Exhibit 99.1

   First Tennessee National Corp. to Purchase Subordinated Debt


    MEMPHIS, Tenn.--(BUSINESS WIRE)--July 30, 2003--First Tennessee
National Corp. (NYSE: FTN) announced today that management has been
delegated the authority within defined limits to purchase up to the
total principal amount outstanding of the company's 6.75 percent
November 2005 subordinated debt ($75 million). Since this outstanding
debt issue is in the last half of its term, it provides only limited
regulatory capital benefit and will be replaced with short-term market
rate funds.
    Today a tender offer was commenced to purchase this debt issue at
a price reflecting a formula-driven premium to its par value. Using
the formula with the appropriate spread over the benchmark rate as of
1:30 pm CDST yesterday (07/29/03), a premium of 10.8 percent over par
would be paid for the company's debt. Because the company is offering
to pay a premium, the tender offer, if completed, will result in a
current charge to earnings. The amount of the charge will primarily
depend on the amount of the debt issue tendered and purchased in the
offer, which is estimated to be between 60 percent and 90 percent of
the total principal amount outstanding.
    Even with this charge, which is part of this quarter's anticipated
initiatives to create future earnings, we confirm the earnings outlook
as of July 17, 2003, as provided in our second quarter 2003 earnings
press release on that date.
    Purchase activities are expected to take place during the third
quarter of 2003 and will be managed by FTN Financial Securities Corp.,
a subsidiary of First Tennessee Bank National Assoc.

    About First Tennessee

    The First Tennessee National Corp. (NYSE: FTN) family of companies
provides financial services to individual and business customers
through First Tennessee Bank, which has earned one of the highest
customer retention rates of any bank in the country; First Horizon
Home Loans, which earned a top-five ranking in customer satisfaction
from J.D. Power and Associates; FTN Financial, one of the nation's
top underwriters of U.S. government agency securities; and First
Horizon Merchant Services, one of the most successful processors of
credit card payments for the travel industry. More than 12,000
employees provide financial services through hundreds of offices
located in more than 30 states. Our companies have been recognized as
some of the nation's best employers by Working Mother, Business Week
and Fortune magazines. We were also named one of the nation's 100 best
corporate citizens by Business Ethics magazine. More information can
be found at www.FirstTennessee.com.
    This press release contains forward-looking statements involving
significant risks and uncertainties. A number of factors could cause
actual results to differ materially from those in the forward-looking
information. Those factors are outlined in the recent earnings press
release and in more detail in the most current 10-K and 10-Q. First
Tennessee National Corporation disclaims any obligation to update any
of the forward-looking statements that are made from time to time, to
reflect future events or developments.


    CONTACT: The First Tennessee National Corp., Memphis
             Mark Yates, 901-523-4068
             or
             Kim Cherry, 901-523-4726