| Issuer: | Alabama Power Company |
| Security: | Series 2017B 3.700% Senior Notes due December 1, 2047 |
| Expected Ratings:* | A1(Stable)/A-(Negative)/A+(Stable) (Moody’s/Standard & Poor’s/Fitch) |
| Size: | $550,000,000 |
| Initial Public Offering Price: | 99.871% |
| Maturity Date: | December 1, 2047 |
| Benchmark Treasury: | 3.000% due May 15, 2047 |
| Benchmark Treasury Yield: | 2.832% |
| Spread to Benchmark Treasury: | 87.5 basis points |
| Re-Offer Yield: | 3.707% |
| Optional Redemption: | |
| Make-Whole Call: | Prior to June 1, 2047 at T+15 basis points |
| Par Call: | On or after June 1, 2047 at 100% |
| Coupon: | 3.700% |
| Interest Payment Dates: | June 1 and December 1 of each year, beginning June 1, 2018 |
| Format: | SEC Registered |
| Denominations: | $2,000 and integral multiples of $1,000 in excess thereof |
| CUSIP/ISIN: | 010392 FR4/US010392FR41 |
| Trade Date: | November 2, 2017 |
| Expected Settlement Date: | November 8, 2017 (T+4) |
| Joint Book-Running Managers: | Citigroup Global Markets Inc. MUFG Securities Americas Inc. Scotia Capital (USA) Inc. SunTrust Robinson Humphrey, Inc. U.S. Bancorp Investments, Inc. |
| Co-Managers: | CIBC World Markets Corp. PNC Capital Markets LLC Regions Securities LLC The Williams Capital Group, L.P. Guzman & Company Penserra Securities LLC Samuel A. Ramirez & Company, Inc. |
