HERSHEY, Pa.--(BUSINESS WIRE)--Pennsylvania American Water, a subsidiary of American Water (NYSE: AWK), announced today that it has closed acquisitions in Clarion, Northumberland and Butler counties, comprising five municipal and privately owned water and wastewater systems. The total purchase price of the newly acquired systems is approximately $3.8 million.
In Clarion County, Pennsylvania American Water acquired the assets of the Shippenville Borough Wastewater System, which provides wastewater service to approximately 600 residents, plus a number of commercial customers. The company also purchased the Paint Township Water System, which delivers drinking water to nearly 100 residents. This transaction follows Pennsylvania American Water’s acquisition last year of the wastewater assets of the Paint-Elk Joint Sewer Authority.
Pennsylvania American Water is already the provider of water and wastewater service in Clarion County to nearly 15,000 people in several adjacent communities, including Clarion, Shippenville and Strattanville Boroughs, as well as portions of Clarion, Elk, Limestone, Knox, Monroe, Piney and Farmington Townships.
“Clarion County is a model for the benefits of water service regionalization, as this acquisition relieves Paint Township from meeting the financial burden of maintaining and upgrading its system," said Pennsylvania American Water President Kathy L. Pape. “The transaction will also provide the Paint Township customers with an approximately 50 percent reduction in their monthly water bills.”
In Northumberland County, the company purchased the water and wastewater assets of the McEwensville Municipal Authority, which serves approximately 400 residents in McEwensville Borough and adjoining Delaware Township.
In Butler County, Pennsylvania American Water acquired the water system assets of the Abbey Woods Homeowners Association, serving nearly 130 residents in Jackson Township.
Pape said, “We continue to expand our footprint in the wastewater space. The Shippenville and McEwensville transactions add to Pennsylvania American Water’s existing roster of wastewater operations in Adams, Beaver, Chester, Monroe, Pike and Washington counties.”
Pennsylvania American Water, a subsidiary of American Water (NYSE: AWK), is the largest water utility in the state, providing high-quality and reliable water and/or wastewater services to approximately 2.2 million people. Founded in 1886, American Water is the largest and most geographically diverse publicly traded U.S. water and wastewater utility company. With headquarters in Voorhees, N.J., the company employs approximately 6,800 dedicated professionals who provide drinking water, wastewater and other related services to an estimated 15 million people in 47 states and parts of Canada.
This release contains forward looking statements, including, among others, our plan to continue our long-term strategy of capital investment in our systems. There are important factors that could cause actual results to differ materially from those expressed or implied by such forward-looking statements including: general economic business conditions, unfavorable weather conditions, changes in regulations or regulatory treatment and availability and the cost of capital. We undertake no obligation to publicly update or revise any forward-looking statement.