Company: MSEX
Filing Date: 2025-02-28
Form Type: 10-K
Source: 0001174947-25-000251
Chunk: 172

Company: MIDDLESEX WATER CO
Filing Date: 2025-02-28
Form: 10-K
Item: Item 1A
Chunk 172
---
 capital program in 2025, we estimate we will utilize some
or all of the following:

    ●
    Internally generated funds;
  
    ●
    Short-term borrowings, as needed, through $140 million of available lines of credit with several financial institutions.  As of December 31, 2024, $23.0 million was outstanding under these lines of credit (see discussion under “Sources of Liquidity-Short-term Debt” below);
  
    ●
    Proceeds from the Delaware State Revolving Fund (SRF) Program. SRF programs provide lower cost financing for projects meeting certain water quality and system improvement benchmarks (see discussion under “Sources of Liquidity-Long-term Debt” below);
  
    ●
    Proceeds from other long-term borrowings (see discussion under “Sources of Liquidity-Long-term Debt” below); and
  
    ●
    Proceeds from common stock sales through the Investment Plan and proceeds from sales to the public of our common stock when market conditions are favorable (see discussion under “Sources of Liquidity-Common Stock” below).

Sources of Liquidity

Short-term
Debt - The Company has available lines of credit of $140 million. The outstanding borrowings under the credit lines at December 31,
2024 were $23.0 million, at a weighted average interest rate of 5.63%. 

The weighted average daily amounts of borrowings
outstanding under the credit lines and the weighted average interest rates on those amounts were $38.7 million and $35.7 million at 6.33%
and 6.13% for the years ended December 31, 2024 and 2023, respectively.

Long-term Debt - Subject to regulatory
approval, the Company periodically issues long-term debt to fund investments in utility plant. To the extent possible and fiscally prudent,
the Company finances qualifying capital projects under SRF loan programs in New Jersey and Delaware. These government programs provide
financing at interest rates typically below rates available in the broader financial markets.

Middlesex has received approval from the NJBPU
to borrow up to $300.0 million from the New Jersey SRF Program, the New Jersey Economic Development Authority, private placement and other
financial institutions as needed through December 31, 2025. The Company expects to issue debt securities in a series of one or more transaction
offerings to help fund Middlesex’s multi -year capital construction program.

In September 2024, Tid