At a meeting held on July 27, 2001, 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, 2001, payable October 1, 2001, to stockholders of record September 14, 2001.

               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 July 10, 2001, which is payable on August 28, 2001, to stockholders of record on August 27, 2001; and for the dividend period beginning August 28, 2001, that is payable on October 16, 2001, to stockholders of record on October 15, 2001.

               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 June 27, 2001, which is payable on August 15, 2001, to stockholders of record on August 14, 2001; and for the dividend period beginning August 15, 2001, that is payable on October 3, 2001, to stockholders of record on October 2, 2001.

Alabama Power, a subsidiary of Atlanta-based Southern Company , provides reliable, affordable electricity to more than 1.3 million customers across the state.

MAKE YOUR OPINION COUNT - Click Here
http://tbutton.prnewswire.com/prn/11690X63761216

SOURCE: Alabama Power Company