Company: AWK
Filing Date: 2025-03-27
Form Type: DEF 14A
Source: 0001193125-25-064607
Chunk: 76

Company: American Water Works Company, Inc.
Filing Date: 2025-03-27
Form: DEF 14A
Chunk 76
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 completion of five years of service; |

| · |     | attainment of age 65; |

| · |     | death; or |

| · |     | a change of control. |

Participants may elect to receive a distribution of their account balances upon a separation from service or a specified distribution date. Distributions are paid in the form of a lump sum or in annual installments over a period of between two and 10 years.

POTENTIAL PAYMENTS ON TERMINATION OR CHANGE OF CONTROL This section describes the plans and arrangements that provide for payments to our NEOs in connection with certain events involving termination of employment, a change of control of American Water or a material change in employment responsibilities. Executive Severance Policy Our Executive Severance Policy provides severance benefits to executives whose employment is involuntarily terminated by American Water for reasons other than cause, and other than in connection with a change of control of American Water. The determination of whether an executive’s employment is terminated for cause will be made by the ED&CC or the Board, as applicable. Under the policy, our CEO and our President will receive 18 months, and other NEOs will receive 12 months, of base salary continuation and a pro rata APP award for the year in which the termination of employment occurs to the extent a payment is earned under the terms of the APP. Eligible executives are entitled to continued Company-paid health, dental and vision coverage based on their years of service, in the amount of: eight weeks of coverage for less than five years of service; 12 weeks of coverage for at least five years but less than 10 years of service; and 16 weeks of coverage for 10 or more years of service. They are also entitled to life insurance coverage and continued participation in the employee assistance plan for the number of months of their severance benefits, as well as 12 months of outplacement services. Executives also receive credit for their severance period for purposes of vesting under any applicable nonqualified deferred compensation or defined benefit retirement plans. In order to receive severance benefits under the Executive Severance Policy, an executive must sign a severance agreement and general release, waiving any claims against American Water and agreeing to certain restrictive covenants. Severance benefits payable under the Executive Severance Policy will be offset and reduced by any other severance benefits payable under any employment agreement or otherwise.

| AMERICAN WATER | 2025 PROXY STATEMENT |     | 55 |

Change of Control Severance Policy Our Change of Control