CAMDEN, N.J.–(BUSINESS WIRE)–American Water (NYSE: AWK), the largest publicly traded U.S. water and
wastewater utility company, announced today that Standard & Poor’s (S&P)
reported on June 7, 2019, it had affirmed the corporate credit rating of
‘A’, its stable outlook and its A-1 short-term credit rating, on
American Water Works Company, Inc. and its American Water Capital Corp.
finance subsidiary.
S&P stated its rationale for the affirmation as due primarily to
American Water’s key strengths including: the vast majority of American
Water’s cash flows are derived from lower-risk, rate-regulated
water-utility operations; the benefits from significant geographic and
regulatory diversity as the largest investor-owned water-utility company
in the U.S.; and the company’s effective management of regulatory risk
as demonstrated by its implementation of numerous constructive
regulatory mechanisms.
“We are pleased with S&P’s decision, which reflects the advantage of our
company’s geographic diversity and our continuous efforts to maintain a
strong balance sheet,” said Linda G. Sullivan, executive vice president
and chief financial officer of American Water. “Our efforts to maintain
a strong balance sheet benefit the 15 million people who depend on us to
provide clean, safe, reliable and affordable water services to them
every day. Having greater access to capital at lower debt costs enhances
our ability to make needed investments in our water and wastewater
systems while balancing the impact it has on the customers we serve.”
A security rating is not a recommendation to buy, sell or hold
securities and may be subject to revision or withdrawal at any time by
the rating agency. Each rating should be evaluated independently of any
other rating. Further risks and uncertainties with respect to these
ratings are described in American Water’s Form 10-K for the year ended
December 31, 2018, as filed with the Securities and Exchange Commission
on February 19, 2019.
About American Water
With a history dating back to 1886, American Water is the largest and
most geographically diverse U.S. publicly traded water and wastewater
utility company. The company employs more than 7,100 dedicated
professionals who provide regulated and market-based drinking water,
wastewater and other related services to more than 14 million people in
46 states. American Water provides safe, clean, affordable and reliable
water services to our customers to make sure we keep their lives
flowing. For more information, visit amwater.com
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Contacts
Edward Vallejo
Vice President, Investor Relations
856-566-4005
[email protected]
Maureen Duffy
Vice President, Communications and Federal Affairs
856-309-4546
[email protected]
