---

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D. C. 20549

 

---

 

FORM 10-QSB

 

---

 

x	QUARTERLY REPORT UNDER SECTION 13 OR 15 (D) OF THE SECURITIES EXCHANGE ACT OF 1934

 

FOR THE QUARTERLY PERIOD ENDED: September 30, 2004

 

OR

 

¨	TRANSITION REPORT PURSUANT TO SECTION 13 OR 15 (D) OF THE SECURITIES EXCHANGE ACT OF 1934

 

COMMISSION FILE NUMBER: 33-94288

 

---

 

THE FIRST BANCSHARES, INC.

(EXACT NAME OF SMALL BUSINESS ISSUER AS SPECIFIED IN ITS CHARTER)

 

---

 

MISSISSIPPI		64-0862173
(STATE OF INCORPORATION)		(I.R.S. EMPLOYER IDENTIFICATION NO.)
6480 U.S. HIGHWAY 98 WEST HATTIESBURG, MISSISSIPPI		39404-5549
(ADDRESS OF PRINCIPAL EXECUTIVE OFFICES)		(ZIP CODE)

 

(601) 268-8998

(ISSUER’S TELEPHONE NUMBER, INCLUDING AREA CODE)

 

NONE

(FORMER NAME, ADDRESS AND FISCAL YEAR, IF CHANGED SINCE LAST REPORT)

 

---

 

INDICATE BY CHECK MARK WHETHER THE ISSUER: (1) HAS FILED ALL REPORTS REQUIRED TO BE FILED BY SECTION 13 OR 15 (D) OF THE SECURITIES EXCHANGE ACT OF 1934 DURING THE PRECEDING 12 MONTHS (OR FOR SUCH SHORTER PERIOD THAT THE REGISTRANT WAS REQUIRED TO FILE SUCH REPORTS), AND (2) HAS BEEN SUBJECT TO SUCH FILING REQUIREMENTS FOR THE PAST 90 DAYS.    Yes  x    No  ¨

 

ON SEPTEMBER 30, 2004, 1,165,165 SHARES OF THE ISSUER’S COMMON STOCK, PAR VALUE $1.00 PER SHARE, WERE OUTSTANDING.

 

TRANSITIONAL SMALL BUSINESS DISCLOSURE FORMAT (CHECK ONE):    Yes  ¨    No  x

 

---

---

PART I - FINANCIAL INFORMATION

 

ITEM 1. FINANCIAL STATEMENTS

 

THE FIRST BANCSHARES, INC.

 

CONSOLIDATED BALANCE SHEETS

 

($ amounts in thousands)		(Unaudited) September 30, 2004				December 31, 2003
ASSETS
Cash and due from banks		$	6,244			$	5,046
Interest-bearing deposits with banks			404				702
Federal funds sold			703				117
TOTAL CASH AND CASH EQUIVALENTS			7,351				5,865
Securities held-to-maturity, at amortized cost			15				15
Securities available-for-sale, at fair value			24,982				31,281
Loans held for sale			4,060				1,562
Loans			150,408				113,680
Allowance for loan losses			(1,503	)			(1,166	)
LOANS, NET			148,905				112,514
Premises and equipment			8,643				8,365
Interest receivable			993				822
Cash surrender value			3,284				3,170
Other assets			1,075				1,347
		$	199,308			$	164,941
LIABILITIES AND SHAREHOLDERS’ EQUITY
Liabilities:
Deposits:
Noninterest-bearing		$	36,536			$	19,995
Time, $100,000 or more			33,276				27,558
Other interest-bearing			71,244				74,145
TOTAL DEPOSITS			141,056				121,698
Interest payable			172				168
Borrowed funds			33,875				19,986
Subordinated debentures			7,217				7,217
Other liabilities			570				221
TOTAL LIABILITIES			182,890				149,290

 

( Continued )

---

		(Unaudited) September 30, 2004				December 31, 2003
SHAREHOLDERS’ EQUITY:
Common stock, $1 par value. Authorized 10,000,000 shares; 1,191,659 issued at September 30, 2004 and December 31, 2003			1,192				1,192
Preferred stock, par value $1 per share, 10,000,000 shares authorized; no shares issued and outstanding			—				—
Additional paid-in capital			12,949				12,949
Retained earnings			2,692				1,951
Accumulated other comprehensive income			49				23
Treasury stock, at cost, 26,494 shares at September 30, 2004 and December 31, 2003			(464	)			(464	)
TOTAL SHAREHOLDERS’ EQUITY			16,418				15,651
		$	199,308			$	164,941

 

THE FIRST BANCSHARES, INC.

 

CONSOLIDATED STATEMENTS OF INCOME

 

		(Unaudited) Three Months Ended September 30,						(Unaudited) Nine Months Ended September 30,
		2004			2003			2004			2003
INTEREST INCOME:
Loans, including fees		$	2,601		$	2,514		$	7,279		$	7,463
Securities:
Taxable			127			146			445			438
Tax exempt			39			23			100			72
Federal funds sold			7			12			17			34
Other			35			21			63			62
TOTAL INTEREST INCOME			2,809			2,716			7,904			8,069
INTEREST EXPENSE:
Deposits			490			543			1,417			1,741
Other borrowings			302			222			837			665
TOTAL INTEREST EXPENSE			792			765			2,254			2,406
NET INTEREST INCOME			2,017			1,951			5,650			5,663
PROVISION FOR LOAN LOSSES			213			135			501			346
NET INTEREST INCOME AFTER PROVISION FOR LOAN LOSSES			1,804			1,816			5,149			5,317

 

( Continued )

---

		(Unaudited) Three Months Ended September 30,						(Unaudited) Nine Months Ended September 30,
		2004			2003			2004			2003
NONINTEREST INCOME:
Service charges on deposit accounts		$	378		$	346		$	1,103		$	1,019
Other service charges, commissions and fees			53			100			236			303
Gain on sale of properties			—			—			152			—
TOTAL NONINTEREST INCOME			431			446			1,491			1,322
NONINTEREST EXPENSES:
Salaries and employee benefits			1,040			1,020			2,970			2,995
Occupancy and equipment expense			300			318			868			911
Other operating expenses			455			496			1,408			1,463
TOTAL NONINTEREST EXPENSES			1,795			1,834			5,246			5,369
INCOME BEFORE INCOME TAXES			440			428			1,394			1,270
INCOME TAXES			152			142			477			424
NET INCOME		$	288		$	286		$	917		$	846
EARNINGS PER SHARE - BASIC		$	.25		$	.25		$	.79		$	.72
EARNINGS PER SHARE - ASSUMING DILUTION		$	.24		$	.24		$	.77		$	.70
DIVIDENDS PER SHARE		$	—		$	—		$	.15		$	.10

 

THE FIRST BANCSHARES, INC.

 

CONSOLIDATED STATEMENTS OF CASH FLOWS

 

		(Unaudited) Nine Months Ended September 30,
		2004				2003
CASH FLOWS FROM OPERATING ACTIVITIES:
NET INCOME		$	917			$	846
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization			421				510
Provision for loan losses			501				346
(Increase) decrease in interest receivable			(171	)			107
(Increase) decrease in loans held-for-sale			(2,498	)			3,515
Increase (decrease) in interest payable			4				(61	)
Other, net			465				(199	)
NET CASH PROVIDED BY (USED IN) OPERATING ACTIVITIES			(361	)			5,064

 

( Continued )

---

		(Unaudited) Nine Months Ended September 30,
		2004				2003
CASH FLOWS FROM INVESTING ACTIVITIES:
Maturities and calls of securities available-for-sale			13,471				13,841
Maturities and calls of held-to-maturity securities			—				9
Purchases of securities available-for-sale			(7,154	)			(16,508	)
Net increase in loans			(36,729	)			(9,560	)
Purchases of premises and equipment			(699	)			(735	)
Increase in cash surrender value			(114	)			(120	)
NET CASH USED IN INVESTING ACTIVITIES			(31,225	)			(13,073	)
CASH FLOWS FROM FINANCING ACTIVITIES:
Increase in deposits			19,358				6,156
Net increase (decrease) in borrowed funds			13,889				(430	)
Issuance of common stock			—				464
Purchase of treasury stock			—				(464	)
Dividends paid on common stock			(175	)			(117	)
NET CASH PROVIDED BY FINANCING ACTIVITIES			33,072				5,609
NET INCREASE (DECREASE) IN CASH			1,486				(2,400	)
CASH AND CASH EQUIVALENTS AT BEGINNING OF PERIOD			5,865				12,100
CASH AND CASH EQUIVALENTS AT END OF PERIOD		$	7,351			$	9,700
CASH PAYMENTS FOR INTEREST		$	2,250			$	2,467
CASH PAYMENTS FOR INCOME TAXES			329				255

 

THE FIRST BANCSHARES, INC.

 

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)

 

NOTE A — BASIS OF PRESENTATION

 

The accompanying unaudited consolidated financial statements have been prepared in accordance with generally accepted accounting principles for interim financial statements and with the instructions to Form 10-QSB and Item 310(b) of Regulation S-B of the Securities and Exchange Commission. Accordingly, they do not include all of the information and footnotes required by generally accepted accounting principles for complete financial statements. However, in the opinion of management, all adjustments (consisting of normal recurring adjustments) considered necessary for a fair presentation have been included. Operating results for the nine months ended September 30, 2004, are not necessarily indicative of the results that may be expected for the year ended December 31, 2004. For further information, please refer to the consolidated financial statements and footnotes thereto included in the Company’s Form 10-KSB for the year ended December 31, 2003.

 

( Continued )

---

NOTE B — SUMMARY OF ORGANIZATION

 

The First Bancshares, Inc., Hattiesburg, Mississippi (the “Company”), was incorporated June 23, 1995, under the laws of the State of Mississippi for the purpose of operating as a bank holding company with respect to a then proposed de novo bank, The First National Bank of South Mississippi, Hattiesburg, Mississippi (the “Hattiesburg Bank”). The Hattiesburg Bank opened for business on August 5, 1996, with a total capitalization of $5.2 million.

 

On August 10, 1998, the Company filed a registration statement on Form SB-2 relating to the issuance of up to 533,333 shares of Common Stock in connection with the formation of the First National Bank of the Pine Belt (Laurel Bank). The offering was closed on December 31, 1998, with 428,843 shares subscribed with an aggregate purchase price of $6.4 million. On January 19, 1999, the Laurel Bank received approval from its banking regulator to begin banking operations, and the Company used $5 million of the net proceeds to purchase 100% of the capital stock of the Laurel Bank. Simultaneously, the 428,843 shares subscribed to in the offering were issued.

 

In January, 2004, the two banks merged to become The First, a National Banking Association (“The First”). The banks were merged to take advantage of operating efficiencies and marketing opportunities. The First engages in general commercial banking business, emphasizing in its marketing the Bank’s local management and ownership. The First offers a full range of banking services designed to meet the basic financial needs of its customers. These services include checking accounts, NOW accounts, money market deposit accounts, savings accounts, certificates of deposit, and individual retirement accounts. The First also offers short to medium-term commercial, mortgage, and personal loans. At September 30, 2004, The First had locations in Hattiesburg, Purvis, Laurel, Picayune, and Pascagoula, Mississippi.

 

During the quarter, The First received permission from its banking regulator to open a branch in Pascagoula, Mississippi. The branch offers full banking services and its opening is a part of management’s strategic plan to expand into viable markets within 100 miles of its home base. A loan production office was opened on July 19, 2004 and began operating as a branch on August 20, 2004 after receiving approval from the regulator on August 19, 2004.

 

At September 30, 2004, the Company had approximately $199.3 million in consolidated assets, $154.5 million in consolidated loans, $141.1 million in consolidated deposits, and $16.4 million in consolidated shareholders’ equity. For the nine months ended September 30, 2004, the Company reported a consolidated net income of $917,000.

 

In the first quarter of 2003 and 2004, the Company declared and paid dividends of $.10 and $.15 per common share, respectively.

---

NOTE C — EARNINGS PER COMMON SHARE

 

Basic per share data is calculated based on the weighted-average number of common shares outstanding during the reporting period. Diluted per share data includes any dilution from potential common stock outstanding, such as exercise of stock options.

 

		For the Three Months Ended September 30, 2004
		Net Income (Numerator)			Shares (Denominator)		Per Share Data
Basic per share		$	288,000		1,165,165		$	.25
Effect of dilutive shares:
Stock options			—		31,852
Diluted per share		$	288,000		1,197,017		$	.24
		For the Nine Months Ended September 30, 2004
		Net Income (Numerator)			Shares (Denominator)		Per Share Data
Basic per share		$	917,000		1,165,165		$	.79
Effect of dilutive shares:
Stock options			—		31,852
Diluted per share		$	917,000		1,197,017		$	.77
		For the Three Months Ended September 30, 2003
		Net Income (Numerator)			Shares (Denominator)		Per Share Data
Basic per share		$	286,000		1,165,165		$	.25
Effect of dilutive shares:
Stock options			—		38,445
Diluted per share		$	286,000		1,203,610		$	.24

 

(Continued)

---

		For the Nine Months Ended September 30, 2003
		Net Income (Numerator)			Shares (Denominator)		Per Share Data
Basic per share		$	846,000		1,170,347		$	.72
Effect of dilutive shares:
Stock options			—		38,445
Diluted per share		$	846,000		1,208,792		$	.70

 

NOTE D - STOCK-BASED COMPENSATION

 

The Company has a stock-based employee compensation plan which is accounted for under the recognition and measurement principles of Accounting Principles Board (“APB”) Opinion No. 25, Accounting for Stock Issued to Employees, and related Interpretations. No stock-based employee compensation cost is reflected in net income, as all stock options granted under these plans had an exercise price equal to the market value of the underlying common stock on the date of grant. The following table illustrates the effect on net income and earnings per share as if the Company had applied the fair value recognition provisions of Financial Accounting Standards Board (“FASB”) SFAS No. 123, Accounting for Stock-Based Compensation, to stock-based employee compensation.

 

($ amounts in thousands except for per share data)

 

		Quarter Ended September 30,
		2004			2003
Net income, as reported		$	288		$	286
Deduct: Total stock-based employee compensation expense determined under fair value based method for all awards, net of related tax effects			—			(1	)
Pro forma net income		$	288		$	285
Earnings per share:
Basic - as reported		$	.25		$	.25
Basic - pro forma			.25			.24
Diluted - as reported			.24			.24
Diluted - pro forma			.24			.24

 

(Continued)

---

		Nine Months Ended September 30,
		2004				2003
Net income, as reported		$	917			$	846
Deduct: Total stock-based employee compensation expense determined under fair value based method for all awards, net of related tax effects			(3	)			(41	)
Pro forma net income		$	914			$	805
Earnings per share:
Basic - as reported		$	.79			$	.72
Basic - pro forma			.78				.69
Diluted - as reported			.77				.70
Diluted - pro forma			.76				.67

 

NOTE E - COMPREHENSIVE INCOME

 

The following table discloses Comprehensive Income for the periods reported in the Consolidated Statements of Income:

 

(In thousands)

 

		Quarter Ended September 30,
		2004			2003
Net Income		$	288		$	286
Other Comprehensive Income (loss) net of tax: Unrealized holding gains (losses) on securities during the period, net of taxes			103			(61	)
Comprehensive Income		$	391		$	225
Accumulated Comprehensive Income		$	49		$	74
		Nine Months Ended September 30,
		2004			2003
Net Income		$	917		$	846
Other Comprehensive Income (Loss) net of tax: Unrealized holding gains (losses) on securities during the period, net of taxes			26			(112	)
Comprehensive Income		$	943		$	734
Accumulated Comprehensive Income		$	49		$	74

---

ITEM NO. 2 MANAGEMENT DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

 

FINANCIAL CONDITION

 

The following discussion contains “forward-looking statements” relating to, without limitation, future economic performance, plans and objectives of management for future operations, and projections of revenues and other financial items that are based on the beliefs of the Company’s management, as well as assumptions made by and information currently available to the Company’s management. The words “expect,” “estimate,” “anticipate,” and “believe,” as well as similar expressions, are intended to identify forward-looking statements. The Company’s actual results may differ materially from the results discussed in the forward-looking statements, and the Company’s operating performance each quarter is subject to various risks and uncertainties that are discussed in detail in the Company’s filings with the Securities and Exchange Commission, including the “Risk Factors” section in the Company’s Registration Statement on Form SB-2 (Registration Number 333-61081) as filed with and declared effective by the Securities and Exchange Commission.

 

The First represents the primary asset of the Company. The First reported total assets of $197.9 million at September 30, 2004, compared to $163.4 million at December 31, 2003. Loans increased $39.2 million, or 34.0%, during the first nine months of 2004. Deposits at September 30, 2004, totaled $145 million compared to $126 million at December 31, 2003. For the nine month period ended September 30, 2004, The First reported net income of $970,000 compared to $839,000 for the nine months ended September 30, 2003. Net income was impacted by a decline in expenses related to the merger of the subsidiary banks. Also, a gain of approximately $152,000 was reported on the sale of nonoperating land.

 

NONPERFORMING ASSETS AND RISK ELEMENTS. Diversification within the loan portfolio is an important means of reducing inherent lending risks. At September 30, 2004, The First had no concentrations of ten percent or more of total loans in any single industry nor any geographical area outside their immediate market areas.

 

At September 30, 2004, The First had loans past due as follows:

 

		($ In Thousands)
Past due 30 through 89 days		$	1,111
Past due 90 days or more and still accruing			257

 

The accrual of interest is discontinued on loans which become ninety days past due (principal and/or interest), unless the loans are adequately secured and in the process of collection. Nonaccrual loans totaled $167,000 at September 30, 2004. Any other real estate owned is carried at fair value, determined by an appraisal. Other real estate owned totaled $265,000 at September 30, 2004. A loan is classified as a restructured loan when the interest rate is materially reduced or the term is extended beyond the original maturity date because of the inability of the borrower to service the debt under the original terms. The First had no restructured loans at September 30, 2004.

 

LIQUIDITY AND CAPITAL RESOURCES

 

Liquidity is considered adequate with cash and cash equivalents of $7.4 million as of September 30, 2004. In addition, loans and investment securities repricing or maturing within one year or less exceeded $56.8 million at September 30, 2004. Approximately $17.6 million in loan commitments are expected to be funded within the next six months and other commitments, primarily standby letters of credit, totaled $55,000 at September 30, 2004.

---

There are no known trends or any known commitments of uncertainties that will result in The First’s liquidity increasing or decreasing in a material way. In addition, The First is not aware of any recommendations by any regulatory authorities which would have a material effect on its liquidity, capital resources or results of operations.

 

Total consolidated equity capital at September 30, 2004, is $16.4 million, or approximately 8% of total assets. The First currently has adequate capital positions to meet the minimum capital requirements for all regulatory agencies. The capital ratios as of September 30, 2004, are as follows:

 

Tier 1 leverage		9.7	%
Tier 1 risk-based		11.7	%
Total risk-based		12.6	%

 

On March 26, 2002, The First Bancshares Statutory Trust 1 (the Trust), a wholly-owned subsidiary trust of the Company, issued $7,000,000 of redeemable cumulative trust preferred securities. The Trust used the funds to acquire floating rate subordinated debentures from the Company. The debentures bear an interest rate of the 3-month LIBOR plus 3.60%. The debentures have a maturity of 30 years but are callable 5 years after issuance. Presently, the trust preferred securities qualify as Tier 1 capital up to 25% of other components of Tier 1 capital. The Federal Reserve Board has issued a proposed rule that would retain trust preferred securities in Tier 1 capital but with stricter quantitative limits and clearer qualitative standards. In accordance with FIN 46, “Consolidation of Variable Interest Entities” the statutory trust is not included in the consolidated financial statements. Instead the subordinated debentures due to the statutory trust are included in the consolidated liabilities of the Company.

 

RESULTS OF OPERATIONS - QUARTERLY

 

The Company had a consolidated net income of $288,000 for the three months ending September 30, 2004, compared with consolidated net income of $286,000 for the same period last year.

 

Net interest income increased to $2,017,000 from $1,951,000 for the first three months ending September 30, 2004, or an increase of 3.4% as compared to the same period in 2003. Earning assets through September 30, 2004, increased $16.1 million and interest-bearing liabilities also increased $5.1 million when compared to June 30, 2004, reflecting increases of 9.6% and 3.6%, respectively.

 

Noninterest income for the three months ending September 30, 2004, was $431,000 compared to $446,000 for the same period in 2003, reflecting a decrease of $15,000 or 3.4%. Included in noninterest income is service charges on deposit accounts, which for the three months ended September 30, 2004, totaled $378,000, compared to $346,000 for the same period in 2003, and is a reflection of continued growth of the deposit base, as well as improvement in the fee pricing structure.

 

The provision for loan losses was $213,000 for the three months in 2004 compared with $135,000 for the same period in 2003 and the additional provision reflects the continued growth of the loan portfolio.

---

Noninterest expense decreased by $39,000 or 2.1% for the three months ended September 30, 2004, when compared with the same period in 2003. The decrease is primarily due to a decline in expenses due to savings as a result of the merger.

 

RESULTS OF OPERATIONS - YEAR-TO-DATE

 

The Company had a consolidated net income of $917,000 for the nine months ending September 30, 2004, compared with consolidated net income of $846,000 for the same period last year.

 

Reflecting tighter interest margins, net interest income declined to $5,650,000 from $5,663,000 for the first nine months ending September 30, 2004, or a decrease of .23% as compared to the same period in 2003. Earning assets through September 30, 2004, increased $34.8 million and interest-bearing liabilities also increased $17.3 million when compared to September 30, 2003, reflecting increases of 23.4% and 13.5%, respectively.

 

Noninterest income for the nine months ending September 30, 2004, was $1,491,000 compared to $1,322,000 for the same period in 2003, reflecting an increase of $169,000 or 12.8%. Included in noninterest income is service charges on deposit accounts, which for the nine months ended September 30, 2004, totaled $1,103,000, compared to $1,019,000 for the same period in 2003, and is a reflection of continued growth of the deposit base, as well as improvement in the fee pricing structure. Also, during the first quarter of 2004, the Company reported a gain of $152,000 on the sale of nonoperating land.

 

The provision for loan losses was $501,000 in the first nine months of 2004 compared with $346,000 for the same period in 2003. The allowance for loan losses of $1.5 million at September 30, 2004 (approximately 1% of loans) is considered by management to be adequate to cover losses inherent in the loan portfolio. The level of this allowance is dependent upon a number of factors, including the total amount of past due loans, general economic conditions, and management’s assessment of potential losses. This evaluation is inherently subjective as it requires estimates that are susceptible to significant change. Ultimately, losses may vary from current estimates and future additions to the allowance may be necessary. Thus, there can be no assurance that charge-offs in future periods will not exceed the allowance for loan losses or that additional increases in the loan loss allowance will not be required. Management evaluates the adequacy of the allowance for loan losses quarterly and makes provisions for loan losses based on this evaluation.

 

Noninterest expense decreased by $123,000 or 2.3% for the nine months ended September 30, 2004, when compared with the same period in 2003. The decrease is primarily due to a decline due to fewer employees and operating costs as a result of the merger.

 

ITEM 3. - CONTROLS AND PROCEDURES

 

As of the end of the period covered by this report, an evaluation under the direction and with the participation of our principal executive officer and principal financial officer was performed to determine the effectiveness of the design and operation of the disclosure controls and procedures. The principal executive officer and the principal financial officer concluded that our disclosure controls and procedures are effective in timely alerting them to material information required to be included in our periodic SEC reports. There have been no significant changes in the Corporation’s internal controls or in other factors subsequent to the date of the evaluation that could significantly affect these controls.

---

PART II — OTHER INFORMATION

 

ITEM 1. LEGAL PROCEEDINGS

 

    None

 

ITEM 2. CHANGES IN SECURITIES

 

    None

 

ITEM 3. DEFAULT UPON SENIOR SECURITIES

 

    None

 

ITEM 4. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS

 

    None

 

ITEM 5. OTHER INFORMATION

 

    None

 

ITEM 6. EXHIBITS AND REPORTS ON FORM 8-K

 

    (a) Exhibits

 

Exhibit No.
31.1		Certification of principal executive officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.
31.2		Certification of principal financial officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.
32.1		Certification of principal executive officer pursuant to 18 U. S. C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.
32.2		Certification of principal financial officer pursuant to 18 U. S. C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.

 

    (b) Form 8-K

 

A Form 8-K was filed to announce quarterly and six month financial information as of June 30, 2004. The press release was made to the public on August 18, 2004.

---

SIGNATURES

 

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

 

		THE FIRST BANCSHARES, INC.
		(Registrant)
November 10, 2004           (Date)		/S/ DAVID E. JOHNSON David E. Johnson, President and Chief Executive Officer
November 10, 2004           (Date)		/S/ DAVID O. THOMS, JR David O. Thoms, Jr., Senior Vice President and Principal Accounting and Financial Officer