Exhibit 99.1

News Release

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

BancorpSouth Announces Earnings of $0.34 per Diluted Share
for Third Quarter 2008

TUPELO, Miss., October 20, 2008/PRNewswire-FirstCall via COMTEX/ — BancorpSouth, Inc. (NYSE: BXS) today announced financial results for the third quarter ended September 30, 2008.

     Highlights of the announcement include:

• Solid profitability for the third quarter of 2008, with net income of $28.3 million, or $0.34 per diluted share.

• Net interest margin stable at 3.67 percent.

• Growth in net interest revenue of 1.6 percent for the third quarter of 2008, driven by continued loan growth.

• Strong credit quality with third quarter net charge-offs of 0.45 percent of average net loans and leases; manageable non-performing loans at 0.68 percent of ending net loans.

• Increase in non-interest revenue of 9.6 percent to $63.4 million, led by a 24.2 percent increase in insurance commissions.

• Further expansion of equity to assets ratio to 9.34 percent at the end of the third quarter of 2008 from 8.91 percent at the end of the third quarter of 2007.

Third Quarter 2008 Summary Results

BancorpSouth’s net income for the third quarter of 2008 was $28.3 million compared with $36.3 million for the third quarter of 2007. Net income per diluted share was $0.34 for the third quarter of 2008 and $0.44 for the third quarter of 2007.

Commenting on the announcement, Aubrey Patterson, Chairman and Chief Executive Officer of BancorpSouth, said, “In an unusually challenging environment for the financial services industry, BancorpSouth produced very solid operating and financial results for the third quarter of 2008. We enhanced our already strong capital structure and maintained ample sources of liquidity. Our credit quality remained strong with net charge-offs and non-performing assets

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Box 789 • Tupelo, MS 38802-0789 • (662) 680-2000
is a financial holding company.

BXS Announces Third Quarter Results
Page 2
October 20, 2008

rising but remaining at manageable levels. Through disciplined implementation of our asset/liability management strategies, we produced a relatively high net interest margin, and a modest increase in net interest revenue.

“As we have previously stated, we are not immune to the impact of the slowing economy or other challenges facing the financial industry. Our nonperforming loans and net charge-offs increased for the third quarter of 2008 and a larger provision for credit losses was primarily responsible for the decline in net income compared with the third quarter of 2007. As a result of our long-term conservative lending and investment philosophies, we have virtually no exposure to the credit issues affecting the subprime residential mortgage market and no equity investments in the securities of Fannie Mae or Freddie Mac. We believe that we are in a strong competitive position relative to many of our peers to continue serving our customers effectively, implementing our long-term operating and growth strategies, and expanding our market share.”

Net Interest Revenue

Net interest revenue increased 1.6 percent over the third quarter 2007 level to $109.6 million, as growth in loans more than offset a decline in investment securities and other earning assets. The fully taxable equivalent net interest margin remained stable at 3.67 percent compared to 3.66 percent in the third quarter of 2007.

Patterson remarked, “For the third quarter, we produced an increase in net interest revenue and maintained a relatively strong net interest margin. While the growth in our loans contributed to positive net interest revenue, we also continued the disciplined implementation of our asset/liability management strategies which has been evident throughout the year.

“These strategies are focused on improving net interest revenue by funding loan growth with proceeds from maturing lower yielding investment securities, borrowings from the Federal Home Loan Bank (FHLB) and the Federal Reserve and growth in demand deposits, which increased 11.5 percent and 7.1 percent at the end of the third quarter of 2008 from the end of the third quarter of 2007 and second quarter of 2008, respectively. In addition, we reduced higher cost time deposits 23.1 percent and 11.1 percent on the same comparable-quarter and sequential-quarter basis, respectively, through conservative pricing. We still have access to ample sources of liquidity due to our substantial capacity for further short-term borrowings with the FHLB. We believe these asset/liability management strategies remain relevant to our continuing efforts to manage our interest-rate risk and maintain our liquidity.”

Deposit and Loan Activity

Total assets at September 30, 2008 increased 1.1 percent to $13.3 billion from $13.1 billion at September 30, 2007. Total deposits declined 5.0 percent to $9.7 billion at September 30, 2008 from $10.2 billion at September 30, 2007. Loans and leases, net of unearned income, increased 5.9 percent to $9.6 billion at September 30, 2008 from $9.1 billion at September 30, 2007.

“Although loan growth was moderate during the third quarter, we were pleased with the increase achieved given the economic environment and increased competition for high quality loans,” said Patterson. “The wide diversity of the markets within our eight-state franchise continues to

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BXS Announces Third Quarter Results
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October 20, 2008

enhance our lending business, validating our strategy of focusing our expansion in relatively fast-growing cities in existing or contiguous markets that we understand well. We also continue to benefit from our established presence in more-mature markets that are stable sources of lower cost demand deposit funding. The growth we have produced in demand deposits during 2008 significantly enhances our liability pricing options.”

Provision for Credit Losses and Allowance for Credit Losses

For the third quarter of 2008, the provision for credit losses was $16.3 million compared with $5.7 million for the third quarter of 2007 and $11.2 million for the second quarter of 2008. Annualized net charge-offs were 0.45 percent of average loans and leases for the third quarter of 2008 compared with 0.13 percent for the third quarter of 2007 and 0.30 percent for the second quarter of 2008.

Non-performing loans and leases increased to $65.2 million, or 0.68 percent of loans and leases, at September 30, 2008 from $31.3 million, or 0.35 percent of loans and leases, at September 30, 2007 and from $46.0 million, or 0.49 percent of loans and leases, at June 30, 2008. The allowance for credit losses was 1.35 percent of loans and leases at September 30, 2008 compared with 1.24 percent of loans and leases at September 30, 2007 and 1.30 percent of loans and leases at June 30, 2008.

Patterson commented, “The increases in our provision for credit losses, non-accrual loans and annualized net charge-offs reflect our commitment to taking appropriate steps to recognize and deal with emerging credit quality issues. We are well reserved against probable losses with an allowance for credit losses at the end of the third quarter that is double the size of non-performing loans and triple the size of annualized net charge-offs for the quarter. We expect the strength of BancorpSouth’s credit quality to continue to be a differentiating competitive advantage in our markets.”

Noninterest Revenue

For the third quarter of 2008, noninterest revenue increased 9.6 percent to $63.4 million from $57.9 million for the third quarter of 2007 and decreased 13.4 percent from $73.3 million for the second quarter of 2008. These results include a decline in the value of the mortgage servicing asset of $1.0 million and $3.2 million for the third quarters of 2008 and 2007, respectively, compared to an increase of $4.9 million for the second quarter of 2008. In addition, BancorpSouth had gains of $2.4 million and $2.6 million for the third quarter of 2007 and the second quarter of 2008, respectively, from the sales of shares of MasterCard, Inc. common stock.

“Our noninterest revenue growth for the third quarter of 2008 was driven by a 24.2 percent increase in insurance commission revenue to a record $21.8 million, the third consecutive quarter of growth in excess of 20 percent,” Patterson stated. “This growth primarily reflects the acquisition of an insurance agency in the third quarter last year and two agencies acquired in the first quarter of 2008. We also produced an 11.0 percent increase in credit and debit card revenue for the third quarter of 2008 compared with the third quarter of 2007, due primarily to the increasing number and size of transactions processed.”

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BXS Announces Third Quarter Results
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October 20, 2008

Noninterest Expense

Noninterest expense increased 9.1 percent to $116.2 million for the third quarter of 2008 from $106.4 million for the third quarter of 2007 and increased 3.6 percent from $112.1 million for the second quarter of 2008. The comparable-quarter increase in noninterest expense is primarily attributable to the operation of the insurance agencies acquired in 2007 and 2008. In addition, BancorpSouth also incurred salaries, employee benefits and occupancy expense associated with the opening of new loan production offices and full-service branch bank offices during the second half of 2007 and the first nine months of 2008.

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. BancorpSouth continued building upon its strong capital position, expanding its equity to asset ratio to 9.34 percent at the end of the third quarter of 2008 from 8.91 percent at the end of the third quarter of 2007 and 9.21 percent at the end of the second quarter of 2008. BancorpSouth’s ratio of tangible equity to assets rose to 7.25 percent at the end of the third quarter of 2008 from 6.90 percent at the end of the third quarter of 2007 and 7.12 percent at the end of the second quarter of 2008.

BancorpSouth also has demonstrated an extensive record of enhancing shareholder value through the return of excess capital through cash dividends and repurchases of its common stock. In the second quarter of 2008, the Company’s Board of Directors approved the 25th consecutive annual increase in the quarterly cash dividend to $0.22 per share. BancorpSouth did not repurchase shares of its common stock during the third quarter of 2008. The Company will continue to evaluate additional share repurchase opportunities under a stock repurchase plan for the repurchase of up to three million shares which commenced on May 1, 2007 and which expires on April 30, 2009.

Summary

Recently enacted federal legislation, actions by the Secretary of the Treasury and announcements by the Federal Deposit Insurance Corporation and the Federal Reserve System to strengthen and provide liquidity to the banking system have been actively supported by BancorpSouth. The Company’s management is currently evaluating this industry-changing landmark body of laws and regulations to determine whether opportunities exist which will have a positive impact on BancorpSouth’s future operations and financial results.

Patterson concluded, “Our goal is to continue producing long-term growth in earnings and shareholder value. The financial services industry has recently experienced substantial volatility in pricing and availability of credit. Our balance sheet management strategy, while somewhat conservative in the strongest part of the economic cycle, continues to position us to perform well in this environment of slowing growth and economic uncertainty. Our practice of intensely monitoring potential credit problems in order to work with borrowers to achieve a solution benefiting all parties continues to differentiate BancorpSouth from many of our competitors.

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October 20, 2008

“We also recognize that we approach the end of 2008 in a position of strength, with a high quality loan portfolio, sound capital structure and diversified revenue streams. We intend to continue pursuing our long-term expansion strategies, while maintaining the flexibility to respond to strategic opportunities that are consistent with our long-term growth objectives. By leveraging our strengths to continuously gain additional market share, we expect to enhance BancorpSouth’s prospects for growth as the economic cycle strengthens.”

Conference Call

BancorpSouth will conduct a conference call to discuss its third quarter 2008 results tomorrow, October 21, 2008, 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 allowance for credit losses, our ability to serve our customers, the coverage of our allowance for credit losses, the impact of and our response to recent legislation affecting financial institutions, the implementation of our long-term operating and growth strategies, our ability to expand market share, our asset/liability management strategies, our prospects for growing our businesses, our ability to manage our interest-rate risk and maintain liquidity, our performance during a period of economic uncertainty and repurchases under our common stock repurchase plan.

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 retain qualified personnel, the ability of BancorpSouth to repurchase its common stock on favorable terms, the ability of BancorpSouth to identify, close and effectively integrate potential acquisitions, the ability of BancorpSouth to expand geographically and enter growing markets,

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BXS Announces Third Quarter Results
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October 20, 2008

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 $13.3 billion in assets. BancorpSouth Bank, a wholly-owned subsidiary of BancorpSouth, Inc., operates approximately 300 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 Third Quarter Results
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October 20, 2008

BancorpSouth, Inc.
Selected Financial Data

	Three Months Ended						Nine Months Ended
	September 30,						September 30,
	2008			2007			2008			2007
(Dollars in thousands, except per share amounts)
Earnings Summary:
Net interest revenue	$	109,602		$	107,916		$	329,515		$	313,242
Provision for credit losses		16,306			5,727			38,354			14,925
Noninterest revenue		63,433			57,894			202,930			176,485
Noninterest expense		116,059			106,351			341,593			317,889
Income before income taxes		40,670			53,732			152,498			156,913
Income tax provision		12,325			17,475			48,883			51,198
Net income	$	28,345		$	36,257		$	103,615		$	105,715
Earning per share: Basic	$	0.34		$	0.44		$	1.26		$	1.30
Diluted	$	0.34		$	0.44		$	1.25		$	1.30
Balance sheet data at September 30:
Total assets							$	13,300,728		$	13,134,317
Total earning assets								12,073,837			11,958,168
Loans and leases, net of unearned income								9,592,412			9,054,725
Allowance for credit losses								129,147			112,134
Total deposits								9,684,800			10,190,817
Common shareholders’ equity								1,242,719			1,169,739
Book value per share								14.96			14.22
Average balance sheet data:
Total assets	$	13,304,939		$	13,084,787		$	13,174,345		$	12,781,787
Total earning assets		12,132,130			11,954,777			12,012,791			11,679,681
Loans and leases, net of unearned interest		9,529,731			8,995,863			9,371,480			8,676,921
Total deposits		9,659,246			10,246,437			9,873,058			10,252,233
Common shareholders’ equity		1,231,350			1,141,295			1,219,170			1,106,907
Non-performing assets at September 30:
Non-accrual loans and leases							$	30,642		$	7,301
Loans and leases 90+ days past due								31,866			23,158
Restructured loans and leases								2,666			878
Other real estate owned								32,479			10,966
Total non-performing assets								97,653			42,303
Net charge-offs as a percentage of average loans (annualized)		0.45	%		0.13	%		0.35	%		0.12	%
Performance ratios (annualized):
Return on average assets		0.85	%		1.10	%		1.05	%		1.11	%
Return on common equity		9.16	%		12.60	%		11.35	%		12.77	%
Net interest margin		3.67	%		3.66	%		3.75	%		3.67	%
Average shares outstanding — basic		82,560,724			82,165,256			82,420,266			81,263,864
Average shares outstanding — diluted		82,765,428			82,467,583			82,645,153			81,631,582

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October 20, 2008

BancorpSouth, Inc.
Consolidated Balance Sheet
(Unaudited)

	September 30,						%
	2008			2007			Change
	(Dollars in thousands)
Assets
Cash and due from banks	$	246,687		$	273,616			(9.84	%)
Interest bearing deposits with other banks		15,730			18,069			(12.94	%)
Held-to-maturity securities, at amortized cost		1,350,396			1,706,350			(20.86	%)
Available-for-sale securities, at fair value		919,468			1,018,301			(9.71	%)
Federal funds sold and securities purchased under agreement to resell		—			57,000			(100.00	%)
Loans and leases		9,641,497			9,103,307			5.91	%
Less: Unearned income		49,085			48,582			1.04	%
Allowance for credit losses		129,147			112,134			15.17	%
Net loans and leases		9,463,265			8,942,591			5.82	%
Loans held for sale		195,830			103,722			88.80	%
Premises and equipment, net		345,235			312,832			10.36	%
Accrued interest receivable		85,968			101,118			(14.98	%)
Goodwill		271,017			254,587			6.45	%
Other assets		407,132			346,131			17.62	%
Total Assets	$	13,300,728		$	13,134,317			1.27	%
Liabilities
Deposits:
Demand: Noninterest bearing	$	1,694,303		$	1,687,157			0.42	%
Interest bearing		3,771,265			3,215,632			17.28	%
Savings		693,034			705,519			(1.77	%)
Other time		3,526,198			4,582,509			(23.05	%)
Total deposits		9,684,800			10,190,817			(4.97	%)
Federal funds purchased and securities sold under agreement to repurchase		1,079,088			797,177			35.36	%
Short-term Federal Home Loan Bank borrowings and other short-term borrowing		625,000			500,000			25.00	%
Accrued interest payable		24,846			42,509			(41.55	%)
Junior subordinated debt securities		160,312			163,405			(1.89	%)
Long-term Federal Home Loan Bank borrowings		288,861			141,605			103.99	%
Other liabilities		195,102			129,065			51.17	%
Total Liabilities		12,058,009			11,964,578			0.78	%
Shareholders’ Equity
Common stock		207,714			205,663			1.00	%
Capital surplus		216,394			195,323			10.79	%
Accumulated other comprehensive income (loss)		(8,746	)		(18,004	)		(51.42	%)
Retained earnings		827,357			786,757			5.16	%
Total Shareholders’ Equity		1,242,719			1,169,739			6.24	%
Total Liabilities & Shareholders’ Equity	$	13,300,728		$	13,134,317			1.27	%

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BXS Announces Third Quarter Results
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October 20, 2008

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

	Quarter Ended											Year To Date
	Sep-08		Jun-08		Mar-08		Dec-07			Sep-07		Sep-08		Sep-07
INTEREST REVENUE:
Loans and leases	$	144,393	$	147,289	$	159,184	$	171,068		$	174,787	$	450,866	$	497,745
Deposits with other banks		172		193		208		274			316		573		870
Federal funds sold and securities purchased under agreement to resell		218		—		67		311			232		285		3,376
Held-to-maturity securities:
Taxable		14,063		15,044		15,947		16,890			17,585		45,054		51,252
Tax-exempt		1,959		2,025		2,075		2,120			2,077		6,059		6,136
Available-for-sale securities:
Taxable		9,025		8,531		9,564		10,227			10,554		27,120		30,985
Tax-exempt		874		1,260		1,204		941			960		3,338		3,085
Loans held for sale		1,920		1,420		2,210		1,751			1,454		5,550		4,211
Total interest revenue		172,624		175,762		190,459		203,582			207,965		538,845		597,660
INTEREST EXPENSE:
Interest bearing demand deposits		14,214		12,938		17,257		19,765			22,189		44,409		64,068
Savings deposits		1,366		1,291		1,543		1,934			2,503		4,200		7,367
Other time deposits		33,660		39,778		46,860		52,551			55,728		120,298		163,172
Federal funds purchased and securities sold under agreement to repurchase		4,308		3,321		5,195		8,259			9,151		12,824		26,258
FHLB Borrowings		6,277		5,359		6,285		8,107			7,130		17,921		13,763
Other		3,197		3,232		3,249		3,309			3,348		9,678		9,790
Total interest expense		63,022		65,919		80,389		93,925			100,049		209,330		284,418
Net interest revenue		109,602		109,843		110,070		109,657			107,916		329,515		313,242
Provision for credit losses		16,306		11,237		10,811		7,771			5,727		38,354		14,925
Net interest revenue, after provision for credit losses		93,296		98,606		99,259		101,886			102,189		291,161		298,317
NONINTEREST REVENUE:
Mortgage lending		3,270		9,507		1,543		(1,149	)		100		14,320		7,363
Credit card, debit card and merchant fees		8,512		8,846		7,976		7,904			7,667		25,334		21,932
Service charges		17,687		17,093		15,839		18,125			17,281		50,619		50,354
Trust income		2,507		2,261		2,234		2,996			2,487		7,002		7,158
Security gains, net		100		199		78		97			7		377		24
Insurance commissions		21,779		21,462		24,668		16,181			17,542		67,909		55,001
Other		9,578		13,898		13,893		11,160			12,810		37,369		34,653
Total noninterest revenue		63,433		73,266		66,231		55,314			57,894		202,930		176,485
NONINTEREST EXPENSES:
Salaries and employee benefits		68,865		68,121		70,175		64,594			63,269		207,161		190,748
Occupancy, net of rental income		10,340		9,716		9,483		8,967			8,959		29,539		26,131
Equipment		6,214		6,245		6,433		6,078			6,057		18,892		18,136
Other		30,640		27,982		27,379		30,530			28,066		86,001		82,874
Total noninterest expenses		116,059		112,064		113,470		110,169			106,351		341,593		317,889
Income before income taxes		40,670		59,808		52,020		47,031			53,732		152,498		156,913
Income tax expense		12,325		19,683		16,875		14,803			17,475		48,883		51,198
Net income	$	28,345	$	40,125	$	35,145	$	32,228		$	36,257	$	103,615	$	105,715
Net income per share: Basic	$	0.34	$	0.49	$	0.43	$	0.39		$	0.44	$	1.26	$	1.30
Diluted	$	0.34	$	0.49	$	0.43	$	0.39		$	0.44	$	1.25	$	1.30

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BXS Announces Third Quarter Results
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October 20, 2008

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

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BXS Announces Third Quarter Results
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October 20, 2008

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

	Quarter Ended
	September 30, 2007
	Average					Yield/
(Taxable equivalent basis)	Balance			Interest		Rate
ASSETS
Loans, loans held for sale, and leases net of unearned income	$	9,087,608		$	177,093		7.73	%
Held-to-maturity securities:
Taxable		1,568,959			17,585		4.45	%
Tax-exempt		191,397			3,196		6.62	%
Available-for-sale securities:
Taxable		987,901			10,555		4.24	%
Tax-exempt		80,696			1,476		7.26	%
Short-term investments		38,216			548		5.69	%
Total interest earning assets and revenue		11,954,777			210,453		6.98	%
Other assets		1,241,511
Less: allowance for credit losses		(111,501	)
Total	$	13,084,787
LIABILITIES AND SHAREHOLDERS’ EQUITY
Deposits:
Demand — interest bearing	$	3,178,394		$	22,189		2.77	%
Savings		715,875			2,503		1.39	%
Other time		4,711,683			55,729		4.69	%
Short-term borrowings		1,207,633			14,230		4.67	%
Junior subordinated debt		163,405			3,342		8.11	%
Long-term debt		142,000			2,058		5.75	%
Total interest bearing liabilities and expense		10,118,990			100,051		3.92	%
Demand deposits — noninterest bearing		1,640,485
Other liabilities		184,017
Total liabilities		11,943,492
Shareholders’ equity		1,141,295
Total	$	13,084,787
Net interest revenue				$	110,402
Net interest margin							3.66	%
Net interest rate spread							3.06	%
Interest bearing liabilities to interest earning assets							84.64	%
Net interest tax equivalent adjustment				$	2,487

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BXS Announces Third Quarter Results
Page 12
October 20, 2008

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

	Year to Date
	September 30, 2008
	Average					Yield/
(Taxable equivalent basis)	Balance			Interest		Rate
ASSETS
Loans, loans held for sale, and leases net of unearned income	$	9,524,079		$	458,887		6.44	%
Held-to-maturity securities:
Taxable		1,312,381			45,274		4.61	%
Tax-exempt		185,434			9,321		6.71	%
Available-for-sale securities:
Taxable		856,917			27,120		4.23	%
Tax-exempt		96,487			5,135		7.11	%
Short-term investments		37,493			858		3.06	%
Total interest earning assets and revenue		12,012,791			546,595		6.08	%
Other assets		1,287,407
Less: allowance for credit losses		(125,853	)
Total	$	13,174,345
LIABILITIES AND SHAREHOLDERS’ EQUITY
Deposits:
Demand — interest bearing	$	3,465,696		$	44,409		1.71	%
Savings		721,819			4,200		0.78	%
Other time		4,033,386			120,298		3.98	%
Short-term borrowings		1,477,199			22,907		2.07	%
Junior subordinated debt		160,312			9,309		7.76	%
Long-term debt		275,774			8,207		3.98	%
Total interest bearing liabilities and expense		10,134,186			209,330		2.76	%
Demand deposits — noninterest bearing		1,652,157
Other liabilities		168,832
Total liabilities		11,955,175
Shareholders’ equity		1,219,170
Total	$	13,174,345
Net interest revenue				$	337,265
Net interest margin							3.75	%
Net interest rate spread							3.32	%
Interest bearing liabilities to interest earning assets							84.36	%
Net interest tax equivalent adjustment				$	7,750

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BXS Announces Third Quarter Results
Page 13
October 20, 2008

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

	Year to Date
	September 30, 2007
	Average					Yield/
(Taxable equivalent basis)	Balance			Interest		Rate
ASSETS
Loans, loans held for sale, and leases net of unearned income	$	8,767,096		$	504,470		7.69	%
Held-to-maturity securities:
Taxable		1,540,910			51,252		4.45	%
Tax-exempt		188,145			9,440		6.71	%
Available-for-sale securities:
Taxable		995,567			30,985		4.16	%
Tax-exempt		85,934			4,746		7.38	%
Short-term investments		102,029			4,246		5.56	%
Total interest earning assets and revenue		11,679,681			605,139		6.93	%
Other assets		1,208,881
Less: allowance for credit losses		(106,775	)
Total	$	12,781,787
LIABILITIES AND SHAREHOLDERS’ EQUITY
Deposits:
Demand — interest bearing	$	3,183,663		$	64,068		2.69	%
Savings		723,977			7,367		1.36	%
Other time		4,678,320			163,172		4.66	%
Short-term borrowings		947,498			33,778		4.77	%
Junior subordinated debt		159,394			9,765		8.19	%
Long-term debt		144,820			6,268		5.79	%
Total interest bearing liabilities and expense		9,837,672			284,418		3.87	%
Demand deposits — noninterest bearing		1,666,273
Other liabilities		170,935
Total liabilities		11,674,880
Shareholders’ equity		1,106,907
Total	$	12,781,787
Net interest revenue				$	320,721
Net interest margin							3.67	%
Net interest rate spread							3.06	%
Interest bearing liabilities to interest earning assets							84.23	%
Net interest tax equivalent adjustment				$	7,479

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