Atwater is Kathleen's biological daughter from Kathleen's first marriage to Fred Atwater. When she learned that her mother was to marry Michael, she was thrilled, as she was already friends with Martha and Margaret, Peterson's daughters. According to Atwater's interview with Dateline, there was no trouble that she could see in Peterson and Kathleen's relationship."My parents Michael and Kathleen had the most loving relationship ever," Atwater told the outlet. "They were the most ideal parents."After Atwater saw her mother Kathleen's autopsy photos, however, she became convinced that her stepfather did, in fact, murder Kathleen. (Michael Peterson maintains that he is innocent of the crime.) After Atwater called her siblings and explained her position, they stopped speaking.According to Atwater's interview with Dateline, she did not believe Peterson when he said that Kathleen knew about his bisexuality and was open with him seeking sex outside of marriage."I genuinely cannot believe that she could know anything about that. I know — from every value that she’s taught me... from the way that I was raised, that’s not something that she would have been willing to accept," she told the outlet.Per AP News, in 2007, Atwater reached a $25 million wrongful death settlement with Peterson. In February of 2017, Peterson submitted an Alford plea (meaning he did not admit guilt, but acknowledged the state had sufficient evidence to convict) to the reduced charge of manslaughter. He was freed from prison but reportedly claims not to have money to pay Atwater. According to Indy Week, Atwater now lives a private life, and resides in Virginia. She is married, though she told Indy Week she does not want her married name revealed. The News & Observer reports that she is now the mother of twins.