GCBS Greene County Bancshares (MM)

Greene County Bancshares, Inc. (NASDAQ/NM: GCBS), today announced that the underwriters in its underwritten public offering have exercised their option to acquire an additional 274,957 shares of the Company's common stock to cover over-allotments. On September 28, 2005, the Company completed the sale of 1,833,043 shares of its common stock at $25.75 per share in a public offering in which Keefe, Bruyette & Woods acted as the bookrunning lead manager and Howe Barnes Investments, Inc. and SunTrust Robinson Humphrey acted as co-managers. Including the net proceeds from the issuance of the shares following the exercise of the underwriters' over-allotment option, the Company received net proceeds in the offering of approximately $51 million. The Company contributed approximately $35 million of the net proceeds of the offering to Greene County Bank to provide capital for its recently completed acquisition of five branches in Clarksville, Tennessee from Old National Bank. The remainder of the net proceeds will be used for general corporate purposes, including among other things, to support Greene County Bank's internal growth and capital needs. A registration statement relating to these securities has been filed with the Securities and Exchange Commission and has been declared effective. This communication shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of these securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction. Copies of the prospectus may be obtained from Keefe, Bruyette & Woods at 787 Seventh Avenue, Fourth Floor, New York, New York 10019, Attention: Syndicate Department. An electronic copy of the prospectus is also available on the Securities and Exchange Commission's website at www.sec.gov.