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together as shareholders and stakeholders increasingly seek more information on a wider range of issues, we believe this approach reflects our commitment to transparency and the consideration of these issues in our routine business decisions. This web site contains substantial information about our challenges, risks and opportunities. It focuses on those issues we believe to be material to our financial and nonfinancial sucess.

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2012 CORPORATE ACCOUNTABILITY REPORT

Cover image of annual report This is AEP’s third integrated report combining the Annual Report to Shareholders with the Corporate Sustainability Report. This is our sixth year of reporting our sustainability preformance. This website — www.AEPsustainability.com — includes significant data and information about AEP’s performance. This report is based largely on calendar year 2011 with exceptions for early 2012 data as noted. For more information about AEP, visit www.AEP.com.

GRI

GRI CheckedAEP follows the Global Reporting Initiative (GRI) reporting principles in terms of data quality, report content and organizational boundaries. We use the GRI’s G3.1 guidelines, new in 2012, as well as the GRI Electric Utility Sector Supplement for reporting on industry-specific information. Our report is reviewed by GRI. This year’s report was validated as an Application Level A, which reflects a high level of transparency in our reporting.

For additional information about this report, the GRI information posted on the company's Web site or the company's sustainability initiatives, please contact us.

AUDIT REVIEW OF THIS REPORT

AEP Audit Services performed a review of the information included in this 2012 AEP Corporate Accountability Report. Financial information was reconciled with AEP's audited financial statements, if applicable, or to such other sources as deemed appropriate. Processes used in accumulating the significant nonfinancial data were reviewed and the data were reconciled to the source(s). The appropriateness of the context in which data are presented was verified as consistent with other public information disclosed by AEP. Based upon our review, we believe the information contained in the report as appropriately stated, and that the processes followed in accumulating both the financial and nonfinancial information are reasonable.

 

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Richard A. Mueller
Vice President, Audit Services