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AEP announces first phase of corporate restructuring

CHARLESTON, W.Va. -- American Electric Power has announced several leadership changes as part of its corporate restructuring but it is too early to say what impact the changes will have on the company's Appalachian Power Co. subsidiary in West Virginia, a spokeswoman said.

"We are, of course, part of AEP's repositioning effort, and over the last several months have been participating in digging deep into our organization to find ways to be more efficient," said Appalachian Power spokeswoman Jeri Matheney.

"Our goal is to structure the organization as effectively as possible," she said. "We want to do everything we can to minimize our costs, recognizing that customers rely on us to keep costs as low as possible."

Matheney said the first phase of the repositioning study is now complete "and we are moving into the implementation phase.

"We're just beginning this phase of the process, so I can't say exactly what the impact will be in Appalachian Power, but it is important to note that any staffing changes are focused mostly on management and support organizations," she said.

"Throughout the next couple of months, we'll be making staffing decisions, and by the end of January all staff changes will be complete."

AEP and its West Virginia subsidiaries, Appalachian Power Co. and Wheeling Power Co., have 2,551 employees in the state.

American Electric Power is headquartered in Columbus, Ohio. The company provides electricity to more than 5 million customers in 11 states. Its Appalachian Power subsidiary provides electricity to about 500,000 customers in West Virginia and a like number in Virginia.

On Tuesday AEP President and Chief Executive Officer Nick Akins announced that Lana Hillebrand will join the company Dec. 17 as senior vice president and chief administrative officer.

Akins said Tracy Elich, vice president of human resources; Alberto Ruocco, vice president and chief information officer; and Thomas Householder, managing director of labor relations, will report to Hillebrand.

Effective Jan. 1:

* Dennis Welch, currently executive vice president and chief administrative officer, will become executive vice president and chief external officer.

Welch will be responsible for governmental affairs, environmental affairs and services, corporate communications, safety and health, corporate sustainability, strategic policy analysis, corporate security and aviation, and real estate and workplace services.

* Barbara Radous, currently senior vice president of shared services, will become senior vice president of repositioning and the program management office.

* Craig Rhoades, currently vice president of customer services, marketing and distribution services, will become vice president of supply chain and procurement and fleet.

Contact writer George Hohmann at or 304-348-4836.



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