8-KRegulation FD

AMERICAN ELECTRIC POWER CO INC 8-K Report, Regulation FD Disclosure (Jun 18, 2009)

Filed June 18, 2009For Securities:AEP

Summary

American Electric Power Company, Inc. (AEP) filed an 8-K on June 18, 2009, to disclose information that would be shared with investors during meetings on the same day. The primary focus of this disclosure was the reaffirmation of AEP's previously issued earnings guidance for the 2009 fiscal year. The company reiterated its expectation of ongoing earnings per share to be in the range of $2.75 to $3.05. AEP emphasizes that 'ongoing earnings,' which are GAAP earnings adjusted for certain items, are considered a more meaningful measure of its performance. This metric is used by management for communicating its earnings outlook and results to analysts and investors, as well as for internal performance tracking and reporting to the board of directors. The filing also included a standard forward-looking statement disclaimer, outlining various factors that could materially impact actual results, including economic conditions, regulatory decisions, and energy market volatility.

Key Highlights

  • 1Reaffirmed 2009 fiscal year ongoing earnings guidance of $2.75 to $3.05 per share.
  • 2Emphasized the use of 'ongoing earnings' as the primary performance metric for investor communications.
  • 3'Ongoing earnings' are defined as GAAP earnings adjusted for certain items.
  • 4Management uses 'ongoing earnings' for internal performance measurement against budget and board reporting.
  • 5The filing included standard cautionary language regarding forward-looking statements and potential risk factors.
  • 6Noted that these statements are based on current expectations and are subject to various external influences.

Frequently Asked Questions

The main purpose of this 8-K filing is to formally notify investors and the public that American Electric Power Company, Inc. (AEP) will be reaffirming its previously issued earnings guidance for the 2009 fiscal year during meetings with investors on June 18, 2009. The company is reiterating its expectation for ongoing earnings per share to be between $2.75 and $3.05.

AEP defines 'ongoing earnings' as GAAP (Generally Accepted Accounting Principles) earnings that have been adjusted for certain items. The company considers this adjusted figure a more meaningful representation of its performance and uses it as its primary metric when communicating its earnings outlook and results to analysts and investors, as well as for internal performance tracking.

The filing outlines a broad range of factors that could cause actual results to differ materially from forward-looking statements. These include, but are not limited to, electric load and customer growth, weather conditions, fuel costs and availability, generating capacity performance, regulatory decisions (including rate cases and environmental compliance), litigation, operating costs, asset sales, economic climate, and financial market conditions, particularly those affecting capital availability and interest rates.