In recent years, BancorpSouth Bank (BancorpSouth) has maintained a good credit profile with lower-than-peer credit losses on a granular and diversified loan book. BancorpSouth also has a diversified revenue stream and has broadened its loan footprint beyond its home state of Mississippi to extend across eight Southeastern states. We are affirming our 'BBB/A-2' long and short-term ratings on BancorpSouth and revising our outlook on the bank to positive from stable. The positive outlook primarily reflects the potential that the bank's capital ratios could rebound to a level we view as strong and, to a lesser extent, the potential that the bank will further improve its competitive market position and loan diversification while maintaining conservative business and financial policies. On July
