COLUMBUS, Ohio, May 18, 1998 American Electric Power (NYSE: AEP) expects to continue to develop capabilities to provide energy management and capital for industrial and large commercial customers even though DuPont (NYSE: DD) and Conoco, DuPont’s energy subsidiary, have decided not to participate with AEP at this time.
The companies signed a letter of intent in October to form two joint venture companies to provide such services.
“Their decision, related to us last Friday, doesn’t change AEP’s strategy to provide energy management and capital for industrial and large commercial customers,” said Donald M. Clements, executive vice president of AEP and president of AEP Resources Inc., the AEP subsidiary in negotiations to form the ventures. “We have talked with large, international corporations with multiple facilities who are very interested in the services we would offer. We are reviewing our options right now, but there’s nothing to preclude us from forming a company ourselves and conducting conversations with potential customers.
“The market potential is still there. The customer interest is still there.”
AEP, a global energy company, is one of the United States’ largest investor-owned utilities, providing energy to 3 million customers in Indiana, Kentucky, Michigan, Ohio, Tennessee, Virginia and West Virginia. AEP has holdings in the United States, the United Kingdom, China and Australia. Wholly owned subsidiaries provide power engineering, energy consulting and energy management services around the world. The company is based in Columbus, Ohio. On Dec. 22, 1997, AEP announced a definitive merger agreement for a tax-free, stock-for-stock transaction with Central and South West Corp., a public utility holding company based in Dallas.