Trustmark Corporation · NASDAQ:TRMK
Trustmark — Keefe, Bruyette & Woods Regional Bank Conference 2005
22 slides from Trustmark's conference presentation, Mar 3, 2005
Slide 1: Keefe, Bruyette & Woods Regional Bank Conference
Keefe, Bruyette & Woods Regional Bank Conference Boston, MA March 3, 2005
Slide 2: Forward Looking Statements
Forward Looking Statements This presentation may contain forward-looking statements within the meaning of and pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. A forward-looking statement in this presentation encompasses any estimate, prediction, expecta
Slide 3: Reasons to Invest in Trustmark
Reasons to Invest in Trustmark Above Peer returns on equity and assets Prudent balance sheet and capital base Discounted P/E valuation relative to Peers Diversified business mix expanding into attractive growth markets
Slide 4: Corporate Profile as of December 31, 2004
Corporate Profile as of December 31, 2004 Trustmark is an integrated provider of banking and financial solutions $ 8.1 billion in total assets $ 400 million in revenue $ 116.7 million in net income 16.08% ROE 1.43% ROA Investment Ratings Moody's: A3 S&P: BBB+ Corporate Infrastructure Over 145 office
Slide 5: Vision and Mission
Our vision is to be a premier financial services company in our marketplace. Our mission is to achieve outstanding customer satisfaction by providing banking, wealth management and insurance solutions through superior sales and service, utilizing excellent people, teamwork and diversity, while meeti
Slide 6: Peer Group
Peer Group * Total Assets as of December 31, 2004 * Market Value as of February 17, 2005
Slide 7: Key Ratios
Key Ratios *before Security transactions Source: SNL Financial
Slide 8: Balance Sheet Data
Balance Sheet Data ($ in thousands)
Slide 9: Average Loans and Securities; Average Deposits and Borrowings
Average Loans and Securities Average Deposits and Borrowings $ Billions $ Billions 1998 1999 2000 2001 2002 2003 2004 Loans 3.3 3.8 4.1 4.3 4.6 4.8 5.3 Securities 2.1 2.2 2.2 2.1 1.7 1.9 2.1 1998 1999 2000 2001 2002 2003 2004 Deposits 3.9 3.9 3.9 4.3 4.6 4.9 5.3 Borrowings 1.3 2 2.1 2 1.5 1.8 2
Slide 10: Loan Yield, Deposit Cost and Spreads
1999 2000 2001 2002 2003 2004 Loan Yield 0.0827 0.0855 0.0806 0.0685 0.0601 0.0565 Spread 0.0562 0.0523 0.0511 0.0515 0.048 0.0463 Deposit Cost 0.0265 0.0332 0.0295 0.017 0.0121 0.0102 Loan Spread Security Spread 1999 2000 2001 2002 2003 2004 Security Yields 0.0634 0.0679 0.0661 0.0627 0.0406 0.035
Slide 11: Loan Composition
Loan Composition Commercial & Industrial Consumer Other Construction 1-4 Family Non Farm-Non Residential 12/31/2004 865.4 812.1 359.6 526.3 1849.3 1018.4 1999 2000 2001 2002 2003 2004 Loans 4014000 4144000 4524000 4617000 5033000 5431000 Loans by Type Total Loans 1-4 Family 34% $1.8 Construction 10%
Slide 12: Credit Quality
Financial Performance Credit Quality ($ in millions) 1999 2000 2001 2002 2003 2004 Allowance for Loan and Lease Losses (ALLL) 65.9 65.9 75.5 74.8 74.3 64.8 Non-Performing Assets (NPA) 18.7 18.2 42 37.9 29.9 27.5
Slide 13: Deposit Composition
Deposit Composition CDs Non Interest Bearing Transaction Interest Bearing Transaction Savings 12/31/2004 1840.2 1360 1362.4 892.6 1999 2000 2001 2002 2003 2004 Deposits 3925000 4058000 4613000 4686000 5089000 5450000 Total Deposits Deposits by Type 6.8% CAGR $ Billions
Slide 14: Capital Management: Dividends Per Share
Capital Management Dividends Per Share 1999 2000 2001 2002 2003 2004 DPS 0.44 0.51 0.56 0.62 0.69 0.77 11.84% CAGR
Slide 15: Trustmark's Market Valuation
Trustmark's Market Valuation Peer Trustmark Median ROE 16.08% 15.38% ROA 1.43% 1.43% Efficiency 54.60% 58.00% Tangible Equity/Tangible Assets 7.37% 7.03% Price/LTM Earnings 13.80 x (26/27) 16.76 x Price/'05 Estimate 13.48 x (24/27) 15.43 x Financial Ratios for year ended 2004 Market prices as of Feb
Slide 16: Strategic Focus: Jackson, MS
Strategic Focus Jackson, MS Maintain market position and profitability Harry Walker, President of Jackson Metro, 3 Market Presidents and 42 Commercial Relationship Managers Integrate Wealth Management Selective branching in higher growth areas Continue Mortgage Banking dominance County 2004 Populati
Slide 17: Strategic Focus: Memphis, TN
Strategic Focus Memphis, TN Demographics Population - 1.2 million 3.6% growth from 2004-09 Median HHI - $45,054 17.6% growth from 2004-09 Deposits - $25.9 billion Trustmark has 22 stores, $456 million in loans, $609 million in deposits, #5 deposit market share of 2.4% Strategic Focus Enhance commerc
Slide 18: Strategic Focus: Florida's Gulf Coast
Strategic Focus Florida's Gulf Coast Demographics Population- 379 thousand 8.8% growth from 2004-09 Median HHI - $42,539 13.5% growth from 2004-09 Deposits - $5.7 billion Trustmark has 8 stores, $343 million in loans, $249 million in deposits and 4.4% deposit market share Strategic Focus Continue co
Slide 19: Strategic Focus: Houston, TX
Strategic Focus Houston, TX Demographics Population - 5.0 million 9.8% growth from 2004-09 Median HHI - $50,343 14.9% growth from 2004-09 Deposits - $73.5 billion Trustmark has 6 stores, $108 million in loans, $143 million in deposits Strategic Focus Branding Middle market commercial lending with 15
Slide 20: Wealth Management
Wealth Management Comprehensive, fully integrated services to accumulate, preserve and transfer wealth $24.8 million in revenue in 2004 Outstanding Investment Results All bond and equity funds of the Performance Fund Family outperformed peer benchmarks in 2004 Leaders' Equity Fund was highlighted by
Slide 21: Insurance
Insurance The Bottrell Agency, Inc. Major Mississippi commercial property and casualty agency 23 producers in Jackson $17 million in annual revenue Fisher-Brown, Inc. Leading agency in Northwest Florida providing broad spectrum of risk management products to businesses and individuals 22 producers i
Slide 22: Banking and Financial Solutions
ZL, Trustmark Banking and Financial Solutions People you trust. Advice that works. ‘Regional Bank Conference de 3, 2005, © F
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