Newsletter

September 18, 2004

Volume V, Issue 87

Home Page : www.otcjournal.com
Email Questions or Comments To: editor@otcjournal.com

To OTC Journal Members:

World Water (OTC BB: WWAT) Poised For Rebound

You are looking at a schematic which will revolutionize the way Solar Power is used. The system was 20 years in development. Solar Power now can be used to generate 600 horsepower, vs the normal 5 horsepower generally reserved for enhancing home utilities and providing a little extra heat for the backyard swimming pool.

The Grid Tier Inverter and Variable Frequency Controller are patented. The allow the seamless integration of AC and DC power. This is the only solar technology in the world which will allow for true industrial applications.

The company's is rapidly gaining traction. Sales are exploding. In 2003 the company generated $1.2 million in sales. WWAT is now forecasting at least $6 million in 2004, which seems conservative considering the company had already delivered $4 million in the first six months of the year. The company will deliver at least 400% growth this year over last.

I first covered the company in the September 4th edition at $.34. I suggested the stock could trade up into the $.50 range as the company continued to get sales traction. I also suggested a good stop loss level would be $.25, which had served as support over the past several months.

WWAT traded sideways for a couple of days, and absolutely cratered on September 9th with the biggest volume day in over six months. I wasn't watching the tape at the time, and was horrified when I checked the quote. When I suggested $.25 as a good support level, I never thought it would trade that low.

Stocks don't crater so violently without a reason. Generally, it is one of two reasons. Either the company has a problem which someone knows about, or some sort of excess supply has hit the market, creating an artificial down draft in the stock.

After making a few agitated phone calls, I learned WWAT's problem was the latter. As it turns out, a temporary excess supply of stock was the problem in this case.

The company engaged in a $.15 financing last year. It amounted to somewhere in the 1 to 1.5 million share range. The one year anniversary of the financing turned out to be September 9th. The shares became eligible to trade freely under SEC Rule 144.

Apparently, these investors chose to sell every single share they had been holding immediately. One million shares hit the market, and a free fall ensued, causing a cascade effect.

As you can see from the chart, the stock has now stabilized, the volume has subsided, and I believe a rebound phase could easily be in the cards.

Friday, after the close, WWAT put out a press release, forecasting 400% growth for 2004 over 2003. They also anticipate continuing growth into 2005.

If you didn't participate after the first edition, you might have another look. This news could serve as the catalyst for a rebound. There could be a short term bounce next week if you act quickly. If you didn't participate the first time around, you have a more favorable entry level first thing Monday morning. It is now a high probability trade for a short term profit.

Here is Friday's press release for your review:

Press Release Source: WorldWater & Power Corp.

WorldWater & Power Announces Revenue Guidance for 2004 And 2005

Friday September 17, 4:01 pm ET

Forecast Calls for Minimum 2004 Revenues of $6 Million Representing 400%+ Increase Over 2003

PENNINGTON, N.J.--(BUSINESS WIRE)--Sept. 17, 2004--WorldWater & Power Corp. (OTC BB: WWAT - News), capitalizing on worldwide demand for next-generation solar power through the provision of cutting-edge patented high-power solar energy technology, today announced revenue guidance for the twelve-month periods ending 2004 and 2005. The announcement was made by Quentin T. Kelly, WorldWater Chairman and CEO.

The guidance calls for minimum revenues of $6 million for 2004, representing an increase of 400% over 2003 revenues, which totaled $1.2 million.

Forecasts for fiscal year 2005 show continued strong growth, according to the Company. The Company attributes this growing success to the broad commercial acceptance of its proprietary AquaMax(TM) technology, capable of driving motors up to an unprecedented 600 horsepower, creating practical commercial solutions to the world's growing water and energy problems.

"It should be clear to the investment community that WorldWater & Power is a company experiencing extraordinary growth with year-over-year revenue numbers in the triple digits," stated Mr. Kelly. "This last year has been especially exciting, with numerous sales and successful ground-breaking projects that clearly demonstrate the unique capabilities of our proprietary solar power technology. WorldWater & Power management has been highly proactive in aggressively laying the groundwork for even more revenue in 2005: we're developing new strategic relationships and new markets, as well as expanding our core technology into new areas of renewable energy. WorldWater's patented technology is clearly a major part of the solution to the world's increasingly serious energy crisis."

"The numbers speak for themselves," Mr. Kelly continued. "In 2001, the Company generated revenues of $241,000. In 2002, the Company generated $643,000. In 2003, the Company generated $1.2 million. We are now forecasting $6 million for this year and a stronger year in 2005."

Mr. Kelly concluded, "We remain firmly committed to growth in revenues, growth in earnings and growth in shareholder value."

About WorldWater

WorldWater & Power Corp. is a full-service, international solar engineering and water management company with unique, high-powered and patented solar technology providing solutions to a broad spectrum of the world's water supply and energy problems. The Company's recently patented AquaMax(TM) solar pumping systems, capable of driving motors up to an unprecedented 600 horsepower, make WorldWater the first and only solar company in the world with the power to deliver mainstream pumping capability. The Company is also a pioneering provider of solar powered water systems in the Philippines and developing nations in Africa and Asia.

WorldWater & Power seeks to achieve significant revenue growth and earnings leverage by marketing its proprietary solar technology through multiple channels to a broad spectrum of institutional and private parties anywhere in the world. Prior to the development of the AquaMax(TM) technology, solar powered motors were limited in output to about 5 horsepower, and thus incapable of pumping the volume of water required for large scale systems. WorldWater's proprietary AquaMax(TM) systems can drive motors up to a revolutionary 600 horsepower, generating significant commercial opportunities for exploitation by WorldWater and vastly expanding the range of applications for clean, renewable solar power in commercial, municipal and institutional mainstream applications. Each day, more solar energy bathes Earth than its 5.9 billion inhabitants consume in equivalent electric power in 27 years, according to the U.S. Department of Energy's National Renewable Energy Laboratory in Golden, Colorado. With many international and domestic governmental agencies increasingly concerned about clean air and water conservation, WorldWater is well positioned to implement its patented AquaMax(TM) systems for the supply of all power needed for the largest irrigation and cooling systems in the world - with no pollution and no excess pumping to foul the air or excessively drain the natural water resource.

It is the opinion of WorldWater's management that WorldWater is uniquely positioned to capitalize on the worldwide demand for next-generation solar technology, as represented by the Company's patented technology. The energy generated by WorldWater is pollution-free, fully renewable, reliable, highly scalable and requires lower operating costs. WorldWater's early-mover advantage, and its next generation solar technology, will enable the Company to exploit a broad range of high revenue and high profit opportunities in both the public and private sectors in multiple worldwide markets, facilitating additional contracts to increase revenues while concurrently lowering costs and increasing margins. For more information about WorldWater and its next-generation proprietary technology, visit the website at www.worldwater.com, or for investor-specific information at www.trilogy-capital.com

Cautionary Language

Except for historical information contained herein, this document contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements involve known and unknown risks and uncertainties that may cause the Company's actual results or outcomes to be materially different from those anticipated and discussed herein. Further, the Company operates in industries where securities values may be volatile and may be influenced by regulatory and other factors beyond the Company's control. Other important factors that the Company believes might cause such differences are discussed in the risk factors detailed in the Company's 10-KSB and its quarterly reports on Form 10-QSB both as filed with the Securities and Exchange Commission, which include the Company's cash flow difficulties, dependence on significant customers, and rapid development of technology, among other risks. In assessing forward-looking statements contained herein, readers are urged to carefully read all cautionary statements contained in the Company's filings with the Securities and Exchange Commission.

--------------------------------------------------------------------------------
Contact:
     WorldWater & Power Corp.
     Debra J. Grady, 609-818-0700, ext. 14
     or
     Trilogy Capital Partners, Inc.
     Investor Relations:
     Paul Karon, 800-342-1467
     paul@trilogy-capital.com

Charts Provided Courtesy Of TradePortal.com

Disclaimer

The OTCjournal.com Newsletter is an independent electronic publication committed to providing our readers with factual information on selected publicly traded companies. All companies are chosen on the basis of certain financial analysis and other pertinent criteria with a view toward maximizing the upside potential for investors while minimizing the downside risk, whenever possible. Moreover, as detailed below, this publication accepts compensation from certain of the companies which it features. Likewise, this newsletter is owned by MarketByte, LLC. To the degrees enumerated herein, this newsletter should not be regarded as an independent publication.

Click Here to view our compensation on every company we have ever covered, or visit the following web address: http://www.otcjournal.com/disclaimer.html for our full profiles and http://www.otcjournal.com/trading-alerts/disclaimer.html for Trading Alerts. MarketBtye LLC has been paid a fee of $30,000 and 75,000 warrants, convertible into restricted shares at $.25, by Trilogy Capital for coverage of World Water.

All statements and expressions are the sole opinions of the editors and are subject to change without notice. A profile, description, or other mention of a company in the newsletter is neither an offer nor solicitation to buy or sell any securities mentioned. While we believe all sources of information to be factual and reliable, in no way do we represent or guarantee the accuracy thereof, nor the statements made herein.

From time to time MarketByte LLC sells shares in the open market it receives as compensation for coverage of client companies. Since the shares are received as compensation for services as previously disclosed, and not for investment purposes, the editors do not view the sale of the shares as contradictory to any advice delivered in the content. This should be viewed as a conflict of interest by shareholders or prospective shareholders of the client companies.

The editor, members of the editor's family, and/or entities with which they are affiliated aside from MarketBtye LLC itself, are forbidden by company policy to own, buy, sell or otherwise trade stock for their own benefit in the companies who appear in the publication unless specifically disclosed in the newsletter. Some of the companies featured in the OTC Journal pay a cash ESP fee to an affiliated technology company ranging from $2,000 to $5,000 per month for internet related technology services.

The profiles, critiques, and other editorial content of the OTCjournal.com may contain forward-looking statements relating to the expected capabilities of the companies mentioned herein.

THE READER SHOULD VERIFY ALL CLAIMS AND DO THEIR OWN DUE DILIGENCE BEFORE INVESTING IN ANY SECURITIES MENTIONED. INVESTING IN SECURITIES IS SPECULATIVE AND CARRIES A HIGH DEGREE OF RISK. THE INFORMATION FOUND IN THIS PROFILE IS PROTECTED BY THE COPYRIGHT LAWS OF THE UNITED STATES AND MAY NOT BE COPIED, OR REPRODUCED IN ANY WAY WITHOUT THE EXPRESSED, WRITTEN CONSENT OF THE EDITORS OF OTCjournal.com.

We encourage our readers to invest carefully and read the investor information available at the web sites of the Securities and Exchange Commission ("SEC") at http://www.sec.govand/or the National Association of Securities Dealers ("NASD") at http://www.nasd.com. We also strongly recommend that you read the SEC advisory to investors concerning Internet Stock Fraud, which can be found at http://www.sec.gov/consumer/cyberfr.htm. Disclaimer ID:$subst('Recip.userid') Readers can review all public filings by companies at the SEC's EDGAR page. The NASD has published information on how to invest carefully at its web site. MarketByte LLC's mailing address is 3525 Del Mar Heights Rd #334, San Diego, CA 92130.

You can unsubscribe from this list at any time by Clicking Here and HITTING SEND. If you are having difficulty removing yourself or wish to change your address please go to http://listserv.otcjournal.com/opt.cgi?.