In October 2010's newsletter, I discussed some of the statistics regarding the global water supply. To summarize: the situation is not good. Many industry experts and market pundits have suggested that the combination of low supply and higher demand will lead water to one day be traded just like other commodities such as gold and oil. Companies are catching onto the trend and are seeking to strengthen their water pipeline divisions in order to supply the expected future demand.

Reports recently surfaced that France's Schneider Electric was looking to buying America's Tyco International. Tyco has recently been restructuring itself and refining its product line to focus itself around security services, fire safety systems and industrial products (including water systems equipment). Schneider believes Tyco's product lines would strategically compliment their own and would help expand their lines into consumer homes through Tyco's home security products. Schneider has been acquiring many small to medium sized businesses in India and Russia - all of which would be a great avenue to market Tyco's water systems products.

Flowserve, a provider of flow control products and services for the global infrastructure markets, is also looking to expand and enhance is leading position in water plant systems and equipment. They recently purchased FEDD Wireless which produces technology used to increase plant up time and reduce equipment and system life cycle costs. Flowserve already serves customers around the world, but this added service will greatly enhance the value of systems they already offer.

Companies are starting to see the facts on the World's water supply and if you produce a product that can help with this process, you are likely to make a lot of money.

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