First Bancshares, Inc. Announces: $0.25 Per Share Cash Dividend; New Stock Transfer Agent and Registrar.

SAN LUIS OBISPO, Calif. -- First Bancshares, Inc. ("Company") (Pink Sheets:FSLO), the holding company for First Bank of San Luis Obispo ("Bank"), today announced that it will pay a cash dividend of 25 cents per common share. The dividend will be paid on December 27, 2004 to stockholders of record as of December 9, 2004. The Company currently has 1,267,278 shares of common stock outstanding. This dividend brings total cash dividends for 2004 to 50 cents per common share. The Company plans to next consider a cash dividend payment in the fourth quarter of 2005, as the Company has adopted an annual cash dividend program. E[acute accent]The Company recently retained U.S. Stock Transfer Corporation as its new transfer agent and registrar. U.S. Stock Transfer Corporation is available to assist the Company's stockholders with replacement stock certificates, address changes, corrections in Social Security or tax identification numbers, and similar services. U.S. Stock Transfer Corporation may be contacted by calling 818-502-1404 or e-mailing [e-mail]. Their Internet site is www.usstock.com. E[acute accent]The Company and the Bank are headquartered in San Luis Obispo, California. The Bank's deposits are insured by the Federal Deposit Insurance Corporation ("FDIC") to the maximum extent allowed by law. The Bank is a 25 year old community financial institution that provides a broad range of financial products to businesses, organizations, professionals, and individuals. The Bank is one of the leading lenders under the US Small Business Administration programs in the County of San Luis Obispo. E[acute accent]This news release is available at the www.firstbankslo.com Internet site for no charge.