BancorpSouth Announces Merger.

GUNTERSVILLE, Ala.--(BUSINESS WIRE)--Feb. 26, 1999--Home Bank today became BancorpSouth Bank with the merger of the $160-million asset HomeBanc Corporation with BancorpSouth, Inc. (NYSE:BXS). This marks the third merger of an Alabama banking company with BancorpSouth in the past year.

HomeBanc Corporation was the holding company for the Home Bank, which has five banking locations of Guntersville, Albertville, Arab and Boaz.

BancorpSouth operates 167 banking locations in more than 79 cities in Alabama, Mississippi and Tennessee. In 1998, BancorpSouth acquired Alabama Bancorp which was the holding company for Highland Bank in Birmingham, Hoover, Moody and Leeds, and First Community Bank of the South with offices in Ft. Deposit, Greenville, Burkville and Hayneville. Late in the year BancorpSouth acquired The First Corporation of Opelika, which operated as First National Bank in Opelika and Auburn.

Home Bank President J. R. Kimsey said "We are pleased to have BancorpSouth as our partner. BancorpSouth brings financial strength, a broad product offering and community bank commitment to our unique ability to serve the needs of the individuals and businesses of our market."

BancorpSouth Chairman and CEO Aubrey B. Patterson commented, "The Home Bank personifies how a bank should serve its markets. Our banking system is composed of community banks dedicated to the service of their customers and their communities, and Home Bank will be a perfect fit into our system."

Effective with the merger today, Home Bank will immediately begin operating under the name BancorpSouth.