Slide 1: Annual Shareholders' Meeting May 10, 2005
Annual Shareholders' Meeting May 10, 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 March 31, 2005 * Market Value as of April 29, 3005
Slide 7: Key Ratios
Key Ratios *before Security transactions Source: SNL Financial
Slide 8: Balance Sheet Data ($ in thousands)
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 and Security Yields 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
1999 2000 2001 2002 2003 2004 Loans 4014000 4144000 4524000 4617000 5033000 5431000 Loan Composition Loans by Type Total Loans 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 1-4 Family 34% $1.8 Construction 10%
Slide 12: Capital Management: Dividends Per Share
1999 2000 2001 2002 2003 2004 DPS 0.44 0.51 0.56 0.62 0.69 0.77 Capital Management Dividends Per Share 11.84% CAGR
Slide 13: Trustmark's Market Valuation
Trustmark's Market Valuation Peer Trustmark Median ROE 16.08% 13.29% ROA 1.43% 1.33% Efficiency 54.05% 58.52% Tangible Equity/Tangible Assets 7.37% 7.05% Price/'04 Earnings 13.76 x 15.49 x Price/'05 Estimate 13.62 x 14.63 x Financial Ratios for year ended 2004 Market prices as of April 29, 2005
Slide 14: 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 15: 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 16: 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 17: 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 18: 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 19: Mortgage Services
Mortgage Services Total mortgage loan production approached $1.2 billion in 2004 $36.8 million in revenue (exclusive of MSR) Provided home financing for 9,000 customers 48,000 mortgage servicing customers $4.5 billion in mortgage servicing portfolio Excellent opportunity to cross-serve customers wit
Slide 20: 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 21: Trustmark: Banking and Financial Solutions
iy Trustmark Banking and Financial Solutions People you trust. Advice that works. ‘May 10, 2005,