American Electric Power

American Electric Power

AEP logo
Company type	Public (NYSE: AEP)
Industry	Electric Utilities
Founded	1906
Headquarters	Columbus, Ohio, USA
Area served	AEP Ohio: Ohio, West Virginia AEP Texas: Texas Appalachian Power: Tennessee, Virginia, West Virginia Indiana Michigan Power: Indiana, Michigan Kentucky Power: Kentucky PSO: Oklahoma SWEPCO: Arkansas, Louisiana, Texas
Key people	Michael G. Morris - Chairman, President & CEO since 2004
Products	Electricity generation, transmission and distribution
Revenue	$13.4 billion
Net income	$1.1 billion
Number of employees	20,861
Website	www.AEP.com

American Electric Power (NYSE: AEP) is a major investor-owner electric utility in various parts of the United States. AEP ranks among the nation's largest generators of electricity, owning nearly 38,000 megawatts of generating capacity in the U.S. AEP also owns the nation's largest electricity transmission system, a nearly 39,000-mile (63,000 km) network that includes more 765 kilovolt extra-high voltage transmission lines than all other U.S. transmission systems combined. AEP's transmission system directly or indirectly serves about 10 percent of the electricity demand in the Eastern Interconnection, the interconnected transmission system that covers 38 eastern and central U.S. states and eastern Canada, and approximately 11 percent of the electricity demand in ERCOT, the transmission system that covers much of Texas. AEP's utility units operate as AEP Ohio, AEP Texas, Appalachian Power (in Virginia, West Virginia, and Tennessee), Indiana Michigan Power, Kentucky Power, Public Service Company of Oklahoma, and Southwestern Electric Power Company (in Arkansas, Louisiana and east Texas). AEP's headquarters are in Columbus, Ohio.

American Electric Power was the first utility to utilize 345KV transmission lines which took place in 1953.

Overview

The company is divided into seven major geographic local operating companies:

• AEP Ohio, made up of the former Ohio Power and Columbus Southern Power (nee Columbus and Southern Ohio Electric Co.)
• AEP Texas, a merger of various predecessor utilities
• Appalachian Power, serving West Virginia and Virginia
• Indiana Michigan Power
• Kentucky Power
• Public Service Company of Oklahoma (PSO), and
• Southwestern Electric Power Company, often called SWEPCO, serving Arkansas, Louisiana, and eastern Texas

In addition, two smaller divisions, Wheeling Electric Power (serving Wheeling, West Virginia) and Kingsport Electric Power (serving Kingsport, Tennessee), are operated as de facto parts of AEP Ohio and Appalachian Power, respectively.

AEP owns and operates the Donald C. Cook nuclear power plant.

AEP also bought much of the town of Cheshire, Ohio, after it had become contaminated by AEP's Gavin Power Plant. [1]

AEP is also a leading technology company in the energy industry, having recently announced their plans to build an Integrated Gasification Combined Cycle (IGCC) coal-fired power plant which is expected to reduce emissions while providing additional electricity capacity to the customers served by AEP.

The company also operates its own inland barge line, AEP River Operations (formerly MEMCO Barge Line), and owns major tracts of land throughout its service areas.

In august 2008, American Electric Power has formed a joint venture company with Duke Energy to build and own new electric transmission assets.

Environmental record

1 Riverside Plaza
AEP headquarters in Columbus, Ohio.

Researchers at the University of Massachusetts Amherst have identified American Electric as the 35th-largest corporate producer of air pollution in the United States, with roughly 88 million pounds of toxic chemicals released annually into the air. Major pollutants indicated by the study include sulfuric acid, chromium and nickel compounds, hydrochloric acid, and manganese compounds. Overall, electric power plants, such as those operated by AEP, account for almost "70 percent of sulfur dioxide emissions each year and 30 percent of nitrogen oxides emissions." Individually, these pollutants cause serious respiratory damage and other illnesses; when combined, they create what's known as acid rain, which causes long term damage to the environment and deterioration of natural and man-made structures. Environmental Protection Agency has named American Electric a potentially responsible party at the Green River Disposal Inc. Superfund toxic waste site.

Hybrid trucks

American Electric Power is expanding its green efforts to include 18 more International DuraStar Hybrid diesel hybrid trucks.

Justice Department lawsuit

The United States Justice Department filed a lawsuit in November 3, 1999, against AEP and six other companies for violating the Clean Air Act. On October 8, 2007, AEP agreed to install US$4.6 billion in equipment to reduce emission, as well as pay a US$15 million civil fine.[2] The company will cut 813,000 tons of air pollutants annually once all of the controls are installed. According to the press release, the agreement imposes caps on emissions of pollutants from 16 plants located in five states. The facilities are located in Moundsville (2 facilities), St. Albans, Glasgow, and New Haven (2 facilities), West Virginia; Louisa, Kentucky; Glen Lyn and Carbo, Virginia, Virginia; Brilliant, Conesville, Cheshire, Lockbourne, and Beverly, Ohio; and Rockport and Lawrenceburg, Indiana.

See also

• International Durastar

External links

• American Electric Power
• Company History
• Michael G. Morris granted, take home, and expensed compensation from American Electric Power (AEP). Also view Michael G. Morris's accumulated wealth, board compensation, recent equity awards, and material updates., from Equilar