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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
Form 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported) April 13, 2006
AMERICAN STATES WATER COMPANY
(Exact name of registrant as specified in its charter)
California 001-14431 95-4676679
(State or other jurisdiction of (Commission (I.R.S. Employer
incorporation or organization) File Number) Identification No.)
630 East Foothill Blvd.
San Dimas, California 91773
(Address of principal executive (Zip Code)
offices)
Registrant's telephone number, including area code: (909) 394-3600
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GOLDEN STATE WATER COMPANY
(Exact name of registrant as specified in its charter)
California 001-12008 95-1243678
(State or other jurisdiction of (Commission (I.R.S. Employer
incorporation or organization) File Number) Identification No.)
630 East Foothill Blvd.
San Dimas, California 91773
(Address of principal executive (Zip Code)
offices)
Registrant's telephone number, including area code: (909) 394-3600
Check the appropriate box below if the Form 8-K filing is intended to
simultaneously satisfy the filing requirement of the registrant under any of the
following provisions (see General Instruction A.2 below):
|_| Written communications pursuant to Rule 425 under the Securities
Act (17 CFR 230.425)
|_| Soliciting material pursuant to Rule 14a-12 under the exchange
Act (17 CFR 14a-12)
|_| Pre-commencement communications pursuant to Rule 14d-2(b) under the
Exchange Act (17 CFR 240.14d-2(b))
|_| Pre-commencement communications pursuant to Rule 13e-4(c) under the
Exchange Act (17 CFR 240.13e-4(c))
Section 7 - Regulation FD
Item 7.01. Regulation FD Disclosure
American States Water Company announces the final decision by the California
Public Utilities Commission on April 13, 2006 to approve the permanent lease of
5,000 acre feet of water rights to the City of Folsom by AWR's primary
subsidiary, Golden State Water Company.
This Form 8-K and the attached exhibit are filed with the Securities and
Exchange Commission.
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Section 9 - Financial Statement and Exhibits
Item 9.01. Financial Statements and Exhibits
Exhibit No. Description
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99.1 Press Release announcing Decision Regarding Ratemaking Treatment
for Revenues Resulting from the Lease of Water Rights
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Exhibit 99.1
American States Water Company
Announces Decision Regarding Ratemaking Treatment for Revenues
Resulting from the Lease of Water Rights
SAN DIMAS, Calif.--(BUSINESS WIRE)--April 19, 2006--American
States Water Company (NYSE:AWR) announces the final decision by the
California Public Utilities Commission ("CPUC") on April 13, 2006 to
approve the permanent lease of 5,000 acre feet ("AF") of water rights
to the City of Folsom (the "City") by AWR's primary subsidiary, Golden
State Water Company ("GSWC"). The CPUC also ordered that the revenues
resulting from the lease shall be tracked in an interest-bearing
memorandum account and invested in water utility infrastructure or
plant development in the Arden and Rancho Cordova service areas in
Sacramento County. Lease revenues invested in water utility
infrastructure within eight years of receipt will be included in the
rate base upon which GSWC earns a rate of return. Any lease revenue
proceeds not invested during this period shall be allocated to
customers.
As a result of this decision, GSWC transferred approximately $2.3
million of water right lease revenues received from the City during
2004 and 2005 from a regulatory liability account into pretax income
in the first quarter of 2006. GSWC also recorded pretax income of
$299,100 reflecting first quarter of 2006 lease revenues. Management
believes that revenues from the City can be prudently invested in
water utility or plant as required by this decision.
GSWC entered into an agreement with the City in March of 1994 to
lease up to 5,000 AF of water rights. The lease of water rights under
this agreement is permanent unless the City decides to terminate the
agreement by giving six months' prior written notice to GSWC. Revenue
for leasing the water rights to the City is approximately $1.2 million
for 2006. According to the agreement, the lease price per AF is
adjusted annually by the percentage increase in the Engineering News
Record Construction Index.
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
252,800 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 various 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, ext. 647