SAN DIMAS, Calif.--(BUSINESS WIRE)--Jul. 14, 2009--
American States Water Company (NYSE:AWR) today confirmed that Standard &
Poor’s Ratings Services (“S&P”) has improved its outlook on AWR and its
main utility subsidiary, Golden State Water Co. (“GSWC”) to positive
from stable. At the same time, S&P affirmed the ‘A’ corporate credit
rating on AWR and GSWC.
According to S&P’s July 13, 2009 press release, “The outlook revision
reflects the company’s equity issuance, which raised about $34 million
and reduced the company’s need to fund upcoming capital expenditures
with debt. The positive outlook also reflects our expectation for
greater and more stable earnings and cash flow from enhanced
cost-recovery mechanisms and continued regulatory support, including
higher depreciation rates that should improve key financial metrics.”
S&P’s corporate credit ratings range from AAA (highest rating possible)
to D (rating for default), reflecting S&P’s opinion of a company’s
overall capacity to meet its financial obligations. Credit ratings are
not recommendations to purchase, sell or hold a security and are subject
to change or withdrawal at any time by the rating agency.
Certain matters discussed in this news release with regard to the
Company’s expectations may be forward-looking statements that involve
risks and uncertainties. The assumptions and risk factors that could
cause actual results to differ materially, include those described in
the Company’s Form 10-Q and Form 10-K filed with the Securities and
Exchange Commission.
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 37 Californians located within 75 communities throughout 10 counties
in Northern, Coastal and Southern California (approximately 254,000
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 contracted
services subsidiary, American States Utility Services, the Company
contracts with the U.S. government and private entities to provide
various services, including water marketing and operation and
maintenance of water and wastewater systems.
Source: American States Water Company
American States Water Company
Eva G. Tang
Senior Vice
President, Chief Financial Officer,
Treasurer and Corporate
Secretary
(909) 394-3600, extension 707