Trustmark Annual Report 2016

FY2016 Annual Report · Trustmark

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2016
Annual Report

Vision
Our vision is to be a premier financial services
company in our marketplace.

Mission
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 meeting our corporate financial goals.

TABLE OF CONTENTS

Letter to Shareholders

Board Leadership

Directors

Corporate Information

Executive Management

Regional and Market Executives

Community Market Advisory Directors

Financial Highlights

TO OUR SHAREHOLDERS

Trustmark made significant achievements in 2016
as we continued to provide the service and solutions
our customers expect while positioning Trustmark for
continued success in the evolving financial services
industry. We achieved our third consecutive year
of substantial loan growth, expanding the held for
investment loan portfolio by $759.8 million, or 10.7%.
Our acquired loan portfolio continued to exceed
expectations and made meaningful contributions to
our earnings. Credit quality – a defining characteristic
of the Trustmark franchise – remained solid with
substantial reductions in nonperforming assets. Our
Insurance business had another record year in terms
of revenue, while Mortgage Banking continued to
expand in new markets and experienced growth in
loan production volume of 8.4% during the year. Our
focus on providing financial solutions with integrity
and accountability has garnered numerous customer
satisfaction awards, including recognition from the
J.D. Power 2016 U.S. Retail Banking Satisfaction
Study, in which Trustmark was recognized as having
the “Highest Customer Satisfaction with Retail
Banking in the South Central Region.”* All of this was
achieved in light of the complexities our industry
continues to face – changes in customer preferences,
evolving
protracted low interest rates.

frameworks

regulatory

and

Rather than focus upon what is
beyond our control, we choose to
diligently take action in areas within
our control. We continued to realign
our delivery channels, cognizant of
the fact that banking has evolved
into something customers do,
not necessarily some place they
will go. We have adapted to
this changing environment by
repositioning product offerings,
reducing the square footage of
our new banking centers and

investing in technology that enables customers to
conduct business anywhere, when and how they
choose. What has not changed, however, is the need
for trustworthy service and solutions. To that end,
banking continues to remain a people business. We
would like to take this opportunity to review our
notable accomplishments, share our direction for the
future and highlight a few of the ways Trustmark is
well positioned for success in the years to come.

Financial Highlights

Trustmark’s net income in 2016 totaled $108.4
million, which represented diluted earnings per share
of $1.60. This performance produced a return on
average tangible equity of 9.99% and a return on
average assets of 0.84%. Trustmark paid quarterly
cash dividends of $0.23 per share, or $0.92 annually,
in 2016. During the year, over half of Trustmark’s
net income was returned to shareholders through
dividends, which have grown – and never decreased
– throughout Trustmark’s 127-year history. This
consistent, reliable source of shareholder income
reflects the steady earnings and profitability of
services businesses.
our diversified financial
The success of our continuing investments
in expanding the number of commercial
relationship managers and realigning
to areas with
lending
additional growth opportunities is
reflected in our held for investment
loan portfolio, which at year end
2016 totaled $7.9 billion, up $759.8
million, or 10.7%, for the year.
Growth was diversified by loan
type as well as by geographic
market, both of which reflect
the continued effort of providing
customers with the solutions they
need, when they need them.

resources

* Trustmark National Bank received the highest numerical score among 15 retail banks in the South Central region in the J.D. Power 2016 Retail Banking Satisfaction Study, based on
76,233 total responses, measuring opinions of consumers with their primary banking provider, surveyed April 2015-February 2016. Your experiences may vary. Visit jdpower.com.

Our customer-focused, values-driven culture
has enabled us to maintain share in markets we
traditionally served, while also expanding in markets
with additional growth opportunities. Collectively,
held for investment and acquired loans totaled $8.1
billion at December 31, 2016, an increase of 8.6%
from the prior year.

Although not fully apparent in this protracted low
interest rate environment, our diversified and low-
cost deposit base remains a source of strength for
the Trustmark franchise. At year end 2016, deposits
totaled $10.1 billion, an increase of $467.8 million,
or 4.9%, from the prior year. Approximately 60% of
deposits are in transaction accounts, including 30% in
noninterest-bearing accounts. Experience and attention
to customer relationships have afforded Trustmark
a position of
in the majority of the
communities served. We are privileged to maintain the
#1 deposit market share in the Jackson, MS metropolitan
area and, across the franchise, a top-three deposit
share in 57% and a top-four deposit share in 70% of
markets served.

leadership

Credit Quality

Disciplined underwriting, competitive pricing and
prudent credit management continue to be hallmarks
of Trustmark. Levels of nonperforming assets improved
significantly throughout the year as nonperforming
loans declined 11.0%, while other real estate declined
19.6%. At December 31, 2016, Trustmark’s $71.3
million allowance for loan losses represented 267.4%
specifically
of nonperforming
reviewed impaired loans. These credit metrics exclude
acquired loans and other real estate covered by an
FDIC loss-share agreement.

loans, excluding

Risk Management and Capital Strength

Trustmark is committed to a comprehensive,
enterprise-wide risk management approach to
not only ensure regulatory compliance, but also

to manage the Corporation and its businesses more
effectively. We have committed significant resources
to the enhancement of our infrastructure and remain
well positioned to support the regulatory requirements
commensurate of a larger financial institution. In
achieving our plans for continued growth, risk
management is integral to both the strategic planning
process as well as the process for new product and
service introductions. Our Board remains actively
engaged in reviewing our risk management efforts,
ensuring that liquidity, funding and capital levels are
reflective of a strong financial institution.

At December 31, 2016, total shareholders’ equity
was $1.5 billion, while tangible equity totaled $1.1 billion,
which represented 8.74% of tangible assets. Trustmark’s
regulatory capital ratios continue to significantly exceed
levels to be classified as well capitalized. We continue
to review opportunities to deploy capital in a manner
that enhances long-term shareholder value, including
investments that support organic or acquisitive growth,
as well as delivering consistent dividends and utilizing
share repurchase programs as appropriate.

Revenue Generation

low

Despite the protracted

interest rate
environment, our businesses continued to perform well
as Trustmark’s total revenue, excluding interest income
on acquired loans, increased $17.6 million from the prior
year to total $531.3 million in 2016. Fundamentally,
our banking business proved to be resilient, growing
net interest income (FTE) excluding acquired loans by
$18.7 million, or 5.2%, and resulted in a net interest
margin, excluding acquired loans, of 3.37%.

Our diverse, complementary fee income businesses
continued to achieve solid results and contributed
significantly to our financial success, representing
approximately 18% of total revenue excluding acquired
loans in 2016. Trustmark’s Insurance business – which
provides a full range of commercial and personal risk
management products – had another record year and
produced revenue of $36.8 million. This performance
reflects our steadfast focus on business development
as well as continuing investments in relationship
managers and geographic market expansion. Our

Investing for the Future

Trustmark

continuous
committed
improvement and has a clear and deliberate process
for investing in businesses, increasing revenue where
possible and reallocating resources where revenue
growth is challenged or returns are unacceptable.
We are excited about and attentive to evolving
technology which provides opportunities to expand
product offerings and delivery channels that enhance
the customer experience while reducing servicing
costs. As you may recall, we upgraded our ATM
fleet several years ago to enhance same-day deposit
credit capabilities and strengthen our competitive
advantage. Customers embraced the technology,

insurance subsidiary, Fisher Brown Bottrell Insurance,
Inc., was recognized as a 2016 Best Practices Agency by
Independent Insurance Agents and Brokers of America.
Mortgage Banking posted another year of solid
results, partially reflecting expansion into new markets.
In 2016, revenue totaled $28.2 million while loan
production volume increased 8.4% to total $1.6 billion.
Our Wealth Management business – which provides
comprehensive and integrated services to accumulate,
preserve and transfer wealth – was impacted by
volatile market conditions, which pressured both asset
values and brokerage activity throughout the year. In
2016, revenue totaled $30.5 million while assets under
management and administration totaled $11.9 billion.

and deposits made via ATMs increased significantly.
Since the release of myTrustmark℠, our consumer
digital banking service, adoption of online banking
has notably increased with approximately two-
thirds of customers accessing myTrustmark℠ via
mobile devices. Through Trustmark’s mobile banking
platform, customers are able to monitor accounts,
pay bills, transfer funds, deposit checks and track
spending habits across multiple accounts, including
those of other financial institutions. In 2017, we
will introduce myTrustmark℠ for business, a robust
digital banking service for commercial customers. We
remain excited about the opportunities this platform,
in addition to others, may present for our franchise.
Also, we are piloting myTeller℠, an interactive video

teller service provided through a centralized teller
center which delivers most functions provided by
traditional tellers. The potential applications for
this technology include deployment beyond the
traditional branch network and expanded service
hours, further enhancing customer convenience and
improving operational efficiency.

We continued to realign our retail delivery channels
as consumer preferences have changed, ensuring
minimal disruption to established relationships and
striving to provide a consistent Trustmark experience,
regardless of the delivery channel. During 2016,
Trustmark consolidated nine branch offices across
Alabama, Mississippi and Florida and reallocated a
portion of those resources into a new banking center

in Tuscaloosa, Alabama, and a new loan production
office in Pensacola, Florida. Over the last four years,
we have consolidated 36 branch offices with limited
growth potential and established 9 banking centers
in attractive growth markets.

or 1.4%, on a comparable basis from the prior year.
Trustmark is committed to investments that promote
profitable revenue growth as well as reengineering
and efficiency opportunities that enhance long-term
shareholder value.

In addition to expanding product lines and
delivery channels, Trustmark announced plans to
expand in the Huntsville, Alabama MSA, one of the
most attractive metropolitan areas in the Southeast.
During the fourth quarter, Trustmark announced
the signing of a definitive agreement to acquire RB
Bancorporation and its subsidiary, Reliance Bank,
in Athens, Alabama. With assets of $217 million,
Reliance Bank has seven offices serving the Huntsville
MSA. This transaction, which has received regulatory
approval and remains subject to the approval of RB
Bancorporation shareholders and customary closing
conditions, is expected to be completed in the
second quarter of 2017. Our affiliation with Reliance
Bank represents a natural avenue for the expansion
of our Alabama franchise.

At Trustmark, expense management is not a one-
time program, but rather part of a long-standing
culture that has led to solid profitability levels year
after year. During the second quarter, we offered a
voluntary early retirement program that was accepted
by 188 associates, or 6.4% of our workforce. The cost
of this program totaled $9.8 million in 2016, which
was offset in part by expense savings of $4.4 million
in the second half of the year. We expect to generate
savings of approximately $8.5 million as a result of
this program in 2017. This voluntary early retirement
program provides organizational efficiencies resulting
from investments in technology and realignment
of work processes, as well as advancement
opportunities for associates. Noninterest expense
totaled $407.3 million in 2016. Excluding the cost of
the aforementioned early retirement program, as well
as expense related to reducing the risk profile of the
assets in the Corporation’s defined benefit pension
plan prior to termination, noninterest expense
totaled $396.2 million, a decrease of $5.4 million,

Leadership

We are most appreciative of the leadership,
counsel and guidance provided by the Board of
Directors of Trustmark. Our directors are engaged
in the governance of the organization, embrace the
Corporation’s strategic direction and support our
efforts to realize the full potential of the franchise.
During the year, David H. Hoster II retired from
the Trustmark Corporation Board of Directors after
nine years of dedicated service. We have greatly
appreciated David’s contributions to Trustmark and
will miss his advice and counsel.

Community Reinvestment

Trustmark is dedicated to investing in the future
of building stronger communities in its marketplace,
and we realize the significance of practicing good
corporate citizenship and the added value it brings to all
stakeholders involved. Strengthening the communities
we serve is instrumental to our approach of responsible
growth. Through the means of community partnerships,
lending and investing, Trustmark is working to advance
long-term sustainability.

We are actively engaged

in corporate social
responsibility initiatives, and in 2016, we contributed
over $3 million in financial resources and thousands
of volunteer hours from associates to community
organizations across our footprint. We continued
our focus on financial literacy education through the
implementation of the Trustmark Financial Scholars
Program in 125 high schools throughout Mississippi,
as well as provided financial resources to 32 schools
included in our Adopt-A-School program throughout our
markets. Through Trustmark’s A Gift of Time campaign,

our associates volunteered more than 4,100 hours
at one of 40 participating community organizations,
assisting these non-profits in accomplishing their
missions as well as inspiring our associates to find
additional ways to support our communities.

In addition to community engagement through
monetary gifts and volunteer service, Trustmark made
significant contributions through its lending efforts in
2016. Trustmark originated nearly $94 million in home
mortgages and more than $127 million in small business
loans within low-to-moderate income areas, as well as
approximately $115 million in home mortgages to low-
to-moderate income borrowers and over $79 million
in community development loans. These collective
efforts, in collaboration with local community leaders,
have provided opportunities for affordable housing,
employment and community services.

Strategic Focus

We look to the future with confidence and
optimism. In 2017, we will continue efforts to
broaden customer relationships, enhance the delivery

of our products and services, streamline processes to
drive greater efficiency, manage risks effectively and
proactively manage our balance sheet to produce
consistently strong profitability. We appreciate the
dedication and commitment of our associates, our
shareholders who have invested in Trustmark and its
future, and our customers who look to us as their
financial partner. Trustmark is “People you trust.
Advice that works.”

Sincerely,

Daniel A. Grafton
Chairman
Trustmark Corporation

Gerard R. Host
President and
Chief Executive Officer
Trustmark Corporation

BOARD LEADERSHIP

R. Michael Summerford was elected to succeed
Daniel A. Grafton as Chairman of the Board of Trustmark
Corporation effective January 1, 2017. Mr. Grafton
plans to retire from Trustmark’s Board of Directors at
the 2017 Annual Shareholders’ meeting after eleven
years of service, including six years as Chairman.

Regarding his tenure on the Board, Grafton
commented, “My time with Trustmark has been both
professionally satisfying and stimulating. The Board
and management are highly engaged and among the
best in the business, which gives me great confidence
in the future success of Trustmark. By electing Mike
Summerford as Chairman, Trustmark has selected
the right person for the right time. I have served
with Mike for the last ten years and found him to be
an extremely bright, hardworking professional with
excellent leadership acumen. The Host/Summerford
team ensures continuity of leadership that benefits our
communities, associates, customers and shareholders.”
“Under Dan’s guidance and leadership as Chairman,”
said Gerard R. Host, President and Chief Executive

Officer, “Trustmark has experienced significant growth
and expanded into new markets, well positioning us for
continued success. We greatly appreciate Dan’s many
contributions to our organization.”

“We are fortunate to have Mike serve in this
leadership position on our Board,” continued Host.
“He is well known and respected in the community
and has a firm commitment to upholding the interests
of Trustmark and our shareholders. Mike will do an
exemplary job in guiding our Board as we continue to
build our diverse financial services business.”
Michael Summerford commented,

“Trustmark
is well positioned for continued success, thanks
in part to Dan Grafton’s solid leadership and wise
counsel. I look forward to the opportunity to serve
as Chairman of Trustmark and continuing to work
with our Board and management to lead a strong
regional banking organization committed to providing
value for its customers, shareholders, communities
and associates.”

Gerard R. Host

Daniel A. Grafton

R. Michael Summerford

DIRECTORS

Adolphus B. Baker (1) (2)
Chairman, President and
Chief Executive Officer
Cal-Maine Foods, Inc.

Toni D. Cooley (1) (2)
Chief Executive Officer
Systems Electro Coating

William A. Brown (2)
President and
Chief Executive Officer
Brown Bottling Group, Inc.

James N. Compton (2)
President and
Chief Executive Officer
Cooperative Energy

Tracy T. Conerly (1) (2)
Partner Emeritus
Carr, Riggs & Ingram, LLC

Daniel A. Grafton (1) (2)
Chairman
Trustmark Corporation and
Trustmark National Bank
(Through 12-31-16)
President
L-3 Communications
Vertex Aerospace
(Retired)

J. Clay Hays, Jr., M.D. (2)
Cardiologist, Partner and
President
Jackson Heart Clinic, PA

Gerard R. Host (1) (2)
President and
Chief Executive Officer
Trustmark Corporation
President and
Chief Executive Officer
Trustmark National Bank

John M. McCullouch (1) (2)
Associate Dean -
Metro Jackson
University of Mississippi
School of Law
(Retired)
President, AT&T Mississippi
(Retired)

Harry M. Walker (2)
President
Mississippi Business
and Community Relations
Trustmark National Bank
(Retired)

Harris V. Morrissette (1) (2)
President
China Doll Rice & Beans, Inc. /
Dixie Lily Foods

LeRoy G. Walker, Jr. (1) (2)
President
LTM Enterprises, Inc.

Richard H. Puckett (1) (2)
Chairman and
Chief Executive Officer
Puckett Machinery Company

William G. Yates III (1) (2)
President and
Chief Executive Officer
W.G. Yates & Sons
Construction Company

R. Michael Summerford (1) (2)
Chairman
Trustmark Corporation and
Trustmark National Bank
(Effective 1-1-17)
Chief Operating Officer
ChemFirst, Inc.
(Former)

(1) Director, Trustmark Corporation
(2) Director, Trustmark National Bank

CORPORATE INFORMATION

Common Stock
Trustmark common stock is listed on the NASDAQ Global
Select Market and is traded under the symbol TRMK.

Shareholder Requests and Account Access
Shareholders may contact AST through one of the
following methods:

Online:
Registered shareholders can view their account
information through AST’s website, www.amstock.
com, by clicking on Shareholder Account Access. This
website provides instructions on how to gain access
to shareholder account information, perform certain
transactions, request forms or participate in the
Investors Choice Dividend Reinvestment & Direct
Stock Purchase and Sale Plan. Shareholders may also
e-mail our transfer agent at info@amstock.com.

Telephone:
Shareholders may call our
(877) 476-4393 for assistance.

toll-free number

Written Correspondence:
Shareholders should mail written account inquiries
or other requests for assistance regarding stock
ownership to:

Trustmark Corporation
c/o American Stock Transfer & Trust Company,
LLC
Operations Center
6201 15th Avenue
Brooklyn, NY 11219

Shareholder Services
Trustmark’s shareholder services are provided by
American Stock Transfer & Trust Company, LLC (AST).
AST will assist with:

Registration status
Dividend payments
Change of address
Lost certificates
Transfer of ownership
Other inquiries or requests

Dividend Reinvestment and
Stock Purchase and Sale
Trustmark is pleased to offer the Investors Choice
Dividend Reinvestment & Direct Stock Purchase
and Sale Plan (Plan), a voluntary plan administered
by AST. Under the Plan, shareholders may reinvest
dividends, purchase additional shares, sell all or
part of shares owned or deposit their Trustmark
stock certificates for safekeeping or sale. For more
information, call (877) 476-4393 or visit AST’s website
at www.amstock.com.

Financial Publications Available at No Charge
Additional copies of Trustmark’s Annual Report on
Form 10-K, quarterly reports and other corporate
publications are available, without charge, at
www trustmark.com or upon request by calling our
Investor Relations Department at (601) 208-6898 or
by writing to:

Trustmark Corporation
Attn: Investor Relations
248 East Capitol Street
Jackson, MS 39201

Investor Inquiries
Analyst and investor inquiries may be directed to:

Media Inquiries
Media representatives seeking general information
should contact:

Louis E. Greer
Treasurer and Principal
Financial Officer
(601) 208-2310
lgreer@trustmark.com

F. Joseph Rein, Jr.
Senior Vice President
(601) 208-6898
jrein@trustmark.com

Melanie A. Morgan
Senior Vice President
(601) 208-2979
mmorgan@trustmark.com

ANNUAL MEETING OF SHAREHOLDERS

Trustmark Corporation’s Annual Meeting of Shareholders will be held on Tuesday, April 25, 2017, at 2:00 p.m.
Central Time in the Trustmark Conference Center at the Mississippi Sports Hall of Fame, 1152 Lakeland Drive,
Jackson, Mississippi.

TRUSTMARK CORPORATION
OFFICERS

Daniel A. Grafton
Chairman
(Through 12-31-16)

R. Michael Summerford
Chairman
(Effective 1-1-17)

Gerard R. Host
President and
Chief Executive Officer

Louis E. Greer
Treasurer and
Principal Financial Officer

Granville Tate, Jr.
Secretary

F. Joseph Rein, Jr.
Assistant Secretary

TRUSTMARK NATIONAL BANK
EXECUTIVE MANAGEMENT

EXECUTIVE

Gerard R. Host

President and Chief Executive Officer

Duane A. Dewey

President - Corporate Banking

Louis E. Greer

Executive Vice President and Chief Financial Officer

George C. Gunn

Executive Vice President and Real Estate Banking Manager

Robert B. Harvey

Executive Vice President and Chief Credit Officer

Glynn Ingram

Executive Vice President and Chief Information Officer

James M. Outlaw, Jr.

Executive Vice President and Chief Administrative Officer

Thomas C. Owens

Executive Vice President and Bank Treasurer

Douglas H. Ralston

President - Wealth Management

W. Arthur Stevens

President - Retail Banking

Granville Tate, Jr.

Executive Vice President, Chief Risk Officer and General Counsel

Breck W. Tyler

President - Mortgage Services

C. Scott Woods

President - Insurance Services

MARKETS

TRUSTMARK NATIONAL BANK
REGIONAL AND MARKET EXECUTIVES

REGIONAL PRESIDENT REGION

MARKET PRESIDENT

William S. Bridges

Houston

Michael D. Fitzhugh

Alabama/Mississippi Gulf Coast

Aubrey E. Henson, Jr.

Memphis/North Mississippi

Charles H. Lewis IV

South Mississippi

W. Mark Lewis

Central Mississippi

Linwood O. McClain

Central Alabama

W. Holt McMullan

East Mississippi

Leonard P. Hein, Southeast Houston
Christine Petrilla, North Houston
Travis H. Van Horn, Southwest Houston

Eric C. Brown, Mississippi Gulf Coast
Kevin S. Carey, Mobile, AL
Paul J. England, Monroeville, AL
Tommy B. Faust, Jr., Baldwin County, AL
Deborah C. Hardee, Brewton, AL
William C. Hart, Pensacola, FL

John David Douglas, Fayette County, TN
Victor L. Marlar, Corinth, MS
R. Andrew McGahey, Greenville, MS
J. Clifton Thach, Greenwood, MS

Jason A. Douglas, McComb, MS
Stanley L. Foster, Brookhaven, MS
Charlie Scott King, Tylertown, MS
Charles T. Magee, Columbia, MS

Michael E. Crandall, Canton, MS
Brandon S. Hubbard, Magee, MS
Thomas Kendall, Vicksburg, MS
Joe B. Madden, Hazlehurst, MS

Dave Crenshaw, Greenville, AL
David C. Darby, Montevallo, AL
James B. Hurst, Opelika, AL
William V. Lewis, Tuscaloosa, AL
Charles R. Schaeffer, Eufaula, AL
R. Wade Seamon, Prattville, AL
Charles E. Singleton, Demopolis, AL
James A. Stewart, Centreville/Selma, AL

David G. (“Archie”) Anderson, Meridian, MS
J. Gregory Bennett, Laurel, MS
Charles R. Russell, Tupelo, MS
Darrell W. Temple, Taylorsville, MS
Larry A. Waggoner , Carthage, MS
Bart C. Wise, Columbus, MS

John D. Sumrall

Florida

John G. Hindsman, Bay County
Jonathan E. Ochs, Okaloosa and Walton Counties

TRUSTMARK NATIONAL BANK
COMMUNITY MARKET ADVISORY DIRECTORS

ALABAMA

Brewton

Broox G. Garrett
Attorney
Thompson, Garrett & Hines

Chris B. Griffin
Administrator
D.W. McMillan Memorial
Hospital

Deborah C. Hardee
President
Trustmark National Bank

Mark Manning
Administrator
West Gate Village
Nursing Home

Cosby Martin
Owner
Marco Land & Petroleum

Thomas E. McMillan, Jr.
Managing Member
Longleaf Energy

McGowin Miller
President
Miller Relocation Services

Steve Nelson
Banker
(Retired)

Stephanie Walker
Preschool Director
St. Stephen’s Episcopal
Church

Centreville

John Downs
Business Office Manager
Alabama Power Company

Steve Edmonds
President
Windwood Management
Group

Stephanie Kemmer
Probate Judge
Bibb County

Debbie Martin
Funeral Director/Office
Administrator
Rocko Funeral Home

J.W. Oakley
Recruiting Coordinator
School of Communications
University of Alabama

Demopolis

Gary B. Butler
President
Butler & Company, Inc.

Eufaula

Robert M. Dixon, Jr.
Chief Executive Officer
M.C. Dixon Lumber
Company, Inc.

Mo Erkins
Military
(Retired)

Mary Foy Kirkland
President
Young Johnston and
Associates, Inc.

Charles R. Schaeffer
President
Trustmark National Bank

Joel Smith, Jr.
Attorney
Williams, Potthoff, Williams
& Smith

Johnnie Anderson Shows II
Owner
Jaber, Inc.

Robert L. Taylor
Owner
Bobby Taylor Enterprises

Charles E. Singleton
President
Trustmark National Bank

Deltonya Warren
Director of Curriculum
Eufaula City Schools

Mem Stewart Webb
Owner
Webb Reality, Inc.

Thomas Alvin Williams
Partner
Morgan’s Ice

Dan E. Wilson
Owner
Colony Office Products

Doug Winkleblack
Southern Regional Manager
Alabama Interforest Corp

Greenville

Barry E. Boan
President
Boan Contracting

Ken Chesser
Owner
KC Land & Cattle Company

Dave Crenshaw
President
Trustmark National Bank

P. Richard Hartley
Partner
Hartley & Hickman
Attorneys At Law

Dexter McLendon
Mayor
City of Greenville

Allin Whittle
Butler County
Commissioner

Warren J. Williamson
Attorney
Williamson & Williamson
(Retired)

Mobile/Baldwin County

Sumner G. Adams
Vice President
Cash Management/Finance
Norton Lilly International

Tommy B. Faust, Jr.
President
Trustmark National Bank –
Baldwin County

Frank McKinley Bell III
President
Marine Rigging, Inc.

Kevin S. Carey
President - Mobile
Trustmark National Bank

Jacob L. Cunningham
Manager
Summit Industries, LLC

Philip C. Hubbard
Veterinarian
Countryside Animal Hospital

J.N. Buckner
Partner
Buckner and Cook, LLC

David A. Dye
Chairman and
Chief Growth Officer
Computer Programs and
Systems, Inc. (CPSI)

Thomas Gross
Chief Financial Officer
Battle Plan Capital, LLC
Truland Homes, LLC

H. Ray Hix, Jr.
Partner/Manager
Hix Snedeker Companies, LLC

Clifton C. Inge, Jr.
Chief Executive Officer
IPC Industries, Inc.

Frank J. Lott III
President
Heritage Homes

Harris V. Morrissette
President
China Doll Rice & Beans, Inc.
Dixie Lily Foods

Alfred M. Newmann, Jr., MD
Premier Medical ENT West

Henry F. O’Connor III
Attorney
Jones Walker LLP

E. Luckett Robinson II
Vice President - Finance
Overseas Hardwoods
Company, Inc. (OHC)

David Sutley
President – Baldwin County
Trustmark National Bank
(Retired)

Monroeville

Pete Black
Alabama Business
Development Mgr.
Parsons & Whittemore

Haniel Croft
President
BankTrust
(Retired)

Karen Kelly
Human Resources
McWane, Inc.

Leroy Lucas, Jr.
Owner
Lelco, Inc.

Paul J. England
President
Trustmark National Bank

John W. Stewart III
President
University of Montevallo

Montgomery

Jim W. Benefield, DVM
Veterinarian
Carmichael Road Animal
Clinic

Thomas H. Cawthon, MD
Otolaryngologist
Montgomery
Otolaryngology

John E. Hall, Jr.
Owner/Broker
John Hall & Company

Phyllis Ingram
Partner/Shareholder
Carr, Riggs & Ingram, LLC

Leonard N. Math
Partner/Shareholder
Chambless, Math & Carr, PC
Attorneys at Law

Prattville

John Boutwell
Owner
Boutwell Farms

John E. Estes, Jr.
Vice President
J. E. Estes Wood Company, Inc.

Sloan Fountain
Vice President/Mgr.
Vanity Fair Mills, Inc.
(Retired)

Ed Lee, DMD
Dentist

John T. Lee
Auto Dealer
Lee Motor Company
(Retired)

Alex Roberts
Photographer
Alex Roberts Photography
(Retired)

Sandy Smith
Director
Monroeville Area Chamber
of Commerce

Montevallo

David C. Darby
President
Trustmark National Bank

Keith Gamble
Owner
FirstGuard, LLC

Larry Liveoak
Owner
The Liveoak Agency, Inc.

David McDowell
Partner
McDowell, Faulk and
McDowell, LLC

R. Wade Seamon
President
Trustmark National Bank

Selma

Tommy Atchison
Attorney
Pitts, Pitts and Williams

Denson Henry
Vice President
Henry Brick Co.

S. Kirk Johnson
Owner
Oxford Manufacturing

James A. Stewart
President
Trustmark National Bank

William P. Swift III
Owner
Swift Drug Co.

Abigail Tucker, DMD
Owner/Dentist
Tucker Family Dentistry

TRUSTMARK NATIONAL BANK
COMMUNITY MARKET ADVISORY DIRECTORS

Ira M. Wagoner
Accountant
Edwards and Wilkinson, PC

James R. Moody IV
Accountant
Jinks & Moody, P.A.

Tallassee

Cecil Mack Daugherty
Chief of Security
Russell Lands

Gary Fuller
Owner
Fuller Warehouse & Gin, Inc.

Charles Frank Keith
Owner
Johnson Furniture

David Lawrence
Vice President/Owner
Tallassee Super Foods, Inc.

Hollis Mann
Store Manager
Tallassee Super Foods, Inc.

Jennie Rhinehart
Chief Executive Officer
Community Hospital, Inc.

FLORIDA

Angus G. Andrews
Real Estate Investor/
Developer

Floyd Skinner
President
Skinner Tax Consulting, Inc.

David Spencer
President
Glass Center, Inc.

John D. Sumrall
Regional President
Florida
Trustmark National Bank

Jay N. Trumbull
Owner
Culligan Water Solutions

Dennis A. Wallace
Walton County School
Board (Retired)
Real Estate Investor
Lumber Distributor

MISSISSIPPI

Brookhaven

Robert O. Allen
Partner
Allen, Allen, Breeland &
Allen, PLLC

Tracy T. Conerly
Partner Emeritus
Carr, Riggs & Ingram, LLC

Cecil Estess
Corporate Officer
Dickerson & Bowen

Gerald R. Dunkle
President
Sundial Developers, Inc.

Robin Tyler Faust, CFSP
Funeral Director
Tyler Funeral Home, Inc.

Kenneth W. Goza
Program Coordinator
Copiah Lincoln
Community College

Arlustra Henderson, Jr.
Chief of Police
City of Brookhaven
(Retired)

J. Spencer Mooney, MD
Physician/Owner
Quail Ridge Enterprise, Inc.

J. Kim Sessums, MD
Physician
Brookhaven OB-GYN
Associates

Charlie Lee Smith
Chief Executive Officer
Southern Diversified
Technologies, Inc.

A. Lavelle Sullivan
Co-Owner
Sullivan Ford-Lincoln

Carthage

Carl Blocker
Sales
Greco Electrical Contractor

Lee Carson
President
N.L. Carson Construction, Inc.

H. Frank Rhea
President
Trustmark National Bank
(Retired)

Robert C. McLendon
Commercial Insurance
Fisher Brown Bottrell
Insurance, Inc.

Stanley L. Foster
President
Trustmark National Bank

Susan Triplett
Administrator
Northeast Region
Sta-Home Health

Larry A. Waggoner
President
Trustmark National Bank

Jason Wilcox
President/Owner
Wilcox Funeral Home

Steve Wilkerson
Owner
Steve’s on the Square

Columbus

Mark G. Alexander
Chairman
Dynahealth, Inc.

William Key Blair, Jr.
Vice President
Columbus Marble Works

W. R. Phillips IV
Vice President
Phillips Contracting
Company, Inc.

Bart C. Wise
President
Trustmark National Bank

Corinth

Victor L. Marlar
President
Trustmark National Bank

William J. Napier III
Vice President
Corinth Mill Supply

Ricky R. Stockton
Hotel Manager
S.S.S.S. &P., Inc.

Kenneth W. Williams
President
Corinth Coca-Cola Bottling
Works Refreshments, Inc.

Greenville

Paul D. Dees
Partner
Greenland Planting
Company

Stephen R. Jernigan
Owner
River City Rehabilitation

R. Andrew McGahey
President
Trustmark National Bank

Harley Metcalfe III
Investor
(Retired)

Steven R. Millwood
President
Mississippi Marine
Corporation

Greenwood

H. Don Brock, Jr.
Partner
Whittington Brock &
Swayze

Robert L. Upchurch
President
Upchurch Plumbing, Inc.

Fred J. McDonnell, MD
Physician
Copiah Medical Associates

Hattiesburg

Hugh Bolton
Executive Vice President
Trustmark National Bank
(Retired)

Thomas M. Duff
Managing Partner
Southern Tire Mart, LLC

John M. Fitzpatrick III, MD
President and Physician
Hattiesburg Clinic, PA

Linda Kuykendall
Vice President
Commercial Business
Interiors, Inc.

Charles H. Lewis IV
Regional President
South Mississippi
Trustmark National Bank

W. A. Payne III
President
Camellia Home Health

Robert O. Tatum, Jr.
Principal/Owner
CR Properties, LLC

John C. Pyron
Co-Owner
Copiah Forest Products, Inc.
Copiah Lumber Company, Inc.

A. Wendell Stringer
President
Stringer Family Funeral
Services

Laurel

J. Gregory Bennett
President
Trustmark National Bank

Louis S. Crumbley
President
Crumbley Paper & Food
Service Co., Inc.

Linda R. Gavin
Associate Executive
Director of Marketing
South Central Regional
Medical Center

Jerome Harless
President
Flarestack, Inc.

Alexander John Malouf III
Co-Owner
The John Richard Collection, Inc.

Robert R. Vardaman
Owner and President
Vardaman Buick-Honda, Inc.

Victor Jones, Jr.
President
Jones Sales and Service, Inc.

R.A. Norris
President
S&N Airflow, Inc.

Clifton Thach
President
Trustmark National Bank

Hazlehurst

Olen C. Bryant, Jr.
Attorney
Bryant & Rutland, PLLC

Joe B. Madden
President
Trustmark National Bank

Rhes V. Low, Sr.
Investor
Low Company, LLC

Richard L. Yoder, Jr.
Attorney
Gilchrist Sumrall
Yoder & Boone, PLLC

Magee

Julie Polk Breazeale
Chief Executive Officer
Polk’s Meat Products, Inc.

Jacqueline P. Gordy
Secretary-Treasurer
Pace Oil Company

Brandon S. Hubbard
President
Trustmark National Bank

Charles Pruitt III, MD
Physician
Magee Medical and Surgical
Clinic, PLLC

James H. Stuard, DMD
James Stuard Family
Dentistry

James Price Wallace
Owner and Manager
River Birch Farm

McComb

Pat H. Brumfield, Jr.
President
Brumfield Oil Company, Inc.

Brad Clark
President
Clark Construction Co., Inc.
of Mississippi

David B. Craddock
President
Craddock Oil Company

Jason A. Douglas
President
Trustmark National Bank

John Dale Dumas, DMD
John Dale Dumas PA

TRUSTMARK NATIONAL BANK
COMMUNITY MARKET ADVISORY DIRECTORS

Thomas Kendall
President
Trustmark National Bank

TENNESSEE

Fayette County

Charles E. Dacus, Jr.
Farmer
Dacus Farms

John David Douglas
President
Trustmark National Bank

Paul S. Harris
General Manager
Chickasaw Electric
(Retired)

Aubrey E. Henson, Jr.
Regional President
Memphis/North Mississippi
Trustmark National Bank

John S. Wilder, Jr.
Treasurer and General
Manager
Long Town Gin & Supply

Michael Faust
CPA
Faust & Associates

John M. Mitchell, Jr.
Owner
The Mitchell Companies

Craig Haskins
Vice President
Commercial Developers, Inc.

C.D. Smith, Jr.
Regional Manager
AT&T Mississippi

Tylertown

Timothy O. Jones
Assistant District Attorney
14th Judicial District

Steven L. Kennedy
Owner
Tylertown Sports Center

Eric S. Lewis, MD
Surgeon
Southwest Mississippi Oral
& Maxillofacial Surgery, Inc.

John Andrew Watson, DO
Southwest Mississippi
Regional Medical Center

Meridian

David G. “Archie” Anderson
President
Trustmark National Bank

Jay L. Davidson
President and Director
Southern Pipe & Supply, Inc.

Tupelo

V.M. Cleveland
President
Tupelo Furniture Market

Charlie Scott King
President
Trustmark National Bank

Johnny L. Crane II
President
F.L. Crane & Sons, Inc.

Rob Loper, DVM
Veterinarian
Tylertown Animal Hospital

Carlyle S. Harris, Jr.
General Partner
Harris Holdings LP

I. Conrad Mord II
Attorney
Mord Law Firm

D. Colin Maloney
President
Century Construction and
Realty, Inc.

J. Keith Speed, DO
Doctor of Osteopathy
William Carey University

Mark L. Denney
Owner
Meridian Order Buyers, Inc.
(Former)

Adam Mitchell
Vice President
Mitchell Distributing
Company

Tommy E. Dulaney
President and Chief
Executive Officer
Structural Steel Services, Inc.

Elizabeth J. Randall
President
Randall Commercial Group, LLC

Billy W. Estes
President
Trustmark National Bank
(Retired)

Larkin Kennedy
Executive Vice President/
Administrator
Rush Foundation Hospital

Charles R. Russell
President
Trustmark National Bank

David S. Talton, MD
President
Cardiothoracic Surgery
Clinic of North Mississippi

Vicksburg

Ronald L. Andrews, Sr.
President
Vicksburg Insurance
Agency, Inc.

Robert R. Bailess
Partner
Wheeless, Shappley, Bailess
& Rector, LLP

W. Briggs Hopson III
Partner
Teller, Hassell & Hopson, LLP

Donald Jarratt
Managing Partner
Jarratt Properties, LLC

TRUSTMARK CORPORATION
FINANCIAL HIGHLIGHTS

($ in thousands except per share data)

Net Income

Per Share Data

Basic earnings per share
Diluted earnings per share
Dividends
Book value
Tangible book value

Performance Ratios

Return on average tangible equity
Return on average equity
Return on average assets

Capital Ratios

Total equity/total assets
Tangible equity/tangible assets
Tier 1 leverage ratio
Tier 1 risk-based capital ratio
Total risk-based capital ratio

Year-end Balance Sheet Data

Securities
Loans
Total assets
Total deposits
Total borrowings
Total shareholders’ equity

2016

2015

108,411

1.60
1.60
0. 92
22.48
16.76

9.99 %
7.14 %
0.84 %

11.39 %
8.74 %
9.90 %
12.76 %
13.59 %

3,515,325
8,299,387
13,352,333
10,056,012
1,622,500
1,520,208

116,038

1.72
1.71
0. 92
21.80
15.98

11.36 %
7.94 %
0.95 %

11.62 %
8.79 %
10.03 %
13.21 %
14.07 %

3,533,240
7,641,985
12,678,896
9,588,230
1,466,639
1,473,057