Aqua America Expands Indiana Operations with $9.7 Million Acquisition
BRYN MAWR, Pa., Aug 04, 2008 (BUSINESS WIRE) -- Aqua America, Inc. (Aqua) announced today that one of its Indiana subsidiaries has closed on the acquisition of the South Haven Sewer Works, Inc., a wastewater company valued at approximately $9.7 million. The newly acquired wastewater system serves approximately 4,000 customers in the community of South Haven in Porter County in northwest Indiana. The acquisition of South Haven Sewer Works is expected to be immediately accretive.
Aqua said it plans to invest approximately $3 million over the next three years in capital improvements to decrease storm water infiltration and reduce overflows and to upgrade the system's sewage treatment plant.
"This new acquisition will enable Aqua to create synergies and economies of scale between South Haven and our growing Indiana operations," said Aqua America Chairman and Chief Executive Officer Nicholas DeBenedictis. "Aqua is committed to reaching new customers in Indiana, and we look forward to enhancing wastewater service for South Haven residents."
Aqua America is a publicly traded water and wastewater utility holding company, with operating subsidiaries serving approximately 3 million people in Pennsylvania, New York, Ohio, North Carolina, Illinois, Texas, Florida, New Jersey, Indiana, Virginia, Maine, Missouri, and South Carolina. Aqua America is listed on both the New York and Philadelphia Stock Exchanges 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, the projected investment in and improvements to the acquired systems, the expected timing and effect of improvements to systems and the expected benefits of the acquisition. 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 proposed improvements will not be made as projected or have the indicated benefits; the risk that anticipated benefits will not be obtained or will not be obtained within the time anticipated; and other key factors that we have indicated could adversely affect our business and financial performance contained in our past and future filings and reports, including those filed 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
SOURCE: Aqua America, Inc.
Aqua America, Inc. Gretchen Toner Senior Communications Specialist 610-645-1175 gmtoner@aquaamerica.com
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