Trustmark Annual Report 2017

FY2017 Annual Report · Trustmark

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2017
Annual Report
Trustmark Corporation

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.

VALUES
Integrity • Service • Accountability • Relationships • Solutions

TABLE OF CONTENTS

Letter to Shareholders

Board of Directors

Corporate Information

Executive Management

Regional and Market Executives

Community Market Advisory Directors

Financial Highlights

Company Profile

TO OUR SHAREHOLDERS

Trustmark continued to achieve solid financial
performance in 2017 as a result of the strength and
vitality of our diverse banking and financial services
franchise. We continued to build upon and expand
customer relationships, reflecting our desire to be
a true financial partner for our customers. From a
banking perspective, total assets expanded to $13.8
billion, driven primarily by our fourth consecutive year
of robust organic loan growth. We also maintained
cost-effective core deposit growth. Credit quality,
a defining characteristic of the Trustmark franchise,
remained solid as net charge-offs continued at
historically low levels. In addition to our traditional
banking business, our mortgage banking, insurance
and wealth management businesses all made progress
toward their strategic initiatives
and played significant roles in our
financial results. Collectively, the
success of our diverse banking
and financial services businesses
is reflected in record total revenue
of $592.2 million in 2017, an
increase of $30.7 million, or 5.5%,
from the prior year. Our focus
on providing financial and risk
management solutions to meet
customers’ needs with integrity
and accountability has garnered numerous customer
satisfaction awards, including being recognized as the
2017 Best Bank in the South Region by Kiplinger.

Technology and evolving customer preferences are
reshaping the industry, and Trustmark is responding
accordingly. While much has changed, the need for
trustworthy financial solutions remains. The financial
services business remains a people business. Our
associates, instilled with Trustmark’s enduring core
values and equipped with appropriate technology,
are providing customers with trusted financial advice
and exceptional service every day. We would
like to take this opportunity to reflect upon our
in 2017, share our direction
accomplishments
for the future and highlight a few of the ways
Trustmark is positioned for continued success
in the years to come.

FINANCIAL HIGHLIGHTS

Trustmark’s net income in 2017 totaled $105.6
million, which represented diluted earnings per share
of $1.56. Excluding non-routine items, net income
was $130.6 million, or $1.92 per diluted share, an
increase of 12.9% from comparable levels in 2016.
This performance, excluding non-routine
items,
produced a return on average tangible equity of
11.53% and a return on average assets of 0.95%.

Trustmark paid quarterly cash dividends to
shareholders of $0.23 per share, or $0.92 annually,
in 2017. 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 128-year
history. This consistent, reliable
source of shareholder income
reflects the steady earnings and
profitability of our diversified
financial services businesses.

Loans held for investment
totaled $8.6 billion at year-
end 2017, up $718.8 million,
or 9.2%, from the prior year.
Growth was diversified by loan
type as well as by geographic
market, both categories of which reflect the value
of our commercial relationship managers, lending
product suite and five-state franchise. Collectively,
held for investment and acquired loans totaled $8.8
billion at December 31, 2017, an increase of 8.7%
from the prior year.

Our diversified,

low-cost core deposit base
remains a source of strength of the Trustmark
franchise. At year-end 2017, deposits totaled $10.6
billion, an increase of $521.5 million, or 5.2%, from
the prior year. Nearly 59% of deposits are in checking
accounts, including over 29% in noninterest-bearing
accounts. We know our customers have many financial
institutions from which to choose and are pleased
that they have chosen Trustmark as their trusted
financial partner. Experience and attention to
customer relationships have afforded Trustmark

a position of leadership in the majority of the
communities we serve. We are privileged to have
a #1 deposit share ranking in not only the Jackson
metropolitan area, but also the state of Mississippi
and, across the franchise, a top-four deposit share
ranking in 69% of counties served.

CREDIT QUALITY

Disciplined underwriting, pricing and credit
management continue to be defining hallmarks of
Trustmark. Nonperforming assets, driven by a 30.3%
decline in other real estate, improved in 2017. Net
charge-offs to average loans remained at a historically
low level of 11 basis points during the year. At
December 31, 2017, allocation of Trustmark’s $76.7
million allowance for loan losses represented 320%
of nonperforming loans, excluding impaired loans. The
foregoing credit metrics exclude acquired loans.

RISK MANAGEMENT
AND CAPITAL STRENGTH

Trustmark

is committed to a comprehensive,
enterprise-wide risk management approach to not
only ensure regulatory compliance, but to also
manage the Corporation and its businesses more
effectively. 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 risk
management and ensuring that liquidity, funding
levels are reflective of a strong
and capital
financial institution.

At December 31, 2017, total shareholders’ equity
was $1.6 billion, while tangible common equity
totaled $1.2 billion, which represented 8.77%
of tangible assets. Trustmark’s regulatory capital
ratios continue to significantly exceed levels to
be classified as well capitalized. We continue to

From Kiplinger's Personal Finance, May © 2017 The Kiplinger Washington Editors.
All rights reserved. Used by permission and protected by the Copyright Laws of
the United States. The printing, copying, redistribution, or retransmission of this
Content without express written permission is prohibited.

review opportuniti es to deploy capital in a manner
that enhances long-term shareholder value, including
investments that support organic or acquisiti ve
growth, delivering consistent dividends and uti lizing
share repurchase programs as appropriate.

REVENUE GENERATION

Trustmark derives revenue through net interest
income generated by our banking business as well as
through noninterest income provided by our banking,
insurance, wealth management and mortgage banking
businesses. Our total revenue reached a record level of
$592.2 million in 2017, an increase of $30.7 million,
or 5.5%, from the prior year. Excluding acquired loans,
revenue totaled $567.7 million,
up $36.4 million, or 6.9%. Net
interest income (FTE), excluding
acquired loans, totaled $402.9
million in 2017, an increase of
$27.1 million, or 7.2%, from
the prior year and resulted in a
net interest margin, excluding
acquired loans, of 3.36%. Our
diverse fee-income businesses
conti nued to achieve solid results
signifi cantly
and
to
success;
fi nancial
noninterest income represented
total
approximately 33% of
revenue,
acquired
loans, in 2017. Profi table revenue generati on has been,
and will conti nue to be a central focus of Trustmark.

contributed
our

excluding

Insurance,

Fisher Brown Bott rell

Inc., our
insurance agency subsidiary, had another record
year in 2017 as revenue increased 3.8% to $38.2
million. This performance refl ects our conti nuing
focus on business development as well as expansion
to new markets, including Birmingham, Alabama, and
Nashville, Tennessee. Fisher Brown Bott rell, which
provides a full range of commercial and personal risk
management products, was recognized as a 2017
Best Practi ces Agency by Independent Insurance
Agents and Brokers of America.

Our Wealth Management business—which

provides

comprehensive

and

integrated

services to accumulate, preserve and transfer wealth—
produced revenue of $30.3 million in 2017. Wealth
management assets totaled $12.4 billion, up 4.4%
from the prior year. Refl ecti ng the signifi cance and
growth potenti al of this business, Trustmark will be
transiti oning to a state-of-the-art wealth management
operati ng platf orm that will signifi cantly enhance our
product and service capabiliti es. Additi onally, we
will be introducing meaningful improvements to our
reti rement plan services program designed to provide
customers with expanded product off erings.

Trustmark’s Mortgage Banking business posted
another year of solid results, due in part to additi onal
retail mortgage originators as well as expansion to
new markets. In 2017, revenue expanded $1.7 million,
or 6.0%, to total $29.9 million,
while loan producti on totaled
$1.4 billion. During the year, we
introduced enhanced technology
applicati ons
and workfl ow
redesign to promote additi onal
growth and profi tability.

EXPENSE MANAGEMENT

Trustmark is committ ed to
conti nuous improvement and has
a proven process for investi ng in
our businesses to promote growth
and effi ciency. As we have stated
on numerous occasions, expense
management at Trustmark is not a one-ti me program,
but is rather a long-standing culture to ensure value is
maximized from each dollar spent. In 2016, a voluntary
early reti rement program was implemented to provide
organizati onal effi ciencies resulti ng from investments
in technology and realignment of work processes. In
2017, the Corporati on’s defi ned benefi t pension plan
was terminated. Each of these acti ons was initi ated to
reduce expenses and improve effi ciency.

In 2017, noninterest expense totaled $430.2
million. Excluding the non-routi ne charges related to
the terminati on of the pension plan and merger-related
charges, operati ng noninterest expense totaled $409.3
million in 2017, up 3.3% compared to comparable
is committ ed to

in 2016. Trustmark

levels

investments that promote profitable revenue growth
as well as reengineering and efficiency opportunities
that enhance long-term shareholder value.

INVESTING FOR THE FUTURE

Trustmark is committed to meeting the needs
its customers and their evolving banking
of
preferences. We embrace the opportunity to utilize
new technologies to meet customer needs, expand
product offerings and refine delivery channels that
enhance the customer experience while reducing
servicing costs. Several years ago we upgraded
our ATM fleet to enhance same-day deposit credit
capabilities and strengthen our competitive advantage.
Customers embraced the technology, 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 introduced myTrustmark® 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.

Trustmark recently renovated an office in Memphis,
Tennessee, that now includes Starbucks® in an effort to
increase foot traffic and create additional opportunities
to introduce Trustmark products and services to
prospective customers. Trustmark also initiated a
pilot program introducing myTeller℠, an interactive
video teller service provided through a centralized
teller center that delivers most functions provided
by traditional tellers, at this Memphis location as
well as the University of Mississippi Medical Center
in Jackson, Mississippi, and other select locations.
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 branch network
to reflect our customers’ evolving preferences for
online and mobile account access. Still, customers
value face-to-face interaction in our branches and
the personal aspect of the banking relationship.
As consumer preferences evolve, we will strive to
provide a consistent Trustmark experience, regardless
of the delivery channel. During 2017, Trustmark
consolidated three branch offices and reallocated
a portion of those resources to opening a new
banking center. Over the last 5 years, Trustmark has
consolidated 38 branch offices with limited growth
potential and established 10 banking centers in
attractive growth markets.

and

lines

In addition to expanding
product
refining
delivery channels, Trustmark
previously
its
completed
with
merger
announced
Reliance Bank, headquartered in
Athens, Alabama, in the second
quarter of 2017. With assets
of approximately $200 million,
Reliance Bank has seven offices
serving the Huntsville MSA,
one the most attractive growth
markets in the Southeast.

LEADERSHIP

We are extremely appreciative of the leadership,
counsel and guidance provided by Trustmark’s
Board of Directors. 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, Daniel A. Grafton retired from the
Trustmark Board after eleven years of dedicated
service, including six as our Chairman. We have
greatly appreciated Dan’s contributions to Trustmark
and will miss his advice and counsel.

Cooperative Energy; Dr. J. Clay Hays, Jr., President
of Jackson Heart Clinic, PA; and Harry M. Walker,
former President, Trustmark National Bank. Having
previously served on the Board of Trustmark National
Bank, these individuals have a solid understanding of
the financial services industry and, with their diverse
experiences and backgrounds, are well-positioned to
provide valuable guidance to the Corporation.

COMMUNITY INVOLVEMENT

Our commitment to the communities we serve
is unwavering. During 2017, Trustmark’s charitable
giving exceeded $3.0 million,
providing support for programs
and services benefitting youth,
education, the arts, health and
social services and community-
based organizations. In addition,
our associates provided more
than 11,000 hours of volunteer
time through participation in
than 750 community
more
events designed to improve the
quality of life for our friends
and neighbors.

Trustmark provided low-to-
moderate
income borrowers
approximately $120 million
in home mortgages and more than $75 million in
community development loans. Our collaborative
work with community service providers, developers,
realtors, housing advocates and others resulted
in over $27 million in investments that provide
affordable housing, employment and community
services for those with low-to-moderate incomes,
which is a reflection of our commitment to strengthen
the communities we serve.

STRATEGIC FOCUS

We were pleased to welcome to the Trustmark
Corporation Board four new directors in 2017: William
A. Brown, President and Chief Executive Officer
of Brown Bottling Group; James N. Compton,
President and Chief Executive Officer of

Trustmark

to pursue
is well positioned
opportunities for growth, navigate the changing
competitive landscape and, most importantly, help
our customers achieve financial success. As such,
we look to the future with great confidence and

optimism. In 2018, we will continue our efforts
to broaden customer relationships, enhance the
delivery of our products and services and streamline
processes to drive greater efficiency, all of which are
designed to increase shareholder value. We would
like to thank our associates for their dedication and
commitment, 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,

R. Michael Summerford
Chairman
Trustmark Corporation

Gerard R. Host
President and
Chief Executive Officer
Trustmark Corporation

TRUSTMARK CORPORATION AND
TRUSTMARK NATIONAL BANK BOARD OF DIRECTORS

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

Toni D. Cooley
Chief Executive Officer
Systems Electro Coating

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

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

James N. Compton
President and
Chief Executive Officer
Cooperative Energy

Gerard R. Host
President and
Chief Executive Officer
Trustmark Corporation and
Trustmark National Bank

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

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

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

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

Richard H. Puckett
Chairman and
Chief Executive Officer
Puckett Machinery Company

LeRoy G. Walker, Jr.
President
LTM Enterprises, Inc.

R. Michael Summerford
Chairman
Trustmark Corporation and
Trustmark National Bank
Chief Operating Officer
ChemFirst, Inc.
(Former)

William G. Yates III
President and
Chief Executive Officer
W.G. Yates & Sons
Construction Company

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 at astfinancial.com
by clicking on Login and selecting Shareholder Central.
This website provides instructions on how to gain
access to shareholder account information, perform
certain transactions, request forms or participate in the
Plan. Shareholders may also e-mail our transfer agent
at help@astfinancial.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

CORPORATE INFORMATION

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

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 astfinancial.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
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 24, 2018, at 1:00 p.m.
Central Time at Trustmark’s Corporate Office located at 248 East Capitol Street, Jackson, Mississippi.

TRUSTMARK CORPORATION OFFICERS

R. Michael Summerford
Chairman

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

Monica A. Day

President and Chief Executive Officer

Executive Vice President and Real Estate Banking Manager

Duane A. Dewey

President – Corporate Banking

Louis E. Greer

Executive Vice President and Chief Financial Officer

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

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 and Wealth Management

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

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
Brandon S. Hubbard, Magee, MS
Charlie Scott King, Tylertown, MS
Joe B. Madden, Hazlehurst, MS
Charles T. Magee, Columbia, MS
Darrell W. Temple, Taylorsville, MS

David G. (“Archie”) Anderson, Meridian, MS
J. Gregory Bennett, Laurel, MS
Michael E. Crandall, Canton, MS
Thomas Kendall, Vicksburg, MS
Charles R. Russell, Tupelo, MS
Larry A. Waggoner, Carthage, MS
Bart C. Wise, Columbus, 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

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

Steve Edmonds
President
Windwood Management
Group

Mo Erkins
Military
(Retired)

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.

Johnnie Anderson Shows II
Owner
Jaber, Inc.

Loyd Todd Tally
President
Trustmark National Bank

Mary Foy Kirkland
President
Young Johnston and
Associates, Inc.

Charles R. Schaeffer
President
Trustmark National Bank

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

Robert L. Taylor
Owner
Bobby Taylor Enterprises

Deltonya Warren
Director of Childhood/
Federal Programs
Eufaula City Schools

Doug Winkleblack
Southern Regional Manager
Alabama Interforest Corp

Greenville

Mem Stewart Webb
Owner
Webb Realty, Inc.

Barry E. Boan
President
Boan Contracting

Dexter McLendon
Mayor
City of Greenville

Allin Whittle
Butler County
Commissioner

Warren J. Williamson
Attorney
Williamson & Williamson
(Retired)

Huntsville

John R. Baggette, Jr.
Attorney and Shareholder
Sirote & Permutt, P.C.

Michael R. Hockman
Senior Vice President
Trustmark National Bank

David A. Hunt
Administrator/Owner
Limestone Health
Facility, Inc.

Robert F. Harwell, Jr.
President
Trustmark National Bank

Babu R. Kahani
Manager
Tennessee Valley OB/GYN
Clinic, P.C.

H. C. “Harry” Cecil
Program Specialist
Alabama Technology
Network

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

Thomas Alvin Williams
Partner
Morgan’s Ice

Ken Chesser
Owner
KC Land & Cattle Company

James E. McClary
President and Owner
McClary Tire Company

Dan E. Wilson
Owner
Colony Office Products

Dave Crenshaw
President
Trustmark National Bank

Timothy A. Smalley
CPA
Byrd, Smalley & Adams P.C.

Eufaula

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

P. Richard Hartley
Partner
Hartley & Hickman
Attorneys at Law

John H. McGowin
Owner/President
McGowin Logging Co., Inc.

Robert E. Thurber
Investor

Michael E. Underwood
CEO
TriGreen Equipment LLC

Mobile/Baldwin County

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

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

Henry F. O’Connor III
Attorney
Jones Walker LLP

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

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

Sandy Smith
Director
Monroeville Area Chamber
of Commerce
(Retired)

Montevallo

David C. Darby
President
Trustmark National Bank

Philip C. Hubbard
Veterinarian
Countryside Animal Hospital

Karen Kelly
Director of Compensation &
Benefits
U.S. Pipe and Foundry
Company
(Retired)

J.N. Buckner
Partner
Buckner and Cook, LLC

Keith Gamble
Owner
FirstGuard, LLC

David McDowell
Partner
McDowell, Faulk and
McDowell, LLC

R. Wade Seamon
President
Trustmark National Bank

Selma

Tommy Atchison
Attorney
Atchison Injury Attorneys, LLC

Leroy Lucas, Jr.
Owner
Lelco, Inc.

Denson Henry
Vice President
Henry Brick Co.

Montgomery

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

Monroeville

Pete Black
Alabama Business
Development Manager
Parsons & Whittemore

Haniel Croft
President
BankTrust
(Retired)

Paul J. England
President
Trustmark National Bank

George Traweek Dickson
President and CEO
Joe Hudson’s Collision Center

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

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

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

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

Ed Lee, DMD
Dentist

John T. Lee
President
Pilots for Christ

Alex Roberts
Photographer
Alex Roberts Photography
(Retired)

Steven L. Reed
Probate Judge
Montgomery County

Prattville

John Boutwell
Owner
Boutwell Farms

S. Kirk Johnson
Owner
Oxford Manufacturing

Edward T. Livingston
Regional President
Trustmark National Bank
(Retired)

Johnny Moss III
Director of Marketing &
College Relations
Wallace Community
College - Selma

James A. Stewart
President
Trustmark National Bank

William P. Swift III
Owner
Swift Drug Co.

Abigail Tucker, DMD
Owner/Dentist
Tucker Family Dentistry

Frank McKinley Bell III
President
Marine Rigging, Inc.

Kevin S. Carey
President - Mobile
Trustmark National Bank

Jacob L. Cunningham
Manager
Summit Industries, 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

TRUSTMARK NATIONAL BANK
COMMUNITY MARKET ADVISORY DIRECTORS

Ira M. Wagoner
Accountant
Edwards and Wilkinson, PC

James (Jay) R. Moody IV
CPA/Member
Warren Averett, LLC

Tallassee

Cecil Mack Daugherty
Chief of Security
Russell Lands

Gary Fuller
Owner
Fuller Warehouse & Gin, Inc.

James B. Hurst
President
Trustmark National Bank

Charles Frank Keith
Owner
Johnson Furniture

David Lawrence
Owner
Tallassee Super Foods, Inc.

Hollis Mann
Store Manager
Tallassee Super Foods, Inc.

Jennie Rhinehart
Chief Executive Officer
Community Hospital, Inc.

FLORIDA

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

Angus G. Andrews, Jr.
Real Estate Investor/
Developer

Cecil Estess
Corporate Officer
Dickerson & Bowen

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

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

Gerald R. Dunkle
President
Sundial Developers, Inc.

Stanley L. Foster
President
Trustmark National Bank

Robert C. McLendon
Executive Vice President
Fisher Brown Bottrell
Insurance, 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

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

Carl Blocker
Sales
Greco Electrical Contractor

William J. Napier III
President
Corinth Mill Supply

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

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

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

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

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

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

Clifton Thach
President
Trustmark National Bank

Robert L. Upchurch
President
Upchurch Plumbing, Inc.

Hattiesburg

Hugh Bolton
Executive Vice President
Trustmark National Bank
(Retired)

Jeff C. Bowman
Senior Vice President/
Chief Administrative Officer
Cooperative Energy

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

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

Hazlehurst

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

Joe B. Madden
President
Trustmark National Bank

Fred J. McDonnell, MD
Physician
Copiah Medical Associates

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

A. Wendell Stringer
President
Stringer Family Funeral
Services

Laurel

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.
(Retired)

Victor Jones, Jr.
Salesman
Mississippi Ag Company

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

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

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

Michael Faust
CPA
Faust & Associates

Magee

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

Jacqueline P. Gordy
Secretary-Treasurer
Pace Oil Company

Craig Haskins
Vice President
Commercial Developers, Inc.

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

Brandon S. Hubbard
President
Trustmark National Bank

John Andrew Watson
Medical Director
STATCare Medical Clinics

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

Meridian

David G. “Archie” Anderson
President
Trustmark National Bank

Cole Cardwell
Vice President/
General Manager
Structural Steel Services, Inc.

J. Gregory Bennett
President
Trustmark National Bank

James H. Stuard, DMD
James Stuard Family
Dentistry

TRUSTMARK NATIONAL BANK
COMMUNITY MARKET ADVISORY DIRECTORS

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

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

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

Billy W. Estes
President
Trustmark National Bank
(Retired)

Larkin Kennedy
Executive Vice President/
Administrator
Rush Foundation Hospital

Adam Mitchell
Chief Executive Officer
Mitchell Distributing
Company

D. Colin Maloney
President
Century Construction
Group, Inc.

Elizabeth J. Randall
President
Randall Commercial Group, LLC

Charles R. Russell
President
Trustmark National Bank

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

Tylertown

Vicksburg

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

Robert R. Bailess
Partner
Bailess & Rector, LLP

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

Donald Jarratt
Managing Partner
Jarratt Properties, LLC

Timothy O. Jones
Assistant District Attorney
14th Judicial District

Thomas Kendall
President
Trustmark National Bank

John M. Mitchell, Jr.
Owner
The Mitchell Companies

Steven L. Kennedy
Owner
Tylertown Sports Center

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

Tupelo

V.M. Cleveland
President
Tupelo Furniture Market

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

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

Charlie Scott King
President
Trustmark National Bank

Rob Loper, DVM
Veterinarian
Tylertown Animal Hospital

I. Conrad Mord II
Attorney
Mord Law Firm

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

Samuel L. Pierce, MD
Partner
Medical Associates of
Vicksburg PLLC

James O. Smith III
President
Big River Shipbuilders, Inc.

Patrick R. Smith
President
Yazoo River Towing, Inc.
President
Vicksburg Plant Food, Inc.

Howard C. (Charles)
Waring, Jr.
Sales Manager
Waring Oil Company, 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

Non-GAAP Financial Measures (1)

Net Income
Diluted earnings per share
Return on average tangible equity
Return on average equity
Return on average assets

2017

2016

105,630

1.56
1.56
0.92
23.20
17.35

9.39 %
6.77 %
0.77 %

11.39 %
8.77 %
9.67 %
12.33 %
13.10 %

3,295,121
9,011,996
13,797,953
10,577,512
1,503,678
1,571,701

130,599
1.92
11.53 %
8.37 %
0.95 %

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

115,280
1.70
10.60 %
7.59 %
0.89 %

(1) Trustmark discloses certain non-GAAP financial measures, including net income adjusted for significant non-routine transactions
as a measure of our core operating business, as these transactions are generally not operational in nature. Reconciliations of these
non-GAAP measures to comparable measures calculated in accordance with generally accepted accounting principles can be found
under Part II, Item 7 in Trustmark Corporation’s Annual Report on Form 10-K for the year ended December 31, 2017, filed with the
SEC on February 20, 2018.

PROFILE

ONE OF THE SOUTH’S OLDEST AND STRONGEST BANKS

Founded in 1889, Trustmark is one of the South’s strongest and most respected financial
institutions and serves customers in over 190 locations throughout Alabama, Florida,
Mississippi, Tennessee and Texas. We offer a comprehensive range of personal and business
banking services - from personal banking and wealth management, to small business
checking and large, complex commercial loans.

Through our subsidiaries, including Trustmark National Bank, Trustmark Investment Advisors,
Inc., and Fisher Brown Bottrell Insurance, Inc., we have been serving families, businesses
and communities for 128 years. We are a community-focused, values-guided organization
making a difference in the lives of our customers and communities. We are committed to
service excellence and strive daily to exceed expectations.

OUR BUSINESS

At Trustmark, we believe in building strong customer relationships, and we work hard to know
and understand our customers and their financial needs. Equipped with this knowledge, we are
best positioned to meet their needs with our comprehensive suite of products and services.

PERSONAL BANKING
Deposit and loan accounts for every lifestyle and preference

MORTGAGE BANKING
Home financing options for any situation and budget

COMMERCIAL BANKING
Deposit and loan accounts for all sizes of commercial customers and designed to
complement a variety of business functions

WEALTH MANAGEMENT¹
Personalized strategies to assist clients to accumulate, preserve and transfer wealth

RISK MANAGEMENT¹
Appropriate risk management strategies to protect your assets offered through
Fisher Brown Bottrell Insurance, Inc.

For more information about our full line of products and services, visit trustmark.com.

1Wealth Management and Risk Management products are:
Not FDIC Insured | Not Bank Guaranteed | Subject to Loss in Value | Not Bank Deposits | Not Insured by any Federal Government Agency