Itron, Badger Meter team up to deliver AMR system to Long Island Water Corporation

Itron will team up with Badger Meter to provide Long Island Water Corporation with a territory-wide AMR system to automate data collection from all of the utility's 73,000 accounts.

Project will automate data collection from 73,000 indoor meters for American Water Works subsidiary

SPOKANE, Wash., March 22, 2001— Itron Inc. announced today it will team up with Badger Meter, Inc. to provide Long Island Water Corporation (LIWC), a wholly owned subsidiary of American Water Works Company Inc., with a territory-wide automatic meter reading (AMR) system to automate data collection from all of the utility's 73,000 accounts.

By deploying Itron AMR technology, LIWC will eliminate the need for its meter readers to access customer properties. Once the system is installed, LIWC vehicles equipped with on-board Itron computers and RF transceivers will automatically collect accurate meter readings simply by driving down the street.

The AMR system will integrate new Badger water meters with Itron AMR meter modules, mobile data collection technology and software that will interface with LIWC's customer information and billing systems. The total value of the contract to Itron is approximately $7.4 million. Installation of the system is scheduled to begin the second quarter of this year. Increased meter reading efficiency, operational cost reductions and improved customer service and satisfaction were the principal drivers in LIWC's decision to implement AMR technology.

"AMR technology from Itron and Badger Meter will enable Long Island Water Corporation to achieve significant improvements in our operational efficiency and help us strengthen our relationship with our customers," said John Mirando, vice president and manager for LIWC.

"Changes in lifestyles with two-breadwinner families, single-parent households and concerns about security prevented us from obtaining actual meter readings, which are essential for proper billing," Mirando said. "This results in estimated bills and leads to customer dissatisfaction. AMR will allow us to bill customers for actual usage, reduce costs and improve efficiency. That's a huge step forward in how we run our business and how we serve our customers."

Mirando added that the combination of Itron AMR technology and Badger water meters offered Long Island Water Corporation the best and most reliable AMR solution to meet its requirements and objectives for this project. "We received proposals from several different meter manufacturers and AMR providers," Mirando said. "After a thorough evaluation, it became clear to us that the Itron-Badger solution would deliver the highest level of value to Long Island Water Corporation and its 73,000 customers. And the fact that the Itron-Badger AMR system is the only AMR solution that has received approval by the New York State Public Service Commission made our decision that much easier." The project has been submitted to the New York Public Service Commission for review.

John Hengesh, vice president of Itron's Water and Public Power Systems business unit, said by partnering with Itron and Badger Meter on this project, Long Island Water Corporation is putting the power of knowledge, teamwork and proven technology to work.

"Over the past four years, Itron and Badger Meter have partnered successfully to deliver the largest AMR systems for water utilities anywhere in the world, including the cities of Milwaukee, Philadelphia and Houston," Hengesh said. "There's no substitute for proven performance and proven results. We're delighted that Long Island Water has selected Itron and Badger Meter for this important project."

"We are delighted with the decision of LIWC," said R. D. Belan, executive vice president of operations — BMI. "For a number of years, Badger and Itron have demonstrated product and service excellence to municipal water utilities nationwide. By means of this project, we will demonstrate the same commitment to the largest investor-owned water utility in the United States, American Water Works Company," said Belan.

Itron Inc. is a leading technology provider and source of knowledge to the energy and water industry for collecting, analyzing and applying critical data about electric, gas and water usage. Itron technology touches more than $200 billion in energy and water transactions annually in North America. Today, Itron systems are installed at approximately 2,000 utilities in over 45 countries around the world and are being used to collect data from 275 million electric, gas and water meters. Of those, more than 650 customers use Itron's radio and telephone-based technology to automatically collect information from 17 million of those meters. Itron technology has also recently been chosen by a number of wholesale energy markets in the U.S. and Canada to provide critical billing and settlement systems for those deregulating markets.

Badger Meter is a leading marketer and manufacturer of products using flow measurement and control technology serving utility and industrial markets worldwide.

Long Island Water Corporation, founded in 1884, is the largest investor-owned water utility in New York State, supplying drinking water to more than 230,000 residents of southwestern Nassau County on Long Island. LIWC is a subsidiary of American Water Works Company Inc., the largest investor-owned water company in the United States, serving more than 10 million people in 23 states. Its common stock is traded on the New York Stock Exchange under the symbol AWK.

For more information, visit Itron's website at www.itron.com.

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