SEC Form 3

FORM 3

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 INITIAL STATEMENT OF BENEFICIAL OWNERSHIP OF SECURITIES Filed pursuant to Section 16(a) of the Securities Exchange Act of 1934 or Section 30(h) of the Investment Company Act of 1940

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1. Name and Address of Reporting Person* Feinberg David Matthew (Last) (First) (Middle) C/O ALLEGHENY ENERGY, INC 800 CABIN HILL DRIVE (Street) GREENSBURG PA 15601 (City) (State) (Zip)	2. Date of Event Requiring Statement (Month/Day/Year) 10/18/2006	3. Issuer Name and Ticker or Trading Symbol ALLEGHENY ENERGY, INC [ AYE ]
		4. Relationship of Reporting Person(s) to Issuer (Check all applicable) Director 10% Owner X Officer (give title below) Other (specify below) VP, Gen'l. Counsel and Sec'y.	5. If Amendment, Date of Original Filed (Month/Day/Year)
			6. Individual or Joint/Group Filing (Check Applicable Line) X Form filed by One Reporting Person Form filed by More than One Reporting Person

Table I - Non-Derivative Securities Beneficially Owned
1. Title of Security (Instr. 4)	2. Amount of Securities Beneficially Owned (Instr. 4)	3. Ownership Form: Direct (D) or Indirect (I) (Instr. 5)	4. Nature of Indirect Beneficial Ownership (Instr. 5)
Common Stock, $1.25 par value	278.6194	I	ESOSP(1)

Table II - Derivative Securities Beneficially Owned (e.g., puts, calls, warrants, options, convertible securities)
1. Title of Derivative Security (Instr. 4)	2. Date Exercisable and Expiration Date (Month/Day/Year)		3. Title and Amount of Securities Underlying Derivative Security (Instr. 4)		4. Conversion or Exercise Price of Derivative Security	5. Ownership Form: Direct (D) or Indirect (I) (Instr. 5)	6. Nature of Indirect Beneficial Ownership (Instr. 5)
	Date Exercisable	Expiration Date	Title	Amount or Number of Shares
Stock Options (right to buy)	(2)	08/10/2014	Common Stock, par value $1.25 per share	10,000	$14.7	D
Stock Options (right to buy)	(3)	01/03/2015	Common Stock, par value $1.25 per share	20,000	$19.36	D
Stock Options (right to buy)	(4)	10/18/2016	Common Stock, par value $1.25 per share	20,000	$42	D

Explanation of Responses:

1. Held through the Allegheny Energy, Inc. Employee Stock Ownership and Savings Plan.

2. One-fifth of these Stock Options vested on August 2, 2005, and one-fifth vested on August 2, 2006. The remaining Stock Options included in this grant will vest in equal installments on each August 2 from 2007 through 2009, provided in each case that Mr. Feinberg is an employee of the Issuer on the applicable vesting date. Upon the occurrence of a change in control of the Issuer (as defined), all Stock Options will immediately vest.

3. One-fifth of these Stock Options vested on January 3, 2006. The remaining Stock Options included in this grant will vest in equal installments on each January 3 from 2007 through 2010, provided in each case that Mr. Feinberg is an employee of the Issuer on the applicable vesting date. Upon the occurrence of a change in control of the Issuer (as defined), all Stock Options will immediately vest.

4. One-half of these Stock Options will vest on October 18, 2007 and one-half will vest on October 18, 2008, provided in each case that Mr. Feinberg is an employee of the Issuer on the applicable vesting date.

	/s/ Amanda J. Skov, Attorney-in-Fact	10/26/2006
	** Signature of Reporting Person	Date
Reminder: Report on a separate line for each class of securities beneficially owned directly or indirectly.
* If the form is filed by more than one reporting person, see Instruction 5 (b)(v).
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