American Electric Power Company, Inc. (AEP) is a public utility holding company that owns, directly or indirectly, all of the outstanding common stock of its public utility subsidiaries and varying percentages of other subsidiaries. The service areas of AEP's public utility subsidiaries cover portions of the states of Arkansas, Indiana, Kentucky, Louisiana, Michigan, Ohio, Oklahoma, Tennessee, Texas, Virginia and West Virginia. These subsidiaries traditionally provide electric service, consisting of generation, transmission and distribution to retail customers. AEP also has contractual, financial and other business relationships with other member companies, such as participation in AEP savings and retirement plans and tax returns, sales of electricity and transportation and handling of fuel. The member companies of AEP also obtain certain accounting, administrative, information systems, engineering, financial, legal, maintenance and other services at cost from a common provider, AEPSC.

• Employees: 17,250 (as of December 31, 2023)
• Geographic Footprint: Portions of the states of Arkansas, Indiana, Kentucky, Louisiana, Michigan, Ohio, Oklahoma, Tennessee, Texas, Virginia and West Virginia
• Headquarters: Columbus, Ohio
• Founded: 1906
• Number of locations/facilities: Extensive transmission and distribution facilities in the territories served
• Revenue: $18.98 billion (FY2023)
• Market Capitalization: $44.3 billion (as of June 30, 2023)
• Key Subsidiaries/Brands: American Electric Power Company, Inc., AEP Texas Inc., AEP Transmission Company, LLC, Appalachian Power Company, Indiana Michigan Power Company, Ohio Power Company, Public Service Company of Oklahoma and Southwestern Electric Power Company

• CEO: Benjamin G.S. Folke, III (Interim)
• CFO: Charles E. Zebula
• Other Key Executives: Christian T. Beam (Executive Vice President - Energy Services), David M. Feinberg (Executive Vice President, General Counsel and Secretary), Greg B. Hall (Executive Vice President and Chief Commercial Officer), Therace M. Risch (Executive Vice President and Chief Information & Technology Officer), Peggy I. Simmons (Executive Vice President - Utilities), Antonio P. Smyth (Executive Vice President - Grid Solutions & Government Affairs), Phillip R. Ulrich (Executive Vice President and Chief Human Resources Officer)

The executive officers of AEP and certain of the executive officers of its public utility subsidiaries are employees of AEPSC.

• Annual Revenue: $18.98 billion (FY2023)
• Net Income: $2.21 billion (FY2023)
• Market Cap: $44.3 billion (as of June 30, 2023)
• Total Assets: Not explicitly stated in the overview, see balance sheets for details
• Number of Employees: 17,250 (as of December 31, 2023)
• Key Financial Highlights: Earnings Attributable to AEP Common Shareholders decreased from $2.3 billion in 2022 to $2.2 billion in 2023 primarily due to a decrease in weather-related sales volumes, an increase in interest expense, unfavorable mark-to-market economic hedge activity, a loss on the sale of the competitive contracted renewables portfolio in 2023 and unfavorable regulatory decisions in Texas, West Virginia and at FERC. These decreases were partially offset by favorable rate proceedings in AEP's various jurisdictions, investment in transmission assets and a loss related to the expected sale of the Kentucky Operations in 2022.

AEP's public utility subsidiaries provide electric service, consisting of generation, transmission and distribution.

• Retail Revenues: Electric service to retail customers in various states.
• Wholesale and Competitive Retail Revenues: Sales of electricity to other utilities, rural electric cooperatives, municipalities and other market participants.
• Transmission and Distribution Delivery Services: Delivery of electricity over transmission and distribution lines.

AEP's reportable segments are:

• Vertically Integrated Utilities: Generation, transmission and distribution of electricity for sale to retail and wholesale customers.
• Transmission and Distribution Utilities: Transmission and distribution of electricity for sale to retail and wholesale customers.
• AEP Transmission Holdco: Holding company for State Transcos and transmission operations joint ventures.
• Generation & Marketing: Wholesale energy trading and marketing, retail supply and energy management business, and competitive generating assets.

AEP is transforming to be more agile and customer-focused as a valued provider of energy solutions. AEP routinely submits IRPs in various regulatory jurisdictions to address future generation and capacity needs. These IRPs take into account economics, customer demand, grid reliability and resilience, regulations and RTO capacity requirements. The objective of the IRPs is to recommend future generation and capacity resources that provide the most cost-efficient and reliable power to customers. Based on the output of the company's IRPs, in October 2022, AEP announced new intermediate and long-term CO2 emission reduction goals. AEP's total Scope 1 GHG estimated emissions in 2023 were approximately 42.8 million metric tons, a 68% reduction according to the GHG Protocol, which excludes emission reductions that result from assets that have been sold, or a 72% reduction from AEP's 2005 Scope 1 GHG emissions (inclusive of emission reductions that result from plants that have been sold).

• Key strategic initiatives: Transition from fossil generation, build or acquire renewable generation, transmission lines and facilities, and reduce energy consumption and peak demand.
• Growth drivers: Customer demand for carbon-free energy, potential tariffs, carbon policy and regulation, operational performance of renewable generation and supply chain costs and constraints.
• Investment priorities: Renewable resource plans, evolving RTO requirements, constructive regulatory support, the advancement of carbon-free generation technologies, customer demand for carbon-free energy, potential tariffs, carbon policy and regulation, operational performance of renewable generation and supply chain costs and constraints.

The electric utility industry is in the midst of an historic transformation, driven by changing customer needs, evolving public policies, stakeholder demands, demographics, competitive offerings, technologies and commodity prices.

• Primary Industry: Electric power generation, transmission and distribution.
• Market Trends: Changes in customer needs, evolving public policies, stakeholder demands, demographics, competitive offerings, technologies and commodity prices.
• Key Competitors: AEP competes with self-generation and with distributors of other energy sources, such as natural gas, fuel oil, renewables and coal.
• Market Share: Not explicitly stated in the overview

• Market Risks: Changes in economic conditions, electric market demand and demographic patterns in AEP service territories, increased global trade tensions, inflationary or deflationary interest rate trends, volatility and disruptions in financial markets.
• Operational Risks: Weather conditions, including storms and drought conditions, limitations or restrictions on insurance, cost of fuel and its transportation, availability of fuel and necessary generation capacity, ability to recover fuel and other energy costs, ability to transition from fossil generation and the ability to build or acquire renewable generation, transmission lines and facilities, the impact of pandemics, new legislation, litigation or government regulation, the risks before, during and after generation of electricity.
• Financial Risks: The availability and cost of funds to finance working capital and capital needs, the impact of federal tax legislation, the impact of volatility in the capital markets on the value of the investments held by the pension, OPEB, captive insurance entity and nuclear decommissioning trust and the impact of such volatility on future funding requirements, accounting standards periodically issued by accounting standard-setting bodies.
• Regulatory Risks: Timing and resolution of pending and future rate cases, negotiations and other regulatory decisions, including rate or other recovery of new investments in generation, distribution and transmission service and environmental compliance.