Stockholders' Equity

3 Months Ended

Mar. 31, 2015

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 effect of both stock options and performance share award units was determined using the treasury stock method. Shares used to compute diluted earnings per share were as follows:

	Three Months Ended March 31, 2015	Three Months Ended March 31, 2014
	(in millions)
As reported shares	910	890
Effect of options and performance share award units	5	3
Diluted shares	915	893

Stock options and performance share award units that were not included in the diluted earnings per share calculation because they were anti-dilutive were immaterial for the three months ended March 31, 2015 and were 17 million for the three months ended March 31, 2014.

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							Noncontrolling Interest
	(in thousands)			(in millions)
Balance at December 31, 2014	908,502	(725	)	$	19,949		$	756	$	221	$	20,926
Net income after dividends on preferred and preference stock	—	—		508			—		—		508
Other comprehensive income (loss)	—	—		(15		)	—		—		(15		)
Stock issued	3,094	—		112			—		—		112
Stock-based compensation	—	—		53			—		—		53
Stock repurchased, at cost	—	(2,599	)	(115		)	—		—		(115		)
Cash dividends on common stock	—	—		(478		)	—		—		(478		)
Other	—	(11	)	3			—		—		3
Balance at March 31, 2015	911,596	(3,335	)	$	20,017		$	756	$	221	$	20,994
Balance at December 31, 2013	892,733	(5,647	)	$	19,008		$	756	$	—	$	19,764
Net income after dividends on preferred and preference stock	—	—		351			—		—		351
Other comprehensive income (loss)	—	—		2			—		—		2
Treasury stock re-issued	—	2,404		111			—		—		111
Stock issued	1,340	—		53			—		—		53
Stock repurchased, at cost	—	—		(4		)	—		—		(4		)
Cash dividends on common stock	—	—		(451		)	—		—		(451		)
Other	—	(18	)	—			—		—		—
Balance at March 31, 2014	894,073	(3,261	)	$	19,070		$	756	$	—	$	19,826

Stock Repurchased

On March 2, 2015, Southern Company announced a program to repurchase up to 20 million shares of Southern Company common stock to offset all or a portion of the incremental shares issued under its employee and director equity compensation plans, including through stock option exercises, until December 31, 2017. Under this program, approximately 2.6 million shares have been repurchased through March 31, 2015 at a total cost of approximately $115 million. Pursuant to board approval, Southern Company may repurchase shares through open market purchases or privately negotiated transactions, including accelerated or other share repurchase programs, in accordance with applicable securities laws.