Standard&Poor's Ratings Services' ratings on United Waterworks Inc. (UWW) reflect the consolidated credit profile of unrated parent United Water Resources Inc. (UWR). The ratings also reflect UWW's "excellent" business risk profile and "significant" financial risk profile under our criteria. UWW is 100% owned by UWR, which in turn is owned by Suez Environnement Co. (not rated). GDF Suez S.A. (A/Stable/A-1) owns about 35% of Suez Environnement and consolidates it on its balance sheet because it has a controlling interest. On this basis, our rating on UWW is the lower of its stand-alone credit quality or our rating on GDF Suez. UWR's other major regulated subsidiary is United Water New Jersey Inc. (UWNJ; A-Stable/--) and its nonregulated operations primarily
