SAN DIMAS, Calif.--(BUSINESS WIRE)--July 31, 2006--The Board of Directors of American States Water Company (NYSE:AWR) approved a quarterly dividend of $0.225 per share on the Common Shares of the Company. This action marks the 281st consecutive dividend payment by the Company. For 52 consecutive years, American States Water Company shareholders have received an aggregate annual increase in their dividends.

Dividends on the Common Shares will be payable on September 1, 2006 to shareholders of record at the close of business on August 14, 2006.

American States Water Company is the parent of Golden State Water Company, American States Utility Services, Inc. and Chaparral City Water Company. Through its subsidiaries, AWR provides water service to 1 out of 30 Californians located within 75 communities throughout 10 counties in Northern, Coastal and Southern California (approximately 253,400 customers) and to approximately 13,000 customers in the city of Fountain Hills, Arizona and a small portion of Scottsdale, Arizona. The Company also distributes electricity to approximately 23,000 customers in the Big Bear recreational area of California. Through its non-regulated subsidiary, American States Utility Services, the Company contracts with municipalities, the U.S. government and private entities to provide various services, including billing and meter reading, water marketing and operation and maintenance of water and wastewater systems.

CONTACT: American States Water Company
Robert J. Sprowls, 909-394-3600, extension 647
SOURCE: American States Water Company