Montgomery, Alabama (October 24, 2007) -- Alfa Corp. today announced financial results for the three and nine months ended Sept. 30, 2007. Operating income for the quarter was $24,977,250, or $0.31 per diluted share, compared with operating income of $26,871,178, or $0.33 per diluted share, for the third quarter of 2006, a per share decrease of 7.6 percent. Net income, which includes net realized investment gains, was $25,119,350, or $0.31 per diluted share, for the third quarter of 2007, compared with $27,237,673, or $0.34 per diluted share in 2006, a per share decrease of 8.3 percent. Premiums and policy charges increased 3.7 percent to $179,386,267 for the third quarter of 2007.

For the nine months ended Sept. 30, 2007, operating income was $73,320,225 compared with operating income of $71,354,899 for the first nine months of 2006. On a per share basis, operating income increased 2.2 percent to $0.90 per diluted share for the nine-month period in 2007 compared with $0.88 per diluted share for the same period in 2006. After net realized investment gains, net income was $74,729,635, or $0.92 per diluted share, for the first nine months of 2007, compared with net income of $72,883,563, or $0.90 per diluted share, for the same period in 2006, a per share increase of 2.0 percent. Premiums and policy charges increased 4.7 percent to $536,949,278 for the first nine months of 2007.

During the third quarter of 2007, Alfa Corp. recorded a non-recurring loss resulting from its 41 percent ownership in MidCountry Financial Corp. Alfa Corp. accounts for this investment using the equity method. The loss at MidCountry resulted from loans originated and serviced by an independent mortgage lender headquartered in Florida. MidCountry Financial posted a loss in its mortgage portfolio primarily on loans originated by this mortgage lender, which also defrauded MidCountry Financial by misappropriating large principal payments on construction loans being serviced. The impact on Alfa Corp. of these combined non-recurring losses for the third quarter of 2007 was approximately $3,150,000 after-tax, or $0.04 per diluted share.

Alfa Corp. will host a conference call on Wednesday, Oct. 24, at 10:30 a.m. Eastern time. Investors and other interested parties may access the teleconference by calling 1-800-218-0713 (access code 11097382), or via links located here on Alfa's web site: http://www.alfains.com/script/InvestInAlfa/InvestInAlfa.asp. A 30-day Internet play of the call will also be available from Alfa's web site.

Alfa Corp. is engaged in insurance and financial activities through its subsidiaries. The common stock of Alfa Corp. is traded on the NASDAQ Global Select Market under the symbol ALFA.

The associated investor supplement package for the third quarter ended Sept. 30, 2007, may be found by clicking on the web cast link in the "Investor Relations" section of Alfa's web site and is also available at: http://www.irinfo.com/alfa/ALFA3q07tmi.pdf.

Investors are cautioned that statements in this press release which relate to the future are, by their nature, uncertain and dependent upon numerous contingencies - including political, economic, regulatory, climatic, competitive, legal, and technological - any of which could cause actual results and events to differ materially from those indicated in such forward-looking statements. Additional information regarding these and other risk factors and uncertainties may be found in Alfa Corp.'s filings with the Securities and Exchange Commission.