WESTERN WATER COMPANY ANNOUNCES RESULTS FOR THE QUARTER ENDED JUNE 30, 2003 

Point Richmond , California (August 15, 2003) -- Western Water Company (OTCBB: WWTR) announced today its results for the quarter ended June 30, 2003 . Yesterday, the Company also filed with the SEC its quarterly report on Form 10-Q. The Form 10-Q is available through the “Investor Relations” link on the Company’s website at wwtr.com.

The Company reported a net loss applicable to common stockholders for the quarter ended June 30, 2003 of $(1,075,000), or $(0.13) per basic and diluted share, compared to a net loss applicable to common stockholders for the quarter ended June 30, 2002 of $(836,000), or $(0.10) per basic and diluted share. Quarterly water sales, gross profit, general and administrative expenses, and the Company’s operating loss were essentially flat on a year over year basis.

Although operating results for the first fiscal quarter of 2003 were comparable to operating results for the same period in the prior year, the Company’s financial results for the first fiscal quarter of 2003 include the declaration and payment of $279,000 in dividends on the Company’s Series C convertible redeemable preferred stock. Declaration of the Series C dividends was deferred from the scheduled payment date of January 15, 2003 in order to conserve the Company’s cash resources.

Commenting on the results, the Chairman, President & CEO of the Company, Michael Patrick George, said: “Regulatory uncertainty and impediments, particularly in California , continue to negatively affect operating results. However, the Company is continuing to make progress in the development and implementation of the Cherry Creek Project in Colorado . In addition, the Company has made steady progress in the sale of non-strategic assets and is continuing to explore potentially attractive asset monetization opportunities. During the recent quarter, the Company retired additional secured debt, made current payments on our preferred stock and met all of our commitments to our customers.”

Western Water Company is engaged in the identification, development, transportation, sale and lease of water rights and water to municipalities and other end users in the western United States and owns water rights and real estate in California and Colorado.

Contact:

William T. Gochnauer, CFO

Western Water Company

(510) 234-7400

Statements contained in this release which are not historical facts are forward looking statements that involve risks and uncertainties that could cause actual results or future events to differ from those contained herein. Factors that could cause actual results or events to differ include the Company's ability to fund its on-going operations, develop and market its water and water rights, and the various other factors and considerations detailed in the Company's Securities and Exchange Commission filings.