World Acceptance Corporation Reports Second Quarter Results

October 23, 2008

GREENVILLE, SC – October 23, 2008 – World Acceptance Corporation (NASDAQ:WRLD) today reported a 16.8% increase in gross loan balances, a 14.4% increase in revenues, a 1.9% increase in net income and an 8.3% increase in diluted earnings per share for its second fiscal quarter ended September 30, 2008, compared with the corresponding quarter of the prior fiscal year.

Net income for the second quarter rose to $10.7 million, a 1.9% increase over the $10.5 million for the second quarter of fiscal 2008. Diluted earnings per share increased 8.3% to $0.65 for the current quarter from $0.60 for the prior year quarter.

World Acceptance’s revenues benefited from continued growth in our loan portfolio and the contribution from offices opened and acquired since last year, stated Sandy McLean, CEO of World Acceptance Corporation. Gross loans outstanding at September 30, 2008, grew to $667.2 million, a 16.8% increase over the $571.3 million outstanding at September 30, 2007, and an 11.3% increase since the beginning of the fiscal year.

Loan demand increased in the second quarter sequentially over the first quarter of this fiscal year and was up 15.6% to over $484.8 million compared with the second quarter of last year. Our loan growth rate is up from the 11.1% year-over-year increase in volume experienced in the June quarter, McLean said.

Provision for loan losses increased 26.6% to $23.3 million, up from $18.4 million in the second quarter of last year. Net charge-offs as a percentage of average net loans increased to 17.0% on an annualized basis during the most recent quarter from 15.3% in the same quarter of last fiscal year. McLean stated, This 1.7 percentage point increase in charge offs since last year is similar to the 1.8 percentage point increase experienced in the first quarter of this year. While higher than historical averages, it remains within reasonable ranges in light of current economic conditions.

We continue to monitor closely the loan portfolio in light of the softening economy. At this time, however, we do not expect to see our loss ratios improve for the remainder of the fiscal year, McLean concluded.

Total general and administrative expenses increased by 15.4% compared with the second quarter of last year. The increase was due to higher expenses to support 90 net new offices opened or acquired since September 30, 2007, and contributed to general and administrative expenses increasing slightly to 52.7% of total revenues compared with 52.3% during the second quarter of the prior fiscal year.

Other key return ratios for the second quarter included an 8.3% return on average assets (annualized) and an annualized return on average equity of 16.9%.

Six-Month Results

For the first six-months of the fiscal year, net income was $22.7 million, or $1.37 per diluted share, representing a 6.6% increase in net earnings and a 14.2% increase in earnings per share over the $21.3 million, or $1.20 per diluted share, for the prior year six-month period. Total revenues for the first six-months of fiscal 2009 were $180.1 million, a 15.0% increase over the $156.6 million during the corresponding period of the previous year. Net charge-offs increased $8.7 million compared to the prior year first six-months. Net-charge-offs as a percent of average net loans were 15.8% compared to 14.0% during the prior year six-month period.

During the first six-months of the fiscal year, the Company opened 62 offices, acquired eight offices and closed one office, resulting in a total of 907 offices at September 30, 2008.

About World Acceptance Corporation

World Acceptance Corporation is one of the largest small-loan consumer finance companies, operating 907 offices in eleven states and Mexico. It is also the parent company of ParaData Financial Systems, a provider of computer software solutions for the consumer finance industry.