At a meeting held on July 28, 2000, the Board of Directors of Alabama Power Company declared the regular quarterly dividends on the company's outstanding preferred stock as follows:

                             Preferred Stock
                             ($100 Par Value)
                         4.20% - $1.05 per share
                         4.52% - $1.13 per share
                         4.60% - $1.15 per share
                         4.64% - $1.16 per share
                         4.72% - $1.18 per share
                         4.92% - $1.23 per share


                         Class A Preferred Stock
                           ($25 Capital Value)
                         5.20% - $.325 per share
                         5.83% - $.3644 per share

These dividends are for the quarter ending September 30, 2000, payable October 1, 2000, to stockholders of record September 15, 2000.

               Auction Class A Preferred Stock, 1988 Series
                           ($100 Capital Value)

In addition, the Board of Directors declared dividends for the Auction Class A Preferred Stock (1988 Series) at an annual rate to be determined in accordance with the auction procedures as set forth in the amendment to the Charter dated November 18, 1988, for the dividend period beginning August 1, 2000, which is payable on September 19, 2000, to stockholders of record on September 18, 2000.

               Auction Class A Preferred Stock, 1993 Series
                           ($100 Capital Value)

In addition, the Board of Directors declared dividends for the Auction Class A Preferred Stock (1993 Series) at an annual rate to be determined in accordance with the auction procedures as set forth in the amendment to the Charter dated October 27, 1993, for the dividend period beginning July 19, 2000, which is payable on September 6, 2000 to stockholders of record on September 5, 2000; and for the dividend period beginning September 6, 2000, that is payable on October 25, 2000, to stockholders of record on October 24, 2000.

Alabama Power, a subsidiary of Southern Company , is an investor-owned electric utility serving 1.3 million customers in the southern two-thirds of Alabama.

SOURCE: Alabama Power