Strong market position in Mississippi Solid capital levels Good revenue diversification Consistent pre-provision earnings profile High exposure to real estate-related loans Geographic concentration in Mississippi Elevated nonperforming asset levels from asset quality deterioration The stable outlook reflects our expectation BancorpSouth Bank's credit quality, capital adequacy as measured by Standard&Poor's Ratings Services' RAC ratio, and profitability will remain stable throughout 2011 and into 2012. If credit quality were to deteriorate such that NPAs (including other real estate owned assets) approach 7% of gross loans leading to higher credit costs and reduced profitability, or if the bank's RAC ratio falls below 7%, we could revise the outlook to negative and/or lower the ratings. On the other hand, if asset quality
