Trustmark Corporation · NASDAQ:TRMK
Trustmark — Keefe, Bruyette & Woods Bank Conference 2011
27 slides from Trustmark's conference presentation, Mar 1, 2011
Slide 1: Keefe, Bruyette & Woods Bank Conference
People you trust. Advice that works. iB rustmark Banking and Financial Solutions Keefe, Bruyette & Woods Bank Conference Boston, Massachusetts March 1, 2011
Slide 2: Forward-Looking Statements
Forward-Looking Statements Certain statements contained in this dacument constitute forward-looking statements within the meaning of the Private Secutities Litigation Reform Act of 1995. You can identify forward-looking statements by wards such as “may,” “hope,” “will,” “should,” “expect,” "plan," “
Slide 3: Trustmark is Uniquely Positioned to Capitalize on Market Opportunities
Trustmark is Uniquely Positioned to Capitalize i Zar on Market Opportunities v Strong market share in legacy markets with growth potential in Houston and Memphis Y Diversified and stable business mix v Proven ability to generate superior profitability through the cycle Y Solid credit quality as a re
Slide 4: 2010 Financial Highlights
are in Legacy Markets 's in Houston and Memphis 2010 Financial Highlights Total Assets $96 billion Total Loans HFI $6.1 billion Total Deposits $7.0 billion TCEMTA 9.11% Risk-based Capital Ratio 18.77% Net Income $100.6 million ROAA 1.08% Return on Average Tangible Common Equity 12.31% integrated Pro
Slide 5: Stable Business Mix
Stable Business Mix For The Year Ended December 31, 2010 (8 in millions) Total Revenue $518 Total Noninterest Income $166 AutolCredit Card Sirs Mart 54 14 ervice ertatae § ‘Treasury & Charges $55 Insurance $28 r Other $81 General - : Banking $32 Wealth Management Wealth Management $23 Mortgage $28 C
Slide 6: Proven Ability to Generate Superior Profitability
Proven Ability to Generate Superior Profitability @ Trustmark (8 in miltions) Profitability and Key Ratios 2009 1-10 2-10 3-10 4-10 2010 Net Income Available to Common Shareholders = $73.0) $23.5 $26.2 $25.9 $25.2 $100.6 Return on Average Assets 098% 1.02% 113% 1.11% 1.07% 1.08% Return on Average Ta
Slide 7: Driven by Best in Class Net Interest Margin and Efficiency Ratio
... Driven by Best in Class Net Interest Margin @ Teustmark and Efficiency Ratio Y Best inclass margin resulting from disciplined loan and deposit pricing and prudent investment portfolio management v Management’s focus on expense initiatives has translated into a top tier operating platform 2010 Ne
Slide 8: Total loans held for investment decreased $259.6 million
¥ Total loans held for investment decreased $259.6 million from the prior year to $6.1 billion * — Construction and land development loans declined $246.8 million * Indirect auto portfolio declined $192.2 million * Loans in other business lines expanded $179.4 million Commercial Loans $3,990 Consume
Slide 9: Prudent Credit Risk Management
Prudent Credit Risk Management @ Teustmark December 31, 2010 (Sin millions) ¥ During 2010, the Florida construction and land development portfolio was reduced by 33.6% to $132.0 million. At year end 2010, the associated reserve on this portfolio was $16.4 million, or 12.41%. Y Allocation of $93.5 mi
Slide 10: Dependable, Low Cost Core Funding Base
Dependable, Low Cost Core Funding Base December 31, 2010 (Sin millions) Total Deposits $7,045 FHN atl any RF RINK axa NY IBke HEHE eel CFR 1.50% 10s 140% 1213 = 12% 1.07% Md eas 2802 om% —er o.50% cam en - BS - | om la 0.00% L Source: SNL Rnancial and company reports Dependable, Low Cost Core Fundin
Slide 11: Robust Capital Position
Robust Capital Position Provides Strategic Flexibility @ Trustmark Optimized capital structure; continued leadership position in capital strength among mid-cap peers Existing capital base could support $2 billion to $3 billion in additional assets while maintaining appropriate capital ratios. Q4-09
Slide 12: Robust Capital Position and Attractive Dividend
Robust Capital Position and Attractive Dividend @ Teustmark Y Given quality and stability of earnings, Trustmark has increased its dividend over time and maintained it through the cycle ¥ Trustmark is one of the 28 largest banks “ in the U.S. that maintained its dividend since September 2007 Tangibl
Slide 13: Slow recovery with continued uncertainty
Slow recovery with continued uncertainty Exceptionally low interest rates Continued elevation in credit costs Reg E and Durbin Amendment provide revenue headwinds Anticipate higher regulatory capital requirements Sluggish economic environment coupled with increased credit casts and reduced revenue f
Slide 14: Strategic Priorities
Strategic Priorities Y Continue to manage through challenging business cycle v Aggressively work to dispose of ORE ¥ Maintain fortress balance sheet and appropriate capital ratios ¥ Position organization for success in new regulatory reform environment ¥ Prudent investments to support revenue growth
Slide 15: People you trust. Advice that works.
People you trust. Advice that works. iB Trustmark janking and Financial Solutions
Slide 16: Supplemental Information
Supplemental Information 16
Slide 17: Mississippi market overview
2 mind ot >» Trustmark has $2.1 billion in loans and $3.4 billion i deposits* >» Maintain market dominance through cross-selling and retention 2010-45 Projected Deposit TRMK 2010 Population Market Banking County Population Growth Share Centers Hinds 250,044 0.67% 40.58% 21 Rankin 146,177 9.82% 33.09
Slide 18: Houston banking center
Banking center > Trustmark has $787 million in loans and $456 million in deposits* Buil Wealth Management platforms ing stronger Commercial, Retail, and 2010-15 Projected | Deposit | _TRMK 2010 Population | Market | Banking Market Population Growth Share’ | Centers Houston MSA 6,017,013 10.46% | 0.3
Slide 19: Memphis banking center
NNESSEE Ba cote uncon MARSHALL Prhata MISSISSIP Banking center > Trustmark has $399 million in 2010.15 ‘ne ¥ e Projected Deposit TRMK loans and $637 million in deposits* 2010 Population Market Banking . Market Population Growth Share* Centers » Focus on middle market Memphis MSA | 1,325,833 | 4.28%
Slide 20: Florida banking centers
>» Trustmark has $444 million in loans ‘lion i itst and $218 million in deposits Feauney » Cross-sell to Fisher-Brown’s Bay 170,196 commercial insurance customers Okaloosa 191,856 Walton 57,960 >» Focus on commercial lending and expansion of wealth management Total 420,012 3.89% 3.27% 8 + Reo STANT
Slide 21: Owner-occupied commercial real estate loans
porenida [Total Commercial Real Estate Loans Florida Mississippi (1) Temeswe (2) Texas CT] oF hor % of Total] Loan ‘%ofLoan Loan Loan lLoan Type $ Loans $ ‘Type $ Te $ Tme $ Tme Office 3 wae, 1asK|s 136; wex[s aasiel 512%/ 5 m25[ Mex! Ss ZBI9| 19.3%) Churches 1752| 157%, 2082] 1.9% 54053) a6.1%| rae
Slide 22: Income producing commercial real estate loans
Income Producin (fin thousands) [rotat Commercial Real Estate Loans Florida Missisappi (1) Temessee 2) Texas va Saf oa eo rot oan softoan Ga as Loan Type $ Loans $ Type $ Tme $ Type $ Type Retail $173,601 BD BMS) 282%! 369,985 40.3% 325065 14.5% a55 17%) Office 159,603 21.3% (48,985 | 30.6% | AS 495
Slide 23: Construction, land development and other land loans
Total Construction, Land Development and Other Land Loans Florida ‘Tenneswe (2) Texas of ‘oF of ‘of Total Loan Loan Loan Loan Type s__| toms! $ Tme $ Tme $ Tme Lots 5 03,03! 143K] 5 a5907] 4%/S 2274 [ 2raKls 195| 24%) 3 11557| 139% Development 195,000/ 269%) 21144) 13.5%] si717| 382%| Zam) 47%! 7157
Slide 24: Florida loans by loan type
By Loan Type $444 million Commercial and Consumer Othertoans: Industriatloans conseter, $25,488 Construction, $16,053 Other real estate secured $14,038 land development and rand loans $132,021 < secured byt ‘nonfarm, nonresidential = properties Securedby 1-4 $183,250 family residential properties $7
Slide 25: Florida Loans @ Trustmark
Florida Loans @ Trustmark December 31, 2010 ‘ating ens Pru Botton $ in thou: ) (Sint Total FLORMA CREDIT: Loans (Cansirucfion, land development and der land loans. Lots 5 46.907 Develogment 2 ‘Unargroved tan 578m 14famiy constuction 220 ‘Other constuction aga (Construction, land dewbpment and afer b
Slide 26: 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, Investor Inquiries: Louis E. Greer Treasurer and Principal Financial Officer 601-208-2310 Igreer@trus
Slide 27: People you trust. Advice that works.
People you trust. Advice that works. iB Trustmark janking and Financial Solutions
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