8-KRegulation FD

AMERICAN ELECTRIC POWER CO INC 8-K Report, Regulation FD Disclosure (May 21, 2008)

Filed May 21, 2008For Securities:AEP

Summary

This 8-K filing from American Electric Power Company, Inc. (AEP) on May 21, 2008, announces that the company will be meeting with investors between May 21st and May 23rd, 2008. During these meetings, AEP intends to reaffirm its previously issued guidance for ongoing earnings per share (EPS) for the 2008 fiscal year, setting a range of $3.10 to $3.30. The company emphasizes that it uses "ongoing earnings" (GAAP earnings adjusted for certain items) as its primary performance metric when communicating with investors and analysts. This suggests that investors should focus on this adjusted figure when evaluating AEP's financial performance and outlook, as it is considered a more meaningful representation by management. The filing also includes a comprehensive disclaimer of forward-looking statements, outlining various risks and uncertainties that could materially impact actual results.

Key Highlights

  • 1AEP is reaffirming its 2008 fiscal year ongoing earnings per share guidance of $3.10 to $3.30.
  • 2The investor meetings are scheduled to take place from May 21, 2008, to May 23, 2008.
  • 3AEP considers "ongoing earnings" (adjusted GAAP earnings) as its primary performance measurement for investor communications.
  • 4The company uses ongoing earnings internally for performance measurement and board reporting.
  • 5The filing includes a standard disclaimer of forward-looking statements detailing potential risks and uncertainties.
  • 6Factors influencing future results include weather, fuel costs, regulatory decisions, legislation, and economic conditions.

Frequently Asked Questions

The primary purpose of this 8-K filing is to inform investors that American Electric Power (AEP) management will be meeting with investors and to reaffirm the company's previously issued 2008 fiscal year earnings guidance.

AEP is reaffirming its guidance for ongoing earnings per share for the 2008 fiscal year to be in the range of $3.10 to $3.30.

AEP's management believes that ongoing earnings, which are GAAP earnings adjusted for certain items, provide a more meaningful representation of the company's performance and are therefore used as the primary performance measurement when communicating with analysts and investors.

Key risks mentioned include electric load and customer growth, weather conditions, fuel costs and availability, generating capacity performance, regulatory decisions, new legislation and litigation (such as Clean Air Act enforcement), economic conditions in AEP's service territory, financial market changes, and commodity price volatility.