Company: AWK
Filing Date: 2025-12-29
Form Type: S-4/A
Source: 0001193125-25-332292
Chunk: 169

Company: American Water Works Company, Inc.
Filing Date: 2025-12-29
Form: S-4/A
Chunk 169
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 in 2027, pay in 2026 cash incentive compensation that would otherwise be payable in 2027 and settle equity incentive awards in
2026 that would otherwise have been settled in accordance with the terms of such awards in 2027, subject, in each case, to a customary clawback in the event that such payment, vesting, or settlement would not have otherwise occurred in the ordinary
course. In addition, Essential may obtain third-party valuations of restrictive covenants that include a reasonable compensation analysis.

Indemnification and Insurance

Pursuant to the terms of
the merger agreement, from and after the effective time, American Water will indemnify certain persons, including Essential’s directors and executive officers. In addition, for a period of six years from

109

the effective time, American Water will maintain insurance policies for the benefit of certain persons, including Essential’s directors and executive officers. For additional information, see “ The Merger Agreement—Covenants and Agreements—Indemnification and Insurance” beginning on page 139. Quantification of Potential Payments and Benefits to Essential’s Named Executive Officers in Connection with the Merger The information set forth in the table below is intended to comply with Item 402(t) of the SEC’s Regulation S-K,which requires disclosure of information about certain compensation for each named executive officer of Essential that is based on, or otherwise relates to, the merger. This compensation is referred to as “golden parachute” compensation by the applicable SEC disclosure rules, and in this section, such term refers to the merger-related compensation payable to the named executive officers of Essential. For additional details regarding the terms of the payments and benefits described below, see the discussion under the caption “ —Interests of Essential Directors and Executive Officers in the Merger” beginning on page 105. The amounts shown in the table below are estimates of the payments and benefits (on a pre-taxbasis) that each of the Essential named executive officers would receive based on multiple assumptions that may or may not actually occur or be accurate on the relevant date, including the assumptions described above under “ —Certain Assumptions” and in the footnotes to the table, and do not reflect certain compensation actions that may occur before completion of the merger. The amounts in the table do not include amounts that Essential’s named executive officers were already vested in as of December 29, 2025. In addition, these amounts do not attempt to forecast any compensation increases, additional equity award grants or issuances or forfeitures