Alabama Power Company announced today the full redemption of the following series of first mortgage bonds:

                         Maturity        Outstanding      Redemption Price
        Series             Date           Principal      as a % of Principal


        7.75%           02/01/2023       $95,502,000            103.44 %
        7.45%           07/01/2023       150,000,000            103.41 %
        7.30%           11/01/2023       100,000,000            103.64 %

All three series will be redeemed on or about July 9, 2002, at the prices indicated above, plus accrued interest. Notices of redemption will be mailed to bondholders at least 30 days prior to the redemption date.

The redemption agent for the bonds is JPMorgan Chase Bank, Institutional Trust Services, P.O. Box 2320, Dallas, Texas, 75221-2320.

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

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SOURCE: Alabama Power Company