American Water Closes $100 Million Private Placement of First Mortgage Bonds

American Water Works Company, Inc. (NYSE:AWK), the largest investor-owned U.S. water and wastewater utility company, today announced that its operating subsidiary, New Jersey American Water, closed its private offering of $75 million in aggregate principal amount of its 6.35% First Mortgage Bonds due 2039 and $25 million in aggregate principal amount of its 5.48% First Mortgage Bonds due 2019.

“New Jersey American Water will use the proceeds principally to pay down short-term debt,” said John Bigelow, president of New Jersey American Water. “Reducing short-term debt provides us further financial flexibility to invest in our infrastructure so that we can continue to provide high-quality reliable service to our customers."

This press release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of these securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of such jurisdiction.

Founded in 1886, American Water is the largest investor-owned U.S. water and wastewater utility company. With headquarters in Voorhees, N.J., the company employs more than 7,000 dedicated professionals who provide drinking water, wastewater and other related services to approximately 15 million people in 32 states and Ontario, Canada. More information can be found by visiting www.amwater.com.