COLUMBUS, Ohio, Feb. 3, 2002 - American Electric Power (NYSE: AEP) today announced the appointment of investment bank ABN AMRO Australia to advise AEP on prospects for the divestment of CitiPower, AEP’s electricity distribution and retail sales subsidiary in Melbourne, Australia.

ABN AMRO, based in the Netherlands with offices in 70 countries, is to help AEP assess potential sale options. Any divestment of CitiPower is not expected before the third quarter of 2002, because of accounting restrictions stemming from AEP’s merger with Central and South West Corp., a U.S. electric utility, in June 2000.

To advise AEP, ABN AMRO has appointed Richard Wagner (61 2 8259 5334), Sydney, head of its Power & Utilities Group.

CitiPower serves approximately 240,000 customers in the Melbourne central business district and inner suburbs. AEP acquired CitiPower in December 1998 from Entergy, another U.S. electric utility, for A$1.7 billion (US$1.1 billion).

American Electric Power is a multinational energy company based in Columbus, Ohio. AEP owns and operates more than 38,000 megawatts of generating capacity, making it America’s largest generator of electricity. The company is also a leading wholesale energy marketer and trader, ranking second in North America in wholesale electricity and wholesale natural gas volume. AEP provides retail electricity to more than 7 million customers worldwide and has holdings in the U.S. and select international markets. Wholly owned subsidiaries are involved in power engineering and construction services.