AL 2015B FWP


Filed Pursuant to Rule 433
Registration No. 333-194227
April 9, 2015

PRICING TERM SHEET
(To Preliminary Prospectus Supplement dated April 9, 2015)
Issuer:
Alabama Power Company
Format:
SEC Registered
Security:
Series 2015B 2.800% Senior Notes due April 1, 2025
Expected Ratings:*
A1(Stable)/A (Negative)/A+ (Stable) (Moody’s/Standard & Poor’s/Fitch)
Trade Date:
April 9, 2015
Expected Settlement Date:
April 14, 2015 (T+3)
Size:
$250,000,000
Maturity Date:
April 1, 2025
Interest Payment Dates:
April 1 and October 1 of each year, beginning October 1, 2015
Coupon:
2.800%
Initial Public Offering Price:
99.888%
Benchmark Treasury:
2.000% due February 15, 2025
Benchmark Treasury Yield:
1.963%
Spread to Benchmark Treasury:
+85 basis points
Re-Offer Yield:
2.813%
Optional Redemption:
 
     Make-Whole Call:
     Par Call:
Prior to January 1, 2025 at T+15 basis points
On or after January 1, 2025 at 100%
CUSIP/ISIN:
010392FN3/US010392FN37
Joint Book-Running Managers:
Citigroup Global Markets Inc.
J.P. Morgan Securities LLC
Scotia Capital (USA) Inc.
Wells Fargo Securities, LLC
Co-Managers:
BB&T Capital Markets, a division of BB&T Securities, LLC
Commerz Markets LLC
Regions Securities LLC
Mischler Financial Group, Inc.
Samuel A. Ramirez & Company, Inc.
Concurrent Offering:
$175,000,000 additional amount of Alabama Power Company’s Series 2015A 3.750% Senior Notes due March 1, 2045, expected to be issued on April 14, 2015. The closing of the offering of the Series 2015B Senior Notes is not contingent on the closing of the concurrent offering.





*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 issuer has filed a registration statement (including a prospectus) with the SEC for the offering to which this communication relates. Before you invest, you should read the prospectus in that registration statement and other documents the issuer has filed with the SEC for more complete information about the issuer and this offering. You may get these documents for free by visiting EDGAR on the SEC website at www.sec.gov. Alternatively, the issuer, any underwriter or any dealer participating in the offering will arrange to send you the prospectus if you request it by calling Alabama Power Company collect at 1-205-257-2714, Citigroup Global Markets Inc. toll free at 1-800-831-9146, J.P. Morgan Securities LLC collect at 1-212-834-4533, Scotia Capital (USA) Inc. toll free at 1-800-372-3930 or Wells Fargo Securities, LLC toll free at 1-800-645-3751.