Market Overview

California Water Withdraws $70.00 Per Share Proposal to Acquire SJW Group After Rejection by SJW


Terminates Tender Offer to Acquire Outstanding SJW Stock

California Water Service Group ("California Water") (NYSE:CWT) today
announced that it has withdrawn its revised proposal to acquire SJW
Group ("SJW") (NYSE:SJW) for $70.00 per share in cash after it was
rejected by the SJW Board. California Water will also terminate its
tender offer to acquire all outstanding shares of SJW common stock.

"California Water is financially disciplined, and after repeated
attempts to engage with the SJW Board of Directors, we believe it is in
our stockholders' best interests to withdraw our proposal and focus on
other opportunities," said Martin A. Kropelnicki, President and CEO of
California Water.

Mr. Kropelnicki continued, "It is unfortunate that the SJW Board
concluded that our offer was not likely to lead to a superior
transaction without availing themselves the opportunity to enter into
a single discussion with us. Although we are disappointed by their
unwillingness to engage, we are confident we have an
excellent growth strategy in place that will continue
to deliver long-term stockholder value. As we build on our long track
record of success, we will remain committed to enhancing the quality of
life for our customers, communities, and employees."

About California Water Service Group

California Water Service Group is the parent company of California Water
Service, Washington Water Service, New Mexico Water Service, Hawaii
Water Service, CWS Utility Services, and HWS Utility Services. Together,
these companies provide regulated and non-regulated water service to
approximately 2 million people in more than 100 California, Washington,
New Mexico, and Hawaii communities. California Water Service Group's
common stock trades on the New York Stock Exchange under the symbol
"CWT." Additional information is available online at

Forward Looking Statements

This news release contains forward-looking statements within the meaning
established by the Private Securities Litigation Reform Act of 1995
("Act"). The forward-looking statements are intended to qualify under
provisions of the federal securities laws for "safe harbor" treatment
established by the Act. Forward-looking statements are based on
currently available information, expectations, estimates, assumptions
and projections, and management's judgment about the Company, the water
utility industry and general economic conditions. Such words as would,
expects, intends, plans, believes, estimates, assumes, anticipates,
projects, predicts, forecasts or variations of such words or similar
expressions are intended to identify forward-looking statements. The
forward-looking statements are not guarantees of future performance.
They are subject to uncertainty and changes in circumstances. Actual
results may vary materially from what is contained in a forward-looking
statement. Factors that may cause a result different than expected or
anticipated include, but are not limited to: governmental and regulatory
commissions' decisions; consequences of eminent domain actions relating
to our water systems; changes in regulatory commissions' policies and
procedures; the timeliness of regulatory commissions' actions concerning
rate relief; inability to renew leases to operate city water systems on
beneficial terms; changes in California State Water Resources Control
Board water quality standards; changes in environmental compliance and
water quality requirements; electric power interruptions; changes in
customer water use patterns and the effects of conservation; the impact
of weather and climate on water availability, water sales and operating
results; the unknown impact of contagious diseases on the Company's
operations; civil disturbances or terrorist threats or acts, or
apprehension about the possible future occurrences of acts of this type;
labor relations matters as we negotiate with the unions; restrictive
covenants in or changes to the credit ratings on our current or future
debt that could increase our financing costs or affect our ability to
borrow, make payments on debt or pay dividends; and, other risks and
unforeseen events. When considering forward-looking statements, you
should keep in mind the cautionary statements included in this
paragraph, as well as the annual 10-K, Quarterly 10-Q, and other reports
filed from time-to-time with the Securities and Exchange Commission
(SEC). The Company assumes no obligation to provide public updates of
forward-looking statements.

View Comments and Join the Discussion!