Summary
American Electric Power Company, Inc. (AEP) filed an 8-K on December 5, 2006, to disclose information related to upcoming investor meetings scheduled for December 5th and 6th, 2006. The primary purpose of this filing was to reaffirm the company's previously issued earnings guidance for the 2006 fiscal year. Management reiterated its projection of ongoing earnings to be in the range of $2.65 to $2.80 per share. AEP emphasized that it uses 'ongoing earnings' – which are GAAP earnings adjusted for certain items – as its preferred metric for performance measurement and investor communication, believing it offers a more meaningful representation of the company's operational performance.
Key Highlights
- 1AEP reaffirmed its 2006 fiscal year ongoing earnings per share guidance of $2.65 to $2.80.
- 2The guidance was originally issued on October 31, 2006, in conjunction with the company's third-quarter earnings release.
- 3The reaffirmation of guidance was made in anticipation of investor meetings held on December 5th and 6th, 2006.
- 4AEP management highlighted its use of 'ongoing earnings' as a key performance metric, adjusted from GAAP earnings.
- 5The company believes 'ongoing earnings' provide a more meaningful representation of its financial performance.
- 6Presentation materials for the investor meetings were made available on AEP's website.