AMERICAN ELECTRIC POWER TAPS EXCELERGY TO SUPPORT GLOBAL ENERGY TRADING

COLUMBUS, OH and LEXINGTON, MA (April 12, 2001) - Excelergy Corporation, provider of the world’s most advanced software products and technologies for inter-company collaboration, and AEP Energy Services, the energy trading and marketing subsidiary of American Electric Power (NYSE:AEP), have signed an agreement to jointly develop software designed to manage wholesale electric businesses.

The software, eXACT for Energy TradingÔ, is being deployed at AEP. The AEP deployment marks Excelergy’s expansion into the wholesale energy software market, building upon its proven success in retail energy markets.

"The combined expertise of AEP and Excelergy will produce leading-edge software designed for the scale and complexity of AEP’s wholesale electricity business," said Dave Banks, vice president of business systems for AEP Energy Services. "We saw a great opportunity in extending Excelergy’s core technology to the wholesale market."

AEP is second in wholesale electricity trading volume in the United States. AEP also owns and operates more than 38,000 megawatts of generating capacity. eXACT for Energy Trading will become a primary system for managing AEP’s physical electricity business in newly restructured markets like ERCOT, where AEP has approximately 10,000 megawatts of generation.

"Integrated generation and trading companies are transforming the wholesale market by leveraging technology to maximize return on their generation assets," said Terry Ray, vice president of Energy Information Strategies for META Group, a leading IT research and consulting firm. "Generators are coupling their asset ownership with trading functionality, creating a powerful market force."

AEP will use eXACT for Energy Trading to:

• Manage all of its on-and off-system energy scheduling requirements;


• Implement straight-through processing from trade capture to settlement;


• Interface with the major independent system operators (ISOs) and regional transmission organizations (RTOs) for trading and generation operations.

"Our object library is uniquely positioned to automate the core business processes in supply, transmission, wholesaling and distribution operations," said Bill Mahoney, president and chief executive officer of Excelergy. "We’re proud that one of the world’s largest and most sophisticated energy companies has validated that technology and partnered with us for our expansion into the wholesale market. It’s a testament to our world-class technology and engineering execution."

About Excelergy eXACT for Energy Trading

Excelergy eXACT for Energy Trading provides companies with the technological backbone for automated collaboration with ISOs, RTOs, counterparties, exchanges and other business partners. It is a highly scalable solution for shared business processes, including trade capture, scheduling and settlement.

About Excelergy

Excelergy delivers the world’s most advanced software products and technologies for inter-company collaboration between businesses operating in restructuring markets, such as the global energy and utility industry. Excelergy´s unique suite of object-based, XML-enabled products includes Excelergy eXACTÔ for automating collaboration and care among businesses and Excelergy Advanced Business PackageÔ for managing complex business units producing multiple revenue streams. Excelergy’s North American headquarters are located in Lexington, MA, with its European headquarters located in Bristol, England. More information is available at www.excelergy.com.

About AEP Energy Services

AEP Energy Services, a subsidiary of American Electric Power (NYSE:AEP), markets and trades energy commodities and provides related services.

About American Electric Power

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 one of America’s largest generators of electricity. The company is also a leading wholesale energy marketer and trader, ranking second in the U.S. in electricity volume. AEP provides retail electricity to more than 9 million customers worldwide and has more than $55 billion in assets, primarily in the U.S. with holdings in select international markets. Wholly owned subsidiaries are involved in power engineering and construction services, energy management and telecommunications. More information is available at www.aep.com.