Philadelphia Suburban Corporation's Ohio Subsidiary Buys Summit County System

Updated 10:00 AM ET August 2, 2000

BRYN MAWR, Pa. (BUSINESS WIRE) - Philadelphia Suburban Corporation today announced that their Consumers Ohio Water Company (COWC) subsidiary has purchased the Summit County water system, which serves approximately 4,200 residents in the City of Green, for $2.3 million.

The acquisition is the sixth growth venture announced by PSC this year and the second for COWC.

PSC Chairman Nicholas DeBenedictis said he is pleased with the progress COWC has made with the implementation of its growth-through-acquisition strategy. "This is the fourth acquisition or management contract for our Consumers Ohio operations in less than 12 months," said DeBenedictis. "Ohio is one of the states where we expected to find growth opportunities and that has been our experience to date."

The Summit acquisition is the sixth growth venture PSC has announced this year for the entire company, which has operations in Pennsylvania, Ohio, Illinois, Maine and New Jersey. The other growth venture announcements made by PSC this year were:

  • January 2000 - Philadelphia Suburban Water Company (PSW) reached an agreement of sale to purchase the Whitehorse Village retirement community water system that includes 500 residences and a 100-bed hospital in Edgmont Township, Delaware County.
  • January 2000 - Consumers New Jersey Water Company was awarded a three-year contract to provide meter reading, billing and cash remittance services to the Winslow Township municipal water system in Camden County which provides water and wastewater services to approximately 30,000 residents.
  • April 2000 - PSW's wastewater division purchased the Twin Hills wastewater system that serves approximately 750 residents in West Pikeland Township, Chester County.
  • May 2000 - PSW purchased the Fulmor Heights water system that serves approximately 1,000 residents in Hatboro Borough, Montgomery County.
  • June 2000 - PSC's Consumers Ohio subsidiary merged with Applegrove Water Company, which serves approximately 2,600 residents in Plain Township and the City of North Canton, both in Stark County, Ohio. Consumers Ohio Water Company is a subsidiary of PSC, one of the nation's largest investor-owned water utilities serving nearly two million residents in Pennsylvania, Ohio, Illinois, New Jersey and Maine. PSC is a publicly-traded company listed on both the New York and Philadelphia Stock Exchanges under the ticker symbol "PSC" and has been committed to the preservation and improvement of the environment throughout its history, which spans more than 100 years.

Editors Note: This release contains certain forward-looking statements involving risks, uncertainties and other factors that may cause the actual results to be materially different from any future results expressed or implied by such forward-looking statements. These factors include, among others, the following: general economic business conditions; the success of certain cost containment initiatives, changes in project schedules, project contingencies and variations in water purchases; changes in regulations or regulatory treatment; availability and cost of capital; and the success of growth initiatives.