Badger Meter Faces Three Multi-Party Asbestos Lawsuits
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Published November 22, 2002


Badger Meter is a defendant in three multi-party asbestos suits as a 
result of its membership in certain trade organizations.  The cases are 
pending in state court in Mississippi. 

Badger Meter has never had a manufacturing plant in Mississippi.  
However, some southern states have been fertile ground for asbestos 
lawsuits, including Mississippi, where a jury awarded six plaintiffs $25 
million each in compensatory damages alone. 

Plaintiffs in one of the Badger Meter lawsuits have argued that the 
Company had a duty to inform Mississippi factory workers about the 
dangers of asbestos because it belonged to national trade groups with 
pertinent safety information. 

There is no allegation that any Badger Meter products contained asbestos
that caused an illness, said company President Rich Meeusen said.  The 
company does not believe the ultimate resolution of these claims will 
have a material adverse effect on the Company's financial position or 
results of operations, either from a cash flow perspective or on the 
financial statements as a whole.

Provision has been made for all known settlement costs.  No other risks 
or uncertainties were identified that could have a material impact on 
operations and no long-lived assets have become permanently impaired in 
value.

Badger Meter is subject to contingencies relative to environmental laws 
and regulations.  Currently, Badger Meter is in the process of resolving
an issue relative to a landfill site.

COMPANY PROFILE
Badger Meter, Inc. (AMEX: BMI)
4545 W. Brown Deer Rd.
Milwaukee, WI 53223
Phone: 414-355-0400
Fax: 414-371-5956
http://www.badgermeter.com

Employees             :           936 
Revenue               : $ 138,500,000
Net Income            : $   3,400,000
Assets                : $  98,800,000
Liabilities           : $  56,000,000

Description: Badger Meter provides utilities and industrial customers 
with instruments that measure and control the flow of liquids. Badger 
makes meters, valves, flow tubes, and other measurement devices for 
original equipment manufacturers, water and wastewater utilities, and the
pharmaceutical, chemical, concrete, and food and beverage industries. 
Badger also makes a handheld device that dispenses and monitors oil and 
other fluids for the automotive market. US customers account for 87% of 
sales. Badger sold its ultrasonic flowmeters and natural gas 
instrumentation businesses to focus on expanding and improving its liquid
measurement equipment.

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