<ARTICLE> UT
<CIK> 0000050172
<NAME> INDIANA MICHIGAN POWER COMPANY
<MULTIPLIER> 1,000
       
                                        
<PERIOD-TYPE>                              12-MOS
<FISCAL-YEAR-END>                          DEC-31-1996
<PERIOD-END>                               DEC-31-1996
<BOOK-VALUE>                                  PER-BOOK
<TOTAL-NET-UTILITY-PLANT>                    2,515,776
<OTHER-PROPERTY-AND-INVEST>                    645,043
<TOTAL-CURRENT-ASSETS>                         283,516
<TOTAL-DEFERRED-CHARGES>                        31,457
<OTHER-ASSETS>                                 421,692
<TOTAL-ASSETS>                               3,897,484
<COMMON>                                        56,584
<CAPITAL-SURPLUS-PAID-IN>                      731,272
<RETAINED-EARNINGS>                            269,071
<TOTAL-COMMON-STOCKHOLDERS-EQ>               1,056,927
<PREFERRED-MANDATORY>                          135,000
<PREFERRED>                                     21,977
<LONG-TERM-DEBT-NET>                         1,042,104
<SHORT-TERM-NOTES>                               3,900
<LONG-TERM-NOTES-PAYABLE>                            0
<COMMERCIAL-PAPER-OBLIGATIONS>                  39,600
<LONG-TERM-DEBT-CURRENT-PORT>                        0
<PREFERRED-STOCK-CURRENT>                            0
<CAPITAL-LEASE-OBLIGATIONS>                    101,225
<LEASES-CURRENT>                                29,740
<OTHER-ITEMS-CAPITAL-AND-LIAB>               1,467,011
<TOT-CAPITALIZATION-AND-LIAB>                3,897,484
<GROSS-OPERATING-REVENUE>                    1,328,493
<INCOME-TAX-EXPENSE>                            86,799
<OTHER-OPERATING-EXPENSES>                   1,021,277
<TOTAL-OPERATING-EXPENSES>                   1,108,076
<OPERATING-INCOME-LOSS>                        220,417
<OTHER-INCOME-NET>                               2,729
<INCOME-BEFORE-INTEREST-EXPEN>                 223,146
<TOTAL-INTEREST-EXPENSE>                        65,993
<NET-INCOME>                                   157,153
<PREFERRED-STOCK-DIVIDENDS>                     10,681
<EARNINGS-AVAILABLE-FOR-COMM>                  146,472
<COMMON-STOCK-DIVIDENDS>                       112,508
<TOTAL-INTEREST-ON-BONDS>                       41,209
<CASH-FLOW-OPERATIONS>                         294,341
<EPS-PRIMARY>                                        0<F1>
<EPS-DILUTED>                                        0<F1>
<FN>
<F1> All common stock owned by parent company; no EPS required.
</FN>