8-KOther EventsExhibits & Filings

American Water Works Company, Inc. 8-K Report, Corporate Update (Dec 1, 2009)

Filed December 1, 2009For Securities:AWK

Summary

American Water Works Company, Inc. (AWK) filed an 8-K on December 1, 2009, primarily to provide updated financial data regarding its coverage ratios. The filing includes the Computation of the Ratio of Earnings to Fixed Charges and Preferred Stock Dividends for both American Water Works Company, Inc. and its subsidiary, American Water Capital Corp. This data covers the fiscal years from 2004 through 2008, as well as the nine-month period ending September 30, 2009.

Key Highlights

  • 1Filing provides updated Ratio of Earnings to Fixed Charges and Preferred Stock Dividends.
  • 2Data covers American Water Works Company, Inc. and American Water Capital Corp.
  • 3Historical data includes fiscal years 2004, 2005, 2006, 2007, and 2008.
  • 4Includes data for the nine months ended September 30, 2009.
  • 5This information is crucial for assessing the company's ability to cover its debt obligations and preferred stock dividends.
  • 6The detailed computations are incorporated by reference as Exhibit 12.1.

Frequently Asked Questions

The primary purpose of this 8-K filing is to provide investors and creditors with updated financial information regarding American Water Works Company, Inc.'s and its subsidiary's (American Water Capital Corp.) ability to cover their fixed charges and preferred stock dividends. This is presented through the Ratio of Earnings to Fixed Charges and Preferred Stock Dividends.

The filing includes the 'Computation of the Ratio of Earnings to Fixed Charges and Preferred Stock Dividends' for both the parent company and its subsidiary. This ratio is a key indicator of a company's financial health and its capacity to meet its debt and dividend obligations.

The financial data provided covers the fiscal years ended December 31, 2004, 2005, 2006, 2007, and 2008, as well as the nine-month period ending September 30, 2009.

This ratio is important for investors as it demonstrates the company's profitability relative to its interest expenses and other fixed financial obligations. A higher ratio indicates a greater ability to cover these costs, suggesting lower financial risk.