Without some extra help, BibTeX and natbib cannot tell that you're dealing with a "corporate" author; instead, BibTeX thinks that you're dealing with an author who has two given names, viz., Single and Author, and one family name, Organization. As a result (see also @egreg's answer), the optional argument -- which is used when creating callouts via a command such as \citep -- of the \bibitem with key EX2012 is formed as {S}ingle~{A}uthor {O}rganization, and LaTeX can't find a hyphenation point within the first, concatenated "word".
When dealing with a "corporate" author, it's recommended to encase the entire argument in an extra set of curly braces. Thus, you should write
author = {{Single Author Organization}},
This will ensure that BibTeX will treat this particular author correctly. This, in turn, will lead to a better setup of the optional argument of the associated \bibitem, letting LaTeX find more permissible break points within the words "Author", "Single", and "Organization".