American Electric Power Company, Inc. - AEP STOCK NEWS

Indiana Michigan Power (I&M) has filed a joint settlement with multiple stakeholders including AWS, Microsoft, Google, and consumer advocacy groups. The agreement addresses power demand increases from recently announced data centers in northeast Indiana, including AWS's $11 billion and Google's $2 billion investments.

The settlement requires new large load customers to make long-term financial commitments proportional to their size, ensuring costs are recovered from these customers rather than existing ones. AWS, Microsoft, and Google will each contribute $500,000 annually for five years to support low-income Hoosiers through the Indiana Community Action Association.

American Electric Power (AEP) has announced a major initiative to deploy up to 1 gigawatt (GW) of Bloom Energy solid oxide fuel cells, primarily targeting data centers and large energy consumers. This represents the largest utility fuel cell technology initiative in the United States. The company expects 20% annual commercial load growth over the next three years, driven by data center development.

The fuel cells will provide power to customers while AEP develops the necessary grid infrastructure. Projects will initially use natural gas, with potential for hydrogen fuel in the future. All costs will be covered by large customers under special contracts. The company is currently finalizing initial customer agreements and discussing additional projects with other customers.

American Electric Power (AEP) has announced a major initiative to deploy up to 1 gigawatt (GW) of Bloom Energy solid oxide fuel cells to support data centers and large energy users. This represents the largest utility fuel cell technology initiative in the nation. The company expects 20% annual commercial load growth over the next three years, primarily driven by data center development.

The fuel cells will initially operate on natural gas, with potential for future hydrogen use. All project costs will be covered by large customers under special contracts. AEP is currently finalizing the first customer agreements and discussing additional projects with other customers while developing long-term grid infrastructure.

American Electric Power (AEP) reported third-quarter 2024 operating earnings of $985.4 million or $1.85 per share, up from $923.8 million or $1.77 per share in Q3 2023. Revenue increased to $5.4 billion from $5.3 billion. The company narrowed its 2024 operating earnings guidance to $5.58-$5.68 per share, maintaining the $5.63 midpoint. AEP announced a new long-term growth rate of 6-8% and expanded its five-year capital plan to $54 billion. Commercial load increased over 10% year-over-year, with projections showing 20% annual growth over the next three years. The company has secured agreements for 20 gigawatts of commercial and industrial load additions through 2030.

American Electric Power (AEP) announced significant leadership and organizational changes aimed at empowering local operations and driving growth. Key changes include: initiating a search for a new president of AEP Transmission, eliminating the executive VP of Regulatory role, transitioning power plant management to operating company presidents, and several executive role changes. Chris Beam, executive VP of Energy Services, will retire in February 2025. Kelly Ferneau has been promoted to executive VP and chief nuclear officer, while Shane Lies moves to executive VP of Projects and Services. The restructuring aims to streamline operations, shift decision-making closer to customers, and enhance stakeholder value.

American Electric Power (AEP) has appointed Matthew Fransen as senior vice president, Finance and Treasurer, effective Dec. 1, succeeding retiring Julie Sherwood. Fransen will oversee finance and treasury functions, including capital market relations, cash flow management, capitalization strategy, and risk management. Currently serving as vice president of New Generation Resource Development, Fransen brings experience in renewable energy development and strategic initiatives. He will report to CFO Chuck Zebula and will be instrumental in managing AEP's investments in modernizing its energy system.

AEP Ohio has filed a settlement agreement addressing the power demands of Ohio's growing data center industry. The agreement, supported by PUCO staff and consumer advocates, requires large data centers to pay for a minimum of 85% of their stated energy needs monthly, even if usage is lower. The plan includes a sliding scale for smaller facilities and mandates financial viability proof and exit fees for canceled projects. The requirements would be effective for up to 12 years, including a 4-year ramp-up period. This agreement aims to protect other customers from infrastructure improvement costs while maintaining Ohio's business attractiveness. Electricity demand in Central Ohio is expected to more than double by 2030, largely driven by data centers.

American Electric Power Co. (Nasdaq: AEP) has announced an increase in its quarterly cash dividend to 93 cents per share, up by 5 cents. This marks the company's 458th consecutive quarterly dividend. The dividend will be payable on Dec. 10, 2024, to shareholders of record as of Nov. 8, 2024.

AEP has maintained a consistent track record of paying quarterly dividends since July 1910, spanning nearly 115 years. Bill Fehrman, AEP's president and CEO, emphasized the company's commitment to strengthening operations, delivering reliable and affordable energy to customers, and providing consistent value to shareholders.

AEP Ohio's president and COO, Marc Reitter, has issued a statement regarding an unsupported data center stipulation filed in PUCO Docket Number 24-508-EL-ATA. Reitter argues that the partial settlement proposal fails to adequately address the main issues raised in AEP Ohio's application. He describes the situation as unprecedented, with a 'settlement' being presented to the PUCO without support from either the PUCO staff or the utility that initially raised the concern.

Reitter urges the PUCO to reject the proposal. He affirms that AEP Ohio remains committed to finding a balanced solution that addresses the infrastructure investment needed for data centers' extreme power demands while also protecting Ohio consumers.