Company: AWK
Filing Date: 2025-10-29
Form Type: 10-Q
Source: 0001410636-25-000173
Chunk: 98

Company: American Water Works Company, Inc.
Filing Date: 2025-10-29
Form: 10-Q
Item: Part I, Item 1
Chunk 98
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 30, 2025Commercial Paper LimitLetters of CreditTotal (a)Total availability$2,600 $150 $2,750 Outstanding debt(1,005)(84)(1,089)Remaining availability as of September 30, 2025$1,595 $66 $1,661 (a)Total remaining availability of $1.7 billion as of September 30, 2025, was accessible through revolver draws.As of December 31, 2024Commercial Paper LimitLetters of CreditTotal (a)Total availability$2,600 $150 $2,750 Outstanding debt(880)(82)(962)Remaining availability as of December 31, 2024$1,720 $68 $1,788 (a)Total remaining availability of $1.8 billion as of December 31, 2024, was accessible through revolver draws.

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Presented in the table below is the Company’s total available liquidity as of September 30, 2025, and December 31, 2024, respectively:Cash and Cash EquivalentsAvailability on Revolving Credit FacilityTotal Available LiquidityAvailable liquidity as of September 30, 2025$166 $1,661 $1,827 Available liquidity as of December 31, 2024$96 $1,788 $1,884 

Note 9: Income TaxesThe Company’s effective income tax rate was 23.3% and 22.7% for the three months ended September 30, 2025 and 2024, respectively, and 23.4% and 23.1% for the nine months ended September 30, 2025 and 2024, respectively. The increase in the Company’s effective income tax rate for the three and nine months ended September 30, 2025, was primarily due to the decrease in the amortization of EADIT pursuant to regulatory orders.On July 4, 2025, the One Big Beautiful Bill Act (the “OBBB”) was signed into law. The OBBB includes several corporate tax-related provisions. Key changes include the permanent extension of certain provisions from the Tax Cuts and Jobs Act of 2017, such as 100% bonus depreciation and Section 163(j) interest limitation exception for regulated utilities, as well as the immediate expensing of domestic research and development costs, and the introduction of a new charitable contribution floor