COLUMBUS, Ohio, Aug. 28, 2003 - Southwestern Electric Power Co., a wholly owned operating subsidiary of American Electric Power (NYSE: AEP), today announced that on Oct. 1, 2003, it will redeem the entire outstanding $45,000,000 principal amount of its First Mortgage Bonds, Series Z, 7-1/4% Series due July 1, 2023.

The bonds will be redeemed in accordance with the terms of the mortgage under which the bonds were issued, at the regular redemption price of 103.06% of the principal amount of the bonds of the 7-1/4% Series, plus accrued interest for each series to the date of redemption.

The notice of redemption is expected to be mailed on or before Aug. 29, 2003, to holders of record.

The Bank of New York is the redemption agent and trustee.