UNITED
STATES
SECURITIES
AND EXCHANGE COMMISSION
Washington,
D.C. 20549
FORM
8-K
CURRENT
REPORT
Pursuant
to Section 13 or 15 (d) of the Securities Exchange Act of 1934
Date of
Report: March 8, 2010
MIDDLESEX
WATER COMPANY
(Exact
name of registrant as specified in its charter)
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NEW JERSEY
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0-422
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22-1114430
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(State
or other jurisdiction of incorporation or organization)
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(Commission
File Number)
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(I.R.S.
Employer Identification No.)
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1500 RONSON ROAD, P.O. BOX
1500, ISELIN, NEW JERSEY 08830
(Address
of principal executive offices, including zip code)
(732)-634-1500
(Registrant’s
telephone number, including area code)
Check the
appropriate box below if the Form 8-K filing is intended to simultaneously
satisfy the filing obligation of the registrant under any of the following
provisions:
o Written
communications pursuant to Rule 425 under the Securities Act (17 CFR
230.425)
o Soliciting
material pursuant to Rule 14a-12 under the Exchange Act (17 CFR
240.14a-12)
o Pre-commencement
communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR
240.14d-2(b))
o Pre-commencement
communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR
240.13e-4(c))
Item
2.02 Results of Operations and Financial Condition.
On March
8, 2010, Middlesex Water Company (the "Company") announced its financial results
for the year ended December 31, 2009. A copy of the press release
announcing these financial results is attached hereto as Exhibit 99.1 and
incorporated into this Form 8-K by reference.
Item
9.01 Financial Statements and Exhibits.
(c) Exhibits
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Exhibit
Number
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Description
of Document
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Press
Release issued by Middlesex Water Company, dated March 8, 2010, announces
2009 Financial Results.
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SIGNATURE
Pursuant
to the requirements of the Securities Exchange Act of 1934, the registrant has
duly caused this report to be signed on its behalf of the undersigned hereunto
duly authorized.
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MIDDLESEX
WATER COMPANY
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(Registrant)
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s/Kenneth J. Quinn
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Kenneth
J. Quinn
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Vice
President, General Counsel,
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Secretary
and Treasurer
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Dated: March
8, 2010
2
Exhibit
99.1
MIDDLESEX
WATER COMPANY REPORTS
2009
FINANCIAL RESULTS
ISELIN,
NJ, March 8, 2010 -
Middlesex Water Company (NASDAQ:MSEX) a provider of water, wastewater and
related services, primarily in New Jersey and Delaware, today announced
operating revenues of $91.2 million for the year ended December 31, 2009,
compared to $91.0 million in 2008. Net income for the year ended
December 31, 2009 was $10.0 million, down $2.2 million from the same period in
2008. Earnings applicable to common stock for the year ended December 31, 2009,
were $9.8 million, or $0.73 per basic share, compared with $12.0 million, or
$0.90 per basic share, in 2008. On a fully diluted basis, earnings per share
were $0.72 for 2009, compared to $0.89 per share in 2008.
Middlesex
Water President and CEO Dennis W. Doll said, “We achieved marginal growth in
consolidated revenues in 2009, despite abnormally unfavorable weather and
decreased water consumption by large commercial and industrial customers due to
the economy, as well as by retail customers in our Middlesex system in New
Jersey. Although abnormally unfavorable weather and usage patterns
also adversely affected consumption revenues in our Tidewater Utilities system
in Delaware, revenues increased $1.4 million, largely due to increased rates and
water consumption and connection fees from customer growth. Our regulated
wastewater operations continue to contribute to growth, although at a slower
pace than originally projected, due to the continued impact of the economy on
the new housing market in the growth areas we have
targeted. During this period of anticipated improvement in
local economic conditions in our existing and planned service areas, we remain
focused on further improving service delivery capabilities through continued
investments in infrastructure and further leveraging technology to deliver
service as cost-effectively as possible,” added Doll.
Total
operations and maintenance expenses for the year ended December 31, 2009
increased $3.4 million, or 7.0%, from 2008, largely due to higher labor and
benefits costs, and higher water production costs. While weather
patterns and economic conditions resulted in a decline in water production in
New Jersey and Delaware, costs for chemicals and treatment residuals disposal
increased due to unit cost disposal rate increases and lower quality of
untreated water, influenced by abnormally high rainfall in
2009. Purchased water costs in our Middlesex system increased
over 2008, primarily due to the full year’s effect of our suppliers’ rate
increases that took effect in the fourth quarter of 2008. Depreciation expense
for 2009 rose by $0.6 million or 8.0% due to a higher level of utility plant in
service.
Fourth Quarter
2009
For the
three month period ended December 31, 2009, operating revenues were $22.1
million, up from $21.5 million, for the same period in 2008. This increase of
$0.6 million is attributable mostly to increased rates in our Tidewater system.
Total operations and maintenance expenses increased $0.6 million, or 4.8%, from
2008, largely due to higher water production costs. Depreciation expense rose by
$0.1 million or 6.8%. Net income decreased to $1.7 million, down from
$1.9 million in 2008.
Company Quarterly
Dividend
Middlesex
Water paid a quarterly dividend of $0.18 per share on the Common Stock on March
1, 2010, to stockholders of record as of February 15, 2010. The Company has paid
cash dividends in varying amounts continually since 1912. Middlesex
Water is currently offering a 5% discount on shares of its Common Stock to
participants in its Dividend Reinvestment Plan, through June 1,
2010.
About Middlesex Water
Company
Middlesex
Water Company, organized in 1897, is a water utility serving customers in
central and southern New Jersey and in the State of Delaware. The Company and
its New Jersey subsidiaries -- Pinelands Water Company and Pinelands Wastewater
Company -- are subject to the regulations of the Board of Public Utilities of
the State of New Jersey. Middlesex Water Company operates the water and
wastewater utilities for the City of Perth Amboy through its subsidiary, Utility
Service Affiliates (Perth Amboy) Inc. Middlesex Water also provides
contract operations services and a service line maintenance program through its
non-regulated subsidiary, Utility Service Affiliates, Inc. The
Company’s regulated Delaware subsidiaries, Tidewater Utilities, Inc., together
with Southern Shores Water Company and Tidewater Environmental Services Inc.,
are subject to the regulations of the Public Service Commission in Delaware.
White Marsh Environmental Systems, Inc. operates small water and wastewater
systems under contract on a non-regulated basis in
Delaware. Middlesex Water recently acquired the assets of Twin Lake
Water Services, Inc. in Shohola, PA and serves customers there through its
subsidiary Twin Lakes Utilities, Inc. These companies are also subject to
various Federal and State regulatory agencies concerning water, and wastewater
effluent, quality standards.
For
additional information regarding Middlesex Water Company, visit the Company’s
web site at www.middlesexwater.com
or call (732) 634-1500.
This
release contains forward-looking statements within the meaning of the Private
Securities Litigation Reform Act of 1995, including, among
others, our long-term strategy and expectations, the status of our
acquisition program, the impact of our acquisitions, the impact of current and
projected rate requests and the impact of our capital program on our
environmental compliance. There are important factors that could cause actual
results to differ materially from those expressed or implied by such
forward-looking statements including: general economic business conditions,
unfavorable weather conditions, the success of certain
cost containment initiatives, changes in regulations or regulatory
treatment, availability and the cost of capital, the success of growth
initiatives and other factors discussed in our filings with the Securities and
Exchange Commission.
Contact:
Bernadette
Sohler, Vice President – Corporate Affairs
Middlesex
Water Company
1500
Ronson Road
Iselin,
New Jersey 08830
www.middlesexwater.com
(732)
638-7549
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MIDDLESEX
WATER COMPANY
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CONSOLIDATED
STATEMENTS OF INCOME
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(In
thousands except per share amounts)
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Years
Ended December 31,
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Quarters
Ended December 31,
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2009
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2008
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2009
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2008
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Operating
Revenues
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$ | 91,243 | $ | 91,038 | $ | 22,079 | $ | 21,495 | ||||||||
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Operating
Expenses:
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Operations
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47,770 | 44,782 | 12,045 | 11,484 | ||||||||||||
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Maintenance
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4,578 | 4,147 | 1,081 | 1,045 | ||||||||||||
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Depreciation
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8,559 | 7,922 | 2,189 | 2,050 | ||||||||||||
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Other
Taxes
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10,175 | 10,168 | 2,476 | 2,453 | ||||||||||||
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Total
Operating Expenses
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71,082 | 67,019 | 17,791 | 17,032 | ||||||||||||
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Operating
Income
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20,161 | 24,019 | 4,288 | 4,463 | ||||||||||||
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Other
Income (Expense):
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Allowance
for Funds Used During Construction
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1,001 | 667 | 274 | 223 | ||||||||||||
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Other
Income
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1,011 | 906 | 251 | 238 | ||||||||||||
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Other
Expense
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(286 | ) | (271 | ) | (237 | ) | (102 | ) | ||||||||
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Total
Other Income, net
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1,726 | 1,302 | 288 | 359 | ||||||||||||
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Interest
Charges
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6,750 | 7,057 | 1,801 | 1,896 | ||||||||||||
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Income
before Income Taxes
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15,137 | 18,264 | 2,775 | 2,926 | ||||||||||||
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Income
Taxes
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5,160 | 6,056 | 1,032 | 1,002 | ||||||||||||
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Net
Income
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9,977 | 12,208 | 1,743 | 1,924 | ||||||||||||
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Preferred
Stock Dividend Requirements
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208 | 218 | 52 | 52 | ||||||||||||
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Earnings
Applicable to Common Stock
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$ | 9,769 | $ | 11,990 | $ | 1,691 | $ | 1,872 | ||||||||
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Earnings
per share of Common Stock:
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Basic
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$ | 0.73 | $ | 0.90 | $ | 0.12 | $ | 0.14 | ||||||||
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Diluted
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$ | 0.72 | $ | 0.89 | $ | 0.12 | $ | 0.13 | ||||||||