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American Electric Power Company, Inc. logo

American Electric Power Company, Inc.
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2019 Vault Rankings

At a Glance


One of the largest electric utilities in the U.S.

Good opportunities for advancement.


Communication between management and workers is sometimes lacking.

Pay is low for some positions.

The Bottom Line

American Electric Power Company has plenty of jobs for potential employees and offers a solid benefits package and many work/life initiatives.

About American Electric Power Company, Inc.

Serving markets in Ohio, Michigan, Indiana, and other midwestern states, American Electric Power (AEP) is one of the largest power generators and distributors in the US. The holding company owns the nation's largest electricity transmission system and distribution lines, comprising a network of more than 227,000 miles. AEP's electric utilities boasts 5.4 million customers in about 10 states and has about 21,100 megawatts of largely coal-fired generating capacity, although it is adding renewable sources to its generation portfolio. AEP is also a top wholesale energy company.


AEP operates through four segments: Vertically Integrated Utilities, Transmission and Distribution Utilities, Generation and Marketing, and AEP Transmission Holdco.

The Vertically Integrated Utilities segment (about 60% of revenue) manages generation, transmission, and distribution of electricity for sale to retail and wholesale customers through assets owned and operated by AEGCo, APCo, I&M, KGPCo, KPCo, PSO, SWEPCo and WPCo. AEPSC, as agent for AEP's public utility subsidiaries, performs marketing, generation dispatch, fuel procurement and power-related risk management and trading activities on behalf of each of these subsidiaries.

Transmission and Distribution Utilities (nearly 30%) oversees transmission and distribution of electricity for sale to retail and wholesale customers through assets owned and operated by AEP Texas and OPCo.

Generation & Marketing (less than 5%) manages non-regulated generation through ERCOT (Electric Reliability Council of Texas) and the Pennsylvania – New Jersey – Maryland regional transmission organization.

AEP Transmission Holdco oversees development, construction and operation of transmission facilities through investments in wholly owned transmission-only subsidiaries and joint ventures.

Geographic Reach

AEP's electric utility operating companies provide generation, transmission, and distribution services in Arkansas, Indiana, Kentucky, Louisiana, Michigan, Ohio, Oklahoma, Tennessee, Texas, Virginia, and West Virginia. The company is based in Columbus, Ohio.

Sales and Marketing

AEP sells power from its generation facilities on a contractual basis. It also enters into contracts to purchase and sell electricity, natural gas, emission allowances, and coal as part of its power marketing and energy trading operations.

Financial Performance

AEP struggled to attain meaningful revenue growth over the past five years. Income also saw fluctuation for the same period.

AEP's 2019 results of $15.6 billion marked a 4% decrease, driven by downticks in sales across all business segments. Its largest revenue-generating segment, Vertically Integrated Utilities, recorded a 3% decrease.

Despite the increase in revenue, higher operating expenses resulted in flat net income results, which inched up less than a percent to $1.9 billion.

Cash increased from $99.3 million in 2018 to $156.1 million in 2019. Operating activities contributed $404.2 million. The company's investing activities used $1.3 billion, mostly on change in Advances to Affiliates, while financing provided $905.3 million from loans.


Part of AEP's strategy is to diversify generation resources to provide clean energy options to customers as reflected in the company's growth in renewable generation portfolio.

To minimize risks and optimize net returns, the Company's investing strategies include: Maintaining a long-term investment horizon; Diversifying assets to help control volatility of returns at acceptable levels; Managing fees, transaction costs and tax liabilities to maximize investment earnings; Using active management of investments where appropriate risk/return opportunities exist; Keeping portfolio structure style-neutral to limit volatility compared to applicable benchmarks; and using alternative asset classes such as real estate and private equity to maximize return and provide additional portfolio diversification.


Mergers and Acquisitions

In 2019 AEP Clean Energy Resources, AEP's renewable energy subsidiary, acquired Sempra Renewable for $1.05 billion. The acquisition included 724 megawatts of wind generation and battery assets and more than a half-a-dozen wind farms. The purchase fuels the company's strategy to diversify its energy generation operations.

Company Background

The company traces its roots back to 1906, when Richard Breed, Sidney Mitchell, and Henry Doherty set up American Gas & Electric (AG&E) in New York to buy 23 utilities from Philadelphia's Electric Company of America. With properties in seven northeastern US states, AG&E began acquiring and merging small electric properties, creating the predecessors of Ohio Power (1911), Kentucky Power (1919), and Appalachian Power (1926). AG&E also bought the predecessor of Indiana Michigan Power (1925). These acquisitions and subsequent mergers formed the basis for the company as it operates today.  


American Electric Power Company, Inc.

1 Riverside Plz FL 1 # 1
Columbus, OH 43215-2373
Phone: 1 (614) 716-1000

Firm Stats

Employer Type: Publicly Owned
Stock Symbol: AEP
Stock Exchange: , NYSE
Chairman, President, and CEO: Nicholas K. Akins
Vice Chairman: Robert P. Powers
EVP and CFO: Brian X. Tierney
Employees (This Location): 8
Employees (All Locations): 17,408

Major Office Locations

Columbus, OH

Other Locations

Fulton, AR
Gentry, AR
Springdale, AR
Colorado Springs, CO
Dale, IN
Fort Wayne, IN
Lawrenceburg, IN
Madison, IN
Marion, IN
Mishawaka, IN
Rockport, IN
South Bend, IN
Ashland, KY
Frankfort, KY
Louisa, KY
Pikeville, KY
Bossier City, LA
Mansfield, LA
Mooringsport, LA
Natchitoches, LA
Shreveport, LA
Bridgman, MI
Buchanan, MI
Saint Joseph, MI
Alliance, NE
Athens, OH
Benton Harbor, OH
Brilliant, OH
Bucyrus, OH
Canton, OH
Cheshire, OH
Chillicothe, OH
Cincinnati, OH
Columbus, OH
Conesville, OH
Convoy, OH
Coshocton, OH
Findlay, OH
Fostoria, OH
Hilliard, OH
Lima, OH
Lucasville, OH
Mount Vernon, OH
New Albany, OH
Piketon, OH
Portsmouth, OH
Saint Clairsville, OH
Tiffin, OH
Waterford, OH
Wellston, OH
Wooster, OH
Anadarko, OK
Broken Arrow, OK
Chouteau, OK
Mcalester, OK
Oologah, OK
Tipton, OK
Tulsa, OK
Weatherford, OK
Kingsport, TN
Abilene, TX
Austin, TX
Avinger, TX
Baird, TX
Ballinger, TX
Big Lake, TX
Corpus Christi, TX
Dallas, TX
Eldorado, TX
Fairfield, TX
Falfurrias, TX
Hallsville, TX
Harlingen, TX
Haskell, TX
Huntsville, TX
Kamay, TX
Kilgore, TX
Laredo, TX
Marfa, TX
Mc Camey, TX
Ozona, TX
Pharr, TX
Pittsburg, TX
San Angelo, TX
Santa Anna, TX
Santa Rosa, TX
Stamford, TX
Taft, TX
Vernon, TX
Victoria, TX
Bluefield, VA
Cleveland, VA
Fieldale, VA
Glade Spring, VA
Grundy, VA
Ivanhoe, VA
Lovingston, VA
Lynchburg, VA
Radford, VA
Roanoke, VA
Sandy Level, VA
Beckley, WV
Bluefield, WV
Charleston, WV
Huntington, WV
Hurricane, WV
Logan, WV
Milton, WV
Moundsville, WV
New Haven, WV
Williamson, WV
Winfield, WV