Company: AWK
Filing Date: 2025-12-29
Form Type: S-4/A
Source: 0001193125-25-332292
Chunk: 202

Company: American Water Works Company, Inc.
Filing Date: 2025-12-29
Form: S-4/A
Chunk 202
---
 any continuing employee whose terms and conditions of employment are subject to a collective
bargaining agreement, American Water will provide for such continued employment to be on such terms and conditions as may be required under that collective bargaining agreement.

The merger agreement does not obligate American Water or any subsidiary, or Essential, to continue the employment of any continuing employee as of or after
the effective time. Any continuing employee whose employment is terminated by American Water, Essential or any affiliate thereof without cause during the 12-month period following the completion of the merger,
and who is not eligible to receive severance benefits pursuant to an individual agreement with Essential or its subsidiaries, will be eligible to receive certain specified severance benefits, subject to the continuing employee entering into a
customary release of claims.

For purposes of vesting, eligibility to participate and accrual and level of benefits under the employee benefit plans of
American Water and its subsidiaries after the completion of the merger, each Essential employee will be credited for his or her years of service with Essential and its subsidiaries and their respective predecessors prior to the effective time to the
same extent as such Essential employee was entitled, prior to the effective time, to credit for such service under any similar Essential employee benefit plans in which such Essential employee participated or was eligible to participate immediately
prior to the effective time. However, the foregoing will not apply if the service credit would result in any duplication of benefits or benefit accrual under a defined benefit pension plan or retiree welfare benefit plan unless otherwise required by
a collective bargaining agreement. In addition, (i) American Water will use commercially reasonable efforts to cause each continuing employee to be immediately eligible to participate, without any waiting time, in any and all new plans to the
extent coverage under the new plans replaces coverage under an Essential benefit plan in which the Essential employee participated immediately prior to the effective time and (ii) for purposes of each new plan providing medical, dental,
pharmaceutical or vision benefits to any Essential employee, American Water will use commercially reasonable efforts to (A) waive all pre-existing condition exclusions and
actively-at-work requirements, unless the conditions would not have been waived under the comparable plans of Essential or its subsidiaries in which the employee
participated immediately prior to the effective time, and (B) take into account any eligible expenses incurred by the employee and his or her covered dependents during the portion of the plan year of the Essential benefit plan ending on the
date the employee begins participation in a corresponding new plan for purposes of satisfying all deductible,