Stockholders' Equity

9 Months Ended

Sep. 30, 2013

Equity [Abstract]

STOCKHOLDERS' EQUITY

STOCKHOLDERS' EQUITY

Earnings per Share

For Southern Company, the only difference in computing basic and diluted earnings per share is attributable to awards outstanding under the stock option and performance share plans. See Note 8 to the financial statements of Southern Company in Item 8 of the Form 10-K for information on the stock option and performance share plans. The effects of both stock options and performance share award units were determined using the treasury stock method. Shares used to compute diluted earnings per share were as follows:

	Three Months Ended September 30, 2013	Three Months Ended September 30, 2012	Nine Months Ended September 30, 2013	Nine Months Ended September 30, 2012
	(in millions)
As reported shares	878	876	874	872
Effect of options and performance share award units	3	7	5	8
Diluted shares	881	883	879	880

Stock options and performance share award units that were not included in the diluted earnings per share calculation because they were anti-dilutive were 16 million and 1 million for the three and nine months ended September 30, 2013, respectively, and were immaterial for the three and nine months ended September 30, 2012.

Changes in Stockholders' Equity

The following table presents year-to-date changes in stockholders' equity of Southern Company:

	Number of Common Shares			Common Stockholders' Equity			Preferred and Preference Stock of Subsidiaries		Total Stockholders' Equity
	Issued	Treasury
	(in thousands)						(in millions)
Balance at December 31, 2012	877,803	(10,035	)	$	18,297		$	707	$	19,004
Net income after dividends on preferred and preference stock	—	—		1,230			—		1,230
Other comprehensive income (loss)	—	—		11			—		11
Treasury stock re-issued	—	1,956		89			—		89
Stock issued	12,046	—		484			49		533
Stock repurchased, at cost	—	—		(19		)	—		(19		)
Cash dividends on common stock	—	—		(1,314		)	—		(1,314		)
Other	—	(30	)	—			—		—
Balance at September 30, 2013	889,849	(8,109	)	$	18,778		$	756	$	19,534
Balance at December 31, 2011	865,664	(539	)	$	17,578		$	707	$	18,285
Net income after dividends on preferred and preference stock	—	—		1,967			—		1,967
Other comprehensive income (loss)	—	—		(1		)	—		(1		)
Stock issued	11,586	—		479			—		479
Stock repurchased, at cost	—	(2,567	)	(117		)	—		(117		)
Cash dividends on common stock	—	—		(1,267		)	—		(1,267		)
Other	—	(38	)	—			—		—
Balance at September 30, 2012	877,250	(3,144	)	$	18,639		$	707	$	19,346

In July 2012, Southern Company announced a program to repurchase shares to partially offset the incremental shares issued under its employee and director stock plans. There were no repurchases under this program in the first nine months of 2013 and no further repurchases under the program are anticipated.