at a glance. SUBSIDIARIES AND AFFILIATES: ALABAMA POWER, GEORGIA POWER, GULF POWER, MISSISSIPPI POWER, SAVANNAH ELECTRIC, SOUTHERN NUCLEAR, SOUTHERN POWER, SOUTHERN COMPANY GAS, SOUTHERN COMPANY ENERGY SOLUTIONS, SOUTHERN LINC, SOUTHERN TELECOM  Regulated Utilities  Electric utilities in Alabama, Florida, Georgia, and Mississippi. Generation, transmission, and distribution of  electricity to 4 million retail customers.  Competitive Generation Generation and sale of electricity to wholesale customers in the Southeast.  Products and Services Energy-related products and services for retail customers in the Southeast. Industry leader in customer satisfaction. Added 70,000 customers. Electricity use  by retail customers up  4.5 percent.  Plant Franklin Unit 1 and  Plant Wansley Units 6 and 7 began commercial operation. Earnings of $168 million, ahead of goal.  Entered retail natural gas market in Georgia. Strong earnings from outdoor lighting, appliance sales, and Southern LINC wireless businesses.  Continue to lead the industry in service and customer  satisfaction. Continue to earn returns in the top quartile of the industry. Contribute earnings of more than $200 million by 2005.  Develop and manage  innovative energy-related business lines that will  produce $35 million annual net income by 2004.  Demand growth expected to be about 3.5 percent a year. Customer growth expected  to be about 1.5 percent.  About 2,200 megawatts of competitive generation capacity, backed by long-term contracts, scheduled to go on line this year. Consumer demand for  reliability, convenience,  and enhanced products and  services creates opportunities through existing customer relationships and sales  channels.  Major Businesses 2002 Highlights Goals Looking Ahead 6 SO 2OO2 Super Southeast • Service Territory • Competitive Generation Opportunities