October 9, 2007

The Michigan Public Service Commission (MPSC) today approved a settlement agreement reconciling Indiana Michigan Power Company's 2006 power supply costs.

The settlement agreement found that the utility over-recovered $1,000,696 in its St. Joseph rate area, and under-recovered $1,269,322 in the Three Rivers rate area. The company will roll the over- and under-recoveries into its 2007 power supply cost plans.

The utility and the MPSC staff participated in the proceedings.

Indiana Michigan Power Company filed its application for its 2006 power supply cost reconciliation on March 30.

The MPSC is an agency within the Department of Labor & Economic Growth.

Case No. U-14704-R