American Water Advises Customers to Prepare for Freezing Temperatures

Rhea-AI Summary

American Water (NYSE: AWK) on Dec. 4, 2025 urged customers to prepare for freezing temperatures and shared step‑by‑step guidance to avoid frozen or burst pipes. Key advice includes locating and testing the main shut‑off valve, draining irrigation systems, insulating exposed pipes, opening cabinet doors when cold, and running a small trickle of water during freezes.

The company also advises how to safely thaw pipes, recommends setting thermostats to 55°F when away, using freeze alarms, and asks customers to check whether their service line is lead or galvanized steel via amwater.com/leadfacts.

News Market Reaction

-1.56%

1 alert

-1.56% News Effect

On the day this news was published, AWK declined 1.56%, reflecting a mild negative market reaction.

Data tracked by StockTitan Argus on the day of publication.

Key Figures

Thermostat setting: 55 degrees Freeze alarm threshold: 45 degrees

2 metrics

Thermostat setting 55 degrees Recommended minimum indoor temperature when away to prevent freezing

Freeze alarm threshold 45 degrees Alarm triggers call if indoor temperature drops below this level

Market Reality Check

Price: $124.42 Vol: Volume 2,030,471 is sligh...

normal vol

$124.42 Last Close

Volume Volume 2,030,471 is slightly below the 20-day average 2,318,030, suggesting typical interest ahead of winter. normal

Technical Shares at $130.09 are trading below the 200-day MA of $140.16, reflecting a softer longer-term trend pre-announcement.

Peers on Argus

AWK gained 0.44% while close peer WTRG rose 0.61%, but other utilities like AEE,...

AWK gained 0.44% while close peer WTRG rose 0.61%, but other utilities like AEE, ATO, DTE, and FE showed modest declines, indicating a more stock-specific or mixed utility move than a broad sector trend.

Historical Context

5 past events · Latest: Dec 05 (Neutral)

Pattern 5 events

Date	Event	Sentiment	Move	Catalyst
Dec 05	Conservation notice	Neutral	-0.8%	Statewide mandatory conservation notice after drought status escalated.
Dec 05	Dividend declaration	Neutral	+0.4%	Quarterly cash dividend announcement continuing prior annualized increase.
Dec 04	Cold weather guidance	Neutral	+0.4%	New Jersey guidance on pipe protection and conservation amid early cold.
Dec 04	Cold weather advisory	Neutral	-1.6%	Companywide advice to prevent frozen pipes and check service line materials.
Dec 04	Regional cold prep	Neutral	-1.6%	Missouri-focused customer tips on pipe insulation and freeze prevention.

Pattern Detected

Recent AWK headlines have been largely operational or regulatory, with modest single-day price moves that neither consistently spike nor sell off on such updates.

Recent Company History

Over the past months, American Water reported stronger Q3 results with operating revenues of $1.451 billion and net income of $379 million, supported by regulatory outcomes and capital investment. It pursued large financings, including $900 million of 5.700% senior notes and forward share agreements, and announced a stock-for-stock merger to acquire Essential Utilities. Rate cases in Pennsylvania and Virginia seek higher annualized revenues tied to substantial capital plans. Operationally, recent releases focused on customer guidance around cold weather, frozen pipes, and drought-related conservation efforts.

Market Pulse Summary

This announcement provides detailed steps for customers to prevent frozen or burst pipes as temperat...

Analysis

This announcement provides detailed steps for customers to prevent frozen or burst pipes as temperatures fall, including locating the main shut-off valve, insulating exposed pipes, and setting thermostats to at least 55 degrees. It also encourages checks for lead or galvanized steel service lines via the company’s lead facts site. In the broader context of recent rate filings, financings, and higher capital investment, investors may watch how such customer outreach supports system reliability and regulatory relationships.

Key Terms

main water shut-off valve, service line, galvanized steel, freeze alarm

4 terms

main water shut-off valve technical

"Know how to shut off your water: Locate your main water shut-off valve."

The main water shut-off valve is the primary control that stops water flow into a building, typically where the utility line enters the property. For investors in real estate or businesses, it matters because quick access and a working valve can prevent or limit costly water damage, reduce operational downtime and lower repair and liability risk. Knowing its location and condition is a basic maintenance and risk-management step—like having a circuit breaker for a building’s plumbing.

service line technical

"identify their service line material. As customers prepare their pipes..."

A service line is a distinct category of products or services a company offers that is managed and often reported as a separate business area, like a restaurant menu section for appetizers, mains and desserts. Investors care because service lines show where a company makes its money, which ones are growing or shrinking, and how profitable or risky different parts of the business are — helping evaluate strategy, future revenue and where management is focusing resources.

galvanized steel technical

"check whether their service line is made of lead or galvanized steel."

Galvanized steel is ordinary steel coated with a thin layer of zinc to prevent rust and corrosion, typically applied by dipping or spraying so the metal lasts longer. Investors care because that protective layer changes a product’s durability, maintenance needs and production cost—similar to how a weatherproof coat extends the life of outdoor gear—so it affects demand, pricing power and margins across construction, automotive and industrial supply chains.

freeze alarm technical

"Consider purchasing a freeze alarm. The alarm will call a user-selected..."

A freeze alarm is a device that detects drops in temperature and alerts owners or authorities when conditions become dangerously cold. It helps prevent damage caused by freezing, such as burst pipes or equipment failures, by providing early warnings. For investors, it signals the importance of monitoring and protecting assets from environmental risks that could lead to significant losses.

AI-generated analysis. Not financial advice.

Tips to Protect Residential Pipes for Winter Conditions

CAMDEN, N.J., Dec. 4, 2025 /PRNewswire/ -- As winter approaches, American Water (NYSE: AWK), the largest regulated water and wastewater utility company in the U.S., reminds customers and the general public to prepare their home, providing handy tips to help avoid costly repairs and unwanted stress from frozen pipes.

"Customers should take steps to protect their pipes from freezing as temperatures are beginning to drop as we enter the winter months," said Mike Doran, Senior Vice President, Deputy Chief Operating Officer & Chief Health and Safety Officer, American Water. "Taking time to prepare and also regularly checking on your pipes during extremely cold days will help ensure you and your loved ones stay safe and comfortable this winter."

Customers can prepare by taking the following steps:

• Know how to shut off your water: Locate your main water shut-off valve. In many homes, it is located near the water meter or close to where the water pipe enters the home. Hang an I.D. tag on the valve so it can be found quickly during an emergency. Download a tag to print here.
• Test your main water shut-off valve: Once located, test the shut-off valve by closing it. Once completely closed, check sinks and other water fixtures to ensure the shut-off valve is working properly.
  • Ball valves generally only require a quarter turn to close.
  • Gate valves are generally closed by turning the handle clockwise and should turn easily.
  • If the valve does not close easily, it may need to be serviced.
• Check sprinkler or irrigation systems: Make sure everything is turned off and fully drained.
• Eliminate sources of cold air near water lines: Check for pipes in areas that might be prone to freezing, such as crawl spaces, unheated rooms, basements, garages, and exterior walls. Fix drafty windows, insulate walls around pipes and plug drafts around doors.
• Protect your pipes: Where pipes are exposed to cold, wrap them with insulation or heat tape (even fabric or newspaper can help).

When temperatures stay below freezing:

• Give pipes a helping hand: If pipes run through cabinets or vanities, open the doors to let warmer room temperatures flow in.
• Keep water moving through the pipes: Allow a small trickle of water to run. The cost of the extra water is typically lower than the cost of repairing a broken pipe.

If pipes freeze:

• Shut off the water immediately: Do not attempt to thaw pipes without turning off the main water shut-off valve.
• Thaw a frozen pipe by warming the air around it: Use a hair dryer, space heater or hot water. Do not leave space heaters unattended and avoid using kerosene heaters or open flames.
• Once pipes are thawed: Slowly turn the water back on. Check pipes and joints for any cracks or leaks potentially caused by freezing.

When customers are away from home, consider the following:

• Set your thermostat at 55 degrees to prevent freezing.
• Have a friend, relative or neighbor regularly check the property to help ensure the heat is working and the pipes have not frozen.
• Consider purchasing a freeze alarm. The alarm will call a user-selected phone number if the inside temperature drops below 45 degrees.

Additionally, American Water is working with customers to identify their service line material. As customers prepare their pipes for cold weather, they can check whether their service line is made of lead or galvanized steel. Visit amwater.com/leadfacts for information and find easy three-step instructions for identifying and self-reporting by clicking on their state at the top of the Lead Facts webpage.

About American Water
American Water (NYSE: AWK) is the largest regulated water and wastewater utility company in the United States. With a history dating back to 1886, We Keep Life Flowing® by providing safe, clean, reliable and affordable drinking water and wastewater services to more than 14 million people with regulated operations in 14 states and on 18 military installations. American Water's 6,700 talented professionals leverage their significant expertise and the company's national size and scale to achieve excellent outcomes for the benefit of customers, employees, investors and other stakeholders.

For more information, visit amwater.com and join American Water on LinkedIn, Facebook, X and Instagram.

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SOURCE American Water

FAQ

What steps did American Water (AWK) recommend on Dec. 4, 2025 to prevent frozen pipes?

Locate and test the main shut‑off valve, insulate exposed pipes, drain sprinkler systems, open cabinet doors during cold snaps, and let a small trickle of water run when temperatures stay below freezing.

How should AWK customers safely thaw a frozen pipe?

Shut off the main water first, then warm the pipe using a hair dryer, space heater, or hot water; avoid open flames and never leave space heaters unattended.

What temperature does American Water (AWK) suggest setting a thermostat to when away to prevent frozen pipes?

Set the thermostat to 55°F when away from home to reduce the risk of pipe freezing.

How can AWK customers check whether their service line is lead or galvanized steel?

Visit amwater.com/leadfacts and follow the three‑step instructions by selecting your state at the top of the Lead Facts webpage.

What should AWK customers do immediately if they discover a frozen pipe?

Turn off the main water shut‑off valve immediately and then safely thaw the pipe following recommended methods before restoring water.

Does American Water (AWK) recommend a freeze alarm and what threshold does it use?

Yes; the company suggests considering a freeze alarm that calls a chosen phone number if indoor temperature drops below 45°F.