Southern Company today reported second quarter 2013 earnings of $297 million, or 34 cents per share, compared with earnings of $623 million, or 71 cents per share, in the second quarter of 2012.

For the six months ended June 30, 2013, earnings were $378 million, or 43 cents per share, compared with $991 million, or $1.14 per share, for the same period in 2012.

Earnings for the three and six months ended June 30, 2013, include after-tax charges of $278 million (32 cents per share) and $611 million (70 cents per share), respectively, related to increased cost estimates for the construction of Mississippi Power's Kemper County project. Earnings for the six months ended June 30, 2013, also include a $16 million (2 cents per share) after-tax charge related to the restructuring of a leveraged lease investment. Earnings for the three and six months ended June 30, 2012, include $21 million (2 cents per share) of insurance recovery related to the March 2009 litigation settlement agreement with MC Asset Recovery, LLC.

Excluding these items, Southern Company earned $575 million, or 66 cents per share, in the second quarter of 2013 compared with earnings of $602 million, or 69 cents per share, during the second quarter of 2012. For the first six months of 2013, excluding these items, Southern Company earned $1.01 billion, or $1.15 per share, compared with earnings of $970 million, or $1.12 per share, for the same period in 2012.

"Despite recent cost challenges, we are making great progress in the construction of the Kemper County energy facility," said Thomas A. Fanning, Southern Company chairman, president and CEO. "The company's investment in this innovative technology will help provide decades of clean, safe, reliable and affordable electricity to Mississippi Power customers."

The revised construction cost estimate reflects Mississippi Power's current analysis of the cost to complete the Kemper project. Mississippi Power's analysis will be ongoing throughout the project's construction.

Earnings were negatively influenced by milder weather in the second quarter of 2013 compared with the second quarter of 2012.

"Georgia experienced the second-most rainfall in 50 years during the second quarter," said Fanning. "The wet weather and unseasonably mild temperatures appear to have slowed economic activity, reduced energy demand and lowered margins due to increases in hydroelectric generation."

Second quarter 2013 operating revenues were $4.25 billion, compared with $4.18 billion for the same period in 2012, an increase of 1.6 percent. Year-to-date 2013 revenues were $8.14 billion, compared with $7.79 billion for the same period in 2012, a 4.6 percent increase.

Kilowatt-hour sales to retail customers in Southern Company's four-state service area decreased 2.9 percent in the second quarter of 2013 compared with the second quarter of 2012. Residential and commercial energy sales decreased 5.3 percent and 4.2 percent, respectively, while industrial energy sales increased 0.6 percent.

For the year to date, retail sales decreased 0.4 percent compared with the same period in 2012. Residential energy sales increased 1.2 percent, commercial energy sales decreased 1.7 percent and industrial energy sales decreased 0.7 percent.

Total energy sales to Southern Company's customers in the Southeast, including wholesale sales, decreased 4.6 percent in the second quarter of 2013 compared with the same period in 2012. For the year to date, total energy sales decreased 0.1 percent compared with the same period in 2012.