Related Party Transactions and Outside Related Director Information

Ionics, Incorporated (Retired) (ION.X)

3/31/2004 Proxy Information

Arthur L. Goldstein was Chief Executive Officer of Ionics, Inc. from 1971 to 2003.

Lyman B. Dickerson and Frederick T. Stant, III were elected to the Board of Directors by the Board of Directors effective February 17, 2004, following the closing of the Company’s acquisition of Ecolochem, Inc. and its affiliated companies. Lyman B. Dickerson, or trusts for which he and his family are beneficiaries, received a total of 2,452,830 shares of Common Stock in the transaction and cash payments totaling approximately $101 million (a portion of the shares and cash payable to Lyman B. Dickerson or trusts for which he or his family are beneficiaries is being held in escrow pursuant to the terms of the acquisition agreement), representing approximately 50% of the aggregate purchase price paid to the sellers in the acquisition.

Mr. Dickerson also entered into an employment agreement with the Company as its Vice President, Water Systems Division (see page 24 for a description of the terms of the employment agreement.) In addition, Mr. Dickerson and the other sellers of the capital stock and other ownership interests of the Ecolochem companies (including Mr. Stant in his role as an independent trustee of the Douglas Dickerson Irrevocable Trust and the Richard Dickerson Irrevocable Trust) entered into a Stockholders Agreement dated as of February 13, 2004 between the Company and the parties thereto, which gives the former Ecolochem owners certain registration rights as to the Company’s Common Stock issued to them in the acquisition; the right to designate up to two members of the Company’s Board of Directors, subject to certain conditions; imposes certain “standstill” limitations on the former Ecolochem owners; and imposes certain restrictions on their ability to vote their shares of the Company’s Common Stock and transfer their shares to certain parties identified by the Company’s Board of Directors as competitors, subject to certain conditions. The acquisition agreement, employment agreement, and Stockholders Agreement were filed as exhibits to the Company’s current report on Form 8-K filed with the SEC on February 27, 2004.

4/9/2003 Proxy Information

No related party transactions or special relationships reported for this company. Director relationships marked "Outside Related" at this firm will most often be former executives of the company. Additional information regarding these relationships will be added during our regular updates.