BIRMINGHAM - Aug. 21, 2008 - Despite recent rainfall, drought conditions are still in effect as Alabama Power continues to take measures to conserve water.

Alabama Power has cut releases from its hydroelectric dams to the minimums required to protect fisheries, endangered species, water quality and critical municipal and industrial uses. These minimal releases are the only times the company is generating any power from its dams. The company is working with government agencies, municipalities, businesses, and industry and community groups to coordinate conservation measures.

Spring rains and careful management of water resources helped raise lake levels in the early part of the year, but the flow of water into Alabama Power reservoirs has returned to the record low levels experienced in 2007. Below-normal rainfall in recent weeks, summer heat and evaporation have also caused lake levels to fall at a faster than normal rate.

Lake levels are currently higher than last year due to the efforts of Alabama Power and the cooperation of state and federal agencies. However, lake levels are still below average for this time of year.

By Labor Day, storage reservoirs on the Black Warrior, Coosa and Tallapoosa rivers are expected to be between 1 and 2 feet below typical elevation, though significantly higher than at this time last year. Due to extensive water conservation efforts, hydro generation this year has been reduced to less than half its normal output. In 2007, hydro generation for the entire year was reduced by more than 60 percent.

As summer ends and Alabama moves into the typically dry fall season, Alabama Power will continue to do all it can to conserve water resources. Lake residents, and those who enjoy Alabama Power lakes, should be aware that the historic drought is far from over. People with boats and water-related equipment should remain alert to changing conditions and take the necessary steps to protect their property.

For the latest on lake levels, go to www.alabamapower.com and click the “Drought” icon, or call Alabama Power’s automated Reservoir Information System at 1-800-LAKES11.

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Media Contact: Michael Sznajderman, APC Corporate Communications, (205) 257.2401 or mszajde@southernco.com