Bancorpsouth 8-K BancorpSouth Announces Earnings of $0.20 per Diluted Share for Fourth Quarter 2008 and $1.45 for Full Year

Exhibit 99.1

News Release

Contact:
L. Nash Allen, Jr.	Gary C. Bonds
Treasurer and Chief Financial	Executive Vice President and
Officer	Controller
662/680-2330	662/680-2332

BancorpSouth Announces Earnings of $0.20 per Diluted Share
for Fourth Quarter 2008 and $1.45 for Full Year

TUPELO, Miss., January 22, 2009/PRNewswire-FirstCall via COMTEX/ — BancorpSouth, Inc. (NYSE: BXS) today announced financial results for the fourth quarter and year ended December 31, 2008.

Aubrey Patterson, Chairman and Chief Executive Officer of BancorpSouth, stated, “For the fourth quarter, BancorpSouth produced solid financial results in an unusually challenging economic environment. Net income for the fourth quarter was $16.8 million, or $0.20 per diluted share, including significant fair value adjustments driven by market conditions. These non-cash charges related to the valuations of our mortgage servicing asset and certain investment securities and reduced net income by $15.3 million, or $0.18 per diluted share. While many challenges lie ahead, BancorpSouth entered 2009 well positioned with a strong capital structure, ample liquidity, a quality loan portfolio, diversified noninterest revenue streams and continuing profitability.”

                Highlights of the fourth quarter include:

• Solid profitability for the fourth quarter of 2008, with net income of $16.8 million, or $0.20 per diluted share.

• Expansion of the net interest margin to 3.74 percent.

• A 5.6 percent increase in loans and leases compared with the end of 2007, which contributed to the 1.5 percent growth in net interest revenue.

• Strong credit quality with non-performing loans of 0.64 percent of loans and leases and annualized net charge-offs of 0.57 percent of average loans and leases.

• Double-digit growth in insurance commissions from the comparable quarter of 2007.

• Further improvement of the ratio of equity to assets to 9.20 percent at the end of 2008 from 9.07 percent at the end of 2007.

• Election not to participate in the U.S. Treasury’s Capital Purchase Program under the Troubled Asset Relief Program (TARP).

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Box 789• Tupelo, MS 38802-0789• (662) 680-2000

is a financial holding company.

BXS Announces Fourth Quarter Results
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January 22, 2009

Summary Results

BancorpSouth’s net income for the fourth quarter of 2008 was $16.8 million, or $0.20 per diluted share, compared with $32.2 million, or $0.39 per diluted share, for the fourth quarter of 2007. Net income for the year ended December 31, 2008 was $120.4 million, or $1.45 per diluted share, compared with $137.9 million, or $1.69 per diluted share, for 2007.

Patterson added, “We are encouraged by BancorpSouth’s operating and financial performance for the fourth quarter of 2008 given the exceptional turmoil in the financial services industry, capital markets and the national economy.

“During 2008, we continued to execute what has proven over numerous economic cycles to be a strong fundamental business plan. While our growth during 2008 moderated by design, careful expansion into growing, familiar and geographically diversified markets supported our ability to expand our loan portfolio and secure low cost deposits. Credit quality remained sound, with losses and non-performing assets at manageable levels, and our asset/liability management produced a stable net interest margin. Our noninterest revenue products and services have strengthened our market presence and significantly mitigated the impact of interest rate volatility in our traditional banking business.

“These solid operating results were partially offset in the fourth quarter by the decline in the fair value of BancorpSouth’s mortgage servicing asset. This decline in value resulted in an after-tax charge of $10.0 million, or $0.12 per diluted share. Current accounting standards also required us to recognize in the fourth quarter a charge as a result of the other than temporary impairment of certain investment securities even though they continue to perform and cash flow. The amount of this after-tax write down was $5.3 million, or $0.06 per diluted share.”

Net Interest Revenue

Net interest revenue increased 1.5 percent to $111.3 million for the fourth quarter of 2008 from $109.7 million for the fourth quarter of 2007 and 1.6 percent from $109.6 million for the third quarter of 2008. The fully taxable equivalent net interest margin increased to 3.74 percent from 3.72 percent for the fourth quarter of 2007 and 3.67 percent for the third quarter of 2008.

“For the fourth quarter, we again generated a relatively high and stable level of net interest margin through our asset/liability management strategies,” said Patterson. “These strategies are designed to increase interest revenue and decrease interest expense by funding loan growth with the proceeds of maturing lower yielding investment securities, short-term borrowings from the Federal Home Loan Bank (FHLB) and growth in demand deposits. Because of the decline in interest rates during the fourth quarter of 2008, our comparable quarter interest expense on these short-term borrowings declined significantly. In addition, demand deposits increased by 14.0 percent at year-end 2008 compared with the end of 2007, while higher cost time deposits decreased by 20.4 percent.

“Our asset/liability management strategies are also focused on maintaining ample sources of liquidity. We continue to have substantial capacity for further borrowings with the FHLB and can readily expand public fund time deposits through more aggressive pricing.”

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BXS Announces Fourth Quarter Results
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January 22, 2009

Deposit and Loan Activity

Total assets at December 31, 2008 increased 2.2 percent to $13.5 billion from $13.2 billion at December 31, 2007. Total deposits declined 3.5 percent to $9.7 billion at December 31, 2008 from $10.1 billion at December 31, 2007. Loans and leases, net of unearned income, increased 5.6 percent to $9.7 billion at December 31, 2008 from $9.2 billion at December 31, 2007.

Patterson remarked, “We produced solid loan growth during 2008, with the annualized rate of growth moderating to 4.1 percent for the fourth quarter. We believe our loan growth, as well as the 12.7 percent annualized growth in demand deposits during the fourth quarter, in part reflects increased market share due to the strength and stability of BancorpSouth in a period of increased consumer concern about the performance of the financial services industry.”

Provision for Credit Losses and Allowance for Credit Losses

For the fourth quarter of 2008, the provision for credit losses was $17.8 million compared with $7.8 million for the fourth quarter of 2007 and $16.3 million for the third quarter of 2008. Annualized net charge-offs were 0.57 percent of average loans and leases for the fourth quarter of 2008 compared with 0.21 percent for the fourth quarter of 2007 and 0.45 percent for the third quarter of 2008.

Non-performing loans and leases increased to $61.5 million, or 0.64 percent of net loans and leases, at December 31, 2008 from $28.5 million, or 0.31 percent of net loans and leases, at December 31, 2007 but declined from $62.5 million, or 0.65 percent of net loans and leases, at September 30, 2008. The allowance for credit losses increased to 1.37 percent of net loans and leases at December 31, 2008 compared with 1.25 percent at December 31, 2007 and 1.35 percent at September 30, 2008.

“The sequential quarter increase in annualized net charge-offs and the decline in non-performing loans, both as a percentage of net loans and leases, demonstrates our commitment to addressing emerging credit issues promptly,” commented Patterson. “With a provision for credit losses of $17.8 million for the fourth quarter of 2008, compared with actual net charge-offs of $13.8 million for the quarter, we remained well reserved. Our allowance for credit losses at the end of 2008 was 2.1 times the amount of non-performing loans at year end and 2.4 times the amount of annualized net charge-offs for the quarter.”

Noninterest Revenue

For the fourth quarter of 2008, noninterest revenue declined 28.7 percent, or $15.9 million, to $39.5 million from $55.3 million for the fourth quarter of 2007. These results included the pre-tax write down of the mortgage servicing asset of $16.3 million for the fourth quarter of 2008 and $4.5 million for the fourth quarter of 2007. They also included the fourth quarter 2008 pre-tax write down of $8.6 million of other than temporary impairment of certain investment securities discussed earlier in this release. After the write down, the carrying value of these pooled trust preferred securities was $2.4 million at December 31, 2008 and represented our only investment in this type of security. These securities remain current as to interest payments but their fair value has been negatively impacted by current market conditions. Comparable quarter

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BXS Announces Fourth Quarter Results
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January 22, 2009

insurance commission revenue increased 15.9 percent to $18.8 million and mortgage lending revenue, excluding the decline in the value of the mortgage servicing asset, rose 20.2 percent to $4.1 million over the same quarter of 2007. Also included in noninterest revenue in the fourth quarter of 2008 were security gains totaling $2.4 million.

Patterson continued, “Our insurance business produced its fourth consecutive quarter of double-digit revenue growth, supported by an insurance agency acquisition in the third quarter of 2007 and two agency acquisitions in the first quarter of 2008. While the sharp declines in interest rates during the fourth quarter had a significant impact on our mortgage servicing asset, we also believe that the growth in mortgage lending revenue from originations and refinancings for the fourth quarter reflects an ongoing opportunity. We note that the carrying value of the mortgage servicing asset at December 31, 2008 was $25.0 million, or 82 basis points of the unpaid principal balance of the loans being serviced, compared to 115 basis points at December 31, 2007.”

Noninterest Expense

Noninterest expense increased 0.8 percent to $111.1 million for the fourth quarter of 2008 from $110.2 million for the fourth quarter of 2007 and decreased 4.3 percent from $116.1 million for the third quarter of 2008. The comparable quarter increase in noninterest expense is primarily attributable to the operation of the insurance agencies acquired in the first quarter of 2008, as well as the opening of new loan production offices and full-service branch bank offices during 2008. The sequential quarter decline in noninterest expense is primarily the result of an increased focus throughout the Company on expense control and reduction.

Capital Management

BancorpSouth’s long-term, conservative focus on maintaining a sound and adequate capital position and ample liquidity provides it with a competitive advantage in the current economic cycle and enhances its opportunity for future growth. During 2008, BancorpSouth continued building upon its strong capital position, expanding its equity to asset ratio to 9.20 percent at the end of 2008 from 9.07 percent at the end of 2007. Its equity to asset ratio was 9.34 percent at the end of the third quarter of 2008. BancorpSouth’s ratio of tangible equity to assets was 7.15 percent at the end of 2008 compared to 7.09 percent at the end of 2007 and 7.25 percent at the end of the third quarter of 2008. BancorpSouth remains a “well capitalized” bank holding company as defined by federal regulations, with Tier 1 risk-based capital of 10.79 percent at year end and total risk based capital of 12.04 percent, compared with required minimum levels of 6 percent and 10 percent, respectively, to meet the definition of “well capitalized.” BancorpSouth did not repurchase shares of its common stock during the fourth quarter of 2008.

Summary

“Our confidence in the financial strength of BancorpSouth is exemplified by our decision, after careful deliberation, to forego participation in the Capital Purchase Program under TARP,” said Patterson. “While we recognize that the difficult economic environment will continue to affect our financial and operating results, BancorpSouth has performed well relative to our peer group,

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BXS Announces Fourth Quarter Results
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January 22, 2009

we have a strong capital structure with ample liquidity and we continue to build on a quality loan portfolio with manageable levels of non-performing loans and net charge-offs.

“During 2009, we will remain focused on credit quality, especially with regard to the early identification and resolution of emerging credit issues. In addition we will continue to focus on controlling growth, on further strengthening our capital structure and on expense management and reduction. As a result, we expect to maintain the flexibility to respond to strategic opportunities that are consistent with our long-term growth objectives. We believe we are well positioned to weather the current environment and that our financial strength will enhance our ability to grow when the economic cycle begins to improve.”

Conference Call

BancorpSouth will conduct a conference call to discuss its fourth quarter 2008 results tomorrow, January 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 credit quality, our loan growth and growth in demand deposits, our capital structure, the impact of the economic environment on our financial and operating results, the management and reduction of our expenses, our flexibility to respond to strategic opportunities, our financial strength, our ability to weather the current environment and to take advantage of opportunities for future growth and growth in mortgage lending revenue.

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 economic conditions and government fiscal and monetary policies, 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

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BXS Announces Fourth Quarter Results
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January 22, 2009

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 approximately $13.5 billion in assets. BancorpSouth Bank, a wholly-owned subsidiary of BancorpSouth, Inc., operates approximately 310 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.

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BXS Announces Fourth Quarter Results
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January 22, 2009

BancorpSouth, Inc.
Selected Financial Data

	Three Months Ended						Twelve Months Ended
	December 31,						December 31,
	2008			2007			2008			2007
(Dollars in thousands, except per share amounts)
Earnings Summary:
Net interest revenue	$	111,321		$	109,657		$	440,836		$	422,899
Provision for credit losses		17,822			7,771			56,176			22,696
Noninterest revenue		39,450			55,314			242,380			231,799
Noninterest expense		111,093			110,169			452,686			428,058
Income before income taxes		21,856			47,031			174,354			203,944
Income tax provision		5,060			14,803			53,943			66,001
Net income	$	16,796		$	32,228		$	120,411		$	137,943
Earning per share: Basic	$	0.20		$	0.39		$	1.46		$	1.69
Diluted	$	0.20		$	0.39		$	1.45		$	1.69
Balance sheet data at December 31:
Total assets							$	13,480,218		$	13,189,841
Total earning assets								12,210,439			11,948,038
Loans and leases, net of unearned income								9,691,277			9,179,684
Allowance for credit losses								132,793			115,197
Total deposits								9,711,872			10,064,099
Common shareholders’ equity								1,240,260			1,196,626
Book value per share								14.92			14.54
Average balance sheet data:
Total assets	$	13,279,593		$	13,080,720		$	13,200,801		$	12,857,135
Total earning assets		12,109,660			11,956,412			12,037,141			11,749,433
Loans and leases, net of unearned interest		9,604,142			9,105,475			9,429,963			8,784,940
Total deposits		9,598,321			10,045,400			9,803,999			10,200,098
Common shareholders’ equity		1,239,498			1,162,821			1,224,280			1,121,000
Non-performing assets at December 31:
Non-accrual loans and leases							$	28,168		$	9,789
Loans and leases 90+ days past due								33,373			18,671
Other real estate owned								46,317			24,281
Total non-performing assets								107,858			52,741
Net charge-offs as a percentage of average loans (annualized)		0.57	%		0.21	%		0.40	%		0.14	%
Performance ratios (annualized):
Return on average assets		0.50	%		0.98	%		0.91	%		1.07	%
Return on common equity		5.39	%		11.00	%		9.84	%		12.31	%
Net interest margin		3.74	%		3.72	%		3.75	%		3.68	%
Average shares outstanding — basic		83,096,799			82,230,448			82,589,400			81,505,510
Average shares outstanding — diluted		83,239,216			82,482,626			82,793,663			81,844,343

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BXS Announces Fourth Quarter Results
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January 22, 2009

BancorpSouth, Inc.
Consolidated Balance Sheet
(Unaudited)

	December 31,						%
	2008			2007			Change
	(Dollars in thousands)
Assets
Cash and due from banks	$	291,055		$	322,926			(9.87	%)
Interest bearing deposits with other banks		13,542			12,710			6.55	%
Held-to-maturity securities, at amortized cost		1,333,521			1,625,916			(17.98	%)
Available-for-sale securities, at fair value		982,859			1,001,194			(1.83	%)
Loans and leases		9,740,867			9,227,495			5.56	%
Less: Unearned income		49,590			47,811			3.72	%
Allowance for credit losses		132,793			115,197			15.27	%
Net loans and leases		9,558,484			9,064,487			5.45	%
Loans held for sale		189,242			128,532			47.23	%
Premises and equipment, net		351,204			317,379			10.66	%
Accrued interest receivable		79,183			96,027			(17.54	%)
Goodwill		268,966			254,889			5.52	%
Other assets		412,162			365,781			12.68	%
Total Assets	$	13,480,218		$	13,189,841			2.20	%
Liabilities
Deposits:
Demand: Noninterest bearing	$	1,735,130		$	1,670,198			3.89	%
Interest bearing		3,904,307			3,276,275			19.17	%
Savings		678,326			698,449			(2.88	%)
Other time		3,394,109			4,419,177			(23.20	%)
Total deposits		9,711,872			10,064,099			(3.50	%)
Federal funds purchased and securities sold under agreement to repurchase		1,205,366			809,898			48.83	%
Short-term Federal Home Loan Bank borrowings and other short-term borrowing		691,510			706,586			(2.13	%)
Accrued interest payable		20,755			37,746			(45.01	%)
Junior subordinated debt securities		160,312			160,312			0.00	%
Long-term Federal Home Loan Bank borrowings		286,312			88,977			221.78	%
Other liabilities		163,831			125,597			30.44	%
Total Liabilities		12,239,958			11,993,215			2.06	%
Shareholders’ Equity
Common stock		207,763			205,748			0.98	%
Capital surplus		215,255			198,620			8.38	%
Accumulated other comprehensive income (loss)		(26,896	)		(7,214	)		272.83	%
Retained earnings		844,138			799,472			5.59	%
Total Shareholders’ Equity		1,240,260			1,196,626			3.65	%
Total Liabilities & Shareholders’ Equity	$	13,480,218		$	13,189,841			2.20	%

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BXS Announces Fourth Quarter Results
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BancorpSouth, Inc.
Consolidated Condensed Statements of Income
(Dollars in thousands, except per share data)
(Unaudited)

	Quarter Ended												Year To Date
	Dec-08			Sep-08		Jun-08		Mar-08		Dec-07			Dec-08			Dec-07
INTEREST REVENUE:
Loans and leases	$	139,099		$	144,393	$	147,289	$	159,184	$	171,068		$	589,965		$	668,813
Deposits with other banks		111			172		193		208		274			684			1,144
Federal funds sold and securities purchased under agreement to resell		3			218		—		67		311			288			3,687
Held-to-maturity securities:
Taxable		13,625			14,063		15,044		15,947		16,890			58,679			68,142
Tax-exempt		2,053			1,959		2,025		2,075		2,120			8,112			8,256
Available-for-sale securities:
Taxable		8,693			9,025		8,531		9,564		10,227			35,813			41,212
Tax-exempt		867			874		1,260		1,204		941			4,205			4,026
Loans held for sale		2,117			1,920		1,420		2,210		1,751			7,667			5,962
Total interest revenue		166,568			172,624		175,762		190,459		203,582			705,413			801,242
INTEREST EXPENSE:
Interest bearing demand		15,924			14,214		12,938		17,257		19,765			60,333			83,833
Savings		1,080			1,366		1,291		1,543		1,934			5,280			9,301
Other time		28,293			33,660		39,778		46,860		52,551			148,591			215,723
Federal funds purchased and securities sold under agreement to repurchase		2,175			4,308		3,321		5,195		8,259			14,999			34,517
FHLB Borrowings		4,537			6,277		5,359		6,285		8,107			22,458			21,871
Other		3,238			3,197		3,232		3,249		3,309			12,916			13,098
Total interest expense		55,247			63,022		65,919		80,389		93,925			264,577			378,343
Net interest revenue		111,321			109,602		109,843		110,070		109,657			440,836			422,899
Provision for credit losses		17,822			16,306		11,237		10,811		7,771			56,176			22,696
Net interest revenue, after provision for credit losses		93,499			93,296		98,606		99,259		101,886			384,660			400,203
NONINTEREST REVENUE:
Mortgage lending		(12,174	)		3,270		9,507		1,543		(1,149	)		2,146			6,214
Credit card, debit card and merchant fees		8,409			8,512		8,846		7,976		7,904			33,743			29,836
Service charges		16,915			17,687		17,093		15,839		18,125			67,534			68,479
Trust income		2,328			2,507		2,261		2,234		2,996			9,330			10,154
Security gains (losses), net		(6,226	)		100		199		78		97			(5,849	)		121
Insurance commissions		18,752			21,779		21,462		24,668		16,181			86,661			71,182
Other		11,446			9,578		13,898		13,893		11,160			48,815			45,813
Total noninterest revenue		39,450			63,433		73,266		66,231		55,314			242,380			231,799
NONINTEREST EXPENSES:
Salaries and employee benefits		64,395			68,865		68,121		70,175		64,594			271,556			255,342
Occupancy, net of rental income		10,307			10,340		9,716		9,483		8,967			39,846			35,098
Equipment		6,319			6,214		6,245		6,433		6,078			25,211			24,214
Other		30,072			30,640		27,982		27,379		30,530			116,073			113,404
Total noninterest expenses		111,093			116,059		112,064		113,470		110,169			452,686			428,058
Income before income taxes		21,856			40,670		59,808		52,020		47,031			174,354			203,944
Income tax expense		5,060			12,325		19,683		16,875		14,803			53,943			66,001
Net income	$	16,796		$	28,345	$	40,125	$	35,145	$	32,228		$	120,411		$	137,943
Net income per share: Basic	$	0.20		$	0.34	$	0.49	$	0.43	$	0.39		$	1.46		$	1.69
Diluted	$	0.20		$	0.34	$	0.49	$	0.43	$	0.39		$	1.45		$	1.69

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BXS Announces Fourth Quarter Results
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January 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/
	Balance			Interest		Rate
(Taxable equivalent basis)
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 Fourth Quarter Results
Page 11
January 22, 2009

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

	Quarter Ended
	December 31, 2007
	Average					Yield/
	Balance			Interest		Rate
(Taxable equivalent basis)
ASSETS
Loans, loans held for sale, and leases net of unearned income	$	9,216,034		$	173,685		7.48	%
Held-to-maturity securities:
Taxable		1,498,608			16,890		4.47	%
Tax-exempt		192,464			3,261		6.72	%
Available-for-sale securities:
Taxable		923,725			10,227		4.39	%
Tax-exempt		79,422			1,448		7.23	%
Short-term investments		46,159			585		5.03	%
Total interest earning assets and revenue		11,956,412			206,096		6.84	%
Other assets		1,241,631
Less: allowance for credit losses		(117,323	)
Total	$	13,080,720
LIABILITIES AND SHAREHOLDERS’ EQUITY
Deposits:
Demand — interest bearing	$	3,214,493		$	19,765		2.44	%
Savings		700,583			1,934		1.09	%
Other time		4,512,151			52,550		4.62	%
Short-term borrowings		1,382,163			14,320		4.11	%
Junior subordinated debt		161,556			3,302		8.11	%
Long-term debt		141,576			2,054		5.75	%
Total interest bearing liabilities and expense		10,112,522			93,925		3.68	%
Demand deposits — noninterest bearing		1,618,173
Other liabilities		187,204
Total liabilities		11,917,899
Shareholders’ equity		1,162,821
Total	$	13,080,720
Net interest revenue				$	112,171
Net interest margin							3.72	%
Net interest rate spread							3.15	%
Interest bearing liabilities to interest earning assets							84.58	%
Net interest tax equivalent adjustment				$	2,514

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BXS Announces Fourth Quarter Results
Page 12
January 22, 2009

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

	Year to Date
	December 31, 2008
	Average					Yield/
	Balance			Interest		Rate
(Taxable equivalent basis)
ASSETS
Loans, loans held for sale, and leases net of unearned income	$	9,586,821		$	600,925		6.27	%
Held-to-maturity securities:
Taxable		1,282,512			59,119		4.61	%
Tax-exempt		184,243			12,480		6.77	%
Available-for-sale securities:
Taxable		859,932			35,813		4.16	%
Tax-exempt		90,703			6,470		7.13	%
Short-term investments		32,930			972		2.95	%
Total interest earning assets and revenue		12,037,141			715,779		5.95	%
Other assets		1,291,675
Less: allowance for credit losses		(128,015	)
Total	$	13,200,801
LIABILITIES AND SHAREHOLDERS’ EQUITY
Deposits:
Demand — interest bearing	$	3,552,690		$	60,333		1.70	%
Savings		712,330			5,280		0.74	%
Other time		3,874,192			148,591		3.84	%
Short-term borrowings		1,565,381			26,858		1.72	%
Junior subordinated debt		160,312			12,469		7.78	%
Long-term debt		278,845			11,046		3.96	%
Total interest bearing liabilities and expense		10,143,750			264,577		2.61	%
Demand deposits — noninterest bearing		1,664,787
Other liabilities		167,984
Total liabilities		11,976,521
Shareholders’ equity		1,224,280
Total	$	13,200,801
Net interest revenue				$	451,202
Net interest margin							3.75	%
Net interest rate spread							3.34	%
Interest bearing liabilities to interest earning assets							84.27	%
Net interest tax equivalent adjustment				$	10,366

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BXS Announces Fourth Quarter Results
Page 13
January 22, 2009

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

	Year to Date
	December 31, 2007
	Average					Yield/
	Balance			Interest		Rate
(Taxable equivalent basis)
ASSETS
Loans, loans held for sale, and leases net of unearned income	$	8,880,253		$	678,155		7.64	%
Held-to-maturity securities:
Taxable		1,530,247			68,142		4.45	%
Tax-exempt		189,234			12,701		6.71	%
Available-for-sale securities:
Taxable		977,459			41,212		4.22	%
Tax-exempt		84,292			6,194		7.35	%
Short-term investments		87,948			4,831		5.49	%
Total interest earning assets and revenue		11,749,433			811,235		6.90	%
Other assets		1,217,135
Less: allowance for credit losses		(109,433	)
Total	$	12,857,135
LIABILITIES AND SHAREHOLDERS’ EQUITY
Deposits:
Demand — interest bearing	$	3,191,433		$	83,833		2.63	%
Savings		718,080			9,301		1.30	%
Other time		4,636,436			215,723		4.65	%
Short-term borrowings		1,057,057			48,098		4.55	%
Junior subordinated debt		159,939			13,067		8.17	%
Long-term debt		144,006			8,321		5.77	%
Total interest bearing liabilities and expense		9,906,951			378,343		3.81	%
Demand deposits — noninterest bearing		1,654,149
Other liabilities		175,035
Total liabilities		11,736,135
Shareholders’ equity		1,121,000
Total	$	12,857,135
Net interest revenue				$	432,892
Net interest margin							3.68	%
Net interest rate spread							3.09	%
Interest bearing liabilities to interest earning assets							84.32	%
Net interest tax equivalent adjustment				$	9,993

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