wtrg-20200930x10q
false--12-31Q30000078128YesYes0000078128srt:MinimumMemberwtrg:PerformanceShareUnitsMember2020-01-012020-09-300000078128srt:MaximumMemberwtrg:PerformanceShareUnitsMember2020-01-012020-09-300000078128us-gaap:DisposalGroupNotDiscontinuedOperationsMember2018-10-012018-12-310000078128us-gaap:DisposalGroupNotDiscontinuedOperationsMember2017-01-012017-03-3100000781282019-04-240000078128wtrg:AquaInfrastructureSubsidiaryMember2020-09-300000078128us-gaap:DisposalGroupNotDiscontinuedOperationsMember2017-06-300000078128wtrg:FirstMortgageBondsDMemberwtrg:AquaPennsylvaniaIncMember2020-05-012020-05-010000078128wtrg:FirstMortgageBondsCMemberwtrg:AquaPennsylvaniaIncMember2020-05-012020-05-010000078128wtrg:FirstMortgageBondsBMemberwtrg:AquaPennsylvaniaIncMember2020-05-012020-05-010000078128srt:MinimumMemberwtrg:PeoplesGasAcquisitionMemberus-gaap:SeniorNotesMember2020-03-132020-03-130000078128srt:MaximumMemberwtrg:PeoplesGasAcquisitionMemberus-gaap:SeniorNotesMember2020-03-132020-03-130000078128wtrg:PeoplesGasAcquisitionMemberwtrg:LongTermEMember2020-03-132020-03-130000078128wtrg:PeoplesGasAcquisitionMemberwtrg:LongTermDMember2020-03-132020-03-130000078128srt:MinimumMemberwtrg:LongTermDebtOfSubsidiariesZeroPointZeroZeroPercentageToZeroPointNineNinePercentageMember2020-01-012020-09-300000078128srt:MinimumMemberwtrg:LongTermDebtOfSubsidiariesTwoPointZeroZeroPercentageToTwoPointNineNinePercentageMember2020-01-012020-09-300000078128srt:MinimumMemberwtrg:LongTermDebtOfSubsidiariesThreePointZeroZeroPercentageToThreePointNineNinePercentageMember2020-01-012020-09-300000078128srt:MinimumMemberwtrg:LongTermDebtOfSubsidiariesSixPointZeroZeroPercentageToSixPointNineNinePercentageMember2020-01-012020-09-300000078128srt:MinimumMemberwtrg:LongTermDebtOfSubsidiariesSevenPointZeroZeroPercentageToSevenPointNineNinePercentageMember2020-01-012020-09-300000078128srt:MinimumMemberwtrg:LongTermDebtOfSubsidiariesOnePointZeroZeroPercentageToOnePointNineNinePercentageMember2020-01-012020-09-300000078128srt:MinimumMemberwtrg:LongTermDebtOfSubsidiariesNinePointZeroZeroPercentageToNinePointNineNinePercentageMember2020-01-012020-09-300000078128srt:MinimumMemberwtrg:LongTermDebtOfSubsidiariesFourPointZeroZeroPercentageToFourPointNineNinePercentageMember2020-01-012020-09-300000078128srt:MinimumMemberwtrg:LongTermDebtOfSubsidiariesFivePointZeroZeroPercentageToFivePointNineNinePercentageMember2020-01-012020-09-300000078128srt:MinimumMemberwtrg:LongTermDebtOfSubsidiariesEightPointZeroZeroPercentageToEightPointNineNinePercentageMember2020-01-012020-09-300000078128srt:MaximumMemberwtrg:LongTermDebtOfSubsidiariesZeroPointZeroZeroPercentageToZeroPointNineNinePercentageMember2020-01-012020-09-300000078128srt:MaximumMemberwtrg:LongTermDebtOfSubsidiariesTwoPointZeroZeroPercentageToTwoPointNineNinePercentageMember2020-01-012020-09-300000078128srt:MaximumMemberwtrg:LongTermDebtOfSubsidiariesThreePointZeroZeroPercentageToThreePointNineNinePercentageMember2020-01-012020-09-300000078128srt:MaximumMemberwtrg:LongTermDebtOfSubsidiariesSixPointZeroZeroPercentageToSixPointNineNinePercentageMember2020-01-012020-09-300000078128srt:MaximumMemberwtrg:LongTermDebtOfSubsidiariesSevenPointZeroZeroPercentageToSevenPointNineNinePercentageMember2020-01-012020-09-300000078128srt:MaximumMemberwtrg:LongTermDebtOfSubsidiariesOnePointZeroZeroPercentageToOnePointNineNinePercentageMember2020-01-012020-09-300000078128srt:MaximumMemberwtrg:LongTermDebtOfSubsidiariesNinePointZeroZeroPercentageToNinePointNineNinePercentageMember2020-01-012020-09-300000078128srt:MaximumMemberwtrg:LongTermDebtOfSubsidiariesFourPointZeroZeroPercentageToFourPointNineNinePercentageMember2020-01-012020-09-300000078128srt:MaximumMemberwtrg:LongTermDebtOfSubsidiariesFivePointZeroZeroPercentageToFivePointNineNinePercentageMember2020-01-012020-09-300000078128srt:MaximumMemberwtrg:LongTermDebtOfSubsidiariesEightPointZeroZeroPercentageToEightPointNineNinePercentageMember2020-01-012020-09-300000078128wtrg:RevolvingCreditAgreementDueBMember2020-01-012020-09-300000078128wtrg:NotesZMember2020-01-012020-09-300000078128wtrg:NotesGMember2020-01-012020-09-300000078128wtrg:NotesFMember2020-01-012020-09-300000078128wtrg:NotesCMember2020-01-012020-09-300000078128wtrg:NotesBMember2020-01-012020-09-300000078128wtrg:NotesAaMember2020-01-012020-09-300000078128wtrg:BankNoteCMember2020-01-012020-09-300000078128wtrg:AmortizingNotesMember2020-01-012020-09-300000078128wtrg:LdcFundingLlcMemberwtrg:FirstMortgageBondsFMember2019-04-262019-04-260000078128wtrg:LdcFundingLlcMemberwtrg:FirstMortgageBondsEMember2019-04-262019-04-260000078128srt:MinimumMemberwtrg:LongTermDebtOfSubsidiariesZeroPointZeroZeroPercentageToZeroPointNineNinePercentageMember2019-01-012019-12-310000078128srt:MinimumMemberwtrg:LongTermDebtOfSubsidiariesTwoPointZeroZeroPercentageToTwoPointNineNinePercentageMember2019-01-012019-12-310000078128srt:MinimumMemberwtrg:LongTermDebtOfSubsidiariesThreePointZeroZeroPercentageToThreePointNineNinePercentageMember2019-01-012019-12-310000078128srt:MinimumMemberwtrg:LongTermDebtOfSubsidiariesSixPointZeroZeroPercentageToSixPointNineNinePercentageMember2019-01-012019-12-310000078128srt:MinimumMemberwtrg:LongTermDebtOfSubsidiariesSevenPointZeroZeroPercentageToSevenPointNineNinePercentageMember2019-01-012019-12-310000078128srt:MinimumMemberwtrg:LongTermDebtOfSubsidiariesOnePointZeroZeroPercentageToOnePointNineNinePercentageMember2019-01-012019-12-310000078128srt:MinimumMemberwtrg:LongTermDebtOfSubsidiariesNinePointZeroZeroPercentageToNinePointNineNinePercentageMember2019-01-012019-12-310000078128srt:MinimumMemberwtrg:LongTermDebtOfSubsidiariesFourPointZeroZeroPercentageToFourPointNineNinePercentageMember2019-01-012019-12-310000078128srt:MinimumMemberwtrg:LongTermDebtOfSubsidiariesFivePointZeroZeroPercentageToFivePointNineNinePercentageMember2019-01-012019-12-310000078128srt:MinimumMemberwtrg:LongTermDebtOfSubsidiariesEightPointZeroZeroPercentageToEightPointNineNinePercentageMember2019-01-012019-12-310000078128srt:MaximumMemberwtrg:LongTermDebtOfSubsidiariesZeroPointZeroZeroPercentageToZeroPointNineNinePercentageMember2019-01-012019-12-310000078128srt:MaximumMemberwtrg:LongTermDebtOfSubsidiariesTwoPointZeroZeroPercentageToTwoPointNineNinePercentageMember2019-01-012019-12-310000078128srt:MaximumMemberwtrg:LongTermDebtOfSubsidiariesThreePointZeroZeroPercentageToThreePointNineNinePercentageMember2019-01-012019-12-310000078128srt:MaximumMemberwtrg:LongTermDebtOfSubsidiariesSixPointZeroZeroPercentageToSixPointNineNinePercentageMember2019-01-012019-12-310000078128srt:MaximumMemberwtrg:LongTermDebtOfSubsidiariesSevenPointZeroZeroPercentageToSevenPointNineNinePercentageMember2019-01-012019-12-310000078128srt:MaximumMemberwtrg:LongTermDebtOfSubsidiariesOnePointZeroZeroPercentageToOnePointNineNinePercentageMember2019-01-012019-12-310000078128srt:MaximumMemberwtrg:LongTermDebtOfSubsidiariesNinePointZeroZeroPercentageToNinePointNineNinePercentageMember2019-01-012019-12-310000078128srt:MaximumMemberwtrg:LongTermDebtOfSubsidiariesFourPointZeroZeroPercentageToFourPointNineNinePercentageMember2019-01-012019-12-310000078128srt:MaximumMemberwtrg:LongTermDebtOfSubsidiariesFivePointZeroZeroPercentageToFivePointNineNinePercentageMember2019-01-012019-12-310000078128srt:MaximumMemberwtrg:LongTermDebtOfSubsidiariesEightPointZeroZeroPercentageToEightPointNineNinePercentageMember2019-01-012019-12-310000078128wtrg:RevolvingCreditAgreementDueBMember2019-01-012019-12-310000078128wtrg:NotesZMember2019-01-012019-12-310000078128wtrg:NotesGMember2019-01-012019-12-310000078128wtrg:NotesFMember2019-01-012019-12-310000078128wtrg:NotesCMember2019-01-012019-12-310000078128wtrg:NotesBMember2019-01-012019-12-310000078128wtrg:NotesAaMember2019-01-012019-12-310000078128wtrg:BankNoteCMember2019-01-012019-12-310000078128wtrg:AmortizingNotesMember2019-01-012019-12-310000078128srt:MinimumMemberwtrg:LdcFundingLlcMember2019-04-232019-04-230000078128srt:MaximumMemberwtrg:LdcFundingLlcMember2019-04-232019-04-230000078128wtrg:LdcFundingLlcMember2019-03-290000078128wtrg:DateMemberwtrg:LdcFundingLlcMember2019-04-230000078128wtrg:RegulatoryAssessmentsMember2020-07-012020-09-300000078128wtrg:PumpingFeesMember2020-07-012020-09-300000078128wtrg:PropertyMember2020-07-012020-09-300000078128wtrg:PayrollMember2020-07-012020-09-300000078128wtrg:OtherTaxesMember2020-07-012020-09-300000078128wtrg:GrossReceiptsExciseAndFranchiseMember2020-07-012020-09-300000078128wtrg:RegulatoryAssessmentsMember2020-01-012020-09-300000078128wtrg:PumpingFeesMember2020-01-012020-09-300000078128wtrg:PropertyMember2020-01-012020-09-300000078128wtrg:PayrollMember2020-01-012020-09-300000078128wtrg:OtherTaxesMember2020-01-012020-09-300000078128wtrg:GrossReceiptsExciseAndFranchiseMember2020-01-012020-09-300000078128wtrg:RegulatoryAssessmentsMember2019-07-012019-09-300000078128wtrg:PumpingFeesMember2019-07-012019-09-300000078128wtrg:PropertyMember2019-07-012019-09-300000078128wtrg:PayrollMember2019-07-012019-09-300000078128wtrg:OtherTaxesMember2019-07-012019-09-300000078128wtrg:GrossReceiptsExciseAndFranchiseMember2019-07-012019-09-300000078128wtrg:RegulatoryAssessmentsMember2019-01-012019-09-300000078128wtrg:PumpingFeesMember2019-01-012019-09-300000078128wtrg:PropertyMember2019-01-012019-09-300000078128wtrg:PayrollMember2019-01-012019-09-300000078128wtrg:OtherTaxesMember2019-01-012019-09-300000078128wtrg:GrossReceiptsExciseAndFranchiseMember2019-01-012019-09-300000078128wtrg:NotesRangesCMember2020-09-300000078128wtrg:NotesRangesBMember2020-09-300000078128wtrg:NotesRangesCMember2019-12-310000078128wtrg:NotesRangesBMember2019-12-310000078128wtrg:BankNoteMember2019-12-310000078128us-gaap:TreasuryStockMember2020-01-012020-03-310000078128us-gaap:TreasuryStockMember2019-07-012019-09-300000078128us-gaap:TreasuryStockMember2019-04-012019-06-300000078128us-gaap:TreasuryStockMember2019-01-012019-03-310000078128us-gaap:TreasuryStockMember2020-09-300000078128us-gaap:RetainedEarningsMember2020-09-300000078128us-gaap:CommonStockMember2020-09-300000078128us-gaap:AdditionalPaidInCapitalMember2020-09-300000078128us-gaap:TreasuryStockMember2020-06-300000078128us-gaap:RetainedEarningsMember2020-06-300000078128us-gaap:CommonStockMember2020-06-300000078128us-gaap:AdditionalPaidInCapitalMember2020-06-3000000781282020-06-300000078128us-gaap:TreasuryStockMember2020-03-310000078128us-gaap:RetainedEarningsMember2020-03-310000078128us-gaap:CommonStockMember2020-03-310000078128us-gaap:AdditionalPaidInCapitalMember2020-03-3100000781282020-03-310000078128us-gaap:TreasuryStockMember2019-12-310000078128us-gaap:RetainedEarningsMember2019-12-310000078128us-gaap:CommonStockMember2019-12-310000078128us-gaap:AdditionalPaidInCapitalMember2019-12-310000078128us-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:CommonStockMember2020-07-012020-09-300000078128us-gaap:CommonStockMember2020-04-012020-06-300000078128us-gaap:CommonStockMember2020-01-012020-03-310000078128us-gaap:CommonStockMember2019-07-012019-09-300000078128us-gaap:CommonStockMember2019-04-012019-06-300000078128us-gaap:CommonStockMember2019-01-012019-03-310000078128us-gaap:EmployeeStockOptionMember2019-12-310000078128us-gaap:EmployeeStockOptionMember2020-09-300000078128wtrg:TwoThousandAndFourOmnibusEquityCompensationPlanMember2020-09-300000078128wtrg:TwoThousandNineOmnibusEquityCompensationPlanMember2020-09-300000078128wtrg:TwoThousandNineOmnibusEquityCompensationPlanMember2020-01-012020-09-300000078128wtrg:PerformanceShareUnitsMember2020-09-300000078128us-gaap:StockCompensationPlanMember2020-09-300000078128us-gaap:RestrictedStockUnitsRSUMember2020-09-300000078128us-gaap:RestrictedStockMember2020-09-300000078128wtrg:PerformanceShareUnitsMember2019-12-310000078128us-gaap:StockCompensationPlanMember2019-12-310000078128us-gaap:RestrictedStockUnitsRSUMember2019-12-310000078128us-gaap:RestrictedStockMember2019-12-310000078128us-gaap:RestrictedStockMember2019-01-012019-09-300000078128us-gaap:EmployeeStockOptionMemberus-gaap:ShareBasedCompensationAwardTrancheTwoMember2020-01-012020-09-300000078128us-gaap:EmployeeStockOptionMemberus-gaap:ShareBasedCompensationAwardTrancheThreeMember2020-01-012020-09-300000078128us-gaap:EmployeeStockOptionMemberus-gaap:ShareBasedCompensationAwardTrancheOneMember2020-01-012020-09-300000078128wtrg:LongTermDebtOfSubsidiariesZeroPointZeroZeroPercentageToZeroPointNineNinePercentageMember2020-09-300000078128wtrg:LongTermDebtOfSubsidiariesTwoPointZeroZeroPercentageToTwoPointNineNinePercentageMember2020-09-300000078128wtrg:LongTermDebtOfSubsidiariesThreePointZeroZeroPercentageToThreePointNineNinePercentageMember2020-09-300000078128wtrg:LongTermDebtOfSubsidiariesSixPointZeroZeroPercentageToSixPointNineNinePercentageMember2020-09-300000078128wtrg:LongTermDebtOfSubsidiariesSevenPointZeroZeroPercentageToSevenPointNineNinePercentageMember2020-09-300000078128wtrg:LongTermDebtOfSubsidiariesOnePointZeroZeroPercentageToOnePointNineNinePercentageMember2020-09-300000078128wtrg:LongTermDebtOfSubsidiariesNinePointZeroZeroPercentageToNinePointNineNinePercentageMember2020-09-300000078128wtrg:LongTermDebtOfSubsidiariesFourPointZeroZeroPercentageToFourPointNineNinePercentageMember2020-09-300000078128wtrg:LongTermDebtOfSubsidiariesFivePointZeroZeroPercentageToFivePointNineNinePercentageMember2020-09-300000078128wtrg:LongTermDebtOfSubsidiariesEightPointZeroZeroPercentageToEightPointNineNinePercentageMember2020-09-300000078128wtrg:LongTermDebtOfSubsidiariesZeroPointZeroZeroPercentageToZeroPointNineNinePercentageMember2019-12-310000078128wtrg:LongTermDebtOfSubsidiariesTwoPointZeroZeroPercentageToTwoPointNineNinePercentageMember2019-12-310000078128wtrg:LongTermDebtOfSubsidiariesThreePointZeroZeroPercentageToThreePointNineNinePercentageMember2019-12-310000078128wtrg:LongTermDebtOfSubsidiariesSixPointZeroZeroPercentageToSixPointNineNinePercentageMember2019-12-310000078128wtrg:LongTermDebtOfSubsidiariesSevenPointZeroZeroPercentageToSevenPointNineNinePercentageMember2019-12-310000078128wtrg:LongTermDebtOfSubsidiariesOnePointZeroZeroPercentageToOnePointNineNinePercentageMember2019-12-310000078128wtrg:LongTermDebtOfSubsidiariesNinePointZeroZeroPercentageToNinePointNineNinePercentageMember2019-12-310000078128wtrg:LongTermDebtOfSubsidiariesFourPointZeroZeroPercentageToFourPointNineNinePercentageMember2019-12-310000078128wtrg:LongTermDebtOfSubsidiariesFivePointZeroZeroPercentageToFivePointNineNinePercentageMember2019-12-310000078128wtrg:LongTermDebtOfSubsidiariesEightPointZeroZeroPercentageToEightPointNineNinePercentageMember2019-12-310000078128wtrg:AlternativeRevenueProgramMemberwtrg:WaterMember2020-07-012020-09-300000078128wtrg:AlternativeRevenueProgramMemberwtrg:WastewaterMember2020-07-012020-09-300000078128srt:ConsolidationEliminationsMemberwtrg:OtherMember2020-07-012020-09-300000078128srt:ConsolidationEliminationsMemberwtrg:NaturalGasMember2020-07-012020-09-300000078128wtrg:AlternativeRevenueProgramMemberwtrg:WaterMember2020-01-012020-09-300000078128wtrg:AlternativeRevenueProgramMemberwtrg:WastewaterMember2020-01-012020-09-300000078128wtrg:AlternativeRevenueProgramMemberwtrg:NaturalGasMember2020-01-012020-09-300000078128srt:ConsolidationEliminationsMemberwtrg:OtherMember2020-01-012020-09-300000078128srt:ConsolidationEliminationsMemberwtrg:NaturalGasMember2020-01-012020-09-300000078128wtrg:AlternativeRevenueProgramMemberwtrg:WaterMember2019-07-012019-09-300000078128wtrg:AlternativeRevenueProgramMemberwtrg:WastewaterMember2019-07-012019-09-300000078128srt:ConsolidationEliminationsMemberwtrg:OtherMember2019-07-012019-09-300000078128wtrg:AlternativeRevenueProgramMemberwtrg:WaterMember2019-01-012019-09-300000078128wtrg:AlternativeRevenueProgramMemberwtrg:WastewaterMember2019-01-012019-09-300000078128srt:ConsolidationEliminationsMemberwtrg:OtherMember2019-01-012019-09-300000078128wtrg:CustomerRateCreditsMembersrt:ScenarioForecastMemberwtrg:PeoplesGasAcquisitionMember2020-10-012020-12-310000078128wtrg:CustomerRateCreditsMembersrt:ScenarioForecastMemberwtrg:NaturalGasUtilityMember2020-10-012020-12-310000078128wtrg:CustomerRateCreditsMemberwtrg:PeoplesGasAcquisitionMemberwtrg:WastewaterUtilitySystemsInVariousStatesMember2020-07-012020-09-300000078128wtrg:ResidentialMemberwtrg:WaterMember2020-07-012020-09-300000078128wtrg:ResidentialMemberwtrg:WastewaterMember2020-07-012020-09-300000078128wtrg:ResidentialMemberwtrg:NaturalGasMember2020-07-012020-09-300000078128wtrg:OtherWaterMemberwtrg:WaterMember2020-07-012020-09-300000078128wtrg:OtherWastewaterMemberwtrg:WastewaterMember2020-07-012020-09-300000078128wtrg:OtherUtilityMemberwtrg:OtherMember2020-07-012020-09-300000078128wtrg:OtherUtilityMemberwtrg:NaturalGasMember2020-07-012020-09-300000078128wtrg:IndustrialMemberwtrg:WaterMember2020-07-012020-09-300000078128wtrg:IndustrialMemberwtrg:WastewaterMember2020-07-012020-09-300000078128wtrg:IndustrialMemberwtrg:NaturalGasMember2020-07-012020-09-300000078128wtrg:GasTransportationMemberwtrg:NaturalGasMember2020-07-012020-09-300000078128wtrg:FireProtectionMemberwtrg:WaterMember2020-07-012020-09-300000078128wtrg:CustomerRateCreditsMemberwtrg:WaterMember2020-07-012020-09-300000078128wtrg:CustomerRateCreditsMemberwtrg:WastewaterUtilitySystemsInVariousStatesMember2020-07-012020-09-300000078128wtrg:CustomerRateCreditsMemberwtrg:WastewaterMember2020-07-012020-09-300000078128wtrg:CommercialMemberwtrg:WaterMember2020-07-012020-09-300000078128wtrg:CommercialMemberwtrg:WastewaterMember2020-07-012020-09-300000078128wtrg:CommercialMemberwtrg:NaturalGasMember2020-07-012020-09-300000078128wtrg:WaterMember2020-07-012020-09-300000078128wtrg:WastewaterMember2020-07-012020-09-300000078128wtrg:OtherMember2020-07-012020-09-300000078128wtrg:NaturalGasMember2020-07-012020-09-300000078128wtrg:ResidentialMemberwtrg:WaterMember2020-01-012020-09-300000078128wtrg:ResidentialMemberwtrg:WastewaterMember2020-01-012020-09-300000078128wtrg:ResidentialMemberwtrg:NaturalGasMember2020-01-012020-09-300000078128wtrg:OtherWaterMemberwtrg:WaterMember2020-01-012020-09-300000078128wtrg:OtherWastewaterMemberwtrg:WastewaterMember2020-01-012020-09-300000078128wtrg:OtherUtilityMemberwtrg:OtherMember2020-01-012020-09-300000078128wtrg:OtherUtilityMemberwtrg:NaturalGasMember2020-01-012020-09-300000078128wtrg:IndustrialMemberwtrg:WaterMember2020-01-012020-09-300000078128wtrg:IndustrialMemberwtrg:WastewaterMember2020-01-012020-09-300000078128wtrg:IndustrialMemberwtrg:NaturalGasMember2020-01-012020-09-300000078128wtrg:GasTransportationMemberwtrg:NaturalGasMember2020-01-012020-09-300000078128wtrg:FireProtectionMemberwtrg:WaterMember2020-01-012020-09-300000078128wtrg:CustomerRateCreditsMemberwtrg:WaterMember2020-01-012020-09-300000078128wtrg:CustomerRateCreditsMemberwtrg:WastewaterMember2020-01-012020-09-300000078128wtrg:CommercialMemberwtrg:WaterMember2020-01-012020-09-300000078128wtrg:CommercialMemberwtrg:WastewaterMember2020-01-012020-09-300000078128wtrg:CommercialMemberwtrg:NaturalGasMember2020-01-012020-09-300000078128wtrg:WaterMember2020-01-012020-09-300000078128wtrg:WastewaterMember2020-01-012020-09-300000078128wtrg:OtherMember2020-01-012020-09-300000078128wtrg:NaturalGasMember2020-01-012020-09-300000078128wtrg:ResidentialMemberwtrg:WaterMember2019-07-012019-09-300000078128wtrg:ResidentialMemberwtrg:WastewaterMember2019-07-012019-09-300000078128wtrg:OtherWaterMemberwtrg:WaterMember2019-07-012019-09-300000078128wtrg:OtherWastewaterMemberwtrg:WastewaterMember2019-07-012019-09-300000078128wtrg:OtherUtilityMemberwtrg:OtherMember2019-07-012019-09-300000078128wtrg:IndustrialMemberwtrg:WaterMember2019-07-012019-09-300000078128wtrg:IndustrialMemberwtrg:WastewaterMember2019-07-012019-09-300000078128wtrg:FireProtectionMemberwtrg:WaterMember2019-07-012019-09-300000078128wtrg:CommercialMemberwtrg:WaterMember2019-07-012019-09-300000078128wtrg:CommercialMemberwtrg:WastewaterMember2019-07-012019-09-300000078128wtrg:WaterMember2019-07-012019-09-300000078128wtrg:WastewaterMember2019-07-012019-09-300000078128wtrg:OtherMember2019-07-012019-09-300000078128wtrg:ResidentialMemberwtrg:WaterMember2019-01-012019-09-300000078128wtrg:ResidentialMemberwtrg:WastewaterMember2019-01-012019-09-300000078128wtrg:OtherWaterMemberwtrg:WaterMember2019-01-012019-09-300000078128wtrg:OtherWastewaterMemberwtrg:WastewaterMember2019-01-012019-09-300000078128wtrg:OtherUtilityMemberwtrg:OtherMember2019-01-012019-09-300000078128wtrg:IndustrialMemberwtrg:WaterMember2019-01-012019-09-300000078128wtrg:IndustrialMemberwtrg:WastewaterMember2019-01-012019-09-300000078128wtrg:FireProtectionMemberwtrg:WaterMember2019-01-012019-09-300000078128wtrg:CommercialMemberwtrg:WaterMember2019-01-012019-09-300000078128wtrg:CommercialMemberwtrg:WastewaterMember2019-01-012019-09-300000078128wtrg:WaterMember2019-01-012019-09-300000078128wtrg:WastewaterMember2019-01-012019-09-300000078128wtrg:OtherMember2019-01-012019-09-300000078128wtrg:TermLoanMember2020-06-012020-06-300000078128wtrg:TermLoanMember2020-05-012020-05-310000078128wtrg:PeoplesGasAcquisitionMemberwtrg:UnsecuredCreditFacilityMember2020-04-132020-04-130000078128wtrg:CompanyDebtRefinancingMember2019-05-182019-05-180000078128wtrg:CompanyDebtRefinancingMember2019-04-012019-04-300000078128wtrg:NotesMember2019-01-012019-12-310000078128stpr:NCus-gaap:SubsequentEventMember2020-10-262020-10-260000078128wtrg:IndianaAndOhioMember2020-01-012020-09-300000078128wtrg:IllinoisAndNorthCarolinaMember2020-01-012020-09-300000078128stpr:PA2019-05-242019-05-2400000781282019-04-242019-04-240000078128wtrg:ForwardEquitySaleAgreementMember2020-08-012020-08-3100000781282020-08-032020-08-0300000781282020-03-162020-03-160000078128wtrg:LongTermMember2020-04-132020-04-130000078128wtrg:LdcFundingLlcMemberwtrg:LongTermMember2019-04-262019-04-260000078128wtrg:NotesMember2019-05-182019-05-180000078128wtrg:WastewaterUtilitySystemsInVariousStatesMember2020-01-012020-09-300000078128wtrg:RevolvingCreditAgreementDueBMember2020-09-300000078128us-gaap:EstimateOfFairValueFairValueDisclosureMember2020-09-300000078128us-gaap:CarryingReportedAmountFairValueDisclosureMember2020-09-300000078128us-gaap:EstimateOfFairValueFairValueDisclosureMember2019-12-310000078128us-gaap:CarryingReportedAmountFairValueDisclosureMember2019-12-310000078128wtrg:NotesMember2020-09-300000078128wtrg:PeoplesGasAcquisitionMemberus-gaap:RevolvingCreditFacilityMember2020-03-160000078128wtrg:PeoplesGasAcquisitionMemberus-gaap:RevolvingCreditFacilityMember2020-03-130000078128wtrg:UnsecuredCreditFacilityMember2020-04-030000078128wtrg:PeoplesGasAcquisitionMemberwtrg:CreditAgreementMember2020-03-130000078128wtrg:PeoplesGasAcquisitionMemberwtrg:NaturalGasUtilityMember2020-03-160000078128wtrg:WastewaterUtilitySystemsInVariousStatesMember2019-12-310000078128us-gaap:InterestRateSwapMember2019-04-242019-04-240000078128us-gaap:NoncompeteAgreementsMember2020-01-012020-09-300000078128us-gaap:CustomerRelationshipsMember2020-01-012020-09-300000078128wtrg:AquaInfrastructureSubsidiaryMemberus-gaap:SubsequentEventMember2020-10-300000078128wtrg:AquaInfrastructureMember2020-09-300000078128us-gaap:StateAndLocalJurisdictionMember2020-01-012020-09-300000078128us-gaap:StateAndLocalJurisdictionMember2019-01-012019-09-300000078128us-gaap:RetainedEarningsMember2020-07-012020-09-300000078128us-gaap:RetainedEarningsMember2020-04-012020-06-300000078128us-gaap:RetainedEarningsMember2020-01-012020-03-310000078128us-gaap:RetainedEarningsMember2019-07-012019-09-300000078128us-gaap:RetainedEarningsMember2019-04-012019-06-300000078128us-gaap:RetainedEarningsMember2019-01-012019-03-310000078128us-gaap:DisposalGroupNotDiscontinuedOperationsMember2020-09-012020-09-300000078128us-gaap:DisposalGroupNotDiscontinuedOperationsMember2019-04-012019-04-300000078128us-gaap:DisposalGroupNotDiscontinuedOperationsMember2020-09-300000078128us-gaap:DisposalGroupNotDiscontinuedOperationsMember2019-04-300000078128us-gaap:InterestRateSwapMember2018-10-310000078128us-gaap:InterestRateSwapMemberus-gaap:FairValueHedgingMemberus-gaap:NondesignatedMemberus-gaap:OtherOperatingIncomeExpenseMember2019-01-012019-09-300000078128wtrg:ForwardEquitySaleAgreementMember2020-09-300000078128us-gaap:OperatingSegmentsMemberwtrg:WaterMember2020-07-012020-09-300000078128us-gaap:OperatingSegmentsMemberwtrg:NaturalGasMember2020-07-012020-09-300000078128us-gaap:CorporateAndOtherMember2020-07-012020-09-300000078128us-gaap:OperatingSegmentsMemberwtrg:WaterMember2020-01-012020-09-300000078128us-gaap:OperatingSegmentsMemberwtrg:NaturalGasMember2020-01-012020-09-300000078128us-gaap:OperatingSegmentsMemberwtrg:WaterMember2019-07-012019-09-300000078128us-gaap:OperatingSegmentsMemberwtrg:WaterMember2019-01-012019-09-300000078128wtrg:PeoplesGasAcquisitionMemberus-gaap:PensionPlansDefinedBenefitMember2020-07-012020-09-300000078128wtrg:PeoplesGasAcquisitionMemberus-gaap:OtherPostretirementBenefitPlansDefinedBenefitMember2020-07-012020-09-300000078128wtrg:PeoplesGasAcquisitionMemberus-gaap:PensionPlansDefinedBenefitMember2020-01-012020-09-300000078128wtrg:PeoplesGasAcquisitionMemberus-gaap:OtherPostretirementBenefitPlansDefinedBenefitMember2020-01-012020-09-300000078128us-gaap:PensionPlansDefinedBenefitMember2020-07-012020-09-300000078128us-gaap:OtherPostretirementBenefitPlansDefinedBenefitMember2020-07-012020-09-300000078128us-gaap:PensionPlansDefinedBenefitMember2020-01-012020-09-300000078128us-gaap:OtherPostretirementBenefitPlansDefinedBenefitMember2020-01-012020-09-300000078128us-gaap:PensionPlansDefinedBenefitMember2019-07-012019-09-300000078128us-gaap:OtherPostretirementBenefitPlansDefinedBenefitMember2019-07-012019-09-300000078128us-gaap:PensionPlansDefinedBenefitMember2019-01-012019-09-300000078128us-gaap:OtherPostretirementBenefitPlansDefinedBenefitMember2019-01-012019-09-300000078128wtrg:PeoplesGasAcquisitionMemberwtrg:UnsecuredCreditFacilityMember2020-03-132020-03-130000078128wtrg:PeoplesGasAcquisitionMemberus-gaap:RevolvingCreditFacilityMember2020-03-132020-03-130000078128wtrg:LongTermCMember2019-05-182019-05-180000078128wtrg:LongTermBMember2019-05-182019-05-180000078128srt:MinimumMemberwtrg:LongTermDebtOfSubsidiariesZeroPointZeroZeroPercentageToZeroPointNineNinePercentageMember2020-09-300000078128srt:MinimumMemberwtrg:LongTermDebtOfSubsidiariesTwoPointZeroZeroPercentageToTwoPointNineNinePercentageMember2020-09-300000078128srt:MinimumMemberwtrg:LongTermDebtOfSubsidiariesThreePointZeroZeroPercentageToThreePointNineNinePercentageMember2020-09-300000078128srt:MinimumMemberwtrg:LongTermDebtOfSubsidiariesSixPointZeroZeroPercentageToSixPointNineNinePercentageMember2020-09-300000078128srt:MinimumMemberwtrg:LongTermDebtOfSubsidiariesSevenPointZeroZeroPercentageToSevenPointNineNinePercentageMember2020-09-300000078128srt:MinimumMemberwtrg:LongTermDebtOfSubsidiariesOnePointZeroZeroPercentageToOnePointNineNinePercentageMember2020-09-300000078128srt:MinimumMemberwtrg:LongTermDebtOfSubsidiariesNinePointZeroZeroPercentageToNinePointNineNinePercentageMember2020-09-300000078128srt:MinimumMemberwtrg:LongTermDebtOfSubsidiariesFourPointZeroZeroPercentageToFourPointNineNinePercentageMember2020-09-300000078128srt:MinimumMemberwtrg:LongTermDebtOfSubsidiariesFivePointZeroZeroPercentageToFivePointNineNinePercentageMember2020-09-300000078128srt:MinimumMemberwtrg:LongTermDebtOfSubsidiariesEightPointZeroZeroPercentageToEightPointNineNinePercentageMember2020-09-300000078128srt:MaximumMemberwtrg:LongTermDebtOfSubsidiariesZeroPointZeroZeroPercentageToZeroPointNineNinePercentageMember2020-09-300000078128srt:MaximumMemberwtrg:LongTermDebtOfSubsidiariesTwoPointZeroZeroPercentageToTwoPointNineNinePercentageMember2020-09-300000078128srt:MaximumMemberwtrg:LongTermDebtOfSubsidiariesThreePointZeroZeroPercentageToThreePointNineNinePercentageMember2020-09-300000078128srt:MaximumMemberwtrg:LongTermDebtOfSubsidiariesSixPointZeroZeroPercentageToSixPointNineNinePercentageMember2020-09-300000078128srt:MaximumMemberwtrg:LongTermDebtOfSubsidiariesSevenPointZeroZeroPercentageToSevenPointNineNinePercentageMember2020-09-300000078128srt:MaximumMemberwtrg:LongTermDebtOfSubsidiariesOnePointZeroZeroPercentageToOnePointNineNinePercentageMember2020-09-300000078128srt:MaximumMemberwtrg:LongTermDebtOfSubsidiariesNinePointZeroZeroPercentageToNinePointNineNinePercentageMember2020-09-300000078128srt:MaximumMemberwtrg:LongTermDebtOfSubsidiariesFourPointZeroZeroPercentageToFourPointNineNinePercentageMember2020-09-300000078128srt:MaximumMemberwtrg:LongTermDebtOfSubsidiariesFivePointZeroZeroPercentageToFivePointNineNinePercentageMember2020-09-300000078128srt:MaximumMemberwtrg:LongTermDebtOfSubsidiariesEightPointZeroZeroPercentageToEightPointNineNinePercentageMember2020-09-300000078128wtrg:NotesZMember2020-09-300000078128wtrg:NotesGMember2020-09-300000078128wtrg:NotesFMember2020-09-300000078128wtrg:NotesCMember2020-09-300000078128wtrg:NotesBMember2020-09-300000078128wtrg:NotesAaMember2020-09-300000078128wtrg:BankNoteCMember2020-09-300000078128wtrg:AmortizingNotesMember2020-09-300000078128srt:MinimumMemberwtrg:PeoplesGasAcquisitionMemberus-gaap:SeniorNotesMember2020-03-130000078128srt:MaximumMemberwtrg:PeoplesGasAcquisitionMemberus-gaap:SeniorNotesMember2020-03-130000078128srt:MinimumMemberwtrg:LongTermDebtOfSubsidiariesZeroPointZeroZeroPercentageToZeroPointNineNinePercentageMember2019-12-310000078128srt:MinimumMemberwtrg:LongTermDebtOfSubsidiariesTwoPointZeroZeroPercentageToTwoPointNineNinePercentageMember2019-12-310000078128srt:MinimumMemberwtrg:LongTermDebtOfSubsidiariesThreePointZeroZeroPercentageToThreePointNineNinePercentageMember2019-12-310000078128srt:MinimumMemberwtrg:LongTermDebtOfSubsidiariesSixPointZeroZeroPercentageToSixPointNineNinePercentageMember2019-12-310000078128srt:MinimumMemberwtrg:LongTermDebtOfSubsidiariesSevenPointZeroZeroPercentageToSevenPointNineNinePercentageMember2019-12-310000078128srt:MinimumMemberwtrg:LongTermDebtOfSubsidiariesOnePointZeroZeroPercentageToOnePointNineNinePercentageMember2019-12-310000078128srt:MinimumMemberwtrg:LongTermDebtOfSubsidiariesNinePointZeroZeroPercentageToNinePointNineNinePercentageMember2019-12-310000078128srt:MinimumMemberwtrg:LongTermDebtOfSubsidiariesFourPointZeroZeroPercentageToFourPointNineNinePercentageMember2019-12-310000078128srt:MinimumMemberwtrg:LongTermDebtOfSubsidiariesFivePointZeroZeroPercentageToFivePointNineNinePercentageMember2019-12-310000078128srt:MinimumMemberwtrg:LongTermDebtOfSubsidiariesEightPointZeroZeroPercentageToEightPointNineNinePercentageMember2019-12-310000078128srt:MaximumMemberwtrg:LongTermDebtOfSubsidiariesZeroPointZeroZeroPercentageToZeroPointNineNinePercentageMember2019-12-310000078128srt:MaximumMemberwtrg:LongTermDebtOfSubsidiariesTwoPointZeroZeroPercentageToTwoPointNineNinePercentageMember2019-12-310000078128srt:MaximumMemberwtrg:LongTermDebtOfSubsidiariesThreePointZeroZeroPercentageToThreePointNineNinePercentageMember2019-12-310000078128srt:MaximumMemberwtrg:LongTermDebtOfSubsidiariesSixPointZeroZeroPercentageToSixPointNineNinePercentageMember2019-12-310000078128srt:MaximumMemberwtrg:LongTermDebtOfSubsidiariesSevenPointZeroZeroPercentageToSevenPointNineNinePercentageMember2019-12-310000078128srt:MaximumMemberwtrg:LongTermDebtOfSubsidiariesOnePointZeroZeroPercentageToOnePointNineNinePercentageMember2019-12-310000078128srt:MaximumMemberwtrg:LongTermDebtOfSubsidiariesNinePointZeroZeroPercentageToNinePointNineNinePercentageMember2019-12-310000078128srt:MaximumMemberwtrg:LongTermDebtOfSubsidiariesFourPointZeroZeroPercentageToFourPointNineNinePercentageMember2019-12-310000078128srt:MaximumMemberwtrg:LongTermDebtOfSubsidiariesFivePointZeroZeroPercentageToFivePointNineNinePercentageMember2019-12-310000078128srt:MaximumMemberwtrg:LongTermDebtOfSubsidiariesEightPointZeroZeroPercentageToEightPointNineNinePercentageMember2019-12-310000078128wtrg:NotesZMember2019-12-310000078128wtrg:NotesGMember2019-12-310000078128wtrg:NotesFMember2019-12-310000078128wtrg:NotesCMember2019-12-310000078128wtrg:NotesBMember2019-12-310000078128wtrg:NotesAaMember2019-12-310000078128wtrg:BankNoteCMember2019-12-310000078128wtrg:AmortizingNotesMember2019-12-310000078128wtrg:FirstMortgageBondsMemberwtrg:AquaPennsylvaniaIncMember2020-05-010000078128wtrg:FirstMortgageBondsDMemberwtrg:AquaPennsylvaniaIncMember2020-05-010000078128wtrg:FirstMortgageBondsCMemberwtrg:AquaPennsylvaniaIncMember2020-05-010000078128wtrg:FirstMortgageBondsBMemberwtrg:AquaPennsylvaniaIncMember2020-05-010000078128wtrg:LongTermMember2020-04-130000078128wtrg:LongTermEMember2020-04-130000078128wtrg:LongTermDMember2020-04-130000078128wtrg:PeoplesGasAcquisitionMemberwtrg:UnsecuredCreditFacilityMember2020-03-130000078128wtrg:LdcFundingLlcMemberwtrg:LongTermMember2019-04-260000078128wtrg:LdcFundingLlcMemberwtrg:FirstMortgageBondsFMember2019-04-260000078128wtrg:LdcFundingLlcMemberwtrg:FirstMortgageBondsEMember2019-04-260000078128us-gaap:InterestRateSwapMember2019-04-240000078128wtrg:PeoplesGasAcquisitionMemberwtrg:BridgeCommitmentMember2018-10-2200000781282019-03-292019-03-290000078128wtrg:LdcFundingLlcMember2019-04-230000078128wtrg:ForwardEquitySaleAgreementMember2020-08-3100000781282020-05-3100000781282019-03-2900000781282019-09-3000000781282018-12-310000078128us-gaap:FairValueInputsLevel1Member2020-09-300000078128us-gaap:FairValueInputsLevel1Member2019-12-310000078128us-gaap:CorporateAndOtherMember2020-01-012020-09-300000078128us-gaap:CorporateAndOtherMember2019-07-012019-09-300000078128us-gaap:CorporateAndOtherMember2019-01-012019-09-300000078128wtrg:PeoplesGasAcquisitionMemberus-gaap:InterestRateSwapMember2019-01-012019-04-240000078128wtrg:PeoplesGasAcquisitionMember2020-09-300000078128wtrg:PeoplesGasAcquisitionMember2019-09-300000078128wtrg:PeoplesGasAcquisitionMember2020-01-012020-03-310000078128wtrg:CheltenhamTownshipMemberwtrg:WastewaterUtilitySystemMember2019-12-310000078128wtrg:PeoplesGasAcquisitionMember2020-03-130000078128wtrg:PeoplesGasAcquisitionMember2020-03-160000078128wtrg:WastewaterUtilitySystemsInVariousStatesMemberus-gaap:SubsequentEventMember2020-10-012020-10-310000078128wtrg:WastewaterUtilitySystemsInVariousStatesMember2020-09-012020-09-300000078128stpr:PAwtrg:WastewaterUtilitySystemMember2020-06-012020-06-300000078128wtrg:PeoplesGasAcquisitionMember2020-03-162020-03-160000078128stpr:OHwtrg:WastewaterUtilitySystemsInVariousStatesMember2020-01-012020-01-310000078128wtrg:CheltenhamTownshipMemberwtrg:WastewaterUtilitySystemMember2019-12-012019-12-310000078128stpr:PAwtrg:WastewaterUtilitySystemMember2019-11-012019-11-300000078128stpr:DEwtrg:WastewaterUtilitySystemMember2019-09-012019-09-300000078128wtrg:WastewaterUtilitySystemsInVariousStatesMember2019-01-012019-12-310000078128wtrg:PeoplesGasAcquisitionMember2020-07-012020-09-300000078128wtrg:PeoplesGasAcquisitionMember2020-01-012020-09-300000078128wtrg:PeoplesGasAcquisitionMember2019-07-012019-09-300000078128wtrg:PeoplesGasAcquisitionMember2019-01-012019-09-300000078128us-gaap:OperatingSegmentsMemberwtrg:WaterMember2020-09-300000078128us-gaap:OperatingSegmentsMemberwtrg:NaturalGasMember2020-09-300000078128us-gaap:CorporateAndOtherMember2020-09-300000078128us-gaap:OperatingSegmentsMemberwtrg:WaterMember2019-12-310000078128us-gaap:CorporateAndOtherMember2019-12-310000078128wtrg:PerformanceShareUnitsMember2020-07-012020-09-300000078128us-gaap:StockCompensationPlanMember2020-07-012020-09-300000078128us-gaap:RestrictedStockUnitsRSUMember2020-07-012020-09-300000078128us-gaap:RestrictedStockMember2020-07-012020-09-300000078128us-gaap:EmployeeStockOptionMember2020-07-012020-09-300000078128wtrg:PerformanceShareUnitsMember2020-01-012020-09-300000078128us-gaap:StockCompensationPlanMember2020-01-012020-09-300000078128us-gaap:RestrictedStockUnitsRSUMember2020-01-012020-09-300000078128us-gaap:RestrictedStockMember2020-01-012020-09-300000078128us-gaap:EmployeeStockOptionMember2020-01-012020-09-300000078128wtrg:PerformanceShareUnitsMember2019-07-012019-09-300000078128us-gaap:StockCompensationPlanMember2019-07-012019-09-300000078128us-gaap:RestrictedStockUnitsRSUMember2019-07-012019-09-300000078128us-gaap:EmployeeStockOptionMember2019-07-012019-09-300000078128wtrg:PerformanceShareUnitsMember2019-01-012019-09-300000078128us-gaap:StockCompensationPlanMember2019-01-012019-09-300000078128us-gaap:RestrictedStockUnitsRSUMember2019-01-012019-09-300000078128us-gaap:EmployeeStockOptionMember2019-01-012019-09-300000078128us-gaap:TreasuryStockMember2020-07-012020-09-300000078128us-gaap:AdditionalPaidInCapitalMember2020-07-012020-09-300000078128us-gaap:TreasuryStockMember2020-04-012020-06-300000078128us-gaap:AdditionalPaidInCapitalMember2020-04-012020-06-3000000781282020-04-012020-06-300000078128us-gaap:AdditionalPaidInCapitalMember2020-01-012020-03-3100000781282020-01-012020-03-310000078128us-gaap:AdditionalPaidInCapitalMember2019-07-012019-09-300000078128us-gaap:AdditionalPaidInCapitalMember2019-04-012019-06-3000000781282019-04-012019-06-300000078128us-gaap:AdditionalPaidInCapitalMember2019-01-012019-03-3100000781282019-01-012019-03-310000078128wtrg:LdcFundingLlcMember2019-04-232019-04-2300000781282020-07-012020-09-3000000781282019-07-012019-09-3000000781282019-01-012019-09-3000000781282020-09-3000000781282019-12-310000078128wtrg:TangibleEquityUnitsMember2020-01-012020-09-300000078128us-gaap:CommonClassAMember2020-01-012020-09-3000000781282020-10-2300000781282020-01-012020-09-30wtrg:customerwtrg:segmentiso4217:USDwtrg:agreementxbrli:purewtrg: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, 2020 

£ 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 

ESSENTIAL UTILITIES, 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)

N/A

(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

WTRG

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, 2020: 245,271,727


Table of Contents

ESSENTIAL UTILITIES, INC. AND SUBSIDIARIES

TABLE OF CONTENTS

Page

Part I – Financial Information

Item 1. Financial Statements:

Consolidated Balance Sheets (unaudited) – September 30, 2020 and December 31, 2019

2

Consolidated Statements of Operations and Comprehensive Income (unaudited) –
Three Months Ended September 30, 2020 and 2019

4

Consolidated Statements of Operations and Comprehensive Income (unaudited) –

Nine Months Ended September 30, 2020 and 2019

5

Consolidated Statements of Capitalization (unaudited) –
September 30, 2020 and December 31, 2019

6

Consolidated Statements of Equity (unaudited) –
Nine Months Ended September 30, 2020

7

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

8

Consolidated Statements of Cash Flow (unaudited) –
Nine Months Ended September 30, 2020 and 2019

9

Notes to Consolidated Financial Statements (unaudited)

10

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

42

Item 3. Quantitative and Qualitative Disclosures About Market Risk

55

Item 4. Controls and Procedures

55

 

Part II – Other Information

 

Item 1. Legal Proceedings

55

Item 1A. Risk Factors

56

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

57

Item 6. Exhibits

58

Signatures

59

1


Table of Contents

ESSENTIAL UTILITIES, INC. AND SUBSIDIARIES 

CONSOLIDATED BALANCE SHEETS 

(In thousands of dollars, except per share amounts) 

(UNAUDITED)

 

September 30,

December 31,

Assets

2020

2019

Property, plant and equipment, at cost

$

11,321,044

$

8,201,936 

Less: accumulated depreciation

2,060,584

1,856,146 

Net property, plant and equipment

9,260,460

6,345,790 

Current assets:

Cash and cash equivalents

8,494

1,868,922 

Accounts receivable, net

126,774

67,137 

Unbilled revenues

62,999

40,483 

Inventory - materials and supplies

23,651

18,379 

Inventory - gas stored

42,964

-

Prepayments and other current assets

37,551

16,259 

Regulatory assets

8,113

2,389 

Assets held for sale

692

1,558 

Total current assets

311,238

2,015,127 

Regulatory assets

1,369,823

875,743 

Deferred charges and other assets, net

51,489

42,652 

Investment in joint venture

1,757

5,984 

Funds restricted for construction activity

1,243

-

Goodwill

2,333,627

63,822 

Operating lease right-of-use assets

62,022

12,867 

Intangible assets

7,829

-

Total assets

$

13,399,488

$

9,361,985 

The accompanying notes are an integral part of these consolidated financial statements

2


Table of Contents

ESSENTIAL UTILITIES, INC. AND SUBSIDIARIES 

CONSOLIDATED BALANCE SHEETS (continued)

(In thousands of dollars, except per share amounts) 

(UNAUDITED)

 

September 30,

December 31,

Liabilities and Equity

2020

2019

Stockholders' equity:

Common stock at $0.50 par value, authorized 600,000,000 shares, issued 248,457,751 and 223,871,284 as of September 30, 2020 and December 31, 2019

$

124,228

$

111,935 

Capital in excess of par value

3,372,376

2,636,555 

Retained earnings

1,220,790

1,210,072 

Treasury stock, at cost, 3,186,771 and 3,112,565 shares as of September 30, 2020 and December 31, 2019

(81,641)

(77,702)

Total stockholders' equity

4,635,753

3,880,860 

Long-term debt, excluding current portion

5,190,978

2,972,349 

Less: debt issuance costs

38,005

29,022 

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

5,152,973

2,943,327 

Commitments and contingencies (See Note 15)

 

 

Current liabilities:

Current portion of long-term debt

205,841

105,051 

Loans payable

47,185

25,724 

Accounts payable

158,197

74,919 

Book overdraft

29,110

10,944 

Accrued interest

66,728

29,818 

Accrued taxes

28,426

22,775 

Regulatory liabilities

10,880

4,612 

Other accrued liabilities

120,592

49,618 

Total current liabilities

666,959

323,461 

Deferred credits and other liabilities:

Deferred income taxes and investment tax credits

1,238,328

936,158 

Customers' advances for construction

105,613

95,556 

Regulatory liabilities

779,117

512,987 

Asset retirement obligations

50,927

-

Operating lease liabilities

57,500

11,645 

Pension and other postretirement benefit liabilities

98,209

69,406 

Other

48,087

33,059 

Total deferred credits and other liabilities

2,377,781

1,658,811 

Contributions in aid of construction

566,022

555,526 

Total liabilities and equity

$

13,399,488

$

9,361,985 

The accompanying notes are an integral part of these consolidated financial statements

3


Table of Contents

ESSENTIAL UTILITIES, INC. AND SUBSIDIARIES 

CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME

(In thousands, except per share amounts)

(UNAUDITED)

 

Three Months Ended

September 30,

2020

2019

Operating revenues

$

348,647

$

243,626

Operating expenses:

Operations and maintenance

136,174

82,022

Purchased gas

16,744

-

Depreciation

68,175

39,489

Amortization

1,766

444

Taxes other than income taxes

20,555

15,201

Total operating expenses

243,414

137,156

Operating income

105,233

106,470

Other expense (income):

Interest expense

49,861

32,643

Interest income

(114)

(9,680)

Allowance for funds used during construction

(3,543)

(4,613)

Gain on sale of other assets

(233)

(175)

Equity loss (earnings) in joint venture

3,626

(135)

Other

(4,127)

1,494

Income before income taxes

59,763

86,936

Provision for income taxes (benefit)

4,031

(1,553)

Net income

$

55,732

$

88,489

Comprehensive income

$

55,732

$

88,489

Net income per common share:

Basic

$

0.22

$

0.38

Diluted

$

0.22

$

0.38

Average common shares outstanding during the period:

Basic

254,280

232,053

Diluted

255,162

232,464

The accompanying notes are an integral part of these consolidated financial statements

 

4


Table of Contents

ESSENTIAL UTILITIES, INC. AND SUBSIDIARIES 

CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME

(In thousands, except per share amounts)

(UNAUDITED)

 

Nine Months Ended

September 30,

2020

2019

Operating revenues

$

988,700

$

663,650

Operating expenses:

Operations and maintenance

371,415

247,781

Purchased gas

72,934

-

Depreciation

181,666

118,113

Amortization

4,412

(2,140)

Taxes other than income taxes

56,424

45,038

Total operating expenses

686,851

408,792

Operating income

301,849

254,858

Other expense (income):

Interest expense

136,650

92,239

Interest income

(5,346)

(18,117)

Allowance for funds used during construction

(8,721)

(12,280)

Change in fair value of interest rate swap agreements

-

23,742

Loss on debt extinguishment

-

18,920

Gain on sale of other assets

(358)

(443)

Equity loss (earnings) in joint venture

3,283

(1,918)

Other

(3,170)

4,293

Income before income taxes

179,511

148,422

Provision for income taxes (benefit)

(2,631)

(11,894)

Net income

$

182,142

$

160,316

Comprehensive income

$