wtr-20190930x10q
false--12-31Q3201900000781280000078128srt:MinimumMemberwtr:PerformanceShareUnitsMember2019-01-012019-09-300000078128srt:MaximumMemberwtr:PerformanceShareUnitsMember2019-01-012019-09-300000078128srt:MinimumMemberus-gaap:StateAndLocalJurisdictionMember2019-01-012019-09-300000078128srt:MaximumMemberus-gaap:InternalRevenueServiceIRSMember2019-01-012019-09-300000078128us-gaap:DisposalGroupHeldforsaleNotDiscontinuedOperationsMember2017-01-012017-03-310000078128wtr:IllinoisNorthCarolinaOhioAndPennsylvaniaMember2019-01-012019-09-3000000781282019-04-240000078128wtr:FirstMortgageBondsKMemberwtr:AquaPennsylvaniaIncMember2019-09-012019-09-300000078128wtr:FirstMortgageBondsJMemberwtr:AquaPennsylvaniaIncMember2019-09-012019-09-300000078128wtr:FirstMortgageBondsHMemberwtr:AquaPennsylvaniaIncMember2019-09-012019-09-300000078128wtr:FirstMortgageBondsDMemberwtr:AquaPennsylvaniaIncMember2019-05-012019-05-310000078128wtr:FirstMortgageBondsCMemberwtr:AquaPennsylvaniaIncMember2019-05-012019-05-310000078128wtr:FirstMortgageBondsBMemberwtr:AquaPennsylvaniaIncMember2019-05-012019-05-310000078128wtr:LdcFundingLlcMemberwtr:FirstMortgageBondsFMember2019-04-262019-04-260000078128wtr:LdcFundingLlcMemberwtr:FirstMortgageBondsEMember2019-04-262019-04-260000078128srt:MinimumMemberwtr:LongTermDebtOfSubsidiariesZeroPointZeroZeroPercentageToZeroPointNineNinePercentageMember2019-01-012019-09-300000078128srt:MinimumMemberwtr:LongTermDebtOfSubsidiariesTwoPointZeroZeroPercentageToTwoPointNineNinePercentageMember2019-01-012019-09-300000078128srt:MinimumMemberwtr:LongTermDebtOfSubsidiariesThreePointZeroZeroPercentageToThreePointNineNinePercentageMember2019-01-012019-09-300000078128srt:MinimumMemberwtr:LongTermDebtOfSubsidiariesSixPointZeroZeroPercentageToSixPointNineNinePercentageMember2019-01-012019-09-300000078128srt:MinimumMemberwtr:LongTermDebtOfSubsidiariesSevenPointZeroZeroPercentageToSevenPointNineNinePercentageMember2019-01-012019-09-300000078128srt:MinimumMemberwtr:LongTermDebtOfSubsidiariesOnePointZeroZeroPercentageToOnePointNineNinePercentageMember2019-01-012019-09-300000078128srt:MinimumMemberwtr:LongTermDebtOfSubsidiariesNinePointZeroZeroPercentageToNinePointNineNinePercentageMember2019-01-012019-09-300000078128srt:MinimumMemberwtr:LongTermDebtOfSubsidiariesFourPointZeroZeroPercentageToFourPointNineNinePercentageMember2019-01-012019-09-300000078128srt:MinimumMemberwtr:LongTermDebtOfSubsidiariesFivePointZeroZeroPercentageToFivePointNineNinePercentageMember2019-01-012019-09-300000078128srt:MinimumMemberwtr:LongTermDebtOfSubsidiariesEightPointZeroZeroPercentageToEightPointNineNinePercentageMember2019-01-012019-09-300000078128srt:MaximumMemberwtr:LongTermDebtOfSubsidiariesZeroPointZeroZeroPercentageToZeroPointNineNinePercentageMember2019-01-012019-09-300000078128srt:MaximumMemberwtr:LongTermDebtOfSubsidiariesTwoPointZeroZeroPercentageToTwoPointNineNinePercentageMember2019-01-012019-09-300000078128srt:MaximumMemberwtr:LongTermDebtOfSubsidiariesThreePointZeroZeroPercentageToThreePointNineNinePercentageMember2019-01-012019-09-300000078128srt:MaximumMemberwtr:LongTermDebtOfSubsidiariesSixPointZeroZeroPercentageToSixPointNineNinePercentageMember2019-01-012019-09-300000078128srt:MaximumMemberwtr:LongTermDebtOfSubsidiariesSevenPointZeroZeroPercentageToSevenPointNineNinePercentageMember2019-01-012019-09-300000078128srt:MaximumMemberwtr:LongTermDebtOfSubsidiariesOnePointZeroZeroPercentageToOnePointNineNinePercentageMember2019-01-012019-09-300000078128srt:MaximumMemberwtr:LongTermDebtOfSubsidiariesNinePointZeroZeroPercentageToNinePointNineNinePercentageMember2019-01-012019-09-300000078128srt:MaximumMemberwtr:LongTermDebtOfSubsidiariesFourPointZeroZeroPercentageToFourPointNineNinePercentageMember2019-01-012019-09-300000078128srt:MaximumMemberwtr:LongTermDebtOfSubsidiariesFivePointZeroZeroPercentageToFivePointNineNinePercentageMember2019-01-012019-09-300000078128srt:MaximumMemberwtr:LongTermDebtOfSubsidiariesEightPointZeroZeroPercentageToEightPointNineNinePercentageMember2019-01-012019-09-300000078128wtr:RevolvingCreditAgreementDueBMember2019-01-012019-09-300000078128wtr:NotesZMember2019-01-012019-09-300000078128wtr:NotesGMember2019-01-012019-09-300000078128wtr:NotesFMember2019-01-012019-09-300000078128wtr:NotesCMember2019-01-012019-09-300000078128wtr:NotesBMember2019-01-012019-09-300000078128wtr:BankNoteCMember2019-01-012019-09-300000078128wtr:AmortizingNotesMember2019-01-012019-09-300000078128srt:MinimumMemberwtr:LongTermDebtOfSubsidiariesZeroPointZeroZeroPercentageToZeroPointNineNinePercentageMember2018-01-012018-12-310000078128srt:MinimumMemberwtr:LongTermDebtOfSubsidiariesTwoPointZeroZeroPercentageToTwoPointNineNinePercentageMember2018-01-012018-12-310000078128srt:MinimumMemberwtr:LongTermDebtOfSubsidiariesThreePointZeroZeroPercentageToThreePointNineNinePercentageMember2018-01-012018-12-310000078128srt:MinimumMemberwtr:LongTermDebtOfSubsidiariesSixPointZeroZeroPercentageToSixPointNineNinePercentageMember2018-01-012018-12-310000078128srt:MinimumMemberwtr:LongTermDebtOfSubsidiariesSevenPointZeroZeroPercentageToSevenPointNineNinePercentageMember2018-01-012018-12-310000078128srt:MinimumMemberwtr:LongTermDebtOfSubsidiariesOnePointZeroZeroPercentageToOnePointNineNinePercentageMember2018-01-012018-12-310000078128srt:MinimumMemberwtr:LongTermDebtOfSubsidiariesNinePointZeroZeroPercentageToNinePointNineNinePercentageMember2018-01-012018-12-310000078128srt:MinimumMemberwtr:LongTermDebtOfSubsidiariesFourPointZeroZeroPercentageToFourPointNineNinePercentageMember2018-01-012018-12-310000078128srt:MinimumMemberwtr:LongTermDebtOfSubsidiariesFivePointZeroZeroPercentageToFivePointNineNinePercentageMember2018-01-012018-12-310000078128srt:MinimumMemberwtr:LongTermDebtOfSubsidiariesEightPointZeroZeroPercentageToEightPointNineNinePercentageMember2018-01-012018-12-310000078128srt:MaximumMemberwtr:LongTermDebtOfSubsidiariesZeroPointZeroZeroPercentageToZeroPointNineNinePercentageMember2018-01-012018-12-310000078128srt:MaximumMemberwtr:LongTermDebtOfSubsidiariesTwoPointZeroZeroPercentageToTwoPointNineNinePercentageMember2018-01-012018-12-310000078128srt:MaximumMemberwtr:LongTermDebtOfSubsidiariesThreePointZeroZeroPercentageToThreePointNineNinePercentageMember2018-01-012018-12-310000078128srt:MaximumMemberwtr:LongTermDebtOfSubsidiariesSixPointZeroZeroPercentageToSixPointNineNinePercentageMember2018-01-012018-12-310000078128srt:MaximumMemberwtr:LongTermDebtOfSubsidiariesSevenPointZeroZeroPercentageToSevenPointNineNinePercentageMember2018-01-012018-12-310000078128srt:MaximumMemberwtr:LongTermDebtOfSubsidiariesOnePointZeroZeroPercentageToOnePointNineNinePercentageMember2018-01-012018-12-310000078128srt:MaximumMemberwtr:LongTermDebtOfSubsidiariesNinePointZeroZeroPercentageToNinePointNineNinePercentageMember2018-01-012018-12-310000078128srt:MaximumMemberwtr:LongTermDebtOfSubsidiariesFourPointZeroZeroPercentageToFourPointNineNinePercentageMember2018-01-012018-12-310000078128srt:MaximumMemberwtr:LongTermDebtOfSubsidiariesFivePointZeroZeroPercentageToFivePointNineNinePercentageMember2018-01-012018-12-310000078128srt:MaximumMemberwtr:LongTermDebtOfSubsidiariesEightPointZeroZeroPercentageToEightPointNineNinePercentageMember2018-01-012018-12-310000078128wtr:RevolvingCreditAgreementDueBMember2018-01-012018-12-310000078128wtr:NotesZMember2018-01-012018-12-310000078128wtr:NotesGMember2018-01-012018-12-310000078128wtr:NotesFMember2018-01-012018-12-310000078128wtr:NotesCMember2018-01-012018-12-310000078128wtr:NotesBMember2018-01-012018-12-310000078128wtr:BankNoteCMember2018-01-012018-12-310000078128wtr:AmortizingNotesMember2018-01-012018-12-310000078128srt:MinimumMemberwtr:LdcFundingLlcMember2019-04-232019-04-230000078128srt:MaximumMemberwtr:LdcFundingLlcMember2019-04-232019-04-230000078128wtr:LdcFundingLlcMember2019-03-290000078128wtr:DateMemberwtr:LdcFundingLlcMember2019-04-230000078128us-gaap:StateAndLocalJurisdictionMember2019-01-012019-09-300000078128us-gaap:InternalRevenueServiceIRSMember2019-01-012019-09-300000078128us-gaap:CommonClassAMemberus-gaap:CommonStockMember2019-07-012019-09-300000078128us-gaap:CommonClassAMemberus-gaap:AdditionalPaidInCapitalMember2019-07-012019-09-300000078128wtr:RegulatoryAssessmentsMember2019-07-012019-09-300000078128wtr:PumpingFeesMember2019-07-012019-09-300000078128wtr:PropertyMember2019-07-012019-09-300000078128wtr:PayrollMember2019-07-012019-09-300000078128wtr:OtherTaxesMember2019-07-012019-09-300000078128wtr:GrossReceiptsExciseAndFranchiseMember2019-07-012019-09-300000078128wtr:RegulatoryAssessmentsMember2019-01-012019-09-300000078128wtr:PumpingFeesMember2019-01-012019-09-300000078128wtr:PropertyMember2019-01-012019-09-300000078128wtr:PayrollMember2019-01-012019-09-300000078128wtr:OtherTaxesMember2019-01-012019-09-300000078128wtr:GrossReceiptsExciseAndFranchiseMember2019-01-012019-09-300000078128wtr:RegulatoryAssessmentsMember2018-07-012018-09-300000078128wtr:PumpingFeesMember2018-07-012018-09-300000078128wtr:PropertyMember2018-07-012018-09-300000078128wtr:PayrollMember2018-07-012018-09-300000078128wtr:OtherTaxesMember2018-07-012018-09-300000078128wtr:GrossReceiptsExciseAndFranchiseMember2018-07-012018-09-300000078128wtr:RegulatoryAssessmentsMember2018-01-012018-09-300000078128wtr:PumpingFeesMember2018-01-012018-09-300000078128wtr:PropertyMember2018-01-012018-09-300000078128wtr:PayrollMember2018-01-012018-09-300000078128wtr:OtherTaxesMember2018-01-012018-09-300000078128wtr:GrossReceiptsExciseAndFranchiseMember2018-01-012018-09-300000078128wtr:NotesRangesCMember2019-09-300000078128wtr:NotesRangesBMember2019-09-300000078128wtr:BankNoteMember2019-09-300000078128wtr:NotesRangesCMember2018-12-310000078128wtr:NotesRangesBMember2018-12-310000078128wtr:BankNoteMember2018-12-310000078128stpr:PA2019-09-300000078128us-gaap:TreasuryStockMember2019-07-012019-09-300000078128us-gaap:TreasuryStockMember2019-04-012019-06-300000078128us-gaap:TreasuryStockMember2019-01-012019-03-310000078128us-gaap:TreasuryStockMember2018-07-012018-09-300000078128us-gaap:TreasuryStockMember2018-01-012018-03-310000078128wtr:TangibleEquityUnitsMemberus-gaap:AdditionalPaidInCapitalMember2019-04-012019-06-300000078128wtr:TangibleEquityUnitsMember2019-04-012019-06-300000078128wtr:LdcFundingLlcMember2019-07-012019-09-300000078128us-gaap:CommonClassAMember2019-07-012019-09-300000078128us-gaap:TreasuryStockMember2019-09-300000078128us-gaap:RetainedEarningsMember2019-09-300000078128us-gaap:CommonStockMember2019-09-300000078128us-gaap:AdditionalPaidInCapitalMember2019-09-300000078128us-gaap:TreasuryStockMember2019-06-300000078128us-gaap:RetainedEarningsMember2019-06-300000078128us-gaap:CommonStockMember2019-06-300000078128us-gaap:AdditionalPaidInCapitalMember2019-06-3000000781282019-06-300000078128us-gaap:TreasuryStockMember2019-03-310000078128us-gaap:RetainedEarningsMember2019-03-310000078128us-gaap:CommonStockMember2019-03-310000078128us-gaap:AdditionalPaidInCapitalMember2019-03-3100000781282019-03-310000078128us-gaap:TreasuryStockMember2018-12-310000078128us-gaap:RetainedEarningsMember2018-12-310000078128us-gaap:CommonStockMember2018-12-310000078128us-gaap:AdditionalPaidInCapitalMember2018-12-310000078128us-gaap:TreasuryStockMember2018-09-300000078128us-gaap:RetainedEarningsMember2018-09-300000078128us-gaap:CommonStockMember2018-09-300000078128us-gaap:AdditionalPaidInCapitalMember2018-09-300000078128us-gaap:TreasuryStockMember2018-06-300000078128us-gaap:RetainedEarningsMember2018-06-300000078128us-gaap:CommonStockMember2018-06-300000078128us-gaap:AdditionalPaidInCapitalMember2018-06-3000000781282018-06-300000078128us-gaap:TreasuryStockMember2018-03-310000078128us-gaap:RetainedEarningsMember2018-03-310000078128us-gaap:CommonStockMember2018-03-310000078128us-gaap:AdditionalPaidInCapitalMember2018-03-3100000781282018-03-310000078128us-gaap:TreasuryStockMember2017-12-310000078128us-gaap:RetainedEarningsMember2017-12-310000078128us-gaap:CommonStockMember2017-12-310000078128us-gaap:AdditionalPaidInCapitalMember2017-12-310000078128us-gaap:AccumulatedOtherComprehensiveIncomeMember2017-12-310000078128us-gaap:CommonStockMember2019-07-012019-09-300000078128us-gaap:CommonStockMember2019-04-012019-06-300000078128us-gaap:CommonStockMember2019-01-012019-03-310000078128us-gaap:CommonStockMember2018-07-012018-09-300000078128us-gaap:CommonStockMember2018-04-012018-06-300000078128us-gaap:CommonStockMember2018-01-012018-03-310000078128us-gaap:EmployeeStockOptionMember2018-12-310000078128us-gaap:EmployeeStockOptionMember2019-09-300000078128wtr:TwoThousandNineOmnibusEquityCompensationPlanMember2019-09-300000078128wtr:TwoThousandNineOmnibusEquityCompensationPlanMember2019-01-012019-09-300000078128wtr:PerformanceShareUnitsMember2019-09-300000078128us-gaap:StockCompensationPlanMember2019-09-300000078128us-gaap:RestrictedStockUnitsRSUMember2019-09-300000078128wtr:PerformanceShareUnitsMember2018-12-310000078128us-gaap:StockCompensationPlanMember2018-12-310000078128us-gaap:RestrictedStockUnitsRSUMember2018-12-310000078128us-gaap:EmployeeStockOptionMemberus-gaap:ShareBasedCompensationAwardTrancheTwoMember2019-01-012019-09-300000078128us-gaap:EmployeeStockOptionMemberus-gaap:ShareBasedCompensationAwardTrancheThreeMember2019-01-012019-09-300000078128us-gaap:EmployeeStockOptionMemberus-gaap:ShareBasedCompensationAwardTrancheOneMember2019-01-012019-09-300000078128wtr:LongTermDebtOfSubsidiariesZeroPointZeroZeroPercentageToZeroPointNineNinePercentageMember2019-09-300000078128wtr:LongTermDebtOfSubsidiariesTwoPointZeroZeroPercentageToTwoPointNineNinePercentageMember2019-09-300000078128wtr:LongTermDebtOfSubsidiariesThreePointZeroZeroPercentageToThreePointNineNinePercentageMember2019-09-300000078128wtr:LongTermDebtOfSubsidiariesSixPointZeroZeroPercentageToSixPointNineNinePercentageMember2019-09-300000078128wtr:LongTermDebtOfSubsidiariesSevenPointZeroZeroPercentageToSevenPointNineNinePercentageMember2019-09-300000078128wtr:LongTermDebtOfSubsidiariesOnePointZeroZeroPercentageToOnePointNineNinePercentageMember2019-09-300000078128wtr:LongTermDebtOfSubsidiariesNinePointZeroZeroPercentageToNinePointNineNinePercentageMember2019-09-300000078128wtr:LongTermDebtOfSubsidiariesFourPointZeroZeroPercentageToFourPointNineNinePercentageMember2019-09-300000078128wtr:LongTermDebtOfSubsidiariesFivePointZeroZeroPercentageToFivePointNineNinePercentageMember2019-09-300000078128wtr:LongTermDebtOfSubsidiariesEightPointZeroZeroPercentageToEightPointNineNinePercentageMember2019-09-300000078128wtr:LongTermDebtOfSubsidiariesZeroPointZeroZeroPercentageToZeroPointNineNinePercentageMember2018-12-310000078128wtr:LongTermDebtOfSubsidiariesTwoPointZeroZeroPercentageToTwoPointNineNinePercentageMember2018-12-310000078128wtr:LongTermDebtOfSubsidiariesThreePointZeroZeroPercentageToThreePointNineNinePercentageMember2018-12-310000078128wtr:LongTermDebtOfSubsidiariesSixPointZeroZeroPercentageToSixPointNineNinePercentageMember2018-12-310000078128wtr:LongTermDebtOfSubsidiariesSevenPointZeroZeroPercentageToSevenPointNineNinePercentageMember2018-12-310000078128wtr:LongTermDebtOfSubsidiariesOnePointZeroZeroPercentageToOnePointNineNinePercentageMember2018-12-310000078128wtr:LongTermDebtOfSubsidiariesNinePointZeroZeroPercentageToNinePointNineNinePercentageMember2018-12-310000078128wtr:LongTermDebtOfSubsidiariesFourPointZeroZeroPercentageToFourPointNineNinePercentageMember2018-12-310000078128wtr:LongTermDebtOfSubsidiariesFivePointZeroZeroPercentageToFivePointNineNinePercentageMember2018-12-310000078128wtr:LongTermDebtOfSubsidiariesEightPointZeroZeroPercentageToEightPointNineNinePercentageMember2018-12-310000078128wtr:OtherAndEliminationsMemberwtr:OtherMember2019-07-012019-09-300000078128wtr:AlternativeRevenueProgramMemberwtr:WaterMember2019-07-012019-09-300000078128wtr:AlternativeRevenueProgramMemberwtr:WastewaterMember2019-07-012019-09-300000078128wtr:OtherAndEliminationsMemberwtr:OtherMember2019-01-012019-09-300000078128wtr:AlternativeRevenueProgramMemberwtr:WaterMember2019-01-012019-09-300000078128wtr:AlternativeRevenueProgramMemberwtr:WastewaterMember2019-01-012019-09-300000078128wtr:OtherAndEliminationsMemberwtr:OtherMember2018-07-012018-09-300000078128wtr:AlternativeRevenueProgramMemberwtr:WaterMember2018-07-012018-09-300000078128wtr:AlternativeRevenueProgramMemberwtr:WastewaterMember2018-07-012018-09-300000078128wtr:OtherAndEliminationsMemberwtr:OtherMember2018-01-012018-09-300000078128wtr:AlternativeRevenueProgramMemberwtr:WaterMember2018-01-012018-09-300000078128wtr:AlternativeRevenueProgramMemberwtr:WastewaterMember2018-01-012018-09-300000078128wtr:ResidentialMemberwtr:WaterMember2019-07-012019-09-300000078128wtr:ResidentialMemberwtr:WastewaterMember2019-07-012019-09-300000078128wtr:OtherWaterMemberwtr:WaterMember2019-07-012019-09-300000078128wtr:OtherWastewaterMemberwtr:WastewaterMember2019-07-012019-09-300000078128wtr:OtherUtilityMemberwtr:OtherMember2019-07-012019-09-300000078128wtr:IndustrialMemberwtr:WaterMember2019-07-012019-09-300000078128wtr:IndustrialMemberwtr:WastewaterMember2019-07-012019-09-300000078128wtr:FireProtectionMemberwtr:WaterMember2019-07-012019-09-300000078128wtr:CommercialMemberwtr:WaterMember2019-07-012019-09-300000078128wtr:CommercialMemberwtr:WastewaterMember2019-07-012019-09-300000078128wtr:WaterMember2019-07-012019-09-300000078128wtr:WastewaterMember2019-07-012019-09-300000078128wtr:OtherMember2019-07-012019-09-300000078128wtr:ResidentialMemberwtr:WaterMember2019-01-012019-09-300000078128wtr:ResidentialMemberwtr:WastewaterMember2019-01-012019-09-300000078128wtr:OtherWaterMemberwtr:WaterMember2019-01-012019-09-300000078128wtr:OtherWastewaterMemberwtr:WastewaterMember2019-01-012019-09-300000078128wtr:OtherUtilityMemberwtr:OtherMember2019-01-012019-09-300000078128wtr:IndustrialMemberwtr:WaterMember2019-01-012019-09-300000078128wtr:IndustrialMemberwtr:WastewaterMember2019-01-012019-09-300000078128wtr:FireProtectionMemberwtr:WaterMember2019-01-012019-09-300000078128wtr:CommercialMemberwtr:WaterMember2019-01-012019-09-300000078128wtr:CommercialMemberwtr:WastewaterMember2019-01-012019-09-300000078128wtr:WaterMember2019-01-012019-09-300000078128wtr:WastewaterMember2019-01-012019-09-300000078128wtr:OtherMember2019-01-012019-09-300000078128wtr:ResidentialMemberwtr:WaterMember2018-07-012018-09-300000078128wtr:ResidentialMemberwtr:WastewaterMember2018-07-012018-09-300000078128wtr:OtherWaterMemberwtr:WaterMember2018-07-012018-09-300000078128wtr:OtherWastewaterMemberwtr:WastewaterMember2018-07-012018-09-300000078128wtr:OtherUtilityMemberwtr:OtherMember2018-07-012018-09-300000078128wtr:IndustrialMemberwtr:WaterMember2018-07-012018-09-300000078128wtr:IndustrialMemberwtr:WastewaterMember2018-07-012018-09-300000078128wtr:FireProtectionMemberwtr:WaterMember2018-07-012018-09-300000078128wtr:CommercialMemberwtr:WaterMember2018-07-012018-09-300000078128wtr:CommercialMemberwtr:WastewaterMember2018-07-012018-09-300000078128wtr:WaterMember2018-07-012018-09-300000078128wtr:WastewaterMember2018-07-012018-09-300000078128wtr:OtherMember2018-07-012018-09-300000078128wtr:ResidentialMemberwtr:WaterMember2018-01-012018-09-300000078128wtr:ResidentialMemberwtr:WastewaterMember2018-01-012018-09-300000078128wtr:OtherWaterMemberwtr:WaterMember2018-01-012018-09-300000078128wtr:OtherWastewaterMemberwtr:WastewaterMember2018-01-012018-09-300000078128wtr:OtherUtilityMemberwtr:OtherMember2018-01-012018-09-300000078128wtr:IndustrialMemberwtr:WaterMember2018-01-012018-09-300000078128wtr:IndustrialMemberwtr:WastewaterMember2018-01-012018-09-300000078128wtr:FireProtectionMemberwtr:WaterMember2018-01-012018-09-300000078128wtr:CommercialMemberwtr:WaterMember2018-01-012018-09-300000078128wtr:CommercialMemberwtr:WastewaterMember2018-01-012018-09-300000078128wtr:WaterMember2018-01-012018-09-300000078128wtr:WastewaterMember2018-01-012018-09-300000078128wtr:OtherMember2018-01-012018-09-300000078128wtr:NotesMember2019-04-012019-06-300000078128stpr:PAwtr:LdcFundingLlcMember2019-01-012019-09-300000078128stpr:PA2019-05-242019-05-2400000781282019-04-242019-04-240000078128stpr:OH2019-01-012019-09-300000078128stpr:NJ2019-01-012019-01-010000078128stpr:PAwtr:LdcFundingLlcMemberus-gaap:SeniorNotesMember2019-04-242019-04-240000078128stpr:PAwtr:LdcFundingLlcMember2019-04-182019-04-180000078128wtr:LdcFundingLlcMemberwtr:LongTermMember2019-04-262019-04-260000078128wtr:NotesMember2019-05-182019-05-180000078128us-gaap:AccountingStandardsUpdate201602Member2018-12-310000078128us-gaap:ReportableSubsegmentsMember2019-01-012019-09-300000078128wtr:RevolvingCreditAgreementDueBMember2018-12-310000078128us-gaap:EstimateOfFairValueFairValueDisclosureMember2019-09-300000078128us-gaap:CarryingReportedAmountFairValueDisclosureMember2019-09-300000078128us-gaap:EstimateOfFairValueFairValueDisclosureMember2018-12-310000078128us-gaap:CarryingReportedAmountFairValueDisclosureMember2018-12-310000078128wtr:NotesMember2019-09-300000078128stpr:PAwtr:LdcFundingLlcMember2019-09-300000078128srt:MinimumMember2019-09-300000078128srt:MaximumMember2019-09-300000078128stpr:PAus-gaap:InterestRateSwapMember2018-10-230000078128wtr:CheltenhamTownshipMembersrt:ScenarioForecastMemberwtr:WastewaterUtilitySystemMember2019-12-310000078128us-gaap:InterestRateSwapMember2019-04-242019-04-240000078128wtr:AquaInfrastructureMember2019-09-300000078128us-gaap:RetainedEarningsMember2019-07-012019-09-300000078128us-gaap:RetainedEarningsMember2019-04-012019-06-300000078128us-gaap:RetainedEarningsMember2019-01-012019-03-310000078128us-gaap:RetainedEarningsMember2018-07-012018-09-300000078128us-gaap:RetainedEarningsMember2018-04-012018-06-300000078128us-gaap:DisposalGroupNotDiscontinuedOperationsMember2019-04-012019-04-300000078128us-gaap:DisposalGroupNotDiscontinuedOperationsMember2019-04-300000078128us-gaap:FairValueInputsLevel2Member2019-04-300000078128us-gaap:InterestRateSwapMember2018-10-310000078128us-gaap:InterestRateSwapMemberus-gaap:FairValueHedgingMemberus-gaap:NondesignatedMemberus-gaap:OtherOperatingIncomeExpenseMember2019-01-012019-09-300000078128us-gaap:PensionPlansDefinedBenefitMember2019-07-012019-09-300000078128us-gaap:OtherPostretirementBenefitPlansDefinedBenefitMember2019-07-012019-09-300000078128us-gaap:PensionPlansDefinedBenefitMember2019-01-012019-09-300000078128us-gaap:OtherPostretirementBenefitPlansDefinedBenefitMember2019-01-012019-09-300000078128us-gaap:PensionPlansDefinedBenefitMember2018-07-012018-09-300000078128us-gaap:OtherPostretirementBenefitPlansDefinedBenefitMember2018-07-012018-09-300000078128us-gaap:PensionPlansDefinedBenefitMember2018-01-012018-09-300000078128us-gaap:OtherPostretirementBenefitPlansDefinedBenefitMember2018-01-012018-09-300000078128us-gaap:StateAndLocalJurisdictionMember2019-09-300000078128us-gaap:InternalRevenueServiceIRSMember2019-09-300000078128stpr:PA2017-12-310000078128wtr:LongTermCMember2019-05-182019-05-180000078128wtr:LongTermBMember2019-05-182019-05-180000078128us-gaap:SeniorNotesMember2019-01-012019-09-300000078128srt:MinimumMemberwtr:LongTermDebtOfSubsidiariesZeroPointZeroZeroPercentageToZeroPointNineNinePercentageMember2019-09-300000078128srt:MinimumMemberwtr:LongTermDebtOfSubsidiariesTwoPointZeroZeroPercentageToTwoPointNineNinePercentageMember2019-09-300000078128srt:MinimumMemberwtr:LongTermDebtOfSubsidiariesThreePointZeroZeroPercentageToThreePointNineNinePercentageMember2019-09-300000078128srt:MinimumMemberwtr:LongTermDebtOfSubsidiariesSixPointZeroZeroPercentageToSixPointNineNinePercentageMember2019-09-300000078128srt:MinimumMemberwtr:LongTermDebtOfSubsidiariesSevenPointZeroZeroPercentageToSevenPointNineNinePercentageMember2019-09-300000078128srt:MinimumMemberwtr:LongTermDebtOfSubsidiariesOnePointZeroZeroPercentageToOnePointNineNinePercentageMember2019-09-300000078128srt:MinimumMemberwtr:LongTermDebtOfSubsidiariesNinePointZeroZeroPercentageToNinePointNineNinePercentageMember2019-09-300000078128srt:MinimumMemberwtr:LongTermDebtOfSubsidiariesFourPointZeroZeroPercentageToFourPointNineNinePercentageMember2019-09-300000078128srt:MinimumMemberwtr:LongTermDebtOfSubsidiariesFivePointZeroZeroPercentageToFivePointNineNinePercentageMember2019-09-300000078128srt:MinimumMemberwtr:LongTermDebtOfSubsidiariesEightPointZeroZeroPercentageToEightPointNineNinePercentageMember2019-09-300000078128srt:MaximumMemberwtr:LongTermDebtOfSubsidiariesZeroPointZeroZeroPercentageToZeroPointNineNinePercentageMember2019-09-300000078128srt:MaximumMemberwtr:LongTermDebtOfSubsidiariesTwoPointZeroZeroPercentageToTwoPointNineNinePercentageMember2019-09-300000078128srt:MaximumMemberwtr:LongTermDebtOfSubsidiariesThreePointZeroZeroPercentageToThreePointNineNinePercentageMember2019-09-300000078128srt:MaximumMemberwtr:LongTermDebtOfSubsidiariesSixPointZeroZeroPercentageToSixPointNineNinePercentageMember2019-09-300000078128srt:MaximumMemberwtr:LongTermDebtOfSubsidiariesSevenPointZeroZeroPercentageToSevenPointNineNinePercentageMember2019-09-300000078128srt:MaximumMemberwtr:LongTermDebtOfSubsidiariesOnePointZeroZeroPercentageToOnePointNineNinePercentageMember2019-09-300000078128srt:MaximumMemberwtr:LongTermDebtOfSubsidiariesNinePointZeroZeroPercentageToNinePointNineNinePercentageMember2019-09-300000078128srt:MaximumMemberwtr:LongTermDebtOfSubsidiariesFourPointZeroZeroPercentageToFourPointNineNinePercentageMember2019-09-300000078128srt:MaximumMemberwtr:LongTermDebtOfSubsidiariesFivePointZeroZeroPercentageToFivePointNineNinePercentageMember2019-09-300000078128srt:MaximumMemberwtr:LongTermDebtOfSubsidiariesEightPointZeroZeroPercentageToEightPointNineNinePercentageMember2019-09-300000078128wtr:NotesZMember2019-09-300000078128wtr:NotesGMember2019-09-300000078128wtr:NotesFMember2019-09-300000078128wtr:NotesCMember2019-09-300000078128wtr:NotesBMember2019-09-300000078128wtr:BankNoteCMember2019-09-300000078128wtr:AmortizingNotesMember2019-09-300000078128srt:MinimumMemberwtr:LongTermDebtOfSubsidiariesZeroPointZeroZeroPercentageToZeroPointNineNinePercentageMember2018-12-310000078128srt:MinimumMemberwtr:LongTermDebtOfSubsidiariesTwoPointZeroZeroPercentageToTwoPointNineNinePercentageMember2018-12-310000078128srt:MinimumMemberwtr:LongTermDebtOfSubsidiariesThreePointZeroZeroPercentageToThreePointNineNinePercentageMember2018-12-310000078128srt:MinimumMemberwtr:LongTermDebtOfSubsidiariesSixPointZeroZeroPercentageToSixPointNineNinePercentageMember2018-12-310000078128srt:MinimumMemberwtr:LongTermDebtOfSubsidiariesSevenPointZeroZeroPercentageToSevenPointNineNinePercentageMember2018-12-310000078128srt:MinimumMemberwtr:LongTermDebtOfSubsidiariesOnePointZeroZeroPercentageToOnePointNineNinePercentageMember2018-12-310000078128srt:MinimumMemberwtr:LongTermDebtOfSubsidiariesNinePointZeroZeroPercentageToNinePointNineNinePercentageMember2018-12-310000078128srt:MinimumMemberwtr:LongTermDebtOfSubsidiariesFourPointZeroZeroPercentageToFourPointNineNinePercentageMember2018-12-310000078128srt:MinimumMemberwtr:LongTermDebtOfSubsidiariesFivePointZeroZeroPercentageToFivePointNineNinePercentageMember2018-12-310000078128srt:MinimumMemberwtr:LongTermDebtOfSubsidiariesEightPointZeroZeroPercentageToEightPointNineNinePercentageMember2018-12-310000078128srt:MaximumMemberwtr:LongTermDebtOfSubsidiariesZeroPointZeroZeroPercentageToZeroPointNineNinePercentageMember2018-12-310000078128srt:MaximumMemberwtr:LongTermDebtOfSubsidiariesTwoPointZeroZeroPercentageToTwoPointNineNinePercentageMember2018-12-310000078128srt:MaximumMemberwtr:LongTermDebtOfSubsidiariesThreePointZeroZeroPercentageToThreePointNineNinePercentageMember2018-12-310000078128srt:MaximumMemberwtr:LongTermDebtOfSubsidiariesSixPointZeroZeroPercentageToSixPointNineNinePercentageMember2018-12-310000078128srt:MaximumMemberwtr:LongTermDebtOfSubsidiariesSevenPointZeroZeroPercentageToSevenPointNineNinePercentageMember2018-12-310000078128srt:MaximumMemberwtr:LongTermDebtOfSubsidiariesOnePointZeroZeroPercentageToOnePointNineNinePercentageMember2018-12-310000078128srt:MaximumMemberwtr:LongTermDebtOfSubsidiariesNinePointZeroZeroPercentageToNinePointNineNinePercentageMember2018-12-310000078128srt:MaximumMemberwtr:LongTermDebtOfSubsidiariesFourPointZeroZeroPercentageToFourPointNineNinePercentageMember2018-12-310000078128srt:MaximumMemberwtr:LongTermDebtOfSubsidiariesFivePointZeroZeroPercentageToFivePointNineNinePercentageMember2018-12-310000078128srt:MaximumMemberwtr:LongTermDebtOfSubsidiariesEightPointZeroZeroPercentageToEightPointNineNinePercentageMember2018-12-310000078128wtr:NotesZMember2018-12-310000078128wtr:NotesGMember2018-12-310000078128wtr:NotesFMember2018-12-310000078128wtr:NotesCMember2018-12-310000078128wtr:NotesBMember2018-12-310000078128wtr:BankNoteCMember2018-12-310000078128wtr:AmortizingNotesMember2018-12-310000078128wtr:FirstMortgageBondsKMemberwtr:AquaPennsylvaniaIncMember2019-09-300000078128wtr:FirstMortgageBondsJMemberwtr:AquaPennsylvaniaIncMember2019-09-300000078128wtr:FirstMortgageBondsHMemberwtr:AquaPennsylvaniaIncMember2019-09-300000078128wtr:FirstMortgageBondsGMemberwtr:AquaPennsylvaniaIncMember2019-09-300000078128wtr:FirstMortgageBondsMemberwtr:AquaPennsylvaniaIncMember2019-05-310000078128wtr:FirstMortgageBondsDMemberwtr:AquaPennsylvaniaIncMember2019-05-310000078128wtr:FirstMortgageBondsCMemberwtr:AquaPennsylvaniaIncMember2019-05-310000078128wtr:FirstMortgageBondsBMemberwtr:AquaPennsylvaniaIncMember2019-05-310000078128stpr:PAwtr:LdcFundingLlcMemberus-gaap:SeniorNotesMember2019-04-260000078128wtr:LdcFundingLlcMemberwtr:LongTermMember2019-04-260000078128wtr:LdcFundingLlcMemberwtr:FirstMortgageBondsFMember2019-04-260000078128wtr:LdcFundingLlcMemberwtr:FirstMortgageBondsEMember2019-04-260000078128us-gaap:InterestRateSwapMember2019-04-240000078128stpr:PAwtr:LdcFundingLlcMemberus-gaap:LetterOfCreditMemberwtr:SeniorUnsecuredNotesMaturityYearDMember2018-10-2200000781282019-03-292019-03-290000078128wtr:LdcFundingLlcMember2019-04-230000078128stpr:PAwtr:LdcFundingLlcMember2019-04-180000078128us-gaap:RetainedEarningsMember2018-01-012018-03-310000078128us-gaap:AccumulatedOtherComprehensiveIncomeMember2018-01-012018-03-3100000781282019-03-2900000781282018-09-3000000781282017-12-310000078128us-gaap:FairValueInputsLevel1Member2019-09-300000078128us-gaap:FairValueInputsLevel1Member2018-12-310000078128wtr:LimerickMemberwtr:WastewaterUtilitySystemMember2018-07-310000078128stpr:PAwtr:LdcFundingLlcMember2018-10-220000078128stpr:PAwtr:PeoplesGasAcquisitionMember2019-09-300000078128stpr:DEwtr:WastewaterUtilitySystemMember2019-07-012019-09-300000078128wtr:WastewaterUtilitySystemsInVariousStatesMember2019-01-012019-09-300000078128stpr:PAwtr:ValleyCreekTrunkSewerSystemMember2018-12-012018-12-310000078128stpr:PAwtr:WastewaterUtilitySystemMember2018-11-012018-11-300000078128stpr:PAwtr:LdcFundingLlcMember2018-10-222018-10-220000078128wtr:LimerickMemberwtr:WastewaterUtilitySystemMember2018-07-012018-07-310000078128wtr:CheltenhamTownshipMemberwtr:WastewaterUtilitySystemMember2018-07-012018-07-310000078128wtr:WastewaterUtilitySystemsInVariousStatesMember2018-07-012018-07-310000078128us-gaap:OperatingSegmentsMember2019-09-300000078128us-gaap:CorporateAndOtherMember2019-09-300000078128us-gaap:OperatingSegmentsMember2018-12-310000078128us-gaap:CorporateAndOtherMember2018-12-310000078128wtr:PerformanceShareUnitsMember2019-07-012019-09-300000078128us-gaap:StockCompensationPlanMember2019-07-012019-09-300000078128us-gaap:RestrictedStockUnitsRSUMember2019-07-012019-09-300000078128us-gaap:EmployeeStockOptionMember2019-07-012019-09-300000078128wtr:PerformanceShareUnitsMember2019-01-012019-09-300000078128us-gaap:StockCompensationPlanMember2019-01-012019-09-300000078128us-gaap:RestrictedStockUnitsRSUMember2019-01-012019-09-300000078128us-gaap:EmployeeStockOptionMember2019-01-012019-09-300000078128wtr:PerformanceShareUnitsMember2018-07-012018-09-300000078128us-gaap:StockCompensationPlanMember2018-07-012018-09-300000078128us-gaap:RestrictedStockUnitsRSUMember2018-07-012018-09-300000078128us-gaap:EmployeeStockOptionMember2018-07-012018-09-300000078128wtr:PerformanceShareUnitsMember2018-01-012018-09-300000078128us-gaap:StockCompensationPlanMember2018-01-012018-09-300000078128us-gaap:RestrictedStockUnitsRSUMember2018-01-012018-09-300000078128us-gaap:EmployeeStockOptionMember2018-01-012018-09-300000078128us-gaap:AdditionalPaidInCapitalMember2019-07-012019-09-300000078128us-gaap:AdditionalPaidInCapitalMember2019-04-012019-06-3000000781282019-04-012019-06-300000078128us-gaap:AdditionalPaidInCapitalMember2019-01-012019-03-3100000781282019-01-012019-03-310000078128us-gaap:AdditionalPaidInCapitalMember2018-07-012018-09-300000078128us-gaap:AdditionalPaidInCapitalMember2018-04-012018-06-3000000781282018-04-012018-06-300000078128us-gaap:AdditionalPaidInCapitalMember2018-01-012018-03-3100000781282018-01-012018-03-310000078128wtr:LdcFundingLlcMember2019-04-232019-04-230000078128us-gaap:OperatingSegmentsMember2019-07-012019-09-300000078128us-gaap:CorporateAndOtherMember2019-07-012019-09-3000000781282019-07-012019-09-300000078128us-gaap:OperatingSegmentsMember2019-01-012019-09-300000078128us-gaap:CorporateAndOtherMember2019-01-012019-09-300000078128us-gaap:OperatingSegmentsMember2018-07-012018-09-300000078128us-gaap:CorporateAndOtherMember2018-07-012018-09-3000000781282018-07-012018-09-300000078128us-gaap:OperatingSegmentsMember2018-01-012018-09-300000078128us-gaap:CorporateAndOtherMember2018-01-012018-09-3000000781282018-01-012018-09-3000000781282019-09-3000000781282018-12-310000078128wtr:TangibleEquityUnitsMember2019-01-012019-09-300000078128us-gaap:CommonClassAMember2019-01-012019-09-3000000781282019-10-2300000781282019-01-012019-09-30utr:ftwtr:customerwtr:statewtr:segmentxbrli:purewtr:itemiso4217:USDxbrli:sharesiso4217:USDxbrli:shares

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON DC 20549

FORM 10-Q

(Mark One) 

S QUARTERLY REPORT PURSUANT TO SECTION 13 or 15 (d) OF THE SECURITIES EXCHANGE ACT OF 1934. 

For the quarterly period ended September 30, 2019 

£ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934. 

For the transition period from_______________ to _______________

Commission File Number 1-6659 

AQUA AMERICA, INC. 

(Exact name of registrant as specified in its charter) 

Pennsylvania

23-1702594

(State or other jurisdiction of

(I.R.S. Employer

incorporation or organization)

Identification No.)

 

762 W. Lancaster Avenue, Bryn Mawr, Pennsylvania

19010 -3489

(Address of principal executive offices)

(Zip Code)

 

(610) 527-8000

(Registrant’s telephone number, including area code)

(Former Name, former address and former fiscal year, if changed since last report.)

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes S  No £

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes S  No £

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12(b)-2 of the Exchange Act.:  

Large Accelerated Filer S

Accelerated Filer £

Non-Accelerated Filer £

Smaller Reporting Company £

Emerging Growth Company £

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. £

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes £  No S

Securities registered pursuant to Section 12(b) of the Act:

Title of each class

Trading Symbol(s)

Name of each exchange on which registered

Common stock, $0.50 par value

WTR

New York Stock Exchange

6.00% Tangible Equity Units

WTRU

New York Stock Exchange

Indicate the number of shares outstanding of each of the issuer's classes of common stock, as of October 23, 2019: 215,840,774


Table of Contents

AQUA AMERICA, INC. AND SUBSIDIARIES

TABLE OF CONTENTS

Page

Part I – Financial Information

Item 1. Financial Statements:

Consolidated Balance Sheets (unaudited) – September 30, 2019 and December 31, 2018

2

Consolidated Statements of Operations and Comprehensive Income (unaudited) –
Three Months Ended September 30, 2019 and 2018

3

Consolidated Statements of Operations and Comprehensive Income (unaudited) –
Nine Months Ended September 30, 2019 and 2018

4

Consolidated Statements of Capitalization (unaudited) –
September 30, 2019 and December 31, 2018

5

Consolidated Statements of Equity (unaudited) –
Nine Months Ended September 30, 2019

6

Consolidated Statements of Equity (unaudited) –
Nine Months Ended September 30, 2018

7

Consolidated Statements of Cash Flow (unaudited) –
Nine Months Ended September 30, 2019 and 2018

8

Notes to Consolidated Financial Statements (unaudited)

9

Item 2. Management’s Discussion and Analysis of Financial
Condition and Results of Operations

34

Item 3. Quantitative and Qualitative Disclosures About Market Risk

42

Item 4. Controls and Procedures

42

 

Part II – Other Information

 

Item 1. Legal Proceedings

42

Item 1A. Risk Factors

43

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds

46

Item 6. Exhibits

47

Signatures

48

1


Table of Contents

AQUA AMERICA, INC. AND SUBSIDIARIES 

CONSOLIDATED BALANCE SHEETS 

(In thousands of dollars, except per share amounts) 

(UNAUDITED)

September 30,

December 31,

Assets

2019

2018

Property, plant and equipment, at cost

$

7,998,861 

$

7,648,469 

Less: accumulated depreciation

1,801,909 

1,718,143 

Net property, plant and equipment

6,196,952 

5,930,326 

Current assets:

Cash and cash equivalents

2,030,568 

3,627 

Accounts receivable, net

75,573 

65,825 

Unbilled revenues

41,406 

35,400 

Inventory, materials and supplies

17,035 

15,844 

Prepayments and other current assets

12,753 

23,337 

Assets held for sale

1,558 

3,139 

Total current assets

2,178,893 

147,172 

Regulatory assets

851,061 

788,076 

Deferred charges and other assets, net

42,227 

39,237 

Investment in joint venture

6,253 

6,959 

Goodwill

52,701 

52,726 

Operating lease right-of-use assets

12,883 

-

Total assets

$

9,340,970 

$

6,964,496 

Liabilities and Equity

Stockholders' equity:

Common stock at $0.50 par value, authorized 300,000,000 shares, issued 218,940,681 and 181,151,827 as of September 30, 2019 and December 31, 2018

$

109,471 

$

90,576 

Capital in excess of par value

2,633,193 

820,378 

Retained earnings

1,197,600 

1,174,245 

Treasury stock, at cost, 3,112,565 and 3,060,206 shares as of September 30, 2019 and December 31, 2018

(77,702)

(75,835)

Total stockholders' equity

3,862,562 

2,009,364 

Long-term debt, excluding current portion

2,933,905 

2,419,115 

Less: debt issuance costs

35,607 

20,651 

Long-term debt, excluding current portion, net of debt issuance costs

2,898,298 

2,398,464 

Commitments and contingencies (See Note 15)

 

 

Current liabilities:

Current portion of long-term debt

178,116 

144,545 

Loans payable

10,000 

15,449 

Accounts payable

57,589 

77,331 

Book overdraft

5,068 

8,950 

Accrued interest

38,251 

23,300 

Accrued taxes

17,568 

22,234 

Interest rate swap agreements

-

59,779 

Other accrued liabilities

45,531 

47,389 

Total current liabilities

352,123 

398,977 

Deferred credits and other liabilities:

Deferred income taxes and investment tax credits

909,232 

845,403 

Customers' advances for construction

104,393 

93,343 

Regulatory liabilities

520,213 

531,027 

Operating lease liabilities

11,700 

-

Other

100,025 

97,182 

Total deferred credits and other liabilities

1,645,563 

1,566,955 

Contributions in aid of construction

582,424 

590,736 

Total liabilities and equity

$

9,340,970 

$

6,964,496 

See notes to consolidated financial statements beginning on page 9 of this report.

2


Table of Contents

AQUA AMERICA, INC. AND SUBSIDIARIES 

CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME

(In thousands, except per share amounts)

(UNAUDITED)

Three Months Ended

September 30,

2019

2018

Operating revenues

$

243,626

$

226,137

Operating expenses:

Operations and maintenance

82,022

68,624

Depreciation

39,489

37,457

Amortization

444

199

Taxes other than income taxes

15,201

15,564

Total operating expenses

137,156

121,844

Operating income

106,470

104,293

Other expense (income):

Interest expense

32,643

25,403

Interest income

(9,680)

(44)

Allowance for funds used during construction

(4,613)

(3,066)

Gain on sale of other assets

(175)

(261)

Equity earnings in joint venture

(135)

(215)

Other

1,494

325

Income before income taxes

86,936

82,151

Provision for income taxes (benefit)

(1,553)

3,935

Net income

$

88,489

$

78,216

Comprehensive income

$

88,489

$

78,216

Net income per common share:

Basic

$

0.38

$

0.44

Diluted

$

0.38

$

0.44

Average common shares outstanding during the period:

Basic

232,053

177,923

Diluted

232,464

178,357

See notes to consolidated financial statements beginning on page 9 of this report.

 


3


Table of Contents

AQUA AMERICA, INC. AND SUBSIDIARIES 

CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME

(In thousands, except per share amounts)

(UNAUDITED)

Nine Months Ended

September 30,

2019

2018

Operating revenues

$

663,650

$

632,344

Operating expenses:

Operations and maintenance

247,781

216,085

Depreciation

118,113

110,037

Amortization

(2,140)

478

Taxes other than income taxes

45,038

45,360

Total operating expenses

408,792

371,960

Operating income

254,858

260,384

Other expense (income):

Interest expense

92,239

72,664

Interest income

(18,117)

(111)

Allowance for funds used during construction

(12,280)

(8,510)

Change in fair value of interest rate swap agreements

23,742

-

Loss on debt extinguishment

18,920

-

Gain on sale of other assets

(443)

(598)

Equity earnings in joint venture

(1,918)

(1,508)

Other

4,293

1,365

Income before income taxes

148,422

197,082

Provision for income taxes (benefit)

(11,894)

1,437

Net income

$

160,316

$

195,645

Comprehensive income

$

160,316

$

195,645

Net income per common share:

Basic

$

0.76

$

1.10

Diluted

$

0.76

$

1.10

Average common shares outstanding during the period:

Basic

209,971

177,876

Diluted

210,335

178,347

See notes to consolidated financial statements beginning on page 9 of this report.

4


Table of Contents

AQUA AMERICA, INC. AND SUBSIDIARIES 

CONSOLIDATED STATEMENTS OF CAPITALIZATION 

(In thousands of dollars, except per share amounts) 

(UNAUDITED)

  

September 30,

December 31,

2019

2018

Stockholders' equity:

Common stock, $0.50 par value

$

109,471

$

90,576

Capital in excess of par value

2,633,193

820,378

Retained earnings

1,197,600

1,174,245

Treasury stock, at cost

(77,702)

(75,835)

Total stockholders' equity

3,862,562

2,009,364