EXHIBIT 99.1
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CONTACTS:
Joan Huwiler, RWA Mary Ingarra, CT Water
(203) 401-2772 1-800-428-3985 x 3014
TRANSACTION TO ACQUIRE BIRMINGHAM UTILITIES COMPLETE
REGIONAL WATER AUTHORITY OWNS ANSONIA DIVISION
CONNECTICUT WATER OWNS EASTERN OPERATIONS
NEW HAVEN, CONNECTICUT - JANUARY 16, 2008 - The South Central Connecticut
Regional Water Authority (RWA) of New Haven and the Connecticut Water Company of
Clinton today acquired Birmingham Utilities. As part of the transactions, RWA
will own and operate the Ansonia Operations of Birmingham Utilities which has
9,500 customers in Ansonia, Derby, and Seymour. Connecticut Water will own and
operate the Eastern Division of Birmingham Utilities which has 2,200 customers
in 15 towns.
The transactions were effectuated through the merger of RWA21, Ltd., a newly
created wholly owned subsidiary of RWA, with and into BIW Limited, the parent
company that owns Birmingham Utilities. Connecticut Water acquired the Eastern
Division from Birmingham Utilities immediately prior to the merger.
The Connecticut Department of Public Utility Control (DPUC) approved the sale of
Birmingham Utilities to the two water companies in November 2007. The DPUC
decision noted that the Birmingham customers will benefit from being served by
larger utilities that have the resources and capital to invest in future system
improvements, as well as the expertise of highly qualified professional
engineers, water treatment and distribution system operators and customer
service representatives that are on staff.
"We have been planning for the integration of the companies. For years, BUI has
run a quality operation and from the customers' perspective, we will continue to
build upon that strong record of customer service. Our goal is to provide the
BUI customer with a seamless, transparent integration," said David Silverstone,
president and CEO of the South Central Connecticut Regional Water Authority.
Birmingham announced its intent to sell to RWA and Connecticut Water on June 29,
2007. The partnership between the RWA and Connecticut Water to purchase
Birmingham Utilities allowed the transaction to go forward in a fashion
consistent with the RWA's enabling legislation, which limits its water utility
acquisitions to certain towns. The Ansonia operations are within the RWA
district and the remaining systems more closely fit in the Connecticut Water
service area.
"Our employees began working with BUI Eastern Division employees, customers and
town leaders six months ago to ensure they are part of Connecticut Water from
day one," said Eric W. Thornburg, Connecticut Water president and CEO. "We will
continue to work with community leaders and customers to build upon the
investments and infrastructure improvements that Birmingham made in the region
to provide quality service to the customers.
This acquisition was also approved the shareholders of BIW Limited and the
Authority's Representative Policy Board.
EDITORS NOTE:
About the South Central Connecticut Regional Water Authority: It is a nonprofit
public corporation and political subdivision of the State of Connecticut. In
1980, the Authority acquired the New Haven Water Company, an investor owned
water utility, which was founded in 1849. It owns more than 26,000 acres of
land, provides a wide array of recreational opportunities and provides water
related services. Through its Whitney Water Center, the Authority provides
hands-on water science programs to some 16,000 students annually.
About The Connecticut Water Company: It provides water to more than 83,000
customers, or nearly 300,000 people, in 41 towns in Connecticut, and is the
largest subsidiary of Connecticut Water Service, Inc. (NASDAQ GS: CTWS), New
England's largest locally based investor owned water utility company. CTWS also
provides water related services to residential, commercial and industrial
customers as well as municipalities and other water utilities though its New
England Water Utility Services subsidiary.