SAN DIMAS, Calif. -- (Business Wire)
American States Water Company (NYSE:AWR) today announced that Standard &
Poor’s Ratings Services (“S&P”) affirmed the ‘A+’ credit rating on both
American States Water Company and its wholly-owned subsidiary, Golden
State Water Company (“GSWC”). S&P also revised its rating outlook to
stable from positive on both companies.
According to S&P’s May 22, 2015 press release, the revised outlook to
stable reflects the Company’s recent announcement that its Board of
Directors has approved a new stock repurchase program authorizing the
Company to repurchase up to 1.2 million shares, which may lead to
changes in certain financial measures more consistent with the middle of
the range for the intermediate financial risk profile category, as
defined by S&P’s criteria. However, S&P’s press release also notes that
the share repurchase program does not change their view of the Company’s
financial policy because it is intended to enable the Company to achieve
a shareholders’ equity ratio that is more reflective of appropriate
equity ratios for its subsidiaries.
S&P’s corporate credit ratings range from AAA (highest rating possible)
to D (rating for default), reflecting S&P’s opinion of a company’s
overall capacity to meet its financial obligations. Credit ratings are
not recommendations to purchase, sell or hold a security and are subject
to change or withdrawal at any time by the rating agency.
Certain matters discussed in this news release with regard to the
Company’s expectations may be forward-looking statements that involve
risks and uncertainties. The assumptions and risk factors that could
cause actual results to differ materially, include those described in
the Company’s Form 10-Q and Form 10-K filed with the Securities and
Exchange Commission.
About American States Water Company
AWR has a long history of returning value to shareholders and since 1931
has paid dividends to shareholders every year, increasing the dividends
received by shareholders each calendar year for sixty consecutive years.
American States Water Company is the parent of Golden State Water
Company and American States Utility Services, Inc. Through its utility
subsidiary, Golden State Water Company, AWR provides water service to
approximately 258,000 customers located within 75 communities throughout
10 counties in Northern, Coastal and Southern California. The Company
also distributes electricity to approximately 24,000 electric customers
in the City of Big Bear and surrounding areas in San Bernardino County,
California. Through its contracted services subsidiary, American States
Utility Services, Inc., the Company provides operations, maintenance and
construction management services for water and wastewater systems
located on military bases throughout the country through 50-year
privatization contracts with the U.S. government.
View source version on businesswire.com: http://www.businesswire.com/news/home/20150522005973/en/
Contacts:
American States Water Company
Eva G. Tang
Senior Vice
President-Finance, Chief Financial Officer
Treasurer and Corporate
Secretary
Telephone: (909) 394-3600, ext. 707
Source: American States Water Company
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