Bancorpsouth 8-K BancorpSouth Announces Earnings of $0.26 per Diluted Share for Third Quarter 2009

EXHIBIT 99.1

Contact:
William L. Prater	Gary C. Bonds
Treasurer and Chief Financial Officer	Senior Vice President and Principal Accounting Officer
662/680-2000	662/680-2332

BancorpSouth Announces Earnings of $0.26 per Diluted Share
for Third Quarter 2009

TUPELO, Miss., October 22, 2009/PRNewswire-FirstCall via COMTEX/ — BancorpSouth, Inc. (NYSE: BXS) today announced financial results for the quarter ended September 30, 2009.

	Highlights of the third quarter include:
•	Solid profits with net income of $21.5 million, or $0.26 per diluted share.
•	Incremental growth in net interest revenue on a comparable and sequential quarter basis to a record level.
•	Continued net interest margin stability with an increase to 3.77 percent from 3.67 percent for the third quarter of 2008 and 3.75 percent for the second quarter of 2009.
•	Annualized net charge-offs of 0.68 percent of average loans and leases and non-performing loans and leases of 1.14 percent of total loans and leases.
•	Continued emphasis on noninterest expense management programs provides positive results.
•	Continued growth in capital levels with common equity to assets of 9.69 percent at September 30, 2009.

Summary Results

BancorpSouth’s net income for the third quarter of 2009 was $21.5 million, or $0.26 per diluted share, compared with $28.3 million, or $0.34 per diluted share, for the third quarter of 2008.

Aubrey Patterson, Chairman and Chief Executive Officer of BancorpSouth, remarked, “BancorpSouth’s third quarter results reflect a strong and stable net interest margin, well controlled expenses and solid operating performance in an otherwise difficult operating environment. The sustained profitable performance of our Company throughout this recent economic downturn continues to validate our deliberate and conservative long-term approach in managing through this business cycle. With a strong capital base, high quality assets and solid banking franchise, we remain confident that we are well positioned to manage through this period and continue operating a business plan that will result in achieving our long-term objectives.

“The prolonged economic downturn has put pressure on the financial services industry and BancorpSouth has experienced some of that pressure. During the third quarter, non-performing loans and leases increased $14.0 million to $111.6 million. This increase was primarily attributable to one loan totaling $10.7 million that was placed on non-accrual during the third quarter. This loan, which is classified as a Shared National Credit, is part of our portfolio of $140 million in loans outstanding where BancorpSouth acts as a participant with other banks.

“Our provision for credit losses was $22.5 million for the third quarter, while net charge-offs in the period were $16.5 million. At quarter end, our allowance for credit losses was 1.48 percent of net loans and leases. We continue to focus on early identification and decisive resolution of any credit issues.

“For the third quarter of 2009, the Company’s financial results also included the impact of a $4.1 million decrease in the value of our mortgage servicing rights compared with a $1.0 million decrease in value for the third quarter of 2008 and a $2.9 million increase in value for the second quarter of 2009. In addition, comparable quarter results continued to be affected by the major increase in the FDIC insurance premiums initiated in the first quarter of 2009, which totaled $2.7 million more for the third quarter of 2009 than the third quarter last year.”

Net Interest Revenue

Net interest revenue increased to $111.7 million for the third quarter of 2009, up 1.9 percent from $109.6 million for the third quarter of 2008 and 0.7 percent from $110.9 million for the second quarter of 2009. The fully taxable equivalent net interest margin was 3.77 percent for the third quarter of 2009, compared with 3.67 percent for the third quarter of 2008 and 3.75 percent for the second quarter of 2009.

Patterson said, “For the third quarter of 2009, we again achieved incremental growth in net interest revenue. By producing a comparable quarter and sequential quarter increase in our net interest margin, we have sustained a consistent and relatively high net interest margin thus far through the economic downturn. Over the last year, our net interest margin has ranged from 3.74 percent to 3.77 percent.

“While asset growth opportunities have been limited by the weak economy, we have benefitted from good growth in deposits, particularly demand deposits. We have also lengthened the average maturity of our time deposits from 10 to 13 months over the last year. In addition, over the last year, average short-term borrowings have declined from $1.8 billion to $1.1 billion. These funding strategies are intended to limit the negative impact to our net interest margin should interest rates rise.”

Asset, Deposit and Loan Activity

Total assets at September 30, 2009 were $13.3 billion, virtually unchanged from the end of the third quarter last year. Total deposits of $10.3 billion at September 30, 2009 increased 6.3 percent from $9.7 billion at September 30, 2008. Loans and leases, net of unearned income, increased 1.7 percent to $9.8 billion at September 30, 2009 from $9.6 billion at September 30, 2008.

“While growth opportunities have been very limited, we continue to concentrate on positioning the balance sheet to take advantage of opportunities that become available,” commented Patterson. “We are confident that our diversified geographic footprint positions us for stronger loan growth in an improving economic environment, but we will not relax our lending policies for the sake of growth in the current environment. We will continue our efforts to grow lower-cost deposits by expanding our core customer base and will evaluate strategic opportunities to expand and strengthen our franchise.”

Provision for Credit Losses and Allowance for Credit Losses

For the third quarter of 2009, the provision for credit losses was $22.5 million compared with $16.3 million for the third quarter of 2008 and $17.6 million for the second quarter of 2009. Annualized net charge-offs were 0.68 percent of average loans and leases for the third quarter of 2009 compared with 0.45 percent for the third quarter of 2008 and 0.55 percent for the second quarter of 2009.

Non-performing loans and leases increased to $111.6 million, or 1.14 percent of net loans and leases, at September 30, 2009 from $65.2 million, or 0.68 percent of net loans and leases, at September 30, 2008 and from $97.7 million, or 1.00 percent of net loans and leases, at June 30, 2009. The allowance for credit losses increased to 1.48 percent of net loans and leases at September 30, 2009 compared with 1.35 percent at September 30, 2008 and 1.42 percent at June 30, 2009.

Patterson added, “As addressed earlier, the growth in non-performing loans was primarily driven by one larger credit that was placed on non-accrual during the quarter, while our loan portfolio as a whole continued to perform well given the length and severity of the recent recession. While we recognize that, the longer this period of economic weakness persists, troubled borrowers could find it increasingly difficult to comply with repayment terms, we are confident that our process to identify credit problems early will enable us to keep those problems manageable. All our loans were originated within our markets and our conservative lending and credit policies are designed to enhance our ability to work with each borrower to minimize risk of loss.”

Noninterest Revenue

For the third quarter of 2009, noninterest revenue decreased 6.1 percent to $59.5 million from $63.4 million for the third quarter of 2008. This decrease reflected, in part, a $4.1 million decline in the value of the mortgage servicing rights (MSR) for the third quarter of 2009 compared with a $1.0 million decline for the third quarter of 2008.

Patterson commented, “We are pleased with the strong growth in our mortgage origination business, with mortgage lending revenue, excluding the MSR valuation adjustment, of $6.1 million, a 43.1 percent increase from the third quarter last year. Comparable quarter noninterest revenue also benefitted from the second consecutive quarterly increase in credit and debit card fee income resulting primarily from higher transaction volume. Although service charges have not recovered to the levels achieved for the third quarter of 2008, they have now increased on a sequential quarter basis for the second consecutive quarter. Because of insurance market conditions that remain soft, our insurance commission revenue declined 7.6 percent compared with record insurance commission revenue for the third quarter of 2008.”

Noninterest Expense

Noninterest expense was $119.7 million for the third quarter of 2009, an increase of 3.2 percent from $116.1 million for the third quarter of 2008. These results again reflected the substantial increase in BancorpSouth’s FDIC premium initiated in the first quarter of 2009. Although the Company continues to be assessed at the FDIC’s lowest rate because of its “well capitalized” status under federal regulations, the FDIC premium for the third quarter of 2009 increased $2.7 million over the third quarter of 2008. The growth in noninterest expense from the third quarter of 2008 also related to the opening of 12 full-service branch bank offices during the 12 month period ended September 30, 2009. Noninterest expense for the second quarter of 2009 was $123.3 million, which included the impact of a special FDIC assessment totaling $6.1 million that was in addition to the recurring FDIC premium.

Capital Management

BancorpSouth’s commitment to a strong capital base is one of its fundamental operating principles. The Company’s capital base was further strengthened during the third quarter of 2009, as the ratio of shareholders’ equity to assets improved on a comparable quarter basis for the 13^th consecutive quarter, increasing to 9.69 percent at the end of the third quarter from 9.34 percent at the end of the third quarter of 2008 and 9.59 percent at the end of the second quarter of 2009. The ratio of tangible equity to assets also increased to 7.64 percent from 7.25 percent at the end of the third quarter of 2008 and 7.53 percent at the end of the second quarter of 2009. BancorpSouth remains a “well capitalized” financial holding company, as defined by federal regulations.

Summary

Patterson concluded, “BancorpSouth’s third quarter operating performance highlighted many of the challenges we continue to face in an extended recessionary environment, as well as many of the strengths

that have enabled us to consistently outperform our peers throughout the economic downturn. The fundamental basis of these strengths is our conservative operating philosophy that we believe best positions BancorpSouth to achieve long-term growth and increased shareholder value in an industry subject to interest rate and economic cycles.

“Because of our consistent adherence to this philosophy, BancorpSouth is not only well prepared to manage through the challenges presented in today’s market, but we are well positioned to generate additional growth in an improving economic environment. We have continued to prepare for organic growth by engaging existing customers with new products and services, winning new customers in existing markets and expanding our geographic footprint into attractive new markets. Through the consistent strengthening of our capital structure, we have also prepared to leverage opportunities for growth through strategic acquisitions.

“As a result of the Company’s strong market position and its performance throughout the economic downturn, we remain confident of BancorpSouth’s long-term growth potential. We have neither been, nor will we be, complacent about the impact of the current economic environment on our customers, our credit quality, our ability to produce revenue growth and manage expenses or our shareholder value. However, through the long-term orientation of our conservative business model, we have consistently prepared BancorpSouth to deal with the challenges of the full economic cycle, and we expect to emerge from the current downturn in a stronger competitive position than when the downturn began.”

Conference Call

BancorpSouth will conduct a conference call to discuss its third quarter 2009 results tomorrow, October 23, 2009, at 10:00 a.m. (Central Time). Investors may listen via the Internet by accessing BancorpSouth’s website at http://www.bancorpsouth.com. A replay of the conference call will be available at BancorpSouth’s website for at least two weeks following the call.

Forward-Looking Statements

Certain statements contained in this news release may not be based on historical facts and are “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These forward-looking statements may be identified by their reference to a future period or periods or by the use of forward-looking terminology such as “anticipate,” “believe,” “estimate,” “expect,” “may,” “might,” “will,” “would,” “could” or “intend.” These forward-looking statements include, without limitation, statements relating to our ability to achieve our long-term objectives, the impact of rising interest rates on our net interest margin, our lending policies, our efforts to grow lower-cost deposits, strategic opportunities to expand and strengthen our franchise, our process to identify credit problems, our conservative operating philosophy, the impact of the current economic environment on our customers and our competitive position.

We caution you not to place undue reliance on the forward-looking statements contained in this news release in that actual results could differ materially from those indicated in such forward-looking statements because of a variety of factors. These factors may include, but are not limited to, changes in general business or economic conditions or government fiscal and monetary policies, volatility and disruption in national and international financial markets, fluctuations in prevailing interest rates and the ability of BancorpSouth to manage its assets and liabilities to limit exposure to changing interest rates, the ability of BancorpSouth to increase noninterest revenue and expand noninterest revenue business, the ability of BancorpSouth to maintain credit quality, changes in laws and regulations affecting financial service companies in general, the ability of BancorpSouth to compete with other financial services companies, the ability of BancorpSouth to provide and market competitive services and products, changes in BancorpSouth’s operating or expansion strategy, BancorpSouth’s business model, geographic concentration of BancorpSouth’s assets, the ability of BancorpSouth to manage its growth and effectively

serve an expanding customer and market base, the ability of BancorpSouth to achieve profitable growth and increase shareholder value, the ability of BancorpSouth to attract, train and retain qualified personnel, the ability of BancorpSouth to identify, close and effectively integrate potential acquisitions, the ability of BancorpSouth to expand geographically and enter growing markets, changes in consumer preferences, other factors generally understood to affect the financial results of financial services companies, and other factors described from time to time in BancorpSouth’s filings with the Securities and Exchange Commission. We undertake no obligation to update these forward-looking statements to reflect events or circumstances that occur after the date on which such statements were made.

BancorpSouth, Inc. is a financial holding company headquartered in Tupelo, Mississippi, with $13.3 billion in assets. BancorpSouth Bank, a wholly-owned subsidiary of BancorpSouth, Inc., operates approximately 314 commercial banking, mortgage, insurance, trust and broker/dealer locations in Alabama, Arkansas, Florida, Louisiana, Mississippi, Missouri, Tennessee and Texas. BancorpSouth Bank also operates an insurance location in Illinois.

BXS Announces Third Quarter Results
Page 7
October 22, 2009

BancorpSouth, Inc.
Selected Financial Data

	Three Months Ended						Nine Months Ended
	September 30,						September 30,
(Dollars in thousands, except per share amounts)	2009			2008			2009			2008
Earnings Summary:
Net interest revenue	$	111,736		$	109,602		$	332,552		$	329,515
Provision for credit losses		22,514			16,306			55,053			38,354
Noninterest revenue		59,549			63,433			205,581			202,930
Noninterest expense		119,746			116,059			361,466			341,593
Income before income taxes		29,025			40,670			121,614			152,498
Income tax provision		7,494			12,325			36,739			48,883
Net income	$	21,531		$	28,345		$	84,875		$	103,615
Earning per share: Basic	$	0.26		$	0.34		$	1.02		$	1.26
Diluted	$	0.26		$	0.34		$	1.02		$	1.25
Balance sheet data at September 30:
Total assets							$	13,271,873		$	13,300,728
Total earning assets								12,094,937			12,073,837
Loans and leases, net of unearned income								9,757,944			9,592,412
Allowance for credit losses								144,791			129,147
Total deposits								10,297,034			9,684,800
Common shareholders’ equity								1,286,218			1,242,719
Book value per share								15.41			14.96
Average balance sheet data:
Total assets	$	13,167,057		$	13,304,939		$	13,250,329		$	13,174,345
Total earning assets		12,027,909			12,132,130			12,116,158			12,012,791
Loans and leases, net of unearned interest		9,750,159			9,529,731			9,729,050			9,371,480
Total deposits		10,200,211			9,659,246			10,057,028			9,873,058
Common shareholders’ equity		1,265,099			1,231,350			1,251,769			1,219,170
Non-performing assets at September 30:
Non-accrual loans and leases							$	82,732		$	30,642
Loans and leases 90+ days past due, still accruing								20,699			31,866
Restructured loans and leases, still accruing								8,205			2,666
Other real estate owned								62,072			32,479
Total non-performing assets								173,708			97,653
Net charge-offs as a percentage of average loans (annualized)		0.68	%		0.45	%		0.59	%		0.35	%
Performance ratios (annualized):
Return on average assets		0.65	%		0.85	%		0.86	%		1.05	%
Return on common equity		6.75	%		9.16	%		9.07	%		11.35	%
Net interest margin		3.77	%		3.67	%		3.75	%		3.75	%
Average shares outstanding — basic		83,368,580			82,560,724			83,260,911			82,420,266
Average shares outstanding — diluted		83,512,826			82,765,428			83,398,142			82,645,153

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BXS Announces Third Quarter Results
Page 8
October 22, 2009

BancorpSouth, Inc.
Consolidated Balance Sheet
(Unaudited)

	September 30,						%
	2009			2008			Change
	(Dollars in thousands)
Assets
Cash and due from banks	$	189,103		$	246,687			(23.34	%)
Interest bearing deposits with other banks		43,067			15,730			173.79	%
Held-to-maturity securities, at amortized cost		1,180,716			1,350,396			(12.57	%)
Available-for-sale securities, at fair value		958,158			919,468			4.21	%
Federal funds sold and securities purchased under agreement to resell		75,000			—			N/A
Loans and leases		9,803,235			9,641,497			1.68	%
Less: Unearned income		45,291			49,085			(7.73	%)
Allowance for credit losses		144,791			129,147			12.11	%
Net loans and leases		9,613,153			9,463,265			1.58	%
Loans held for sale		80,053			195,830			(59.12	%)
Premises and equipment, net		346,931			345,235			0.49	%
Accrued interest receivable		74,589			85,968			(13.24	%)
Goodwill		270,097			271,017			(0.34	%)
Other assets		441,006			407,132			8.32	%
Total Assets	$	13,271,873			13,300,728			(0.22	%)
Liabilities
Deposits:
Demand: Noninterest bearing	$	1,769,432			1,694,303			4.43	%
Interest bearing		4,055,395			3,771,265			7.53	%
Savings		712,446			693,034			2.80	%
Other time		3,759,761			3,526,198			6.62	%
Total deposits		10,297,034			9,684,800			6.32	%
Federal funds purchased and securities sold under agreement to repurchase		816,374			1,079,088			(24.35	%)
Short-term Federal Home Loan Bank borrowings and other short-term borrowing		200,000			625,000			(68.00	%)
Accrued interest payable		24,243			24,846			(2.43	%)
Junior subordinated debt securities		160,312			160,312			0.00	%
Long-term Federal Home Loan Bank borrowings		286,281			288,861			(0.89	%)
Other liabilities		201,411			195,102			3.23	%
Total Liabilities		11,985,655			12,058,009			(0.60	%)
Shareholders’ Equity
Common stock		208,615			207,714			0.43	%
Capital surplus		222,135			216,394			2.65	%
Accumulated other comprehensive income (loss)		(18,568	)		(8,746	)		112.30	%
Retained earnings		874,036			827,357			5.64	%
Total Shareholders’ Equity		1,286,218			1,242,719			3.50	%
Total Liabilities & Shareholders’ Equity	$	13,271,873		$	13,300,728			(0.22	%)

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BXS Announces Third Quarter Results
Page 9
October 22, 2009

BancorpSouth, Inc.
Consolidated Condensed Statements of Income
(Dollars in thousands, except per share data)
(Unaudited)

	Quarter Ended												Year To Date
	Sep-09		Jun-09			Mar-09		Dec-08			Sep-08		Sep-09		Sep-08
INTEREST REVENUE:
Loans and leases	$	129,455	$	129,263		$	129,209	$	139,099		$	144,393	$	387,927	$	450,866
Deposits with other banks		20		22			70		111			172		112		573
Federal funds sold and securities purchased under agreement to resell		27		3			1		3			218		31		285
Held-to-maturity securities:
Taxable		11,690		12,108			13,031		13,625			14,063		36,829		45,054
Tax-exempt		2,193		2,155			2,111		2,053			1,959		6,459		6,059
Available-for-sale securities:
Taxable		8,592		8,721			9,038		8,693			9,025		26,351		27,120
Tax-exempt		812		826			883		867			874		2,521		3,338
Loans held for sale		698		1,215			1,275		2,117			1,920		3,188		5,550
Total interest revenue		153,487		154,313			155,618		166,568			172,624		463,418		538,845
INTEREST EXPENSE:
Interest bearing demand		9,038		9,738			12,248		15,924			14,214		31,024		44,409
Savings		937		927			936		1,080			1,366		2,800		4,200
Other time		25,534		26,496			25,833		28,293			33,660		77,863		120,298
Federal funds purchased and securities sold under agreement to repurchase		331		421			572		2,175			4,308		1,324		12,824
FHLB borrowings		2,877		2,885			2,823		4,537			6,277		8,585		17,921
Junior subordinated debt		2,884		2,928			2,955		3,162			3,064		8,767		9,309
Other		150		(22	)		375		76			133		503		369
Total interest expense		41,751		43,373			45,742		55,247			63,022		130,866		209,330
Net interest revenue		111,736		110,940			109,876		111,321			109,602		332,552		329,515
Provision for credit losses		22,514		17,594			14,945		17,822			16,306		55,053		38,354
Net interest revenue, after provision for credit losses		89,222		93,346			94,931		93,499			93,296		277,499		291,161
NONINTEREST REVENUE:
Mortgage lending		2,012		13,959			7,652		(12,174	)		3,270		23,623		14,320
Credit card, debit card and merchant fees		8,902		9,111			8,348		8,409			8,512		26,361		25,334
Service charges		16,313		15,642			14,085		16,915			17,687		46,040		50,619
Trust income		2,435		2,040			2,209		2,328			2,507		6,684		7,002
Security gains (losses), net		—		42			5		(6,226	)		100		47		377
Insurance commissions		20,134		20,575			22,645		18,752			21,779		63,354		67,909
Other		9,753		18,370			11,349		11,446			9,578		39,472		37,369
Total noninterest revenue		59,549		79,739			66,293		39,450			63,433		205,581		202,930
NONINTEREST EXPENSES:
Salaries and employee benefits		70,353		70,092			71,363		64,395			68,865		211,808		207,161
Occupancy, net of rental income		10,720		10,492			9,999		10,307			10,340		31,211		29,539
Equipment		5,853		5,855			6,222		6,319			6,214		17,930		18,892
Deposit insurance assessments		3,402		9,358			3,126		1,444			717		15,886		1,408
Other		29,418		27,470			27,743		28,628			29,923		84,631		84,593
Total noninterest expenses		119,746		123,267			118,453		111,093			116,059		361,466		341,593
Income before income taxes		29,025		49,818			42,771		21,856			40,670		121,614		152,498
Income tax expense		7,494		15,951			13,294		5,060			12,325		36,739		48,883
Net income	$	21,531	$	33,867		$	29,477	$	16,796		$	28,345	$	84,875	$	103,615
Net income per share: Basic	$	0.26	$	0.41		$	0.35	$	0.20		$	0.34	$	1.02	$	1.26
Diluted	$	0.26	$	0.41		$	0.35	$	0.20		$	0.34	$	1.02	$	1.25

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BXS Announces Third Quarter Results
Page 10
October 22, 2009

BancorpSouth, Inc.
Selected Loan Data
(Dollars in thousands)
(Unaudited)

	Quarter Ended
	Sep-09			Jun-09			Mar-09			Dec-08			Sep-08
LOAN AND LEASE PORTFOLIO:
Commercial and industrial	$	1,442,344		$	1,441,718		$	1,390,042		$	1,417,499		$	1,401,177
Real estate
Consumer mortgages		2,046,433			2,054,666			2,037,439			2,096,568			2,108,991
Home equity		540,875			532,337			519,528			511,480			500,489
Agricultural		254,647			242,034			238,466			234,024			236,647
Commercial and industrial-owner occupied		1,432,859			1,394,852			1,455,422			1,465,027			1,489,215
Construction, acquisition and development		1,533,622			1,652,052			1,692,526			1,689,719			1,671,693
Commercial		1,770,066			1,719,044			1,660,211			1,568,956			1,489,548
Credit cards		103,208			101,844			98,450			93,650			90,112
All other		633,890			622,853			620,739			614,354			604,540
Total loans	$	9,757,944		$	9,761,400		$	9,712,823		$	9,691,277		$	9,592,412
ALLOWANCE FOR CREDIT LOSSES:
Balance, beginning of period	$	138,747		$	134,632		$	132,793		$	129,147		$	123,478
Loans and leases charged off:
Commercial and industrial		(3,913	)		(1,070	)		(1,147	)		(1,003	)		(267	)
Real estate
Consumer mortgages		(2,669	)		(4,877	)		(4,073	)		(3,582	)		(1,828	)
Home equity		(1,278	)		(1,106	)		(1,153	)		(596	)		(361	)
Agricultural		(407	)		(3	)		(37	)		(350	)		(19	)
Commercial and industrial-owner occupied		(1,795	)		(649	)		(836	)		(511	)		(67	)
Construction, acquisition and development		(3,160	)		(4,335	)		(4,377	)		(6,208	)		(6,975	)
Commercial		(2,135	)		(321	)		(560	)		(611	)		(203	)
Credit cards		(1,204	)		(1,290	)		(1,158	)		(953	)		(837	)
All other		(939	)		(815	)		(810	)		(953	)		(807	)
Total loans charged off		(17,500	)		(14,466	)		(14,151	)		(14,767	)		(11,364	)
Recoveries:
Commercial and industrial		320			68			179			279			134
Real estate
Consumer mortgages		132			263			220			174			77
Home equity		28			2			3			1			24
Agricultural		—			—			2			—			—
Commercial and industrial-owner occupied		31			248			8			54			3
Construction, acquisition and development		31			4			86			97			64
Commercial		108			—			56			23			—
Credit cards		123			140			138			99			92
All other		257			262			353			290			333
Total recoveries		1,030			987			1,045			1,017			727
Net charge-offs		(16,470	)		(13,479	)		(13,106	)		(13,750	)		(10,637	)
Provision charged to operating expense		22,514			17,594			14,945			17,822			16,306
Other, net		—			—			—			(426	)		—
Balance, end of period	$	144,791		$	138,747		$	134,632		$	132,793		$	129,147
Average loans for period	$	9,750,159		$	9,740,916		$	9,695,475		$	9,604,142		$	9,529,731
Ratios:
Net charge-offs to average loans (annualized)		0.68	%		0.55	%		0.54	%		0.57	%		0.45	%

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BXS Announces Third Quarter Results
Page 11
October 22, 2009

BancorpSouth, Inc.
Selected Loan Data
(Dollars in thousands)
(Unaudited)

	Quarter Ended
	Sep-09					Jun-09					Mar-09
			NPL as a %					NPL as a %					NPL as a %
	NPL		of outstanding			NPL		of outstanding			NPL		of outstanding
NON-PERFORMING LOANS
Commercial and industrial	$	7,509		0.52	%	$	9,378		0.65	%	$	7,341		0.53	%
Real estate
Consumer mortgages		27,074		1.32			20,162		0.98			18,113		0.89
Home equity		2,586		0.48			2,247		0.42			1,590		0.31
Agricultural		2,936		1.15			4,455		1.84			1,353		0.57
Commercial and industrial-owner occupied		6,386		0.45			7,083		0.51			7,135		0.49
Construction, acquisition and development		45,757		2.98			44,828		2.71			30,544		1.80
Commercial		12,770		0.72			3,613		0.21			2,387		0.14
Credit cards		4,306		4.17			4,127		4.05			3,934		4.00
All other		2,312		0.36			1,779		0.29			1,419		0.23
Total loans	$	111,636		1.14	%	$	97,672		1.00	%	$	73,816		0.76	%

	Quarter Ended
	Dec-08					Sep-08
			NPL as a %					NPL as a %
	NPL		of outstanding			NPL		of outstanding
Commercial and industrial	$	8,093		0.57	%	$	6,377		0.46	%
Real estate
Consumer mortgages		17,970		0.86			22,136		1.05
Home equity		939		0.18			486		0.10
Agricultural		849		0.36			1,260		0.53
Commercial and industrial-owner occupied		4,529		0.31			3,281		0.22
Construction, acquisition and development		24,874		1.47			25,696		1.54
Commercial		1,445		0.09			628		0.04
Credit cards		3,882		4.15			3,705		4.11
All other		1,432		0.23			1,605		0.27
Total loans	$	64,013		0.66	%	$	65,174		0.68	%

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BXS Announces Third Quarter Results
Page 12
October 22, 2009

BancorpSouth, Inc.
Average Balances, Interest Income and Expense,
and Average Yields and Rates
(Dollars in thousands)
(Unaudited)

	Quarter Ended
	September 30, 2009
	Average					Yield/
(Taxable equivalent basis)	Balance			Interest		Rate
ASSETS
Loans, loans held for sale, and leases net of unearned income	$	9,808,427		$	130,957		5.30	%
Held-to-maturity securities:
Taxable		998,773			11,799		4.69	%
Tax-exempt		199,360			3,373		6.71	%
Available-for-sale securities:
Taxable		889,278			8,591		3.83	%
Tax-exempt		69,737			1,251		7.12	%
Short-term investments		62,334			47		0.30	%
Total interest earning assets and revenue		12,027,909			156,020		5.15	%
Other assets		1,285,360
Less: allowance for credit losses		(146,212	)
Total	$	13,167,057
LIABILITIES AND SHAREHOLDERS’ EQUITY
Deposits:
Demand — interest bearing	$	4,010,281		$	9,038		0.89	%
Savings		716,155			936		0.52	%
Other time		3,726,754			25,535		2.72	%
Short-term borrowings		1,071,144			544		0.20	%
Junior subordinated debt		160,312			2,884		7.14	%
Long-term debt		286,285			2,814		3.90	%
Total interest bearing liabilities and expense		9,970,931			41,751		1.66	%
Demand deposits — noninterest bearing		1,747,021
Other liabilities		184,006
Total liabilities		11,901,958
Shareholders’ equity		1,265,099
Total	$	13,167,057
Net interest revenue				$	114,269
Net interest margin							3.77	%
Net interest rate spread							3.49	%
Interest bearing liabilities to interest earning assets							82.90	%
Net interest tax equivalent adjustment				$	2,533

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BXS Announces Third Quarter Results
Page 13
October 22, 2009

BancorpSouth, Inc.
Average Balances, Interest Income and Expense,
and Average Yields and Rates
(Dollars in thousands)
(Unaudited)

	Quarter Ended
	June 30, 2009
	Average					Yield/
(Taxable equivalent basis)	Balance			Interest		Rate
ASSETS
Loans, loans held for sale, and leases net of unearned income	$	9,896,890		$	131,313		5.32	%
Held-to-maturity securities:
Taxable		1,040,896			12,218		4.71	%
Tax-exempt		186,473			3,316		7.13	%
Available-for-sale securities:
Taxable		919,217			8,721		3.81	%
Tax-exempt		69,960			1,270		7.28	%
Short-term investments		21,727			25		0.47	%
Total interest earning assets and revenue		12,135,163			156,863		5.18	%
Other assets		1,270,193
Less: allowance for credit losses		(144,570	)
Total	$	13,260,786
LIABILITIES AND SHAREHOLDERS’ EQUITY
Deposits:
Demand — interest bearing	$	3,948,759		$	9,738		0.99	%
Savings		719,281			928		0.52	%
Other time		3,634,336			26,496		2.92	%
Short-term borrowings		1,340,244			470		0.14	%
Junior subordinated debt		160,312			2,928		7.33	%
Long-term debt		286,294			2,813		3.94	%
Total interest bearing liabilities and expense		10,089,226			43,373		1.72	%
Demand deposits — noninterest bearing		1,756,861
Other liabilities		163,749
Total liabilities		12,009,836
Shareholders’ equity		1,250,950
Total	$	13,260,786
Net interest revenue				$	113,490
Net interest margin							3.75	%
Net interest rate spread							3.46	%
Interest bearing liabilities to interest earning assets							83.14	%
Net interest tax equivalent adjustment				$	2,550

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BXS Announces Third Quarter Results
Page 14
October 22, 2009

BancorpSouth, Inc.
Average Balances, Interest Income and Expense,
and Average Yields and Rates
(Dollars in thousands)
(Unaudited)

	Quarter Ended
	March 31, 2009
	Average					Yield/
(Taxable equivalent basis)	Balance			Interest		Rate
ASSETS
Loans, loans held for sale, and leases net of unearned income	$	9,873,692		$	131,339		5.39	%
Held-to-maturity securities:
Taxable		1,146,772			13,141		4.65	%
Tax-exempt		182,051			3,247		7.23	%
Available-for-sale securities:
Taxable		891,699			9,038		4.11	%
Tax-exempt		73,814			1,358		7.46	%
Short-term investments		19,123			71		1.51	%
Total interest earning assets and revenue		12,187,151			158,194		5.26	%
Other assets		1,277,538
Less: allowance for credit losses		(139,811	)
Total	$	13,324,878
LIABILITIES AND SHAREHOLDERS’ EQUITY
Deposits:
Demand — interest bearing	$	4,090,821		$	12,248		1.21	%
Savings		697,639			936		0.54	%
Other time		3,419,180			25,833		3.06	%
Short-term borrowings		1,588,229			959		0.24	%
Junior subordinated debt		160,312			2,955		7.48	%
Long-term debt		286,306			2,811		3.98	%
Total interest bearing liabilities and expense		10,242,487			45,742		1.81	%
Demand deposits — noninterest bearing		1,700,792
Other liabilities		142,628
Total liabilities		12,085,907
Shareholders’ equity		1,238,971
Total	$	13,324,878
Net interest revenue				$	112,452
Net interest margin							3.74	%
Net interest rate spread							3.45	%
Interest bearing liabilities to interest earning assets							84.04	%
Net interest tax equivalent adjustment				$	2,576

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BXS Announces Third Quarter Results
Page 15
October 22, 2009

BancorpSouth, Inc.
Average Balances, Interest Income and Expense,
and Average Yields and Rates
(Dollars in thousands)
(Unaudited)

	Quarter Ended
	December 31, 2008
	Average					Yield/
(Taxable equivalent basis)	Balance			Interest		Rate
ASSETS
Loans, loans held for sale, and leases net of unearned income	$	9,773,683		$	142,039		5.78	%
Held-to-maturity securities:
Taxable		1,193,555			13,734		4.58	%
Tax-exempt		180,695			3,159		6.96	%
Available-for-sale securities:
Taxable		868,913			8,693		3.98	%
Tax-exempt		73,476			1,335		7.23	%
Short-term investments		19,338			114		2.34	%
Total interest earning assets and revenue		12,109,660			169,074		5.55	%
Other assets		1,304,386
Less: allowance for credit losses		(134,453	)
Total	$	13,279,593
LIABILITIES AND SHAREHOLDERS’ EQUITY
Deposits:
Demand — interest bearing	$	3,811,782		$	15,924		1.66	%
Savings		684,068			1,080		0.63	%
Other time		3,400,071			28,293		3.31	%
Short-term borrowings		1,828,010			3,951		0.86	%
Junior subordinated debt		160,312			3,161		7.84	%
Long-term debt		287,990			2,838		3.92	%
Total interest bearing liabilities and expense		10,172,233			55,247		2.16	%
Demand deposits — noninterest bearing		1,702,400
Other liabilities		165,462
Total liabilities		12,040,095
Shareholders’ equity		1,239,498
Total	$	13,279,593
Net interest revenue				$	113,827
Net interest margin							3.74	%
Net interest rate spread							3.39	%
Interest bearing liabilities to interest earning assets							84.00	%
Net interest tax equivalent adjustment				$	2,506

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BXS Announces Third Quarter Results
Page 16
October 22, 2009

BancorpSouth, Inc.
Average Balances, Interest Income and Expense,
and Average Yields and Rates
(Dollars in thousands)
(Unaudited)

	Quarter Ended
	September 30, 2008
	Average					Yield/
(Taxable equivalent basis)	Balance			Interest		Rate
ASSETS
Loans, loans held for sale, and leases net of unearned income	$	9,689,955		$	147,113		6.04	%
Held-to-maturity securities:
Taxable		1,219,169			14,173		4.62	%
Tax-exempt		180,579			3,014		6.64	%
Available-for-sale securities:
Taxable		901,023			9,025		3.98	%
Tax-exempt		75,917			1,344		7.04	%
Short-term investments		65,487			390		2.37	%
Total interest earning assets and revenue		12,132,130			175,059		5.74	%
Other assets		1,304,430
Less: allowance for credit losses		(131,621	)
Total	$	13,304,939
LIABILITIES AND SHAREHOLDERS’ EQUITY
Deposits:
Demand — interest bearing	$	3,492,942		$	14,214		1.62	%
Savings		723,444			1,366		0.75	%
Other time		3,761,753			33,660		3.56	%
Short-term borrowings		1,790,760			7,879		1.75	%
Junior subordinated debt		160,312			3,064		7.60	%
Long-term debt		288,875			2,839		3.91	%
Total interest bearing liabilities and expense		10,218,086			63,022		2.45	%
Demand deposits — noninterest bearing		1,681,107
Other liabilities		174,396
Total liabilities		12,073,589
Shareholders’ equity		1,231,350
Total	$	13,304,939
Net interest revenue				$	112,037
Net interest margin							3.67	%
Net interest rate spread							3.29	%
Interest bearing liabilities to interest earning assets							84.22	%
Net interest tax equivalent adjustment				$	2,435

-END-