Byline: Jim Ostroff

Droughts plaguing many parts of the U.S. are nabbing the attention of lenders and investors. They are zeroing in on businesses' exposure to water supply risks and how they might affect customer service and costs. Power plants, food processors, mining companies and semiconductor makers could see disruptions that hurt the bottom line and their reputation with customers and investors.

If outages force a firm to cut production or close facilities, higher costs ensue. Banks are including that assessment when conducting due diligence on companies' accounting or contingency plans. Look for banks and Wall Street to hone in on water supply disruption risks ...

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