News Release


Calgon Carbon Announces Second Quarter Results

PITTSBURGH, Aug. 2 /PRNewswire-FirstCall/ -- Calgon Carbon Corporation (NYSE: CCC) announced results for the second quarter ended June 30, 2007.

The company reported net income and income from continuing operations of $4.5 million or $0.09 per common share on a fully diluted basis for the second quarter of 2007, as compared to net income of $2.4 million or $0.06 per common share on a fully diluted basis for the second quarter of 2006, and income from continuing operations of $2.1 million or $0.05 per common share on a fully diluted basis for the second quarter of 2006.

For the second quarter of 2007, income from operations was $8.6 million versus income of $3.0 million for the comparable period in 2006. For the second quarter of 2006, income from operations included a $4.9-million pre-tax gain from a property insurance settlement for damage at the company's Pearl River plant which was caused by Hurricane Katrina in 2005.

Net sales for the second quarter of 2007 were $88.4 million versus second quarter 2006 net sales of $80.5 million, an increase of 9.8%. Currency translation had a $1.8-million positive impact on sales for the second quarter of 2007 due to the stronger Euro and the British Pound Sterling.

For the second quarter of 2007, sales for the Activated Carbon and Service segment increased by 10.8% versus the second quarter of 2006. The increase was primarily due to higher pricing and demand for activated carbon/service products in the industrial process and environmental air treatment markets and higher pricing in the potable water market. Equipment sales increased by 12.8% in the second quarter of 2007 versus the second quarter of 2006, due to higher demand for odor control systems. A 16.0% decrease in Consumer sales for the second quarter of 2007 was attributable to lower demand for Preserve(R) products.

Net sales less the cost of products sold as a percentage of net sales for the second quarter of 2007 was 32.7% versus 25.5% for the second quarter of 2006. The increase was primarily due to higher pricing on certain carbon and service products.

Selling, administrative and research expenses for the second quarter of 2007 decreased 9.6% versus the second quarter of 2006, primarily due to lower legal expenses.

For the second quarter of 2007, the company's income tax provision was $3.1 million versus a benefit of $0.9 million for the comparable period in the prior year. The company recorded its second quarter 2007 tax provision at a 43.7% rate and estimates that its tax rate for the full year will approximate 50%. The company's tax rate is impacted by many factors including tax liabilities in foreign jurisdictions without benefit of a foreign tax credit in the U.S., the expiration of the Extraterritorial Income Exclusion, the recording of tax contingencies for uncertain tax positions and the projection of taxable income by jurisdiction.

Equity in income from equity investments was $0.4 million for the second quarter of 2007 versus $0.0 million for the comparable period in 2006. The increase was primarily due to lower cost of products sold and a favorable mix for products manufactured by the company's joint venture with Mitsubishi Chemical Company in Japan.

Calgon Carbon's board of directors did not declare a quarterly dividend.

Net income and income from continuing operations for the first half of 2007 was $6.5 million or $0.14 per common share on a fully diluted basis, as compared to net income of $1.0 million or $0.03 per common share on a fully diluted basis for the first half of 2006 and a loss from continuing operations of $0.9 million or $0.02 per common share on a fully diluted basis.

For the six months ended June 30, 2007, income from operations was $13.5 million, versus $1.8 million for the first half of 2006. The 2006 income included a $4.9-million pre-tax gain from a property insurance settlement.

Commenting on the quarter, John Stanik, Calgon Carbon's chairman and chief executive officer, said, "We are pleased with second quarter results, as they represent progress in achieving higher prices for our carbon and service products and lower legal expenses, both year-over-year and sequentially. The results also reflect a lower cost structure that resulted from our re- engineering plan. These are key drivers for continued improvement in our company's performance in 2007."

Calgon Carbon Corporation, headquartered in Pittsburgh, Pennsylvania, is a global leader in services and solutions for making water and air cleaner and safer.

The Private Securities Litigation Reform Act of 1995 provides a "safe harbor" for forward-looking statements. This document contains certain statements that are forward-looking relative to the company's future strategy and performance. They involve known and unknown risks and uncertainties that may cause the company's actual results in future periods to be materially different from any future performance.



                          Calgon Carbon Corporation
                  Condensed Consolidated Statement of Income
                 (Dollars in thousands except per share data)
                                 (Unaudited)

                                           Quarter Ended     Six Months Ended
                                              June 30,           June 30,
                                            2007     2006      2007      2006

    Net Sales                            $88,428  $80,510  $171,458  $157,089

    Cost of Products Sold                 59,556   59,962   117,980   117,373

    Depreciation and Amortization          4,331    4,794     8,592     9,592

    Selling, Administrative & Research    15,916   17,611    31,350    33,180

    Gain from Property Insurance
     Settlement                                -   (4,899)        -    (4,899)

    Restructuring Charge                       -        1         -         7

                                          79,803   77,469   157,922   155,253

    Income from Operations                 8,625    3,041    13,536     1,836

    Interest Income (Expense) - Net       (1,010)  (1,290)   (2,158)   (2,778)

    Other Income (Expense) - Net            (408)    (514)     (811)   (1,358)

    Income (Loss) from Continuing
     Operations Before Income Tax and
     Equity in Income (Loss) from
     Equity Investments                    7,207    1,237    10,567    (2,300)

    Income Tax Provision (Benefit)         3,147     (925)    5,527    (1,270)

    Income (Loss) from Continuing
     Operations Before Equity in Income
     (Loss) from Equity Investments        4,060    2,162     5,040    (1,030)

    Equity in Income (Loss) from Equity
     Investments                             402      (23)    1,456       180

    Income (Loss) from Continuing
     Operations                            4,462    2,139     6,496      (850)

    Income from Discontinued Operations        -      297         -     1,872

    Net Income                            $4,462   $2,436    $6,496    $1,022

    Net Income (Loss) per Common Share
        Basic:
                  Income (Loss) from
                   Continuing Operations    $.11     $.05      $.16     $(.02)
                  Income from
                   Discontinued
                   Operations               $  -     $.01      $  -      $.05
                         Net Income         $.11     $.06      $.16      $.03

        Diluted:
                  Income (Loss) from
                   Continuing Operations    $.09     $.05      $.14     $(.02)
                  Income from
                   Discontinued
                   Operations               $  -     $.01      $  -      $.05
                         Net Income         $.09     $.06      $.14      $.03

    Weighted Average Shares
      Outstanding (Thousands)
        Basic                             40,291   39,876    40,258    39,865

        Diluted                           47,745   40,077    45,807    39,865



    Calgon Carbon Corporation

    Segment Data - Continuing Operations:

    Segment Sales                          2Q07     2Q06   YTD 2007  YTD 2006

    Carbon and Service                    74,723   67,435   143,406   132,620
    Equipment                             10,658    9,446    21,624    17,887
    Consumer                               3,047    3,629     6,428     6,582

    Total Sales (thousands)              $88,428  $80,510  $171,458  $157,089

    Segment
    Operating Income (loss)*               2Q07     2Q06   YTD 2007  YTD 2006

    Carbon and Service                    13,015    9,061    21,488    14,109
    Equipment                               (607)  (2,013)     (736)   (3,672)
    Consumer                                 548      788     1,376       998

    Total Income from continuing
     operations (thousands)              $12,956   $7,836   $22,128   $11,435

    *Before depreciation, amortization, and restructuring charges



                          Calgon Carbon Corporation
                     Condensed Consolidated Balance Sheet
                            (Dollars in thousands)
                                 (Unaudited)

                                                    June 30,    December 31,
                                                      2007           2006
                  ASSETS

    Current assets:

      Cash and cash equivalents                     $16,628         $5,631

      Receivables                                    61,542         55,036

      Inventories                                    71,466         70,339

      Other current assets                           17,852         17,706

        Total current assets                        167,488        148,712

    Property, plant and equipment, net              102,690        106,101

    Other assets                                     56,843         67,551

        Total assets                               $327,021       $322,364

    LIABILITIES AND SHAREHOLDERS' EQUITY

    Current liabilities:

      Short-term debt                               $63,649           $  -

      Other current liabilities                      48,909         55,526

        Total current liabilities                   112,558         55,526

    Long-term debt                                   12,925         74,836

    Other liabilities                                46,229         44,129

        Total liabilities                           171,712        174,491

    Total shareholders' equity                      155,309        147,873

      Total liabilities and shareholders' equity   $327,021       $322,364

SOURCE Calgon Carbon Corporation

CONTACT:
Gail Gerono of Calgon Carbon Corporation,
+1-412-787-6795

Web site: http://www.calgoncarbon.com
(CCC)