Essential Utilities, Inc. — Director's Dealing 2005

May 25, 2005

SEC Form 4 — Statement of Changes in Beneficial Ownership

Issuer: AQUA AMERICA INC (WTR)
CIK: 0000078128
Period of Report: 2005-05-25

Reporting Person: LIPTAK ROBERT G (Aqua America Northern Oper.)

Non-Derivative Transactions

Date	Security	Code	Shares	Price	A/D	Holdings After	Ownership
2005-05-25	Common Stock	M	2000	$15.28	Acquired	12996	Direct
2005-05-25	Common Stock	S	1200	$27.19	Disposed	11796	Direct
2005-05-25	Common Stock	S	800	$27.22	Disposed	10996	Direct

Derivative Transactions

Date	Security	Exercise Price	Code	Shares	A/D	Expiration	Underlying	Ownership
2005-05-25	Stock Options (Right to buy)	$15.28	M	2000	Disposed	2011-03-06	Common Stock (2000)	Direct

Holdings (Non-Derivative)

Security	Shares	Ownership
COMMON STOCK 401K	3722	Direct