American States Water Company Announces Appointment of New Chief Financial Officer.

SAN DIMAS, Calif. -- American States Water Company (NYSE:AWR) announced that its Board of Directors appointed Robert J. Sprowls as Senior Vice President, Chief Financial Officer, Corporate Secretary and Treasurer, effective June 30, 2004. He succeeds McClellan ("Bud") Harris III, who has assumed responsibility as Senior Vice President of the Company's non-regulated business, American States Utility Services, Inc.

Floyd E. Wicks, President and CEO, stated, "We are pleased to have Mr. Sprowls join our executive team as his past expertise will make meaningful contributions to the continued success of the Company."

Mr. Sprowls holds a Bachelor of Arts Degree in Economics and Business Administration from Knox College in Illinois and a Master of Business Administration from Bradley University, also in Illinois. He is also a Certified Public Accountant and a Certified Management Accountant. He began his utility career in 1982 as an Economic Analyst with Central Illinois Light Company, rising through the ranks to CFO, and, finally, President in 2001. He was a key CILCO executive on a team that completed the sale of CILCO and its immediate parent, CILCORP Inc., in 2003.

Commenting further, Floyd E. Wicks stated, "The Board of Directors appointed Mr. Harris to his current position at its February meeting, following a presentation on the Company's strategic plan, related to non-regulated business activity. Before coming to American States, Mr. Harris was Vice President - M&A of the non-regulated subsidiary of El Paso Electric Company. As CFO of the Company since 1997, Mr. Harris has been a valuable factor in the success of the Company. In his new role, his deal-making and 26-year utility industry experience positions the Company well in its non-regulated growth area."

American States Water Company is a holding company that, through its subsidiaries, provides water service to 1 out of 30 Californians located within 75 communities throughout 10 counties in Northern, Coastal and Southern California and to approximately 12,000 customers in the city of Fountain Hills, Arizona and portions of Scottsdale, Arizona. The Company distributes electricity to approximately 22,000 customers in the Big Bear recreational area of California, and contracts with various municipalities and private entities in both California and Arizona to provide services to an additional 97,000 customers.