|   | (a) | when      referring to Base Compensation and Premium Pay, means the date such amount      is paid, and |
|--------|-----|--------------------------------------------------------------------------------------------------------|

|   | (b) | when      referring to Incentive Compensation,means |
|--------|-----|-----------------------------------------------------|

|   | (i) | for      purposes of the Cash Balance Formula, the date such amount is paid or such      earlier date it would have been paid by an Associated Company if the      payment had not been effectively deferred according to the terms of the      American Electric Power System Incentive Compensation Deferral Plan or      such other applicable plan or agreement;or |
|--------|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (ii) | for      purposes of the Final Average Pay Formula, the Incentive Compensation      shall be considered Earned in equal monthly installments during the      applicable period of the calendar year for which the awarded amount had      been calculated, without regard to when such amount is paid, provided that      the amount ultimately becomes payable to the  Participant. |
|--------|------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (a) | The      Employee’s Base Compensation for the current or any prior Plan Year      exceeds the limitation of Section 401(a)(17) of the  Code, |
|--------|-----|----------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (b) | The      Employee was a Participant in this Plan as of December 31,      2000, |
|--------|-----|--------------------------------------------------------------------------------|

|   | (c) | The      Employee’s Base Compensation plus Incentive Compensation plus Premium Pay      for the current or any prior Plan Year (that begins on or after January 1,      2000, in that such amounts were taken into account for the calendar year      2000 in calculating the opening balance for Participants under the Cash      Balance Formula) exceeds the limitation of Section 401(a)(17) of the Code,      or |
|--------|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (d) | Otherwise      becomes entitled to a benefit under Article V of this  Plan. |
|--------|-----|-----------------------------------------------------------------------------|

|   | (a) | The      greater of (i) if the Participant’s Base Compensation for the current or      any prior Plan Year exceeds the limitation of Section 401(a)(17) of the      Code, the Unrestricted Benefit calculated (A) using the Final Average Pay      Formula and (B) based upon the sum of the rate of the Participant’s Base      Compensation (as determined from month to month) and Earned Incentive      Compensation, or (ii) the Unrestricted Benefit calculated (A) using the      Cash Balance Formula and (B) based upon the sum of the Participant’s      Earned Base Compensation, Earned Incentive Compensation, and Earned      Premium Pay; provided however, that |
|--------|-----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (1) | such      calculation shall not take into account any amounts Earned with respect to      any period after the date of the Participant’s Termination with all      Associated Companies; and |
|--------|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (2) | with      regard to Participants who have an annual incentive opportunity in excess      of 250% of Base Compensation for the Plan Year in which the Incentive      Compensation is Earned (per Section 2.11(b)(ii)), the amount of Incentive      Compensation that will be considered Earned with respect to that Plan Year      for purposes of Section 4.3(a)(i) shall not exceed 100% of the highest      annualized rate of the Employee’s Base Compensation that was in effect      with respect to that Employee at any time during that Plan Year; provided,      however, that this limitation shall not apply to the extent of any      Incentive Compensation provided through the American Electric Power System      Senior Officer Incentive Plan; and |
|--------|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (3) | for      purposes of Section 4.3(a)(ii), the sum of compensation shall be limited      to the greater of $1,000,000 or 200% of the Participant’s annualized rate      of Base Compensation in effect on the last day of the Plan Year (or, if      earlier, the date of Termination). |
|--------|-----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (b) | The      greater of (1) the Maximum Benefit calculated using the Final Average Pay      Formula, or (2) the Maximum Benefit calculated using the Cash Balance      Formula. |
|--------|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (a) | The      Unrestricted Benefit calculated (A) using the Cash Balance Formula and (B)      based upon the sum of the Participant’s Earned Base Compensation, Earned      Incentive Compensation, and Earned Premium Pay.  This sum shall      be limited to the greater of $1,000,000 or 200% of the Participant’s      annualized rate of Base Compensation in effect on the last day of the Plan      Year (or, if earlier, the date ofTermination). |
|--------|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (b) | The      Maximum Benefit, calculated using the Cash Balance  Formula. |
|--------|-----|-----------------------------------------------------------------------|

|   | (a) | The      amount of a Participant’s Supplemental Retirement Benefit shall be reduced      or otherwise modified in the manner described in an Employment Contract      (e.g., by any qualified or non-qualified retirement benefits the      Participant may be entitled to receive from one or more prior      employers). |
|--------|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (b) | If      the Participant’s Unrestricted Benefit under Section 4.3(a) was the amount      payable under the Final Average Pay Formula, the following shall apply as      of the date Incentive Compensation is awarded to the Participant, to the      extent such Incentive Compensation is attributable to the calendar year      that includes the Participant’s date of  Termination: |
|--------|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (1) | The      Participant’s Determination Date Supplemental Retirement Benefit shall be      recalculated to take into account the amount of such Incentive      Compensation that is considered Earned during the period ending on such      Participant’s Termination Date;then |
|--------|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (2) | The      amount(s) payable to the Participant in accordance with the payment      schedule applicable to the Participant as set forth in Section 6.2 shall      be increased to reflect the Supplemental Retirement Benefit as      recalculated pursuant to paragraph (1);and |
|--------|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (3) | To      the extent the adjustment to the amount(s) payable to the Participant      pursuant to paragraph (2) relates to any amount that had already been paid      to the Participant under the applicable payment schedule, the amount of      the increase of each such payment shall receive interest credits at the      interest rate then being credited for the Cash Balance Formula from the      date such original payment had been made through the date of the      recalculation, and the aggregate amount of the increases, plus interest,      shall be paid in a single sum as soon as administratively      practicable. |
|--------|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (a) | If      (i) a Participant described in Section 5.2 has Base Compensation in excess      of the limitation under Section 401(a)(17) of the Code for any current or      prior Plan Year, (ii) such Participant is entitled to a Supplemental      Retirement Benefit calculated under Section 4.3, and (iii) such      Participant elects to receive at least some portion of his or her      Supplemental Retirement Benefit in the form of an annuity, the Participant      shall receive an enhanced vested lump sum benefit equal to the Annuity      Portion of the Present Value of the excess (if any) of the benefit      determined under paragraph (1) below over the benefit determined under      paragraph (2) below, calculated as of the Determination    Date. |
|--------|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (1) | The      Participant’s monthly Unrestricted Benefit calculated as a single life      annuity under the Final Average Pay Formula using the early retirement      reduction factors from age 65 to age 55 and, if necessary, calculated with      a full actuarial reduction from age 55 to the Determination Date, reduced      by (but not to an amount less than zero) the Participant’s monthly      Unrestricted Benefit calculated under Section  4.3(a). |
|--------|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (2) | The      Participant’s monthly Maximum Benefit calculated as a single life annuity      under the Final Average Pay Formula with a full actuarial reduction from      age 65 to the Determination Date, reduced by (but not to an amount less      than zero) the Participant’s monthly Maximum Benefit calculated under      Section 4.3(b). |
|--------|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (b) | For      purposes of this Section 5.3, the term “Annuity Portion” means the      percentage of the Participant’s Supplemental Retirement Benefit that the      Participant has elected under Article VI to receive in the form of an      annuity. |
|--------|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (c) | The      special benefit payable hereunder shall be payable in a lump sum as soon      as practicable after the annuity benefit under this Plan commences as      provided under Article VI.  The amount of the lump sum shall be      credited with interest at the rate at which Interest Credits are applied      under the Retirement Plan from the Determination Date to the date such      lump sum is distributed.  If the Participant dies before the      date of payment and the Participant’s Spouse is the Participant’s sole      Beneficiary, then the Participant’s Beneficiary will receive the lump sum      payable under this Section 5.3 as soon as practicable after the      Participant’s death. |
|--------|-----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (a) | Elections with      Determination Dates On or Before December 1,      2007.  Effective with respect to distribution election      forms with Determination Dates on or before December 1, 2007, the forms of      distribution available to each Participant shall be limited to the      following: |
|--------|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (1) | A      single lump sum distribution |
|--------|-----|-------------------------------------|

|   | (4) | As      a single life annuity commencing on the First Date Available, or any      Actuarially Equivalent “life annuity,” as described in Treasury Regulation      1.409A-2(b)(ii) and as available as an annuity option under the Retirement      Plan, but excluding any pop-up feature or level income option under the      Retirement Plan. |
|--------|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (5) | A      combination of a 50% monthly annuity and a 50% lump sum distribution,      payable beginning on the First DateAvailable. |
|--------|-----|---------------------------------------------------------------------------------------------------------------------------------|

|   | (1) | A      single lump sum distribution |
|--------|-----|-------------------------------------|

|   | (4) | As      a single life annuity commencing on the First Date Available, or any      Actuarially Equivalent “life annuity,” as described in Treasury Regulation      1.409A-2(b)(ii) and as available as an annuity option under the Retirement      Plan, but excluding any pop-up feature or level income option under the      Retirement Plan; |
|--------|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (5) | Effective      with respect to distribution election forms applicable to Determination      Dates on or after January 1, 2009, a combination lump sum distribution and      “life annuity” [as described in paragraph (b)(4), above] commencing as of      the First Date Available, allocated in one of the following      proportions: |
|--------|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (a) | Generally.  Except      as otherwise provided in this Plan, a Participant must make his or her      payment election by December 31 of the calendar year before the calendar      year in which he or she first becomes a Participant in this      Plan. |
|--------|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (b) | Newly Eligible      Participants.  If an individual first becomes a      Participant during a calendar year, and the Participant has not previously      become a Participant in another plan that is required to be aggregated      with this Plan under Treasury Regulation Section 1.409A-1(c)(2) or other      guidance under Section 409A of the Code, the Participant may make an      election by no later than the 30th      day after becoming a Participant in thePlan. |
|--------|-----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (c) | Excess BenefitPlan      Participants.  If an individual first becomes a      Participant on or after January 1, 2005, and participation in this Plan is      considered participation in an “excess benefit plan,” the Participant may      make an election no later than the 30th      day after the last day of the first calendar year in which the Participant      satisfied the requirements to become a Participant, provided that such      individual has neither an accrued benefit nor been allocated any deferral      under any other excess benefit plan.  For this purpose, the term      “excess benefit plan” means all nonqualified deferred compensation plans      in which the individual participates, to the extent such plans do not      provide for an election between the current compensation and deferred      compensation and solely provide deferred compensation equal to the excess      of the benefits the individual would have accrued under a qualified      employer plan in which the individual also participates, in the absence of      one or more of the limits incorporated into the plan to reflect one or      more of the limits on contributions or benefits applicable to the      qualified employer plan under the Code, over the benefits the individual      actually accrues under the qualified employer plan, as described in      Treasury Regulation Section1.409A-2(a)(7)(iii). |
|--------|-----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (d) | Actuarially Equivalent      Life Annuities.  A Participant who elected an annuity      option described in Section 6.2(b)(4) or (5) of this Plan may make an      irrevocable election within 60 days after the Determination Date to      receive his or her benefits in the form of any other annuity option      available under Section 6.2(b)(4) or (5) of this Plan.  If the      Participant fails to make a timely election as to the form of annuity, the      Participant shall be deemed to have selected a 100% joint and survivor      annuity with the Participant’s Beneficiary as the survivor      annuitant. |
|--------|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (e) | Default.  If      a Participant fails to make an initial payment election in the times      provided in this Section 6.3, the Participant shall be deemed to have      elected to receive payment of his or her Supplemental Retirement Benefit      in a lump sum on the First DateAvailable. |
|--------|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (f) | Examples. |
|--------|-----|-----------|

|   | (1) | If      an individual’s Employment Contract is effective May 31, 2009, and the      Employment Contract provides that the Participant will receive a      Supplemental Retirement Benefit in a manner that causes this Plan not to      be considered an Plan for that Participant, the Participant must make a      payment election by June 30, 2009. |
|--------|-----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (2) | If      an Employee is designated a Participant in 2009 because his or her      compensation exceeded the limit under Section 401(a)(17) of the Code as of      October 31, 2009, the Participant generally may make such an election by      January 30, 2010. |
|--------|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (3) | A      Participant made an election within 30 days of becoming eligible to      participate in this Plan to receive his or her benefits in the form of a      single life annuity under Section 6.2(b)(4).  The Participant      expects to retire June 30, 2012.  At a reasonable time before      the Determination Date, the Participant may make an election to receive an      actuarially equivalent joint and survivor annuity, excluding any pop-up      feature or level income option under the Retirement  Plan. |
|--------|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (a) | if      the Participant’s Supplemental Retirement Benefit has a value of $10,000      or less on the Participant’s First Date Available, the Committee may      require that the full value of the Participant’s Supplemental Retirement      Benefit be distributed as of the First Date Available in a single, lump      sum distribution regardless of the form elected by such Participant,      provided that such payment is consistent with the limited cash-out right      described in Treasury Regulation Section 1.409A-3(j)(4)(v) or other      guidance of the Code in that the payment results in the termination and      liquidation of the entirety of the Participant’s interest under each      nonqualified deferred compensation plan (including all agreements,      methods, programs, or other arrangements with respect to which deferrals      of compensation are treated as having been deferred under a single      nonqualified deferred compensation plan under Treasury Regulation      1.409A-1(c)(2) or other guidance of the Code) that is associated with this      Plan; and the total payment with respect to any such single nonqualified      deferred compensation plan is not greater than the applicable dollar      amount under Code Section 402(g)(1)(B).  Provided,      however, |
|--------|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (b) | Payment      to a Participant under any provision of this Plan will be delayed at any      time that the Committee reasonably anticipates that the making of such      payment will violate Federal securities laws or other applicable law;      provided however, that any payments so delayed shall be paid at the      earliest date at which the Committee reasonably anticipates that the      making of such payment will not cause such  violation. |
|--------|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (a) | Calculation      Methodology.  Except as otherwise set forth herein, the      death benefits payable under Section 7.1 of this Plan shall be calculated      using the applicable methodology and subject to all limitations as      provided in Article IV as of the first day of the month immediately      following the Participant’s death. |
|--------|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (b) | Amount. |
|--------|-----|---------|

|   | (1) | If      either (i) the Participant’s Beneficiary is not his or her Spouse or (ii)      the Participant’s Supplemental Retirement Benefit does not take into      account the Final Average Pay Formula under Section 4.3(a)(i), the amount      of the benefit under this Section 7.1 is the amount equal to the excess      (if any) of. |
|--------|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (a) | The      Unrestricted Benefit with respect to the Participant calculated using the      Cash Balance Formula; over |
|--------|-----|--------------------------------------------------------------------------------------------------------------------|

|   | (b) | The      Maximum Benefit with respect to the Participant calculated using the Cash      Balance Formula. |
|--------|-----|----------------------------------------------------------------------------------------------------------|

|   | (2) | If      both (i) the Participant’s Beneficiary is his or her Spouse and (ii) the      Participant’s Supplemental Retirement Benefit takes into account the Final      Average Pay Formula under Section 4.3(a)(i), the benefit under this      Section 7.1 is the amount equal to the excess (if any)  of: |
|--------|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (a) | the      greater of the Unrestricted Benefit with respect to the Participant      calculated using the Cash Balance Formula or the pre-retirement survivor      annuity calculated from the Unrestricted Benefit using the Final Average      Pay Formula; over |
|--------|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (b) | the      greater of the Maximum Benefit with respect to the Participant calculated      using the Cash Balance Formula or the pre-retirement survivor annuity      calculated from the Maximum Benefit using the Final Average Pay      Formula. |
|--------|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (c) | Form.  The      death benefit under this Section 7.1 shall be paid      in the same form applicable to the Participant in accordance with the      provisions of Article VI as of the date of the Participant’s death;      provided to the extent that the distribution would be in the form of an      annuity, the death benefit shall be paid to the Beneficiary in the form of      a single life annuity. |
|--------|-----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (d) | Timing.  The      death benefit under this Section 7.1 shall commence within 90 days after      the Committee has made a final determination identifying the Participant’s      Beneficiary. |
|--------|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (a) | Any      Participant or Beneficiary who believes he or she is entitled to receive a      distribution under the Plan which he or she did not receive or that the      amount calculated to be his or her Supplemental Retirement Benefit is      inaccurate, may file a written claim signed by the Participant,      Beneficiary or authorized representative with the Company’s Director -      Compensation and Executive Benefits, specifying the basis for the      claim.  The Director - Compensation and Executive Benefits shall      provide a claimant with written or electronic notification of its      determination on the claim within ninety days after such claim was filed;      provided, however, if the Director - Compensation and Executive Benefits      determines special circumstances require an extension of time for      processing the claim, the claimant shall receive within the initial      ninety-day period a written notice of the extension for a period of up to      ninety days from the end of the initial ninety day period.  The      extension notice shall indicate the special circumstances requiring the      extension and the date by which the Plan expects to render the benefit      determination. |
|--------|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (b) | If      the Director - Compensation and Executive Benefits renders an adverse      benefit determination under Section 11.1(a), the notification to the      claimant shall set forth, in a manner calculated to be understood by the      claimant: |
|--------|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (1) | The      specific reasons for the denial of theclaim; |
|--------|-----|-------------------------------------------------------|

|   | (2) | Specific      reference to the provisions of the Plan upon which the denial of the claim      was based; |
|--------|-----|----------------------------------------------------------------------------------------------------------|

|   | (3) | A      description of any additional material or information necessary for the      claimant to perfect the claim and an explanation of why such material or      information is necessary, and |
|--------|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (4) | An      explanation of the review procedure specified in Section 11.2, and the      time limits applicable to such procedures, including a statement of the      claimant’s right to bring a civil action under Section 502(a) of ERISA,      following an adverse benefit determination on  review. |
|--------|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (a) | Within      sixty days after the receipt by the claimant of an adverse benefit      determination, the claimant may appeal such denial by filing with the      Committee a written request for a review of the claim.  If such      an appeal is filed within the sixty day period, the Committee, or a duly      appointed representative of the Committee, shall conduct a full and fair      review of such claim that takes into account all comments, documents,      records and other information submitted by the claimant relating to the      claim, without regard to whether such information was submitted or      considered in the initial benefit determination.  The claimant      shall be entitled to submit written comments, documents, records and other      information relating to the claim for benefits and shall be provided, upon      request and free of charge, reasonable access to, and copies of all      documents, records and other information relevant to the claimant’s claim      for benefits.  If the claimant requests a hearing on the claim      and the Committee concludes such a hearing is advisable and schedules such      a hearing, the claimant shall have the opportunity to present the      claimant’s case in person or by an authorized representative at such      hearing. |
|--------|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (b) | The      claimant shall be notified of the Committee’s benefit determination on      review within sixty days after receipt of the claimant’s request for      review, unless the Committee determines that special circumstances require      an extension of time for processing the review.  If the      Committee determines that such an extension is required, written notice of      the extension shall be furnished to the claimant within the initial      sixty-day period.  Any such extension shall not exceed a period      of sixty days from the end of the initial period. The extension notice      shall indicate the special circumstances requiring the extension and the      date by which the Plan expects to render the benefit      determination. |
|--------|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (c) | The      Committee shall provide a claimant with written or electronic notification      of the Plan’s benefit determination on review.  The      determination of the Committee shall be final and binding on all      interested parties.  Any adverse benefit determination on review      shall set forth, in a manner calculated to be understood by the      claimant: |
|--------|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (1) | The      specific reason(s) for the adverse  determination; |
|--------|-----|-------------------------------------------------------------|

|   | (2) | Reference      to the specific provisions of the Plan on which the determination was      based; |
|--------|-----|--------------------------------------------------------------------------------------------------|

|   | (3) | A      statement that the claimant is entitled to receive, upon request and free      of charge, reasonable access to, and copies of, all documents, records and      other information relevant to the claimant’s claim for benefits;      and |
|--------|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (4) | A      statement of the claimant’s right to bring an action under Section 502(a)      of ERISA. |
|--------|-----|-------------------------------------------------------------------------------------------------------|

| American      Electric Power Service Corporation |
|--------------------------------------------------|
| Attn:  Executive      Benefits         |
| One      Riverside Plaza                         |
| Columbus,      Ohio  43215             |