AEP Blames Summer Storms, Competition For Down Profits
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Columbus-based American Electric Power says company profits fell by nearly 50 percent in the third quarter.
The electric utility reports July-through-September profits of $487 million. Thatâ€™s down from $928 the same quarter last year.
A company press release lists several factors, including increased competition thatâ€™s led to customers switching carriers. The company says the number of customers in AEPâ€™s traditional service area now using other carriers increased from 34 percent to 42 percent during the third quarter.
The company also cited costs associated with heavy summer thunderstorms that led to wide-spread power outages.
The drop in profits would have been worse, but the company was helped when regulators approved rate increases in several states, including Ohio.