American Water Works : West Virginia American Water and Town of Glasgow Reach Agreement on Water System Acquisition

Megan Hannah, External Affairs Manager

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West Virginia American Water and Town of Glasgow

Reach Agreement on Water System Acquisition

Joint petition seeks approval from the Public Service Commission for West Virginia

American Water to provide water service to the Kanawha County community

CHARLESTON, W.Va. (September 6, 2019) - West Virginia American Water and the Town of Glasgow have reached an agreement that will allow West Virginia American Water to purchase the town's water system and provide safe, reliable drinking water to its customers.

The Town of Glasgow, which serves approximately 300 customers along Rt. 60 in Kanawha County, has struggled to maintain adequate service to its customers in recent years. The town's water system needs substantial infrastructure upgrades, with the system historically experiencing frequent water outages due to leaks and an unaccounted-for water rate of approximately 66 percent. Most recently, as a gesture of goodwill, West Virginia American Water has provided leak detection assistance and emergency water tankers to the town during widespread system outages.

Because of these challenges, West Virginia American Water will acquire the Town of Glasgow's water system and establish an interconnection between the company's water lines in Kanawha County and the town's water system. According to the agreement, the Town of Glasgow has determined that it is in the best interest of its customers to sell its distribution facilities to West Virginia American Water, and that customers will benefit by receiving more reliable water service as a result of improved operation and maintenance of the system and investments by the company.

"Dozens of water and wastewater systems across our state are facing similar issues due to lack of investment and maintenance as well as a decline in population," said West Virginia American Water President Robert Burton. "Many small water systems are unable to the meet the demands of operations and the considerable costs associated with maintaining an adequate water distribution system without significantly impacting customer rates. We are pleased we can provide a solution for the town and will work closely with Mayor Donald Fannin and the town council of Glasgow to ensure a seamless transition for customers to receive safe, reliable water service."

PRESS RELEASE

www.westvirginiaamwater.com

WEST VIRGINIA AMERICAN WATER AND TOWN OF GLASGOW REACH AGREEMENT

Under the agreement, West Virginia American Water will make needed investments in the

town's water distribution system to reduce leakage. The company's operations center in

Charleston will continue to provide emergency assistance, personnel, equipment and expertise during the transition. Upon closing, the company will own and operate the water distribution facilities as part of its Kanawha Valley water system, at which time the company will begin replacing aging infrastructure and installing new water meters. All customers currently served by the town will become customers of West Virginia American Water at the time of close. The proposed agreement requires the approval of the Public Service Commission.

West Virginia American Water, a subsidiary of American Water (NYSE: AWK), is the largest investor-owned water utility in the state, providing high-quality and reliable water services to approximately 550,000 people. With a history dating back to 1886, American Water is the largest and most geographically diverse U.S. publicly traded water and wastewater utility company. The company employs more than 7,100 dedicated professionals who provide regulated and market-based drinking water, wastewater and other related services to more than 14 million people in 46 states. American Water provides safe, clean, affordable and reliable water services to our customers to make sure we keep their lives flowing. More information can be found at www.westvirginiaamwater.com.

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PRESS RELEASE

www.westvirginiaamwater.com