COLUMBUS, Ohio, May 27, 1999 – A Federal Energy Regulatory Commission (FERC) filing planned next week by American Electric Power (NYSE: AEP) and four other midwestern and southeastern electric utility companies will fulfill a commitment AEP made to the FERC trial staff. AEP, Consumers Energy (NYSE: CMS), Detroit Edison (NYSE: DTE), FirstEnergy Corp. (NYSE: FE) and Virginia Power (NYSE: D) announced today that they will file to create the Alliance Regional Transmission Organization (Alliance RTO). If approved, the Alliance will become one of the largest independent RTOs in the world in terms of peak load. "AEP has been a proponent for the creation of large, independent RTOs," said J. Craig Baker, AEP vice president - transmission policy. "In a settlement earlier this week relating to our pending merger with Central and South West Corporation (NYSE: CSR), AEP made a commitment to the Federal Energy Regulatory Commission trial staff that prior to the completion of the merger we would begin the process to relinquish control of our transmission system. "The Alliance filing will fulfill our commitment to the FERC trial staff," Baker said. "It is a significant commitment on our part and a significant step toward reshaping our industry for the future competitive marketplace." The proposed structure for the Alliance RTO will provide for the creation of an independent transmission entity that could control, operate, and own, transmission facilities, while controlling and operating the transmission facilities of other companies. This gives transmission owners the flexibility to maintain or divest ownership of their facilities, while ensuring independent operation. "The decision by these companies to create what we believe will become the world's largest independent regional transmission organization is important news for the industry and for the consumer," Baker said. "This will be a large, independent, regional organization, so it will increase competition by providing electricity buyers with access to a much larger number of generators. "The Alliance structure is also very important to transmission owners, since it provides flexibility to make business decisions related to their transmission assets." 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.