FORM 10-Q
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
Quarterly Report Pursuant to Section 13 or 15(d)
of the Securities Exchange Act of 1934
For Quarter Ended September 30, 1997
Commission file number 1-8966
SJW Corp.
(Exact name of registrant as specified in its charter)
California 77-0066628
(State or other jurisdiction of (I.R.S. Employer
incorporation or organization) Identification No.)
374 West Santa Clara Street, San Jose, CA 95196
(Address of principal executive offices)
(Zip Code)
408-279-7810
(Registrant's telephone number, including area code)
Not Applicable
(Former name, former address and former fiscal year 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 x No
APPLICABLE ONLY TO CORPORATE ISSUERS:
Common shares outstanding as of November 12, 1997 and as of the
date of this report are 3,170,347.
Average usage per metered customer in the third quarter of 1997 was
about the same as the third quarter of 1996. Year-
to-date metered customer usage increased 11% over the same period
in 1996.
Operating expense
The change in consolidated operating expense, excluding income
taxes, from the same period in 1996 was due to the following:
Operating expense Three months Nine Months
ended September 30, 1997 vs. 1996
Increase/(decrease)
Operation and
maintenance $871,000 3.7% 3,551,000 6.1%
Depreciation 62,000 0.3 185,000 0.3
General Taxes 10,000 0.0 117,000 0.2
$943,000 4.0% 3,853,000 6.6%
The higher operation and maintenance expense was attributable to
increased water production cost due to higher water consumption.
The increase in production cost was partially offset by lower
purchased power cost and higher availability of non-contract water
at reduced cost from the Santa Clara Valley Water District.
Other
Income taxes on operations and the effective income tax rate in
the third quarter of 1997 was about the same as the third quarter
of 1996. Year-to-date income taxes on operations increased
$1,206,000, or 16%. The effective income tax rate on operations
increased from 34.3% in 1996 to 35.5% in 1997 due to higher
taxable income and graduated tax rate.
Since the water business is highly seasonal in nature, a comparison
of the revenue and expense of the current quarter with the
immediately preceding quarter would not be meaningful. Results of
the first nine months of 1997 may not be indicative of results for
the full year.
San Jose Water Company entered into a 25-year lease agreement to
operate the City of Cupertino's municipal water system effective
October 1, 1997. The City of Cupertino's municipal water system
has 4,200 service connections and is adjacent to the northern
section of the San Jose Water Company's service area. San Jose
Water Company paid a one-time concession fee of $6.8 million to the
City of Cupertino, and will receive all payments for water service
and assume responsibility for all maintenance, operating and
capital costs.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of
1934, the registrant has duly caused this report to be signed
on its behalf by the undersigned thereunto duly authorized.
SJW Corp.
Date: November 12, 1997 By /s/
Angela Yip
Chief Financial Officer