Summary
American Electric Power Company, Inc. (AEP) filed an 8-K on May 15, 2007, to announce that management would be reaffirming its previously issued earnings guidance for the 2007 fiscal year during upcoming investor meetings. The company reiterated its ongoing earnings per share forecast of $2.85 to $3.05. This guidance was initially provided on April 26, 2007, in conjunction with the first-quarter earnings release. AEP emphasized that it considers "ongoing earnings" (GAAP earnings adjusted for certain items) to be a more meaningful measure of its performance and uses it internally and for external communications. The filing also includes a standard disclaimer about forward-looking statements, outlining various factors that could cause actual results to differ materially from projections, including regulatory decisions, fuel costs, economic conditions, and legislative changes.
Key Highlights
- 1AEP reaffirms its 2007 fiscal year ongoing earnings per share guidance of $2.85 to $3.05.
- 2This reaffirmation occurred during investor meetings scheduled between May 15 and May 23, 2007.
- 3The company considers "ongoing earnings" a more meaningful performance metric than GAAP earnings.
- 4Ongoing earnings are used for external communications with analysts and investors, as well as for internal performance measurement.
- 5The presentation materials for the investor meetings will be available on AEP's website.
- 6The filing includes a comprehensive list of risk factors that could affect future results.
- 7Key risk factors mentioned include regulatory uncertainty, fuel costs, weather, and economic conditions.