{
  "docId": "019dd923-622c-750b-8b99-5499dc38e401",
  "docSlug": "0ce9434f48c5",
  "documentTitle": "Essential Utilities, Inc. (WTRG)",
  "authorId": "54_Spruce_Point_Capital",
  "authorName": "Spruce Point Capital Management",
  "documentKindSlug": "activist-deck",
  "documentKindLabel": "Activist deck",
  "sourceTypeSlug": "short_seller",
  "sourceTypeLabel": "Short seller",
  "presentationDate": "2023-03-08 00:00:00",
  "orientation": "landscape",
  "aspectRatio": 1.3333334,
  "pageNumber": 36,
  "pageCount": 91,
  "prevPage": 35,
  "nextPage": 37,
  "slideType": "expose_contradiction",
  "function": "expose_contradiction",
  "density": "overcrowded",
  "nDataPoints": 12,
  "notes": "The slide uses a combination of quantitative data (table) and qualitative evidence (interview quote) to expose the negative impact of the company's rate-setting strategy.",
  "elementsJson": [
    "headline_text",
    "callout_box",
    "data_table",
    "quote_block",
    "screenshot"
  ],
  "metadataConfidence": 1,
  "imagePath": null,
  "slideHref": "/slides/019dd923-622c-750b-8b99-5499dc38e401/36",
  "deckHref": "/decks/019dd923-622c-750b-8b99-5499dc38e401",
  "deckJsonHref": "/decks/019dd923-622c-750b-8b99-5499dc38e401.json",
  "deckAnchorHref": "/decks/019dd923-622c-750b-8b99-5499dc38e401#slide-36",
  "components": [
    {
      "bbox": null,
      "kind": "callout",
      "text": "Here’s an example of how WTRG approaches rate increases: an 87% increase over three years.",
      "attrs": null,
      "subkind": null,
      "toolName": "Visual emphasis",
      "toolSlug": "visual-emphasis",
      "confidence": null,
      "componentId": "019dd952-e6ed-775b-bcb6-4d72e1c4355d",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": null,
      "kind": "metric",
      "text": "rate increase: 87%",
      "attrs": null,
      "subkind": "primary",
      "toolName": "Quantification",
      "toolSlug": "quantification",
      "confidence": null,
      "componentId": "019dd952-e6ed-775b-bcb6-560d91ed9493",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.11,
        "w": 0.96,
        "x": 0.02,
        "y": 0.17
      },
      "kind": "paragraph",
      "text": "Here's an example of how WTRG approaches rate increases: an 87% increase over three years. We uncovered a slide presenting its proposed rate increases to the Village of Frankfort for its recently closed transaction. Even a recent interview of a former WTRG executive highlighted the frequent frustration of rate increases.",
      "attrs": null,
      "subkind": "paragraph",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "8448ad95-fcc9-46e7-a1e1-95af77214c17",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.38,
        "w": 0.43,
        "x": 0.55,
        "y": 0.4
      },
      "kind": "quote",
      "text": "Spruce Point Question: 'Can you discuss Fair Market Value (FMV) legislation impact on acquiring utility assets.' Answer: 'As FMV of assets value goes up, politicians want to sell their assets for top dollar, but then the rate payers are stuffed with a bill that is ultimately high. The fatal flaw in FMV is through time the public gets frustrated with transactions that result in higher bills, and there is an incentive for the decision-makers to sell them regardless. So there's this tension at play.'",
      "attrs": null,
      "subkind": "testimonial",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "89f3f1f4-947c-44be-8365-1f69e919bf4e",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": null,
      "kind": "quote",
      "text": "As FMV of assets value goes up, politicians want to sell their assets for top dollar, but then the rate payers are stuffed with a bill that is ultimately high. The fatal flaw in FMV is through time the public gets frustrated with transactions that result in higher bills, and there is an incentive for the decision-makers to sell them regardless. So there’s this tension at play. — Former WTRG Executive",
      "attrs": null,
      "subkind": null,
      "toolName": "Authority citation",
      "toolSlug": "authority-citation",
      "confidence": null,
      "componentId": "019dd952-e6ed-775b-bcb6-5398e80cb95e",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.02,
        "w": 0.25,
        "x": 0.02,
        "y": 0.97
      },
      "kind": "source-note",
      "text": "Source: FOIA from Village of Frankfort",
      "attrs": null,
      "subkind": null,
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "dc3f46a5-83ef-4333-b591-b6408cfbaaa6",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.28,
        "w": 0.46,
        "x": 0.105,
        "y": 0.4
      },
      "kind": "table",
      "text": "Projected Proposed Rates table showing Water and Sewer rates from Current to Year 3",
      "attrs": null,
      "subkind": "data",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "b447f35e-516b-426f-9b34-4bb7ac1e2064",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.08,
        "w": 0.65,
        "x": 0.305,
        "y": 0.04
      },
      "kind": "title",
      "text": "87% Cost Increase For Water Services Over Three Years Highlights Customer Frustrations",
      "attrs": null,
      "subkind": "headline",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "601eb4bb-81ae-4404-b176-9a6c45ec3918",
      "frameworkName": null,
      "frameworkSlug": null
    }
  ],
  "metrics": [],
  "tools": [],
  "frameworks": [
    {
      "name": "expose_contradiction",
      "slug": null,
      "matchId": "65dd42d2-2e24-4b43-af77-0cf2a92ca99f",
      "evidence": "The slide contrasts the company's aggressive rate increase projections with an executive's admission of the resulting public frustration.",
      "confidence": 1
    }
  ],
  "arcBeats": [
    {
      "to": 40,
      "from": 21,
      "beatId": "ac45fd8f-0875-4abe-826e-f0cb488aef12",
      "arcName": "Overcoming the Monster",
      "arcSlug": "overcoming-monster",
      "beatName": "The Struggle",
      "beatSlug": null,
      "evidence": "The document presents a detailed analysis of WTRG's challenges, including its acquisition strategy and financial performance.",
      "position": 3,
      "confidence": 0.8,
      "parentBeatName": null,
      "parentBeatSlug": null
    }
  ],
  "loops": [],
  "imagePathAlt": null,
  "thumbSrc": null,
  "thumbSrcAlt": null,
  "locked": true
}