HATTIESBURG, Miss.--(BUSINESS WIRE)-- The First Bancshares, Inc. (NASDAQ: FBMS), holding company for The First, A National Banking Association, (www.thefirstbank.com) today reported quarterly net earnings available to common shareholders of $1.9 million for the first quarter of 2015, compared to net earnings available to common shareholders of $1.3 million reported for the first quarter of 2014 and $1.9 million in net earnings available to common shareholders for the fourth quarter of 2014. Diluted earnings for the first quarter of 2015 were $0.36 per common share, compared to $0.25 per common share reported for the first quarter of 2014 and $0.36 per common share reported for the fourth quarter of 2014. First quarter 2015 net earnings included $84,000 of an after-tax gain on the sale of our branch location at 11281 Highway 49 Gulfport, MS. Excluding this non-operating income, operating earnings per share for the first quarter of 2015 were $0.34.

M. Ray “Hoppy” Cole, President & Chief Executive Officer, commented, “We continue to see improved operating results across our entire footprint. Consistent growth combined with stringent expense control is producing increasing profitability, improved operating efficiency and enhanced returns to our shareholders.”

Balance Sheet

Consolidated assets increased $52.4 million or 4.8% to reach $1.1 billion for the quarter ended March 31, 2015. Total loans amounted to $716 million at March 31, 2015 and $705 million at December 31, 2014. Total loans increased $11.8 million or 1.7% for the first quarter 2015. The majority of the loan growth during the first quarter was in the commercial and real estate construction portfolios.

Total deposits increased $91.9 million or 10.3% to total $984.6 million for the quarter ended March 31, 2015. The seasonality of our public fund portfolio contributed to this increase.

Asset Quality

Nonperforming assets totaled $11.4 million at March 31, 2015, a decrease of $0.2 million compared to $11.6 million at December 31, 2014. The ALLL/total loans ratio was 0.83% at March 31, 2015 and 0.87% at December 31, 2014. Including valuation accounting adjustments on acquired loans, the total valuation plus ALLL was 1.13% of loans at March 31, 2015. The ratio of annualized net charge-offs to total loans was 0.18% for the quarter ended March 31, 2015 compared to 0.08% for the quarter ended December 31, 2014.

First Quarter 2015 vs. First Quarter 2014 Earnings Comparison

First quarter 2015 net earnings available to common shareholders totaled $1.9 million compared to $1.3 million for the first quarter of 2014. Revenues from consolidated operations increased $1.4 million in quarterly comparison. Net interest income increased $1.1 million in quarterly comparison as interest income earned on a higher volume of loans attributed to this overall increase. Noninterest income increased $0.2 million in quarterly comparison from $1.7 million for the first quarter of 2014 to $1.9 million for the first quarter of 2015. Slight increases in service charges and interchange fee income along with other noninterest income accounted for this increase.

First quarter 2015 noninterest expenses increased $0.6 million or 8.2% as compared to first quarter 2014. Increases in salaries and employee benefits along with increases in occupancy expenses contributed $0.6 million. A majority of this increase can be attributed to the expansion into Baton Rouge at the end of the first quarter 2014 and the acquisition of Bay Bank at the beginning of the third quarter of 2014.

Fully taxable-equivalent (“FTE”) net interest income totaled $9.1 million and $8.1 million for the first quarter of 2015 and 2014, respectively. The FTE net interest income increased $1.0 million in prior year quarterly comparison primarily due to an increase in interest earned on loans. The purchase accounting adjustments reflected a decrease of $0.1 million in net interest income for the first quarter comparisons. First quarter 2015 net interest margin of 3.60% includes 3 bps related to purchase accounting adjustments.

Investment securities totaled $261.9 million, or 22.8% of total assets at March 31, 2015, versus $251.0 million, or 25.4% of total assets at March 31, 2014. The average volume of investment securities increased $10.8 million in prior year quarterly comparison. The average tax equivalent yield on investment securities decreased 1 basis point, from 2.64% to 2.63%. The investment portfolio had a net unrealized gain of $3.9 million at March 31, 2015.

The average yield on all earnings assets decreased 10 basis points in prior year quarterly comparison, from 4.02% for the first quarter of 2014 to 3.92% for the first quarter of 2015.

First Quarter 2015 vs Fourth Quarter 2014 Earnings Comparison

In sequential-quarter comparison, net earnings available to common shareholders remained consistent at $1.9 million with fewer days of accrual in the first quarter.

Noninterest expenses decreased $0.2 million in sequential-quarter comparison mainly consisting of a decrease in other professional services.

FTE net interest income remained stable at $9.1 million in sequential-quarter comparison. The increase in loan income was partially offset by a decrease in accretion related to purchase accounting adjustments.

The average yield on all earnings assets decreased 17 basis points in sequential-quarter comparison, from 4.09% for the fourth quarter of 2014 to 3.92% for the first quarter of 2015. Due to the seasonality of our public fund deposits, we experienced an increase of $91.9 million in deposits during the first quarter of 2015 that impacts our margin negatively on a short term basis.

Other Events

On April 10, 2015, The First closed its branch in Gulfport, MS located at 11281 Highway 49. This branch was originally acquired in 2011 in the acquisition from the Whitney/Hancock merger and is approximately 1 mile from our branch at 15513 O’Neal Rd in Gulfport. We consolidated these branches to offer improved service to our clients and recognize improved operating efficiencies for the Company.

Dividends

The Board of Directors of The First Bancshares, Inc. announced a cash dividend was declared in the amount of $0.0375 per share to be paid on its common stock on May 22, 2015 to shareholders of record as of the close of business on May 7, 2015.

About The First Bancshares, Inc.

The First Bancshares, Inc., headquartered in Hattiesburg, Mississippi, is the parent company of The First, A National Banking Association. Founded in 1996, the First has operations in south Mississippi, Louisiana and south Alabama. The Company’s stock is traded on NASDAQ Global Market under the symbol FBMS. Information is available on the Company’s website: www.thefirstbank.com.

Forward Looking Statements

This news release contains statements regarding the projected performance of The First Bancshares, Inc. and its subsidiary. These statements constitute forward-looking information within the meaning of the Private Securities Litigation Reform Act. Actual results may differ materially from the projections provided in this release since such projections involve significant known and unknown risks and uncertainties. Factors that might cause such differences include, but are not limited to: competitive pressures among financial institutions increasing significantly; economic conditions, either nationally or locally, in areas in which the Company conducts operations being less favorable than expected; and legislation or regulatory changes which adversely affect the ability of the combined Company to conduct business combinations or new operations. The Company disclaims any obligation to update such factors or to publicly announce the results of any revisions to any of the forward-looking statements included herein to reflect future events or developments. Further information on The First Bancshares, Inc. is available in its filings with the Securities and Exchange Commission, available at the SEC’s website, http://www.sec.gov.

FIRST BANCSHARES, INC and SUBSIDIARIES Condensed Consolidated Financial Information (unaudited) (in thousands expect per share data)
EARNINGS DATA			QuarterEnded3/31/15					QuarterEnded12/31/14					QuarterEnded9/30/14					QuarterEnded6/30/14					QuarterEnded3/31/14
Total Interest Income			$	9,683				$	9,662				$	9,688				$	8,574				$	8,447
Total Interest Expense				804					791					833					726					623
Net Interest Income				8,879					8,871					8,855					7,848					7,824
FTE net interest income				9,137					9,137					9,128					8,104					8,096
Provision for loan losses				150					152					631					277					358
Non-interest income				1,850					2,055					2,021					2,055					1,672
Non-interest expense				7,818					8,051					8,071					7,384					7,227
Earnings before income taxes				2,761					2,723					2,174					2,242					1,911
Income tax expense				732					682					641					629					484
Net earnings				2,029					2,041					1,533					1,613					1,427
Dividends and accretion on preferred stock				85					86					85					86					106
Net earnings available to common shareholders			$	1,944				$	1,955				$	1,448				$	1,527				$	1,321
PER COMMON SHARE DATA
Basic earnings per share			$	0.36				$	0.37				$	0.27				$	0.30				$	0.26
Diluted earnings per share				0.36					0.36					0.27					0.29					0.25
Diluted earnings per share, operating*				0.34					0.34					0.30					0.28					0.25
Quarterly dividends per share				.0375					.0375					.0375					.0375					.0375
Book value per common share at end of period				15.12					14.80					14.38					14.02					13.60
Tangible book value at period end*				12.40					12.04					11.58					11.49					11.05
Market price at end of period				16.26					14.51					14.45					14.20					14.49
Shares outstanding at period end				5,400,909					5,342,670					5,338,370					5,180,287					5,175,774
Weighted average shares outstanding:
Basic				5,358,576					5,314,743					5,311,876					5,152,784					5,140,500
Diluted				5,415,100					5,357,644					5,349,686					5,180,019					5,189,929
AVERAGE BALANCE SHEET DATA
Total assets			$	1,127,349				$	1,073,287				$	1,065,080				$	1,015,679				$	965,518
Loans and leases				705,752					678,252					655,582					598,293					587,180
Total deposits				932,401					891,168					918,477					890,209					804,122
Total common equity				79,722					73,335					72,916					70,357					67,915
Total tangible common equity*				64,967					58,758					59,180					57,201					54,664
Total equity				96,845					90,458					90,039					87,480					85,028
SELECTED RATIOS
Annualized return on avg assets				.72	%				.76	%				.58	%				.64	%				.59	%
Annualized return on avg assets, operating*				.66	%				.68	%				.60	%				.57	%				.54	%
Annualized return on avg common equity, operating*				9.33	%				9.88	%				8.81	%				8.18	%				7.70	%
Annualized return on avg tangible common equity, oper*				11.45	%				12.34	%				10.86	%				10.06	%				9.56	%
Average loans to average deposits				75.69	%				76.11	%				71.38	%				67.21	%				73.02	%
Taxable-equivalent net interest margin				3.60	%				3.76	%				3.79	%				3.53	%				3.73	%
Efficiency Ratio				71.16	%				71.94	%				72.39	%				72.68	%				73.99	%
CREDIT QUALITY
Allowance for loan losses (ALLL) as a % of total loans				.83	%				.87	%				.91	%				.99	%				.98	%
Nonperforming assets to tangible equity + ALLL				12.70	%				13.29	%				13.29	%				16.13	%				12.34	%
Nonperforming assets to total loans + ORE				1.58	%				1.64	%				1.69	%				2.18	%				1.66	%
Annualized QTD net charge-offs to total loans				.18	%				.08	%				.33	%				.06	%				.19	%
*See reconciliation of Non-GAAP financial measures

FIRST BANCSHARES, INC and SUBSIDIARIES Condensed Consolidated Financial Information (unaudited) (in thousands)
BALANCE SHEET			Mar 31,2015					Dec 31,2014					Sept 30,2014					June 30,2014					Mar 31,2014
Assets
Cash and cash equivalents			$	94,474				$	44,618				$	50,447				$	55,443				$	81,978
Securities available-for-sale				246,842					254,744					262,651					263,653					236,460
Securities held-to-maturity				7,829					8,193					8,411					8,421					8,429
Other investments				7,235					7,234					5,592					4,025					6,148
Total investment securities				261,906					270,171					276,654					276,099					251,037
Loans held for sale				1,657					2,103					3,769					3,220					2,586
Total loans				716,359					704,531					667,533					606,812					590,947
Allowance for loan losses				(5,928	)				(6,095	)				(6,084	)				(5,999	)				(5,811	)
Loans, net				710,431					698,436					661,449					600,813					585,136
Premises and equipment				33,769					34,810					35,079					31,339					31,416
Other Real Estate				4,598					4,654					4,986					4,875					5,221
Goodwill and other intangibles				14,691					14,791					14,363					13,108					13,203
Other assets				24,622					24,182					25,515					24,392					17,990
Total assets			$	1,146,148				$	1,093,768				$	1,072,262				$	1,009,289				$	988,567
Liabilities and Shareholders’ Equity
Non-interest bearing deposits			$	203,766				$	201,362				$	195,957				$	183,226				$	179,334
Interest-bearing deposits				780,877					691,413					711,558					700,646					684,247
Total deposits				984,643					892,775					907,515					883,872					863,581
Borrowings				49,446					89,450					49,456					13,500					15,000
Subordinated debentures				10,310					10,310					10,310					10,310					10,310
Other liabilities				2,708					5,017					11,117					11,830					12,180
Total liabilities				1,047,382					997,552					978,398					919,512					901,071
Total shareholders’ equity				98,766					96,216					93,864					89,777					87,496
Total liabilities and shareholders’ equity			$	1,146,148				$	1,093,768				$	1,072,262				$	1,009,289				$	988,567

FIRST BANCSHARES, INC and SUBSIDIARIES Condensed Consolidated Financial Information (unaudited) (in thousands except per share data)
EARNINGS STATEMENT			Three Months Ended
			3/31/15					12/31/14					9/30/14					6/30/14					3/31/14
Interest Income:
Loans, including fees			$	8,147				$	8,071				$	7,923				$	7,094				$	7,006
Investment securities				1,512					1,534					1,623					1,453					1,432
Accretion of purchase accounting adjustments				1					51					136					(3	)				(2	)
Other interest income				23					6					6					30					11
Total interest income				9,683					9,662					9,688					8,574					8,447
Interest Expense:
Deposits				679					678					720					698					637
Borrowings				127					114					99					97					112
Subordinated debentures				45					46					45					45					45
Accretion of purchase accounting adjustments				(47	)				(47	)				(31	)				(114	)				(171	)
Total interest expense				804					791					833					726					623
Net interest income				8,879					8,871					8,855					7,848					7,824
Provision for loan losses				150					152					631					277					358
Net interest income after provision for loan losses				8,729					8,719					8,224					7,571					7,466
Non-interest Income:
Service charges on deposit accounts				568					608					616					594					561
Mortgage Income				334					445					522					407					349
Interchange Fee Income				499					561					563					507					472
Gain (loss) on securities, net				-					(4	)				(13	)				254					-
Gain on sale of premises and equipment				110					-					-					-					111
BEA award, net				-					223					-					-					-
Other charges and fees				339					222					333					293					179
Total non-interest income				1,850					2,055					2,021					2,055					1,672
Non-interest expense:
Salaries and employee benefits				4,626					4,551					4,554					4,260					4,097
Occupancy expense				1,109					1,156					1,209					1,093					1,068
FDIC premiums				241					271					222					222					223
Marketing				62					160					94					87					53
Amortization of core deposit intangibles				100					100					98					94					94
Other professional services				258					412					429					456					389
Other non-interest expense				1,422					1,401					1,465					1,172					1,303
Total Non-interest expense				7,818					8,051					8,071					7,384					7,227
Earnings before income taxes				2,761					2,723					2,174					2,242					1,911
Income tax expense				732					682					641					629					484
Net earnings				2,029					2,041					1,533					1,613					1,427
Dividends and accretion on preferred stock				85					86					85					86					106
Net earnings available to common shareholders			$	1,944				$	1,955				$	1,448				$	1,527				$	1,321
Earnings per common share, diluted			$	0.36				$	0.36				$	0.27				$	0.29				$	0.25
Operating earnings per common share, diluted*			$	0.34				$	0.34				$	0.30				$	0.28				$	0.25
*See reconciliation of Non-GAAP financial measures

FIRST BANCSHARES, INC and SUBSIDIARIES Condensed Consolidated Financial Information (unaudited) (in thousands)
COMPOSITION OF LOANS			Mar 31,2015					Percentof Total				Dec 31,2014					Sept 30,2014					June 30,2014					Mar 31,2014					Percentof Total
Commercial, financial and agricultural			$	110,806				15.5	%			$	106,109				$	100,263				$	81,958				$	84,898				14.3	%
Real estate – construction				93,168				13.0	%				84,935					83,908					74,105					73,523				12.4	%
Real estate – commercial				242,969				33.8	%				238,602					217,684					204,101					198,984				33.5	%
Real estate – residential				254,844				35.5	%				256,406					248,125					230,310					218,901				36.9	%
Consumer				14,572				2.0	%				18,479					17,553					16,337					14,641				2.5	%
Loans held for sale				1,657				.2	%				2,103					3,769					3,220					2,586				0.4	%
Total loans			$	718,016				100	%			$	706,634				$	671,302				$	610,031				$	593,533				100	%
COMPOSITION OF DEPOSITS			Mar 31,2015					Percentof Total				Dec 31,2014					Sept 30,2014					June 30,2014					Mar 31,2014					Percentof Total
Noninterest bearing			$	203,766				20.7	%			$	201,362				$	195,957				$	183,226				$	179,334				20.8	%
NOW and other				404,605				41.1	%				301,721					317,569					326,683					308,231				35.7	%
Money Market/Savings				183,048				18.6	%				183,633					183,068					171,842					169,043				19.5	%
Time Deposits of less than $100,000				80,606				8.2	%				85,365					86,897					80,144					82,780				9.6	%
Time Deposits of $100,000 or more				112,618				11.4	%				120,694					124,024					121,975					124,509				14.4	%
Total Deposits			$	984,643				100	%			$	892,775				$	907,515				$	883,872				$	863,581				100	%
ASSET QUALITY DATA			Mar 31,2015									Dec 31,2014					Sept 30,2014					June 30,2014					Mar 31,2014
Nonaccrual loans			$	5,995								$	6,056				$	6,032				$	6,063				$	2,267
Loans past due 90 days and over				426									669					102					447					443
Total nonperforming loans				6,421									6,725					6,134					6,510					2,710
Other real estate				4,598									4,654					4,986					4,875					5,221
Nonaccrual securities				408									250					250					1,950					1,950
Total nonperforming assets			$	11,427								$	11,629				$	11,370				$	13,335				$	9,881
Nonperforming assets to total assets				1.00	%								1.06	%				1.06	%				1.32	%				1.00	%
Nonperforming assets to total loans + ORE				1.58	%								1.64	%				1.69	%				2.18	%				1.66	%
ALLL to nonperforming loans				94.66	%								90.63	%				99.18	%				92.15	%				214.43	%
ALLL to total loans				.83	%								.87	%				.91	%				.99	%				.98	%
Quarter-to-date net charge-offs			$	316								$	141				$	546				$	89				$	275
Annualized QTD net charge-offs to loans				.18	%								.08	%				.33	%				.06	%				.19	%

FIRST BANCSHARES, INC and SUBSIDIARIES
Condensed Consolidated Financial Information (unaudited)
(in thousands)
Yield			Three Months Ended												Three Months Ended												Three Months Ended												Three Months Ended												Three Months Ended
Analysis			March 31, 2015												December 31, 2014												September 30, 2014												June 30, 2014												March 31, 2014
							Tax												Tax												Tax												Tax												Tax
			Avg				Equivalent				Yield/				Avg				Equivalent				Yield/				Avg				Equivalent				Yield/				Avg				Equivalent				Yield/				Avg				Equivalent				Yield/
			Balance				interest				Rate				Balance				interest				Rate				Balance				interest				Rate				Balance				interest				Rate				Balance				interest				Rate
Taxable securities			$	184,401			$	992			2.15	%			$	189,691			$	998			2.10	%			$	201,194			$	1,072			2.13	%			$	183,976			$	937			2.04	%			$	166,900			$	894			2.14	%
Tax-exempt securities				81,717				759			3.72	%				84,413				783			3.71	%				86,498				802			3.71	%				84,813				753			3.55	%				88,359				791			3.58	%
Total investment securities				266,118				1,751			2.63	%				274,104				1,781			2.60	%				287,692				1,874			2.61	%				268,789				1,690			2.51	%				255,259				1,685			2.64	%
Fed funds sold				16,248				23			0.57	%				408				6			5.88	%				2,037				6			1.18	%				3,603				30			3.33	%				8,118				11			0.54	%
Int bearing deposits in				27,430				19			0.28	%				18,270				19			0.42	%				16,854				22			0.52	%				47,210				19			0.16	%				17,122				19			0.44	%
Loans				705,752				8,148			4.62	%				678,252				8,122			4.79	%				655,582				8,059			4.92	%				598,293				7,091			4.74	%				587,180				7,004			4.77	%
Total Interest earning assets				1,015,548				9,941			3.92	%				971,034				9,928			4.09	%				962,165				9,961			4.14	%				917,895				8,830			3.85	%				867,679				8,719			4.02	%
Other assets				111,801												102,253												102,915												97,784												97,839
Total assets			$	1,127,349											$	1,073,287											$	1,065,080											$	1,015,679											$	965,518
Interest-bearing liabiltities:
Deposits			$	736,199			$	632			0.34	%			$	693,657			$	630			0.36	%			$	723,911			$	688			0.38	%			$	711,936			$	584			0.33	%			$	638,155			$	466			0.29	%
Repo				5,000				48			3.84	%				5,000				49			3.92	%				5,000				49			3.92	%				5,000				48			3.84	%				5,000				48			3.84	%
Fed funds purchased				108				-			0.00	%				1,645				4			0.97	%				326				1			1.23	%				256				1			1.56	%				1,189				2			0.67	%
FHLB				78,892				78			0.40	%				63,040				62			0.39	%				28,038				50			0.71	%				9,802				48			1.96	%				46,244				62			0.54	%
Subordinated debentures				10,310				45			1.75	%				10,310				46			1.78	%				10,310				45			1.75	%				10,310				45			1.75	%				10,310				45			1.75	%
Total interest bearing liabilities				830,509				804			0.39	%				773,652				791			0.41	%				767,585				833			0.43	%				737,304				726			0.39	%				700,898				623			0.36	%
Other liabilities				199,995												209,177												207,456												190,895												179,592
Shareholders' equity				96,845												90,458												90,039												87,480												85,028
Total liabilities and shareholders' equity			$	1,127,349											$	1,073,287											$	1,065,080											$	1,015,679											$	965,518
Net interest income (TE)							$	9,137			3.53	%							$	9,137			3.68	%							$	9,128			3.71	%							$	8,104			3.45	%							$	8,096			3.66	%
Net interest margin											3.60	%											3.76	%											3.79	%											3.53	%											3.73	%
Core net interest margin*											3.57	%											3.72	%											3.72	%											3.48	%											3.65	%

FIRST BANCSHARES, INC and SUBSIDIARIES Reconcilement of Non-GAAP Financial Measures (unaudited) (in thousands except per share data)
				Three Months Ended
Per Common Share Data				Mar 31,2015					Dec 31,2014					Sept 30,2014					June 30,2014					Mar 31,2014
Book value per common share				$	15.12				$	14.80				$	14.38				$	14.02				$	13.60
Effect of intangible assets per share					2.72					2.76					2.80					2.53					2.55
Tangible book value per common share				$	12.40				$	12.04				$	11.58				$	11.49				$	11.05
Diluted earnings per share				$	0.36				$	0.36				$	0.27				$	0.29				$	0.25
Effect of gain on sale of other securities, after-tax					-					-					-					(0.03	)				-
Effect of gain on sale of bank premises, after-tax					(0.02	)				-					-					-					(0.02	)
Effect of BAE, after-tax					-					(0.02	)				-					-					-
Effect of acquisition charges, after-tax					-					-					0.03					0.02					0.02
Diluted earnings per share, operating				$	0.34				$	0.34				$	0.30				$	0.28				$	0.25
				Three Months Ended
Average Balance Sheet Data				Mar 31,2015					Dec 31,2014					Sept 30,2014					June 30,2014					Mar 31,2014
Total average assets	A			$	1,127,349				$	1,073,287				$	1,065,080				$	1,015,679				$	965,518
Total equity				$	96,845				$	90,458				$	90,039				$	87,480				$	85,028
Less preferred equity					17,123					17,123					17,123					17,123					17,113
Total common equity	B				79,722					73,335					72,916					70,357					67,915
Less intangible assets					14,755					14,577					13,736					13,156					13,251
Tangible common equity	C			$	64,967				$	58,758				$	59,180				$	57,201				$	54,664
				Three Months Ended
Core Net Interest Margin				Mar 31,2015					Dec 31,2014					Sept 30,2014					June 30,2014					Mar 31,2014
Net interest income (TE)				$	9,137				$	9,137				$	9,128				$	8,104				$	8,096
Less purchase accounting adjustments					48					98					167					111					169
Net interest income, net of purchase accounting adj	D			$	9,089				$	9,039				$	8,961				$	7,993				$	7,927
Total average earning assets				$	1,015,548				$	971,034				$	962,165				$	917,895				$	867,679
Add average balance of loan valuation discount					1,730					1,780					852					201					198
Avg earning assets, excluding loan valuation discount	E			$	1,017,278				$	972,814				$	963,017				$	918,096				$	867,877
Core net interest margin	D/E				3.57	%				3.72	%				3.72	%				3.48	%				3.65	%
				Three Months Ended
Return Ratios				Mar 31,2015					Dec 31,2014					Sept 30,2014					June 30,2014					Mar 31,2014
Net earnings	F			$	2,029				$	2,041				$	1,533				$	1,613				$	1,427
Dividends and accretion on preferred stock					85					86					85					86					106
Net earnings available to common shareholders					1,944					1,955					1,448					1,527					1,321
Gain on sale of other securities, after-tax					-					-					-					(183	)				-
Gain on sale of premises and equipment, after-tax					(84	)				-					-					-					(82	)
BAE, after-tax					-					(165	)				-					-					-
Acquisition charges, after-tax					-					22					158					94					68
Net earnings available to common shareholders, oper	G			$	1,860				$	1,812				$	1,606				$	1,438				$	1,307
Annualized return on avg assets	F/A				.72	%				.76	%				.58	%				.64	%				.59	%
Annualized return on avg assets, oper	G/A				.66	%				.68	%				.60	%				.57	%				.54	%
Annualized return on avg common equity, oper	G/B				9.33	%				9.88	%				8.81	%				8.18	%				7.70	%
Annualized return on avg tangible common equity, oper	G/C				11.45	%				12.34	%				10.86	%				10.06	%				9.56	%

Certain financial information included in the earnings release and the associated Condensed Consolidated Financial Information (unaudited) is determined by methods other than in accordance with GAAP.

We use non-GAAP measures because we believe they are useful for evaluating our financial condition with a meaningful measure for assessing our financial condition as well as comparison to financial results for prior periods. These results should not be viewed as a substitute for results determined in accordance with GAAP, and are necessarily comparable to non-GAAP performance measures that other companies may use.

The First Bancshares, Inc.

M. Ray “Hoppy” Cole

Chief Executive Officer

or

Dee Dee Lowery

Chief Financial Officer

601-268-8998

Source: The First Bancshares, Inc.