American Water Services awarded contract to operate and own water and wastewater treatment facilities in Fort Sill, Okla.

American Water Services has been awarded a 50-year contract for the operations and maintenance of the water and wastewater treatment facilities and distribution systems at Fort Sill, Okla.

VOORHEES, N.J., Oct. 15, 2003 -- American Water Services (AWS) announced it has been awarded recently a 50-year contract for the operations and maintenance of the water and wastewater treatment facilities and distribution systems at Fort Sill, OK, home to the Army Field Artillery Training Center and School.

Valued in excess of $179 million, this contract transfers all aspects of ownership to AWS as part of the Department of Defense (DoD) Privatization Initiative, a method by which the DoD can obtain safe, technologically current, and environmentally sound utility systems at a relatively lower cost than they would under continued government ownership.

The responsibilities of AWS under the contract include system capital investment, regulatory and environmental compliance, planning, asset recapitalization, and long-term operations and maintenance.

"We are excited to provide the military and civilian community of Fort Sill with water and wastewater services at a long-term savings," stated Walter Lynch, President of American Water Services. "In addition to the cost savings, American Water Services will implement innovative techniques to maximize the overall effectiveness and efficiency of this facility." Immediate impacts will include the optimization of chemical usage, which will reduce by half the amount of dried tons of sludge disposed annually.

The water and wastewater systems at Fort Sill serve a total population of 51,500 personnel. The water system includes 550,000 linear feet of pipe, four pump stations, six storage towers, a booster pumping station, and numerous fire hydrants. The wastewater utility includes a tertiary treatment facility that processes 4.3 million gallons of water a day.

The Fort Sill military base occupies 94,220 acres of land about 5 miles north of Lawton, OK and has 1,400 family housing units and 870 temporary housing units for training attendees.

Finally, AWS is an avid proponent of fostering good relationships within the communities it serves. As part of these ongoing efforts, AWS is pleased to award a subcontract for the ground maintenance of the Fort Sill water facility to Teen Challenge of Oklahoma, a local faith-based group.

American Water, a part of RWE's water division, serves 20 million customers in 27 states, 4 Canadian provinces, Puerto Rico and Chile. More than 8,000 dedicated employees provide high quality water, wastewater and other related services. RWE's water division is the third largest water and wastewater Services Company in the world. Additional information may be found on the Web at www.amwater.com.

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