First Quarter 2016 Earnings Conference Call April 27, 2016

Cautionary Note Regarding Forward-Looking Statements Certain information contained in this presentation is forward‐looking information based on current expectations and plans that involve risks and uncertainties. Forward‐looking information includes, among other things, statements concerning projected costs and schedules for the completion and start-up of ongoing construction projects, earnings per share guidance, expected economic development, expected credit metrics, expected regulatory approval timing for the acquisition of AGL Resources Inc., and projected financing plans. Southern Company cautions that there are certain factors that can cause actual results to differ materially from the forward‐looking information that has been provided. The reader is cautioned not to put undue reliance on this forward‐looking information, which is not a guarantee of future performance and is subject to a number of uncertainties and other factors, many of which are outside the control of Southern Company; accordingly, there can be no assurance that such suggested results will be realized. The following factors, in addition to those discussed in Southern Company’s Annual Report on Form 10‐K for the year ended December 31, 2015, and subsequent securities filings, could cause actual results to differ materially from management expectations as suggested by such forward‐looking information: the impact of recent and future federal and state regulatory changes, including legislative and regulatory initiatives regarding deregulation and restructuring of the electric utility industry, environmental laws regulating emissions, discharges, and disposal to air, water, and land, and also changes in tax and other laws and regulations to which Southern Company and its subsidiaries are subject, as well as changes in application of existing laws and regulations; current and future litigation, regulatory investigations, proceedings, or inquiries, including, without limitation, Internal Revenue Service and state tax audits; the effects, extent, and timing of the entry of additional competition in the markets in which Southern Company's subsidiaries operate; variations in demand for electricity, including those relating to weather, the general economy and recovery from the last recession, population and business growth (and declines), the effects of energy conservation and efficiency measures, including from the development and deployment of alternative energy sources such as self-generation and distributed generation technologies, and any potential economic impacts resulting from federal fiscal decisions; available sources and costs of fuels; effects of inflation; the ability to control costs and avoid cost overruns during the development and construction of facilities, which include the development and construction of generating facilities with designs that have not been finalized or previously constructed, including changes in labor costs and productivity, adverse weather conditions, shortages and inconsistent quality of equipment, materials, and labor, contractor or supplier delay, non-performance under construction, operating or other agreements, operational readiness, including specialized operator training and required site safety programs, unforeseen engineering or design problems, start-up activities (including major equipment failure and system integration), and/or operational performance (including additional costs to satisfy any operational parameters ultimately adopted by any Public Service Commission (“PSC”)); the ability to construct facilities in accordance with the requirements of permits and licenses, to satisfy any environmental performance standards and the requirements of tax credits and other incentives, and to integrate facilities into the Southern Company system upon completion of construction; investment performance of Southern Company's employee and retiree benefit plans and the Southern Company system's nuclear decommissioning trust funds; advances in technology; state and federal rate regulations and the impact of pending and future rate cases and negotiations, including rate actions relating to fuel and other cost recovery mechanisms; legal proceedings and regulatory approvals and actions related to Plant Vogtle Units 3 and 4, including Georgia PSC approvals and Nuclear Regulatory Commission actions and related legal proceedings involving the commercial parties; actions related to cost recovery for the integrated coal gasification combined cycle facility under construction in Kemper County, Mississippi (“Kemper IGCC”), including the ultimate impact of the 2015 decision of the Mississippi Supreme Court, the Mississippi PSC's December 2015 rate order, and related legal or regulatory proceedings, Mississippi PSC review of the prudence of Kemper IGCC costs and approval of further permanent rate recovery plans, actions relating to proposed securitization, satisfaction of requirements to utilize grants, and the ultimate impact of the termination of the proposed sale of an interest in the Kemper IGCC to South Mississippi Electric Power Association; the ability to successfully operate the electric utilities' generating, transmission, and distribution facilities and the successful performance of necessary corporate functions; the inherent risks involved in operating and constructing nuclear generating facilities, including environmental, health, regulatory, natural disaster, terrorism, and financial risks; the performance of projects undertaken by the non-utility businesses and the success of efforts to invest in and develop new opportunities; internal restructuring or other restructuring options that may be pursued; potential business strategies, including acquisitions or dispositions of assets or businesses, which cannot be assured to be completed or beneficial to Southern Company or its subsidiaries; the expected timing, likelihood, and benefits of completion of the proposed acquisition of AGL Resources, including the failure to receive, on a timely basis or otherwise, the required approvals by government or regulatory agencies (including the terms of such approvals), the possibility that long-term financing for the acquisition may not be put in place prior to the closing, the risk that a condition to closing of the acquisition or funding of the bridge financing may not be satisfied, the possibility that the anticipated benefits from the acquisition cannot be fully realized or may take longer to realize than expected, the possibility that costs related to the integration of Southern Company and AGL Resources will be greater than expected, the credit ratings of the combined company or its subsidiaries may be different from what the parties expect, the ability to retain and hire key personnel and maintain relationships with customers, suppliers, or other business partners, the diversion of management time on acquisition-related issues, and the impact of legislative, regulatory, and competitive changes; the ability of counterparties of Southern Company and its subsidiaries to make payments as and when due and to perform as required; the ability to obtain new short- and long-term contracts with wholesale customers; the direct or indirect effect on the Southern Company system's business resulting from cyber intrusion or terrorist incidents and the threat of terrorist incidents; interest rate fluctuations and financial market conditions and the results of financing efforts; changes in Southern Company's and any of its subsidiaries' credit ratings, including impacts on interest rates, access to capital markets, and collateral requirements; the impacts of any sovereign financial issues, including impacts on interest rates, access to capital markets, impacts on currency exchange rates, counterparty performance, and the economy in general, as well as potential impacts on the benefits of the U.S. Department of Energy loan guarantees; the ability of Southern Company's subsidiaries to obtain additional generating capacity (or sell excess generating capacity) at competitive prices; catastrophic events such as fires, earthquakes, explosions, floods, hurricanes and other storms, droughts, pandemic health events such as influenzas, or other similar occurrences; the direct or indirect effects on the Southern Company system's business resulting from incidents affecting the U.S. electric grid or operation of generating resources; and the effect of accounting pronouncements issued periodically by standard-setting bodies. Southern Company expressly disclaims any obligation to update any forward‐looking information.

2

Vogtle 3&4 Construction Update Recent Progress

Unit 3 Placed concrete in Shield Building course 2 panels Installation of component cooling water pumps Unit 4 Concrete placed for the roof slab of the turbine building Started construction of Annex Building Major Modules Ongoing assembly of CA02 (Unit 3), CA03 (Unit 3), CA01

(Unit 4), and CA05 (Unit 4)

3

Near Term Unit 3 • Placement of the 300-ton deaerator for Unit 3 • Receive first reactor coolant pump Unit 4 • Setting the CA05 module • Complete cooling tower veil On the Horizon • CA20 ready for hook • All CA01 (Unit 4) sub-modules delivered to site

• Refractory modifications and improvements progressing

• Gasifier ‘B’ Fluidization and Refractory Cure complete

• Expect first syngas using gasifier ‘B’ on the horizon

• Expect initial syngas power production later this summer

Kemper Project Update

4

Q1

Reported Earnings Per Share $0.53

Impact of increase in Kemper cost estimate $0.04

Acquisition costs $0.01

Earnings Per Share x-items $0.58

5

2016 Earnings Results

*

* Not a measure of financial performance under GAAP.

Q1 2016 vs. Q1 2015 Adjusted EPS Drivers

6

Note: 2016 YTD net income excludes $33 million estimated loss on Kemper IGCC (4¢) and $14 million in acquisition costs (1¢). 2015 YTD excludes $6 million estimated loss on Kemper IGCC.

Q1 2015 Q1 2016

$0.56 $0.58

+8¢+4¢ -3¢

-6¢

Retail Revenue Impacts

Weather Other Income &

Deductions

Traditional Operating

Companies +2¢

-1¢-1¢

Parent & Other

+1¢

Retail Sales

Non-fuel O&M

D&A

+2¢

Southern Power

-2¢

Interest Expense

Other Operating Revenues

Wholesale Operations

-1¢+1¢

Retail Sales Growth vs. Prior Year

Residential Commercial Industrial Total Retail Sales

5 Consecutive Quarters of Commercial Sales Growth Commercial Sales Growth % vs. Prior Year

Quarter-to-date

-7.2% 1.4% -0.7% 0.8% -0.8% -1.0% -3.0% 0.4%

As Reported Weather Normal

7

• Strong regional market fundamentals signaling continued economic expansion

• Added over 14K residential customers

• Atlanta’s office market vacancy rate lowest

since 2008

0.7% 0.7%1.0%

1.3%

0.8%

1Q15 2Q15 3Q15 4Q15 1Q16

Note: Weather Adjusted Retail Sales Growth also reflects adjustment of 2015 KWH sales consistent with Mississippi Power’s updated methodology to estimate the unbilled revenue allocation among customer classes implemented in the first quarter 2015

8 8

Dividend Objective: Regular, Predictable, Sustainable

$0.00

$0.50

$1.00

$1.50

$2.00

$2.50

1948 1952 1956 1960 1964 1968 1972 1976 1980 1984 1988 1992 1996 2000 2004 2008 2012 2016

68 consecutive years of dividends equal to or greater than the previous year

(15 years of consecutive dividend increases)

Dividends Per Share Paid

Note: Future dividends are subject to approval of the Southern Company Board of Directors

2017 2018 2016 - 2018Issued Remaining Total Projected Projected Total

Projected Debt IssuancesGeorgia Power DOE Loan - 450 450 350 275 1,075 Mississippi Power Bank Debt(1) 1,200 - 1,200 - - 1,200 Mississippi Power Securitization - - - 1,000 - 1,000

Capital MarketsAlabama Power 400 - 400 600 300 1,300 Georgia Power 650 - 650 700 1,000 2,350 Gulf Power - 275 275 100 - 375 Mississippi Power - - - 1,000 250 1,250 Southern Power(2) - 1,200 1,200 500 500 2,200 Parent(3) - 8,000 8,000 - 750 8,750

Total Capital Markets 1,050 9,475 10,525 2,900 2,800 16,225

Total Debt Issuances 2,250 9,925 12,175 4,250 3,075 19,500

Common Equity Needs 270 930 1,200 - - 1,200

2016

~ ~

2016 – 2018 Projected Financing Plan *Amount and timing of financing is subject to change based upon numerous factors, including market conditions, regulatory approvals, the Southern Company system’s capital requirements and investment

opportunities available to Southern Company and its subsidiaries.

9

(1) Currently drawn $900 million with the remaining $300 million to be drawn in October 2016. (2) Includes $200 million, $250 million, and $500 million in financing associated with placeholder projects in 2016, 2017, and 2018, respectively. (3) Includes $400 million in financing associated with Southern Power placeholder projects in 2018.

*

$ in millions

Appendix

Generation Portfolio Diversity

11

Capacity Factors Q1 2015 2016

Coal - PRB 58% 51%

Coal - Non-PRB 29% 25%

Gas - Combined Cycle 74% 72%

Energy Mix Q1 2015 2016

Natural Gas 48% 50%

Coal 32% 25%

Nuclear 16% 17%

Hydro/Other 4% 8%

Georgia • Filed merger approval application on December 18, 2015• Evidentiary hearings held on March 15, 2016• Agreement approved unanimously; Merger approval received on April 14, 2016

Illinois • Filed merger approval application on October 8, 2015• Evidentiary hearings held on April 20, 2016• Settlement with RESA accepted• Settlement process with other interveners on-going

3rd Quarter

Maryland • Filed merger approval application on November 3, 2015• Evidentiary hearings held on March 1-2, 2016• Maryland Commission issued proposed order approving settlement, final approval_effective May 3rd

2nd Quarter

New Jersey • Filed merger approval application on October 16, 2015• Evidentiary hearings scheduled for May 17 – May 20, 2016 3rd Quarter

Virginia • Filed merger approval application on October 26, 2015• Merger approval received on February 23, 2016

California • Filed merger approval application on November 9, 2015• Merger approval received on March 17, 2016

Status of Major State Filings for AGL Resources Merger

12

The waiting period under the Hart-Scott-Rodino Antitrust Improvements Act expired on December 4, 2015

13

2016 Earnings Per Share

Q2 Estimate = $0.70 per share

Vogtle 3&4 Supplemental Information Report Filed April 5, 2016 in Docket 29849

14

Author Theme Paul Bowers CEO of Georgia Power Letter of Introduction

Nathan Deal Governor of Georgia Letter of support

Saxby Chambliss Former U.S. Senator Shares perspective on how Vogtle advances state and federal interests

Norman Fletcher Former Chief Justice of the Georgia Supreme Court Provides a standard of prudence

Dr. Chip Wright Former North Carolina Utilities Commissioner Compares the SCANA prudence review with the current Vogtle review

Peter Wang Construction Litigator and Arbitrator Shows the reasonableness and prudence of the major claims settlement

Loren Plisco Former NRC Executive Explains how the licensing of Vogtle 3&4 was a success for owners and the NRC

Charles L. Huston Nuclear Construction Consultant Validates the prudence of the key decisions made on the project

Richard Sieracki and Mark Gentry Kenrich Group (Schedule Experts) Analysis of the project schedule showing it could not have

been reasonably or prudently shortened

http://www.psc.state.ga.us/factsv2/Document.aspx?documentNumber=162918

2016 – 2018 CapEx Forecast – by Function

$ $ $ $

15 Note: Totals may not foot due to rounding

Total $billions 2016 2017 2018 '16-'18

New Generation 1.2 0.7 0.4 2.3 Environmental 0.7 0.5 0.6 1.8 Generation Maintenance 1.0 0.7 0.7 2.5 Transmission 0.6 0.7 0.7 2.0 Distribution 0.8 0.9 0.9 2.5 Nuclear Fuel 0.2 0.3 0.3 0.8 Other 0.4 0.4 0.4 1.1 Traditional OpCo Total 4.9 4.1 3.9 13.0

Southern Power Base 1.6 0.1 0.1 1.9 Southern Power Placeholders 0.8 0.9 1.4 3.1

Total 7.3 5.2 5.5 17.9

2016 – 2018 CapEx Forecast – by Company

$ $ $ $

16 Note: Totals may not foot due to rounding

Total $billions 2016 2017 2018 '16-'18

Alabama Power 1.3 1.3 1.3 3.9 Georgia Power 2.5 2.4 2.1 7.0 Gulf Power 0.2 0.2 0.2 0.6 Mississippi Power 0.8 0.2 0.3 1.3 Other Subsidiaries 0.1 0.1 0.0 0.2 Traditional OpCo Total 4.9 4.1 3.9 13.0

Southern Power Base 1.6 0.1 0.1 1.9 Southern Power Placeholders 0.8 0.9 1.4 3.1

Total 7.3 5.2 5.5 17.9

Asset Size (MW)

SPC Ownership (MW) Location Original

PPA Term Offtaker COD Date Technology

Cimarron 31 28 Colfax Co., NM 25 years Tri State Dec-2010 First Solar Thin Film (Fixed)

Apex 20 18 N. Las Vegas, NV 25 years NVE Jul-2012 Trina Crystalline (ATI Trackers)

Granville 3 2 Oxford, NC 20 years Duke Energy Oct-2012 MEMC Crystalline (ATI Trackers)

Spectrum 30 27 N. Las Vegas, NV 25 years NVE Sep-2013 MEMC Crystalline (ATI Trackers)

Campo Verde 147 133 Imperial Co., CA 20 years SDG&E Oct-2013 First Solar Thin Film (Fixed)

Adobe 20 18 Kern Co., CA 20 years SCE May-2014 MEMC Crystalline (Gestamp Trackers)

Macho Springs 55 50 Luna Co., NM 20 years El Paso Electric May-2014 First Solar Thin Film (FS trackers) Imperial Valley (Solar

Gen 2) 163 83 Imperial Co., CA 25 years SDG&E Nov-2014 First Solar Thin Film (FS trackers)

Lost Hills-Blackwell 33 17 Kern Co., CA 29 years 4 yr. Roseville/25 yr. PG&E Apr-2015 FS Series 3 Black Plus (FS Trackers)

North Star 62 31 Fresno Co., CA 20 years PG&E Jun-2015 First Solar Thin Film (FS Trackers)

Nacogdoches 116 116 Sacul, TX 20 years Austin Energy Jun-2012 Biomass

Decatur Parkway 84 84 Decatur Co., GA 25 years Georgia Power Dec-2015 First Solar Thin Film (FS Trackers)

Decatur County 20 20 Decatur Co., GA 20 years Georgia Power Dec-2015 Jinko Crystalline (Tracker)

Pawpaw 30 30 Taylor Co., GA 30 years Georgia Power Mar-2016 Trina Crystalline

Butler (Strata) 22 22 Taylor Co., GA 20 years Georgia Power Feb-2016 FS Series 3 Black Plus Fixed

Morelos del Sol 15 14 Kern Co., CA 20 years PG&E Nov-2015 Solar Frontier Thin Film (Clavijo)

Calipatria 20 18 Imperial Co. CA 20 years SDG&E Feb-2016 Solar Frontier Thin Film (Clavijo)

Kay Wind 299 299 Kay Co., OK 20 years Westar (199 MW) GRDA (100 MW) Dec-2015 130WT’s Siemens

Grant Wind 152 152 Grant Co., OK 20 years E. TX EC/NE. TX EC/W. Farmers EC Apr-2016 66 WT’s Siemens Subtotal –

Operating Assets 1,322 1,162

Southern Power Renewable Portfolio – Operational Assets

17

Asset Size (MW)

SPC Ownership (MW) Location Original

PPA Term Offtaker COD Date Technology

Sandhills - Taylor County (EMCs) 147 147 Taylor Co., GA 25 years Cobb, Flint, Irwin, Middle Georgia and

Sawnee EMC’s Q4-2016 First Solar Thin Film (FS Trackers)

Butler (Community) 104 104 Taylor Co., GA 30 years Georgia Power Q4-2016 First Solar Thin Film (FS Trackers)

Desert Stateline 300 198 San Bernardino, CA 20 years SCE Q3-2016 First Solar Thin Film (Fixed)

Tranquillity 205 105 Fresno Co., CA 18 years Shell Energy & SCE Q3-2016 Polycrystalline (Tracking)

Garland & Garland A 205 105 Kern Co., CA 15 & 20 years SCE Q3&Q4-2016 Multicrystalline (Tracking)

Roserock 160 82 Pecos Co., TX 20 years Austin Energy Q4-2016 Multicrystalline (Tracking)

East Pecos 120 120 Pecos Co., TX 15 years Austin Energy Q4-2016 First Solar Thin Film (FS Trackers)

Subtotal - Under Construction 1,241 861

Grand Total 2,563 2,023

Southern Power Renewable Portfolio – Projects Under Construction

18

Senior Unsecured (Moody’s/S&P/Fitch)

Southern Company Baa1/BBB+/A

(N/N/N*)

Alabama Power A1/A-/A+ (S/N/S)

Georgia Power A3/A-/A+ (S/N/S)

Gulf Power A2/A-/A (S/N/S)

Mississippi Power Baa3/BBB+/A-

(N/N/N)

Southern Power Baa1/BBB+/BBB+

(S/N/S)

Note: A securities rating is not a recommendation to buy, sell or hold securities and may be subject to revision or withdrawal at any time. The graphic above represents a simplified diagram highlighting major SO issuing entities. S – Stable outlook, N – Negative Outlook, N* - Negative Watch 19

Southern Company and Subsidiary Ratings

(1) $776 million of Mississippi Power intercompany loans, maturing in 2017, are eliminated at the consolidated level

Long-term Debt Maturity Schedule $ in millions - as of 3/31/2016

20

2016 2017 2018 2019 2020

SO Consolidated Long-Term Debt Maturities 2016-2020

$9,235

2016 2017 2018 2019 2020 Alabama Power - 561 - 200 250 Georgia Power 450 450 750 500 37 Gulf Power 110 85 - - 175

Mississippi Power (1) 300 811 900 125 7 Southern Power 400 500 350 - 300 Parent 500 800 500 350 600 SO Consolidated (1) 1,760 2,431 2,500 1,175 1,369

• Maturity of syndicated credit facilities is 2020 with total available credit of $4.4 billion • Concurrent with the syndication of the AGL Resources bridge facility, added an additional $1 billion credit facility at the parent

level which matures in 2018

Southern Company Liquidity and Credit $ in millions - as of 3/31/2016

21

(1) Does not include $8.1 billion AGL Resources acquisition bridge facility (2) Other includes balance amounts from non-SEC reporting subsidiaries including SEGCO, Southern Nuclear, SouthernLINC and others (3) Includes Cash and Cash Equivalents; subject to revision prior to filing Southern Company first Quarter 2016 10-Q (4) PCB Floaters include all variable rate pollution control revenue bonds outstanding

2016 2017 2018 2019 2020 Total Consolidated Credit Facilities Expirations(1) $ 390 $ 40 $ 1,665 $ - $ 4,400 $ 6,495

Alabama Power Georgia Power Gulf Power Mississippi Power Parent(1) Southern Power Other(2) SO Consolidated

Unused Credit Lines 1,340 1,732 280 180 2,250 560 70 6,412 Cash(3) 409$ 70$ 45$ 56$ 7$ 54$ 94$ 734$ Total 1,749 1,802 325 236 2,257 614 164 7,146

Less: Outstanding CP - - 57 - 661 - 41 758 Less: PCBs Floaters(4) 810 868 82 40 - - - 1,801 Net Available Liquidity 939$ 934$ 186$ 196$ 1,597$ 614$ 123$ 4,588$