AEP, MidAmerican in MOU to develop texas transmission

摘要

American Electric Power has signed a memorandum of understanding with MidAmerican Energy Holdings to form a joint venture company to build and own new electric transmission assets within the Electric Reliability Council of Texas (ERCOT). Under the terms of the MOU, AEP will contribute AEP Texas transmission assets currently under construction valued at approximately 100 million dollars to the joint venture company. A MidAmerican subsidiary will make a cash contribution to the joint venture company. The equity ownership of the new company would be split 50-50 between AEP and MidAmerican with an anticipated utility capitalization structure targeted at 40 percent equity and 60 percent debt.