WATER/RSK/AAS:jrb

Decision 08-05-008 May 15, 2008

BEFORE THE PUBLIC UTILITIES COMMISSION OF THE STATE OF CALIFORNIA

Application of Searles Valley Holdings, LLC to sell and Karnavati Holdings, Inc. to buy, the Searles Domestic Water Company (U-368-W) which is located near the community of Trona, San Bernardino County.

Application 07-12-004 (Filed December 10, 2007)

O P I N I O N

Summary

This application seeks approval under Public Utilities Code § 854 of a transaction that will transfer control of the Searles Domestic Water Company (SDWC) to Karnavati Holdings, Inc. (Karnavati). The transaction is structured to take effect upon approval of this Commission. The application is unopposed, and is granted.