Ignorant or backwards in behavior, speech or act. The term comes from the nickname of the state of Alabama, one of the more impoverished and historically bigoted states in the South. Originally used to describe someone who dressed in a corny fashion by African American youths in the DC metro area, the term is gaining traction in the common parlance of the Mid-Atlantic and Northeast.
"Hey, did you hear those morons arrested those visiting executives from Honda and Mercedes in that little craphole state?
Yup, totally Bama."