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INDIANA MICHIGAN POWER COMPANY
RIVER TRANSPORTATION DIVISION
QUARTERLY REPORT PER REQUIREMENTS
OF HOLDING COMPANY ACT RELEASE NO. 24039
BY MONTH, FOR THE QUARTER ENDED MARCH 31, 1998
CONTENTS
Page
Summary of Billings 1
Derivation of Billing Rates 2
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INDIANA MICHIGAN POWER COMPANY
RIVER TRANSPORTATION DIVISION
SUMMARY OF BILLINGS
BY MONTH, FOR THE QUARTER ENDED MARCH 31, 1998
<CAPTION>
January 1998 February 1998 March 1998
Tons Fee Amount Tons Fee Amount Tons Fee Amount
(per ton) (000) (per ton) (000) (per ton) (000)
BARGING SERVICE BILLINGS TO AFFILIATES
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Appalachian Power Company and
Ohio Power Company:
Sporn Plant. . . . . . . . . . . . 164,835 $2.85 $470 184,724 $2.89 $534 231,592 $2.85 $660
Amos Plant . . . . . . . . . . . . 129,134 $1.47 190 92,942 $1.40 130 58,264 $1.17 68
Total. . . . . . . . . . . . . . 293,969 $660 277,666 $664 289,856 $728
Appalachian Power Company:
Mountaineer Plant. . . . . . . . . 238,116 $1.64 $390 275,246 $1.61 $444 286,893 $1.61 $461
Kanawha River Plant. . . . . . . . 52,038 $0.63 33 40,923 $0.65 27 44,981 $0.81 36
Total. . . . . . . . . . . . . . 290,154 $423 316,169 $471 331,874 $497
Ohio Valley Electric Company . . . . 1,179 $0.58 $ 1 - $ - $ - - $ - $ -
Indiana Michigan Power Company:
Tanners Creek. . . . . . . . . . . 228,822 $2.20 $504 183,365 $2.05 $377 219,715 $2.04 $448
Indiana Michigan Power Company
and AEP Generating Company:
Rockport Plant . . . . . . . . . . 969,233 $1.82 $1,766 855,372 $1.78 $1,523 932,610 $1.83 $1,707
Ohio Power Company:
Cardinal Plant (Unit 1). . . . . . 171,667 $0.62 $106 150,843 $0.62 $ 94 173,525 $0.58 $100
Gavin Plant. . . . . . . . . . . . - $ - - - $ - - 21,896 $1.53 34
Muskingum River Plant. . . . . . . - $ - (1) - $ - - - $ - -
Total. . . . . . . . . . . . . . 171,667 $105 150,843 $ 94 195,421 $134
BARGING SERVICE BILLINGS
TO UNAFFILIATED COMPANIES:
Buckeye Power Company:
Cardinal Plant (Unit 2 & 3). . . . 108,791 $1.79 $195 104,478 $1.84 $193 59,388 $1.77 $105
Other Coal . . . . . . . . . . . . . 210,317 $1.60 $337 142,596 $1.56 $223 153,034 $1.85 $283
Other. . . . . . . . . . . . . . . . 77,342 $ 91 123,038 $205 213,050 $342
Note: The above amounts include demurrage charges.
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INDIANA MICHIGAN POWER COMPANY
RIVER TRANSPORTATION DIVISION
DERIVATION OF BILLING RATES FOR THE PERIOD JANUARY 1, 1998 THROUGH DECEMBER 31, 1998
BASED ON PROJECTED COSTS FOR THE PERIOD JANUARY 1, 1998 THROUGH DECEMBER 31, 1998
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Projected Non-Assigned Upper Ohio Lower Ohio Upper Ohio
Cost Cost & Kanawha Green & Ohio Tanners Crk (Contract)
DIRECT EXPENSES:
<S> <C> <C> <C> <C> <C> <C>
Rent . . . . . . . . . . . . . . $12,351,111 $1,402,080 $ 4,557,936 $ 3,167,378 $1,153,850 $ 2,069,867
Wages. . . . . . . . . . . . . . 10,245,189 128,998 4,271,909 4,233,654 229,303 1,381,325
Fuel . . . . . . . . . . . . . . 5,678,605 8,712 1,331,037 3,541,010 76,353 721,493
Fuel Taxes . . . . . . . . . . . 2,068,015 2,713 488,174 1,270,348 28,145 278,635
Supplies . . . . . . . . . . . . 3,904,878 55,602 1,377,695 1,656,774 156,930 657,877
Tow Services . . . . . . . . . . 61,145 - 6,155 2,747 2,705 49,538
Other Taxes. . . . . . . . . . . 90,000 - 4,000 60,000 22,000 4,000
Total Equipment Expenses . . . 33,398,943 1,598,105 12,036,906 13,931,911 1,669,286 5,162,735
Ton Mile Ratio . . . . . . . . . . 0.339932 0.443018 0.095953 0.121096
Less: Sublease Income. . . . . . . -
Unaffiliated Barging Income. -
Adjusted Nonassigned Allocations . $1,598,105 543,248 707,989 153,344 193,524
Allocated Overhead Expenses. . . . 8,067,400 2,742,370 3,574,004 774,095 976,931
Return on Investment . . . . . . . 865,231 294,120 383,313 83,022 104,776
Contract Revenue . . . . . . . . . (440,400) (149,706) (195,105) (42,258) (53,331)
Re-allocation of Cost or (Revenue)
to Affiliated Rates. . . . . . . - 171,754 223,840 48,481 (444,075)
Non-Affiliated Contracts . . . . . (8,907,808) (2,372,816) (248,832) (345,600) (5,940,560)
Total Projected Cost
(Revenue Requirement). . . . $33,983,366 $13,265,876 $18,377,120 $2,340,370 $ -
Adjusted Ton Miles . . . . . . . . 7,300,487,500 2,481,671,800 3,234,247,500 700,507,000 884,061,200
Cost Per Adjusted Ton Mile * . . . $0.0535 $.00568 0.00334
* Incorporated in the January 1998 billings.
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