awarded a contract by the Government ofBermuda to construct and operate a 600,000 US gallon per dayseawater desalination plant on the north coast of Bermuda atTynes Bay. In April 2008, the Government contracted with theBermuda affiliate to expand the production capacity of the plantto 1.2 million US gallons per day. The first phase of the plant wascommissioned in December 2008 and the second phase is expectedto be completed in the first half of 2009. The Bermudan affiliateis required to operate and maintain the plant for a period ofone year after it is commissioned.

The Caribbean basin is one of the fastest growing SWRO marketsin the world and Consolidated Water continues to actively pursuewater projects and acquisition opportunities, primarily in that areaand Central America but will consider profitable ventures thatarise elsewhere in the world.

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