American Water Announces Completion of Sale of its Regulated Operations in New York to Liberty

Rhea-AI Summary

American Water Works Company (NYSE: AWK) has completed the sale of its regulated operations in New York to Liberty Utilities for $608 million in cash. Announced on November 20, 2019, and approved by the New York State Department of Public Service on December 16, 2021, this strategic divestiture is aimed at enhancing value for customers and shareholders. The sale was finalized on January 1, 2022, further solidifying Liberty's presence in New York.

Positive

• Successfully sold regulated operations in New York for $608 million, enhancing liquidity.
• Sale aligns with American Water's strategy to create value for shareholders and customers.

Negative

• None.

CAMDEN, N.J.--(BUSINESS WIRE)-- American Water Works Company, Inc. (NYSE: AWK), the largest publicly traded U.S. water and wastewater utility company, today announced the close of the sale of its regulated operations in New York to a subsidiary of Liberty Utilities Co. (“Liberty”), the regulated utility operating subsidiary of parent company Algonquin Power & Utilities Corp., for a purchase price of $608 million in cash.

American Water announced the agreement to sell its regulated operations in New York to Liberty on November 20, 2019, citing the best interest of customers in New York to sell to Liberty, which has other utility operations in New York. The sale is a part of American Water’s strategy to continue to create value for customers, employees, and shareholders. On December 16, 2021, the New York State Department of Public Service approved the sale, adopting the Joint Proposal filed on November 3, 2021 by both companies. American Water completed the sale to Liberty on January 1, 2022.

About American Water

With a history dating back to 1886, American Water (NYSE:AWK) is the largest and most geographically diverse U.S. publicly traded water and wastewater utility company. The company employs approximately 6,400 dedicated professionals who provide regulated and regulated-like drinking water and wastewater services to an estimated 14 million people in 25 states. American Water provides safe, clean, affordable and reliable water services to our customers to help keep their lives flowing. For more information, visit amwater.com and follow American Water on Twitter, Facebook and LinkedIn.

AWK-IR

View source version on businesswire.com: https://www.businesswire.com/news/home/20220103005194/en/

Investor Contact:

Aaron Musgrave

Senior Director, Investor Relations

(856) 955-4445

aaron.musgrave@amwater.com

Media Contact:

Ruben Rodriguez

Senior Director, External Communications

(856) 955-4180

ruben.e.rodriguez@amwater.com

Source: American Water Works Company, Inc.

FAQ

What did American Water Works announce regarding its New York operations?

American Water Works announced the completion of the sale of its regulated operations in New York to Liberty Utilities for $608 million.

When was the sale of American Water's New York operations finalized?

The sale was finalized on January 1, 2022.

How much did American Water Works sell its New York operations for?

American Water Works sold its New York operations for $608 million in cash.

What was the rationale behind the sale of New York operations by American Water?

The sale was conducted in the best interest of customers and was part of American Water's strategy to create value for customers and shareholders.