TWENTY-EIGHTH IN A SERIES

PHENOMINAL. ASTONISHING. AWE-INSPIRING.

Dear Customers and Shareholders,

To reach your Alderman, call 603-589-3030 ALDERMEN-AT-LARGE Brian McCarthy James Tollner Steven Bolton David Deane Paula Johnson David Rootovich WARD ALDERMEN Ward 1 Kathryn Vitale Ward 2 Richard LaRose Ward 3 Kevin Gage Ward 4 Marc Plamondon Ward 5 David Lozeau Ward 6 Robert Dion Ward 7 Lori Cardin Ward 8 David McLaughlin Ward 9 Robert Shaw, Jr.

Words just aren’t adequate to describe this week’s once-in-a-lifetime convergence of a curse-reverse and World Series sweep by the Red Sox, a total eclipse of the moon, a down-to-the-wire race for President of the United States, and the haunting celebration of Halloween.

One thing that might make this history-making intersection of events even more extraordinary would be to see Nashua officials spending taxpayer money prudently instead of wasting millions of dollars attempting a hostile takeover of Pennichuck.

Costs keep escalating as city officials continue to pay consultants and attorneys to pursue an action that nearly three-fourths of city residents say they oppose.

Just why city officials are ignoring the voice of the people they represent is a mystery. They’re apparently unwilling to even talk about the issue in public. At a recent meeting of the Board of Aldermen, one member of the board expressed concern about the spending. The response from the other members was dead silence, as if a supernatural hex had rendered them speechless.

But while aldermen are refusing to talk about the money, the money speaks volumes:

$1,157,600	Taxpayer dollars the city has spent or committed to-date on legal and consultant expenses to pursue eminent domain.
$2,000,000+	Taxpayer dollars we estimate the city will have to spend to continue the eminent domain battle and defend legal challenges in the years ahead.
$2,000,000+	Amount we estimate the city or customers may be required to pay to reimburse Pennichuck for its legal and other costs in defending against the city’s eminent domain actions.
$5,000,000 - $6,000,000	Amount of taxpayer dollars the city may be liable for to cover damages claimed by Pennichuck.

That’s more than $10,000,000 in taxpayer money that could be used to pay for public education, public safety, public works and other essential city services.

What’s really scary is that this issue has been going on for two years, and could last several more years – long enough for three consecutive Red Sox World Series championships, four lunar eclipses, two Halloweens, and one city election.

But don’t wait until next fall to express your opinion in the voting booth. We urge you to call your aldermen today at (603) 589-3030, and tell them to stop pouring taxpayer money down the drain.

Pennichuck Corporation
New Hampshire’s Oldest
Continuously Operating Business
October 31, 2004