LONDON, Dec. 20, 2001 - AEP Energy Services Ltd., the London-based European wholesale marketing and trading subsidiary of American Electric Power (NYSE: AEP), has named Steve Smith as director, environmental and regulator affairs for the UK and Europe.

Smith, 29, will join AEP Energy Services Feb. 1 and will be responsible for ensuring that AEP’s power generating assets in the UK comply with market regulations and environmental regulations. Smith will also be responsible for evaluating emerging regulatory issues.

Smith comes to AEP from the Office of Gas and Electricity Markets (OFGEM) where he was Director of Trading Arrangements. OFGEM regulates gas and electricity industries in Great Britain. Smith’s responsibilities at OFGEM included development of wholesale energy trading arrangements in the developing European marketplace, drafting regulatory and environmental compliance measures, facilitating competition and representing OFGEM’s views to other UK and European energy industry groups and market participants.

Before joining OFGEM in 1999, Smith was senior associate in the Strategy, Policy and Economics group of the Energy and Utilities practice at Price Waterhouse Coopers (PWC), Management Consulting Services. In this position he provided strategic and economic advice to companies, regulators and governments in the network and utility industries worldwide. He joined PWC in 1994.

American Electric Power’s growth strategy focuses on key aspects of the wholesale fuel and power generation value chain - generation and related energy assets, wholesale marketing and trading of energy commodities, fuel procurement and transportation and related activities. AEP Energy Services’ London office markets and trades power, natural gas and coal in the UK and Europe.

Smith holds an MSc Economics and Econometrics (with Commendation) and BSc Economics (1st Class) from the University of Bristol. He was graduated in 1994.

American Electric Power is a multinational energy company based in Columbus, Ohio. AEP owns and operates more than 38,000 megawatts (mw) of generating capacity in the U.S., making it America’s largest generator of electricity. The company is also a leading wholesale energy marketer and trader, ranking second in North America in wholesale electricity and wholesale natural gas volume. AEP provides retail electricity to more than 7 million customers worldwide and has holdings in the U.S. and select international markets. Wholly owned subsidiaries are involved in power engineering and construction services.