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Japan Water Purifier, Beverage Stocks Gain on Water Concern

Japanese water treatment companies and beverage makers surged on speculation demand will increase after Tokyo authorities said tap water may be unsafe for babies following radiation leaks from a nuclear plant damaged by the March 11 earthquake and tsunami.

Nihon Trim Co., a maker of water purifiers, surged by its upper daily limit of 400 yen, or 21 percent, to 2,300 yen at the close on the Tokyo Stock Exchange. Organo Corp. fell 0.3 percent to 578 yen after jumping as much as 9.5 percent.

Tokyo authorities will distribute bottled water to families with infants, a municipal official said at a televised briefing late yesterday. Radioactive iodine levels taken two days ago at a water treatment facility in Katsushika ward were double the recommended limit for babies.

Beverage makers Ito En Ltd. advanced 3.9 percent to 1,445 yen, while Coca-Cola West Co. increased 3.9 percent to 1,511 yen. The companies distribute bottled water. Japan Foods Co., which makes canned drinks, soared by its daily upper limit of 150 yen, or 17 percent, to 1,010 yen.

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