Based in Camden, New Jersey, American Water employs more than 7,000 people across 46 states and Ontario, Canada. The company’s services are generally regulated by the U.S. state in which it operates, under locally managed subsidiaries. It serves millions of people with services such as drinking water and wastewater for residential homes and businesses. The majority of its customers are in the states of Pennsylvania and New Jersey, with customer number highest for their water services rather than wastewater. In addition to residential and business customers, American Water also established the American Water Military Services Group in 2003 to serve as a utility for military bases in the United States.
American Waters water supplies come from surface water, groundwater and purchased water. The states with the highest share of water supplied from sources such as lakes and rivers are West Virginia and Pennsylvania. In comparison, the drier state of California is heavily reliant on groundwater, which is extracted from below the Earth's surface between rocks and soil. It is also becoming increasingly reliant on purchased water, as groundwater supplies decline in a state known for its droughts.
The company invests billions of dollars every year to maintain their assets. Investments include replacing aging infrastructure, upgrading existing facilities or constructing new ones, ensuring fire protection, and complying with water quality standards. In 2019, American Water invested more than half a billion dollars on its transmission and distribution infrastructure.