Dear Shareholder,

On behalf of the Board of Directors of A.F.P. Mutual Water Company, we are pleased to invite you to our Annual Shareholder Meeting, to be held on:

Saturday, March 14, 2026
9:00 a.m @  Alpine HOA building

At this meeting we will review the company’s operations, financials, and most importantly, discuss the water system improvements recommended by our engineering firm. Our system currently serves 222 active metered property owners using four ground wells and a 210,000-gallon storage tank.  It is over 50 years old and many components are now beyond their useful life.

The Board and our engineers will present the scope and projected costs for essential upgrades, including:

• Installation of a new storage tank
• Drilling and development of a higher producing well
• A new filtration system

These improvements are critical to ensuring long-term reliability, regulatory compliance, and water quality. Because the estimated cost of these upgrades significantly exceeds current reserve funds, discussion regarding the proposed financing options is necessary.

Your participation and input as a shareholder are vital as we plan for the future of our water system.

Thank you for your continued support of our community’s water system. We look forward to seeing you on March 14 at 9:00 a.m.

Sincerely,