0000078128-20-000009 | 10-Q | XBRL Viewer

December 31,

Carrying amount

Estimated fair value

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Document And Entity Information - shares	3 Months Ended
Document And Entity Information - shares	Mar. 31, 2020	Apr. 27, 2020
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Mar. 31, 2020
Document Fiscal Year Focus	2020
Current Fiscal Year End Date	--12-31
Document Transition Report	false
Entity File Number	1-6659
Entity Registrant Name	ESSENTIAL UTILITIES, INC.
Entity Incorporation, State or Country Code	PA
Entity Tax Identification Number	23-1702594
Entity Address, Address Line One	762 W. Lancaster Avenue
Entity Address, City or Town	Bryn Mawr
Entity Address, State or Province	PA
Entity Address, Postal Zip Code	19010 -3489
City Area Code	610
Local Phone Number	527-8000
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		245,041,284
Amendment Flag	false
Document Fiscal Period Focus	Q1
Entity Central Index Key	0000078128
Common Class A [Member]
Title of 12(b) Security	Common stock, $0.50 par value
Trading Symbol	WTRG
Security Exchange Name	NYSE
Tangible Equity Units [Member]
Title of 12(b) Security	6.00% Tangible Equity Units
Trading Symbol	WTRU
Security Exchange Name	NYSE

Consolidated Balance Sheets - USD ($) $ in Thousands	Mar. 31, 2020	Dec. 31, 2019
Assets
Property, plant and equipment, at cost	$ 10,795,110	$ 8,201,936
Less: accumulated depreciation	1,905,274	1,856,146
Net property, plant and equipment	8,889,836	6,345,790
Current assets:
Cash and cash equivalents	31,848	1,868,922
Accounts receivable, net	179,572	67,137
Unbilled revenues	83,979	40,483
Inventory - materials and supplies	22,224	18,379
Inventory - gas stored	11,693
Prepayments and other current assets	32,024	16,259
Regulatory assets	5,110	2,389
Assets held for sale	1,558	1,558
Total current assets	368,008	2,015,127
Regulatory assets	1,186,102	875,743
Deferred charges and other assets, net	61,754	42,652
Investment in joint venture	5,473	5,984
Funds restricted for construction activity	1,223
Goodwill	2,351,526	63,822
Operating lease right-of-use assets	65,064	12,867
Total assets	12,928,986	9,361,985
Stockholders' equity:
Common stock at $0.50 par value, authorized 300,000,000 shares, issued 248,234,603 and 223,871,284 as of March 31, 2020 and December 31, 2019	124,117	111,935
Capital in excess of par value	3,361,586	2,636,555
Retained earnings	1,209,501	1,210,072
Treasury stock, at cost, 3,194,287 and 3,112,565 shares as of March 31, 2020 and December 31, 2019	(82,041)	(77,702)
Total stockholders' equity	4,613,163	3,880,860
Long-term debt, excluding current portion	4,757,427	2,972,349
Less: debt issuance costs	28,393	29,022
Long-term debt, excluding current portion, net of debt issuance costs	4,729,034	2,943,327
Commitments and contingencies (See Note 15)
Current liabilities:
Current portion of long-term debt	115,011	105,051
Loans payable	381,005	25,724
Accounts payable	115,611	74,919
Book overdraft		10,944
Accrued interest	51,871	29,818
Accrued taxes	41,876	22,775
Regulatory liabilities	31,663	4,612
Other accrued liabilities	90,337	49,618
Total current liabilities	827,374	323,461
Deferred credits and other liabilities:
Deferred income taxes and investment tax credits	1,192,900	936,158
Customers' advances for construction	99,447	95,556
Regulatory liabilities	640,503	512,987
Asset retirement obligations	49,272
Operating lease liabilities	60,970	11,645
Pension and other postretirement benefit liabilities	110,018	69,406
Other	48,864	33,059
Total deferred credits and other liabilities	2,201,974	1,658,811
Contributions in aid of construction	557,441	555,526
Total liabilities and equity	$ 12,928,986	$ 9,361,985

Consolidated Balance Sheets (Parenthetical) - $ / shares	Mar. 31, 2020	Dec. 31, 2019
Consolidated Balance Sheets [Abstract]
Common stock, par value	$ 0.50	$ 0.50
Common stock, shares authorized	300,000,000	300,000,000
Common stock, shares issued	248,234,603	223,871,284
Treasury stock, shares	3,194,287	3,112,565

Consolidated Statements Of Operations And Comprehensive Income - USD ($) shares in Thousands, $ in Thousands	3 Months Ended
	Mar. 31, 2020	Mar. 31, 2019
Consolidated Statements Of Net Income [Abstract]
Operating revenues	$ 255,585	$ 201,132
Operating expenses:
Operations and maintenance	106,637	79,314
Purchased gas	12,770
Depreciation	45,566	39,074
Amortization	679	336
Taxes other than income taxes	16,436	14,969
Total operating expenses	182,088	133,693
Operating income	73,497	67,439
Other expense (income):
Interest expense	35,122	27,869
Interest income	(5,035)	(19)
Allowance for funds used during construction	(2,948)	(4,056)
Change in fair value of interest rate swap agreements		34,782
Gain on sale of other assets	(105)	(220)
Equity loss (earnings) in joint venture	127	(543)
Other	1,679	872
Income before income taxes	44,657	8,754
Provision for income tax benefit	(7,124)	(8,170)
Net income	51,781	16,924
Comprehensive income	$ 51,781	$ 16,924
Net income per common share:
Basic	$ 0.22	$ 0.09
Diluted	$ 0.20	$ 0.09
Average common shares outstanding during the period:
Basic	236,122	178,213
Diluted	255,054	178,552

Consolidated Statements Of Capitalization - USD ($) $ in Thousands	Mar. 31, 2020	Dec. 31, 2019
Stockholders' equity:
Common stock, $.50 par value	$ 124,117	$ 111,935
Capital in excess of par value	3,361,586	2,636,555
Retained earnings	1,209,501	1,210,072
Treasury stock, at cost	(82,041)	(77,702)
Total stockholders' equity	4,613,163	3,880,860
Long-term debt of subsidiaries (substantially collateralized by utility plant):
Long-term debt of subsidiaries	2,854,760	1,887,117
Total long-term debt	4,872,438	3,077,400
Current portion of long-term debt	115,011	105,051
Long-term debt, excluding current portion	4,757,427	2,972,349
Less: debt issuance costs	28,393	29,022
Long-term debt, excluding current portion, net of debt issuance costs	4,729,034	2,943,327
Total capitalization	9,342,197	6,824,187
Long-Term Debt Of Subsidiaries 0.00% To 0.99% [Member]
Long-term debt of subsidiaries (substantially collateralized by utility plant):
Long-term debt of subsidiaries	3,225	3,474
Long-Term Debt Of Subsidiaries 1.00% To 1.99% [Member]
Long-term debt of subsidiaries (substantially collateralized by utility plant):
Long-term debt of subsidiaries	10,682	10,733
Long-Term Debt Of Subsidiaries 2.00% To 2.99% [Member]
Long-term debt of subsidiaries (substantially collateralized by utility plant):
Long-term debt of subsidiaries	117,667	15,674
Long-Term Debt Of Subsidiaries 3.00% To 3.99% [Member]
Long-term debt of subsidiaries (substantially collateralized by utility plant):
Long-term debt of subsidiaries	1,148,133	655,685
Long-Term Debt Of Subsidiaries 4.00% To 4.99% [Member]
Long-term debt of subsidiaries (substantially collateralized by utility plant):
Long-term debt of subsidiaries	1,419,071	1,054,791
Long-Term Debt Of Subsidiaries 5.00% To 5.99% [Member]
Long-term debt of subsidiaries (substantially collateralized by utility plant):
Long-term debt of subsidiaries	65,852	60,683
Long-Term Debt Of Subsidiaries 6.00% To 6.99% [Member]
Long-term debt of subsidiaries (substantially collateralized by utility plant):
Long-term debt of subsidiaries	35,410	31,000
Long-Term Debt Of Subsidiaries 7.00% To 7.99% [Member]
Long-term debt of subsidiaries (substantially collateralized by utility plant):
Long-term debt of subsidiaries	30,540	30,751
Long-Term Debt Of Subsidiaries 8.00% To 8.99% [Member]
Long-term debt of subsidiaries (substantially collateralized by utility plant):
Long-term debt of subsidiaries	4,880	5,026
Long-Term Debt Of Subsidiaries 9.00% To 9.99% [Member]
Long-term debt of subsidiaries (substantially collateralized by utility plant):
Long-term debt of subsidiaries	19,300	19,300
Revolving Credit Agreement, Due 2023 [Member]
Long-term debt of subsidiaries (substantially collateralized by utility plant):
Notes payable to bank under revolving credit agreement, variable rate, due 2023	802,000
Bank Note At 3.50% Due 2020 [Member]
Long-term debt of subsidiaries (substantially collateralized by utility plant):
Unsecured notes payable	50,000	50,000
Amortizing notes at 3.00% due 2022 [Member]
Long-term debt of subsidiaries (substantially collateralized by utility plant):
Unsecured notes payable	89,751	99,356
Notes ranging from 3.01% to 3.59% due 2029 through 2041 [Member]
Long-term debt of subsidiaries (substantially collateralized by utility plant):
Unsecured notes payable	525,000	490,000
Notes at 4.28%, due 2049 [Member]
Long-term debt of subsidiaries (substantially collateralized by utility plant):
Unsecured notes payable	500,000	500,000
Notes ranging from 5.64% to 5.95%, due 2020 through 2034 [Member]
Long-term debt of subsidiaries (substantially collateralized by utility plant):
Unsecured notes payable	$ 50,927	$ 50,927

Consolidated Statements Of Capitalization (Parenthetical) - $ / shares	3 Months Ended	12 Months Ended
	Mar. 31, 2020	Dec. 31, 2019
Common stock, par value	$ 0.50	$ 0.50
Revolving Credit Agreement, Due 2023 [Member]
Maturity date	2023	2023
Bank notes at 3.50% due 2020 [Member]
Interest rate	3.50%	3.50%
Maturity date	2020	2020
Amortizing notes at 3.00% due 2022 [Member]
Interest rate	3.00%	3.00%
Maturity date	2022	2022
Notes at 3.01% due 2029 [Member]
Interest rate	3.01%	3.01%
Maturity date	2029	2029
Notes at 3.59% due 2041 [Member]
Interest rate	3.59%	3.59%
Maturity date	2041	2041
Notes at 4.28%, due 2049 [Member]
Interest rate	4.28%	4.28%
Maturity date	2049	2049
Notes at 5.64% due 2020 [Member]
Interest rate	5.64%	5.64%
Maturity date	2020	2020
Notes at 5.95% due 2034 [Member]
Interest rate	5.95%	5.95%
Maturity date	2034	2034
Minimum [Member] \| Long-Term Debt Of Subsidiaries 0.00% To 0.99% [Member]
Interest rate	0.00%	0.00%
Maturity date	2023	2023
Minimum [Member] \| Long-Term Debt Of Subsidiaries 1.00% To 1.99% [Member]
Interest rate	1.00%	1.00%
Maturity date	2020	2020
Minimum [Member] \| Long-Term Debt Of Subsidiaries 2.00% To 2.99% [Member]
Interest rate	2.00%	2.00%
Maturity date	2022	2022
Minimum [Member] \| Long-Term Debt Of Subsidiaries 3.00% To 3.99% [Member]
Interest rate	3.00%	3.00%
Maturity date	2020	2020
Minimum [Member] \| Long-Term Debt Of Subsidiaries 4.00% To 4.99% [Member]
Interest rate	4.00%	4.00%
Maturity date	2020	2020
Minimum [Member] \| Long-Term Debt Of Subsidiaries 5.00% To 5.99% [Member]
Interest rate	5.00%	5.00%
Maturity date	2028	2028
Minimum [Member] \| Long-Term Debt Of Subsidiaries 6.00% To 6.99% [Member]
Interest rate	6.00%	6.00%
Maturity date	2022	2022
Minimum [Member] \| Long-Term Debt Of Subsidiaries 7.00% To 7.99% [Member]
Interest rate	7.00%	7.00%
Maturity date	2022	2022
Minimum [Member] \| Long-Term Debt Of Subsidiaries 8.00% To 8.99% [Member]
Interest rate	8.00%	8.00%
Maturity date	2021	2021
Minimum [Member] \| Long-Term Debt Of Subsidiaries 9.00% To 9.99% [Member]
Interest rate	9.00%	9.00%
Maturity date	2020	2020
Maximum [Member] \| Long-Term Debt Of Subsidiaries 0.00% To 0.99% [Member]
Interest rate	0.99%	0.99%
Maturity date	2033	2033
Maximum [Member] \| Long-Term Debt Of Subsidiaries 1.00% To 1.99% [Member]
Interest rate	1.99%	1.99%
Maturity date	2039	2039
Maximum [Member] \| Long-Term Debt Of Subsidiaries 2.00% To 2.99% [Member]
Interest rate	2.99%	2.99%
Maturity date	2033	2033
Maximum [Member] \| Long-Term Debt Of Subsidiaries 3.00% To 3.99% [Member]
Interest rate	3.99%	3.99%
Maturity date	2056	2056
Maximum [Member] \| Long-Term Debt Of Subsidiaries 4.00% To 4.99% [Member]
Interest rate	4.99%	4.99%
Maturity date	2059	2059
Maximum [Member] \| Long-Term Debt Of Subsidiaries 5.00% To 5.99% [Member]
Interest rate	5.99%	5.99%
Maturity date	2043	2043
Maximum [Member] \| Long-Term Debt Of Subsidiaries 6.00% To 6.99% [Member]
Interest rate	6.99%	6.99%
Maturity date	2036	2036
Maximum [Member] \| Long-Term Debt Of Subsidiaries 7.00% To 7.99% [Member]
Interest rate	7.99%	7.99%
Maturity date	2027	2027
Maximum [Member] \| Long-Term Debt Of Subsidiaries 8.00% To 8.99% [Member]
Interest rate	8.99%	8.99%
Maturity date	2025	2025
Maximum [Member] \| Long-Term Debt Of Subsidiaries 9.00% To 9.99% [Member]
Interest rate	9.99%	9.99%
Maturity date	2026	2026

Consolidated Statements Of Equity - USD ($) $ in Thousands	Common Stock [Member]	Capital In Excess Of Par Value [Member]	Retained Earnings [Member]	Treasury Stock [Member]	Total
Balance at Dec. 31, 2018	$ 90,576	$ 820,378	$ 1,174,245	$ (75,835)	$ 2,009,364
Net income			16,924		16,924
Dividends declared			(39,014)		(39,014)
Issuance of common stock under dividend reinvestment plan	59	3,976			4,035
Repurchase of stock				(1,857)	(1,857)
Equity compensation plan	67	(67)
Exercise of stock options	39	1,136			1,175
Stock-based compensation		1,929	42		1,971
Other		(13)			(13)
Balance at Mar. 31, 2019	90,741	827,339	1,152,197	(77,692)	1,992,585
Balance at Dec. 31, 2019	111,935	2,636,555	1,210,072	(77,702)	3,880,860
Net income			51,781		51,781
Dividends declared			(52,205)		(52,205)
Issuance of common stock from private placement	10,831	719,304			730,135
Issuance of common stock from stock purchase contracts	1,168	(1,168)
Issuance of common stock under dividend reinvestment plan	43	4,019			4,062
Repurchase of stock				(4,339)	(4,339)
Equity compensation plan	112	(112)
Exercise of stock options	28	922			950
Stock-based compensation		2,072	(147)		1,925
Other		(6)			(6)
Balance at Mar. 31, 2020	$ 124,117	$ 3,361,586	$ 1,209,501	$ (82,041)	$ 4,613,163

Consolidated Statements Of Equity (Parenthetical) - $ / shares	3 Months Ended
	Mar. 31, 2020	Mar. 31, 2019
Consolidated Statement Of Equity (Parenthetical) [Abstract]
Dividend declared per common share	$ 0.2343	$ 0.2190
Issuance of common stock from private placement, shares	21,661,095
Issuance of common stock from stock purchase contracts , shares	2,335,654
Issuance of common stock under dividend reinvestment plan, shares	86,969	117,845
Repurchase of stock, shares	81,722	52,124
Equity compensation plan, shares	223,495	134,257
Exercise of stock options, shares	56,106	77,479

Consolidated Statements Of Cash Flow - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2020	Mar. 31, 2019
Cash flows from operating activities:
Net income	$ 51,781	$ 16,924
Adjustments to reconcile net income to net cash flows from operating activities:
Depreciation and amortization	46,245	39,410
Deferred income taxes	(18,701)	(8,852)
Provision for doubtful accounts	2,204	803
Stock-based compensation	1,688	1,930
Gain on sale of other assets	(105)	(220)
Interest rate swap agreements		34,782
Net change in receivables, inventory and prepayments	22,921	2,263
Net change in payables, accrued interest, accrued taxes and other accrued liabilities	(7,531)	(3,402)
Pension and other postretirement benefits contributions	(36)	(3,947)
Other	(2,945)	(404)
Net cash flows from operating activities	95,521	79,287
Cash flows from investing activities:
Property, plant and equipment additions, including the debt component of allowance for funds used during construction of $873 and $1,030	(118,734)	(133,792)
Acquisitions of utility systems, net	(3,446,056)	(469)
Net proceeds from the sale of other assets	160	242
Other	28	462
Net cash flows used in investing activities	(3,564,602)	(133,557)
Cash flows from financing activities:
Customers' advances and contributions in aid of construction	1,462	1,858
Repayments of customers' advances	(1,065)	(765)
Net proceeds of short-term debt	174,281	17,114
Proceeds from long-term debt	801,184	117,995
Repayments of long-term debt	(11,509)	(41,976)
Change in cash overdraft position	(10,943)	(3,856)
Issuance of common stock under dividend reinvestment plan	4,062	4,035
Issuance of common stock from private placement	730,135
Proceeds from exercised stock options	950	1,175
Repurchase of common stock	(4,339)	(1,857)
Dividends paid on common stock	(52,205)	(39,014)
Other	(6)	(13)
Net cash flows from financing activities	1,632,007	54,696
Net change in cash and cash equivalents	(1,837,074)	426
Cash and cash equivalents at beginning of period	1,868,922	3,627
Cash and cash equivalents at end of period	31,848	4,053
Non-cash investing activities:
Property, plant and equipment additions purchased at the period end, but not yet paid for	55,881	42,594
Non-cash customer advances and contributions in aid of construction	$ 8,637	$ 17,331

Consolidated Statements Of Cash Flow (Parenthetical) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2020	Mar. 31, 2019
Consolidated Statements Of Cash Flow [Abstract]
Debt component of allowance for funds used during construction	$ 873	$ 1,030

Basis Of Presentation	3 Months Ended
Basis Of Presentation	Mar. 31, 2020
Basis Of Presentation [Abstract]
Basis Of Presentation	Note 1 – Basis of Presentation On March 16, 2020 we completed the acquisition of Peoples Natural Gas (the “Peoples Gas Acquisition”), which expanded the Company’s regulated utility business to include natural gas distribution, serving approximately 747,000 natural gas utility customers in western Pennsylvania, West Virginia, and Kentucky. The results of Peoples Natural Gas (“Peoples”) are included in our unaudited Consolidated Financial Statements since the date of the acquisition. See Note 3 – Acquisitions for further information and Note 14 – Segment Information for information on our reportable segments. The accompanying consolidated balance sheets and statements of capitalization of Essential Utilities, Inc. and subsidiaries (the “Company”, “we”, “us” or “our”) at March 31, 2020, the consolidated statements of operations and comprehensive income for the three months ended March 31, 2020 and 2019, the consolidated statements of cash flow for the three months ended March 31, 2020 and 2019, and the consolidated statements of equity for the three months ended March 31, 2020 and 2019 are unaudited, but reflect all adjustments, consisting of only normal recurring accruals, which are, in the opinion of management, necessary to present a fair statement of its consolidated financial position, consolidated changes in equity, consolidated results of operations, and consolidated cash flow for the periods presented. Because they cover interim periods, the statements and related notes to the financial statements do not include all disclosures and notes normally provided in annual financial statements and, therefore, should be read in conjunction with the Company’s Annual Report on Form 10-K for the year ended December 31, 2019. The results of operations for interim periods may not be indicative of the results that may be expected for the entire year. The December 31, 2019 consolidated balance sheet data presented herein was derived from the Company’s December 31, 2019 audited consolidated financial statements but does not include all disclosures and notes normally provided in annual financial statements. The following prior period amounts have been reclassified to conform to the current period presentation: In the consolidated balance sheet the presentation of: othe current portion of regulatory assets and liabilities opension and other postretirement liabilities, which was formerly presented in non-current liabilities within other In the consolidated statements of operations and comprehensive income the presentation of interest expense and interest income, which was formerly presented as interest expense, net. The preparation of financial statements often requires the selection of specific accounting methods and policies. Further, significant estimates and judgments may be required in selecting and applying those methods and policies in the recognition of the assets and liabilities in its consolidated balance sheets, the revenues and expenses in its consolidated statements of operations and comprehensive income, and the information that is contained in its summary of significant accounting policies and notes to consolidated financial statements. Making these estimates and judgments requires the analysis of information concerning events that may not yet be complete and of facts and circumstances that may change over time. Accordingly, actual amounts or future results can differ materially from those estimates that the Company includes currently in its consolidated financial statements, summary of significant accounting policies, and notes. The current novel coronavirus (“COVID-19”) pandemic has caused significant social and economic restrictions that have been imposed in the United States and abroad, which has resulted in significant volatility in the global economy and led to reduced economic activity. In the preparation of these financial statements and related disclosures, we have assessed the impact that COVID-19 has had on our estimates, assumptions, forecasts, and accounting policies. Because of the essential nature of our business, we do not believe the COVID-19 pandemic had a material impact on our estimates, assumptions and forecasts used in the preparation of our first quarter financial statements, although we continue to monitor this closely. As the COVID-19 situation is unprecedented and ever evolving, future events and effects related to COVID-19 cannot be determined with precision, and actual results could significantly differ from our estimates or forecasts. Refer to Recent Developments – COVID-19 within Part I Item 2 – “Management’s Discussion and Analysis of Financial Condition and Results of Operations” for additional information. There have been no changes to the summary of significant accounting policies previously identified in the Company’s Annual Report on Form 10-K for the year ended December 31, 2019, other than as described below as a result of the completion of the Peoples Gas Acquisition: Inventories: The Company accounts for gas in storage inventory using the weighted average cost of gas method. Derivative Instruments: The Company utilizes requirements contracts, spot purchase contracts and underground storage to meet regulated customers’ natural gas requirements that may have fixed or variable pricing. The variable price contracts qualify as derivative instruments; however, because the contract price is the prevailing price at the future transaction date the contract has no determinable fair value. The fixed price contracts and firm commitments to purchase a fixed quantity of gas in the future qualify for the normal purchases and normal sales exception that is allowed for contracts that are probable of delivery in the normal course of business and, as such, are accounted for under the accrual basis and are not recorded at fair value in the Company’s consolidated financial statements. Asset Retirement Obligations: The Company recognizes asset retirement obligations associated with interim retirements of natural gas gathering, transmission, distribution, production wells, and storage pipeline components at fair value, as incurred, or when sufficient information becomes available to determine a reasonable estimate of the fair value of the retirement activities to be performed. These amounts are capitalized as costs of the related tangible long-lived assets. Since relevant market information is not available, the Company estimates fair value using discounted cash flow analyses. As the Company is able to recover the cost to retire assets through rates, the Company reports the unrecovered accretion of the asset retirement obligations due to the passage of time and the depreciation of the asset retirement costs as a regulatory asset.

Revenue Recognition

3 Months Ended

Mar. 31, 2020

Revenue Recognition [Abstract]

Revenue Recognition

Note 2 – Revenue Recognition

The following table presents our revenues disaggregated by major source and customer class:


	Three Months Ended								Three Months Ended
	March 31, 2020								March 31, 2019
	Water Revenues		Wastewater Revenues		Natural Gas Revenues		Other Revenues		Water Revenues		Wastewater Revenues		Other Revenues
Revenues from contracts with customers:
Residential	$	127,014	$	22,614	$	22,900	$	-	$	114,047	$	19,947	$	-
Commercial		35,300		4,451		3,929		-		30,291		3,566		-
Fire protection		8,646		-		-		-		8,078		-		-
Industrial		6,942		446		433		-		6,865		481		-
Gas transportation		-		-		9,469		-		-		-		-
Other water		7,159		-		-		-		12,808		-		-
Other wastewater		-		724		-		-		-		1,396		-
Other utility		-		-		1,731		3,204		-		-		2,890
Revenues from contracts with customers		185,061		28,235		38,462		3,204		172,089		25,390		2,890
Alternative revenue program		(281)		(22)		82		-		(36)		(113)		-
Other and eliminations		-		-		-		844		-		-		912
Consolidated	$	184,780	$	28,213	$	38,544	$	4,048	$	172,053	$	25,277	$	3,802

On March 16, 2020, the Company completed the Peoples Gas Acquisition, which expanded the Company’s regulated utility business, to include natural gas distribution. The natural gas revenues of Peoples are included for the period since the date of the acquisition.

Revenues from Contracts with Customers – These revenues are composed of four main categories: water, wastewater, natural gas, and other. Water revenues represent revenues earned for supplying customers with water service. Wastewater revenues represent revenues earned for treating wastewater and releasing it into the environment. Natural gas revenues represent revenues earned for the delivery of natural gas to customers. Other revenues are associated fees that relate to our utility businesses but are not water, wastewater, or natural gas revenues. Refer to the description below for a discussion of the performance obligation for each of these revenue streams.

Tariff Revenues – These revenues are categorized by customer class: residential, commercial, fire protection, industrial, gas transportation, and other water and other wastewater. The rates that generate these revenues are approved by the respective state utility commission, and revenues are billed cyclically and accrued for when unbilled. Other water and other wastewater revenues consist primarily of fines, penalties, surcharges, and availability lot fees. Our performance obligation for tariff revenues is to provide potable water, wastewater treatment service, or delivery of natural gas to customers. This performance obligation is satisfied over time as the services are rendered. The amounts that the Company has a right to invoice for tariff revenues reflect the right to consideration from the customers in an amount that corresponds directly with the value transferred to the customer for the performance completed to date.

Other Utility Revenues – Other utility revenues represent revenues earned primarily from: antenna revenues, which represent fees received from telecommunication operators that have put cellular antennas on our water towers; operation and maintenance and billing contracts, which represent fees earned from municipalities for our operation of their water or wastewater treatment services or performing billing services; fees earned from developers for accessing our water mains; miscellaneous

service revenue from gas distribution operations; gas processing and handling revenue; sales of natural gas at market-based rates and contracted fixed prices; sales of gas purchased from third parties; and other gas marketing activities. The performance obligations vary for these revenues, but all are primarily recognized over time as the service is delivered.

Alternative Revenue Program:

Water / Wastewater Revenues: These revenues represent the difference between the actual billed utility water and wastewater revenues for Aqua Illinois and the revenues set in the last Aqua Illinois rate case. We recognize revenues based on the target amount established in the last rate case, and then record either a regulatory asset or liability based on the cumulative annual difference between the target and actual, which results in either a refund due to customers or a payment from customers. The cumulative annual difference is either refunded to customers or collected from customers over a nine-month period.

Natural Gas Revenues: These revenues represent the weather-normalization adjustment (“WNA”) mechanism in place for our natural gas customers served in Kentucky. The WNA serves to minimize the effects of weather on the Company’s gross margin for its residential and small commercial natural gas customers. This regulatory mechanism adjusts revenues earned for the variance between actual and normal weather and can have either positive (warmer than normal) or negative (colder than normal) effects on revenues. Customer bills are adjusted in the December through April billing months, with rates adjusted for the difference between actual revenues and revenues calculated under this mechanism billed to the customers.

These revenue programs represent a contract between the utility and its regulators, not customers, and therefore are not within the scope of the Financial Accounting Standards Board’s (“FASB”) accounting guidance for recognizing revenue from contracts with customers.

Other and Eliminations – Other and eliminations consist of our market-based revenues, which comprises Aqua Infrastructure and Aqua Resources (described below) and intercompany eliminations for revenue billed between our subsidiaries.

Aqua Infrastructure is the holding company for our 49% investment in a joint venture that operates a private pipeline system to supply raw water to natural gas well drilling operations in the Marcellus Shale of north central Pennsylvania. The joint venture earns revenues through providing non-utility raw water supply services to natural gas drilling companies that enter into water supply contracts. The performance obligation is to deliver non-potable water to the joint venture’s customers. Aqua Infrastructure’s share of the revenues recognized by the joint venture is reflected, net, in equity earnings in joint venture on our consolidated statements of operations and comprehensive income.

Aqua Resources earns revenues by providing non-regulated water services through an operating and maintenance contract, and third-party water and sewer service line protection and repair services. The performance obligations are performing agreed upon contract services to operate the water system, or allowing the use of our logo to a third-party water and sewer service line repair. Revenues are primarily recognized over time as service is delivered.
‎

Acquisitions

3 Months Ended

Mar. 31, 2020

Acquisitions [Abstract]

Acquisitions

Note 3 – Acquisitions

Peoples Gas Acquisition

On March 16, 2020 (the “Closing Date”), the Company completed the Peoples Gas Acquisition and paid cash consideration of $3,465,344, which is subject to adjustment upon completion of a closing balance sheet and the finalization of other adjustments that may occur over the next several months. Peoples is headquartered in Pittsburgh, Pennsylvania and serves approximately 747,000 natural gas utility customers in western Pennsylvania, West Virginia, and Kentucky. The estimated purchase price paid by the Company was determined as follows:


Base purchase price	$	4,275,000
Adjustments:
Estimated change in working capital		43,935
Certain estimated capital expenditures		247,500
Assumption of indebtedness		(1,101,091)
Cash consideration	$	3,465,344

The assumption of $1,101,091 of indebtedness as of the closing date, consisted of $920,091 of senior notes and $181,000 of short-term debt. The acquisition was financed through a series of financing transactions which included the issuance of common stock from a public offering and a private placement, a tangible equity unit offering, and short and long-term debt. Refer to Note 6 – Capitalization for further information on these financings.

The Company accounted for the Peoples Gas Acquisition as a business combination using the acquisition method of accounting. The estimated purchase price is allocated to the net tangible and intangible assets based upon their estimated fair values at the date of the acquisition. The purchase price allocation is preliminary and subject to revision. The Company has not completed the allocation of the purchase price as we are finalizing the valuation of the net assets acquired, including the evaluation of certain acquired contracts, asset retirement obligations, and pension and other postretirement benefits obligations, among others. Additionally, we are finalizing the purchase price for the adjustments provided for in the purchase agreement. The Company expects to finalize the purchase price allocation no later than the first quarter of 2021. Additionally, in the event we identify changes to acquired deferred tax asset valuation allowances or liabilities related to uncertain tax positions during the one year measurement period, and they are related to new information obtained about facts and circumstances that existed as of the acquisition date, those changes are considered a measurement-period adjustment, and we record the offset to goodwill. The preliminary purchase price allocation is as follows:


	March 16,
	2020
Property, plant and equipment, net	$	2,468,946
Current assets		241,372
Regulatory assets		288,665
Goodwill		2,287,677
Other long-term assets		82,528
Total assets acquired		5,369,188

Current portion of long-term debt		5,136
Loans payable		181,000
Other current liabilities		182,622
Long-term debt		999,460
Deferred income taxes		245,701
Regulatory liabilities		134,875
Other long-term liabilities		155,050
Total liabilities assumed		1,903,844

Net assets acquired	$	3,465,344

The fair value of long-term debt was determined based on prevailing market prices for similar debt issuances as of March 16, 2020, which resulted in an adjustment to increase the carrying amount by $84,569. The fair value adjustment will be amortized over the remaining life of the debt.

Goodwill is attributable to the assembled workforce of Peoples, planned growth in new markets, and planned growth in rate base through continued investment in utility infrastructure. Goodwill recorded for the Peoples Gas Acquisition is not expected to be deductible for tax purposes.

The Company incurred transaction-related expenses for the Peoples Gas Acquisition, which consists of costs recorded as operations and maintenance expenses for the three months ended March 31, 2020 and 2019 of $25,397 and $6,646, respectively, primarily representing expenses associated with investment banking fees, employee related costs, obtaining regulatory approvals, legal expenses, and integration planning. Additionally, mark-to-market fair value adjustments of $34,782 associated with our interest rate swap agreements for debt issued related to this transaction were incurred in the three months ended March 31, 2019. The interest rate swap agreements were settled on April 24, 2019, which coincided with debt financings to partially fund the Peoples Gas Acquisition.

The results of Peoples have been included in our consolidated financial statements as of the Closing Date. Peoples contributed revenues of $38,544 and earnings of $13,398 for the period from the Closing Date to March 31, 2020. The following pro forma summary presents consolidated information as if the Peoples Gas Acquisition had occurred on January 1, 2019:


	Three Months Ended
	March 31,
		2020		2019
Operating revenues	$	536,653	$	598,663
Net income		137,292		68,075

The supplemental pro forma information is not necessarily representative of the actual results that may have occurred for these periods or of the results that may occur in the future. This supplemental pro forma information is based upon the historical operating results of Peoples for periods prior to the Closing Date, and is adjusted to reflect the effect of non-recurring acquisition-related costs, incurred in 2020 and 2019 as if they occurred on January 1, 2019, including $20,628 ($25,197 pre-tax) and $16,464 ($21,406 pre-tax) of expenses incurred in 2020 and 2019, respectively, primarily associated with investment banking fees, obtaining regulatory approvals, legal expenses and other direct costs of the Peoples Gas Acquisition, adjustments to reflect net acquisition financing as of January 1, 2019 of $35,812 ($46,129 pre-tax), the elimination of interest on debt that was not assumed in the acquisition of $7,084 ($9,962 pre-tax), and the elimination of a management fee charged quarterly to Peoples by its former parent company of $885 ($1,245 pre-tax).

On October 22, 2018, the Company obtained a commitment (the “Bridge Commitment”) from certain banks to provide senior unsecured bridge loans in an aggregate amount of up to $5,100,000 to, among other things, backstop the Peoples Gas Acquisition purchase price and refinancing of certain debt of the Company and Peoples. On March 16, 2020, as a result of our completion of the Peoples Gas Acquisition, the Company terminated the Bridge Commitment.

Associated with the approval of the Peoples Gas Acquisition from the Pennsylvania Public Utility Commission, the Company has committed to addressing the replacement of gathering pipe over a seven year timeframe for an estimated cost of $120,000, which will be recoverable through customer rates. Additionally, the Company has committed to provide $23,000 of customer rate credits before the end of the year 2020 to its natural gas utility customers and water and wastewater customers served by Aqua Pennsylvania, Inc. (“Aqua Pennsylvania”).

Water and Wastewater Utility Acquisitions

In January 2020, the Company acquired the water utility system assets of the City of Campbell, Ohio, which serves 3,126 customers. The total cash purchase price for the utility system was $7,500. The purchase price allocation for this acquisition consisted primarily of acquired property, plant and equipment.

In December 2019, the Company acquired the wastewater utility system assets of Cheltenham Township, Pennsylvania, which serves 9,887 customers for $50,250. The preliminary purchase price allocation for this acquisition consisted primarily of property, plant and equipment of $44,440 and goodwill of $5,810. Additionally, in 2019, the Company completed seven acquisitions of water and wastewater utility systems in three states adding 2,393 customers. The total purchase price of these utility systems consisted of $9,437 in cash. The purchase price allocation for these acquisitions consisted primarily of acquired property, plant and equipment. The pro forma effect of the utility systems acquired is not material either individually or collectively to the Company’s results of operations.

In September 2019, Company entered into a purchase agreement to acquire the wastewater utility system assets of the Delaware County Regional Water Quality Control Authority (“DELCORA”), which consists of approximately 16,000 customers, or the equivalent of 198,000 retail customers, in 42 municipalities in Southeast Pennsylvania for $276,500. The purchase price for this pending acquisition is subject to certain adjustments at closing, and is subject to regulatory approval, including the final determination of the fair value of the rate base acquired. We plan to finance the purchase price of this acquisition by the issuance of common stock and by utilizing our revolving credit facility until permanent debt is secured. Closing for our acquisition of DELCORA is expected to occur in late 2020 or early 2021, subject to the timing of the regulatory approval processes.

In November 2018, the Company entered into a purchase agreement to acquire the wastewater utility system assets of East Norriton Township, Pennsylvania, which serves approximately 4,950 customers for $21,000. The purchase price for this pending acquisition is subject to certain adjustments at closing, and is subject to regulatory approval, including the final determination of the fair value of the rate base acquired. We plan to finance the purchase price of this acquisition by utilizing our revolving credit facility until permanent debt is secured. Closing for our acquisition of East Norriton Township, Pennsylvania is expected to occur in the second quarter of 2020, subject to the timing of the regulatory approval processes.

In addition to the Company’s pending acquisitions of DELCORA and East Norriton Township, the Company has a purchase agreement to acquire the wastewater utility system assets of New Garden Township, Pennsylvania, which will add approximately 2,106 customers, for a total purchase price in cash of $29,500. We plan to finance the purchase price of this acquisition utilizing our revolving credit facility until permanent debt is secured. The purchase price for this acquisition is subject to certain adjustments at closing, and is subject to regulatory approval, including the final determination of the fair value of the rate base acquired. Closing for our acquisition of New Garden Township is expected to occur in the fourth quarter of 2020, subject to the timing of the regulatory approval processes.

Goodwill

3 Months Ended

Mar. 31, 2020

Goodwill [Abstract]

Goodwill

Note 4 – Goodwill

The following table summarizes the changes in the Company’s goodwill, by business segment:



	Regulated Water		Regulated Natural Gas		Other		Consolidated
Balance at December 31, 2019	$	58,981	$	-	$	4,841	$	63,822
Goodwill acquired		118		2,287,677		-		2,287,795
Reclassification to utility plant acquisition adjustment		(91)		-		-		(91)
Balance at March 31, 2020	$	59,008	$	2,287,677	$	4,841	$	2,351,526

On March 16, 2020, the Company completed the Peoples Gas Acquisition, which resulted in initial goodwill of $2,287,677, subject to adjustment over the one year measurement period. Refer to Note 3 – Acquisitions for information about the goodwill attributed to our Regulated Natural Gas segment.

The reclassification of goodwill to utility plant acquisition adjustment results from a mechanism approved by the applicable utility commission. The mechanism provides for the transfer over time, and the recovery through customer rates, of goodwill associated with some acquisition upon achieving specific objectives.

Assets Held For Sale

3 Months Ended

Mar. 31, 2020

Assets Held For Sale [Abstract]

Assets Held For Sale

Note 5 – Assets Held for Sale

In the fourth quarter of 2018, the Company decided to market for sale a water system in Virginia that serves approximately 500 customers. This water system was reported as assets held for sale in the Company’s consolidated balance sheet, and in April 2019, the Company completed the sale for proceeds of $1,882 and recognized a gain on sale of $403.

In the first quarter of 2017, the Company decided to market for sale a water system in Texas that serves approximately 265 customers. This water system is reported as assets held for sale in the Company’s

consolidated balance sheet, and pending completion of all regulatory approvals, the sale is expected to close in the third quarter of 2020.

Capitalization

3 Months Ended

Mar. 31, 2020

Capitalization [Abstract]

Capitalization

Note 6 – Capitalization

Private Placement

On March 29, 2019, the Company entered into a Stock Purchase Agreement (the “Stock Purchase Agreement”) with Canada Pension Plan Investment Board (the “Investor”), pursuant to which the Company has agreed to issue and sell to the Investor in a private placement (the “Private Placement”) 21,661,095 newly issued shares of common stock, par value $0.50 per share (the “Common Stock”). On March 16, 2020, in connection with the closing of the Peoples Gas Acquisition the Company closed on the Private Placement and received gross proceeds of $749,907, less expenses of $19,772. The Investor has agreed to certain transfer restrictions for a period of 15 months from the closing date of the Peoples Gas Acquisition.

The shares issued and sold to the Investor pursuant to the Private Placement were to be priced at the lower of (1) $34.62, which represents a 4.5% discount to the trailing 20 consecutive trading day volume weighted average price of the Common Stock ending on, and including, March 28, 2019, and (2) the volume weighted average price per share in the Company’s subsequent public offering of Common Stock to fund a portion of the Peoples Gas Acquisition. Based on the common stock offering noted below, the Private Placement was priced at $34.62 per share.

The Stock Purchase Agreement contains customary representations, warranties and covenants of the Company and the Investor, and the parties have agreed to indemnify each other for losses related to breaches of their respective representations and warranties. At the closing of the Private Placement, the Company reimbursed the Investor for reasonable out-of-pocket diligence expenses of $4,000.

Common Stock / Tangible Equity Unit Issuances

On April 23, 2019, the Company issued $1,293,750, less expenses of $30,651, of its common stock and $690,000, less expenses of $16,358, of its tangible equity units (the “Units”), with a stated amount of $50 per unit. These issuances were part of the permanent financing to close the Peoples Gas Acquisition. The common stock was issued at $34.62 per share and thus the Private Placement noted above was priced at $34.62 per share.

Each Unit consists of a prepaid stock purchase contract and an amortizing note due April 30, 2022, each issued by the Company. Unless earlier settled or redeemed, each stock purchase contract will automatically settle on April 30, 2022 (subject to postponement in limited circumstances) for between 1.1790 and 1.4442 shares of the Company’s common stock, subject to adjustment, based upon the applicable market value of the common stock, as described in the final prospectus supplement relating to the Units. During the first quarter of 2020, 1,979,570 stock purchase contracts were early settled by the holders of the contracts, resulting in the issuance of 2,335,654 shares of the Company’s common stock. The balance of stock purchase contracts is 7,711,138. The amortizing notes have an initial principal amount of $8.62909, or $119,081 in aggregate, and bear interest at a rate of 3.00% per year, and pay equal quarterly cash installments of $0.75000 per amortizing note (except for the July 30, 2019 installment payment, which was $0.80833 per amortizing note), that will constitute a payment of interest and a partial repayment of principal, and which cash payment in the aggregate will be equivalent to 6.00% per year with respect to each $50 stated amount of the Units. The amortizing notes represent unsecured senior obligations of the Company.

The issuance of the common stock and the Units (including the component stock purchase contracts and amortizing notes) were separate public issuances made by means of separate prospectus supplements pursuant to the Company’s universal “pay as you go” shelf registration statement, filed with the SEC in February 2018, which allows for the potential future offer and sale by us, from time to time, in one or more public offerings, of an indeterminate amount of the Company’s common stock, preferred stock, debt securities, and other securities specified therein at indeterminate prices.

The Company recorded the issuance of the purchase contract portion of the Units as additional paid-in-capital of $570,919, less allocable issuance costs of $13,530, in our financial statements. The Company recorded the amortizing notes portion of the Units of $119,081 as long-term debt and recorded allocable issuance costs of $2,828 as debt issuance costs.

Long-term Debt and Loans Payable

Subsequent to the period ended March 31, 2020, on April 3, 2020, the Company entered into a credit agreement that provided the Company with short-term borrowing capacity of up to $500,000 in unsecured term loans, which matures on April 2, 2021. The Company borrowed the full $500,000 on April 3, 2020, which is to be used for general corporate purposes and to strengthen its liquidity and cash position, and maximize its financial flexibility in light of the uncertainty surrounding the impact of the COVID-19 pandemic. The proceeds remain on deposit, and the Company will evaluate the timing of repayment based on the development of COVID-19 and its impact on the business. The term loans bear interest at either the Adjusted LIBO Rate or the Alternate Base Rate, as each such term is defined in the Term Loan Agreement. Amounts under the term loan cannot be re-borrowed upon repayment. Additionally, on April 13, 2020, the Company issued $1,100,000 of long-term debt, less expenses of approximately $10,900, of which $500,000 is due in 2030, and $600,000 is due in 2050 with interest rates of 2.704% and 3.351%, respectively. The Company used the proceeds from this issuance to repay in full the borrowings of $181,000 of short-term debt assumed in the Peoples Gas Acquisition, $150,000 of short-term debt issued on March 13, 2020, and to repay borrowings under its existing five year unsecured revolving credit agreement. Further, on May 1, 2020, Aqua Pennsylvania issued $175,000 of first mortgage bonds, of which $75,000 is due in 2051, $50,000 is due in 2055, and $50,000 is due in 2056 with interest rates of 3.49%, 3.54%, and 3.55%, respectively. The proceeds from these bonds were used to repay existing indebtedness and for general corporate purposes.

On March 13, 2020, in connection with the closing of the Peoples Gas Acquisition, the Company amended its existing five year unsecured revolving credit agreement, which expires in December 2023, to provide the Company with an additional $300,000 of borrowing capacity, and pursuant to the terms of the revolving credit facility, our borrowing capacity thereunder was further increased by $150,000 upon the completion of the Peoples Gas Acquisition on March 16, 2020. As a result of these increases, our total borrowing capacity increased to $1,000,000. Further, on March 13, 2020, the Company entered into a 364 day $150,000 credit agreement pursuant to which the Company borrowed $150,000, which was used to fund a portion of the Peoples Gas Acquisition in lieu of additional borrowings under our revolving credit facility, which was subsequently repaid with the proceeds from the Company’s April 2020 long-term debt issuance noted above.

The Company completed the Peoples Gas Acquisition on March 16, 2020, which resulted in the assumption of $1,101,091 of indebtedness, which includes $920,091 of senior notes and $181,000 of short-term debt. The senior notes have maturities ranging from 2020 to 2032 and interest rates that range from 2.90% to 6.42%. The short-term debt assumed at closing was repaid with the proceeds from the Company’s April 2020 long-term debt issuance noted above.

On April 26, 2019, the Company issued $900,000 of long-term debt (the “Senior Notes”), less expenses of $7,931, of which $400,000 is due in 2029, and $500,000 is due in 2049 with interest rates of 3.566% and 4.276%, respectively.

The Company used the net proceeds from the April 2019 issuance of Senior Notes, together with the net proceeds from the common stock offering and tangible equity unit offering noted above, as well as the proceeds from the Private Placement of common stock noted above, to (1) secure funding for the Peoples Gas Acquisition, (2) complete the redemption of $313,500 aggregate principal amount of certain of the Company’s outstanding notes noted below, (3) pay related costs and expenses, and (4) for general corporate purposes.

On May 18, 2019, the Company redeemed $313,500 of the Company’s outstanding notes (the “Company Debt Refinancing”) that had maturities ranging from 2019-2037 and interest rates ranging from 3.57-5.83%. Additionally, the Company Debt Refinancing was subject to a make whole payment of $25,237, and $18,528 of this payment was expensed in 2019 and was presented in the consolidated statements of operations and comprehensive income on the line item “loss on debt extinguishment.” The balance of the payment, or $6,709, was deferred as a regulatory asset, as it represents an amount by which the Company expects to receive prospective rate recovery.

Interest Rate Swap Agreements

3 Months Ended

Mar. 31, 2020

Interest Rate Swap Agreements [Abstract]

Interest Rate Swap Agreements

Note 7 – Interest Rate Swap Agreements

In October 2018, the Company entered into interest rate swap agreements to mitigate interest rate risk associated with an anticipated $850,000 of future debt issuances to fund a portion of the Peoples Gas Acquisition and refinance a portion of the Company’s borrowings. On April 24, 2019, the Company settled the interest rate swap agreements upon issuance of $900,000 of long-term debt used to finance a portion of the purchase price of the Peoples Gas Acquisition and redeem $313,500 of the Company’s existing debt. The settlement resulted in a payment by the Company of $83,520 in April 2019.

The interest rate swaps did not qualify for hedge accounting, and any changes in the fair value of the swaps was included in our earnings. The interest rate swaps were classified as financial derivatives used for non-trading activities. Other than the interest rate swaps, the Company had no other derivative instruments. The Company recorded the fair value of the interest rate swaps by discounting the future net cash flows associated with the debt issuance utilizing level 2 methods and assumptions and recognized either an asset or liability at the balance sheet date.

The following table provides a summary of the amounts recognized in earnings for our interest rate swap agreements:


		Amount of Gain (Loss) Recognized in Income on Derivatives
		Three Months Ended March 31,
	Location of Gain (Loss) Recognized	2019
Derivatives not designated as hedging instrument:
Interest rate swaps	Other income (expense)	$	(34,782)

Financial Instruments

3 Months Ended

Mar. 31, 2020

Financial Instruments [Abstract]

Financial Instruments

Note 8 – Financial Instruments

The Company follows the FASB’s accounting guidance for fair value measurements and disclosures, which defines fair value and establishes a framework for using fair value to measure assets and liabilities. That framework provides a fair value hierarchy that prioritizes the inputs to valuation techniques used to

measure fair value. The hierarchy gives highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to unobservable inputs (Level 3 measurements). The three levels of the fair value hierarchy are as follows:

Level 1: unadjusted quoted prices in active markets for identical assets or liabilities that the Company has the ability to access;

Level 2: inputs other than Level 1 that are observable, either directly or indirectly, such as quoted market prices in active markets for similar assets or liabilities, quoted prices for identical or similar assets or liabilities in non-active markets, or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities; or

Level 3: inputs that are unobservable and significant to the fair value measurement.

The asset’s or liability’s fair value measurement level within the fair value hierarchy is based on the lowest level of any input that is significant to the fair value measurement. Valuation techniques used need to maximize the use of observable inputs and minimize the use of unobservable inputs. There have been no changes in the valuation techniques used to measure fair value, or asset or liability transfers between the levels of the fair value hierarchy for the quarter ended March 31, 2020.

Financial instruments are recorded at carrying value in the financial statements and approximate fair value as of the dates presented. The fair value of these instruments is disclosed below in accordance with current accounting guidance related to financial instruments.

The fair value of loans payable is determined based on its carrying amount and utilizing Level 1 methods and assumptions. As of March 31, 2020 and December 31, 2019, the carrying amount of the Company’s loans payable was $381,005 and $25,724, respectively, which equates to their estimated fair value. The fair value of cash and cash equivalents, which is comprised of uninvested cash and prior to our completion of the Peoples Gas Acquisition on March 16, 2020, the proceeds from the April 2019 issuances of common stock, tangible equity units, and long-term debt for the Peoples Gas Acquisition, which were held in an interest-bearing account, is determined based on Level 1 methods and assumptions. As of March 31, 2020, and December 31, 2019, the carrying amounts of the Company's cash and cash equivalents was $31,848 and $1,868,922, respectively, which equates to their fair value. The Company’s assets underlying the deferred compensation and non-qualified pension plans are determined by the fair value of mutual funds, which are based on quoted market prices from active markets utilizing Level 1 methods and assumptions. As of March 31, 2020, and December 31, 2019, the carrying amount of these securities was $22,959 and $23,419, respectively, which equates to their fair value, and is reported in the consolidated balance sheet in deferred charges and other assets.

Unrealized gain and losses on equity securities held in conjunction with our non-qualified pension plan is as follows:



	Three Months Ended
	March 31,
	2020		2019
Net gain (loss) recognized during the period on equity securities	$	(54)	$	133
Less: net gain / loss recognized during the period on equity securities sold during the period		-		-
Unrealized gain (loss) recognized during the reporting period on equity securities still held at the reporting date	$	(54)	$	133

The net gain recognized on equity securities is presented on the consolidated statements of operations and comprehensive income on the line item “Other.”

The carrying amounts and estimated fair values of the Company’s long-term debt is as follows:

The fair value of long-term debt has been determined by discounting the future cash flows using current market interest rates for similar financial instruments of the same duration utilizing Level 2 methods and assumptions.

The Company’s customers’ advances for construction have a carrying value of $99,447 as of March 31, 2020, and $95,556 as of December 31, 2019. Their relative fair values cannot be accurately estimated because future refund payments depend on several variables, including new customer connections, customer consumption levels, and future rates. Portions of these non-interest-bearing instruments are payable annually through 2030 and amounts not paid by the respective contract expiration dates become non-refundable. The fair value of these amounts would, however, be less than their carrying value due to the non-interest-bearing feature.

- Definition

The entire disclosure for the fair value of financial instruments (as defined), including financial assets and financial liabilities (collectively, as defined), and the measurements of those instruments as well as disclosures related to the fair value of non-financial assets and liabilities. Such disclosures about the financial instruments, assets, and liabilities would include: (1) the fair value of the required items together with their carrying amounts (as appropriate); (2) for items for which it is not practicable to estimate fair value, disclosure would include: (a) information pertinent to estimating fair value (including, carrying amount, effective interest rate, and maturity, and (b) the reasons why it is not practicable to estimate fair value; (3) significant concentrations of credit risk including: (a) information about the activity, region, or economic characteristics identifying a concentration, (b) the maximum amount of loss the entity is exposed to based on the gross fair value of the related item, (c) policy for requiring collateral or other security and information as to accessing such collateral or security, and (d) the nature and brief description of such collateral or security; (4) quantitative information about market risks and how such risks are managed; (5) for items measured on both a recurring and nonrecurring basis information regarding the inputs used to develop the fair value measurement; and (6) for items presented in the financial statement for which fair value measurement is elected: (a) information necessary to understand the reasons for the election, (b) discussion of the effect of fair value changes on earnings, (c) a description of [similar groups] items for which the election is made and the relation thereof to the balance sheet, the aggregate carrying value of items included in the balance sheet that are not eligible for the election; (7) all other required (as defined) and desired information.

+ References + Details

Net Income Per Common Share

3 Months Ended

Mar. 31, 2020

Net Income Per Common Share [Abstract]

Net Income Per Common Share

Note 9 – Net Income per Common Share

Basic net income per common share is based on the weighted average number of common shares outstanding and the minimum number of shares to be issued upon settlement of the stock purchase contracts issued under the tangible equity units. Diluted net income per common share is based on the weighted average number of common shares outstanding, potentially dilutive shares, and the expected number of shares to be issued upon settlement of the stock purchase contracts issued under the tangible equity units, based on the applicable market value of our common stock. The dilutive effect of employee stock-based compensation is included in the computation of diluted net income per common share. The dilutive effect of stock-based compensation is calculated using the treasury stock method and expected proceeds upon exercise or issuance of the stock-based compensation. The treasury stock method assumes that the proceeds from stock-based compensation are used to purchase the Company’s common stock at the average market price during the period. The following table summarizes the shares, in thousands, used in computing basic and diluted net income per common share:



	Three Months Ended
	March 31,
	2020	2019
Average common shares outstanding during the period for basic computation	236,122	178,213
Effect of dilutive securities:
Issuance of common stock from private placement	17,853	-
Tangible equity units	607	-
Employee stock-based compensation	472	339
Average common shares outstanding during the period for diluted computation	255,054	178,552

For the three months ended March 31, 2020, the average common shares outstanding during the period for diluted computation reflects the impact of the issuance of common stock from the March 16, 2020 private placement as if the shares were issued on January 1, 2020.

For the three months ended March 31, 2020, the average common shares outstanding during the period for basic computation includes the weighted-average impact of 10,215,189 shares, based on the minimum number of shares of 9,091,432 to be issued in April 2022 upon settlement of the stock purchase contracts issued in April 2019 under the tangible equity units. Further, for the three months ended March 31, 2020, average common shares outstanding during the period for diluted computation includes the impact of the additional shares to be issued in April 2022 upon settlement of the stock purchase contracts based on the threshold appreciation price of $42.41.

For the three months ended March 31, 2020, all of the Company’s employee stock options were included in the calculations of diluted net income per share as the calculated cost to exercise employee stock options was less than the average market price of the Company’s common stock during this period. For the three months ended March 31, 2019, employee stock options to purchase 776,211 shares of common stock were excluded from the calculation of diluted net income per share as the calculated cost to exercise the stock options was greater than the average market price of the Company’s common stock

during this period. Additionally, the dilutive effect of performance share units and restricted share units granted are included in the Company’s calculation of diluted net income per share.

Stock-Based Compensation

3 Months Ended

Mar. 31, 2020

Stock-Based Compensation [Abstract]

Stock-Based Compensation

Note 10 – Stock-based Compensation

Under the Company’s Amended and Restated Equity Compensation Plan, (the “Plan”) approved by the Company’s shareholders on May 2, 2019, to replace the 2004 Equity Compensation Plan, stock options, stock units, stock awards, stock appreciation rights, dividend equivalents, and other stock-based awards may be granted to employees, non-employee directors, and consultants and advisors. The Plan authorizes 6,250,000 shares for issuance under the Plan. A maximum of 3,125,000 shares under the Plan may be issued pursuant to stock awards, stock units and other stock-based awards, subject to adjustment as provided in the Plan. During any calendar year, no individual may be granted (i) stock options and stock appreciation rights under the Plan for more than 500,000 shares of Company stock in the aggregate or (ii) stock awards, stock units or other stock-based awards under the Plan for more than 500,000 shares of Company stock in the aggregate, subject to adjustment as provided in the Plan. Awards to employees and consultants under the Plan are made by a committee of the Board of Directors of the Company, except that with respect to awards to the Chief Executive Officer, the committee recommends those awards for approval by the non-employee directors of the Board of Directors. In the case of awards to non-employee directors, the Board of Directors makes such awards. At March 31, 2020, 2,447,574 shares were still available for issuance under the 2009 Plan. No further grants may be made under the Company’s 2004 Equity Compensation Plan.

Performance Share Units – A performance share unit (“PSU”) represents the right to receive a share of the Company’s common stock if specified performance goals are met over the three year performance period specified in the grant, subject to exceptions through the respective vesting period, which is generally three years. Each grantee is granted a target award of PSUs and may earn between 0% and 200% of the target amount depending on the Company’s performance against the performance goals. The following table provides compensation costs for stock-based compensation related to PSUs:



	Three Months Ended
	March 31,
	2020		2019
Stock-based compensation within operations and maintenance expenses	$	510	$	997
Income tax benefit		144		227

The following table summarizes the PSU transactions for the three months ended March 31, 2020:



	Number	Weighted
	of	Average
	Share Units	Fair Value
Nonvested share units at beginning of period	261,398	$	16.35
Granted	118,924		52.09
Performance criteria adjustment	18,954		36.77
Forfeited	(653)		36.09
Share units issued	(169,352)		25.75
Nonvested share units at end of period	229,271

A portion of the fair value of PSUs was estimated at the grant date based on the probability of satisfying the market-based conditions using the Monte Carlo valuation method, which assesses probabilities of various outcomes of market conditions. The other portion of the fair value of the PSUs is based on the fair market value of the Company’s stock at the grant date, regardless of whether the market-based condition is satisfied. The per unit weighted-average fair value at the date of grant for PSUs granted during the three months ended March 31, 2020 was $52.09. The Company did not grant PSUs for the three months ended March 31, 2019. The fair value of each PSU grant is amortized monthly into compensation expense on a straight-line basis over their respective vesting periods, generally 36 months. The accrual of compensation costs is based on the Company’s estimate of the final expected value of the award, and is adjusted as required for the portion based on the performance-based condition. The Company assumes that forfeitures will be minimal, and recognizes forfeitures as they occur, which results in a reduction in compensation expense. As the payout of the PSUs includes dividend equivalents, no separate dividend yield assumption is required in calculating the fair value of the PSUs. The recording of compensation expense for PSUs has no impact on net cash flows.

Restricted Stock Units – A restricted stock unit (“RSU”) represents the right to receive a share of the Company’s common stock. RSUs are eligible to be earned at the end of a specified restricted period, which is generally three years, beginning on the date of grant. The Company assumes that forfeitures will be minimal and recognizes forfeitures as they occur, which results in a reduction in compensation expense. As the payout of the RSUs includes dividend equivalents, no separate dividend yield assumption is required in calculating the fair value of the RSUs. The following table provides the compensation cost and income tax benefit for stock-based compensation related to RSUs:



	Three Months Ended
	March 31,
	2020		2019
Stock-based compensation within operations and maintenance expenses	$	486	$	425
Income tax benefit		136		120

The following table summarizes the RSU transactions for the three months ended March 31, 2020:



	Number	Weighted
	of	Average
	Stock Units	Fair Value
Nonvested stock units at beginning of period	141,884	$	34.39
Granted	68,901		47.10
Stock units vested and issued	(38,643)		31.05
Forfeited	(90)		36.01
Nonvested stock units at end of period	172,052		40.17

The per unit weighted-average fair value at the date of grant for RSUs granted during the three months ended March 31, 2020 and 2019 was $47.10 and $36.01, respectively.

Stock Options – A stock option represents the option to purchase a number of shares of common stock of the Company as specified in the stock option grant agreement at the exercise price per share as determined by the closing market price of our common stock on the grant date. Stock options are exercisable in installments of 33% annually, starting one year from the grant date and expire 10 years from the grant date, subject to satisfaction of designated performance goals. The fair value of each stock option is amortized into compensation expense using the graded-vesting method, which results in the recognition of compensation costs over the requisite service period for each separately vesting tranche of the stock options as though the stock options were, in substance, multiple stock option grants. The following table provides the compensation cost and income tax benefit for stock-based compensation related to stock options:



	Three Months Ended
	March 31,
	2020		2019
Stock-based compensation within operations and maintenance expenses	$	501	$	328
Income tax benefit		142		92

The fair value of options was estimated at the grant date using the Black-Scholes option-pricing model. The following assumptions were used in the application of this valuation model:


	2019
Expected term (years)		5.47
Risk-free interest rate		2.53%
Expected volatility		17.7%
Dividend yield		2.44%
Grant date fair value per option	$	5.25

Historical information was the principal basis for the selection of the expected term and dividend yield. The expected volatility is based on a weighted-average combination of historical and implied volatilities

over a time period that approximates the expected term of the option. The risk-free interest rate was selected based upon the U.S. Treasury yield curve in effect at the time of grant for the expected term of the option.

The Company did not grant stock options for the three months ended March 31, 2020.

The following table summarizes stock option transactions for the three months ended March 31, 2020:



		Weighted		Weighted
		Average		Average	Aggregate
		Exercise		Remaining	Intrinsic
	Shares	Price		Life (years)	Value
Outstanding at beginning of period	1,041,756	$	34.22
Granted	-		-
Forfeited	(9,516)		35.75
Exercised	(56,106)		16.93
Outstanding at end of period	976,134	$	35.20	8.6	$	5,366

Exercisable at end of period	438,341	$	34.43	8.2	$	2,750

Restricted Stock – Restricted stock awards provide the grantee with the rights of a shareholder, including the right to receive dividends and to vote such shares, but not the right to sell or otherwise transfer the shares during the restriction period. Restricted stock awards result in compensation expense that is equal to the fair market value of the stock on the date of the grant and is amortized ratably over the restriction period. The Company expects forfeitures of restricted stock to be de minimis. The following table provides the compensation cost and income tax benefit for stock-based compensation related to restricted stock:


	Three Months Ended
	March 31,
	2020
Stock-based compensation within operations and maintenance expenses	$	18
Income tax benefit		5

The following table summarizes restricted stock transactions for the three months ended March 31, 2020:


	Number	Weighted
	of	Average
	Shares	Fair Value
Nonvested restricted stock at beginning of period	-	$	-
Granted	11,952		33.47
Vested	-		-
Nonvested restricted stock at end of period	11,952	$	33.47

The weighted-average fair value at the date of grant for restricted stock awards granted during the three months ended March 31, 2020 was $33.47. The Company did not grant restricted stock for the three months ended March 31, 2019.

Stock Awards – Stock awards represent the issuance of the Company’s common stock, without restriction. The issuance of stock awards results in compensation expense that is equal to the fair market value of the stock on the grant date and is expensed immediately upon grant. The following table provides the compensation cost and income tax benefit for stock-based compensation related to stock awards:



	Three Months Ended
	March 31,
	2020		2019
Stock-based compensation within operations and maintenance expenses	$	175	$	180
Income tax benefit		51		52

The following table summarizes stock award transactions for the three months ended March 31, 2020:




	Number	Weighted
	of	Average
	Stock Awards	Fair Value
Nonvested stock awards at beginning of period	-	$	-
Granted	4,207		41.58
Vested	(4,207)		41.58
Nonvested stock awards at end of period	-		-

The weighted-average fair value at the date of grant for stock awards granted during the three months ended March 31, 2020 and 2019 was $41.58 and $36.73, respectively.

Pension Plans And Other Postretirement Benefits

3 Months Ended

Mar. 31, 2020

Pension Plans And Other Postretirement Benefits [Abstract]

Pension Plans And Other Postretirement Benefits

Note 11 – Pension Plans and Other Postretirement Benefits

The Company maintains qualified defined benefit pension plan (the “Pension Plans”), a nonqualified pension plan, and other postretirement benefit plans for certain of its employees. The net periodic benefit cost is based on estimated values and an extensive use of assumptions about the discount rate, expected return on plan assets, the rate of future compensation increases received by the Company’s employees, mortality, turnover, and medical costs. The following tables provide the components of net periodic benefit cost for the Company’s legacy pension and other postretirement benefit plans:



	Pension Benefits
	Three Months Ended
	March 31,
	2020		2019
Service cost	$	763	$	680
Interest cost		2,540		2,954
Expected return on plan assets		(3,938)		(3,818)
Amortization of prior service cost		148		155
Amortization of actuarial loss		1,992		1,982
Net periodic benefit cost	$	1,505	$	1,953

	Other
	Postretirement Benefits
		Three Months Ended
		March 31,
	2020		2019
Service cost	$	217	$	205
Interest cost		677		750
Expected return on plan assets		(675)		(621)
Amortization of prior service credit		(116)		(116)
Amortization of actuarial loss		156		166
Net periodic benefit cost	$	259	$	384

The Company presents the components of net periodic benefit cost other than service cost in the consolidated statements of operations and comprehensive income on the line item “Other.”

During the first three months of 2020 the Company did not make cash contributions to its Pension Plans, and intends to make cash contributions of $17,566 to the Pension Plans during the remainder of 2020.

On March 16, 2020, we completed the Peoples Gas Acquisition and assumed the pension and other postretirement benefit plans for its employees. The operating results of Peoples has been included in our consolidated financial statements since the date of acquisition. As such, the following table presents the components of net periodic benefit costs for the period since March 16, 2020 that are related to the Peoples’ pension and other postretirement benefit plans acquired:


	Three Months Ended
	March 31, 2020
	Pension Benefits		Other Postretirement Benefits
Service cost	$	40	$	77
Interest cost		192		54
Expected return on plan assets		(302)		(76)
Net periodic benefit (income) cost	$	(70)	$	55

Rate Activity

3 Months Ended

Mar. 31, 2020

Rate Activity [Abstract]

Rate Activity

Note 12 – Rate Activity

During the first three months of 2020, the Company’s water and wastewater utility operating divisions in Indiana and Ohio were granted base rate increases designed to increase total operating revenues on an annual basis by $1,006. Further, during the first three months of 2020, the Company’s water and wastewater utility operating divisions in Illinois and North Carolina received approval to bill infrastructure rehabilitation surcharges designed to increase total operating revenues on an annual basis by $3,775.

In August 2018, Aqua Pennsylvania filed for a base rate increase in water and wastewater rates for its customers. In May 2019 the Company received an order from the Pennsylvania Public Utility Commission resulting in an increase of $47,000 in annual revenue, and new rates went into effect on May 24, 2019. The rates in effect at the time of the filing also included $29,493 in Distribution System Improvement Charges (“DSIC”), which was 7.5% above prior base rates. Consequently, the aggregate base rates increased by $76,493 since the last base rate increase and the DSIC was reset to zero.

Taxes Other Than Income Taxes

3 Months Ended

Mar. 31, 2020

Taxes Other Than Income Taxes [Abstract]

Taxes Other Than Income Taxes

Note 13 – Taxes Other than Income Taxes

The following table provides the components of taxes other than income taxes:



	Three Months Ended
	March 31,
	2020		2019
Property	$	7,033	$	6,466
Gross receipts, excise and franchise		3,122		3,220
Payroll		4,280		3,481
Regulatory assessments		700		747
Pumping fees		1,081		969
Other		220		86
Total taxes other than income	$	16,436	$	14,969

Segment Information

3 Months Ended

Mar. 31, 2020

Segment Information [Abstract]

Segment Information

Note 14 – Segment Information

On March 16, 2020, the Company completed the Peoples Gas Acquisition, marking the Company’s entrance into the regulated natural gas business. The operating results of Peoples are included in the consolidated financial statements for the period since the acquisition date. As a result, the Company now has eleven operating segments and two reportable segments. The Regulated Water segment is comprised of eight operating segments representing its water and wastewater regulated utility companies, which are organized by the states where the Company provides water and wastewater services. The eight water and wastewater utility operating segments are aggregated into one reportable segment, because each of these operating segments has the following similarities: economic characteristics, nature of services, production processes, customers, water distribution or wastewater collection methods, and the nature of the regulatory environment. The Regulated Natural Gas segment is comprised of one operating segment representing natural gas utility companies, acquired in the Peoples Gas Acquisition, for which the Company provides natural gas distribution services.

In addition to the Company’s two reportable segments, we include two of our operating segments within the Other category below. These segments are not quantitatively significant and are comprised of Aqua Infrastructure and Aqua Resources. Aqua Infrastructure provides non-utility raw water supply services for firms in the natural gas drilling industry. Aqua Resources manages a water system operating and maintenance contract and offers, through a third-party, water and sewer service line protection solutions and repair services to households. In addition to these segments, Other is comprised of business activities not included in the reportable segments, including corporate costs that have not been allocated to the Regulated Water and Regulated Natural Gas segments and intersegment eliminations. Corporate costs include general and administrative expenses, and interest expense. The Company reports these corporate costs within Other as they relate to corporate-focused responsibilities and decisions and are not included in internal measures of segment operating performance used by the Company to measure the underlying performance of the operating segments.

The following table presents information about the Company’s reportable segments, including the operating results and capital expenditures of the Regulated Natural Gas segment for the period since the completion of the Peoples Gas Acquisition on March 16, 2020:



	Three Months Ended								Three Months Ended
	March 31, 2020								March 31, 2019
	Regulated Water		Regulated Natural Gas		Other		Consolidated		Regulated Water		Other		Consolidated
Operating revenues	$	216,197	$	38,544	$	844	$	255,585	$	200,220	$	912	$	201,132
Operations and maintenance expense		73,694		8,823		24,120		106,637		74,338		4,976		79,314
Purchased gas		-		12,770		-		12,770		-		-		-
Depreciation and amortization		41,511		4,569		165		46,245		39,261		149		39,410
Operating income (loss)		86,506		11,715		(24,724)		73,497		72,865		(5,426)		67,439
Interest expense, net		25,495		1,887		2,705		30,087		23,658		4,192		27,850
Allowance for funds used during construction		2,912		36		-		2,948		4,056		-		4,056
Change in fair value of interest rate swap agreements		-		-		-		-		-		34,782		34,782
Equity (loss) earnings in joint venture		-		-		(127)		(127)		-		543		543
Provision for income taxes (benefit)		3,127		(3,448)		(6,803)		(7,124)		936		(9,106)		(8,170)
Net income (loss)		59,934		13,398		(21,551)		51,781		52,169		(35,245)		16,924
Capital expenditures		110,606		8,128		-		118,734		133,792		-		133,792


	March 31,		December 31,
	2020		2019
Total assets:
Regulated water	$	7,362,550	$	7,269,404
Regulated natural gas		5,362,064		-
Other		204,372		2,092,581
Consolidated	$	12,928,986	$	9,361,985

Commitments And Contingencies	3 Months Ended
Commitments And Contingencies	Mar. 31, 2020
Commitments And Contingencies [Abstract]
Commitments And Contingencies	Note 15 – Commitments and Contingencies The Company is routinely involved in various disputes, claims, lawsuits and other regulatory and legal matters, including both asserted and unasserted legal claims, in the ordinary course of business. The status of each such matter, referred to herein as a loss contingency, is reviewed and assessed in accordance with applicable accounting rules regarding the nature of the matter, the likelihood that a loss will be incurred, and the amounts involved. As of March 31, 2020, the aggregate amount of $21,769 is accrued for loss contingencies and is reported in the Company’s consolidated balance sheet as other accrued liabilities and other liabilities. These accruals represent management’s best estimate of probable loss (as defined in the accounting guidance) for loss contingencies or the low end of a range of losses if no single probable loss can be estimated. For some loss contingencies, the Company is unable to estimate the amount of the probable loss or range of probable losses. Further, the Company has insurance coverage for certain of these loss contingencies, and as of March 31, 2020, estimates that approximately $7,685 of the amount accrued for these matters are probable of recovery through insurance, which amount is also reported in the Company’s consolidated balance sheet as deferred charges and other assets, net. During a portion of 2019, the Company initiated a do not consume advisory for some of its water customers in one division served by the Company’s Illinois subsidiary. Although the Company had determined that it is reasonably possible that a fine or penalty may be incurred, it cannot estimate the possible range of loss at this time and no liability has been accrued for these future costs. In addition, on September 3, 2019, two individuals, on behalf of themselves and those similarly situated, commenced an action against the Company’s Illinois subsidiary in the State court in Will County, Illinois related to this do not consume advisory. The complaint seeks class action certification, attorney's fees, and "damages, including, but not limited to, out of pocket damages, and discomfort, aggravation, and annoyance” based upon the water provided by the Company’s subsidiary to a discrete service area in University Park Illinois. The complaint contains allegations of damages as a result of supplied water that exceeded the standards established by the federal Lead and Copper Rule. The complaint is in the discovery phase and class certification has not been granted. The Company plans to vigorously defend against this claim. A claim for the expenses incurred related to such claim has been submitted to the Company’s insurance carrier for potential recovery of a portion of these costs. The Company continues to assess the potential loss contingency on this matter. While the final outcome of this claim cannot be predicted with certainty, and unfavorable outcomes could negatively impact the Company, at this time in the opinion of management, the final resolution of this matter is not expected to have a material adverse effect on the Company’s financial position, results of operations or cash flows. Although the results of legal proceedings cannot be predicted with certainty, other than disclosed above, there are no other pending legal proceedings to which the Company or any of its subsidiaries is a party or to which any of its properties is the subject that are material or are expected to have a material effect on the Company’s financial position, results of operations, or cash flows. In addition to the aforementioned loss contingencies, the Company self-insures its employee medical benefit program, and maintains stop-loss coverage to limit the exposure arising from these claims. The Company’s reserve for these claims totaled $1,852 at March 31, 2020 and represents a reserve for unpaid claim costs, including an estimate for the cost of incurred but not reported claims. Associated with the approval of the Peoples Gas Acquisition from the Pennsylvania Public Utility Commission, the Company has committed to addressing the replacement of gathering pipe over a seven year timeframe for an estimated cost of $120,000, which will be recoverable through customer rates. Additionally, the Company has committed to provide $23,000 of customer rate credits before the end of the year 2020 to its natural gas utility customers and water and wastewater customers served by Aqua Pennsylvania, Inc.

Income Taxes

3 Months Ended

Mar. 31, 2020

Income Taxes [Abstract]

Income Taxes

Note 16 – Income Taxes

On March 16, 2020, the Company completed the Peoples Gas Acquisition. On March 31, 2020, the Company changed the method of tax accounting for certain qualifying infrastructure investments at its Peoples Natural Gas subsidiary, our largest natural gas subsidiary in Pennsylvania. This change allows a tax deduction for qualifying utility asset improvement costs that were formerly capitalized for tax purposes. The Company is performing an analysis to determine the ultimate amount of qualifying utility asset improvement costs eligible to be deducted under the IRS’s final tangible property regulations that will be reflected on its 2020 Federal Tax Return to be filed in October 2021. As a result, the Company has estimated a portion of its infrastructure investment at Peoples Natural Gas since the acquisition date that will qualify as a utility system repairs deduction for 2020. Consistent with the Company’s accounting for differences between book and tax expenditures in Pennsylvania, the Company is utilizing the flow-through method to account for this timing difference and has reduced income tax expense in the

first quarter of 2020 by $5,938. In addition, the calculation to determine the income tax benefits for qualifying capital expenditures made prior to March 16, 2020 (“catch-up adjustment”) has not yet been finalized. When the analysis is complete, the Company intends to record a regulatory liability for these tax benefits that will remain on the consolidated balance sheet pending regulatory guidance.

The Company’s effective tax rate was (16.0)% and (93.4)% for the three months ended March 31, 2020 and 2019, respectively. The increase in the effective tax rate for this period can be attributed to an increase in our income before income taxes as compared to the prior period. The statutory Federal tax rate is 21% for three months ended March 31, 2020 and 2019. For states with a corporate net income tax, the state corporate net income tax rates range from 2.5% to 9.99% for all periods presented. In determining its interim tax provision, the Company reflects its estimated permanent and flow-through tax differences for the taxable year, including the basis difference for the adoption of the tangible property regulations. Qualifying utility asset improvement costs and the amortization of excess deferred income taxes caused the year-to-date effective tax rate to be significantly different from the statutory rate.

In connection with the completion of the Peoples Gas Acquisition, in the event the Company identifies changes to acquired deferred tax asset valuation allowances or liabilities related to uncertain tax positions during the one year measurement period, and they are related to new information obtained about facts and circumstances that existed as of the acquisition date, those changes are considered a measurement-period adjustment, and the offset will be an adjustment to goodwill. The Company records all other changes to deferred tax asset valuation allowances and liabilities related to uncertain tax positions in current-period income tax expense.

In response to COVID-19, President Donald Trump signed into law the Coronavirus Aid, Relief, and Economic Security (“CARES”) Act on March 27, 2020. The CARES Act provides numerous tax provisions and other stimulus measures, including temporary changes regarding the prior and future utilization of net operating losses, temporary changes to the prior and future limitations on interest deductions, temporary suspension of certain payment requirements for the employer portion of Social Security taxes, technical corrections from prior tax legislation for tax depreciation of certain qualified improvement property, and the creation of certain refundable employee retention credits. We evaluated the provisions of the CARES Act and do not anticipate that the associated impacts, if any, will have a material effect on our financial position or liquidity.

Recent Accounting Pronouncements

3 Months Ended

Mar. 31, 2020

Recent Accounting Pronouncements [Abstract]

Recent Accounting Pronouncements

Note 17 – Recent Accounting Pronouncements

Pronouncements to be adopted upon the effective date:

In March 2020, the FASB issued accounting guidance that provides companies with optional guidance, including expedients and exceptions for applying generally accepted accounting principles to contracts and other transactions affected by reference rate reform, such as the London Interbank Offered Rate (LIBOR). The accounting guidance was effective upon issuance and generally can be applied to applicable contract modifications through December 31, 2022. The Company is evaluating the impact of this accounting guidance.

In December 2019, the FASB issued updated accounting guidance that simplifies the accounting for income taxes. The updated guidance removes certain exceptions to the general principles of accounting for income taxes to reduce the cost and complexity of its application, including the accounting for intraperiod tax allocation when there is a loss from continuing operations and income or a gain from other items, deferred tax liabilities for equity method investments when a foreign subsidiary becomes an equity method investment or when a foreign equity method investment becomes a subsidiary, and calculating income taxes in an interim period when a year-to-date loss exceeds the anticipated loss for the year. Additionally, the updated guidance clarifies and amends the existing guidance over accounting for franchise taxes and other taxes partially based on income, an entity’s tax basis of goodwill, separate entity financial statements, interim recognition of enactment of tax laws or rate changes, and improvements to the Codification for income taxes related to employee stock ownership plans and investments in qualified affordable housing projects accounted for using the equity method. The updated accounting guidance is effective for fiscal years beginning after December 15, 2020 and interim periods within those fiscal years with early adoption permitted. The Company is evaluating the requirements of the updated guidance to determine the impact of adoption.

In August 2018, the FASB issued updated accounting guidance that modifies the disclosures required for defined benefit pension and other postretirement benefit plans. The modifications in this update remove disclosures that are no longer considered cost beneficial, clarify the specific requirements of disclosures, and add disclosure requirements identified as relevant. The updated accounting guidance is effective for fiscal years ending after December 15, 2020, with early adoption available. The Company is evaluating the requirements of the updated guidance to determine the impact of adoption.

Pronouncements adopted during the year:

In August 2018, the FASB issued updated accounting guidance on accounting for cloud computing arrangements. The updated guidance requires entities that are customers in cloud computing arrangements to defer implementation costs if they would be capitalized by the entity in software licensing arrangements under the internal-use software guidance. The guidance may be applied retrospectively or prospectively to implementation costs incurred after the date of adoption. The updated accounting guidance is effective for fiscal years beginning after December 15, 2019 and interim periods within those fiscal years. On January 1, 2020, we adopted the new guidance prospectively, which did not have a material impact on our consolidated financial statements.

In August 2018, the FASB issued updated accounting guidance that modifies the disclosure requirements on fair value measurements. The modifications in this update eliminates, amends, and adds disclosure requirements for fair value measurements, which is expected to reduce costs for preparers while providing more decision-useful information for financial statement users. The updated accounting guidance is effective for fiscal years ending after December 15, 2019, with early adoption available. On January 1, 2020, we adopted the new guidance, which did not have an impact on our consolidated financial statements.

In June 2016, the FASB issued updated accounting guidance on accounting for impairments of financial instruments, including trade receivables, which requires companies to estimate expected credit losses on trade receivables over their contractual life. Historically, companies reserve for expected credit losses by applying historical loss percentages to respective aging categories. Under the updated accounting guidance, companies will use a forward-looking methodology that incorporates lifetime expected credit losses, which will result in an allowance for expected credit losses for receivables that are either current or not yet due, which historically have not been reserved for. The updated accounting guidance is effective for fiscal years beginning after December 15, 2019 and interim periods within those fiscal years, with early adoption available. On January 1, 2020, we adopted the new guidance, which did not have a material impact on our consolidated financial statements.

Subsequesnt Events

3 Months Ended

Mar. 31, 2020

Subsequent Events [Abstract]

Subsequent Events

Note 18 – Subsequent Events

On May 6, 2020, the Company held its annual meeting of shareholders for 2020. The meeting was held as a virtual meeting due to the COVID-19 pandemic. In addition to the election of directors and other routine annual meeting matters, the shareholders approved amendments to the Company’s Amended and Restated Articles of Incorporation, as amended, to increase the number of authorized shares of common stock from 300 million, par value $0.50 per share, to 600 million, par value $0.50 per share, and to establish a majority voting standard in uncontested director elections. The Company will file Amended and Restated Articles of Incorporation promptly with the Secretary of State of the Commonwealth of Pennsylvania.

Revenue Recognition (Tables)

3 Months Ended

Mar. 31, 2020

Revenue Recognition [Abstract]

Schedule Of Disaggregation Of Revenue


	Three Months Ended								Three Months Ended
	March 31, 2020								March 31, 2019
	Water Revenues		Wastewater Revenues		Natural Gas Revenues		Other Revenues		Water Revenues		Wastewater Revenues		Other Revenues
Revenues from contracts with customers:
Residential	$	127,014	$	22,614	$	22,900	$	-	$	114,047	$	19,947	$	-
Commercial		35,300		4,451		3,929		-		30,291		3,566		-
Fire protection		8,646		-		-		-		8,078		-		-
Industrial		6,942		446		433		-		6,865		481		-
Gas transportation		-		-		9,469		-		-		-		-
Other water		7,159		-		-		-		12,808		-		-
Other wastewater		-		724		-		-		-		1,396		-
Other utility		-		-		1,731		3,204		-		-		2,890
Revenues from contracts with customers		185,061		28,235		38,462		3,204		172,089		25,390		2,890
Alternative revenue program		(281)		(22)		82		-		(36)		(113)		-
Other and eliminations		-		-		-		844		-		-		912
Consolidated	$	184,780	$	28,213	$	38,544	$	4,048	$	172,053	$	25,277	$	3,802

Acquisitions (Tables)

3 Months Ended

Mar. 31, 2020

Acquisitions [Abstract]

Schedule Of Purchase Price Allocation


Base purchase price	$	4,275,000
Adjustments:
Estimated change in working capital		43,935
Certain estimated capital expenditures		247,500
Assumption of indebtedness		(1,101,091)
Cash consideration	$	3,465,344

Preliminary Purchase Price Allocation


	March 16,
	2020
Property, plant and equipment, net	$	2,468,946
Current assets		241,372
Regulatory assets		288,665
Goodwill		2,287,677
Other long-term assets		82,528
Total assets acquired		5,369,188

Current portion of long-term debt		5,136
Loans payable		181,000
Other current liabilities		182,622
Long-term debt		999,460
Deferred income taxes		245,701
Regulatory liabilities		134,875
Other long-term liabilities		155,050
Total liabilities assumed		1,903,844

Net assets acquired	$	3,465,344

Pro Forma Summary


	Three Months Ended
	March 31,
		2020		2019
Operating revenues	$	536,653	$	598,663
Net income		137,292		68,075

Goodwill (Tables)

3 Months Ended

Mar. 31, 2020

Goodwill [Abstract]

Schedule Of Goodwill



	Regulated Water		Regulated Natural Gas		Other		Consolidated
Balance at December 31, 2019	$	58,981	$	-	$	4,841	$	63,822
Goodwill acquired		118		2,287,677		-		2,287,795
Reclassification to utility plant acquisition adjustment		(91)		-		-		(91)
Balance at March 31, 2020	$	59,008	$	2,287,677	$	4,841	$	2,351,526

Interest Rate Swap Agreements (Tables)

3 Months Ended

Mar. 31, 2020

Interest Rate Swap Agreements [Abstract]

Summary Of Amounts Recognized In Earnings


		Amount of Gain (Loss) Recognized in Income on Derivatives
		Three Months Ended March 31,
	Location of Gain (Loss) Recognized	2019
Derivatives not designated as hedging instrument:
Interest rate swaps	Other income (expense)	$	(34,782)

Financial Instruments (Tables)

3 Months Ended

Mar. 31, 2020

Financial Instruments [Abstract]

Summary Of Unrealized Gain And Losses



	Three Months Ended
	March 31,
	2020		2019
Net gain (loss) recognized during the period on equity securities	$	(54)	$	133
Less: net gain / loss recognized during the period on equity securities sold during the period		-		-
Unrealized gain (loss) recognized during the reporting period on equity securities still held at the reporting date	$	(54)	$	133

Schedule Of Carrying Amounts And Estimated Fair Values Of Long-Term Debt

Net Income Per Common Share (Tables)

3 Months Ended

Mar. 31, 2020

Net Income Per Common Share [Abstract]

Schedule Of Earnings Per Share



	Three Months Ended
	March 31,
	2020	2019
Average common shares outstanding during the period for basic computation	236,122	178,213
Effect of dilutive securities:
Issuance of common stock from private placement	17,853	-
Tangible equity units	607	-
Employee stock-based compensation	472	339
Average common shares outstanding during the period for diluted computation	255,054	178,552

Stock-Based Compensation (Tables)

3 Months Ended

Mar. 31, 2020

Share-based Compensation Arrangement by Share-based Payment Award [Line Items]

Summary Of PSU Transactions



	Number	Weighted
	of	Average
	Share Units	Fair Value
Nonvested share units at beginning of period	261,398	$	16.35
Granted	118,924		52.09
Performance criteria adjustment	18,954		36.77
Forfeited	(653)		36.09
Share units issued	(169,352)		25.75
Nonvested share units at end of period	229,271

Summary Of RSU Transactions



	Number	Weighted
	of	Average
	Stock Units	Fair Value
Nonvested stock units at beginning of period	141,884	$	34.39
Granted	68,901		47.10
Stock units vested and issued	(38,643)		31.05
Forfeited	(90)		36.01
Nonvested stock units at end of period	172,052		40.17

Assumptions Used In The Pricing Model


	2019
Expected term (years)		5.47
Risk-free interest rate		2.53%
Expected volatility		17.7%
Dividend yield		2.44%
Grant date fair value per option	$	5.25

Summary Of Stock Option Transactions



		Weighted		Weighted
		Average		Average	Aggregate
		Exercise		Remaining	Intrinsic
	Shares	Price		Life (years)	Value
Outstanding at beginning of period	1,041,756	$	34.22
Granted	-		-
Forfeited	(9,516)		35.75
Exercised	(56,106)		16.93
Outstanding at end of period	976,134	$	35.20	8.6	$	5,366

Exercisable at end of period	438,341	$	34.43	8.2	$	2,750

Performance Share Units [Member]

Share-based Compensation Arrangement by Share-based Payment Award [Line Items]

Summary Of Compensation Costs



	Three Months Ended
	March 31,
	2020		2019
Stock-based compensation within operations and maintenance expenses	$	510	$	997
Income tax benefit		144		227

Restricted Stock Units [Member]

Share-based Compensation Arrangement by Share-based Payment Award [Line Items]

Summary Of Compensation Costs



	Three Months Ended
	March 31,
	2020		2019
Stock-based compensation within operations and maintenance expenses	$	486	$	425
Income tax benefit		136		120

Stock Options [Member]

Share-based Compensation Arrangement by Share-based Payment Award [Line Items]

Summary Of Compensation Costs



	Three Months Ended
	March 31,
	2020		2019
Stock-based compensation within operations and maintenance expenses	$	501	$	328
Income tax benefit		142		92

Restricted Stock [Member]

Share-based Compensation Arrangement by Share-based Payment Award [Line Items]

Summary Of Compensation Costs


	Three Months Ended
	March 31,
	2020
Stock-based compensation within operations and maintenance expenses	$	18
Income tax benefit		5

Summary Of Restricted Stock Transactions


	Number	Weighted
	of	Average
	Shares	Fair Value
Nonvested restricted stock at beginning of period	-	$	-
Granted	11,952		33.47
Vested	-		-
Nonvested restricted stock at end of period	11,952	$	33.47

Stock Awards [Member]

Share-based Compensation Arrangement by Share-based Payment Award [Line Items]

Summary Of Compensation Costs



	Three Months Ended
	March 31,
	2020		2019
Stock-based compensation within operations and maintenance expenses	$	175	$	180
Income tax benefit		51		52

Summary Of Nonvested Share Activity




	Number	Weighted
	of	Average
	Stock Awards	Fair Value
Nonvested stock awards at beginning of period	-	$	-
Granted	4,207		41.58
Vested	(4,207)		41.58
Nonvested stock awards at end of period	-		-

Pension Plans And Other Postretirement Benefits (Tables)

3 Months Ended

Mar. 31, 2020

Components Of Net Periodic Benefit Costs



	Pension Benefits
	Three Months Ended
	March 31,
	2020		2019
Service cost	$	763	$	680
Interest cost		2,540		2,954
Expected return on plan assets		(3,938)		(3,818)
Amortization of prior service cost		148		155
Amortization of actuarial loss		1,992		1,982
Net periodic benefit cost	$	1,505	$	1,953

	Other
	Postretirement Benefits
		Three Months Ended
		March 31,
	2020		2019
Service cost	$	217	$	205
Interest cost		677		750
Expected return on plan assets		(675)		(621)
Amortization of prior service credit		(116)		(116)
Amortization of actuarial loss		156		166
Net periodic benefit cost	$	259	$	384

Peoples Gas Acquisition [Member]

Components Of Net Periodic Benefit Costs


	Three Months Ended
	March 31, 2020
	Pension Benefits		Other Postretirement Benefits
Service cost	$	40	$	77
Interest cost		192		54
Expected return on plan assets		(302)		(76)
Net periodic benefit (income) cost	$	(70)	$	55

Taxes Other Than Income Taxes (Tables)

3 Months Ended

Mar. 31, 2020

Taxes Other Than Income Taxes [Abstract]

Components Of Taxes Other Than Income Taxes



	Three Months Ended
	March 31,
	2020		2019
Property	$	7,033	$	6,466
Gross receipts, excise and franchise		3,122		3,220
Payroll		4,280		3,481
Regulatory assessments		700		747
Pumping fees		1,081		969
Other		220		86
Total taxes other than income	$	16,436	$	14,969

Segment Information (Tables)

3 Months Ended

Mar. 31, 2020

Segment Information [Abstract]

Company's Segment Information, Continuing Operations



	Three Months Ended								Three Months Ended
	March 31, 2020								March 31, 2019
	Regulated Water		Regulated Natural Gas		Other		Consolidated		Regulated Water		Other		Consolidated
Operating revenues	$	216,197	$	38,544	$	844	$	255,585	$	200,220	$	912	$	201,132
Operations and maintenance expense		73,694		8,823		24,120		106,637		74,338		4,976		79,314
Purchased gas		-		12,770		-		12,770		-		-		-
Depreciation and amortization		41,511		4,569		165		46,245		39,261		149		39,410
Operating income (loss)		86,506		11,715		(24,724)		73,497		72,865		(5,426)		67,439
Interest expense, net		25,495		1,887		2,705		30,087		23,658		4,192		27,850
Allowance for funds used during construction		2,912		36		-		2,948		4,056		-		4,056
Change in fair value of interest rate swap agreements		-		-		-		-		-		34,782		34,782
Equity (loss) earnings in joint venture		-		-		(127)		(127)		-		543		543
Provision for income taxes (benefit)		3,127		(3,448)		(6,803)		(7,124)		936		(9,106)		(8,170)
Net income (loss)		59,934		13,398		(21,551)		51,781		52,169		(35,245)		16,924
Capital expenditures		110,606		8,128		-		118,734		133,792		-		133,792

Company's Segment Information, Assets


	March 31,		December 31,
	2020		2019
Total assets:
Regulated water	$	7,362,550	$	7,269,404
Regulated natural gas		5,362,064		-
Other		204,372		2,092,581
Consolidated	$	12,928,986	$	9,361,985

Basis Of Presentation (Details)	Mar. 16, 2020 customer
Peoples Gas Acquisition [Member]
Number of customers	747,000

Revenue Recognition (Narrative) (Details)	3 Months Ended
Revenue Recognition (Narrative) (Details)	Mar. 31, 2020 item
Schedule of Equity Method Investments [Line Items]
Categories	4
Aqua Infrastructure [Member]
Schedule of Equity Method Investments [Line Items]
Ownership percentage	49.00%

Revenue Recognition (Schedule Of Disaggregation Of Revenue) (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2020	Mar. 31, 2019
Disaggregation of Revenue [Line Items]
Revenue	$ 255,585	$ 201,132
Water [Member]
Disaggregation of Revenue [Line Items]
Revenues from contracts with customers	185,061	172,089
Revenue	184,780	172,053
Water [Member] \| Residential [Member]
Disaggregation of Revenue [Line Items]
Revenues from contracts with customers	127,014	114,047
Water [Member] \| Commercial [Member]
Disaggregation of Revenue [Line Items]
Revenues from contracts with customers	35,300	30,291
Water [Member] \| Fire Protection [Member]
Disaggregation of Revenue [Line Items]
Revenues from contracts with customers	8,646	8,078
Water [Member] \| Industrial [Member]
Disaggregation of Revenue [Line Items]
Revenues from contracts with customers	6,942	6,865
Water [Member] \| Other Water [Member]
Disaggregation of Revenue [Line Items]
Revenues from contracts with customers	7,159	12,808
Water [Member] \| Alternative Revenue Program [Member]
Disaggregation of Revenue [Line Items]
Revenue	(281)	(36)
Wastewater [Member]
Disaggregation of Revenue [Line Items]
Revenues from contracts with customers	28,235	25,390
Revenue	28,213	25,277
Wastewater [Member] \| Residential [Member]
Disaggregation of Revenue [Line Items]
Revenues from contracts with customers	22,614	19,947
Wastewater [Member] \| Commercial [Member]
Disaggregation of Revenue [Line Items]
Revenues from contracts with customers	4,451	3,566
Wastewater [Member] \| Industrial [Member]
Disaggregation of Revenue [Line Items]
Revenues from contracts with customers	446	481
Wastewater [Member] \| Other Wastewater [Member]
Disaggregation of Revenue [Line Items]
Revenues from contracts with customers	724	1,396
Wastewater [Member] \| Alternative Revenue Program [Member]
Disaggregation of Revenue [Line Items]
Revenue	(22)	(113)
Natural Gas [Member]
Disaggregation of Revenue [Line Items]
Revenues from contracts with customers	38,462
Revenue	38,544
Natural Gas [Member] \| Residential [Member]
Disaggregation of Revenue [Line Items]
Revenues from contracts with customers	22,900
Natural Gas [Member] \| Commercial [Member]
Disaggregation of Revenue [Line Items]
Revenues from contracts with customers	3,929
Natural Gas [Member] \| Industrial [Member]
Disaggregation of Revenue [Line Items]
Revenues from contracts with customers	433
Natural Gas [Member] \| Gas Transportation [Member]
Disaggregation of Revenue [Line Items]
Revenues from contracts with customers	9,469
Natural Gas [Member] \| Alternative Revenue Program [Member]
Disaggregation of Revenue [Line Items]
Revenue	82
Natural Gas [Member] \| Other Utility [Member]
Disaggregation of Revenue [Line Items]
Revenues from contracts with customers	1,731
Other [Member]
Disaggregation of Revenue [Line Items]
Revenues from contracts with customers	3,204	2,890
Revenue	4,048	3,802
Other [Member] \| Other Utility [Member]
Disaggregation of Revenue [Line Items]
Revenues from contracts with customers	3,204	2,890
Other [Member] \| Other And Eliminations [Member]
Disaggregation of Revenue [Line Items]
Revenue	$ 844	$ 912

Acquisitions (Narrative) (Details)		1 Months Ended					3 Months Ended		12 Months Ended
Acquisitions (Narrative) (Details)	Mar. 16, 2020 USD ($) customer	Jan. 31, 2020 USD ($) customer	Dec. 31, 2019 USD ($) customer	Nov. 30, 2019 USD ($) customer	Sep. 30, 2019 USD ($) customer item	Nov. 30, 2018 USD ($) customer	Mar. 31, 2020 USD ($)	Mar. 31, 2019 USD ($)	Dec. 31, 2019 USD ($) customer item	Mar. 13, 2020 USD ($)	Oct. 22, 2018 USD ($)
Business Acquisition [Line Items]
Goodwill			$ 63,822,000				$ 2,351,526,000		$ 63,822,000
Fair value adjustment								$ 34,782,000
Operating revenues							255,585,000	201,132,000
Net income							51,781,000	16,924,000
Water And Wastewater Utility Systems [Member]
Business Acquisition [Line Items]
Number of acquisitions \| item									7
Number of customers \| customer									2,393
Total purchase price									$ 9,437,000
Peoples Gas Acquisition [Member]
Business Acquisition [Line Items]
Number of customers \| customer	747,000
Total purchase price	$ 3,465,344,000
Indebtedness	1,101,091,000									$ 1,101,091,000
short-term debt	181,000,000									181,000,000
Outstanding debt	$ 920,091,000									$ 920,091,000
Measurement period	1 year
Fair value of debt	$ 84,569,000
Acquisition-related costs							20,628,000	16,464,000
Acquisition-related costs, pre-tax							$ 25,197,000	21,406,000
Adjustments to acquisition financing								35,812,000
Adjustments to acquisition financing, Pre-tax								46,129,000
Adjustments to debt								7,084,000
Adjustments to debt, pre-tax								9,962,000
Elimination of management fee								885,000
Elimination of management fee, pre-tax								1,245,000
Pipeline term							7 years
Pipeline cost							$ 120,000,000
Customer rate credits							23,000,000
Property, plant and equipment, net	2,468,946,000
Goodwill	$ 2,287,677,000
Fair value adjustment								34,782,000
Transaction-related expenses							25,397,000	$ 6,646,000
Operating revenues							38,544,000
Net income							$ 13,398,000
Peoples Gas Acquisition [Member] \| Bridge Commitment [Member]
Business Acquisition [Line Items]
Debt instrument, issued											$ 5,100,000,000
Pennsylvania [Member] \| Wastewater Utility System [Member]
Business Acquisition [Line Items]
Number of customers \| customer				2,106		4,950
Total purchase price				$ 29,500,000		$ 21,000,000
Cheltenham Township [Member] \| Wastewater Utility System [Member]
Business Acquisition [Line Items]
Number of customers \| customer			9,887
Total purchase price			$ 50,250,000
Property, plant and equipment, net			44,440,000						44,440,000
Goodwill			$ 5,810,000						$ 5,810,000
Delaware [Member] \| Wastewater Utility System [Member]
Business Acquisition [Line Items]
Number of customers \| customer					16,000
Retail customers \| customer					198,000
Municipalities \| item					42
Total purchase price					$ 276,500,000
Ohio [Member] \| Water And Wastewater Utility Systems [Member]
Business Acquisition [Line Items]
Number of customers \| customer		3,126
Total purchase price		$ 7,500,000

Acquisitions (Schedule Of Purchase Price Allocation) (Details) - Peoples Gas Acquisition [Member] $ in Thousands	Mar. 16, 2020 USD ($)
Business Acquisition [Line Items]
Base purchase price	$ 4,275,000
Estimated change in working capital	43,935
Certain estimated capital expenditures	247,500
Assumption of indebtedness	(1,101,091)
Cash consideration	$ 3,465,344

Acquisitions (Preliminary Purchase Price Allocation) (Details) - USD ($) $ in Thousands	Mar. 31, 2020	Mar. 16, 2020	Dec. 31, 2019
Business Acquisition [Line Items]
Goodwill	$ 2,351,526		$ 63,822
Peoples Gas Acquisition [Member]
Business Acquisition [Line Items]
Property, plant and equipment, net		$ 2,468,946
Current assets		241,372
Regulatory assets		288,665
Contributions in aid of construction		82,528
Goodwill		2,287,677
Other long-term assets		82,528
Total assets acquired		5,369,188
Current portion of long-term debt		5,136
Loans payable		181,000
Other current liabilities		182,622
Long-term debt		999,460
Deferred income taxes		245,701
Regulatory liabilities		134,875
Other long-term liabilities		155,050
Total liabilities assumed		1,903,844
Net assets acquired		$ 3,465,344

Acquisitions (Pro Forma Summary) (Details) - Peoples Gas Acquisition [Member] - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2020	Mar. 31, 2019
Business Acquisition [Line Items]
Operating revenues	$ 536,653	$ 598,663
Net income	$ 137,292	$ 68,075

Goodwill (Narrative) (Details) - USD ($) $ in Thousands	Mar. 31, 2020	Mar. 16, 2020	Dec. 31, 2019
Goodwill [Line Items]
Goodwill	$ 2,351,526		$ 63,822
Peoples Gas Acquisition [Member]
Goodwill [Line Items]
Goodwill		$ 2,287,677

Goodwill (Schedule Of Goodwill) (Details) $ in Thousands	3 Months Ended
Goodwill (Schedule Of Goodwill) (Details) $ in Thousands	Mar. 31, 2020 USD ($)
Goodwill [Line Items]
Balance	$ 63,822
Goodwill acquired	2,287,795
Reclassification to utility plant acquisition adjustment	(91)
Balance	2,351,526
Water [Member] \| Regulated [Member]
Goodwill [Line Items]
Balance	58,981
Goodwill acquired	118
Reclassification to utility plant acquisition adjustment	(91)
Balance	59,008
Natural Gas [Member] \| Regulated [Member]
Goodwill [Line Items]
Goodwill acquired	2,287,677
Balance	2,287,677
Other [Member]
Goodwill [Line Items]
Balance	4,841
Goodwill acquired
Reclassification to utility plant acquisition adjustment
Balance	$ 4,841

Assets Held For Sale (Details) $ in Thousands	1 Months Ended	3 Months Ended
Assets Held For Sale (Details) $ in Thousands	Apr. 30, 2019 USD ($)	Dec. 31, 2018 customer	Mar. 31, 2017 customer
Disposal Group, Not Discontinued Operations [Member]
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Number of customers \| customer		500
Consideration for sale of business unit \| $	$ 1,882
Gain on sale \| $	$ 403
Disposal Group, Held-for-sale, Not Discontinued Operations [Member]
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Number of customers \| customer			265

Capitalization (Details)									1 Months Ended	3 Months Ended
Capitalization (Details)	May 01, 2020 USD ($)	Apr. 13, 2020 USD ($)	Mar. 16, 2020 USD ($)	Mar. 13, 2020 USD ($)	May 18, 2019 USD ($)	Apr. 26, 2019 USD ($)	Apr. 23, 2019 USD ($) $ / shares	Mar. 29, 2019 USD ($) item $ / shares shares	Apr. 30, 2019 USD ($)	Mar. 31, 2020 USD ($) $ / shares shares	Jun. 30, 2019 USD ($)	Mar. 31, 2019 USD ($)	May 06, 2020 $ / shares	Apr. 03, 2020 USD ($)	Dec. 31, 2019 $ / shares
Debt Instrument [Line Items]
Private Placement \| shares								21,661,095
Proceeds from private placement			$ 749,907,000
Common stock, par value \| $ / shares								$ 0.50		$ 0.50					$ 0.50
Issuance expense			$ 19,772,000
Private placement discount								4.50%
Trading days \| item								20
Diligence expenses								$ 4,000,000
Issuance of common stock under dividend reinvestment plan										$ 4,062,000		$ 4,035,000
Private placement price \| $ / shares								$ 34.62
Repayments of long-term debt										11,509,000		41,976,000
Debt redeemed										$ 11,509,000		$ 41,976,000
Issuance of common stock from private placement, shares \| shares										21,661,095
Transfer restrictions			15 years
Subsequent Event [Member]
Debt Instrument [Line Items]
Common stock, par value \| $ / shares													$ 0.50
Subsequent Event [Member] \| Unsecured Credit Facility [Member]
Debt Instrument [Line Items]
Borrowing capacity														$ 500,000,000
Amount borrowed														$ 500,000,000
Long-Term [Member] \| Subsequent Event [Member]
Debt Instrument [Line Items]
Face Amount		$ 1,100,000,000
Long-Term Due 2019 [Member]
Debt Instrument [Line Items]
Maturity Year					2019
Redemption percentage					3.57%
Long-Term Due 2037 [Member]
Debt Instrument [Line Items]
Maturity Year					2037
Redemption percentage					5.83%
Notes Ranging 2019-2037 [Member]
Debt Instrument [Line Items]
Repayments of long-term debt					$ 313,500,000				$ 313,500,000		$ 18,528,000
Long-term debt										$ 6,709,000
Debt redeemed					313,500,000				$ 313,500,000		$ 18,528,000
Pre-payment penalty					$ 25,237,000
Long Term Due 2030 [Member] \| Subsequent Event [Member]
Debt Instrument [Line Items]
Face Amount		$ 500,000,000
Interest Rate		2.704%
Long Term Due 2050 [Member] \| Subsequent Event [Member]
Debt Instrument [Line Items]
Face Amount		$ 600,000,000
Interest Rate		3.351%
Aqua Pennsylvania, Inc [Member] \| First Mortgage Bonds [Member] \| Subsequent Event [Member]
Debt Instrument [Line Items]
Face Amount	$ 175,000,000
Aqua Pennsylvania, Inc [Member] \| First Mortgage Bonds Due In 2051 [Member] \| Subsequent Event [Member]
Debt Instrument [Line Items]
Face Amount	$ 75,000,000
Maturity Year	2051
Interest Rate	3.49%
Aqua Pennsylvania, Inc [Member] \| First Mortgage Bonds Due In 2055 [Member] \| Subsequent Event [Member]
Debt Instrument [Line Items]
Face Amount	$ 50,000,000
Maturity Year	2055
Interest Rate	3.54%
Aqua Pennsylvania, Inc [Member] \| First Mortgage Bonds Due In 2056 [Member] \| Subsequent Event [Member]
Debt Instrument [Line Items]
Face Amount	$ 50,000,000
Maturity Year	2056
Interest Rate	3.55%
LDC Funding LLC [Member]
Debt Instrument [Line Items]
Issuance expense							$ 30,651,000
Private placement, per share \| $ / shares							$ 50
Shares settled \| shares										1,979,570
Issuance of common stock under dividend reinvestment plan							$ 1,293,750,000
balance of stock purchase contracts \| shares										7,711,138
Private placement price \| $ / shares								$ 34.62
Proceeds from tangible equity units							690,000,000
Debt issuance expense							$ 16,358,000
Share price \| $ / shares							$ 34.62
Initial principal amount							$ 119,081,000
Initial principal amount per share \| $ / shares							$ 8.62909
Cash installment \| $ / shares							$ 0.75000
Cash installment rate							6.00%
Additional paid in capital							$ 570,919,000
insurance							$ 13,530,000
Interest Rate							3.00%
Amortization of notes							$ 119,081,000
Amortization of issuance costs							$ 2,828,000
Issuance of common stock from private placement, shares \| shares										2,335,654
LDC Funding LLC [Member] \| July 30, 2019 [Member]
Debt Instrument [Line Items]
Cash installment \| $ / shares							$ 0.80833
LDC Funding LLC [Member] \| First Mortgage Bonds Due In 2029 [Member]
Debt Instrument [Line Items]
Maturity date						2029
Face Amount						$ 400,000,000
Interest Rate						3.566%
LDC Funding LLC [Member] \| First Mortgage Bonds Due In 2049 [Member]
Debt Instrument [Line Items]
Maturity date						2049
Face Amount						$ 500,000,000
Interest Rate						4.276%
LDC Funding LLC [Member] \| Long-Term [Member]
Debt Instrument [Line Items]
Debt issuance expense						$ 7,931,000
Face Amount						$ 900,000,000
LDC Funding LLC [Member] \| Minimum [Member]
Debt Instrument [Line Items]
Conversion to shares \| $ / shares							1.1790
LDC Funding LLC [Member] \| Maximum [Member]
Debt Instrument [Line Items]
Conversion to shares \| $ / shares							$ 1.4442
Peoples Gas Acquisition [Member]
Debt Instrument [Line Items]
Indebtedness			$ 1,101,091,000	$ 1,101,091,000
short-term debt			181,000,000	181,000,000
Outstanding debt			920,091,000	920,091,000
Peoples Gas Acquisition [Member] \| Unsecured Credit Facility [Member]
Debt Instrument [Line Items]
Face Amount				$ 150,000,000
Debt term				5 years
Peoples Gas Acquisition [Member] \| Revolving Credit Facility [Member]
Debt Instrument [Line Items]
Borrowing capacity			1,000,000,000	$ 300,000,000
Addition capacity			$ 150,000
Debt term				5 years
Maturity Year				2023
Peoples Gas Acquisition [Member] \| Credit Agreement [Member]
Debt Instrument [Line Items]
Borrowing capacity				$ 150,000,000
Amount borrowed				$ 150,000,000
Peoples Gas Acquisition [Member] \| Subsequent Event [Member] \| Unsecured Credit Facility [Member]
Debt Instrument [Line Items]
Repayments of long-term debt		$ 181,000,000
Debt redeemed		$ 181,000,000
Peoples Gas Acquisition [Member] \| Long Term Due 2030 [Member]
Debt Instrument [Line Items]
Maturity date				2030
Peoples Gas Acquisition [Member] \| Long Term Due 2050 [Member]
Debt Instrument [Line Items]
Maturity date				2050
Peoples Gas Acquisition [Member] \| Minimum [Member] \| Senior Notes [Member]
Debt Instrument [Line Items]
Maturity Year				2020
Interest Rate				2.90%
Peoples Gas Acquisition [Member] \| Maximum [Member] \| Senior Notes [Member]
Debt Instrument [Line Items]
Maturity Year				2032
Interest Rate				6.42%

Interest Rate Swap Agreements (Narrative) (Details) - USD ($)		3 Months Ended
	Apr. 24, 2019	Mar. 31, 2020	Mar. 31, 2019	Oct. 31, 2018
Derivative [Line Items]
Debt redeemed		$ 11,509,000	$ 41,976,000
Interest Rate Swap [Member]
Derivative [Line Items]
Interest rate swap				$ 850,000,000
Face Amount	$ 900,000,000
Debt redeemed	313,500,000
Loss on derivative	$ 83,520,000

Interest Rate Swap Agreements (Summary Of Amounts Recognized In Earnings) (Details) $ in Thousands	3 Months Ended
	Mar. 31, 2020 USD ($)
Not Designated as Hedging Instrument [Member] \| Interest Rate Swap [Member] \| Other Operating Income (Expense) [Member] \| Fair Value Hedging [Member]
Derivative Instruments, Gain (Loss) [Line Items]
Gain (Loss) Recognized	$ (34,782)

Financial Instruments (Narrative) (Details) - USD ($) $ in Thousands	Mar. 31, 2020	Dec. 31, 2019
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Cash and cash equivalents	$ 31,848	$ 1,868,922
Customers' advances for construction	99,447	95,556
Fair Value, Inputs, Level 1 [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Loans payable	381,005	25,724
Mutual funds	22,959	23,419
Cash and cash equivalents	$ 31,848	$ 1,868,922

Financial Instruments (Summary Of Unrealized Gain And Losses) (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2020	Mar. 31, 2019
Financial Instruments [Abstract]
Net gain (loss) recognized during the period on equity securities	$ (54)	$ 133
Less: net gain / loss recognized during the period on equity securities sold during the period
Unrealized gain (loss) recognized during the reporting period on equity securities still held at the reporting date	$ (54)	$ 133

Financial Instruments (Schedule Of Carrying Amounts And Estimated Fair Values Of Long-Term Debt) (Details) - USD ($) $ in Thousands	Mar. 31, 2020	Dec. 31, 2019
Carrying Amount [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Long-term debt	$ 4,872,438	$ 3,077,400
Estimated Fair Value [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Long-term debt	$ 4,964,211	$ 3,324,377

Net Income Per Common Share (Narrative) (Details) - $ / shares	3 Months Ended
	Mar. 31, 2020	Mar. 31, 2019
Earnings Per Share, Diluted, by Common Class, Including Two Class Method [Line Items]
Tangible equity units	10,215,189
Number Of SharesTo Be Issued Basic Stock Purchase Contracts	9,091,432
Employee stock-based compensation	472,000	339,000
Treshold	$ 42.41
Stock Options [Member]
Earnings Per Share, Diluted, by Common Class, Including Two Class Method [Line Items]
Employee stock-based compensation		776,211

Net Income Per Common Share (Schedule Of Earnings Per Share) (Details) - shares shares in Thousands	3 Months Ended
	Mar. 31, 2020	Mar. 31, 2019
Net Income Per Common Share [Abstract]
Average common shares outstanding during the period for basic computation	236,122	178,213
Effect of dilutive securities:
Issuance of common stock from private placement	17,853
Tangible equity units	607
Employee stock-based compensation	472	339
Average common shares outstanding during the period for diluted computation	255,054	178,552

Stock-Based Compensation (Narrative) (Details) - $ / shares	3 Months Ended
	Mar. 31, 2020	Mar. 31, 2019
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Granted	223,495	134,257
2004 Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Underlying stock option and restricted stock awards available for grant	0
2009 Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of shares authorized for issuance	6,250,000
Maximum number of shares may be issued pursuant to stock awards, stock units and other stock-based awards	3,125,000
Maximum number of shares subject to grants to any one individual in any one year	500,000
Underlying stock option and restricted stock awards available for grant	2,447,574
Performance Share Units [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting period, in years	3 years
Granted	118,924	0
Weighted average fair value of stock awards granted	$ 52.09	$ 52.09
Amortization period of fair value of shares, in months	36 months
Performance Share Units [Member] \| Minimum [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Percentage of target award amount the grantee may earn	0.00%
Performance Share Units [Member] \| Maximum [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Percentage of target award amount the grantee may earn	200.00%
Restricted Stock Units [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Restricted period	3 years
Granted	68,901
Weighted average fair value of stock awards granted	$ 47.10	$ 36.01
Weighted average fair value of stock awards granted	$ 31.05
Stock Options [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Granted, Shares	0
Vesting period, start, in years	1 year
Vesting period, in years	10 years
Stock Options [Member] \| Share-based Payment Arrangement, Tranche One [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting percentage	33.00%
Stock Options [Member] \| Share-based Payment Arrangement, Tranche Two [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting percentage	33.00%
Stock Options [Member] \| Share-based Payment Arrangement, Tranche Three [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting percentage	33.00%
Restricted Stock [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Granted	11,952	0
Weighted average fair value of stock awards granted	$ 33.47
Weighted average fair value of stock awards granted
Stock Awards [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Granted	4,207
Weighted average fair value of stock awards granted	$ 41.58	$ 36.73
Weighted average fair value of stock awards granted	$ 41.58

Stock-Based Compensation (Summary Of PSU Transactions) (Details) - $ / shares	3 Months Ended
	Mar. 31, 2020	Mar. 31, 2019
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Granted, Number of Share Units	223,495	134,257
Performance Share Units [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Nonvested share units at beginning of period, Number of Share Units	261,398
Granted, Number of Share Units	118,924	0
Performance criteria adjustment, Number of Share Units	18,954
Forfeited, Number of Share Units	(653)
Share units issued, Number of Share Units	(169,352)
Nonvested share units at end of period, Number of Share Units	229,271
Nonvested share units at beginning of period, Weighted Average Fair Value	$ 16.35
Granted, Weighted Average Fair Value	52.09	$ 52.09
Performance criteria adjustment, Weighted Average Fair Value	36.77
Forfeited, Weighted Average Fair Value	36.09
Share units issued, Weighted Average Fair Value	$ 25.75

Stock-Based Compensation (Summary Of RSU Transactions) (Details) - $ / shares	3 Months Ended
	Mar. 31, 2020	Mar. 31, 2019
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Granted, Number of Share Units	223,495	134,257
Restricted Stock Units [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Nonvested share units at beginning of period, Number of Share Units	141,884
Granted, Number of Share Units	68,901
Stock units vested and issued, Number of Share Units	(38,643)
Forfeited, Number of Share Units	(90)
Nonvested share units at end of period, Number of Share Units	172,052
Nonvested share units at beginning of period, Weighted Average Fair Value	$ 34.39
Granted, Weighted Average Fair Value	47.10	$ 36.01
Share units vested, Weighted Average Fair Value	31.05
Forfeited, Weighted Average Fair Value	36.01
Nonvested share units at end of period, Weighted Average Fair Value	$ 40.17

Stock-Based Compensation (Summary Of Compensation Costs) (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2020	Mar. 31, 2019
Stock Options [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock-based compensation within operations and maintenance expenses	$ 501	$ 328
Income tax benefit	142	92
Performance Share Units [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock-based compensation within operations and maintenance expenses	510	997
Income tax benefit	144	227
Restricted Stock Units [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock-based compensation within operations and maintenance expenses	486	425
Income tax benefit	136	120
Restricted Stock [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock-based compensation within operations and maintenance expenses	18
Income tax benefit	5
Stock Awards [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock-based compensation within operations and maintenance expenses	175	180
Income tax benefit	$ 51	$ 52

Stock-Based Compensation (Assumptions Used In The Pricing Model) (Details) - Stock Options [Member]	3 Months Ended
	Mar. 31, 2019 $ / shares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Expected term (years)	5 years 5 months 19 days
Risk-free interest rate	2.53%
Expected volatility	17.70%
Dividend yield	2.44%
Grant date fair value per option	$ 5.25

Stock-Based Compensation (Summary Of Stock Option Transactions) (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended
	Mar. 31, 2020	Mar. 31, 2019
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Exercised, Shares	(56,106)	(77,479)
Stock Options [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Outstanding at beginning of period, Shares	1,041,756
Granted, Shares	0
Forfeited, Shares	(9,516)
Exercised, Shares	(56,106)
Outstanding at end of period, Shares	976,134
Exercisable at end of period, Shares	438,341
Outstanding at beginning of period, Weighted Average Exercise Price	$ 34.22
Forfeited, Weighted Average Exercise Price	35.75
Exercised, Weighted Average Exercise Price	16.93
Outstanding at end of period, Weighted Average Exercise Price	35.20
Exercisable at end of period, Weighted Average Exercise Price	$ 34.43
Outstanding at end of period, Weighted Average Remaining Life (years)	8 years 7 months 6 days
Exercisable at end of period, Weighted Average Remaining Life (years)	8 years 2 months 12 days
Outstanding at end of period, Aggregate Intrinsic Value	$ 5,366
Exercisable at end of period, Aggregate Intrinsic Value	$ 2,750

Stock-Based Compensation (Summary Of Nonvested Share Activity) (Details) - $ / shares	3 Months Ended
	Mar. 31, 2020	Mar. 31, 2019
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Granted, Number of Share Units	223,495	134,257
Restricted Stock [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Nonvested share units at beginning of period, Number of Share Units
Granted, Number of Share Units	11,952	0
Stock units vested and issued, Number of Share Units
Nonvested share units at end of period, Number of Share Units	11,952
Nonvested share units at beginning of period, Weighted Average Fair Value
Granted, Weighted Average Fair Value	33.47
Share units vested, Weighted Average Fair Value
Nonvested share units at end of period, Weighted Average Fair Value	$ 33.47
Stock Awards [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Nonvested share units at beginning of period, Number of Share Units
Granted, Number of Share Units	4,207
Stock units vested and issued, Number of Share Units	(4,207)
Nonvested share units at end of period, Number of Share Units
Nonvested share units at beginning of period, Weighted Average Fair Value
Granted, Weighted Average Fair Value	41.58	$ 36.73
Share units vested, Weighted Average Fair Value	41.58
Nonvested share units at end of period, Weighted Average Fair Value

Stock-Based Compensation (Summary Of Restricted Stock Transactions) (Details) - $ / shares	3 Months Ended
	Mar. 31, 2020	Mar. 31, 2019
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Granted, Number of Share Units	223,495	134,257
Restricted Stock [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Nonvested share units at beginning of period, Number of Share Units
Granted, Number of Share Units	11,952	0
Stock units vested and issued, Number of Share Units
Nonvested share units at end of period, Number of Share Units	11,952
Nonvested share units at beginning of period, Weighted Average Fair Value
Granted, Weighted Average Fair Value	33.47
Share units vested, Weighted Average Fair Value
Nonvested share units at end of period, Weighted Average Fair Value	$ 33.47

Pension Plans And Other Postretirement Benefits (Narrative) (Details) - Pension Benefits [Member] $ in Thousands	3 Months Ended
	Mar. 31, 2020 USD ($)
Defined Benefit Plan Disclosure [Line Items]
Cash contributions made by the Company	$ 0
Cash contributions remainder of 2020	$ 17,566

Pension Plans And Other Postretirement Benefits (Components Of Net Periodic Benefit Costs) (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2020	Mar. 31, 2019
Pension Benefits [Member]
Defined Benefit Plan Disclosure [Line Items]
Service cost	$ 763	$ 680
Interest cost	2,540	2,954
Expected return on plan assets	(3,938)	(3,818)
Amortization of prior service cost	148	155
Amortization of actuarial loss	1,992	1,982
Net periodic benefit (income) cost	1,505	1,953
Other Postretirement Benefits [Member]
Defined Benefit Plan Disclosure [Line Items]
Service cost	217	205
Interest cost	677	750
Expected return on plan assets	(675)	(621)
Amortization of prior service cost	(116)	(116)
Amortization of actuarial loss	156	166
Net periodic benefit (income) cost	259	$ 384
Peoples Gas Acquisition [Member] \| Pension Benefits [Member]
Defined Benefit Plan Disclosure [Line Items]
Service cost	40
Interest cost	192
Expected return on plan assets	(302)
Net periodic benefit (income) cost	(70)
Peoples Gas Acquisition [Member] \| Other Postretirement Benefits [Member]
Defined Benefit Plan Disclosure [Line Items]
Service cost	77
Interest cost	54
Expected return on plan assets	(76)
Net periodic benefit (income) cost	$ 55

Rate Activity (Details) - USD ($)			3 Months Ended
Rate Activity (Details) - USD ($)	May 24, 2019	Apr. 24, 2019	Mar. 31, 2020
Water And Wastewater Rates [Line Items]
Base rate increase (decrease)		$ 76,493,000
Base rate increase designed to increase total operating revenues on an annual basis		$ 29,493,000
Increase in water and waster rates		7.50%
Distribution system improvement charges reset level upon new base rates		$ 0
Indiana And Ohio [Member]
Water And Wastewater Rates [Line Items]
Base rate increase (decrease)			$ 1,006,000
Illinois And North Carolina [Member]
Water And Wastewater Rates [Line Items]
Base rate increase (decrease)			$ 3,775,000
Pennsylvania [Member]
Water And Wastewater Rates [Line Items]
Base rate increase (decrease)	$ 47,000,000

Taxes Other Than Income Taxes (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2020	Mar. 31, 2019
Taxes Other Than Income [Line Items]
Total taxes other than income	$ 16,436	$ 14,969
Property [Member]
Taxes Other Than Income [Line Items]
Total taxes other than income	7,033	6,466
Gross Receipts, Excise And Franchise [Member]
Taxes Other Than Income [Line Items]
Total taxes other than income	3,122	3,220
Payroll [Member]
Taxes Other Than Income [Line Items]
Total taxes other than income	4,280	3,481
Regulatory Assessments [Member]
Taxes Other Than Income [Line Items]
Total taxes other than income	700	747
Pumping Fees [Member]
Taxes Other Than Income [Line Items]
Total taxes other than income	1,081	969
Other [Member]
Taxes Other Than Income [Line Items]
Total taxes other than income	$ 220	$ 86

Segment Information (Narrative) (Details)	3 Months Ended
Segment Information (Narrative) (Details)	Mar. 31, 2020 segment
Segment Reporting Information [Line Items]
Operating Segments	11
Reportable Segments	2
Reportable Segment [Member]
Segment Reporting Information [Line Items]
Operating Segments	8
Other [Member]
Segment Reporting Information [Line Items]
Operating Segments	2

Segment Information (Company's Segment Information, Continuing Operations) (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2020	Mar. 31, 2019
Segment Reporting Information [Line Items]
Operating revenues	$ 255,585	$ 201,132
Operations and maintenance expense	106,637	79,314
Purchased gas	12,770
Depreciation and amortization	46,245	39,410
Total taxes other than income	16,436	14,969
Operating income (loss)	73,497	67,439
Interest expense, net	30,087	27,850
Interest income	5,035	19
Allowance for funds used during construction	2,948	4,056
Change in fair value of interest rate swap agreements		34,782
Equity earnings in joint venture	(127)	543
Provision for income taxes	(7,124)	(8,170)
Net income (loss)	51,781	16,924
Capital expenditures	118,734	133,792
Water [Member] \| Regulated [Member]
Segment Reporting Information [Line Items]
Operating revenues	216,197	200,220
Operations and maintenance expense	73,694	74,338
Depreciation and amortization	41,511	39,261
Operating income (loss)	86,506	72,865
Interest expense, net	25,495	23,658
Allowance for funds used during construction	2,912	4,056
Provision for income taxes	3,127	936
Net income (loss)	59,934	52,169
Capital expenditures	110,606	133,792
Natural Gas [Member] \| Regulated [Member]
Segment Reporting Information [Line Items]
Operating revenues	38,544
Operations and maintenance expense	8,823
Purchased gas	12,770
Depreciation and amortization	4,569
Operating income (loss)	11,715
Interest expense, net	1,887
Allowance for funds used during construction	36
Provision for income taxes	(3,448)
Net income (loss)	13,398
Capital expenditures	8,128
Other [Member]
Segment Reporting Information [Line Items]
Operating revenues	844	912
Operations and maintenance expense	24,120	4,976
Purchased gas
Depreciation and amortization	165	149
Operating income (loss)	(24,724)	(5,426)
Interest expense, net	2,705	4,192
Allowance for funds used during construction
Change in fair value of interest rate swap agreements		34,782
Equity earnings in joint venture	(127)	543
Provision for income taxes	(6,803)	(9,106)
Net income (loss)	(21,551)	(35,245)
Capital expenditures

Segment Information (Company's Segment Information, Assets) (Details) - USD ($) $ in Thousands	Mar. 31, 2020	Dec. 31, 2019
Segment Reporting Information [Line Items]
Total assets	$ 12,928,986	$ 9,361,985
Other [Member]
Segment Reporting Information [Line Items]
Total assets	204,372	2,092,581
Regulated [Member] \| Water [Member]
Segment Reporting Information [Line Items]
Total assets	7,362,550	$ 7,269,404
Regulated [Member] \| Natural Gas [Member]
Segment Reporting Information [Line Items]
Total assets	$ 5,362,064

Commitments And Contingencies (Details) $ in Thousands	3 Months Ended
Commitments And Contingencies (Details) $ in Thousands	Mar. 31, 2020 USD ($)
Commitments And Contingencies [Line Items]
Aggregate amount accrued for loss contingencies	$ 21,769
Amount probable of recovery through insurance	7,685
Insurance reserve for employee medical benefit program	$ 1,852
Peoples Gas Acquisition [Member]
Commitments And Contingencies [Line Items]
Pipeline term	7 years
Pipeline cost	$ 120,000
Customer rate credits	$ 23,000

Income Taxes (Details) - USD ($) $ in Thousands	3 Months Ended
Income Taxes (Details) - USD ($) $ in Thousands	Mar. 31, 2020	Mar. 31, 2019
Income Taxes [Line Items]
Effective income tax rate	(16.00%)	(93.40%)
Corporate federal income tax rate	21.00%	21.00%
Decrease in income tax expense	$ (5,938)
State [Member]
Income Taxes [Line Items]
Effective income tax rate	2.50%	9.99%

Subsequesnt Events (Details) - $ / shares	May 06, 2020	Mar. 31, 2020	Dec. 31, 2019	Mar. 29, 2019
Subsequent Event [Line Items]
Common stock, shares authorized		300,000,000	300,000,000
Common stock, par value		$ 0.50	$ 0.50	$ 0.50
Subsequent Event [Member]
Subsequent Event [Line Items]
Common stock, shares authorized	600,000,000
Common stock, par value	$ 0.50