How American Electric Power Company, Inc. Makes Most of Its Money

On the surface, American Electric Power Company, Inc. (NYSE: AEP)is a pretty simple business to understand -- it generates and distributes electricity. But when you dig under the surface a little, you start to see that its business has changed materially in recent years. More important, AEP is now positioned to take advantage of industry shifts taking place in the power sector.

Here's how AEP makes most of its money and why its prospects for slow and steady growth are so strong.