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Continues to Bring Dividend Payout Ratio More in Line with Industry
Peers
SAN DIMAS, Calif.--(BUSINESS WIRE)--May. 21, 2013--
Yesterday, the Board of Directors of American States Water Company
(NYSE:AWR) approved a 14.1% increase in its third quarter cash dividend
from $0.355 per share to $0.405 per share on the common shares of the
Company. This increase is equivalent to $0.20 per share above its
current annualized dividend rate of $1.42 to $1.62. For 59 consecutive
years, American States Water Company shareholders have received an
increase in their aggregate annual dividend. Dividends on the common
shares will be payable on September 3, 2013 to shareholders of record at
the close of business on August 15, 2013. The increased September 3,
2013 dividend will be applied to the shares prior to the stock split
discussed below.
On the same day, the Board also approved a two-for-one stock split of
the Company’s common stock. Shareholders of record at the close of
business on August 15, 2013 will receive one additional share of AWR
stock for each share they own. These additional shares will also be
payable on September 3, 2013 to shareholders of record on August 15,
2013. As a result of the stock split, the total number of common shares
outstanding will increase from approximately 19.3 million to
approximately 38.6 million.
“This double-digit increase in our quarterly dividend and the stock
split reflect our Board’s confidence in the company’s ability to
continue to deliver solid results and its desire to have a payout ratio
that is more in line with our peers," said Robert J. Sprowls, President
and CEO of American States Water Company.
Sprowls continued, "In addition, the stock split reflects our goal to
maintain a market price for our shares that is attractive to a broad
range of investors. Both the stock split and the dividend increase
enhances our ability to attract capital in the future to fund necessary
infrastructure investments in our utility operations."
American States Water Company is the parent of Golden State Water
Company and American States Utility Services, Inc. Through its utility
subsidiary, Golden State Water Company, AWR provides water service to
approximately 256,000 customers throughout 10 counties in Northern,
Coastal and Southern California. The Company also distributes
electricity to over 23,000 customers in the Big Bear recreational area
of California. Through its contracted services subsidiary, American
States Utility Services, Inc., the Company provides operations,
maintenance and construction management services for water and
wastewater systems located on military bases throughout the country
under 50 year privatization contracts.
American States Water Company has paid dividends to shareholders every
year since 1931, increasing the dividends received by shareholders each
calendar year since 1954.
Source: American States Water Company
American States Water Company
Eva G. Tang
Senior Vice
President - Finance, Chief Financial
Officer, Corporate Secretary
and Treasurer
(909) 394-3600, extension 707