Company description
  *  Birmingham based investor-owned electric utility; a subsidiary of
     Southern Company.

  Performance
  *  Earnings up for the fourth quarter and the 12-month period ended
     December 2002.

  Net Income
  * Fourth Quarter Net Income
    $ 72,435,000 for the fourth quarter of 2002
    $ 61,854,000 for the fourth quarter of 2001

  * 12 Months Ended Net Income
    $ 461,355,000 for the 12-month period that ended December 2002
    $ 386,729,000 for the 12-month period that ended December 2001

  Total Territorial Energy Sales
  * Fourth Quarter Energy Sales
    13.1 billion kilowatt-hours for the fourth quarter of 2002
    11.8 billion kilowatt-hours for the fourth quarter of 2001

  * 12 Months Ended Energy Sales
    56.1 billion kilowatt-hours for the 12-month period that ended December
      2002
    53.2 billion kilowatt-hours for the 12-month period that ended December
      2001

Comments -- "Net income increased in the fourth quarter 2002 primarily due to an increase in territorial sales and increases in retail rates which were partially offset by increased non-fuel operating expenses. An increase in territorial sales and increases in retail rates as well as a decrease in interest expense were the primary reasons for the increase in net income in the twelve-month period ended December 2002. These increases were partially offset by increases in non-fuel operating expenses and depreciation expense." -- William B. Hutchins, III, executive vice president and chief financial officer.

SOURCE: Alabama Power