Allegheny Energy

Yes, electric utilities are a mostly unloved sector among investors, even though everyone needs power. But maybe their steady and dividend-friendly shares have more appeal these days. Here's a look at three big names: American Electric Power, Constellation Energy and Allegheny Energy.

FirstEnergy, the fifth-largest investor-owned electric system in the U.S., has agreed to pay $4.7 billion for Allegheny Energy in an all-stock transaction that will create one of the biggest electric providers in the country. Given the current economic situation, the deal may be the first of many in the sector.