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EXHIBIT 99.1
NEWS RELEASE
Financial Contact: L. Nash Allen, 662-680-2330
Media Contact: Harry Baxter, 662-680-2410
Randy Burchfield, 662-680-2216
FOR IMMEDIATE RELEASE July 21, 2000
BANCORPSOUTH RECEIVES FDIC APPROVAL OF MERGER WITH FIRST UNITED BANCSHARES
TUPELO, MISS. - July 21, 2000 - BancorpSouth, Inc. (NYSE: BXS) announced today
that it has received approval from the Federal Deposit Insurance Corporation
with respect to the proposed merger of First United Bancshares, Inc. (Nasdaq:
UNTD) into BancorpSouth. This is the final consent of the applicable federal
regulators needed prior to consummation of the merger.
In addition, the merger agreement between BancorpSouth and First United provides
First United with a right to terminate the agreement if the average closing
price of BancorpSouth common stock during the 20 trading days prior to receipt
of regulatory approval of the merger is less than a specified amount. Because
the average closing price of BancorpSouth stock exceeded the specified amount
over this period, this termination right is no longer exercisable.
BancorpSouth is a financial services company with 171 banking and mortgage
locations in Mississippi, Tennessee and Alabama. BancorpSouth also provides
investment services through its subsidiary, BancorpSouth Investment Services
Inc., and insurance services through BancorpSouth Insurance Services.
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THIS NEWS RELEASE MAY BE DEEMED TO BE SOLICITATION MATERIAL WITH RESPECT TO THE
PROPOSED MERGER OF BANCORPSOUTH AND FIRST UNITED. BANCORPSOUTH AND ITS DIRECTORS
MAY BE DEEMED TO BE PARTICIPANTS IN THE SOLICITATION OF PROXIES WITH RESPECT TO
A SHAREHOLDER MEETING TO BE HELD IN CONNECTION WITH SUCH MERGER. BANCORPSOUTH'S
DIRECTORS INCLUDE SHED H. DAVIS, HASSELL H. FRANKLIN, FLETCHER H. GOODE, M.D.,
W.G. HOLLIMAN, JR., A. DOUGLAS JUMPER, TURNER O. LASHLEE, AUBREY B. PATTERSON,
ALAN W. PERRY, TRAVIS E. STAUB, AND ANDREW R. TOWNES, D.D.S. AS OF JANUARY 31,
2000, HASSELL H. FRANKLIN WAS THE BENEFICIAL OWNER OF APPROXIMATELY 923,461
SHARES OF BANCORPSOUTH COMMON STOCK (OR APPROXIMATELY 1.61% OF THE OUTSTANDING
SHARES OF BANCORPSOUTH COMMON STOCK), AND EACH OF THE OTHER DIRECTORS OF
BANCORPSOUTH BENEFICIALLY OWNED LESS THAN 1% OF THE OUTSTANDING SHARES OF
BANCORPSOUTH COMMON STOCK.
IN CONNECTION WITH THE PROPOSED MERGER, BANCORPSOUTH HAS FILED A REGISTRATION
STATEMENT ON FORM S-4 WITH THE SECURITIES AND EXCHANGE COMMISSION. SHAREHOLDERS
OF BANCORPSOUTH AND FIRST UNITED ARE ENCOURAGED TO READ THE REGISTRATION
STATEMENT, INCLUDING THE JOINT PROXY STATEMENT/PROSPECTUS THAT ARE PART OF THE
REGISTRATION STATEMENT, BECAUSE IT CONTAINS IMPORTANT INFORMATION ABOUT THE
MERGER, BANCORPSOUTH AND FIRST UNITED. THE REGISTRATION STATEMENT IS AVAILABLE
FOR FREE, BOTH ON THE SEC'S WEB SITE (WWW.SEC.GOV) AND FROM BANCORPSOUTH'S
AND FIRST UNITED'S CORPORATE SECRETARIES.
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