Trustmark Corporation · NASDAQ:TRMK
Trustmark — Sandler O'Neill East Coast Financial Services Conference (November 2014)
19 slides from Trustmark's conference presentation, Nov 13, 2014
Slide 1: Building a Premier Regional Financial Services Organization
YY Sandler O'Neill TF, Trustmark East Coast Financial Services Conference McRae GoM Banking and Financial Solutions asansieeracors Building a Premier Regional Financial Services Organization
Slide 2: Forward-Looking Statements
Forward-Looking Statements Certain statements contained in this document constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. You can identify forward-looking statements by words such as “may,” “hope,” “wil,” “should,” “expect.” “plan,” ‘a
Slide 3: At September 30, 2014
At September 30, 2014 Total Assets $12.1 billion Total Loans (HEI & Acquired) $6.9 billion Total Deposits $9.5 billion MarketCap $1.6 billion Banking Centers 207 £ ge Ht —_ 5 kL. & { i: loon Mobite p> a" Consistent financial performance and dividends Meaningful growth opportunities Effective credit
Slide 4: Consistent Financial Performance
Consistent Financial Performance Net Income Available to Common Shareholders (Sinmillions) su73 $17. $106.8 — — S108 — $955 $73.0 2009 2010 2011 2012 20130 09-30-14 ¥TD Excluding non-routine merger costs and litigation expense of $8.3 million (net of tax), ‘operating income totaled $125 3million, wh
Slide 5: Continued Growth in Loan Portfolio
Continued Growth in Loan Portfolio Six consecutive quarters of growth in legacy loan portfolio During 3Q-14: v Loans held for investment (“HFI”) increased by $146.7 million, or at an annualized rate of 9.6%, to $6.3 billion from the prior quarter; year-to- date, loans HFl increased by $535 million,
Slide 6: Acquired Loan Portfolio
Acquired Loan Portfolio Performance of acquired loans Y Interest income on acquired loans remained relatively stable at $23.2 million in the third quarter despite acquired loan run-off VY Weexpect the yield on acquired loans (excl. recoveries) for the fourth quarter to be in the 7.0% - 8.0% range, r
Slide 7: Credit Risk Management
Credit Risk Management Continued resolution of problem assets and effective credit risk management During 3Q-14: Y Other real estate decreased $9.9 million, or 9.3%, from the prior quarter and $19.3, or 16.6%, from the prior year VY Nonperforming loans totaled $88.3 million, an increase of $17.2 mil
Slide 8: Attractive, Low-Cost Deposit Base
Attractive, Low-Cost Deposit Base Well diversified deposit base serves as an excellent, low-cost source of funds Y Average deposits in the third quarter declined $204.5 million as the $97.8 million increase in noninterest- bearing deposits was more than offset by a decline in interest-bearing deposi
Slide 9: Income Statement Highlights - Revenue
Income Statement Highlights - Revenue Revenueremained stable at $149.1 million in third quarter despite mandated $2.6 million reduction in interchange income Net Interest Income-FTE (Sin millions) Q3-13 Qt-13 I-14 2-14 3-4 Net Interest Income (excl. Acq. Loans) Net Interest Income on Acq, Loans Net
Slide 10: Income Statement Highlights - Noninterest Expense
Income Statement Highlights - Noninterest Expense Routine noninterest expense remained well-controlled During 3Q-14: Y Excluding ORE and intangible amortization of $3.1 million, noninterest expense remained stable at $97.1 million > Salary and benefits expense increased by 1.0% from the prior quarte
Slide 11: Capital Management
Capital Management Solid capital position reflects consistent profitability of our diversified financial services businesses Y Tangible equity to tangible assets ratio was 8.67% in the third quarter, up 16 basis points from the prior quarter, while the total risk-based capital ratio expanded 16 basi
Slide 12: Strategic Priorities to Enhance Shareholder Value
Strategic Priorities to Enhance Shareholder Value V Profitable revenue generation Y Credit quality > Create and expand customer relationships >» Maintain disciplined underwriting and pricing > Loan growth > Resolution of problem assets » Noninterest income — deposit services, wealth management, insu
Slide 13: Supplemental Information
ZG Trustmark Banking and Financial Solutions Supplemental Information
Slide 14: Mississippi
ae Mississippi % — $6.5billion in deposits’; 122 offices : ‘ ‘ Market 2014 % #1 Deposit Market share in State (Top 10 Deposits) | Population > Key Focus- maintain dominate market share; enhance = = “share of wallet” through business development and Tegisen SA. Esau referral programs HattiesburgMSA |
Slide 15: Alabama
Alabama > — $1.3 billion in deposits’; 39 offices > Key Focus ~ corporate and real estate banking, mortgage banking, municipal finance, wealth management and retail banking > Major Industries/Economic Drivers — automotive (Mercedes, Honda, Hyundai - Kia), aerospace (Airbus, ST Aerospace), steel (Thy
Slide 16: Florida Panhandle
Florida Panhandle $566 million in deposits Key Focus - resolution of acquired problem loan portfolio; mortgage banking: residential construction, treasury management services and private banking > — Major Industries/Economic Drivers ~ Tourism, leisure and hospitality, military, aerospace and medical
Slide 17: Houston MSA
Houston MSA $466 million in deposits” Key Focus ~ corporate, residential and commercial real estate, healthcare, energy related businesses Major Industries/Economic Drivers - 25 Fortune 500 companies, headquartered in Houston; energy, construction, trade and manufacturing M&A Entry into Market © Rep
Slide 18: Memphis MSA
Memphis MSA > — $676 million in deposits > — Key Focus corporate and real estate banking; relocation of regional HQ to central business district > — Major Industries/Economic Drivers — transportation, distribution and healthcare; major firms headquartered here are: > FedEx > International Paper > Au
Slide 19: Contact Information
Contact Information Trustmark Corporation’s common stock is listed on the NASDAQ National Market System and is traded under the symbol TRMK. Additional information is available at www.trustmark.com. InvestorInquiries: Louis E.Greer Treasurer and Principal Financial Officer 601-208-2310 lgreer@trustm
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