[GRAPHIC OMITTED] NEWS RELEASE [OBJECT OMITTED]
CALIFORNIA WATER SERVICE GROUP
1720 North First Street
San Jose, CA 95112-4598 00 GO 12
May 25, 2000
For Immediate Release
Contact: Gerry Feeney (408) 367-8216 (analysts)
Jim Good (408) 367-8219 (media)
CAL WATER - DOMINGUEZ COMPLETE MERGER
SAN JOSE, CA (May 25, 2000) -- California Water Service Group (NYSE:CWT) and
Dominguez Services Corporation today completed the merger of the two companies
after receiving California Public Utilities Commission approval last week.
Per the terms of the merger agreement, Dominguez shareholders will
receive 1.38 Cal Water common shares for each Dominguez common share owned.
Dominguez shareholders will be mailed instructions regarding stock certificate
exchange procedures in approximately ten days.
"This transaction has taken a long time to complete, but we are just as
confident today as we were in November 1998, when the merger was first
announced, that it will result in significant benefits to our stockholders, our
customers and our employees," said Cal Water Chairman Robert W. Foy.
The merger with Dominguez adds about 40,000 new customers to Cal Water.
Dominguez' primary operations serve about 32,000 accounts in the South Bay area
of Los Angeles County adjacent to Cal Water's Hermosa-Redondo and Palos Verdes
districts. Other Dominguez operations include 5,500 customers in the Kern River
and Antelope Valley areas near Cal Water's Bakersfield district and in an area
north of San Francisco serving about 2,000 customers. Dominguez also has a
successful water rights brokerage business in the Los Angeles area. At December
31, 1999,
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Dominguez had total assets of $57,889,000 and recorded 1999 revenue of
$28,497,000.
"A transition team made up of both Cal Water and Dominguez personnel
has been planning for the integration of the companies for some time. We are
pleased to finally welcome the Dominguez employees into our ranks. Together,
we'll continue to provide the high level of service the customers of both
companies have come to expect," said Peter C. Nelson, President and Chief
Executive Officer of Cal Water.
California Water Service Group is the parent company of California
Water Service Company, CWS Utility Services, New Mexico Water Service Company
and Washington Water Service Company. Together these companies provide regulated
and non-regulated water utility services to over 1.8 million people in 83
California, New Mexico and Washington communities.
This news release contains forward-looking statements that are based
upon current information and expectations. Actual results may differ materially.
Additional information is available on our Web site at
www.calwater.com.
