COLUMBUS, Ohio, Nov. 21, 2003 - Houston Pipe Line Co. and AEP Energy Services Gas Holding Co., affiliates of American Electric Power (NYSE: AEP), filed suit today in the Enron bankruptcy proceeding pending in United States Bankruptcy Court for the Southern District of New York. The suit was filed against Enron and Bank of America regarding the Bammel storage related assets.

"AEP has taken this action to accelerate resolution of issues associated with the Bammel storage related assets,” said Michael Miller, AEP´s deputy general counsel. “Our filing supports our position that we have the right to continue to operate these assets for the full period for which we contracted and paid. To try to avoid any uncertainty about our rights we are asking the bankruptcy court to confirm those rights.”

On June 1, 2001, AEP acquired Houston Pipe Line, a system with more than 4,000 miles of intrastate pipeline. The transaction included the outright stock purchase of HPL and HPL Resources from Enron and pre-payment to Enron for a lease of the Bammel storage related assets for a period of 30 years with a right to renew for an additional 20 years.

The Bammel storage related assets include the 7,000-acre underground Bammel storage reservoir, the Bammel Loop Pipeline, Houston City Loop Pipeline, the Texas City Loop Pipeline and cushion gas in the reservoir that is used to maintain geological structural integrity and to provide necessary pressure to withdraw working gas for sale and transport.

At the time of the transaction, Bank of America claimed it had a security interest related to a 1997 $225MM gas monetization involving Enron. Because of the claim, AEP obtained certain assurances from Bank of America regarding the gas monetization and obtained an exclusive "right to use" agreement covering the cushion gas from Enron and consented to by Bank of America.

Six months after the transaction was completed, Enron filed bankruptcy.

American Electric Power owns and operates more than 42,000 megawatts of generating capacity in the United States and select international markets and is the largest electricity generator in the U.S. AEP is also one of the largest electric utilities in the United States, with almost 5 million customers linked to AEP’s 11-state electricity transmission and distribution grid. The company is based in Columbus, Ohio.