Waters Corporation Reports Second Quarter 2009 Results

Waters Corporation (NYSE/WAT) reported today second quarter 2009 sales of $363 million, a decrease of 9% over sales of $399 million in the second quarter of 2008. These quarterly sales include an adverse foreign currency translation impact of approximately 5%. On a GAAP basis, earnings per diluted share (E.P.S.) for the second quarter were $0.72, compared to $0.82 for the second quarter in 2008. On a non-GAAP basis, E.P.S. were up 3% to $0.78 in the second quarter of 2009 from $ 0.76 in the second quarter of 2008. A reconciliation of GAAP to non-GAAP E.P.S. is attached.

Through the first six months of 2009, sales for the Company were $696 million, a decrease of 10% in comparison to sales of $770 million in the first six months of 2008. Foreign currency translation contributed negatively to sales growth during the first half of 2009 and reduced sales by 5%. E.P.S. for the first six months of 2009 were $1.47 compared to $1.49 for the comparable period in 2008. On a non-GAAP basis and including adjustments on the attached reconciliation, E.P.S grew 5% in the first six months of 2009 to $1.52 from $1.45 in 2008.

Commenting on the quarter, Douglas Berthiaume, Chairman, President and Chief Executive Officer said, "Our financial results in the quarter were in line with our expectations and sales to our major end markets in the quarter indicated a continuation of the general demand trends that we reported in April 2009. Our efforts throughout the quarter to focus on improved operational efficiency allowed us to generate non-GAAP E.P.S. growth in this challenging business environment.”

As communicated in a prior press release, Waters Corporation will webcast its second quarter 2009 financial results conference call this morning, July 28, 2009 at 8:30 a.m. eastern time. To listen to the call, connect to www.waters.com, choose "Investor” and click on the Live Webcast. A replay of the call will be available through August 4, 2009, similarly by webcast and also by phone at 402-220-4708.

About Waters Corporation:

Waters Corporation creates business advantage for laboratory-dependent organizations by delivering practical and sustainable innovation to enable significant advancements in such areas as healthcare delivery, environmental management, food safety, and water quality worldwide.

Pioneering a connected portfolio of separations science, laboratory information management, mass spectrometry and thermal analysis, Waters technology breakthroughs and laboratory solutions, provide an enduring platform for customer success.

With revenue of $1.58 billion in 2008 and 5,000 employees, Waters is driving scientific discovery and operational excellence for customers worldwide.

CAUTIONARY STATEMENT

This release may contain "forward-looking” statements regarding future results and events, including statements regarding expected financial results, future growth and customer demand that involve a number of risks and uncertainties. For this purpose, any statements that are not statements of historical fact may be deemed forward-looking statements. Without limiting the foregoing, the words, "believes”, "anticipates”, "plans”, "expects”, "intends”, "appears”, "estimates”, "projects”, and similar expressions are intended to identify forward-looking statements. The Company’s actual future results may differ significantly from the results discussed in the forward-looking statements within this release for a variety of reasons, including and without limitation, the impact on demand among the Company’s various market sectors from current economic difficulties and possible recession; the impact of changes in accounting principles and practices or tax rates, including the effect of restructuring certain legal entities; the ability to access capital in volatile market conditions; the ability to successfully integrate acquired businesses; fluctuations in capital expenditures by the Company’s customers, in particular large pharmaceutical companies, regulatory and/or administrative obstacles to the timely completion of purchase order documentation; introduction of competing products by other companies and loss of market share; pressures on prices from competitors and/or customers; regulatory obstacles to new product introductions; lack of acceptance of new products; other changes in the demands of the Company’s healthcare and pharmaceutical company customers; changes in distribution of the Company’s products; risks associated with lawsuits and other legal actions, particularly involving claims for infringement of patents and other intellectual property rights; and foreign exchange rate fluctuations potentially affecting translation of the Company’s future non-U.S. operating results. Such factors and others are discussed more fully in the section entitled "Risk Factors” of the Company’s annual report on Form 10-K for the year ended December 31, 2008 and quarterly report on Form 10-Q for the period ended April 4, 2009 as filed with the Securities and Exchange Commission, which "Risk Factors” discussion is incorporated by reference in this release. The forward-looking statements included in this release represent the Company’s estimates or views as of the date of this release report and should not be relied upon as representing the Company’s estimates or views as of any date subsequent to the date of this release.