COLUMBUS, Ohio, Jan. 28, 2015 /PRNewswire/ --
AMERICAN ELECTRIC
POWER
Preliminary,
unaudited results
|
|
|
Fourth-quarter
ended Dec. 31
|
|
Year-to-date ended
Dec. 31
|
|
|
2014
|
2013
|
Variance
|
|
2014
|
2013
|
Variance
|
Revenue ($ in
billions):
|
4.0
|
3.8
|
0.2
|
|
17.0
|
15.4
|
1.6
|
Earnings ($ in
millions):
|
|
|
|
|
|
|
|
GAAP
|
191
|
346
|
(155)
|
|
1,634
|
1,480
|
154
|
|
Operating
|
232
|
296
|
(64)
|
|
1,675
|
1,573
|
102
|
EPS
($):
|
|
|
|
|
|
|
|
|
|
GAAP
|
0.39
|
0.71
|
(0.32)
|
|
3.34
|
3.04
|
0.30
|
|
Operating
|
0.48
|
0.60
|
(0.12)
|
|
3.43
|
3.23
|
0.20
|
EPS based on 489mm
shares Q4 2014, 487mm in Q4 2013, 489mm in YTD 2014 and 487mm in
YTD 2013
|
|
American Electric Power (NYSE: AEP) today reported
fourth-quarter 2014 earnings, prepared in accordance with Generally
Accepted Accounting Principles (GAAP), of $191 million or $0.39 per share, compared with $346 million or $0.71 per share in fourth-quarter 2013. Operating
earnings (GAAP earnings excluding special items) for fourth-quarter
2014 were $232 million or
$0.48 per share, compared with
fourth-quarter 2013 operating earnings of $296 million or $0.60 per share.
GAAP earnings for year-end 2014 were $1.634 billion or $3.34 per share, compared with $1.480 billion or $3.04 per share in 2013. Operating earnings for
2014 were $1.675 billion or
$3.43 per share, compared with
$1.573 billion or $3.23 per share in 2013.
The difference in fourth-quarter 2014 GAAP and operating
earnings, as well as year-end 2014 GAAP and operating earnings, was
primarily due to the termination of a long-term coal contract.
A full reconciliation of 2014 and 2013 GAAP earnings with
operating earnings for the quarter and year-to-date is included in
tables at the end of this news release.
"Our solid performance in 2014 reinforces the viability of our
earnings growth strategy. Our focus on infrastructure investments
in our core, regulated operations, including our transmission
business, and on identifying sustainable process improvements, has
delivered value for our shareholders. AEP was in the top five
best-performing utility stocks for 2014, and our shareholders
received a total shareholder return of 35 percent, exceeding both
the S&P 500 Electric Utilities Index total return of 31 percent
and the S&P 500 total return of nearly 14 percent. We also
increased our dividend by 6 percent on an annual basis," said
Nicholas K. Akins, AEP chairman,
president and chief executive officer.
"Our transmission business continues to thrive, and its
contribution to 2014 earnings exceeded our expectations by
2 cents at 31
cents per share. In the past 12 months, AEP Transmission
Holding Co.'s net plant assets grew by approximately $1.1 billion to $2.7 billion, an increase of 65
percent.
"We also benefited from successful regulatory proceedings in
several states and strong off-system sales margins. The reliable
performance of our generation fleet during colder than normal
temperatures in 2014 gave us the ability to advance spending from
future years into 2014. Those shifts, combined with our initiatives
to put in place sustainable process improvements, will help us
manage the revenue challenges presented by the Ohio deregulation transition and the 2016-2017
PJM capacity market results," Akins said.
"We saw positive overall load growth for the fifth consecutive
quarter and experienced commercial sales increases for the year for
the first time since 2008. Residential sales growth also increased
year-over-year, which is consistent with the economic improvement
in the states where we operate. Although the significant growth
that we've seen from shale gas operations may be impacted by
declining oil prices, other parts of our diversified industrial
base should benefit from lower fuel prices.
"Our strong financial performance wouldn't be possible without
the diligence and commitment of all AEP employees to safety,
environmental stewardship and process improvement. They completed a
third consecutive year with no fatalities, kept the lights on
during the extreme cold last winter and embraced our process
improvement and cost containment initiatives. I'm confident that
their ingenuity and dedication to our customers will enable us to
continue to deliver on our growth strategy," Akins said.
EARNINGS GUIDANCE
Management reaffirmed its 2015 operating earnings guidance range
of $3.40 to $3.60 per share. In
providing operating earnings guidance, there could be differences
between operating earnings and GAAP earnings for matters such as,
but not limited to, impairments or changes in accounting
principles. AEP management is not able to estimate the impact, if
any, on GAAP earnings of these items. Therefore, AEP is not able to
provide a corresponding GAAP equivalent for earnings guidance.
SUMMARY OF RESULTS
BY SEGMENT
$ in
millions
|
GAAP
Earnings
|
4Q
14
|
4Q
13
|
Variance
|
YTD
14
|
YTD
13
|
Variance
|
|
Vertically Integrated
Utilities(a)
|
57
|
172
|
(115)
|
708
|
677
|
31
|
|
Transmission &
Distribution Utilities (b)
|
76
|
77
|
(1)
|
355
|
358
|
(3)
|
|
AEP Transmission
Holdco (c)
|
37
|
27
|
10
|
151
|
80
|
71
|
|
Generation &
Marketing (d)
|
(11)
|
40
|
(51)
|
367
|
228
|
139
|
|
AEP River Operations
(e)
|
32
|
24
|
8
|
49
|
12
|
37
|
|
All Other
|
0
|
6
|
(6)
|
4
|
125
|
(121)
|
|
Total
GAAP Earnings
|
191
|
346
|
(155)
|
1,634
|
1,480
|
154
|
|
|
|
|
|
|
|
|
|
Operating
Earnings
|
4Q
14
|
4Q
13
|
Variance
|
YTD
14
|
YTD
13
|
Variance
|
|
Vertically Integrated
Utilities
|
57
|
113
|
(56)
|
708
|
740
|
(32)
|
|
Transmission &
Distribution Utilities
|
76
|
77
|
(1)
|
355
|
357
|
(2)
|
|
AEP Transmission
Holdco
|
37
|
27
|
10
|
151
|
80
|
71
|
|
Generation &
Marketing
|
30
|
49
|
(19)
|
408
|
340
|
68
|
|
AEP River
Operations
|
32
|
24
|
8
|
49
|
12
|
37
|
|
All Other
|
0
|
6
|
(6)
|
4
|
44
|
(40)
|
|
Total
Operating Earnings
|
232
|
296
|
(64)
|
1,675
|
1,573
|
102
|
|
A full reconciliation
of GAAP earnings with operating earnings is included in tables at
the end of this news release.
|
|
(a) Includes
AEP Generating Co., Appalachian Power, Indiana Michigan Power,
Kentucky Power, Kingsport Power, Public Service Company of
Oklahoma, Southwestern Electric Power and Wheeling
Power.
|
(b) Includes
Ohio Power, AEP Texas Central and AEP Texas North.
|
(c) Includes
wholly-owned transmission-only subsidiaries and transmission-only
joint ventures.
|
(d) Includes
nonregulated generation in ERCOT and PJM as well as marketing, risk
management and retail activities in ERCOT, PJM and MISO.
|
(e) Includes
commercial barging operations.
|
|
Operating earnings from Vertically Integrated Utilities for
fourth-quarter 2014 and the year decreased compared with the same
periods in 2013 by $56 million and
$32 million, respectively. This
reflects the impact of planned incremental spending, including the
shifting of costs from future years (primarily plant maintenance
and forestry expenses), as well as the impact of a fuel recovery
disallowance in Kentucky. These
items were offset by the continuing impact of favorable rate
decisions and margins from off-system sales.
Operating earnings from AEP Transmission Holdco for
fourth-quarter 2014 and the year increased compared with the same
periods in 2013 by $10 million and
$71 million, respectively, largely
due to increased transmission-related investment.
Operating earnings from Generation & Marketing for
fourth-quarter 2014 decreased $19
million compared with the same period in 2013, but increased
$68 million for the year. The
increase for the year was mainly from strong fleet performance and
favorable power prices.
Operating earnings from AEP River Operations for fourth-quarter
2014 and the year increased compared with the same periods in 2013
by $8 million and $37 million, respectively, primarily due to
improvements in barge freight demand.
Operating earnings from All Other for fourth-quarter 2014 and
the year decreased compared with the same periods in 2013 by
$6 million and $40 million, respectively. The decrease for the
year was largely because of the prior-period impact of increased
interest income associated with a favorable court decision related
to U.K. windfall profit taxes.
OPERATING MARGIN
FROM VERTICALLY INTEGRATED UTILITIES
$ in
millions
|
|
4Q
14
|
4Q
13
|
Variance
|
YTD
14
|
YTD
13
|
Variance
|
|
Retail and FERC
Margins
|
1,154
|
1,128
|
26
|
4,917
|
4,705
|
212
|
|
Off-System
Sales
|
18
|
16
|
2
|
194
|
71
|
123
|
|
Transmission
Revenue
|
71
|
66
|
5
|
275
|
253
|
22
|
|
Other Operating
Revenue
|
38
|
47
|
(9)
|
145
|
193
|
(48)
|
|
Vertically
Integrated Utilities Operating Margin
|
1,281
|
1,257
|
24
|
5,531
|
5,222
|
309
|
|
|
|
|
|
|
|
|
|
Margin represents
total revenues less the related direct cost of fuel, including
consumption of chemicals and emissions allowances and purchased power.
|
Retail and FERC Margins – Retail and FERC margins for
fourth-quarter 2014 and the year were $26
million and $212 million
higher, respectively, than for the same periods in 2013. Retail
margins benefited from the continuing impact of favorable rate
decisions, partially offset by regulatory provisions.
Off-System Sales – Margins from off-system sales for
fourth-quarter 2014 and the year were $2
million and $123 million
higher, respectively, than for the same periods in 2013, mainly due
to strong generation performance and higher market prices,
partially offset by higher margin sharing with customers.
Transmission Revenue – Transmission revenue was
$5 million higher in fourth-quarter
2014 and $22 million higher for the
year compared with the same periods in 2013, largely because of
increased investment in the PJM Interconnection and Southwest Power
Pool regions.
OPERATING MARGIN
FROM TRANSMISSION & DISTRIBUTION UTILITIES
$ in
millions
|
|
4Q
14
|
4Q
13
|
Variance
|
YTD
14
|
YTD
13
|
Variance
|
|
Retail and FERC
Margins
|
587
|
520
|
67
|
2,299
|
2,063
|
236
|
|
Off-System
Sales
|
12
|
11
|
1
|
47
|
43
|
4
|
|
Transmission
Revenue
|
102
|
90
|
12
|
407
|
336
|
71
|
|
Other Operating
Revenue
|
108
|
98
|
10
|
430
|
410
|
20
|
|
Transmission &
Distribution Utilities Operating Margin
|
809
|
719
|
90
|
3,183
|
2,852
|
331
|
|
|
|
|
|
|
|
|
|
Margin represents
total revenues less the related direct cost of purchased power and
amortization of generation deferrals.
|
Retail and FERC Margins – Retail and FERC margins for
fourth-quarter 2014 and the year were $67
million and $236 million
higher, respectively, than for the same periods in 2013, due to
load growth in the Ohio and
Texas service territories as well
as the continuing impact of increased investment and favorable rate
decisions.
Transmission Revenue – Transmission revenues for
fourth-quarter 2014 and the year were $12
million and $71 million
higher, respectively, than for the same periods in the prior year,
primarily from increased transmission revenues from Ohio customers who switched to alternative
Competitive Retail Electric Service providers and increased
transmission investment.
OPERATING MARGIN
FROM GENERATION & MARKETING
$ in
millions
|
|
4Q
14
|
4Q
13
|
Variance
|
YTD
14
|
YTD
13
|
Variance
|
|
Generation &
Marketing Operating Margin
|
306
|
311
|
(5)
|
1,477
|
1,360
|
117
|
|
|
|
|
|
|
|
|
|
|
Margin represents
total revenues less the related direct cost of fuel, including
consumption of chemicals and emissions
|
|
Generation & Marketing – Generation & Marketing
margins decreased $5 million in
fourth-quarter 2014 compared with the same period in the prior
year, but increased $117 million for
the year compared with the same period in 2013, mainly due to
strong fleet performance and favorable power
prices.
SELECT OTHER OPERATING EXPENSES
The following expense categories within the Vertically
Integrated Utilities segment had significant fluctuations in 2014
compared with 2013 (dollars in millions):
|
4Q
14
|
4Q
13
|
Variance
|
YTD
14
|
YTD
13
|
Variance
|
|
Operations and
Maintenance Expense
|
706
|
631
|
75
|
2,515
|
2,251
|
264
|
|
Depreciation and
Amortization
|
261
|
240
|
21
|
1,033
|
942
|
91
|
|
Operations and Maintenance expenses in fourth-quarter 2014 and
the year for the Vertically Integrated Utilities segment were
$75 million and $264 million higher, respectively, compared with
the same periods in 2013, largely driven by planned incremental
spending, including shifting costs from future years primarily in
the generation and wires functions, as well as increased
employee-related expenses.
Depreciation and Amortization expenses for the fourth-quarter
2014 and the year for the Vertically Integrated Utilities segment
increased by $21 million and
$91 million, respectively, compared
with the same periods in 2013, largely due to increases in the
depreciable base.
The following expense categories within the Transmission &
Distribution Utilities segment had significant fluctuations in 2014
compared with 2013 (dollars in millions):
|
4Q
14
|
4Q
13
|
Variance
|
YTD
14
|
YTD
13
|
Variance
|
|
Operations and
Maintenance Expense
|
356
|
286
|
70
|
1,276
|
1,005
|
271
|
|
Depreciation and
Amortization
|
159
|
142
|
17
|
658
|
591
|
67
|
|
|
|
|
|
|
|
|
|
Operations and Maintenance expenses in fourth-quarter 2014 and
the year for the Transmission & Distribution Utilities segment
increased by $70 million and
$271 million, respectively, compared
with the same periods in 2013, largely due to increases in
transmission expenses recovered dollar-for-dollar in rate recovery
riders/trackers, as well as planned incremental spending including
shifting costs from future years and increases in employee-related
expenses.
Depreciation and Amortization expenses in fourth-quarter 2014
and the year for the Transmission & Distribution Utilities
segment increased by $17 million and
$67 million, respectively, compared
with the same periods in 2013, mainly because of increases in
amortization related to Ohio and
Texas securitizations and
increases in the depreciable base.
WEBCAST
American Electric Power's quarterly conference call with
financial analysts and investors will be broadcast live over the
Internet at 9 a.m. EST today at
http://www.aep.com/webcasts. The webcast will include audio of the
conference call and visuals of charts and graphics referred to by
AEP management during the call. The charts and graphics will be
available for download at http://www.aep.com/webcasts.
The call will be archived on http://www.aep.com/webcasts for
those unable to listen during the live webcast. Archived calls also
are available as podcasts.
---
American Electric Power is one of the largest electric utilities
in the United States, delivering
electricity to more than 5.3 million customers in 11 states. AEP
ranks among the nation's largest generators of electricity, owning
nearly 38,000 megawatts of generating capacity in the U.S. AEP also
owns the nation's largest electricity transmission system, a more
than 40,000-mile network that includes more 765-kilovolt extra-high
voltage transmission lines than all other U.S. transmission systems
combined. AEP's transmission system directly or indirectly serves
about 10 percent of the electricity demand in the Eastern
Interconnection, the interconnected transmission system that covers
38 eastern and central U.S. states and eastern Canada, and approximately 11 percent of the
electricity demand in ERCOT, the transmission system that covers
much of Texas. AEP's utility units
operate as AEP Ohio, AEP Texas, Appalachian Power (in Virginia and West
Virginia), AEP Appalachian Power (in Tennessee), Indiana Michigan Power, Kentucky
Power, Public Service Company of Oklahoma, and Southwestern Electric Power
Company (in Arkansas, Louisiana and east Texas). AEP's headquarters are in Columbus, Ohio.
---
AEP's earnings are prepared in accordance with accounting
principles generally accepted in the
United States and represent the company's earnings as
reported to the Securities and Exchange Commission. The company's
operating earnings, or GAAP earnings adjusted for certain items as
described in the news release and charts, provide another
representation of the company's performance. AEP uses operating
earnings as the primary performance measurement when communicating
with analysts and investors regarding its earnings outlook and
results. The company also uses operating earnings data internally
to measure performance against budget and to report to AEP's Board
of Directors.
---
This report made by American Electric Power and its Registrant
Subsidiaries contains forward-looking statements within the meaning
of Section 21E of the Securities Exchange Act of 1934. Although AEP
and each of its Registrant Subsidiaries believe that their
expectations are based on reasonable assumptions, any such
statements may be influenced by factors that could cause actual
outcomes and results to be materially different from those
projected. Among the factors that could cause actual results to
differ materially from those in the forward-looking statements are:
the economic climate, growth or contraction within and changes in
market demand and demographic patterns in AEP's service territory;
inflationary or deflationary interest rate trends; volatility in
the financial markets, particularly developments affecting the
availability of capital on reasonable terms and developments
impairing AEP's ability to finance new capital projects and
refinance existing debt at attractive rates; the availability and
cost of funds to finance working capital and capital needs,
particularly during periods when the time lag between incurring
costs and recovery is long and the costs are material; electric
load, customer growth and the impact of retail competition; weather
conditions, including storms and drought conditions, and AEP's
ability to recover significant storm restoration costs; available
sources and costs of, and transportation for, fuels and the
creditworthiness and performance of fuel suppliers and
transporters; availability of necessary generating capacity and the
performance of AEP's generating plants; AEP's ability to recover
increases in fuel and other energy costs through regulated or
competitive electric rates; AEP's ability to build or acquire
generating capacity and transmission lines and facilities
(including the ability to obtain any necessary regulatory approvals
and permits) when needed at acceptable prices and terms and to
recover those costs; new legislation, litigation and government
regulation, including oversight of nuclear generation, energy
commodity trading and new or heightened requirements for reduced
emissions of sulfur, nitrogen, mercury, carbon, soot or particulate
matter and other substances, or additional regulation of fly ash
and similar combustion products that could impact the continued
operation, cost recovery, and/or profitability of AEP's generation
plants and related assets; evolving public perception of the risks
associated with fuels used before, during and after the generation
of electricity, including nuclear fuel; a reduction in the federal
statutory tax rate that could result in an accelerated return of
deferred federal income taxes to customers; 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; resolution of litigation; AEP's ability to constrain
operation and maintenance costs; AEP's ability to develop and
execute a strategy based on a view regarding prices of electricity
and other energy-related commodities; prices and demand for power
that AEP generates and sells at wholesale; changes in technology,
particularly with respect to new, developing, alternative or
distributed sources of generation; AEP's ability to recover through
rates or market prices any remaining unrecovered investment in
generating units that may be retired before the end of their
previously projected useful lives; volatility and changes in
markets for capacity and electricity, coal, and other
energy-related commodities, particularly changes in the price of
natural gas; changes in utility regulation and the allocation of
costs within regional transmission organizations, including ERCOT,
PJM and SPP; the transition to market for generation in
Ohio, including the implementation
of ESPs; AEP's ability to successfully and profitably manage its
separate competitive generation assets; changes in the
creditworthiness of the counterparties with whom AEP has
contractual arrangements, including participants in the energy
trading market; actions of rating agencies, including changes in
the ratings of AEP debt; the impact of volatility in the capital
markets on the value of the investments held by AEP's pension,
other postretirement benefit plans, captive insurance entity and
nuclear decommissioning trust and the impact of such volatility on
future funding requirements; accounting pronouncements periodically
issued by accounting standard-setting bodies; and other risks and
unforeseen events, including wars, the effects of terrorism
(including increased security costs), embargoes, cyber security
threats and other catastrophic events.
American Electric
Power
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Financial Results
for the 4th Quarter 2014
|
Reconciliation of
GAAP to Operating Earnings
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2014
|
|
|
|
Vertically
Integrated
Utilities
|
|
Transmission
& Distribution
Utilities
|
|
AEP
Transmission
Holdco
|
|
Generation
and
Marketing
|
|
AEP River
Operations
|
|
Parent &
All Other
|
|
Total
|
|
EPS
|
|
|
|
($
millions)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
GAAP
Earnings
|
|
57.0
|
|
76.0
|
|
37.0
|
|
(11.0)
|
|
32.0
|
|
-
|
|
191.0
|
|
$ 0.39
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Special
Items
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Mark-to-Market Impact
of Economic Hedging Activities
|
a
|
-
|
|
-
|
|
-
|
|
6.0
|
|
-
|
|
-
|
|
6.0
|
|
$ 0.01
|
|
Coal Contract
Termination
|
d
|
-
|
|
-
|
|
-
|
|
35.0
|
|
-
|
|
-
|
|
35.0
|
|
$ 0.08
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total Special
Items
|
|
-
|
|
-
|
|
|
|
41.0
|
|
-
|
|
-
|
|
41.0
|
|
$ 0.09
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating
Earnings
|
|
57.0
|
|
76.0
|
|
37.0
|
|
30.0
|
|
32.0
|
|
-
|
|
232.0
|
|
$ 0.48
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Financial Results
for the 4th Quarter 2013
|
Reconciliation of
GAAP to Operating Earnings
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2013
|
|
|
|
Vertically
Integrated
Utilities
|
|
Transmission
& Distribution
Utilities
|
|
AEP
Transmission
Holdco
|
|
Generation
and
Marketing
|
|
AEP River
Operations
|
|
Parent & All
Other
|
|
Total
|
|
EPS
|
|
|
|
($
millions)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
GAAP
Earnings
|
|
172.0
|
|
77.0
|
|
27.0
|
|
40.0
|
|
24.0
|
|
6.0
|
|
346.0
|
|
$ 0.71
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Special
Items
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjustment to
Impairments
|
c
|
(5.0)
|
|
-
|
|
-
|
|
9.0
|
|
-
|
|
-
|
|
4.0
|
|
$ 0.01
|
|
Turk Plant
Impairment
|
b
|
(79.0)
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
(79.0)
|
|
$ (0.17)
|
|
Amos Unit 3
Regulatory Disallowance
|
b
|
25.0
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
25.0
|
|
$ 0.05
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total Special
Items
|
|
(59.0)
|
|
-
|
|
|
|
9.0
|
|
-
|
|
-
|
|
(50.0)
|
|
$ (0.11)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating
Earnings
|
|
113.0
|
|
77.0
|
|
27.0
|
|
49.0
|
|
24.0
|
|
6.0
|
|
296.0
|
|
$ 0.60
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
a
|
Reflected in
Revenues, and Income Tax Expense
|
b
|
Reflected in Asset
Impairments and Other Related Charges, and Income Tax
Expense.
|
c
|
Reflected in
Maintenance and Other Operation, and Income Tax Expense
|
d
|
Reflected in Fuel,
and Income Tax Expense
|
American Electric
Power
|
Summary of
Selected Sales Data
|
Regulated
Connected Load
|
(Data based on
preliminary, unaudited results)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ending December 31,
|
|
ENERGY &
DELIVERY SUMMARY
|
|
2014
|
|
2013
|
|
Change
|
|
|
|
|
|
|
|
|
|
Vertically
Integrated Utilities
|
|
|
|
|
|
|
|
Retail
Electric (in millions of kWh):
|
|
|
|
|
|
|
|
Residential
|
|
7,947
|
|
8,141
|
|
(2.4%)
|
|
Commercial
|
|
6,068
|
|
6,124
|
|
(0.9%)
|
|
Industrial
|
|
8,962
|
|
8,614
|
|
4.0%
|
|
Miscellaneous
|
|
571
|
|
567
|
|
0.7%
|
|
Total
Retail
|
|
23,548
|
|
23,446
|
|
0.4%
|
|
|
|
|
|
|
|
|
|
Wholesale
Electric (in millions of kWh): (a)
|
|
6,824
|
|
N.M.
|
(c)
|
|
|
|
|
|
|
|
|
|
|
Total
KWHs
|
|
30,372
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Transmission &
Distribution Utilities
|
|
|
|
|
|
|
|
Retail
Electric (in millions of kWh):
|
|
|
|
|
|
|
|
Residential
|
|
5,929
|
|
5,942
|
|
(0.2%)
|
|
Commercial
|
|
6,295
|
|
5,807
|
|
8.4%
|
|
Industrial
|
|
5,568
|
|
5,522
|
|
0.8%
|
|
Miscellaneous
|
|
173
|
|
175
|
|
(1.1%)
|
|
Total
Retail (b)
|
|
17,965
|
|
17,446
|
|
3.0%
|
|
|
|
|
|
|
|
|
|
Wholesale
Electric (in millions of kWh): (a)
|
|
471
|
|
N.M.
|
(c)
|
|
|
|
|
|
|
|
|
|
|
Total
KWHs
|
|
18,436
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(a)
|
Includes Off-System
Sales, Municipalities and Cooperatives, Unit Power, and
Other Wholesale Customers.
|
|
|
(b)
|
Represents energy
delivered to distribution customers.
|
|
|
(c)
|
2014 is not
comparable to 2013 due to the 2013 asset transfers related to
corporate separation on December
31, 2013 and the termination of the pool agreement effective
January 1, 2014.
|
American Electric
Power
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Financial Results
for Year-to-Date 2014
|
Reconciliation of
GAAP to Operating Earnings
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2014
|
|
|
|
Vertically
Integrated
Utilities
|
|
Transmission
& Distribution
Utilities
|
|
AEP
Transmission
Holdco
|
|
Generation
and
Marketing
|
|
AEP River
Operations
|
|
Parent & All
Other
|
|
Total
|
|
EPS
|
|
|
|
($
millions)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
GAAP
Earnings
|
|
708.0
|
|
355.0
|
|
151.0
|
|
367.0
|
|
49.0
|
|
4.0
|
|
1,634.0
|
|
$ 3.34
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Special
Items
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Mark-to-Market Impact
of Economic Hedging Activities
|
a
|
-
|
|
-
|
|
-
|
|
6.0
|
|
-
|
|
-
|
|
6.0
|
|
0.01
|
|
Coal Contract
Termination
|
e
|
-
|
|
-
|
|
-
|
|
35.0
|
|
-
|
|
-
|
|
35.0
|
|
0.08
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total Special
Items
|
|
-
|
|
-
|
|
|
|
41.0
|
|
-
|
|
-
|
|
41.0
|
|
$ 0.09
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating
Earnings
|
|
708.0
|
|
355.0
|
|
151.0
|
|
408.0
|
|
49.0
|
|
4.0
|
|
1,675.0
|
|
$ 3.43
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Financial Results
for Year-to-Date 2013
|
Reconciliation of
GAAP to Operating Earnings
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2013
|
|
|
|
Vertically
Integrated
Utilities
|
|
Transmission
& Distribution
Utilities
|
|
AEP
Transmission
Holdco
|
|
Generation
and
Marketing
|
|
AEP River
Operations
|
|
Parent & All
Other
|
|
Total
|
|
EPS
|
|
|
|
($
millions)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
GAAP
Earnings
|
|
677.0
|
|
358.0
|
|
80.0
|
|
228.0
|
|
12.0
|
|
125.0
|
|
1,480.0
|
|
$ 3.04
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Special
Items
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Restructuring
Program
|
d
|
3.0
|
|
(1.0)
|
|
-
|
|
4.0
|
|
-
|
|
(1.0)
|
|
5.0
|
|
0.01
|
|
Reversal of Storm
Deferral - Virginia
|
d
|
19.0
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
19.0
|
|
0.04
|
|
UK Windfall
Taxes
|
b
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
(80.0)
|
|
(80.0)
|
|
(0.16)
|
|
Muskingum River Plant
Unit 5 Impairment
|
c
|
-
|
|
-
|
|
-
|
|
99.0
|
|
-
|
|
-
|
|
99.0
|
|
0.20
|
|
Big Sandy FGD
Impairment
|
c
|
21.0
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
21.0
|
|
0.04
|
|
Adjustment to
Impairments
|
c
|
(5.0)
|
|
-
|
|
-
|
|
9.0
|
|
-
|
|
-
|
|
4.0
|
|
0.01
|
|
Amos Unit 3
Regulatory Disallowance
|
d
|
25.0
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
25.0
|
|
0.05
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total Special
Items
|
|
63.0
|
|
(1.0)
|
|
|
|
112.0
|
|
-
|
|
(81.0)
|
|
93.0
|
|
$ 0.19
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating
Earnings
|
|
740.0
|
|
357.0
|
|
80.0
|
|
340.0
|
|
12.0
|
|
44.0
|
|
1,573.0
|
|
$ 3.23
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
a
|
Reflected in
Revenues, and Income Tax Expense
|
b
|
Reflected in Income
Tax Expense
|
c
|
Reflected in Asset
Impairments and Other Related Charges, and Income Tax
Expense.
|
d
|
Reflected in
Maintenance and Other Operation, and Income Tax Expense
|
e
|
Reflected in Fuel,
and Income Tax Expense
|
American Electric
Power
|
Summary of
Selected Sales Data
|
Regulated
Connected Load
|
(Data based on
preliminary, unaudited results)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Twelve Months
Ending December 31,
|
|
ENERGY &
DELIVERY SUMMARY
|
|
2014
|
|
2013
|
|
Change
|
|
|
|
|
|
|
|
|
|
Vertically
Integrated Utilities
|
|
|
|
|
|
|
|
Retail
Electric (in millions of kWh):
|
|
|
|
|
|
|
|
Residential
|
|
34,073
|
|
33,851
|
|
0.7%
|
|
Commercial
|
|
25,048
|
|
25,037
|
|
0.0%
|
|
Industrial
|
|
35,281
|
|
34,216
|
|
3.1%
|
|
Miscellaneous
|
|
2,311
|
|
2,284
|
|
1.2%
|
|
Total
Retail
|
|
96,713
|
|
95,388
|
|
1.4%
|
|
|
|
|
|
|
|
|
|
Wholesale
Electric (in millions of kWh): (a)
|
|
34,241
|
|
N.M.
|
(c)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Transmission &
Distribution Utilities
|
|
|
|
|
|
|
|
Retail
Electric (in millions of kWh):
|
|
|
|
|
|
|
|
Residential
|
|
26,209
|
|
25,531
|
|
2.7%
|
|
Commercial
|
|
25,307
|
|
24,500
|
|
3.3%
|
|
Industrial
|
|
21,830
|
|
22,799
|
|
(4.3%)
|
|
Miscellaneous
|
|
713
|
|
710
|
|
0.4%
|
|
Total
Retail (b)
|
|
74,059
|
|
73,540
|
|
0.7%
|
|
|
|
|
|
|
|
|
|
Wholesale
Electric (in millions of kWh): (a)
|
|
2,198
|
|
N.M.
|
(c)
|
|
|
|
|
(a)
|
Includes Off-System
Sales, Municipalities and Cooperatives, Unit Power, and
Other Wholesale Customers.
|
|
|
(b)
|
Represents energy
delivered to distribution customers.
|
|
|
(c)
|
2014 is not
comparable to 2013 due to the 2013 asset transfers related to
corporate separation on December
31, 2013 and the termination of the pool agreement effective
January 1, 2014.
|
Logo - http://photos.prnewswire.com/prnh/20150127/171784LOGO
To view the original version on PR Newswire,
visit:http://www.prnewswire.com/news-releases/aep-reports-2014-fourth-quarter-and-year-end-earnings-solid-performance-supported-by-earnings-growth-strategy-300026756.html
SOURCE American Electric Power