APPALACHIAN POWER COMPANY
                              PUTNAM COAL TERMINAL
                        QUARTERLY REPORT PER REQUIREMENTS
                    OF HOLDING COMPANY ACT RELEASE NO. 23272
                 BY MONTH, FOR THE QUARTER ENDED MARCH 31, 2003





                                    CONTENTS



                                                                       Page

Statements of Transfer Fees Charged                                      1

Summary of Costs Incurred                                                2








                                                      APPALACHIAN POWER COMPANY
                                                        PUTNAM COAL TERMINAL
                                                 STATEMENTS OF TRANSFER FEES CHARGED
                                           BY MONTH, FOR THE QUARTER ENDED MARCH 31, 2003

                                     January 2003                   February 2003                      March 2003
                             ---------------------------    -----------------------------    ------------------------------
                             Tons      Fee        Amount    Tons       Fee         Amount    Tons        Fee        Amount
                             ----      ---        ------    ----       ---         ------    ----        ---        ------
                                    (per ton)     (000)             (per ton)      (000)              (per ton)      (000)
                                                                                           
TRANSFER FEES CHARGED*               None                     None                      None
---------------------

  * Transfer fees reported are limited to coal transfer services billings to
  affiliates or investment equalization charges to Ohio Power Company as
  applicable. There were no transfer services performed for affiliates during
  the quarter ended March 31, 2003. Costs incurred when the terminal is not
  utilized are charged as a cost of operating the Amos Plant.









                                                      APPALACHIAN POWER COMPANY
                                                        PUTNAM COAL TERMINAL
                                                      SUMMARY OF COSTS INCURRED
                                           BY MONTH, FOR THE QUARTER ENDED MARCH 31, 2003

                                                                                Three
                                                                                Months
                                            January    February     March       Ended
                                              2003       2003        2003      3/31/03
                                            -------    --------     -----      -------
                                                          (in thousands)
                                                                     
Salaries and Benefits. . . . . . . . . . . .  $ 17       $ 16        $ 13        $ 46
Depreciation . . . . . . . . . . . . . . . .    77         78          77         232
Taxes Other Than Income Taxes* . . . . . . .    15         15          16          46
Materials and Supplies . . . . . . . . . . .     3          1           1           5
Electricity. . . . . . . . . . . . . . . . .     1         -           -            1
                                              ----       ----        ----        ----

          Total**. . . . . . . . . . . . . .  $113       $110        $107        $330
                                              ====       ====        ====        ====

 * Excludes FICA, Federal Unemployment and State Unemployment taxes.  These costs are
   reflected in salaries and benefits.
** Excludes cost of capital discussed in the footnotes on page 1.