American States Water Company announces rate increase to recover electric power costs

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SAN DIMAS, Calif., Aug. 23, 2001 — American States Water Company, announced that the California Public Utilities Commission (CPUC), by 5-0 vote, authorized an increase in rates at the Bear Valley Electric customer service area of its Southern California Water Company subsidiary to recover $8.7 million in deferred electric power costs.

The amount will be recovered from customers over a five-year period.

Commenting on the CPUC's decision, Floyd E. Wicks, President and CEO, stated, "Today's action by the CPUC provides for additional recovery of past costs for electric power purchased to serve our Bear Valley Electric customer service area. We have an application pending before the CPUC that will provide for recovery of electric power costs on a current basis. However, due of the importance of this application, we have also filed a motion along with the application requesting immediate implementation of rates, subject to refund."

American States Water Company is a holding company that, through its subsidiaries, provides water service to 1 out of 33 Californians located within 75 communities throughout 10 counties in Northern, Coastal and Southern California and to approximately 11,000 customers in the city of Fountain Hills, Arizona and portions of Scottsdale, Arizona.

The company distributes electricity to approximately 21,600 customers in the Big Bear recreational area of California and contracts with various municipalities in both California and Arizona to provide services to an additional 90,000 customers.

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