...Low-Risk Profile: Ohio Power Company (OPCO)'s Issuer Default Rating (IDR) reflects its substantially downsized operational attributes, but a stable credit profile during its transition to a lower risk business profile reflects the separation of its generation assets from the utility's distribution and transmission assets and full competitive retail market for electricity customers. Conversion to Wires-Only Business: The successful execution of the Public Utility Commission of Ohio (PUCO)-approved corporate separation order lowered OPCO's business risk by eliminating operational risks associated with the power generation by limiting the rate- base to transmission and distribution networks. The divestiture was accomplished with the parent, American Electric Power Company, Inc. (AEP, BBB/Stable), assuming ownership and control over the generation assets. Favorable Regulatory Regimes: The PUCO is the regulator for OPCO's distribution networks and the Federal Energy Regulatory Commission (FERC)...
