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                       SECURITIES AND EXCHANGE COMMISSION
                             WASHINGTON, D.C. 20549

                             -----------------------

                                 FORM 10-KSB/A

                               AMENDMENT NO. 1 TO
              ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(D) OF THE
                         SECURITIES EXCHANGE ACT OF 1934
                  For the fiscal year ended September 30, 2001

                         Commission File Number: 1-13640

                           SOUTHFIRST BANCSHARES, INC.
             (Exact name of registrant as specified in its charter)

                             A Delaware Corporation
                  I.R.S. Employer Identification No. 63-1121255
                              126 North Norton Ave.
                            Sylacauga, Alabama 35150
                                 (256) 245-4365

                 Securities Registered Pursuant to Section 12(b)
                              of the Exchange Act:

                                                     Name of Each Exchange
     Title of Each Class                              on Which Registered
-----------------------------                     -----------------------------
Common Stock, $ .01 par value                     American Stock Exchange, Inc.

                 Securities Registered Pursuant to Section 12(g)
                            of the Exchange Act: None

         Indicate by check mark whether the registrant (1) has filed all reports
required to be filed by Section 13 or 15(d) of the Securities Exchange Act of
1934 during the preceding 12 months (or for such shorter period that the
registrant was required to file such reports), and (2) has been subject to such
filing requirements for the past 90 days. Yes [X] No [ ]

         Indicate by check mark if disclosure of delinquent filers pursuant to
Item 405 of Regulation S-B is not contained herein, and will not be contained,
to the best of the registrant's knowledge, in definitive proxy or information
statements incorporated by reference in Part III of this Form 10-KSB, or any
amendment to this Form 10-KSB. [ ]

         Issuer's Revenues for the fiscal year ended September 30, 2001:
$13,202,922

         The aggregate market value of the common equity held by non-affiliates
of the Registrant (751,402 shares), computed using the closing price as reported
on the American Stock Exchange for the Registrant's Common Stock on December 27,
2001 was $7,251,029. For the purposes of this response, officers, directors and
holders of 5% or more of the Registrant's Common Stock are considered the
affiliates of the Registrant.

         The number of shares outstanding of the Registrant's Common Stock as of
December 15, 2001: 858,244 shares of $.01 par value Common Stock.

                    DOCUMENTS INCORPORATED BY REFERENCE: None

       Transitional Small Business Disclosure Format:     Yes  [ ]    No [X]

The following item is amended:
    Part III:
      Item 13. Exhibits*

*This Amendment No. 1 adds pages 2-8 and pages 37-40 to Exhibit 99.1, which
 pages were inadvertently omitted in the original filing on December 31, 2001,
 due to an electronic transmission error.
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ITEM 13.   EXHIBITS

         The following exhibits are filed with or incorporated by reference into
this report. The exhibits which are denominated by an asterisk (*) were
previously filed as a part of, and are hereby incorporated by reference, from
SouthFirst's: Registration Statement on Form S-1 under the Securities Act of
1933 Registration No. 33-80730 ("1994 S-1"); Registration Statement on Form S-8
under the Securities Act of 1933, Registration No. 333-4534 ("Plan `A' S-8");
Registration Statement on From S-8 under the Securities Act of 1933,
Registration No. 333-4536 ("Plan `B' S-8"); Registration Statement on Form S-8,
Registration No. 333-4538 ("Option Plan S-8"); Registration Statement on Form
S-8, Registration No. 333-85705 ("Amended Option Plan S-8"); Annual Report on
Form 10-K for the year ended September 30, 1995 ("1995 10-K"); Annual Report on
Form 10-K for the year ended September 30, 1998 ("1998 Form 10-KSB"); Annual
Report on Form 10-KSB for the year ended September 30, 2001 ("2001 Form 10-KSB")
Unless otherwise indicated, the exhibit number corresponds to the exhibit number
in the referenced document.

<TABLE>
<CAPTION>
         Exhibit No.       Description of Exhibit

         <S>               <C>
             3.1*          Amended and Restated Certificate of Incorporation (1994 S-1).

             3.2*          Bylaws (1994 S-1, Exhibit 3.2).

             4*            Form of Common Stock Certificate (1994 S-1).

             10.1*         Form of Employment Agreement between SouthFirst Bancshares, Inc.
                           and Joe K. McArthur. (2001 Form 10-KSB).

             10.2*         Form of Employment Agreement between First Federal of the South
                           and Joe K. McArthur. (2001 Form 10-KSB).

             10.3*         Form of Employment Agreement between First Federal of the South
                           and Sandra H. Stephens. (2001 Form 10-KSB).

             10.4.1        Form of Employment Agreement between Pension & Benefit Financial Services, Inc.
                           and J. Malcomb Massey. (2001 Form 10-KSB).

             10.4.2*       Form of Guaranty of Employment Agreement among SouthFirst Bancshares, Inc.,
                           First Federal of the South, Pension & Benefit Financial Services, Inc., and J. Malcomb Massey.
                           (2001 Form 10-KSB).

             10.5.1*       Form of Employment Agreement between Pension & Benefit Financial Services, Inc.
                           and Ruth M. Roper. (2001 Form 10-KSB).

             10.5.2*       Form of Guaranty of Employment Agreement among SouthFirst Bancshares, Inc.,
                           First Federal of the South, Pension & Benefit Financial Services, Inc., and Ruth M. Roper.
                           (2001 Form 10-KSB).

             10.6*         Severance Agreement dated as of August 31, 2001 by and among SouthFirst Bancshares, Inc., First
                           Federal of the South and Donald C. Stroup. (2001 Form 10-KSB).

             10.7*         Employment Agreement dated as of October 31, 1997 between First Federal of the South
                           and Bobby R. Cook (1997 Form 10-K).

             10.8.1 *      Form of Management Recognition Plan A (1994 S-1, Exhibit 10.5).

             10.8.2 *      Form of Management Recognition Plan A, as amended (1995 Form 10-K).

             10.8.3 *      Management Recognition Plan A Restated and Continued (Plan "A" S-8, Exhibit 4.1).

             10.9.1 *      Form of Management Recognition Plan B (1994 S-1, Exhibit 10.6).

             10.9.2 *      Form of Management Recognition Plan B, as amended (1995 Form 10-K).

             10.9.3 *      Management Recognition Plan B, Restated and Continued (Plan "B" S-8, Exhibit 4.1).

             10.10.1 *     Form of Stock Option and Incentive Plan (1994 S-1, Exhibit 10.7)  (1995 Form 10-K).
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<TABLE>
             <S>           <C>
             10.10.2 *     Form of Stock Option and Incentive Plan, as amended (1995 Form 10-K).

             10.10.3 *     From of Stock Option and Incentive Plan, Restated and Continued (Option Plan S-8, Exhibit 4.1).

             10.10.4 *     Form of Stock Option and Incentive Plan, as Amended (Amended Option Plan S-8)

             10.10.5*      Form of Incentive Stock Option Agreement (Option Plan S-8, Exhibit 4.2).

             10.10.6*      Form of Incentive Stock Option Agreement, as Amended (Amended Option Plan S-8)

             10.11.1*      Form of SouthFirst Bancshares, Inc. Employee Stock Ownership Plan (1994 S-1, Exhibit 10.8).

             10.11.2       Third Amendment to the SouthFirst Bancshares, Inc. Employee Stock Ownership Plan executed
                           as of September 29, 2001.

             10.12 *       Deferred Compensation Agreement between First Federal of the South and Joe K. McArthur
                           (1995 Form 10-K).

             10.13 *       Deferred Compensation Agreement between First Federal of the South and Donald C. Stroup
                           (1995 Form 10-K).

             10.14         Deferred Compensation Agreement between Benefit Financial Services, Inc. and Ruth M. Roper.

             10.12*        Employment Agreement dated as of January 1, 1998 between First Federal of the South
                           and Jimmy C. Maples (1998 Form 10-KSB).

             11*           Statement Regarding Computation of Per Share Earnings (2001 Form 10-KSB).

             21*           Subsidiaries of Registrant (2001 Form 10-KSB).

             23.1          Consent of Jones and Kirkpatrick, P.C.

             99.1          Financial Statements of SouthFirst Bancshares, Inc. and subsidiaries.
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                                   SIGNATURES

         In accordance with Section 13 or 15(d) of the Exchange Act, the
registrant caused this Amendment No. 1 to the Annual Report on Form 10-KSB to
be signed on its behalf by the undersigned, thereunto duly authorized, in the
City of Sylacauga, State of Alabama, on the 2nd day of January, 2002.

                                            SOUTHFIRST BANCSHARES, INC.


                                            By: /s/ Joe K. McArthur
                                                -------------------------------
                                                Joe K. McArthur
                                                Chief Executive Officer


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                           SOUTHFIRST BANCSHARES, INC.

EXHIBIT INDEX

<TABLE>
<CAPTION>

EXHIBIT NO.       DESCRIPTION OF EXHIBIT
<S>               <C>
23.1              Consent of Jones and Kirkpatrick, P.C.

99.1              Financial Statements of SouthFirst Bancshares, Inc. and subsidiaries.
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