American States Water Co. Secures $150M Credit Facility
Ticker: AWR · Form: 8-K · Filed: Dec 18, 2024 · CIK: 1056903
Sentiment: neutral
Topics: credit-facility, financing, subsidiary
Related Tickers: AWS
TL;DR
AWS just locked in a $150M credit line until 2029 - good for liquidity.
AI Summary
American States Water Co. announced on December 12, 2024, that its subsidiary, Golden State Water Company, has entered into a new credit agreement. This agreement provides a revolving credit facility of $150 million, which can be extended to $200 million under certain conditions. The facility matures on December 12, 2029.
Why It Matters
This new credit facility provides American States Water Co. with enhanced financial flexibility to fund its operations and potential growth initiatives.
Risk Assessment
Risk Level: low — The filing reports on a routine credit agreement, which is a standard financial activity for a company of this size and industry.
Key Numbers
- $150.0M — Revolving Credit Facility (Principal amount available to Golden State Water Company.)
- $200.0M — Maximum Credit Facility (Potential total amount available under the credit facility.)
- 5 years — Maturity Term (Duration of the credit facility until December 12, 2029.)
Key Players & Entities
- American States Water Co. (company) — Registrant
- Golden State Water Company (company) — Subsidiary entering credit agreement
- $150 million (dollar_amount) — Principal amount of the revolving credit facility
- $200 million (dollar_amount) — Maximum amount of the revolving credit facility
- December 12, 2024 (date) — Date of the earliest event reported
- December 12, 2029 (date) — Maturity date of the credit facility
FAQ
What is the purpose of the new credit agreement?
The filing indicates the credit agreement provides a revolving credit facility, suggesting it's for general corporate purposes, liquidity, and potential capital expenditures.
Who is the borrower under this new credit agreement?
The borrower is Golden State Water Company, a subsidiary of American States Water Co.
What is the maximum amount that can be borrowed under this facility?
The revolving credit facility has a principal amount of $150 million, with the option to extend up to $200 million under certain conditions.
When does this credit facility expire?
The credit facility matures on December 12, 2029.
Does this filing indicate any new debt issuance or equity offering?
No, this filing specifically reports on the establishment of a revolving credit facility, not a new debt issuance or equity offering.
Filing Stats: 804 words · 3 min read · ~3 pages · Grade level 11.9 · Accepted 2024-12-18 16:29:03
Key Financial Figures
- $75.6 million — authorizes BVES to invest approximately $75.6 million in capital infrastructure over the four
- $23.1 million — he four-year rate cycle, which includes $23.1 million of projects (plus an allowance for fund
Filing Documents
- awr-20241212.htm (8-K) — 30KB
- exhibit991-bvespdinelectri.htm (EX-99.1) — 13KB
- awrlogoa04.jpg (GRAPHIC) — 26KB
- 0001628280-24-051882.txt ( ) — 239KB
- awr-20241212.xsd (EX-101.SCH) — 3KB
- awr-20241212_def.xml (EX-101.DEF) — 14KB
- awr-20241212_lab.xml (EX-101.LAB) — 26KB
- awr-20241212_pre.xml (EX-101.PRE) — 15KB
- awr-20241212_htm.xml (XML) — 3KB
01. Other Events
Item 8.01. Other Events San Dimas, California, December 18 , 2024. American States Water Company (NYSE:AWR) announced that on December 12, 2024, its regulated electric utility subsidiary, Bear Valley Electric Service, Inc. ("BVES"), received a proposed decision from the assigned administrative law judge at the California Public Utilities Commission ("CPUC") in connection with the pending general rate case proceeding that will determine new electric rates for the years 2023 – 2026. The proposed decision is scheduled to be voted on by the CPUC on January 16, 2025. When a final decision is issued by the CPUC, the new rates will be effective and retroactive to January 1, 2023. As a result, the impact from retroactive rates for the full year of 2023 and from the second-year rate increases through the nine months ended September 30, 2024 are expected at this time to be reflected in the 2024 fourth quarter results. We are in the process of reviewing the proposed decision to finalize all of the impact that may be reported in our 2024 fourth quarter earnings release and included in the 2024 Form 10-K that will be filed with the Securities and Exchange Commission. On November 1, 2024, BVES, the Public Advocates Office at the CPUC and the other intervenor in the proceeding filed a joint motion to adopt a settlement agreement between the parties resolving all issues in connection with the general rate case proceeding. The proposed decision approves and adopts the settlement agreement in its entirety. Among other things, the settlement agreement (i) adopts the revenue requirements for each of the four years 2023 through 2026, (ii) authorizes BVES to invest approximately $75.6 million in capital infrastructure over the four-year rate cycle, which includes $23.1 million of projects (plus an allowance for funds used during construction or AFUDC) to be filed for revenue recovery through advice letters when the projects are completed, (iii) adopts a 10.0% return on equity, a 5.51
01. Financial Statements and Exhibits
Item 9.01. Financial Statements and Exhibits Exhibit No. Description 99.1 Press Release: American States Water Company Announces Proposed Decision Adopting Settlement Agreement In Its Electric Utility General Rate Case
SIGNATURES
SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized . AMERICAN STATES WATER COMPANY: December 18, 2024 /s/ Eva G. Tang Eva G. Tang Senior Vice President-Finance, Chief Financial Officer, Corporate Secretary and Treasurer