Derivatives (Tables)

3 Months Ended

Mar. 31, 2012

Derivatives [Abstract]

Energy-related derivative contracts

	Power			Gas
	Net (Sold) MWHs	Longest Hedge Date	Longest Non-Hedge Date	Net Purchased mmBtu	Longest Hedge Date	Longest Non-Hedge Date
	(in millions)			(in millions)
Southern Company	(0.1)	—	2012	221	2017	2017
Alabama Power	—	—	—	37	2017	—
Georgia Power	—	—	—	85	2017	—
Gulf Power	—	—	—	43	2017	—
Mississippi Power	—	—	—	28	2017	—
Southern Power	(0.1)	—	2012	28	2012	2017

Notional amount of interest rate derivatives

	Notional Amount	Interest Rate   Received	Interest Rate   Paid	Hedge Maturity Date	Fair Value Gain (Loss)   March 31, 2012
	(in millions)				(in millions)
Cash flow hedges of forecasted transactions
Alabama Power	$300	3-month LIBOR	2.90%*	December 2022	$(10)
Fair value hedges of existing debt
Southern Company	350	4.15%	3-month LIBOR + 1.96%*	May 2014	14
Total	$650				$  4

* Weighted Average

Total deferred gains and losses are expected to be amortized into earnings

Registrant	Estimated Gain (Loss) to be Reclassified for the 12 Months Ending March 31, 2013	Total Deferred Gains (Losses) Amortized Through
	(in millions)
Southern Company	$(16)	2037
Alabama Power	1	2035
Georgia Power	(3)	2037
Gulf Power	(1)	2020
Mississippi Power	(1)	2022
Southern Power	(11)	2016

Outstanding foreign currency derivatives

	Notional Amount	Forward Rate	Hedge Maturity Date	Fair Value Gain (Loss) March 31, 2012
	(in millions)			(in millions)
Fair value hedges of firm commitments
Mississippi Power	EUR6.8	1.3805 Dollars per Euro*	Various through March 2014	$—
Derivatives not designated as hedges
Mississippi Power	EUR18.1	1.3209 Dollars per Euro*	N/A	—
Total	EUR24.9			$—

* Weighted Average

Fair value of energy-related derivatives and interest rate derivatives

Asset Derivatives at March 31, 2012
	Fair Value
Derivative Category and Balance Sheet Location	Southern Company	Alabama Power	Georgia Power	Gulf Power	Mississippi Power	Southern   Power
	(in millions)
Derivatives designated as hedging instruments for regulatory purposes
Energy-related derivatives:
Other current assets	$17	$—	$17	$—	$—
Other deferred charges and assets	6	1	5	—	—
Total derivatives designated as hedging instruments for regulatory purposes	$23	$  1	$22	$—	$—	N/A
Derivatives designated as hedging instruments in cash flow and fair value hedges
Interest rate derivatives:
Other current assets	$  6	$—	$—	$—	$—	$—
Other deferred charges and assets	8	—	—	—	—	—
Total derivatives designated as hedging instruments in cash flow and fair value hedges	$14	$—	$—	$—	$—	$—
Derivatives not designated as hedging instruments
Energy-related derivatives:
Other deferred charges and assets	$  1	$—	$—	$—	$—	$  1
Foreign currency derivatives
Other current assets	1	—	—	—	1	—
Total derivatives not designated as hedging instruments	$  2	$—	$—	$—	$  1	$  1
Total asset derivatives	$39	$  1	$22	$—	$  1	$  1

Liability Derivatives at March 31, 2012
	Fair Value
Derivative Category and Balance Sheet Location	Southern   Company	Alabama Power	Georgia Power	Gulf Power	Mississippi Power	Southern   Power
	(in millions)
Derivatives designated as hedging instruments for regulatory purposes
Energy-related derivatives:
Liabilities from risk management activities	$191	$41	$  80	$31	$39
Other deferred credits and liabilities	81	13	28	23	17
Total derivatives designated as hedging instruments for regulatory purposes	$272	$54	$108	$54	$56	N/A
Derivatives designated as hedging instruments in cash flow and fair value hedges
Energy-related derivatives:
Liabilities from risk management activities	$    2	$—	$  —	$—	$—	$    2
Interest rate derivatives:
Liabilities from risk management activities	10	10	—	—	—	—
Total derivatives designated as hedging instruments in cash flow and fair value hedges	$  12	$10	$  —	$—	$—	$    2
Derivatives not designated as hedging instruments
Energy-related derivatives:
Liabilities from risk management activities	$  15	$—	$  —	$—	$—	$  15
Foreign currency derivatives:
Liabilities from risk management activities	1	—	—	—	1	—
Total derivatives not designated as hedging instruments	$  16	$—	$  —	$—	$  1	$  15
Total liability derivatives	$300	$64	$108	$54	$57	$  17

Pre-tax effect of unrealized derivative gains (losses)

Regulatory Hedge Unrealized Gain (Loss) Recognized on the Balance Sheet
Derivative Category and Balance Sheet Location	Southern Company	Alabama Power	Georgia Power	Gulf Power	Mississippi Power
	(in millions)
Energy-related derivatives:
Other regulatory assets, current	$(191)	$(41)	$(80)	$(31)	$(39)
Other regulatory assets, deferred	(81)	(13)	(28)	(23)	(17)
Other regulatory liabilities, current	17	—	17	—	—
Other regulatory liabilities, deferred	6	1	—	—	—
Other deferred credits and liabilities*	—	—	5	—	—
Total energy-related derivative gains (losses)	$(249)	$(53)	$(86)	$(54)	$(56)

* Georgia Power includes Other regulatory liabilities, deferred in Other deferred credits and liabilities.

Pre-tax effect of derivatives designated as cash flow hedging instruments

Derivatives in Cash Flow	Gain (Loss) Recognized in OCI on Derivative		Gain (Loss) Reclassified from Accumulated OCI into Income (Effective Portion)
Hedging Relationships	(Effective Portion)		Statements of Income Location	Amount
	2012	2011		2012	2011
	(in millions)			(in millions)
Southern Company
Energy-related derivatives	$     (1)	$       1	Fuel	$            —	$            —
Interest rate derivatives	6	4	Interest expense, net of amounts capitalized	(3)	(5)
Total	$      5	$       5		$            (3)	$            (5)
Alabama Power
Interest rate derivatives	$      7	$       4	Interest expense, net of amounts capitalized	$            —	$            —
Georgia Power
Interest rate derivatives	$    —	$    —	Interest expense, net of amounts capitalized	$            (1)	$            (1)
Gulf Power
Interest rate derivatives	$    —	$    —	Interest expense, net of amounts capitalized	$            —	$            —
Mississippi Power
Interest rate derivatives	$    (1)	$    —	Interest expense, net of amounts capitalized	$            —	$            —
Southern Power
Energy-related derivatives	$    (1)	$       1	Fuel	$            —	$            —
Interest rate derivatives	—	—	Interest expense, net of amounts capitalized	(2)	(3)
Total	$    (1)	$       1		$            (2)	$            (3)

Fair value of derivative liabilities with contingent features

	Southern Company	Alabama Power	Georgia Power	Gulf Power	Mississippi Power	Southern Power
			(in millions)
Derivative liabilities	$36	$9	$10	$7	$6	$4