Posts Tagged ‘aquaamerica’

Largest Private U.S. Water Utilities Exchange Subsidiaries

May 1, 2012

Aqua America, Inc. has announced  that it has completed the purchase of all of American Water Works Company, Inc. (NYSE: AWK) regulated operations in Ohio and simultaneously sold its regulated operations in New York to American Water. Aqua America is the largest investor-owned water utility in Ohio.  The purchase, for $101 million in cash plus assumed debt of $11 million, yielded Aqua America eight additional water systems and one wastewater system in Ohio, which serve approximately 50,730 water and approximately 6,550 wastewater connections. The systems serve parts of nine counties primarily in central and northeast Ohio. The acquisition increases Aqua Ohio’s customer base by approximately 66 percent and adds approximately $95 million in additional rate base. The transaction is expected to improve operating efficiency at Aqua Ohio as it spreads fixed costs over 57,280 more customers in that state, which should have a positive impact on future rates for customers. In a separate agreement, Aqua America sold its seven New York water systems, which serve approximately 50,520 customers to American Water’s New York subsidiary for approximately $39 million in cash plus assumed debt of $23 million. The New York systems had approximately $46 million of rate base. The sale of Aqua America’s New York operations will conclude its operations in that state. The purchase prices for both the Ohio and New York transactions are subject to certain post-closing adjustments. This is the latest of five successful transactions Aqua America has completed in a one-year period to grow and consolidate its customer base in fewer states, improving its operating efficiency, while pruning assets in areas that do not present those opportunities. Since May 2011, Aqua America has sold its Missouri operations to American Water; purchased American Water’s Texas operations; and sold its Maine operations to Connecticut Water.  “This transaction is the latest and the largest of several acquisitions and purchases we have completed to transform the company by maximizing efficiencies and concentrating our efforts in states where we have critical mass,” said Aqua America Chairman and CEO Nicholas DeBenedictis. “Additionally, Ohio and Texas are energy-rich states with growth opportunities for the water-energy nexus that could have a positive impact on the future of our company.”  DeBenedictis said the company is prepared to take a responsible and active role in what is becoming the next energy boom in Ohio, Pennsylvania, Texas and some other states—natural gas drilling. “Shale drilling for natural gas is a very water-intensive business that can provide an economic boost well into the future if it’s done right environmentally.”  The acquisition of American Water’s Ohio operations and the sale of its New York operations are consistent with Aqua America’s strategy to concentrate its customer portfolio in states that demonstrate a positive regulatory environment, while leveraging greater economies of scale and customer growth opportunities. Priority is given to states that provide a regulatory opportunity for capital investment surcharges and consolidated rates, which help the company to maintain water quality and reliable service for its customers.  Aqua America is one of the largest U.S.-based, publicly-traded water utilities and serves almost 3 million residents in Pennsylvania, Ohio, Illinois, Texas, New Jersey, Indiana, Virginia, Florida, North Carolina, and Georgia. Aqua America is listed on the New York Stock Exchange under the ticker symbol WTR.  This release contains forward-looking statements within the meaning of The Private Securities Litigation Reform Act of 1995 that address, among other things, the size of the transactions, the effect of the acquisition of the Ohio operations and other transactions on the Company and the anticipated benefits of these transactions, the Company’s strategy to focus its growth efforts in certain states, and the potential efficiencies from focusing on those states and potential business opportunities in those states. There are important factors that could cause actual results to differ materially from those expressed or implied by such forward-looking statements including: the risk that the acquired company’s business will not be successfully integrated; the costs related to the transaction; the risk that anticipated benefits will not be obtained or will not be obtained within the time anticipated; and other key factors that we have indicated could adversely affect our business and financial performance discussed in our Annual Report on Form 10-K for the fiscal year ended December 31, 2011, which is on file with the Securities and Exchange Commission. Neither Aqua America nor American Water is under any obligation (and each expressly disclaims any such obligation) to update or alter its forward-looking statements whether as a result of new information, future events, or otherwise.

News Courtesy A-1 Plumbing Newswire www.a1ly.com/news/

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Private Pipeline System To Supply Fresh Water To Natural Gas Producers

January 4, 2012

Aqua America Inc. (NYSE: WTR) (“Aqua”) and Penn Virginia Resource Partners, L.P. (NYSE: PVR) (“PVR”) has announced that certain of their operating subsidiaries have formed a joint venture, Aqua — PVR Water Services, LLC, to construct and operate a private pipeline system to supply fresh water to natural gas producers drilling in the Marcellus Shale in north-central Pennsylvania.  The 12-inch diameter steel pipeline will largely parallel the trunkline of PVR’s gathering system in Lycoming County and will share PVR’s existing rights-of-way. PVR is constructing the fresh water pipeline and handling negotiation of water pipeline capacity contracts with producers.  Aqua will operate the system when completed and handle water intake supply arrangements.  Aqua and PVR each anticipate investing approximately $12 million for construction of the first segment of the project. The joint venture has entered into an agreement with Range Resources – Appalachia, LLC a wholly owned subsidiary of Range Resources Corporation (NYSE: RRC) to supply fresh water to three of Range’s water impoundments, and negotiations with other area producers for supply agreements are on-going. The joint venture has commenced construction of the fresh water pipeline, and limited water delivery is expected before year-end.  The entire 18-mile long first segment of the system is currently anticipated to be fully completed and begin regular operation during the first quarter of 2012. William H. Shea, Jr., Chief Executive Officer of PVR, said, “We are very excited to join with Aqua America in building a private water pipeline to supply Marcellus producers.  We are also pleased to welcome Range Resources as an anchor customer on the pipeline.  We believe this project is a ‘win-win’ solution that offers tangible benefits to both the contracting producers and the local communities in which we operate.  The pipeline will provide contracting producers with a more reliable fresh water source at a lower delivered cost.  By reducing the number of trucks operating on area highways, area residents will benefit from reduced traffic congestion, noise and delays.” Nicholas DeBenedictis, Chairman and CEO of Aqua, said, “Marcellus Shale offers a critical and challenging opportunity for the State of Pennsylvania.  Critical because the energy needs of the country must be developed domestically and Pennsylvania can be that provider.  Challenging because it must be done in a manner that protects and manages our most precious resource, water.  This project is the first that prudently enables the development of the Marcellus while helping to protect our water sheds and manage our supplies.  Pumping water through pipe, as opposed to trucking water, reduces road traffic and damage that can result in runoff that can negatively impact streams in this sensitive part of the state.  Managing the supply from confirmed reliable sources reduces the potential for over withdrawal from those same streams.” Aqua America (NYSE: WTR) is one of the largest U.S.-based, publicly-traded water utilities and serves almost 3 million residents in Pennsylvania, Ohio, Illinois, Texas, New Jersey, Indiana, Virginia, Florida, North Carolina, Maine, New York and Georgia. Aqua America is listed on the New York Stock Exchange under the ticker symbol WTR. Penn Virginia Resource Partners, L.P. (NYSE: PVR) is a publicly traded limited partnership which owns and manages coal and natural resource properties and related assets, and owns and operates midstream natural gas gathering and processing businesses.  We own approximately 900 million tons of proven coal reserves in Northern and Central Appalachia, and the Illinois and San Juan Basins; our midstream natural gas assets are located principally in Texas, Oklahoma and Pennsylvania and include more than 4,200 miles of natural gas gathering pipelines and 7 processing systems with approximately 420 million cubic feet per day of capacity.  Penn Virginia Resource Partners, L.P. (NYSE: PVR) announced the pricing of the public offering of 7,000,000 common units representing limited partner interests in PVR. The common units were priced at $24.55 per unit. In connection with the offering, PVR granted the underwriters a 30-day option to purchase a maximum of 1,050,000 additional common units to cover over-allotments, if any. PVR closed the sale of the common units on November 18, 2011, subject to customary closing conditions. PVR estimates that the net proceeds from the offering will be approximately $164.6 million (or $189.4 million if the underwriters exercise in full their option to purchase additional common units), after deducting underwriting discounts and commissions and estimated expenses, and intends to use all of the net proceeds from the offering to repay a portion of the borrowings outstanding under its revolving credit facility.  BofA Merrill Lynch, Citigroup, J.P. Morgan, RBC Capital Markets and Wells Fargo Securities acted as joint book-running managers and representatives of the underwriters in connection with the offering. Penn Virginia Resource Partners, L.P. on Nov. 18, 2011  announced the closing of the previously announced public offering of 7,000,000 common units representing limited partner interests in PVR.  In connection with the offering, PVR granted the underwriters a 30-day option to purchase a maximum of 1,050,000 additional common units to cover over-allotments, if any.  PVR intends to use all of the net proceeds from the offering to repay a portion of the borrowings outstanding under its revolving credit facility. PVR has two major businesses: Coal and Natural Resource Management – Penn Virginia Resource Partners, L.P. coal and natural resource management segment primarily involves the management and leasing of coal properties and the subsequent collection of royalties. Penn Virginia Resource Partners, L.P. proven and probable coal reserves at year-end 2010 were approximately 804 million tons. Coal reserves are located on approximately 497,000 acres in various surface and underground mine seams located in the Central Appalachia, Northern Appalachia Illinois and San Juan Basins. Penn Virginia Resource Partners, L.P. also earn revenues from other land management activities, such as selling standing timber, leasing fee-based coal-related infrastructure facilities to certain lessees and end-user industrial plants, collecting oil and gas royalties and from coal transportation, or wheelage, fees and owns approximately 243,000 acres of forestland, the majority of which is located on properties that also contain their coal reserves, in addition royalty interests in approximately 6.3 Bcfe of proved oil and gas reserves located in Kentucky, Virginia and West Virginia. Natural Gas Midstream Segment – Penn Virginia Resource Partners, L.P. natural gas midstream segment is engaged in providing natural gas processing, gathering and other related services. As of December 31, 2010, owned and operated natural gas midstream assets located in Oklahoma, Texas and Pennsylvania including six natural gas processing facilities having 400 MMcfd of total capacity and approximately 4,263 miles of natural gas gathering pipelines: Penn Virginia Resource Partners, L.P. natural gas midstream business earns revenues primarily from gas processing contracts with natural gas producers and from fees charged for gathering natural gas volumes and providing other related services; in addition owns a 25% member interest in Thunder Creek Gas Services, LLC, or Thunder Creek, a joint venture that gathers and transports coalbed methane in Wyoming’s Powder River Basin, and also owns a natural gas marketing business, which aggregates third-party volumes and sells those volumes into intrastate pipeline systems and at market hubs accessed by various interstate pipelines.

News Courtesy A-1 Plumbing Newswire www.a1ly.com/news/

 

Aqua Completes Major Expansion in Texas with Purchase of Water Systems from American Water

July 19, 2011

Aqua Completes Major Expansion in Texas with Purchase of Water Systems from American Water. Aqua America, Inc. (NYSE: WTR), the largest publicly traded water utility in the state of Texas, has announced that its Texas subsidiary has completed the purchase of American Water Works Company, Inc.’s (NYSE: AWK) regulated Texas operations, significantly expanding its customer base in one of its fastest growing and energy-rich states. Aqua Texas has added 51 water and five wastewater systems, which serve 4,200 water and 1,100 wastewater customers (approximately 16,000 people) from Texas American for approximately $6 million—the approximate book value of the assets. The systems, which will be run as a single unit out of Aqua’s Houston office, serve parts of Brazoria, Harris, Liberty, Matagorda and Montgomery counties in the greater Houston metropolitan area. The acquisition follows Aqua’s December 2010 acquisition of water and wastewater system assets of Gray Utility, which served approximately 6,300 people in Chambers, Jefferson and Liberty counties along the Gulf Coast near Baytown, which is about 40 miles from downtown Houston. Collectively in 2010, Aqua Texas purchased 10 systems and increased its customer base by approximately six percent, nearly 90 percent of which was from acquisitions. Since entering the state in 2003, Aqua will have grown its customer base by 50 percent upon closing the Texas American transaction. “These transactions demonstrate the success of our growth-through-acquisition strategy,” said Aqua America Chairman and CEO Nicholas DeBenedictis when the deal was announced last year. “We are proud to be investing while strategically planning and executing our growth efforts in states like Texas where our operations already have critical mass, and is one of the fastest-growing states in the nation. Texas is also one of our areas of operations that offers opportunities for the water-energy nexus that could have a positive impact on the future of our operations.” In addition to customer growth, energy-rich Texas with its natural gas and energy resources, offers other potential business opportunities for Aqua America. Speaking before the Citi Climate Change and Water Conference last week in London, England, DeBenedictis said that the water-energy nexus will play a larger role in the future of the company with respect to environmental and business opportunities. “We are prepared to take a responsible and active role in what is becoming the next energy boom in Texas, Pennsylvania and some other states—natural gas drilling,” said DeBenedictis. “Shale drilling for natural gas is a very water intensive business that can provide an economic boost well into the future if it’s done right environmentally,” said DeBenedictis. “We are currently focusing on the ‘clean water’ aspects of the drilling business and will pursue the growth opportunities provided by the shale drilling industry, which is thought to be at the dawn of its life.” Aqua America, Inc. (NYSE: WTR) has announced an agreement with American Water Works Company, Inc. (NYSE: AWK) to purchase all of American Water’s regulated operations in Ohio and to simultaneously sell Aqua’s regulated operations in New York to American Water. Both companies are now the largest investor-owned water utilities in each of the two respective states. As a result of this transaction, Aqua will acquire approximately $98 million in additional rate base and grow its customer base in Ohio by approximately 57,280 additional customers. The transaction will allow Aqua to spread its fixed costs over more customers in Ohio, which should provide more cost efficiency to help address future rates. Under the agreement, Aqua America will purchase from American Water 8 water systems and 1 wastewater system in Ohio, which serve approximately 50,730 water and approximately 6,550 wastewater connections for approximately $120 million. The systems serve parts of nine counties primarily in central and northeast Ohio. The acquisition will increase the customer base of Aqua Ohio by approximately 66 percent. In a separate agreement, Aqua America has agreed to sell its 7 water systems, which serve approximately 50,520 customers in New York to American Water’s New York subsidiary for approximately $71 million, making Long Island American Water the state’s largest investor-owned water utility. Aqua America’s sale of its New York operations will conclude its regulated operations in that state. Both companies commended this agreement as a way to strengthen operations in their respective states, creating better economies of scale and providing additional opportunities to improve customer service. The closing on each transaction is subject to the closing on the other transaction and the purchase price in each transaction is subject to certain adjustments as of their respective closing dates. The transactions are subject to certain regulatory approvals and Aqua America and American Water expect both acquisitions to close during the first quarter of 2012.  In addition to customer growth, energy-rich Texas with its natural gas and energy resources, offers other potential business opportunities for Aqua America. Speaking before the Citi Climate Change and Water Conference June 2011 in London, England, DeBenedictis said that the water-energy nexus will play a larger role in the future of the company with respect to environmental and business opportunities. In 2010 alone, Aqua replaced 180 miles of main with a focused effort to restore its distribution network, which enhanced water quality and service reliability for its customers and provided economic and job growth in the areas where the company operates. Chairman and CEO Nicholas DeBenedictis rang the closing bell 14 June 2011 at the New York Stock Exchange signifying the end of the day’s trading and marking Aqua’s 40th year on the NYSE and the company’s 125th anniversary. “It is an honor to commemorate Aqua’s 40-year NYSE anniversary as well as our 125th year of operations by ringing the closing bell today,” said DeBenedictis. “Historically, many prominent leaders of economically and culturally relevant companies ring the bell, and I am humbled to continue to be among this elite group.” “Aqua has grown to become a leader in providing people with life’s most valuable necessity – quality drinking water – because of our unwavering commitment to excellence and service combined with a sound investment strategy for 125 years,” said DeBenedictis.  2011 also marks DeBenedictis’ 20th year leading Aqua America. Since DeBenedictis, a former Pennsylvania secretary of environmental resources and Environmental Protection Agency official, joined the company, Aqua has: completed more than 250 acquisitions and growth ventures since embarking on its growth-through-acquisition strategy, more than quadrupled its customer base from 236,000 in 1991 to 962,000 in 2010, increased its market cap from $125 million in 1991 to $3 billion in 2010, increased its total stockholder return by 900 percent since 1991, increased its dividend more than 200 percent, 20 increases over last 19 years. Last year, 2010, was a record year of revenue and net income, and it was Aqua America’s 11th consecutive year of net income growth. Aqua’s success continues in 2011 as it reported record first quarter earnings 2011. Established in 1886 by Swarthmore, Pa. college professors concerned about local water quality, 125 years later, Aqua America is still an innovation leader and is now one of the largest U.S.-based, publicly-traded water utilities, delivering clean water to more than three million people in 13 states. Aqua America is one of the largest U.S.-based, publicly-traded water utilities and serves almost 3 million residents in Pennsylvania, Ohio, Illinois, Texas, New Jersey, Indiana, Virginia, Florida, North Carolina, Maine, Missouri, New York, and Georgia. Aqua America is listed on the New York Stock Exchange under the ticker symbol WTR.

 
News Courtesy A-1 Plumbing Newswire www.a1ly.com/news/

Aqua America CEO – Marcellus Shale Commission: Shale can be Future Economic Boom PA if Done Right

May 26, 2011

Aqua America CEO – Marcellus Shale Commission: Shale can be Future Economic Boom PA if Done Right. Speaking before the Pennsylvania Marcellus Shale Commission, www.2a1.us/11l – Aqua America, Inc. (NYSE: WTR) Chairman and CEO Nicholas DeBenedictis said “Marcellus Shale has the potential to provide Pennsylvania with an economic boost well into the future if it’s done right environmentally.” DeBenedictis was invited to testify before the Pennsylvania Marcellus Shale Commission at its regularly scheduled meeting in Harrisburg, Pennsylvania to give a water suppliers’ perspective on the Marcellus Shale industry. DeBenedictis said that energy resource development has always been important to Pennsylvania’s economy, first with timber, oil, then coal, and now natural gas. “Coincidentally, the Commonwealth’s plentiful water resources have always been a significant part of, or impacted by energy resource development. The Susquehanna River provided transport for timbering in the 19th Century. In the 20th Century, streams were contaminated by acid mine drainage from the coal industry in the Southwest and Northeast,” said DeBenedictis. “It appears Marcellus Shale will be as water dependent as timber, oil and coal were in the past, and has to be done correctly in the 21st Century to avoid a legacy of pollution and despoiled land. As a major water supplier for the state, Aqua Pennsylvania has a vested interest in ensuring that our water supplies are protected. We also can play a role in providing water resources for energy development responsibly. ” With respect to protecting the water supply, DeBenedictis said that he agrees with the Pennsylvania Department of Environmental Protection’s ban on the treatment of flowback water by municipal wastewater plants.  Aqua Pennsylvania has and continues to conduct baseline testing of its water supply in areas where drilling is taking place. DeBenedictis said to date, the company has not found any adverse impact to its water supplies. He advocates that drillers build on the current baseline testing by conducting additional water testing at their expense.  DeBenedictis said that Aqua Pennsylvania has a 125-year history of building water infrastructure to deliver water to customers. Today, customers might include participants in the Shale gas business. “We are providing water filling stations in suitable locations to help move truck traffic out of towns and neighborhoods.” The company has two stations currently in operation in the western part of the state and another  scheduled to be open in that area in early summer. An additional station is open in the northeastern part of Pennsylvania, with two additional stations scheduled to open there this summer. See also www.marcelluscoalition.org/ – Aqua America, Inc. is a publicly traded water and wastewater utility holding company with operating subsidiaries serving approximately 3 million people in Pennsylvania, Ohio, North Carolina, Illinois, Texas, New Jersey, New York, Indiana, Florida, Virginia, Maine, Missouri, and Georgia. Aqua America is listed on the New York Stock Exchange under the ticker symbol WTR. Its largest subsidiary, Aqua Pennsylvania, serves approximately 1.4 million people in 30 counties throughout Pennsylvania.

News Courtesy A-1 Plumbing Newswire www.a1ly.com/news/

Aqua America Subsidiaries Buy Four Water and Wastewater Systems in North Carolina and Virginia

May 26, 2011

Aqua America, Inc. (NYSE: WTR) has announced that its North Carolina and Virginia subsidiaries have purchased water and wastewater systems in their respective states.  Aqua North Carolina, Inc. purchased the water and wastewater system assets serving approximately 400 people in Colvard Farms Subdivision for $184,000. Colvard Farms Subdivision, located in Chatham County, is approximately 25 miles from the Company’s Cary Operations Center. Aqua Virginia, Inc. purchased the water system assets of the Brookwood Manor public water system, which serves approximately 225 people in New Kent County for $50,000 and the Cedarbrooke Subdivision public water system, which serves approximately 150 people in Culpeper County for $50,000. Both systems, which are in the immediate vicinity of other  Aqua Virginia systems and will be managed from the Company’s Rockville Virginia Operations Center, are slated for capital additions including treatment system improvements and the installation of a radio frequency metering system. “Each of these tuck-in acquisitions maximizes our economies of scale by expanding our operations to areas within, or just outside, of our existing footprint,” explained Aqua America Chairman Nicholas DeBenedictis. “The cumulative impact of tuck-in acquisitions on our customer growth has helped us maintain a growth rate that is generally greater than that of the water industry.” Aqua America, Inc. has announced that it has sold the bulk of its regulated Missouri operations to American Water Works Company, Inc. (NYSE: AWK) for $3.2 million, completing the first step of a unique transaction the two companies first announced last December. Aqua America noted that it has a separate agreement to sell its eight remaining small regulated wastewater systems to the City of Taos., which is expected to close during the third quarter 2011. The sale to American included more than 60 small water and wastewater systems, which serve approximately 3,700 customers in Missouri. The sale is indicative of Aqua America’s desire to focus the company’s regulatory relationships in states where it already has a critical mass of customers and can capitalize on economies of scale for the benefit of its customers. Still pending is the sale of American Water’s regulated operations in Texas to Aqua America’s Texas subsidiary, which is expected to close during the second quarter. Under that agreement with American Water, Aqua America will purchase 51 water and five wastewater systems in Texas, which serve nearly 4,200 water and nearly 1,100 wastewater customers (approximately 16,000 people) for approximately $6 million. The systems serve parts of Brazoria, Harris, Liberty, Matagorda and Montgomery counties in the greater Houston metropolitan area. The acquisition, which requires approval by the Texas Commission for Environmental Quality, will increase the customer base of Aqua Texas by approximately 8 percent. When the deal was announced last December 2010, Aqua America Chairman and CEO Nicholas DeBenedictis said, “This transaction makes perfect business sense for both companies as Aqua America is better suited to own and operate the American systems in Texas and American Water is better equipped to own and operate our systems in Missouri,” said DeBenedictis. “This opportunity will enable each of these professional companies to maximize their ability to deliver quality water and wastewater service to customers in both Texas and Missouri.” Aqua America is one of the largest U.S.-based, publicly-traded water utilities and serves almost 3 million residents in Pennsylvania, Ohio, Illinois, Texas, New Jersey, Indiana, Virginia, Florida, North Carolina, Maine, Missouri, New York and Georgia. Aqua America is listed on the New York Stock Exchange under the ticker symbol WTR. The Board of Directors of Aqua America, Inc. has declared a quarterly cash dividend payment of $0.155 per share payable on June 1, 2011, to all shareholders of record on May 17, 2011.  The June dividend payment of $0.155 per share is 6.9 percent higher than the dividend the company paid in June 2010 of $0.145 per share. Aqua has paid a consecutive quarterly dividend for 65 years. This release contains forward-looking statements within the meaning of The Private Securities Litigation Reform Act of 1995 that address, among other things: benefits from the acquisition of the acquired systems and the impact the company may have on the acquired systems, the continuation of the company’s strategy to pursue the acquisition of water and wastewater systems, the expected timing of the acquisitions, and planned investments in the acquired systems. There are important factors that could cause actual results to differ materially from those expressed or implied by such forward-looking statements including: the risk that the acquired company’s business will not be successfully integrated; and other key factors that we have indicated could adversely affect our business and financial performance discussed in our Annual Report on Form 10-K for the fiscal year ended December 31, 2010, which is on file with the Securities and Exchange Commission. Aqua America is not under any obligation—and expressly disclaims any such obligation—to update or alter its forward-looking statements whether as a result of new information, future events, or otherwise.

News Courtesy A-1 Plumbing Newswire www.a1ly.com/news/

Aqua America Reports Fourth-Quarter and Year-End Earnings

March 24, 2011

Aqua America Reports Fourth-Quarter and Year-End Earnings. Aqua America, Inc. (NYSE: WTR) has reported results for the quarter and year ending December 31, 2010. Net income for the full year 2010 rose 18.8 percent to $124.0 million from $104.4 million in 2009. Operating revenues for 2010 totaled $726.1 million, an increase of 8.3 percent from revenues of $670.5 million in 2009. Diluted earnings per share for the year were $0.90 compared to $0.77 for 2009 on 0.9 percent more shares outstanding.  Revenues for the fourth quarter were $179.3 million compared to $167.9 million in the same period of 2009. Net income for the quarter rose to $28.9 million from $26.7 million in the same quarter of 2009, and diluted earnings per share were $0.21, compared to $0.20 for 2009. Aqua America Chairman and CEO Nicholas DeBenedictis said, “2010 was one of the most successful financial years of my 19 years with the company. We invested a record amount of capital to improve our systems’ infrastructure and completed 23 acquisitions to help grow our customer base by 1 percent in spite of the slow economy.” A return to normal weather patterns coupled with the timely recovery of capital investments through rate cases, and management’s ability to execute its growth strategy while controlling costs, enabled the company to post significant increases in both net income and revenues.  The December 1, 2010 dividend was increased 6.9 percent to $0.155 per share. This was the 20th increase in the last 19 years. The Board of Directors recently declared a quarterly cash dividend payment of $0.155 per share payable on March 1, 2011, to all shareholders of record on February 17, 2011. Aqua has paid a consecutive quarterly dividend for 65 years.  During 2010, the company received rate awards in Pennsylvania, New Jersey, New York, North Carolina, Missouri, Ohio, Indiana, Florida, Maine and Virginia and infrastructure surcharges or other pass-through charges in various states estimated to increase annualized revenues by $53.9 million. So far in 2011, Aqua America subsidiaries have already received rate awards estimated to increase annualized revenues by $6.8 million. Other state subsidiaries currently have $26.6 million of rate cases pending before state regulatory bodies. “We are also expecting to seek rate relief later this year in our largest state subsidiaries, which is expected to positively impact 2011 and 2012 results,” said DeBenedictis. “These rate filings are needed to recover capital (infrastructure) investments and increased operating expenses since previous rate filings. The timing and extent to which these rate requests might be granted by the applicable regulatory agencies will vary by state.” Aqua held operations and maintenance expenses to a 3.7 percent increase during 2010 compared to the same period in 2009. DeBenedictis added, “Management remains focused on continuing to limit expense growth. Aqua’s operations and maintenance expense-to-revenue ratio was lowered to 38.6 percent for 2010 comparing favorably to 40.3 percent for 2009. This was made possible by management’s execution of our strategic plan, including the successful implementation of the company’s information systems (IS) upgrades in recent years.”  The company invested a record $327 million in infrastructure improvements as part of its capital investment program. “Capital expenditures in 2010 focused on improvements to our distribution network (primarily pipe replacements) and upgrading our major water and wastewater plants to state-of-the-art status. Our rebuilding program not only provides enhanced water quality and service reliability to our customers for decades to come, but also generates immediate economic and job growth in the areas in which we operate,” DeBenedictis said. “Our capital investment program will continue at similar levels in 2011, as the company plans to again invest more than $300 million for utility system improvements. Aqua’s capital investment program has been prioritized to address all major environmental compliance issues, which now make up less than 10 percent of the overall capital budget.” In 2010, the company worked diligently to access the capital markets at favorable interest rates, borrowing $70 million at 4.98 percent interest in June through a private placement, and issuing $141 million of 30-year weighted average life tax-exempt bonds at a yield of 4.75 percent at its largest subsidiary, Aqua Pennsylvania. In 2010, S&P reiterated its A+ corporate credit rating for Aqua Pennsylvania. Aqua was also able to renew various lines of credit at more favorable rates than before. At year-end 2010, the company had reduced its embedded cost of fixed-rate long-term debt to 5.36 percent.  “I am pleased our 2010 financing plan enabled the company to limit its interest expense growth. The ability to access low-cost financing to fund infrastructure improvements is a reflection of the company’s financial strength,” DeBenedictis said. In 2011, Aqua hopes recently passed federal tax policies and growing internal cash will enable the company to conduct its utility capital investment program without any equity offering or borrowing not already committed, while lowering its embedded cost of fixed-rate long-term debt for the 12th consecutive year. Aqua continued to expand its operations, completing 23 acquisitions of water or wastewater systems in 2010. The company’s industry-leading growth-through-acquisition strategy in 2010 was concentrated in its faster-growing states such as Texas, where it completed 10 acquisitions during 2010. In December 2010, Aqua America announced that, in a unique transaction, it agreed to purchase American Water Works Company, Inc.’s regulated Texas operations and to simultaneously sell its regulated Missouri operations to American Water. Aqua’s sale will conclude its regulated operations in that state. In a separate transaction, Aqua also announced that it entered into an agreement to sell a small wastewater system in South Carolina — a transaction it closed on December 31, 2010, terminating operations in South Carolina. Overall customer growth for Aqua America in 2010 was approximately 1 percent. Organic growth remains well below historical norms at 0.4 percent due to the housing slowdown.  “In 2011, Aqua celebrates the 125th anniversary of our operations and our 40th anniversary on the New York Stock Exchange.  Going forward, we look to continue to implement our long-term strategy, which has provided the basis for our earnings growth,” DeBenedictis said. Aqua America, Inc. is a U.S.-based publicly traded water and wastewater utility holding company that serves approximately 3 million people in Pennsylvania, New York, Ohio, North Carolina, Illinois, Texas, Florida, New Jersey, Indiana, Virginia, Maine, Missouri, and Georgia. Aqua America is listed on the New York Stock Exchange under the ticker symbol WTR. This release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including, among others, the timing and impact of pending and planned rate cases and the amount of such increases, the amount of future capital investments by the company, and the company’s expectation to lower its cost of debt in 2011. There are important factors that could cause actual results to differ materially from those expressed or implied by such forward-looking statements including: general economic business conditions; housing and customer growth trends; unfavorable weather conditions; the success of certain cost containment initiatives; the extent to which rate increase requests are granted and the timing of rate awards; changes in regulations or regulatory treatment; availability and the cost of capital; disruptions in the credit markets; the success of growth initiatives; and other factors discussed in our Annual Report on Form 10-K, which is on file with the SEC. We undertake no obligation to publicly update or revise any forward-looking statement.

News Courtesy A-1 Plumbing Newswire www.a1ly.com/news/

Aqua America CEO to Present At NYSSA and Gabelli Conferences

November 24, 2010

Aqua America, Inc. (NYSE: WTR) has announced that its Chairman and Chief Executive Officer Nicholas DeBenedictis will present at two conferences in December. The first is the New York Society of Security Analysts’ (NYSSA) 14th Annual Water Industry Investor Conference on December 1. DeBenedictis will present at approximately 12:25 p.m. Eastern Standard Time in New York City. The second conference is the Gabelli & Company, Inc. Best Ideas Conference on December 2. DeBenedictis will speak at approximately 8:30 a.m. Eastern Standard Time in New York City. At both of the conferences, DeBenedictis will present an overview of the state of the company and industry. The company will host live audio webcasts of both of DeBenedictis’ presentations from the investor relations section of the company’s website at www.aquaamerica.com. Archived rebroadcasts will be available on the company’s website for 60 days following the events.  Aqua America, Inc. is a publicly traded water and wastewater utility holding company with operating subsidiaries serving approximately three million people in Pennsylvania, Ohio, North Carolina, Illinois, Texas, New Jersey, New York, Indiana, Florida, Virginia, Maine, Missouri, South Carolina, and Georgia. Aqua America is listed on the New York Stock Exchange under the ticker symbol WTR.

News Courtesy A-1 Plumbing Newswire http://a1ly.com/news/

Aqua America Announces a 6.9 Percent Cash Dividend Increase Payable December 1, 2010

August 5, 2010

Aqua America’s Board of Directors has declared a dividend increase of $0.01 per share from $0.145 per share to $0.155 per share for the December 1, 2010 quarterly dividend, to all shareholders of record on November 17, 2010. This represents a 6.9 percent increase to the quarterly dividend. This increase is equivalent to $0.04 above the company’s current annualized dividend rate of $0.58 to $0.62. The Board also declared the regular $0.145 per share quarterly common stock cash dividend to be paid on September 1, 2010 to shareholders of record on August 17, 2010. Aqua has paid a consecutive quarterly dividend for more than 60 years. This is the company’s twentieth dividend increase in 19 years. Aqua America Chairman and CEO Nicholas DeBenedictis said, “The Board approved this action after a strategic session to review the company’s five-year business plan. This decision demonstrates the Board’s continued confidence in the long-term growth potential of our business model.” Aqua America, Inc. is a U.S.-based publicly traded water and wastewater utility holding company, serving approximately three million people in Pennsylvania, New York, Ohio, North Carolina, Illinois, Texas, Florida, New Jersey, Indiana, Virginia, Maine, Missouri, South Carolina and Georgia. Aqua America is listed on the New York Stock Exchange under the ticker symbol WTR. This release contains forward looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including, among others, reference to the company’s confidence in its long-term growth business model. There are important factors that could cause actual results to differ materially from those expressed or implied by such forward-looking statements including: general economic business conditions, unfavorable weather conditions, the success of certain cost containment initiatives, changes in regulations or regulatory treatment, availability and the cost of capital, the success of growth initiatives, and other factors discussed in our Annual Report on Form 10-K for the fiscal year ended December 31, 2009 which is on file with the SEC. We undertake no obligation to publicly update or revise any forward-looking statement. Reported by  PLUMBINGSUPPLYS.US

News Courtesy A-1 Plumbing Newswire http://a1ly.com/news/

Aqua America Acquires Lawrenceville Water System

November 9, 2009

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Aqua America, Inc. (NYSE: WTR) announced today that it has acquired the Lawrenceville Water Company, which serves nearly 8,000 people in Lawrence Township, New Jersey in a stock transaction valued at $3.3 million including the assumption of $400,000 of debt. The system will be operated and managed by its New Jersey subsidiary, Aqua New Jersey, Inc. Lawrenceville is the fourteenth acquisition for Aqua America companies this year. It is located in central New Jersey, equal distance between Princeton and the state capitol of Trenton, and is also the home of the renowned Lawrenceville Prep School. “This is an opportune acquisition for our New Jersey operations as it neighbors our Hamilton, New Jersey headquarters and increases our customer base throughout the state by five percent,” said Aqua America Chairman and CEO Nicholas DeBenedictis. “We are excited to have the opportunity to provide service to these customers who were virtually right in our back yard.” DeBenedictis said that Aqua New Jersey anticipates making needed capital improvements including installing new mains, a new radio frequency metering system, and improvements to its well treatment systems.
Aqua America is a publicly traded water and wastewater utility holding company with operating subsidiaries serving approximately three million people in Pennsylvania, Ohio, North Carolina, Illinois, Texas, New Jersey, New York, Florida, Indiana, Virginia, Maine, Missouri and South Carolina. Aqua America is listed on the New York Stock Exchange under the ticker symbol WTR.

New Courtesy http://a1ly.com/news/