6/21/2010

AEP and Allegheny Energy Announce New In-Service Deadline for PATH Transmission Project

COLUMBUS, Ohio, and GREENSBURG, Pa., June 18, 2010 – American Electric Power (NYSE: AEP) and Allegheny Energy, Inc. (NYSE: AYE) today announced that new studies by independent grid operator PJM Interconnection recommend construction of the Potomac-Appalachian Transmission Highline (PATH) as the most effective solution to address numerous electric reliability concerns forecast for the Mid-Atlantic region.

The latest analyses, conducted as part of PJM’s 2010 Regional Transmission Expansion Plan (RTEP), are consistent with previous studies since 2007 identifying PATH as the preferred solution for resolving issues on the region’s transmission grid. Based on the findings announced today, PJM is directing that PATH be placed into service by June 1, 2015, at the latest.

“All analysis to date indicates that the PATH project remains the most robust and effective means to ensure the long-term reliability of the PJM grid,” said Steven R. Herling, Vice President of Planning, PJM.

The PATH project was evaluated against six alternatives and found to be the most comprehensive solution to resolve numerous voltage-related issues and line overloads that are projected to begin in mid-2015. Among the other alternatives examined, PATH is the recommended solution that resolves the majority of the projected reliability issues within PJM’s 15-year planning period.

Taking into account a thorough regulatory review as well as the time required to complete construction of the line, the PATH companies will continue to move forward quickly with the project. The new data will be incorporated into the existing applications for regulatory approval in Maryland and West Virginia, as well as in a new application to be filed in Virginia in the third quarter.

PATH is a joint venture between Allegheny Energy and AEP to construct a 275-mile, 765-kilovolt (kV) transmission project extending from the Amos substation in Putnam County, W.Va., to a proposed substation in Frederick County, Md. For more information, visit the project website at www.pathtransmission.com.

Allegheny Energy
Headquartered in Greensburg, Pa., Allegheny Energy is an investor-owned electric utility with total annual revenues of over $3 billion and more than 4,000 employees. The company owns and operates generating facilities and delivers low-cost, reliable electric service to 1.5 million customers in Pennsylvania, West Virginia and Maryland. For more information, visit our Web site at www.alleghenyenergy.com.


American Electric Power
American Electric Power is one of the largest electric utilities in the United States, delivering electricity to more than 5 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 nearly 39,000-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. Visit AEP on the web at www.aep.com.

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