HUDSON TECHNOLOGIES ANNOUNCES
FOURTH-QUARTER 2003 RESULTS

PEARL RIVER, N.Y. – March 25, 2004 – Hudson Technologies, Inc. (Nasdaq: HDSNC), a leading refrigerant services company specializing in proprietary on-site decontamination services for large comfort and process cooling systems, today announced results for the fourth quarter and year ended December 31, 2003.

For the fourth quarter of 2003, revenues totaled $3,234,000 compared to $3,203,000 for the same period in 2002.  During the fourth quarter of 2003, the company reported a net loss of $902,000 and, after non-cash charges of $218,000 for payment-in-kind preferred stock dividends, a net loss per common share of $0.20.  This compares to a net loss of $1,352,000 for the fourth quarter of 2002 and, after non-cash charges of $197,000 for payment-in-kind preferred stock dividends, a net loss per common share of $0.30.

Operating expenses for the fourth quarter of 2003 were $1,293,000, or 37% lower than the $2,041,000 for the fourth quarter of 2002, reflecting the results of the reorganization plan the Company implemented in May 2003.  Primarily because of the reduction in operating expenses, the Company’s operating loss for the fourth quarter of 2003 was $544,000 compared to $1,276,000 in the fourth quarter of 2002. The 37% reduction in operating loss was offset in part by approximately $300,000 in non-recurring interest and related charges associated with convertible debt that converted to equity on December 19, 2003.

Kevin J. Zugibe, chairman and chief executive officer, commented, “2003 was a year of many accomplishments for Hudson Technologies.  The rightsizing initiatives we undertook in May are producing even better results than we anticipated, with annual operating expense savings on track to total $2.0 million – substantially higher than the $1.6 million in savings we had originally targeted.  In December, we also completed the consolidation of our traditional refrigerant reclamation operations into a single, large facility in Champaign, Illinois, which we expect to result in savings of approximately $400,000 in 2004.

“On the revenue side, we are also making good progress since reorganizing the company last May.  Our increased focus on the highest opportunity industries and customers for our RefrigerantSide® Services continued to produce more revenue per job and higher margins in the fourth quarter.  In addition, we are continuing to work to grow our non-automotive refrigerant sales and to offset the ongoing trend of reduced demand for CFC-based refrigerants.

“Earlier this year, we announced our exclusive technology and marketing alliance with The BOC Group (NYSE: BOX), whose worldwide marketing network provides an extraordinary foundation from which to launch Hudson’s RefrigerantSide® Services business internationally.  Our work with BOC is moving forward at a good pace in the U.K., and we expect to begin realizing royalty revenues from this market in 2004.  In addition, we recently executed an agreement with BOC and its South African affiliate to enter the South African marketplace, which includes many industrial companies with significant cooling needs.

“As a result of these many initiatives, we believe Hudson is well positioned to take advantage of the substantial market opportunities available to us through our superior engineering and chemistry know-how.  The leading industrial end-users we have targeted in large markets such as manufacturing, maritime, pharmaceutical and petrochemical, offer a significant growth opportunity for our RefrigerantSide® Services in the U.S. Our streamlined depot network, more diversified customer base, and consolidated reclamation operation will help us as we work toward our goal of achieving profitability.” 

Year-end Results
Revenues for the year ended December 31, 2003 totaled $17,963,000 compared to $19,963,000 for 2002.  For 2003, the company reported a net loss of $2,432,000 and, after non-cash charges of $866,000 for payment-in-kind preferred stock dividends, a net loss per common share of $0.63.  This compares to a net loss of $2,522,000 and, after non-cash charges of $796,000 for payment-in-kind preferred stock dividends, a net loss per common share of $0.64 for 2002.

Conference Call Information
Hudson Technologies will conduct a conference call on Thursday, March 25, at 10:00 a.m. Eastern time to discuss fourth-quarter-2003 results and additional matters.  The dial-in number for the call is 706-634-0175.  A replay of the call will also be available through April 1, and can be accessed by dialing 706-645-9291 and referencing conference ID # 6178721.

About Hudson Technologies
Hudson Technologies, Inc., is a leading provider of innovative solutions to recurring problems within the refrigeration industry.  Hudson’s proprietary RefrigerantSide® Services, which are provided through a nationwide network of service depots, increase operating efficiency and energy savings, and remove moisture, oils and other contaminants frequently found in the refrigeration circuits of large comfort cooling and process refrigeration systems.  Performed at a customer’s site as an integral part of an effective scheduled maintenance program or in response to emergencies, RefrigerantSide® Services offer significant savings to customers due to their ability to be completed rapidly and at higher purity levels, and can be utilized while the customer’s system continues to operate.  In addition, the company sells refrigerants and provides traditional reclamation services to the commercial and industrial air conditioning and refrigeration markets.  For further information on Hudson, please visit the company’s web site at www.hudsontech.com.

Safe Harbor Statement under the Private Securities Litigation Act of 1995
Statements contained herein, which are not historical facts constitute forward-looking statements involve a number of known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the company to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements.  Such factors include, but are not limited to, changes in the markets for refrigerants (including unfavorable market conditions adversely affecting the demand for, and the price of refrigerants), regulatory and economic factors, seasonality, competition, litigation, the nature of supplier or customer arrangements which become available to the company in the future, adverse weather conditions, possible technological obsolescence of existing products and services, possible reduction in the carrying value of long-lived assets, estimates of the useful life of its assets, potential environmental liability, customer concentration, the ability to obtain financing and other risks detailed in the company’s periodic reports filed with the Securities and Exchange Commission.  The words “believe”, “expect”, “anticipate”, “may”, “plan”, “should” and similar expressions identify forward-looking statements.  Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date the statement was made.

Hudson Technologies, Inc. and subsidiaries
Consolidated Statements of Operations
(unaudited)
(Amounts in thousands, except for share and per share amounts)