About Us

ORGANIZATION AND OPERATIONS - HISTORY AND BACKGROUND
The Raytown Water Company (RWC) is a Missouri corporation, which was established 1925 to
provide water utility service to industrial, commercial and residential customers primarily in the
City of Raytown, Missouri, and certain surrounding areas. At the end of December 2006, RWC
had approximately 6,496 customers.

RWC's water rates are established by the Missouri Public Service Commission ("MPSC").
RWC owns, operates and maintains 3 water storage and transmission systems (collectively
the "System"), but is not engaged in the production of potable water. RWC's only source of
water is obtained from the Missouri River through the Kansas City Missouri Water Department .

RWC also provides management of the utility, engineering and construction of capital facilities,
operation and maintenance of the System and all administration necessary for the
development and implementation of RWC's water supply program.

GOVERNANCE AND ADMINISTRATION
Board of Directors
RWC is governed by a seven-member Board of Directors. The Board of Directors has general
charge of the business and affairs of the Company and may do and perform all acts necessary
to carry out its purposes. The Officers of the Board of Directors arc elected by the Board for
one-year terms. As of the date hereof, the members of the Company's Board of Directors were
as follows-

NAME                                OCCUPATION                                                             YEARS ON BOARD

Neal S. Clevenger               President/General Manager of the Company                           22
Juel Clevenger                     Retired                                                                                             22
Stan Atkinson                       Accountant                                                                                         5
Robert Kroeker                    Attorney                                                                                               1
Lee Clevenger                     Retired                                                                                              12
Bill Van Dyke                        Former Missouri Public Service Executive and Engineer       10
Chiki Thompson                 Supervisor of the Company                                                           1

Officers
The Company's Board of Directors has delegated authority for the management and daily
operations of the Company to the President and Chief Executive Officer and the administrative
staff. The President and General Manager is Neal Clevenger, grandson of the founder of the
Company. Neal is 65 years old- He has been Secretary of the Company since 1986, General
Manager since 1987 and President and General Manager since April, 1993. His wife, Mitsue
Clevenger is Secretary since January 2003.

Facilities
Headquarters Building
RWC owns its corporate headquarters building at 9820 E. 63rd Street in Raytown, Missouri.
This structure is approximately 2,500 square feet, and has housed the company's
administrative, customer service and billing functions since 1938.

Transmission and Storage
The Company's water System consists of four water storage facilities, approximately 69 miles
of water main, and distribution lines. Distribution storage is provided in three facilities, as
follows:

Hydropillar Tower     9406 East 63"1 Street           2,000,000 gallons
Gregory Tower           350 Highway & Gregory         250,000 gallons
Chapel Tower       51st & Blue Ridge Boulevard         250,000 gallons

All three towers in operation have telemetrics located at the Company's office. The Company
also owns a 50,000-gallon storage tower, which is not presently in use.
The distribution system consists of approximately 69 miles of main. The transmission system
consists of 16-inch through 6-inch PVC and ductile iron pipelines. Older portions of the System
include 2-inch galvanized pipe, which the Company has been in process of replacing since
1992, and which upgrading will continue throughout 2006. The Company has spent
approximately $ 216,128 for 3,377 feet of main replacements in 2003. 2002, the average day
System delivery was 1.3million gallons.

Rate Matters and Regulation
RWC is subject to regulation by the Missouri Public Service Commission, which has
jurisdiction over all investor-owned utilities operating within the state with respect to setting
rates, rendering service and issuance of securities. In order to meet increased costs of
furnishing water and wastewater services and to earn a fair rate of return on its rate base RWC
periodically seeks increases in its rates and fees as required.

The statutory time frame for the approval of new rates is 11 months from the date of filing.
Water rate charges are collected by the Company based upon a rates approved by the MPSC.