CONNECTICUT WATER SERVICE, INC. REPORTED INCREASED NET
INCOME FOR THE YEAR ENDED DECEMBER 31, 2005 COMPARED TO 2004

          Clinton, Connecticut - Connecticut Water Service, Inc. (NASDAQ: CTWS), New England's largest domestic based investor owned water company, serving over 81,000 customers in 41 towns throughout Connecticut, reported net income for the year ending December 31, 2005 of $10.3 million, or $1.27 per basic common share. This is an increase of approximately $900,000, or $0.10 per basic common share, over 2004, when net income of $9.4 million, or $1.17 per basic common share was reported.
Both years' net income includes the results of discontinued operations associated with the Company's decision to sell the assets of a wholly owned subsidiary, Barnstable Water Company, in 2005. These discontinued operations reflect the gain on the sale of assets, the income derived from the operating contract between the Town of Barnstable (Town) and the Company subsequent to the sale, as well as the income derived from the Company's investment of the $6.7 million in net proceeds, from the sale. That operating contract between the Town and Company ended in February of 2006. Partially offsetting the financial benefits of the Company's decision to sell the Barnstable Water Company assets was the decline in the Real Estate segment's net income in 2005.

          As expected, in 2005 the Company did not dispose of any large portions of its non watershed lands as it had in the prior three years. In addition, despite the 3% increase in revenues in 2005, reflecting both organic growth and favorable summer weather, the Water Activities segment experienced increased operating costs, including energy, health care, pensions, and other compliance related expenses. Revenues and Income derived from the Services & Rentals segment grew 4% and 14%, respectively in 2005.

          Connecticut Water Service, Inc. President and Chief Executive Officer Eric W. Thornburg said, "We are proud to report our 15th consecutive year of increased net income. Over the past 15 years we have met the financial challenges of increasing earnings for our shareholders, while meeting our commitment to customers to maintain stable rates over an extended period of time. We have done so without sacrificing the quality service that our customers have come to expect and deserve. It has become clear to us however, that after 15 years of investing a total of approximately $100 million in our water system infrastructure, combined with increasing operating costs, that a rate increase for our regulated subsidiaries will need to be requested later this year."

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News media contact:
David C. Benoit
CFO and Vice President - Finance
Connecticut Water Service, Inc.
93 West Main Street, Clinton, CT 06413-1600
(860) 6698630 Ext. 3030

Connecticut Water Service, Inc. & Subsidiaries

Consolidated Statements of Income (in thousands except per share data)
	Year Ended December 31,
	2005	2004
Operating Revenues	$ 47,453	$ 46,008
Utility Operating Income	$9,492	$10,329
Gain (Loss) on Property Transactions	$ (61)	$1,206
Non-Water Sales Earnings	$945	$829
Income From Continuing Operations	$7,166	$9,163
Discontinued Operations, Net of Tax	$3,158	$231
Net Income Applicable to Common Shareholders	$10,286	$9,356
Basic Earnings Per Average Common Share - Continuing          Operations	$0.89	$1.15
Basic Earnings Per Average Common Share -          Discontinued  Operations	$0.38	$0.02
Basic Total Earnings Per Average Common Share	$1.27	$1.17
Diluted Earnings Per Average Common Share -          Continuing Operation	$0.88	$1.14
Diluted Earnings Per Average Common Share -          Discontinued  Operations	$0.38	$0.02
Diluted Total Earnings Per Average Common Share	$1.26	$1.16
Basic Weighted Average Common Shares Outstanding	8,094	7,999
Diluted Weighted Average Common Shares Outstanding	8,143	8,039
Book Value Per Share	$11.51	$10.94

Connecticut Water Service, Inc. & Subsidiaries

Condensed Consolidated Balance Sheets
(In thousands)	December 31, 2003	December 31, 2002
ASSETS
Net Utility Plant	$247,403	$241,776
Current Assets	26,146	15,265
Other Assets	32,186	33,899
Total Assets	$306,035	$290,940
CAPITALIZATION AND LIABILITIES
Shareholders’ Equity	$94,076	$87,865
Preferred Stock	847	847
Long-Term Debt	77,404	66,399
Current Liabilities	13,229	15,948
Other Liabilities and Deferred Credits	120,479	119,881
Total Capitalization and Liabilities	$306,035	$209,940

          This press release may contain certain forward-looking statements regarding the Company's results of operations and financial position. These forward-looking statements are based on current information and expectations, and are subject to risks and uncertainties, which could cause the Company's actual results to differ materially from expected results.

          Our water companies are subject to various federal and state regulatory agencies concerning water quality and environmental standards. Generally, the water industry is materially dependent on the adequacy of approved rates to allow for a fair rate of return on the investment in utility plant. The ability to maintain our operating costs at the lowest possible level while providing good quality water service is beneficial to customers and stockholders. Profitability is also dependent on the timeliness of rate relief, to be sought from, and granted by, the DPUC, when necessary, and numerous factors over which we have little or no control, such as the quantity of rainfall and temperature, industrial demand, financing costs, energy rates, tax rates, and stock market trends which may affect the return earned on pension assets, and compliance with environmental and water quality regulations. The profitability of our other revenue sources is subject to the amount of land we have available for sale and/or donation, the demand for the land, the continuation of the current state tax benefits relating to the donation of land for open space purposes, regulatory approval of land dispositions, the demand for telecommunications antenna site leases and the successful extensions and expansion of our service contract work. We undertake no obligation to update or revise forward-looking statements, whether as a result of new information, future events, or otherwise.