Company: AWK
Filing Date: 2025-12-29
Form Type: S-4/A
Source: 0001193125-25-332292
Chunk: 89

Company: American Water Works Company, Inc.
Filing Date: 2025-12-29
Form: S-4/A
Chunk 89
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. Franklin also discussed that Mr. Franklin would have an executive board role for a period of time and that certain key executives from Essential would be retained in the combined company’s senior management team. Mr. Griffith
indicated that he and Mr. Kurz would provide an update to the American Water board regarding his and Mr. Kurz’s recent discussions with Mr. Franklin at the American Water board’s July 30, 2025 regular meeting.

On July 30, 2025, the American Water board held a regular meeting, at which certain members of American Water management were present. During the
executive session of the meeting, without other members of management or guests present, Mr. Griffith summarized for the American Water board his and Mr. Kurz’s recent discussions with Mr. Franklin. Mr. Griffith then provided an overview of
his perspective as to the potential framework for and financial benefits of a potential transaction. The American Water board engaged in discussion with Mr. Griffth regarding the potential framework for and implications of a potential transaction,
including potential benefits and risks of the transaction to American Water and its shareholders and other stakeholders, culture considerations, governance components and requirements, including the makeup of key management and board roles, the
amount of a potential transaction premium for Essential shareholders, and the overall structure of and anticipated timing for a potential transaction. The American Water board also discussed post-closing governance related to a potential transaction
and was supportive of the concept that Mr. Griffith should continue as the president and chief executive officer and Mr. Kurz should continue as the board chair of the combined company.

Mr. Griffth also discussed with the American Water board certain transaction considerations, including due diligence, and proposed next steps. Following
discussion, the American Water board instructed Mr. Griffith to continue his discussions with Mr. Franklin regarding a potential transaction.

On
July 30, 2025, the Essential board held a meeting, at which certain members of Essential management were present. Representatives of Gibson Dunn also attended portions of the meeting. Representatives of Gibson Dunn led the Essential board in a
review and discussion of its fiduciary duties generally as well as certain legal considerations in connection with the Essential board’s evaluation of potential strategic alternatives. Essential management then led a strategic discussion of,
among other items, Essential’s historical financial performance and current five-year plan and potential strategic alternatives for Essential to enhance shareholder value. This discussion included consideration of a potential strategic
transaction with American Water, among other potential strategic actions, and related action items to advance the consideration of