GLV's Continues Implementation of its Turnaround Plan at Two European
Divisions

Plan Implementation Has Significant
Negative Impact on Q2 2011 Results

MONTREAL, Oct. 26 /CNW Telbec/ - GLV Inc. (the "Corporation"TSX: GLV.A, GLV.B) announces that implementation of its turnaround plan continues at two European divisions of its Water Treatment Group (Ovivo), which are experiencing difficulty executing certain contracts. As a result of costs relating to the plan and to contract completion, these two divisions posted an $8.5 million operating loss before amortization (EBITDA) for the second quarter of fiscal 2011. This will have a significant negative impact on the Corporation's consolidated results to be released on November 11, 2010.

As indicated in the first quarter of fiscal 2011, a U.K. division that manages energy market contracts saw its profit margins narrow significantly on several projects. This resulted in particular from inadequate cost assessment, as well as lack of rigor in project management, procurement and subcontracting.

In the second quarter, the Corporation continued implementing the division's turnaround plan, including:

1. Set up a new management team with solid project management skills;
2. Improve the subcontracting and supplier network model leveraging best practices from other Ovivo divisions;
3. Continue integration with the operations of the other U.K. divisions, including Christ Water Technology AG (CWT) entities, to maximize synergies and harmonize the client offering, particularly by drawing on the technology portfolio as a whole.

Implementation of this plan specifically resulted in a complete reassessment of completion costs for projects underway as well as the working capital items related to these projects.

As a result, the U.K. division recorded an operating loss before amortization of approximately $7.4 million for the first six months of the fiscal year ($0.3 million and $7.1 million for the quarters ended June 30, 2010 and September 30, 2010, respectively).

Moreover, a second European division is encountering difficulties completing certain contracts in the municipal segment won prior to the acquisition of CWT. This generated additional costs resulting in an operating loss of $1.9 million for the first six months of fiscal 2011 ($0.5 million and $1.4 million for the quarters ended June 30, 2010 and September 30, 2010, respectively). The approval process and the controls over order booking and, in particular, cost estimating are being tightened, as elsewhere in the Corporation.

About GLV Inc.
GLV Inc. is a leading global provider of water treatment solutions, under the Ovivo brand, as well as technological solutions used in pulp and paper production. It operates in some 30 countries with approximately 2,300 employees. GLV is a public company whose shares trade on the Toronto Stock Exchange (TSX) under the ticker symbols GLV.A and GLV.B; it is a constituent of the S&P/TSX Clean Technology Index.

Notice regarding forward-looking statements
Statements made in this press release that describe the Corporation's or management's budgets, estimates, expectations, forecasts, objectives, predictions or projections of the future may be "forward-looking statements," which can be identified by the use of the conditional or forward-looking terminology such as "anticipates," "believes," "estimates," "expects," "may," "plans," "projects," "should," "will," or the negative thereof or other variations thereon. The Corporation cautions that, by their nature, forward-looking statements involve risks and uncertainties, and that its actual actions and/or results could differ materially from those expressed or implied in such forward-looking statements, or could affect the extent to which a particular projection materializes. For more information on risks and uncertainties, and assumptions that would cause the Corporation's actual results to differ from current expectations, please refer to the section V "Risk management and risk factors" of Management's Discussion and Analysis (MD&A) for the fiscal year ended March 31, 2010. The forward-looking statements herein reflect the Corporation's expectations as at the date of this press release and are subject to change after this date.                                                                                                                              

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