I recommend playing the newest alpha. The new alpha rules allow scrambling from not island airbases as well, which I believe is huge. The entire flavor of the game is changed with the new alpha rules VS out of box. Also out of Box I think UK just falls to sea lion everytime…
theROCmonster, he is playing the G40 2nd edition (recently released). The OOB rules include the the newest Alpha (nicknamed Alpha 3.9) with the couple changes Port Hardcore mentioned. I guess you could call OOB 2nd edition Alpha+4, or the final Alpha.
I would go OOB 2nd edition instead of Alpha+3.9, like kcdzim said. The changes between the two were minor compared to the changes that took place through the Alpha project (like the scramble rules from Alpha+1 allowing all airbases to scramble, but only 3 units). 1 UK inf missing in Egypt surprised many ppl thinking the game is axis bias, but like he said it probably balances the Med which is a battle with-in the war. Adding Korea to the Nap just makes sense.
What I would do is play OOB 2nd ED a few times, and decide for yourself which side has an edge (every group is different), keeping in mind that the allies have a longer learning curve and it normally takes a few games for them to figure things out. If in the first game you lose Moscow in turn 6-7, then figure out what the allies need to do to save/delay that in the next game. I would also plan for a two day game the first time LOL (2-10 hour sessions).