8-KRegulation FDOther EventsExhibits & Filings

American Water Works Company, Inc. 8-K Report, Regulation FD Disclosure (Dec 29, 2016)

Filed December 29, 2016For Securities:AWK

Summary

American Water Works Company, Inc. (AWK) announced through its wholly-owned subsidiary, Pennsylvania-American Water Company (PAWC), the completion of an acquisition of substantially all of the wastewater collection and treatment system assets of The Sewer Authority of the City of Scranton (SSA). This strategic move, finalized on December 29, 2016, marks a significant expansion for PAWC, integrating a new set of wastewater infrastructure into its operations. The company anticipates potential benefits and synergies from this acquisition, as outlined in the accompanying press release and acquisition fact sheet. While the completion of this System Purchase is a key development, investors should note the cautionary statements provided by AWK. The company acknowledges that actual results may differ materially from forward-looking statements due to various risks and uncertainties. These include potential unexpected costs or delays in integration, regulatory actions affecting the water and wastewater industries, and PAWC's ability to comply with a Consent Decree. Investors are encouraged to review AWK's broader SEC filings for a comprehensive understanding of these risks.

Key Highlights

  • 1Pennsylvania-American Water Company (PAWC), a subsidiary of AWK, has completed the acquisition of wastewater collection and treatment system assets from The Sewer Authority of the City of Scranton (SSA).
  • 2The acquisition, referred to as the 'System Purchase,' was finalized on December 29, 2016.
  • 3This transaction represents a material expansion of PAWC's wastewater service operations.
  • 4The company expects benefits and synergies from the integration of the acquired wastewater system.
  • 5AWK has provided forward-looking statements regarding the acquisition, cautioning investors about potential risks and uncertainties.
  • 6Key risks mentioned include integration costs, regulatory actions, and compliance with a Consent Decree.
  • 7The press release and an acquisition fact sheet detailing the transaction have been filed as exhibits.

Frequently Asked Questions

The main event is the completion of the acquisition by Pennsylvania-American Water Company (PAWC), a subsidiary of American Water Works Company, Inc. (AWK), of substantially all of the wastewater collection and treatment system assets from The Sewer Authority of the City of Scranton (SSA).

The filing does not provide specific financial figures related to the acquisition's immediate impact. However, it mentions that the company anticipates benefits and synergies. Investors will need to refer to future financial reports and the included acquisition fact sheet for more detailed financial information and projections.

The company highlights potential risks such as unexpected costs, liabilities, or delays in integrating the acquired wastewater system. Additionally, there are risks related to regulatory actions affecting the water and wastewater industries and PAWC's ability to comply with a Consent Decree.

More information can be found in the press release (Exhibit 99.1) and the Acquisition Fact Sheet (Exhibit 99.2) filed with this Form 8-K. For a broader understanding of risks, investors should consult American Water Works Company's other SEC filings, including its Annual Report on Form 10-K.