EXHIBIT 10.13G


SEVENTH AMENDMENT TO


AMENDED AND RESTATED CREDIT AGREEMENT





THIS SEVENTH AMENDMENT TO AMENDED AND RESTATED CREDIT AGREEMENT (the Amendment), dated as of September 30, 2001 is entered into between MELLON 1ST
BUSINESS BANK, a California corporation (Bank), and SOUTHWEST WATER COMPANY, a Delaware corporation (Borrower).





RECITALS





A.  Borrower and Bank have previously entered
into that certain Amended and Restated Credit Agreement dated as of December 23, 1997, as amended by that certain First Amendment to Amended and Restated Credit Agreement dated as of September 1, 1998, that certain Second Amendment to Amended and
Restated Credit Agreement dated as of September 29, 1999 and that certain Third Amendment to Amended and Restated Credit Agreement dated as of July 19, 2000, and that certain Fourth Amendment to Amended and Restated Credit Agreement dated as of
September 29, 2000, that certain Fifth Amendment to Amended and Restated Credit Agreement dated as of March 9, 2001 and that certain Sixth Amendment to Amended and Restated Credit Agreement dated as of July 13, 2001 (collectively, the
Credit Agreement), pursuant to which Bank has made certain loans and financial accommodations available to Borrower. Terms used herein without definition shall have the meanings ascribed to them in the Credit Agreement.





B.  Bank and Borrower wish to amend the Credit Agreement under the terms and conditions set forth in
this Amendment. Borrower is entering into this Amendment with the understanding and agreement that, except as specifically provided herein, none of Banks rights or remedies as set forth in the Credit Agreement is being waived or modified by
the terms of this Amendment.





NOW, THEREFORE, in consideration of the foregoing and the mutual covenants herein
contained, and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereby agree as follows:





1.  Amendments to Credit Agreement





(a)  The definition of Maturity Date set forth in Section 1.01 of the Credit Agreement is hereby amended and restated in its entirety to read as follows:





Maturity Date: September 30, 2003.





(b)  The first paragraph of Section 2.03(c) of the Credit Agreement is hereby amended and restated in its entirety to read as follows:




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Rate Periods At any time when Borrower selects, converts
to or renews the Libor Rate Option, Borrower shall fix a period (the Rate Period) which shall be one, two, three, six months or one year, which shall be acceptable to Bank in Banks sole discretion, during which the Libor
Rate Option shall apply to the corresponding Rate Segment; provided, that Borrower may not elect a Rate Period which will end after the Maturity Date. Banks right to payment of principle and interest under the Revolving Note shall in no
way be affected by the fact that one or more Rate Periods may be in effect.





2.  Effectiveness
of this Amendment.    Bank must have received the following items, in form and content acceptable to Bank, before this Amendment is effective and before Bank is required to extend any credit to Borrower as provided for by
this Amendment.





(a)  Amendment.    This Amendment fully
executed in a sufficient number of counterparts for distribution to Bank and Borrower.





(b)  Authorizations.    Evidence that the execution, delivery and performance by Borrower and each guarantor or subordinating creditor of this Amendment and any instrument or agreement required
under this Amendment have been duly authorized.





(c)Representations and
Warranties.    The representations and warranties set forth in the Credit Agreement must be true and correct.





3.  Representations and Warranties.    The Borrower represents and warrants as follows:





(a)  Authority.    The Borrower has the requisite corporate power and authority to execute and deliver this Amendment
and to perform its obligations hereunder and under the Loan Documents (as amended or modified hereby) to which it is a party. The execution, delivery and performance by the Borrower of this Amendment and the performance by Borrower of each Loan
Document (as amended or modified hereby) to which it is a party have been duly approved by all necessary corporate action of Borrower and no other corporate proceedings on the part of Borrower are necessary to consummate such transactions.





(b)  Enforceability.    This Amendment has been duly
executed and delivered by the Borrower. This Amendment and each Loan Document (as amended or modified hereby) is the legal, valid and binding obligation of Borrower, enforceable against Borrower in accordance with its terms, and is in full force and
effect.





(c)  Representations and Warranties.    The
representations and warranties contained in each Loan Document (other than any such representations or warranties that, by their terms, are specifically made as of a date other than the date hereof) are correct on and as of the date hereof as though
made on and as of the date hereof.




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(d)  No Default.    No event
has occurred and is continuing that constitutes an Event of Default.





4.  Choice of
Law.    The validity of this Amendment, its construction, interpretation and enforcement, the rights of the parties hereunder, shall be determined under, governed by, and construed in accordance with the internal laws of the
State of California governing contracts only to be performed in that State.





5.  Counterparts.    This Amendment may be executed in any number of counterparts and by different parties in separate counterparts, each of which when so executed and delivered, shall be deemed
an original, and all of which, when taken together, shall constitute one and the same instrument. Delivery of an executed counterpart of a signature page to this Amendment by telefacsimile shall be effective as delivery of a manually executed
counterpart of this Amendment or such Consent.





6.  Due Execution.    The
execution, delivery and performance of this Amendment are within the power of Borrower, have been duly authorized by all necessary corporate action, have received all necessary governmental approvals, if any, and do not contravene any law or any
contractual restrictions binding on Borrower.





7.  Reference to and Effect on the Loan Documents.





(a)  Upon and after the effectiveness of this Amendment, each reference in the Credit
Agreement to this Agreement, hereunder, hereof or words of like import referring to the Credit Agreement, and each reference in the other Loan Documents to the Credit Agreement, thereof or
words of like import referring to the Credit Agreement, shall mean and be a reference to the Credit Agreement as modified and amended hereby.





(b)  Except as specifically amended above, the Credit Agreement and all other Loan Documents, are and shall continue to be in full force and effect and are hereby in all respects ratified and
confirmed and shall constitute the legal, valid, binding and enforceable obligations of Borrower to Bank.





(c)  The execution, delivery and effectiveness of this Amendment shall not, except as expressly provided herein, operate as a waiver of any right, power or remedy of Bank under any of the Loan Documents, nor constitute a
waiver of any provision of any of the Loan Documents.





(d)  To the extent that any terms
and conditions in any of the Loan Documents shall contradict or be in conflict with any terms or conditions of the Credit Agreement, after giving effect to this Amendment, such terms and conditions are hereby deemed modified or amended accordingly
to reflect the terms and conditions of the Credit Agreement as modified or amended hereby.





8.  Ratification.    Borrower hereby restates, ratifies and reaffirms each and every term and condition set forth in the Credit Agreement, as amended hereby, and the Loan Documents effective as of
the date hereof.




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9.  Estoppel.    To induce Bank to enter
into this Amendment and to continue to make advances to Borrower under the Credit Agreement, Borrower hereby acknowledges and agrees that, after giving effect to this Amendment, as of the date hereof, there exists no Event of Default and no right of
offset, defense, counterclaim or objection in favor of Borrower as against Bank with respect to the Obligations.





IN WITNESS WHEREOF, the parties have entered into this Amendment as of the date first above written.





Bank

BorrowerMELLON 1ST BANK, a california corporation

SOUTHWEST WATER COMPANY, a delaware corporation





By:

/s/    F. D. HARE



By:

/s/    THOMAS C.
TEKULVEName: Title:

F. D. Hare Executive Vice
President



Name: Title:

Thomas C. Tekulve Vice
PresidentFinance





By:

/s/    PETER J.
MOERBEEKName: Title:

Peter J. Moerbeek Chief
Financial Officer




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