New Mexico Water Utility Receives NMPRC Approval to Acquire
SAN JOSE, Calif., Feb. 22 10, 2022 (GLOBE NEWSWIRE) — New Mexico Water Service (New Mexico Water), a subsidiary of California Water Service Group (Group) (NYSE: CWT), has received approval from the New Mexico Commission of Public Regulation to acquire the assets of the Morningstar Water System of Animas Valley Land and Water, LLC (AV Water) and provide regulated water service to its customers. AV Water’s 2,000 customer connections in the northwest part of the state will become the Morningstar District of New Mexico Water.
The purchase is subject to customary closing conditions, as well as final approval by the San Juan County court. The transaction is expected to be finalized in the first half of 2022.
“We look forward to welcoming AV Water’s customers to New Mexico Water and providing them with excellent quality, service and value,” said Martin A. Kropelnicki, Group President and CEO. “We appreciate the diligence of the New Mexico Public Regulatory Commission in reviewing this transaction and look forward to working with the court and the court-appointed receiver to complete the acquisition of our new Morningstar district.”
About the New Mexico Water Service and the California Water Service Group
The New Mexico Water Utility currently serves approximately 16,000 people through 8,500 water and wastewater service connections in its communities of Rio, Rio Del Oro, Meadow Lake, Indian Hills, Squaw Valley, Elephant Butte, Sandia Knolls, Juan Tomas and Cypress Gardens in New Mexico. . California Water Service Group is the parent company of the regulated utilities California Water Service, Hawaii Water Service, New Mexico Water Service, Washington Water Service and Texas Water Service, a utility holding company. Together, these companies provide regulated and unregulated water services to more than 2 million people in California, Hawaii, New Mexico, Texas and Washington. Common stock of California Water Service Group trades on the New York Stock Exchange under the symbol “CWT”. Additional information is available online at www.calwatergroup.com.
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 (“Act”). Forward-looking statements are intended to qualify under the provisions of the federal securities laws for the “safe harbor” treatment established by law. Forward-looking statements are based on currently available information, expectations, estimates, assumptions and projections, as well as management’s judgment regarding the company, the water utility industry and general economic conditions. Words such as would, expect, intend, plan, believe, estimate, assume, anticipate, project, predict, forecast or variations of such words or similar expressions are intended to identify forward-looking statements. Forward-looking statements are not guarantees of future performance. They are subject to uncertainty and changing circumstances. Actual results may differ materially from what is contained in any forward-looking statement. Factors that could cause results to differ from those expected or anticipated include, but are not limited to: the ability to complete the acquisition of AV Water, integrate the business and operate AV Water system in an efficient and accretive manner; natural disasters, public health crises, pandemics, epidemics or outbreaks of a contagious disease, such as the coronavirus (or COVID‐19) epidemic; decisions of governmental and regulatory commissions, including decisions on the proper disposal of property; consequences of eminent domain actions relating to our water systems; changes in regulatory commission policies and procedures; the timeliness of regulatory commission actions regarding tariff relief and other actions; changes in water quality standards; changes in environmental compliance and water quality requirements; power outages; housing and customer growth trends; the impact of opposition to rate increases; our ability to recover costs; availability of water supply; problems relating to the implementation, maintenance or security of our IT systems; civil unrest or terrorist threats or acts; the adequacy of our efforts to mitigate physical and cyber security risks and threats; the ability of our enterprise risk management processes to identify or adequately address risks; labor relations issues as we negotiate with unions; changes in customer water use patterns and conservation effects; the impact of weather, climate, natural disasters and disease on water quality, water availability, water sales and operating results, and the adequacy of our preparedness emergency situations; and, other risks and unforeseen events. When reviewing forward-looking statements, you should keep in mind the cautionary statements included in this paragraph, as well as the annual 10-Ks, quarterly 10-Qs and other reports filed from time to time with the Securities and Exchange Commission. (SECOND). The Company undertakes no obligation to provide public updates of forward-looking statements.