American Water to Purchase Shorelands Water Company
August 03 2016 - 2:00PM
Business Wire
Acquisition Will Grow Footprint by More than
11,000 Customers
American Water (NYSE: AWK), the nation’s largest publicly traded
water and wastewater utility company, announced today that it has
signed an agreement to acquire the Shorelands Water Company, a
privately owned water utility that provides water services to more
than 11,000 customer accounts in Monmouth County, N.J. Financial
and other terms of the sale were not disclosed. The agreement is
subject to the review and approval of the New Jersey Board of
Public Utilities.
“This important acquisition provides a direct link with our
water system serving the community of Union Beach, enhancing supply
to the northeastern sections of Monmouth County that we serve. The
strength of the Shorelands system will help New Jersey American
Water achieve a goal of increased reliability for customers without
the need for additional projects that were being evaluated,” said
Bill Varley, president of New Jersey American Water.
Shorelands was first established in 1926 as a supplier to the
summer residents of West Keansburg. Under the guidance of the
current owners since 1957, it grew to provide service to residents
in the Bayshore communities of Hazlet, Holmdel, Union Beach,
Keyport and Aberdeen. Shorelands delivers approximately two billion
gallons of water to its customers annually.
When completed, the acquisition will continue the expansion of
New Jersey American Water’s operations. Earlier this year, American
Water completed the acquisition of Environmental Disposal
Corporation (which provides service in the Bernards and Bedminster
area), and New Jersey American Water acquired the former Roxiticus
Water Company (in Mendham Township) and began providing water and
wastewater service to Elk Township.
New Jersey American Water, a subsidiary of American Water, is
the largest investor-owned water utility in the state, providing
high-quality and reliable water and/or wastewater services to
approximately 2.7 million people. American Water is the largest and
most geographically diverse publicly traded U.S. water and
wastewater utility company. Marking its 130th anniversary this
year, the company employs 6,700 dedicated professionals who provide
regulated and market-based drinking water, wastewater and other
related services to an estimated 15 million people in 47 states and
Ontario, Canada. More information can be found by visiting
www.amwater.com.
Cautionary Statement Concerning Forward-Looking
Statements
Certain statements in this press release are forward-looking
statements within the meaning of the safe harbor provisions of the
Private Securities Litigation Reform Act of 1995. Forward-looking
statements relate to, among other things, the completion of the
proposed acquisition; the ability to satisfy closing and other
conditions related to the proposed transaction, including obtaining
regulatory approvals; anticipated capital investments; and the
ability to achieve certain benefits relating to the transaction and
the operations to be acquired. These statements are based on the
current expectations of management of American Water. There are a
number of risks and uncertainties that could cause actual results
to differ materially from these forward-looking statements,
including with respect to (1) obtaining the regulatory and other
approvals required for the acquisition; (2) satisfying other
conditions to the closing of the acquisition; (3) the occurrence of
the benefits expected or predicted to occur as a result of the
acquisition; (4) unexpected costs, liabilities or delays associated
with the acquisition or the integration of the acquired business;
(5) regulatory, legislative, local or municipal actions affecting
the water and wastewater industries, which could adversely affect
American Water; and (6) other economic, business and other factors.
Forward-looking statements are not guarantees or assurances of
future performance or results, and American Water and its
affiliates do not undertake any duty to update any forward-looking
statement.
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version on businesswire.com: http://www.businesswire.com/news/home/20160803006422/en/
American WaterGreg PanagosVice President, Investor
Relations856-566-4005Gregory.Panagos@amwater.comorMaureen DuffyVice
President, Communications856-309-4546Maureen.Duffy@amwater.com
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