December 2004

Successful Trials Conducted on Landfill Odor Control Product

Lake Success, NY— Aceto Corporation, a global distributor of chemically-derived pharmaceuticals, biopharmaceuticals, specialty chemicals and agrochemicals, announced the completion of successful on-site trials for Landfill Odorend, its patent-pending product that abates odors emitted from landfills, and the corresponding financial expectations.

The on-site testing was performed at a Waste Management Inc. landfill in the Northeast that has had continuing odor emission problems. The results of the highly scientific and thorough testing indicate that Landfill Odorend reduces emissions of hydrogen sulfide gas by approximately 85%, which constitutes the vast majority of the odors emitted from landfills.

Leonard S. Schwartz, chairman, CEO and president of Aceto, stated, “There are approximately 3,000 operating landfills in the U.S., many of which are near cities and major metropolitan areas. Odor management is a serious issue for the vast majority, to the degree that irresolvable odor problems result in some landfills shutting down.

“Importantly, we believe there are no other products available in the marketplace that abate hydrogen sulfide emissions. The actual abatement of these emissions, as compared to simply masking the odors on a temporary basis, is necessary to address this important environmental, health and safety issue. Based on our research and initial indications from the market, we expect this product to generate in excess of $10 million in net sales for Aceto in the first year after commercialization, with a 50% gross margin. We anticipate realizing our first commercial sales within six months, subject to regulatory approval on a state-by-state basis, which we do not expect to be a problem since the product is non-hazardous. In addition to the patent pending for this product, we will file for additional patents for our unique application process as well as filing worldwide patents.”


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