News

BancorpSouth, Inc., today reported that net income for the quarter ended June 30, 2000 amounted to $17,921,000 compared to $16,450,000 for the same period of 1999, an 8.9% increase. On a diluted per share basis, net income for the second quarter of 2000 was $0.32 compared to $0.29 for the second quarter of 1999, a 10.3% increase. Net income for the six months ended June 30, 2000 totaled $36.1 million compared to $33.3 million for the same period in 1999, an 8.3% increase. On a diluted per share basis, net income for the six months ended June 30, 2000 was $0.64 compared to $0.58 for the same period in 1999, a 10.3% increase.

Aubrey B. Patterson, Chairman and CEO of BancorpSouth said, "Our Company continues to experience good loan growth in both the consumer and business banking areas. The Company also continues to demonstrate its ability to maintain and grow deposits in an extremely competitive environment. BusinessCorp, the Company's small business initiative, continues its contribution to our loan and deposit growth as well as providing significant contributions to our non-traditional banking divisions. These divisions, BancorpSouth Insurance and BancorpSouth Investments, continue their positive impact on earnings."

Patterson went on to say, "As we anticipate the consummation of our pending merger with First United Bancshares of El Dorado, Arkansas, we look forward to building a banking company with a six-state regional platform in the Mid-South."

At June 30, 2000, total deposits were $5.1 billion, an increase of 8.6% when compared to the same period of 1999. Total assets were $6.0 billion, up 7.7% compared with the same period of 1999. Total net loans and leases were $4.3 billion, an increase of 12.1%. Shareholders' equity totaled $492.2 million, which represented book value of $8.84 per share.

BancorpSouth previously announced its plans to merge with First United Bancshares of El Dorado, AR. First United operates eleven banks in Arkansas, Texas and Louisiana with assets totaling approximately $2.7 billion. The merger is expected to close in the third quarter of 2000.

BancorpSouth provides retail and commercial banking services through 171 locations in Mississippi, Tennessee and Alabama. The company also provides investment services through its subsidiary, BancorpSouth Investment Services, Inc., and insurance services through its subsidiary BancorpSouth Insurance Services. BancorpSouth's common stock is traded on the New York Stock Exchange under the symbol BXS.

  Selected Financial Data

                            Three Months Ended           Six Months Ended
                                  June 30,                   June 30,
                            2000          1999         2000          1999
                           (Dollars in thousands except per share amounts)

  Earnings summary:
  Net interest revenue   $57,018       $53,668     $112,745      $106,083
  Provision for
   credit losses           5,136         3,607        8,449         6,670
  Noninterest revenue     19,989        19,307       41,481        42,295
  Noninterest expense     45,310        45,070       91,869        93,970
  Income before
   income taxes           26,561        24,298       53,908        47,738
  Income tax provision     8,640         7,848       17,833        14,423
  Net income             $17,921       $16,450      $36,075       $33,315

  Earnings per share:
      Basic                $0.32         $0.29        $0.64         $0.58
      Diluted              $0.32         $0.29        $0.64         $0.58


  Balance sheet data at June 30:

  Total assets                                   $6,037,496    $5,603,996
  Total earning assets                            5,625,746     5,231,773
  Loans and lease receivables,
   net of unearned discount                       4,253,631     3,793,009
  Allowance for credit losses                        58,504        54,004
  Total deposits                                  5,107,093     4,700,628
  Common shareholders' equity                       492,224       479,806
  Book value per share                                 8.84          8.38


  Average balance sheet data:
  Total assets        $5,878,439    $5,477,882   $5,846,637    $5,444,118
  Total earning assets 5,496,620     5,127,771    5,464,259     5,091,744
  Loans and lease
   receivables, net of
   unearned discount   4,176,253     3,721,920    4,124,538     3,675,447
  Total deposits       4,971,747     4,649,730    4,923,200     4,633,298
  Common shareholders'
   equity                493,190       475,052      494,490       471,303


  Non-performing assets at June 30:
  Non-accrual loans                                  $6,863        $4,361
  Loans 90+ days past due                            14,645         9,231
  Restructured loans                                     67           103
  Other real estate owned                             7,587         7,508


  Net charge-off as a
   percentage of average
   loans (annualized)      0.33%         0.19%        0.27%         0.20%

  Performance ratios (annualized):
   Return on
    average assets         1.22%         1.20%        1.23%         1.22%
   Return on
    common equity         14.54%        13.85%       14.59%        14.14%

  Net interest margin      4.32%         4.35%        4.30%         4.36%

  Average shares
   outstanding
   -diluted           56,382,772    57,534,886   56,794,771    57,529,282

SOURCE: Bancorp South, Inc.