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AEP Names Baker Vice President, Transmission Policy; Will Represent Company In ISO Discussions

May 26, 1998

COLUMBUS, Ohio, May 26, 1998 -- J. Craig Baker has been named vice president - transmission policy for American Electric Power (NYSE: AEP), according to William J. Lhota, AEP executive vice president. The appointment is effective July 1. In his new position, Baker will represent AEP in all Independent System Operator (ISO) discussions. He will report to Lhota. AEP and others are involved in discussions to create a large regional ISO. An ISO pools the electric transmission systems of its members into a single regional system that is operated independently. An ISO promotes enhanced reliability of the system, ensures equal access to the system and expands the energy market. Baker, 49, will chair the transmission policy committee and will coordinate with outside consultants and outside legal counsel, including Susan Tomasky Esq. of Hogan & Hartson LLP. "Craig has a wealth of experience in transmission and related issues," Lhota said. "The creation of a large, regional ISO will make it possible for a wide range of sellers to gain economically efficient access to critical customer markets. Craig will play an important role as we work with others to make a large, regional ISO a reality." Raymond M. Maliszewski, AEP senior vice president - system planning, will serve on the transmission policy committee as a consultant after his July 1 retirement. Maliszewski's retirement was announced in April. "Ray has been involved in the ISO discussions since the beginning," Lhota said. "His breadth of experience will be a great resource for Craig as the discussions continue." Baker joined AEP in 1968. Prior to his current assignment he held positions in Information Systems, System Operations, Corporate Planning and Budgeting and System Power Markets. He was most recently senior vice president with AEP Energy Services, a subsidiary of AEP that markets and trades energy commodities and provides related services. Baker earned a bachelor of arts degree in 1970 from Walsh College and a master's degree in business administration in 1980 from the University of Akron. 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.

For More Information, Contact: Pat D. Hemlepp Manager, Media Relations American Electric Power 614/223-1620

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