.
.
.
EXHIBIT 99.1
NEWS RELEASE
[BANCORPSOUTH(R) LOGO]
CONTACT:
L. Nash Allen, Jr. Gary C. Bonds
Treasurer and Chief Financial Senior Vice President and
Officer Controller
662/680-2330 662/680-2332
BANCORPSOUTH, INC. ANNOUNCES FOURTH-QUARTER 2003 FINANCIAL RESULTS
TUPELO, Miss., Jan. 21, 2004 /PRNewswire-FirstCall via COMTEX/ -- BancorpSouth,
Inc. (NYSE: BXS) today announced that net income for the fourth quarter of 2003
was $28.9 million, a 12.7 percent increase from $25.6 million for the fourth
quarter of 2002. Net income per basic and diluted share was $0.37 for the fourth
quarter of 2003, up 12.1 percent from $0.33 for the fourth quarter of 2002.
Net income increased 17.1 percent for full-year 2003, to $131.1 million from
$112.0 million for full-year 2002. Net income per basic share rose 20.7 percent
for 2003 to $1.69 from $1.40 for 2002, and net income per diluted share
increased 20.9 percent to $1.68 from $1.39.
Aubrey Patterson, Chairman and Chief Executive Officer of BancorpSouth,
remarked, "We are pleased with BancorpSouth's financial and operating results
for the fourth quarter and for full-year 2003, especially during a period of low
loan demand. Consistent with trends throughout 2003, our fourth-quarter results
were driven by strong growth in non-interest revenue, including the more than
doubling of our insurance commissions for the fourth quarter compared with the
fourth quarter of last year. We attribute this growth, as well as substantial
gains in mortgage lending and other non-interest revenue, to our continuing
long-term strategy to provide a greater variety of financial services to our
core retail and small-to-mid-size business markets. In addition to creating
stronger customer relationships, the successful growth of these non-interest
revenue products and services significantly increased the diversification of our
revenue stream, with non-interest revenue for 2003 expanding to 54.1% of net
interest revenue for the year, up from 33.6% for 2002.
"The expansion of non-interest revenue more than offset a 6.8% decline in
fourth-quarter net interest revenue compared with the same period in 2002,
which, consistent with our full-year results, reflected lower interest rates and
loan demand. However, we were pleased to see initial indications of improving
loan demand during the latter part of the fourth quarter. With substantial
liquidity, solid credit quality and conservative capitalization, we are
confident of our prospects, assuming an improving economy, for expanding our
loan portfolio during 2004."
-MORE-
Box 789 - Tupelo, MS 38802-0789 - (662) 680-2000
BANCORPSOUTH, INC. is a bank holding company.
BXS Announces Fourth-Quarter Results
Page 2
January 21, 2004
Net Interest Revenue
For the fourth quarter of 2003, interest revenue was $126.2 million, a decrease
of 12.7 percent from $144.5 million for the fourth quarter of 2002 and a 2.8
percent decrease from $129.8 million for the third quarter of 2003. Interest
expense declined 23.0 percent to $40.1 million for the fourth quarter of 2003
from $52.1 million for the fourth quarter of 2002 and declined 4.4 percent from
$42.0 million for the third quarter of 2003.
The average taxable equivalent yield on earning assets for the fourth quarter of
2003 was 5.39 percent compared with 6.19 percent for the fourth quarter of 2002
and 5.52 percent for the third quarter of 2003. The average rate paid on
interest bearing liabilities declined to 1.99 percent for the fourth quarter of
2003 from 2.55 percent for the fourth quarter last year and from 2.07 percent
for the third quarter this year.
Net interest revenue for the fourth quarter of 2003 was $86.1 million, down 6.8
percent from $92.4 million for the fourth quarter of 2002 and down 2.0 percent
from $87.8 million for the third quarter of 2003. Net interest margin was 3.70
percent for the fourth quarter of 2003, compared with 4.00 percent for the
fourth quarter of 2002 and 3.76 percent for the third quarter of 2003.
Patterson continued, "Although the decline in net interest revenue for the
quarter is partially the result of lower loan volume and interest rates when
compared to the fourth quarter of 2002, it also reflects proactive steps taken
earlier in the year to manage our assets and liabilities to limit our exposure
to changing interest rates. As discussed in our first-quarter news release, we
foresaw the potential of our substantial securities sale - undertaken during the
first quarter to narrow our interest sensitivity gap - to contribute to a
reduced net interest margin in the event of stable or declining interest rates.
We stand by this decision to better position the Company for rising interest
rates, and we note that, despite the comparable-quarter declines during 2003,
net interest margin has remained within a range of six basis points for the past
three sequential quarters."
Deposit and Loan Activity
Total assets were $10.3 billion at December 31, 2003, a 1.1 percent increase
from $10.2 billion at December 31, 2002. Total deposits at the end of 2003 were
$8.6 billion, a 0.6 percent increase from $8.5 billion at the end of 2002. Total
loans at December 31, 2003, were $6.2 billion, down 2.4 percent from $6.4
billion at December 31, 2002.
"Responding to a 2.4 percent decline in the loan portfolio in 2003, we reduced
our total savings and time deposits by 2.5 percent," said Patterson. "We
produced an increase in total deposits, however, through 8.7 percent growth in
non-interest bearing demand deposits and 2.8 percent growth in interest bearing
demand deposits, which we attribute to increased market penetration. In addition
to providing BancorpSouth a low-cost source of funds, we believe the increased
market share implicit in this demand-deposit growth strengthens our prospects
for further expansion in a recovering economy."
-MORE-
BXS Announces Fourth-Quarter Results
Page 3
January 21, 2004
Provision for Credit Losses and Allowance for Credit Losses
BancorpSouth's provision for credit losses for the fourth quarter of 2003 was
$7.5 million, up 3.4 percent from $7.2 million for the fourth quarter of 2002
and 60.2 percent from $4.7 million for the third quarter of 2003. Annualized net
charges-offs declined to 0.38 percent of average loans for the fourth quarter of
2003 from 0.43 percent for the fourth quarter of last year, and increased from
0.34 percent for the third quarter of 2003.
Non-performing loans were $51.4 million at December 31, 2003, or 0.83 percent of
loans, compared with $39.6 million, or 0.62 percent of loans, at December 31,
2002, and $46.3 million, or 0.74 percent of loans, at September 30, 2003. The
allowance for credit losses also increased to 1.48 percent of loans at the end
of 2003 from 1.38 percent at the end of 2002 and 1.45 percent at the end of the
third quarter of 2003.
Mr. Patterson added, "We remain pleased with BancorpSouth's credit quality at
year end, which, after a multi-year period of economic weakness, is a tribute to
the soundness of the Company's lending and credit practices. Although the
provision for credit losses increased slightly on a comparable quarter basis, it
fell 14.6 percent for the full year versus full-year 2002. Our net charge-offs
as a percentage of average loans improved on an annual and quarterly
comparable-period basis, and we strengthened our allowance for credit losses.
Both of these indicators of asset quality for BancorpSouth compare well to
industry averages. Because BancorpSouth is primarily a secured lender, we do not
anticipate a significant rise in charge-offs despite the increase in
non-performing loans at year-end."
Non-Interest Revenue
BancorpSouth's non-interest revenue increased 47.3 percent for the fourth
quarter of 2003 to $48.1 million from $32.6 million for the fourth quarter of
2002 and declined 3.5 percent from $49.8 million for the third quarter of 2003.
The largest portion of the comparable-quarter revenue growth is attributable to
the 121.0 percent increase in insurance commissions, to $13.1 million from $5.9
million, primarily as a result of the second-quarter acquisition of Wright &
Percy Insurance and the third-quarter acquisition of Ramsey, Krug, Farrell &
Lensing Insurance. In addition, mortgage lending revenue increased 83.2 percent,
service charges increased 17.1 percent and other non-interest revenue increased
47.4 percent.
Reflecting the relatively stable interest rate environment, the Company's
mortgage lending revenue of $6.4 million for the fourth quarter of 2003 included
the recovery of $3.8 million of a previously recorded non-cash impairment charge
against the mortgage servicing asset. Mortgage lending revenue for the fourth
quarter of 2002 of $3.5 million included a non-cash provision for the impairment
of the asset of $3.2 million. The Company expects mortgage lending revenue will
continue to be affected by non-cash impairment charges and recoveries against
its mortgage servicing asset due to changing interest rates. Also reflecting a
shift to higher mortgage interest rates, mortgage originations for the fourth
quarter of 2003 totaled $140.6 million compared with $365.6 million for the
fourth quarter of 2002. Nevertheless, the Company's total mortgage originations
for 2003 totaled $1.2 billion, significantly above the $1.0 billion in total
originations produced for 2002.
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BXS Announces Fourth-Quarter Results
Page 4
January 21, 2004
"We expect our increasing ability to provide more comprehensive financial
services to our customers will continue to be a key element of our long-term
strategy for profitable growth," remarked Patterson. "We are focused on
increasing non-interest revenue, as we fully roll out new and existing products
and services across our six-state core market. We also will continue to evaluate
accretive acquisitions like those completed in 2003. Our mortgage servicing
business remains an important component of our growth strategy. Although we
would expect mortgage origination volume to slow in response to higher interest
rates, the record level of low interest rate originations achieved for 2003 and
2002 has significantly reduced the pre-payment risk of our $2.8 billion mortgage
servicing portfolio in a rising rate environment, making it a more predictable
source of future revenue."
Non-Interest Expense
Non-interest expense increased 3.0 percent to $84.8 million for the fourth
quarter of 2003 from $82.3 million for the fourth quarter of 2002. This increase
primarily resulted from a 9.7 percent rise in salaries and employee benefits,
which reflected the integration of the Company's acquisition of two insurance
agencies in the second and third quarters. The acquisitions also increased other
non-interest expenses, which totaled $23.9 million for the fourth quarter of
2003 compared with $22.2 million for the third quarter of 2003. Other
non-interest expenses for the fourth quarter of 2003 declined 5.8 percent from
$25.4 million for the fourth quarter of 2002.
Capital Management
During the fourth quarter of 2003, BancorpSouth repurchased 116,200 shares of
its common stock under a stock repurchase plan authorized in April 2003. A total
of 443,508 shares had been purchased at December 31, 2003 under this plan which
authorized the repurchase of up to 3.9 million shares. Combined with the shares
repurchased earlier under separate plans for the repurchase of 4.2 million
shares and 4.1 million shares, BancorpSouth had repurchased approximately 8.7
million shares of its common stock as of December 31, 2003, or 10.4 percent of
its outstanding shares at March 31, 2001, when the first of these plans was
authorized. BancorpSouth will continue to evaluate additional share repurchases
under the April 2003 plan, which authorizes these repurchases during a two-year
period.
Summary
"The foundation for BancorpSouth's profitable growth for the fourth quarter and
full-year 2003 is consistent and high quality customer service provided by well
trained, experienced people," concluded Patterson. "Our ingrained culture of
community bank-style service, and the strong customer relationships that develop
as a result, have not only differentiated BancorpSouth over many years but have
also driven the growth that has enabled us to steadily enhance the
sophistication and comprehensiveness of the financial products and services we
provide. We are confident that the qualities that have produced profitable
growth and increased shareholder value in each of the three challenging years
since the economy began to weaken in 2000 will continue to support us in today's
still uncertain economic environment and become even more compelling in a period
of sustained economic expansion."
-MORE-
BXS Announces Fourth-Quarter Results
Page 5
January 21, 2004
Conference Call
BancorpSouth will conduct a conference call with analysts at 1:30 p.m. (Central
Time) on January 22, 2004. 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, those relating to
interest rates, loan demand and lending activities, market share, credit
quality, expansion of loan portfolio and resulting benefits, non-interest
revenue, expansion of products and services, internal growth and acquisitions,
common stock repurchase plan, shareholder value, strategies to achieve
consistent long-term growth and BancorpSouth's future growth and profitability.
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, due to a variety of
factors. Those factors include, but are not limited to, changes in economic
conditions and government fiscal and monetary policies, fluctuations in
prevailing interest rates, the ability to maintain credit quality, the ability
of BancorpSouth to effectively integrate acquisitions, changes in laws and
regulations affecting financial institutions in general, possible adverse
rulings, judgments, settlements and other outcomes of pending litigation, the
ability of BancorpSouth to compete with other financial services companies, the
ability of BancorpSouth to provide competitive services and products, changes in
BancorpSouth's operating or expansion strategy, geographic concentration of
BancorpSouth's assets, availability of and costs associated with obtaining
adequate and timely sources of liquidity, the ability of BancorpSouth to
attract, train and retain qualified personnel, the ability of BancorpSouth to
effectively market its services and products, the ability of BancorpSouth to
repurchase its common stock on favorable terms, the ability of BancorpSouth to
identify potential acquisitions, 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 bank holding company headquartered in Tupelo,
Mississippi with approximately $10.3 billion in assets. BancorpSouth operates
approximately 250 commercial banking, insurance, trust and broker/dealer
locations in Alabama, Arkansas, Louisiana, Mississippi, Tennessee and Texas.
-MORE-
SELECTED FINANCIAL DATA
Three Months Ended Twelve Months Ended
December 31, December 31,
---------------------------- -----------------------------
2003 2002 2003 2002
----------- ----------- ----------- -----------
(Dollars in thousands, except per share amounts)
EARNINGS SUMMARY:
Net interest revenue $ 86,085 $ 92,394 $ 351,106 $ 371,526
Provision for credit losses 7,472 7,228 25,130 29,411
Non-interest revenue 48,074 32,628 190,086 124,826
Non-interest expense 84,827 82,325 322,594 304,985
----------- ----------- ----------- -----------
Income before income taxes 41,860 35,469 193,468 161,956
Income tax provision 12,990 9,848 62,334 49,938
----------- ----------- ----------- -----------
Net income $ 28,870 $ 25,621 $ 131,134 $ 112,018
=========== =========== =========== ===========
Earning per share: Basic $ 0.37 $ 0.33 $ 1.69 $ 1.40
=========== =========== =========== ===========
Diluted: $ 0.37 $ 0.33 $ 1.68 $ 1.39
=========== =========== =========== ===========
BALANCE SHEET DATA AT DECEMBER 31:
Total assets $10,303,478 $10,189,247
Total earning assets 9,466,037 9,427,250
Loans and lease receivables, net of unearned discount 6,233,067 6,389,385
Allowance for credit losses 92,112 87,875
Total deposits 8,599,128 8,548,918
Common shareholders' equity 869,210 807,823
Book value per share 11.15 10.40
AVERAGE BALANCE SHEET DATA:
Total assets $10,213,475 $10,133,283 $10,236,772 $ 9,882,168
Total earning assets 9,471,363 9,447,700 9,517,008 9,232,615
Loans and lease receivables, net of unearned discount 6,200,368 6,357,688 6,276,805 6,283,798
Total deposits 8,495,008 8,490,567 8,533,115 8,247,444
Common shareholders' equity 859,823 802,890 845,899 810,893
NON-PERFORMING ASSETS AT DECEMBER 31:
Non-accrual loans $ 18,139 $ 10,514
Loans 90+ days past due 30,634 29,104
Restructured loans 2,659 20
Other real estate owned 14,952 18,978
Net charge-offs as a percentage
of average loans (annualized) 0.38% 0.43% 0.33% 0.41%
PERFORMANCE RATIOS (ANNUALIZED)
Return on average assets 1.12% 1.00% 1.28% 1.13%
Return on common equity 13.32% 12.66% 15.50% 13.81%
Net interest margin 3.70% 4.00% 3.80% 4.15%
Average shares outstanding - diluted 78,368,591 78,576,536 78,163,647 80,480,627
BANCORPSOUTH, INC.
CONSOLIDATED BALANCE SHEETS
(DOLLARS IN THOUSANDS)
(UNAUDITED)
December 31, December 31,
2003 2002
------------ ------------
Assets
Cash & due from banks $ 369,699 $ 356,976
Interest bearing deposits with
other banks 9,327 5,007
Held-to-maturity securities 1,091,991 1,193,375
Available-for-sale securities 1,989,690 1,642,172
Federal funds sold and securities
purchased under agreement
to resell 67,293 139,508
Loans & leases 6,233,067 6,389,385
Allowance for credit losses (92,112) (87,875)
------------ ------------
Net loans & leases 6,140,955 6,301,510
Loans held for sale 74,669 57,804
Bank premises & equipment 212,216 210,183
Accrued interest receivable 75,914 83,614
Other real estate owned 14,952 18,978
Other assets 256,772 180,120
------------ ------------
Total assets $ 10,303,478 $ 10,189,247
============ ============
Liabilities
Demand deposits:
Non-interest bearing $ 1,286,607 $ 1,183,127
Interest bearing 2,524,159 2,455,821
------------ ------------
Total demand deposits 3,810,766 3,638,948
Savings & time deposits:
Savings 779,298 824,902
Certificates of deposit 4,009,064 4,085,068
------------ ------------
Total savings & time deposits 4,788,362 4,909,970
------------ ------------
Total deposits 8,599,128 8,548,918
Federal funds purchased and
securities sold under
agreement to repurchase 437,014 457,389
Short-term borrowings 0 0
Accrued interest payable 17,140 23,306
Junior subordinated debt 128,866 125,000
Long-term debt 138,498 139,757
Other liabilities 113,622 87,054
------------ ------------
Total liabilities 9,434,268 9,381,424
------------ ------------
Shareholders' Equity
Common stock 194,817 194,202
Capital surplus 43,344 20,773
Unrealized gain (loss) on
securities 14,602 37,744
Retained earnings 616,447 555,104
------------ ------------
Total shareholders' equity 869,210 807,823
------------ ------------
Total liabilities and
shareholders' equity $ 10,303,478 $ 10,189,247
============ ============
BANCORPSOUTH, INC.
CONSOLIDATED STATEMENTS OF INCOME
(AMOUNTS IN THOUSANDS, EXCEPT PER SHARE DATA)
(UNAUDITED)
QUARTER ENDED YEAR TO DATE
------------------------------------------------------------ ---------------------
DEC-03 SEP-03 JUN-03 MAR-03 DEC-02 DEC-03 DEC-02
-------- -------- -------- -------- -------- -------- --------
Interest Revenue:
Loans, including fees $ 95,678 $ 99,188 $103,146 $105,252 $110,129 $403,263 $451,127
Held-to-maturity
securities: 11,691 12,199 14,707 15,818 15,681 54,416 64,779
Available-for-sale
securities 17,986 17,063 13,026 14,221 16,277 62,297 62,702
Short term investments 868 1,362 2,315 2,391 2,451 6,935 11,810
-------- -------- -------- -------- -------- -------- --------
Total interest revenue 126,223 129,812 133,194 137,682 144,538 526,911 590,418
Interest Expense:
Deposits 33,929 35,260 39,289 40,544 44,695 149,022 188,530
Short term borrowings 1,090 1,055 987 904 1,132 4,036 4,621
Long term borrowings 2,070 2,075 2,079 2,082 2,090 8,306 8,365
Junior subordinated debt 2,547 2,547 2,547 2,547 2,547 10,188 9,423
Other interest expense 502 1,067 1,223 1,461 1,680 4,253 7,953
-------- -------- -------- -------- -------- -------- --------
Total interest expense 40,138 42,004 46,125 47,538 52,144 175,805 218,892
-------- -------- -------- -------- -------- -------- --------
Net interest revenue 86,085 87,808 87,069 90,144 92,394 351,106 371,526
Provision for credit
losses 7,472 4,664 6,472 6,522 7,228 25,130 29,411
-------- -------- -------- -------- -------- -------- --------
Net interest revenue,
after credit loss
provision 78,613 83,144 80,597 83,622 85,166 325,976 342,115
Non-Interest Revenue
Mortgage lending 6,441 10,323 1,634 4,854 3,515 23,252 2,515
Service charges 15,882 16,131 16,232 13,654 13,557 61,899 49,249
Life insurance premiums 657 760 876 961 1,031 3,255 4,340
Trust income 2,138 1,905 1,684 1,486 1,767 7,214 7,021
Securities gains, net 40 60 180 13,556 170 13,837 5,486
Insurance commissions 13,101 11,946 8,314 6,387 5,927 39,749 23,604
Other 9,815 8,695 10,962 11,411 6,661 40,880 32,611
-------- -------- -------- -------- -------- -------- --------
Total non-interest revenue 48,074 49,820 39,882 52,309 32,628 190,086 124,826
Non-Interest Expense
Salaries and employee
benefits 47,633 46,449 44,974 42,754 43,431 181,810 163,691
Occupancy 5,853 5,932 5,609 5,580 5,497 22,973 21,658
Equipment 5,569 6,063 5,776 6,003 6,093 23,411 24,962
Telecommunications 1,874 1,915 1,828 1,860 1,948 7,477 7,827
Other 23,898 22,192 20,113 20,719 25,356 86,923 86,847
-------- -------- -------- -------- -------- -------- --------
Total non-interest expense 84,827 82,551 78,300 76,916 82,325 322,594 304,985
-------- -------- -------- -------- -------- -------- --------
Income before
income taxes 41,860 50,413 42,179 59,015 35,469 193,468 161,956
Income tax expense 12,990 16,539 12,938 19,867 9,848 62,334 49,938
-------- -------- -------- -------- -------- -------- --------
Net Income $ 28,870 $ 33,874 $ 29,241 $ 39,148 $ 25,621 $131,134 $112,018
======== ======== ======== ======== ======== ======== ========
Net Income Per Share:
Basic $ 0.37 $ 0.43 $ 0.38 $ 0.51 $ 0.33 $ 1.69 $ 1.40
======== ======== ======== ======== ======== ======== ========
Diluted $ 0.37 $ 0.43 $ 0.37 $ 0.50 $ 0.33 $ 1.68 $ 1.39
======== ======== ======== ======== ======== ======== ========
BANCORPSOUTH, INC.
AVERAGE BALANCES, INTEREST INCOME AND EXPENSE,
AND AVERAGE YIELDS AND RATES
(DOLLARS IN THOUSANDS)
(UNAUDITED)
QUARTER ENDED
DECEMBER 31, 2003
-------------------------------------------
AVERAGE YIELD/
BALANCE INTEREST RATE
------------ -------- ------
(Taxable equivalent basis)
ASSETS
Loans net of Unearned Income $ 6,272,715 $ 96,018 6.07%
Held-to-maturity securities:
Taxable 889,669 9,831 4.38%
Non Taxable 154,458 2,861 7.35%
Available-for-sale securities:
Taxable 1,813,225 16,108 3.52%
Non Taxable 185,682 2,889 6.17%
Short term investments 155,614 868 2.21%
------------ --------
Total interest earning
assets and revenue 9,471,363 128,575 5.39%
Other assets 833,404
Less: allowance for credit losses (91,292)
------------
Total $ 10,213,475
============
LIABILITIES AND
SHAREHOLDERS' EQUITY
Deposits:
Demand - interest bearing $ 2,477,156 $ 5,168 0.83%
Savings 784,774 1,405 0.71%
Time 4,003,151 27,355 2.71%
Short-term borrowings 472,366 1,592 1.34%
Junior subordinated debt 125,042 2,547 8.15%
Long-term debt 138,608 2,070 5.92%
------------ --------
Total interest bearing
liabilities and expense 8,001,097 40,137 1.99%
Demand deposits -
non-interest bearing 1,229,927
Other liabilities 122,628
------------
Total liabilities 9,353,652
Shareholders' equity 859,823
------------
Total $ 10,213,475
============ --------
Net interest revenue $ 88,438
========
Net interest margin 3.70%
Net interest rate spread 3.40%
Interest bearing liabilities to
interest earning assets 84.48%
Net interest tax equivalent adjustment $ 2,353
BANCORPSOUTH, INC.
AVERAGE BALANCES, INTEREST INCOME AND EXPENSE,
AND AVERAGE YIELDS AND RATES
(DOLLARS IN THOUSANDS)
(UNAUDITED)
QUARTER ENDED
DECEMBER 31, 2002
-------------------------------------------
AVERAGE YIELD/
BALANCE INTEREST RATE
------------ -------- ------
(Taxable equivalent basis)
ASSETS
Loans net of Unearned Income $ 6,431,410 $110,573 6.82%
Held-to-maturity securities:
Taxable 1,014,286 13,328 5.21%
Non Taxable 187,603 3,619 7.65%
Available-for-sale securities:
Taxable 1,317,550 14,118 4.25%
Non Taxable 204,586 3,322 6.44%
Short term investments 292,265 2,451 3.33%
------------ --------
Total interest earning
assets and revenue 9,447,700 147,411 6.19%
Other assets 773,798
Less: allowance for credit losses (88,215)
------------
Total $ 10,133,283
============
LIABILITIES AND
SHAREHOLDERS' EQUITY
Deposits:
Demand - interest bearing $ 2,414,759 $ 8,099 1.33%
Savings 832,530 2,788 1.33%
Time 4,128,077 33,808 3.25%
Short-term borrowings 459,505 2,812 2.43%
Junior subordinated debt 125,000 2,547 8.15%
Long-term debt 139,859 2,090 5.93%
------------ --------
Total interest bearing
liabilities and expense 8,099,730 52,144 2.55%
Demand deposits -
non-interest bearing 1,115,201
Other liabilities 115,463
------------
Total liabilities 9,330,394
Shareholders' equity 802,890
------------
Total $ 10,133,284
============ --------
Net interest revenue $ 95,267
========
Net interest margin 4.00%
Net interest rate spread 3.64%
Interest bearing liabilities to
interest earning assets 85.73%
Net interest tax equivalent adjustment $ 2,873
2
BANCORPSOUTH, INC.
AVERAGE BALANCES, INTEREST INCOME AND EXPENSE,
AND AVERAGE YIELDS AND RATES
(DOLLARS IN THOUSANDS)
(UNAUDITED)
YEAR TO DATE
DECEMBER 31, 2003
-------------------------------------------
AVERAGE YIELD/
BALANCE INTEREST RATE
------------ -------- ------
(Taxable equivalent basis)
ASSETS
Loans net of Unearned Income $ 6,342,430 $404,734 6.38%
Held-to-maturity securities:
Taxable 1,130,833 46,319 4.10%
Non Taxable 164,762 12,455 7.56%
Available-for-sale securities:
Taxable 1,412,151 54,426 3.85%
Non Taxable 191,589 12,108 6.32%
Short term investments 275,243 6,935 2.52%
------------ --------
Total interest earning
assets and revenue 9,517,008 536,977 5.64%
Other assets 810,463
Less: allowance for credit losses (90,699)
------------
Total $ 10,236,772
============
LIABILITIES AND
SHAREHOLDERS' EQUITY
Deposits:
Demand - interest bearing $ 2,478,188 $ 24,186 0.98%
Savings 799,861 7,074 0.88%
Time 4,074,487 117,761 2.89%
Short-term borrowings 475,391 8,290 1.74%
Junior subordinated debt 125,011 10,188 8.15%
Long-term debt 139,082 8,306 5.97%
------------ --------
Total interest bearing
liabilities and expense 8,092,020 175,805 2.17%
Demand deposits -
non-interest bearing 1,180,579
Other liabilities 118,274
------------
Total liabilities 9,390,873
Shareholders' equity 845,899
------------
Total $ 10,236,772
============ --------
Net interest revenue $361,172
========
Net interest margin 3.80%
Net interest rate spread 3.47%
Interest bearing liabilities to
interest earning assets 85.03%
Net interest tax equivalent adjustment $ 10,066
3
BANCORPSOUTH, INC.
AVERAGE BALANCES, INTEREST INCOME AND EXPENSE,
AND AVERAGE YIELDS AND RATES
(DOLLARS IN THOUSANDS)
(UNAUDITED)
YEAR TO DATE
DECEMBER 31, 2002
--------------------------------------------
AVERAGE YIELD/
BALANCE INTEREST RATE
------------ -------- ------
(Taxable equivalent basis)
ASSETS
Loans net of Unearned Income $ 6,342,682 $452,982 7.14%
Held-to-maturity securities:
Taxable 998,800 55,091 5.52%
Non Taxable 194,089 14,905 7.68%
Available-for-sale securities:
Taxable 1,160,733 54,065 4.66%
Non Taxable 199,218 13,287 6.67%
Short term investments 337,093 11,810 3.50%
------------ --------
Total interest earning
assets and revenue 9,232,615 602,140 6.52%
Other assets 735,800
Less: allowance for credit losses (86,247)
------------
Total $ 9,882,168
============
LIABILITIES AND
SHAREHOLDERS' EQUITY
Deposits:
Demand - interest bearing $ 2,338,775 $ 35,756 1.53%
Savings 852,694 12,689 1.49%
Time 3,991,757 140,085 3.51%
Short-term borrowings 457,347 12,574 2.75%
Junior subordinated debt 114,726 9,423 8.15%
Long-term debt 140,085 8,366 5.97%
------------ --------
Total interest bearing
liabilities and expense 7,895,384 218,893 2.77%
Demand deposits -
non-interest bearing 1,064,218
Other liabilities 111,673
------------
Total liabilities 9,071,275
Shareholders' equity 810,893
------------
Total $ 9,882,168
============ --------
Net interest revenue $383,247
========
Net interest margin 4.15%
Net interest rate spread 3.75%
Interest bearing liabilities to
interest earning assets 85.52%
Net interest tax equivalent adjustment $ 11,721