Company: AWK
Filing Date: 2025-03-21
Form Type: 11-K
Source: 0001410636-25-000065
Chunk: 3

Company: American Water Works Company, Inc.
Filing Date: 2025-03-21
Form: 11-K
Chunk 3
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 Company on May 12, 2017, and was initially effective as of August 5, 2017. The Board may, at any time and from time to time, amend the Plan, except that any amendment that is required to be approved by the shareholders shall be submitted to the shareholders of the Company for approval. The Plan shall continue in effect for ten years from the initial effective date unless terminated prior to that date pursuant to the provisions of the Plan or pursuant to action by the Board.

The purpose of the Plan is to provide eligible employees of the Company and its designated subsidiaries an opportunity to purchase an equity interest in the Company through the purchase of shares of the Company’s common stock. Participants may contribute portions of their compensation during a three-month purchase period and purchase common stock at the end thereof. Participation in the Plan entitles each participant to purchase the Company’s common stock at 85% of the fair market value of such common stock on the purchase date, which is the last business day of the applicable purchase period. Common stock for the Plan is issued directly from the Company’s authorized but unissued shares. As of December 31, 2024, there were approximately 1.4 million shares of common stock that remain reserved for issuance under the Plan.

#### Eligibility
Full or part time employees of the Company and its designated subsidiaries receiving a paycheck or direct deposit are eligible to participate in the Plan, except for (i) temporary or leased employees, (ii) an employee of a non-U.S. subsidiary of the Company, (iii) any person who is determined by the Board to be an officer of American Water, as defined under Section 16 of the Securities Exchange Act of 1934, as amended, and rules promulgated thereunder, and (iv) an employee who owns stock possessing 5% or more of the total combined voting power or value of all classes of the Company’s stock. Each eligible employee as defined in the Plan may enroll as provided in the Plan with participation beginning on the first full three-month purchase period after the date he or she enrolls in the Plan. Three-month purchase periods begin on December 1, March 1, June 1 and September 1. Participation in the Plan is voluntary.

#### Participant Contributions
A Plan participant may contribute (i) from 1% to 10%, in 1% increments, or (ii) a fixed amount from $5 to $2,500 per pay period of their pre-tax eligible compensation, in each case subject