EXHIBIT 99.1
NEWS RELEASE
[FLEXIBLE SOLUTIONS LOGO]
THE WALL STREET GROUP, INC. COMPANY CONTACT: DAVID KATZOV
32 EAST 57TH STREET GRANT MOONIE
NEW YORK, NEW YORK 10022 (250) 477 9821
(212) 888-4848 JENS BIERTUMPEL
(604) 682 1799
FLEXIBLE SOLUTIONS MODIFIES MARKETING AGREEMENT WITH WATER$AVR(TM)DISTRIBUTOR,
OPENING WAY FOR COMPANY TO PURSUE KEY MARKETS WITH INTERNAL SALES STAFF
RETURN OF OPTIONS WILL RESULT IN 17% REDUCTION IN SHARES OUTSTANDING
VICTORIA, BRITISH COLUMBIA, OCT. 9, 2003 - FLEXIBLE SOLUTIONS INTERNATIONAL,
INC. (AMEX: FSI, FRANKFURT: FXT), the developer and manufacturer of
environmentally safe water conservation technology, today announced the
modification of a marketing agreement that opens the way for its
Water$avr(TM)Division to pursue key marketS internally after a major distributor
did not meet scheduled sales objectives resulting in the return of incentive
stock options on two million of Flexible Solutions' shares.
"The Ondeo Nalco Company, which had exclusive distribution rights for Water$avr
in worldwide mining and certain municipal markets since September 2002, fell
short of its sales targets for the third quarter ended Sept. 30, 2003, due to an
ongoing change in ownership and a major internal restructuring," stated Dan
O'Brien, Chief Executive Officer of Flexible Solutions International. "While we
have elected to revise the distribution agreement and take back our options,
Ondeo Nalco remains enthusiastic about Water$avr, our flagship product, and will
retain marketing rights on a non-exclusive basis." He went on to say that
Flexible Solutions would revisit its marketing agreement with Ondeo Nalco once
the distributor meets its sales quotas.
Dan Harker, Senior Vice President of Ondeo Nalco, said his company continues to
have high expectations for Water$avr. "We believe that this product holds great
potential for the future and we are committed to continuing our ongoing
marketing effort," he stated. "We will continue to be the manufacturer of
Water$avr and will market the product on a non-exclusive basis in the U.S. and
internationally."
Mr. O'Brien said that Flexible Solutions' internal sales staff has generated its
own contacts and leads in the industrial, mining, pulp mill and municipal
waterworks sectors of the U.S. market. "This places Flexible Solutions in an
advantageous position of being able to pursue new business opportunities in
these markets on its own and, when combined with near-term sales prospects
currently in the pipeline in international markets from such countries as
Israel, Morocco, Egypt, Mexico, and others, should enable the Company to meet
its sales targets," Mr. O'Brien said.
Mr. O'Brien noted that Flexible Solutions will also benefit from a non-cash gain
with the return of Ondeo Nalco's options on two million shares, which were
obtained under the original distribution agreement. "This will result in a 17
percent reduction in the number of the Company's fully diluted outstanding
shares to 13,419,716," he said.
ABOUT FLEXIBLE SOLUTIONS INTERNATIONAL
Flexible Solutions International, Inc. (www.flexiblesolutions.com), based in
Victoria, British Columbia, is the developer and manufacturer of Water$avr, the
world's first commercially viable water evaporation retardant. Its Water$avr
division is based in Yorkville, Ill. FSI is an environmental technology company
specializing in energy and water conservation products for drinking water,
agriculture, industrial markets and swimming pools throughout the world.
Water$avr reduces evaporation by up to 30% on reservoirs, lakes, aqueducts,
irrigation canals, ponds and slow moving rivers. Water$avr, which is patented,
has been certified by the United Nations, the National Sanitation Foundation
(NSF) and meets the drinking water standards of the American National Standard
Institute (ANSI). Heat$avr, a "liquid blanket" evaporation retardant for the
commercial swimming pool and spa markets, also reduces humidity and lowers water
heating costs, resulting in energy savings of 15% to 40%. The Company's Tropical
Fish(TM) product targets the residential swimming pool market.
The Private Securities Litigation Reform Act of 1995 provides a "Safe Harbor"
for forward-looking statements. Certain of the statements contained herein,
which are not historical facts, are forward looking statement with respect to
events, the occurrence of which involve risks and uncertainties. These
forward-looking statements may be impacted, either positively or negatively, by
various factors. Information concerning potential factors that could affect the
company is detailed from time to time in the company's reports filed with the
Securities and Exchange Commission.
For further information on the Company please contact:
INVESTOR RELATIONS USA:
THE WALL STREET GROUP, INC.
32 East 57th Street
New York, New York 10022
Tel: 212.888.4848
INVESTOR RELATIONS CANADA:
Jens Biertumpel
Tel: 604.682.1799
Corporate Head Office:
FLEXIBLE SOLUTIONS INTERNATIONAL
David Katzov / Grant Moonie
Tel: (250) 477-9821 Fax: (250) 477.9912
Email: info@flexiblesolutions.com
www.flexiblesolutions.com
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Best regards,
KAREN BOUDEWYN
Flexible Solutions International Inc.
tel: 250.477.9969 fax: 250.477.9912
toll free: 800.661.3560
karen@flexiblesolutions.com