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| UNITED                STATESSECURITIES                AND EXCHANGE COMMISSION**WASHINGTON,                D.C.  20549**                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |
|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |   |
| **FORM                10-Q**                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |   |
| xQUARTERLY                REPORT                PURSUANT TO SECTION 13 OR 15(d) OF THESECURITIES                EXCHANGE ACT OF 1934For                the quarterly period ended **June 30,                2007**OR¨TRANSITION                REPORT                PURSUANT TO SECTION 13 OR 15(d) OF THESECURITIES                EXCHANGE ACT OF 1934For                the transition period from _____ to _____                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |   |
| **COMMISSION                FILE NUMBER 1-11826****MIDSOUTH                BANCORP, INC.**(Exact                name of registrant as specified in its                charter)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |   |
| **Louisiana**                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    | **72–1020809** |
| (State                of other jurisdiction of incorporation or                organization)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     | (I.R.S.                Employer Identification No.) |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |
|                   102                Versailles Boulevard,                Lafayette, Louisiana 70501** **(Address                of principal executive                offices, including zip code)**(337)                237-8343**(Registrant’s                telephone number, including area                code)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |   |
| Indicate                by checkmark whether the registrant (1) has filed                all reports required to be filed by Section 13 or 15(d) of the Securities                Exchange Act 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   ¨                                                                                                                                                                                                                                                                                                                                                                                       |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |   |
| Indicate                  by check mark whether the registrant is a large                  accelerated filer, an accelerated filer, or a non-accelerated                  filer.Large                accelerated filer ¨                                                      Accelerated                filer x                                           Non-accelerated                filer ¨ |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |   |
| Indicate                by check mark whether the registrant is a shell                company (as defined in Rule 12b-2 of the Act.)YES   ¨   NO   x                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |   |
| As                of August 3, 2007, there were 6,269,675 shares of the                registrant’s Common Stock, par value $0.10 per share,                outstanding.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |

----

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Part      I – Financial Information 

Item      1. Financial      Statements. 

|   | Consolidated Statements of                Condition |
|--------|-----------------------------------------------------|

|   | Consolidated Statements of Earnings                (unaudited) |
|--------|----------------------------------------------------------------|

|   | Consolidated Statement of Stockholders’                Equity June 30, 2007 (unaudited) |
|--------|-----------------------------------------------------------------------------------------------|

|   | Consolidated Statement of Stockholders’                Equity June 30, 2006 (unaudited) |
|--------|-----------------------------------------------------------------------------------------------|

|   | Consolidated Statements of Cash Flows                (unaudited) |
|--------|------------------------------------------------------------------|

|   | Notes to Interim Consolidated Financial                Statements |
|--------|-------------------------------------------------------------------|

Item      2. Management’s Discussion and Analysis of      Financial Condition and Results of Operation.

|   | Forward Looking                Statements |
|--------|-------------------------------------------|

|   |  Critical                Accounting                Policies |
|--------|------------------------------------------------------------------|
|   |  Results              of Operations |
|--------|------------------------------------------|

|   | Analysis of Statement of                Condition |
|--------|---------------------------------------------------|

|   | Liquidity |
|--------|-----------|

|   | Asset                Quality |
|--------|------------------------------|

|   | Impact of Inflation and Changing                Prices |
|--------|--------------------------------------------------------|

Item      3. Quantitative and Qualitative Disclosures About      Market Risk. 

Item      4. Controls and Procedures. 

Part      II – Other Information 

Item      1. Legal Proceedings.

Item      1A. Risk Factors. 

Item      2. Unregistered Sales of Equity Securities and Use      of Proceeds.

Item      3. Defaults Upon Senior Securities. 

Item      4. Submission of Matters to a Vote of Security      Holders.

Item      5. Other Information. 

Item      6. Exhibits.

Signatures 

*Table            of Contents*

**Part I – Financial Information**

**Item      1. Financial Statements.**

|                                                                                                                                                                                                                                                 |   |
|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|
| **MidSouth                Bancorp, Inc. and                Subsidiaries**                                                                                                                                                                            |   |
| **Consolidated                Statements of Condition**                                                                                                                                                                                              |   |
|                                                                                                                                                                                                                                                 |   | **June                  30,****2007****(unaudited)** |   |   | **December                  31, 2006****(audited)** |   |
| **Assets**                                                                                                                                                                                                                                           |   |   |   |   |   |   |
| Cash                and due from banks                                                                                                                                                                                                               |   | $ | 25,169,137 |   |   | $ | 30,564,604 |   |
| Interest                bearing deposits in banks and federal funds                sold                                                                                                                                                              |   |   | 71,592 |   |   |   | 26,839,737 |   |
| Total                cash and                cash equivalents                                                                                                                                                                                        |   |   | 25,240,729 |   |   |   | 57,404,341 |   |
| Securities                available-for-sale, at fair value (cost of                $188,468,197 at June 30, 2007 and $181,973,949 at December 31,                2006)                                                                              |   |   | 185,625,793 |   |   |   | 180,673,747 |   |
| Securities                held-to-maturity (estimated fair value of                $12,307,081 at June 30, 2007 and $16,166,937 at December 31,                2006)                                                                                 |   |   | 12,132,033 |   |   |   | 15,900,611 |   |
| Loans,                net of allowance for loan losses of $5,181,861 at June                30, 2007 and $4,976,857 at December 31, 2006                                                                                                             |   |   | 540,265,492 |   |   |   | 494,068,845 |   |
| Other                investments                                                                                                                                                                                                                     |   |   | 3,026,749 |   |   |   | 2,501,150 |   |
| Accrued                interest receivable                                                                                                                                                                                                           |   |   | 5,676,944 |   |   |   | 5,491,730 |   |
| Bank                premises and equipment, net                                                                                                                                                                                                      |   |   | 33,476,690 |   |   |   | 30,609,332 |   |
| Goodwill                and intangibles                                                                                                                                                                                                              |   |   | 9,852,536 |   |   |   | 9,957,364 |   |
| Cash                surrender value of life insurance                                                                                                                                                                                                |   |   | 4,143,945 |   |   |   | 4,068,116 |   |
| Other                assets                                                                                                                                                                                                                          |   |   | 4,585,264 |   |   |   | 4,346,450 |   |
| Total                assets                                                                                                                                                                                                                          |   | $ | 824,026,175 |   |   | $ | 805,021,686 |   |
|                                                                                                                                                                                                                                                 |   |   |   |   |   |   |   |   |
| **Liabilities                and Stockholders’Equity**                                                                                                                                                                                         |   |   |   |   |   |   |   |   |
| Liabilities:                                                                                                                                                                                                                                         |   |   |   |   |   |   |   |   |
| Deposits:                                                                                                                                                                                                                                            |   |   |   |   |   |   |   |   |
| Non-interest                bearing                                                                                                                                                                                                                  |   | $ | 176,525,599 |   |   | $ | 182,595,931 |   |
| Interest                bearing                                                                                                                                                                                                                      |   |   | 540,366,691 |   |   |   | 533,583,610 |   |
| Total                deposits                                                                                                                                                                                                                        |   |   | 716,892,290 |   |   |   | 716,179,541 |   |
| Securities                sold under repurchase agreements                                                                                                                                                                                           |   |   | 5,511,649 |   |   |   | 4,474,786 |   |
| Federal                funds purchased                                                                                                                                                                                                               |   |   | 15,300,000 |   |   |   | - |   |
| Federal                Home Loan Bank advances                                                                                                                                                                                                       |   |   | 4,925,000 |   |   |   | 5,650,000 |   |
| Accrued                interest payable                                                                                                                                                                                                              |   |   | 1,101,711 |   |   |   | 1,196,822 |   |
| Junior                subordinated debentures                                                                                                                                                                                                        |   |   | 15,465,000 |   |   |   | 15,465,000 |   |
| Other                liabilities                                                                                                                                                                                                                     |   |   | 2,133,197 |   |   |   | 2,312,061 |   |
| Total                liabilities                                                                                                                                                                                                                     |   |   | 761,328,847 |   |   |   | 745,278,210 |   |
| Stockholders’Equity:                                                                                                                                                                                                                           |   |   |   |   |   |   |   |   |
| Common                stock, $0.10 par value- 10,000,000 shares authorized;                6,713,259 and 6,673,743 issued and 6,580,789 and 6,548,838 outstanding                at                June 30, 2007 and December 31, 2006, respectively |   |   | 671,326 |   |   |   | 667,374 |   |
| Capital                surplus                                                                                                                                                                                                                       |   |   | 50,904,295 |   |   |   | 50,500,162 |   |
| Unearned                ESOP shares                                                                                                                                                                                                                  |   |   | (192,853 | ) |   |   | (251,259 | ) |
| Accumulated                other comprehensive income                                                                                                                                                                                                |   |   | (1,875,986 | ) |   |   | (858,133 | ) |
| Treasury                stock-132,470 shares at June 30, 2007 and 124,905                shares at December 31, 2006, at cost                                                                                                                        |   |   | (2,705,147 | ) |   |   | (2,518,411 | ) |
| Retained                earnings                                                                                                                                                                                                                     |   |   | 15,895,693 |   |   |   | 12,203,743 |   |
| Total                stockholders’ equity                                                                                                                                                                                                      |   |   | 62,697,328 |   |   |   | 59,743,476 |   |
| Total                liabilities and stockholders’ equity                                                                                                                                                                                      |   | $ | 824,026,175 |   |   | $ | 805,021,686 |   |
|                                                                                                                                                                                                                                                 |   |   |   |   |   |   |   |   |
|                                                                                                                                                                                                                                                 |   |   |   |   |   |   |   |   |
| See                notes to unaudited consolidated financial                statements.                                                                                                                                                              |   |   |   |   |   |   |   |   |

*Table            of Contents*

|                                                                                                            |   |
|-----------------------------------------------------------------------------------------------------------------|--------|
| **MidSouth                Bancorp, Inc. and                Subsidiaries**                                       |   |
| **Consolidated                Statements of Earnings (unaudited)**                                              |   |
|                                                                                                            |   | **Three Months Ended June 30,** |   |   | **Six                Months Ended June 30,** |   |
|                                                                                                            |   | **2007** |   |   | **2006** |   |   | **2007** |   |   | **2006** |   |
| Interest                income:                                                                                 |   |   |   |   |   |   |   |   |   |   |   |   |
| Loans,                including fees                                                                            |   | $ | 11,984,285 |   |   | $ | 10,318,152 |   |   | $ | 22,978,150 |   |   | $ | 19,282,516 |   |
| Securities                and other investments                                                                 |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Taxable                                                                                                         |   |   | 1,078,540 |   |   |   | 1,235,222 |   |   |   | 2,080,620 |   |   |   | 2,176,565 |   |
| Nontaxable                                                                                                      |   |   | 1,044,546 |   |   |   | 843,063 |   |   |   | 2,060,684 |   |   |   | 1,566,777 |   |
| Federal                funds sold                                                                               |   |   | 195,219 |   |   |   | 294,694 |   |   |   | 625,147 |   |   |   | 700,586 |   |
| Total                interest                income                                                             |   |   | 14,302,590 |   |   |   | 12,691,131 |   |   |   | 27,744,601 |   |   |   | 23,726,444 |   |
|                                                                                                            |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Interest                expense:                                                                                |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Deposits                                                                                                        |   |   | 4,600,338 |   |   |   | 4,031,515 |   |   |   | 9,282,568 |   |   |   | 7,335,428 |   |
| Securities                sold under repurchase agreements, federal funds                purchased and advances |   |   | 116,982 |   |   |   | 28,883 |   |   |   | 192,703 |   |   |   | 48,915 |   |
| Junior                subordinated debentures                                                                   |   |   | 342,749 |   |   |   | 335,452 |   |   |   | 672,975 |   |   |   | 649,601 |   |
| Total                interest                expense                                                            |   |   | 5,060,069 |   |   |   | 4,395,850 |   |   |   | 10,148,246 |   |   |   | 8,033,944 |   |
|                                                                                                            |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Net                interest income                                                                              |   |   | 9,242,521 |   |   |   | 8,295,281 |   |   |   | 17,596,355 |   |   |   | 15,692,500 |   |
| Provision                for loan losses                                                                        |   |   | 350,000 |   |   |   | 300,000 |   |   |   | 350,000 |   |   |   | 620,000 |   |
| Net                interest income after provision for loan losses                                              |   |   | 8,892,521 |   |   |   | 7,995,281 |   |   |   | 17,246,355 |   |   |   | 15,072,500 |   |
|                                                                                                            |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Non-interest                income:                                                                             |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Service                charges on deposits                                                                      |   |   | 2,489,392 |   |   |   | 2,173,817 |   |   |   | 4,795,575 |   |   |   | 4,100,415 |   |
| Credit                life insurance                                                                            |   |   | 59,361 |   |   |   | 45,536 |   |   |   | 95,872 |   |   |   | 88,874 |   |
| Other                charges and fees                                                                           |   |   | 1,136,325 |   |   |   | 852,301 |   |   |   | 2,040,767 |   |   |   | 1,724,964 |   |
| Total                non-interest income                                                                        |   |   | 3,685,078 |   |   |   | 3,071,654 |   |   |   | 6,932,214 |   |   |   | 5,914,253 |   |
|                                                                                                            |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Non-interest                expenses:                                                                           |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Salaries                and employee benefits                                                                   |   |   | 4,714,570 |   |   |   | 3,936,764 |   |   |   | 9,501,134 |   |   |   | 7,722,515 |   |
| Occupancy                expense                                                                                |   |   | 1,615,685 |   |   |   | 1,498,753 |   |   |   | 3,187,187 |   |   |   | 2,860,208 |   |
| Other                                                                                                           |   |   | 2,915,161 |   |   |   | 2,633,582 |   |   |   | 5,636,145 |   |   |   | 4,982,522 |   |
| Total                non-interest expenses                                                                      |   |   | 9,245,416 |   |   |   | 8,069,099 |   |   |   | 18,324,466 |   |   |   | 15,565,245 |   |
|                                                                                                            |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Income                before income taxes                                                                       |   |   | 3,332,183 |   |   |   | 2,997,836 |   |   |   | 5,854,103 |   |   |   | 5,421,508 |   |
| Provision                for income taxes                                                                       |   |   | 837,284 |   |   |   | 762,082 |   |   |   | 1,412,961 |   |   |   | 1,367,234 |   |
|                                                                                                            |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Net                earnings                                                                                     |   | $ | 2,494,899 |   |   | $ | 2,235,754 |   |   | $ | 4,441,142 |   |   | $ | 4,054,274 |   |
|                                                                                                            |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Earnings                per share:                                                                              |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Basic                                                                                                           |   | $ | 0.38 |   |   | $ | 0.34 |   |   | $ | 0.68 |   |   | $ | 0.62 |   |
| Diluted                                                                                                         |   | $ | 0.38 |   |   | $ | 0.34 |   |   | $ | 0.67 |   |   | $ | 0.61 |   |
|                                                                                                            |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| See                notes to unaudited consolidated financial                statements.                         |   |

*Table            of Contents*

|                                                                                                         |   |
|--------------------------------------------------------------------------------------------------------------|--------|
| **MidSouth                Bancorp, Inc. and                Subsidiaries**                                    |   |
| **Consolidated                Statement of Stockholders’                Equity (unaudited)**           |   |
| **For                the Six Months Ended June 30,                2007**                                     |   |
|                                                                                                         |   | **Common                  Stock** |   |   |   |   |   |   |   |   |  **Unrealized                Losses on** |   |   |   |   |   |   |   |   |   |   |
|                                                                                                         |   | **Shares** |   |   | **Amount** |   |   | **Capital                  Surplus** |   |   | **ESOP                  Obligation** |   |   | **Securities                  AFS, net** |   |   | **Treasury                  Stock** |   |   | **Retained                  Earnings** |   |   | **Total** |   |
| Balance-                January 1, 2007                                                                      |   |   | 6,673,743 |   |   | $ | 667,374 |   |   | $ | 50,500,162 |   |   | $ | (251,259 | ) |   | $ | (858,133 | ) |   | $ | (2,518,411 | ) |   | $ | 12,203,743 |   |   | $ | 59,743,476 |   |
| Net                earnings                                                                                  |   |   | - |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | 4,441,142 |   |   |   | 4,441,142 |   |
| Comprehensive                income:                                                                         |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Net                change in                unrealized losses on securities available-for-sale, net of taxes |   |   | - |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | (1,017,853 | ) |   |   | - |   |   |   | - |   |   |   | (1,017,853 | ) |
| Comprehensive                income                                                                          |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   | 3,423,289 |   |
| Dividends                on common stock, $0.12 per share                                                    |   |   | - |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | (749,192 | ) |   |   | (749,192 | ) |
| Exercise                of stock options                                                                     |   |   | 39,516 |   |   |   | 3,952 |   |   |   | 183,314 |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | 187,266 |   |
| Tax                benefit resulting from exercise of stock options                                          |   |   | - |   |   |   | - |   |   |   | 109,221 |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | 109,221 |   |
| Purchase                of treasury stock                                                                    |   |   | - |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | (186,736 | ) |   |   | - |   |   |   | (186,736 | ) |
| ESOP                obligation, net of repayments                                                            |   |   | - |   |   |   | - |   |   |   | - |   |   |   | 58,406 |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | 58,406 |   |
| Excess                of market value over book value of ESOP shares released,                net adjustment |   |   | - |   |   |   | - |   |   |   | 62,500 |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | 62,500 |   |
| Stock                option expense                                                                          |   |   | - |   |   |   | - |   |   |   | 49,098 |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | 49,098 |   |
| Balance-                June 30, 2007                                                                        |   |   | 6,713,259 |   |   | $ | 671,326 |   |   | $ | 50,904,295 |   |   | $ | (192,853 | ) |   | $ | (1,875,986 | ) |   | $ | (2,705,147 | ) |   | $ | 15,895,693 |   |   | $ | 62,697,328 |   |
|                                                                                                         |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| See                notes to unaudited consolidated financial                statements.                      |   |

*Table            of Contents*

|                                                                                                         |   |
|--------------------------------------------------------------------------------------------------------------|--------|
| **MidSouth                Bancorp, Inc. and                Subsidiaries**                                    |   |
| **Consolidated                Statement of Stockholders’                Equity (unaudited)**           |   |
| **For                the Six Months Ended June 30,                2006**                                     |   |
|                                                                                                         |   | **Common                  Stock** |   |   |   |   |   |   |   |   |  **Unrealized Losses on** |   |   |   |   |   |   |   |   |   |   |
|                                                                                                         |   | **Shares** |   |   | **Amount** |   |   | **Capital                  Surplus** |   |   | **ESOP                  Obligation** |   |   | ** Securities                  AFS, net** |   |   | **Treasury                  Stock** |   |   | **Retained                  Earnings** |   |   | **Total** |   |
| Balance-                January 1, 2006                                                                      |   |   | 6,258,089 |   |   | $ | 625,809 |   |   | $ | 41,784,960 |   |   | $ | (47,194 | ) |   | $ | (1,032,694 | ) |   | $ | (1,229,213 | ) |   | $ | 13,083,900 |   |   | $ | 53,185,568 |   |
| Net                earnings                                                                                  |   |   | - |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | 4,054,274 |   |   |   | 4,054,274 |   |
| Comprehensive                income:                                                                         |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Net                change in                unrealized losses on securities available-for-sale, net of taxes |   |   | - |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | (1,894,852 | ) |   |   | - |   |   |   | - |   |   |   | (1,894,852 | ) |
| Comprehensive                income                                                                          |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   | 2,159,422 |   |
| Dividends                on common stock, $0.06 per share                                                    |   |   | - |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | (595,294 | ) |   |   | (595,294 | ) |
| Exercise                of stock options                                                                     |   |   | 79,799 |   |   |   | 7,980 |   |   |   | 275,420 |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | 283,400 |   |
| Tax                benefit resulting from exercise of stock options                                          |   |   | - |   |   |   | - |   |   |   | 491,439 |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | 491,439 |   |
| Purchase                of treasury stock                                                                    |   |   | - |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | (484,735 | ) |   |   | - |   |   |   | (484,735 | ) |
| ESOP                obligation, net of repayments                                                            |   |   | - |   |   |   | - |   |   |   | - |   |   |   | (260,664 | ) |   |   | - |   |   |   | - |   |   |   | - |   |   |   | (260,664 | ) |
| Excess                of market value over book value of ESOP shares released,                net adjustment |   |   | - |   |   |   | - |   |   |   | 25,000 |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | 25,000 |   |
| Stock                option expense                                                                          |   |   | - |   |   |   | - |   |   |   | 13,333 |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | 13,333 |   |
| Balance-                June 30, 2006                                                                        |   |   | 6,337,888 |   |   | $ | 633,789 |   |   | $ | 42,590,152 |   |   | $ | (307,858 | ) |   | $ | (2,927,546 | ) |   | $ | (1,713,948 | ) |   | $ | 16,542,880 |   |   | $ | 54,817,469 |   |
|                                                                                                         |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| See                notes to unaudited consolidated financial                statements.                      |   |

*Table            of Contents*

|                                                                                                            |   |
|-----------------------------------------------------------------------------------------------------------------|--------|
| **MidSouth                Bancorp, Inc. and                Subsidiaries**                                       |   |
| **Consolidated                Statements of Cash Flows (unaudited)**                                            |   |
|                                                                                                            |   | **For the Six Months Ended June                30,** |   |
|                                                                                                            |   | **2007** |   |   | **2006** |   |
| Cash                flows from operating activities:                                                            |   |   |   |   |   |   |
| Net                earnings                                                                                     |   | $ | 4,441,142 |   |   | $ | 4,054,274 |   |
| Adjustments                to reconcile net income to net cash provided by                operating activities: |   |   |   |   |   |   |   |   |
| Depreciation                and amortization                                                                    |   |   | 1,366,041 |   |   |   | 1,331,188 |   |
| Provision                for loan losses                                                                        |   |   | 350,000 |   |   |   | 620,000 |   |
| Deferred                income tax benefit                                                                      |   |   | (206,973 | ) |   |   | (2,640 | ) |
| Amortization                of premiums on securities, net                                                      |   |   | 309,072 |   |   |   | 365,293 |   |
| Net                gain on sale of premises and equipment                                                       |   |   | (4,833 | ) |   |   | - |   |
| Net                loss on sale of other real estate owned                                                      |   |   | 20,274 |   |   |   | 8,911 |   |
| Impairment                on premises and equipment                                                             |   |   | 13,637 |   |   |   | - |   |
| Stock                option compensation expense                                                                |   |   | 49,098 |   |   |   | 13,333 |   |
| Change                in accrued interest receivable                                                            |   |   | (185,214 | ) |   |   | (331,842 | ) |
| Change                in accrued interest payable                                                               |   |   | (95,111 | ) |   |   | 69,063 |   |
| Other,                net                                                                                       |   |   | 371,623 |   |   |   | (618,761 | ) |
| Net                cash                provided by operating activities                                         |   |   | 6,428,756 |   |   |   | 5,508,819 |   |
|                                                                                                            |   |   |   |   |   |   |   |   |
| Cash                flows from investing activities:                                                            |   |   |   |   |   |   |   |   |
| Proceeds                from maturities and calls of securities                held-to-maturity                 |   |   | 3,777,200 |   |   |   | 2,099,650 |   |
| Proceeds                from maturities and calls of securities                available-for-sale               |   |   | 15,788,135 |   |   |   | 13,802,944 |   |
| Purchases                of securities available-for-sale                                                       |   |   | (22,600,250 | ) |   |   | (65,962,354 | ) |
| Purchases                of other investments                                                                   |   |   | (525,425 | ) |   |   | (340,350 | ) |
| Loan                originations, net of repayments                                                             |   |   | (46,739,120 | ) |   |   | (47,120,831 | ) |
| Purchase                of premises and equipment                                                               |   |   | (4,192,460 | ) |   |   | (6,132,967 | ) |
| Proceeds                from sale of premises and equipment                                                     |   |   | 55,085 |   |   |   | - |   |
| Proceeds                from sales of other real estate owned                                                   |   |   | 347,716 |   |   |   | 147,450 |   |
| Net                cash used in                investing activities                                             |   |   | (54,089,119 | ) |   |   | (103,506,458 | ) |
|                                                                                                            |   |   |   |   |   |   |   |   |
| Cash                flows from financing activities:                                                            |   |   |   |   |   |   |   |   |
| Change                in deposits                                                                               |   |   | 712,749 |   |   |   | 79,166,172 |   |
| Change                in repurchase agreements                                                                  |   |   | 1,036,863 |   |   |   | 1,064,741 |   |
| Change                in federal funds purchased                                                                |   |   | 15,300,000 |   |   |   | - |   |
| Proceeds                from FHLB advances                                                                      |   |   | 12,288,000 |   |   |   | - |   |
| Repayments                of FHLB advances                                                                      |   |   | (13,013,000 | ) |   |   | - |   |
| Purchase                of treasury stock                                                                       |   |   | (186,736 | ) |   |   | (484,735 | ) |
| Payment                of dividends on common stock                                                             |   |   | (937,612 | ) |   |   | (890,556 | ) |
| Proceeds                from exercise of stock options                                                          |   |   | 187,266 |   |   |   | 283,400 |   |
| Excess                tax benefit from stock option exercises                                                   |   |   | 109,221 |   |   |   | 491,439 |   |
| Net                cash                provided by financing activities                                         |   |   | 15,496,751 |   |   |   | 79,630,461 |   |
|                                                                                                            |   |   |   |   |   |   |   |   |
| Net                decrease in cash and cash equivalents                                                        |   |   | (32,163,612 | ) |   |   | (18,367,178 | ) |
|                                                                                                            |   |   |   |   |   |   |   |   |
| Cash                and cash equivalents, beginning of period                                                   |   |   | 57,404,341 |   |   |   | 52,437,002 |   |
|                                                                                                            |   |   |   |   |   |   |   |   |
| Cash                and cash equivalents, end of period                                                         |   | $ | 25,240,729 |   |   | $ | 34,069,824 |   |
|                                                                                                            |   |   |   |   |   |   |   |   |
| See                notes to unaudited consolidated financial                statements.                         |   |   |   |   |   |   |   |   |

*Table            of Contents*

| **MidSouth                Bancorp, Inc. and                Subsidiaries**            |
|--------------------------------------------------------------------------------------|
| **Notes                to Interim Consolidated Financial                Statements** |
| **June                30, 2007**                                                     |
| **(Unaudited)**                                                                      |

***1.   Basis      of Presentation***

***Use      of Estimates***

***Summary      of Significant Accounting      Policies***

***Recent      Accounting Pronouncements—****Accounting for      Uncertainty in Income Taxes*

*Fair Value      Measurements*

*The Fair Value        Option for Financial Assets and Financial Liabilities*

*Table            of Contents*

*Accounting for Purchases of Life Insurance —Determining the Amount that Could Be Realized in Accordance with FASB      Technical      Bulletin 85-4*

***Reclassifications—***

***2.  Employee      Stock Compensation      Plan***

***3.  Allowance      for Loan Losses***

|                                        |   | **Three                  Months Ended June 30,** |   |   | **Six                  Months Ended June 30,** |   |
|---------------------------------------------|--------|--------------------------------------------------|--------|--------|------------------------------------------------|--------|
|                                        |   | **2007**                                         |   |   | **2006**                                       |   |   | **2007** |   |   | **2006** |   |
| Balance,                beginning of period |   | $                                                | 4,900  |   |                                           | $      | 4,652 |   |   | $ | 4,977 |   |   | $ | 4,355 |   |
| Provision                for loan losses    |   |                                             | 350    |   |                                           |   | 300 |   |   |   | 350 |   |   |   | 620 |   |
| Recoveries                                  |   |                                             | 24     |   |                                           |   | 113 |   |   |   | 42 |   |   |   | 222 |   |
| Loans                charged-off            |   |                                             | (92    | )      |                                           |   | (178 | ) |   |   | (187 | ) |   |   | (310 | ) |
| Balance,                end of period       |   | $                                                | 5,182  |   |                                           | $      | 4,887 |   |   | $ | 5,182 |   |   | $ | 4,887 |   |

***4. Earnings        Per Common        Share***

|                                                                                                                                                                                                 |   | **Three                    Months Ended June 30,** |   |   | **Six                    Months Ended June 30,** |   |
|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|----------------------------------------------------|--------|--------|--------------------------------------------------|--------|
|                                                                                                                                                                                                 |   | **2007**                                           |   |   | **2006**                                         |   |   | **2007** |   |   | **2006** |   |
| Net                  earnings                                                                                                                                                                        |   | $                                                  | 2,495  |   |                                             | $      | 2,236 |   |   | $ | 4,441 |   |   | $ | 4,054 |   |
| Weighted                  average number of common shares outstanding used in                  computation of basic earnings per common share                                                        |   |                                               | 6,571  |   |                                             |   | 6,508 |   |   |   | 6,563 |   |   |   | 6,491 |   |
| Effect                  of dilutive securities:Stock                  options                                                                                                                        |   |                                               | 76     |   |                                             |   | 127 |   |   |   | 81 |   |   |   | 125 |   |
| Weighted                  average number of common shares outstanding plus                  effect of dilutive securities – used in computation of diluted earnings                  per share |   |                                               | 6,647  |   |                                             |   | 6,635 |   |   |   | 6,644 |   |   |   | 6,616 |   |

***5.  Declaration        of Dividends***

*Table            of Contents*

**Item      2. Management’s Discussion and Analysis      of Financial Condition and Results of Operation.**

*Forward      Looking Statements*

|   | · | changes in interest rates and market prices that                could                affect the net interest margin, asset valuation, and expense                levels; |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | changes in local economic and business conditions                that                could adversely affect customers and their ability to repay borrowings                under agreed upon terms and/or adversely affect the value of the                underlying collateral related to the                borrowings; |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | increased competition for deposits and loans                which                could affect rates and terms; |
|--------|--------|----------------------------------------------------------------------------------------------------------------|

|   | · | changes in the levels of prepayments received                on loans                and investment securities that adversely affect the yield and value                of the                earning assets; |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | a deviation in actual experience from the underlying                assumptions used to determine and establish the Allowance for Loan                Losses                (“ALL”); |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | changes in the availability of funds resulting                from                reduced liquidity or increased costs; |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------|

|   | · | the timing and impact of future acquisitions,                the                success or failure of integrating operations, and the ability to                capitalize on growth opportunities upon entering new                markets; |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | the ability to acquire, operate, and maintain                effective                and efficient operating systems; |
|--------|--------|------------------------------------------------------------------------------------------------------------------------|

|   | · | increased asset levels and changes in the composition                of assets which would impact capital levels and regulatory capital                ratios; |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | loss of critical personnel and the challenge                of hiring                qualified personnel at reasonable compensation                levels; |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | changes in government regulations and accounting                principles, policies, and guidelines applicable to financial holding                companies and banking; and |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | acts of terrorism, weather, or other events beyond                the                Company’s control. |
|--------|--------|---------------------------------------------------------------------------------------------------------------|

*Critical      Accounting Policies*

*See Asset Quality.*

*Goodwill and Other Intangible Assets*

*Table          of Contents*

*Share-Based Payment*

*Results      of Operations*

** **

*Table          of Contents*

*Earnings      Analysis*

*Table            of Contents*

|                                                                                                             |   |
|------------------------------------------------------------------------------------------------------------------|--------|
| **Table                1**                                                                                       |   |
| **Consolidated                Average Balances, Interest and                Rates**(in                thousands) |   |
|                                                                                                             |   | **Three                Months Ended June 30,** |   |
|                                                                                                             |   | **2007** |   |   | **2006** |   |
|                                                                                                             |   | **Average****Volume** |   |   | **Interest** |   |   | **Average****Yield/Rate** |   |   | **Average****Volume** |   |   | **Interest** |   |   | **Average****Yield/Rate** |   |
| **Assets**                                                                                                       |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Investment                securities and interest bearing deposits1                                              |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Taxable                                                                                                          |   | $ | 88,485 |   |   | $ | 1,056 |   |   |   | 4.77 | % |   | $ | 107,978 |   |   | $ | 1,220 |   |   |   | 4.52 | % |
| Tax                exempt2                                                                                       |   |   | 111,606 |   |   |   | 1,478 |   |   |   | 5.29 | % |   |   | 92,611 |   |   |   | 1,190 |   |   |   | 5.14 | % |
| Other                investments                                                                                 |   |   | 2,544 |   |   |   | 23 |   |   |   | 3.62 | % |   |   | 2,343 |   |   |   | 15 |   |   |   | 2.58 | % |
| Total                investments                                                                                 |   |   | 202,635 |   |   |   | 2,557 |   |   |   | 5.05 | % |   |   | 202,932 |   |   |   | 2,425 |   |   |   | 4.78 | % |
| Federal                funds sold and securities purchased under agreements to                resell             |   |   | 15,088 |   |   |   | 195 |   |   |   | 5.18 | % |   |   | 23,983 |   |   |   | 295 |   |   |   | 4.93 | % |
| Loans                                                                                                            |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Commercial                and real estate                                                                        |   |   | 419,343 |   |   |   | 9,623 |   |   |   | 9.21 | % |   |   | 370,362 |   |   |   | 8,344 |   |   |   | 9.04 | % |
| Installment                                                                                                      |   |   | 107,471 |   |   |   | 2,361 |   |   |   | 8.81 | % |   |   | 95,592 |   |   |   | 1,974 |   |   |   | 8.28 | % |
| Total                loans3                                                                                      |   |   | 526,814 |   |   |   | 11,984 |   |   |   | 9.12 | % |   |   | 465,954 |   |   |   | 10,318 |   |   |   | 8.88 | % |
| Total                earning assets                                                                              |   |   | 744,537 |   |   |   | 14,736 |   |   |   | 7.94 | % |   |   | 692,869 |   |   |   | 13,038 |   |   |   | 7.55 | % |
| Allowance                for loan losses                                                                         |   |   | (4,908 | ) |   |   |   |   |   |   |   |   |   |   | (4,600 | ) |   |   |   |   |   |   |   |   |
| Nonearning                assets                                                                                 |   |   | 76,913 |   |   |   |   |   |   |   |   |   |   |   | 73,025 |   |   |   |   |   |   |   |   |   |
| Total                assets                                                                                      |   | $ | 816,542 |   |   |   |   |   |   |   |   |   |   | $ | 761,294 |   |   |   |   |   |   |   |   |   |
|                                                                                                             |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| **Liabilities                and stockholders’ equity**                                                    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| NOW,                money market, and savings                                                                    |   | $ | 426,320 |   |   | $ | 3,370 |   |   |   | 3.17 | % |   | $ | 388,789 |   |   | $ | 3,004 |   |   |   | 3.10 | % |
| Certificates                of deposits                                                                          |   |   | 118,764 |   |   |   | 1,230 |   |   |   | 4.15 | % |   |   | 120,943 |   |   |   | 1,028 |   |   |   | 3.41 | % |
| Total                interest bearing deposits                                                                   |   |   | 545,084 |   |   |   | 4,600 |   |   |   | 3.38 | % |   |   | 509,732 |   |   |   | 4,032 |   |   |   | 3.17 | % |
| Federal                funds purchased and securities sold under repurchase                agreements            |   |   | 9,228 |   |   |   | 116 |   |   |   | 5.04 | % |   |   | 2,724 |   |   |   | 29 |   |   |   | 4.25 | % |
| FHLB                advances                                                                                     |   |   | 108 |   |   |   | 1 |   |   |   | 5.13 | % |   |   | - |   |   |   | - |   |   |   | - |   |
| Junior                subordinated debentures                                                                    |   |   | 15,465 |   |   |   | 343 |   |   |   | 8.90 | % |   |   | 15,465 |   |   |   | 335 |   |   |   | 8.70 | % |
| Total                interest bearing liabilities                                                                |   |   | 569,885 |   |   |   | 5,060 |   |   |   | 3.56 | % |   |   | 527,921 |   |   |   | 4,396 |   |   |   | 3.34 | % |
|                                                                                                             |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Demand                deposits                                                                                   |   |   | 179,991 |   |   |   |   |   |   |   |   |   |   |   | 175,163 |   |   |   |   |   |   |   |   |   |
| Other                liabilities                                                                                 |   |   | 4,228 |   |   |   |   |   |   |   |   |   |   |   | 3,802 |   |   |   |   |   |   |   |   |   |
| Stockholders’equity                                                                                        |   |   | 62,438 |   |   |   |   |   |   |   |   |   |   |   | 54,408 |   |   |   |   |   |   |   |   |   |
| Total                liabilities and stockholders’ equity                                                  |   | $ | 816,542 |   |   |   |   |   |   |   |   |   |   | $ | 761,294 |   |   |   |   |   |   |   |   |   |
|                                                                                                             |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Net                interest income and net interest spread                                                       |   |   |   |   |   | $ | 9,676 |   |   |   | 4.38 | % |   |   |   |   |   | $ | 8,642 |   |   |   | 4.21 | % |
| Net                yield on interest earning assets                                                              |   |   |   |   |   |   |   |   |   |   | 5.21 | % |   |   |   |   |   |   |   |   |   |   | 5.00 | % |

----

 

 

*Table            of Contents*

|                                                                                                             |   |
|------------------------------------------------------------------------------------------------------------------|--------|
| **Table                2**                                                                                       |   |
| **Consolidated                Average Balances, Interest and                Rates**(in                thousands) |   |
|                                                                                                             |   | **Six                Months Ended June 30,** |   |
|                                                                                                             |   | **2007** |   |   | **2006** |   |
|                                                                                                             |   | **Average****Volume** |   |   | **Interest** |   |   | **Average****Yield/Rate** |   |   | **Average****Volume** |   |   | **Interest** |   |   | **Average****Yield/Rate** |   |
| **Assets**                                                                                                       |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Investment                securities and interest bearing deposits4                                              |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Taxable                                                                                                          |   | $ | 86,938 |   |   | $ | 2,036 |   |   |   | 4.68 | % |   | $ | 96,870 |   |   | $ | 2,137 |   |   |   | 4.41 | % |
| Tax                exempt5                                                                                       |   |   | 110,736 |   |   |   | 2,913 |   |   |   | 5.26 | % |   |   | 87,151 |   |   |   | 2,209 |   |   |   | 5.07 | % |
| Other                investments                                                                                 |   |   | 2,528 |   |   |   | 44 |   |   |   | 3.48 | % |   |   | 2,185 |   |   |   | 39 |   |   |   | 3.57 | % |
| Total                investments                                                                                 |   |   | 200,202 |   |   |   | 4,993 |   |   |   | 4.99 | % |   |   | 186,206 |   |   |   | 4,385 |   |   |   | 4.71 | % |
| Federal                funds sold and securities purchased under agreements to                resell             |   |   | 24,268 |   |   |   | 625 |   |   |   | 5.19 | % |   |   | 30,629 |   |   |   | 701 |   |   |   | 4.61 | % |
| Loans                                                                                                            |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Commercial                and real estate                                                                        |   |   | 407,350 |   |   |   | 18,319 |   |   |   | 9.07 | % |   |   | 359,801 |   |   |   | 15,333 |   |   |   | 8.59 | % |
| Installment                                                                                                      |   |   | 106,266 |   |   |   | 4,659 |   |   |   | 8.84 | % |   |   | 95,043 |   |   |   | 3,950 |   |   |   | 8.38 | % |
| Total                loans6                                                                                      |   |   | 513,616 |   |   |   | 22,978 |   |   |   | 9.02 | % |   |   | 454,844 |   |   |   | 19,283 |   |   |   | 8.55 | % |
| Total                earning assets                                                                              |   |   | 738,086 |   |   |   | 28,596 |   |   |   | 7.81 | % |   |   | 671,679 |   |   |   | 24,369 |   |   |   | 7.32 | % |
| Allowance                for loan losses                                                                         |   |   | (4,929 | ) |   |   |   |   |   |   |   |   |   |   | (4,480 | ) |   |   |   |   |   |   |   |   |
| Nonearning                assets                                                                                 |   |   | 76,904 |   |   |   |   |   |   |   |   |   |   |   | 72,149 |   |   |   |   |   |   |   |   |   |
| Total                assets                                                                                      |   | $ | 810,061 |   |   |   |   |   |   |   |   |   |   | $ | 739,348 |   |   |   |   |   |   |   |   |   |
|                                                                                                             |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| **Liabilities                and stockholders’ equity**                                                    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| NOW,                money market, and savings                                                                    |   | $ | 422,965 |   |   | $ | 6,839 |   |   |   | 3.26 | % |   | $ | 368,388 |   |   | $ | 5,339 |   |   |   | 2.92 | % |
| Certificates                of deposits                                                                          |   |   | 120,490 |   |   |   | 2,444 |   |   |   | 4.09 | % |   |   | 120,970 |   |   |   | 1,996 |   |   |   | 3.33 | % |
| Total                interest bearing deposits                                                                   |   |   | 543,455 |   |   |   | 9,283 |   |   |   | 3.44 | % |   |   | 489,358 |   |   |   | 7,335 |   |   |   | 3.02 | % |
| Securities                sold under repurchase agreements and federal funds                purchased            |   |   | 6,800 |   |   |   | 165 |   |   |   | 4.89 | % |   |   | 2,383 |   |   |   | 49 |   |   |   | 4.14 | % |
| FHLB                advances                                                                                     |   |   | 847 |   |   |   | 28 |   |   |   | 6.67 | % |   |   | - |   |   |   | - |   |   |   | - |   |
| Junior                subordinated debentures                                                                    |   |   | 15,465 |   |   |   | 672 |   |   |   | 8.76 | % |   |   | 15,465 |   |   |   | 650 |   |   |   | 8.47 | % |
| Total                interest bearing liabilities                                                                |   |   | 566,567 |   |   |   | 10,148 |   |   |   | 3.61 | % |   |   | 507,206 |   |   |   | 8,034 |   |   |   | 3.19 | % |
|                                                                                                             |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Demand                deposits                                                                                   |   |   | 178,038 |   |   |   |   |   |   |   |   |   |   |   | 174,392 |   |   |   |   |   |   |   |   |   |
| Other                liabilities                                                                                 |   |   | 4,045 |   |   |   |   |   |   |   |   |   |   |   | 3,691 |   |   |   |   |   |   |   |   |   |
| Stockholders’equity                                                                                        |   |   | 61,411 |   |   |   |   |   |   |   |   |   |   |   | 54,059 |   |   |   |   |   |   |   |   |   |
| Total                liabilities and stockholders’ equity                                                  |   | $ | 810,061 |   |   |   |   |   |   |   |   |   |   | $ | 739,348 |   |   |   |   |   |   |   |   |   |
|                                                                                                             |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Net                interest income and net interest spread                                                       |   |   |   |   |   | $ | 18,448 |   |   |   | 4.20 | % |   |   |   |   |   | $ | 16,335 |   |   |   | 4.13 | % |
| Net                yield on interest earning assets                                                              |   |   |   |   |   |   |   |   |   |   | 5.04 | % |   |   |   |   |   |   |   |   |   |   | 4.90 | % |

----

 

 

*Table            of Contents*

|                                                                                                                                       |   |
|--------------------------------------------------------------------------------------------------------------------------------------------|--------|
| **Table                3****Changes                in Taxable-Equivalent Net Interest                Income**(in                thousands) |   |
|                                                                                                                                       |   | **Three                  Months Ended****June                  30, 2007 Compared to June 30,                  2006** |   |
|                                                                                                                                       |   | **Total****Increase** |   |   | **Change****Attributable                To** |   |
|                                                                                                                                       |   | **(Decrease)** |   |   | **Volume** |   |   | **Rates** |   |
| Taxable-equivalent                earned on:                                                                                               |   |   |   |   |   |   |   |   |   |
| Investment                securities and interest bearing deposits                                                                         |   |   |   |   |   |   |   |   |   |
| Taxable                                                                                                                                    |   | $ | (164 | ) |   | $ | (230 | ) |   | $ | 66 |   |
| Tax                exempt                                                                                                                  |   |   | 287 |   |   |   | 250 |   |   |   | 37 |   |
| Other                investments                                                                                                           |   |   | 8 |   |   |   | 1 |   |   |   | 7 |   |
| Federal                funds sold and securities purchased under agreement to                resell                                        |   |   | (100 | ) |   |   | (114 | ) |   |   | 14 |   |
| Loans,                including fees                                                                                                       |   |   | 1,667 |   |   |   | 1,379 |   |   |   | 288 |   |
| Total                                                                                                                                      |   | $ | 1,698 |   |   | $ | 1,286 |   |   | $ | 412 |   |
|                                                                                                                                       |   |   |   |   |   |   |   |   |   |   |   |   |
| Interest                paid on:                                                                                                           |   |   |   |   |   |   |   |   |   |   |   |   |
| Interest                bearing deposits                                                                                                   |   | $ | 568 |   |   | $ | 289 |   |   | $ | 279 |   |
| Federal                funds purchased and securities sold under repurchase                agreements                                      |   |   | 87 |   |   |   | 81 |   |   |   | 6 |   |
| FHLB                advances                                                                                                               |   |   | 1 |   |   |   | 1 |   |   |   | - |   |
| Junior                subordinated debentures                                                                                              |   |   | 8 |   |   |   | - |   |   |   | 8 |   |
| Total                                                                                                                                      |   | $ | 664 |   |   | $ | 371 |   |   | $ | 293 |   |
|                                                                                                                                       |   |   |   |   |   |   |   |   |   |   |   |   |
| Taxable-equivalent                net interest income                                                                                      |   | $ | 1,034 |   |   | $ | 915 |   |   | $ | 119 |   |

|                                                                                                                                       |   |
|--------------------------------------------------------------------------------------------------------------------------------------------|--------|
| **Table                4****Changes                in Taxable-Equivalent Net Interest                Income**(in                thousands) |   |
|                                                                                                                                       |   | **Six                  Months Ended****June                  30, 2007 Compared to June 30,                  2006** |   |
|                                                                                                                                       |   | **Total****Increase** |   |   | **Change****Attributable                To** |   |
|                                                                                                                                       |   | **(Decrease)** |   |   | **Volume** |   |   | **Rates** |   |
| Taxable-equivalent                earned on:                                                                                               |   |   |   |   |   |   |   |   |   |
| Investment                securities and interest bearing deposits                                                                         |   |   |   |   |   |   |   |   |   |
| Taxable                                                                                                                                    |   | $ | (101 | ) |   | $ | (228 | ) |   | $ | 127 |   |
| Tax                exempt                                                                                                                  |   |   | 704 |   |   |   | 617 |   |   |   | 87 |   |
| Other                investments                                                                                                           |   |   | 5 |   |   |   | 6 |   |   |   | (1 | ) |
| Federal                funds sold and securities purchased under agreement to                resell                                        |   |   | (76 | ) |   |   | (157 | ) |   |   | 81 |   |
| Loans,                including fees                                                                                                       |   |   | 3,695 |   |   |   | 2,588 |   |   |   | 1,107 |   |
| Total                                                                                                                                      |   | $ | 4,227 |   |   | $ | 2,826 |   |   | $ | 1,401 |   |
|                                                                                                                                       |   |   |   |   |   |   |   |   |   |   |   |   |
| Interest                paid on:                                                                                                           |   |   |   |   |   |   |   |   |   |   |   |   |
| Interest                bearing deposits                                                                                                   |   | $ | 1,948 |   |   | $ | 861 |   |   | $ | 1,087 |   |
| Federal                funds purchased and securities sold under repurchase                agreements                                      |   |   | 116 |   |   |   | 106 |   |   |   | 10 |   |
| FHLB                advances                                                                                                               |   |   | 28 |   |   |   | 28 |   |   |   | - |   |
| Junior                subordinated debentures                                                                                              |   |   | 22 |   |   |   | - |   |   |   | 22 |   |
| Total                                                                                                                                      |   | $ | 2,114 |   |   | $ | 995 |   |   | $ | 1,119 |   |
|                                                                                                                                       |   |   |   |   |   |   |   |   |   |   |   |   |
| Taxable-equivalent                net interest income                                                                                      |   | $ | 2,113 |   |   | $ | 1,831 |   |   | $ | 282 |   |

*Table            of Contents*

*Analysis      of Statement of Condition*

*Table            of Contents*

|                                                                                                          |   |
|----------------------------------------------------------------------------------------------------------------------------------------|--------|
| **Table                5****Composition                of Loans**** **(in                thousands)      |   |
|                                                                                                                                   |   | **June                  30, 2007** |   |   | **December                  31, 2006** |   |
| Commercial,                financial, and agricultural                                                                                 |   | $ | 176,093 |   |   | $ | 155,098 |   |
| Lease                financing receivable                                                                                              |   |   | 9,362 |   |   |   | 7,902 |   |
| Real                estate - mortgage                                                                                                  |   |   | 200,966 |   |   |   | 192,583 |   |
| Real                estate - construction                                                                                              |   |   | 75,809 |   |   |   | 64,126 |   |
| Installment                loans to individuals                                                                                        |   |   | 82,514 |   |   |   | 78,613 |   |
| Other                                                                                                                                  |   |   | 703 |   |   |   | 724 |   |
| Total                loans                                                                                                             |   | $ | 545,447 |   |   | $ | 499,046 |   |

*Liquidity*

** **

*Table            of Contents*

*Asset      Quality*

|                                                                                                                                             |   |
|--------------------------------------------------------------------------------------------------------------------------------------------------|--------|
| **Table                6****Nonperforming                Assets and Loans Past Due 90 Days or                More**(in                thousands) |   |
|                                                                                                                                             |   | **June                30,****2007** |   |   | **June                30,****2006** |   |   | **December                31,****2006** |   |
| Nonaccrual                loans                                                                                                                  |   | $ | 840 |   |   | $ | 543 |   |   | $ | 1,793 |   |
| Loans                past due 90 days and over                                                                                                   |   |   | 596 |   |   |   | 2,104 |   |   |   | 98 |   |
| Total                nonperforming loans                                                                                                         |   |   | 1,436 |   |   |   | 2,647 |   |   |   | 1,891 |   |
| Other                real estate owned                                                                                                           |   |   | 251 |   |   |   | 32 |   |   |   | 368 |   |
| Other                foreclosed assets                                                                                                           |   |   | 76 |   |   |   | 25 |   |   |   | 55 |   |
| Total                nonperforming assets                                                                                                        |   | $ | 1,763 |   |   | $ | 2,704 |   |   | $ | 2,314 |   |
|                                                                                                                                             |   |   |   |   |   |   |   |   |   |   |   |   |
| Nonperforming                assets to total assets                                                                                              |   |   | 0.21 | % |   |   | 0.35 | % |   |   | 0.29 | % |
| Nonperforming                assets to total loans + OREO + other foreclosed                assets                                               |   |   | 0.32 | % |   |   | 0.55 | % |   |   | 0.46 | % |
| ALL                to nonperforming assets                                                                                                       |   |   | 293.93 | % |   |   | 180.73 | % |   |   | 215.08 | % |
| ALL                to nonperforming loans                                                                                                        |   |   | 360.86 | % |   |   | 184.62 | % |   |   | 263.19 | % |
| ALL                to total loans                                                                                                                |   |   | 0.95 | % |   |   | 1.00 | % |   |   | 1.00 | % |
|                                                                                                                                             |   |   |   |   |   |   |   |   |   |   |   |   |
| Year-to-date                charge-offs                                                                                                          |   | $ | 187 |   |   | $ | 310 |   |   | $ | 542 |   |
| Year-to-date                recoveries                                                                                                           |   |   | 42 |   |   |   | 223 |   |   |   | 314 |   |
| Year-to-date                net charge-offs                                                                                                      |   | $ | 145 |   |   | $ | 87 |   |   | $ | 228 |   |
| Net                YTD charge-offs to total loans                                                                                                |   |   | 0.03 | % |   |   | 0.02 | % |   |   | 0.05 | % |

*Table            of Contents*

*Impact      of Inflation and Changing      Prices*

**Item      3. Quantitative and Qualitative Disclosures About Market Risk.**

**Item      4. Controls and Procedures.**

*Table            of Contents*

**Part      II – Other Information**

**Item      1. Legal Proceedings.**

**Item      1A. Risk Factors.**

**Item      2. Unregistered Sales of Equity Securities      and Use of Proceeds.**

|                      |   | **Total                  Number****of                  Shares Purchased** |   |   | **Average                  Price Paid per Share** |   |   | **Total                  Number of Shares Purchased as Part of a                  Publicly Announced Plan7** |   |   | **Maximum                  Number of Shares That May Yet be Purchased                  Under the Plan7** |   |
|---------------------------|--------|---------------------------------------------------------------------------|--------|--------|---------------------------------------------------|--------|--------|--------------------------------------------------------------------------------------------------------------|--------|--------|----------------------------------------------------------------------------------------------------------|--------|
| April                2007 |   |                                                                      | -      |   |                                              |   | -      |                                                                                                         |   |   | -                                                                                                        |   |   |   | 200,739 |   |
| May                2007   |   |                                                                      | 1,665  |   |                                              | $      | 23.98  |                                                                                                         |   |   | 1,665                                                                                                    |   |   |   | 199,074 |   |
| June                2007  |   |                                                                      | 2,505  |   |                                              | $      | 23.65  |                                                                                                         |   |   | 2,505                                                                                                    |   |   |   | 196,569 |   |

**Item      3. Defaults Upon Senior      Securities.**

**Item      4. Submission of Matters to a Vote of      Security Holders.**

----

  

*Table            of Contents*

|                                    |   | **Votes                  Cast** |      |   |          |   |
|-----------------------------------------|--------|---------------------------------|-----------|--------|---------------|--------|
| **Name                  of Nominee**    |   | **For**                         |      |   | **Abstained** |   |   | **Broker                  Non-votes** |   |
|                                    |   |                            |      |   |          |   |   |   |   |
| Will                Charbonnet Sr.      |   |                            | 3,224,859 |   |          |   | 3,655 |   |   |   | 1,135,548 |   |
| Clayton                Paul Hilliard    |   |                            | 3,223,511 |   |          |   | 5,003 |   |   |   | 1,135,548 |   |
| Stephen                C. May           |   |                            | 3,085,679 |   |          |   | 142,835 |   |   |   | 1,135,548 |   |
| Joseph                V. Tortorice, Jr. |   |                            | 3,224,859 |   |          |   | 3,655 |   |   |   | 1,135,548 |   |
| Timothy                J. Lemoine       |   |                            | 3,224,759 |   |          |   | 3,755 |   |   |   | 1,135,548 |   |
| R.                Glenn Pumpelly        |   |                            | 3,224,648 |   |          |   | 3,866 |   |   |   | 1,135,548 |   |

| **Votes                  Cast** |      |   |        |   |
|---------------------------------|-----------|--------|-------------|--------|
| **For**                         |      |   | **Against** |   |   | **Abstained** |   |   | **Broker                  Non-votes** |   |
|                            |      |   |        |   |   |   |   |   |   |   |
|                            | 2,868,322 |   |        |   | 338,463 |   |   |   | 21,719 |   |   |   | 1,135,548 |   |

**Item 5. Other Information.**

**Item      6. Exhibits.**

**(a)  Exhibits**

| 31.1 | Certification pursuant to Exchange Act Rules 13(a)–                14(a) |
|------|--------------------------------------------------------------------------------|

| 31.2 | Certification pursuant to Exchange Act Rules 13(a)–                14(a) |
|------|--------------------------------------------------------------------------------|

| 32.1 | Certification pursuant to Section 906 of the                Sarbanes-Oxley Act of 2002 |
|------|----------------------------------------------------------------------------------------|

| 32.2 | Certification pursuant to Section 906 of the                Sarbanes-Oxley Act of 2002 |
|------|----------------------------------------------------------------------------------------|

**(b)  Reports      Filed on Form 8-K**

*Table            of Contents*

**Signatures**

|                                           | MidSouth                Bancorp, Inc.(Registrant)           |
|------------------------------------------------|------------------------------------------------------------------|
|                                           |                                                             |
| Date:  August                9, 2007 |                                                             |
|                                           | /s/                C. R. Cloutier                           |
|                                           | C.                R. Cloutier, President /CEO                    |
|                                           |                                                             |
|                                           | /s/                J. E. Corrigan, Jr.                      |
|                                           | J.                E. Corrigan, Jr., Executive Vice President/CFO |
|                                           |                                                             |
|                                           | /s/                Teri S. Stelly                           |
|                                           | Teri                S. Stelly, SVP/Controller                    |