AEP reports earnings decrease in third quarter - Beckley, Bluefield & Lewisburg News, Weather, Sports

AEP reports earnings decrease in third quarter

Posted: Updated:
  • Local NewsLocal NewsMore>>

  • Residents Without A Home Following Fire

    Residents Without A Home Following Fire

    Wednesday, August 27 2014 6:09 AM EDT2014-08-27 10:09:00 GMT
    Residents in a Shady Spring home are displaced after a fire burnt down their home on Tuesday evening.
    Residents in a Shady Spring home are displaced after a fire burnt down their home on Tuesday evening.
  • Several people hit by car in Oceana

    Several people hit by car in Oceana

    Tuesday, August 26 2014 11:23 PM EDT2014-08-27 03:23:33 GMT
    Dispatchers say three or four people were hit by a car driving on Route 10 near the McDonald's in Oceana. 
    Dispatchers say three or four people were hit by a car driving on Route 10 near the McDonald's in Oceana. 
  • 3 People Injured In Shooting, Police Searching for 2 Suspects

    3 People Injured In Shooting, Police Searching for 2 Suspects

    Tuesday, August 26 2014 8:14 PM EDT2014-08-27 00:14:19 GMT
    Three people are in the hospital Tuesday night after a shooting along Antonio Avenue in Beckley.Police said around 5 PM two men rushed up to a basketball game on a court near an apartment complex and started firing guns.Three men suffered injuries as a result.The three men were taken to a nearby hospital.Detective Morgan Bragg with Beckley Police said one man was in surgery around 6 PM Tuesday night.The other two men were in stable condition. Surveillance video from a camera near the basketba...
    Three people are in the hospital Tuesday night after a shooting along Antonio Avenue in Beckley.Police said around 5 PM two men rushed up to a basketball game on a court near an apartment complex and started firing guns.Three men suffered injuries as a result.The three men were taken to a nearby hospital.Detective Morgan Bragg with Beckley Police said one man was in surgery around 6 PM Tuesday night.The other two men were in stable condition. Surveillance video from a camera near the basketba...

American Electric Power on Oct. 23 reported third-quarter earnings of $433 million, down from $487 million from the third quarter last year.

Operating earnings in the quarter 2013 were $533 million. Net income was reported based on Generally Accepted Accounting Principles and includes a pretax $111 million ($79 million net of tax) impairment charge. The charge resulted from a Public Utility Commission of Texas order related to the inclusion of allowance for funds used during construction in the cost cap on construction of the John W. Turk Jr. Plant.

The difference also includes a $33 million ($21 million net of tax) impairment charge due to a Kentucky Public Service Commission order associated primarily with the Big Sandy Plant scrubber project near Louisa, Ky.

"Our strong third-quarter 2013 results demonstrate our continued success in advancing our earnings growth strategy and give us the confidence to increase the midpoint of our 2013 operating earnings guidance," Nicholas K. Akins, AEP president and CEO, said in the earnings release. "We've achieved these positive results primarily from the investments we're making in our regulated operations for the benefit of our customers.

"The contribution of weather to earnings this quarter was slightly below normal and much lower than the favorable weather that we experienced last year. Energy efficiency continues to impact residential load growth, but we were pleased to see an uptick in commercial demand during the third quarter. Industrial sales remain challenged but provide a smaller margin contribution than residential and commercial load.

"We continue to focus on managing costs and making process improvements in our operations and are committed to keeping our operations and maintenance expenses, net of offsets, at essentially the same level as last year.

"The recent approval of the Mitchell generation transfer to Kentucky Power was a very positive development for meeting the generation needs of our Kentucky customers, and we expect to complete that transaction by year end. We are still waiting for a decision from the West Virginia Public Service Commission and are confident that we will be in a position to separate our Ohio generation assets from our Ohio wires business by the end of the year."