BRYN MAWR, Pa.--(BUSINESS WIRE)--
Aqua America, Inc. (NYSE: WTR) announced today the purchase of the
wastewater system assets of Manakin Water and Sewerage Corporation and
Manakin Farms, Inc. in Goochland County, Virginia, for $80,000. The
wastewater system serves 278 residential customers (approximately 850
people). Aqua already provides water to these customers.
The existing wastewater plant consists of a gravity collection system
and lagoon wastewater treatment system. Aqua plans to build a new 70,000
gallons-per-day wastewater treatment plant in 2012 to upgrade the level
of treatment, comply with an existing consent order from the Virginia
Department of Environmental Quality, and bring the wastewater system
into compliance with federal and state environmental standards.
"Aqua is interested in expanding our footprint in Virginia," said Aqua
America Chairman Nicholas DeBenedictis. "We've proudly provided quality
drinking water service to the Manakin Farms community for about eight
years, and we look forward to using our experience and know-how to build
a new wastewater system that's good for our customers and the
environment."
Virginia was recently cited by CNBC as the number one state in the
nation to do business. Two other states in which Aqua America has
utility operations, Texas and North Carolina, each made the top five on
the list, and all of Aqua America's state operations are in the nation's
15 largest (most populated) states. "We are continuing to focus our
utility operations in states that have a positive regulatory and
business climate that allow us to continue to make the capital
investments necessary to deliver quality water and reliable service to
our customers, while providing the opportunity to earn an adequate
return on that investment for our shareholders," said DeBenedictis. "We
will also continue to pursue opportunities in other states consistent
with our growth-through-acquisition strategy."
Last week, Aqua announced that it has reached an agreement to sell its
Maine operations to Connecticut Water Service, Inc. Last month, Aqua
announced that it will sell its regulated operations in New York (50,520
customers) to American Water (NYSE: AWK) and purchase American Water's
operations in Ohio (57,280 customers). In June, Aqua America's Texas
subsidiary acquired 51 water and five wastewater systems from Texas
American including 4,200 water and 1,100 wastewater customers (16,000
people) for $6 million — the approximate book value of the assets. That
transaction was the final step in a property swap between the two
companies that began in May, when Aqua America sold the bulk of its
regulated Missouri operations (approximately 3,700 customers) to
American Water for $3.2 million.
Having recently exited or signed agreements to exit South Carolina,
Missouri, New York and Maine, Aqua America will have concentrated its
regulated operations in nine states (Pennsylvania, Ohio, North Carolina,
Illinois, Texas, New Jersey, Florida, Indiana and Virginia). The company
maintains a non-regulated wastewater operation in Georgia.
Aqua America is one of the largest U.S.-based, publicly-traded water
utilities and serves almost 3 million residents in Pennsylvania, Ohio,
Illinois, Texas, New Jersey, Indiana, Virginia, Florida, North Carolina,
Maine, New York and Georgia. Aqua America is listed on the New York
Stock Exchange under the ticker symbol WTR.
This release contains forward-looking statements within the meaning of
The Private Securities Litigation Reform Act of 1995 that address, among
other things: benefits from the acquisition of the acquired system and
the impact the company may have on the acquired system, the continuation
of the company's strategy to pursue the acquisition of water and
wastewater systems, continued investment in the company's utility
systems and the effects of such investments, and planned investments in
the acquired system. There are important factors that could cause actual
results to differ materially from those expressed or implied by such
forward-looking statements including: the risk that the acquired
company's business will not be successfully integrated; and other key
factors that we have indicated could adversely affect our business and
financial performance discussed in our Annual Report on Form 10-K for
the fiscal year ended December 31, 2010, which is on file with the
Securities and Exchange Commission. Aqua America is not under any
obligation — and expressly disclaims any such obligation — to update or
alter its forward-looking statements whether as a result of new
information, future events, or otherwise.
WTRF
Aqua America, Inc.
Donna Alston
Manager, Communications
610-645-1095
dpalston@aquaamerica.com
Source: Aqua America, Inc.
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