COLUMBUS, Ohio, Feb 10, 2005 - American Electric Power (NYSE:AEP) has asked PJM Interconnection, an independent electric transmission provider, to evaluate transmission interconnection feasibility for three potential sites being considered by AEP for a commercial-scale Integrated Gasification Combined Cycle (IGCC) clean-coal power plant, the first of its size in the country.

“We are moving forward to build advanced coal-based generation that offers enhanced environmental performance,” said Michael G. Morris, chairman, president and chief executive officer of AEP. “This filing represents a significant step, but it doesn´t rule out the possibility of filing for the review of additional potential sites as we determine the best location for the plant - a location that addresses both our operational and regulatory needs.

"Our success with this project will set a new industry standard for using coal - America’s most abundant resource - while providing much-needed low-cost generation that will be as environmentally responsible as possible," Morris said.

The three potential sites included in the filings with PJM are on land currently owned by AEP and meet the criteria identified by the company as necessary for building and operating the plant, including acreage, contour, proximity to water source, accessibility, timely permitting and other environmental factors.

The three potential sites included in the filings are:

• Mason County, W.Va., adjacent to AEP’s Mountaineer Plant

• Meigs County, Ohio, in the Great Bend area

• Lewis County, Ky., in the Carrs area near Vanceburg

All are on the Ohio River.

Morris pointed out that the potential sites included in the filings meet operational criteria, but regulatory factors in each state will play a key role in final site selection. “We will not site a plant until we are comfortable about our ability to recover the costs of constructing and operating the plant,” Morris said. “Over time, we expect to build several new plants, so cost recovery will be a critical part of our decision.”

AEP announced in late August plans to build at least one commercial-scale, base-load IGCC plant by 2010. IGCC technology converts coal into a gas and moves it through pollutant-removal equipment before the gas is burned in gas turbines that drive electric generators. The heat produced by the gas turbines is recovered in boilers that produce steam to drive a steam turbine also coupled to an electric generator. The integrated process results in fewer emissions of nitrogen oxide, sulfur dioxide, particulates and mercury, in addition to lower carbon dioxide emissions.

The filings with PJM begin transmission interconnection feasibility studies to determine the transmission network upgrades and estimated cost needed at each potential site to connect a new plant to the existing transmission grid.

American Electric Power owns more than 36,000 megawatts of generating capacity in the United States and is the nation´s largest electricity generator. AEP is also one of the largest electric utilities in the United States, with more than 5 million customers linked to AEP’s 11-state electricity transmission and distribution grid. The company is based in Columbus, Ohio.

These reports made by AEP and its registrant subsidiaries contain forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934. Although AEP and 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: electric load and customer growth; weather conditions; available sources and costs of fuels; availability of generating capacity and the performance of AEP’s generating plants; the ability to recover regulatory assets and stranded costs in connection with deregulation; new legislation and government regulation including requirements for reduced emissions of sulfur, nitrogen, carbon and other substances; resolution of pending and future rate cases, negotiations and other regulatory decisions (including rate or other recovery for environmental compliance); oversight and/or investigation of the energy sector or its participants; resolution of litigation (including pending Clean Air Act enforcement actions and disputes arising from the bankruptcy of Enron Corp.); AEP’s ability to reduce its operation and maintenance costs; the success of disposing of investments that no longer match AEP’s corporate profile; AEP’s ability to sell assets at attractive prices and on other attractive terms; international and country-specific developments affecting foreign investments including the disposition of any current foreign investments; the economic climate and growth in AEP’s service territory and changes in market demand and demographic patterns; inflationary trends; AEP’s ability to develop and execute on a point of view regarding prices of electricity, natural gas, and other energy-related commodities; changes in the creditworthiness and number of participants in the energy trading market; changes in the financial markets, particularly those affecting the availability of capital and AEP’s ability to refinance existing debt at attractive rates; actions of rating agencies, including changes in the ratings of debt and preferred stock; volatility and changes in markets for electricity, natural gas, and other energy-related commodities; changes in utility regulation, including the establishment of a regional transmission structure; accounting pronouncements periodically issued by accounting standard-setting bodies; the performance of AEP’s pension plan; prices for power that AEP generates and sells at wholesale; and changes in technology and other risks and unforeseen events, including wars, the effects of terrorism (including increased security costs), embargoes and other catastrophic events.