Hancock Holding Company Announces Earnings for Fourth Quarter 2006


GULFPORT, Miss., Jan. 30, 2007 (PRIME NEWSWIRE) -- Hancock Holding Company (Nasdaq:HBHC) and Leo W. Seal, Jr., President of Hancock Holding Company, today announced earnings for the fourth quarter ended December 31, 2006. Hancock's fourth quarter 2006 earnings were $21.8 million, an increase of $2.7 million, or 14 percent, from the fourth quarter of 2005. Diluted earnings per share for the fourth quarter of 2006 were $0.65, an increase of $0.07 from the same quarter a year ago.

Net income for 2006 totaled $101.8 million, compared to $54.0 million reported for 2005, an increase of $47.8 million. Diluted earnings per share for 2006 were $3.06, compared to $1.64 for 2005, resulting in an increase of $1.42 per share.

Net income for both 2006 and 2005 was affected by several items related to the impact of Hurricane Katrina, which made landfall in the Company's operating region on August 29, 2005. In 2005, net income was negatively affected by storm-related items totaling $21.1 million on an after tax basis. The largest of 2005's items was the establishment of a $35.2 million (pre-tax) allowance for loan losses related to the storm. In the third quarter of 2006, the Company reversed $20.0 million from the storm-related allowance for loan losses due to better than expected loss experience with storm impacted credits. In addition, the Company negotiated a final settlement with the primary property and casualty insurance provider and recognized a $5.1 million gain in 2006's fourth quarter.

Hancock Holding Company Chief Executive Officers Carl J. Chaney and John M. Hairston both expressed gratitude and congratulations to all Hancock family members for their personal sacrifices in the aftermath of the 2005 storm and for a job well done in 2006. Both executives also expressed optimism for the continued rebuilding efforts in the Company's operating region.

Highlights and key operating items from Hancock's fourth quarter earnings are as follows:



 * Net Income and Returns: Hancock's net income for the fourth
   quarter of 2006 was $21.8 million compared to $19.1 million for
   the same quarter a year ago. Return on average assets for the
   quarter was 1.44 percent compared to 1.39 percent for 2005's
   fourth quarter. Return on average common equity was 15.54 percent
   compared to 15.98 percent for the same quarter a year ago.

 * Insurance Settlement: In the fourth quarter the Company
   negotiated a final settlement with the primary property and
   casualty insurance provider for all claims related to the impact
   of Hurricane Katrina. A $5.1 million pretax gain related to the
   settlement was recorded in the fourth quarter. All of the
   Company's insurance claims related to the storm have now been
   settled.

 * Partial Restructuring of Securities Portfolio: During the fourth
   quarter, the interest rate environment presented Hancock with an
   opportunity to sell $162.9 million in certain U.S. Agency
   securities. The bonds were sold at a pretax book loss of $5.4
   million and had a book yield of 3.81 percent. The proceeds were
   immediately reinvested in a combination of federal funds and
   other short-term instruments yielding approximately 5.18 percent.

 * Asset Quality & Allowance for Loan Losses: Hancock recorded a
   negative provision for loan losses of $57,000 in the fourth
   quarter, which when combined with the quarter's net charge-offs
   of $1.5 million, resulted in the $1.6 million reduction in the
   allowance for loan losses between September 30, 2006, and
   December 31, 2006. This negative provision was necessary to
   further adjust the allowance to the level dictated by the
   Company's reserving methodologies. Net charge-offs for the fourth
   quarter were $1.5 million, or 0.19 percent of average loans, down
   $1.1 million from the $2.6 million, or 0.34 percent of average
   loans, reported for the third quarter of 2006. Net charge-offs
   for the fourth quarter of 2005 were $3.1 million, or 0.41 percent
   of average loans. Total storm-related net charge-offs for all of
   2006 were $1.8 million and for 2005 were $2.4 million.
   Non-performing assets as a percent of total loans and foreclosed
   assets was 0.13 percent at December 31, 2006, compared to 0.20
   percent at September 30, 2006. Compared to the fourth quarter of
   2005, the ratio of non-performing assets as a percent of total
   loans and foreclosed assets was down 29 basis points from the
   0.42 percent reported at December 31, 2005. Non-performing assets
   decreased $2.0 million from September 30, 2006, reflecting
   primarily lower levels of non-accrual loans. The Company's ratio
   of accruing loans 90 days or more past due to total loans was
   0.08 percent at December 31, 2006, compared to 0.12 percent at
   September 30, 2006, and to 0.86 percent at December 31, 2005. The
   Company's allowance for loan losses was $46.8 million at December
   31, 2006, down $1.6 million from the $48.4 million reported at
   September 30, 2006, and $27.8 million lower than the $74.6
   million reported at December 31, 2005. The ratio of the allowance
   for loan losses as a percent of period-end loans was 1.43 percent
   at December 31, 2006, and 1.54 percent at September 30, 2006. The
   allowance coverage ratio (allowance for loan losses to
   non-performers and past dues) was 695 percent for the fourth
   quarter of 2006, as compared to 196 percent for the fourth
   quarter of 2005.

 * Loans: At December 31, 2006, Hancock's total loans were $3.3
   billion, which represented an increase of $277.4 million, or 9
   percent, from December 31, 2005. Period-end loans were up $125.4
   million, or 4 percent, compared to September 30, 2006. Average
   loans were up $120.6 million, or 16 percent annualized, from the
   third quarter. Of that increase, approximately $55.2 million of
   growth was in Louisiana, $42.0 million in Mississippi, and $23.4
   million in Florida. The majority of the increase in average loans
   compared to last quarter was in commercial purpose loans
   (approximately $96.3 million).

 * Deposits: Period-end deposits for the fourth quarter were $5.0
   billion, up $41.2 million, or 0.8 percent, from December 31,
   2005, and were up $30.4 million, or 0.6 percent, from September
   30, 2006. Average deposits were down $76.9 million, or 6 percent
   annualized, from the third quarter. The majority of the decrease
   in average deposits was in transaction deposits ($145.3 million)
   and public fund deposits ($58.0 million), while time deposits
   were up significantly ($126.3 million). The slower growth in
   deposits on an annual basis and the decline in the fourth quarter
   of 2006 was the result of the continued rebuilding efforts in the
   region following Hurricane Katrina.

 * Net Interest Income: Net interest income (te) for the fourth
   quarter increased $0.9 million, or 2 percent, from the fourth
   quarter of 2005, but was $3.9 million lower than the third
   quarter of 2006. The Company's net interest margin (te) was 4.06
   percent in the fourth quarter, 38 basis points narrower than the
   same quarter a year ago, and 23 basis points narrower than the
   previous quarter. Compared to the same quarter a year ago, the
   primary driver of the $0.9 million increase in net interest
   income (te) was a $548.7 million, or 11 percent, increase in
   average earning assets, mainly from average deposit inflows of
   $461.6 million or 10 percent. As mentioned, the net interest
   margin (te) narrowed 38 basis points. As the increase in the
   average earning asset yield (40 basis points) did not offset the
   increase in total funding costs (78 basis points). The Company's
   level of net interest income (te) in the fourth quarter decreased
   $3.9 million, or 7 percent, from the prior quarter. The net
   interest margin (te) narrowed 23 basis points from the prior
   quarter as the yield on average earning assets decreased 5 basis
   points, while total funding costs were up 17 basis points.

 * Non-interest income & operating expense: Excluding the impact of
   storm-related gains/(losses) and securities transactions,
   non-interest income for the fourth quarter was up $4.4 million,
   or 19 percent, compared to the same quarter a year ago.
   Non-interest income was up $1.8 million, or 7 percent, compared
   to the third quarter. The primary factors impacting the higher
   levels of non-interest income as compared to the same quarter a
   year ago, were higher levels of service charge fees (up $2.6
   million, or 37 percent). In addition, trust fees were up $0.7
   million, when compared to the same quarter a year ago. The
   increase in non-interest income for the fourth quarter (excluding
   securities transactions) compared to the prior quarter was due to
   increases in insurance fees (up $1.2 million) and trust fees (up
   $0.5 million). Operating expenses for the fourth quarter were
   $5.4 million, or 12 percent, higher compared to the same quarter
   a year ago and were $0.3 million, or 1 percent, lower than the
   previous quarter. The increase from the same quarter a year ago
   was reflected in higher levels of professional services (up $3.2
   million), data processing expense (up $.5 million), communication
   expense (up $.5 million) and all other expenses (up $1.2
   million).

Hancock Holding Company -- parent company of Hancock Bank (Mississippi), Hancock Bank of Louisiana, Hancock Bank of Florida, and Magna Insurance Company -- has assets of $6.0 billion. Founded in 1899, Hancock Bank stands among the strongest, safest financial institutions in the United States and is the only financial services company headquartered in the Gulf South to rate among the top 20 percent of America's top-performing banks. Hancock offers comprehensive financial solutions through more than 140 banking and financial services offices and more than 131 automated teller machines across south Mississippi, Louisiana, south Alabama, and the Florida Panhandle. Additional corporate information and on-line banking and bill pay services are available at www.hancockbank.com.

The Hancock Holding Company logo is available at http://www.primezone.com/newsroom/prs/?pkgid=2758

"SAFE HARBOR" STATEMENT UNDER THE PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995: Congress passed the Private Securities Litigation Act of 1995 in an effort to encourage corporations to provide information about companies' anticipated future financial performance. This act provides a safe harbor for such disclosure, which protects the companies from unwarranted litigation if actual results are different from management expectations. This release contains forward-looking statements and reflects management's current views and estimates of future economic circumstances, industry conditions, company performance, and financial results. These forward-looking statements are subject to a number of factors and uncertainties which could cause the Company's actual results and experience to differ from the anticipated results and expectations expressed in such forward-looking statements.



 Hancock Holding Company 
 Financial Highlights
 (amounts in thousands, except per share data and FTE headcount)
 (unaudited)

 ---------------------------------------------------------------------
                          Three Months Ended       Twelve Months Ended
 ------------------------------------------------   ------------------
                     12/31/06   9/30/06  12/31/05   12/31/06  12/31/05
                     --------  --------  --------   --------  --------
 Per Common
  Share Data
 -----------
 Earnings per
  share:
   Basic             $   0.67  $   1.11  $   0.59   $   3.13  $   1.67
   Diluted           $   0.65  $   1.08  $   0.58   $   3.06  $   1.64
 Cash dividends
  per share          $  0.240  $  0.240  $  0.195   $  0.895  $  0.720
 Book value
  per share
  (period-end)       $  17.09  $  16.64  $  14.78   $  17.09  $  14.78
 Tangible book
  value per share
  (period-end)       $  14.87  $  14.47  $  12.55   $  14.87  $  12.55
 Weighted average
  number of shares:
   Basic               32,632    32,566    32,313     32,534    32,365
   Diluted             33,378    33,333    32,980     33,304    32,966
 Period-end number
  of shares            32,666    32,584    32,301     32,666    32,301
 Market data:
  High closing
   price             $  56.00  $  56.79  $  39.90   $  57.19  $  39.90
  Low closing
   price             $  50.85  $  49.71  $  31.08   $  37.75  $  28.25
  Period end
   closing price     $  52.84  $  53.55  $  37.81   $  52.84  $  37.81
  Trading volume        6,393     8,135     6,829     27,275    22,404

 Other Period-
  end Data
 -------------
 FTE headcount          1,848     1,788     1,735      1,848     1,735
 Tangible common
  equity             $485,778  $471,387  $405,216   $485,778  $405,216
 Tier I capital      $510,638  $487,668  $420,281   $510,638  $420,281
 Goodwill            $ 62,277  $ 59,683  $ 61,418   $ 62,277  $ 61,418
 Amortizable
  intangibles        $  9,414  $  9,938  $  9,204   $  9,414  $  9,204
 Mortgage
  servicing
  intangibles        $    941  $  1,093  $  1,577   $    941  $  1,577
 Common shares
  repurchased for
  publicly
  announced plans          --        --        --         39       148

 Performance
  Ratios
 -----------
 Return on
  average assets         1.44%     2.36%     1.39%      1.69%     1.10%
 Return on
  average common
  equity                15.54%    27.58%    15.98%     19.82%    11.36%
 Earning asset
  yield (TE)             6.54%     6.60%     6.14%      6.41%     6.08%
 Total cost of
  funds                  2.48%     2.30%     1.70%      2.18%     1.68%
 Net interest
  margin (TE)            4.06%     4.29%     4.44%      4.23%     4.40%
 Noninterest expense
  as a percent of
  total revenue (TE)
  before amortization
  of purchased
  intangibles, net
  storm-related gain/
  (loss) and
  securities
  transactions          59.79%    58.76%    56.89%     58.99%    58.82%
 Common equity
  (period-end) as
  a percent of
  total assets
  (period-end)           9.36%     8.86%     8.02%      9.36%     8.02%
 Leverage (Tier I)
  ratio                  8.63%     8.15%     7.85%      8.63%     7.85%
 Tangible common
  equity ratio           8.24%     7.79%     6.89%      8.24%     6.89%
 Net charge-offs
  as a percent of
  average loans          0.19%     0.34%     0.41%      0.23%     0.30%
 Allowance for
  loan losses as
  a percent of
  period-end loans       1.43%     1.54%     2.49%      1.43%     2.49%
 Allowance for loan
  losses to NPAs
  + accruing loans
  90 days past due     694.67%   494.65%   195.50%    694.67%   195.50%
 Loan/deposit
  ratio                 64.34%    60.97%    66.44%     60.41%    72.05%
 Non-interest
  income excluding
  net storm-related
  gain/(loss) and
  securities trans-
  actions as a
  percent of total
  revenue (TE)          33.14%    30.18%    29.68%     30.87%    31.86%

 Hancock Holding Company
 Financial Highlights
 (amounts in thousands)
 (unaudited)

 ---------------------------------------------------------------------
                   Three Months Ended             Twelve Months Ended
 ---------------------------------------------  ----------------------
             12/31/06     9/30/06    12/31/05    12/31/06    12/31/05
            ----------  ----------  ----------  ----------  ----------
 Asset Quality
  Information
 -------------
 Non-accrual
  loans     $    3,500  $    5,179  $   10,617  $    3,500  $   10,617
 Foreclosed
  assets           681         970       1,898         681       1,898
            ----------  ----------  ----------  ----------  ----------
 Total non-
  performing
  assets    $    4,181  $    6,149  $   12,515  $    4,181  $   12,515
            ----------  ----------  ----------  ----------  ----------
 Non-performing
  assets as
  a percent
  of loans
  and fore-
  closed assets   0.13%       0.20%       0.42%       0.13%       0.42%
 Accruing loans
  90 days
  past due  $    2,552  $    3,626  $   25,622  $    2,552  $   25,622
 Accruing
  loans 90
  days past
  due as a
  percent of
  loans           0.08%       0.12%       0.86%       0.08%       0.86%
 Non-per-
  forming
  assets
  + accruing
  loans 90
  days past
  due to loans
  and fore-
  closed assets   0.21%       0.31%       1.28%       0.21%       1.28%

 Net charge-
  offs      $    1,523  $    2,608  $    3,104  $    7,024  $    8,759
 Net charge-
  offs as a
  percent of
  average loans   0.19%       0.34%       0.41%       0.23%       0.30%

 Allowance
  for loan
  losses    $   46,772  $   48,352  $   74,558  $   46,772  $   74,558
 Allowance
  for loan
  losses as
  a percent
  of period-
  end loans       1.43%       1.54%       2.49%       1.43%       2.49%
 Allowance
  for loan
  losses to
  NPAs +
  accruing
  loans 90
  days past
  due           694.67%     494.65%     195.50%     694.67%     195.50%

 Provision
  for loan
  losses    $      (57) $  (20,000) $    1,079  $  (20,762) $   42,635

 Allowance for
 Loan Losses
 -------------
 Beginning
  Balance   $   48,352  $   70,960  $   76,584  $   74,558  $   40,682
 Provision
  for loan
  loss             (57)    (20,000)      1,079     (20,762)     42,635
 Charge-offs     4,493       6,358       4,546      19,515      15,811
 Recoveries      2,970       3,750       1,442      12,491       7,052
-----------
 Net charge-
  offs           1,523       2,608       3,104       7,024       8,759
-----------
 Ending
  Balance   $   46,772  $   48,352  $   74,558  $   46,772  $   74,558
            ----------  ----------  ----------  ----------  ----------

 Net Charge-off
  Information
 --------------
 Net charge-
  offs:
 Commercial/
  real estate
  loans     $     (137) $      522  $      332  $     (559) $    1,287
 Mortgage
  loans            (11)        367          (7)        360          63
 Direct
  consumer
  loans            493       1,003       1,831       3,756       3,684
 Indirect
  consumer
  loans            395         294         272       1,734       1,692
 Finance
  company
  loans            783         422         676       1,733       2,033
            ----------  ----------  ----------  ----------  ----------
 Total net
  charge-
  offs      $    1,523  $    2,608  $    3,104  $    7,024  $    8,759
            ==========  ==========  ==========  ==========  ===========
 Average
  loans:
 Commercial/
  real estate
  loans     $1,855,506  $1,759,173  $1,660,804  $1,747,816  $1,565,369
 Mortgage
  loans        428,674     423,610     442,977     418,273     424,654
 Direct
  consumer
  loans        479,087     470,771     489,150     470,942     501,677
 Indirect
  consumer
  loans        350,829     347,404     342,203     349,518     328,679
 Finance
  Company
  loans         86,965      79,483      63,663      75,673      62,640
            ----------  ----------  ----------  ----------  ----------
 Total
  average
  loans     $3,201,061  $3,080,442  $2,998,797  $3,062,222  $2,883,020

 Net charge-
  offs to
  average loans:
 Commercial/
  real estate
  loans          -0.03%       0.12%       0.08%      -0.03%       0.08%
 Mortgage
  loans          -0.01%       0.34%      -0.01%       0.09%       0.01%
 Direct
  consumer
  loans           0.41%       0.85%       1.49%       0.80%       0.73%
 Indirect
  consumer
  loans           0.45%       0.34%       0.32%       0.50%       0.51%
 Finance
  Company
  loans           3.57%       2.11%       4.21%       2.29%       3.25%
            ----------  ----------  ----------  ----------  ----------
 Total net
  charge-offs
  to average
  loans           0.19%       0.34%       0.41%       0.23%       0.30%

 Hancock Holding Company     
 Financial Highlights
 (amounts in thousands)
 (unaudited)

 ---------------------------------------------------------------------
                           Three Months Ended      Twelve Months Ended
 ------------------------------------------------  -------------------
                      12/31/06  9/30/06  12/31/05   12/31/06  12/31/05
                      --------  -------- --------   --------  --------
 Income Statement
 ----------------
 Interest income       $87,104  $ 89,233  $73,429   $344,330  $263,631
 Interest income (TE)   89,366    91,275   75,433    352,592   271,008
 Interest expense       33,966    31,988   20,911    119,863    74,819
                       -------  --------  -------   --------  --------
 Net interest
  income (TE)           55,400    59,286   54,522    232,730   196,189
 Provision for
  loan losses              (57)  (20,000)   1,079    (20,762)   42,635
 Noninterest income
  excluding net
  storm-related
  gain/(loss)
  and securities
  transactions          27,460    25,627   23,016    103,918    91,738
 Net storm-related
  gain/(loss)            5,084        --   (5,692)     5,084     6,584
 Securities
  transactions
  gains/(losses)        (5,396)      110      (27)    (5,169)      (53)
 Noninterest expense    50,042    50,336   44,626    200,716   171,543
                       -------  --------  -------   --------  --------
 Income before
  income taxes          30,300    52,645   24,112    148,347    72,903
 Income tax expense      8,538    16,614    5,047     46,544    18,871
                       -------  --------  -------   --------  --------
 Net income            $21,762  $ 36,031  $19,065   $101,802  $ 54,032
                       =======  ========  =======   ========  ========

 Noninterest Income
  and Noninterest
  Expense
 -------------------
 Service charges on
  deposit accounts     $ 9,402  $  9,719  $ 6,850   $ 36,228  $ 34,773
 Trust fees              3,624     3,175    2,946     13,286    11,107
 Debit card &
  merchant fees          1,983     1,744    1,717      7,298     4,878
 Insurance fees          5,346     4,146    4,837     19,246    17,099
 Investment &
  annuity fees           1,519     1,595    1,037      5,970     5,076
 ATM fees                1,215     1,223      805      5,005     4,202
 Secondary mortgage
  market operations        945     1,018      670      3,528     2,221
 Other income            3,426     3,009    4,154     13,358    12,381
                       -------  --------  -------   --------  --------
 Noninterest income
  excluding net
  storm-related
  gain/(loss)
  and securities
  transactions         $27,460  $ 25,627  $23,016   $103,918  $ 91,738
 Net storm-related
  gain/(loss)            5,084        --   (5,692)     5,084     6,584
 Securities
  transactions
  gains/(losses)        (5,396)      110      (27)    (5,169)      (53)
                       -------  --------  -------   --------  --------
 Total noninterest
  income including
  net storm-related
  gain/(loss) and
  securities
  transactions         $27,147  $ 25,737  $17,298   $103,833  $ 98,270
                       =======  ========  =======   ========  ========

 Personnel expense     $24,092  $ 27,059  $24,580   $103,753  $ 94,158
 Occupancy expense
  (net)                  3,335     2,882    3,237     13,350    10,926
 Equipment expense       2,665     2,647    2,511     10,796     9,553
 Other operating
  expense               19,451    17,304   13,780     70,692    54,712
 Amortization of
  intangibles              499       445      518      2,125     2,194
                       -------  --------  -------   --------  --------
 Total noninterest
  expense              $50,042  $ 50,336  $44,626   $200,716  $171,543
                       =======  ========  =======   ========  ========

 Hancock Holding Company              
 Financial Highlights
 (amounts in thousands)
 (unaudited)

 ---------------------------------------------------------------------
                      Three Months Ended          Twelve Months Ended
 ---------------------------------------------  ----------------------
             12/31/06     9/30/06    12/31/05    12/31/06    12/31/05
            ----------  ----------  ----------  ----------  ----------
 Period-end
  Balance Sheet
 --------------
 Commercial/
  real estate
  loans     $1,912,076  $1,800,643  $1,677,716  $1,912,076  $1,677,716
 Mortgage
  loans        426,534     430,086     423,563     426,534     423,563
 Direct
  consumer
  loans        484,704     477,142     477,716     484,704     477,716
 Indirect
  consumer
  loans        353,032     350,013     346,071     353,032     346,071
 Finance
  Company
  loans         90,236      83,278      64,121      90,236      64,121
            ----------  ----------  ----------  ----------  ----------
 Total loans 3,266,583   3,141,162   2,989,186   3,266,583   2,989,186
 Securities  1,903,658   2,303,396   1,959,261   1,903,658   1,959,261
 Short-term
  investments  222,439      74,902     410,226     222,439     410,226
            ----------  ----------  ----------  ----------  ----------
 Earning
  assets     5,392,680   5,519,461   5,358,673   5,392,680   5,358,673
            ----------  ----------  ----------  ----------  ----------
 Allowance for
  loan losses  (46,772)    (48,352)    (74,558)    (46,772)    (74,558)
 Other assets  618,656     650,556     666,073     618,656     666,073
            ----------  ----------  ----------  ----------  ----------
 Total
  assets    $5,964,565  $6,121,665  $5,950,187  $5,964,565  $5,950,187
            ==========  ==========  ==========  ==========  ==========
 Noninterest
  bearing
  deposits  $1,057,358  $1,062,348  $1,324,938  $1,057,358  $1,324,938
 Interest
  bearing
  transaction
  deposits   1,485,156   1,510,785   1,680,959   1,485,156   1,680,959
 Interest
  bearing
  Public Fund
  deposits     733,788     795,927     633,488     733,788     633,488
 Time
  deposits   1,754,690   1,631,504   1,350,436   1,754,690   1,350,436
            ----------  ----------  ----------  ----------  ----------
 Total
  interest
  bearing
  deposits   3,973,633   3,938,216   3,664,882   3,973,633   3,664,882
            ----------  ----------  ----------  ----------  ----------
 Total
  deposits   5,030,991   5,000,565   4,989,820   5,030,991   4,989,820
 Other
  borrowed
  funds        227,027     430,827     307,429     227,027     307,429
 Other
  liabilities  148,137     148,173     175,523     148,137     175,523
 Common
  shareholders'
  equity       558,410     542,101     477,415     558,410     477,415
            ----------  ----------  ----------  ----------  ----------
 Total
  liabilities
  & common
  equity    $5,964,565  $6,121,665  $5,950,187  $5,964,565  $5,950,187
            ==========  ==========  ==========  ==========  ==========

 Average
  Balance Sheet
 --------------
 Commercial/
  real estate
  loans     $1,855,506  $1,759,173  $1,660,804  $1,747,816  $1,565,369
 Mortgage
  loans        428,674     423,610     442,977     418,273     424,654
 Direct
  consumer
  loans        479,087     470,771     489,150     470,942     501,677
 Indirect
  consumer
  loans        350,829     347,404     342,203     349,518     328,679
 Finance
  Company
  loans         86,965      79,483      63,663      75,673      62,640
            ----------  ----------  ----------  ----------  ----------
 Total loans 3,201,061   3,080,442   2,998,797   3,062,222   2,883,020
 Securities  2,153,908   2,334,242   1,571,723   2,228,822   1,434,415
 Short-term
  investments   81,675      94,026     317,409     211,511     137,821
            ----------  ----------  ----------  ----------  ----------
 Earning
  average
  assets     5,436,644   5,508,709   4,887,929   5,502,555   4,455,256
            ----------  ----------  ----------  ----------  ----------
 Allowance
  for loan
  losses       (47,804)    (61,525)    (76,488)    (64,285)    (50,107)
 Other assets  602,104     602,833     612,144     593,530     525,881
            ----------  ----------  ----------  ----------  ----------
 Total
  assets    $5,990,944  $6,050,017  $5,423,586  $6,031,800  $4,931,030
            ==========  ==========  ==========  ==========  ==========
 Noninterest
  bearing
  deposits  $1,039,846  $1,098,716  $1,126,356  $1,128,850  $  822,733
 Interest
  bearing
  transaction
  deposits   1,495,724   1,590,319   1,573,039   1,623,596   1,384,606
 Interest
  bearing
  Public Fund
  deposits     742,063     791,825     568,803     771,146     644,849
 Time
  deposits   1,697,427   1,571,129   1,245,271   1,545,834   1,149,239
            ----------  ----------  ----------  ----------  ----------
 Total
  interest
  bearing
  deposits   3,935,214   3,953,272   3,387,112   3,940,577   3,178,694
            ----------  ----------  ----------  ----------  ----------
 Total
  deposits   4,975,060   5,051,988   4,513,468   5,069,427   4,001,426
 Other
  borrowed
  funds        321,292     304,686     263,358     281,183     293,899
 Other
  liabilities  138,905     175,092     173,555     167,534     160,003
 Common
  shareholders'
  equity       555,687     518,250     473,204     513,656     475,701
            ----------  ----------  ----------  ----------  ----------
 Total
  liabilities
  & common
  equity    $5,990,944  $6,050,017  $5,423,586  $6,031,800  $4,931,030
            ==========  ==========  ==========  ==========  ==========

 Hancock Holding Company                          
 Financial Highlights
 (amounts in thousands)
 (unaudited)

 ---------------------------------------------------------------------
                     Three Months Ended           Twelve Months Ended
 ---------------------------------------------  ----------------------
             12/31/06    9/30/06     12/31/05    12/31/06    12/31/05
            ----------  ----------  ----------  ----------  ----------
 Average Balance
  Sheet Mix
 ---------------
 Percentage of
  earning assets/
  funding sources:

 Loans           58.88%      55.92%      61.35%      55.65%      64.71%
 Securities      39.62%      42.37%      32.16%      40.51%      32.20%
 Short-term
  investments     1.50%       1.71%       6.49%       3.84%       3.09%
            ----------  ----------  ----------  ----------  ----------
 Earning average
  assets        100.00%     100.00%     100.00%     100.00%     100.00%
            ==========  ==========  ==========  ==========  ==========

 Noninterest
  bearing
  deposits       19.13%      19.95%      23.04%      20.52%      18.47%
 Interest
  bearing
  transaction
  deposits       27.51%      28.87%      32.18%      29.51%      31.08%
 Interest
  bearing
  Public Fund
  deposits       13.65%      14.37%      11.64%      14.01%      14.47%
 Time deposits   31.22%      28.52%      25.48%      28.09%      25.80%
            ----------  ----------  ----------  ----------  ----------
 Total deposits  91.51%      91.71%      92.34%      92.13%      89.81%
 Other borrowed
  funds           5.91%       5.53%       5.39%       5.11%       6.60%
 Other net
  interest-
  free funding
  sources         2.58%       2.76%       2.27%       2.76%       3.59%
            ----------  ----------  ----------  ----------  ----------
 Total average
  funding
  sources       100.00%     100.00%     100.00%     100.00%     100.00%
            ==========  ==========  ==========  ==========  ==========

 Loan mix:
 Commercial/
  real estate
  loans          57.97%      57.11%      55.38%      57.08%      54.30%
 Mortgage loans  13.39%      13.75%      14.77%      13.66%      14.73%
 Direct consumer
  loans          14.97%      15.28%      16.31%      15.38%      17.40%
 Indirect
  consumer
  loans          10.96%      11.28%      11.41%      11.41%      11.40%
 Finance
  Company
  loans           2.72%       2.58%       2.12%       2.47%       2.17%
            ----------  ----------  ----------  ----------  ----------
 Total loans    100.00%     100.00%     100.00%     100.00%     100.00%
            ==========  ==========  ==========  ==========  ==========

 Average dollars
  (in thousands):

 Loans      $3,201,061  $3,080,442  $2,998,797  $3,062,222  $2,883,020
 Securities  2,153,908   2,334,242   1,571,723   2,228,822   1,434,415
 Short-term
  investments   81,675      94,026     317,409     211,511     137,821
            ----------  ----------  ----------  ----------  ----------
 Earning
  average
  assets    $5,436,644  $5,508,709  $4,887,929  $5,502,555  $4,455,256

 Noninterest
  bearing
  deposits  $1,039,846  $1,098,716  $1,126,356  $1,128,850  $  822,733
 Interest
  bearing
  transaction
  deposits   1,495,724   1,590,319   1,573,039   1,623,596   1,384,606
 Interest
  bearing
  Public Fund
  deposits     742,063     791,825     568,803     771,146     644,849
 Time
  deposits   1,697,427   1,571,129   1,245,271   1,545,834   1,149,239
            ----------  ----------  ----------  ----------  ----------
 Total
  deposits   4,975,060   5,051,988   4,513,468   5,069,427   4,001,426
 Other
  borrowed
  funds        321,292     304,686     263,358     281,183     293,899
 Other net
  interest-
  free funding
  sources      140,292     152,035     111,103     151,946     159,930
            ----------  ----------  ----------  ----------  ----------
 Total
  average
  funding
  sources   $5,436,644  $5,508,709  $4,887,929  $5,502,555  $4,455,256

 Loans:
 Commercial/
  real estate
  loans     $1,855,506  $1,759,173  $1,660,804  $1,747,816  $1,565,369
 Mortgage
  loans        428,674     423,610     442,977     418,273     424,654
 Direct
  consumer
  loans        479,087     470,771     489,150     470,942     501,677
 Indirect
  consumer
  loans        350,829     347,404     342,203     349,518     328,679
 Finance
  Company
  loans         86,965      79,483      63,663      75,673      62,640
            ----------  ----------  ----------  ----------  ----------
 Total
  average
  loans     $3,201,061  $3,080,442  $2,998,797  $3,062,222  $2,883,020


 Hancock Holding Company            
 Average Balance and Net Interest Margin Summary
 (amounts in thousands)
 (unaudited)
                                Three Months Ended
             --------------------------------------------------------
                       12/31/06                     09/30/06
             --------------------------------------------------------
              Interest    Volume   Rate    Interest    Volume   Rate
             ---------- ---------- -----  ---------- ---------- -----
 Average
  Earning
  Assets
 Commercial &
  real estate
  loans (TE) $   34,210 $1,855,506  7.32% $   32,520 $1,759,173  7.34%
 Mortgage
  loans           6,516    428,674  6.08%      6,411    423,610  6.05%
 Consumer
  loans          19,890    916,881  8.61%     19,547    897,658  8.64%
 Loan fees &
  late
  charges         1,510         --  0.00%      2,710         --  0.00%
             ---------- ---------- -----  ---------- ---------- -----
   Total
    loans
    (TE)         62,126  3,201,061  7.71%     61,188  3,080,442  7.89%

 US treasury
  securities      1,081     84,281  5.09%        855     67,966  4.99%
 US agency
  securities     14,505  1,181,943  4.91%     16,456  1,356,478  4.85%
 CMOs             1,268    124,850  4.06%      1,439    145,494  3.96%
 Mortgage
  backed
  securities      5,920    490,990  4.82%      6,231    511,372  4.87%
 Municipals
  (TE)            2,422    190,739  5.08%      2,935    174,744  6.72%
 Other
  securities        968     81,105  4.77%      1,042     78,188  5.33%
             ---------- ---------- -----  ---------- ---------- -----
   Total
    securities
    (TE)         26,165  2,153,908  4.86%     28,958  2,334,242  4.96%

   Total
    short-term
    investments   1,075     81,675  5.22%      1,128     94,026  4.76%

   Average
    earning
    assets
    yield 
    (TE)     $   89,366 $5,436,644  6.54% $   91,275 $5,508,709  6.60%

 Interest-
  bearing
  Liabilities
 Interest-
  bearing
  transaction
  deposits   $    3,930 $1,495,724  1.04% $    3,955 $1,590,319  0.99%
 Time
  deposits       18,999  1,697,427  4.44%     16,353  1,571,129  4.13%
 Public
  Funds           8,318    742,063  4.45%      8,629    791,825  4.32%
             ---------- ---------- -----  ---------- ---------- -----
    Total
     interest
     bearing
     deposits    31,247  3,935,214  3.15%     28,936  3,953,272  2.90%

 Customer
  repos           3,061    298,163  4.07%      2,785    271,582  4.07%
 Other
  borrowings       (342)    23,129 -5.87%        267     33,104  3.20%
             ---------- ---------- -----  ---------- ---------- -----
   Total
    borrowings    2,719    321,292  3.36%      3,052    304,686  3.97%

   Total
    interest
    bearing
    liab cost$   33,966 $4,256,506  3.17% $   31,988 $4,257,959  2.98%

 Noninterest-
  bearing
  deposits               1,039,846          1,098,716
 Other net
  interest-
  free
  funding
  sources                  140,292            152,035

 Total Cost
  of Funds   $   33,966 $5,436,644  2.48% $   31,988 $5,508,709  2.30%

 Net Interest
  Spread (TE)$   55,400             3.38% $   59,286             3.62%

 Net Interest
  Margin (TE)$   55,400 $5,436,644  4.06% $   59,286 $5,508,709  4.29%

                                     ------------------------------
                                               12/31/05  
                                     ------------------------------
                                      Interest      Volume     Rate 
                                     ----------   ----------   ----
                                     
 Average Earning Assets
 Commercial & real estate loans (TE) $   28,365   $1,660,804   6.78%

 Mortgage loans                           6,119      442,977   5.53%
 Consumer loans                          17,797      895,016   7.89%

 Loan fees & late charges                 2,104           --   0.00%
                                     ----------   ----------   ----
  Total loans (TE)                       54,386    2,998,797   7.20%


 US treasury securities                     350       33,735   4.11%

 US agency securities                     7,403      678,190   4.37%

 CMOs                                     1,946      206,910   3.76%

 Mortgage backed securities               4,917      430,409   4.57%

 Municipals (TE)                          2,747      159,401   6.89%

 Other securities                           633       63,078   4.01%
                                     ----------   ----------   ----
  Total securities (TE)                  17,995    1,571,723   4.58%


  Total short-term investments            3,052      317,409   3.81%

  Average earning assets yield (TE)  $   75,433   $4,887,929   6.14%

 Interest-bearing Liabilities

 Interest-bearing transaction
  deposits                           $    2,836   $1,573,039   0.72%
 Time deposits                           11,503    1,245,271   3.66%

 Public Funds                             4,825      568,803   3.37%
                                     ----------   ----------   ----
  Total interest bearing deposits        19,164    3,387,112   2.24%


 Customer repos                           1,125      204,386   2.18%

 Other borrowings                           622       58,972   4.18%
                                     ----------   ----------   ----
  Total borrowings                        1,747      263,358   2.63%

  Total interest bearing liab cost   $   20,911   $3,650,470   2.27%

 Noninterest-bearing deposits                      1,126,356
 Other net interest-free funding
  sources                                            111,103

 Total Cost of Funds                 $   20,911   $4,887,929   1.70%

 Net Interest Spread (TE)            $   54,522                3.87%

 Net Interest Margin (TE)            $   54,522   $4,887,929   4.44%


 Hancock Holding Company                   
 Average Balance and Net Interest Margin Summary
 (amounts in thousands)
 (unaudited)
             --------------------------------------------------------
                               Twelve Months Ended
             --------------------------------------------------------
                      12/31/2006                  12/31/2005
             ---------------------------  ---------------------------
              Interest    Volume    Rate   Interest    Volume    Rate
             ---------- ----------  ----  ---------- ----------  ----
 Average
  Earning
  Assets
 Commercial &
  real
  estate 
  loans (TE) $  125,980 $1,747,816  7.21% $  100,212 $1,565,369  6.40%
 Mortgage
  loans          24,805    418,273  5.93%     23,623    424,654  5.56%
 Consumer
  loans          75,266    896,133  8.40%     68,997    892,997  7.73%
 Loan fees &
  late 
  charges         9,016         --  0.00%      8,615         --  0.00%
             ---------- ----------  ----  ---------- ----------  ----
  Total
   loans (TE)   235,067  3,062,222  7.68%    201,447  2,883,020  6.99%

 US treasury
  securities      3,018     63,668  4.74%        532     16,838  3.16%
 US agency
  securities     60,700  1,270,127  4.78%     21,500    514,834  4.18%
 CMOs             6,142    154,673  3.97%      9,492    241,473  3.93%
 Mortgage
  backed
  securities     23,313    491,130  4.75%     19,407    437,037  4.44%
 Municipals
  (TE)           10,766    171,886  6.26%     11,251    161,464  6.97%
 Other
  securities      3,826     77,337  4.95%      2,822     62,769  4.50%
             ---------- ----------  ----  ---------- ----------  ----
  Total
   securities
   (TE)         107,766  2,228,822  4.84%     65,003  1,434,415  4.53%

  Total
  short-term
  investments     9,759    211,511  4.61%      4,559    137,821  3.31%

  Average
   earning
   assets
   yield 
   (TE)      $  352,592 $5,502,555  6.41% $  271,008 $4,455,256  6.08%

 Interest-
  Bearing
  Liabilities
 Interest-
  bearing
  transaction
  deposits   $   14,931 $1,623,596  0.92% $    9,203 $1,384,606  0.66%
 Time
  deposits       62,807  1,545,834  4.06%     40,654  1,149,239  3.54%
 Public Funds    32,354    771,146  4.20%     17,725    644,849  2.75%
             ---------- ----------  ----  ---------- ----------  ----
  Total
   interest
   bearing
   deposits     110,092  3,940,577  2.79%     67,581  3,178,694  2.13%

 Customer
  repos           9,060    250,603  3.62%      4,351    224,842  1.94%
 Other
  borrowings        711     30,579  2.32%      2,887     69,057  4.18%
             ---------- ----------  ----  ---------- ----------  ----
  Total
   borrowings     9,770    281,183  3.47%      7,238    293,899  2.46%

  Total
   interest
   bearing
   liab cost $  119,863 $4,221,760  2.84% $   74,819 $3,472,593  2.15%

 Noninterest-
  bearing
  deposits               1,128,850                     822,733
 Other net
  interest-
  free
  funding
  sources                  151,946                     159,930

 Total Cost
  of Funds   $  119,863 $5,502,555  2.18% $   74,819 $4,455,256  1.68%

 Net Interest
  Spread 
  (TE)       $  232,730             3.57% $  196,189             3.93%

 Net Interest
  Margin 
  (TE)       $  232,730 $5,502,555  4.23% $  196,189 $4,455,256  4.40%



 Hancock Holding Company                       
  Quarterly Financial Data
  (amounts in thousands, except
  per share data and FTE headcount)

                       -----------------------------------------------
  (unaudited)                           2005
                       -----------------------------------------------
                          1Q          2Q          3Q          4Q
                       -----------------------------------------------
 Per Common Share Data

 Earnings per share:
     Basic                $0.48        $0.56        $0.04        $0.59
     Diluted              $0.47        $0.55        $0.04        $0.58
 Cash dividends
  per share              $0.165       $0.165       $0.195       $0.195
 Book value per
  share
  (period-end)           $14.16       $14.87       $14.52       $14.78
 Tangible book
  value per share
  (period-end)           $11.99       $12.73       $12.25       $12.55
 Weighted average
  number of
  shares:
     Basic               32,463       32,396       32,308       32,313
     Diluted             33,019       32,928       32,940       32,980
 Period-end
  number of
  shares                 32,463       32,310       32,309       32,301
 Market data:
     High closing
      price              $34.20       $34.87       $37.84       $39.90
     Low closing
      price              $30.25       $28.25       $29.93       $31.08
     Period end
      closing
      price              $32.50       $34.40       $34.14       $37.81
     Trading
      volume              3,286        3,527        8,760        6,829

 Other Period-end Data

 FTE headcount            1,766        1,813        1,590        1,735
 Tangible common
  equity               $389,344     $411,203     $395,843     $405,216
 Tier I capital        $408,163     $416,312     $407,075     $420,281
 Goodwill               $55,409      $55,409      $61,428      $61,418
 Amortizable
  intangibles           $12,510      $11,746       $9,928       $9,204
 Mortgage
  servicing
  intangibles            $2,288       $2,082       $1,860       $1,577
 Common shares
  repurchased for
  publicly
  announced plans            40           96           12        --

 Performance
  Ratios

 Return on
  average assets           1.32%        1.52%        0.12%        1.39%
 Return on
  average common
  equity                  13.32%       15.27%        1.18%       15.98%
 Earning asset
  yield (TE)               5.90%        6.08%        6.19%        6.14%
 Total cost of
  funds                    1.55%        1.66%        1.80%        1.70%
 Net interest
  margin (TE)              4.35%        4.42%        4.40%        4.44%
 Noninterest
  expense as a
  percent of
  total revenue
  (TE) before
  amortization
  of purchased
  intangibles,
  net storm-
  related
  gain/(loss),
  gain on sale
  of credit card
  merchant and
  securities
  transactions            59.99%       57.83%       60.85%       56.89%
 Common equity
  (period-end) as
   a percent of
   total assets
   (period-end)            9.64%       10.03%        9.55%        8.02%
 Leverage (Tier I)
  ratio                    8.75%        8.83%        8.64%        7.85%
 Tangible common
  equity ratio             8.28%        8.71%        8.17%        6.89%
 Net charge-offs
  as a percent of
  average loans            0.33%        0.24%        0.23%        0.41%
 Allowance for
  loan losses as
  a percent of
  period-end
  loans                    1.48%        1.45%        2.57%        2.49%
 Allowance for
  loan losses to
  NPAs + loans
  90 days past
  due                    323.66%      284.75%      392.70%      195.50%
 Loan/deposit
  ratio                   72.40%       73.63%       76.77%       66.44%
 Noninterest
 income excluding
 net storm-
 related gain/
 (loss), gain on
 sale of credit
 card merchant
 and securities
 transactions as
 a percent of
 total revenue
  (TE)                    32.77%       34.06%       31.10%       29.68%


                       -----------------------------------------------
  (unaudited)                             2006
                       -----------------------------------------------
                          1Q          2Q          3Q          4Q
                       -----------------------------------------------
 Per Common Share Data

 Earnings per share:
     Basic                $0.68        $0.68        $1.11        $0.67
     Diluted              $0.67        $0.66        $1.08        $0.65
 Cash dividends
  per share              $0.195       $0.220       $0.240       $0.240
 Book value per
  share
  (period-end)           $15.06       $15.12       $16.64       $17.09
 Tangible book
  value per share
  (period-end)           $12.85       $12.94       $14.47       $14.87
 Weighted average
  number of
  shares:
     Basic               32,393       32,531       32,566       32,632
     Diluted             33,088       33,322       33,333       33,378
 Period-end
  number of
  shares                 32,494       32,555       32,584       32,666
 Market data:
     High closing
      price              $46.67       $57.19       $56.79       $56.00
     Low closing
      price              $37.75       $44.02       $49.71       $50.85
     Period end
      closing
      price              $46.52       $56.00       $53.55       $52.84
     Trading
      volume              3,990        8,737        8,135        6,393

 Other Period-end Data

 FTE headcount            1,768        1,777        1,788        1,848
 Tangible common
  equity               $417,684     $421,369     $471,387     $485,778
 Tier I capital        $440,302     $457,738     $487,668     $510,638
 Goodwill               $61,418      $59,060      $59,683      $62,277
 Amortizable
  intangibles            $8,725      $10,575       $9,938       $9,414
 Mortgage
  servicing
  intangibles            $1,384       $1,256       $1,093         $941
 Common shares
  repurchased for
  publicly
  announced plans            17           22        --            --

 Performance
  Ratios

 Return on
  average assets           1.49%        1.45%        2.36%        1.44%
 Return on
  average common
  equity                  18.34%       17.89%       27.58%       15.54%
 Earning asset
  yield (TE)               6.17%        6.32%        6.60%        6.54%
 Total cost of
  funds                    1.88%        2.05%        2.30%        2.48%
 Net interest
  margin (TE)              4.30%        4.27%        4.29%        4.06%
 Noninterest
  expense as a
  percent of
  total revenue
  (TE) before
  amortization
  of purchased
  intangibles,
  net storm-
  related
  gain/(loss),
  gain on sale
  of credit card
  merchant and
  securities
  transactions            58.30%       59.13%       58.76%       59.79%
 Common equity
  (period-end) as
   a percent of
   total assets
   (period-end)            7.82%        8.00%        8.86%        9.36%
 Leverage (Tier I)
  ratio                    7.45%        7.59%        8.15%        8.63%
 Tangible common
  equity ratio             6.75%        6.92%        7.79%        8.24%
 Net charge-offs
  as a percent of
  average loans           -0.01%        0.40%        0.34%        0.19%
 Allowance for
  loan losses as
  a percent of
  period-end
  loans                    2.49%        2.33%        1.54%        1.43%
 Allowance for
  loan losses to
  NPAs + loans
  90 days past
  due                    432.85%      457.10%      494.65%      694.67%
 Loan/deposit
  ratio                   59.00%       57.40%       60.97%       64.34%
 Noninterest
 income excluding
 net storm-
 related gain/
 (loss), gain on
 sale of credit
 card merchant
 and securities
 transactions as
 a percent of
 total revenue
  (TE)                    29.92%       30.28%       30.18%       33.14%
                       -----------------------------------------------

  Hancock Holding Company
  Quarterly Financial Data
  (amounts in thousands, except
  per share data and FTE headcount)                    

                       -----------------------------------------------
  (unaudited)                              2005
                       -----------------------------------------------
                          1Q         2Q           3Q          4Q
                       -----------------------------------------------

 Non-accrual
  loans                  $6,335       $8,052      $10,373      $10,617
 Foreclosed
  assets                  3,591        2,567        2,973        1,898
                       -----------------------------------------------
 Total
  non-performing
  assets                 $9,926      $10,619      $13,346      $12,515
 Non-performing
  assets as a
  percent of loans
  and foreclosed
  assets                   0.36%        0.37%        0.45%        0.42%

 Accruing loans
  90 days past
  due                    $2,798       $3,914       $6,156      $25,622
 Accruing loans
  90 days past
  due as a
  percent of
  loans                    0.10%        0.14%        0.21%        0.86%
 Non-performing
  assets +
  accruing loans
   90 days past
   due to loans
   and foreclosed
   assets                  0.46%        0.51%        0.65%        1.28%

 Net charge-offs         $2,260       $1,691       $1,704       $3,104
 Net charge-offs
  as a percent of
  average loans            0.33%        0.24%        0.23%        0.41%

 Allowance for
  loan losses           $41,182      $41,382      $76,584      $74,558
 Allowance for
  loan losses as
  a percent of
  period-end
  loans                    1.48%        1.45%        2.57%        2.49%
 Allowance for
  loan losses to
  NPAs + accruing
  loans 90 days
  past due               323.66%      284.75%      392.70%      195.50%

 Provision for
  loan losses            $2,760       $1,891      $36,905       $1,079

 Net Charge-off
   Information

 Net charge-offs:
 Commercial/real
  estate loans             $770         $202         ($17)        $332
 Mortgage loans              68           (5)           7           (7)
 Direct consumer
  loans                     501          491          861        1,831
 Indirect consumer
  loans                     540          538          342          272
 Finance company
  loans                     381          465          511          676
                       -----------------------------------------------
 Total net
  charge-offs            $2,260       $1,691       $1,704       $3,104
                       -----------------------------------------------

 Average loans:
 Commercial/real
  estate loans       $1,491,008   $1,523,348   $1,584,244   $1,660,804
 Mortgage loans         407,258      417,307      430,615      442,977
 Direct consumer
  loans                 503,700      509,628      504,362      489,150
 Indirect
  consumer
  loans                 313,542      323,100      335,482      342,203
 Finance Company
  loans                  60,720       62,124       64,006       63,663
                    --------------------------------------------------
 Total average
  loans              $2,776,229   $2,835,506   $2,918,709   $2,998,797

 Net charge-offs
  to average
  loans:

 Commercial/real
  estate loans             0.21%        0.05%        0.00%        0.08%
 Mortgage loans            0.07%        0.00%        0.01%       -0.01%
 Direct consumer
  loans                    0.40%        0.39%        0.68%        1.49%
 Indirect
  consumer loans           0.70%        0.67%        0.40%        0.32%
 Finance Company
  loans                    2.54%        3.00%        3.17%        4.21%
                    --------------------------------------------------
 Total net
  charge-offs to
  average loans            0.33%        0.24%        0.23%        0.41%

                       -----------------------------------------------
  (unaudited)                             2006
                       -----------------------------------------------
                          1Q         2Q           3Q          4Q
                       -----------------------------------------------

 Non-accrual
  loans                  $8,676       $7,237       $5,179       $3,500
 Foreclosed
  assets                  1,779        1,606          970          681
                     -------------------------------------------------
 Total
  non-performing
  assets                $10,455       $8,843       $6,149       $4,181
 Non-performing
  assets as a
  percent of loans
  and foreclosed
  assets                   0.35%        0.29%        0.20%        0.13%

 Accruing loans
  90 days past
  due                    $6,632       $6,681       $3,626       $2,552
 Accruing loans
  90 days past
  due as a
  percent of
  loans                    0.22%        0.22%        0.12%        0.08%
 Non-performing
  assets +
  accruing loans
   90 days past
   due to loans
   and foreclosed
   assets                  0.57%        0.51%        0.31%        0.21%

 Net charge-offs          ($108)      $3,001       $2,608       $1,523
 Net charge-offs
  as a percent of
  average loans           -0.01%        0.40%        0.34%        0.19%

 Allowance for
  loan losses           $73,961      $70,960      $48,352      $46,772
 Allowance for
  loan losses as
  a percent of
  period-end
  loans                    2.49%        2.33%        1.54%        1.43%
 Allowance for
  loan losses to
  NPAs + accruing
  loans 90 days
  past due               432.85%      457.10%      494.65%      694.67%

 Provision for
  loan losses             ($705)        --       ($20,000)        ($57)

 Net Charge-off
   Information

 Net charge-offs:
 Commercial/real
  estate loans          ($1,769)        $620         $522        ($137)
 Mortgage loans             181           28          367          (11)
 Direct consumer
  loans                      579       1,681        1,003          493
 Indirect consumer
  loans                     653          391          294          395
 Finance company
  loans                     248          281          422          783
                     -------------------------------------------------
 Total net
  charge-offs             ($108)      $3,001       $2,608       $1,523
                     -------------------------------------------------

 Average loans:
 Commercial/real
  estate loans       $1,674,706   $1,699,768   $1,759,173   $1,855,506
 Mortgage loans         410,023      410,522      423,610      428,674
 Direct consumer
  loans                 469,832      463,977      470,771      479,087
 Indirect
  consumer
  loans                 351,405      348,463      347,404      350,829
 Finance Company
  loans                  64,496       71,461       79,483       86,965
                    --------------------------------------------------
 Total average
  loans              $2,970,461   $2,994,191   $3,080,442   $3,201,061

 Net charge-offs
  to average
  loans:

 Commercial/real
  estate loans            -0.43%        0.15%        0.12%       -0.03%
 Mortgage loans            0.18%        0.03%        0.34%       -0.01%
 Direct consumer
  loans                    0.50%        1.45%        0.85%        0.41%
 Indirect
  consumer loans           0.75%        0.45%        0.34%        0.45%
 Finance Company
  loans                    1.56%        1.58%        2.11%        3.57%
                    --------------------------------------------------
 Total net
  charge-offs to
  average loans           -0.01%        0.40%        0.34%        0.19%
                    --------------------------------------------------

  Hancock Holding Company
  Quarterly Financial Data
  (amounts in thousands, except
  per share data and FTE headcount)   

                     -------------------------------------------------
  (unaudited)                             2005
                     -------------------------------------------------
                         1Q          2Q          3Q           4Q
                     -------------------------------------------------
 Income Statement

 Interest income        $60,531      $64,027      $65,644      $73,429
 Interest income
  (TE)                   62,302       65,767       67,506       75,433
 Interest expense        16,289       17,961       19,659       20,911

                     -------------------------------------------------
 Net interest
  income
  (TE)                   46,013       47,807       47,847       54,522
 Provision for
   loan losses            2,760        1,891       36,905        1,079
 Noninterest
  income
  excluding net
  storm-related
  gain/(loss)
  and securities
  transactions           22,427       24,695       21,600       23,016
 Net storm-related
  gain/(loss)               --            -       12,276       (5,692)
 Securities
  transactions
  gains/(losses)              7          (15)         (18)         (27)
 Noninterest
  expense                41,642       42,505       42,770       44,626
                     -------------------------------------------------
 Income before
   income taxes          22,273       26,350          168       24,112
 Income tax
  expense                 6,836        8,256       (1,267)       5,047
                      ------------------------------------------------
 Net income             $15,438      $18,094       $1,435      $19,065
                      ================================================



 Noninterest
  Income and
  Noninterest
  Expense

 Service charges
  on deposit
  accounts               $9,490      $10,459       $7,975       $6,850
 Trust fees               2,541        2,859        2,761        2,946
 Debit card &
  merchant fees           1,030        1,074        1,055        1,717
 Insurance fees           3,881        3,499        4,883        4,837
 Investment &
  annuity fees            1,188        1,547        1,304        1,037
 ATM fees                 1,372        1,154          871          805
 Secondary
  mortgage market
  operations                499          676          377          670
 Other income             2,426        3,428        2,374        4,154
                     -------------------------------------------------
 Noninterest
  income
  excluding net
  storm-related
  gain/(loss)
  and securities
  transactions          $22,427      $24,695      $21,600      $23,016
 Net storm-related
  gain/(loss)               --          --         12,276       (5,692)
 Securities
  transactions
  gains/(losses)              7          (15)         (18)         (27)

                     -------------------------------------------------
 Total noninterest
  income
  including
  storm-related
  gain/(loss)
  and securities
  transactions          $22,433      $24,680      $33,858      $17,298
                     =================================================

 Personnel expense      $22,379      $22,925      $24,275      $24,580
 Occupancy
  expense (net)           2,495        2,576        2,617        3,237
 Equipment
  expense                 2,357        2,366        2,319        2,511
 Other operating
  expense                13,828       14,059       13,044       13,780
 Amortization of
  intangibles               584          578          514          518
                     -------------------------------------------------
 Total
  noninterest
  expense               $41,642      $42,505      $42,770      $44,626


                     -------------------------------------------------
  (unaudited)                             2006
                     -------------------------------------------------
                         1Q          2Q          3Q           4Q
                     -------------------------------------------------
 Income Statement

 Interest income        $81,590      $86,404      $89,233      $87,104
 Interest income
  (TE)                   83,563       88,375       91,275       89,366
 Interest expense        25,273       28,636       31,988       33,966
                     -------------------------------------------------
 Net interest
  income
  (TE)                   58,290       59,740       59,286       55,400
 Provision for
   loan losses             (705)        --        (20,000)         (57)
 Noninterest
  income
  excluding net
  storm-related
  gain/(loss)
  and securities
  transactions           24,890       25,942       25,627       27,460
 Net storm-related
  gain/(loss)               --          --           --          5,084
 Securities
  transactions
  gains/(losses)            118         --            110       (5,396)
 Noninterest
  expense                49,165       51,172       50,336       50,042
                     -------------------------------------------------
 Income before
   income taxes          32,865       32,536       52,645       30,300
 Income tax
  expense                10,854       10,539       16,614        8,538
                     -------------------------------------------------
 Net income             $22,011      $21,998      $36,031      $21,762
                     =================================================

 Noninterest
  Income and
  Noninterest
  Expense

 Service charges
  on deposit
  accounts               $7,884       $9,223       $9,719       $9,402
 Trust fees               3,078        3,409        3,175        3,624
 Debit card &
  merchant fees           1,709        1,863        1,744        1,983
 Insurance fees           5,159        4,596        4,146        5,346
 Investment &
  annuity fees            1,264        1,591        1,595        1,519
 ATM fees                 1,294        1,273        1,223        1,215
 Secondary
  mortgage market
  operations                817          749        1,018          945
 Other income             3,684        3,239        3,009        3,426
                     -------------------------------------------------
 Noninterest
  income
  excluding net
  storm-related
  gain/(loss)
  and securities
  transactions          $24,890      $25,942      $25,627      $27,460
 Net storm-related
  gain/(loss)               --          --           --          5,084
 Securities
  transactions
  gains/(losses)            118         --            110       (5,396)

                     -------------------------------------------------
 Total noninterest
  income
  including
  storm-related
  gain/(loss)
  and securities
  transactions          $25,008      $25,942      $25,737      $27,147
                     =================================================

 Personnel expense      $26,202      $26,400      $27,059      $24,092
 Occupancy
  expense (net)           3,659        3,474        2,882        3,335
 Equipment
  expense                 2,668        2,816        2,647        2,665
 Other operating
  expense                15,961       17,976       17,304       19,451
 Amortization of
  intangibles               675          507          445          499
                     -------------------------------------------------
 Total
  noninterest
  expense               $49,165      $51,172      $50,336      $50,042
                     -------------------------------------------------


            

Contact Data