American Red Cross Recognizes American Water for Tsunami Relief; Company Matches Employee Contributions, Donation Exceeds $94,000.

VOORHEES, N.J. -- American Red Cross officials from the charity's Camden County chapter will attend a check presentation ceremony on April 15 at American Water's corporate headquarters in Voorhees Township, New Jersey. American Water President and CEO Jeremy Pelczer will present the officials with a check for $93,600 made out to the Red Cross International Response Fund to benefiting the victims of the December 26, 2004 tsunami.

Approximately 50 percent of the funds were donated by American Water employees, and Pelczer commented on how proud he is to be part of an organization that cares about the health and well-being of others worldwide. "I am very much looking forward to presenting a check on behalf of the employees of American Water and the company to the American Red Cross," Pelczer said. "Our employees have shown overwhelming compassion and generosity toward the victims of the tsunami in Asia."

American Water employees donated more than $46,500 to the Red Cross in the US and Canada, and another $1,300 to other relief organizations including Doctors Without Borders and the Salvation Army. American Water matched these funds dollar for dollar with a corporate gift, representing only a portion of what the company at large contributed. American Water is part of RWE Thames Water, the water division of RWE, an international utility company. RWE Thames Water also matched its employees' donations. Combined, American Water and RWE Thames Water raised over $256,000 for tsunami relief.

"The American Red Cross goal of raising at least $400 million has been reached, because of the overwhelming response to this tragedy from companies like American Water and from the American people," said American Red Cross Chapter Chair John C. Connell, Esq. "We are grateful for the kindness and generosity of American Water leadership and employees whose donations will help to feed millions of people and aid in the relief effort for years to come."

RWE Thames Water also sent volunteers to Indonesia to provide expertise and help to rebuild devastated communities. Currently Andrew Soule from American Water's Sacramento, CA, operation is coordinating the company's relief efforts in Lam No, Krueng Raya and Krueng Sabe in Indonesia. He has been working with eight fellow volunteers from RWE Thames Water in the UK, and 30 volunteers from Thames Pam Jaya, RWE Thames Water's Indonesian operation. A summary of the Company's activities follows:

Lam No: RWE Thames Water is currently providing water from three treatment units to this refugee camp of about 10,000 people. In addition, water is being transported to outlying areas. About 32,000 gallons of water per day are being treated.

Krueng Raya: About one hour east of Banda Aceh at the site of a destroyed oil terminal, RWE Thames Water has one unit providing water for more than 5,000 people in camps and to the surrounding area.

Krueng Sabe: This is very remote and only accessible by helicopter. RWE Thames Water has two treatment plants here, which provide about 16,000 gallons per day.

RWE Thames Water provided 32 emergency water filtration and purification units to Indonesia and Sri Lanka, as well as flexible hoses, diesel pumps, borehole pumps and water purification tablets.

With a history of over 100 years, American Water provides high-quality water, wastewater, and other related services to over 18 million customers in 29 states and three Canadian provinces. American Water is part of RWE Thames Water, the third largest water and wastewater services company in the world. Through our combined experience and financial strength, we provide customers with international expertise in water quality, research and development, customer satisfaction and security. More information can be found by visiting our website, www.amwater.com.