Company reaffirms 2023 operating earnings guidance
range of $5.19 to $5.39 per share, long-term growth rate of 6% to
7% and FFO/Debt target of 14% to 15%
COLUMBUS, Ohio, Oct. 2, 2023
/PRNewswire/ -- American Electric Power (Nasdaq: AEP) today
announced the appointment of Charles E.
Zebula as executive vice president and chief financial
officer, effective immediately. Zebula previously served as AEP's
executive vice president, Portfolio Optimization. He succeeds
Ann P. Kelly, who is departing the
company.
"Chuck's deep understanding of our business, including his
execution of large-scale strategic initiatives and the financial
expertise he brings as AEP's former Treasurer, will be critical to
our success as we continue to de-risk our portfolio and navigate
changing market conditions," said Julie
Sloat, AEP chair, president and chief executive officer.
"His experience and collaborative leadership approach ensure our
team is well-positioned to meet the unprecedented challenges facing
our industry, actively manage our business and meet our stakeholder
commitments."
Sloat continued, "I would like to thank Ann for her
contributions to the company, and we wish her well in her future
endeavors."
"I am honored to have the opportunity to lead AEP's finance
organization," Zebula said. "I look forward to working closely with
Julie and the rest of the executive leadership team to capture the
opportunities in front of us and advance our next chapter of growth
in this evolving economic and regulatory environment."
AEP today also reaffirmed its 2023 operating earnings guidance
range of $5.19 to $5.39 per share, long-term growth rate of 6% to
7% and FFO/Debt target of 14% to 15%.
About Charles E.
Zebula
Zebula, 63, has served in key leadership roles
of increasing responsibility during his 25-year career at AEP.
Since July 2021, he has been
executive vice president – Portfolio Optimization, responsible for
identifying and executing AEP's corporate strategic initiatives.
Previously, Zebula served as executive vice president – Energy
Supply, senior vice president – Investor Relations and Treasurer,
and numerous other positions at AEP and its subsidiaries.
He has been responsible for significant strategic actions to
de-risk and simplify AEP's business profile over the past decade.
This includes overseeing the $550
million sale of AEP River Operations in 2015, a $2.1 billion sale of four competitive power
plants in 2017 and jointly overseeing the $1.5 billion sale of AEP's unregulated renewables
portfolio earlier this year.
Prior to joining AEP in 1998, Zebula was a senior associate for
Putman, Hayes & Bartlett, an economic and management consulting
firm in Washington, D.C. He also
worked as a process engineer serving several industries at ICF
Kaiser Engineers and GAF Corporation. Zebula earned a bachelor's
degree in mining engineering and a master's degree in mineral
processing from the Pennsylvania State
University. He also received a master's degree in industrial
administration from Carnegie Mellon
University.
About American Electric Power
American Electric
Power, based in Columbus, Ohio, is
powering a cleaner, brighter energy future for its customers and
communities. AEP's approximately 17,000 employees operate and
maintain the nation's largest electricity transmission system and
more than 225,000 miles of distribution lines to safely deliver
reliable and affordable power to 5.6 million regulated customers in
11 states. AEP also is one of the nation's largest electricity
producers with nearly 29,000 megawatts of diverse generating
capacity, including approximately 5,800 megawatts of renewable
energy. The company's plans include growing its regulated renewable
generation portfolio to approximately 50% of total capacity by
2032. AEP is on track to reach an 80% reduction in carbon dioxide
emissions from 2005 levels by 2030 and has committed to achieving
net zero by 2045. AEP is recognized consistently for its focus on
sustainability, community engagement, and diversity, equity and
inclusion. AEP's family of companies includes utilities AEP Ohio,
AEP Texas, Appalachian Power (in Virginia and West
Virginia), AEP Appalachian Power (in Tennessee), Indiana Michigan Power, Kentucky
Power, Public Service Company of Oklahoma, and Southwestern Electric Power
Company (in Arkansas, Louisiana, east Texas and the Texas
Panhandle). AEP also owns AEP Energy, which provides
innovative competitive energy solutions nationwide. For more
information, visit aep.com.
This report made by American Electric Power and its Registrant
Subsidiaries contains forward-looking statements within the meaning
of Section 21E of the Securities Exchange Act of 1934. Although AEP
and each of 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:
changes in economic conditions, electric market demand and
demographic patterns in AEP service territories; the impact of
pandemics and any associated disruption of AEP's business
operations due to impacts on economic or market conditions, costs
of compliance with potential government regulations, electricity
usage, supply chain issues, customers, service providers, vendors
and suppliers; the economic impact of increased global trade
tensions including the conflict between Russia and Ukraine, and the adoption or expansion of
economic sanctions or trade restrictions; inflationary or
deflationary interest rate trends; volatility and disruptions in
the financial markets precipitated by any cause, including failure
to make progress on federal budget or debt ceiling matters,
particularly developments affecting the availability or cost of
capital to finance new capital projects and refinance existing
debt; the availability and cost of funds to finance working capital
and capital needs, particularly if expected sources of capital,
such as proceeds from the sale of assets or subsidiaries, do not
materialize, and during periods when the time lag between incurring
costs and recovery is long and the costs are material; decreased
demand for electricity; weather conditions, including storms and
drought conditions, and AEP's ability to recover significant storm
restoration costs; limitations or restrictions on the amounts and
types of insurance available to cover losses that might arise in
connection with natural disasters or operations; the cost of fuel
and its transportation, the creditworthiness and performance of
fuel suppliers and transporters and the cost of storing and
disposing of used fuel, including coal ash and spent nuclear fuel;
the availability of fuel and necessary generation capacity and the
performance of generation plants; AEP's ability to recover fuel and
other energy costs through regulated or competitive electric rates;
the ability to transition from fossil generation and the ability to
build or acquire renewable generation, transmission lines and
facilities (including the ability to obtain any necessary
regulatory approvals and permits) when needed at acceptable prices
and terms, including favorable tax treatment, and to recover those
costs; new legislation, litigation and government regulation,
including changes to tax laws and regulations, oversight of nuclear
generation, energy commodity trading and new or heightened
requirements for reduced emissions of sulfur, nitrogen, mercury,
carbon, soot or particulate matter and other substances that could
impact the continued operation, cost recovery, and/or profitability
of generation plants and related assets; the impact of federal tax
legislation on results of operations, financial condition, cash
flows or credit ratings; the risks associated with fuels used
before, during and after the generation of electricity and the
byproducts and wastes of such fuels, including coal ash and spent
nuclear fuel; timing and resolution of pending and future rate
cases, negotiations and other regulatory decisions, including rate
or other recovery of new investments in generation, distribution
and transmission service and environmental compliance; resolution
of litigation or regulatory proceedings or investigations; AEP's
ability to constrain operation and maintenance costs; prices and
demand for power generated and sold at wholesale; changes in
technology, particularly with respect to energy storage and new,
developing, alternative or distributed sources of generation; AEP's
ability to recover through rates any remaining unrecovered
investment in generation units that may be retired before the end
of their previously projected useful lives; volatility and changes
in markets for coal and other energy-related commodities,
particularly changes in the price of natural gas; the impact of
changing expectations and demands of customers, regulators,
investors and stakeholders, including heightened emphasis on
environmental, social and governance concerns; changes in utility
regulation and the allocation of costs within regional transmission
organizations, including ERCOT, PJM and SPP; changes in the
creditworthiness of the counterparties with contractual
arrangements, including participants in the energy trading market;
actions of rating agencies, including changes in the ratings of
debt; the impact of volatility in the capital markets on the value
of the investments held by AEP's pension, other postretirement
benefit plans, captive insurance entity and nuclear decommissioning
trust and the impact of such volatility on future funding
requirements; accounting standards periodically issued by
accounting standard-setting bodies; other risks and unforeseen
events, including wars and military conflicts, the effects of
terrorism (including increased security costs), embargoes,
naturally occurring and human-caused fires, cyber security threats
and other catastrophic events; and the ability to attract and
retain the requisite work force and key personnel.
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SOURCE American Electric Power