TRUSTMARK CORP, 10-K filed on 2/17/2022
Annual Report
v3.22.0.1
Document and Entity Information - USD ($)
$ in Millions
 12 Months Ended
Dec. 31, 2021
Jan. 31, 2022
Jun. 30, 2021
Cover [Abstract]      
Entity Registrant Name TRUSTMARK CORP    
Entity Central Index Key 0000036146    
Current Fiscal Year End Date --12-31    
Entity Well-known Seasoned Issuer Yes    
Entity Voluntary Filers No    
Entity Current Reporting Status Yes    
Entity Filer Category Large Accelerated Filer    
Entity Public Float     $ 1,228
Entity Common Stock, Shares Outstanding   61,493,625  
Document Fiscal Year Focus 2021    
Document Fiscal Period Focus FY    
Document Type 10-K    
Amendment Flag false    
Document Period End Date Dec. 31, 2021    
Trading Symbol TRMK    
Entity Small Business false    
Entity Emerging Growth Company false    
Entity Shell Company false    
Title of 12(b) Security Common Stock, no par value    
Security Exchange Name NASDAQ    
Entity File Number 000-3683    
Entity Incorporation, State or Country Code MS    
Entity Tax Identification Number 64-0471500    
Entity Address, Address Line One 248 East Capitol Street    
Entity Address, City or Town Jackson    
Entity Address, State or Province MS    
Entity Address, Postal Zip Code 39201    
City Area Code 601    
Local Phone Number 208-5111    
Document Annual Report true    
Document Transition Report false    
Entity Interactive Data Current Yes    
ICFR Auditor Attestation Flag false    
Documents Incorporated by Reference

DOCUMENTS INCORPORATED BY REFERENCE

Portions of the Proxy Statement for Trustmark’s 2022 Annual Meeting of Shareholders to be held April 27, 2022 are incorporated by reference into Part III of the Form 10-K report.

    
Auditor Name Crowe LLP    
Auditor Location Atlanta, Georgia    
Auditor Firm ID 173    
v3.22.0.1
Consolidated Balance Sheets - USD ($)
$ in Thousands
Dec. 31, 2021
Dec. 31, 2020
Assets    
Cash and due from banks $ 2,266,829 $ 1,952,504
Federal funds sold and securities purchased under reverse repurchase agreements   50
Securities available for sale, at fair value (amortized cost: $3,256,289-2021; $1,959,773-2020; allowance for credit losses (ACL): $0) 3,238,877 1,991,815
Securities held to maturity, net of ACL of $0 (fair value: $353,511-2021; $563,115-2020) 342,537 538,072
Paycheck Protection Program (PPP) loans 33,336 610,134
Loans held for sale (LHFS) 275,706 446,951
Loans held for investment (LHFI) 10,247,829 9,824,524
Less ACL, LHFI 99,457 117,306
Net LHFI 10,148,372 9,707,218
Premises and equipment, net 205,644 194,278
Mortgage servicing rights (MSR) 87,687 66,464
Goodwill 384,237 385,270
Identifiable intangible assets, net 5,074 7,390
Other real estate 4,557 11,651
Operating lease right-of-use assets 34,603 30,901
Other assets 568,177 609,142
Total Assets 17,595,636 16,551,840
Deposits:    
Noninterest-bearing 4,771,065 4,349,010
Interest-bearing 10,316,095 9,699,754
Total deposits 15,087,160 14,048,764
Federal funds purchased and securities sold under repurchase agreements 238,577 164,519
Other borrowings 91,025 168,252
Subordinated notes 123,042 122,921
Junior subordinated debt securities 61,856 61,856
ACL on off-balance sheet credit exposures 35,623 38,572
Operating lease liabilities 36,468 32,290
Other liabilities 180,574 173,549
Total Liabilities 15,854,325 14,810,723
Shareholders' Equity    
Common stock, no par value: Authorized: 250,000,000 shares Issued and outstanding: 61,648,679 shares - 2021; 63,424,526 shares - 2020 12,845 13,215
Capital surplus 175,913 233,120
Retained earnings 1,585,113 1,495,833
Accumulated other comprehensive income (loss), net of tax (32,560) (1,051)
Total Shareholders' Equity 1,741,311 1,741,117
Total Liabilities and Shareholders' Equity $ 17,595,636 $ 16,551,840
v3.22.0.1
Consolidated Balance Sheets (Parenthetical) - USD ($)
Dec. 31, 2021
Dec. 31, 2020
Assets    
Securities available-for-sale, amortized cost $ 3,256,289,000 $ 1,959,773,000
Securities available-for-sale, allowance for credit Losses (ACL) 0 0
Securities held to maturity, net of ACL 0 0
Securities held to maturity, fair value $ 353,511,000 $ 563,115,000
Shareholders' Equity    
Common stock, par value (in dollars per share) $ 0 $ 0
Common stock, authorized (in shares) 250,000,000 250,000,000
Common stock, issued (in shares) 61,648,679 63,424,526
Common stock, outstanding (in shares) 61,648,679 63,424,526
v3.22.0.1
Consolidated Statements of Income - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2021
Dec. 31, 2020
Dec. 31, 2019
Interest Income      
Interest and fees on LHFS & LHFI $ 363,772 $ 390,803 $ 440,156
Interest and fees on PPP loans 36,726 26,643  
Interest and fees on acquired loans [1]     8,373
Interest on securities:      
Taxable 38,698 48,250 54,649
Tax exempt 548 1,079 1,711
Interest on federal funds sold and securities purchased under reverse repurchase agreements   1 240
Other interest income 2,767 1,559 5,363
Total Interest Income 442,511 468,335 510,492
Interest Expense      
Interest on deposits 16,945 37,487 79,171
Interest on federal funds purchased and securities sold under repurchase agreements 232 755 1,420
Other interest expense 6,983 3,556 3,312
Total Interest Expense 24,160 41,798 83,903
Net Interest Income 418,351 426,537 426,589
PCL, LHFI [1] (21,499) 36,113 10,797
PCL, off-balance sheet credit exposures [2] (2,949) 8,934  
Provision for loan losses, acquired loans [1]     42
Net Interest Income After PCL 442,799 381,490 415,750
Noninterest Income      
Service charges on deposit accounts 33,246 32,289 42,603
Bank card and other fees 34,662 31,022 31,736
Mortgage banking, net 63,750 125,822 29,822
Insurance commissions 48,511 45,176 42,396
Wealth management 35,190 31,625 30,679
Other, net 6,551 8,659 9,809
Total Noninterest Income 221,910 274,593 187,045
Noninterest Expense      
Salaries and employee benefits [2] 284,158 272,257 247,717
Services and fees [2] 89,463 83,816 73,315
Net occupancy - premises [2] 27,043 26,489 26,149
Equipment expense [2] 24,337 23,277 23,733
Other real estate expense, net [2] 3,528 1,956 3,906
Other expense [2] 60,767 58,506 54,182
Total Noninterest Expense [2],[3] 489,296 466,301 429,002
Income Before Income Taxes 175,413 189,782 173,793
Income taxes 28,048 29,757 23,333
Net Income $ 147,365 $ 160,025 $ 150,460
Earnings Per Share      
Basic $ 2.35 $ 2.52 $ 2.33
Diluted $ 2.34 $ 2.51 $ 2.32
[1] Effective January 1, 2020, Trustmark adopted FASB ASU 2016-13 using the modified retrospective approach. Therefore, prior period balances are presented under legacy GAAP and may not be comparable to current period presentation.
[2] During 2021, Trustmark reclassified its credit loss expense on off-balance sheet credit exposures from noninterest expense to PCL, off-balance sheet credit exposures. Prior periods have been reclassified accordingly.
[3] During 2021, Trustmark reclassified its credit loss expense related to off-balance sheet credit exposures from noninterest expense to PCL, off-balance sheet credit exposures. Prior periods have been reclassified accordingly.
v3.22.0.1
Consolidated Statements of Comprehensive Income - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2021
Dec. 31, 2020
Dec. 31, 2019
Statement of Comprehensive Income [Abstract]      
Net income per consolidated statements of income $ 147,365 $ 160,025 $ 150,460
Net unrealized gains (losses) on available for sale securities and transferred securities:      
Net unrealized holding gains (losses) arising during the period (37,090) 22,965 33,103
Change in net unrealized holding loss on securities transferred to held to maturity 1,985 2,383 2,704
Pension and other postretirement benefit plans:      
Change in the actuarial loss of pension and other postretirement benefit plans 2,134 (3,846) (4,278)
Reclassification adjustments for changes realized in net income:      
Net change in prior service costs 84 112 187
Recognized net loss due to lump sum settlements 137 89 235
Change in net actuarial loss 1,241 846 597
Derivatives:      
Change in the accumulated gain (loss) on effective cash flow hedge derivatives     (109)
Reclassification adjustment for (gain) loss realized in net income     (360)
Other comprehensive income (loss), net of tax (31,509) 22,549 32,079
Comprehensive income $ 115,856 $ 182,574 $ 182,539
v3.22.0.1
Consolidated Statements of Changes in Shareholders' Equity - USD ($)
$ in Thousands
Total
Cumulative Effect Period Of Adoption Adjustment [Member]
Common Stock [Member]
Capital Surplus [Member]
Retained Earnings [Member]
Retained Earnings [Member]
Cumulative Effect Period Of Adoption Adjustment [Member]
Accumulated Other Comprehensive Income (Loss) [Member]
Balance at Dec. 31, 2018 $ 1,591,453   $ 13,717 $ 309,545 $ 1,323,870   $ (55,679)
Balance (in shares) at Dec. 31, 2018     65,834,395        
Net income per consolidated statements of income 150,460       150,460    
Other comprehensive income (loss), net of tax 32,079           (32,079)
Cash dividends paid on common stock ($0.92 per share) (59,804)       (59,804)    
Shares withheld to pay taxes, long-term incentive plan (1,658)   $ 28 (1,686)      
Shares withheld to pay taxes, long-term incentive plan (in shares)     134,564        
Repurchase and retirement of common stock (56,615)   $ (369) (56,246)      
Repurchase and retirement of common stock (in shares)     (1,768,848)        
Compensation expense, long-term incentive plan 4,787     4,787      
Balance at Dec. 31, 2019 $ 1,660,702 $ (19,949) $ 13,376 256,400 1,414,526 $ (19,949) (23,600)
Balance (in shares) at Dec. 31, 2019     64,200,111        
Accounting standards update [Extensible List] Accounting Standards Update 2016-13 [Member]            
Net income per consolidated statements of income $ 160,025       160,025    
Other comprehensive income (loss), net of tax 22,549           22,549
Cash dividends paid on common stock ($0.92 per share) (58,769)       (58,769)    
Shares withheld to pay taxes, long-term incentive plan (1,100)   $ 23 (1,123)      
Shares withheld to pay taxes, long-term incentive plan (in shares)     111,373        
Repurchase and retirement of common stock (27,538)   $ (184) (27,354)      
Repurchase and retirement of common stock (in shares)     (886,958)        
Compensation expense, long-term incentive plan 5,197     5,197      
Balance at Dec. 31, 2020 $ 1,741,117   $ 13,215 233,120 1,495,833   (1,051)
Balance (in shares) at Dec. 31, 2020 63,424,526   63,424,526        
Net income per consolidated statements of income $ 147,365       147,365    
Other comprehensive income (loss), net of tax (31,509)           (31,509)
Cash dividends paid on common stock ($0.92 per share) (58,085)       (58,085)    
Shares withheld to pay taxes, long-term incentive plan (1,379)   $ 28 (1,407)      
Shares withheld to pay taxes, long-term incentive plan (in shares)     133,907        
Repurchase and retirement of common stock (61,799)   $ (398) (61,401)      
Repurchase and retirement of common stock (in shares)     (1,909,754)        
Compensation expense, long-term incentive plan 5,601     5,601      
Balance at Dec. 31, 2021 $ 1,741,311   $ 12,845 $ 175,913 $ 1,585,113   $ (32,560)
Balance (in shares) at Dec. 31, 2021 61,648,679   61,648,679        
v3.22.0.1
Consolidated Statements of Changes in Shareholders' Equity (Parenthetical) - $ / shares
 12 Months Ended
Dec. 31, 2021
Dec. 31, 2020
Dec. 31, 2019
Statement of Stockholders' Equity [Abstract]      
Cash dividends paid on common stock (in dollars per share) $ 0.92 $ 0.92 $ 0.92
v3.22.0.1
Consolidated Statements of Cash Flows - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2021
Dec. 31, 2020
Dec. 31, 2019
Operating Activities      
Net income per consolidated statements of income $ 147,365 $ 160,025 $ 150,460
Adjustments to reconcile net income to net cash provided by operating activities:      
Credit loss expense, net [1] (24,448) 45,047 10,839
Depreciation and amortization 45,813 41,325 39,420
Net amortization of securities 20,310 13,247 7,789
Gains on sales of loans, net (70,954) (94,986) (27,301)
Compensation expense, long-term incentive plan 5,601 5,197 4,787
Deferred income tax provision 20,115 (19,800) (3,880)
Proceeds from sales of LHFS 2,357,108 2,627,122 1,431,003
Purchases and originations of LHFS (2,171,605) (2,668,642) (1,480,752)
Originations of MSR (28,125) (29,805) (16,711)
Earnings on bank-owned life insurance (4,853) (5,099) (5,592)
Net change in other assets 42,400 (49,653) (30,729)
Net change in other liabilities 19,645 13,669 13,276
Other operating activities, net (9,601) 27,699 23,838
Net cash from operating activities 348,771 65,346 116,447
Investing Activities      
Proceeds from maturities, prepayments and calls of securities held to maturity 197,091 201,888 173,385
Proceeds from maturities, prepayments and calls of securities available for sale 835,200 680,294 425,260
Purchases of securities available for sale (2,150,935) (1,051,014) (177,739)
Net proceeds from bank-owned life insurance 1,772 3,280 4,140
Net change in federal funds sold and securities purchased under reverse repurchase agreements 50 (50) 830
Net change in member bank stock (1,220) 269 262
Net change in loans (197,800) (1,027,924) (480,295)
Proceeds from sales of PPP loans 353,287    
Purchases of premises and equipment (27,360) (22,577) (17,327)
Proceeds from sales of premises and equipment 961 2,803 3,248
Proceeds from sales of other real estate 5,064 17,343 11,182
Purchases of software (3,836) (8,252) (13,412)
Investments in tax credit and other partnerships (17,288) (5,844) (3,426)
Purchase of insurance book of business   (3,097) (347)
Net cash used in business acquisition   (4,834)  
Net cash from investing activities (1,005,014) (1,217,715) (74,239)
Financing Activities      
Net change in deposits 1,038,396 2,803,207 (118,854)
Net change in federal funds purchased and securities sold under repurchase agreements 74,058 (91,501) 205,549
Net change in other borrowings (19,189) 473 493
Payments under finance lease obligations (1,434) (1,715) (1,964)
Proceeds from subordinated notes   122,900  
Common stock dividends (58,085) (58,769) (59,804)
Repurchase and retirement of common stock (61,799) (27,538) (56,615)
Shares withheld to pay taxes, long-term incentive plan (1,379) (1,100) (1,658)
Net cash from financing activities 970,568 2,745,957 (32,853)
Net change in cash and cash equivalents 314,325 1,593,588 9,355
Cash and cash equivalents at beginning of year 1,952,504 358,916 349,561
Cash and cash equivalents at end of year $ 2,266,829 $ 1,952,504 $ 358,916
[1] Effective January 1, 2020, Trustmark adopted FASB ASU 2016-13 using the modified retrospective approach. Therefore, prior period balances are presented under legacy GAAP and may not be comparable to current period presentation.
v3.22.0.1
Significant Accounting Policies
 12 Months Ended
Dec. 31, 2021
Accounting Policies [Abstract]  
Significant Accounting Policies

Note 1 – Significant Accounting Policies

Business

Trustmark Corporation (Trustmark) is a bank holding company headquartered in Jackson, Mississippi. Through its subsidiaries, Trustmark operates as a financial services organization providing banking and financial solutions to corporate institutions and individual customers through 180 offices in Alabama, Florida, Mississippi, Tennessee and Texas.

Basis of Financial Statement Presentation

The consolidated financial statements include the accounts of Trustmark and all other entities in which Trustmark has a controlling financial interest. All significant intercompany accounts and transactions have been eliminated in consolidation.

The consolidated financial statements have been prepared in conformity with U.S. generally accepted accounting principles (GAAP). The preparation of financial statements in conformity with these accounting principles requires Management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and income and expense during the reporting periods and the related disclosures. Although Management’s estimates contemplate current conditions and how they are expected to change in the future, it is reasonably possible that in 2022 actual conditions could vary from those anticipated, which could affect Trustmark’s financial condition and results of operations. Actual results could differ from those estimates.

Securities

Securities are classified as either held to maturity or available for sale. Securities are classified as held to maturity and carried at amortized cost when Management has the positive intent and the ability to hold them until maturity. Securities to be held for indefinite periods of time are classified as available for sale and carried at fair value, with the unrealized holding gains and losses reported as a component of other comprehensive income (loss), net of tax. Securities available for sale are used as part of Trustmark’s interest rate risk management strategy and may be sold in response to changes in interest rates, changes in prepayment rates and other factors. Management determines the appropriate classification of securities at the time of purchase.

The amortized cost of debt securities classified as securities held to maturity or securities available for sale is adjusted for amortization of premiums and accretion of discounts to maturity of the security using the interest method. Such amortization or accretion is included in interest on securities. Realized gains and losses are determined using the specific identification method and are included in noninterest income as securities gains (losses), net.

Securities transferred from the available for sale category to the held to maturity category are recorded at fair value at the date of transfer. Unrealized holding gains or losses associated with the transfer of securities from available for sale to held to maturity are included in the balance of accumulated other comprehensive income (loss), net of tax, in the consolidated balance sheets. These unrealized holding gains or losses are amortized over the remaining life of the security as a yield adjustment in a manner consistent with the amortization or accretion of the original purchase premium or discount on the associated security.

Allowance for Credit Losses (ACL)

Financial Accounting Standards Board (FASB) Accounting Standard Update (ASU) 2016-13, “Financial Instruments-Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments,” was adopted by Trustmark on January 1, 2020. FASB Accounting Standard Codification (ASC) Topic 326 requires a current expected credit losses methodology for estimating allowances for credit losses and applies to all financial instruments carried at amortized cost, including securities held to maturity, and makes targeted improvements to the accounting for credit losses on securities available for sale.

Under FASB ASC Topic 326, the ACL is an estimate measured using relevant information about past events, including historical credit loss experience on financial assets with similar risk characteristics, current conditions, and reasonable and supportable forecasts that affect the collectability of the remaining cash flows over the contractual term of the financial assets.

Trustmark adopted a zero-credit loss assumption for certain classes of securities. This zero-credit loss assumption applies to debt issuances of the U.S. Treasury and agencies and instrumentalities of the United States government. The reasons behind the adoption of the zero-credit loss assumption were as follows:

•
High credit rating
•
Long history with no credit losses
•
Guaranteed by a sovereign entity
•
Widely recognized as “risk-free rate”
•
Can print its own currency
•
Currency is routinely held by central banks, used in international commerce, and commonly viewed as reserve currency
•
Currently under the U.S. Government conservatorship or receivership

Trustmark continuously monitors any changes in economic conditions, credit downgrades, changes to explicit or implicit guarantees granted to certain debt issuers, and any other relevant information that would indicate potential credit deterioration and prompt Trustmark to reconsider its zero-credit loss assumption.

Securities Available for Sale

FASB ASC Subtopic 326-30, “Financial Instruments-Credit Losses-Available-for-Sale Debt Securities,” replaced the concept of other-than-temporarily impaired with the ACL. Unlike securities held to maturity, securities available for sale are evaluated on an individual level and pooling of securities is not allowed.

Quarterly, Trustmark evaluates if any security has a fair value less than its amortized cost. Once these securities are identified, in order to determine whether a decline in fair value resulted from a credit loss or other factors, Trustmark performs further analysis as outlined below:

•
Review the extent to which the fair value is less than the amortized cost and observe the security’s lowest credit rating as reported by third-party credit ratings companies.
•
The securities that violate the credit loss triggers above would be subjected to additional analysis that may include, but is not limited to: changes in market interest rates, changes in securities credit ratings, security type, service area economic factors, financial performance of the issuer/or obligor of the underlying issue and third-party guarantee.
•
If Trustmark determines that a credit loss exists, the credit portion of the allowance will be measured using a discounted cash flow (DCF) analysis using the effective interest rate as of the security’s purchase date. The amount of credit loss Trustmark records will be limited to the amount by which the amortized cost exceeds the fair value.

The DCF analysis utilizes contractual maturities, as well as third-party credit ratings and cumulative default rates published annually by Moody’s Investor Service (Moody’s).

Accrued interest receivable is excluded from the estimate of credit losses for securities available for sale and reported in other assets on the consolidated balance sheets.

Securities Held to Maturity

FASB ASC Subtopic 326-20, “Financial Instruments-Credit Losses-Measured at Amortized Cost,” requires institutions to measure expected credit losses on financial assets carried at amortized cost on a collective or pool basis when similar risks exist. Trustmark uses several levels of segmentation to measure expected credit losses for its held to maturity securities:

•
The portfolio is segmented into agency and non-agency securities.
•
The non-agency securities are separated into municipal, mortgage, and corporate securities.

Each individual segment is categorized by third-party credit ratings.

As discussed above, Trustmark has determined that for certain classes of securities it would be appropriate to assume the expected credit loss to be zero, which include debt issuances of the U.S. Treasury and agencies and instrumentalities of the United States government. This assumption is reviewed and attested to quarterly. Trustmark uses an internally built model to verify the accuracy of third-party provided calculations.

Accrued interest receivable is excluded from the estimate of credit losses for securities held to maturity and included in other assets on the consolidated balance sheets.

Trustmark monitors the credit quality of securities held to maturity on a monthly basis through credit ratings.

Loans Held for Sale (LHFS)

Primarily, all mortgage loans purchased from wholesale customers or originated in Trustmark’s General Banking Segment are considered to be held for sale. In certain circumstances, Trustmark will retain a mortgage loan in its portfolio based on banking relationships or certain investment strategies. Trustmark has elected to account for its LHFS under the fair value option permitted by FASB ASC Topic 825, “Financial Instruments,” with interest income on the LHFS reported in interest and fees on LHFS and LHFI. Trustmark reports unrealized gains and losses resulting from changes in the fair value of the LHFS accounted for under the fair value option as noninterest income in mortgage banking, net. LHFS are actively managed and monitored and certain market risks of the loans may be mitigated through the use of derivatives. These derivative instruments are carried at fair value with changes in the fair value reported as noninterest income in mortgage banking, net. Changes in the fair value of the LHFS are largely offset by changes in the fair value of the derivative instruments. Election of the fair value option allows Trustmark to reduce the accounting volatility that would otherwise result from the asymmetry created by accounting for its LHFS at the lower of cost or fair value and the derivative instruments at fair value. Realized gains and losses upon ultimate sale of the loans are reported as noninterest income in mortgage banking, net.

Government National Mortgage Association (GNMA) optional repurchase programs allow financial institutions to buy back individual delinquent mortgage loans that meet certain criteria from the securitized loan pool for which the institution provides servicing. At the servicer’s option and without GNMA’s prior authorization, the servicer may repurchase such a delinquent loan for an amount equal to 100 percent of the remaining principal balance of the loan. Under FASB ASC Topic 860, “Transfers and Servicing,” this buy-back option is considered a conditional option until the delinquency criteria are met, at which time the option becomes unconditional. When Trustmark is deemed to have regained effective control over these loans under the unconditional buy-back option, the loans can no longer be reported as sold and must be brought back onto the balance sheet as LHFS, regardless of whether Trustmark intends to exercise the buy-back option. These loans are reported as LHFS with the offsetting liability being reported as short-term borrowings. The fair value option election does not apply to the GNMA optional repurchase loans which do not meet the requirements under FASB ASC Topic 825 to be accounted for under the fair value option.

Trustmark defers the upfront loan fees and costs related to the LHFS. In general, the LHFS are only retained on Trustmark’s balance sheet for 30 to 45 days before they are pooled and sold in the secondary market. The difference between deferring these loan fees and costs until the loans are sold and recognizing them in earnings as incurred as required by FASB ASC Subtopic 825-10 is considered immaterial. Deferred loan fees and costs are reflected in the basis of the LHFS and, as such, impact the resulting gain or loss when the loans are sold.

Loans Held for Investment (LHFI)

LHFI are loans that management has the intent and ability to hold for the foreseeable future or until maturity or pay-off and are reported at amortized cost net of the ACL. Amortized cost is the amount of unpaid principal, adjusted for the net amount of direct costs and nonrefundable loan fees associated with lending. The net amount of nonrefundable loan origination fees and direct costs associated with the lending process, including commitment fees, is deferred and accreted to interest income over the lives of the loans using a method that approximates the interest method. Interest on LHFI is accrued and recorded as interest income based on the outstanding principal balance.

Past due LHFI are loans contractually past due 30 days or more as to principal or interest payments. A LHFI is classified as nonaccrual, and the accrual of interest on such loan is discontinued, when the contractual payment of principal or interest becomes 90 days past due on commercial credits and 120 days past due on non-business purpose credits. In addition, a credit may be placed on nonaccrual at any other time Management has serious doubts about further collectibility of principal or interest according to the contractual terms, even though the loan is currently performing. A LHFI may remain in accrual status if it is in the process of collection and well secured. When a LHFI is placed in nonaccrual status, interest accrued but not received is reversed against interest income. Interest payments received on nonaccrual LHFI are applied against principal under the cost-recovery method, until qualifying for return to accrual status. Under the cost-recovery method, interest income is not recognized until the principal balance is reduced to zero. LHFI are restored to accrual status when the obligation is brought current or has performed in accordance with the contractual terms for a reasonable period of time and the ultimate collectibility of the total contractual principal and interest is no longer in doubt.

Troubled Debt Restructuring (TDR)

A TDR occurs when a borrower is experiencing financial difficulties, and for related economic or legal reasons, a concession is granted to the borrower that Trustmark would not otherwise consider. Whatever the form of concession that might be granted by Trustmark, Management’s objective is to enhance collectibility by obtaining more cash or other value from the borrower or by increasing the probability of receipt by granting the concession than by not granting it. Other concessions may arise from court proceedings or may be imposed by law. In addition, TDRs also include those credits that are extended or renewed to a borrower who is not able to obtain funds from sources other than Trustmark at a market interest rate for new debt with similar risk.

A formal TDR may include, but is not necessarily limited to, one or a combination of the following situations:

•
Trustmark accepts a third-party receivable or other asset(s) of the borrower, in lieu of the receivable from the borrower.
•
Trustmark accepts an equity interest in the borrower in lieu of the receivable.
•
Trustmark accepts modification of the terms of the debt including but not limited to:
o
Reduction (absolute or contingent) of the stated interest rate to below the current market rate.
o
Extension of the maturity date or dates at a stated interest rate lower than the current market rate for new debt with similar risk.
o
Reduction (absolute or contingent) of the face amount or maturity amount of the debt as stated in the note or other agreement.
o
Reduction (absolute or contingent) of accrued interest.

TDRs are addressed in Trustmark’s Loan Policy Manual, and in accordance with that policy, any modifications or concessions that may result in a TDR are subject to a special approval process which allows for control, identification, and monitoring of these arrangements. Prior to granting a concession, a revised borrowing arrangement is proposed which is structured so as to improve collectability of the loan in accordance with a reasonable repayment schedule with any loss promptly identified. It is supported by a thorough evaluation of the borrower’s financial condition and prospects for repayment under those revised terms. Other TDRs arising from renewals or extensions of existing debt are routinely identified through the processes utilized in the Problem Loan Committee and in the Credit Quality Review Committee. TDRs are subsequently reported to the Directors’ Credit Policy Committee on a quarterly basis and are disclosed in Trustmark’s consolidated financial statements in accordance with GAAP and regulatory reporting guidance.

A TDR in which Trustmark receives physical possession of the borrower’s assets, regardless of whether formal foreclosure or repossession proceedings take place, is accounted for in accordance with FASB ASC Subtopic 310-40, “Receivables-Troubled Debt Restructurings by Creditors.” Thus, the loan is treated as if assets have been received in satisfaction of the loan and reported as a foreclosed asset.

A TDR may be returned to accrual status if Trustmark is reasonably assured of repayment of principal and interest under the modified terms and the borrower has demonstrated sustained performance under those terms for a period of at least six months. Otherwise, the restructured loan must remain on nonaccrual.

Purchased Credit Deteriorated (PCD) Loans

Purchased loans which have experienced more than insignificant credit deterioration since origination are considered PCD loans. An initial ACL for PCD loans is determined at acquisition using the same ACL methodology as the LHFI. The initial ACL determined on a collective basis is allocated to individual loans. PCD loans are reported at the amortized cost, which equals the loan purchased price plus the initial ACL. The difference between the amortized cost basis of the PCD loan and the par value of the loan is the noncredit premium or discount, which is amortized into interest income over the life of the loan. Subsequent changes to the ACL are recorded through the PCL, LHFI.

Upon adoption of FASB ASC Topic 326, Trustmark elected to maintain pools of loans that were previously accounted for under FASB ASC Subtopic 310-30, “Receivables-Loans and Debt Securities Acquired with Deteriorated Credit Quality,” and will continue to account for these pools as a unit of account. Loans are only removed from the existing loan pools if they are written off, paid off or sold. Upon adoption of FASB ASC Topic 326, the ACL was determined for each pool and added to the pool’s carrying value to establish a new amortized cost basis. The difference between the unpaid principal balance of the pool and the new amortized cost basis is the noncredit premium or discount which will be amortized into interest income over the remaining life of the pool. Changes to the ACL after adoption of FASB ASC Topic 326 are recorded through the PCL, LHFI.

ACL

LHFI

Trustmark’s ACL methodology for LHFI is based upon guidance within FASB ASC Subtopic 326-20 as well as regulatory guidance from its primary regulator. The ACL on LHFI is a valuation account that is deducted from the loans’ amortized cost basis to present the net amount expected to be collected on the loans. Credit quality within the LHFI portfolio is continuously monitored by Management and is reflected within the ACL on LHFI. The ACL on LHFI is an estimate of expected losses inherent within Trustmark’s existing LHFI portfolio. The ACL on LHFI is adjusted through the PCL, LHFI and reduced by the charge off of loan amounts, net of recoveries.

The loan loss estimation process involves procedures to appropriately consider the unique characteristics of Trustmark’s LHFI portfolio segments. These segments are further disaggregated into loan classes, the level at which credit risk is estimated. When computing allowance levels, credit loss assumptions are estimated using a model that categorizes loan pools based on loss history, delinquency status and other credit trends and risk characteristics, including current conditions and reasonable and supportable forecasts about the future. Evaluations of the portfolio and individual credits are inherently subjective, as they require estimates, assumptions and judgments as to the facts and circumstances of particular situations. Determining the appropriateness of the allowance is complex and requires judgement by Management about the effect of matters that are inherently uncertain. In future periods, evaluations of the overall LHFI portfolio, in light of the factors and forecasts then prevailing, may result in significant changes in the allowance and credit loss expense.

Trustmark estimates the ACL on LHFI using relevant available information, from internal and external sources, relating to past events, current conditions and reasonable and supportable forecasts including the novel coronavirus (COVID-19) pandemic effects. Trustmark uses a third-party software application to calculate the quantitative portion of the ACL on LHFI using a methodology and assumptions specific to each loan pool. The qualitative portion of the allowance is based on general economic conditions and other internal and external factors affecting Trustmark as a whole as well as specific LHFI. Factors considered include the following: lending policies and procedures, economic conditions and concentrations of credit, nature and volume of the portfolio, performance trends, and external factors. The quantitative and qualitative portions of the allowance are added together to determine the total ACL on LHFI, which reflects Management’s expectations of future conditions based on reasonable and supportable forecasts.

The methodology for estimating the amount of expected credit losses reported in the ACL on LHFI has two basic components: a collective, or pooled, component for estimated expected credit losses for pools of loans that share similar risk characteristics, and an asset-specific component involving individual loans that do not share risk characteristics with other loans and the measurement of expected credit losses for such individual loans. In estimating the ACL for the collective component, loans are segregated into loan pools based on loan product types and similar risk characteristics.

Trustmark determined that reasonable and supportable forecasts could be made for a twelve-month period for all of its loan pools. To the extent the lives of the loans in the LHFI portfolio extend beyond this forecast period, Trustmark uses a reversion period of four quarters and reverts to the historical mean on a straight-line basis over the remaining life of the loans.

The ACL for individual loans that do not share risk characteristics with other loans is measured as the difference between the discounted value of expected future cash flows, based in the effective interest rate at origination, and the amortized cost basis of the loan, or the net realizable value. The ACL is the difference between the loan’s net realizable value and its amortized cost basis (net of previous charge-offs and deferred loan fees and costs), except for collateral-dependent loans. A loan is collateral dependent when the borrower is experiencing financial difficulty and repayment of the loan is expected to be provided substantially through the sale of the collateral. The expected credit loss for collateral-dependent loans is measured as the difference between the amortized cost basis of the loan and the fair value of the collateral, adjusted for the estimated cost to sell. Fair value estimates for collateral-dependent loans are derived from appraised values based on the current market value or the ‘as is’ value of the collateral, normally from recently received and reviewed appraisals. Current appraisals are ordered on an annual basis based on the inspection date or more often if market conditions necessitate. Appraisals are obtained from state-certified appraisers and are based on certain assumptions, which may include construction or development status and the highest and best use of the property. These appraisals are reviewed by Trustmark’s Appraisal Review Department to ensure they are acceptable, and values are adjusted down for costs associated with asset disposal. If the calculated expected credit loss is determined to be permanent or not recoverable, the amount of the expected credit loss is charged off.

Accrued interest receivable is not included in the amortized cost basis of Trustmark’s LHFI and, therefore, excluded from the estimate of credit losses for LHFI.

LHFI are charged off against the ACL on LHFI, with any subsequent recoveries credited back to the ACL on LHFI account. Expected recoveries may not exceed the aggregate of amounts previously charged off and expected to be charged off. Trustmark’s Loan Policy Manual dictates the guidelines to be followed in determining when a loan is charged off. Commercial purpose LHFI are charged off when a determination is made that the loan is uncollectible and continuance as a bankable asset is not warranted. Consumer LHFI secured by 1-4 family residential real estate are generally charged off or written down to the fair value of the collateral less cost to sell at no later than 180 days of delinquency. Non-real estate consumer purpose LHFI, including both secured and unsecured loans, are generally charged off by 120 days of delinquency. Consumer revolving lines of credit and credit card debt are generally charged off on or prior to 180 days of delinquency.

ACL on Off-Balance Sheet Credit Exposures

Under FASB ASC Subtopic 326-20, Trustmark is required to estimate expected credit losses for off-balance sheet credit exposures which are not unconditionally cancellable. Trustmark maintains a separate ACL on off-balance sheet credit exposures, including unfunded loan commitments and letters of credit.

Expected credit losses for off-balance sheet credit exposures are estimated by calculating a commitment usage factor over the contractual period for exposures that are not unconditionally cancellable by Trustmark. Trustmark calculates a loan pool level unfunded amount for the period. Trustmark views the loan pools as either closed-ended or open-ended. Closed-ended loan pools are those that typically fund up to 100% such as other construction and nonowner-occupied. Open-ended loan pools are those that behave similar to a revolver such as the commercial and industrial and home equity line of credit loan pools. In addition to the unfunded balances, Trustmark uses a funding rate for loan pools that are considered open-ended. Trustmark calculates the funding rate of the open-ended loan pools each period. In order to mitigate volatility and incorporate historical experience in the funding rate, Trustmark uses a twelve-quarter moving average. For the closed-ended loan pools, Trustmark takes a conservative approach and uses a 100% funding rate. The expected funding rate is applied to each pool’s unfunded commitment balances to ensure that reserves will be applied to each pool based on balances expected to be funded based upon historical levels. In addition to the funding rate being applied to the unfunded commitment balance, a reserve rate is applied that incorporates both quantitative and qualitative aspects of the current period’s expected credit loss rate. The reserve rate is loan pool specific and is applied to the unfunded amount to ensure loss factors, both quantitative and qualitative, are being considered on the unfunded portion of the loan pool, consistent with the methodology applied to the funded loan pools. Adjustments to the ACL on off-balance sheet credit exposures are recorded to the PCL, off-balance sheet credit exposures.

No credit loss estimate is reported for off-balance sheet credit exposures that are unconditionally cancellable by Trustmark or for undrawn amounts under such arrangements that may be drawn prior to the cancellation of the arrangement.

Premises and Equipment, Net

Premises and equipment are reported at cost, less accumulated depreciation and amortization. Depreciation is charged to expense over the estimated useful lives of the assets, which are up to thirty-nine years for buildings and three to ten years for furniture and equipment. Leasehold improvements are amortized over the terms of the respective leases or the estimated useful lives of the improvements, whichever is shorter. In cases where Trustmark has the right to renew the lease for additional periods, the lease term for the purpose of calculating amortization of the capitalized cost of the leasehold improvements is extended when Trustmark is “reasonably assured” that it will renew the lease. Depreciation and amortization expenses are computed using the straight-line method. Trustmark continually evaluates whether events and circumstances have occurred that indicate that such long-lived assets have become impaired. Measurement of any impairment of such long-lived assets is based on the fair values of those assets.

Branch closures and purchased land held for future branch expansion for more than five years are evaluated to determine if the related land, buildings and building improvements should be transferred to assets held for sale in accordance with FASB ASC Topic 360, “Property, Plant and Equipment.” The property is transferred to assets held for sale at the lower of its carrying value or fair value less cost to sell. An impairment loss is recorded at the time of transfer if the carrying value of the assets exceeds the fair value. Impairment losses are recorded as noninterest expense in other expense.

Mortgage Servicing Rights (MSR)

Trustmark recognizes as assets the rights to service mortgage loans based on the estimated fair value of the MSR when loans are sold and the associated servicing rights are retained. Trustmark has elected to account for the MSR at fair value.

The fair value of the MSR is determined using discounted cash flow techniques benchmarked against third-party valuations. Estimates of fair value involve several assumptions, including the key valuation assumptions about market expectations of future prepayment rates, interest rates and discount rates which are provided by a third-party firm. Prepayment rates are projected using an industry standard prepayment model. The model considers other key factors, such as a wide range of standard industry assumptions tied to specific portfolio characteristics such as remittance cycles, escrow payment requirements, geographic factors, foreclosure loss exposure, VA no-bid exposure, delinquency rates and cost of servicing, including base cost and cost to service delinquent mortgages. Prevailing market conditions at the time of analysis are factored into the accumulation of assumptions and determination of servicing value.

Trustmark economically hedges changes in the fair value of the MSR attributable to interest rates. See Note 1 – Significant Accounting Policies, “Derivative Financial Instruments – Derivatives Not Designated as Hedging Instruments” for information regarding these derivative instruments.

Trustmark receives annual servicing fee income for loans serviced, which is recorded as noninterest income in mortgage banking, net. The fees are based on a contractual percentage of the outstanding principal or a fixed amount per loan and are recorded as income when earned. Late fees and ancillary fees related to loan servicing are not considered material.

Goodwill and Identifiable Intangible Assets

Trustmark accounts for goodwill and other intangible assets in accordance with FASB ASC Topic 350, “Intangibles – Goodwill and Other.” Goodwill, which represents the excess of cost over the fair value of the net assets of an acquired business, is not amortized but tested for impairment on an annual basis, which is October 1 for Trustmark, or more often if events or circumstances indicate that there may be impairment.

Identifiable intangible assets are acquired assets that lack physical substance but can be distinguished from goodwill because of contractual or legal rights or because the assets are capable of being sold or exchanged either on their own or in combination with a related contract, asset or liability. Trustmark’s identifiable intangible assets primarily relate to core deposits, insurance customer relationships and borrower relationships. These intangibles, which have definite useful lives, are amortized on an accelerated basis over their estimated useful lives. In addition, these intangibles are evaluated for impairment whenever events and changes in circumstances indicate that the carrying amount should be reevaluated. Trustmark also purchased banking charters in order to facilitate its entry into the states of Florida and Texas. These identifiable intangible assets are being amortized on a straight-line method over 20 years.

Other Real Estate

Other real estate includes assets that have been acquired in satisfaction of debt through foreclosure and is recorded at the fair value less cost to sell (estimated fair value) at the time of foreclosure. Fair value is based on independent appraisals and other relevant factors. When foreclosed real estate is received in full satisfaction of a loan, the amount, if any, by which the recorded amount of the loan exceeds the estimated fair value of the property is a loss charged against the ACL at the time of foreclosure. If the recorded amount of the loan is less than the estimated fair value of the property, a credit is recorded to write-downs of other real estate at the time of foreclosure.

Other real estate is revalued on an annual basis or more often if market conditions necessitate. An other real estate specific reserve may be recorded through other real estate expense for declines in fair value subsequent to foreclosure based on recent appraisals or changes in market conditions. Subsequent to foreclosure, losses on the periodic revaluation of the property are charged against an existing other real estate specific reserve or as noninterest expense in other real estate expense if a reserve does not exist. Costs of operating and maintaining the properties as well as gains or losses on their disposition are also included in other real estate expense as incurred. Improvements made to properties are capitalized if the expenditures are expected to be recovered upon the sale of the properties.

Leases

Once Trustmark identifies and determines certain contracts are leases according to FASB ASC Topic 842, "Leases," Trustmark classifies it as an operating or a finance lease and recognizes a right-of-use asset and a lease liability at the lease commencement date. The lease liability represents the present value of the lease payments that remain unpaid as of the commencement date and the right-of-use asset is the initial lease liability recognized for the lease plus any lease payments made to the lessor at or before the commencement date as well as any initial direct costs less any lease incentives received. Trustmark accounts for the lease and nonlease components separately as such amounts are readily determinable.

Trustmark’s finance leases consist of building and equipment leases. Trustmark recognizes interest expense based on the discount rate of the lease as interest expense in other interest expense and recognizes depreciation expense on a straight-line basis over the lease term as noninterest expense in net occupancy – premises for building leases and in equipment expense for equipment leases. Trustmark amortizes the right-of-use asset over the life of the lease term on a straight-line basis. Trustmark’s lease liabilities are measured as the present value of the remaining lease payments throughout the lease term. Trustmark records its finance lease right-of-use assets in premises and equipment, net and its finance lease liabilities in other borrowings.

Trustmark’s operating leases primarily consist of building and land leases. Trustmark recognizes lease rent expense on a straight-line basis over the term of the lease contract and records it as noninterest expense in net occupancy – premises for building and land leases and in equipment expense for equipment leases. Trustmark’s amortization of the right-of-use asset is the difference between the straight-line lease expense and the interest expense recognized on the lease liability during the period. Trustmark’s lease liabilities are measured as the present value of the remaining lease payments throughout the lease term.

Trustmark’s leases typically have one or more renewal options included in the lease contract. Due to the nature of Trustmark’s leases, for leases with renewal options available, Trustmark considers the first renewal option as reasonably certain to renew and is therefore included in the measurement of the right-of-use assets and lease liabilities.

In order to calculate its right-of-use assets and lease liabilities, FASB ASC Topic 842 requires Trustmark to use the rate of interest implicit in the lease when readily determinable. If the rate implicit in the lease is not readily determinable, Trustmark is required to use

its incremental borrowing rate, which is the rate of interest Trustmark would have to pay to borrow on a collateralized basis over a similar term in a similar economic environment. Trustmark was able to determine the implicit interest rate for its equipment leases and used that rate as its discount rate. Since the implicit interest rate for most of its building and land leases were not readily determinable, Trustmark used its incremental borrowing rate.

Trustmark made an accounting policy election to not recognize short-term leases (12 months or less) on the balance sheet. Trustmark’s short-term leases primarily include automated teller machines. For short-term leases, Trustmark recognizes lease expense on a straight-line basis over the lease term.

Federal Home Loan Bank (FHLB) and Federal Reserve Bank of Atlanta Stock

Trustmark accounts for its investments in FHLB and Federal Reserve Bank of Atlanta stock in accordance with FASB ASC Subtopic 942-325, “Financial Services-Depository and Lending-Investments-Other.” FHLB and Federal Reserve Bank stock are equity securities that do not have a readily determinable fair value because its ownership is restricted and it lacks a market. FHLB and Federal Reserve Bank stock are carried at cost and evaluated for impairment. Trustmark’s investment in member bank stock is included in other assets in the accompanying consolidated balance sheets. At December 31, 2021 and 2020, Trustmark’s investment in member bank stock totaled $32.9 million and $31.7 million, respectively. The carrying value of Trustmark’s member bank stock gave rise to no other-than-temporary impairment for the years ended December 31, 2021, 2020 and 2019.

Revenue from Contracts with Customers

Trustmark accounts for revenue from contracts with customers in accordance with FASB ASC Topic 606, “Revenue from Contracts with Customers,” which provides that revenue be recognized in a manner that depicts the transfer of goods or services to a customer in an amount that reflects the consideration Trustmark expects to be entitled to in exchange for those goods or services. Revenue from contracts with customers is recognized either over time in a manner that depicts Trustmark’s performance, or at a point in time when control of the goods or services are transferred to the customer. Trustmark’s noninterest income, excluding all of mortgage banking, net and securities gains (losses), net and portions of bank card and other fees and other income, are considered within the scope of FASB ASC Topic 606. Gains or losses on the sale of other real estate, which are included in Trustmark’s noninterest expense as other real estate expense, are also within the scope of FASB ASC Topic 606.

General Banking Segment

Service Charges on Deposit Accounts

In general, deposit accounts represent contracts with customers with no fixed duration and can be terminated or modified by either party at any time without compensation to the other party. According to FASB ASC Topic 606, a contract that can be terminated by either party without compensation does not exist for periods beyond the then-current period. Therefore, deposit contracts are considered to renew day-to-day if not minute-to-minute.

Deposit contracts have a single continuous or stand-ready service obligation whereby Trustmark makes customer funds available for use by the customer as and when the customer chooses as well as other services such as statement rendering and online banking. The specific services provided vary based on the type of deposit account. These services are not individually distinct, but are distinct as a group, and therefore, constitute a single performance obligation which is satisfied over time and qualifies as a series of distinct service periods.

Trustmark receives a fixed service charge amount as consideration monthly for services rendered. The service charge amount varies based on the type of deposit account. Some of the service charge revenue is subject to refund provisions, which is variable consideration under the guidelines of FASB ASC Topic 606. Trustmark has elected the ‘as-invoiced’ practical expedient permitted under FASB ASC Topic 606 for recognition of service charge revenue. Therefore, revenue is recognized at the time and in the amount the customer is charged. The service charge revenue is presented net of refunded amounts on Trustmark’s consolidated statements of income.

Services related to non-sufficient funds, overdrafts, excess account activity, stop payments, dormant accounts, etc. are considered optional purchases for a deposit contract because there is no performance obligation for Trustmark until the service is requested by the customer or the occurrence of a triggering event. Fees for these services are fixed amounts and are charged to the customer when the service is performed. Revenue is recognized at the time the customer is charged.

Bank Card and Other Fees

Revenue from contracts with customers in bank card and other fees includes income related to interchange fees and various other contracts which primarily consists of contracts with a single performance obligation that is satisfied at a point in time. Trustmark receives a fixed consideration amount once the performance obligation is completed for these contracts. Trustmark reports revenue from these contracts net of amounts refunded or due to a third party.

As both a debit and credit card issuer, Trustmark receives an interchange fee for every card transaction completed by its customers with a merchant. Trustmark receives two types of interchange fees: point-of-sale transactions in which the customer must enter the PIN associated with the card to complete the transaction (a debit card transaction), and signature transactions in which the signature of the customer is required to complete the transaction (a credit card transaction).

Trustmark, as the card issuing or settlement bank, has a contract (implied based on customary business practices) with the payment network in which Trustmark has a single continuous service obligation to make funds available for settlement of the card transaction. Trustmark’s service obligation is satisfied over time and qualifies as a series of distinct service periods. Trustmark receives interchange fees as consideration for services rendered in the amount established by the respective payment network. The interchange fees are established by the payment network based on the type of transaction and is posted on their website. Trustmark receives and records interchange fee revenue from the payment networks daily net of all fees and amounts due to the payment network.

Other Income

Revenue from contracts with customers in other income includes income related to cash management services and other contracts with a single performance obligation that is satisfied at a point in time. Trustmark receives a fixed consideration amount once the performance obligation is completed for these contracts. Trustmark reports revenue from these contracts net of amounts refunded or due to a third party.

Trustmark provides cash management services through the delivery of various products and services offered to its business and municipal customers including various departments of state, city and local governments, universities and other non-profit entities. Similar to the deposit account contracts, the cash management contracts primarily represent contracts with customers with no fixed duration and can be terminated or modified by either party at any time without compensation to the other party. Therefore, cash management contracts are generally considered to renew day-to-day if not minute-to-minute.

Cash management contracts have a single continuous or stand-ready service obligation whereby Trustmark makes a specific service or group of services available for use by the customer as and when the customer chooses. The specific services provided vary based on the type of account or product. These services are not individually distinct, but are distinct as a group, and therefore, constitute a single performance obligation which is satisfied over time and qualifies as a series of distinct service periods.

Trustmark receives a set service charge or maintenance fee amount as consideration monthly for services rendered. However, some of the fees are based on the number of transactions that occur (i.e., flat fee for a set number of transactions per month then an additional charge for each transaction after that) or the average daily account balance maintained by the customer during the month and a small amount of the cash management fee revenue is subject to refund provisions. These fees represent variable consideration under the guidelines of FASB ASC Topic 606. Trustmark has elected the ‘as-invoiced’ practical expedient permitted under FASB ASC Topic 606 for recognition of cash management fee revenue. The cash management revenue is presented net of any refunded amounts on Trustmark’s consolidated statements of income.

Trustmark’s merchant services provider contracts directly with Trustmark business customers and provides Trustmark’s merchant customers card processing equipment and transaction processing services. Trustmark’s contract with the merchant services provider has a single-continuous service obligation to provide customer referrals for potential new accounts which is satisfied over time and qualifies as a series of distinct service periods. Trustmark receives a flat fee for each new account established and a percentage of the residual income related to transactions processed for Trustmark’s merchant customers each month as provided in the contract. Under the guidelines of FASB ASC Topic 606, the fee received for each new account and the profit sharing represent variable consideration. Revenue from merchant card services contracts is recognized monthly using a time-elapsed measure of progress. Trustmark has elected the ‘as-invoiced’ practical expedient permitted under FASB ASC Topic 606 for recognition of the merchant card services revenue.

Other Real Estate

Trustmark records a gain or loss from the sale of other real estate when control of the property transfers to the buyer. Trustmark records the gain or loss from the sale of other real estate in noninterest expense as other real estate expense. Other real estate sales for the year

ended December 31, 2021 resulted in a net loss of $1.9 million compared to a net gain of $897 thousand for the year ended December 31, 2020 and a net loss of $291 thousand for the year ended December 31, 2019.

In general, purchases of Trustmark’s other real estate property are not financed by Trustmark. Financing the purchase of other real estate is evaluated based upon the same lending policies and procedures as all other types of loans. Under FASB ASC Subtopic 610-20, “Other Income – Gains and Losses from the Derecognition of Nonfinancial Assets,” when Trustmark finances the sale of its other real estate to a buyer, Trustmark is required to assess whether the buyer is committed to perform their obligations under the contract and whether collectability of the transaction price is probable. Once these two criteria are met, Trustmark derecognizes the other real estate asset and records a gain or loss on the sale once control of the property is transferred to the buyer.

Wealth Management Segment

Trust Management

There are five categories of revenue included in trust management: personal trust and investments, retirement plan services, institutional custody, corporate trust and other. Each of these categories includes multiple types of contracts, service obligations and fee income. However, the majority of these contracts include a single service obligation that is satisfied over time, the customer is charged in arrears for services rendered and revenue is recognized when payment is received. In general, the time period between when the service obligation is completed and when payment from the customer is received is less than 30 days. Revenue from trust management contracts is primarily related to monthly service periods and based on the prior month-end’s market value. Some trust management revenue is mandated by a court order, while other revenue consists of flat fees. Trust management revenue based on an account’s market value represents variable consideration under the guidelines of FASB ASC Topic 606. Trustmark has elected the ‘as-invoiced’ practical expedient allowed under FASB ASC Topic 606 to account for the trust management revenue.

Assets under administration held by Trustmark in a fiduciary or agency capacity for customers are not included in Trustmark’s consolidated balance sheets.

Investment Services

Investment services includes both brokerage and annuity income. Trustmark has a contract with a third-party investment services company which contains a single continuous service obligation, to provide broker-dealer and advisory services to customers on behalf of the third-party, which is satisfied over time and qualifies as a series of distinct service periods. Trustmark serves as the agent between the third-party investment services company, the principle, and the customer. In accordance with the contract, Trustmark receives a monthly payment from the investment services company for commissions and advisory fees (asset management fees) earned on transactions completed in the prior month net of all charges and fees due to the investment services company. Trustmark recognizes revenue from the investment services company, net of the revenue sharing expense due to the investment services company, when the payments are received. Commissions vary from month-to-month based on the specific products and transactions completed. The advisory fees vary based on the average daily balance of the managed assets for the period. The commissions and advisory fees represent variable consideration under FASB ASC Topic 606. Trustmark has elected the ‘as-invoiced’ practical expedient allowed under FASB ASC Topic 606 to recognize revenue from the investment services company.

Insurance Segment

Fisher Brown Bottrell Insurance, Inc. (FBBI), a wholly-owned subsidiary of Trustmark National Bank (TNB), operates as an insurance broker representing the policyholder and has no allegiance with any one insurance provider. FBBI serves as the agent between the insurance provider (either insurance carrier or broker), the principal, and the policy holder, the customer. FBBI has four general categories of insurance contracts: commercial, commercial installments, personal and employee benefits. FBBI’s insurance contracts contain a single performance obligation, policy placement, which is satisfied at a point in time. FBBI’s performance obligation is satisfied as of the policy effective date.

In addition to policy placement, FBBI provides various other periodic services to the policyholders for which no additional fee is charged. These additional services are not considered material to the overall contract. Trustmark has elected the immaterial promises practical expedient allowed under FASB ASC Topic 606, which allows Trustmark to not assess whether promised services are performance obligations if the promised services are immaterial in the context of the contract. Therefore, the immaterial additional services offered to policyholders are not considered a performance obligation and no amount of the contract transaction price is allocated to these services.

In general, the transaction price for the insurance contracts is an established commission amount agreed upon by FBBI and the insurance provider. The commission amount varies based on the insurance provider and the type of policy. There are a small number of insurance contracts which FBBI does not receive a commission but charges a fee directly to the policyholder.

Most of the commissions from insurance contracts are subject to clawback provisions which require FBBI to refund a prorated amount of the commissions received as a result of policy cancellations or lapses. Commissions subject to clawback provisions are considered variable consideration under FASB ASC Topic 606. Trustmark believes the expected value method of estimating the commissions subject to clawback provisions would best predict the amount of commissions FBBI will be entitled to because of the large number of insurance contracts with similar characteristics and the number of possible outcomes. FBBI calculates a separate weighted-average percentage (returned commissions percentage) based on actual cancellations over the previous three years for commercial lines, bonds, and personal lines. FBBI applies the respective returned commissions percentage to the commission revenue earned related to insurance contracts within these three lines each month to calculate the estimated returned commissions amount, which represents the variable consideration subject to variable constraint. Revenue from insurance contracts is reported net of the variable consideration subject to variable constraint. FBBI performs an analysis of the returned commissions reserve quarterly and adjusts the reserve balance based on all available information including actual cancellations and the remaining term of the contract. The returned commission percentage is updated annually.

Insurance Producers at FBBI earn commission as compensation for each policy they are responsible for placing. Commissions are not paid to Producers immediately at the policy effective date, can be subject to clawback provisions and can vary by Producer. Effective April 1, 2018, FBBI implemented a ‘pay when paid’ system. Under the ‘pay when paid’ system, Producers receive the commissions for which they are entitled at the end of the month following the month in which FBBI receives payment from the insurance provider or customer. Under FASB ASC Subtopic 340-40, “Other Assets and Deferred Costs: Contracts with Customers,” the commission paid to the Producers is an incremental cost of obtaining a contract, which should be capitalized and amortized in a manner consistent with the pattern of transfer of the service related to the contract acquisition asset. Insurance contracts have a term of one year or less; therefore, Trustmark has elected the cost of obtaining a contract practical expedient allowed under FASB ASC Subtopic 340-40, which allows FBBI to recognize the incremental costs of obtaining a contract as an expense when incurred if the amortization period of the contract asset that FBBI otherwise would have recognized is one year or less. Commission expense is recorded as noninterest expense in salaries and employee benefits when paid to the Producers.

Commercial Insurance

Revenue from FBBI’s commercial insurance contracts (both agency billed and direct billed) consists of a set commission amount, which is subject to clawback provisions. Revenue from commercial installment insurance contracts consists of a set commission amount, which is not subject to clawback provisions. An estimated commission amount is entered in the agency management system when a commercial insurance contract is placed. FBBI records a top line receivable based on the estimated commission amount entered in the system each month, along with a corresponding amount recognized as revenue, and then adjusts the estimated receivable when the commissions are received from the insurance provider or customer.

Personal Insurance

Revenue from FBBI’s personal insurance contracts consists of a set commission amount, which is subject to clawback provisions, and is recognized when payment is received (generally 30-60 days after the policy effective date). Personal insurance contracts have a term of one year; therefore, recognizing the revenue from these contracts when payment is received is not materially different than recognizing the revenue at the policy effective date for any given period.

Employee Benefits Insurance

Revenue from FBBI’s employee benefits insurance contracts consists of a variable commission amount, which is not subject to clawback provisions, and is recognized when payment is received, typically on a monthly basis. Employee benefits insurance contracts have a set commission rate, but can vary from period to period based on changes in the number of employees covered by the policy (i.e., new hires and terminations). FBBI generally receives twelve monthly commission payments for these contracts with the initial payment being received approximately 60-90 days after the policy effective date. Under the guidelines of FASB ASC Topic 606, commissions from employee benefits insurance contracts represent fixed consideration because at contract inception (policy effective date) there is a set commission rate times a known number of covered employees. Changes in the number of covered employees are not known, nor can they be predicted, at contract inception. An increase or decrease in the number of covered employees after the policy effective date is considered a contract modification resulting from a change in scope and transaction price under FASB ASC Topic 606. This modification is treated as part of the existing contract because it does not add a distinct service. Employee benefits insurance contracts have a term of one year; therefore, recognizing the revenue from these contracts when payment is received is not materially different than recognizing the revenue at the policy effective date or the contract modification date for any given period.

Contingency Commission Insurance

In addition to the insurance contracts discussed above, FBBI has contracts with various insurance providers for which it receives contingency income based on volume of business and claims experience. FBBI is the principal and the insurance provider is the customer for these contingency commission insurance contracts. The contingency commission contracts have a single continuous or stand-ready service obligation whereby FBBI places policies with policyholders when acceptable to the insurance provider, which is satisfied over time. The contract term for these contingency commission contracts is one year. Revenue is recognized from the contingency commission contracts monthly using a time-elapsed measure of progress. FBBI accrues throughout the current year the amount of contingency commission income it expects to receive in the following year adjusted for a degree of uncertainty. FBBI updates a detail by insurance provider with the contingency commission income received, which is then compared to the total amount that was expected to be received. If actual receipts are higher or lower than the amount accrued in the prior year, the monthly accrual for the current year is adjusted accordingly.

Under the guidelines of FASB ASC Topic 606, revenue from contingency commission insurance contracts represents variable consideration and should be estimated using one of the two allowable methods subject to the variable consideration constraint. FBBI believes the most likely amount method to be the most appropriate method for estimating the variable consideration as there are only a few possible outcomes for each contract.

Derivative Financial Instruments

Trustmark maintains an overall interest rate risk management strategy that incorporates the use of derivative instruments to minimize significant unplanned fluctuations in earnings and cash flows caused by interest rate volatility. Trustmark’s interest rate risk management strategy involves modifying the repricing characteristics of certain assets and liabilities so that changes in interest rates do not adversely affect the net interest margin and cash flows. Under the guidelines of FASB ASC Topic 815, “Derivatives and Hedging,” all derivative instruments are required to be recognized as either assets or liabilities and carried at fair value on the balance sheet. The fair value of derivative positions outstanding is included in other assets and/or other liabilities in the accompanying consolidated balance sheets and in the net change in these financial statement line items in the accompanying consolidated statements of cash flows as well as included in noninterest income in the accompanying consolidated statements of income and other comprehensive income (loss), net of tax in the accompanying consolidated statements of comprehensive income. Trustmark’s interest rate swap derivative instruments are subject to master netting agreements, and therefore, eligible for offsetting in the consolidated balance sheets. Trustmark has elected to not offset any derivative instruments in its consolidated balance sheets.

Derivatives Not Designated as Hedging Instruments

As part of Trustmark’s risk management strategy in the mortgage banking area, derivative instruments such as forward sales contracts are utilized. Trustmark’s obligations under forward contracts consist of commitments to deliver mortgage loans, originated and/or purchased, in the secondary market at a future date. Changes in the fair value of these derivative instruments are recorded as noninterest income in mortgage banking, net and are offset by changes in the fair value of LHFS. See Note 1 – Significant Accounting Policies, “Loans Held for Sale (LHFS)” for information regarding the fair value option election.

Trustmark also utilizes derivative instruments such as interest rate lock commitments in its mortgage banking area. Rate lock commitments are residential mortgage loan commitments with customers, which guarantee a specified interest rate for a specified time period. Changes in the fair value of these derivative instruments are recorded as noninterest income in mortgage banking, net and are offset by the changes in the fair value of forward sales contracts.

Trustmark utilizes a portfolio of exchange-traded derivative instruments, such as Treasury note futures contracts and option contracts, to achieve a fair value return that economically hedges changes in the fair value of the MSR attributable to interest rates. These transactions are considered freestanding derivatives that do not otherwise qualify for hedge accounting. These exchange-traded derivative instruments are accounted for at fair value with changes in the fair value recorded as noninterest income in mortgage banking, net and are offset by changes in the fair value of the MSR. The MSR fair value represents the present value of future cash flows, which among other things includes decay and the effect of changes in interest rates. Ineffectiveness of hedging the MSR fair value is measured by comparing the change in the fair value of the hedge instruments to the change in the fair value of the MSR asset attributable to changes in interest rates and other market driven changes in valuation inputs and assumptions.

Trustmark offers certain derivatives products directly to qualified commercial lending clients seeking to manage their interest rate risk. Trustmark economically hedges interest rate swap transactions executed with commercial lending clients by entering into offsetting interest rate swap transactions with institutional derivatives market participants. Derivative transactions executed as part of this program are not designated as qualifying hedging relationships and are, therefore, carried at fair value with the change in fair value recorded as noninterest income in bank card and other fees. Because these derivatives have mirror-image contractual terms, in addition to collateral

provisions which mitigate the impact of non-performance risk, the changes in fair value are expected to substantially offset. The Chicago Mercantile Exchange rules legally characterize variation margin collateral payments made or received for centrally cleared interest rate swaps as settlements rather than collateral. As a result, centrally cleared interest rate swaps included in other assets and other liabilities are presented on a net basis in the accompanying consolidated balance sheets.

Income Taxes

Trustmark accounts for uncertain tax positions in accordance with FASB ASC Topic 740, “Income Taxes,” which clarifies the accounting and disclosure for uncertainty in tax positions. Under the guidance of FASB ASC Topic 740, Trustmark accounts for deferred income taxes using the liability method. Deferred tax assets and liabilities are based on temporary differences between the financial statement carrying amounts and the tax basis of Trustmark’s assets and liabilities. Deferred tax assets and liabilities are measured using the enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be realized or settled and are presented net in the accompanying consolidated balance sheets in other assets.

Stock-Based Compensation

Trustmark accounts for the stock and incentive compensation under the provisions of FASB ASC Topic 718, “Compensation – Stock Compensation.” Under this accounting guidance, fair value is established as the measurement objective in accounting for stock awards and requires the application of a fair value based measurement method in accounting for compensation cost, which is recognized over the requisite service period. Trustmark has elected to account for forfeitures of stock awards as they occur.

Statements of Cash Flows

For purposes of reporting cash flows, cash and cash equivalents include cash on hand and amounts due from banks. The following table reflects specific transaction amounts for the periods presented ($ in thousands):

 

 

 

Years Ended December 31,

 

 

 

2021

 

 

2020

 

 

2019

 

Income taxes paid

 

$

15,259

 

 

$

46,648

 

 

$

24,809

 

Interest paid on deposits and borrowings

 

 

24,429

 

 

 

42,968

 

 

 

83,997

 

Noncash transfers from loans to other real estate

 

 

770

 

 

 

635

 

 

 

8,598

 

Investment in tax credit partnership not funded

 

 

10,647

 

 

 

5,893

 

 

 

5,000

 

Finance right-of-use assets resulting from lease liabilities

 

 

92

 

 

 

—

 

 

 

9,326

 

Operating right-of-use assets resulting from lease liabilities

 

 

9,666

 

 

 

3,774

 

 

 

31,182

 

Transfer of long-term FHLB advances to short-term

 

 

—

 

 

 

651

 

 

 

—

 

Per Share Data

Trustmark accounts for per share data in accordance with FASB ASC Topic 260, “Earnings Per Share,” which provides that unvested share-based payment awards that contain non-forfeitable rights to dividends or dividend equivalents (whether paid or unpaid) are participating securities and shall be included in the computation of earnings per share (EPS) pursuant to the two-class method. Trustmark has determined that its outstanding unvested stock awards are not participating securities. Based on this determination, no change has been made to Trustmark’s current computation for basic and diluted EPS.

Basic EPS is computed by dividing net income by the weighted-average shares of common stock outstanding. Diluted EPS is computed by dividing net income by the weighted-average shares of common stock outstanding, adjusted for the effect of potentially dilutive stock awards outstanding during the period.

The following table reflects weighted-average shares used to calculate basic and diluted EPS for the periods presented (in thousands):

 

 

 

Years Ended December 31,

 

 

 

2021

 

 

2020

 

 

2019

 

Basic shares

 

 

62,788

 

 

 

63,505

 

 

 

64,630

 

Dilutive shares

 

 

185

 

 

 

141

 

 

 

142

 

Diluted shares

 

 

62,973

 

 

 

63,646

 

 

 

64,772

 

 

Weighted-average antidilutive stock awards were excluded in determining diluted EPS. The following table reflects weighted-average antidilutive stock awards for the periods presented (in thousands):

 

 

Years Ended December 31,

 

 

 

2021

 

 

2020

 

 

2019

 

Weighted-average antidilutive stock awards

 

 

1

 

 

 

57

 

 

 

—

 

 

Fair Value Measurements

FASB ASC Topic 820, “Fair Value Measurements and Disclosures,” defines fair value, establishes a framework for measuring fair value in generally accepted accounting principles, and requires certain disclosures about fair value measurements. The fair value of an asset or liability is the price that would be received to sell that asset or paid to transfer that liability in an orderly transaction occurring in the principal market (or most advantageous market in the absence of a principal market) for such asset or liability. Depending on the nature of the asset or liability, Trustmark uses various valuation techniques and assumptions when estimating fair value. Inputs to valuation techniques include the assumptions that market participants would use in pricing an asset or liability. FASB ASC Topic 820 establishes a fair value hierarchy for valuation inputs that gives the highest priority to quoted prices in active markets for identical assets or liabilities and the lowest priority to unobservable inputs. The fair value hierarchy is as follows:

Level 1 Inputs – Valuation is based upon quoted prices (unadjusted) in active markets for identical assets or liabilities that Trustmark has the ability to access at the measurement date.

Level 2 Inputs – Valuation is based upon quoted prices in active markets for similar assets or liabilities, quoted prices for identical or similar assets or liabilities in markets that are not active, inputs other than quoted prices that are observable for the asset or liability such as interest rates, yield curves, volatilities and default rates and inputs that are derived principally from or corroborated by observable market data.

Level 3 Inputs – Unobservable inputs reflecting the reporting entity’s own determination about the assumptions that market participants would use in pricing the asset or liability based on the best information available.

In instances where the determination of the fair value measurement is based on inputs from different levels of the fair value hierarchy, the level in the fair value hierarchy within which the fair value measurement in its entirety is classified is based on the lowest level input that is significant to the fair value measurement in its entirety. Trustmark’s assessment of the significance of a particular input to the fair value measurement in its entirety requires judgment and considers factors specific to the asset or liability. Transfers between levels of the fair value hierarchy are recognized on the actual date of the event or circumstances that caused the transfer.

Accounting Policies Recently Adopted

Except for the changes detailed below, Trustmark has consistently applied its accounting policies to all periods presented in the accompanying consolidated financial statements.

ASU 2019-12, “Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes.” Issued in December 2019, ASU 2019-12 seeks to simplify the accounting for income taxes by removing certain exceptions to the general principles in FASB ASC Topic 740. In particular, the amendments of ASU 2019-12 remove the exceptions to (1) the incremental approach for intra-period tax allocation when there is a loss from continuing operations and income or a gain from other items (e.g., discontinued operations or other comprehensive income); (2) the requirement to recognize a deferred tax liability for equity method investments when a foreign subsidiary becomes an equity method investment; (3) the ability not to recognize a deferred tax liability for a foreign subsidiary when a foreign equity method investment becomes a subsidiary; and (4) the general methodology for calculating income taxes in an interim period when a year-to-date loss exceeds the anticipated loss for the year. The amendments of ASU 2019-12 (1) require that an entity recognize a franchise tax (or similar tax), that is partially based on income, in accordance with FASB ASC Topic 740 and account for any incremental amount incurred as a non-income-based tax; (2) require that an entity evaluate when a step up in the tax basis of goodwill should be considered part of the business combination in which the book goodwill was originally recognized and when it should instead be considered a separate transaction; (3) specify that an entity is not required to allocate the consolidated amount of current and deferred tax expense to a legal entity that is not subject to tax in its separate financial statements, but rather may elect to do so for a legal entity that is both not subject to tax and disregarded by the taxing authority; and (4) require that an entity reflect the effect of an enacted change in tax laws or rates in the annual effective tax rate computation in the interim period that includes the enactment date. Trustmark adopted the amendments of ASU 2019-12 effective January 1, 2021. Adoption of ASU 2019-12 did not have a material impact to Trustmark’s consolidated financial statements.

ASU 2018-14, “Compensation-Retirement Benefits-Defined Benefit Plans-General (Subtopic 715-20): Disclosure Framework-Changes to the Disclosure Requirements for Defined Benefit Plans.” Issued in August 2018, ASU 2018-14 modifies the disclosure requirements for employers that sponsor defined benefit pension or other postretirement plans. The amendments in ASU 2018-14 remove certain

disclosure requirements that are no longer considered cost beneficial, clarify the specific requirements of disclosures and add disclosure requirements identified as relevant. Trustmark adopted the amendments of ASU 2018-14 effective January 1, 2021. The revised disclosures required by the amendments of ASU 2018-14 have been included in Note 15 - Defined Benefit and Other Postretirement Benefits of this report. Changes to the disclosures related to the defined benefit plans as a result of adopting ASU 2018-14 did not have a material impact to Trustmark’s consolidated financial statements.

ASU 2020-04, “Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting.” Issued in March 2020, ASU 2020-04 seeks to provided additional guidance, for a limited time, to ease the potential burden in accounting for or recognizing the effects of reference rate reform on financial reporting. The FASB issued ASU 2020-04 is response to concerns about the structural risks of interbank offered rates and, in particular, the risk that the London Interbank Offer Rate (LIBOR) will no longer be used. Regulators have begun reference rate reform initiatives to identify alternative reference rates that are more observable or transaction-based and less susceptible to manipulation. Stakeholders have raised operational challenges likely to arise with the reference rate reform, particularly related to contract modifications and hedge accounting. The amendments of ASU 2020-04, which are elective and apply to all entities, provide expedients and exceptions for applying GAAP to contract modifications and hedging relationships affected by the reference rate reform id certain criteria are met. The amendments apply only to contracts and hedging relationships that reference LIBOR or another reference rate that is expected to be discontinued due to reference rate reform. The optional expedients for contract modifications should be applied consistently for all contracts or transactions within the relevant Codification Topic or Subtopic or Industry Subtopic that contains the related guidance. The optional expedients for hedging relationships can be elected on an individual hedging relationship basis. As the guidance in ASU 2020-04 is intended to assist entity’s during the global market-wide reference rate transition period, it is in effect for a limited time, from March 12, 2020 through December 31, 2022. On January 7, 2021, the FASB issued ASU 2021-01, “Reference Rate Reform (Topic 848): Scope,” to clarify the scope of the reference rate reform guidance in FASB ASC Topic 848. ASU 2021-01 refines the scope of FASB ASC Topic 848 to clarify that certain optional expedients and exceptions therein for contract modifications and hedge accounting apply to contracts that are affected by the discounting transition. Specifically, modifications related to reference rate reform would not be considered an event that requires reassessment of previous accounting conclusions. The amendments in ASU 2021-01 also amend the expedients and exceptions in FASB ASC Topic 848 to capture the incremental consequences of the scope clarification and to tailor the existing guidance to derivative instruments affected by the discounting transition. The amendments of ASU 2021-01 were effective immediately when issued. Entities may choose to apply the amendments of ASU 2021-01 retrospectively as of any date from the beginning of an interim period that includes or is subsequent to March 12, 2020, or prospectively to new modifications from any date within an interim period that includes or is subsequent to January 7, 2021, up to the date that financial statements are available to be issued. If an entity elects to apply any of the amendments in this ASU for an eligible hedging relationship, any adjustments as a result of those elections must be reflected as of the date that the entity applies the election. While the benchmark provider for US$ LIBOR (which was typically the benchmark that Trustmark used) intends to provide the benchmark for some tenors of US$ LIBOR through June 2023, Trustmark has transitioned to SOFR for new variable rate loans, derivative contracts, borrowings and other financial instruments as of January 1, 2022. Management cannot make a determination at this time as to the impact the amendments of ASU 2020-04 and ASU 2021-01 or the reference rate reform will have on its consolidated financial statements. 
v3.22.0.1
Cash and Due from Banks
 12 Months Ended
Dec. 31, 2021
Cash and Cash Equivalents [Abstract]  
Cash and Due from Banks

Note 2 – Cash and Due from Banks

Trustmark is required to maintain average reserve balances with the Federal Reserve Bank of Atlanta based on a percentage of deposits. Effective March 26, 2020, the Federal Reserve reduced reserve requirement ratios to zero percent, eliminating the reserve requirements for all depository institutions, in order to provide liquidity in the banking system to support lending to households and businesses due to the COVID-19 pandemic. The average amount of those reserves for the year ended December 31, 2020 was $19.0 million.
v3.22.0.1
Securities Available for Sale and Held to Maturity
 12 Months Ended
Dec. 31, 2021
Investments, Debt and Equity Securities [Abstract]  
Securities Available for Sale and Held to Maturity

Note 3 – Securities Available for Sale and Held to Maturity

The following tables are a summary of the amortized cost and estimated fair value of securities available for sale and held to maturity at December 31, 2021 and 2020 ($ in thousands):

 

 

 

Securities Available for Sale

 

 

Securities Held to Maturity

 

 

 

 

 

 

Gross

 

 

Gross

 

 

Estimated

 

 

 

 

 

Gross

 

 

Gross

 

 

Estimated

 

 

 

Amortized

 

 

Unrealized

 

 

Unrealized

 

 

Fair

 

 

Amortized

 

 

Unrealized

 

 

Unrealized

 

 

Fair

 

December 31, 2021

 

Cost

 

 

Gains

 

 

Losses

 

 

Value

 

 

Cost

 

 

Gains

 

 

Losses

 

 

Value

 

U.S. Treasury securities

 

$

349,562

 

 

$

16

 

 

$

(4,938

)

 

$

344,640

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

U.S. Government agency obligations

 

 

14,044

 

 

 

20

 

 

 

(337

)

 

 

13,727

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Obligations of states and political
   subdivisions

 

 

5,134

 

 

 

580

 

 

 

—

 

 

 

5,714

 

 

 

7,328

 

 

 

64

 

 

 

(3

)

 

 

7,389

 

Mortgage-backed securities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Residential mortgage pass-through
   securities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Guaranteed by GNMA

 

 

38,942

 

 

 

665

 

 

 

(34

)

 

 

39,573

 

 

 

5,005

 

 

 

187

 

 

 

(3

)

 

 

5,189

 

Issued by FNMA and FHLMC

 

 

2,230,498

 

 

 

8,945

 

 

 

(21,014

)

 

 

2,218,429

 

 

 

43,444

 

 

 

962

 

 

 

—

 

 

 

44,406

 

Other residential mortgage-backed
   securities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Issued or guaranteed by FNMA,
   FHLMC or GNMA

 

 

193,908

 

 

 

2,879

 

 

 

(97

)

 

 

196,690

 

 

 

241,934

 

 

 

9,015

 

 

 

(31

)

 

 

250,918

 

Commercial mortgage-backed
   securities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Issued or guaranteed by FNMA,
   FHLMC or GNMA

 

 

424,201

 

 

 

404

 

 

 

(4,501

)

 

 

420,104

 

 

 

44,826

 

 

 

783

 

 

 

—

 

 

 

45,609

 

Total

 

$

3,256,289

 

 

$

13,509

 

 

$

(30,921

)

 

$

3,238,877

 

 

$

342,537

 

 

$

11,011

 

 

$

(37

)

 

$

353,511

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

December 31, 2020

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

U.S. Government agency obligations

 

$

18,378

 

 

$

144

 

 

$

(481

)

 

$

18,041

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

Obligations of states and political
   subdivisions

 

 

5,198

 

 

 

637

 

 

 

—

 

 

 

5,835

 

 

 

26,584

 

 

 

258

 

 

 

(3

)

 

 

26,839

 

Mortgage-backed securities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Residential mortgage pass-through
   securities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Guaranteed by GNMA

 

 

55,193

 

 

 

1,672

 

 

 

(3

)

 

 

56,862

 

 

 

7,598

 

 

 

382

 

 

 

—

 

 

 

7,980

 

Issued by FNMA and FHLMC

 

 

1,421,861

 

 

 

20,768

 

 

 

(1,308

)

 

 

1,441,321

 

 

 

67,944

 

 

 

2,397

 

 

 

—

 

 

 

70,341

 

Other residential mortgage-backed
   securities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Issued or guaranteed by FNMA,
   FHLMC or GNMA

 

 

409,883

 

 

 

9,600

 

 

 

(46

)

 

 

419,437

 

 

 

360,361

 

 

 

19,678

 

 

 

(55

)

 

 

379,984

 

Commercial mortgage-backed
   securities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Issued or guaranteed by FNMA,
   FHLMC or GNMA

 

 

49,260

 

 

 

1,068

 

 

 

(9

)

 

 

50,319

 

 

 

75,585

 

 

 

2,386

 

 

 

—

 

 

 

77,971

 

Total

 

$

1,959,773

 

 

$

33,889

 

 

$

(1,847

)

 

$

1,991,815

 

 

$

538,072

 

 

$

25,101

 

 

$

(58

)

 

$

563,115

 

 

During 2013, Trustmark reclassified approximately $1.099 billion of securities available for sale to securities held to maturity. The securities were transferred at fair value, which became the cost basis for the securities held to maturity. At the date of transfer, the net unrealized holding loss on the available for sale securities totaled approximately $46.6 million ($28.8 million, net of tax). The net unrealized holding loss is amortized over the remaining life of the securities as a yield adjustment in a manner consistent with the amortization or accretion of the original purchase premium or discount on the associated security. There were no gains or losses recognized as a result of the transfer. At December 31, 2021 and 2020, the net unamortized, unrealized loss on the transferred securities included in accumulated other comprehensive loss in the accompanying balance sheet totaled approximately $6.3 million ($4.7 million, net of tax) and $8.9 million ($6.7 million, net of tax), respectively.

ACL on Securities

Securities Available for Sale

Quarterly, Trustmark evaluates if any security has a fair value less than its amortized cost. Once these securities are identified, in order to determine whether a decline in fair value resulted from a credit loss or other factors, Trustmark performs further analysis. If Trustmark determines that a credit loss exists, the credit portion of the allowance is measured using a DCF analysis using the effective interest rate as of the security’s purchase date. The amount of credit loss Trustmark records will be limited to the amount by which the amortized cost exceeds the fair value. The DCF analysis utilizes contractual maturities, as well as third-party credit ratings and cumulative default rates published annually by Moody’s.

At both December 31, 2021 and 2020, the results of the analysis did not identify any securities that violate the credit loss triggers; therefore, no DCF analysis was performed and no credit loss was recognized on any of the securities available for sale.

Accrued interest receivable is excluded from the estimate of credit losses for securities available for sale. At December 31, 2021 and 2020, accrued interest receivable totaled $5.1 million and $4.0 million, respectively, for securities available for sale and was reported in other assets on the accompanying consolidated balance sheet.

Securities Held to Maturity

At December 31, 2021 and 2020, the potential credit loss exposure for Trustmark’s securities held to maturity was $7.3 million and $26.6 million, respectively, and consisted of municipal securities. After applying appropriate probability of default and loss given default assumptions, the total amount of current expected credit losses was deemed immaterial. Therefore, no reserve was recorded at December 31, 2021 and 2020.

Accrued interest receivable is excluded from the estimate of credit losses for securities held to maturity. At December 31, 2021 and 2020, accrued interest receivable totaled $670 thousand and $1.2 million for securities held to maturity and was reported in other assets on the accompanying consolidated balance sheet.

At both December 31, 2021 and 2020, Trustmark had no securities held to maturity that were past due 30 days or more as to principal or interest payments. Trustmark had no securities held to maturity classified as nonaccrual at December 31, 2021 and 2020.

Trustmark monitors the credit quality of securities held to maturity on a monthly basis through credit ratings. The following table presents the amortized cost of Trustmark’s securities held to maturity by credit rating, as determined by Moody’s, at December 31, 2021 and 2020 ($ in thousands):

 

 

December 31, 2021

 

 

December 31, 2020

 

Aaa

 

$

335,208

 

 

$

511,488

 

Aa1 to Aa3

 

 

5,007

 

 

 

22,528

 

Not Rated (1)

 

 

2,322

 

 

 

4,056

 

Total

 

$

342,537

 

 

$

538,072

 
(1)
Not rated securities primarily consist of Mississippi municipal general obligations.

The table below includes securities with gross unrealized losses for which an ACL has not been recorded and segregated by length of impairment at December 31, 2021 and 2020 ($ in thousands):

 

 

 

Less than 12 Months

 

 

12 Months or More

 

 

Total

 

 

 

 

 

 

Gross

 

 

 

 

 

Gross

 

 

 

 

 

Gross

 

 

 

Estimated

 

 

Unrealized

 

 

Estimated

 

 

Unrealized

 

 

Estimated

 

 

Unrealized

 

December 31, 2021

 

Fair Value

 

 

Losses

 

 

Fair Value

 

 

Losses

 

 

Fair Value

 

 

Losses

 

U.S. Treasury securities

 

$

315,123

 

 

$

(4,938

)

 

$

—

 

 

$

—

 

 

$

315,123

 

 

$

(4,938

)

U.S. Government agency obligations

 

 

1,312

 

 

 

(5

)

 

 

8,619

 

 

 

(332

)

 

 

9,931

 

 

 

(337

)

Obligations of states and political
   subdivisions

 

 

3,006

 

 

 

(1

)

 

 

667

 

 

 

(2

)

 

 

3,673

 

 

 

(3

)

Mortgage-backed securities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Residential mortgage pass-through
   securities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Guaranteed by GNMA

 

 

6,040

 

 

 

(37

)

 

 

—

 

 

 

—

 

 

 

6,040

 

 

 

(37

)

Issued by FNMA and FHLMC

 

 

1,734,921

 

 

 

(19,980

)

 

 

55,303

 

 

 

(1,034

)

 

 

1,790,224

 

 

 

(21,014

)

Other residential mortgage-backed
   securities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Issued or guaranteed by FNMA,
   FHLMC or GNMA

 

 

19,038

 

 

 

(99

)

 

 

2,647

 

 

 

(29

)

 

 

21,685

 

 

 

(128

)

Commercial mortgage-backed
   securities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Issued or guaranteed by FNMA,
   FHLMC or GNMA

 

 

344,025

 

 

 

(4,492

)

 

 

639

 

 

 

(9

)

 

 

344,664

 

 

 

(4,501

)

Total

 

$

2,423,465

 

 

$

(29,552

)

 

$

67,875

 

 

$

(1,406

)

 

$

2,491,340

 

 

$

(30,958

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

December 31, 2020

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

U.S. Government agency obligations

 

$

—

 

 

$

—

 

 

$

11,167

 

 

$

(481

)

 

$

11,167

 

 

$

(481

)

Obligations of states and political
   subdivisions

 

 

—

 

 

 

—

 

 

 

667

 

 

 

(3

)

 

 

667

 

 

 

(3

)

Mortgage-backed securities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Residential mortgage pass-through
   securities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Guaranteed by GNMA

 

 

1,636

 

 

 

(3

)

 

 

—

 

 

 

—

 

 

 

1,636

 

 

 

(3

)

Issued by FNMA and FHLMC

 

 

324,905

 

 

 

(1,308

)

 

 

—

 

 

 

—

 

 

 

324,905

 

 

 

(1,308

)

Other residential mortgage-backed
   securities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Issued or guaranteed by FNMA,
   FHLMC or GNMA

 

 

29,398

 

 

 

(101

)

 

 

—

 

 

 

—

 

 

 

29,398

 

 

 

(101

)

Commercial mortgage-backed
   securities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Issued or guaranteed by FNMA,
   FHLMC or GNMA

 

 

—

 

 

 

—

 

 

 

659

 

 

 

(9

)

 

 

659

 

 

 

(9

)

Total

 

$

355,939

 

 

$

(1,412

)

 

$

12,493

 

 

$

(493

)

 

$

368,432

 

 

$

(1,905

)

The unrealized losses shown above are due to increases in market rates over the yields available at the time of purchase of the underlying securities and not credit quality. Because Trustmark does not intend to sell these securities and it is more likely than not that Trustmark will not be required to sell the investments before recovery of their amortized cost bases, which may be maturity. Prior to the adoption of FASB ASU 2016-13, Trustmark did not consider these investments to be other-than-temporarily impaired at December 31, 2019. There were no other-than-temporary impairments for the year ended December 31, 2019.

Security Gains and Losses

For the years ended December 31, 2021, 2020 and 2019, there were no gross realized gains or losses as a result of calls and dispositions of securities. Realized gains and losses are determined using the specific identification method and are included in noninterest income as security gains (losses), net.

Securities Pledged

Securities with a carrying value of $2.831 billion and $1.964 billion at December 31, 2021 and 2020, respectively, were pledged to collateralize public deposits and securities sold under repurchase agreements and for other purposes as permitted by law. At both December 31, 2021 and 2020, none of these securities were pledged under the Federal Reserve Discount Window program to provide additional contingency funding capacity.

Contractual Maturities

The amortized cost and estimated fair value of securities available for sale and held to maturity at December 31, 2021, by contractual maturity, are shown below ($ in thousands). Expected maturities may differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties.

 

 

 

Securities

 

 

Securities

 

 

 

Available for Sale

 

 

Held to Maturity

 

 

 

Amortized

 

 

Estimated

 

 

Amortized

 

 

Estimated

 

 

 

Cost

 

 

Fair Value

 

 

Cost

 

 

Fair Value

 

Due in one year or less

 

$

1,524

 

 

$

1,534

 

 

$

2,809

 

 

$

2,827

 

Due after one year through five years

 

 

243,531

 

 

 

240,494

 

 

 

4,519

 

 

 

4,562

 

Due after five years through ten years

 

 

113,074

 

 

 

111,752

 

 

 

—

 

 

 

—

 

Due after ten years

 

 

10,611

 

 

 

10,301

 

 

 

—

 

 

 

—

 

 

 

 

368,740

 

 

 

364,081

 

 

 

7,328

 

 

 

7,389

 

Mortgage-backed securities

 

 

2,887,549

 

 

 

2,874,796

 

 

 

335,209

 

 

 

346,122

 

Total

 

$

3,256,289

 

 

$

3,238,877

 

 

$

342,537

 

 

$

353,511

 
v3.22.0.1
LHFI and ACL, LHFI
 12 Months Ended
Dec. 31, 2021
Accounts, Notes, Loans and Financing Receivable, Gross, Allowance, and Net [Abstract]  
LHFI and ACL, LHFI

Note 4 – LHFI and ACL, LHFI

At December 31, 2021 and 2020, LHFI consisted of the following ($ in thousands):

 

 

 

December 31,

 

 

 

2021

 

 

2020

 

Loans secured by real estate:

 

 

 

 

 

 

Construction, land development and other land

 

$

596,968

 

 

$

514,056

 

Other secured by 1-4 family residential properties

 

 

517,683

 

 

 

524,732

 

Secured by nonfarm, nonresidential properties

 

 

2,977,084

 

 

 

2,709,026

 

Other real estate secured

 

 

726,043

 

 

 

1,065,964

 

Other loans secured by real estate:

 

 

 

 

 

 

Other construction

 

 

711,813

 

 

 

794,983

 

Secured by 1-4 family residential properties

 

 

1,460,310

 

 

 

1,216,400

 

Commercial and industrial loans

 

 

1,414,279

 

 

 

1,309,078

 

Consumer loans

 

 

162,555

 

 

 

164,386

 

State and other political subdivision loans

 

 

1,146,251

 

 

 

1,000,776

 

Other commercial loans

 

 

534,843

 

 

 

525,123

 

LHFI

 

 

10,247,829

 

 

 

9,824,524

 

Less ACL

 

 

99,457

 

 

 

117,306

 

Net LHFI

 

$

10,148,372

 

 

$

9,707,218

 

Accrued interest receivable is not included in the amortized cost basis of Trustmark’s LHFI. At December 31, 2021 and 2020, accrued interest receivable for LHFI totaled $26.7 million and $33.0 million, respectively, with no related ACL and was reported in other assets on the accompanying consolidated balance sheet.

Loan Concentrations

Trustmark does not have any loan concentrations other than those reflected in the preceding table, which exceed 10% of total LHFI. At December 31, 2021, Trustmark’s geographic loan distribution was concentrated primarily in its five key market regions: Alabama, Florida, Mississippi, Tennessee and Texas. Accordingly, the ultimate collectability of a substantial portion of these loans is susceptible to changes in market conditions in these areas.

Related Party Loans

At December 31, 2021 and 2020, loans to certain executive officers and directors, including their immediate families and companies in which they are principal owners, totaled $26.3 million and $37.7 million, respectively. During 2021, $170.3 million of new loan advances were made, while repayments were $181.3 million. In addition, decreases in loans due to changes in executive officers and directors totaled $426 thousand.

Nonaccrual and Past Due LHFI

No material interest income was recognized in the income statement on nonaccrual LHFI for each of the years in the three-year period ended December 31, 2021.

The following tables provide the amortized cost basis of loans on nonaccrual status and loans past due 90 days or more still accruing interest at December 31, 2021 and 2020 ($ in thousands):

 

 

 

December 31, 2021

 

 

 

Nonaccrual With No ACL

 

 

Total Nonaccrual

 

 

Loans Past Due 90 Days or More Still Accruing

 

Loans secured by real estate:

 

 

 

 

 

 

 

 

 

Construction, land development and other land

 

$

4,784

 

 

$

5,878

 

 

$

7

 

Other secured by 1-4 family residential properties

 

 

1,319

 

 

 

3,418

 

 

 

148

 

Secured by nonfarm, nonresidential properties

 

 

10,842

 

 

 

12,508

 

 

 

—

 

Other real estate secured

 

 

56

 

 

 

150

 

 

 

—

 

Other loans secured by real estate:

 

 

 

 

 

 

 

 

 

Other construction

 

 

—

 

 

 

—

 

 

 

—

 

Secured by 1-4 family residential properties

 

 

—

 

 

 

12,775

 

 

 

1,655

 

Commercial and industrial loans

 

 

1,363

 

 

 

19,328

 

 

 

—

 

Consumer loans

 

 

—

 

 

 

117

 

 

 

304

 

State and other political subdivision loans

 

 

—

 

 

 

3,664

 

 

 

—

 

Other commercial loans

 

 

4,405

 

 

 

4,860

 

 

 

—

 

Total

 

$

22,769

 

 

$

62,698

 

 

$

2,114

 

 

 

 

December 31, 2020

 

 

 

Nonaccrual With No ACL

 

 

Total Nonaccrual

 

 

Loans Past Due 90 Days or More Still Accruing

 

Loans secured by real estate:

 

 

 

 

 

 

 

 

 

Construction, land development and other land

 

$

5,756

 

 

$

5,985

 

 

$

—

 

Other secured by 1-4 family residential properties

 

 

1,895

 

 

 

4,487

 

 

 

79

 

Secured by nonfarm, nonresidential properties

 

 

12,037

 

 

 

15,197

 

 

 

—

 

Other real estate secured

 

 

60

 

 

 

185

 

 

 

—

 

Other loans secured by real estate:

 

 

 

 

 

 

 

 

 

Other construction

 

 

—

 

 

 

—

 

 

 

—

 

Secured by 1-4 family residential properties

 

 

—

 

 

 

11,807

 

 

 

1,257

 

Commercial and industrial loans

 

 

12,665

 

 

 

15,618

 

 

 

—

 

Consumer loans

 

 

—

 

 

 

86

 

 

 

240

 

State and other political subdivision loans

 

 

—

 

 

 

3,970

 

 

 

—

 

Other commercial loans

 

 

—

 

 

 

5,793

 

 

 

—

 

Total

 

$

32,413

 

 

$

63,128

 

 

$

1,576

 

 

The following tables provide an aging analysis of the amortized cost basis of past due LHFI (including nonaccrual loans) at December 31, 2021 and 2020 ($ in thousands):

 

 

 

December 31, 2021

 

 

 

Past Due

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

90 Days

 

 

Total

 

 

Current

 

 

 

 

 

 

30-59 Days

 

 

60-89 Days

 

 

or More

 

 

Past Due

 

 

Loans

 

 

Total LHFI

 

Loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Construction, land development and other land

 

$

323

 

 

$

11

 

 

$

5,241

 

 

$

5,575

 

 

$

591,393

 

 

$

596,968

 

Other secured by 1-4 family residential properties

 

 

1,811

 

 

 

368

 

 

 

567

 

 

 

2,746

 

 

 

514,937

 

 

 

517,683

 

Secured by nonfarm, nonresidential properties

 

 

845

 

 

 

—

 

 

 

1,442

 

 

 

2,287

 

 

 

2,974,797

 

 

 

2,977,084

 

Other real estate secured

 

 

—

 

 

 

—

 

 

 

142

 

 

 

142

 

 

 

725,901

 

 

 

726,043

 

Other loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other construction

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

711,813

 

 

 

711,813

 

Secured by 1-4 family residential properties

 

 

2,799

 

 

 

531

 

 

 

6,720

 

 

 

10,050

 

 

 

1,450,260

 

 

 

1,460,310

 

Commercial and industrial loans

 

 

607

 

 

 

41

 

 

 

1,107

 

 

 

1,755

 

 

 

1,412,524

 

 

 

1,414,279

 

Consumer loans

 

 

1,673

 

 

 

182

 

 

 

305

 

 

 

2,160

 

 

 

160,395

 

 

 

162,555

 

State and other political subdivision loans

 

 

32

 

 

 

—

 

 

 

177

 

 

 

209

 

 

 

1,146,042

 

 

 

1,146,251

 

Other commercial loans

 

 

220

 

 

 

32

 

 

 

118

 

 

 

370

 

 

 

534,473

 

 

 

534,843

 

Total

 

$

8,310

 

 

$

1,165

 

 

$

15,819

 

 

$

25,294

 

 

$

10,222,535

 

 

$

10,247,829

 

 

 

 

 

December 31, 2020

 

 

 

Past Due

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

90 Days

 

 

Total

 

 

Current

 

 

 

 

 

 

30-59 Days

 

 

60-89 Days

 

 

or More

 

 

Past Due

 

 

Loans

 

 

Total LHFI

 

Loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Construction, land development and other land

 

$

339

 

 

$

34

 

 

$

161

 

 

$

534

 

 

$

513,522

 

 

$

514,056

 

Other secured by 1-4 family residential properties

 

 

1,505

 

 

 

523

 

 

 

896

 

 

 

2,924

 

 

 

521,808

 

 

 

524,732

 

Secured by nonfarm, nonresidential properties

 

 

920

 

 

 

—

 

 

 

972

 

 

 

1,892

 

 

 

2,707,134

 

 

 

2,709,026

 

Other real estate secured

 

 

103

 

 

 

101

 

 

 

107

 

 

 

311

 

 

 

1,065,653

 

 

 

1,065,964

 

Other loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other construction

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

794,983

 

 

 

794,983

 

Secured by 1-4 family residential properties

 

 

3,291

 

 

 

1,289

 

 

 

5,110

 

 

 

9,690

 

 

 

1,206,710

 

 

 

1,216,400

 

Commercial and industrial loans

 

 

271

 

 

 

196

 

 

 

1,543

 

 

 

2,010

 

 

 

1,307,068

 

 

 

1,309,078

 

Consumer loans

 

 

926

 

 

 

190

 

 

 

240

 

 

 

1,356

 

 

 

163,030

 

 

 

164,386

 

State and other political subdivision loans

 

 

117

 

 

 

—

 

 

 

177

 

 

 

294

 

 

 

1,000,482

 

 

 

1,000,776

 

Other commercial loans

 

 

2,143

 

 

 

2,971

 

 

 

346

 

 

 

5,460

 

 

 

519,663

 

 

 

525,123

 

Total

 

$

9,615

 

 

$

5,304

 

 

$

9,552

 

 

$

24,471

 

 

$

9,800,053

 

 

$

9,824,524

 

TDRs

At December 31, 2021, 2020 and 2019, LHFI classified as TDRs totaled $21.6 million, $25.8 million and $31.5 million, respectively, At December 31, 2021, LHFI classified as TDRs were primarily comprised of bankruptcies, payment concessions and credits with interest-only payments for an extended period of time which totaled $18.2 million. At December 31, 2020, LHFI classified as TDRs were primarily comprised of credits with interest-only payments for an extended period of time, payment concessions and credits renewed at a rate that was not commensurate with that of new debt with similar risk which totaled $17.7 million. At December 31, 2019, LHFI classified as TDRs were primarily comprised of credits with interest-only payments for an extended period of time and credits renewed at a rate that was not commensurate with that of new debt with similar risk which totaled $20.8 million. Trustmark had $1.0 million of unused commitments on TDRs at December 31, 2021, compared to $4.5 million of unused commitments on TDRs at December 31, 2020 and $7.0 million of unused commitments on TDRs at December 31, 2019.

At December 31, 2021 and 2020, TDRs had a related ACL of $1.5 million and $2.4 million, respectively, compared to a related loan loss allowance of $3.2 million at December 31, 2019. Specific charge-offs related to TDRs totaled $3.7 million, $2.3 million and $1.6 million for the years ended December 31, 2021, 2020 and 2019, respectively.

The following tables illustrate the impact of modifications classified as TDRs for the periods presented ($ in thousands):

 

 

 

Year Ended December 31, 2021

 

 

 

Number of
Contracts

 

 

Pre-Modification
Outstanding
Recorded
Investment

 

 

Post-Modification
Outstanding
Recorded
Investment

 

Loans secured by real estate:

 

 

 

 

 

 

 

 

 

Construction, land development and other land

 

 

5

 

 

$

5,582

 

 

$

5,582

 

Other secured by 1-4 family residential properties

 

 

3

 

 

 

37

 

 

 

37

 

Secured by nonfarm, nonresidential properties

 

 

5

 

 

 

5,789

 

 

 

5,265

 

Other loans secured by real estate:

 

 

 

 

 

 

 

 

 

Secured by 1-4 family residential properties

 

 

8

 

 

 

909

 

 

 

906

 

Commercial and industrial loans

 

 

2

 

 

 

1,014

 

 

 

1,014

 

Consumer loans

 

 

1

 

 

 

6

 

 

 

6

 

Total

 

 

24

 

 

$

13,337

 

 

$

12,810

 

 

 

 

Year Ended December 31, 2020

 

 

 

Number of
Contracts

 

 

Pre-Modification
Outstanding
Recorded
Investment

 

 

Post-Modification
Outstanding
Recorded
Investment

 

Loans secured by real estate:

 

 

 

 

 

 

 

 

 

Other secured by 1-4 family residential properties

 

 

13

 

 

$

923

 

 

$

929

 

Secured by nonfarm, nonresidential properties

 

 

2

 

 

 

1,111

 

 

 

1,111

 

Commercial and industrial loans

 

 

4

 

 

 

1,665

 

 

 

1,664

 

Consumer loans

 

 

6

 

 

 

26

 

 

 

26

 

State and other political subdivision loans

 

 

2

 

 

 

3,902

 

 

 

3,872

 

Total

 

 

27

 

 

$

7,627

 

 

$

7,602

 

 

 

 

Year Ended December 31, 2019

 

 

 

Number of
Contracts

 

 

Pre-Modification
Outstanding
Recorded
Investment

 

 

Post-Modification
Outstanding
Recorded
Investment

 

Loans secured by real estate:

 

 

 

 

 

 

 

 

 

Secured by 1-4 family residential properties

 

 

19

 

 

$

1,742

 

 

$

1,738

 

Secured by nonfarm, nonresidential properties

 

 

1

 

 

 

5,055

 

 

 

5,055

 

Commercial and industrial loans

 

 

8

 

 

 

9,167

 

 

 

9,054

 

Consumer loans

 

 

2

 

 

 

30

 

 

 

30

 

Total

 

 

30

 

 

$

15,994

 

 

$

15,877

 

 

The table below includes the balances at default for TDRs modified within the last 12 months for which there was a payment default during the periods presented ($ in thousands):

 

 

 

Years Ended December 31,

 

 

 

2021

 

 

2020

 

 

2019

 

 

 

Number of
Contracts

 

 

Recorded
Investment

 

 

Number of
Contracts

 

 

Recorded
Investment

 

 

Number of
Contracts

 

 

Recorded
Investment

 

Loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Construction, land development and other
   land loans

 

 

5

 

 

$

5,582

 

 

 

—

 

 

$

—

 

 

 

—

 

 

$

—

 

Other secured by 1-4 family residential
   properties

 

 

1

 

 

 

16

 

 

 

2

 

 

 

78

 

 

 

3

 

 

 

446

 

Secured by nonfarm, nonresidential
   properties

 

 

—

 

 

 

—

 

 

 

1

 

 

 

139

 

 

 

—

 

 

 

—

 

Other loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Secured by 1-4 family residential properties

 

 

1

 

 

 

78

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Commercial and industrial loans

 

 

—

 

 

 

—

 

 

 

1

 

 

 

82

 

 

 

7

 

 

 

192

 

Consumer loans

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

1

 

 

 

27

 

Total

 

 

7

 

 

$

5,676

 

 

 

4

 

 

$

299

 

 

 

11

 

 

$

665

 

 

Trustmark’s TDRs have resulted primarily from allowing the borrower to pay interest-only for an extended period of time and credits renewed at a rate that was not commensurate with that of new debt with similar risk rather than from forgiveness. Accordingly, as shown above, these TDRs have a similar recorded investment for both the pre-modification and post-modification disclosure. Trustmark has utilized loans 90 days or more past due to define payment default in determining TDRs that have subsequently defaulted.

The following tables detail LHFI classified as TDRs by loan class at December 31, 2021, 2020 and 2019 ($ in thousands):

 

 

 

December 31, 2021

 

 

 

Accruing

 

 

Nonaccrual

 

 

Total

 

Loans secured by real estate:

 

 

 

 

 

 

 

 

 

Construction, land development and other land

 

$

—

 

 

$

4,640

 

 

$

4,640

 

Other secured by 1-4 family residential properties

 

 

—

 

 

 

965

 

 

 

965

 

Secured by nonfarm, nonresidential properties

 

 

394

 

 

 

7,325

 

 

 

7,719

 

Other loans secured by real estate:

 

 

 

 

 

 

 

 

 

Secured by 1-4 family residential properties

 

 

50

 

 

 

2,484

 

 

 

2,534

 

Commercial and industrial loans

 

 

2,000

 

 

 

215

 

 

 

2,215

 

Consumer loans

 

 

7

 

 

 

9

 

 

 

16

 

State and other political subdivision loans

 

 

—

 

 

 

3,486

 

 

 

3,486

 

Other commercial loans

 

 

—

 

 

 

36

 

 

 

36

 

Total TDRs

 

$

2,451

 

 

$

19,160

 

 

$

21,611

 

 

 

 

December 31, 2020

 

 

 

Accruing

 

 

Nonaccrual

 

 

Total

 

Loans secured by real estate:

 

 

 

 

 

 

 

 

 

Construction, land development and other land

 

$

—

 

 

$

12

 

 

$

12

 

Other secured by 1-4 family residential properties

 

 

—

 

 

 

3,699

 

 

 

3,699

 

Secured by nonfarm, nonresidential properties

 

 

—

 

 

 

3,903

 

 

 

3,903

 

Commercial and industrial loans

 

 

1,500

 

 

 

12,749

 

 

 

14,249

 

Consumer loans

 

 

6

 

 

 

17

 

 

 

23

 

State and other political subdivision loans

 

 

—

 

 

 

3,793

 

 

 

3,793

 

Other commercial loans

 

 

—

 

 

 

81

 

 

 

81

 

Total TDRs

 

$

1,506

 

 

$

24,254

 

 

$

25,760

 

 

 

 

December 31, 2019

 

 

 

Accruing

 

 

Nonaccrual

 

 

Total

 

Loans secured by real estate:

 

 

 

 

 

 

 

 

 

Construction, land development and other land

 

$

—

 

 

$

15

 

 

$

15

 

Secured by 1-4 family residential properties

 

 

77

 

 

 

3,865

 

 

 

3,942

 

Secured by nonfarm, nonresidential properties

 

 

—

 

 

 

5,176

 

 

 

5,176

 

Commercial and industrial loans

 

 

3,319

 

 

 

18,913

 

 

 

22,232

 

Consumer loans

 

 

—

 

 

 

21

 

 

 

21

 

Other loans

 

 

—

 

 

 

137

 

 

 

137

 

Total TDRs

 

$

3,396

 

 

$

28,127

 

 

$

31,523

 

 

The CARES Act, as amended by subsequent legislation, specified that COVID-19 related modifications executed between March 1, 2020 and the earlier of (i) 60 days after the date of termination of the national emergency declared by the President or (ii) January 1, 2022, on loans that were current as of December 31, 2019 were not TDRs. Additionally, under guidance from the federal banking agencies, other short-term modifications made on a good faith basis in response to COVID-19 to borrowers that were current prior to any relief are not TDRs under FASB ASC Subtopic 310-40. These modifications include short-term (e.g., up to six months) modifications such as payment deferrals, fee waivers, extensions of repayment terms, or delays in payment that are insignificant. Borrowers considered current are those that are less than 30 days past due on their contractual payments at the time a modification program is implemented. Commercial concessions were primarily either interest only for 90 days or full payment deferrals for 90 days. Consumer concessions were 90-day full payment deferrals. At December 31, 2021 and 2020, the balance of loans remaining under some type of COVID-19 related concession totaled $1.1 million and $34.2 million, respectively.

Collateral-Dependent Loans

The following tables present the amortized cost basis of collateral-dependent loans by class of loans and collateral type at December 31, 2021 and 2020 ($ in thousands):

 

 

 

December 31, 2021

 

 

 

Real Estate

 

 

Equipment and
 Machinery

 

 

Inventory and Receivables

 

 

Vehicles

 

 

Miscellaneous

 

 

Total

 

Loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Construction, land development and
   other land

 

$

5,198

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

5,198

 

Secured by nonfarm, nonresidential
   properties

 

 

11,072

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

11,072

 

Other real estate secured

 

 

56

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

56

 

Other loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Secured by 1-4 family residential
   properties

 

 

1,319

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

1,319

 

Commercial and industrial loans

 

 

42

 

 

 

349

 

 

 

1,253

 

 

 

370

 

 

 

16,430

 

 

 

18,444

 

State and other political subdivision loans

 

 

3,664

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

3,664

 

Other commercial loans

 

 

4,572

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

36

 

 

 

4,608

 

Total

 

$

25,923

 

 

$

349

 

 

$

1,253

 

 

$

370

 

 

$

16,466

 

 

$

44,361

 

 

 

 

December 31, 2020

 

 

 

Real Estate

 

 

Equipment and
 Machinery

 

 

Inventory and Receivables

 

 

Vehicles

 

 

Miscellaneous

 

 

Total

 

Loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Construction, land development and
   other land

 

$

5,756

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

5,756

 

Other secured by 1-4 family
   residential properties

 

 

454

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

454

 

Secured by nonfarm, nonresidential
   properties

 

 

12,037

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

12,037

 

Other real estate secured

 

 

60

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

60

 

Other loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Secured by 1-4 family residential
   properties

 

 

1,441

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

1,441

 

Commercial and industrial loans

 

 

86

 

 

 

425

 

 

 

4,899

 

 

 

135

 

 

 

8,531

 

 

 

14,076

 

State and other political subdivision loans

 

 

3,970

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

3,970

 

Other commercial loans

 

 

606

 

 

 

—

 

 

 

1,958

 

 

 

—

 

 

 

3,051

 

 

 

5,615

 

Total

 

$

24,410

 

 

$

425

 

 

$

6,857

 

 

$

135

 

 

$

11,582

 

 

$

43,409

 

 

A loan is collateral dependent when the borrower is experiencing financial difficulty and repayment of the loan is expected to be provided substantially through the sale of the collateral. The following provides a qualitative description by class of loan of the collateral that secures Trustmark’s collateral-dependent LHFI:

•
Loans secured by real estate – Loans within these loan classes are secured by liens on real estate properties. There have been no significant changes to the collateral that secures these financial assets during the period.
•
Other loans secured by real estate – Loans within these loan classes are secured by liens on real estate properties. There have been no significant changes to the collateral that secures these financial assets during the period.
•
Commercial and industrial loans – Loans within this loan class are primarily secured by inventory, accounts receivables, equipment and other non-real estate collateral. There have been no significant changes to the collateral that secures these financial assets during the period.
•
State and other political subdivision loans – Loans within this loan class are secured by liens on real estate properties or other non-real estate collateral. There have been no significant changes to the collateral that secures these financial assets during the period.
•
Other commercial loans – Loans within this loan class are secured by non-real estate collateral. There have been no significant changes to the collateral that secures these financial assets during the period.

Credit Quality Indicators

Trustmark’s loan portfolio credit quality indicators focus on six key quality ratios that are compared against bank tolerances. The loan indicators are total classified outstanding, total criticized outstanding, nonperforming loans, nonperforming assets, delinquencies and net loan losses. Due to the homogenous nature of consumer loans, Trustmark does not assign a formal internal risk rating to each credit and therefore the criticized and classified measures are primarily composed of commercial loans.

In addition to monitoring portfolio credit quality indicators, Trustmark also measures how effectively the lending process is being managed and risks are being identified. As part of an ongoing monitoring process, Trustmark grades the commercial portfolio segment as it relates to credit file completion and financial statement exceptions, underwriting, collateral documentation and compliance with law as shown below:

•
Credit File Completeness and Financial Statement Exceptions – evaluates the quality and condition of credit files in terms of content and completeness and focuses on efforts to obtain and document sufficient information to determine the quality and status of credits. Also included is an evaluation of the systems/procedures used to insure compliance with policy.
•
Underwriting – evaluates whether credits are adequately analyzed, appropriately structured and properly approved within loan policy requirements. A properly approved credit is approved by adequate authority in a timely manner with all conditions of approval fulfilled. Total policy exceptions measure the level of underwriting and other policy exceptions within a portfolio segment.
•
Collateral Documentation – focuses on the adequacy of documentation to perfect Trustmark’s collateral position and substantiate collateral value. Collateral exceptions measure the level of documentation exceptions within a portfolio segment. Collateral exceptions occur when certain collateral documentation is either not present or not current.
•
Compliance with Law – focuses on underwriting, documentation, approval and reporting in compliance with banking laws and regulations. Primary emphasis is directed to the Financial Institutions Reform, Recovery and Enforcement Act of 1989 (FIRREA), Regulation O requirements and regulations governing appraisals.

Commercial Credits

Trustmark has established a loan grading system that consists of ten individual credit risk grades (risk ratings) that encompass a range from loans where the expectation of loss is negligible to loans where loss has been established. The model is based on the risk of default for an individual credit and establishes certain criteria to delineate the level of risk across the ten unique credit risk grades. Credit risk grade definitions are as follows:

•
Risk Rate (RR) 1 through RR 6 – Grades one through six represent groups of loans that are not subject to criticism as defined in regulatory guidance. Loans in these groups exhibit characteristics that represent low to moderate risk measured by using a variety of credit risk criteria such as cash flow coverage, debt service coverage, balance sheet leverage, liquidity, management experience, industry position, prevailing economic conditions, support from secondary sources of repayment and other credit factors that may be relevant to a specific loan. In general, these loans are supported by properly margined collateral and guarantees of principal parties.
•
Other Assets Especially Mentioned (Special Mention) (RR 7) – a loan that has a potential weakness that if not corrected will lead to a more severe rating. This rating is for credits that are currently protected but potentially weak because of an adverse feature or condition that if not corrected will lead to a further downgrade.
•
Substandard (RR 8) – a loan that has at least one identified weakness that is well defined. This rating is for credits where the primary sources of repayment are not viable at the time of evaluation or where either the capital or collateral is not adequate to support the loan and the secondary means of repayment do not provide a sufficient level of support to offset the identified weakness. Loss potential exists in the aggregate amount of substandard loans but does not necessarily exist in individual loans.
•
Doubtful (RR 9) – a loan with an identified weakness that does not have a valid secondary source of repayment. Generally, these credits have an impaired primary source of repayment and secondary sources are not sufficient to prevent a loss in the credit. The exact amount of the loss has not been determined at this time.
•
Loss (RR 10) – a loan or a portion of a loan that is deemed to be uncollectible.

By definition, credit risk grades special mention (RR 7), substandard (RR 8), doubtful (RR 9) and loss (RR 10) are criticized loans while substandard (RR 8), doubtful (RR 9) and loss (RR 10) are classified loans. These definitions are standardized by all bank regulatory agencies and are generally equally applied by each individual lending institution. The remaining credit risk grades are considered pass credits and are solely defined by Trustmark.

To enhance this process, Trustmark has determined that certain loans will be individually assessed, and a formal analysis will be performed and based upon the analysis the loan will be written down to net realizable value. Trustmark will individually assess and remove loans from the pool in the following circumstances:

•
Commercial nonaccrual loans with total exposure of $500 thousand (excluding those portions of the debt that are government guaranteed or are secured by Trustmark deposits or marketable securities) or more.
•
Any loan that is believed to not share similar risk characteristics with the rest of the pool will be individually assessed. Otherwise, the loan will be left within the pool based on the results of the assessment.
•
Commercial accruing loans deemed to be a TDR with total exposure of $500 thousand (excluding those portions of the debt that are government guaranteed or are secured by Trustmark deposits or marketable securities) or more. If the loan is believed to not share similar risk characteristics with the rest of the loan pool, the loan will be individually assessed. Otherwise, the loan will be left within the pool and monitored on an ongoing basis.

Each loan officer assesses the appropriateness of the internal risk rating assigned to their credits on an ongoing basis. Trustmark’s Asset Review area conducts independent credit quality reviews of the majority of Trustmark’s commercial loan portfolio both on the underlying credit quality of each individual loan class as well as the adherence to Trustmark’s loan policy and the loan administration process.

In addition to the ongoing internal risk rate monitoring described above, Trustmark’s Credit Quality Review Committee meets monthly and performs a review of all loans of $100 thousand or more that are either delinquent thirty days or more or on nonaccrual. This review includes recommendations regarding risk ratings, accrual status, charge-offs and appropriate servicing officer as well as evaluation of problem credits for determination of TDRs. Quarterly, the Credit Quality Review Committee reviews and modifies continuous action plans for all credits risk rated seven or worse for relationships of $100 thousand or more.

In addition, periodic reviews of significant development, commercial construction, multi-family and nonowner-occupied projects are performed. These reviews assess each particular project with respect to location, project valuations, progress of completion, leasing status, current financial information, rents, operating expenses, cash flow, adherence to budget and projections and other information as applicable. Summary results are reviewed by Senior and Regional Credit Officers in addition to the Chief Credit Officer with a determination made as to the appropriateness of existing risk ratings and accrual status.

Consumer Credits

Consumer LHFI that do not meet a minimum custom credit score are reviewed quarterly. The Retail Credit Review Committee, Management Credit Policy Committee and the Directors Credit Policy Committee review the volume and/or percentage of approvals that did not meet the minimum passing custom score to ensure that Trustmark continues to originate quality loans.

Trustmark monitors the levels and severity of past due consumer LHFI on a daily basis through its collection activities. A detailed assessment of consumer LHFI delinquencies is performed monthly at both a product and market level.

The tables below present the amortized cost basis of loans by credit quality indicator and class of loans based on analyses performed at December 31, 2021 and 2020 ($ in thousands):

 

 

 

Term Loans by Origination Year

 

 

 

 

 

 

 

 

 

2021

 

 

2020

 

 

2019

 

 

2018

 

 

2017

 

 

Prior

 

 

Revolving Loans

 

 

Total

 

As of December 31, 2021

 

Commercial LHFI

 

Loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Construction, land development
   and other land:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass - RR 1 through RR 6

 

$

376,438

 

 

$

76,176

 

 

$

21,366

 

 

$

2,189

 

 

$

1,367

 

 

$

2,890

 

 

$

26,505

 

 

$

506,931

 

Special Mention - RR 7

 

 

71

 

 

 

6,382

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

6,453

 

Substandard - RR 8

 

 

2,243

 

 

 

—

 

 

 

3,435

 

 

 

30

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

5,708

 

Doubtful - RR 9

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

42

 

 

 

—

 

 

 

42

 

Total

 

 

378,752

 

 

 

82,558

 

 

 

24,801

 

 

 

2,219

 

 

 

1,367

 

 

 

2,932

 

 

 

26,505

 

 

 

519,134

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other secured by 1-4 family residential
   properties:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass - RR 1 through RR 6

 

$

44,208

 

 

$

23,269

 

 

$

13,194

 

 

$

9,722

 

 

$

5,737

 

 

$

3,076

 

 

$

8,771

 

 

$

107,977

 

Special Mention - RR 7

 

 

111

 

 

 

143

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

254

 

Substandard - RR 8

 

 

721

 

 

 

150

 

 

 

6

 

 

 

166

 

 

 

46

 

 

 

627

 

 

 

—

 

 

 

1,716

 

Doubtful - RR 9

 

 

22

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

22

 

Total

 

 

45,062

 

 

 

23,562

 

 

 

13,200

 

 

 

9,888

 

 

 

5,783

 

 

 

3,703

 

 

 

8,771

 

 

 

109,969

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Secured by nonfarm, nonresidential
   properties:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass - RR 1 through RR 6

 

$

750,869

 

 

$

604,026

 

 

$

610,446

 

 

$

350,603

 

 

$

183,115

 

 

$

279,529

 

 

$

113,808

 

 

$

2,892,396

 

Special Mention - RR 7

 

 

1,510

 

 

 

9,584

 

 

 

412

 

 

 

—

 

 

 

1,562

 

 

 

4,522

 

 

 

—

 

 

 

17,590

 

Substandard - RR 8

 

 

11,017

 

 

 

2,357

 

 

 

13,609

 

 

 

3,591

 

 

 

5,988

 

 

 

29,309

 

 

 

1,025

 

 

 

66,896

 

Doubtful - RR 9

 

 

43

 

 

 

—

 

 

 

105

 

 

 

—

 

 

 

—

 

 

 

21

 

 

 

—

 

 

 

169

 

Total

 

 

763,439

 

 

 

615,967

 

 

 

624,572

 

 

 

354,194

 

 

 

190,665

 

 

 

313,381

 

 

 

114,833

 

 

 

2,977,051

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other real estate secured:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass - RR 1 through RR 6

 

$

256,273

 

 

$

105,687

 

 

$

220,487

 

 

$

64,268

 

 

$

6,816

 

 

$

56,196

 

 

$

13,350

 

 

$

723,077

 

Special Mention - RR 7

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

773

 

 

 

—

 

 

 

773

 

Substandard - RR 8

 

 

1,684

 

 

 

65

 

 

 

—

 

 

 

8

 

 

 

—

 

 

 

101

 

 

 

—

 

 

 

1,858

 

Doubtful - RR 9

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total

 

 

257,957

 

 

 

105,752

 

 

 

220,487

 

 

 

64,276

 

 

 

6,816

 

 

 

57,070

 

 

 

13,350

 

 

 

725,708

 

 

 

 

 

Term Loans by Origination Year

 

 

 

 

 

 

 

 

 

2021

 

 

2020

 

 

2019

 

 

2018

 

 

2017

 

 

Prior

 

 

Revolving Loans

 

 

Total

 

As of December 31, 2021

 

Commercial LHFI

 

Other loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other construction

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass - RR 1 through RR 6

 

$

273,747

 

 

$

393,580

 

 

$

25,142

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

17,909

 

 

$

710,378

 

Special Mention - RR 7

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Substandard - RR 8

 

 

1,435

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

1,435

 

Doubtful - RR 9

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total

 

 

275,182

 

 

 

393,580

 

 

 

25,142

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

17,909

 

 

 

711,813

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial and industrial loans:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass - RR 1 through RR 6

 

$

503,073

 

 

$

249,171

 

 

$

74,239

 

 

$

33,403

 

 

$

50,016

 

 

$

35,883

 

 

$

400,423

 

 

$

1,346,208

 

Special Mention - RR 7

 

 

643

 

 

 

365

 

 

 

147

 

 

 

550

 

 

 

48

 

 

 

—

 

 

 

99

 

 

 

1,852

 

Substandard - RR 8

 

 

14,530

 

 

 

1,338

 

 

 

1,221

 

 

 

1,119

 

 

 

9,237

 

 

 

386

 

 

 

38,182

 

 

 

66,013

 

Doubtful - RR 9

 

 

20

 

 

 

46

 

 

 

29

 

 

 

107

 

 

 

—

 

 

 

4

 

 

 

—

 

 

 

206

 

Total

 

 

518,266

 

 

 

250,920

 

 

 

75,636

 

 

 

35,179

 

 

 

59,301

 

 

 

36,273

 

 

 

438,704

 

 

 

1,414,279

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

State and other political subdivision loans:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass - RR 1 through RR 6

 

$

381,317

 

 

$

148,156

 

 

$

56,987

 

 

$

30,558

 

 

$

95,491

 

 

$

418,319

 

 

$

8,409

 

 

$

1,139,237

 

Special Mention - RR 7

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

3,350

 

 

 

—

 

 

 

3,350

 

Substandard - RR 8

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

3,664

 

 

 

—

 

 

 

3,664

 

Doubtful - RR 9

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total

 

 

381,317

 

 

 

148,156

 

 

 

56,987

 

 

 

30,558

 

 

 

95,491

 

 

 

425,333

 

 

 

8,409

 

 

 

1,146,251

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other commercial loans:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass - RR 1 through RR 6

 

$

103,504

 

 

$

38,661

 

 

$

64,871

 

 

$

8,643

 

 

$

7,924

 

 

$

41,112

 

 

$

232,476

 

 

$

497,191

 

Special Mention - RR 7

 

 

4,059

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

9,013

 

 

 

13,072

 

Substandard - RR 8

 

 

4,532

 

 

 

6,681

 

 

 

82

 

 

 

212

 

 

 

—

 

 

 

—

 

 

 

13,000

 

 

 

24,507

 

Doubtful - RR 9

 

 

—

 

 

 

50

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

23

 

 

 

—

 

 

 

73

 

Total

 

 

112,095

 

 

 

45,392

 

 

 

64,953

 

 

 

8,855

 

 

 

7,924

 

 

 

41,135

 

 

 

254,489

 

 

 

534,843

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total commercial LHFI

 

$

2,732,070

 

 

$

1,665,887

 

 

$

1,105,778

 

 

$

505,169

 

 

$

367,347

 

 

$

879,827

 

 

$

882,970

 

 

$

8,139,048

 

 

 

 

Term Loans by Origination Year

 

 

 

 

 

 

 

 

 

2021

 

 

2020

 

 

2019

 

 

2018

 

 

2017

 

 

Prior

 

 

Revolving Loans

 

 

Total

 

As of December 31, 2021

 

Consumer LHFI

 

Loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Construction, land development and
   other land:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current

 

$

51,849

 

 

$

16,204

 

 

$

3,024

 

 

$

3,059

 

 

$

797

 

 

$

2,404

 

 

$

—

 

 

$

77,337

 

Past due 30-89 days

 

 

—

 

 

 

265

 

 

 

49

 

 

 

5

 

 

 

—

 

 

 

14

 

 

 

—

 

 

 

333

 

Past due 90 days or more

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

7

 

 

 

—

 

 

 

7

 

Nonaccrual

 

 

64

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

93

 

 

 

—

 

 

 

157

 

Total

 

 

51,913

 

 

 

16,469

 

 

 

3,073

 

 

 

3,064

 

 

 

797

 

 

 

2,518

 

 

 

—

 

 

 

77,834

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other secured by 1-4 family residential
   properties:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current

 

$

21,166

 

 

$

11,098

 

 

$

6,119

 

 

$

5,903

 

 

$

3,291

 

 

$

7,853

 

 

$

347,743

 

 

$

403,173

 

Past due 30-89 days

 

 

5

 

 

 

34

 

 

 

87

 

 

 

114

 

 

 

—

 

 

 

145

 

 

 

1,214

 

 

 

1,599

 

Past due 90 days or more

 

 

—

 

 

 

4

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

13

 

 

 

91

 

 

 

108

 

Nonaccrual

 

 

26

 

 

 

70

 

 

 

29

 

 

 

9

 

 

 

341

 

 

 

274

 

 

 

2,085

 

 

 

2,834

 

Total

 

 

21,197

 

 

 

11,206

 

 

 

6,235

 

 

 

6,026

 

 

 

3,632

 

 

 

8,285

 

 

 

351,133

 

 

 

407,714

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Secured by nonfarm, nonresidential
   properties:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current

 

$

31

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

2

 

 

$

—

 

 

$

—

 

 

$

33

 

Past due 30-89 days

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Past due 90 days or more

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Nonaccrual

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total

 

 

31

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

2

 

 

 

—

 

 

 

—

 

 

 

33

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other real estate secured:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current

 

$

—

 

 

$

97

 

 

$

—

 

 

$

8

 

 

$

60

 

 

$

170

 

 

$

—

 

 

$

335

 

Past due 30-89 days

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Past due 90 days or more

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Nonaccrual

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total

 

 

—

 

 

 

97

 

 

 

—

 

 

 

8

 

 

 

60

 

 

 

170

 

 

 

—

 

 

 

335

 

 

 

 

Term Loans by Origination Year

 

 

 

 

 

 

 

 

 

2021

 

 

2020

 

 

2019

 

 

2018

 

 

2017

 

 

Prior

 

 

Revolving Loans

 

 

Total

 

As of December 31, 2021

 

Consumer LHFI

 

Other loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Secured by 1-4 family residential properties

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current

 

$

622,330

 

 

$

233,951

 

 

$

137,500

 

 

$

107,345

 

 

$

56,374

 

 

$

285,919

 

 

$

—

 

 

$

1,443,419

 

Past due 30-89 days

 

 

542

 

 

 

494

 

 

 

333

 

 

 

10

 

 

 

369

 

 

 

714

 

 

 

—

 

 

 

2,462

 

Past due 90 days or more

 

 

199

 

 

 

501

 

 

 

165

 

 

 

122

 

 

 

218

 

 

 

450

 

 

 

—

 

 

 

1,655

 

Nonaccrual

 

 

272

 

 

 

1,875

 

 

 

1,419

 

 

 

2,105

 

 

 

916

 

 

 

6,187

 

 

 

—

 

 

 

12,774

 

Total

 

 

623,343

 

 

 

236,821

 

 

 

139,417

 

 

 

109,582

 

 

 

57,877

 

 

 

293,270

 

 

 

—

 

 

 

1,460,310

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Consumer loans:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current

 

$

65,366

 

 

$

25,512

 

 

$

8,498

 

 

$

4,734

 

 

$

1,289

 

 

$

378

 

 

$

54,518

 

 

$

160,295

 

Past due 30-89 days

 

 

989

 

 

 

223

 

 

 

123

 

 

 

22

 

 

 

10

 

 

 

5

 

 

 

468

 

 

 

1,840

 

Past due 90 days or more

 

 

26

 

 

 

23

 

 

 

6

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

248

 

 

 

303

 

Nonaccrual

 

 

71

 

 

 

17

 

 

 

2

 

 

 

13

 

 

 

8

 

 

 

—

 

 

 

6

 

 

 

117

 

Total

 

 

66,452

 

 

 

25,775

 

 

 

8,629

 

 

 

4,769

 

 

 

1,307

 

 

 

383

 

 

 

55,240

 

 

 

162,555

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total consumer LHFI

 

$

762,936

 

 

$

290,368

 

 

$

157,354

 

 

$

123,449

 

 

$

63,675

 

 

$

304,626

 

 

$

406,373

 

 

$

2,108,781

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total LHFI

 

$

3,495,006

 

 

$

1,956,255

 

 

$

1,263,132

 

 

$

628,618

 

 

$

431,022

 

 

$

1,184,453

 

 

$

1,289,343

 

 

$

10,247,829

 

 

 

 

Term Loans by Origination Year

 

 

 

 

 

 

 

 

 

2020

 

 

2019

 

 

2018

 

 

2017

 

 

2016

 

 

Prior

 

 

Revolving Loans

 

 

Total

 

As of December 31, 2020

 

Commercial LHFI

 

Loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Construction, land development
   and other land:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass - RR 1 through RR 6

 

$

287,218

 

 

$

62,078

 

 

$

26,401

 

 

$

4,487

 

 

$

3,274

 

 

$

3,564

 

 

$

28,548

 

 

$

415,570

 

Special Mention - RR 7

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Substandard - RR 8

 

 

5,419

 

 

 

4,363

 

 

 

1,226

 

 

 

12

 

 

 

494

 

 

 

22

 

 

 

101

 

 

 

11,637

 

Doubtful - RR 9

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

42

 

 

 

—

 

 

 

42

 

Total

 

 

292,637

 

 

 

66,441

 

 

 

27,627

 

 

 

4,499

 

 

 

3,768

 

 

 

3,628

 

 

 

28,649

 

 

 

427,249

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other secured by 1-4 family residential
   properties:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass - RR 1 through RR 6

 

$

35,139

 

 

$

19,596

 

 

$

15,399

 

 

$

9,605

 

 

$

10,273

 

 

$

4,786

 

 

$

8,486

 

 

$

103,284

 

Special Mention - RR 7

 

 

255

 

 

 

—

 

 

 

50

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

305

 

Substandard - RR 8

 

 

1,155

 

 

 

8

 

 

 

914

 

 

 

341

 

 

 

302

 

 

 

337

 

 

 

3,950

 

 

 

7,007

 

Doubtful - RR 9

 

 

29

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

29

 

Total

 

 

36,578

 

 

 

19,604

 

 

 

16,363

 

 

 

9,946

 

 

 

10,575

 

 

 

5,123

 

 

 

12,436

 

 

 

110,625

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Secured by nonfarm, nonresidential
   properties:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass - RR 1 through RR 6

 

$

697,439

 

 

$

496,476

 

 

$

442,264

 

 

$

293,072

 

 

$

254,747

 

 

$

251,219

 

 

$

96,098

 

 

$

2,531,315

 

Special Mention - RR 7

 

 

13,452

 

 

 

6,139

 

 

 

2,956

 

 

 

4,466

 

 

 

4,957

 

 

 

20,545

 

 

 

—

 

 

 

52,515

 

Substandard - RR 8

 

 

19,119

 

 

 

20,572

 

 

 

4,516

 

 

 

12,956

 

 

 

38,956

 

 

 

25,438

 

 

 

2,779

 

 

 

124,336

 

Doubtful - RR 9

 

 

52

 

 

 

163

 

 

 

—

 

 

 

—

 

 

 

217

 

 

 

306

 

 

 

—

 

 

 

738

 

Total

 

 

730,062

 

 

 

523,350

 

 

 

449,736

 

 

 

310,494

 

 

 

298,877

 

 

 

297,508

 

 

 

98,877

 

 

 

2,708,904

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other real estate secured:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass - RR 1 through RR 6

 

$

146,803

 

 

$

376,765

 

 

$

347,472

 

 

$

48,626

 

 

$

89,824

 

 

$

23,680

 

 

$

12,116

 

 

$

1,045,286

 

Special Mention - RR 7

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

841

 

 

 

—

 

 

 

841

 

Substandard - RR 8

 

 

18,649

 

 

 

14

 

 

 

18

 

 

 

—

 

 

 

556

 

 

 

122

 

 

 

—

 

 

 

19,359

 

Doubtful - RR 9

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total

 

 

165,452

 

 

 

376,779

 

 

 

347,490

 

 

 

48,626

 

 

 

90,380

 

 

 

24,643

 

 

 

12,116

 

 

 

1,065,486

 

 

 

 

Term Loans by Origination Year

 

 

 

 

 

 

 

 

 

2020

 

 

2019

 

 

2018

 

 

2017

 

 

2016

 

 

Prior

 

 

Revolving Loans

 

 

Total

 

As of December 31, 2020

 

Commercial LHFI

 

Other loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other construction

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass - RR 1 through RR 6

 

$

262,544

 

 

$

425,936

 

 

$

81,476

 

 

$

14,074

 

 

$

2,464

 

 

$

—

 

 

$

7,735

 

 

$

794,229

 

Special Mention - RR 7

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Substandard - RR 8

 

 

754

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

754

 

Doubtful - RR 9

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total

 

 

263,298

 

 

 

425,936

 

 

 

81,476

 

 

 

14,074

 

 

 

2,464

 

 

 

—

 

 

 

7,735

 

 

 

794,983

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial and industrial loans:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass - RR 1 through RR 6

 

$

444,304

 

 

$

165,163

 

 

$

77,611

 

 

$

77,985

 

 

$

59,131

 

 

$

43,214

 

 

$

372,486

 

 

$

1,239,894

 

Special Mention - RR 7

 

 

677

 

 

 

45

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

240

 

 

 

962

 

Substandard - RR 8

 

 

12,090

 

 

 

1,814

 

 

 

9,737

 

 

 

3,735

 

 

 

2,160

 

 

 

5,024

 

 

 

33,380

 

 

 

67,940

 

Doubtful - RR 9

 

 

151

 

 

 

95

 

 

 

—

 

 

 

—

 

 

 

32

 

 

 

4

 

 

 

—

 

 

 

282

 

Total

 

 

457,222

 

 

 

167,117

 

 

 

87,348

 

 

 

81,720

 

 

 

61,323

 

 

 

48,242

 

 

 

406,106

 

 

 

1,309,078

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

State and other political subdivision loans:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass - RR 1 through RR 6

 

$

250,363

 

 

$

79,595

 

 

$

41,334

 

 

$

113,817

 

 

$

132,634

 

 

$

372,831

 

 

$

1,446

 

 

$

992,020

 

Special Mention - RR 7

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

4,018

 

 

 

—

 

 

 

4,018

 

Substandard - RR 8

 

 

—

 

 

 

—

 

 

 

—

 

 

 

247

 

 

 

—

 

 

 

4,491

 

 

 

—

 

 

 

4,738

 

Doubtful - RR 9

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total

 

 

250,363

 

 

 

79,595

 

 

 

41,334

 

 

 

114,064

 

 

 

132,634

 

 

 

381,340

 

 

 

1,446

 

 

 

1,000,776

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other commercial loans:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass - RR 1 through RR 6

 

$

101,230

 

 

$

70,990

 

 

$

20,769

 

 

$

9,723

 

 

$

33,481

 

 

$

30,715

 

 

$

225,533

 

 

$

492,441

 

Special Mention - RR 7

 

 

7,500

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

11,333

 

 

 

18,833

 

Substandard - RR 8

 

 

381

 

 

 

2,099

 

 

 

683

 

 

 

6

 

 

 

707

 

 

 

—

 

 

 

9,948

 

 

 

13,824

 

Doubtful - RR 9

 

 

2

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

23

 

 

 

—

 

 

 

25

 

Total

 

 

109,113

 

 

 

73,089

 

 

 

21,452

 

 

 

9,729

 

 

 

34,188

 

 

 

30,738

 

 

 

246,814

 

 

 

525,123

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total commercial LHFI

 

$

2,304,725

 

 

$

1,731,911

 

 

$

1,072,826

 

 

$

593,152

 

 

$

634,209

 

 

$

791,222

 

 

$

814,179

 

 

$

7,942,224

 

 

 

 

Term Loans by Origination Year

 

 

 

 

 

 

 

 

 

2020

 

 

2019

 

 

2018

 

 

2017

 

 

2016

 

 

Prior

 

 

Revolving Loans

 

 

Total

 

As of December 31, 2020

 

Consumer LHFI

 

Loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Construction, land development and
   other land:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current

 

$

47,336

 

 

$

24,174

 

 

$

8,496

 

 

$

2,036

 

 

$

1,447

 

 

$

2,868

 

 

$

—

 

 

$

86,357

 

Past due 30-89 days

 

 

—

 

 

 

318

 

 

 

20

 

 

 

—

 

 

 

1

 

 

 

12

 

 

 

—

 

 

 

351

 

Past due 90 days or more

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Nonaccrual

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

99

 

 

 

—

 

 

 

99

 

Total

 

 

47,336

 

 

 

24,492

 

 

 

8,516

 

 

 

2,036

 

 

 

1,448

 

 

 

2,979

 

 

 

—

 

 

 

86,807

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other secured by 1-4 family residential
   properties:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current

 

$

20,864

 

 

$

10,253

 

 

$

12,037

 

 

$

4,177

 

 

$

2,082

 

 

$

11,124

 

 

$

348,830

 

 

$

409,367

 

Past due 30-89 days

 

 

93

 

 

 

12

 

 

 

—

 

 

 

13

 

 

 

—

 

 

 

133

 

 

 

1,058

 

 

 

1,309

 

Past due 90 days or more

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

30

 

 

 

22

 

 

 

52

 

Nonaccrual

 

 

6

 

 

 

44

 

 

 

121

 

 

 

428

 

 

 

—

 

 

 

382

 

 

 

2,398

 

 

 

3,379

 

Total

 

 

20,963

 

 

 

10,309

 

 

 

12,158

 

 

 

4,618

 

 

 

2,082

 

 

 

11,669

 

 

 

352,308

 

 

 

414,107

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Secured by nonfarm, nonresidential
   properties:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current

 

$

109

 

 

$

—

 

 

$

—

 

 

$

4

 

 

$

—

 

 

$

9

 

 

$

—

 

 

$

122

 

Past due 30-89 days

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Past due 90 days or more

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Nonaccrual

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total

 

 

109

 

 

 

—

 

 

 

—

 

 

 

4

 

 

 

—

 

 

 

9

 

 

 

—

 

 

 

122

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other real estate secured:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current

 

$

107

 

 

$

—

 

 

$

38

 

 

$

37

 

 

$

96

 

 

$

200

 

 

$

—

 

 

$

478

 

Past due 30-89 days

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Past due 90 days or more

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Nonaccrual

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total

 

 

107

 

 

 

—

 

 

 

38

 

 

 

37

 

 

 

96

 

 

 

200

 

 

 

—

 

 

 

478

 

 

 

 

Term Loans by Origination Year

 

 

 

 

 

 

 

 

 

2020

 

 

2019

 

 

2018

 

 

2017

 

 

2016

 

 

Prior

 

 

Revolving Loans

 

 

Total

 

As of December 31, 2020

 

Consumer LHFI

 

Other loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Secured by 1-4 family residential properties

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current

 

$

289,521

 

 

$

214,056

 

 

$

173,324

 

 

$

92,564

 

 

$

109,031

 

 

$

321,250

 

 

$

—

 

 

$

1,199,746

 

Past due 30-89 days

 

 

499

 

 

 

93

 

 

 

753

 

 

 

366

 

 

 

1,080

 

 

 

799

 

 

 

—

 

 

 

3,590

 

Past due 90 days or more

 

 

159

 

 

 

214

 

 

 

208

 

 

 

127

 

 

 

—

 

 

 

549

 

 

 

—

 

 

 

1,257

 

Nonaccrual

 

 

283

 

 

 

711

 

 

 

2,024

 

 

 

682

 

 

 

239

 

 

 

7,868

 

 

 

—

 

 

 

11,807

 

Total

 

 

290,462

 

 

 

215,074

 

 

 

176,309

 

 

 

93,739

 

 

 

110,350

 

 

 

330,466

 

 

 

—

 

 

 

1,216,400

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Consumer loans:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current

 

$

65,370

 

 

$

25,303

 

 

$

13,140

 

 

$

3,893

 

 

$

1,257

 

 

$

345

 

 

$

53,669

 

 

$

162,977

 

Past due 30-89 days

 

 

524

 

 

 

158

 

 

 

67

 

 

 

19

 

 

 

7

 

 

 

3

 

 

 

305

 

 

 

1,083

 

Past due 90 days or more

 

 

77

 

 

 

—

 

 

 

4

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

159

 

 

 

240

 

Nonaccrual

 

 

12

 

 

 

4

 

 

 

55

 

 

 

13

 

 

 

2

 

 

 

—

 

 

 

—

 

 

 

86

 

Total

 

 

65,983

 

 

 

25,465

 

 

 

13,266

 

 

 

3,925

 

 

 

1,266

 

 

 

348

 

 

 

54,133

 

 

 

164,386

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total consumer LHFI

 

$

424,960

 

 

$

275,340

 

 

$

210,287

 

 

$

104,359

 

 

$

115,242

 

 

$

345,671

 

 

$

406,441

 

 

$

1,882,300

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total LHFI

 

$

2,729,685

 

 

$

2,007,251

 

 

$

1,283,113

 

 

$

697,511

 

 

$

749,451

 

 

$

1,136,893

 

 

$

1,220,620

 

 

$

9,824,524

 

Past Due LHFS

LHFS past due 90 days or more totaled $69.9 million and $119.4 million at December 31, 2021 and 2020, respectively.

Trustmark did not exercise its buy-back option on any delinquent loans serviced for GNMA during 2021 or 2020.

ACL, LHFI

Trustmark’s ACL methodology for LHFI is based upon guidance within FASB ASC Subtopic 326-20 as well as applicable regulatory guidance. The ACL is a valuation account that is deducted from the loans’ amortized cost basis to present the net amount expected to be collected on the loans. Credit quality within the LHFI portfolio is continuously monitored by Management and is reflected within the ACL for loans. The ACL is an estimate of expected losses inherent within Trustmark’s existing LHFI portfolio. The ACL for LHFI is adjusted through the PCL, LHFI and reduced by the charge off of loan amounts, net of recoveries.

The methodology for estimating the amount of expected credit losses reported in the ACL has two basic components: a collective, or pooled, component for estimated expected credit losses for pools of loans that share similar risk characteristics, and an asset-specific component involving individual loans that do not share risk characteristics with other loans and the measurement of expected credit losses for such individual loans. In estimating the ACL for the collective component, loans are segregated into loan pools based on loan product types and similar risk characteristics.

The loans secured by real estate and other loans secured by real estate portfolio segments include loans for both commercial and residential properties. The underwriting process for these loans includes analysis of the financial position and strength of both the borrower and guarantor, experience with similar projects in the past, market demand and prospects for successful completion of the proposed project within the established budget and schedule, values of underlying collateral, availability of permanent financing, maximum loan-to-value ratios, minimum equity requirements, acceptable amortization periods and minimum debt service coverage requirements, based on property type. The borrower’s financial strength and capacity to repay their obligations remain the primary focus of underwriting. Financial strength is evaluated based upon analytical tools that consider historical and projected cash flows and performance in addition to analysis of the proposed project for income-producing properties. Additional support offered by guarantors is also considered. Ultimate repayment of these loans is sensitive to interest rate changes, general economic conditions, liquidity and availability of long-term financing.

The commercial and industrial LHFI portfolio segment includes loans within Trustmark’s geographic markets made to many types of businesses for various purposes, such as short-term working capital loans that are usually secured by accounts receivable and inventory and term financing for equipment and fixed asset purchases that are secured by those assets. Trustmark’s credit underwriting process for commercial and industrial loans includes analysis of historical and projected cash flows and performance, evaluation of financial strength of both borrowers and guarantors as reflected in current and detailed financial information and evaluation of underlying collateral to support the credit.

The consumer LHFI portfolio segment is comprised of loans which are underwritten after evaluating a borrower’s repayment capacity, credit and collateral. Several factors are considered when assessing a borrower’s capacity to repay the obligation, including the borrower’s employment, income, current debt and assets. Credit is assessed using a credit report that provides credit scores and the borrower’s current and past information about their credit history. Property appraisals are obtained to assist in evaluating collateral. Loan-to-value and debt-to-income ratios, loan amount and lien position are also considered in assessing whether to originate a loan. These borrowers are particularly susceptible to downturns in economic trends such as conditions that negatively affect housing prices and demand and levels of unemployment.

The state and other political subdivision LHFI and the other commercial LHFI portfolio segments primarily consist of loans to non-depository financial institutions, such as mortgage companies, finance companies and other financial intermediaries, loans to state and political subdivisions, and loans to non-profit and charitable organizations. These loans are underwritten based on the specific nature or purpose of the loan and underlying collateral with special consideration given to the specific source of repayment for the loan.

The following table provides a description of each of Trustmark’s portfolio segments, loan classes, loan pools and the ACL methodology and loss drivers:

 

Portfolio Segment

 

Loan Class

 

Loan Pool

 

Methodology

 

Loss Drivers

Loans secured by real estate

 

Construction, land
   development and other land

 

1-4 family residential
   construction

 

DCF

 

Prime Rate, National GDP

 

 

 

 

Lots and development

 

DCF

 

Prime Rate, Southern Unemployment

 

 

 

 

Unimproved land

 

DCF

 

Prime Rate, Southern Unemployment

 

 

 

 

All other consumer

 

DCF

 

Southern Unemployment

 

 

Other secured by 1-4
   family residential
   properties

 

Consumer 1-4 family - 1st liens

 

DCF

 

Prime Rate, Southern Unemployment

 

 

 

 

All other consumer

 

DCF

 

Southern Unemployment

 

 

 

 

Nonresidential owner-occupied

 

DCF

 

Southern Unemployment, National GDP

 

 

Secured by nonfarm,
   nonresidential properties

 

Nonowner-occupied -
   hotel/motel

 

DCF

 

Southern Vacancy Rate, Southern Unemployment

 

 

 

 

Nonowner-occupied - office

 

DCF

 

Southern Vacancy Rate, Southern Unemployment

 

 

 

 

Nonowner-occupied- Retail

 

DCF

 

Southern Vacancy Rate, Southern Unemployment

 

 

 

 

Nonowner-occupied - senior
   living/nursing homes

 

DCF

 

Southern Vacancy Rate, Southern Unemployment

 

 

 

 

Nonowner-occupied -
   all other

 

DCF

 

Southern Vacancy Rate, Southern Unemployment

 

 

 

 

Nonresidential owner-occupied

 

DCF

 

Southern Unemployment, National GDP

 

 

Other real estate secured

 

Nonresidential nonowner
   -occupied - apartments

 

DCF

 

Southern Vacancy Rate, Southern Unemployment

 

 

 

 

Nonresidential owner-occupied

 

DCF

 

Southern Unemployment, National GDP

 

 

 

 

Nonowner-occupied -
   all other

 

DCF

 

Southern Vacancy Rate, Southern Unemployment

Other loans secured by
   real estate

 

Other construction

 

Other construction

 

WARM

 

Prime Rate, National Unemployment

 

 

Secured by 1-4 family
   residential properties

 

Trustmark mortgage

 

WARM

 

Southern Unemployment

Commercial and
   industrial loans

 

Commercial and
   industrial loans

 

Commercial and industrial -
   non-working capital

 

DCF

 

Trustmark historical data

 

 

 

 

Commercial and industrial -
   working capital

 

DCF

 

Trustmark historical data

 

 

 

 

Credit cards

 

WARM

 

Trustmark call report data

Consumer loans

 

Consumer loans

 

Credit cards

 

WARM

 

Trustmark call report data

 

 

 

 

Overdrafts

 

Loss Rate

 

Trustmark historical data

 

 

 

 

All other consumer

 

DCF

 

Southern Unemployment

State and other political
   subdivision loans

 

State and other political
   subdivision loans

 

Obligations of state and
   political subdivisions

 

DCF

 

Moody's Bond Default Study

Other commercial loans

 

Other commercial loans

 

Other loans

 

DCF

 

Prime Rate, Southern Unemployment

 

 

 

 

Commercial and industrial -
   non-working capital

 

DCF

 

Trustmark historical data

 

 

 

 

Commercial and industrial -
   working capital

 

DCF

 

Trustmark historical data

 

In general, Trustmark utilizes a DCF method to estimate the quantitative portion of the ACL for loan pools. The DCF model consists of two key components, a loss driver analysis (LDA) and a cash flow analysis. For loan pools utilizing the DCF methodology, multiple assumptions are in place, depending on the loan pool. A reasonable and supportable forecast is utilized for each loan pool by developing a LDA for each loan class. The LDA uses charge off data from Federal Financial Institutions Examination Council (FFIEC) reports to construct a periodic default rate (PDR). The PDR is decomposed into a probability of default (PD). Regressions are run using the data for various macroeconomic variables in order to determine which ones correlate to Trustmark’s losses. These variables are then incorporated into the application to calculate a quarterly PD using a third-party baseline forecast. In addition to the PD, a loss given default (LGD) is derived using a method referred to as Frye Jacobs. The Frye Jacobs method is a mathematical formula that traces the

relationship between LGD and PD over time and projects the LGD based on the levels of PD forecasts. This model approach is applicable to all pools within the construction, land development and other land, other secured by 1-4 family residential properties, secured by nonfarm, nonresidential properties and other real estate secured loan classes as well as the all other consumer and other loans pools.

For the commercial and industrial loans related pools, Trustmark uses its own PD and LGD data, instead of the macroeconomic variables and the Frye Jacobs method described above, to calculate the PD and LGD as there were no defensible macroeconomic variables that correlated to Trustmark’s losses. Trustmark utilizes a third-party Bond Default Study to derive the PD and LGD for the obligations of state and political subdivisions pool. Due to the lack of losses within this pool, no defensible macroeconomic factors were identified to correlate.

The PD and LGD measures are used in conjunction with prepayment data as inputs into the DCF model to calculate the cash flows at the individual loan level. Contractual cash flows based on loan terms are adjusted for PD, LGD and prepayments to derive loss cash flows. These loss cash flows are discounted by the loan’s coupon rate to arrive at the discounted cash flow based quantitative loss. The prepayment studies are updated quarterly by a third-party for each applicable pool.

An alternate method of estimating the ACL is used for certain loan pools due to specific characteristics of these loans. For the non-DCF pools, specifically, those using the weighted average remaining maturity (WARM) method, the remaining life is incorporated into the ACL quantitative calculation.

Trustmark determined that reasonable and supportable forecasts could be made for a twelve-month period for all of its loan pools. To the extent the lives of the loans in the LHFI portfolio extend beyond this forecast period, Trustmark uses a reversion period of four quarters and reverts to the historical mean on a straight-line basis over the remaining life of the loans. The econometric models currently in production reflect segment or pool level sensitivities of PD to changes in macroeconomic variables. By measuring the relationship between defaults and changes in the economy, the quantitative reserve incorporates reasonable and supportable forecasts of future conditions that will affect the value of its assets, as required by FASB ASC Topic 326. Under stable forecasts, these linear regressions will reasonably predict a pool’s PD. However, due to the COVID-19 pandemic, the macroeconomic variables used for reasonable and supportable forecasting have changed rapidly. At the current levels, it is not clear that the models currently in production will produce reasonably representative results since the models were originally estimated using data beginning in 2004 through 2019. During this period, a traditional, albeit severe, economic recession occurred. Thus, econometric models are sensitive to similar future levels of PD.

In order to prevent the econometric models from extrapolating beyond reasonable boundaries of their input variables, Trustmark chose to establish an upper and lower limit process when applying the periodic forecasts. In this way, Management will not rely upon unobserved and untested relationships in the setting of the quantitative reserve. This approach applies to all input variables, including: Southern Unemployment, National Unemployment, National Gross Domestic Product (GDP), Southern Vacancy Rate and the Prime Rate. The upper and lower limits are based on the distribution of the macroeconomic variable by selecting extreme percentiles at the upper and lower limits of the distribution, the 1st and 99th, respectively. These upper and lower limits are then used to calculate the PD for the forecast time period in which the forecasted values are outside of the upper and lower limit range. During 2021, the forecast related to the macroeconomic variables used in the quantitative modeling process were positively impacted due to the updated forecast effects. However, due to multiple periods having a PD or LGD at or near zero as a result of improving macroeconomic forecasts, Management implemented PD and LGD floors to account for the risk associated with each portfolio. The PD and LGD floors are based on Trustmark's historical loss experience and applied at a portfolio level.

Qualitative factors used in the ACL methodology include the following:

•
Lending policies and procedures
•
Economic conditions and concentrations of credit
•
Nature and volume of the portfolio
•
Performance trends
•
External factors

While all these factors are incorporated into the overall methodology, only three are currently considered active: economic conditions and concentrations of credit, performance trends and external factors.

Two of Trustmark’s largest loan classes are the loans secured by nonfarm, nonresidential properties and the loans secured by other real estate. Trustmark elected to create a qualitative factor specifically for these loan classes which addresses changes in the economic conditions of metropolitan areas and applies additional pool level reserves. This qualitative factor is based on third-party market data and forecast trends and is updated quarterly as information is available, by market and by loan pool.

For the performance trends factor, Trustmark uses migration analyses to allocate additional ACL to non-pass/delinquent loans within each pool. In this way, Management believes the ACL will directly reflect changes in risk, based on the performance of the loans within a pool, whether declining or improving.

The external factors qualitative factor is Management’s best judgement on the loan or pool level impact of all factors that affect the portfolio that are not accounted for using any other part of the ACL methodology (e.g., natural disasters, changes in legislation, impacts due to technology and pandemics). During 2020, Trustmark activated the External Factor – Pandemic to ensure reserve adequacy for collectively evaluated loans most likely to be impacted by the unique economic and behavioral conditions created by the COVID-19 pandemic. Additional qualitative reserves are derived based on two principles. The first is the disconnect of economic factors to Trustmark’s modeled probability of default (derived from the econometric models underpinning the quantitative pooled reserves). During the pandemic, extraordinary measures by the federal government were made available to consumers and businesses, including COVID-19 loan payment concessions, direct transfer payments to households, tax deferrals, and reduced interest rates, among others. These government interventions may have extended the lag between economic conditions and default, relative to what was captured in the model development data. Because Trustmark’s econometric PD models rely on the observed relationship from the economic downturn from 2007 to 2009 in both timing and severity, Management does not expect the models to reflect these current conditions. For example, while the models would predict contemporaneous unemployment peaks and loan defaults, this may not occur when borrowers can request payment deferrals. Thus, for the affected population, economic conditions are not fully considered as a part of Trustmark’s quantitative reserve. The second principle is the change in risk that is identified by rating changes. As a part of Trustmark’s credit review process, loans in the affected population have been given more frequent screening to ensure accurate ratings are maintained through this dynamic period. Trustmark’s quantitative reserve does not directly address changes in ratings, thus a migration qualitative factor was designed to work in concert with the quantitative reserve. In a downturn, the qualitative factor is inactive for most pools because changes in ratings are congruent with changes in macroeconomic conditions, which directly influence the PD models in the quantitative reserve.

As discussed above, the disconnect of economic factors means that changes in rating caused by deteriorating and weak economic conditions as a result of the pandemic are not being captured in the quantitative reserve. During 2020, due to unforeseen pandemic conditions that varied from Management’s expectations, additional reserves were further dimensioned in order to appropriately reflect the risk within the portfolio related to the COVID-19 pandemic. In an effort to ensure the External Factor-Pandemic qualitative factor is reasonable and supportable, historical Trustmark loss data was leveraged to construct a framework that is quantitative in nature. To dimension the additional reserve, Management uses the sensitivity of the quantitative commercial loan reserve to changes in macroeconomic conditions to apply to loans rated acceptable or better (RR 1-4). In addition, to account for the known changes in risk, a weighted average of the commercial loan portfolio loss rate, derived from the performance trends qualitative factor, is used to dimension additional reserves for downgraded credits. Loans rated acceptable with risk (RR 5) or watch (RR 6) received the additional reserves based on the average of the macroeconomic conditions and weighted- average of the commercial loan portfolio loss rate while the loans rated special mention and substandard received additional reserves based on the weighted-average described above.

The following tables disaggregate the ACL and the amortized cost basis of the loans by the measurement methodology used at December 31, 2021 and 2020 ($ in thousands):

 

 

 

Year Ended December 31, 2021

 

 

 

ACL

 

 

LHFI

 

 

 

Individually Evaluated for Credit Loss

 

 

Collectively Evaluated for Credit Loss

 

 

Total ACL

 

 

Individually Evaluated for Credit Loss

 

 

Collectively Evaluated for Credit Loss

 

 

Total LHFI

 

Loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Construction, land development and other land

 

$

278

 

 

$

5,801

 

 

$

6,079

 

 

$

5,198

 

 

 

591,770

 

 

$

596,968

 

Other secured by 1-4 family residential properties

 

 

—

 

 

 

10,310

 

 

 

10,310

 

 

 

—

 

 

 

517,683

 

 

 

517,683

 

Secured by nonfarm, nonresidential properties

 

 

—

 

 

 

37,912

 

 

 

37,912

 

 

 

11,072

 

 

 

2,966,012

 

 

 

2,977,084

 

Other real estate secured

 

 

—

 

 

 

4,713

 

 

 

4,713

 

 

 

56

 

 

 

725,987

 

 

 

726,043

 

Other loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other construction

 

 

—

 

 

 

5,968

 

 

 

5,968

 

 

 

—

 

 

 

711,813

 

 

 

711,813

 

Secured by 1-4 family residential properties

 

 

—

 

 

 

2,706

 

 

 

2,706

 

 

 

1,319

 

 

 

1,458,991

 

 

 

1,460,310

 

Commercial and industrial loans

 

 

5,750

 

 

 

13,189

 

 

 

18,939

 

 

 

18,444

 

 

 

1,395,835

 

 

 

1,414,279

 

Consumer loans

 

 

—

 

 

 

4,774

 

 

 

4,774

 

 

 

—

 

 

 

162,555

 

 

 

162,555

 

State and other political subdivision loans

 

 

1,394

 

 

 

1,314

 

 

 

2,708

 

 

 

3,664

 

 

 

1,142,587

 

 

 

1,146,251

 

Other commercial loans

 

 

203

 

 

 

5,145

 

 

 

5,348

 

 

 

4,608

 

 

 

530,235

 

 

 

534,843

 

Total

 

$

7,625

 

 

$

91,832

 

 

$

99,457

 

 

$

44,361

 

 

$

10,203,468

 

 

$

10,247,829

 

 

 

 

 

December 31, 2020

 

 

 

ACL

 

 

LHFI

 

 

 

Individually Evaluated
for Credit Loss

 

 

Collectively Evaluated for Credit Loss

 

 

Total

 

 

Individually Evaluated for Credit Loss

 

 

Collectively Evaluated for Credit Loss

 

 

Total

 

Loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Construction, land development and other land

 

$

—

 

 

$

6,854

 

 

$

6,854

 

 

$

5,756

 

 

$

508,300

 

 

$

514,056

 

Other secured by 1-4 family residential properties

 

 

—

 

 

 

9,928

 

 

 

9,928

 

 

 

454

 

 

 

524,278

 

 

 

524,732

 

Secured by nonfarm, nonresidential properties

 

 

—

 

 

 

48,523

 

 

 

48,523

 

 

 

12,037

 

 

 

2,696,989

 

 

 

2,709,026

 

Other real estate secured

 

 

—

 

 

 

7,382

 

 

 

7,382

 

 

 

60

 

 

 

1,065,904

 

 

 

1,065,964

 

Other loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other construction

 

 

—

 

 

 

8,158

 

 

 

8,158

 

 

 

—

 

 

 

794,983

 

 

 

794,983

 

Secured by 1-4 family residential properties

 

 

—

 

 

 

5,143

 

 

 

5,143

 

 

 

1,441

 

 

 

1,214,959

 

 

 

1,216,400

 

Commercial and industrial loans

 

 

579

 

 

 

14,272

 

 

 

14,851

 

 

 

14,076

 

 

 

1,295,002

 

 

 

1,309,078

 

Consumer loans

 

 

—

 

 

 

5,838

 

 

 

5,838

 

 

 

—

 

 

 

164,386

 

 

 

164,386

 

State and other political subdivision loans

 

 

1,700

 

 

 

1,490

 

 

 

3,190

 

 

 

3,970

 

 

 

996,806

 

 

 

1,000,776

 

Other loans

 

 

2,100

 

 

 

5,339

 

 

 

7,439

 

 

 

5,615

 

 

 

519,508

 

 

 

525,123

 

Total

 

$

4,379

 

 

$

112,927

 

 

$

117,306

 

 

$

43,409

 

 

$

9,781,115

 

 

$

9,824,524

 

 

Changes in the ACL were as follows for the periods presented ($ in thousands):

 

 

 

Years Ended December 31,

 

 

 

2021

 

 

2020

 

 

2019

 

Balance at beginning of period

 

$

117,306

 

 

$

84,277

 

 

$

79,290

 

FASB ASU 2016-13 adoption adjustments:

 

 

 

 

 

 

 

 

 

LHFI

 

 

—

 

 

 

(3,039

)

 

 

—

 

Allowance for loan losses, acquired loans transfer

 

 

—

 

 

 

815

 

 

 

—

 

Acquired loans ACL adjustment

 

 

—

 

 

 

1,007

 

 

 

—

 

Loans charged-off

 

 

(10,275

)

 

 

(11,475

)

 

 

(14,481

)

Recoveries

 

 

13,925

 

 

 

9,608

 

 

 

8,671

 

Net (charge-offs) recoveries

 

 

3,650

 

 

 

(1,867

)

 

 

(5,810

)

PCL, LHFI

 

 

(21,499

)

 

 

36,113

 

 

 

10,797

 

Balance at end of period

 

$

99,457

 

 

$

117,306

 

 

$

84,277

 

 

The following tables detail changes in the ACL by loan class for the years ended December 31, 2021 and 2020 ($ in thousands):

 

 

 

2021

 

 

 

Balance

 

 

 

 

 

 

 

 

 

 

 

Balance

 

 

 

January 1,

 

 

Charge-offs

 

 

Recoveries

 

 

PCL

 

 

December 31,

 

Loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Construction, land development and other land

 

$

6,854

 

 

$

(39

)

 

$

1,564

 

 

$

(2,300

)

 

$

6,079

 

Other secured by 1-4 family residential properties

 

 

9,928

 

 

 

(109

)

 

 

505

 

 

 

(14

)

 

 

10,310

 

Secured by nonfarm, nonresidential properties

 

 

48,523

 

 

 

(169

)

 

 

1,245

 

 

 

(11,687

)

 

 

37,912

 

Other real estate secured

 

 

7,382

 

 

 

—

 

 

 

20

 

 

 

(2,689

)

 

 

4,713

 

Other loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other construction

 

 

8,158

 

 

 

—

 

 

 

47

 

 

 

(2,237

)

 

 

5,968

 

Secured by 1-4 family residential properties

 

 

5,143

 

 

 

(177

)

 

 

128

 

 

 

(2,388

)

 

 

2,706

 

Commercial and industrial loans

 

 

14,851

 

 

 

(4,391

)

 

 

4,727

 

 

 

3,752

 

 

 

18,939

 

Consumer loans

 

 

5,838

 

 

 

(1,640

)

 

 

1,665

 

 

 

(1,089

)

 

 

4,774

 

State and other political subdivision loans

 

 

3,190

 

 

 

—

 

 

 

—

 

 

 

(482

)

 

 

2,708

 

Other commercial loans

 

 

7,439

 

 

 

(3,750

)

 

 

4,024

 

 

 

(2,365

)

 

 

5,348

 

Total

 

$

117,306

 

 

$

(10,275

)

 

$

13,925

 

 

$

(21,499

)

 

$

99,457

 

 

The increase in the PCL for the commercial and industrial loan portfolio for the year ended December 31, 2021 was primarily due to specific reserves for individually analyzed credits.

The PCL for loans secured by real estate, other loans secured by real estate, state and other political subdivision loans and other commercial loans decreased during the year ended December 31, 2021 primarily due to improvements in the macroeconomic forecast and credit quality.

 

 

 

2020

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Balance
January 1,

 

 

FASB ASU 2016-13
Adoption Adjustment

 

 

Charge-offs

 

 

Recoveries

 

 

PCL

 

 

Balance
December 31,

 

Loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Construction, land development and other land

 

$

6,371

 

 

$

(188

)

 

$

(12

)

 

$

716

 

 

$

(33

)

 

$

6,854

 

Other secured by 1-4 family residential properties

 

 

5,888

 

 

 

4,188

 

 

 

(117

)

 

 

378

 

 

 

(409

)

 

 

9,928

 

Secured by nonfarm, nonresidential properties

 

 

26,158

 

 

 

(8,179

)

 

 

(3,777

)

 

 

546

 

 

 

33,775

 

 

 

48,523

 

Other real estate secured

 

 

4,024

 

 

 

(765

)

 

 

(8

)

 

 

68

 

 

 

4,063

 

 

 

7,382

 

Other loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other construction

 

 

1,889

 

 

 

3,202

 

 

 

—

 

 

 

208

 

 

 

2,859

 

 

 

8,158

 

Secured by 1-4 family residential properties

 

 

3,044

 

 

 

2,891

 

 

 

(43

)

 

 

203

 

 

 

(952

)

 

 

5,143

 

Commercial and industrial loans

 

 

25,992

 

 

 

(8,964

)

 

 

(1,557

)

 

 

1,736

 

 

 

(2,356

)

 

 

14,851

 

Consumer loans

 

 

3,379

 

 

 

2,059

 

 

 

(2,039

)

 

 

1,824

 

 

 

615

 

 

 

5,838

 

State and other political subdivision loans

 

 

2,229

 

 

 

2,455

 

 

 

—

 

 

 

—

 

 

 

(1,494

)

 

 

3,190

 

Other commercial loans

 

 

5,303

 

 

 

2,084

 

 

 

(3,922

)

 

 

3,929

 

 

 

45

 

 

 

7,439

 

Total

 

$

84,277

 

 

$

(1,217

)

 

$

(11,475

)

 

$

9,608

 

 

$

36,113

 

 

$

117,306

 

The increases in the PCL for nonfarm, nonresidential properties, other real estate secured loans, other construction loans and consumer loans for the year ended December 31, 2020 were primarily due to the negative impact of COVID-19.

The PCL for the commercial and industrial loan portfolio decreased $2.4 million during the year ended December 31, 2020 primarily due to loans that had been specifically reserved for being charged down, upgrades on loans from substandard to pass, paydowns as well as a slight decrease in the calculated PD and LGD, which uses Trustmark’s historical data. The decrease in the PCL for state and other political subdivision loans of $1.5 million was primarily due to a decrease in reserves based on routine updates to the qualitative portion of the allowance calculation.
v3.22.0.1
Acquired Loans
 12 Months Ended
Dec. 31, 2021
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities [Abstract]  
Acquired Loans

Note 5 – Acquired Loans

Trustmark’s loss share agreement with the Federal Deposit Insurance Corporation (FDIC) covering the acquired covered loans secured by 1-4 family residential properties expired in 2021.

Upon adoption of FASB ASC Topic 326, which was effective for Trustmark on January 1, 2020, Trustmark elected to account for its existing acquired loans as PCD loans included within the LHFI portfolio. Consequently, acquired loans of $72.6 million, as well as the allowance for loan losses, acquired loans of $815 thousand, were transferred on January 1, 2020.

 

Under FASB ASC Subtopic 310-30, the accretable yield is the excess of expected cash flows at acquisition over the initial fair value of acquired impaired loans and is recorded as interest income over the estimated life of the loans using the effective yield method if the timing and amount of the future cash flows is reasonably estimable. The following table presents changes in the accretable yield for the periods presented ($ in thousands):

 

 

Years Ended December 31,

 

 

 

2021

 

 

2020

 

 

2019

 

Accretable yield at beginning of period

 

$

—

 

 

$

(14,816

)

 

$

(17,722

)

FASB ASU 2016-13 adoption adjustment

 

 

—

 

 

 

14,816

 

 

 

—

 

Accretion to interest income

 

 

—

 

 

 

—

 

 

 

5,532

 

Disposals, net

 

 

—

 

 

 

—

 

 

 

2,072

 

Reclassification from nonaccretable difference (1)

 

 

—

 

 

 

—

 

 

 

(4,698

)

Accretable yield at end of period

 

$

—

 

 

$

—

 

 

$

(14,816

)
(1)
Reclassifications from nonaccretable difference are due to lower loss expectations and improvements in expected cash flows.

The following table presents the components of the allowance for loan losses on acquired impaired loans for the periods presented ($ in thousands):

 

 

Years Ended December 31,

 

 

 

2021

 

 

2020

 

 

2019

 

Balance at beginning of period

 

$

—

 

 

$

815

 

 

$

1,231

 

FASB ASU 2016-13 adoption adjustment

 

 

—

 

 

 

(815

)

 

 

—

 

Net (charge-offs) recoveries

 

 

—

 

 

 

—

 

 

 

(458

)

Provision for loan losses, acquired loans

 

 

—

 

 

 

—

 

 

 

42

 

Balance at end of period

 

$

—

 

 

$

—

 

 

$

815

 
v3.22.0.1
Premises and Equipment, Net
 12 Months Ended
Dec. 31, 2021
Property, Plant and Equipment [Abstract]  
Premises and Equipment, Net

Note 6 – Premises and Equipment, Net

At December 31, 2021 and 2020, premises and equipment, net consisted of the following ($ in thousands):

 

 

 

December 31,

 

 

 

2021

 

 

2020

 

Land

 

$

54,342

 

 

$

52,189

 

Buildings and leasehold improvements

 

 

221,986

 

 

 

216,650

 

Furniture and equipment

 

 

190,907

 

 

 

180,976

 

Total cost of premises and equipment

 

 

467,235

 

 

 

449,815

 

Less accumulated depreciation and amortization

 

 

271,334

 

 

 

263,147

 

Premises and equipment, net

 

 

195,901

 

 

 

186,668

 

Finance lease right-of-use assets

 

 

6,017

 

 

 

7,471

 

Assets held for sale

 

 

3,726

 

 

 

139

 

Total premises and equipment, net

 

$

205,644

 

 

$

194,278

 

 

Assets held for sale consisted of two properties at December 31, 2021 compared to one property at 2020. These properties were transferred from premises and equipment, net to assets held for sale due to Trustmark’s intent to sell the properties over the next twelve months as a result of its strategic initiatives. Property valuation adjustments of $140 thousand were recognized and included in other expense for 2021 compared to $1.7 million for 2020 and none for 2019.

Depreciation and amortization of premises and equipment totaled $15.6 million in 2021, $14.8 million in 2020 and $15.7 million in 2019.
v3.22.0.1
Mortgage Banking
 12 Months Ended
Dec. 31, 2021
Mortgage Banking [Abstract]  
Mortgage Banking

Note 7 – Mortgage Banking

MSR

The activity in the MSR is detailed in the table below for the periods presented ($ in thousands):

 

 

 

Years Ended December 31,

 

 

 

2021

 

 

2020

 

Balance at beginning of period

 

$

66,464

 

 

$

79,394

 

Origination of servicing assets

 

 

28,125

 

 

 

29,805

 

Change in fair value:

 

 

 

 

 

 

Due to market changes

 

 

13,258

 

 

 

(26,147

)

Due to runoff

 

 

(20,160

)

 

 

(16,588

)

Balance at end of period

 

$

87,687

 

 

$

66,464

 

 

Trustmark determines the fair value of the MSR using a valuation model administered by a third party that calculates the present value of estimated future net servicing income. Trustmark considers the conditional prepayment rate (CPR), which is an estimated loan prepayment rate that uses historical prepayment rates for previous loans similar to the loans being evaluated, and the discount rate in determining the fair value of the MSR. An increase in either the CPR or discount rate assumption will result in a decrease in the fair value of the MSR, while a decrease in either assumption will result in an increase in the fair value of the MSR. At December 31, 2021, the fair value of the MSR included an assumed average prepayment speed of 12 CPR and an average discount rate of 9.56% compared to an assumed average prepayment speed of 15 CPR and an average discount rate of 9.53% at December 31, 2020. In recent years, there have been significant market-driven fluctuations in loan prepayment speeds and discount rates. These fluctuations can be rapid and may

continue to be significant. Therefore, estimating prepayment speed and/or discount rates within ranges that market participants would use in determining the fair value of the MSR requires significant management judgment.

Mortgage Loans Sold/Serviced

During 2021, 2020 and 2019, Trustmark sold $2.286 billion, $2.532 billion and $1.404 billion, respectively, of residential mortgage loans. Gain on sales of loans, net totaled $56.0 million in 2021, $110.9 million in 2020 and $30.3 million in 2019. Trustmark receives annual servicing fee income approximating 0.32% of the outstanding balance of the underlying loans, which totaled $25.1 million in 2021, $23.3 million in 2020 and $22.6 million in 2019. The gains on the sale of residential mortgage loans and the annual servicing fee are both recorded to noninterest income in mortgage banking, net in the accompanying consolidated statements of income. The investors and the securitization trusts have no recourse to the assets of Trustmark for failure of debtors to pay when due.

The table below details the mortgage loans sold and serviced for others at December 31, 2021 and 2020 ($ in thousands):

 

 

 

December 31,

 

 

 

2021

 

 

2020

 

Federal National Mortgage Association

 

$

4,709,584

 

 

$

4,629,670

 

Government National Mortgage Association

 

 

3,194,373

 

 

 

2,960,760

 

Federal Home Loan Mortgage Corporation

 

 

35,971

 

 

 

50,459

 

Other

 

 

13,272

 

 

 

16,201

 

Total mortgage loans sold and serviced for others

 

$

7,953,200

 

 

$

7,657,090

 

 

Trustmark is subject to losses in its loan servicing portfolio due to loan foreclosures. Trustmark has obligations to either repurchase the outstanding principal balance of a loan or make the purchaser whole for the economic benefits of a loan if it is determined that the loan sold was in violation of representations or warranties made by Trustmark at the time of the sale, herein referred to as mortgage loan servicing putback expenses. Such representations and warranties typically include those made regarding loans that had missing or insufficient file documentation, loans that do not meet investor guidelines, loans in which the appraisal does not support the value and/or loans obtained through fraud by the borrowers or other third parties. Generally, putback requests may be made until the loan is paid in full. However, mortgage loans delivered to Federal National Mortgage Association (FNMA) and Federal Home Loan Mortgage Corporation (FHLMC) on or after January 1, 2013 are subject to the Representations and Warranties Framework, which provides that FNMA and FHLMC will not exercise their remedies, including a putback request, for breaches of certain selling representations and warranties if the mortgage loans satisfy certain criteria, such as payment history or quality control review.

When a putback request is received, Trustmark evaluates the request and takes appropriate actions based on the nature of the request. Trustmark is required by FNMA and FHLMC to provide a response to putback requests within 60 days of the date of receipt. The total mortgage loan servicing putback expenses were included in other expense. At both December 31, 2021 and 2020, Trustmark had a reserve for mortgage loan servicing putback expenses of $500 thousand.

There is inherent uncertainty in reasonably estimating the requirement for reserves against potential future mortgage loan servicing putback expenses. Future putback expenses are dependent on many subjective factors, including the review procedures of the purchasers and the potential refinance activity on loans sold with servicing released and the subsequent consequences under the representations and warranties. Trustmark believes that it has appropriately reserved for potential mortgage loan servicing putback requests.
v3.22.0.1
Goodwill and Identifiable Intangible Assets
 12 Months Ended
Dec. 31, 2021
Goodwill and Intangible Assets Disclosure [Abstract]  
Goodwill and Identifiable Intangible Assets

Note 8 – Goodwill and Identifiable Intangible Assets

Goodwill

The table below illustrates goodwill by segment for the years ended December 31, 2021 and 2020 ($ in thousands):

 

 

 

General

 

 

 

 

 

 

 

 

 

Banking

 

 

Insurance

 

 

Total

 

Balance as of January 1, 2020

 

$

334,603

 

 

$

45,024

 

 

$

379,627

 

Additions during 2020

 

 

—

 

 

 

5,643

 

 

 

5,643

 

Balance as of December 31, 2020

 

 

334,603

 

 

 

50,667

 

 

 

385,270

 

Adjustment during 2021

 

 

—

 

 

 

(1,033

)

 

 

(1,033

)

Balance as of December 31, 2021

 

$

334,603

 

 

$

49,634

 

 

$

384,237

 

Trustmark’s General Banking Segment delivers a full range of banking services to consumer, corporate, small and middle-market businesses through its extensive branch network. The Insurance Segment includes TNB’s wholly-owned retail insurance subsidiary that

offers a diverse mix of insurance products and services. Trustmark performed goodwill impairment tests for the General Banking and Insurance Segments during 2021, 2020 and 2019. Based on these tests, Trustmark concluded that the fair value of both the General Banking and Insurance Segments exceeded the book value and no impairment charge was required.

Identifiable Intangible Assets

At December 31, 2021 and 2020, identifiable intangible assets consisted of the following ($ in thousands):

 

 

 

December 31, 2021

 

 

December 31, 2020

 

 

 

Gross Carrying

 

 

Accumulated

 

 

Net Carrying

 

 

Gross Carrying

 

 

Accumulated

 

 

Net Carrying

 

 

 

Amount

 

 

Amortization

 

 

Amount

 

 

Amount

 

 

Amortization

 

 

Amount

 

Core deposit intangibles

 

$

87,674

 

 

$

86,280

 

 

$

1,394

 

 

$

87,674

 

 

$

84,580

 

 

$

3,094

 

Insurance intangibles

 

 

17,272

 

 

 

13,709

 

 

 

3,563

 

 

 

17,272

 

 

 

13,159

 

 

 

4,113

 

Banking charters

 

 

1,325

 

 

 

1,208

 

 

 

117

 

 

 

1,325

 

 

 

1,142

 

 

 

183

 

Total

 

$

106,271

 

 

$

101,197

 

 

$

5,074

 

 

$

106,271

 

 

$

98,881

 

 

$

7,390

 

Trustmark recorded $2.3 million of amortization of identifiable intangible assets in 2021, $3.1 million in 2020 and $4.1 million in 2019. Trustmark estimates that amortization expense for identifiable intangible assets will be $1.4 million in 2022, $673 thousand in 2023, $471 thousand in 2024, $403 thousand in 2025 and $341 thousand in 2026. Trustmark continually evaluates whether events and circumstances have occurred that indicate that identifiable intangible assets have become impaired. Measurement of any impairment of such identifiable intangible assets is based on the fair values of those assets. There were no impairment losses on identifiable intangible assets recorded during 2021, 2020 or 2019.

The following table illustrates the carrying amounts and remaining weighted-average amortization periods of identifiable intangible assets at December 31, 2021 ($ in thousands):

 

 

 

 

 

Remaining

 

 

 

 

 

 

Weighted-

 

 

 

 

 

 

Average

 

 

 

Net Carrying

 

 

Amortization

 

 

 

Amount

 

 

Period in Years

 

Core deposit intangibles

 

$

1,394

 

 

 

2.7

 

Insurance intangibles

 

 

3,563

 

 

 

16.5

 

Banking charters

 

 

117

 

 

 

1.8

 

Total

 

$

5,074

 

 

 

12.4

 
v3.22.0.1
Other Real Estate
 12 Months Ended
Dec. 31, 2021
Other Real Estate, Foreclosed Assets, and Repossessed Assets [Abstract]  
Other Real Estate

Note 9 – Other Real Estate

At December 31, 2021, Trustmark’s geographic other real estate distribution was concentrated in its Mississippi market region. The ultimate recovery of a substantial portion of the carrying amount of other real estate is susceptible to changes in market conditions in these areas.

For the periods presented, changes and gains (losses), net on other real estate were as follows ($ in thousands):

 

 

 

Years Ended December 31,

 

 

 

2021

 

 

2020

 

 

2019

 

Balance at beginning of period

 

$

11,651

 

 

$

29,248

 

 

$

34,668

 

Additions

 

 

770

 

 

 

635

 

 

 

8,598

 

Disposals

 

 

(6,932

)

 

 

(16,446

)

 

 

(11,474

)

Write-downs

 

 

(932

)

 

 

(1,786

)

 

 

(2,544

)

Balance at end of period

 

$

4,557

 

 

$

11,651

 

 

$

29,248

 

 

 

 

 

 

 

 

 

 

 

Gains (losses), net on the sale of other real estate
   included in other real estate expense

 

$

(1,869

)

 

$

897

 

 

$

(291

)

 

At December 31, 2021 and 2020, other real estate by type of property consisted of the following ($ in thousands):

 

 

 

December 31,

 

 

 

2021

 

 

2020

 

Construction, land development and other land properties

 

$

—

 

 

$

3,857

 

1-4 family residential properties

 

 

94

 

 

 

1,349

 

Nonfarm, nonresidential properties

 

 

4,463

 

 

 

6,445

 

Total other real estate

 

$

4,557

 

 

$

11,651

 

 

At December 31, 2021 and 2020, other real estate by geographic location consisted of the following ($ in thousands):

 

 

 

December 31,

 

 

 

2021

 

 

2020

 

Alabama

 

$

—

 

 

$

3,271

 

Mississippi (1)

 

 

4,557

 

 

 

8,330

 

Tennessee (2)

 

 

—

 

 

 

50

 

Total other real estate

 

$

4,557

 

 

$

11,651

 
(1)
Mississippi includes Central and Southern Mississippi Regions.
(2)
Tennessee includes Memphis, Tennessee and Northern Mississippi Regions.

At December 31, 2021 and 2020, the balance of other real estate included $94 thousand and $1.3 million, respectively, of foreclosed residential real estate properties recorded as a result of obtaining physical possession of the property. At December 31, 2021 and 2020, the recorded investment of consumer mortgage loans secured by residential real estate properties for which formal foreclosure proceedings are in process was $1.2 million and $424 thousand, respectively.
v3.22.0.1
Leases
 12 Months Ended
Dec. 31, 2021
Leases [Abstract]  
Leases

Note 10 – Leases

The table below details the components of net lease cost for the periods presented ($ in thousands):

 

 

 

Years Ended December 31,

 

 

 

2021

 

 

2020

 

 

2019

 

Finance leases

 

 

 

 

 

 

 

 

 

Amortization of right-of-use assets

 

$

1,546

 

 

$

1,856

 

 

$

2,162

 

Interest on lease liabilities

 

 

219

 

 

 

254

 

 

 

307

 

Operating lease cost

 

 

5,275

 

 

 

5,188

 

 

 

5,183

 

Short-term lease cost

 

 

463

 

 

 

423

 

 

 

370

 

Variable lease cost

 

 

1,234

 

 

 

1,286

 

 

 

1,387

 

Sublease income

 

 

(350

)

 

 

(335

)

 

 

(331

)

Net lease cost

 

$

8,387

 

 

$

8,672

 

 

$

9,078

 

The table below details the cash payments included in the measurement of lease liabilities during the periods presented ($ in thousands):

 

 

 

Years Ended December 31,

 

 

 

2021

 

 

2020

 

 

2019

 

Finance leases

 

 

 

 

 

 

 

 

 

Operating cash flows included in operating activities

 

$

219

 

 

$

254

 

 

$

307

 

Financing cash flows included in payments under finance lease obligations

 

 

1,434

 

 

 

1,715

 

 

 

1,964

 

Operating leases

 

 

 

 

 

 

 

 

 

Operating cash flows (fixed payments) included in other operating activities, net

 

 

4,781

 

 

 

4,988

 

 

 

5,092

 

Operating cash flows (liability reduction) included in other operating activities, net

 

 

3,948

 

 

 

3,856

 

 

 

5,404

 

 

The table below details balance sheet information, as well as weighted-average lease terms and discount rates, at December 31, 2021 and 2020 ($ in thousands):

 

 

December 31,

 

 

 

2021

 

 

2020

 

Finance lease right-of-use assets, net of accumulated depreciation

 

$

6,017

 

 

$

7,471

 

Finance lease liabilities

 

 

6,464

 

 

 

7,805

 

Operating lease right-of-use assets

 

 

34,603

 

 

 

30,901

 

Operating lease liabilities

 

 

36,468

 

 

 

32,290

 

 

 

 

 

 

 

 

Weighted-average lease term

 

 

 

 

 

 

Finance leases

 

8.37 years

 

 

8.53 years

 

Operating leases

 

9.25 years

 

 

8.65 years

 

 

 

 

 

 

 

 

Weighted-average discount rate

 

 

 

 

 

 

Finance leases

 

 

3.24

%

 

 

3.10

%

Operating leases

 

 

2.84

%

 

 

3.41

%

At December 31, 2021, future minimum rental commitments under finance and operating leases were as follows ($ in thousands):

 

 

 

Finance Leases

 

 

Operating Leases

 

2022

 

$

1,597

 

 

$

4,934

 

2023

 

 

885

 

 

 

4,688

 

2024

 

 

572

 

 

 

4,828

 

2025

 

 

584

 

 

 

4,796

 

2026

 

 

589

 

 

 

4,601

 

Thereafter

 

 

3,279

 

 

 

17,652

 

Total minimum lease payments

 

 

7,506

 

 

 

41,499

 

Less imputed interest

 

 

(1,042

)

 

 

(5,031

)

Lease liabilities

 

$

6,464

 

 

$

36,468

 
v3.22.0.1
Deposits
 12 Months Ended
Dec. 31, 2021
Deposits [Abstract]  
Deposits

Note 11 – Deposits

At December 31, 2021 and 2020, deposits consisted of the following ($ in thousands):

 

 

December 31,

 

 

 

2021

 

 

2020

 

Noninterest-bearing demand

 

$

4,771,065

 

 

$

4,349,010

 

Interest-bearing demand

 

 

4,372,500

 

 

 

3,646,246

 

Savings

 

 

4,745,137

 

 

 

4,647,610

 

Time

 

 

1,198,458

 

 

 

1,405,898

 

Total

 

$

15,087,160

 

 

$

14,048,764

 

 

Interest expense on deposits by type consisted of the following for the periods presented ($ in thousands):

 

 

 

Years Ended December 31,

 

 

 

2021

 

 

2020

 

 

2019

 

Interest-bearing demand

 

$

4,906

 

 

$

9,985

 

 

$

35,428

 

Savings

 

 

7,912

 

 

 

13,481

 

 

 

19,462

 

Time

 

 

4,127

 

 

 

14,021

 

 

 

24,281

 

Total

 

$

16,945

 

 

$

37,487

 

 

$

79,171

 

 

Time deposits that exceed the FDIC insurance limit of $250 thousand totaled $164.0 million and $228.1 million at December 31, 2021 and 2020, respectively.

The maturities of interest-bearing deposits at December 31, 2021, are as follows ($ in thousands):

 

2022

 

$

984,432

 

2023

 

 

154,697

 

2024

 

 

31,418

 

2025

 

 

12,970

 

2026

 

 

11,276

 

Thereafter

 

 

3,665

 

Total time deposits

 

 

1,198,458

 

Interest-bearing deposits with no stated maturity

 

 

9,117,637

 

Total interest-bearing deposits

 

$

10,316,095

 
v3.22.0.1
Borrowings
 12 Months Ended
Dec. 31, 2021
Debt Disclosure [Abstract]  
Borrowings

Note 12 - Borrowings

Securities Sold Under Repurchase Agreements

Trustmark utilizes securities sold under repurchase agreements as a source of borrowing in connection with overnight repurchase agreements offered to commercial deposit customers by using its unencumbered investment securities as collateral. Trustmark accounts for its securities sold under repurchase agreements as secured borrowings in accordance with FASB ASC Subtopic 860-30, “Transfers and Servicing – Secured Borrowing and Collateral.” Securities sold under repurchase agreements are stated at the amount of cash received in connection with the transaction. Trustmark monitors collateral levels on a continual basis and may be required to provide additional collateral based on the fair value of the underlying securities. Securities sold under repurchase agreements are secured by securities with a carrying amount of $252.4 million and $156.1 million at December 31, 2021 and 2020, respectively. At December 31, 2021, all repurchase agreements were short-term and consisted primarily of sweep repurchase arrangements, under which excess deposits are “swept” into overnight repurchase agreements with Trustmark. The following table presents the securities sold under repurchase agreements by collateral pledged at December 31, 2021 and 2020 ($ in thousands):

 

 

 

December 31,

 

 

 

2021

 

 

2020

 

Mortgage-backed securities

 

 

 

 

 

 

Residential mortgage pass-through securities

 

 

 

 

 

 

Issued by FNMA and FHLMC

 

$

167,310

 

 

$

115,357

 

Other residential mortgage-backed securities

 

 

 

 

 

 

Issued or guaranteed by FNMA, FHLMC or GNMA

 

 

1,475

 

 

 

12,696

 

Commercial mortgage-backed securities

 

 

 

 

 

 

Issued or guaranteed by FNMA, FHLMC or GNMA

 

 

24,528

 

 

 

—

 

Total securities sold under repurchase agreements

 

$

193,313

 

 

$

128,053

 

 

Other Borrowings

At December 31, 2021 and 2020, other borrowings consisted of the following ($ in thousands):

 

 

December 31,

 

 

 

2021

 

 

2020

 

FHLB advances

 

$

97

 

 

$

741

 

Serviced GNMA loans eligible for repurchase

 

 

84,464

 

 

 

141,160

 

Finance lease liabilities

 

 

6,464

 

 

 

7,805

 

Other

 

 

—

 

 

 

18,546

 

Total other borrowings

 

$

91,025

 

 

$

168,252

 

FHLB Advances

At December 31, 2021, Trustmark had no outstanding short-term FHLB advances with the FHLB of Atlanta, compared to one outstanding FHLB advance totaling $625 thousand at December 31, 2020. This advance was assumed through the BancTrust merger and had a fixed interest rate of 0.75%.

Trustmark incurred $2 thousand of interest expense on short-term FHLB advances in 2021, compared to $9 thousand of interest expense in 2020 and no interest expense in 2019.

At both December 31, 2021 and 2020, Trustmark had one outstanding long-term FHLB advance with the FHLB of Atlanta totaling $97 thousand and $116 thousand, respectively. This advance was assumed through the BancTrust merger and had a fixed interest rate of 0.08%. At December 31, 2021 and 2020, this advance had a remaining maturity of 4.71 years and 5.71 years. There was no fair market value adjustment associated with the BancTrust merger included in the FHLB advances at December 31, 2021 and 2020. Trustmark’s FHLB advances are collateralized by securities held in safekeeping with the FHLB of Atlanta.

Trustmark incurred no interest expense on long-term FHLB advances in 2021, compared to $8 thousand of interest expense in 2020 and $5 thousand of interest expense in 2019.

At both December 31, 2021 and 2020, Trustmark had no outstanding FHLB advances with the FHLB of Dallas.

At December 31, 2021 and 2020, Trustmark had $3.449 billion and $2.725 billion, respectively, available in additional borrowing capacity from the FHLB of Dallas.

Subordinated Notes

During 2020, Trustmark agreed to issue and sell $125.0 million aggregate principal amount of its 3.625% Fixed-to-Floating Rate Subordinated Notes (the Notes) due December 1, 2030. The Notes were sold at an underwriting discount of 1.2%, resulting in net proceeds to Trustmark of $123.5 million before deducting offering expenses. At December 31, 2021 and 2020, the carrying amount of the Notes was $123.0 million and $122.9 million, respectively. The Notes are unsecured obligations and are subordinated in right of payment to all of Trustmark’s existing and future senior indebtedness, whether secured or unsecured. The Notes are obligations of Trustmark only and are not obligations of, and are not guaranteed by, any of its subsidiaries, including TNB. From the date of issuance until November 30, 2025, the Notes bear interest at a fixed rate of 3.625% per year, payable semi-annually in arrears on June 1 and December 1 of each year. Beginning December 1, 2025, the Notes will bear interest at a floating rate per year equal to the Benchmark rate, which is the Three-Month Term Secured Overnight Financing Rate (SOFR), plus 338.7 basis points, payable quarterly in arrears on March 1, June 1, September 1 and December 1 of each year. The Notes qualify as Tier 2 capital for Trustmark. The Notes may be redeemed at Trustmark’s option under certain circumstances. Trustmark intends to use the net proceeds for general corporate purposes.

Junior Subordinated Debt Securities

On August 18, 2006, Trustmark completed a private placement of $60.0 million of trust preferred securities through a newly formed Delaware trust affiliate, Trustmark Preferred Capital Trust I (the Trust). The trust preferred securities mature September 30, 2036, are redeemable at Trustmark’s option and bear interest at a variable rate per annum equal to the three-month LIBOR plus 1.72%. Under applicable regulatory guidelines, these trust preferred securities qualify as Tier 1 capital. The proceeds from the sale of the trust preferred securities were used by the Trust to purchase $61.9 million in aggregate principal amount of Trustmark’s junior subordinated debentures.

The debentures were issued pursuant to a Junior Subordinated Indenture, dated August 18, 2006, between Trustmark, as issuer, and Wilmington Trust Company, National Association, as trustee. Like the trust preferred securities, the debentures bear interest at a variable rate per annum equal to the three-month LIBOR plus 1.72% and mature on September 30, 2036. The debentures may be redeemed at Trustmark’s option at any time. The interest payments by Trustmark will be used to pay the quarterly distributions payable by the Trust to the holder of the trust preferred securities. However, so long as no event of default has occurred under the debentures, Trustmark may defer interest payments on the debentures (in which case the Trust will also defer distributions otherwise due on the trust preferred securities) for up to 20 consecutive quarters.

The debentures are subordinated to the prior payment of any other indebtedness of Trustmark that, by its terms, is not similarly subordinated. The trust preferred securities are recorded as a long-term liability on Trustmark’s balance sheet; however, for regulatory purposes the trust preferred securities are treated as Tier 1 capital under the rules of the Federal Reserve Board (FRB), Trustmark’s primary federal regulatory agency.

Trustmark also entered into a Guarantee Agreement, dated August 18, 2006, pursuant to which it has agreed to guarantee the payment by the Trust of distributions on the trust preferred securities and the payment of principal of the trust preferred securities when due, either at maturity or on redemption, but only if and to the extent that the Trust fails to pay distributions on or principal of the trust preferred securities after having received interest payments or principal payments on the junior subordinated debentures from Trustmark for the purpose of paying those distributions or the principal amount of the trust preferred securities.

As defined in applicable accounting standards, the Trust, a wholly-owned subsidiary of Trustmark, is considered a variable interest entity for which Trustmark is not the primary beneficiary. Accordingly, the accounts of the Trust are not included in Trustmark’s consolidated financial statements.

At both December 31, 2021 and 2020, assets for the Trust totaled $61.9 million, resulting from the investment in junior subordinated debentures issued by Trustmark. Liabilities and shareholders’ equity for the Trust also totaled $61.9 million at both December 31, 2021 and 2020, resulting from the issuance of trust preferred securities in the amount of $60.0 million as well as $1.9 million in common securities issued to Trustmark. During 2021, net income for the Trust equaled $36 thousand resulting from interest income from the junior subordinated debt securities issued by Trustmark to the Trust, compared with net income of $51 thousand during 2020 and $79 thousand during 2019. Dividends issued to Trustmark by the Trust during 2021 totaled $36 thousand, compared to $51 thousand during 2020 and $79 thousand during 2019.
v3.22.0.1
Revenue from Contracts with Customers
 12 Months Ended
Dec. 31, 2021
Revenue from Contract with Customer [Abstract]  
Revenue from Contracts with Customers

Note 13 – Revenue from Contracts with Customers

The following table presents noninterest income disaggregated by reportable operating segment and revenue stream for the periods presented ($ in thousands):

 

 

 

Year Ended December 31, 2021

 

 

Year Ended December 31, 2020

 

 

Year Ended December 31, 2019

 

 

 

Topic 606

 

 

Not Topic
606 (1)

 

 

Total

 

 

Topic 606

 

 

Not Topic
606 (1)

 

 

Total

 

 

Topic 606

 

 

Not Topic
606 (1)

 

 

Total

 

General Banking Segment

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Service charges on deposit
   accounts

 

$

33,169

 

 

$

—

 

 

$

33,169

 

 

$

32,213

 

 

$

—

 

 

$

32,213

 

 

$

42,509

 

 

$

—

 

 

$

42,509

 

Bank card and other fees

 

 

30,897

 

 

 

3,727

 

 

 

34,624

 

 

 

27,398

 

 

 

3,594

 

 

 

30,992

 

 

 

27,973

 

 

 

3,706

 

 

 

31,679

 

Mortgage banking, net

 

 

—

 

 

 

63,750

 

 

 

63,750

 

 

 

—

 

 

 

125,822

 

 

 

125,822

 

 

 

—

 

 

 

29,822

 

 

 

29,822

 

Wealth management

 

 

48

 

 

 

—

 

 

 

48

 

 

 

254

 

 

 

—

 

 

 

254

 

 

 

379

 

 

 

—

 

 

 

379

 

Other, net

 

 

6,621

 

 

 

(338

)

 

 

6,283

 

 

 

7,432

 

 

 

978

 

 

 

8,410

 

 

 

9,528

 

 

 

(161

)

 

 

9,367

 

Total noninterest income

 

$

70,735

 

 

$

67,139

 

 

$

137,874

 

 

$

67,297

 

 

$

130,394

 

 

$

197,691

 

 

$

80,389

 

 

$

33,367

 

 

$

113,756

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Wealth Management Segment

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Service charges on deposit
   accounts

 

$

77

 

 

$

—

 

 

$

77

 

 

$

76

 

 

$

—

 

 

$

76

 

 

$

94

 

 

$

—

 

 

$

94

 

Bank card and other fees

 

 

38

 

 

 

—

 

 

 

38

 

 

 

30

 

 

 

—

 

 

 

30

 

 

 

57

 

 

 

—

 

 

 

57

 

Wealth management

 

 

35,142

 

 

 

—

 

 

 

35,142

 

 

 

31,371

 

 

 

—

 

 

 

31,371

 

 

 

30,300

 

 

 

—

 

 

 

30,300

 

Other, net

 

 

130

 

 

 

33

 

 

 

163

 

 

 

107

 

 

 

50

 

 

 

157

 

 

 

306

 

 

 

103

 

 

 

409

 

Total noninterest income

 

$

35,387

 

 

$

33

 

 

$

35,420

 

 

$

31,584

 

 

$

50

 

 

$

31,634

 

 

$

30,757

 

 

$

103

 

 

$

30,860

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Insurance Segment

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Insurance commissions

 

$

48,511

 

 

$

—

 

 

$

48,511

 

 

$

45,176

 

 

$

—

 

 

$

45,176

 

 

$

42,396

 

 

$

—

 

 

$

42,396

 

Other, net

 

 

105

 

 

 

—

 

 

 

105

 

 

 

92

 

 

 

—

 

 

 

92

 

 

 

33

 

 

 

—

 

 

 

33

 

Total noninterest income

 

$

48,616

 

 

$

—

 

 

$

48,616

 

 

$

45,268

 

 

$

—

 

 

$

45,268

 

 

$

42,429

 

 

$

—

 

 

$

42,429

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Consolidated

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Service charges on deposit
   accounts

 

$

33,246

 

 

$

—

 

 

$

33,246

 

 

$

32,289

 

 

$

—

 

 

$

32,289

 

 

$

42,603

 

 

$

—

 

 

$

42,603

 

Bank card and other fees

 

 

30,935

 

 

 

3,727

 

 

 

34,662

 

 

 

27,428

 

 

 

3,594

 

 

 

31,022

 

 

 

28,030

 

 

 

3,706

 

 

 

31,736

 

Mortgage banking, net

 

 

—

 

 

 

63,750

 

 

 

63,750

 

 

 

—

 

 

 

125,822

 

 

 

125,822

 

 

 

—

 

 

 

29,822

 

 

 

29,822

 

Insurance commissions

 

 

48,511

 

 

 

—

 

 

 

48,511

 

 

 

45,176

 

 

 

—

 

 

 

45,176

 

 

 

42,396

 

 

 

—

 

 

 

42,396

 

Wealth management

 

 

35,190

 

 

 

—

 

 

 

35,190

 

 

 

31,625

 

 

 

—

 

 

 

31,625

 

 

 

30,679

 

 

 

—

 

 

 

30,679

 

Other, net

 

 

6,856

 

 

 

(305

)

 

 

6,551

 

 

 

7,631

 

 

 

1,028

 

 

 

8,659

 

 

 

9,867

 

 

 

(58

)

 

 

9,809

 

Total noninterest income

 

$

154,738

 

 

$

67,172

 

 

$

221,910

 

 

$

144,149

 

 

$

130,444

 

 

$

274,593

 

 

$

153,575

 

 

$

33,470

 

 

$

187,045

 
(1)
Noninterest income not in scope for FASB ASC Topic 606 includes customer derivatives revenue and miscellaneous credit card income within bank card and other fees; mortgage banking, net; amortization of tax credits, accretion of the FDIC indemnification asset, cash surrender value on various life insurance policies, earnings on Trustmark’s non-qualified deferred compensation plans, other partnership investments and rental income within other, net; and securities gains (losses), net.
v3.22.0.1
Income Taxes
 12 Months Ended
Dec. 31, 2021
Income Tax Disclosure [Abstract]  
Income Taxes

Note 14 – Income Taxes

The income tax provision included in the consolidated statements of income was as follows for the periods presented ($ in thousands):

 

 

 

Years Ended December 31,

 

 

 

2021

 

 

2020

 

 

2019

 

Current

 

 

 

 

 

 

 

 

 

Federal

 

$

5,815

 

 

$

40,118

 

 

$

20,068

 

State

 

 

2,118

 

 

 

9,439

 

 

 

7,145

 

Deferred

 

 

 

 

 

 

 

 

 

Federal

 

 

16,092

 

 

 

(15,840

)

 

 

(3,104

)

State

 

 

4,023

 

 

 

(3,960

)

 

 

(776

)

Income tax provision

 

$

28,048

 

 

$

29,757

 

 

$

23,333

 

 

For the periods presented, the income tax provision differs from the amount computed by applying the statutory federal income tax rate in effect for each respective period to income before income taxes as a result of the following ($ in thousands):

 

 

 

Years Ended December 31,

 

 

 

2021

 

 

2020

 

 

2019

 

Income tax computed at statutory tax rate

 

$

36,837

 

 

$

39,854

 

 

$

36,497

 

Tax exempt interest

 

 

(3,935

)

 

 

(4,284

)

 

 

(4,951

)

Nondeductible interest expense

 

 

106

 

 

 

247

 

 

 

564

 

State income taxes, net

 

 

1,673

 

 

 

7,457

 

 

 

5,645

 

Income tax credits, net

 

 

(10,479

)

 

 

(9,375

)

 

 

(13,473

)

Death benefit gains

 

 

(175

)

 

 

(91

)

 

 

(123

)

Other

 

 

4,021

 

 

 

(4,051

)

 

 

(826

)

Income tax provision

 

$

28,048

 

 

$

29,757

 

 

$

23,333

 

 

Temporary differences between the financial statement carrying amounts and the tax basis of assets and liabilities gave rise to the following net deferred tax assets at December 31, 2021 and 2020, which are included in other assets on the accompanying consolidated balance sheets ($ in thousands):

 

 

December 31,

 

 

 

2021

 

 

2020

 

Deferred tax assets:

 

 

 

 

 

 

Loan purchase accounting

 

$

—

 

 

$

293

 

Other real estate

 

 

1,182

 

 

 

2,049

 

Accumulated credit losses

 

 

33,895

 

 

 

39,073

 

Deferred compensation

 

 

18,804

 

 

 

17,465

 

Finance and operating lease liabilities

 

 

10,733

 

 

 

10,024

 

Realized built-in losses

 

 

9,930

 

 

 

10,681

 

Securities

 

 

5,924

 

 

 

2,233

 

Pension and other postretirement benefit plans

 

 

4,929

 

 

 

6,128

 

Interest on nonaccrual loans

 

 

1,235

 

 

 

1,034

 

LHFS

 

 

591

 

 

 

2,754

 

Stock-based compensation

 

 

2,771

 

 

 

2,749

 

Loan fees

 

 

125

 

 

 

3,401

 

Other

 

 

9,705

 

 

 

10,294

 

Gross deferred tax asset

 

 

99,824

 

 

 

108,178

 

 

 

 

 

 

 

 

Deferred tax liabilities:

 

 

 

 

 

 

Goodwill and other identifiable intangibles

 

 

14,667

 

 

 

15,136

 

Premises and equipment

 

 

16,470

 

 

 

11,479

 

Finance and operating lease right-of-use assets

 

 

10,155

 

 

 

9,593

 

MSR

 

 

13,007

 

 

 

7,108

 

Securities

 

 

1,686

 

 

 

9,712

 

Other

 

 

3,081

 

 

 

4,537

 

Gross deferred tax liability

 

 

59,066

 

 

 

57,565

 

Net deferred tax asset

 

$

40,758

 

 

$

50,613

 

 

The following table provides a summary of the changes during the 2021 calendar year in the amount of unrecognized tax benefits that are included in other liabilities in the consolidated balance sheet ($ in thousands):

 

 

December 31,

 

 

 

2021

 

 

2020

 

 

2019

 

Balance at beginning of period

 

$

1,781

 

 

$

1,524

 

 

$

1,249

 

Change due to tax positions taken during the current year

 

 

412

 

 

 

353

 

 

 

279

 

Change due to tax positions taken during a prior year

 

 

107

 

 

 

79

 

 

 

134

 

Change due to the lapse of applicable statute of limitations during the
   current year

 

 

(171

)

 

 

(175

)

 

 

(138

)

Balance at end of period

 

$

2,129

 

 

$

1,781

 

 

$

1,524

 

 

 

 

 

 

 

 

 

 

 

Accrued interest, net of federal benefit

 

$

419

 

 

$

330

 

 

$

271

 

 

 

 

 

 

 

 

 

 

 

Unrecognized tax benefits that would impact the effective
   tax rate, if recognized

 

$

1,766

 

 

$

1,420

 

 

$

1,218

 

 

Interest and penalties related to unrecognized tax benefits, if any, are recorded in income tax expense. With limited exception, Trustmark is no longer subject to U.S. federal, state and local audits by tax authorities for 2015 and earlier tax years. Trustmark does not anticipate a significant change to the total amount of unrecognized tax benefits within the next twelve months.
v3.22.0.1
Defined Benefit and Other Postretirement Benefits
 12 Months Ended
Dec. 31, 2021
Retirement Benefits [Abstract]  
Defined Benefit and Other Postretirement Benefits

Note 15 – Defined Benefit and Other Postretirement Benefits

Qualified Pension Plan

Trustmark maintains a noncontributory tax-qualified defined benefit pension plan titled the Trustmark Corporation Pension Plan for Certain Employees of Acquired Financial Institutions (the Continuing Plan) to satisfy commitments made by Trustmark to associates covered through plans obtained in acquisitions.

The following tables present information regarding the benefit obligation, plan assets, funded status, amounts recognized in accumulated other comprehensive loss, net periodic benefit cost and other statistical disclosures for the Continuing Plan for the periods presented ($ in thousands):

 

 

December 31,

 

 

 

2021

 

 

2020

 

Change in benefit obligation:

 

 

 

 

 

 

Benefit obligation, beginning of year

 

$

9,547

 

 

$

9,060

 

Service cost

 

 

252

 

 

 

254

 

Interest cost

 

 

173

 

 

 

241

 

Actuarial (gain) loss

 

 

(198

)

 

 

876

 

Benefits paid

 

 

(1,127

)

 

 

(884

)

Benefit obligation, end of year

 

$

8,647

 

 

$

9,547

 

 

 

 

 

 

 

 

Change in plan assets:

 

 

 

 

 

 

Fair value of plan assets, beginning of year

 

$

2,873

 

 

$

3,443

 

Actual return on plan assets

 

 

291

 

 

 

(87

)

Employer contributions

 

 

863

 

 

 

401

 

Benefit payments

 

 

(1,127

)

 

 

(884

)

Fair value of plan assets, end of year

 

$

2,900

 

 

$

2,873

 

 

 

 

 

 

 

 

Funded status at end of year - net liability

 

$

(5,747

)

 

$

(6,674

)

 

 

 

 

 

 

 

Amounts recognized in accumulated other comprehensive loss:

 

 

 

 

 

 

Net loss - amount recognized

 

$

1,428

 

 

$

2,564

 

 

 

 

 

 

 

 

Actuarial (gain) loss included in benefit obligation:

 

 

 

 

 

 

Change in discount rate

 

$

(491

)

 

$

1,009

 

Change in mortality table

 

 

15

 

 

 

(47

)

Other

 

 

278

 

 

 

(86

)

Actuarial (gain) loss

 

$

(198

)

 

$

876

 

 

 

 

Years Ended December 31,

 

 

 

2021

 

 

2020

 

 

2019

 

Net periodic benefit cost:

 

 

 

 

 

 

 

 

 

Service cost

 

$

252

 

 

$

254

 

 

$

211

 

Interest cost

 

 

173

 

 

 

241

 

 

 

361

 

Expected return on plan assets

 

 

(130

)

 

 

(154

)

 

 

(202

)

Recognized net loss due to lump sum settlements

 

 

183

 

 

 

119

 

 

 

312

 

Recognized net actuarial loss

 

 

594

 

 

 

326

 

 

 

373

 

Net periodic benefit cost

 

$

1,072

 

 

$

786

 

 

$

1,055

 

 

 

 

 

 

 

 

 

 

 

Other changes in plan assets and benefit obligation recognized in other
   comprehensive income (loss), before taxes:

 

 

 

 

 

 

 

 

 

Net loss - Total recognized in other comprehensive income (loss)

 

$

(1,136

)

 

$

671

 

 

$

(277

)

Total recognized in net periodic benefit cost and other comprehensive
   income (loss)

 

$

(64

)

 

$

1,457

 

 

$

778

 

 

 

 

 

 

 

 

 

 

 

Weighted-average assumptions as of end of year:

 

 

 

 

 

 

 

 

 

Discount rate for benefit obligation

 

 

2.41

%

 

 

1.95

%

 

 

2.84

%

Discount rate for net periodic benefit cost

 

 

1.95

%

 

 

2.84

%

 

 

3.97

%

Expected long-term return on plan assets

 

 

5.00

%

 

 

5.00

%

 

 

5.00

%

 

Plan Assets

The weighted-average asset allocations by asset category are presented below for the Continuing Plan at December 31, 2021 and 2020.

 

 

 

December 31,

 

 

 

2021

 

 

2020

 

Money market fund

 

 

4.0

%

 

 

5.0

%

Exchange traded funds:

 

 

 

 

 

 

Equity securities

 

 

50.0

%

 

 

43.0

%

Fixed income

 

 

35.0

%

 

 

41.0

%

International

 

 

11.0

%

 

 

11.0

%

Total

 

 

100.0

%

 

 

100.0

%

 

The strategic objective of the investments of the assets in the Continuing Plan aims to provide long-term capital growth with moderate income. The allocation is managed on a total return basis with the average participant age in mind. It is constructed with an intermediate investment time frame with a moderate to high risk tolerance or a long-term investment time frame with a low to moderate risk tolerance. The plan allocation is typically balanced between equity and fixed income. The equity exposure has the potential to earn a return greater than inflation while the fixed income exposure may reduce the risk and volatility of the portfolio to which the equity allocation contributes.

Fair Value Measurements

At this time, Trustmark presents no fair values that are derived through internal modeling. Should positions requiring fair valuation arise that are not relevant to existing methodologies, Trustmark will make every reasonable effort to obtain market participant assumptions, or independent evaluation.

The following tables set forth by level, within the fair value hierarchy, the Continuing Plan’s assets measured at fair value at December 31, 2021 and 2020 ($ in thousands):

 

 

December 31, 2021

 

 

 

Total

 

 

Level 1

 

 

Level 2

 

 

Level 3

 

Money market fund

 

$

107

 

 

$

107

 

 

$

—

 

 

$

—

 

Exchange traded funds:

 

 

 

 

 

 

 

 

 

 

 

 

Equity securities

 

 

1,460

 

 

 

1,460

 

 

 

—

 

 

 

—

 

Fixed income

 

 

1,021

 

 

 

1,021

 

 

 

—

 

 

 

—

 

International

 

 

312

 

 

 

312

 

 

 

—

 

 

 

—

 

Total assets at fair value

 

$

2,900

 

 

$

2,900

 

 

$

—

 

 

$

—

 

 

 

 

December 31, 2020

 

 

 

Total

 

 

Level 1

 

 

Level 2

 

 

Level 3

 

Money market fund

 

$

131

 

 

$

131

 

 

$

—

 

 

$

—

 

Exchange traded funds:

 

 

 

 

 

 

 

 

 

 

 

 

Equity securities

 

 

1,242

 

 

 

1,242

 

 

 

—

 

 

 

—

 

Fixed income

 

 

1,182

 

 

 

1,182

 

 

 

—

 

 

 

—

 

International

 

 

318

 

 

 

318

 

 

 

—

 

 

 

—

 

Total assets at fair value

 

$

2,873

 

 

$

2,873

 

 

$

—

 

 

$

—

 

 

There have been no changes in the methodologies used in estimating the fair value of plan assets at December 31, 2021. The money market fund approximates fair value due to its immediate maturity.

The preceding methods described may produce a fair value calculation that may not be indicative of net realizable value or reflective of future fair values. Furthermore, although Trustmark believes their valuation methods are appropriate and consistent with other market participants, the use of different methodologies or assumptions to determine the fair value of certain financial instruments could result in a different fair value measurement at the reporting date.

Contributions

The range of potential contributions to the Continuing Plan is determined annually by the Continuing Plan’s actuary in accordance with applicable IRS rules and regulations. Trustmark’s policy is to fund amounts that are sufficient to satisfy the annual minimum funding requirements and do not exceed the maximum that is deductible for federal income tax purposes. The actual amount of the contribution

is determined annually based on the Continuing Plan’s funded status and return on plan assets as of the measurement date, which is December 31. For the plan year ending December 31, 2021, Trustmark’s minimum required contribution to the Continuing Plan was $312 thousand and Trustmark contributed $324 thousand. For the plan year ending December 31, 2022, Trustmark’s minimum required contribution to the Continuing Plan is expected to be $164 thousand. Management and the Board of Directors of Trustmark will monitor the Continuing Plan throughout 2022 to determine any additional funding requirements by the plan’s measurement date.

Estimated Future Benefit Payments and Other Disclosures

The following table presents the expected benefit payments, which reflect expected future service, for the Continuing Plan ($ in thousands):

 

Year

 

Amount

 

2022

 

$

1,275

 

2023

 

 

1,486

 

2024

 

 

1,145

 

2025

 

 

594

 

2026

 

 

641

 

2027 - 2031

 

 

2,138

 

 

Amounts in accumulated other comprehensive income (loss) expected to be recognized as components of net periodic benefit cost during 2022 include a net loss of $241 thousand.

Supplemental Retirement Plans

Trustmark maintains a nonqualified supplemental retirement plan covering key executive officers and senior officers as well as directors who have elected to defer fees. The plan provides for retirement and/or death benefits based on a participant’s covered salary or deferred fees. Although plan benefits may be paid from Trustmark’s general assets, Trustmark has purchased life insurance contracts on the participants covered under the plan, which may be used to fund future benefit payments under the plan. The annual measurement date for the plan is December 31. As a result of mergers prior to 2014, Trustmark became the administrator of nonqualified supplemental retirement plans, for which the plan benefits were frozen prior to the merger date.

The following tables present information regarding the benefit obligation, plan assets, funded status, amounts recognized in accumulated other comprehensive loss, net periodic benefit cost and other statistical disclosures for Trustmark’s nonqualified supplemental retirement plans for the periods presented ($ in thousands):

 

 

December 31,

 

 

 

2021

 

 

2020

 

Change in benefit obligation:

 

 

 

 

 

 

Benefit obligation, beginning of year

 

$

59,646

 

 

$

57,482

 

Service cost

 

 

75

 

 

 

77

 

Interest cost

 

 

1,125

 

 

 

1,576

 

Actuarial (gain) loss

 

 

(2,357

)

 

 

4,168

 

Benefits paid

 

 

(3,454

)

 

 

(3,657

)

Benefit obligation, end of year

 

$

55,035

 

 

$

59,646

 

Change in plan assets:

 

 

 

 

 

 

Fair value of plan assets, beginning of year

 

$

—

 

 

$

—

 

Employer contributions

 

 

3,454

 

 

 

3,657

 

Benefit payments

 

 

(3,454

)

 

 

(3,657

)

Fair value of plan assets, end of year

 

$

—

 

 

$

—

 

 

 

 

 

 

 

 

Funded status at end of year - net liability

 

$

(55,035

)

 

$

(59,646

)

 

 

 

 

 

 

 

Amounts recognized in accumulated other comprehensive loss:

 

 

 

 

 

 

Net loss

 

$

17,937

 

 

$

21,486

 

Prior service cost

 

 

348

 

 

 

459

 

Amounts recognized

 

$

18,285

 

 

$

21,945

 

 

 

 

 

 

 

 

Actuarial (gain) loss included in benefit obligation:

 

 

 

 

 

 

Change in discount rate

 

$

(2,431

)

 

$

4,997

 

Change in mortality table

 

 

134

 

 

 

(380

)

Other

 

 

(60

)

 

 

(449

)

Actuarial (gain) loss

 

$

(2,357

)

 

$

4,168

 

 

 

 

Years Ended December 31,

 

 

 

2021

 

 

2020

 

 

2019

 

Net periodic benefit cost:

 

 

 

 

 

 

 

 

 

Service cost

 

$

75

 

 

$

77

 

 

$

109

 

Interest cost

 

 

1,125

 

 

 

1,576

 

 

 

2,044

 

Amortization of prior service cost

 

 

111

 

 

 

150

 

 

 

250

 

Recognized net actuarial loss

 

 

1,192

 

 

 

957

 

 

 

627

 

Net periodic benefit cost

 

$

2,503

 

 

$

2,760

 

 

$

3,030

 

 

 

 

 

 

 

 

 

 

 

Other changes in plan assets and benefit obligation recognized in other
   comprehensive income (loss), before taxes:

 

 

 

 

 

 

 

 

 

Net (gain) loss

 

$

(3,549

)

 

$

3,211

 

 

$

4,872

 

Amortization of prior service cost

 

 

(111

)

 

 

(150

)

 

 

(250

)

Total recognized in other comprehensive income (loss)

 

$

(3,660

)

 

$

3,061

 

 

$

4,622

 

Total recognized in net periodic benefit cost and other comprehensive
   income (loss)

 

$

(1,157

)

 

$

5,821

 

 

$

7,652

 

 

 

 

 

 

 

 

 

 

 

Weighted-average assumptions as of end of year:

 

 

 

 

 

 

 

 

 

Discount rate for benefit obligation

 

 

2.41

%

 

 

1.95

%

 

 

2.84

%

Discount rate for net periodic benefit cost

 

 

1.95

%

 

 

2.84

%

 

 

3.97

%

 

Estimated Supplemental Retirement Plan Payments and Other Disclosures

The following table presents the expected benefits payments for Trustmark’s supplemental retirement plans ($ in thousands):

 

Year

 

Amount

 

2022

 

$

4,065

 

2023

 

 

3,978

 

2024

 

 

3,967

 

2025

 

 

3,801

 

2026

 

 

3,742

 

2027 - 2031

 

 

16,941

 

 

Amounts in accumulated other comprehensive income (loss) expected to be recognized as components of net periodic benefit cost during 2022 include a loss of $986 thousand and prior service cost of $111 thousand.

Other Benefit Plans

Defined Contribution Plan

Trustmark provides associates with a self-directed 401(k) retirement plan that allows associates to contribute a percentage of base pay, within limits provided by the Internal Revenue Code and accompanying regulations, into the plan. Trustmark matches 100% of associate contributions to the plan based on the amount of each participant’s contributions up to a maximum of 6% of eligible compensation. Associates may become eligible to make elective deferral contributions the first of the month following 30 days of employment. Eligible associates must complete one year of service in order to vest in Trustmark’s matching contributions. Trustmark’s contributions to this plan were $9.9 million in 2021, $9.2 million in 2020 and $8.2 million in 2019.
v3.22.0.1
Stock and Incentive Compensation Plans
 12 Months Ended
Dec. 31, 2021
Share-based Payment Arrangement [Abstract]  
Stock and Incentive Compensation Plans

Note 16 – Stock and Incentive Compensation Plans

Trustmark has granted stock and incentive compensation awards and units subject to the provisions of the Stock and Incentive Compensation Plan (the Stock Plan). Current outstanding and future grants of stock and incentive compensation awards are subject to the provisions of the Stock Plan, which is designed to provide flexibility to Trustmark regarding its ability to motivate, attract and retain the services of key associates and directors. The Stock Plan also allows Trustmark to grant nonqualified stock options, incentive stock options, stock appreciation rights, restricted stock, restricted stock units and performance units to key associates and directors. At December 31, 2021, the maximum number of shares of Trustmark’s common stock available for issuance under the Stock Plan was 563,994 shares.

Restricted Stock Grants

Performance Awards

Trustmark’s performance awards vest over three years and are granted to Trustmark’s executive and senior management teams. Performance awards granted vest based on performance goals of return on average tangible equity and total shareholder return. Performance awards are valued utilizing a Monte Carlo simulation model to estimate fair value of the awards at the grant date. The Monte Carlo simulation is performed by an independent valuation consultant and requires the use of subjective modeling assumptions. These awards are recognized using the straight-line method over the requisite service period. These awards provide for achievement units if performance measures exceed 100%. The restricted share agreement for these awards provides for voting rights and dividend privileges. Beginning in 2020, Trustmark began granting performance units instead of performance awards. The performance units have the same attributes as the previously granted performance awards, except for the performance units do not provide voting rights.

The following table summarizes Trustmark’s performance award activity for the periods presented:

 

 

 

Years Ended December 31,

 

 

 

2021

 

 

2020

 

 

2019

 

 

 

 

 

 

Weighted-

 

 

 

 

 

Weighted-

 

 

 

 

 

Weighted-

 

 

 

 

 

 

Average

 

 

 

 

 

Average

 

 

 

 

 

Average

 

 

 

 

 

 

Grant-Date

 

 

 

 

 

Grant-Date

 

 

 

 

 

Grant-Date

 

 

 

Shares

 

 

Fair Value

 

 

Shares

 

 

Fair Value

 

 

Shares

 

 

Fair Value

 

Nonvested shares, beginning of year

 

 

145,042

 

 

$

32.43

 

 

 

149,914

 

 

$

32.88

 

 

 

177,695

 

 

$

27.10

 

Granted

 

 

53,273

 

 

 

30.02

 

 

 

53,450

 

 

 

31.98

 

 

 

50,862

 

 

 

33.44

 

Released from restriction

 

 

(44,536

)

 

 

31.88

 

 

 

(36,357

)

 

 

33.31

 

 

 

(61,347

)

 

 

20.18

 

Forfeited

 

 

(12,958

)

 

 

31.28

 

 

 

(21,965

)

 

 

32.97

 

 

 

(17,296

)

 

 

20.18

 

Nonvested shares, end of year

 

 

140,821

 

 

$

31.80

 

 

 

145,042

 

 

$

32.43

 

 

 

149,914

 

 

$

32.88

 

 

Time-based Awards

Trustmark’s time-based awards granted to Trustmark’s executive and senior management teams vest over three years. Trustmark's time-based awards granted to members of Trustmark’s Board of Directors vest over one year. Time-based awards are valued utilizing the fair value of Trustmark’s stock at the grant date. These awards are recognized on the straight-line method over the requisite service period. During 2020, Trustmark began granting time-based units instead of time-based awards. The time-based units have the same attributes as the previously granted time-based awards, except for the time-based units do not provide voting rights.

The following table summarizes Trustmark’s time-based award activity for the periods presented:

 

 

 

Years Ended December 31,

 

 

 

2021

 

 

2020

 

 

2019

 

 

 

 

 

 

Weighted-

 

 

 

 

 

Weighted-

 

 

 

 

 

Weighted-

 

 

 

 

 

 

Average

 

 

 

 

 

Average

 

 

 

 

 

Average

 

 

 

 

 

 

Grant-Date

 

 

 

 

 

Grant-Date

 

 

 

 

 

Grant-Date

 

 

 

Shares

 

 

Fair Value

 

 

Shares

 

 

Fair Value

 

 

Shares

 

 

Fair Value

 

Nonvested shares, beginning of year

 

 

301,619

 

 

$

32.24

 

 

 

300,006

 

 

$

33.04

 

 

 

321,870

 

 

$

28.48

 

Granted

 

 

180,847

 

 

 

29.85

 

 

 

123,810

 

 

 

31.52

 

 

 

113,673

 

 

 

33.42

 

Released from restriction

 

 

(135,120

)

 

 

31.77

 

 

 

(110,537

)

 

 

33.58

 

 

 

(124,598

)

 

 

21.64

 

Forfeited

 

 

(9,880

)

 

 

31.19

 

 

 

(11,660

)

 

 

32.47

 

 

 

(10,939

)

 

 

32.73

 

Nonvested shares, end of year

 

 

337,466

 

 

$

31.18

 

 

 

301,619

 

 

$

32.24

 

 

 

300,006

 

 

$

33.04

 

 

The following table presents information regarding compensation expense for awards under the Stock Plan for the periods presented ($ in thousands):

 

 

 

 

 

 

 

 

 

 

 

At December 31, 2021

 

 

 

Recognized Compensation Expense

 

 

Unrecognized

 

 

Weighted Average

 

 

 

for Years Ended December 31,

 

 

Compensation

 

 

Life of Unrecognized

 

 

 

2021

 

 

2020

 

 

2019

 

 

Expense

 

 

Compensation Expense

 

Performance awards

 

$

828

 

 

$

815

 

 

$

1,524

 

 

$

1,475

 

 

 

1.64

 

Time-based awards

 

 

4,774

 

 

 

4,382

 

 

 

3,263

 

 

 

3,185

 

 

 

1.77

 

Total

 

$

5,602

 

 

$

5,197

 

 

$

4,787

 

 

$

4,660

 

 

 

 
v3.22.0.1
Commitments and Contingencies
 12 Months Ended
Dec. 31, 2021
Commitments and Contingencies Disclosure [Abstract]  
Commitments and Contingencies

Note 17 – Commitments and Contingencies

Lending Related

Trustmark makes commitments to extend credit and issues standby and commercial letters of credit (letters of credit) in the normal course of business in order to fulfill the financing needs of its customers. The carrying amount of commitments to extend credit and letters of credit approximates the fair value of such financial instruments.

Commitments to extend credit are agreements to lend money to customers pursuant to certain specified conditions. Commitments generally have fixed expiration dates or other termination clauses. Because many of these commitments are expected to expire without being fully drawn upon, the total commitment amounts do not necessarily represent future cash requirements. The exposure to credit loss in the event of nonperformance by the other party to the commitments to extend credit is represented by the contract amount of those instruments. Trustmark applies the same credit policies and standards as it does in the lending process when making these

commitments. The collateral obtained is based upon the nature of the transaction and the assessed creditworthiness of the borrower. At December 31, 2021 and 2020, Trustmark had unused commitments to extend credit of $5.238 billion and $4.867 billion, respectively.

Letters of credit are conditional commitments issued by Trustmark to insure the performance of a customer to a third-party. A financial standby letter of credit irrevocably obligates Trustmark to pay a third-party beneficiary when a customer fails to repay an outstanding loan or debt instrument. A performance standby letter of credit irrevocably obligates Trustmark to pay a third-party beneficiary when a customer fails to perform some contractual, nonfinancial obligation. When issuing letters of credit, Trustmark uses the same policies regarding credit risk and collateral, which are followed in the lending process. At December 31, 2021 and 2020, Trustmark’s maximum exposure to credit loss in the event of nonperformance by the other party for letters of credit was $222.5 million and $113.8 million, respectively. These amounts consist primarily of commitments with maturities of less than three years, which have an immaterial carrying value. Trustmark holds collateral to support standby letters of credit when deemed necessary. At December 31, 2021 and 2020, the fair value of collateral held was $124.6 million and $21.9 million, respectively.

ACL on Off-Balance Sheet Credit Exposures

Trustmark adopted FASB ASC Topic 326, effective January 1, 2020, which requires Trustmark to estimate expected credit losses for off-balance sheet credit exposures which are not unconditionally cancellable. Trustmark maintains a separate ACL on off-balance sheet credit exposures, including unfunded loan commitments and letters of credit, which is included on the accompanying consolidated balance sheet.

Changes in the ACL on off-balance sheet credit exposures were as follows for the period presented ($ in thousands):

 

 

 

Years Ended December 31,

 

 

 

2021

 

 

2020

 

Balance at beginning of period

 

$

38,572

 

 

$

—

 

FASB ASU 2016-13 adoption adjustment

 

 

—

 

 

 

29,638

 

PCL, off-balance sheet credit exposures (1)

 

 

(2,949

)

 

 

8,934

 

Balance at end of period

 

$

35,623

 

 

$

38,572

 
(1)
During 2021, Trustmark reclassified its credit loss expense related to off-balance sheet credit exposures from noninterest expense to PCL, off-balance sheet credit exposures. Prior periods have been reclassified accordingly.

Adjustments to the ACL on off-balance sheet credit exposures are recorded to PCL, off-balance sheet credit exposures. The decrease in the ACL on off-balance sheet credit exposures for the year ended December 31, 2021 was primarily due to the overall decrease in the total reserve rates applied to off-balance sheet credit exposures as a result of improvements in macroeconomic forecasts and credit quality. The increase in the ACL on off-balance sheet credit exposures for the year ended December 31, 2020 was primarily due to the negative effects of the COVID-19 pandemic.

Legal Proceedings

Trustmark’s wholly-owned subsidiary, TNB, has been named as a defendant in several lawsuits related to the collapse of the Stanford Financial Group.

On August 23, 2009, a purported class action complaint was filed in the District Court of Harris County, Texas, by Peggy Roif Rotstain, Guthrie Abbott, Catherine Burnell, Steven Queyrouze, Jaime Alexis Arroyo Bornstein and Juan C. Olano (collectively, Class Plaintiffs), on behalf of themselves and all others similarly situated, naming TNB and four other financial institutions and one individual, each of which are unaffiliated with Trustmark, as defendants. The complaint sought to recover (i) alleged fraudulent transfers from each of the defendants in the amount of fees and other monies received by each defendant from entities controlled by R. Allen Stanford (collectively, the Stanford Financial Group) and (ii) damages allegedly attributable to alleged conspiracies by one or more of the defendants with the Stanford Financial Group to commit fraud and/or aid and abet fraud on the asserted grounds that defendants knew or should have known the Stanford Financial Group was conducting an illegal and fraudulent scheme.

In November 2009, the lawsuit was removed to federal court by certain defendants and then transferred by the United States Panel on Multidistrict Litigation to federal court in the Northern District of Texas (Dallas), where multiple Stanford related matters have been consolidated for pre-trial proceedings. In May 2010, all defendants (including TNB) filed motions to dismiss the lawsuit. In August 2010, the court authorized and approved the formation of an Official Stanford Investors Committee (OSIC) to represent the interests of Stanford investors and, under certain circumstances, to file legal actions for the benefit of Stanford investors. In December 2011, the OSIC filed a motion to intervene in this action, which was granted in December 2012. The OSIC initially sought to recover from TNB and the other defendant financial institutions: (i) alleged fraudulent transfers in the amount of the fees each of the defendants allegedly received from Stanford Financial Group, the profits each of the defendants allegedly made from Stanford Financial Group deposits, and other monies each of the defendants allegedly received from Stanford Financial Group; (ii) damages attributable to alleged conspiracies by each of the defendants with the Stanford Financial Group to commit fraud and/or aid and abet fraud and conversion on the asserted grounds that the defendants knew or should have known the Stanford Financial Group was conducting an illegal and fraudulent scheme; and (iii) punitive damages.

In July 2013, all defendants (including TNB) filed motions to dismiss the OSIC’s claims. In March 2015, the court entered an order authorizing the parties to conduct discovery regarding class certification, staying all other discovery and setting a deadline for the parties to complete briefing on class certification issues. In April 2015, the court granted in part and denied in part the defendants’ motions to dismiss the Class Plaintiffs’ claims and the OSIC’s claims. The court dismissed all of the Class Plaintiffs’ fraudulent transfer claims and dismissed certain of the OSIC’s claims. The court denied the motions by TNB and the other financial institution defendants to dismiss the OSIC’s constructive fraudulent transfer claims.

On June 23, 2015, the court allowed the Class Plaintiffs to file a Second Amended Class Action Complaint (SAC), which asserted new claims against TNB and certain of the other defendants for (i) aiding, abetting and participating in a fraudulent scheme, (ii) aiding, abetting and participating in violations of the Texas Securities Act, (iii) aiding, abetting and participating in breaches of fiduciary duty, (iv) aiding, abetting and participating in conversion and (v) conspiracy. On July 14, 2015, the defendants (including TNB) filed motions to dismiss the SAC and to reconsider the court’s prior denial to dismiss the OSIC’s constructive fraudulent transfer claims against TNB and the other financial institutions that are defendants in the action. On July 27, 2016, the court denied the motion by TNB and the other financial institution defendants to dismiss the SAC and also denied the motion by TNB and the other financial institution defendants to reconsider the court’s prior denial to dismiss the OSIC’s constructive fraudulent transfer claims. On August 24, 2016, TNB filed its answer to the SAC. On October 20, 2017, the OSIC filed a motion seeking an order lifting the discovery stay and establishing a trial schedule. On November 4, 2016, the OSIC filed a First Amended Intervenor Complaint, which added claims for (i) aiding, abetting or participation in violations of the Texas Securities Act and (ii) aiding, abetting or participation in the breach of fiduciary duty. On November 7, 2017, the court denied the Class Plaintiffs’ motion seeking class certification and designation of class representatives and counsel, finding that common issues of fact did not predominate. The court granted the OSIC’s motion to lift the discovery stay that it had previously ordered.

On May 3, 2019, individual investors and entities filed motions to intervene in the action. On September 18, 2019, the court denied the motions to intervene. On October 14, 2019, certain of the proposed intervenors filed a notice of appeal. On February 3, 2021, the Fifth Circuit Court of Appeals affirmed the denial of the motions to intervene; this decision was affirmed by a panel of the Fifth Circuit on March 12, 2021.

On February 12, 2021, all defendants (including TNB) filed a motion for summary judgment with respect to OSIC claims that applied to all defendants. In addition, on the same date, TNB filed a separate motion for summary judgment with respect to aspects of OSIC claims that applied specifically to TNB. On March 19, 2021, OSIC filed notice with the court that it was abandoning as against all of the defendants (including TNB) certain of the claims previously set forth in the SAC. As a result, only the claims for (i) aiding, abetting and participating in breaches of fiduciary duty, (ii) aiding, abetting and participating in violations of the Texas Securities Act, and (iii)

punitive damages remain as against TNB. On January 20, 2022, the court denied TNB’s motion for summary judgment, as well as the motion for summary judgment filed by all defendants (including TNB) with respect to OSIC claims that apply to all defendants.

The parties to the action have agreed that the case is to be tried in the District Court for the Southern District of Texas. On March 25, 2021, the judge to whom the case is currently assigned in the District Court for the Northern District of Texas rescinded his previously-issued trial scheduling orders so that the Southern District of Texas could set scheduling for this case once the case has in fact been remanded. On January 19, 2022, the judge of the District Court for the Northern District of Texas to whom the case is currently assigned issued a recommendation to the Judicial Panel on Multidistrict Litigation (the Panel) that the case be remanded to the District Court for the Southern District of Texas in light of that judge’s determination with respect to the summary judgment motions that triable issues of fact exist. On January 21, 2022, the Panel approved the remand of the case to the District Court for the Southern District of Texas, subject to a seven-day stay to allow for any objections to the remand to be filed. On January 28, 2022, with no objections having been filed, the Panel lifted the stay, and the remand of the case became effective.

On December 14, 2009, a different Stanford-related lawsuit was filed in the District Court of Ascension Parish, Louisiana, individually by Harold Jackson, Paul Blaine and Carolyn Bass Smith, Christine Nichols, and Ronald and Ramona Hebert naming TNB (misnamed as Trust National Bank) and other individuals and entities not affiliated with Trustmark as defendants. The complaint seeks to recover the money lost by these individual plaintiffs as a result of the collapse of the Stanford Financial Group (in addition to other damages) under various theories and causes of action, including negligence, breach of contract, breach of fiduciary duty, negligent misrepresentation, detrimental reliance, conspiracy, and violation of Louisiana’s uniform fiduciary, securities, and racketeering laws. The complaint does not quantify the amount of money the plaintiffs seek to recover. In January 2010, the lawsuit was removed to federal court by certain defendants and then transferred by the United States Panel on Multidistrict Litigation to federal court in the Northern District of Texas (Dallas) where multiple Stanford related matters are being consolidated for pre-trial proceedings. On March 29, 2010, the court stayed the case. TNB filed a motion to lift the stay, which was denied on February 28, 2012. In September 2012, the district court referred the case to a magistrate judge for hearing and determination of certain pretrial issues. There have been no developments in this case since this date.

On April 11, 2016, Trustmark learned that a different Stanford-related lawsuit had been filed on that date in the Superior Court of Justice in Ontario, Canada, by The Toronto-Dominion Bank (TD Bank), naming TNB and three other financial institutions not affiliated with Trustmark as defendants (the TD Bank Declaratory Action). The complaint seeks a declaration specifying the degree to which each of TNB and the other defendants are liable in respect of any loss and damage for which TD Bank is found to be liable in separate litigation commenced against TD Bank brought by the joint liquidators of Stanford International Bank Limited in the Superior Court of Justice, Commercial List in Ontario, Canada (the Joint Liquidators’ Action), as well as contribution and indemnity in respect of any judgment, interest and costs TD Bank is ordered to pay in the Joint Liquidators’ Action. Trustmark understands that on or about June 8, 2021, after an extensive trial on the merits, the judge in the Joint Liquidators’ Action ruled in favor of TD Bank and found TD Bank not liable as to the claims asserted against the bank by the joint liquidators of Stanford International Bank Limited. Trustmark understands that the plaintiffs in the Joint Liquidators’ Action have appealed this decision. TNB was never served in connection with the TD Bank Declaratory Action (including the recent appeal), and thus has not made an appearance in that action.

On November 1, 2019, TNB was named as a defendant in a complaint filed by Paul Blaine Smith, Carolyn Bass Smith and other plaintiffs identified therein (the Smith Complaint). The Smith Complaint was filed in Texas state court (District Court, Harris County, Texas) and named TNB and four other financial institutions and one individual, each of which are unaffiliated with Trustmark, as defendants. The Smith Complaint relates to the collapse of the Stanford Financial Group, as does the other pending litigation relating to Stanford summarized above. Plaintiffs in the Smith Complaint have demanded a jury trial.

On January 15, 2020, the court granted Stanford Financial Group receiver’s motion to stay the Texas state court action. On February 26, 2020, the lawsuit was removed to federal court in the Southern District of Texas by TNB. TNB and its counsel are carefully evaluating the Smith Complaint.

TNB’s relationship with the Stanford Financial Group began as a result of Trustmark’s acquisition of a Houston-based bank in August 2006, and consisted of correspondent banking and other traditional banking services in the ordinary course of business. All Stanford-related lawsuits remain in pre-trial stages.

On December 30, 2019, a complaint was filed in the United States District Court for the Southern District of Mississippi, Northern Division by Alysson Mills in her capacity as Court-appointed Receiver (the Receiver) for Arthur Lamar Adams (Adams) and Madison Timber Properties, LLC (Madison Timber), naming TNB, two other Mississippi-based financial institutions both of which are unaffiliated with Trustmark and two individuals, one of who was employed by TNB at all times relevant to the complaint and the other was employed either by TNB or one of the other defendant financial institutions, as defendants. The complaint seeks to recover from the defendants, for the benefit of the receivership estate and also for certain investors who were allegedly defrauded by Adams and Madison Timber, damages (including punitive damages) and related costs allegedly attributable to actions of the defendants that

allegedly enabled illegal and fraudulent activities engaged in by Adams and Madison Timber. The Receiver did not quantify damages. By order issued by the court on September 30, 2021, the action to which TNB is a party was consolidated with three other pending cases for purposes of discovery, based upon a finding by the court that the actions involve overlapping questions of law and fact.

TNB’s relationship with Adams and Madison Timber consisted of traditional banking services in the ordinary course of business.

Trustmark and its subsidiaries are also parties to other lawsuits and other claims that arise in the ordinary course of business. Some of the lawsuits assert claims related to the lending, collection, servicing, investment, trust and other business activities, and some of the lawsuits allege substantial claims for damages.

All pending legal proceedings described above are being vigorously contested, with the exception of the TD Bank Declaratory Action that, as noted above, Trustmark was not served in connection with. In accordance FASB ASC Subtopic 450-20, “Loss Contingencies,” Trustmark will establish an accrued liability for any litigation matter if and when such matter presents loss contingencies that are both probable and reasonably estimable. At the present time, Trustmark believes, based on its evaluation and the advice of legal counsel, that a loss in any currently pending legal proceeding is not probable and a reasonable estimate cannot reasonably be made.
v3.22.0.1
Shareholders' Equity
 12 Months Ended
Dec. 31, 2021
Stockholders' Equity Note [Abstract]  
Shareholders' Equity

Note 18 – Shareholders’ Equity

Regulatory Capital

Trustmark and TNB are subject to minimum risk-based capital and leverage capital requirements, as described in the section captioned “Capital Adequacy” included in Part I. Item 1. – Business of this report, which are administered by the federal bank regulatory agencies. These capital requirements, as defined by federal regulations, involve quantitative and qualitative measures of assets, liabilities and certain off-balance sheet instruments. Trustmark’s and TNB’s minimum risk-based capital requirements include a capital conservation buffer of 2.500% at both December 31, 2021 and 2020. Accumulated other comprehensive income (loss), net of tax, is not included in computing regulatory capital. Trustmark elected the five-year phase-in transition period (through December 31, 2024) related to adopting FASB ASU 2016-13 for regulatory capital purposes. Failure to meet minimum capital requirements can result in certain mandatory and possibly additional discretionary actions by regulators that, if undertaken, could have a direct material effect on the financial statements of Trustmark and TNB and limit Trustmark’s and TNB’s ability to pay dividends. At December 31, 2021, Trustmark and TNB exceeded all applicable minimum capital standards. In addition, Trustmark and TNB met applicable regulatory guidelines to be considered well-capitalized at December 31, 2021. To be categorized in this manner, Trustmark and TNB maintained minimum common equity Tier 1 risk-based capital, Tier 1 risk-based capital, total risk-based capital and Tier 1 leverage ratios as set forth in the accompanying table, and were not subject to any written agreement, order or capital directive, or prompt corrective action directive issued by their primary federal regulators to meet and maintain a specific capital level for any capital measures. There are no significant conditions or events that have occurred since December 31, 2021, which Management believes have affected Trustmark’s or TNB’s present classification.

The following table provides Trustmark’s and TNB’s actual regulatory capital amounts and ratios under regulatory capital standards in effect at December 31, 2021 and 2020 ($ in thousands):

 

 

Actual

 

 

 

 

 

 

 

 

 

Regulatory Capital

 

 

Minimum

 

 

To Be Well

 

 

 

Amount

 

 

Ratio

 

 

Requirement

 

 

Capitalized

 

At December 31, 2021:

 

 

 

 

 

 

 

 

 

 

 

 

Common Equity Tier 1 Capital (to Risk Weighted Assets)

 

 

 

 

 

 

 

 

 

 

 

 

Trustmark Corporation

 

$

1,425,227

 

 

 

11.29

%

 

 

7.000

%

 

n/a

 

Trustmark National Bank

 

 

1,518,599

 

 

 

12.03

%

 

 

7.000

%

 

 

6.50

%

 

 

 

 

 

 

 

 

 

 

 

 

 

Tier 1 Capital (to Risk Weighted Assets)

 

 

 

 

 

 

 

 

 

 

 

 

Trustmark Corporation

 

$

1,485,227

 

 

 

11.77

%

 

 

8.500

%

 

n/a

 

Trustmark National Bank

 

 

1,518,599

 

 

 

12.03

%

 

 

8.500

%

 

 

8.00

%

 

 

 

 

 

 

 

 

 

 

 

 

 

Total Capital (to Risk Weighted Assets)

 

 

 

 

 

 

 

 

 

 

 

 

Trustmark Corporation

 

$

1,710,700

 

 

 

13.55

%

 

 

10.500

%

 

n/a

 

Trustmark National Bank

 

 

1,621,030

 

 

 

12.84

%

 

 

10.500

%

 

 

10.00

%

 

 

 

 

 

 

 

 

 

 

 

 

 

Tier 1 Leverage (to Average Assets)

 

 

 

 

 

 

 

 

 

 

 

 

Trustmark Corporation

 

$

1,485,227

 

 

 

8.73

%

 

 

4.00

%

 

n/a

 

Trustmark National Bank

 

 

1,518,599

 

 

 

8.94

%

 

 

4.00

%

 

 

5.00

%

 

 

 

 

 

 

 

 

 

 

 

 

 

At December 31, 2020:

 

 

 

 

 

 

 

 

 

 

 

 

Common Equity Tier 1 Capital (to Risk Weighted Assets)

 

 

 

 

 

 

 

 

 

 

 

 

Trustmark Corporation

 

$

1,395,844

 

 

 

11.62

%

 

 

7.000

%

 

n/a

 

Trustmark National Bank

 

 

1,412,015

 

 

 

11.75

%

 

 

7.000

%

 

 

6.50

%

 

 

 

 

 

 

 

 

 

 

 

 

 

Tier 1 Capital (to Risk Weighted Assets)

 

 

 

 

 

 

 

 

 

 

 

 

Trustmark Corporation

 

$

1,455,844

 

 

 

12.11

%

 

 

8.500

%

 

n/a

 

Trustmark National Bank

 

 

1,412,015

 

 

 

11.75

%

 

 

8.500

%

 

 

8.00

%

 

 

 

 

 

 

 

 

 

 

 

 

 

Total Capital (to Risk Weighted Assets)

 

 

 

 

 

 

 

 

 

 

 

 

Trustmark Corporation

 

$

1,696,794

 

 

 

14.12

%

 

 

10.500

%

 

n/a

 

Trustmark National Bank

 

 

1,530,044

 

 

 

12.73

%

 

 

10.500

%

 

 

10.00

%

 

 

 

 

 

 

 

 

 

 

 

 

 

Tier 1 Leverage (to Average Assets)

 

 

 

 

 

 

 

 

 

 

 

 

Trustmark Corporation

 

$

1,455,844

 

 

 

9.33

%

 

 

4.00

%

 

n/a

 

Trustmark National Bank

 

 

1,412,015

 

 

 

9.07

%

 

 

4.00

%

 

 

5.00

%

 

Dividends on Common Stock

Dividends paid by Trustmark are substantially funded from dividends received from TNB. Approval by TNB’s regulators is required if the total of all dividends declared in any calendar year exceeds the total of its net income for that year combined with its retained net income of the preceding two years. In 2022, TNB will have available approximately $161.9 million plus its net income for that year to pay as dividends.

Stock Repurchase Program

On March 11, 2016, the Board of Directors of Trustmark authorized a stock repurchase program under which $100.0 million of Trustmark’s outstanding common stock could be acquired through March 31, 2019. Trustmark repurchased approximately 1.2 million shares of its common stock valued at $36.9 million during the year ended December 31, 2019. Under the 2016 program, Trustmark repurchased approximately 3.2 million shares valued at $100.0 million.

The Board of Directors of Trustmark authorized a stock repurchase program effective April 1, 2019 under which $100.0 million of Trustmark’s outstanding common stock could be acquired through March 31, 2020. The adoption of this stock repurchase program followed the receipt of non-objection from the FRB. Trustmark repurchased approximately 887 thousand shares of its common stock valued at $27.5 million during the year ended December 31, 2020, compared to approximately 601 thousand shares of its common stock valued at $19.7 million during the year ended December 31, 2019. Under the 2019 program, Trustmark repurchased approximately 1.5 million shares of its common stock valued at $47.2 million.

On January 28, 2020, the Board of Directors of Trustmark authorized a new stock repurchase program effective April 1, 2020 under which $100.0 million of Trustmark’s outstanding common stock could be acquired through December 31, 2021. On March 9, 2020, Trustmark suspended its share repurchase programs to preserve capital to support customers during the COVID-19 pandemic. Trustmark resumed the repurchase of its shares in January 2021. Under this authority, Trustmark repurchased approximately 1.9 million shares of its outstanding common stock valued at $61.8 million during the year ended December 31, 2021.

On December 7, 2021, Trustmark’s Board of Directors authorized a stock repurchase program effective January 1, 2022, under which $100.0 million of Trustmark’s outstanding shares may be acquired through December 31, 2022. The repurchase program, which is subject to market conditions and management discretion, will continue to be implemented through open market repurchases or privately negotiated transactions. Under this authority, Trustmark repurchased approximately 156 thousand shares of its common stock valued at $5.2 million during January 2022.

Other Comprehensive Income (Loss) and Accumulated Other Comprehensive Income (Loss)

The following tables present the net change in the components of accumulated other comprehensive income (loss) and the related tax effects allocated to each component for the years ended December 31, 2021, 2020 and 2019 ($ in thousands). The amortization of prior service cost, recognized net loss due to lump sum settlements and change in net actuarial loss are included in the computation of net periodic benefit cost (see Note 15 – Defined Benefit and Other Postretirement Benefits for additional details). Reclassification adjustments related to pension and other postretirement benefit plans are included in salaries and employee benefits and other expense in the accompanying consolidated statements of income. Reclassification adjustments related to the cash flow hedge derivative are included in other interest expense in the accompanying consolidated statements of income.

 

 

 

Before Tax

 

 

Tax (Expense)

 

 

Net of Tax

 

 

 

Amount

 

 

Benefit

 

 

Amount

 

Year Ended December 31, 2021

 

 

 

 

 

 

 

 

 

Securities available for sale and transferred securities:

 

 

 

 

 

 

 

 

 

Net unrealized holding gains (losses) arising during the period

 

$

(49,454

)

 

$

12,364

 

 

$

(37,090

)

Change in net unrealized holding loss on securities transferred to held to maturity

 

 

2,647

 

 

 

(662

)

 

 

1,985

 

Total securities available for sale and transferred securities

 

 

(46,807

)

 

 

11,702

 

 

 

(35,105

)

Pension and other postretirement benefit plans:

 

 

 

 

 

 

 

 

 

Change in the actuarial loss of pension and other postretirement
   benefit plans

 

 

2,845

 

 

 

(711

)

 

 

2,134

 

Reclassification adjustments for changes realized in net income:

 

 

 

 

 

 

 

 

 

Net change in prior service costs

 

 

111

 

 

 

(27

)

 

 

84

 

Recognized net loss due to lump sum settlements

 

 

183

 

 

 

(46

)

 

 

137

 

Change in net actuarial loss

 

 

1,655

 

 

 

(414

)

 

 

1,241

 

Total pension and other postretirement benefit plans

 

 

4,794

 

 

 

(1,198

)

 

 

3,596

 

Total other comprehensive income (loss)

 

$

(42,013

)

 

$

10,504

 

 

$

(31,509

)

 

 

 

 

 

 

 

 

 

 

Year Ended December 31, 2020

 

 

 

 

 

 

 

 

 

Securities available for sale and transferred securities:

 

 

 

 

 

 

 

 

 

Net unrealized holding gains (losses) arising during the period

 

$

30,622

 

 

$

(7,657

)

 

$

22,965

 

Change in net unrealized holding loss on securities transferred to held to maturity

 

 

3,177

 

 

 

(794

)

 

 

2,383

 

Total securities available for sale and transferred securities

 

 

33,799

 

 

 

(8,451

)

 

 

25,348

 

Pension and other postretirement benefit plans:

 

 

 

 

 

 

 

 

 

Change in the actuarial loss of pension and other postretirement
   benefit plans

 

 

(5,128

)

 

 

1,282

 

 

 

(3,846

)

Reclassification adjustments for changes realized in net income:

 

 

 

 

 

 

 

 

 

Net change in prior service costs

 

 

150

 

 

 

(38

)

 

 

112

 

Recognized net loss due to lump sum settlements

 

 

119

 

 

 

(30

)

 

 

89

 

Change in net actuarial loss

 

 

1,128

 

 

 

(282

)

 

 

846

 

Total pension and other postretirement benefit plans

 

 

(3,731

)

 

 

932

 

 

 

(2,799

)

Total other comprehensive income (loss)

 

$

30,068

 

 

$

(7,519

)

 

$

22,549

 

 

 

 

 

 

 

 

 

 

 

Year Ended December 31, 2019

 

 

 

 

 

 

 

 

 

Securities available for sale and transferred securities:

 

 

 

 

 

 

 

 

 

Net unrealized holding gains (losses) arising during the period

 

$

44,136

 

 

$

(11,033

)

 

$

33,103

 

Change in net unrealized holding loss on securities transferred to held to maturity

 

 

3,605

 

 

 

(901

)

 

 

2,704

 

Total securities available for sale and transferred securities

 

 

47,741

 

 

 

(11,934

)

 

 

35,807

 

Pension and other postretirement benefit plans:

 

 

 

 

 

 

 

 

 

Change in the actuarial loss of pension and other postretirement
   benefit plans

 

 

(5,703

)

 

 

1,425

 

 

 

(4,278

)

Reclassification adjustments for changes realized in net income:

 

 

 

 

 

 

 

 

 

Net change in prior service costs

 

 

250

 

 

 

(63

)

 

 

187

 

Recognized net loss due to lump sum settlements

 

 

312

 

 

 

(77

)

 

 

235

 

Change in net actuarial loss

 

 

796

 

 

 

(199

)

 

 

597

 

Total pension and other postretirement benefit plans

 

 

(4,345

)

 

 

1,086

 

 

 

(3,259

)

Cash flow hedge derivatives:

 

 

 

 

 

 

 

 

 

Change in accumulated gain (loss) on effective cash flow hedge derivatives

 

 

(145

)

 

 

36

 

 

 

(109

)

Reclassification adjustment for (gain) loss realized in net income

 

 

(479

)

 

 

119

 

 

 

(360

)

Total cash flow hedge derivatives

 

 

(624

)

 

 

155

 

 

 

(469

)

Total other comprehensive income (loss)

 

$

42,772

 

 

$

(10,693

)

 

$

32,079

 

 

The following table presents the changes in the balances of each component of accumulated other comprehensive income (loss) for the periods presented ($ in thousands). All amounts are presented net of tax.

 

 

 

Securities
Available for Sale
and Transferred
Securities

 

 

Defined
Benefit
Pension Items

 

 

Cash Flow Hedge Derivative

 

 

Total

 

Balance, January 1, 2019

 

$

(43,824

)

 

$

(12,324

)

 

$

469

 

 

$

(55,679

)

Other comprehensive income (loss) before
   reclassification

 

 

35,807

 

 

 

(4,278

)

 

 

(109

)

 

 

31,420

 

Amounts reclassified from accumulated other
   comprehensive income (loss)

 

 

—

 

 

 

1,019

 

 

 

(360

)

 

 

659

 

Net other comprehensive income (loss)

 

 

35,807

 

 

 

(3,259

)

 

 

(469

)

 

 

32,079

 

Balance, December 31, 2019

 

 

(8,017

)

 

 

(15,583

)

 

 

—

 

 

 

(23,600

)

Other comprehensive income (loss) before
   reclassification

 

 

25,348

 

 

 

(3,846

)

 

 

—

 

 

 

21,502

 

Amounts reclassified from accumulated other
   comprehensive income (loss)

 

 

—

 

 

 

1,047

 

 

 

—

 

 

 

1,047

 

Net other comprehensive income (loss)

 

 

25,348

 

 

 

(2,799

)

 

 

—

 

 

 

22,549

 

Balance, December 31, 2020

 

 

17,331

 

 

 

(18,382

)

 

 

—

 

 

 

(1,051

)

Other comprehensive income (loss) before reclassification

 

 

(35,105

)

 

 

2,134

 

 

 

—

 

 

 

(32,971

)

Amounts reclassified from accumulated other
   comprehensive income (loss)

 

 

—

 

 

 

1,462

 

 

 

—

 

 

 

1,462

 

Net other comprehensive income (loss)

 

 

(35,105

)

 

 

3,596

 

 

 

—

 

 

 

(31,509

)

Balance, December 31, 2021

 

$

(17,774

)

 

$

(14,786

)

 

$

—

 

 

$

(32,560

)
v3.22.0.1
Fair Value
 12 Months Ended
Dec. 31, 2021
Fair Value Disclosures [Abstract]  
Fair Value

Note 19 – Fair Value

Financial Instruments Measured at Fair Value

The methodologies Trustmark uses in determining the fair values are based primarily on the use of independent, market-based data to reflect a value that would be reasonably expected upon exchange of the position in an orderly transaction between market participants at the measurement date. The predominant portion of assets that are stated at fair value are of a nature that can be valued using prices or inputs that are readily observable through a variety of independent data providers. The providers selected by Trustmark for fair valuation data are widely recognized and accepted vendors whose evaluations support the pricing functions of financial institutions, investment and mutual funds, and portfolio managers. Trustmark has documented and evaluated the pricing methodologies used by the vendors and maintains internal processes that regularly test valuations for anomalies.

Trustmark utilizes an independent pricing service to advise it on the carrying value of the securities available for sale portfolio. As part of Trustmark’s procedures, the price provided from the service is evaluated for reasonableness given market changes. When a questionable price exists, Trustmark investigates further to determine if the price is valid. If needed, other market participants may be utilized to determine the correct fair value. Trustmark has also reviewed and confirmed its determinations in thorough discussions with the pricing source regarding their methods of price discovery.

Mortgage loan commitments are valued based on the securities prices of similar collateral, term, rate and delivery for which the loan is eligible to deliver in place of the particular security. Trustmark acquires a broad array of mortgage security prices that are supplied by a market data vendor, which in turn accumulates prices from a broad list of securities dealers. Prices are processed through a mortgage pipeline management system that accumulates and segregates all loan commitment and forward-sale transactions according to the similarity of various characteristics (maturity, term, rate, and collateral). Prices are matched to those positions that are deemed to be an eligible substitute or offset (i.e., “deliverable”) for a corresponding security observed in the marketplace.

Trustmark estimates fair value of the MSR through the use of prevailing market participant assumptions and market participant valuation processes. This valuation is periodically tested and validated against other third-party firm valuations.

Trustmark obtains the fair value of interest rate swaps from a third-party pricing service that uses an industry standard discounted cash flow methodology. In addition, credit valuation adjustments are incorporated in the fair values to account for potential nonperformance risk. In adjusting the fair value of its interest rate swap contracts for the effect of nonperformance risk, Trustmark has considered any applicable credit enhancements such as collateral postings, thresholds, mutual puts, and guarantees. In conjunction with the FASB’s

fair value measurement guidance, Trustmark made an accounting policy election to measure the credit risk of these derivative financial instruments, which are subject to master netting agreements, on a net basis by counterparty portfolio.

Trustmark has determined that the majority of the inputs used to value its interest rate swaps offered to qualified commercial borrowers fall within Level 2 of the fair value hierarchy, while the credit valuation adjustments associated with these derivatives utilize Level 3 inputs, such as estimates of current credit spreads. Trustmark has assessed the significance of the impact of the credit valuation adjustments on the overall valuation of its interest rate swaps and has determined that the credit valuation adjustment is not significant to the overall valuation of these derivatives. As a result, Trustmark classifies its interest rate swap valuations in Level 2 of the fair value hierarchy.

Trustmark also utilizes exchange-traded derivative instruments such as Treasury note futures contracts and option contracts to achieve a fair value return that offsets the changes in fair value of the MSR attributable to interest rates. Fair values of these derivative instruments are determined from quoted prices in active markets for identical assets therefore allowing them to be classified within Level 1 of the fair value hierarchy. In addition, Trustmark utilizes derivative instruments such as interest rate lock commitments in its mortgage banking area which lack observable inputs for valuation purposes resulting in their inclusion in Level 3 of the fair value hierarchy.

At this time, Trustmark presents no fair values that are derived through internal modeling. Should positions requiring fair valuation arise that are not relevant to existing methodologies, Trustmark will make every reasonable effort to obtain market participant assumptions, or independent evaluation.

Financial Assets and Liabilities

The following tables summarize financial assets and financial liabilities measured at fair value on a recurring basis at December 31, 2021 and 2020, segregated by the level of valuation inputs within the fair value hierarchy utilized to measure fair value ($ in thousands). There were no transfers between fair value levels for the years ended December 31, 2021 and 2020.

 

 

 

December 31, 2021

 

 

 

Total

 

 

Level 1

 

 

Level 2

 

 

Level 3

 

U.S. Treasury securities

 

$

344,640

 

 

$

344,640

 

 

$

—

 

 

$

—

 

U.S. Government agency obligations

 

 

13,727

 

 

 

—

 

 

 

13,727

 

 

 

—

 

Obligations of states and political subdivisions

 

 

5,714

 

 

 

—

 

 

 

5,714

 

 

 

—

 

Mortgage-backed securities

 

 

2,874,796

 

 

 

—

 

 

 

2,874,796

 

 

 

—

 

Securities available for sale

 

 

3,238,877

 

 

 

344,640

 

 

 

2,894,237

 

 

 

—

 

LHFS

 

 

275,706

 

 

 

—

 

 

 

275,706

 

 

 

—

 

MSR

 

 

87,687

 

 

 

—

 

 

 

—

 

 

 

87,687

 

Other assets - derivatives

 

 

24,809

 

 

 

2,794

 

 

 

20,156

 

 

 

1,859

 

Other liabilities - derivatives

 

 

4,677

 

 

 

414

 

 

 

4,263

 

 

 

—

 

 

 

 

December 31, 2020

 

 

 

Total

 

 

Level 1

 

 

Level 2

 

 

Level 3

 

U.S. Government agency obligations

 

$

18,041

 

 

$

—

 

 

$

18,041

 

 

$

—

 

Obligations of states and political subdivisions

 

 

5,835

 

 

 

—

 

 

 

5,835

 

 

 

—

 

Mortgage-backed securities

 

 

1,967,939

 

 

 

—

 

 

 

1,967,939

 

 

 

—

 

Securities available for sale

 

 

1,991,815

 

 

 

—

 

 

 

1,991,815

 

 

 

—

 

LHFS

 

 

446,951

 

 

 

—

 

 

 

446,951

 

 

 

—

 

MSR

 

 

66,464

 

 

 

—

 

 

 

—

 

 

 

66,464

 

Other assets - derivatives

 

 

47,768

 

 

 

145

 

 

 

38,063

 

 

 

9,560

 

Other liabilities - derivatives

 

 

5,324

 

 

 

666

 

 

 

4,658

 

 

 

—

 

 

The changes in Level 3 assets measured at fair value on a recurring basis for the years ended December 31, 2021 and 2020 are summarized as follows ($ in thousands):

 

 

MSR

 

 

Other Assets -
Derivatives

 

Balance, January 1, 2021

 

$

66,464

 

 

$

9,560

 

Total net (loss) gain included in Mortgage banking, net (1)

 

 

(6,902

)

 

 

9,104

 

Additions

 

 

28,125

 

 

 

—

 

Sales

 

 

—

 

 

 

(16,805

)

Balance, December 31, 2021

 

$

87,687

 

 

$

1,859

 

 

 

 

 

 

 

 

The amount of total gains (losses) for the period included in earnings that are
   attributable to the change in unrealized gains or losses still held at
   December 31, 2021

 

$

13,258

 

 

$

3,159

 

 

 

 

 

 

 

 

Balance, January 1, 2020

 

$

79,394

 

 

$

1,439

 

Total net (loss) gain included in Mortgage banking, net (1)

 

 

(42,735

)

 

 

40,669

 

Additions

 

 

29,805

 

 

 

—

 

Sales

 

 

—

 

 

 

(32,548

)

Balance, December 31, 2020

 

$

66,464

 

 

$

9,560

 

 

 

 

 

 

 

 

The amount of total gains (losses) for the period included in earnings that are
   attributable to the change in unrealized gains or losses still held at
   December 31, 2020

 

$

(26,146

)

 

$

25,031

 
(1)
Total net (loss) gain included in Mortgage banking, net relating to the MSR includes changes in fair value due to market changes and due to run-off.

Trustmark may be required, from time to time, to measure certain assets at fair value on a nonrecurring basis in accordance with GAAP. Assets at December 31, 2021, which have been measured at fair value on a nonrecurring basis, include collateral-dependent LHFI. A loan is collateral dependent when the borrower is experiencing financial difficulty and repayment of the loan is expected to be provided substantially through the sale of the collateral. The expected credit loss for collateral-dependent loans is measured as the difference between the amortized cost basis of the loan and the fair value of the collateral, adjusted for the estimated cost to sell. Fair value estimates for collateral-dependent loans are derived from appraised values based on the current market value or as is value of the collateral, normally from recently received and reviewed appraisals. Current appraisals are ordered on an annual basis based on the inspection date or more often if market conditions necessitate. Appraisals are obtained from state-certified appraisers and are based on certain assumptions, which may include construction or development status and the highest and best use of the property. These appraisals are reviewed by Trustmark’s Appraisal Review Department to ensure they are acceptable, and values are adjusted down for costs associated with asset disposal. At December 31, 2021, Trustmark had outstanding balances of $44.4 million with a related ACL of $7.6 million in collateral-dependent LHFI, compared to outstanding balances of $43.4 million with a related ACL of $4.4 million in collateral-dependent LHFI at December 31, 2020. The collateral-dependent LHFI are classified as Level 3 in the fair value hierarchy.

Nonfinancial Assets and Liabilities

Certain nonfinancial assets measured at fair value on a nonrecurring basis include foreclosed assets (upon initial recognition or subsequent impairment), nonfinancial assets and nonfinancial liabilities measured at fair value in the second step of a goodwill impairment test, and intangible assets and other nonfinancial long-lived assets measured at fair value for impairment assessment.

Other real estate includes assets that have been acquired in satisfaction of debt through foreclosure and is recorded at the fair value less cost to sell (estimated fair value) at the time of foreclosure. Fair value is based on independent appraisals and other relevant factors. In the determination of fair value subsequent to foreclosure, Management also considers other factors or recent developments, such as changes in market conditions from the time of valuation and anticipated sales values considering plans for disposition, which could result in an adjustment to lower the collateral value estimates indicated in the appraisals. Periodic revaluations are classified as Level 3 in the fair value hierarchy since assumptions are used that may not be observable in the market.

Foreclosed assets of $7.3 million were re-measured during 2021, requiring write-downs of $437 thousand to reach their current fair values compared to $10.1 million of foreclosed assets that were re-measured during 2020, requiring write-downs of $2.0 million.

Fair Value of Financial Instruments

FASB ASC Topic 825 requires disclosure of the fair value of financial assets and financial liabilities, including those financial assets and financial liabilities that are not measured and reported at fair value on a recurring basis or non-recurring basis.

The carrying amounts and estimated fair values of financial instruments at December 31, 2021 and 2020 were as follows ($ in thousands):

 

 

 

December 31, 2021

 

 

December 31, 2020

 

 

 

Carrying
 Value

 

 

Estimated
Fair Value

 

 

Carrying
Value

 

 

Estimated
Fair Value

 

Financial Assets:

 

 

 

 

 

 

 

 

 

 

 

 

Level 2 Inputs:

 

 

 

 

 

 

 

 

 

 

 

 

Cash and short-term investments

 

$

2,266,829

 

 

$

2,266,829

 

 

$

1,952,554

 

 

$

1,952,554

 

Securities held to maturity

 

 

342,537

 

 

 

353,511

 

 

 

538,072

 

 

 

563,115

 

Level 3 Inputs:

 

 

 

 

 

 

 

 

 

 

 

 

Net LHFI and PPP loans

 

 

10,181,708

 

 

 

10,123,379

 

 

 

10,317,352

 

 

 

10,312,395

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Financial Liabilities:

 

 

 

 

 

 

 

 

 

 

 

 

Level 2 Inputs:

 

 

 

 

 

 

 

 

 

 

 

 

Deposits

 

 

15,087,160

 

 

 

15,084,440

 

 

 

14,048,764

 

 

 

14,052,863

 

Federal funds purchased and securities sold under
   repurchase agreements

 

 

238,577

 

 

 

238,577

 

 

 

164,519

 

 

 

164,519

 

Other borrowings

 

 

91,025

 

 

 

91,022

 

 

 

168,252

 

 

 

168,252

 

Subordinated notes

 

 

123,042

 

 

 

128,438

 

 

 

122,921

 

 

 

127,500

 

Junior subordinated debt securities

 

 

61,856

 

 

 

49,485

 

 

 

61,856

 

 

 

46,083

 

Fair Value Option

Trustmark has elected to account for its LHFS under the fair value option, with interest income on these LHFS reported in interest and fees on LHFS and LHFI. The fair value of the LHFS is determined using quoted prices for a similar asset, adjusted for specific attributes of that loan. The LHFS are actively managed and monitored and certain market risks of the loans may be mitigated through the use of derivatives. These derivative instruments are carried at fair value with changes in fair value recorded as noninterest income in mortgage banking, net. The changes in the fair value of the LHFS are largely offset by changes in the fair value of the derivative instruments. For the year ended December 31, 2021, a net loss of $10.3 million was recorded as noninterest income in mortgage banking, net for changes in the fair value of the LHFS accounted for under the fair value option compared to net gains of $10.5 million and $1.5 million for the years ended December 31, 2020 and 2019, respectively. Interest and fees on LHFS and LHFI for the year ended December 31, 2021 included $7.0 million of interest earned on the LHFS accounted for under the fair value option compared to $6.9 million and $5.9 million for the years ended December 31, 2020 and 2019, respectively. Election of the fair value option allows Trustmark to reduce the accounting volatility that would otherwise result from the asymmetry created by accounting for the financial instruments at the lower of cost or fair value and the derivatives at fair value. The fair value option election does not apply to the GNMA optional repurchase loans which do not meet the requirements under FASB ASC Topic 825 to be accounted for under the fair value option. GNMA optional repurchase loans totaled $84.5 million and $141.2 million at December 31, 2021 and 2020, respectively, and are included in LHFS on the accompanying consolidated balance sheets.

 

The following table provides information about the fair value and the contractual principal outstanding of the LHFS accounted for under the fair value option at December 31, 2021 and 2020 ($ in thousands):

 

 

December 31,

 

 

 

2021

 

 

2020

 

Fair value of LHFS

 

$

191,242

 

 

$

305,791

 

LHFS contractual principal outstanding

 

 

186,535

 

 

 

290,625

 

Fair value less unpaid principal

 

$

4,707

 

 

$

15,166

 
v3.22.0.1
Derivative Financial Instruments
 12 Months Ended
Dec. 31, 2021
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Derivative Financial Instruments

Note 20 – Derivative Financial Instruments

Derivatives Designated as Hedging Instruments

On April 4, 2013, Trustmark entered into a forward interest rate swap contract on junior subordinated debentures with a total notional amount of $60.0 million. The interest rate swap contract was designated as a derivative instrument in a cash flow hedge under FASB ASC Topic 815 with the objective of protecting the quarterly interest payments on Trustmark’s $60.0 million of junior subordinated

debentures issued to the Trust throughout the five-year period which began December 31, 2014 and ended December 31, 2019 from the risk of variability of those payments resulting from changes in the three-month LIBOR interest rate. Under the swap, which became effective on December 31, 2014, Trustmark paid a fixed interest rate of 1.66% and received a variable interest rate based on three-month LIBOR on a total notional amount of $60.0 million, with quarterly net settlements.

No ineffectiveness related to the interest rate swap designated as a cash flow hedge was recognized in the consolidated statements of income for the years ended December 31, 2021, 2020 and 2019. The interest rate swap matured on December 31, 2019; therefore, there was no accumulated net after-tax amount related to the effective cash flow hedge included in accumulated other comprehensive income (loss) at December 31, 2021, 2020 and 2019. Amounts reported in accumulated other comprehensive income (loss) related to this derivative were reclassified to other interest expense as interest payments were made on Trustmark’s variable rate junior subordinated debentures.

Derivatives not Designated as Hedging Instruments

Trustmark utilizes a portfolio of exchange-traded derivative instruments, such as Treasury note futures contracts and option contracts, to achieve a fair value return that economically hedges changes in the fair value of the MSR attributable to interest rates. These transactions are considered freestanding derivatives that do not otherwise qualify for hedge accounting. The total notional amount of these derivative instruments was $409.5 million at December 31, 2021 compared to $326.5 million at December 31, 2020. Changes in the fair value of these exchange-traded derivative instruments are recorded as noninterest income in mortgage banking, net and are offset by changes in the fair value of the MSR. The impact of this strategy resulted in a net positive ineffectiveness of $2.5 million for the year ended December 31, 2021, compared to a net positive ineffectiveness of $7.8 million for the year ended December 31, 2020 and a net negative ineffectiveness of $11.5 million for the year ended December 31, 2019.

As part of Trustmark’s risk management strategy in the mortgage banking area, derivative instruments such as forward sales contracts are utilized. Trustmark’s obligations under forward sales contracts consist of commitments to deliver mortgage loans, originated and/or purchased, in the secondary market at a future date. Changes in the fair value of these derivative instruments are recorded as noninterest income in mortgage banking, net and are offset by changes in the fair value of LHFS. Trustmark’s off-balance sheet obligations under these derivative instruments totaled $236.0 million at December 31, 2021, with a negative valuation adjustment of $81 thousand, compared to $377.5 million at December 31, 2020, with a negative valuation adjustment of $3.1 million.

Trustmark also utilizes derivative instruments such as interest rate lock commitments in its mortgage banking area. Interest rate lock commitments are residential mortgage loan commitments with customers, which guarantee a specified interest rate for a specified time period. Changes in the fair value of these derivative instruments are recorded as noninterest income in mortgage banking, net and are offset by the changes in the fair value of forward sales contracts. Trustmark’s off-balance sheet obligations under these derivative instruments totaled $142.6 million at December 31, 2021, with a positive valuation adjustment of $1.9 million, compared to $329.3 million at December 31, 2020, with a positive valuation adjustment of $9.6 million.

Trustmark offers certain derivatives products directly to qualified commercial lending clients seeking to manage their interest rate risk. Trustmark economically hedges interest rate swap transactions executed with commercial lending clients by entering into offsetting interest rate swap transactions with institutional derivatives market participants. Derivatives transactions executed as part of this program are not designated as qualifying hedging relationships and are, therefore, carried at fair value with the change in fair value recorded as noninterest income in bank card and other fees. Because these derivatives have mirror-image contractual terms, in addition to collateral provisions which mitigate the impact of non-performance risk, the changes in fair value are expected to substantially offset. The Chicago Mercantile Exchange rules legally characterize variation margin collateral payments made or received for centrally cleared interest rate swaps as settlements rather than collateral. As a result, centrally cleared interest rate swaps included in other assets and other liabilities are presented on a net basis in the accompanying consolidated balance sheets. At December 31, 2021, Trustmark had interest rate swaps with an aggregate notional amount of $1.225 billion related to this program, compared to $1.125 billion at December 31, 2020.

Credit-risk-related Contingent Features

Trustmark has agreements with its financial institution counterparties that contain provisions where if Trustmark defaults on any of its indebtedness, including default where repayment of the indebtedness has not been accelerated by the lender, then Trustmark could also be declared in default on its derivatives obligations.

At December 31, 2021 and 2020, the termination value of interest rate swaps in a liability position, which includes accrued interest but excludes any adjustment for nonperformance risk, related to these agreements was $655 thousand and $1.3 million, respectively. At December 31, 2021, Trustmark had posted collateral of $850 thousand against its obligations because of negotiated thresholds and

minimum transfer amounts under these agreements. If Trustmark had breached any of these triggering provisions at December 31, 2021, it could have been required to settle its obligations under the agreements at the termination value.

Credit risk participation agreements arise when Trustmark contracts with other financial institutions, as a guarantor or beneficiary, to share credit risk associated with certain interest rate swaps. These agreements provide for reimbursement of losses resulting from a third-party default on the underlying swap. At December 31, 2021, Trustmark had entered into six risk participation agreements as a beneficiary with an aggregate notional amount of $52.0 million compared to three risk participation agreements as a beneficiary with an aggregate notional amount of $41.1 million at December 31, 2020. At both December 31, 2021 and 2020, Trustmark had entered into twenty-four risk participation agreements as a guarantor with aggregate notional amounts of $173.5 million and $172.0 million, respectively. The aggregate fair values of these risk participation agreements were immaterial at December 31, 2021 and 2020.

Tabular Disclosures

The following tables disclose the fair value of derivative instruments in Trustmark’s consolidated balance sheets at December 31, 2021 and 2020 as well as the effect of these derivative instruments on Trustmark’s results of operations for the periods presented ($ in thousands):

 

 

December 31,

 

 

 

2021

 

 

2020

 

Derivatives not designated as hedging instruments

 

 

 

 

 

 

Interest rate contracts:

 

 

 

 

 

 

Futures contracts included in other assets

 

$

2,356

 

 

$

—

 

Exchange traded purchased options included in other assets

 

 

438

 

 

 

145

 

OTC written options (rate locks) included in other assets

 

 

1,859

 

 

 

9,560

 

Interest rate swaps included in other assets (1)

 

 

20,115

 

 

 

37,974

 

Credit risk participation agreements included in other assets

 

 

41

 

 

 

89

 

Futures contracts included in other liabilities

 

 

—

 

 

 

34

 

Forward contracts included in other liabilities

 

 

81

 

 

 

3,145

 

Exchange traded written options included in other liabilities

 

 

414

 

 

 

632

 

Interest rate swaps included in other liabilities (1)

 

 

4,144

 

 

 

1,313

 

Credit risk participation agreements included in other liabilities

 

 

38

 

 

 

200

 
(1)
In accordance with GAAP, the variation margin collateral payments made or received for interest rate swaps that are centrally cleared are legally characterized as settled. As a result, the centrally cleared interest rate swaps included in other assets and other liabilities are presented on a net basis in the accompanying consolidated balance sheets.

 

 

 

Years Ended December 31,

 

 

 

2021

 

 

2020

 

 

2019

 

Derivatives in hedging relationships

 

 

 

 

 

 

 

 

 

Amount of gain (loss) reclassified from accumulated other
   comprehensive income (loss) and recognized in other
   interest expense

 

$

—

 

 

$

—

 

 

$

479

 

 

 

 

 

 

 

 

 

 

 

Derivatives not designated as hedging instruments

 

 

 

 

 

 

 

 

 

Amount of gain (loss) recognized in mortgage banking, net

 

$

(15,436

)

 

$

39,436

 

 

$

11,096

 

Amount of gain (loss) recognized in bank card and other fees

 

 

1,649

 

 

 

(1,022

)

 

 

(776

)

 

The following table discloses the amount included in other comprehensive income (loss), net of tax, for derivative instruments designated as cash flow hedges for the periods presented ($ in thousands):

 

 

Years Ended December 31,

 

 

 

2021

 

 

2020

 

 

2019

 

Derivatives in cash flow hedging relationship

 

 

 

 

 

 

 

 

 

Amount of gain (loss) recognized in other comprehensive
   income (loss), net of tax

 

$

—

 

 

$

—

 

 

$

(109

)

 

Information about financial instruments that are eligible for offset in the consolidated balance sheets at December 31, 2021 and 2020 is presented in the following tables ($ in thousands):

 

Offsetting of Derivative Assets

 

As of December 31, 2021

 

 

 

 

 

 

 

 

 

 

 

 

Gross Amounts Not Offset in the
Statement of Financial Position

 

 

 

 

 

 

Gross
Amounts of
Recognized
Assets

 

 

Gross Amounts
Offset in the
Statement of
Financial Position

 

 

Net Amounts of
Assets presented
in the Statement of
Financial Position

 

 

Financial
Instruments

 

 

Cash Collateral
Received

 

 

Net Amount

 

Derivatives

 

$

20,115

 

 

$

—

 

 

$

20,115

 

 

$

55

 

 

$

—

 

 

$

20,170

 

 

Offsetting of Derivative Liabilities

 

As of December 31, 2021

 

 

 

 

 

 

 

 

 

 

 

 

Gross Amounts Not Offset in the
Statement of Financial Position

 

 

 

 

 

 

Gross
Amounts of
Recognized
Liabilities

 

 

Gross Amounts
Offset in the
Statement of
Financial Position

 

 

Net Amounts of
Liabilities presented
in the Statement of
Financial Position

 

 

Financial
Instruments

 

 

Cash Collateral
Posted

 

 

Net Amount

 

Derivatives

 

$

4,144

 

 

$

—

 

 

$

4,144

 

 

$

55

 

 

$

(850

)

 

$

3,349

 

 

Offsetting of Derivative Assets

 

As of December 31, 2020

 

 

 

 

 

 

 

 

 

 

 

 

Gross Amounts Not Offset in the
Statement of Financial Position

 

 

 

 

 

 

Gross
Amounts of
Recognized
Assets

 

 

Gross Amounts
Offset in the
Statement of
Financial Position

 

 

Net Amounts of
Assets presented
in the Statement of
Financial Position

 

 

Financial
Instruments

 

 

Cash Collateral
Received

 

 

Net Amount

 

Derivatives

 

$

37,974

 

 

$

—

 

 

$

37,974

 

 

$

—

 

 

$

—

 

 

$

37,974

 

 

Offsetting of Derivative Liabilities

 

As of December 31, 2020

 

 

 

 

 

 

 

 

 

 

 

 

Gross Amounts Not Offset in the
Statement of Financial Position

 

 

 

 

 

 

Gross
Amounts of
Recognized
Liabilities

 

 

Gross Amounts
Offset in the
Statement of
Financial Position

 

 

Net Amounts of
Liabilities presented
in the Statement of
Financial Position

 

 

Financial
Instruments

 

 

Cash Collateral
Posted

 

 

Net Amount

 

Derivatives

 

$

1,313

 

 

$

—

 

 

$

1,313

 

 

$

—

 

 

$

(1,313

)

 

$

—

 
v3.22.0.1
Segment Information
 12 Months Ended
Dec. 31, 2021
Segment Reporting [Abstract]  
Segment Information

Note 21 – Segment Information

Trustmark’s management reporting structure includes three segments: General Banking, Wealth Management and Insurance. The General Banking Segment is responsible for all traditional banking products and services, including loans and deposits. The General Banking Segment also consists of internal operations such as Human Resources, Executive Administration, Treasury (Funds Management), Public Affairs and Corporate Finance. The Wealth Management Segment provides customized solutions for customers by integrating financial services with traditional banking products and services such as money management, full-service brokerage, financial planning, personal and institutional trust and retirement services. Through FBBI, Trustmark’s Insurance Segment provides a full range of retail insurance products including commercial risk management products, bonding, group benefits and personal lines coverage.

The accounting policies of each reportable segment are the same as those of Trustmark except for its internal allocations. Noninterest expenses for back-office operations support are allocated to segments based on estimated uses of those services. Trustmark measures the net interest income of its business segments with a process that assigns cost of funds or earnings credit on a matched-term basis. This process, called “funds transfer pricing”, charges an appropriate cost of funds to assets held by a business unit, or credits the business unit for potential earnings for carrying liabilities. The net of these charges and credits flows through to the General Banking Segment, which contains the management team responsible for determining TNB’s funding and interest rate risk strategies.

The following table discloses financial information by reportable segment for the periods presented ($ in thousands):

 

 

 

Years Ended December 31,

 

 

 

2021

 

 

2020

 

 

2019

 

General Banking

 

 

 

 

 

 

 

 

 

Net interest income

 

$

413,201

 

 

$

420,225

 

 

$

419,597

 

PCL (1)

 

 

(24,439

)

 

 

45,058

 

 

 

10,622

 

Noninterest income

 

 

137,874

 

 

 

197,691

 

 

 

113,756

 

Noninterest expense (1)

 

 

421,561

 

 

 

401,810

 

 

 

367,976

 

Income before income taxes

 

 

153,953

 

 

 

171,048

 

 

 

154,755

 

Income taxes

 

 

22,706

 

 

 

25,109

 

 

 

18,638

 

General banking net income

 

$

131,247

 

 

$

145,939

 

 

$

136,117

 

 

 

 

 

 

 

 

 

 

 

Selected Financial Information

 

 

 

 

 

 

 

 

 

Total assets

 

$

17,275,438

 

 

$

16,226,358

 

 

$

13,140,467

 

Depreciation and amortization

 

$

44,776

 

 

$

40,351

 

 

$

38,634

 

 

 

 

 

 

 

 

 

 

 

Wealth Management

 

 

 

 

 

 

 

 

 

Net interest income

 

$

5,161

 

 

$

6,082

 

 

$

6,750

 

PCL

 

 

(9

)

 

 

(11

)

 

 

217

 

Noninterest income

 

 

35,420

 

 

 

31,634

 

 

 

30,860

 

Noninterest expense

 

 

31,721

 

 

 

30,318

 

 

 

28,882

 

Income before income taxes

 

 

8,869

 

 

 

7,409

 

 

 

8,511

 

Income taxes

 

 

2,219

 

 

 

1,853

 

 

 

2,123

 

Wealth Management net income

 

$

6,650

 

 

$

5,556

 

 

$

6,388

 

 

 

 

 

 

 

 

 

 

 

Selected Financial Information

 

 

 

 

 

 

 

 

 

Total assets

 

$

232,997

 

 

$

242,429

 

 

$

283,164

 

Depreciation and amortization

 

$

269

 

 

$

274

 

 

$

270

 

 

 

 

 

 

 

 

 

 

 

Insurance

 

 

 

 

 

 

 

 

 

Net interest income

 

$

(11

)

 

$

230

 

 

$

242

 

Noninterest income

 

 

48,616

 

 

 

45,268

 

 

 

42,429

 

Noninterest expense

 

 

36,014

 

 

 

34,173

 

 

 

32,144

 

Income before income taxes

 

 

12,591

 

 

 

11,325

 

 

 

10,527

 

Income taxes

 

 

3,123

 

 

 

2,795

 

 

 

2,572

 

Insurance net income

 

$

9,468

 

 

$

8,530

 

 

$

7,955

 

 

 

 

 

 

 

 

 

 

 

Selected Financial Information

 

 

 

 

 

 

 

 

 

Total assets

 

$

87,201

 

 

$

83,053

 

 

$

74,246

 

Depreciation and amortization

 

$

768

 

 

$

700

 

 

$

516

 

 

 

 

 

 

 

 

 

 

 

Consolidated

 

 

 

 

 

 

 

 

 

Net interest income

 

$

418,351

 

 

$

426,537

 

 

$

426,589

 

PCL (1)

 

 

(24,448

)

 

 

45,047

 

 

 

10,839

 

Noninterest income

 

 

221,910

 

 

 

274,593

 

 

 

187,045

 

Noninterest expense (1)

 

 

489,296

 

 

 

466,301

 

 

 

429,002

 

Income before income taxes

 

 

175,413

 

 

 

189,782

 

 

 

173,793

 

Income taxes

 

 

28,048

 

 

 

29,757

 

 

 

23,333

 

Consolidated net income

 

$

147,365

 

 

$

160,025

 

 

$

150,460

 

 

 

 

 

 

 

 

 

 

 

Selected Financial Information

 

 

 

 

 

 

 

 

 

Total assets

 

$

17,595,636

 

 

$

16,551,840

 

 

$

13,497,877

 

Depreciation and amortization

 

$

45,813

 

 

$

41,325

 

 

$

39,420

 
(1)
During 2021, Trustmark reclassified its credit loss expense related to off-balance sheet credit exposures from noninterest expense to PCL, off-balance sheet credit exposures. Prior periods have been reclassified accordingly.
v3.22.0.1
Parent Company Only Financial Information
 12 Months Ended
Dec. 31, 2021
Condensed Financial Information Disclosure [Abstract]  
Parent Company Only Financial Information

Note 22 – Parent Company Only Financial Information

($ in thousands)

 

Condensed Balance Sheets

 

December 31,

 

 

 

2021

 

 

2020

 

Assets:

 

 

 

 

 

 

Investment in banks

 

$

1,851,398

 

 

$

1,769,165

 

Other assets

 

 

75,995

 

 

 

158,360

 

Total Assets

 

$

1,927,393

 

 

$

1,927,525

 

 

 

 

 

 

 

 

Liabilities and Shareholders' Equity:

 

 

 

 

 

 

Accrued expense

 

$

1,184

 

 

$

1,631

 

Subordinated notes

 

 

123,042

 

 

 

122,921

 

Junior subordinated debt securities

 

 

61,856

 

 

 

61,856

 

Shareholders' equity

 

 

1,741,311

 

 

 

1,741,117

 

Total Liabilities and Shareholders' Equity

 

$

1,927,393

 

 

$

1,927,525

 

 

Condensed Statements of Income

 

Years Ended December 31,

 

 

 

2021

 

 

2020

 

 

2019

 

Revenue:

 

 

 

 

 

 

 

 

 

Dividends received from banks

 

$

45,284

 

 

$

109,243

 

 

$

120,297

 

Earnings of subsidiaries over distributions

 

 

108,141

 

 

 

53,724

 

 

 

32,971

 

Other income

 

 

95

 

 

 

66

 

 

 

90

 

Total Revenue

 

 

153,520

 

 

 

163,033

 

 

 

153,358

 

Expense:

 

 

 

 

 

 

 

 

 

Other expense

 

 

6,155

 

 

 

3,008

 

 

 

2,898

 

Total Expense

 

 

6,155

 

 

 

3,008

 

 

 

2,898

 

Net Income

 

$

147,365

 

 

$

160,025

 

 

$

150,460

 

 

Condensed Statements of Cash Flows

 

Years Ended December 31,

 

 

 

2021

 

 

2020

 

 

2019

 

Operating Activities:

 

 

 

 

 

 

 

 

 

Net income

 

$

147,365

 

 

$

160,025

 

 

$

150,460

 

Adjustments to reconcile net income to net cash provided
   by operating activities:

 

 

 

 

 

 

 

 

 

Net change in investment in subsidiaries

 

 

(108,141

)

 

 

(53,724

)

 

 

(32,971

)

Other

 

 

(2,078

)

 

 

(326

)

 

 

(1,800

)

Net cash from operating activities

 

 

37,146

 

 

 

105,975

 

 

 

115,689

 

 

 

 

 

 

 

 

 

 

 

Financing Activities:

 

 

 

 

 

 

 

 

 

Proceeds from subordinated notes

 

 

—

 

 

 

122,900

 

 

 

—

 

Common stock dividends

 

 

(58,085

)

 

 

(58,769

)

 

 

(59,804

)

Repurchase and retirement of common stock

 

 

(61,799

)

 

 

(27,538

)

 

 

(56,615

)

Net cash from financing activities

 

 

(119,884

)

 

 

36,593

 

 

 

(116,419

)

Net change in cash and cash equivalents

 

 

(82,738

)

 

 

142,568

 

 

 

(730

)

Cash and cash equivalents at beginning of year

 

 

158,275

 

 

 

15,707

 

 

 

16,437

 

Cash and cash equivalents at end of year

 

$

75,537

 

 

$

158,275

 

 

$

15,707

 

 

Trustmark (parent company only) paid income taxes of approximately $15.3 million in 2021, $46.6 million in 2020 and $24.8 million in 2019. Trustmark paid interest of $4.6 million in 2021 compared to no interest paid or received in 2020 and interest received of $482 thousand during 2019.

v3.22.0.1
Significant Accounting Policies (Policies)
 12 Months Ended
Dec. 31, 2021
Accounting Policies [Abstract]  
Business

Business

Trustmark Corporation (Trustmark) is a bank holding company headquartered in Jackson, Mississippi. Through its subsidiaries, Trustmark operates as a financial services organization providing banking and financial solutions to corporate institutions and individual customers through 180 offices in Alabama, Florida, Mississippi, Tennessee and Texas.
Basis of Financial Statement Presentation

Basis of Financial Statement Presentation

The consolidated financial statements include the accounts of Trustmark and all other entities in which Trustmark has a controlling financial interest. All significant intercompany accounts and transactions have been eliminated in consolidation.

The consolidated financial statements have been prepared in conformity with U.S. generally accepted accounting principles (GAAP). The preparation of financial statements in conformity with these accounting principles requires Management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and income and expense during the reporting periods and the related disclosures. Although Management’s estimates contemplate current conditions and how they are expected to change in the future, it is reasonably possible that in 2022 actual conditions could vary from those anticipated, which could affect Trustmark’s financial condition and results of operations. Actual results could differ from those estimates.
Securities

Securities

Securities are classified as either held to maturity or available for sale. Securities are classified as held to maturity and carried at amortized cost when Management has the positive intent and the ability to hold them until maturity. Securities to be held for indefinite periods of time are classified as available for sale and carried at fair value, with the unrealized holding gains and losses reported as a component of other comprehensive income (loss), net of tax. Securities available for sale are used as part of Trustmark’s interest rate risk management strategy and may be sold in response to changes in interest rates, changes in prepayment rates and other factors. Management determines the appropriate classification of securities at the time of purchase.

The amortized cost of debt securities classified as securities held to maturity or securities available for sale is adjusted for amortization of premiums and accretion of discounts to maturity of the security using the interest method. Such amortization or accretion is included in interest on securities. Realized gains and losses are determined using the specific identification method and are included in noninterest income as securities gains (losses), net.

Securities transferred from the available for sale category to the held to maturity category are recorded at fair value at the date of transfer. Unrealized holding gains or losses associated with the transfer of securities from available for sale to held to maturity are included in the balance of accumulated other comprehensive income (loss), net of tax, in the consolidated balance sheets. These unrealized holding gains or losses are amortized over the remaining life of the security as a yield adjustment in a manner consistent with the amortization or accretion of the original purchase premium or discount on the associated security.

Allowance for Credit Losses (ACL)

Financial Accounting Standards Board (FASB) Accounting Standard Update (ASU) 2016-13, “Financial Instruments-Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments,” was adopted by Trustmark on January 1, 2020. FASB Accounting Standard Codification (ASC) Topic 326 requires a current expected credit losses methodology for estimating allowances for credit losses and applies to all financial instruments carried at amortized cost, including securities held to maturity, and makes targeted improvements to the accounting for credit losses on securities available for sale.

Under FASB ASC Topic 326, the ACL is an estimate measured using relevant information about past events, including historical credit loss experience on financial assets with similar risk characteristics, current conditions, and reasonable and supportable forecasts that affect the collectability of the remaining cash flows over the contractual term of the financial assets.

Trustmark adopted a zero-credit loss assumption for certain classes of securities. This zero-credit loss assumption applies to debt issuances of the U.S. Treasury and agencies and instrumentalities of the United States government. The reasons behind the adoption of the zero-credit loss assumption were as follows:

•
High credit rating
•
Long history with no credit losses
•
Guaranteed by a sovereign entity
•
Widely recognized as “risk-free rate”
•
Can print its own currency
•
Currency is routinely held by central banks, used in international commerce, and commonly viewed as reserve currency
•
Currently under the U.S. Government conservatorship or receivership

Trustmark continuously monitors any changes in economic conditions, credit downgrades, changes to explicit or implicit guarantees granted to certain debt issuers, and any other relevant information that would indicate potential credit deterioration and prompt Trustmark to reconsider its zero-credit loss assumption.

Securities Available for Sale

FASB ASC Subtopic 326-30, “Financial Instruments-Credit Losses-Available-for-Sale Debt Securities,” replaced the concept of other-than-temporarily impaired with the ACL. Unlike securities held to maturity, securities available for sale are evaluated on an individual level and pooling of securities is not allowed.

Quarterly, Trustmark evaluates if any security has a fair value less than its amortized cost. Once these securities are identified, in order to determine whether a decline in fair value resulted from a credit loss or other factors, Trustmark performs further analysis as outlined below:

•
Review the extent to which the fair value is less than the amortized cost and observe the security’s lowest credit rating as reported by third-party credit ratings companies.
•
The securities that violate the credit loss triggers above would be subjected to additional analysis that may include, but is not limited to: changes in market interest rates, changes in securities credit ratings, security type, service area economic factors, financial performance of the issuer/or obligor of the underlying issue and third-party guarantee.
•
If Trustmark determines that a credit loss exists, the credit portion of the allowance will be measured using a discounted cash flow (DCF) analysis using the effective interest rate as of the security’s purchase date. The amount of credit loss Trustmark records will be limited to the amount by which the amortized cost exceeds the fair value.

The DCF analysis utilizes contractual maturities, as well as third-party credit ratings and cumulative default rates published annually by Moody’s Investor Service (Moody’s).

Accrued interest receivable is excluded from the estimate of credit losses for securities available for sale and reported in other assets on the consolidated balance sheets.

Securities Held to Maturity

FASB ASC Subtopic 326-20, “Financial Instruments-Credit Losses-Measured at Amortized Cost,” requires institutions to measure expected credit losses on financial assets carried at amortized cost on a collective or pool basis when similar risks exist. Trustmark uses several levels of segmentation to measure expected credit losses for its held to maturity securities:

•
The portfolio is segmented into agency and non-agency securities.
•
The non-agency securities are separated into municipal, mortgage, and corporate securities.

Each individual segment is categorized by third-party credit ratings.

As discussed above, Trustmark has determined that for certain classes of securities it would be appropriate to assume the expected credit loss to be zero, which include debt issuances of the U.S. Treasury and agencies and instrumentalities of the United States government. This assumption is reviewed and attested to quarterly. Trustmark uses an internally built model to verify the accuracy of third-party provided calculations.

Accrued interest receivable is excluded from the estimate of credit losses for securities held to maturity and included in other assets on the consolidated balance sheets.

Trustmark monitors the credit quality of securities held to maturity on a monthly basis through credit ratings.
Loans Held for Sale (LHFS)

Loans Held for Sale (LHFS)

Primarily, all mortgage loans purchased from wholesale customers or originated in Trustmark’s General Banking Segment are considered to be held for sale. In certain circumstances, Trustmark will retain a mortgage loan in its portfolio based on banking relationships or certain investment strategies. Trustmark has elected to account for its LHFS under the fair value option permitted by FASB ASC Topic 825, “Financial Instruments,” with interest income on the LHFS reported in interest and fees on LHFS and LHFI. Trustmark reports unrealized gains and losses resulting from changes in the fair value of the LHFS accounted for under the fair value option as noninterest income in mortgage banking, net. LHFS are actively managed and monitored and certain market risks of the loans may be mitigated through the use of derivatives. These derivative instruments are carried at fair value with changes in the fair value reported as noninterest income in mortgage banking, net. Changes in the fair value of the LHFS are largely offset by changes in the fair value of the derivative instruments. Election of the fair value option allows Trustmark to reduce the accounting volatility that would otherwise result from the asymmetry created by accounting for its LHFS at the lower of cost or fair value and the derivative instruments at fair value. Realized gains and losses upon ultimate sale of the loans are reported as noninterest income in mortgage banking, net.

Government National Mortgage Association (GNMA) optional repurchase programs allow financial institutions to buy back individual delinquent mortgage loans that meet certain criteria from the securitized loan pool for which the institution provides servicing. At the servicer’s option and without GNMA’s prior authorization, the servicer may repurchase such a delinquent loan for an amount equal to 100 percent of the remaining principal balance of the loan. Under FASB ASC Topic 860, “Transfers and Servicing,” this buy-back option is considered a conditional option until the delinquency criteria are met, at which time the option becomes unconditional. When Trustmark is deemed to have regained effective control over these loans under the unconditional buy-back option, the loans can no longer be reported as sold and must be brought back onto the balance sheet as LHFS, regardless of whether Trustmark intends to exercise the buy-back option. These loans are reported as LHFS with the offsetting liability being reported as short-term borrowings. The fair value option election does not apply to the GNMA optional repurchase loans which do not meet the requirements under FASB ASC Topic 825 to be accounted for under the fair value option.

Trustmark defers the upfront loan fees and costs related to the LHFS. In general, the LHFS are only retained on Trustmark’s balance sheet for 30 to 45 days before they are pooled and sold in the secondary market. The difference between deferring these loan fees and costs until the loans are sold and recognizing them in earnings as incurred as required by FASB ASC Subtopic 825-10 is considered immaterial. Deferred loan fees and costs are reflected in the basis of the LHFS and, as such, impact the resulting gain or loss when the loans are sold.
Loans Held for Investment (LHFI)

Loans Held for Investment (LHFI)

LHFI are loans that management has the intent and ability to hold for the foreseeable future or until maturity or pay-off and are reported at amortized cost net of the ACL. Amortized cost is the amount of unpaid principal, adjusted for the net amount of direct costs and nonrefundable loan fees associated with lending. The net amount of nonrefundable loan origination fees and direct costs associated with the lending process, including commitment fees, is deferred and accreted to interest income over the lives of the loans using a method that approximates the interest method. Interest on LHFI is accrued and recorded as interest income based on the outstanding principal balance.

Past due LHFI are loans contractually past due 30 days or more as to principal or interest payments. A LHFI is classified as nonaccrual, and the accrual of interest on such loan is discontinued, when the contractual payment of principal or interest becomes 90 days past due on commercial credits and 120 days past due on non-business purpose credits. In addition, a credit may be placed on nonaccrual at any other time Management has serious doubts about further collectibility of principal or interest according to the contractual terms, even though the loan is currently performing. A LHFI may remain in accrual status if it is in the process of collection and well secured. When a LHFI is placed in nonaccrual status, interest accrued but not received is reversed against interest income. Interest payments received on nonaccrual LHFI are applied against principal under the cost-recovery method, until qualifying for return to accrual status. Under the cost-recovery method, interest income is not recognized until the principal balance is reduced to zero. LHFI are restored to accrual status when the obligation is brought current or has performed in accordance with the contractual terms for a reasonable period of time and the ultimate collectibility of the total contractual principal and interest is no longer in doubt.

Troubled Debt Restructuring (TDR)

A TDR occurs when a borrower is experiencing financial difficulties, and for related economic or legal reasons, a concession is granted to the borrower that Trustmark would not otherwise consider. Whatever the form of concession that might be granted by Trustmark, Management’s objective is to enhance collectibility by obtaining more cash or other value from the borrower or by increasing the probability of receipt by granting the concession than by not granting it. Other concessions may arise from court proceedings or may be imposed by law. In addition, TDRs also include those credits that are extended or renewed to a borrower who is not able to obtain funds from sources other than Trustmark at a market interest rate for new debt with similar risk.

A formal TDR may include, but is not necessarily limited to, one or a combination of the following situations:

•
Trustmark accepts a third-party receivable or other asset(s) of the borrower, in lieu of the receivable from the borrower.
•
Trustmark accepts an equity interest in the borrower in lieu of the receivable.
•
Trustmark accepts modification of the terms of the debt including but not limited to:
o
Reduction (absolute or contingent) of the stated interest rate to below the current market rate.
o
Extension of the maturity date or dates at a stated interest rate lower than the current market rate for new debt with similar risk.
o
Reduction (absolute or contingent) of the face amount or maturity amount of the debt as stated in the note or other agreement.
o
Reduction (absolute or contingent) of accrued interest.

TDRs are addressed in Trustmark’s Loan Policy Manual, and in accordance with that policy, any modifications or concessions that may result in a TDR are subject to a special approval process which allows for control, identification, and monitoring of these arrangements. Prior to granting a concession, a revised borrowing arrangement is proposed which is structured so as to improve collectability of the loan in accordance with a reasonable repayment schedule with any loss promptly identified. It is supported by a thorough evaluation of the borrower’s financial condition and prospects for repayment under those revised terms. Other TDRs arising from renewals or extensions of existing debt are routinely identified through the processes utilized in the Problem Loan Committee and in the Credit Quality Review Committee. TDRs are subsequently reported to the Directors’ Credit Policy Committee on a quarterly basis and are disclosed in Trustmark’s consolidated financial statements in accordance with GAAP and regulatory reporting guidance.

A TDR in which Trustmark receives physical possession of the borrower’s assets, regardless of whether formal foreclosure or repossession proceedings take place, is accounted for in accordance with FASB ASC Subtopic 310-40, “Receivables-Troubled Debt Restructurings by Creditors.” Thus, the loan is treated as if assets have been received in satisfaction of the loan and reported as a foreclosed asset.

A TDR may be returned to accrual status if Trustmark is reasonably assured of repayment of principal and interest under the modified terms and the borrower has demonstrated sustained performance under those terms for a period of at least six months. Otherwise, the restructured loan must remain on nonaccrual.

Purchased Credit Deteriorated (PCD) Loans

Purchased loans which have experienced more than insignificant credit deterioration since origination are considered PCD loans. An initial ACL for PCD loans is determined at acquisition using the same ACL methodology as the LHFI. The initial ACL determined on a collective basis is allocated to individual loans. PCD loans are reported at the amortized cost, which equals the loan purchased price plus the initial ACL. The difference between the amortized cost basis of the PCD loan and the par value of the loan is the noncredit premium or discount, which is amortized into interest income over the life of the loan. Subsequent changes to the ACL are recorded through the PCL, LHFI.

Upon adoption of FASB ASC Topic 326, Trustmark elected to maintain pools of loans that were previously accounted for under FASB ASC Subtopic 310-30, “Receivables-Loans and Debt Securities Acquired with Deteriorated Credit Quality,” and will continue to account for these pools as a unit of account. Loans are only removed from the existing loan pools if they are written off, paid off or sold. Upon adoption of FASB ASC Topic 326, the ACL was determined for each pool and added to the pool’s carrying value to establish a new amortized cost basis. The difference between the unpaid principal balance of the pool and the new amortized cost basis is the noncredit premium or discount which will be amortized into interest income over the remaining life of the pool. Changes to the ACL after adoption of FASB ASC Topic 326 are recorded through the PCL, LHFI.
ACL

ACL

LHFI

Trustmark’s ACL methodology for LHFI is based upon guidance within FASB ASC Subtopic 326-20 as well as regulatory guidance from its primary regulator. The ACL on LHFI is a valuation account that is deducted from the loans’ amortized cost basis to present the net amount expected to be collected on the loans. Credit quality within the LHFI portfolio is continuously monitored by Management and is reflected within the ACL on LHFI. The ACL on LHFI is an estimate of expected losses inherent within Trustmark’s existing LHFI portfolio. The ACL on LHFI is adjusted through the PCL, LHFI and reduced by the charge off of loan amounts, net of recoveries.

The loan loss estimation process involves procedures to appropriately consider the unique characteristics of Trustmark’s LHFI portfolio segments. These segments are further disaggregated into loan classes, the level at which credit risk is estimated. When computing allowance levels, credit loss assumptions are estimated using a model that categorizes loan pools based on loss history, delinquency status and other credit trends and risk characteristics, including current conditions and reasonable and supportable forecasts about the future. Evaluations of the portfolio and individual credits are inherently subjective, as they require estimates, assumptions and judgments as to the facts and circumstances of particular situations. Determining the appropriateness of the allowance is complex and requires judgement by Management about the effect of matters that are inherently uncertain. In future periods, evaluations of the overall LHFI portfolio, in light of the factors and forecasts then prevailing, may result in significant changes in the allowance and credit loss expense.

Trustmark estimates the ACL on LHFI using relevant available information, from internal and external sources, relating to past events, current conditions and reasonable and supportable forecasts including the novel coronavirus (COVID-19) pandemic effects. Trustmark uses a third-party software application to calculate the quantitative portion of the ACL on LHFI using a methodology and assumptions specific to each loan pool. The qualitative portion of the allowance is based on general economic conditions and other internal and external factors affecting Trustmark as a whole as well as specific LHFI. Factors considered include the following: lending policies and procedures, economic conditions and concentrations of credit, nature and volume of the portfolio, performance trends, and external factors. The quantitative and qualitative portions of the allowance are added together to determine the total ACL on LHFI, which reflects Management’s expectations of future conditions based on reasonable and supportable forecasts.

The methodology for estimating the amount of expected credit losses reported in the ACL on LHFI has two basic components: a collective, or pooled, component for estimated expected credit losses for pools of loans that share similar risk characteristics, and an asset-specific component involving individual loans that do not share risk characteristics with other loans and the measurement of expected credit losses for such individual loans. In estimating the ACL for the collective component, loans are segregated into loan pools based on loan product types and similar risk characteristics.

Trustmark determined that reasonable and supportable forecasts could be made for a twelve-month period for all of its loan pools. To the extent the lives of the loans in the LHFI portfolio extend beyond this forecast period, Trustmark uses a reversion period of four quarters and reverts to the historical mean on a straight-line basis over the remaining life of the loans.

The ACL for individual loans that do not share risk characteristics with other loans is measured as the difference between the discounted value of expected future cash flows, based in the effective interest rate at origination, and the amortized cost basis of the loan, or the net realizable value. The ACL is the difference between the loan’s net realizable value and its amortized cost basis (net of previous charge-offs and deferred loan fees and costs), except for collateral-dependent loans. A loan is collateral dependent when the borrower is experiencing financial difficulty and repayment of the loan is expected to be provided substantially through the sale of the collateral. The expected credit loss for collateral-dependent loans is measured as the difference between the amortized cost basis of the loan and the fair value of the collateral, adjusted for the estimated cost to sell. Fair value estimates for collateral-dependent loans are derived from appraised values based on the current market value or the ‘as is’ value of the collateral, normally from recently received and reviewed appraisals. Current appraisals are ordered on an annual basis based on the inspection date or more often if market conditions necessitate. Appraisals are obtained from state-certified appraisers and are based on certain assumptions, which may include construction or development status and the highest and best use of the property. These appraisals are reviewed by Trustmark’s Appraisal Review Department to ensure they are acceptable, and values are adjusted down for costs associated with asset disposal. If the calculated expected credit loss is determined to be permanent or not recoverable, the amount of the expected credit loss is charged off.

Accrued interest receivable is not included in the amortized cost basis of Trustmark’s LHFI and, therefore, excluded from the estimate of credit losses for LHFI.

LHFI are charged off against the ACL on LHFI, with any subsequent recoveries credited back to the ACL on LHFI account. Expected recoveries may not exceed the aggregate of amounts previously charged off and expected to be charged off. Trustmark’s Loan Policy Manual dictates the guidelines to be followed in determining when a loan is charged off. Commercial purpose LHFI are charged off when a determination is made that the loan is uncollectible and continuance as a bankable asset is not warranted. Consumer LHFI secured by 1-4 family residential real estate are generally charged off or written down to the fair value of the collateral less cost to sell at no later than 180 days of delinquency. Non-real estate consumer purpose LHFI, including both secured and unsecured loans, are generally charged off by 120 days of delinquency. Consumer revolving lines of credit and credit card debt are generally charged off on or prior to 180 days of delinquency.

ACL on Off-Balance Sheet Credit Exposures

Under FASB ASC Subtopic 326-20, Trustmark is required to estimate expected credit losses for off-balance sheet credit exposures which are not unconditionally cancellable. Trustmark maintains a separate ACL on off-balance sheet credit exposures, including unfunded loan commitments and letters of credit.

Expected credit losses for off-balance sheet credit exposures are estimated by calculating a commitment usage factor over the contractual period for exposures that are not unconditionally cancellable by Trustmark. Trustmark calculates a loan pool level unfunded amount for the period. Trustmark views the loan pools as either closed-ended or open-ended. Closed-ended loan pools are those that typically fund up to 100% such as other construction and nonowner-occupied. Open-ended loan pools are those that behave similar to a revolver such as the commercial and industrial and home equity line of credit loan pools. In addition to the unfunded balances, Trustmark uses a funding rate for loan pools that are considered open-ended. Trustmark calculates the funding rate of the open-ended loan pools each period. In order to mitigate volatility and incorporate historical experience in the funding rate, Trustmark uses a twelve-quarter moving average. For the closed-ended loan pools, Trustmark takes a conservative approach and uses a 100% funding rate. The expected funding rate is applied to each pool’s unfunded commitment balances to ensure that reserves will be applied to each pool based on balances expected to be funded based upon historical levels. In addition to the funding rate being applied to the unfunded commitment balance, a reserve rate is applied that incorporates both quantitative and qualitative aspects of the current period’s expected credit loss rate. The reserve rate is loan pool specific and is applied to the unfunded amount to ensure loss factors, both quantitative and qualitative, are being considered on the unfunded portion of the loan pool, consistent with the methodology applied to the funded loan pools. Adjustments to the ACL on off-balance sheet credit exposures are recorded to the PCL, off-balance sheet credit exposures.

No credit loss estimate is reported for off-balance sheet credit exposures that are unconditionally cancellable by Trustmark or for undrawn amounts under such arrangements that may be drawn prior to the cancellation of the arrangement.

ACL, LHFI

Trustmark’s ACL methodology for LHFI is based upon guidance within FASB ASC Subtopic 326-20 as well as applicable regulatory guidance. The ACL is a valuation account that is deducted from the loans’ amortized cost basis to present the net amount expected to be collected on the loans. Credit quality within the LHFI portfolio is continuously monitored by Management and is reflected within the ACL for loans. The ACL is an estimate of expected losses inherent within Trustmark’s existing LHFI portfolio. The ACL for LHFI is adjusted through the PCL, LHFI and reduced by the charge off of loan amounts, net of recoveries.

The methodology for estimating the amount of expected credit losses reported in the ACL has two basic components: a collective, or pooled, component for estimated expected credit losses for pools of loans that share similar risk characteristics, and an asset-specific component involving individual loans that do not share risk characteristics with other loans and the measurement of expected credit losses for such individual loans. In estimating the ACL for the collective component, loans are segregated into loan pools based on loan product types and similar risk characteristics.

The loans secured by real estate and other loans secured by real estate portfolio segments include loans for both commercial and residential properties. The underwriting process for these loans includes analysis of the financial position and strength of both the borrower and guarantor, experience with similar projects in the past, market demand and prospects for successful completion of the proposed project within the established budget and schedule, values of underlying collateral, availability of permanent financing, maximum loan-to-value ratios, minimum equity requirements, acceptable amortization periods and minimum debt service coverage requirements, based on property type. The borrower’s financial strength and capacity to repay their obligations remain the primary focus of underwriting. Financial strength is evaluated based upon analytical tools that consider historical and projected cash flows and performance in addition to analysis of the proposed project for income-producing properties. Additional support offered by guarantors is also considered. Ultimate repayment of these loans is sensitive to interest rate changes, general economic conditions, liquidity and availability of long-term financing.

The commercial and industrial LHFI portfolio segment includes loans within Trustmark’s geographic markets made to many types of businesses for various purposes, such as short-term working capital loans that are usually secured by accounts receivable and inventory and term financing for equipment and fixed asset purchases that are secured by those assets. Trustmark’s credit underwriting process for commercial and industrial loans includes analysis of historical and projected cash flows and performance, evaluation of financial strength of both borrowers and guarantors as reflected in current and detailed financial information and evaluation of underlying collateral to support the credit.

The consumer LHFI portfolio segment is comprised of loans which are underwritten after evaluating a borrower’s repayment capacity, credit and collateral. Several factors are considered when assessing a borrower’s capacity to repay the obligation, including the borrower’s employment, income, current debt and assets. Credit is assessed using a credit report that provides credit scores and the borrower’s current and past information about their credit history. Property appraisals are obtained to assist in evaluating collateral. Loan-to-value and debt-to-income ratios, loan amount and lien position are also considered in assessing whether to originate a loan. These borrowers are particularly susceptible to downturns in economic trends such as conditions that negatively affect housing prices and demand and levels of unemployment.

The state and other political subdivision LHFI and the other commercial LHFI portfolio segments primarily consist of loans to non-depository financial institutions, such as mortgage companies, finance companies and other financial intermediaries, loans to state and political subdivisions, and loans to non-profit and charitable organizations. These loans are underwritten based on the specific nature or purpose of the loan and underlying collateral with special consideration given to the specific source of repayment for the loan.

The following table provides a description of each of Trustmark’s portfolio segments, loan classes, loan pools and the ACL methodology and loss drivers:

 

Portfolio Segment

 

Loan Class

 

Loan Pool

 

Methodology

 

Loss Drivers

Loans secured by real estate

 

Construction, land
   development and other land

 

1-4 family residential
   construction

 

DCF

 

Prime Rate, National GDP

 

 

 

 

Lots and development

 

DCF

 

Prime Rate, Southern Unemployment

 

 

 

 

Unimproved land

 

DCF

 

Prime Rate, Southern Unemployment

 

 

 

 

All other consumer

 

DCF

 

Southern Unemployment

 

 

Other secured by 1-4
   family residential
   properties

 

Consumer 1-4 family - 1st liens

 

DCF

 

Prime Rate, Southern Unemployment

 

 

 

 

All other consumer

 

DCF

 

Southern Unemployment

 

 

 

 

Nonresidential owner-occupied

 

DCF

 

Southern Unemployment, National GDP

 

 

Secured by nonfarm,
   nonresidential properties

 

Nonowner-occupied -
   hotel/motel

 

DCF

 

Southern Vacancy Rate, Southern Unemployment

 

 

 

 

Nonowner-occupied - office

 

DCF

 

Southern Vacancy Rate, Southern Unemployment

 

 

 

 

Nonowner-occupied- Retail

 

DCF

 

Southern Vacancy Rate, Southern Unemployment

 

 

 

 

Nonowner-occupied - senior
   living/nursing homes

 

DCF

 

Southern Vacancy Rate, Southern Unemployment

 

 

 

 

Nonowner-occupied -
   all other

 

DCF

 

Southern Vacancy Rate, Southern Unemployment

 

 

 

 

Nonresidential owner-occupied

 

DCF

 

Southern Unemployment, National GDP

 

 

Other real estate secured

 

Nonresidential nonowner
   -occupied - apartments

 

DCF

 

Southern Vacancy Rate, Southern Unemployment

 

 

 

 

Nonresidential owner-occupied

 

DCF

 

Southern Unemployment, National GDP

 

 

 

 

Nonowner-occupied -
   all other

 

DCF

 

Southern Vacancy Rate, Southern Unemployment

Other loans secured by
   real estate

 

Other construction

 

Other construction

 

WARM

 

Prime Rate, National Unemployment

 

 

Secured by 1-4 family
   residential properties

 

Trustmark mortgage

 

WARM

 

Southern Unemployment

Commercial and
   industrial loans

 

Commercial and
   industrial loans

 

Commercial and industrial -
   non-working capital

 

DCF

 

Trustmark historical data

 

 

 

 

Commercial and industrial -
   working capital

 

DCF

 

Trustmark historical data

 

 

 

 

Credit cards

 

WARM

 

Trustmark call report data

Consumer loans

 

Consumer loans

 

Credit cards

 

WARM

 

Trustmark call report data

 

 

 

 

Overdrafts

 

Loss Rate

 

Trustmark historical data

 

 

 

 

All other consumer

 

DCF

 

Southern Unemployment

State and other political
   subdivision loans

 

State and other political
   subdivision loans

 

Obligations of state and
   political subdivisions

 

DCF

 

Moody's Bond Default Study

Other commercial loans

 

Other commercial loans

 

Other loans

 

DCF

 

Prime Rate, Southern Unemployment

 

 

 

 

Commercial and industrial -
   non-working capital

 

DCF

 

Trustmark historical data

 

 

 

 

Commercial and industrial -
   working capital

 

DCF

 

Trustmark historical data

 

In general, Trustmark utilizes a DCF method to estimate the quantitative portion of the ACL for loan pools. The DCF model consists of two key components, a loss driver analysis (LDA) and a cash flow analysis. For loan pools utilizing the DCF methodology, multiple assumptions are in place, depending on the loan pool. A reasonable and supportable forecast is utilized for each loan pool by developing a LDA for each loan class. The LDA uses charge off data from Federal Financial Institutions Examination Council (FFIEC) reports to construct a periodic default rate (PDR). The PDR is decomposed into a probability of default (PD). Regressions are run using the data for various macroeconomic variables in order to determine which ones correlate to Trustmark’s losses. These variables are then incorporated into the application to calculate a quarterly PD using a third-party baseline forecast. In addition to the PD, a loss given default (LGD) is derived using a method referred to as Frye Jacobs. The Frye Jacobs method is a mathematical formula that traces the

relationship between LGD and PD over time and projects the LGD based on the levels of PD forecasts. This model approach is applicable to all pools within the construction, land development and other land, other secured by 1-4 family residential properties, secured by nonfarm, nonresidential properties and other real estate secured loan classes as well as the all other consumer and other loans pools.

For the commercial and industrial loans related pools, Trustmark uses its own PD and LGD data, instead of the macroeconomic variables and the Frye Jacobs method described above, to calculate the PD and LGD as there were no defensible macroeconomic variables that correlated to Trustmark’s losses. Trustmark utilizes a third-party Bond Default Study to derive the PD and LGD for the obligations of state and political subdivisions pool. Due to the lack of losses within this pool, no defensible macroeconomic factors were identified to correlate.

The PD and LGD measures are used in conjunction with prepayment data as inputs into the DCF model to calculate the cash flows at the individual loan level. Contractual cash flows based on loan terms are adjusted for PD, LGD and prepayments to derive loss cash flows. These loss cash flows are discounted by the loan’s coupon rate to arrive at the discounted cash flow based quantitative loss. The prepayment studies are updated quarterly by a third-party for each applicable pool.

An alternate method of estimating the ACL is used for certain loan pools due to specific characteristics of these loans. For the non-DCF pools, specifically, those using the weighted average remaining maturity (WARM) method, the remaining life is incorporated into the ACL quantitative calculation.

Trustmark determined that reasonable and supportable forecasts could be made for a twelve-month period for all of its loan pools. To the extent the lives of the loans in the LHFI portfolio extend beyond this forecast period, Trustmark uses a reversion period of four quarters and reverts to the historical mean on a straight-line basis over the remaining life of the loans. The econometric models currently in production reflect segment or pool level sensitivities of PD to changes in macroeconomic variables. By measuring the relationship between defaults and changes in the economy, the quantitative reserve incorporates reasonable and supportable forecasts of future conditions that will affect the value of its assets, as required by FASB ASC Topic 326. Under stable forecasts, these linear regressions will reasonably predict a pool’s PD. However, due to the COVID-19 pandemic, the macroeconomic variables used for reasonable and supportable forecasting have changed rapidly. At the current levels, it is not clear that the models currently in production will produce reasonably representative results since the models were originally estimated using data beginning in 2004 through 2019. During this period, a traditional, albeit severe, economic recession occurred. Thus, econometric models are sensitive to similar future levels of PD.

In order to prevent the econometric models from extrapolating beyond reasonable boundaries of their input variables, Trustmark chose to establish an upper and lower limit process when applying the periodic forecasts. In this way, Management will not rely upon unobserved and untested relationships in the setting of the quantitative reserve. This approach applies to all input variables, including: Southern Unemployment, National Unemployment, National Gross Domestic Product (GDP), Southern Vacancy Rate and the Prime Rate. The upper and lower limits are based on the distribution of the macroeconomic variable by selecting extreme percentiles at the upper and lower limits of the distribution, the 1st and 99th, respectively. These upper and lower limits are then used to calculate the PD for the forecast time period in which the forecasted values are outside of the upper and lower limit range. During 2021, the forecast related to the macroeconomic variables used in the quantitative modeling process were positively impacted due to the updated forecast effects. However, due to multiple periods having a PD or LGD at or near zero as a result of improving macroeconomic forecasts, Management implemented PD and LGD floors to account for the risk associated with each portfolio. The PD and LGD floors are based on Trustmark's historical loss experience and applied at a portfolio level.

Qualitative factors used in the ACL methodology include the following:

•
Lending policies and procedures
•
Economic conditions and concentrations of credit
•
Nature and volume of the portfolio
•
Performance trends
•
External factors

While all these factors are incorporated into the overall methodology, only three are currently considered active: economic conditions and concentrations of credit, performance trends and external factors.

Two of Trustmark’s largest loan classes are the loans secured by nonfarm, nonresidential properties and the loans secured by other real estate. Trustmark elected to create a qualitative factor specifically for these loan classes which addresses changes in the economic conditions of metropolitan areas and applies additional pool level reserves. This qualitative factor is based on third-party market data and forecast trends and is updated quarterly as information is available, by market and by loan pool.

For the performance trends factor, Trustmark uses migration analyses to allocate additional ACL to non-pass/delinquent loans within each pool. In this way, Management believes the ACL will directly reflect changes in risk, based on the performance of the loans within a pool, whether declining or improving.

The external factors qualitative factor is Management’s best judgement on the loan or pool level impact of all factors that affect the portfolio that are not accounted for using any other part of the ACL methodology (e.g., natural disasters, changes in legislation, impacts due to technology and pandemics). During 2020, Trustmark activated the External Factor – Pandemic to ensure reserve adequacy for collectively evaluated loans most likely to be impacted by the unique economic and behavioral conditions created by the COVID-19 pandemic. Additional qualitative reserves are derived based on two principles. The first is the disconnect of economic factors to Trustmark’s modeled probability of default (derived from the econometric models underpinning the quantitative pooled reserves). During the pandemic, extraordinary measures by the federal government were made available to consumers and businesses, including COVID-19 loan payment concessions, direct transfer payments to households, tax deferrals, and reduced interest rates, among others. These government interventions may have extended the lag between economic conditions and default, relative to what was captured in the model development data. Because Trustmark’s econometric PD models rely on the observed relationship from the economic downturn from 2007 to 2009 in both timing and severity, Management does not expect the models to reflect these current conditions. For example, while the models would predict contemporaneous unemployment peaks and loan defaults, this may not occur when borrowers can request payment deferrals. Thus, for the affected population, economic conditions are not fully considered as a part of Trustmark’s quantitative reserve. The second principle is the change in risk that is identified by rating changes. As a part of Trustmark’s credit review process, loans in the affected population have been given more frequent screening to ensure accurate ratings are maintained through this dynamic period. Trustmark’s quantitative reserve does not directly address changes in ratings, thus a migration qualitative factor was designed to work in concert with the quantitative reserve. In a downturn, the qualitative factor is inactive for most pools because changes in ratings are congruent with changes in macroeconomic conditions, which directly influence the PD models in the quantitative reserve.

As discussed above, the disconnect of economic factors means that changes in rating caused by deteriorating and weak economic conditions as a result of the pandemic are not being captured in the quantitative reserve. During 2020, due to unforeseen pandemic conditions that varied from Management’s expectations, additional reserves were further dimensioned in order to appropriately reflect the risk within the portfolio related to the COVID-19 pandemic. In an effort to ensure the External Factor-Pandemic qualitative factor is reasonable and supportable, historical Trustmark loss data was leveraged to construct a framework that is quantitative in nature. To dimension the additional reserve, Management uses the sensitivity of the quantitative commercial loan reserve to changes in macroeconomic conditions to apply to loans rated acceptable or better (RR 1-4). In addition, to account for the known changes in risk, a weighted average of the commercial loan portfolio loss rate, derived from the performance trends qualitative factor, is used to dimension additional reserves for downgraded credits. Loans rated acceptable with risk (RR 5) or watch (RR 6) received the additional reserves based on the average of the macroeconomic conditions and weighted- average of the commercial loan portfolio loss rate while the loans rated special mention and substandard received additional reserves based on the weighted-average described above.
Premises and Equipment, Net

Premises and Equipment, Net

Premises and equipment are reported at cost, less accumulated depreciation and amortization. Depreciation is charged to expense over the estimated useful lives of the assets, which are up to thirty-nine years for buildings and three to ten years for furniture and equipment. Leasehold improvements are amortized over the terms of the respective leases or the estimated useful lives of the improvements, whichever is shorter. In cases where Trustmark has the right to renew the lease for additional periods, the lease term for the purpose of calculating amortization of the capitalized cost of the leasehold improvements is extended when Trustmark is “reasonably assured” that it will renew the lease. Depreciation and amortization expenses are computed using the straight-line method. Trustmark continually evaluates whether events and circumstances have occurred that indicate that such long-lived assets have become impaired. Measurement of any impairment of such long-lived assets is based on the fair values of those assets.

Branch closures and purchased land held for future branch expansion for more than five years are evaluated to determine if the related land, buildings and building improvements should be transferred to assets held for sale in accordance with FASB ASC Topic 360, “Property, Plant and Equipment.” The property is transferred to assets held for sale at the lower of its carrying value or fair value less cost to sell. An impairment loss is recorded at the time of transfer if the carrying value of the assets exceeds the fair value. Impairment losses are recorded as noninterest expense in other expense.
Mortgage Servicing Rights (MSR)

Mortgage Servicing Rights (MSR)

Trustmark recognizes as assets the rights to service mortgage loans based on the estimated fair value of the MSR when loans are sold and the associated servicing rights are retained. Trustmark has elected to account for the MSR at fair value.

The fair value of the MSR is determined using discounted cash flow techniques benchmarked against third-party valuations. Estimates of fair value involve several assumptions, including the key valuation assumptions about market expectations of future prepayment rates, interest rates and discount rates which are provided by a third-party firm. Prepayment rates are projected using an industry standard prepayment model. The model considers other key factors, such as a wide range of standard industry assumptions tied to specific portfolio characteristics such as remittance cycles, escrow payment requirements, geographic factors, foreclosure loss exposure, VA no-bid exposure, delinquency rates and cost of servicing, including base cost and cost to service delinquent mortgages. Prevailing market conditions at the time of analysis are factored into the accumulation of assumptions and determination of servicing value.

Trustmark economically hedges changes in the fair value of the MSR attributable to interest rates. See Note 1 – Significant Accounting Policies, “Derivative Financial Instruments – Derivatives Not Designated as Hedging Instruments” for information regarding these derivative instruments.

Trustmark receives annual servicing fee income for loans serviced, which is recorded as noninterest income in mortgage banking, net. The fees are based on a contractual percentage of the outstanding principal or a fixed amount per loan and are recorded as income when earned. Late fees and ancillary fees related to loan servicing are not considered material.
Goodwill and Identifiable Intangible Assets

Goodwill and Identifiable Intangible Assets

Trustmark accounts for goodwill and other intangible assets in accordance with FASB ASC Topic 350, “Intangibles – Goodwill and Other.” Goodwill, which represents the excess of cost over the fair value of the net assets of an acquired business, is not amortized but tested for impairment on an annual basis, which is October 1 for Trustmark, or more often if events or circumstances indicate that there may be impairment.

Identifiable intangible assets are acquired assets that lack physical substance but can be distinguished from goodwill because of contractual or legal rights or because the assets are capable of being sold or exchanged either on their own or in combination with a related contract, asset or liability. Trustmark’s identifiable intangible assets primarily relate to core deposits, insurance customer relationships and borrower relationships. These intangibles, which have definite useful lives, are amortized on an accelerated basis over their estimated useful lives. In addition, these intangibles are evaluated for impairment whenever events and changes in circumstances indicate that the carrying amount should be reevaluated. Trustmark also purchased banking charters in order to facilitate its entry into the states of Florida and Texas. These identifiable intangible assets are being amortized on a straight-line method over 20 years.
Other Real Estate

Other Real Estate

Other real estate includes assets that have been acquired in satisfaction of debt through foreclosure and is recorded at the fair value less cost to sell (estimated fair value) at the time of foreclosure. Fair value is based on independent appraisals and other relevant factors. When foreclosed real estate is received in full satisfaction of a loan, the amount, if any, by which the recorded amount of the loan exceeds the estimated fair value of the property is a loss charged against the ACL at the time of foreclosure. If the recorded amount of the loan is less than the estimated fair value of the property, a credit is recorded to write-downs of other real estate at the time of foreclosure.

Other real estate is revalued on an annual basis or more often if market conditions necessitate. An other real estate specific reserve may be recorded through other real estate expense for declines in fair value subsequent to foreclosure based on recent appraisals or changes in market conditions. Subsequent to foreclosure, losses on the periodic revaluation of the property are charged against an existing other real estate specific reserve or as noninterest expense in other real estate expense if a reserve does not exist. Costs of operating and maintaining the properties as well as gains or losses on their disposition are also included in other real estate expense as incurred. Improvements made to properties are capitalized if the expenditures are expected to be recovered upon the sale of the properties.
Leases

Leases

Once Trustmark identifies and determines certain contracts are leases according to FASB ASC Topic 842, "Leases," Trustmark classifies it as an operating or a finance lease and recognizes a right-of-use asset and a lease liability at the lease commencement date. The lease liability represents the present value of the lease payments that remain unpaid as of the commencement date and the right-of-use asset is the initial lease liability recognized for the lease plus any lease payments made to the lessor at or before the commencement date as well as any initial direct costs less any lease incentives received. Trustmark accounts for the lease and nonlease components separately as such amounts are readily determinable.

Trustmark’s finance leases consist of building and equipment leases. Trustmark recognizes interest expense based on the discount rate of the lease as interest expense in other interest expense and recognizes depreciation expense on a straight-line basis over the lease term as noninterest expense in net occupancy – premises for building leases and in equipment expense for equipment leases. Trustmark amortizes the right-of-use asset over the life of the lease term on a straight-line basis. Trustmark’s lease liabilities are measured as the present value of the remaining lease payments throughout the lease term. Trustmark records its finance lease right-of-use assets in premises and equipment, net and its finance lease liabilities in other borrowings.

Trustmark’s operating leases primarily consist of building and land leases. Trustmark recognizes lease rent expense on a straight-line basis over the term of the lease contract and records it as noninterest expense in net occupancy – premises for building and land leases and in equipment expense for equipment leases. Trustmark’s amortization of the right-of-use asset is the difference between the straight-line lease expense and the interest expense recognized on the lease liability during the period. Trustmark’s lease liabilities are measured as the present value of the remaining lease payments throughout the lease term.

Trustmark’s leases typically have one or more renewal options included in the lease contract. Due to the nature of Trustmark’s leases, for leases with renewal options available, Trustmark considers the first renewal option as reasonably certain to renew and is therefore included in the measurement of the right-of-use assets and lease liabilities.

In order to calculate its right-of-use assets and lease liabilities, FASB ASC Topic 842 requires Trustmark to use the rate of interest implicit in the lease when readily determinable. If the rate implicit in the lease is not readily determinable, Trustmark is required to use

its incremental borrowing rate, which is the rate of interest Trustmark would have to pay to borrow on a collateralized basis over a similar term in a similar economic environment. Trustmark was able to determine the implicit interest rate for its equipment leases and used that rate as its discount rate. Since the implicit interest rate for most of its building and land leases were not readily determinable, Trustmark used its incremental borrowing rate.

Trustmark made an accounting policy election to not recognize short-term leases (12 months or less) on the balance sheet. Trustmark’s short-term leases primarily include automated teller machines. For short-term leases, Trustmark recognizes lease expense on a straight-line basis over the lease term.
Federal Home Loan Bank (FHLB) and Federal Reserve Bank of Atlanta Stock

Federal Home Loan Bank (FHLB) and Federal Reserve Bank of Atlanta Stock

Trustmark accounts for its investments in FHLB and Federal Reserve Bank of Atlanta stock in accordance with FASB ASC Subtopic 942-325, “Financial Services-Depository and Lending-Investments-Other.” FHLB and Federal Reserve Bank stock are equity securities that do not have a readily determinable fair value because its ownership is restricted and it lacks a market. FHLB and Federal Reserve Bank stock are carried at cost and evaluated for impairment. Trustmark’s investment in member bank stock is included in other assets in the accompanying consolidated balance sheets. At December 31, 2021 and 2020, Trustmark’s investment in member bank stock totaled $32.9 million and $31.7 million, respectively. The carrying value of Trustmark’s member bank stock gave rise to no other-than-temporary impairment for the years ended December 31, 2021, 2020 and 2019.
Revenue from Contract with Customers

Revenue from Contracts with Customers

Trustmark accounts for revenue from contracts with customers in accordance with FASB ASC Topic 606, “Revenue from Contracts with Customers,” which provides that revenue be recognized in a manner that depicts the transfer of goods or services to a customer in an amount that reflects the consideration Trustmark expects to be entitled to in exchange for those goods or services. Revenue from contracts with customers is recognized either over time in a manner that depicts Trustmark’s performance, or at a point in time when control of the goods or services are transferred to the customer. Trustmark’s noninterest income, excluding all of mortgage banking, net and securities gains (losses), net and portions of bank card and other fees and other income, are considered within the scope of FASB ASC Topic 606. Gains or losses on the sale of other real estate, which are included in Trustmark’s noninterest expense as other real estate expense, are also within the scope of FASB ASC Topic 606.

General Banking Segment

Service Charges on Deposit Accounts

In general, deposit accounts represent contracts with customers with no fixed duration and can be terminated or modified by either party at any time without compensation to the other party. According to FASB ASC Topic 606, a contract that can be terminated by either party without compensation does not exist for periods beyond the then-current period. Therefore, deposit contracts are considered to renew day-to-day if not minute-to-minute.

Deposit contracts have a single continuous or stand-ready service obligation whereby Trustmark makes customer funds available for use by the customer as and when the customer chooses as well as other services such as statement rendering and online banking. The specific services provided vary based on the type of deposit account. These services are not individually distinct, but are distinct as a group, and therefore, constitute a single performance obligation which is satisfied over time and qualifies as a series of distinct service periods.

Trustmark receives a fixed service charge amount as consideration monthly for services rendered. The service charge amount varies based on the type of deposit account. Some of the service charge revenue is subject to refund provisions, which is variable consideration under the guidelines of FASB ASC Topic 606. Trustmark has elected the ‘as-invoiced’ practical expedient permitted under FASB ASC Topic 606 for recognition of service charge revenue. Therefore, revenue is recognized at the time and in the amount the customer is charged. The service charge revenue is presented net of refunded amounts on Trustmark’s consolidated statements of income.

Services related to non-sufficient funds, overdrafts, excess account activity, stop payments, dormant accounts, etc. are considered optional purchases for a deposit contract because there is no performance obligation for Trustmark until the service is requested by the customer or the occurrence of a triggering event. Fees for these services are fixed amounts and are charged to the customer when the service is performed. Revenue is recognized at the time the customer is charged.

Bank Card and Other Fees

Revenue from contracts with customers in bank card and other fees includes income related to interchange fees and various other contracts which primarily consists of contracts with a single performance obligation that is satisfied at a point in time. Trustmark receives a fixed consideration amount once the performance obligation is completed for these contracts. Trustmark reports revenue from these contracts net of amounts refunded or due to a third party.

As both a debit and credit card issuer, Trustmark receives an interchange fee for every card transaction completed by its customers with a merchant. Trustmark receives two types of interchange fees: point-of-sale transactions in which the customer must enter the PIN associated with the card to complete the transaction (a debit card transaction), and signature transactions in which the signature of the customer is required to complete the transaction (a credit card transaction).

Trustmark, as the card issuing or settlement bank, has a contract (implied based on customary business practices) with the payment network in which Trustmark has a single continuous service obligation to make funds available for settlement of the card transaction. Trustmark’s service obligation is satisfied over time and qualifies as a series of distinct service periods. Trustmark receives interchange fees as consideration for services rendered in the amount established by the respective payment network. The interchange fees are established by the payment network based on the type of transaction and is posted on their website. Trustmark receives and records interchange fee revenue from the payment networks daily net of all fees and amounts due to the payment network.

Other Income

Revenue from contracts with customers in other income includes income related to cash management services and other contracts with a single performance obligation that is satisfied at a point in time. Trustmark receives a fixed consideration amount once the performance obligation is completed for these contracts. Trustmark reports revenue from these contracts net of amounts refunded or due to a third party.

Trustmark provides cash management services through the delivery of various products and services offered to its business and municipal customers including various departments of state, city and local governments, universities and other non-profit entities. Similar to the deposit account contracts, the cash management contracts primarily represent contracts with customers with no fixed duration and can be terminated or modified by either party at any time without compensation to the other party. Therefore, cash management contracts are generally considered to renew day-to-day if not minute-to-minute.

Cash management contracts have a single continuous or stand-ready service obligation whereby Trustmark makes a specific service or group of services available for use by the customer as and when the customer chooses. The specific services provided vary based on the type of account or product. These services are not individually distinct, but are distinct as a group, and therefore, constitute a single performance obligation which is satisfied over time and qualifies as a series of distinct service periods.

Trustmark receives a set service charge or maintenance fee amount as consideration monthly for services rendered. However, some of the fees are based on the number of transactions that occur (i.e., flat fee for a set number of transactions per month then an additional charge for each transaction after that) or the average daily account balance maintained by the customer during the month and a small amount of the cash management fee revenue is subject to refund provisions. These fees represent variable consideration under the guidelines of FASB ASC Topic 606. Trustmark has elected the ‘as-invoiced’ practical expedient permitted under FASB ASC Topic 606 for recognition of cash management fee revenue. The cash management revenue is presented net of any refunded amounts on Trustmark’s consolidated statements of income.

Trustmark’s merchant services provider contracts directly with Trustmark business customers and provides Trustmark’s merchant customers card processing equipment and transaction processing services. Trustmark’s contract with the merchant services provider has a single-continuous service obligation to provide customer referrals for potential new accounts which is satisfied over time and qualifies as a series of distinct service periods. Trustmark receives a flat fee for each new account established and a percentage of the residual income related to transactions processed for Trustmark’s merchant customers each month as provided in the contract. Under the guidelines of FASB ASC Topic 606, the fee received for each new account and the profit sharing represent variable consideration. Revenue from merchant card services contracts is recognized monthly using a time-elapsed measure of progress. Trustmark has elected the ‘as-invoiced’ practical expedient permitted under FASB ASC Topic 606 for recognition of the merchant card services revenue.

Other Real Estate

Trustmark records a gain or loss from the sale of other real estate when control of the property transfers to the buyer. Trustmark records the gain or loss from the sale of other real estate in noninterest expense as other real estate expense. Other real estate sales for the year

ended December 31, 2021 resulted in a net loss of $1.9 million compared to a net gain of $897 thousand for the year ended December 31, 2020 and a net loss of $291 thousand for the year ended December 31, 2019.

In general, purchases of Trustmark’s other real estate property are not financed by Trustmark. Financing the purchase of other real estate is evaluated based upon the same lending policies and procedures as all other types of loans. Under FASB ASC Subtopic 610-20, “Other Income – Gains and Losses from the Derecognition of Nonfinancial Assets,” when Trustmark finances the sale of its other real estate to a buyer, Trustmark is required to assess whether the buyer is committed to perform their obligations under the contract and whether collectability of the transaction price is probable. Once these two criteria are met, Trustmark derecognizes the other real estate asset and records a gain or loss on the sale once control of the property is transferred to the buyer.

Wealth Management Segment

Trust Management

There are five categories of revenue included in trust management: personal trust and investments, retirement plan services, institutional custody, corporate trust and other. Each of these categories includes multiple types of contracts, service obligations and fee income. However, the majority of these contracts include a single service obligation that is satisfied over time, the customer is charged in arrears for services rendered and revenue is recognized when payment is received. In general, the time period between when the service obligation is completed and when payment from the customer is received is less than 30 days. Revenue from trust management contracts is primarily related to monthly service periods and based on the prior month-end’s market value. Some trust management revenue is mandated by a court order, while other revenue consists of flat fees. Trust management revenue based on an account’s market value represents variable consideration under the guidelines of FASB ASC Topic 606. Trustmark has elected the ‘as-invoiced’ practical expedient allowed under FASB ASC Topic 606 to account for the trust management revenue.

Assets under administration held by Trustmark in a fiduciary or agency capacity for customers are not included in Trustmark’s consolidated balance sheets.

Investment Services

Investment services includes both brokerage and annuity income. Trustmark has a contract with a third-party investment services company which contains a single continuous service obligation, to provide broker-dealer and advisory services to customers on behalf of the third-party, which is satisfied over time and qualifies as a series of distinct service periods. Trustmark serves as the agent between the third-party investment services company, the principle, and the customer. In accordance with the contract, Trustmark receives a monthly payment from the investment services company for commissions and advisory fees (asset management fees) earned on transactions completed in the prior month net of all charges and fees due to the investment services company. Trustmark recognizes revenue from the investment services company, net of the revenue sharing expense due to the investment services company, when the payments are received. Commissions vary from month-to-month based on the specific products and transactions completed. The advisory fees vary based on the average daily balance of the managed assets for the period. The commissions and advisory fees represent variable consideration under FASB ASC Topic 606. Trustmark has elected the ‘as-invoiced’ practical expedient allowed under FASB ASC Topic 606 to recognize revenue from the investment services company.

Insurance Segment

Fisher Brown Bottrell Insurance, Inc. (FBBI), a wholly-owned subsidiary of Trustmark National Bank (TNB), operates as an insurance broker representing the policyholder and has no allegiance with any one insurance provider. FBBI serves as the agent between the insurance provider (either insurance carrier or broker), the principal, and the policy holder, the customer. FBBI has four general categories of insurance contracts: commercial, commercial installments, personal and employee benefits. FBBI’s insurance contracts contain a single performance obligation, policy placement, which is satisfied at a point in time. FBBI’s performance obligation is satisfied as of the policy effective date.

In addition to policy placement, FBBI provides various other periodic services to the policyholders for which no additional fee is charged. These additional services are not considered material to the overall contract. Trustmark has elected the immaterial promises practical expedient allowed under FASB ASC Topic 606, which allows Trustmark to not assess whether promised services are performance obligations if the promised services are immaterial in the context of the contract. Therefore, the immaterial additional services offered to policyholders are not considered a performance obligation and no amount of the contract transaction price is allocated to these services.

In general, the transaction price for the insurance contracts is an established commission amount agreed upon by FBBI and the insurance provider. The commission amount varies based on the insurance provider and the type of policy. There are a small number of insurance contracts which FBBI does not receive a commission but charges a fee directly to the policyholder.

Most of the commissions from insurance contracts are subject to clawback provisions which require FBBI to refund a prorated amount of the commissions received as a result of policy cancellations or lapses. Commissions subject to clawback provisions are considered variable consideration under FASB ASC Topic 606. Trustmark believes the expected value method of estimating the commissions subject to clawback provisions would best predict the amount of commissions FBBI will be entitled to because of the large number of insurance contracts with similar characteristics and the number of possible outcomes. FBBI calculates a separate weighted-average percentage (returned commissions percentage) based on actual cancellations over the previous three years for commercial lines, bonds, and personal lines. FBBI applies the respective returned commissions percentage to the commission revenue earned related to insurance contracts within these three lines each month to calculate the estimated returned commissions amount, which represents the variable consideration subject to variable constraint. Revenue from insurance contracts is reported net of the variable consideration subject to variable constraint. FBBI performs an analysis of the returned commissions reserve quarterly and adjusts the reserve balance based on all available information including actual cancellations and the remaining term of the contract. The returned commission percentage is updated annually.

Insurance Producers at FBBI earn commission as compensation for each policy they are responsible for placing. Commissions are not paid to Producers immediately at the policy effective date, can be subject to clawback provisions and can vary by Producer. Effective April 1, 2018, FBBI implemented a ‘pay when paid’ system. Under the ‘pay when paid’ system, Producers receive the commissions for which they are entitled at the end of the month following the month in which FBBI receives payment from the insurance provider or customer. Under FASB ASC Subtopic 340-40, “Other Assets and Deferred Costs: Contracts with Customers,” the commission paid to the Producers is an incremental cost of obtaining a contract, which should be capitalized and amortized in a manner consistent with the pattern of transfer of the service related to the contract acquisition asset. Insurance contracts have a term of one year or less; therefore, Trustmark has elected the cost of obtaining a contract practical expedient allowed under FASB ASC Subtopic 340-40, which allows FBBI to recognize the incremental costs of obtaining a contract as an expense when incurred if the amortization period of the contract asset that FBBI otherwise would have recognized is one year or less. Commission expense is recorded as noninterest expense in salaries and employee benefits when paid to the Producers.

Commercial Insurance

Revenue from FBBI’s commercial insurance contracts (both agency billed and direct billed) consists of a set commission amount, which is subject to clawback provisions. Revenue from commercial installment insurance contracts consists of a set commission amount, which is not subject to clawback provisions. An estimated commission amount is entered in the agency management system when a commercial insurance contract is placed. FBBI records a top line receivable based on the estimated commission amount entered in the system each month, along with a corresponding amount recognized as revenue, and then adjusts the estimated receivable when the commissions are received from the insurance provider or customer.

Personal Insurance

Revenue from FBBI’s personal insurance contracts consists of a set commission amount, which is subject to clawback provisions, and is recognized when payment is received (generally 30-60 days after the policy effective date). Personal insurance contracts have a term of one year; therefore, recognizing the revenue from these contracts when payment is received is not materially different than recognizing the revenue at the policy effective date for any given period.

Employee Benefits Insurance

Revenue from FBBI’s employee benefits insurance contracts consists of a variable commission amount, which is not subject to clawback provisions, and is recognized when payment is received, typically on a monthly basis. Employee benefits insurance contracts have a set commission rate, but can vary from period to period based on changes in the number of employees covered by the policy (i.e., new hires and terminations). FBBI generally receives twelve monthly commission payments for these contracts with the initial payment being received approximately 60-90 days after the policy effective date. Under the guidelines of FASB ASC Topic 606, commissions from employee benefits insurance contracts represent fixed consideration because at contract inception (policy effective date) there is a set commission rate times a known number of covered employees. Changes in the number of covered employees are not known, nor can they be predicted, at contract inception. An increase or decrease in the number of covered employees after the policy effective date is considered a contract modification resulting from a change in scope and transaction price under FASB ASC Topic 606. This modification is treated as part of the existing contract because it does not add a distinct service. Employee benefits insurance contracts have a term of one year; therefore, recognizing the revenue from these contracts when payment is received is not materially different than recognizing the revenue at the policy effective date or the contract modification date for any given period.

Contingency Commission Insurance

In addition to the insurance contracts discussed above, FBBI has contracts with various insurance providers for which it receives contingency income based on volume of business and claims experience. FBBI is the principal and the insurance provider is the customer for these contingency commission insurance contracts. The contingency commission contracts have a single continuous or stand-ready service obligation whereby FBBI places policies with policyholders when acceptable to the insurance provider, which is satisfied over time. The contract term for these contingency commission contracts is one year. Revenue is recognized from the contingency commission contracts monthly using a time-elapsed measure of progress. FBBI accrues throughout the current year the amount of contingency commission income it expects to receive in the following year adjusted for a degree of uncertainty. FBBI updates a detail by insurance provider with the contingency commission income received, which is then compared to the total amount that was expected to be received. If actual receipts are higher or lower than the amount accrued in the prior year, the monthly accrual for the current year is adjusted accordingly.

Under the guidelines of FASB ASC Topic 606, revenue from contingency commission insurance contracts represents variable consideration and should be estimated using one of the two allowable methods subject to the variable consideration constraint. FBBI believes the most likely amount method to be the most appropriate method for estimating the variable consideration as there are only a few possible outcomes for each contract.
Derivative Financial Instruments

Derivative Financial Instruments

Trustmark maintains an overall interest rate risk management strategy that incorporates the use of derivative instruments to minimize significant unplanned fluctuations in earnings and cash flows caused by interest rate volatility. Trustmark’s interest rate risk management strategy involves modifying the repricing characteristics of certain assets and liabilities so that changes in interest rates do not adversely affect the net interest margin and cash flows. Under the guidelines of FASB ASC Topic 815, “Derivatives and Hedging,” all derivative instruments are required to be recognized as either assets or liabilities and carried at fair value on the balance sheet. The fair value of derivative positions outstanding is included in other assets and/or other liabilities in the accompanying consolidated balance sheets and in the net change in these financial statement line items in the accompanying consolidated statements of cash flows as well as included in noninterest income in the accompanying consolidated statements of income and other comprehensive income (loss), net of tax in the accompanying consolidated statements of comprehensive income. Trustmark’s interest rate swap derivative instruments are subject to master netting agreements, and therefore, eligible for offsetting in the consolidated balance sheets. Trustmark has elected to not offset any derivative instruments in its consolidated balance sheets.

Derivatives Not Designated as Hedging Instruments

As part of Trustmark’s risk management strategy in the mortgage banking area, derivative instruments such as forward sales contracts are utilized. Trustmark’s obligations under forward contracts consist of commitments to deliver mortgage loans, originated and/or purchased, in the secondary market at a future date. Changes in the fair value of these derivative instruments are recorded as noninterest income in mortgage banking, net and are offset by changes in the fair value of LHFS. See Note 1 – Significant Accounting Policies, “Loans Held for Sale (LHFS)” for information regarding the fair value option election.

Trustmark also utilizes derivative instruments such as interest rate lock commitments in its mortgage banking area. Rate lock commitments are residential mortgage loan commitments with customers, which guarantee a specified interest rate for a specified time period. Changes in the fair value of these derivative instruments are recorded as noninterest income in mortgage banking, net and are offset by the changes in the fair value of forward sales contracts.

Trustmark utilizes a portfolio of exchange-traded derivative instruments, such as Treasury note futures contracts and option contracts, to achieve a fair value return that economically hedges changes in the fair value of the MSR attributable to interest rates. These transactions are considered freestanding derivatives that do not otherwise qualify for hedge accounting. These exchange-traded derivative instruments are accounted for at fair value with changes in the fair value recorded as noninterest income in mortgage banking, net and are offset by changes in the fair value of the MSR. The MSR fair value represents the present value of future cash flows, which among other things includes decay and the effect of changes in interest rates. Ineffectiveness of hedging the MSR fair value is measured by comparing the change in the fair value of the hedge instruments to the change in the fair value of the MSR asset attributable to changes in interest rates and other market driven changes in valuation inputs and assumptions.

Trustmark offers certain derivatives products directly to qualified commercial lending clients seeking to manage their interest rate risk. Trustmark economically hedges interest rate swap transactions executed with commercial lending clients by entering into offsetting interest rate swap transactions with institutional derivatives market participants. Derivative transactions executed as part of this program are not designated as qualifying hedging relationships and are, therefore, carried at fair value with the change in fair value recorded as noninterest income in bank card and other fees. Because these derivatives have mirror-image contractual terms, in addition to collateral

provisions which mitigate the impact of non-performance risk, the changes in fair value are expected to substantially offset. The Chicago Mercantile Exchange rules legally characterize variation margin collateral payments made or received for centrally cleared interest rate swaps as settlements rather than collateral. As a result, centrally cleared interest rate swaps included in other assets and other liabilities are presented on a net basis in the accompanying consolidated balance sheets.
Income Taxes

Income Taxes

Trustmark accounts for uncertain tax positions in accordance with FASB ASC Topic 740, “Income Taxes,” which clarifies the accounting and disclosure for uncertainty in tax positions. Under the guidance of FASB ASC Topic 740, Trustmark accounts for deferred income taxes using the liability method. Deferred tax assets and liabilities are based on temporary differences between the financial statement carrying amounts and the tax basis of Trustmark’s assets and liabilities. Deferred tax assets and liabilities are measured using the enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be realized or settled and are presented net in the accompanying consolidated balance sheets in other assets.
Stock-Based Compensation

Stock-Based Compensation

Trustmark accounts for the stock and incentive compensation under the provisions of FASB ASC Topic 718, “Compensation – Stock Compensation.” Under this accounting guidance, fair value is established as the measurement objective in accounting for stock awards and requires the application of a fair value based measurement method in accounting for compensation cost, which is recognized over the requisite service period. Trustmark has elected to account for forfeitures of stock awards as they occur.
Statements of Cash Flows

Statements of Cash Flows

For purposes of reporting cash flows, cash and cash equivalents include cash on hand and amounts due from banks. The following table reflects specific transaction amounts for the periods presented ($ in thousands):

 

 

 

Years Ended December 31,

 

 

 

2021

 

 

2020

 

 

2019

 

Income taxes paid

 

$

15,259

 

 

$

46,648

 

 

$

24,809

 

Interest paid on deposits and borrowings

 

 

24,429

 

 

 

42,968

 

 

 

83,997

 

Noncash transfers from loans to other real estate

 

 

770

 

 

 

635

 

 

 

8,598

 

Investment in tax credit partnership not funded

 

 

10,647

 

 

 

5,893

 

 

 

5,000

 

Finance right-of-use assets resulting from lease liabilities

 

 

92

 

 

 

—

 

 

 

9,326

 

Operating right-of-use assets resulting from lease liabilities

 

 

9,666

 

 

 

3,774

 

 

 

31,182

 

Transfer of long-term FHLB advances to short-term

 

 

—

 

 

 

651

 

 

 

—

 
Per Share Data

Per Share Data

Trustmark accounts for per share data in accordance with FASB ASC Topic 260, “Earnings Per Share,” which provides that unvested share-based payment awards that contain non-forfeitable rights to dividends or dividend equivalents (whether paid or unpaid) are participating securities and shall be included in the computation of earnings per share (EPS) pursuant to the two-class method. Trustmark has determined that its outstanding unvested stock awards are not participating securities. Based on this determination, no change has been made to Trustmark’s current computation for basic and diluted EPS.

Basic EPS is computed by dividing net income by the weighted-average shares of common stock outstanding. Diluted EPS is computed by dividing net income by the weighted-average shares of common stock outstanding, adjusted for the effect of potentially dilutive stock awards outstanding during the period.

The following table reflects weighted-average shares used to calculate basic and diluted EPS for the periods presented (in thousands):

 

 

 

Years Ended December 31,

 

 

 

2021

 

 

2020

 

 

2019

 

Basic shares

 

 

62,788

 

 

 

63,505

 

 

 

64,630

 

Dilutive shares

 

 

185

 

 

 

141

 

 

 

142

 

Diluted shares

 

 

62,973

 

 

 

63,646

 

 

 

64,772

 

 

Weighted-average antidilutive stock awards were excluded in determining diluted EPS. The following table reflects weighted-average antidilutive stock awards for the periods presented (in thousands):

 

 

Years Ended December 31,

 

 

 

2021

 

 

2020

 

 

2019

 

Weighted-average antidilutive stock awards

 

 

1

 

 

 

57

 

 

 

—

 
Fair Value Measurements

Fair Value Measurements

FASB ASC Topic 820, “Fair Value Measurements and Disclosures,” defines fair value, establishes a framework for measuring fair value in generally accepted accounting principles, and requires certain disclosures about fair value measurements. The fair value of an asset or liability is the price that would be received to sell that asset or paid to transfer that liability in an orderly transaction occurring in the principal market (or most advantageous market in the absence of a principal market) for such asset or liability. Depending on the nature of the asset or liability, Trustmark uses various valuation techniques and assumptions when estimating fair value. Inputs to valuation techniques include the assumptions that market participants would use in pricing an asset or liability. FASB ASC Topic 820 establishes a fair value hierarchy for valuation inputs that gives the highest priority to quoted prices in active markets for identical assets or liabilities and the lowest priority to unobservable inputs. The fair value hierarchy is as follows:

Level 1 Inputs – Valuation is based upon quoted prices (unadjusted) in active markets for identical assets or liabilities that Trustmark has the ability to access at the measurement date.

Level 2 Inputs – Valuation is based upon quoted prices in active markets for similar assets or liabilities, quoted prices for identical or similar assets or liabilities in markets that are not active, inputs other than quoted prices that are observable for the asset or liability such as interest rates, yield curves, volatilities and default rates and inputs that are derived principally from or corroborated by observable market data.

Level 3 Inputs – Unobservable inputs reflecting the reporting entity’s own determination about the assumptions that market participants would use in pricing the asset or liability based on the best information available.

In instances where the determination of the fair value measurement is based on inputs from different levels of the fair value hierarchy, the level in the fair value hierarchy within which the fair value measurement in its entirety is classified is based on the lowest level input that is significant to the fair value measurement in its entirety. Trustmark’s assessment of the significance of a particular input to the fair value measurement in its entirety requires judgment and considers factors specific to the asset or liability. Transfers between levels of the fair value hierarchy are recognized on the actual date of the event or circumstances that caused the transfer.
Accounting Policies Recently Adopted

Accounting Policies Recently Adopted

Except for the changes detailed below, Trustmark has consistently applied its accounting policies to all periods presented in the accompanying consolidated financial statements.

ASU 2019-12, “Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes.” Issued in December 2019, ASU 2019-12 seeks to simplify the accounting for income taxes by removing certain exceptions to the general principles in FASB ASC Topic 740. In particular, the amendments of ASU 2019-12 remove the exceptions to (1) the incremental approach for intra-period tax allocation when there is a loss from continuing operations and income or a gain from other items (e.g., discontinued operations or other comprehensive income); (2) the requirement to recognize a deferred tax liability for equity method investments when a foreign subsidiary becomes an equity method investment; (3) the ability not to recognize a deferred tax liability for a foreign subsidiary when a foreign equity method investment becomes a subsidiary; and (4) the general methodology for calculating income taxes in an interim period when a year-to-date loss exceeds the anticipated loss for the year. The amendments of ASU 2019-12 (1) require that an entity recognize a franchise tax (or similar tax), that is partially based on income, in accordance with FASB ASC Topic 740 and account for any incremental amount incurred as a non-income-based tax; (2) require that an entity evaluate when a step up in the tax basis of goodwill should be considered part of the business combination in which the book goodwill was originally recognized and when it should instead be considered a separate transaction; (3) specify that an entity is not required to allocate the consolidated amount of current and deferred tax expense to a legal entity that is not subject to tax in its separate financial statements, but rather may elect to do so for a legal entity that is both not subject to tax and disregarded by the taxing authority; and (4) require that an entity reflect the effect of an enacted change in tax laws or rates in the annual effective tax rate computation in the interim period that includes the enactment date. Trustmark adopted the amendments of ASU 2019-12 effective January 1, 2021. Adoption of ASU 2019-12 did not have a material impact to Trustmark’s consolidated financial statements.

ASU 2018-14, “Compensation-Retirement Benefits-Defined Benefit Plans-General (Subtopic 715-20): Disclosure Framework-Changes to the Disclosure Requirements for Defined Benefit Plans.” Issued in August 2018, ASU 2018-14 modifies the disclosure requirements for employers that sponsor defined benefit pension or other postretirement plans. The amendments in ASU 2018-14 remove certain

disclosure requirements that are no longer considered cost beneficial, clarify the specific requirements of disclosures and add disclosure requirements identified as relevant. Trustmark adopted the amendments of ASU 2018-14 effective January 1, 2021. The revised disclosures required by the amendments of ASU 2018-14 have been included in Note 15 - Defined Benefit and Other Postretirement Benefits of this report. Changes to the disclosures related to the defined benefit plans as a result of adopting ASU 2018-14 did not have a material impact to Trustmark’s consolidated financial statements.

ASU 2020-04, “Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting.” Issued in March 2020, ASU 2020-04 seeks to provided additional guidance, for a limited time, to ease the potential burden in accounting for or recognizing the effects of reference rate reform on financial reporting. The FASB issued ASU 2020-04 is response to concerns about the structural risks of interbank offered rates and, in particular, the risk that the London Interbank Offer Rate (LIBOR) will no longer be used. Regulators have begun reference rate reform initiatives to identify alternative reference rates that are more observable or transaction-based and less susceptible to manipulation. Stakeholders have raised operational challenges likely to arise with the reference rate reform, particularly related to contract modifications and hedge accounting. The amendments of ASU 2020-04, which are elective and apply to all entities, provide expedients and exceptions for applying GAAP to contract modifications and hedging relationships affected by the reference rate reform id certain criteria are met. The amendments apply only to contracts and hedging relationships that reference LIBOR or another reference rate that is expected to be discontinued due to reference rate reform. The optional expedients for contract modifications should be applied consistently for all contracts or transactions within the relevant Codification Topic or Subtopic or Industry Subtopic that contains the related guidance. The optional expedients for hedging relationships can be elected on an individual hedging relationship basis. As the guidance in ASU 2020-04 is intended to assist entity’s during the global market-wide reference rate transition period, it is in effect for a limited time, from March 12, 2020 through December 31, 2022. On January 7, 2021, the FASB issued ASU 2021-01, “Reference Rate Reform (Topic 848): Scope,” to clarify the scope of the reference rate reform guidance in FASB ASC Topic 848. ASU 2021-01 refines the scope of FASB ASC Topic 848 to clarify that certain optional expedients and exceptions therein for contract modifications and hedge accounting apply to contracts that are affected by the discounting transition. Specifically, modifications related to reference rate reform would not be considered an event that requires reassessment of previous accounting conclusions. The amendments in ASU 2021-01 also amend the expedients and exceptions in FASB ASC Topic 848 to capture the incremental consequences of the scope clarification and to tailor the existing guidance to derivative instruments affected by the discounting transition. The amendments of ASU 2021-01 were effective immediately when issued. Entities may choose to apply the amendments of ASU 2021-01 retrospectively as of any date from the beginning of an interim period that includes or is subsequent to March 12, 2020, or prospectively to new modifications from any date within an interim period that includes or is subsequent to January 7, 2021, up to the date that financial statements are available to be issued. If an entity elects to apply any of the amendments in this ASU for an eligible hedging relationship, any adjustments as a result of those elections must be reflected as of the date that the entity applies the election. While the benchmark provider for US$ LIBOR (which was typically the benchmark that Trustmark used) intends to provide the benchmark for some tenors of US$ LIBOR through June 2023, Trustmark has transitioned to SOFR for new variable rate loans, derivative contracts, borrowings and other financial instruments as of January 1, 2022. Management cannot make a determination at this time as to the impact the amendments of ASU 2020-04 and ASU 2021-01 or the reference rate reform will have on its consolidated financial statements. 
v3.22.0.1
Significant Accounting Policies (Tables)
 12 Months Ended
Dec. 31, 2021
Accounting Policies [Abstract]  
Cash Flows Supplementary Disclosures

For purposes of reporting cash flows, cash and cash equivalents include cash on hand and amounts due from banks. The following table reflects specific transaction amounts for the periods presented ($ in thousands):

 

 

 

Years Ended December 31,

 

 

 

2021

 

 

2020

 

 

2019

 

Income taxes paid

 

$

15,259

 

 

$

46,648

 

 

$

24,809

 

Interest paid on deposits and borrowings

 

 

24,429

 

 

 

42,968

 

 

 

83,997

 

Noncash transfers from loans to other real estate

 

 

770

 

 

 

635

 

 

 

8,598

 

Investment in tax credit partnership not funded

 

 

10,647

 

 

 

5,893

 

 

 

5,000

 

Finance right-of-use assets resulting from lease liabilities

 

 

92

 

 

 

—

 

 

 

9,326

 

Operating right-of-use assets resulting from lease liabilities

 

 

9,666

 

 

 

3,774

 

 

 

31,182

 

Transfer of long-term FHLB advances to short-term

 

 

—

 

 

 

651

 

 

 

—

 
Weighted-Average Shares Used to Calculate Basic and Diluted EPS

The following table reflects weighted-average shares used to calculate basic and diluted EPS for the periods presented (in thousands):

 

 

 

Years Ended December 31,

 

 

 

2021

 

 

2020

 

 

2019

 

Basic shares

 

 

62,788

 

 

 

63,505

 

 

 

64,630

 

Dilutive shares

 

 

185

 

 

 

141

 

 

 

142

 

Diluted shares

 

 

62,973

 

 

 

63,646

 

 

 

64,772

 
Weighted-Average Antidilutive Stock Awards Excluded from Determining Diluted EPS

Weighted-average antidilutive stock awards were excluded in determining diluted EPS. The following table reflects weighted-average antidilutive stock awards for the periods presented (in thousands):

 

 

Years Ended December 31,

 

 

 

2021

 

 

2020

 

 

2019

 

Weighted-average antidilutive stock awards

 

 

1

 

 

 

57

 

 

 

—

 
v3.22.0.1
Securities Available for Sale and Held to Maturity (Tables)
 12 Months Ended
Dec. 31, 2021
Investments, Debt and Equity Securities [Abstract]  
Amortized Cost and Estimated Fair Value of Available for Sale and Held to Maturity Securities

The following tables are a summary of the amortized cost and estimated fair value of securities available for sale and held to maturity at December 31, 2021 and 2020 ($ in thousands):

 

 

 

Securities Available for Sale

 

 

Securities Held to Maturity

 

 

 

 

 

 

Gross

 

 

Gross

 

 

Estimated

 

 

 

 

 

Gross

 

 

Gross

 

 

Estimated

 

 

 

Amortized

 

 

Unrealized

 

 

Unrealized

 

 

Fair

 

 

Amortized

 

 

Unrealized

 

 

Unrealized

 

 

Fair

 

December 31, 2021

 

Cost

 

 

Gains

 

 

Losses

 

 

Value

 

 

Cost

 

 

Gains

 

 

Losses

 

 

Value

 

U.S. Treasury securities

 

$

349,562

 

 

$

16

 

 

$

(4,938

)

 

$

344,640

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

U.S. Government agency obligations

 

 

14,044

 

 

 

20

 

 

 

(337

)

 

 

13,727

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Obligations of states and political
   subdivisions

 

 

5,134

 

 

 

580

 

 

 

—

 

 

 

5,714

 

 

 

7,328

 

 

 

64

 

 

 

(3

)

 

 

7,389

 

Mortgage-backed securities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Residential mortgage pass-through
   securities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Guaranteed by GNMA

 

 

38,942

 

 

 

665

 

 

 

(34

)

 

 

39,573

 

 

 

5,005

 

 

 

187

 

 

 

(3

)

 

 

5,189

 

Issued by FNMA and FHLMC

 

 

2,230,498

 

 

 

8,945

 

 

 

(21,014

)

 

 

2,218,429

 

 

 

43,444

 

 

 

962

 

 

 

—

 

 

 

44,406

 

Other residential mortgage-backed
   securities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Issued or guaranteed by FNMA,
   FHLMC or GNMA

 

 

193,908

 

 

 

2,879

 

 

 

(97

)

 

 

196,690

 

 

 

241,934

 

 

 

9,015

 

 

 

(31

)

 

 

250,918

 

Commercial mortgage-backed
   securities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Issued or guaranteed by FNMA,
   FHLMC or GNMA

 

 

424,201

 

 

 

404

 

 

 

(4,501

)

 

 

420,104

 

 

 

44,826

 

 

 

783

 

 

 

—

 

 

 

45,609

 

Total

 

$

3,256,289

 

 

$

13,509

 

 

$

(30,921

)

 

$

3,238,877

 

 

$

342,537

 

 

$

11,011

 

 

$

(37

)

 

$

353,511

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

December 31, 2020

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

U.S. Government agency obligations

 

$

18,378

 

 

$

144

 

 

$

(481

)

 

$

18,041

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

Obligations of states and political
   subdivisions

 

 

5,198

 

 

 

637

 

 

 

—

 

 

 

5,835

 

 

 

26,584

 

 

 

258

 

 

 

(3

)

 

 

26,839

 

Mortgage-backed securities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Residential mortgage pass-through
   securities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Guaranteed by GNMA

 

 

55,193

 

 

 

1,672

 

 

 

(3

)

 

 

56,862

 

 

 

7,598

 

 

 

382

 

 

 

—

 

 

 

7,980

 

Issued by FNMA and FHLMC

 

 

1,421,861

 

 

 

20,768

 

 

 

(1,308

)

 

 

1,441,321

 

 

 

67,944

 

 

 

2,397

 

 

 

—

 

 

 

70,341

 

Other residential mortgage-backed
   securities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Issued or guaranteed by FNMA,
   FHLMC or GNMA

 

 

409,883

 

 

 

9,600

 

 

 

(46

)

 

 

419,437

 

 

 

360,361

 

 

 

19,678

 

 

 

(55

)

 

 

379,984

 

Commercial mortgage-backed
   securities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Issued or guaranteed by FNMA,
   FHLMC or GNMA

 

 

49,260

 

 

 

1,068

 

 

 

(9

)

 

 

50,319

 

 

 

75,585

 

 

 

2,386

 

 

 

—

 

 

 

77,971

 

Total

 

$

1,959,773

 

 

$

33,889

 

 

$

(1,847

)

 

$

1,991,815

 

 

$

538,072

 

 

$

25,101

 

 

$

(58

)

 

$

563,115

 
Securities Held to Maturity by Credit Rating, as Determined by Moody's The following table presents the amortized cost of Trustmark’s securities held to maturity by credit rating, as determined by Moody’s, at December 31, 2021 and 2020 ($ in thousands):

 

 

December 31, 2021

 

 

December 31, 2020

 

Aaa

 

$

335,208

 

 

$

511,488

 

Aa1 to Aa3

 

 

5,007

 

 

 

22,528

 

Not Rated (1)

 

 

2,322

 

 

 

4,056

 

Total

 

$

342,537

 

 

$

538,072

 
(1)
Not rated securities primarily consist of Mississippi municipal general obligations.
Securities with Gross Unrealized Losses, Segregated by Length of Impairment

The table below includes securities with gross unrealized losses for which an ACL has not been recorded and segregated by length of impairment at December 31, 2021 and 2020 ($ in thousands):

 

 

 

Less than 12 Months

 

 

12 Months or More

 

 

Total

 

 

 

 

 

 

Gross

 

 

 

 

 

Gross

 

 

 

 

 

Gross

 

 

 

Estimated

 

 

Unrealized

 

 

Estimated

 

 

Unrealized

 

 

Estimated

 

 

Unrealized

 

December 31, 2021

 

Fair Value

 

 

Losses

 

 

Fair Value

 

 

Losses

 

 

Fair Value

 

 

Losses

 

U.S. Treasury securities

 

$

315,123

 

 

$

(4,938

)

 

$

—

 

 

$

—

 

 

$

315,123

 

 

$

(4,938

)

U.S. Government agency obligations

 

 

1,312

 

 

 

(5

)

 

 

8,619

 

 

 

(332

)

 

 

9,931

 

 

 

(337

)

Obligations of states and political
   subdivisions

 

 

3,006

 

 

 

(1

)

 

 

667

 

 

 

(2

)

 

 

3,673

 

 

 

(3

)

Mortgage-backed securities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Residential mortgage pass-through
   securities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Guaranteed by GNMA

 

 

6,040

 

 

 

(37

)

 

 

—

 

 

 

—

 

 

 

6,040

 

 

 

(37

)

Issued by FNMA and FHLMC

 

 

1,734,921

 

 

 

(19,980

)

 

 

55,303

 

 

 

(1,034

)

 

 

1,790,224

 

 

 

(21,014

)

Other residential mortgage-backed
   securities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Issued or guaranteed by FNMA,
   FHLMC or GNMA

 

 

19,038

 

 

 

(99

)

 

 

2,647

 

 

 

(29

)

 

 

21,685

 

 

 

(128

)

Commercial mortgage-backed
   securities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Issued or guaranteed by FNMA,
   FHLMC or GNMA

 

 

344,025

 

 

 

(4,492

)

 

 

639

 

 

 

(9

)

 

 

344,664

 

 

 

(4,501

)

Total

 

$

2,423,465

 

 

$

(29,552

)

 

$

67,875

 

 

$

(1,406

)

 

$

2,491,340

 

 

$

(30,958

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

December 31, 2020

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

U.S. Government agency obligations

 

$

—

 

 

$

—

 

 

$

11,167

 

 

$

(481

)

 

$

11,167

 

 

$

(481

)

Obligations of states and political
   subdivisions

 

 

—

 

 

 

—

 

 

 

667

 

 

 

(3

)

 

 

667

 

 

 

(3

)

Mortgage-backed securities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Residential mortgage pass-through
   securities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Guaranteed by GNMA

 

 

1,636

 

 

 

(3

)

 

 

—

 

 

 

—

 

 

 

1,636

 

 

 

(3

)

Issued by FNMA and FHLMC

 

 

324,905

 

 

 

(1,308

)

 

 

—

 

 

 

—

 

 

 

324,905

 

 

 

(1,308

)

Other residential mortgage-backed
   securities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Issued or guaranteed by FNMA,
   FHLMC or GNMA

 

 

29,398

 

 

 

(101

)

 

 

—

 

 

 

—

 

 

 

29,398

 

 

 

(101

)

Commercial mortgage-backed
   securities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Issued or guaranteed by FNMA,
   FHLMC or GNMA

 

 

—

 

 

 

—

 

 

 

659

 

 

 

(9

)

 

 

659

 

 

 

(9

)

Total

 

$

355,939

 

 

$

(1,412

)

 

$

12,493

 

 

$

(493

)

 

$

368,432

 

 

$

(1,905

)
Contractual Maturities of Available for Sale and Held to Maturity Securities

The amortized cost and estimated fair value of securities available for sale and held to maturity at December 31, 2021, by contractual maturity, are shown below ($ in thousands). Expected maturities may differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties.

 

 

 

Securities

 

 

Securities

 

 

 

Available for Sale

 

 

Held to Maturity

 

 

 

Amortized

 

 

Estimated

 

 

Amortized

 

 

Estimated

 

 

 

Cost

 

 

Fair Value

 

 

Cost

 

 

Fair Value

 

Due in one year or less

 

$

1,524

 

 

$

1,534

 

 

$

2,809

 

 

$

2,827

 

Due after one year through five years

 

 

243,531

 

 

 

240,494

 

 

 

4,519

 

 

 

4,562

 

Due after five years through ten years

 

 

113,074

 

 

 

111,752

 

 

 

—

 

 

 

—

 

Due after ten years

 

 

10,611

 

 

 

10,301

 

 

 

—

 

 

 

—

 

 

 

 

368,740

 

 

 

364,081

 

 

 

7,328

 

 

 

7,389

 

Mortgage-backed securities

 

 

2,887,549

 

 

 

2,874,796

 

 

 

335,209

 

 

 

346,122

 

Total

 

$

3,256,289

 

 

$

3,238,877

 

 

$

342,537

 

 

$

353,511

 
v3.22.0.1
LHFI and ACL, LHFII (Tables)
 12 Months Ended
Dec. 31, 2021
Accounts, Notes, Loans and Financing Receivable, Gross, Allowance, and Net [Abstract]  
Loan Portfolio Held for Investment

At December 31, 2021 and 2020, LHFI consisted of the following ($ in thousands):

 

 

 

December 31,

 

 

 

2021

 

 

2020

 

Loans secured by real estate:

 

 

 

 

 

 

Construction, land development and other land

 

$

596,968

 

 

$

514,056

 

Other secured by 1-4 family residential properties

 

 

517,683

 

 

 

524,732

 

Secured by nonfarm, nonresidential properties

 

 

2,977,084

 

 

 

2,709,026

 

Other real estate secured

 

 

726,043

 

 

 

1,065,964

 

Other loans secured by real estate:

 

 

 

 

 

 

Other construction

 

 

711,813

 

 

 

794,983

 

Secured by 1-4 family residential properties

 

 

1,460,310

 

 

 

1,216,400

 

Commercial and industrial loans

 

 

1,414,279

 

 

 

1,309,078

 

Consumer loans

 

 

162,555

 

 

 

164,386

 

State and other political subdivision loans

 

 

1,146,251

 

 

 

1,000,776

 

Other commercial loans

 

 

534,843

 

 

 

525,123

 

LHFI

 

 

10,247,829

 

 

 

9,824,524

 

Less ACL

 

 

99,457

 

 

 

117,306

 

Net LHFI

 

$

10,148,372

 

 

$

9,707,218

 
Schedule of Amortized Cost Basis of Loans on Nonaccrual Status

The following tables provide the amortized cost basis of loans on nonaccrual status and loans past due 90 days or more still accruing interest at December 31, 2021 and 2020 ($ in thousands):

 

 

 

December 31, 2021

 

 

 

Nonaccrual With No ACL

 

 

Total Nonaccrual

 

 

Loans Past Due 90 Days or More Still Accruing

 

Loans secured by real estate:

 

 

 

 

 

 

 

 

 

Construction, land development and other land

 

$

4,784

 

 

$

5,878

 

 

$

7

 

Other secured by 1-4 family residential properties

 

 

1,319

 

 

 

3,418

 

 

 

148

 

Secured by nonfarm, nonresidential properties

 

 

10,842

 

 

 

12,508

 

 

 

—

 

Other real estate secured

 

 

56

 

 

 

150

 

 

 

—

 

Other loans secured by real estate:

 

 

 

 

 

 

 

 

 

Other construction

 

 

—

 

 

 

—

 

 

 

—

 

Secured by 1-4 family residential properties

 

 

—

 

 

 

12,775

 

 

 

1,655

 

Commercial and industrial loans

 

 

1,363

 

 

 

19,328

 

 

 

—

 

Consumer loans

 

 

—

 

 

 

117

 

 

 

304

 

State and other political subdivision loans

 

 

—

 

 

 

3,664

 

 

 

—

 

Other commercial loans

 

 

4,405

 

 

 

4,860

 

 

 

—

 

Total

 

$

22,769

 

 

$

62,698

 

 

$

2,114

 

 

 

 

December 31, 2020

 

 

 

Nonaccrual With No ACL

 

 

Total Nonaccrual

 

 

Loans Past Due 90 Days or More Still Accruing

 

Loans secured by real estate:

 

 

 

 

 

 

 

 

 

Construction, land development and other land

 

$

5,756

 

 

$

5,985

 

 

$

—

 

Other secured by 1-4 family residential properties

 

 

1,895

 

 

 

4,487

 

 

 

79

 

Secured by nonfarm, nonresidential properties

 

 

12,037

 

 

 

15,197

 

 

 

—

 

Other real estate secured

 

 

60

 

 

 

185

 

 

 

—

 

Other loans secured by real estate:

 

 

 

 

 

 

 

 

 

Other construction

 

 

—

 

 

 

—

 

 

 

—

 

Secured by 1-4 family residential properties

 

 

—

 

 

 

11,807

 

 

 

1,257

 

Commercial and industrial loans

 

 

12,665

 

 

 

15,618

 

 

 

—

 

Consumer loans

 

 

—

 

 

 

86

 

 

 

240

 

State and other political subdivision loans

 

 

—

 

 

 

3,970

 

 

 

—

 

Other commercial loans

 

 

—

 

 

 

5,793

 

 

 

—

 

Total

 

$

32,413

 

 

$

63,128

 

 

$

1,576

 
Aging Analysis of Past Due and Nonaccrual LHFI by Loan Type

The following tables provide an aging analysis of the amortized cost basis of past due LHFI (including nonaccrual loans) at December 31, 2021 and 2020 ($ in thousands):

 

 

 

December 31, 2021

 

 

 

Past Due

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

90 Days

 

 

Total

 

 

Current

 

 

 

 

 

 

30-59 Days

 

 

60-89 Days

 

 

or More

 

 

Past Due

 

 

Loans

 

 

Total LHFI

 

Loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Construction, land development and other land

 

$

323

 

 

$

11

 

 

$

5,241

 

 

$

5,575

 

 

$

591,393

 

 

$

596,968

 

Other secured by 1-4 family residential properties

 

 

1,811

 

 

 

368

 

 

 

567

 

 

 

2,746

 

 

 

514,937

 

 

 

517,683

 

Secured by nonfarm, nonresidential properties

 

 

845

 

 

 

—

 

 

 

1,442

 

 

 

2,287

 

 

 

2,974,797

 

 

 

2,977,084

 

Other real estate secured

 

 

—

 

 

 

—

 

 

 

142

 

 

 

142

 

 

 

725,901

 

 

 

726,043

 

Other loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other construction

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

711,813

 

 

 

711,813

 

Secured by 1-4 family residential properties

 

 

2,799

 

 

 

531

 

 

 

6,720

 

 

 

10,050

 

 

 

1,450,260

 

 

 

1,460,310

 

Commercial and industrial loans

 

 

607

 

 

 

41

 

 

 

1,107

 

 

 

1,755

 

 

 

1,412,524

 

 

 

1,414,279

 

Consumer loans

 

 

1,673

 

 

 

182

 

 

 

305

 

 

 

2,160

 

 

 

160,395

 

 

 

162,555

 

State and other political subdivision loans

 

 

32

 

 

 

—

 

 

 

177

 

 

 

209

 

 

 

1,146,042

 

 

 

1,146,251

 

Other commercial loans

 

 

220

 

 

 

32

 

 

 

118

 

 

 

370

 

 

 

534,473

 

 

 

534,843

 

Total

 

$

8,310

 

 

$

1,165

 

 

$

15,819

 

 

$

25,294

 

 

$

10,222,535

 

 

$

10,247,829

 

 

 

 

 

December 31, 2020

 

 

 

Past Due

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

90 Days

 

 

Total

 

 

Current

 

 

 

 

 

 

30-59 Days

 

 

60-89 Days

 

 

or More

 

 

Past Due

 

 

Loans

 

 

Total LHFI

 

Loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Construction, land development and other land

 

$

339

 

 

$

34

 

 

$

161

 

 

$

534

 

 

$

513,522

 

 

$

514,056

 

Other secured by 1-4 family residential properties

 

 

1,505

 

 

 

523

 

 

 

896

 

 

 

2,924

 

 

 

521,808

 

 

 

524,732

 

Secured by nonfarm, nonresidential properties

 

 

920

 

 

 

—

 

 

 

972

 

 

 

1,892

 

 

 

2,707,134

 

 

 

2,709,026

 

Other real estate secured

 

 

103

 

 

 

101

 

 

 

107

 

 

 

311

 

 

 

1,065,653

 

 

 

1,065,964

 

Other loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other construction

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

794,983

 

 

 

794,983

 

Secured by 1-4 family residential properties

 

 

3,291

 

 

 

1,289

 

 

 

5,110

 

 

 

9,690

 

 

 

1,206,710

 

 

 

1,216,400

 

Commercial and industrial loans

 

 

271

 

 

 

196

 

 

 

1,543

 

 

 

2,010

 

 

 

1,307,068

 

 

 

1,309,078

 

Consumer loans

 

 

926

 

 

 

190

 

 

 

240

 

 

 

1,356

 

 

 

163,030

 

 

 

164,386

 

State and other political subdivision loans

 

 

117

 

 

 

—

 

 

 

177

 

 

 

294

 

 

 

1,000,482

 

 

 

1,000,776

 

Other commercial loans

 

 

2,143

 

 

 

2,971

 

 

 

346

 

 

 

5,460

 

 

 

519,663

 

 

 

525,123

 

Total

 

$

9,615

 

 

$

5,304

 

 

$

9,552

 

 

$

24,471

 

 

$

9,800,053

 

 

$

9,824,524

 
Impact of Modifications Classified as Troubled Debt Restructurings

The following tables illustrate the impact of modifications classified as TDRs for the periods presented ($ in thousands):

 

 

 

Year Ended December 31, 2021

 

 

 

Number of
Contracts

 

 

Pre-Modification
Outstanding
Recorded
Investment

 

 

Post-Modification
Outstanding
Recorded
Investment

 

Loans secured by real estate:

 

 

 

 

 

 

 

 

 

Construction, land development and other land

 

 

5

 

 

$

5,582

 

 

$

5,582

 

Other secured by 1-4 family residential properties

 

 

3

 

 

 

37

 

 

 

37

 

Secured by nonfarm, nonresidential properties

 

 

5

 

 

 

5,789

 

 

 

5,265

 

Other loans secured by real estate:

 

 

 

 

 

 

 

 

 

Secured by 1-4 family residential properties

 

 

8

 

 

 

909

 

 

 

906

 

Commercial and industrial loans

 

 

2

 

 

 

1,014

 

 

 

1,014

 

Consumer loans

 

 

1

 

 

 

6

 

 

 

6

 

Total

 

 

24

 

 

$

13,337

 

 

$

12,810

 

 

 

 

Year Ended December 31, 2020

 

 

 

Number of
Contracts

 

 

Pre-Modification
Outstanding
Recorded
Investment

 

 

Post-Modification
Outstanding
Recorded
Investment

 

Loans secured by real estate:

 

 

 

 

 

 

 

 

 

Other secured by 1-4 family residential properties

 

 

13

 

 

$

923

 

 

$

929

 

Secured by nonfarm, nonresidential properties

 

 

2

 

 

 

1,111

 

 

 

1,111

 

Commercial and industrial loans

 

 

4

 

 

 

1,665

 

 

 

1,664

 

Consumer loans

 

 

6

 

 

 

26

 

 

 

26

 

State and other political subdivision loans

 

 

2

 

 

 

3,902

 

 

 

3,872

 

Total

 

 

27

 

 

$

7,627

 

 

$

7,602

 

 

 

 

Year Ended December 31, 2019

 

 

 

Number of
Contracts

 

 

Pre-Modification
Outstanding
Recorded
Investment

 

 

Post-Modification
Outstanding
Recorded
Investment

 

Loans secured by real estate:

 

 

 

 

 

 

 

 

 

Secured by 1-4 family residential properties

 

 

19

 

 

$

1,742

 

 

$

1,738

 

Secured by nonfarm, nonresidential properties

 

 

1

 

 

 

5,055

 

 

 

5,055

 

Commercial and industrial loans

 

 

8

 

 

 

9,167

 

 

 

9,054

 

Consumer loans

 

 

2

 

 

 

30

 

 

 

30

 

Total

 

 

30

 

 

$

15,994

 

 

$

15,877

 
Troubled Debt Restructuring Subsequently Defaulted

The table below includes the balances at default for TDRs modified within the last 12 months for which there was a payment default during the periods presented ($ in thousands):

 

 

 

Years Ended December 31,

 

 

 

2021

 

 

2020

 

 

2019

 

 

 

Number of
Contracts

 

 

Recorded
Investment

 

 

Number of
Contracts

 

 

Recorded
Investment

 

 

Number of
Contracts

 

 

Recorded
Investment

 

Loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Construction, land development and other
   land loans

 

 

5

 

 

$

5,582

 

 

 

—

 

 

$

—

 

 

 

—

 

 

$

—

 

Other secured by 1-4 family residential
   properties

 

 

1

 

 

 

16

 

 

 

2

 

 

 

78

 

 

 

3

 

 

 

446

 

Secured by nonfarm, nonresidential
   properties

 

 

—

 

 

 

—

 

 

 

1

 

 

 

139

 

 

 

—

 

 

 

—

 

Other loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Secured by 1-4 family residential properties

 

 

1

 

 

 

78

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Commercial and industrial loans

 

 

—

 

 

 

—

 

 

 

1

 

 

 

82

 

 

 

7

 

 

 

192

 

Consumer loans

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

1

 

 

 

27

 

Total

 

 

7

 

 

$

5,676

 

 

 

4

 

 

$

299

 

 

 

11

 

 

$

665

 
Troubled Debt Restructuring Related to Loans Held for Investment by Loan Type

The following tables detail LHFI classified as TDRs by loan class at December 31, 2021, 2020 and 2019 ($ in thousands):

 

 

 

December 31, 2021

 

 

 

Accruing

 

 

Nonaccrual

 

 

Total

 

Loans secured by real estate:

 

 

 

 

 

 

 

 

 

Construction, land development and other land

 

$

—

 

 

$

4,640

 

 

$

4,640

 

Other secured by 1-4 family residential properties

 

 

—

 

 

 

965

 

 

 

965

 

Secured by nonfarm, nonresidential properties

 

 

394

 

 

 

7,325

 

 

 

7,719

 

Other loans secured by real estate:

 

 

 

 

 

 

 

 

 

Secured by 1-4 family residential properties

 

 

50

 

 

 

2,484

 

 

 

2,534

 

Commercial and industrial loans

 

 

2,000

 

 

 

215

 

 

 

2,215

 

Consumer loans

 

 

7

 

 

 

9

 

 

 

16

 

State and other political subdivision loans

 

 

—

 

 

 

3,486

 

 

 

3,486

 

Other commercial loans

 

 

—

 

 

 

36

 

 

 

36

 

Total TDRs

 

$

2,451

 

 

$

19,160

 

 

$

21,611

 

 

 

 

December 31, 2020

 

 

 

Accruing

 

 

Nonaccrual

 

 

Total

 

Loans secured by real estate:

 

 

 

 

 

 

 

 

 

Construction, land development and other land

 

$

—

 

 

$

12

 

 

$

12

 

Other secured by 1-4 family residential properties

 

 

—

 

 

 

3,699

 

 

 

3,699

 

Secured by nonfarm, nonresidential properties

 

 

—

 

 

 

3,903

 

 

 

3,903

 

Commercial and industrial loans

 

 

1,500

 

 

 

12,749

 

 

 

14,249

 

Consumer loans

 

 

6

 

 

 

17

 

 

 

23

 

State and other political subdivision loans

 

 

—

 

 

 

3,793

 

 

 

3,793

 

Other commercial loans

 

 

—

 

 

 

81

 

 

 

81

 

Total TDRs

 

$

1,506

 

 

$

24,254

 

 

$

25,760

 

 

 

 

December 31, 2019

 

 

 

Accruing

 

 

Nonaccrual

 

 

Total

 

Loans secured by real estate:

 

 

 

 

 

 

 

 

 

Construction, land development and other land

 

$

—

 

 

$

15

 

 

$

15

 

Secured by 1-4 family residential properties

 

 

77

 

 

 

3,865

 

 

 

3,942

 

Secured by nonfarm, nonresidential properties

 

 

—

 

 

 

5,176

 

 

 

5,176

 

Commercial and industrial loans

 

 

3,319

 

 

 

18,913

 

 

 

22,232

 

Consumer loans

 

 

—

 

 

 

21

 

 

 

21

 

Other loans

 

 

—

 

 

 

137

 

 

 

137

 

Total TDRs

 

$

3,396

 

 

$

28,127

 

 

$

31,523

 
Schedule of Amortized Cost Basis of Collateral-Dependent Loans The following tables present the amortized cost basis of collateral-dependent loans by class of loans and collateral type at December 31, 2021 and 2020 ($ in thousands):

 

 

 

December 31, 2021

 

 

 

Real Estate

 

 

Equipment and
 Machinery

 

 

Inventory and Receivables

 

 

Vehicles

 

 

Miscellaneous

 

 

Total

 

Loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Construction, land development and
   other land

 

$

5,198

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

5,198

 

Secured by nonfarm, nonresidential
   properties

 

 

11,072

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

11,072

 

Other real estate secured

 

 

56

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

56

 

Other loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Secured by 1-4 family residential
   properties

 

 

1,319

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

1,319

 

Commercial and industrial loans

 

 

42

 

 

 

349

 

 

 

1,253

 

 

 

370

 

 

 

16,430

 

 

 

18,444

 

State and other political subdivision loans

 

 

3,664

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

3,664

 

Other commercial loans

 

 

4,572

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

36

 

 

 

4,608

 

Total

 

$

25,923

 

 

$

349

 

 

$

1,253

 

 

$

370

 

 

$

16,466

 

 

$

44,361

 

 

 

 

December 31, 2020

 

 

 

Real Estate

 

 

Equipment and
 Machinery

 

 

Inventory and Receivables

 

 

Vehicles

 

 

Miscellaneous

 

 

Total

 

Loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Construction, land development and
   other land

 

$

5,756

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

5,756

 

Other secured by 1-4 family
   residential properties

 

 

454

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

454

 

Secured by nonfarm, nonresidential
   properties

 

 

12,037

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

12,037

 

Other real estate secured

 

 

60

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

60

 

Other loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Secured by 1-4 family residential
   properties

 

 

1,441

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

1,441

 

Commercial and industrial loans

 

 

86

 

 

 

425

 

 

 

4,899

 

 

 

135

 

 

 

8,531

 

 

 

14,076

 

State and other political subdivision loans

 

 

3,970

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

3,970

 

Other commercial loans

 

 

606

 

 

 

—

 

 

 

1,958

 

 

 

—

 

 

 

3,051

 

 

 

5,615

 

Total

 

$

24,410

 

 

$

425

 

 

$

6,857

 

 

$

135

 

 

$

11,582

 

 

$

43,409

 
Carrying Amount of Loans by Credit Quality Indicator

The tables below present the amortized cost basis of loans by credit quality indicator and class of loans based on analyses performed at December 31, 2021 and 2020 ($ in thousands):

 

 

 

Term Loans by Origination Year

 

 

 

 

 

 

 

 

 

2021

 

 

2020

 

 

2019

 

 

2018

 

 

2017

 

 

Prior

 

 

Revolving Loans

 

 

Total

 

As of December 31, 2021

 

Commercial LHFI

 

Loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Construction, land development
   and other land:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass - RR 1 through RR 6

 

$

376,438

 

 

$

76,176

 

 

$

21,366

 

 

$

2,189

 

 

$

1,367

 

 

$

2,890

 

 

$

26,505

 

 

$

506,931

 

Special Mention - RR 7

 

 

71

 

 

 

6,382

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

6,453

 

Substandard - RR 8

 

 

2,243

 

 

 

—

 

 

 

3,435

 

 

 

30

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

5,708

 

Doubtful - RR 9

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

42

 

 

 

—

 

 

 

42

 

Total

 

 

378,752

 

 

 

82,558

 

 

 

24,801

 

 

 

2,219

 

 

 

1,367

 

 

 

2,932

 

 

 

26,505

 

 

 

519,134

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other secured by 1-4 family residential
   properties:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass - RR 1 through RR 6

 

$

44,208

 

 

$

23,269

 

 

$

13,194

 

 

$

9,722

 

 

$

5,737

 

 

$

3,076

 

 

$

8,771

 

 

$

107,977

 

Special Mention - RR 7

 

 

111

 

 

 

143

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

254

 

Substandard - RR 8

 

 

721

 

 

 

150

 

 

 

6

 

 

 

166

 

 

 

46

 

 

 

627

 

 

 

—

 

 

 

1,716

 

Doubtful - RR 9

 

 

22

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

22

 

Total

 

 

45,062

 

 

 

23,562

 

 

 

13,200

 

 

 

9,888

 

 

 

5,783

 

 

 

3,703

 

 

 

8,771

 

 

 

109,969

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Secured by nonfarm, nonresidential
   properties:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass - RR 1 through RR 6

 

$

750,869

 

 

$

604,026

 

 

$

610,446

 

 

$

350,603

 

 

$

183,115

 

 

$

279,529

 

 

$

113,808

 

 

$

2,892,396

 

Special Mention - RR 7

 

 

1,510

 

 

 

9,584

 

 

 

412

 

 

 

—

 

 

 

1,562

 

 

 

4,522

 

 

 

—

 

 

 

17,590

 

Substandard - RR 8

 

 

11,017

 

 

 

2,357

 

 

 

13,609

 

 

 

3,591

 

 

 

5,988

 

 

 

29,309

 

 

 

1,025

 

 

 

66,896

 

Doubtful - RR 9

 

 

43

 

 

 

—

 

 

 

105

 

 

 

—

 

 

 

—

 

 

 

21

 

 

 

—

 

 

 

169

 

Total

 

 

763,439

 

 

 

615,967

 

 

 

624,572

 

 

 

354,194

 

 

 

190,665

 

 

 

313,381

 

 

 

114,833

 

 

 

2,977,051

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other real estate secured:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass - RR 1 through RR 6

 

$

256,273

 

 

$

105,687

 

 

$

220,487

 

 

$

64,268

 

 

$

6,816

 

 

$

56,196

 

 

$

13,350

 

 

$

723,077

 

Special Mention - RR 7

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

773

 

 

 

—

 

 

 

773

 

Substandard - RR 8

 

 

1,684

 

 

 

65

 

 

 

—

 

 

 

8

 

 

 

—

 

 

 

101

 

 

 

—

 

 

 

1,858

 

Doubtful - RR 9

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total

 

 

257,957

 

 

 

105,752

 

 

 

220,487

 

 

 

64,276

 

 

 

6,816

 

 

 

57,070

 

 

 

13,350

 

 

 

725,708

 

 

 

 

 

Term Loans by Origination Year

 

 

 

 

 

 

 

 

 

2021

 

 

2020

 

 

2019

 

 

2018

 

 

2017

 

 

Prior

 

 

Revolving Loans

 

 

Total

 

As of December 31, 2021

 

Commercial LHFI

 

Other loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other construction

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass - RR 1 through RR 6

 

$

273,747

 

 

$

393,580

 

 

$

25,142

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

17,909

 

 

$

710,378

 

Special Mention - RR 7

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Substandard - RR 8

 

 

1,435

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

1,435

 

Doubtful - RR 9

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total

 

 

275,182

 

 

 

393,580

 

 

 

25,142

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

17,909

 

 

 

711,813

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial and industrial loans:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass - RR 1 through RR 6

 

$

503,073

 

 

$

249,171

 

 

$

74,239

 

 

$

33,403

 

 

$

50,016

 

 

$

35,883

 

 

$

400,423

 

 

$

1,346,208

 

Special Mention - RR 7

 

 

643

 

 

 

365

 

 

 

147

 

 

 

550

 

 

 

48

 

 

 

—

 

 

 

99

 

 

 

1,852

 

Substandard - RR 8

 

 

14,530

 

 

 

1,338

 

 

 

1,221

 

 

 

1,119

 

 

 

9,237

 

 

 

386

 

 

 

38,182

 

 

 

66,013

 

Doubtful - RR 9

 

 

20

 

 

 

46

 

 

 

29

 

 

 

107

 

 

 

—

 

 

 

4

 

 

 

—

 

 

 

206

 

Total

 

 

518,266

 

 

 

250,920

 

 

 

75,636

 

 

 

35,179

 

 

 

59,301

 

 

 

36,273

 

 

 

438,704

 

 

 

1,414,279

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

State and other political subdivision loans:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass - RR 1 through RR 6

 

$

381,317

 

 

$

148,156

 

 

$

56,987

 

 

$

30,558

 

 

$

95,491

 

 

$

418,319

 

 

$

8,409

 

 

$

1,139,237

 

Special Mention - RR 7

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

3,350

 

 

 

—

 

 

 

3,350

 

Substandard - RR 8

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

3,664

 

 

 

—

 

 

 

3,664

 

Doubtful - RR 9

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total

 

 

381,317

 

 

 

148,156

 

 

 

56,987

 

 

 

30,558

 

 

 

95,491

 

 

 

425,333

 

 

 

8,409

 

 

 

1,146,251

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other commercial loans:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass - RR 1 through RR 6

 

$

103,504

 

 

$

38,661

 

 

$

64,871

 

 

$

8,643

 

 

$

7,924

 

 

$

41,112

 

 

$

232,476

 

 

$

497,191

 

Special Mention - RR 7

 

 

4,059

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

9,013

 

 

 

13,072

 

Substandard - RR 8

 

 

4,532

 

 

 

6,681

 

 

 

82

 

 

 

212

 

 

 

—

 

 

 

—

 

 

 

13,000

 

 

 

24,507

 

Doubtful - RR 9

 

 

—

 

 

 

50

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

23

 

 

 

—

 

 

 

73

 

Total

 

 

112,095

 

 

 

45,392

 

 

 

64,953

 

 

 

8,855

 

 

 

7,924

 

 

 

41,135

 

 

 

254,489

 

 

 

534,843

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total commercial LHFI

 

$

2,732,070

 

 

$

1,665,887

 

 

$

1,105,778

 

 

$

505,169

 

 

$

367,347

 

 

$

879,827

 

 

$

882,970

 

 

$

8,139,048

 

 

 

 

Term Loans by Origination Year

 

 

 

 

 

 

 

 

 

2021

 

 

2020

 

 

2019

 

 

2018

 

 

2017

 

 

Prior

 

 

Revolving Loans

 

 

Total

 

As of December 31, 2021

 

Consumer LHFI

 

Loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Construction, land development and
   other land:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current

 

$

51,849

 

 

$

16,204

 

 

$

3,024

 

 

$

3,059

 

 

$

797

 

 

$

2,404

 

 

$

—

 

 

$

77,337

 

Past due 30-89 days

 

 

—

 

 

 

265

 

 

 

49

 

 

 

5

 

 

 

—

 

 

 

14

 

 

 

—

 

 

 

333

 

Past due 90 days or more

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

7

 

 

 

—

 

 

 

7

 

Nonaccrual

 

 

64

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

93

 

 

 

—

 

 

 

157

 

Total

 

 

51,913

 

 

 

16,469

 

 

 

3,073

 

 

 

3,064

 

 

 

797

 

 

 

2,518

 

 

 

—

 

 

 

77,834

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other secured by 1-4 family residential
   properties:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current

 

$

21,166

 

 

$

11,098

 

 

$

6,119

 

 

$

5,903

 

 

$

3,291

 

 

$

7,853

 

 

$

347,743

 

 

$

403,173

 

Past due 30-89 days

 

 

5

 

 

 

34

 

 

 

87

 

 

 

114

 

 

 

—

 

 

 

145

 

 

 

1,214

 

 

 

1,599

 

Past due 90 days or more

 

 

—

 

 

 

4

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

13

 

 

 

91

 

 

 

108

 

Nonaccrual

 

 

26

 

 

 

70

 

 

 

29

 

 

 

9

 

 

 

341

 

 

 

274

 

 

 

2,085

 

 

 

2,834

 

Total

 

 

21,197

 

 

 

11,206

 

 

 

6,235

 

 

 

6,026

 

 

 

3,632

 

 

 

8,285

 

 

 

351,133

 

 

 

407,714

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Secured by nonfarm, nonresidential
   properties:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current

 

$

31

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

2

 

 

$

—

 

 

$

—

 

 

$

33

 

Past due 30-89 days

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Past due 90 days or more

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Nonaccrual

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total

 

 

31

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

2

 

 

 

—

 

 

 

—

 

 

 

33

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other real estate secured:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current

 

$

—

 

 

$

97

 

 

$

—

 

 

$

8

 

 

$

60

 

 

$

170

 

 

$

—

 

 

$

335

 

Past due 30-89 days

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Past due 90 days or more

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Nonaccrual

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total

 

 

—

 

 

 

97

 

 

 

—

 

 

 

8

 

 

 

60

 

 

 

170

 

 

 

—

 

 

 

335

 

 

 

 

Term Loans by Origination Year

 

 

 

 

 

 

 

 

 

2021

 

 

2020

 

 

2019

 

 

2018

 

 

2017

 

 

Prior

 

 

Revolving Loans

 

 

Total

 

As of December 31, 2021

 

Consumer LHFI

 

Other loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Secured by 1-4 family residential properties

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current

 

$

622,330

 

 

$

233,951

 

 

$

137,500

 

 

$

107,345

 

 

$

56,374

 

 

$

285,919

 

 

$

—

 

 

$

1,443,419

 

Past due 30-89 days

 

 

542

 

 

 

494

 

 

 

333

 

 

 

10

 

 

 

369

 

 

 

714

 

 

 

—

 

 

 

2,462

 

Past due 90 days or more

 

 

199

 

 

 

501

 

 

 

165

 

 

 

122

 

 

 

218

 

 

 

450

 

 

 

—

 

 

 

1,655

 

Nonaccrual

 

 

272

 

 

 

1,875

 

 

 

1,419

 

 

 

2,105

 

 

 

916

 

 

 

6,187

 

 

 

—

 

 

 

12,774

 

Total

 

 

623,343

 

 

 

236,821

 

 

 

139,417

 

 

 

109,582

 

 

 

57,877

 

 

 

293,270

 

 

 

—

 

 

 

1,460,310

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Consumer loans:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current

 

$

65,366

 

 

$

25,512

 

 

$

8,498

 

 

$

4,734

 

 

$

1,289

 

 

$

378

 

 

$

54,518

 

 

$

160,295

 

Past due 30-89 days

 

 

989

 

 

 

223

 

 

 

123

 

 

 

22

 

 

 

10

 

 

 

5

 

 

 

468

 

 

 

1,840

 

Past due 90 days or more

 

 

26

 

 

 

23

 

 

 

6

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

248

 

 

 

303

 

Nonaccrual

 

 

71

 

 

 

17

 

 

 

2

 

 

 

13

 

 

 

8

 

 

 

—

 

 

 

6

 

 

 

117

 

Total

 

 

66,452

 

 

 

25,775

 

 

 

8,629

 

 

 

4,769

 

 

 

1,307

 

 

 

383

 

 

 

55,240

 

 

 

162,555

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total consumer LHFI

 

$

762,936

 

 

$

290,368

 

 

$

157,354

 

 

$

123,449

 

 

$

63,675

 

 

$

304,626

 

 

$

406,373

 

 

$

2,108,781

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total LHFI

 

$

3,495,006

 

 

$

1,956,255

 

 

$

1,263,132

 

 

$

628,618

 

 

$

431,022

 

 

$

1,184,453

 

 

$

1,289,343

 

 

$

10,247,829

 

 

 

 

Term Loans by Origination Year

 

 

 

 

 

 

 

 

 

2020

 

 

2019

 

 

2018

 

 

2017

 

 

2016

 

 

Prior

 

 

Revolving Loans

 

 

Total

 

As of December 31, 2020

 

Commercial LHFI

 

Loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Construction, land development
   and other land:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass - RR 1 through RR 6

 

$

287,218

 

 

$

62,078

 

 

$

26,401

 

 

$

4,487

 

 

$

3,274

 

 

$

3,564

 

 

$

28,548

 

 

$

415,570

 

Special Mention - RR 7

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Substandard - RR 8

 

 

5,419

 

 

 

4,363

 

 

 

1,226

 

 

 

12

 

 

 

494

 

 

 

22

 

 

 

101

 

 

 

11,637

 

Doubtful - RR 9

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

42

 

 

 

—

 

 

 

42

 

Total

 

 

292,637

 

 

 

66,441

 

 

 

27,627

 

 

 

4,499

 

 

 

3,768

 

 

 

3,628

 

 

 

28,649

 

 

 

427,249

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other secured by 1-4 family residential
   properties:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass - RR 1 through RR 6

 

$

35,139

 

 

$

19,596

 

 

$

15,399

 

 

$

9,605

 

 

$

10,273

 

 

$

4,786

 

 

$

8,486

 

 

$

103,284

 

Special Mention - RR 7

 

 

255

 

 

 

—

 

 

 

50

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

305

 

Substandard - RR 8

 

 

1,155

 

 

 

8

 

 

 

914

 

 

 

341

 

 

 

302

 

 

 

337

 

 

 

3,950

 

 

 

7,007

 

Doubtful - RR 9

 

 

29

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

29

 

Total

 

 

36,578

 

 

 

19,604

 

 

 

16,363

 

 

 

9,946

 

 

 

10,575

 

 

 

5,123

 

 

 

12,436

 

 

 

110,625

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Secured by nonfarm, nonresidential
   properties:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass - RR 1 through RR 6

 

$

697,439

 

 

$

496,476

 

 

$

442,264

 

 

$

293,072

 

 

$

254,747

 

 

$

251,219

 

 

$

96,098

 

 

$

2,531,315

 

Special Mention - RR 7

 

 

13,452

 

 

 

6,139

 

 

 

2,956

 

 

 

4,466

 

 

 

4,957

 

 

 

20,545

 

 

 

—

 

 

 

52,515

 

Substandard - RR 8

 

 

19,119

 

 

 

20,572

 

 

 

4,516

 

 

 

12,956

 

 

 

38,956

 

 

 

25,438

 

 

 

2,779

 

 

 

124,336

 

Doubtful - RR 9

 

 

52

 

 

 

163

 

 

 

—

 

 

 

—

 

 

 

217

 

 

 

306

 

 

 

—

 

 

 

738

 

Total

 

 

730,062

 

 

 

523,350

 

 

 

449,736

 

 

 

310,494

 

 

 

298,877

 

 

 

297,508

 

 

 

98,877

 

 

 

2,708,904

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other real estate secured:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass - RR 1 through RR 6

 

$

146,803

 

 

$

376,765

 

 

$

347,472

 

 

$

48,626

 

 

$

89,824

 

 

$

23,680

 

 

$

12,116

 

 

$

1,045,286

 

Special Mention - RR 7

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

841

 

 

 

—

 

 

 

841

 

Substandard - RR 8

 

 

18,649

 

 

 

14

 

 

 

18

 

 

 

—

 

 

 

556

 

 

 

122

 

 

 

—

 

 

 

19,359

 

Doubtful - RR 9

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total

 

 

165,452

 

 

 

376,779

 

 

 

347,490

 

 

 

48,626

 

 

 

90,380

 

 

 

24,643

 

 

 

12,116

 

 

 

1,065,486

 

 

 

 

Term Loans by Origination Year

 

 

 

 

 

 

 

 

 

2020

 

 

2019

 

 

2018

 

 

2017

 

 

2016

 

 

Prior

 

 

Revolving Loans

 

 

Total

 

As of December 31, 2020

 

Commercial LHFI

 

Other loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other construction

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass - RR 1 through RR 6

 

$

262,544

 

 

$

425,936

 

 

$

81,476

 

 

$

14,074

 

 

$

2,464

 

 

$

—

 

 

$

7,735

 

 

$

794,229

 

Special Mention - RR 7

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Substandard - RR 8

 

 

754

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

754

 

Doubtful - RR 9

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total

 

 

263,298

 

 

 

425,936

 

 

 

81,476

 

 

 

14,074

 

 

 

2,464

 

 

 

—

 

 

 

7,735

 

 

 

794,983

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial and industrial loans:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass - RR 1 through RR 6

 

$

444,304

 

 

$

165,163

 

 

$

77,611

 

 

$

77,985

 

 

$

59,131

 

 

$

43,214

 

 

$

372,486

 

 

$

1,239,894

 

Special Mention - RR 7

 

 

677

 

 

 

45

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

240

 

 

 

962

 

Substandard - RR 8

 

 

12,090

 

 

 

1,814

 

 

 

9,737

 

 

 

3,735

 

 

 

2,160

 

 

 

5,024

 

 

 

33,380

 

 

 

67,940

 

Doubtful - RR 9

 

 

151

 

 

 

95

 

 

 

—

 

 

 

—

 

 

 

32

 

 

 

4

 

 

 

—

 

 

 

282

 

Total

 

 

457,222

 

 

 

167,117

 

 

 

87,348

 

 

 

81,720

 

 

 

61,323

 

 

 

48,242

 

 

 

406,106

 

 

 

1,309,078

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

State and other political subdivision loans:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass - RR 1 through RR 6

 

$

250,363

 

 

$

79,595

 

 

$

41,334

 

 

$

113,817

 

 

$

132,634

 

 

$

372,831

 

 

$

1,446

 

 

$

992,020

 

Special Mention - RR 7

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

4,018

 

 

 

—

 

 

 

4,018

 

Substandard - RR 8

 

 

—

 

 

 

—

 

 

 

—

 

 

 

247

 

 

 

—

 

 

 

4,491

 

 

 

—

 

 

 

4,738

 

Doubtful - RR 9

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total

 

 

250,363

 

 

 

79,595

 

 

 

41,334

 

 

 

114,064

 

 

 

132,634

 

 

 

381,340

 

 

 

1,446

 

 

 

1,000,776

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other commercial loans:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass - RR 1 through RR 6

 

$

101,230

 

 

$

70,990

 

 

$

20,769

 

 

$

9,723

 

 

$

33,481

 

 

$

30,715

 

 

$

225,533

 

 

$

492,441

 

Special Mention - RR 7

 

 

7,500

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

11,333

 

 

 

18,833

 

Substandard - RR 8

 

 

381

 

 

 

2,099

 

 

 

683

 

 

 

6

 

 

 

707

 

 

 

—

 

 

 

9,948

 

 

 

13,824

 

Doubtful - RR 9

 

 

2

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

23

 

 

 

—

 

 

 

25

 

Total

 

 

109,113

 

 

 

73,089

 

 

 

21,452

 

 

 

9,729

 

 

 

34,188

 

 

 

30,738

 

 

 

246,814

 

 

 

525,123

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total commercial LHFI

 

$

2,304,725

 

 

$

1,731,911

 

 

$

1,072,826

 

 

$

593,152

 

 

$

634,209

 

 

$

791,222

 

 

$

814,179

 

 

$

7,942,224

 

 

 

 

Term Loans by Origination Year

 

 

 

 

 

 

 

 

 

2020

 

 

2019

 

 

2018

 

 

2017

 

 

2016

 

 

Prior

 

 

Revolving Loans

 

 

Total

 

As of December 31, 2020

 

Consumer LHFI

 

Loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Construction, land development and
   other land:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current

 

$

47,336

 

 

$

24,174

 

 

$

8,496

 

 

$

2,036

 

 

$

1,447

 

 

$

2,868

 

 

$

—

 

 

$

86,357

 

Past due 30-89 days

 

 

—

 

 

 

318

 

 

 

20

 

 

 

—

 

 

 

1

 

 

 

12

 

 

 

—

 

 

 

351

 

Past due 90 days or more

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Nonaccrual

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

99

 

 

 

—

 

 

 

99

 

Total

 

 

47,336

 

 

 

24,492

 

 

 

8,516

 

 

 

2,036

 

 

 

1,448

 

 

 

2,979

 

 

 

—

 

 

 

86,807

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other secured by 1-4 family residential
   properties:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current

 

$

20,864

 

 

$

10,253

 

 

$

12,037

 

 

$

4,177

 

 

$

2,082

 

 

$

11,124

 

 

$

348,830

 

 

$

409,367

 

Past due 30-89 days

 

 

93

 

 

 

12

 

 

 

—

 

 

 

13

 

 

 

—

 

 

 

133

 

 

 

1,058

 

 

 

1,309

 

Past due 90 days or more

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

30

 

 

 

22

 

 

 

52

 

Nonaccrual

 

 

6

 

 

 

44

 

 

 

121

 

 

 

428

 

 

 

—

 

 

 

382

 

 

 

2,398

 

 

 

3,379

 

Total

 

 

20,963

 

 

 

10,309

 

 

 

12,158

 

 

 

4,618

 

 

 

2,082

 

 

 

11,669

 

 

 

352,308

 

 

 

414,107

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Secured by nonfarm, nonresidential
   properties:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current

 

$

109

 

 

$

—

 

 

$

—

 

 

$

4

 

 

$

—

 

 

$

9

 

 

$

—

 

 

$

122

 

Past due 30-89 days

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Past due 90 days or more

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Nonaccrual

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total

 

 

109

 

 

 

—

 

 

 

—

 

 

 

4

 

 

 

—

 

 

 

9

 

 

 

—

 

 

 

122

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other real estate secured:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current

 

$

107

 

 

$

—

 

 

$

38

 

 

$

37

 

 

$

96

 

 

$

200

 

 

$

—

 

 

$

478

 

Past due 30-89 days

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Past due 90 days or more

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Nonaccrual

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total

 

 

107

 

 

 

—

 

 

 

38

 

 

 

37

 

 

 

96

 

 

 

200

 

 

 

—

 

 

 

478

 

 

 

 

Term Loans by Origination Year

 

 

 

 

 

 

 

 

 

2020

 

 

2019

 

 

2018

 

 

2017

 

 

2016

 

 

Prior

 

 

Revolving Loans

 

 

Total

 

As of December 31, 2020

 

Consumer LHFI

 

Other loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Secured by 1-4 family residential properties

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current

 

$

289,521

 

 

$

214,056

 

 

$

173,324

 

 

$

92,564

 

 

$

109,031

 

 

$

321,250

 

 

$

—

 

 

$

1,199,746

 

Past due 30-89 days

 

 

499

 

 

 

93

 

 

 

753

 

 

 

366

 

 

 

1,080

 

 

 

799

 

 

 

—

 

 

 

3,590

 

Past due 90 days or more

 

 

159

 

 

 

214

 

 

 

208

 

 

 

127

 

 

 

—

 

 

 

549

 

 

 

—

 

 

 

1,257

 

Nonaccrual

 

 

283

 

 

 

711

 

 

 

2,024

 

 

 

682

 

 

 

239

 

 

 

7,868

 

 

 

—

 

 

 

11,807

 

Total

 

 

290,462

 

 

 

215,074

 

 

 

176,309

 

 

 

93,739

 

 

 

110,350

 

 

 

330,466

 

 

 

—

 

 

 

1,216,400

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Consumer loans:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current

 

$

65,370

 

 

$

25,303

 

 

$

13,140

 

 

$

3,893

 

 

$

1,257

 

 

$

345

 

 

$

53,669

 

 

$

162,977

 

Past due 30-89 days

 

 

524

 

 

 

158

 

 

 

67

 

 

 

19

 

 

 

7

 

 

 

3

 

 

 

305

 

 

 

1,083

 

Past due 90 days or more

 

 

77

 

 

 

—

 

 

 

4

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

159

 

 

 

240

 

Nonaccrual

 

 

12

 

 

 

4

 

 

 

55

 

 

 

13

 

 

 

2

 

 

 

—

 

 

 

—

 

 

 

86

 

Total

 

 

65,983

 

 

 

25,465

 

 

 

13,266

 

 

 

3,925

 

 

 

1,266

 

 

 

348

 

 

 

54,133

 

 

 

164,386

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total consumer LHFI

 

$

424,960

 

 

$

275,340

 

 

$

210,287

 

 

$

104,359

 

 

$

115,242

 

 

$

345,671

 

 

$

406,441

 

 

$

1,882,300

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total LHFI

 

$

2,729,685

 

 

$

2,007,251

 

 

$

1,283,113

 

 

$

697,511

 

 

$

749,451

 

 

$

1,136,893

 

 

$

1,220,620

 

 

$

9,824,524

 
Summary of Trustmark's Portfolio Segments, Loan Classes, Loan Pools and the ACL Methodology and Loss Drivers

The following table provides a description of each of Trustmark’s portfolio segments, loan classes, loan pools and the ACL methodology and loss drivers:

 

Portfolio Segment

 

Loan Class

 

Loan Pool

 

Methodology

 

Loss Drivers

Loans secured by real estate

 

Construction, land
   development and other land

 

1-4 family residential
   construction

 

DCF

 

Prime Rate, National GDP

 

 

 

 

Lots and development

 

DCF

 

Prime Rate, Southern Unemployment

 

 

 

 

Unimproved land

 

DCF

 

Prime Rate, Southern Unemployment

 

 

 

 

All other consumer

 

DCF

 

Southern Unemployment

 

 

Other secured by 1-4
   family residential
   properties

 

Consumer 1-4 family - 1st liens

 

DCF

 

Prime Rate, Southern Unemployment

 

 

 

 

All other consumer

 

DCF

 

Southern Unemployment

 

 

 

 

Nonresidential owner-occupied

 

DCF

 

Southern Unemployment, National GDP

 

 

Secured by nonfarm,
   nonresidential properties

 

Nonowner-occupied -
   hotel/motel

 

DCF

 

Southern Vacancy Rate, Southern Unemployment

 

 

 

 

Nonowner-occupied - office

 

DCF

 

Southern Vacancy Rate, Southern Unemployment

 

 

 

 

Nonowner-occupied- Retail

 

DCF

 

Southern Vacancy Rate, Southern Unemployment

 

 

 

 

Nonowner-occupied - senior
   living/nursing homes

 

DCF

 

Southern Vacancy Rate, Southern Unemployment

 

 

 

 

Nonowner-occupied -
   all other

 

DCF

 

Southern Vacancy Rate, Southern Unemployment

 

 

 

 

Nonresidential owner-occupied

 

DCF

 

Southern Unemployment, National GDP

 

 

Other real estate secured

 

Nonresidential nonowner
   -occupied - apartments

 

DCF

 

Southern Vacancy Rate, Southern Unemployment

 

 

 

 

Nonresidential owner-occupied

 

DCF

 

Southern Unemployment, National GDP

 

 

 

 

Nonowner-occupied -
   all other

 

DCF

 

Southern Vacancy Rate, Southern Unemployment

Other loans secured by
   real estate

 

Other construction

 

Other construction

 

WARM

 

Prime Rate, National Unemployment

 

 

Secured by 1-4 family
   residential properties

 

Trustmark mortgage

 

WARM

 

Southern Unemployment

Commercial and
   industrial loans

 

Commercial and
   industrial loans

 

Commercial and industrial -
   non-working capital

 

DCF

 

Trustmark historical data

 

 

 

 

Commercial and industrial -
   working capital

 

DCF

 

Trustmark historical data

 

 

 

 

Credit cards

 

WARM

 

Trustmark call report data

Consumer loans

 

Consumer loans

 

Credit cards

 

WARM

 

Trustmark call report data

 

 

 

 

Overdrafts

 

Loss Rate

 

Trustmark historical data

 

 

 

 

All other consumer

 

DCF

 

Southern Unemployment

State and other political
   subdivision loans

 

State and other political
   subdivision loans

 

Obligations of state and
   political subdivisions

 

DCF

 

Moody's Bond Default Study

Other commercial loans

 

Other commercial loans

 

Other loans

 

DCF

 

Prime Rate, Southern Unemployment

 

 

 

 

Commercial and industrial -
   non-working capital

 

DCF

 

Trustmark historical data

 

 

 

 

Commercial and industrial -
   working capital

 

DCF

 

Trustmark historical data
Change in Allowance for Loan Losses

The following tables disaggregate the ACL and the amortized cost basis of the loans by the measurement methodology used at December 31, 2021 and 2020 ($ in thousands):

 

 

 

Year Ended December 31, 2021

 

 

 

ACL

 

 

LHFI

 

 

 

Individually Evaluated for Credit Loss

 

 

Collectively Evaluated for Credit Loss

 

 

Total ACL

 

 

Individually Evaluated for Credit Loss

 

 

Collectively Evaluated for Credit Loss

 

 

Total LHFI

 

Loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Construction, land development and other land

 

$

278

 

 

$

5,801

 

 

$

6,079

 

 

$

5,198

 

 

 

591,770

 

 

$

596,968

 

Other secured by 1-4 family residential properties

 

 

—

 

 

 

10,310

 

 

 

10,310

 

 

 

—

 

 

 

517,683

 

 

 

517,683

 

Secured by nonfarm, nonresidential properties

 

 

—

 

 

 

37,912

 

 

 

37,912

 

 

 

11,072

 

 

 

2,966,012

 

 

 

2,977,084

 

Other real estate secured

 

 

—

 

 

 

4,713

 

 

 

4,713

 

 

 

56

 

 

 

725,987

 

 

 

726,043

 

Other loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other construction

 

 

—

 

 

 

5,968

 

 

 

5,968

 

 

 

—

 

 

 

711,813

 

 

 

711,813

 

Secured by 1-4 family residential properties

 

 

—

 

 

 

2,706

 

 

 

2,706

 

 

 

1,319

 

 

 

1,458,991

 

 

 

1,460,310

 

Commercial and industrial loans

 

 

5,750

 

 

 

13,189

 

 

 

18,939

 

 

 

18,444

 

 

 

1,395,835

 

 

 

1,414,279

 

Consumer loans

 

 

—

 

 

 

4,774

 

 

 

4,774

 

 

 

—

 

 

 

162,555

 

 

 

162,555

 

State and other political subdivision loans

 

 

1,394

 

 

 

1,314

 

 

 

2,708

 

 

 

3,664

 

 

 

1,142,587

 

 

 

1,146,251

 

Other commercial loans

 

 

203

 

 

 

5,145

 

 

 

5,348

 

 

 

4,608

 

 

 

530,235

 

 

 

534,843

 

Total

 

$

7,625

 

 

$

91,832

 

 

$

99,457

 

 

$

44,361

 

 

$

10,203,468

 

 

$

10,247,829

 

 

 

 

 

December 31, 2020

 

 

 

ACL

 

 

LHFI

 

 

 

Individually Evaluated
for Credit Loss

 

 

Collectively Evaluated for Credit Loss

 

 

Total

 

 

Individually Evaluated for Credit Loss

 

 

Collectively Evaluated for Credit Loss

 

 

Total

 

Loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Construction, land development and other land

 

$

—

 

 

$

6,854

 

 

$

6,854

 

 

$

5,756

 

 

$

508,300

 

 

$

514,056

 

Other secured by 1-4 family residential properties

 

 

—

 

 

 

9,928

 

 

 

9,928

 

 

 

454

 

 

 

524,278

 

 

 

524,732

 

Secured by nonfarm, nonresidential properties

 

 

—

 

 

 

48,523

 

 

 

48,523

 

 

 

12,037

 

 

 

2,696,989

 

 

 

2,709,026

 

Other real estate secured

 

 

—

 

 

 

7,382

 

 

 

7,382

 

 

 

60

 

 

 

1,065,904

 

 

 

1,065,964

 

Other loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other construction

 

 

—

 

 

 

8,158

 

 

 

8,158

 

 

 

—

 

 

 

794,983

 

 

 

794,983

 

Secured by 1-4 family residential properties

 

 

—

 

 

 

5,143

 

 

 

5,143

 

 

 

1,441

 

 

 

1,214,959

 

 

 

1,216,400

 

Commercial and industrial loans

 

 

579

 

 

 

14,272

 

 

 

14,851

 

 

 

14,076

 

 

 

1,295,002

 

 

 

1,309,078

 

Consumer loans

 

 

—

 

 

 

5,838

 

 

 

5,838

 

 

 

—

 

 

 

164,386

 

 

 

164,386

 

State and other political subdivision loans

 

 

1,700

 

 

 

1,490

 

 

 

3,190

 

 

 

3,970

 

 

 

996,806

 

 

 

1,000,776

 

Other loans

 

 

2,100

 

 

 

5,339

 

 

 

7,439

 

 

 

5,615

 

 

 

519,508

 

 

 

525,123

 

Total

 

$

4,379

 

 

$

112,927

 

 

$

117,306

 

 

$

43,409

 

 

$

9,781,115

 

 

$

9,824,524

 

 

Changes in the ACL were as follows for the periods presented ($ in thousands):

 

 

 

Years Ended December 31,

 

 

 

2021

 

 

2020

 

 

2019

 

Balance at beginning of period

 

$

117,306

 

 

$

84,277

 

 

$

79,290

 

FASB ASU 2016-13 adoption adjustments:

 

 

 

 

 

 

 

 

 

LHFI

 

 

—

 

 

 

(3,039

)

 

 

—

 

Allowance for loan losses, acquired loans transfer

 

 

—

 

 

 

815

 

 

 

—

 

Acquired loans ACL adjustment

 

 

—

 

 

 

1,007

 

 

 

—

 

Loans charged-off

 

 

(10,275

)

 

 

(11,475

)

 

 

(14,481

)

Recoveries

 

 

13,925

 

 

 

9,608

 

 

 

8,671

 

Net (charge-offs) recoveries

 

 

3,650

 

 

 

(1,867

)

 

 

(5,810

)

PCL, LHFI

 

 

(21,499

)

 

 

36,113

 

 

 

10,797

 

Balance at end of period

 

$

99,457

 

 

$

117,306

 

 

$

84,277

 

 

The following tables detail changes in the ACL by loan class for the years ended December 31, 2021 and 2020 ($ in thousands):

 

 

 

2021

 

 

 

Balance

 

 

 

 

 

 

 

 

 

 

 

Balance

 

 

 

January 1,

 

 

Charge-offs

 

 

Recoveries

 

 

PCL

 

 

December 31,

 

Loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Construction, land development and other land

 

$

6,854

 

 

$

(39

)

 

$

1,564

 

 

$

(2,300

)

 

$

6,079

 

Other secured by 1-4 family residential properties

 

 

9,928

 

 

 

(109

)

 

 

505

 

 

 

(14

)

 

 

10,310

 

Secured by nonfarm, nonresidential properties

 

 

48,523

 

 

 

(169

)

 

 

1,245

 

 

 

(11,687

)

 

 

37,912

 

Other real estate secured

 

 

7,382

 

 

 

—

 

 

 

20

 

 

 

(2,689

)

 

 

4,713

 

Other loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other construction

 

 

8,158

 

 

 

—

 

 

 

47

 

 

 

(2,237

)

 

 

5,968

 

Secured by 1-4 family residential properties

 

 

5,143

 

 

 

(177

)

 

 

128

 

 

 

(2,388

)

 

 

2,706

 

Commercial and industrial loans

 

 

14,851

 

 

 

(4,391

)

 

 

4,727

 

 

 

3,752

 

 

 

18,939

 

Consumer loans

 

 

5,838

 

 

 

(1,640

)

 

 

1,665

 

 

 

(1,089

)

 

 

4,774

 

State and other political subdivision loans

 

 

3,190

 

 

 

—

 

 

 

—

 

 

 

(482

)

 

 

2,708

 

Other commercial loans

 

 

7,439

 

 

 

(3,750

)

 

 

4,024

 

 

 

(2,365

)

 

 

5,348

 

Total

 

$

117,306

 

 

$

(10,275

)

 

$

13,925

 

 

$

(21,499

)

 

$

99,457

 

 

The increase in the PCL for the commercial and industrial loan portfolio for the year ended December 31, 2021 was primarily due to specific reserves for individually analyzed credits.

The PCL for loans secured by real estate, other loans secured by real estate, state and other political subdivision loans and other commercial loans decreased during the year ended December 31, 2021 primarily due to improvements in the macroeconomic forecast and credit quality.

 

 

 

2020

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Balance
January 1,

 

 

FASB ASU 2016-13
Adoption Adjustment

 

 

Charge-offs

 

 

Recoveries

 

 

PCL

 

 

Balance
December 31,

 

Loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Construction, land development and other land

 

$

6,371

 

 

$

(188

)

 

$

(12

)

 

$

716

 

 

$

(33

)

 

$

6,854

 

Other secured by 1-4 family residential properties

 

 

5,888

 

 

 

4,188

 

 

 

(117

)

 

 

378

 

 

 

(409

)

 

 

9,928

 

Secured by nonfarm, nonresidential properties

 

 

26,158

 

 

 

(8,179

)

 

 

(3,777

)

 

 

546

 

 

 

33,775

 

 

 

48,523

 

Other real estate secured

 

 

4,024

 

 

 

(765

)

 

 

(8

)

 

 

68

 

 

 

4,063

 

 

 

7,382

 

Other loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other construction

 

 

1,889

 

 

 

3,202

 

 

 

—

 

 

 

208

 

 

 

2,859

 

 

 

8,158

 

Secured by 1-4 family residential properties

 

 

3,044

 

 

 

2,891

 

 

 

(43

)

 

 

203

 

 

 

(952

)

 

 

5,143

 

Commercial and industrial loans

 

 

25,992

 

 

 

(8,964

)

 

 

(1,557

)

 

 

1,736

 

 

 

(2,356

)

 

 

14,851

 

Consumer loans

 

 

3,379

 

 

 

2,059

 

 

 

(2,039

)

 

 

1,824

 

 

 

615

 

 

 

5,838

 

State and other political subdivision loans

 

 

2,229

 

 

 

2,455

 

 

 

—

 

 

 

—

 

 

 

(1,494

)

 

 

3,190

 

Other commercial loans

 

 

5,303

 

 

 

2,084

 

 

 

(3,922

)

 

 

3,929

 

 

 

45

 

 

 

7,439

 

Total

 

$

84,277

 

 

$

(1,217

)

 

$

(11,475

)

 

$

9,608

 

 

$

36,113

 

 

$

117,306

 
v3.22.0.1
Acquired Loans (Tables)
 12 Months Ended
Dec. 31, 2021
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities [Abstract]  
Changes in Accretable Yield of Acquired Loans The following table presents changes in the accretable yield for the periods presented ($ in thousands):

 

 

Years Ended December 31,

 

 

 

2021

 

 

2020

 

 

2019

 

Accretable yield at beginning of period

 

$

—

 

 

$

(14,816

)

 

$

(17,722

)

FASB ASU 2016-13 adoption adjustment

 

 

—

 

 

 

14,816

 

 

 

—

 

Accretion to interest income

 

 

—

 

 

 

—

 

 

 

5,532

 

Disposals, net

 

 

—

 

 

 

—

 

 

 

2,072

 

Reclassification from nonaccretable difference (1)

 

 

—

 

 

 

—

 

 

 

(4,698

)

Accretable yield at end of period

 

$

—

 

 

$

—

 

 

$

(14,816

)
(1)
Reclassifications from nonaccretable difference are due to lower loss expectations and improvements in expected cash flows.
Components of the Allowance for Loan Losses on Acquired Loans

The following table presents the components of the allowance for loan losses on acquired impaired loans for the periods presented ($ in thousands):

 

 

Years Ended December 31,

 

 

 

2021

 

 

2020

 

 

2019

 

Balance at beginning of period

 

$

—

 

 

$

815

 

 

$

1,231

 

FASB ASU 2016-13 adoption adjustment

 

 

—

 

 

 

(815

)

 

 

—

 

Net (charge-offs) recoveries

 

 

—

 

 

 

—

 

 

 

(458

)

Provision for loan losses, acquired loans

 

 

—

 

 

 

—

 

 

 

42

 

Balance at end of period

 

$

—

 

 

$

—

 

 

$

815

 
v3.22.0.1
Premises and Equipment, Net (Tables)
 12 Months Ended
Dec. 31, 2021
Property, Plant and Equipment [Abstract]  
Premises and Equipment, Net

At December 31, 2021 and 2020, premises and equipment, net consisted of the following ($ in thousands):

 

 

 

December 31,

 

 

 

2021

 

 

2020

 

Land

 

$

54,342

 

 

$

52,189

 

Buildings and leasehold improvements

 

 

221,986

 

 

 

216,650

 

Furniture and equipment

 

 

190,907

 

 

 

180,976

 

Total cost of premises and equipment

 

 

467,235

 

 

 

449,815

 

Less accumulated depreciation and amortization

 

 

271,334

 

 

 

263,147

 

Premises and equipment, net

 

 

195,901

 

 

 

186,668

 

Finance lease right-of-use assets

 

 

6,017

 

 

 

7,471

 

Assets held for sale

 

 

3,726

 

 

 

139

 

Total premises and equipment, net

 

$

205,644

 

 

$

194,278

 
v3.22.0.1
Mortgage Banking (Tables)
 12 Months Ended
Dec. 31, 2021
Mortgage Banking [Abstract]  
Schedule of Activity in the Mortgage Servicing Rights

The activity in the MSR is detailed in the table below for the periods presented ($ in thousands):

 

 

 

Years Ended December 31,

 

 

 

2021

 

 

2020

 

Balance at beginning of period

 

$

66,464

 

 

$

79,394

 

Origination of servicing assets

 

 

28,125

 

 

 

29,805

 

Change in fair value:

 

 

 

 

 

 

Due to market changes

 

 

13,258

 

 

 

(26,147

)

Due to runoff

 

 

(20,160

)

 

 

(16,588

)

Balance at end of period

 

$

87,687

 

 

$

66,464

 
Schedule of Mortgage Loans Sold and Serviced for Others

The table below details the mortgage loans sold and serviced for others at December 31, 2021 and 2020 ($ in thousands):

 

 

 

December 31,

 

 

 

2021

 

 

2020

 

Federal National Mortgage Association

 

$

4,709,584

 

 

$

4,629,670

 

Government National Mortgage Association

 

 

3,194,373

 

 

 

2,960,760

 

Federal Home Loan Mortgage Corporation

 

 

35,971

 

 

 

50,459

 

Other

 

 

13,272

 

 

 

16,201

 

Total mortgage loans sold and serviced for others

 

$

7,953,200

 

 

$

7,657,090

 
v3.22.0.1
Goodwill and Identifiable Intangible Assets (Tables)
 12 Months Ended
Dec. 31, 2021
Goodwill and Intangible Assets Disclosure [Abstract]  
Goodwill by segment

The table below illustrates goodwill by segment for the years ended December 31, 2021 and 2020 ($ in thousands):

 

 

 

General

 

 

 

 

 

 

 

 

 

Banking

 

 

Insurance

 

 

Total

 

Balance as of January 1, 2020

 

$

334,603

 

 

$

45,024

 

 

$

379,627

 

Additions during 2020

 

 

—

 

 

 

5,643

 

 

 

5,643

 

Balance as of December 31, 2020

 

 

334,603

 

 

 

50,667

 

 

 

385,270

 

Adjustment during 2021

 

 

—

 

 

 

(1,033

)

 

 

(1,033

)

Balance as of December 31, 2021

 

$

334,603

 

 

$

49,634

 

 

$

384,237

 
Schedule of identifiable intangible assets

At December 31, 2021 and 2020, identifiable intangible assets consisted of the following ($ in thousands):

 

 

 

December 31, 2021

 

 

December 31, 2020

 

 

 

Gross Carrying

 

 

Accumulated

 

 

Net Carrying

 

 

Gross Carrying

 

 

Accumulated

 

 

Net Carrying

 

 

 

Amount

 

 

Amortization

 

 

Amount

 

 

Amount

 

 

Amortization

 

 

Amount

 

Core deposit intangibles

 

$

87,674

 

 

$

86,280

 

 

$

1,394

 

 

$

87,674

 

 

$

84,580

 

 

$

3,094

 

Insurance intangibles

 

 

17,272

 

 

 

13,709

 

 

 

3,563

 

 

 

17,272

 

 

 

13,159

 

 

 

4,113

 

Banking charters

 

 

1,325

 

 

 

1,208

 

 

 

117

 

 

 

1,325

 

 

 

1,142

 

 

 

183

 

Total

 

$

106,271

 

 

$

101,197

 

 

$

5,074

 

 

$

106,271

 

 

$

98,881

 

 

$

7,390

 

The following table illustrates the carrying amounts and remaining weighted-average amortization periods of identifiable intangible assets at December 31, 2021 ($ in thousands):

 

 

 

 

 

Remaining

 

 

 

 

 

 

Weighted-

 

 

 

 

 

 

Average

 

 

 

Net Carrying

 

 

Amortization

 

 

 

Amount

 

 

Period in Years

 

Core deposit intangibles

 

$

1,394

 

 

 

2.7

 

Insurance intangibles

 

 

3,563

 

 

 

16.5

 

Banking charters

 

 

117

 

 

 

1.8

 

Total

 

$

5,074

 

 

 

12.4

 
v3.22.0.1
Other Real Estate (Tables)
 12 Months Ended
Dec. 31, 2021
Other Real Estate, Foreclosed Assets, and Repossessed Assets [Abstract]  
Changes and Gains (Losses), Net on Other Real Estate

For the periods presented, changes and gains (losses), net on other real estate were as follows ($ in thousands):

 

 

 

Years Ended December 31,

 

 

 

2021

 

 

2020

 

 

2019

 

Balance at beginning of period

 

$

11,651

 

 

$

29,248

 

 

$

34,668

 

Additions

 

 

770

 

 

 

635

 

 

 

8,598

 

Disposals

 

 

(6,932

)

 

 

(16,446

)

 

 

(11,474

)

Write-downs

 

 

(932

)

 

 

(1,786

)

 

 

(2,544

)

Balance at end of period

 

$

4,557

 

 

$

11,651

 

 

$

29,248

 

 

 

 

 

 

 

 

 

 

 

Gains (losses), net on the sale of other real estate
   included in other real estate expense

 

$

(1,869

)

 

$

897

 

 

$

(291

)
Other Real Estate, By Type of Property

At December 31, 2021 and 2020, other real estate by type of property consisted of the following ($ in thousands):

 

 

 

December 31,

 

 

 

2021

 

 

2020

 

Construction, land development and other land properties

 

$

—

 

 

$

3,857

 

1-4 family residential properties

 

 

94

 

 

 

1,349

 

Nonfarm, nonresidential properties

 

 

4,463

 

 

 

6,445

 

Total other real estate

 

$

4,557

 

 

$

11,651

 
Other Real Estate, By Geographic Location

At December 31, 2021 and 2020, other real estate by geographic location consisted of the following ($ in thousands):

 

 

 

December 31,

 

 

 

2021

 

 

2020

 

Alabama

 

$

—

 

 

$

3,271

 

Mississippi (1)

 

 

4,557

 

 

 

8,330

 

Tennessee (2)

 

 

—

 

 

 

50

 

Total other real estate

 

$

4,557

 

 

$

11,651

 
(1)
Mississippi includes Central and Southern Mississippi Regions.
(2)
Tennessee includes Memphis, Tennessee and Northern Mississippi Regions.
v3.22.0.1
Leases (Tables)
 12 Months Ended
Dec. 31, 2021
Leases [Abstract]  
Components of Net Lease Cost

The table below details the components of net lease cost for the periods presented ($ in thousands):

 

 

 

Years Ended December 31,

 

 

 

2021

 

 

2020

 

 

2019

 

Finance leases

 

 

 

 

 

 

 

 

 

Amortization of right-of-use assets

 

$

1,546

 

 

$

1,856

 

 

$

2,162

 

Interest on lease liabilities

 

 

219

 

 

 

254

 

 

 

307

 

Operating lease cost

 

 

5,275

 

 

 

5,188

 

 

 

5,183

 

Short-term lease cost

 

 

463

 

 

 

423

 

 

 

370

 

Variable lease cost

 

 

1,234

 

 

 

1,286

 

 

 

1,387

 

Sublease income

 

 

(350

)

 

 

(335

)

 

 

(331

)

Net lease cost

 

$

8,387

 

 

$

8,672

 

 

$

9,078

 
Cash Payments Included in Measurement of Lease Liabilities

The table below details the cash payments included in the measurement of lease liabilities during the periods presented ($ in thousands):

 

 

 

Years Ended December 31,

 

 

 

2021

 

 

2020

 

 

2019

 

Finance leases

 

 

 

 

 

 

 

 

 

Operating cash flows included in operating activities

 

$

219

 

 

$

254

 

 

$

307

 

Financing cash flows included in payments under finance lease obligations

 

 

1,434

 

 

 

1,715

 

 

 

1,964

 

Operating leases

 

 

 

 

 

 

 

 

 

Operating cash flows (fixed payments) included in other operating activities, net

 

 

4,781

 

 

 

4,988

 

 

 

5,092

 

Operating cash flows (liability reduction) included in other operating activities, net

 

 

3,948

 

 

 

3,856

 

 

 

5,404

 

 
Balance Sheet Information and Weighted-Average Lease Terms and Discount Rates Related to Leases

The table below details balance sheet information, as well as weighted-average lease terms and discount rates, at December 31, 2021 and 2020 ($ in thousands):

 

 

December 31,

 

 

 

2021

 

 

2020

 

Finance lease right-of-use assets, net of accumulated depreciation

 

$

6,017

 

 

$

7,471

 

Finance lease liabilities

 

 

6,464

 

 

 

7,805

 

Operating lease right-of-use assets

 

 

34,603

 

 

 

30,901

 

Operating lease liabilities

 

 

36,468

 

 

 

32,290

 

 

 

 

 

 

 

 

Weighted-average lease term

 

 

 

 

 

 

Finance leases

 

8.37 years

 

 

8.53 years

 

Operating leases

 

9.25 years

 

 

8.65 years

 

 

 

 

 

 

 

 

Weighted-average discount rate

 

 

 

 

 

 

Finance leases

 

 

3.24

%

 

 

3.10

%

Operating leases

 

 

2.84

%

 

 

3.41

%
Future Minimum Rental Commitments Under Finance and Operating Leases

At December 31, 2021, future minimum rental commitments under finance and operating leases were as follows ($ in thousands):

 

 

 

Finance Leases

 

 

Operating Leases

 

2022

 

$

1,597

 

 

$

4,934

 

2023

 

 

885

 

 

 

4,688

 

2024

 

 

572

 

 

 

4,828

 

2025

 

 

584

 

 

 

4,796

 

2026

 

 

589

 

 

 

4,601

 

Thereafter

 

 

3,279

 

 

 

17,652

 

Total minimum lease payments

 

 

7,506

 

 

 

41,499

 

Less imputed interest

 

 

(1,042

)

 

 

(5,031

)

Lease liabilities

 

$

6,464

 

 

$

36,468

 
v3.22.0.1
Deposits (Tables)
 12 Months Ended
Dec. 31, 2021
Deposits [Abstract]  
Deposits Summary

At December 31, 2021 and 2020, deposits consisted of the following ($ in thousands):

 

 

December 31,

 

 

 

2021

 

 

2020

 

Noninterest-bearing demand

 

$

4,771,065

 

 

$

4,349,010

 

Interest-bearing demand

 

 

4,372,500

 

 

 

3,646,246

 

Savings

 

 

4,745,137

 

 

 

4,647,610

 

Time

 

 

1,198,458

 

 

 

1,405,898

 

Total

 

$

15,087,160

 

 

$

14,048,764

 
Interest Expense on Deposits by Type

Interest expense on deposits by type consisted of the following for the periods presented ($ in thousands):

 

 

 

Years Ended December 31,

 

 

 

2021

 

 

2020

 

 

2019

 

Interest-bearing demand

 

$

4,906

 

 

$

9,985

 

 

$

35,428

 

Savings

 

 

7,912

 

 

 

13,481

 

 

 

19,462

 

Time

 

 

4,127

 

 

 

14,021

 

 

 

24,281

 

Total

 

$

16,945

 

 

$

37,487

 

 

$

79,171

 
Maturities of Interest-Bearing Deposits

The maturities of interest-bearing deposits at December 31, 2021, are as follows ($ in thousands):

 

2022

 

$

984,432

 

2023

 

 

154,697

 

2024

 

 

31,418

 

2025

 

 

12,970

 

2026

 

 

11,276

 

Thereafter

 

 

3,665

 

Total time deposits

 

 

1,198,458

 

Interest-bearing deposits with no stated maturity

 

 

9,117,637

 

Total interest-bearing deposits

 

$

10,316,095

 
v3.22.0.1
Borrowings (Tables)
 12 Months Ended
Dec. 31, 2021
Debt Disclosure [Abstract]  
Schedule of Securities Sold Under Repurchase Agreements The following table presents the securities sold under repurchase agreements by collateral pledged at December 31, 2021 and 2020 ($ in thousands):

 

 

 

December 31,

 

 

 

2021

 

 

2020

 

Mortgage-backed securities

 

 

 

 

 

 

Residential mortgage pass-through securities

 

 

 

 

 

 

Issued by FNMA and FHLMC

 

$

167,310

 

 

$

115,357

 

Other residential mortgage-backed securities

 

 

 

 

 

 

Issued or guaranteed by FNMA, FHLMC or GNMA

 

 

1,475

 

 

 

12,696

 

Commercial mortgage-backed securities

 

 

 

 

 

 

Issued or guaranteed by FNMA, FHLMC or GNMA

 

 

24,528

 

 

 

—

 

Total securities sold under repurchase agreements

 

$

193,313

 

 

$

128,053

 
Summary of Other Borrowings

At December 31, 2021 and 2020, other borrowings consisted of the following ($ in thousands):

 

 

December 31,

 

 

 

2021

 

 

2020

 

FHLB advances

 

$

97

 

 

$

741

 

Serviced GNMA loans eligible for repurchase

 

 

84,464

 

 

 

141,160

 

Finance lease liabilities

 

 

6,464

 

 

 

7,805

 

Other

 

 

—

 

 

 

18,546

 

Total other borrowings

 

$

91,025

 

 

$

168,252

 
v3.22.0.1
Revenue from Contracts with Customers (Tables)
 12 Months Ended
Dec. 31, 2021
Revenue from Contract with Customer [Abstract]  
Summary of Noninterest Income Disaggregated by Reportable Operating Segment and Revenue Stream

The following table presents noninterest income disaggregated by reportable operating segment and revenue stream for the periods presented ($ in thousands):

 

 

 

Year Ended December 31, 2021

 

 

Year Ended December 31, 2020

 

 

Year Ended December 31, 2019

 

 

 

Topic 606

 

 

Not Topic
606 (1)

 

 

Total

 

 

Topic 606

 

 

Not Topic
606 (1)

 

 

Total

 

 

Topic 606

 

 

Not Topic
606 (1)

 

 

Total

 

General Banking Segment

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Service charges on deposit
   accounts

 

$

33,169

 

 

$

—

 

 

$

33,169

 

 

$

32,213

 

 

$

—

 

 

$

32,213

 

 

$

42,509

 

 

$

—

 

 

$

42,509

 

Bank card and other fees

 

 

30,897

 

 

 

3,727

 

 

 

34,624

 

 

 

27,398

 

 

 

3,594

 

 

 

30,992

 

 

 

27,973

 

 

 

3,706

 

 

 

31,679

 

Mortgage banking, net

 

 

—

 

 

 

63,750

 

 

 

63,750

 

 

 

—

 

 

 

125,822

 

 

 

125,822

 

 

 

—

 

 

 

29,822

 

 

 

29,822

 

Wealth management

 

 

48

 

 

 

—

 

 

 

48

 

 

 

254

 

 

 

—

 

 

 

254

 

 

 

379

 

 

 

—

 

 

 

379

 

Other, net

 

 

6,621

 

 

 

(338

)

 

 

6,283

 

 

 

7,432

 

 

 

978

 

 

 

8,410

 

 

 

9,528

 

 

 

(161

)

 

 

9,367

 

Total noninterest income

 

$

70,735

 

 

$

67,139

 

 

$

137,874

 

 

$

67,297

 

 

$

130,394

 

 

$

197,691

 

 

$

80,389

 

 

$

33,367

 

 

$

113,756

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Wealth Management Segment

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Service charges on deposit
   accounts

 

$

77

 

 

$

—

 

 

$

77

 

 

$

76

 

 

$

—

 

 

$

76

 

 

$

94

 

 

$

—

 

 

$

94

 

Bank card and other fees

 

 

38

 

 

 

—

 

 

 

38

 

 

 

30

 

 

 

—

 

 

 

30

 

 

 

57

 

 

 

—

 

 

 

57

 

Wealth management

 

 

35,142

 

 

 

—

 

 

 

35,142

 

 

 

31,371

 

 

 

—

 

 

 

31,371

 

 

 

30,300

 

 

 

—

 

 

 

30,300

 

Other, net

 

 

130

 

 

 

33

 

 

 

163

 

 

 

107

 

 

 

50

 

 

 

157

 

 

 

306

 

 

 

103

 

 

 

409

 

Total noninterest income

 

$

35,387

 

 

$

33

 

 

$

35,420

 

 

$

31,584

 

 

$

50

 

 

$

31,634

 

 

$

30,757

 

 

$

103

 

 

$

30,860

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Insurance Segment

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Insurance commissions

 

$

48,511

 

 

$

—

 

 

$

48,511

 

 

$

45,176

 

 

$

—

 

 

$

45,176

 

 

$

42,396

 

 

$

—

 

 

$

42,396

 

Other, net

 

 

105

 

 

 

—

 

 

 

105

 

 

 

92

 

 

 

—

 

 

 

92

 

 

 

33

 

 

 

—

 

 

 

33

 

Total noninterest income

 

$

48,616

 

 

$

—

 

 

$

48,616

 

 

$

45,268

 

 

$

—

 

 

$

45,268

 

 

$

42,429

 

 

$

—

 

 

$

42,429

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Consolidated

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Service charges on deposit
   accounts

 

$

33,246

 

 

$

—

 

 

$

33,246

 

 

$

32,289

 

 

$

—

 

 

$

32,289

 

 

$

42,603

 

 

$

—

 

 

$

42,603

 

Bank card and other fees

 

 

30,935

 

 

 

3,727

 

 

 

34,662

 

 

 

27,428

 

 

 

3,594

 

 

 

31,022

 

 

 

28,030

 

 

 

3,706

 

 

 

31,736

 

Mortgage banking, net

 

 

—

 

 

 

63,750

 

 

 

63,750

 

 

 

—

 

 

 

125,822

 

 

 

125,822

 

 

 

—

 

 

 

29,822

 

 

 

29,822

 

Insurance commissions

 

 

48,511

 

 

 

—

 

 

 

48,511

 

 

 

45,176

 

 

 

—

 

 

 

45,176

 

 

 

42,396

 

 

 

—

 

 

 

42,396

 

Wealth management

 

 

35,190

 

 

 

—

 

 

 

35,190

 

 

 

31,625

 

 

 

—

 

 

 

31,625

 

 

 

30,679

 

 

 

—

 

 

 

30,679

 

Other, net

 

 

6,856

 

 

 

(305

)

 

 

6,551

 

 

 

7,631

 

 

 

1,028

 

 

 

8,659

 

 

 

9,867

 

 

 

(58

)

 

 

9,809

 

Total noninterest income

 

$

154,738

 

 

$

67,172

 

 

$

221,910

 

 

$

144,149

 

 

$

130,444

 

 

$

274,593

 

 

$

153,575

 

 

$

33,470

 

 

$

187,045

 
(1)
Noninterest income not in scope for FASB ASC Topic 606 includes customer derivatives revenue and miscellaneous credit card income within bank card and other fees; mortgage banking, net; amortization of tax credits, accretion of the FDIC indemnification asset, cash surrender value on various life insurance policies, earnings on Trustmark’s non-qualified deferred compensation plans, other partnership investments and rental income within other, net; and securities gains (losses), net.
v3.22.0.1
Income Taxes (Tables)
 12 Months Ended
Dec. 31, 2021
Income Tax Disclosure [Abstract]  
Income Tax Provision

The income tax provision included in the consolidated statements of income was as follows for the periods presented ($ in thousands):

 

 

 

Years Ended December 31,

 

 

 

2021

 

 

2020

 

 

2019

 

Current

 

 

 

 

 

 

 

 

 

Federal

 

$

5,815

 

 

$

40,118

 

 

$

20,068

 

State

 

 

2,118

 

 

 

9,439

 

 

 

7,145

 

Deferred

 

 

 

 

 

 

 

 

 

Federal

 

 

16,092

 

 

 

(15,840

)

 

 

(3,104

)

State

 

 

4,023

 

 

 

(3,960

)

 

 

(776

)

Income tax provision

 

$

28,048

 

 

$

29,757

 

 

$

23,333

 
Income Tax Reconciliation

For the periods presented, the income tax provision differs from the amount computed by applying the statutory federal income tax rate in effect for each respective period to income before income taxes as a result of the following ($ in thousands):

 

 

 

Years Ended December 31,

 

 

 

2021

 

 

2020

 

 

2019

 

Income tax computed at statutory tax rate

 

$

36,837

 

 

$

39,854

 

 

$

36,497

 

Tax exempt interest

 

 

(3,935

)

 

 

(4,284

)

 

 

(4,951

)

Nondeductible interest expense

 

 

106

 

 

 

247

 

 

 

564

 

State income taxes, net

 

 

1,673

 

 

 

7,457

 

 

 

5,645

 

Income tax credits, net

 

 

(10,479

)

 

 

(9,375

)

 

 

(13,473

)

Death benefit gains

 

 

(175

)

 

 

(91

)

 

 

(123

)

Other

 

 

4,021

 

 

 

(4,051

)

 

 

(826

)

Income tax provision

 

$

28,048

 

 

$

29,757

 

 

$

23,333

 
Deferred Tax Assets and Liabilities

Temporary differences between the financial statement carrying amounts and the tax basis of assets and liabilities gave rise to the following net deferred tax assets at December 31, 2021 and 2020, which are included in other assets on the accompanying consolidated balance sheets ($ in thousands):

 

 

December 31,

 

 

 

2021

 

 

2020

 

Deferred tax assets:

 

 

 

 

 

 

Loan purchase accounting

 

$

—

 

 

$

293

 

Other real estate

 

 

1,182

 

 

 

2,049

 

Accumulated credit losses

 

 

33,895

 

 

 

39,073

 

Deferred compensation

 

 

18,804

 

 

 

17,465

 

Finance and operating lease liabilities

 

 

10,733

 

 

 

10,024

 

Realized built-in losses

 

 

9,930

 

 

 

10,681

 

Securities

 

 

5,924

 

 

 

2,233

 

Pension and other postretirement benefit plans

 

 

4,929

 

 

 

6,128

 

Interest on nonaccrual loans

 

 

1,235

 

 

 

1,034

 

LHFS

 

 

591

 

 

 

2,754

 

Stock-based compensation

 

 

2,771

 

 

 

2,749

 

Loan fees

 

 

125

 

 

 

3,401

 

Other

 

 

9,705

 

 

 

10,294

 

Gross deferred tax asset

 

 

99,824

 

 

 

108,178

 

 

 

 

 

 

 

 

Deferred tax liabilities:

 

 

 

 

 

 

Goodwill and other identifiable intangibles

 

 

14,667

 

 

 

15,136

 

Premises and equipment

 

 

16,470

 

 

 

11,479

 

Finance and operating lease right-of-use assets

 

 

10,155

 

 

 

9,593

 

MSR

 

 

13,007

 

 

 

7,108

 

Securities

 

 

1,686

 

 

 

9,712

 

Other

 

 

3,081

 

 

 

4,537

 

Gross deferred tax liability

 

 

59,066

 

 

 

57,565

 

Net deferred tax asset

 

$

40,758

 

 

$

50,613

 
Changes in Unrecognized Tax Benefits

The following table provides a summary of the changes during the 2021 calendar year in the amount of unrecognized tax benefits that are included in other liabilities in the consolidated balance sheet ($ in thousands):

 

 

December 31,

 

 

 

2021

 

 

2020

 

 

2019

 

Balance at beginning of period

 

$

1,781

 

 

$

1,524

 

 

$

1,249

 

Change due to tax positions taken during the current year

 

 

412

 

 

 

353

 

 

 

279

 

Change due to tax positions taken during a prior year

 

 

107

 

 

 

79

 

 

 

134

 

Change due to the lapse of applicable statute of limitations during the
   current year

 

 

(171

)

 

 

(175

)

 

 

(138

)

Balance at end of period

 

$

2,129

 

 

$

1,781

 

 

$

1,524

 

 

 

 

 

 

 

 

 

 

 

Accrued interest, net of federal benefit

 

$

419

 

 

$

330

 

 

$

271

 

 

 

 

 

 

 

 

 

 

 

Unrecognized tax benefits that would impact the effective
   tax rate, if recognized

 

$

1,766

 

 

$

1,420

 

 

$

1,218

 
v3.22.0.1
Defined Benefit and Other Postretirement Benefits (Tables)
 12 Months Ended
Dec. 31, 2021
Trustmark Capital Accumulation Plan [Member]  
Defined Benefit Plans And Other Postretirement Benefit Plans Table Text Block [Line Items]  
Plan Benefit Obligation, Plan Assets and Funded Status of the Plan

The following tables present information regarding the benefit obligation, plan assets, funded status, amounts recognized in accumulated other comprehensive loss, net periodic benefit cost and other statistical disclosures for the Continuing Plan for the periods presented ($ in thousands):

 

 

December 31,

 

 

 

2021

 

 

2020

 

Change in benefit obligation:

 

 

 

 

 

 

Benefit obligation, beginning of year

 

$

9,547

 

 

$

9,060

 

Service cost

 

 

252

 

 

 

254

 

Interest cost

 

 

173

 

 

 

241

 

Actuarial (gain) loss

 

 

(198

)

 

 

876

 

Benefits paid

 

 

(1,127

)

 

 

(884

)

Benefit obligation, end of year

 

$

8,647

 

 

$

9,547

 

 

 

 

 

 

 

 

Change in plan assets:

 

 

 

 

 

 

Fair value of plan assets, beginning of year

 

$

2,873

 

 

$

3,443

 

Actual return on plan assets

 

 

291

 

 

 

(87

)

Employer contributions

 

 

863

 

 

 

401

 

Benefit payments

 

 

(1,127

)

 

 

(884

)

Fair value of plan assets, end of year

 

$

2,900

 

 

$

2,873

 

 

 

 

 

 

 

 

Funded status at end of year - net liability

 

$

(5,747

)

 

$

(6,674

)

 

 

 

 

 

 

 

Amounts recognized in accumulated other comprehensive loss:

 

 

 

 

 

 

Net loss - amount recognized

 

$

1,428

 

 

$

2,564

 

 

 

 

 

 

 

 

Actuarial (gain) loss included in benefit obligation:

 

 

 

 

 

 

Change in discount rate

 

$

(491

)

 

$

1,009

 

Change in mortality table

 

 

15

 

 

 

(47

)

Other

 

 

278

 

 

 

(86

)

Actuarial (gain) loss

 

$

(198

)

 

$

876

 
Net Periodic Benefit Cost

 

 

 

Years Ended December 31,

 

 

 

2021

 

 

2020

 

 

2019

 

Net periodic benefit cost:

 

 

 

 

 

 

 

 

 

Service cost

 

$

252

 

 

$

254

 

 

$

211

 

Interest cost

 

 

173

 

 

 

241

 

 

 

361

 

Expected return on plan assets

 

 

(130

)

 

 

(154

)

 

 

(202

)

Recognized net loss due to lump sum settlements

 

 

183

 

 

 

119

 

 

 

312

 

Recognized net actuarial loss

 

 

594

 

 

 

326

 

 

 

373

 

Net periodic benefit cost

 

$

1,072

 

 

$

786

 

 

$

1,055

 

 

 

 

 

 

 

 

 

 

 

Other changes in plan assets and benefit obligation recognized in other
   comprehensive income (loss), before taxes:

 

 

 

 

 

 

 

 

 

Net loss - Total recognized in other comprehensive income (loss)

 

$

(1,136

)

 

$

671

 

 

$

(277

)

Total recognized in net periodic benefit cost and other comprehensive
   income (loss)

 

$

(64

)

 

$

1,457

 

 

$

778

 

 

 

 

 

 

 

 

 

 

 

Weighted-average assumptions as of end of year:

 

 

 

 

 

 

 

 

 

Discount rate for benefit obligation

 

 

2.41

%

 

 

1.95

%

 

 

2.84

%

Discount rate for net periodic benefit cost

 

 

1.95

%

 

 

2.84

%

 

 

3.97

%

Expected long-term return on plan assets

 

 

5.00

%

 

 

5.00

%

 

 

5.00

%
Weighted-Average Asset Allocation

The weighted-average asset allocations by asset category are presented below for the Continuing Plan at December 31, 2021 and 2020.

 

 

 

December 31,

 

 

 

2021

 

 

2020

 

Money market fund

 

 

4.0

%

 

 

5.0

%

Exchange traded funds:

 

 

 

 

 

 

Equity securities

 

 

50.0

%

 

 

43.0

%

Fixed income

 

 

35.0

%

 

 

41.0

%

International

 

 

11.0

%

 

 

11.0

%

Total

 

 

100.0

%

 

 

100.0

%
Plan Assets Measured at Fair Value

The following tables set forth by level, within the fair value hierarchy, the Continuing Plan’s assets measured at fair value at December 31, 2021 and 2020 ($ in thousands):

 

 

December 31, 2021

 

 

 

Total

 

 

Level 1

 

 

Level 2

 

 

Level 3

 

Money market fund

 

$

107

 

 

$

107

 

 

$

—

 

 

$

—

 

Exchange traded funds:

 

 

 

 

 

 

 

 

 

 

 

 

Equity securities

 

 

1,460

 

 

 

1,460

 

 

 

—

 

 

 

—

 

Fixed income

 

 

1,021

 

 

 

1,021

 

 

 

—

 

 

 

—

 

International

 

 

312

 

 

 

312

 

 

 

—

 

 

 

—

 

Total assets at fair value

 

$

2,900

 

 

$

2,900

 

 

$

—

 

 

$

—

 

 

 

 

December 31, 2020

 

 

 

Total

 

 

Level 1

 

 

Level 2

 

 

Level 3

 

Money market fund

 

$

131

 

 

$

131

 

 

$

—

 

 

$

—

 

Exchange traded funds:

 

 

 

 

 

 

 

 

 

 

 

 

Equity securities

 

 

1,242

 

 

 

1,242

 

 

 

—

 

 

 

—

 

Fixed income

 

 

1,182

 

 

 

1,182

 

 

 

—

 

 

 

—

 

International

 

 

318

 

 

 

318

 

 

 

—

 

 

 

—

 

Total assets at fair value

 

$

2,873

 

 

$

2,873

 

 

$

—

 

 

$

—

 
Estimated Future Benefit Payments and Other Disclosures

The following table presents the expected benefit payments, which reflect expected future service, for the Continuing Plan ($ in thousands):

 

Year

 

Amount

 

2022

 

$

1,275

 

2023

 

 

1,486

 

2024

 

 

1,145

 

2025

 

 

594

 

2026

 

 

641

 

2027 - 2031

 

 

2,138

 
Supplemental Retirement Plan [Member]  
Defined Benefit Plans And Other Postretirement Benefit Plans Table Text Block [Line Items]  
Plan Benefit Obligation, Plan Assets and Funded Status of the Plan

The following tables present information regarding the benefit obligation, plan assets, funded status, amounts recognized in accumulated other comprehensive loss, net periodic benefit cost and other statistical disclosures for Trustmark’s nonqualified supplemental retirement plans for the periods presented ($ in thousands):

 

 

December 31,

 

 

 

2021

 

 

2020

 

Change in benefit obligation:

 

 

 

 

 

 

Benefit obligation, beginning of year

 

$

59,646

 

 

$

57,482

 

Service cost

 

 

75

 

 

 

77

 

Interest cost

 

 

1,125

 

 

 

1,576

 

Actuarial (gain) loss

 

 

(2,357

)

 

 

4,168

 

Benefits paid

 

 

(3,454

)

 

 

(3,657

)

Benefit obligation, end of year

 

$

55,035

 

 

$

59,646

 

Change in plan assets:

 

 

 

 

 

 

Fair value of plan assets, beginning of year

 

$

—

 

 

$

—

 

Employer contributions

 

 

3,454

 

 

 

3,657

 

Benefit payments

 

 

(3,454

)

 

 

(3,657

)

Fair value of plan assets, end of year

 

$

—

 

 

$

—

 

 

 

 

 

 

 

 

Funded status at end of year - net liability

 

$

(55,035

)

 

$

(59,646

)

 

 

 

 

 

 

 

Amounts recognized in accumulated other comprehensive loss:

 

 

 

 

 

 

Net loss

 

$

17,937

 

 

$

21,486

 

Prior service cost

 

 

348

 

 

 

459

 

Amounts recognized

 

$

18,285

 

 

$

21,945

 

 

 

 

 

 

 

 

Actuarial (gain) loss included in benefit obligation:

 

 

 

 

 

 

Change in discount rate

 

$

(2,431

)

 

$

4,997

 

Change in mortality table

 

 

134

 

 

 

(380

)

Other

 

 

(60

)

 

 

(449

)

Actuarial (gain) loss

 

$

(2,357

)

 

$

4,168

 
Net Periodic Benefit Cost

 

 

 

Years Ended December 31,

 

 

 

2021

 

 

2020

 

 

2019

 

Net periodic benefit cost:

 

 

 

 

 

 

 

 

 

Service cost

 

$

75

 

 

$

77

 

 

$

109

 

Interest cost

 

 

1,125

 

 

 

1,576

 

 

 

2,044

 

Amortization of prior service cost

 

 

111

 

 

 

150

 

 

 

250

 

Recognized net actuarial loss

 

 

1,192

 

 

 

957

 

 

 

627

 

Net periodic benefit cost

 

$

2,503

 

 

$

2,760

 

 

$

3,030

 

 

 

 

 

 

 

 

 

 

 

Other changes in plan assets and benefit obligation recognized in other
   comprehensive income (loss), before taxes:

 

 

 

 

 

 

 

 

 

Net (gain) loss

 

$

(3,549

)

 

$

3,211

 

 

$

4,872

 

Amortization of prior service cost

 

 

(111

)

 

 

(150

)

 

 

(250

)

Total recognized in other comprehensive income (loss)

 

$

(3,660

)

 

$

3,061

 

 

$

4,622

 

Total recognized in net periodic benefit cost and other comprehensive
   income (loss)

 

$

(1,157

)

 

$

5,821

 

 

$

7,652

 

 

 

 

 

 

 

 

 

 

 

Weighted-average assumptions as of end of year:

 

 

 

 

 

 

 

 

 

Discount rate for benefit obligation

 

 

2.41

%

 

 

1.95

%

 

 

2.84

%

Discount rate for net periodic benefit cost

 

 

1.95

%

 

 

2.84

%

 

 

3.97

%
Estimated Future Benefit Payments and Other Disclosures

The following table presents the expected benefits payments for Trustmark’s supplemental retirement plans ($ in thousands):

 

Year

 

Amount

 

2022

 

$

4,065

 

2023

 

 

3,978

 

2024

 

 

3,967

 

2025

 

 

3,801

 

2026

 

 

3,742

 

2027 - 2031

 

 

16,941

 
v3.22.0.1
Stock and Incentive Compensation Plans (Tables)
 12 Months Ended
Dec. 31, 2021
Compensation Expense for Awards Under Stock Plan

The following table presents information regarding compensation expense for awards under the Stock Plan for the periods presented ($ in thousands):

 

 

 

 

 

 

 

 

 

 

 

At December 31, 2021

 

 

 

Recognized Compensation Expense

 

 

Unrecognized

 

 

Weighted Average

 

 

 

for Years Ended December 31,

 

 

Compensation

 

 

Life of Unrecognized

 

 

 

2021

 

 

2020

 

 

2019

 

 

Expense

 

 

Compensation Expense

 

Performance awards

 

$

828

 

 

$

815

 

 

$

1,524

 

 

$

1,475

 

 

 

1.64

 

Time-based awards

 

 

4,774

 

 

 

4,382

 

 

 

3,263

 

 

 

3,185

 

 

 

1.77

 

Total

 

$

5,602

 

 

$

5,197

 

 

$

4,787

 

 

$

4,660

 

 

 

 
Performance Based Award [Member]  
Summary of Stock Plan Activity

The following table summarizes Trustmark’s performance award activity for the periods presented:

 

 

 

Years Ended December 31,

 

 

 

2021

 

 

2020

 

 

2019

 

 

 

 

 

 

Weighted-

 

 

 

 

 

Weighted-

 

 

 

 

 

Weighted-

 

 

 

 

 

 

Average

 

 

 

 

 

Average

 

 

 

 

 

Average

 

 

 

 

 

 

Grant-Date

 

 

 

 

 

Grant-Date

 

 

 

 

 

Grant-Date

 

 

 

Shares

 

 

Fair Value

 

 

Shares

 

 

Fair Value

 

 

Shares

 

 

Fair Value

 

Nonvested shares, beginning of year

 

 

145,042

 

 

$

32.43

 

 

 

149,914

 

 

$

32.88

 

 

 

177,695

 

 

$

27.10

 

Granted

 

 

53,273

 

 

 

30.02

 

 

 

53,450

 

 

 

31.98

 

 

 

50,862

 

 

 

33.44

 

Released from restriction

 

 

(44,536

)

 

 

31.88

 

 

 

(36,357

)

 

 

33.31

 

 

 

(61,347

)

 

 

20.18

 

Forfeited

 

 

(12,958

)

 

 

31.28

 

 

 

(21,965

)

 

 

32.97

 

 

 

(17,296

)

 

 

20.18

 

Nonvested shares, end of year

 

 

140,821

 

 

$

31.80

 

 

 

145,042

 

 

$

32.43

 

 

 

149,914

 

 

$

32.88

 
Time-based Awards [Member]  
Summary of Stock Plan Activity

The following table summarizes Trustmark’s time-based award activity for the periods presented:

 

 

 

Years Ended December 31,

 

 

 

2021

 

 

2020

 

 

2019

 

 

 

 

 

 

Weighted-

 

 

 

 

 

Weighted-

 

 

 

 

 

Weighted-

 

 

 

 

 

 

Average

 

 

 

 

 

Average

 

 

 

 

 

Average

 

 

 

 

 

 

Grant-Date

 

 

 

 

 

Grant-Date

 

 

 

 

 

Grant-Date

 

 

 

Shares

 

 

Fair Value

 

 

Shares

 

 

Fair Value

 

 

Shares

 

 

Fair Value

 

Nonvested shares, beginning of year

 

 

301,619

 

 

$

32.24

 

 

 

300,006

 

 

$

33.04

 

 

 

321,870

 

 

$

28.48

 

Granted

 

 

180,847

 

 

 

29.85

 

 

 

123,810

 

 

 

31.52

 

 

 

113,673

 

 

 

33.42

 

Released from restriction

 

 

(135,120

)

 

 

31.77

 

 

 

(110,537

)

 

 

33.58

 

 

 

(124,598

)

 

 

21.64

 

Forfeited

 

 

(9,880

)

 

 

31.19

 

 

 

(11,660

)

 

 

32.47

 

 

 

(10,939

)

 

 

32.73

 

Nonvested shares, end of year

 

 

337,466

 

 

$

31.18

 

 

 

301,619

 

 

$

32.24

 

 

 

300,006

 

 

$

33.04

 
v3.22.0.1
Commitments and Contingencies (Tables)
 12 Months Ended
Dec. 31, 2020
Commitments and Contingencies Disclosure [Abstract]  
Summary of Changes in ACL on Off-balance Sheet Credit Exposures

Changes in the ACL on off-balance sheet credit exposures were as follows for the period presented ($ in thousands):

 

 

 

Years Ended December 31,

 

 

 

2021

 

 

2020

 

Balance at beginning of period

 

$

38,572

 

 

$

—

 

FASB ASU 2016-13 adoption adjustment

 

 

—

 

 

 

29,638

 

PCL, off-balance sheet credit exposures (1)

 

 

(2,949

)

 

 

8,934

 

Balance at end of period

 

$

35,623

 

 

$

38,572

 
(1)
During 2021, Trustmark reclassified its credit loss expense related to off-balance sheet credit exposures from noninterest expense to PCL, off-balance sheet credit exposures. Prior periods have been reclassified accordingly.
v3.22.0.1
Shareholders' Equity (Tables)
 12 Months Ended
Dec. 31, 2021
Stockholders' Equity Note [Abstract]  
Table of Actual Regulatory Capital Amounts and Ratios

The following table provides Trustmark’s and TNB’s actual regulatory capital amounts and ratios under regulatory capital standards in effect at December 31, 2021 and 2020 ($ in thousands):

 

 

Actual

 

 

 

 

 

 

 

 

 

Regulatory Capital

 

 

Minimum

 

 

To Be Well

 

 

 

Amount

 

 

Ratio

 

 

Requirement

 

 

Capitalized

 

At December 31, 2021:

 

 

 

 

 

 

 

 

 

 

 

 

Common Equity Tier 1 Capital (to Risk Weighted Assets)

 

 

 

 

 

 

 

 

 

 

 

 

Trustmark Corporation

 

$

1,425,227

 

 

 

11.29

%

 

 

7.000

%

 

n/a

 

Trustmark National Bank

 

 

1,518,599

 

 

 

12.03

%

 

 

7.000

%

 

 

6.50

%

 

 

 

 

 

 

 

 

 

 

 

 

 

Tier 1 Capital (to Risk Weighted Assets)

 

 

 

 

 

 

 

 

 

 

 

 

Trustmark Corporation

 

$

1,485,227

 

 

 

11.77

%

 

 

8.500

%

 

n/a

 

Trustmark National Bank

 

 

1,518,599

 

 

 

12.03

%

 

 

8.500

%

 

 

8.00

%

 

 

 

 

 

 

 

 

 

 

 

 

 

Total Capital (to Risk Weighted Assets)

 

 

 

 

 

 

 

 

 

 

 

 

Trustmark Corporation

 

$

1,710,700

 

 

 

13.55

%

 

 

10.500

%

 

n/a

 

Trustmark National Bank

 

 

1,621,030

 

 

 

12.84

%

 

 

10.500

%

 

 

10.00

%

 

 

 

 

 

 

 

 

 

 

 

 

 

Tier 1 Leverage (to Average Assets)

 

 

 

 

 

 

 

 

 

 

 

 

Trustmark Corporation

 

$

1,485,227

 

 

 

8.73

%

 

 

4.00

%

 

n/a

 

Trustmark National Bank

 

 

1,518,599

 

 

 

8.94

%

 

 

4.00

%

 

 

5.00

%

 

 

 

 

 

 

 

 

 

 

 

 

 

At December 31, 2020:

 

 

 

 

 

 

 

 

 

 

 

 

Common Equity Tier 1 Capital (to Risk Weighted Assets)

 

 

 

 

 

 

 

 

 

 

 

 

Trustmark Corporation

 

$

1,395,844

 

 

 

11.62

%

 

 

7.000

%

 

n/a

 

Trustmark National Bank

 

 

1,412,015

 

 

 

11.75

%

 

 

7.000

%

 

 

6.50

%

 

 

 

 

 

 

 

 

 

 

 

 

 

Tier 1 Capital (to Risk Weighted Assets)

 

 

 

 

 

 

 

 

 

 

 

 

Trustmark Corporation

 

$

1,455,844

 

 

 

12.11

%

 

 

8.500

%

 

n/a

 

Trustmark National Bank

 

 

1,412,015

 

 

 

11.75

%

 

 

8.500

%

 

 

8.00

%

 

 

 

 

 

 

 

 

 

 

 

 

 

Total Capital (to Risk Weighted Assets)

 

 

 

 

 

 

 

 

 

 

 

 

Trustmark Corporation

 

$

1,696,794

 

 

 

14.12

%

 

 

10.500

%

 

n/a

 

Trustmark National Bank

 

 

1,530,044

 

 

 

12.73

%

 

 

10.500

%

 

 

10.00

%

 

 

 

 

 

 

 

 

 

 

 

 

 

Tier 1 Leverage (to Average Assets)

 

 

 

 

 

 

 

 

 

 

 

 

Trustmark Corporation

 

$

1,455,844

 

 

 

9.33

%

 

 

4.00

%

 

n/a

 

Trustmark National Bank

 

 

1,412,015

 

 

 

9.07

%

 

 

4.00

%

 

 

5.00

%

 
Net Change in Components of Accumulated Other Comprehensive Income (Loss) and the Related Tax Effects

 

 

 

Before Tax

 

 

Tax (Expense)

 

 

Net of Tax

 

 

 

Amount

 

 

Benefit

 

 

Amount

 

Year Ended December 31, 2021

 

 

 

 

 

 

 

 

 

Securities available for sale and transferred securities:

 

 

 

 

 

 

 

 

 

Net unrealized holding gains (losses) arising during the period

 

$

(49,454

)

 

$

12,364

 

 

$

(37,090

)

Change in net unrealized holding loss on securities transferred to held to maturity

 

 

2,647

 

 

 

(662

)

 

 

1,985

 

Total securities available for sale and transferred securities

 

 

(46,807

)

 

 

11,702

 

 

 

(35,105

)

Pension and other postretirement benefit plans:

 

 

 

 

 

 

 

 

 

Change in the actuarial loss of pension and other postretirement
   benefit plans

 

 

2,845

 

 

 

(711

)

 

 

2,134

 

Reclassification adjustments for changes realized in net income:

 

 

 

 

 

 

 

 

 

Net change in prior service costs

 

 

111

 

 

 

(27

)

 

 

84

 

Recognized net loss due to lump sum settlements

 

 

183

 

 

 

(46

)

 

 

137

 

Change in net actuarial loss

 

 

1,655

 

 

 

(414

)

 

 

1,241

 

Total pension and other postretirement benefit plans

 

 

4,794

 

 

 

(1,198

)

 

 

3,596

 

Total other comprehensive income (loss)

 

$

(42,013

)

 

$

10,504

 

 

$

(31,509

)

 

 

 

 

 

 

 

 

 

 

Year Ended December 31, 2020

 

 

 

 

 

 

 

 

 

Securities available for sale and transferred securities:

 

 

 

 

 

 

 

 

 

Net unrealized holding gains (losses) arising during the period

 

$

30,622

 

 

$

(7,657

)

 

$

22,965

 

Change in net unrealized holding loss on securities transferred to held to maturity

 

 

3,177

 

 

 

(794

)

 

 

2,383

 

Total securities available for sale and transferred securities

 

 

33,799

 

 

 

(8,451

)

 

 

25,348

 

Pension and other postretirement benefit plans:

 

 

 

 

 

 

 

 

 

Change in the actuarial loss of pension and other postretirement
   benefit plans

 

 

(5,128

)

 

 

1,282

 

 

 

(3,846

)

Reclassification adjustments for changes realized in net income:

 

 

 

 

 

 

 

 

 

Net change in prior service costs

 

 

150

 

 

 

(38

)

 

 

112

 

Recognized net loss due to lump sum settlements

 

 

119

 

 

 

(30

)

 

 

89

 

Change in net actuarial loss

 

 

1,128

 

 

 

(282

)

 

 

846

 

Total pension and other postretirement benefit plans

 

 

(3,731

)

 

 

932

 

 

 

(2,799

)

Total other comprehensive income (loss)

 

$

30,068

 

 

$

(7,519

)

 

$

22,549

 

 

 

 

 

 

 

 

 

 

 

Year Ended December 31, 2019

 

 

 

 

 

 

 

 

 

Securities available for sale and transferred securities:

 

 

 

 

 

 

 

 

 

Net unrealized holding gains (losses) arising during the period

 

$

44,136

 

 

$

(11,033

)

 

$

33,103

 

Change in net unrealized holding loss on securities transferred to held to maturity

 

 

3,605

 

 

 

(901

)

 

 

2,704

 

Total securities available for sale and transferred securities

 

 

47,741

 

 

 

(11,934

)

 

 

35,807

 

Pension and other postretirement benefit plans:

 

 

 

 

 

 

 

 

 

Change in the actuarial loss of pension and other postretirement
   benefit plans

 

 

(5,703

)

 

 

1,425

 

 

 

(4,278

)

Reclassification adjustments for changes realized in net income:

 

 

 

 

 

 

 

 

 

Net change in prior service costs

 

 

250

 

 

 

(63

)

 

 

187

 

Recognized net loss due to lump sum settlements

 

 

312

 

 

 

(77

)

 

 

235

 

Change in net actuarial loss

 

 

796

 

 

 

(199

)

 

 

597

 

Total pension and other postretirement benefit plans

 

 

(4,345

)

 

 

1,086

 

 

 

(3,259

)

Cash flow hedge derivatives:

 

 

 

 

 

 

 

 

 

Change in accumulated gain (loss) on effective cash flow hedge derivatives

 

 

(145

)

 

 

36

 

 

 

(109

)

Reclassification adjustment for (gain) loss realized in net income

 

 

(479

)

 

 

119

 

 

 

(360

)

Total cash flow hedge derivatives

 

 

(624

)

 

 

155

 

 

 

(469

)

Total other comprehensive income (loss)

 

$

42,772

 

 

$

(10,693

)

 

$

32,079

 
Components of Reclassifications Out of Accumulated Other Comprehensive Income (Loss)

The following table presents the changes in the balances of each component of accumulated other comprehensive income (loss) for the periods presented ($ in thousands). All amounts are presented net of tax.

 

 

 

Securities
Available for Sale
and Transferred
Securities

 

 

Defined
Benefit
Pension Items

 

 

Cash Flow Hedge Derivative

 

 

Total

 

Balance, January 1, 2019

 

$

(43,824

)

 

$

(12,324

)

 

$

469

 

 

$

(55,679

)

Other comprehensive income (loss) before
   reclassification

 

 

35,807

 

 

 

(4,278

)

 

 

(109

)

 

 

31,420

 

Amounts reclassified from accumulated other
   comprehensive income (loss)

 

 

—

 

 

 

1,019

 

 

 

(360

)

 

 

659

 

Net other comprehensive income (loss)

 

 

35,807

 

 

 

(3,259

)

 

 

(469

)

 

 

32,079

 

Balance, December 31, 2019

 

 

(8,017

)

 

 

(15,583

)

 

 

—

 

 

 

(23,600

)

Other comprehensive income (loss) before
   reclassification

 

 

25,348

 

 

 

(3,846

)

 

 

—

 

 

 

21,502

 

Amounts reclassified from accumulated other
   comprehensive income (loss)

 

 

—

 

 

 

1,047

 

 

 

—

 

 

 

1,047

 

Net other comprehensive income (loss)

 

 

25,348

 

 

 

(2,799

)

 

 

—

 

 

 

22,549

 

Balance, December 31, 2020

 

 

17,331

 

 

 

(18,382

)

 

 

—

 

 

 

(1,051

)

Other comprehensive income (loss) before reclassification

 

 

(35,105

)

 

 

2,134

 

 

 

—

 

 

 

(32,971

)

Amounts reclassified from accumulated other
   comprehensive income (loss)

 

 

—

 

 

 

1,462

 

 

 

—

 

 

 

1,462

 

Net other comprehensive income (loss)

 

 

(35,105

)

 

 

3,596

 

 

 

—

 

 

 

(31,509

)

Balance, December 31, 2021

 

$

(17,774

)

 

$

(14,786

)

 

$

—

 

 

$

(32,560

)
v3.22.0.1
Fair Value (Tables)
 12 Months Ended
Dec. 31, 2021
Fair Value Disclosures [Abstract]  
Financial Assets and Liabilities Measured at Fair Value Recurring Basis

The following tables summarize financial assets and financial liabilities measured at fair value on a recurring basis at December 31, 2021 and 2020, segregated by the level of valuation inputs within the fair value hierarchy utilized to measure fair value ($ in thousands). There were no transfers between fair value levels for the years ended December 31, 2021 and 2020.

 

 

 

December 31, 2021

 

 

 

Total

 

 

Level 1

 

 

Level 2

 

 

Level 3

 

U.S. Treasury securities

 

$

344,640

 

 

$

344,640

 

 

$

—

 

 

$

—

 

U.S. Government agency obligations

 

 

13,727

 

 

 

—

 

 

 

13,727

 

 

 

—

 

Obligations of states and political subdivisions

 

 

5,714

 

 

 

—

 

 

 

5,714

 

 

 

—

 

Mortgage-backed securities

 

 

2,874,796

 

 

 

—

 

 

 

2,874,796

 

 

 

—

 

Securities available for sale

 

 

3,238,877

 

 

 

344,640

 

 

 

2,894,237

 

 

 

—

 

LHFS

 

 

275,706

 

 

 

—

 

 

 

275,706

 

 

 

—

 

MSR

 

 

87,687

 

 

 

—

 

 

 

—

 

 

 

87,687

 

Other assets - derivatives

 

 

24,809

 

 

 

2,794

 

 

 

20,156

 

 

 

1,859

 

Other liabilities - derivatives

 

 

4,677

 

 

 

414

 

 

 

4,263

 

 

 

—

 

 

 

 

December 31, 2020

 

 

 

Total

 

 

Level 1

 

 

Level 2

 

 

Level 3

 

U.S. Government agency obligations

 

$

18,041

 

 

$

—

 

 

$

18,041

 

 

$

—

 

Obligations of states and political subdivisions

 

 

5,835

 

 

 

—

 

 

 

5,835

 

 

 

—

 

Mortgage-backed securities

 

 

1,967,939

 

 

 

—

 

 

 

1,967,939

 

 

 

—

 

Securities available for sale

 

 

1,991,815

 

 

 

—

 

 

 

1,991,815

 

 

 

—

 

LHFS

 

 

446,951

 

 

 

—

 

 

 

446,951

 

 

 

—

 

MSR

 

 

66,464

 

 

 

—

 

 

 

—

 

 

 

66,464

 

Other assets - derivatives

 

 

47,768

 

 

 

145

 

 

 

38,063

 

 

 

9,560

 

Other liabilities - derivatives

 

 

5,324

 

 

 

666

 

 

 

4,658

 

 

 

—

 
Changes in Level 3 Assets Measured at Fair Value on a Recurring Basis

The changes in Level 3 assets measured at fair value on a recurring basis for the years ended December 31, 2021 and 2020 are summarized as follows ($ in thousands):

 

 

MSR

 

 

Other Assets -
Derivatives

 

Balance, January 1, 2021

 

$

66,464

 

 

$

9,560

 

Total net (loss) gain included in Mortgage banking, net (1)

 

 

(6,902

)

 

 

9,104

 

Additions

 

 

28,125

 

 

 

—

 

Sales

 

 

—

 

 

 

(16,805

)

Balance, December 31, 2021

 

$

87,687

 

 

$

1,859

 

 

 

 

 

 

 

 

The amount of total gains (losses) for the period included in earnings that are
   attributable to the change in unrealized gains or losses still held at
   December 31, 2021

 

$

13,258

 

 

$

3,159

 

 

 

 

 

 

 

 

Balance, January 1, 2020

 

$

79,394

 

 

$

1,439

 

Total net (loss) gain included in Mortgage banking, net (1)

 

 

(42,735

)

 

 

40,669

 

Additions

 

 

29,805

 

 

 

—

 

Sales

 

 

—

 

 

 

(32,548

)

Balance, December 31, 2020

 

$

66,464

 

 

$

9,560

 

 

 

 

 

 

 

 

The amount of total gains (losses) for the period included in earnings that are
   attributable to the change in unrealized gains or losses still held at
   December 31, 2020

 

$

(26,146

)

 

$

25,031

 
(1)
Total net (loss) gain included in Mortgage banking, net relating to the MSR includes changes in fair value due to market changes and due to run-off.
Carrying Amounts and Estimated Fair Values of Financial Instruments

The carrying amounts and estimated fair values of financial instruments at December 31, 2021 and 2020 were as follows ($ in thousands):

 

 

 

December 31, 2021

 

 

December 31, 2020

 

 

 

Carrying
 Value

 

 

Estimated
Fair Value

 

 

Carrying
Value

 

 

Estimated
Fair Value

 

Financial Assets:

 

 

 

 

 

 

 

 

 

 

 

 

Level 2 Inputs:

 

 

 

 

 

 

 

 

 

 

 

 

Cash and short-term investments

 

$

2,266,829

 

 

$

2,266,829

 

 

$

1,952,554

 

 

$

1,952,554

 

Securities held to maturity

 

 

342,537

 

 

 

353,511

 

 

 

538,072

 

 

 

563,115

 

Level 3 Inputs:

 

 

 

 

 

 

 

 

 

 

 

 

Net LHFI and PPP loans

 

 

10,181,708

 

 

 

10,123,379

 

 

 

10,317,352

 

 

 

10,312,395

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Financial Liabilities:

 

 

 

 

 

 

 

 

 

 

 

 

Level 2 Inputs:

 

 

 

 

 

 

 

 

 

 

 

 

Deposits

 

 

15,087,160

 

 

 

15,084,440

 

 

 

14,048,764

 

 

 

14,052,863

 

Federal funds purchased and securities sold under
   repurchase agreements

 

 

238,577

 

 

 

238,577

 

 

 

164,519

 

 

 

164,519

 

Other borrowings

 

 

91,025

 

 

 

91,022

 

 

 

168,252

 

 

 

168,252

 

Subordinated notes

 

 

123,042

 

 

 

128,438

 

 

 

122,921

 

 

 

127,500

 

Junior subordinated debt securities

 

 

61,856

 

 

 

49,485

 

 

 

61,856

 

 

 

46,083

 
Fair Value and the Contractual Principal Outstanding of the LHFS

The following table provides information about the fair value and the contractual principal outstanding of the LHFS accounted for under the fair value option at December 31, 2021 and 2020 ($ in thousands):

 

 

December 31,

 

 

 

2021

 

 

2020

 

Fair value of LHFS

 

$

191,242

 

 

$

305,791

 

LHFS contractual principal outstanding

 

 

186,535

 

 

 

290,625

 

Fair value less unpaid principal

 

$

4,707

 

 

$

15,166

 
v3.22.0.1
Derivative Financial Instruments (Tables)
 12 Months Ended
Dec. 31, 2021
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Fair Value of Derivative Instruments

The following tables disclose the fair value of derivative instruments in Trustmark’s consolidated balance sheets at December 31, 2021 and 2020 as well as the effect of these derivative instruments on Trustmark’s results of operations for the periods presented ($ in thousands):

 

 

December 31,

 

 

 

2021

 

 

2020

 

Derivatives not designated as hedging instruments

 

 

 

 

 

 

Interest rate contracts:

 

 

 

 

 

 

Futures contracts included in other assets

 

$

2,356

 

 

$

—

 

Exchange traded purchased options included in other assets

 

 

438

 

 

 

145

 

OTC written options (rate locks) included in other assets

 

 

1,859

 

 

 

9,560

 

Interest rate swaps included in other assets (1)

 

 

20,115

 

 

 

37,974

 

Credit risk participation agreements included in other assets

 

 

41

 

 

 

89

 

Futures contracts included in other liabilities

 

 

—

 

 

 

34

 

Forward contracts included in other liabilities

 

 

81

 

 

 

3,145

 

Exchange traded written options included in other liabilities

 

 

414

 

 

 

632

 

Interest rate swaps included in other liabilities (1)

 

 

4,144

 

 

 

1,313

 

Credit risk participation agreements included in other liabilities

 

 

38

 

 

 

200

 
(1)
In accordance with GAAP, the variation margin collateral payments made or received for interest rate swaps that are centrally cleared are legally characterized as settled. As a result, the centrally cleared interest rate swaps included in other assets and other liabilities are presented on a net basis in the accompanying consolidated balance sheets.
Effects of Derivative Instruments on Statements of Operations

 

 

 

Years Ended December 31,

 

 

 

2021

 

 

2020

 

 

2019

 

Derivatives in hedging relationships

 

 

 

 

 

 

 

 

 

Amount of gain (loss) reclassified from accumulated other
   comprehensive income (loss) and recognized in other
   interest expense

 

$

—

 

 

$

—

 

 

$

479

 

 

 

 

 

 

 

 

 

 

 

Derivatives not designated as hedging instruments

 

 

 

 

 

 

 

 

 

Amount of gain (loss) recognized in mortgage banking, net

 

$

(15,436

)

 

$

39,436

 

 

$

11,096

 

Amount of gain (loss) recognized in bank card and other fees

 

 

1,649

 

 

 

(1,022

)

 

 

(776

)
Schedule of Amount Included in Other Comprehensive Income for Derivative Instruments Designated as Hedges of Cash Flows

The following table discloses the amount included in other comprehensive income (loss), net of tax, for derivative instruments designated as cash flow hedges for the periods presented ($ in thousands):

 

 

Years Ended December 31,

 

 

 

2021

 

 

2020

 

 

2019

 

Derivatives in cash flow hedging relationship

 

 

 

 

 

 

 

 

 

Amount of gain (loss) recognized in other comprehensive
   income (loss), net of tax

 

$

—

 

 

$

—

 

 

$

(109

)
Information about Financial Instruments that are Eligible for Offset in the Consolidated Balance Sheets

Information about financial instruments that are eligible for offset in the consolidated balance sheets at December 31, 2021 and 2020 is presented in the following tables ($ in thousands):

 

Offsetting of Derivative Assets

 

As of December 31, 2021

 

 

 

 

 

 

 

 

 

 

 

 

Gross Amounts Not Offset in the
Statement of Financial Position

 

 

 

 

 

 

Gross
Amounts of
Recognized
Assets

 

 

Gross Amounts
Offset in the
Statement of
Financial Position

 

 

Net Amounts of
Assets presented
in the Statement of
Financial Position

 

 

Financial
Instruments

 

 

Cash Collateral
Received

 

 

Net Amount

 

Derivatives

 

$

20,115

 

 

$

—

 

 

$

20,115

 

 

$

55

 

 

$

—

 

 

$

20,170

 

 

Offsetting of Derivative Liabilities

 

As of December 31, 2021

 

 

 

 

 

 

 

 

 

 

 

 

Gross Amounts Not Offset in the
Statement of Financial Position

 

 

 

 

 

 

Gross
Amounts of
Recognized
Liabilities

 

 

Gross Amounts
Offset in the
Statement of
Financial Position

 

 

Net Amounts of
Liabilities presented
in the Statement of
Financial Position

 

 

Financial
Instruments

 

 

Cash Collateral
Posted

 

 

Net Amount

 

Derivatives

 

$

4,144

 

 

$

—

 

 

$

4,144

 

 

$

55

 

 

$

(850

)

 

$

3,349

 

 

Offsetting of Derivative Assets

 

As of December 31, 2020

 

 

 

 

 

 

 

 

 

 

 

 

Gross Amounts Not Offset in the
Statement of Financial Position

 

 

 

 

 

 

Gross
Amounts of
Recognized
Assets

 

 

Gross Amounts
Offset in the
Statement of
Financial Position

 

 

Net Amounts of
Assets presented
in the Statement of
Financial Position

 

 

Financial
Instruments

 

 

Cash Collateral
Received

 

 

Net Amount

 

Derivatives

 

$

37,974

 

 

$

—

 

 

$

37,974

 

 

$

—

 

 

$

—

 

 

$

37,974

 

 

Offsetting of Derivative Liabilities

 

As of December 31, 2020

 

 

 

 

 

 

 

 

 

 

 

 

Gross Amounts Not Offset in the
Statement of Financial Position

 

 

 

 

 

 

Gross
Amounts of
Recognized
Liabilities

 

 

Gross Amounts
Offset in the
Statement of
Financial Position

 

 

Net Amounts of
Liabilities presented
in the Statement of
Financial Position

 

 

Financial
Instruments

 

 

Cash Collateral
Posted

 

 

Net Amount

 

Derivatives

 

$

1,313

 

 

$

—

 

 

$

1,313

 

 

$

—

 

 

$

(1,313

)

 

$

—

 
v3.22.0.1
Segment Information (Tables)
 12 Months Ended
Dec. 31, 2021
Segment Reporting [Abstract]  
Schedule of Segment Information

The following table discloses financial information by reportable segment for the periods presented ($ in thousands):

 

 

 

Years Ended December 31,

 

 

 

2021

 

 

2020

 

 

2019

 

General Banking

 

 

 

 

 

 

 

 

 

Net interest income

 

$

413,201

 

 

$

420,225

 

 

$

419,597

 

PCL (1)

 

 

(24,439

)

 

 

45,058

 

 

 

10,622

 

Noninterest income

 

 

137,874

 

 

 

197,691

 

 

 

113,756

 

Noninterest expense (1)

 

 

421,561

 

 

 

401,810

 

 

 

367,976

 

Income before income taxes

 

 

153,953

 

 

 

171,048

 

 

 

154,755

 

Income taxes

 

 

22,706

 

 

 

25,109

 

 

 

18,638

 

General banking net income

 

$

131,247

 

 

$

145,939

 

 

$

136,117

 

 

 

 

 

 

 

 

 

 

 

Selected Financial Information

 

 

 

 

 

 

 

 

 

Total assets

 

$

17,275,438

 

 

$

16,226,358

 

 

$

13,140,467

 

Depreciation and amortization

 

$

44,776

 

 

$

40,351

 

 

$

38,634

 

 

 

 

 

 

 

 

 

 

 

Wealth Management

 

 

 

 

 

 

 

 

 

Net interest income

 

$

5,161

 

 

$

6,082

 

 

$

6,750

 

PCL

 

 

(9

)

 

 

(11

)

 

 

217

 

Noninterest income

 

 

35,420

 

 

 

31,634

 

 

 

30,860

 

Noninterest expense

 

 

31,721

 

 

 

30,318

 

 

 

28,882

 

Income before income taxes

 

 

8,869

 

 

 

7,409

 

 

 

8,511

 

Income taxes

 

 

2,219

 

 

 

1,853

 

 

 

2,123

 

Wealth Management net income

 

$

6,650

 

 

$

5,556

 

 

$

6,388

 

 

 

 

 

 

 

 

 

 

 

Selected Financial Information

 

 

 

 

 

 

 

 

 

Total assets

 

$

232,997

 

 

$

242,429

 

 

$

283,164

 

Depreciation and amortization

 

$

269

 

 

$

274

 

 

$

270

 

 

 

 

 

 

 

 

 

 

 

Insurance

 

 

 

 

 

 

 

 

 

Net interest income

 

$

(11

)

 

$

230

 

 

$

242

 

Noninterest income

 

 

48,616

 

 

 

45,268

 

 

 

42,429

 

Noninterest expense

 

 

36,014

 

 

 

34,173

 

 

 

32,144

 

Income before income taxes

 

 

12,591

 

 

 

11,325

 

 

 

10,527

 

Income taxes

 

 

3,123

 

 

 

2,795

 

 

 

2,572

 

Insurance net income

 

$

9,468

 

 

$

8,530

 

 

$

7,955

 

 

 

 

 

 

 

 

 

 

 

Selected Financial Information

 

 

 

 

 

 

 

 

 

Total assets

 

$

87,201

 

 

$

83,053

 

 

$

74,246

 

Depreciation and amortization

 

$

768

 

 

$

700

 

 

$

516

 

 

 

 

 

 

 

 

 

 

 

Consolidated

 

 

 

 

 

 

 

 

 

Net interest income

 

$

418,351

 

 

$

426,537

 

 

$

426,589

 

PCL (1)

 

 

(24,448

)

 

 

45,047

 

 

 

10,839

 

Noninterest income

 

 

221,910

 

 

 

274,593

 

 

 

187,045

 

Noninterest expense (1)

 

 

489,296

 

 

 

466,301

 

 

 

429,002

 

Income before income taxes

 

 

175,413

 

 

 

189,782

 

 

 

173,793

 

Income taxes

 

 

28,048

 

 

 

29,757

 

 

 

23,333

 

Consolidated net income

 

$

147,365

 

 

$

160,025

 

 

$

150,460

 

 

 

 

 

 

 

 

 

 

 

Selected Financial Information

 

 

 

 

 

 

 

 

 

Total assets

 

$

17,595,636

 

 

$

16,551,840

 

 

$

13,497,877

 

Depreciation and amortization

 

$

45,813

 

 

$

41,325

 

 

$

39,420

 
(1)
During 2021, Trustmark reclassified its credit loss expense related to off-balance sheet credit exposures from noninterest expense to PCL, off-balance sheet credit exposures. Prior periods have been reclassified accordingly.
v3.22.0.1
Parent Company Only Financial Information (Tables)
 12 Months Ended
Dec. 31, 2021
Condensed Financial Information Disclosure [Abstract]  
Parent Only Financial Statements

 

Condensed Balance Sheets

 

December 31,

 

 

 

2021

 

 

2020

 

Assets:

 

 

 

 

 

 

Investment in banks

 

$

1,851,398

 

 

$

1,769,165

 

Other assets

 

 

75,995

 

 

 

158,360

 

Total Assets

 

$

1,927,393

 

 

$

1,927,525

 

 

 

 

 

 

 

 

Liabilities and Shareholders' Equity:

 

 

 

 

 

 

Accrued expense

 

$

1,184

 

 

$

1,631

 

Subordinated notes

 

 

123,042

 

 

 

122,921

 

Junior subordinated debt securities

 

 

61,856

 

 

 

61,856

 

Shareholders' equity

 

 

1,741,311

 

 

 

1,741,117

 

Total Liabilities and Shareholders' Equity

 

$

1,927,393

 

 

$

1,927,525

 

 

Condensed Statements of Income

 

Years Ended December 31,

 

 

 

2021

 

 

2020

 

 

2019

 

Revenue:

 

 

 

 

 

 

 

 

 

Dividends received from banks

 

$

45,284

 

 

$

109,243

 

 

$

120,297

 

Earnings of subsidiaries over distributions

 

 

108,141

 

 

 

53,724

 

 

 

32,971

 

Other income

 

 

95

 

 

 

66

 

 

 

90

 

Total Revenue

 

 

153,520

 

 

 

163,033

 

 

 

153,358

 

Expense:

 

 

 

 

 

 

 

 

 

Other expense

 

 

6,155

 

 

 

3,008

 

 

 

2,898

 

Total Expense

 

 

6,155

 

 

 

3,008

 

 

 

2,898

 

Net Income

 

$

147,365

 

 

$

160,025

 

 

$

150,460

 

 

Condensed Statements of Cash Flows

 

Years Ended December 31,

 

 

 

2021

 

 

2020

 

 

2019

 

Operating Activities:

 

 

 

 

 

 

 

 

 

Net income

 

$

147,365

 

 

$

160,025

 

 

$

150,460

 

Adjustments to reconcile net income to net cash provided
   by operating activities:

 

 

 

 

 

 

 

 

 

Net change in investment in subsidiaries

 

 

(108,141

)

 

 

(53,724

)

 

 

(32,971

)

Other

 

 

(2,078

)

 

 

(326

)

 

 

(1,800

)

Net cash from operating activities

 

 

37,146

 

 

 

105,975

 

 

 

115,689

 

 

 

 

 

 

 

 

 

 

 

Financing Activities:

 

 

 

 

 

 

 

 

 

Proceeds from subordinated notes

 

 

—

 

 

 

122,900

 

 

 

—

 

Common stock dividends

 

 

(58,085

)

 

 

(58,769

)

 

 

(59,804

)

Repurchase and retirement of common stock

 

 

(61,799

)

 

 

(27,538

)

 

 

(56,615

)

Net cash from financing activities

 

 

(119,884

)

 

 

36,593

 

 

 

(116,419

)

Net change in cash and cash equivalents

 

 

(82,738

)

 

 

142,568

 

 

 

(730

)

Cash and cash equivalents at beginning of year

 

 

158,275

 

 

 

15,707

 

 

 

16,437

 

Cash and cash equivalents at end of year

 

$

75,537

 

 

$

158,275

 

 

$

15,707

 
v3.22.0.1
Significant Accounting Policies - Additional Information (Details)
 12 Months Ended
Dec. 31, 2021
USD ($)
Contract
Office
Fee
RevenueCategory
Dec. 31, 2020
USD ($)
Dec. 31, 2019
USD ($)
Summary Of Significant Accounting Policies [Line Items]      
Number of offices | Office 180    
Percentage of outstanding principal to be repurchased under GNMA optional repurchase program 100.00%    
Number of days to pass to be classified as past due LHFI 30 days    
Finite-lived intangible assets, average useful life 20 years    
Securities with limited marketability $ 32,900,000 $ 31,700,000  
Other-than-temporary impairment of investment in member bank stock $ 0 0 $ 0
Number of types of interchange fees | Fee 2    
Other real estate sales, net (losses) gains $ (1,869,000) 897,000 $ (291,000)
Number of trust management revenue categories | RevenueCategory 5    
Time period between service obligation completed and payment received from trust customer 30 days    
Increase to allowance for credit loss on off-balance sheet credit exposures $ 0 $ 29,638,000  
Fisher Brown Bottrell Insurance, Inc. [Member]      
Summary Of Significant Accounting Policies [Line Items]      
Number of general categories of insurance contracts | Contract 4    
Credit Card Loans [Member]      
Summary Of Significant Accounting Policies [Line Items]      
Number of days past due loans are to be charged-off 180 days    
Commercial Credits [Member]      
Summary Of Significant Accounting Policies [Line Items]      
Number of days past due for loan to be classified as nonaccrual 90 days    
Non-Business Purpose Credits [Member]      
Summary Of Significant Accounting Policies [Line Items]      
Number of days past due for loan to be classified as nonaccrual 120 days    
Number of days past due loans are to be charged-off 120 days    
Minimum [Member]      
Summary Of Significant Accounting Policies [Line Items]      
Number of days mortgage LHFS are retained on balance sheet 30 days    
Minimum [Member] | Fisher Brown Bottrell Insurance, Inc. [Member] | Personal Insurance Contracts [Member]      
Summary Of Significant Accounting Policies [Line Items]      
Insurance contracts payment received period 30 days    
Minimum [Member] | Fisher Brown Bottrell Insurance, Inc. [Member] | Employee Benefits Insurance Contracts [Member]      
Summary Of Significant Accounting Policies [Line Items]      
Insurance contracts payment received period 60 days    
Minimum [Member] | Furniture and Equipment [Member]      
Summary Of Significant Accounting Policies [Line Items]      
Estimated useful lives of the assets 3 years    
Maximum [Member]      
Summary Of Significant Accounting Policies [Line Items]      
Number of days mortgage LHFS are retained on balance sheet 45 days    
Maximum [Member] | Fisher Brown Bottrell Insurance, Inc. [Member] | Personal Insurance Contracts [Member]      
Summary Of Significant Accounting Policies [Line Items]      
Insurance contracts payment received period 60 days    
Maximum [Member] | Fisher Brown Bottrell Insurance, Inc. [Member] | Employee Benefits Insurance Contracts [Member]      
Summary Of Significant Accounting Policies [Line Items]      
Insurance contracts payment received period 90 days    
Maximum [Member] | Buildings [Member]      
Summary Of Significant Accounting Policies [Line Items]      
Estimated useful lives of the assets 39 years    
Maximum [Member] | Furniture and Equipment [Member]      
Summary Of Significant Accounting Policies [Line Items]      
Estimated useful lives of the assets 10 years    
Maximum [Member] | 1-4 Family Residential Real Estate [Member]      
Summary Of Significant Accounting Policies [Line Items]      
Number of days past due loans are to be charged-off 180 days    
ASU 2016-13 [Member] | Securities Available for Sale [Member]      
Summary Of Significant Accounting Policies [Line Items]      
Current expected credit loss $ 0    
ASU 2019-12 [Member]      
Summary Of Significant Accounting Policies [Line Items]      
Change in accounting principle, accounting standards update, adoption date Jan. 01, 2021    
Change in accounting principle, accounting standards update, adopted [true false] true    
Change in accounting principle, accounting standards update, immaterial effect [true false] true    
ASU 2018-14 [Member]      
Summary Of Significant Accounting Policies [Line Items]      
Change in accounting principle, accounting standards update, adoption date Jan. 01, 2021    
Change in accounting principle, accounting standards update, adopted [true false] true    
Change in accounting principle, accounting standards update, immaterial effect [true false] true    
Designated as Hedging Instrument [Member] | Interest Rate Swap [Member]      
Summary Of Significant Accounting Policies [Line Items]      
Description of variable rate basis for derivative three-month LIBOR    
Period for which cash flow hedges will be used to hedge quarterly interest payments 5 years    
Derivative inception date Dec. 31, 2014    
Derivative maturity date Dec. 31, 2019    
v3.22.0.1
Significant Accounting Policies - Additional Information (Details 1) - Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: 2021-01-01
Dec. 31, 2021
Personal Insurance Contracts [Member] | Fisher Brown Bottrell Insurance, Inc. [Member]  
Summary Of Significant Accounting Policies [Line Items]  
Revenue recognition contract term 1 year
Employee Benefits Insurance Contracts [Member] | Fisher Brown Bottrell Insurance, Inc. [Member]  
Summary Of Significant Accounting Policies [Line Items]  
Revenue recognition contract term 1 year
Contingency Commission Insurance Contracts [Member]  
Summary Of Significant Accounting Policies [Line Items]  
Revenue recognition contract term 1 year
Maximum [Member] | Insurance Contracts [Member]  
Summary Of Significant Accounting Policies [Line Items]  
Revenue recognition contract term 1 year
v3.22.0.1
Significant Accounting Policies - Supplemental Cash Flow Information (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2021
Dec. 31, 2020
Dec. 31, 2019
Statement of cash flows specific transaction amounts [Abstract]      
Income taxes paid $ 15,259 $ 46,648 $ 24,809
Interest paid on deposits and borrowings 24,429 42,968 83,997
Noncash transfers from loans to other real estate 770 635 8,598
Investment in tax credit partnership not funded 10,647 5,893 5,000
Finance right-of-use assets resulting from lease liabilities 92   9,326
Operating right-of-use assets resulting from lease liabilities $ 9,666 3,774 $ 31,182
Transfer of long-term FHLB advances to short-term   $ 651  
v3.22.0.1
Significant Accounting Policies - Weighted-Average Shares Used to Calculate Basic and Diluted EPS (Details) - shares
shares in Thousands
 12 Months Ended
Dec. 31, 2021
Dec. 31, 2020
Dec. 31, 2019
Earnings Per Share (EPS) [Abstract]      
Basic shares 62,788 63,505 64,630
Dilutive shares 185 141 142
Diluted shares 62,973 63,646 64,772
v3.22.0.1
Significant Accounting Policies - Weighted-Average Antidilutive Stock Awards Excluded from Determining Diluted EPS (Details) - shares
shares in Thousands
 12 Months Ended
Dec. 31, 2021
Dec. 31, 2020
Accounting Policies [Abstract]    
Weighted-average antidilutive stock awards (in shares) 1 57
v3.22.0.1
Cash and Due from Banks - Additional Information (Details) - USD ($)
$ in Millions
 12 Months Ended
Dec. 31, 2021
Dec. 31, 2020
Cash and Cash Equivalents [Abstract]    
Average reserve balances with Federal Reserve Bank   $ 19.0
Federal reserve tax rate, percent 0.00%  
v3.22.0.1
Securities Available for Sale and Held to Maturity - Amortized Cost and Estimated Fair Value of Available for Sale and Held to Maturity Securities (Details) - USD ($)
$ in Thousands
Dec. 31, 2021
Dec. 31, 2020
Schedule of Available For Sale and Held to Maturity Securities [Line Items]    
Securities Available for Sale, Amortized Cost $ 3,256,289 $ 1,959,773
Securities Available for Sale, Gross Unrealized Gains 13,509 33,889
Securities Available for Sale, Gross Unrealized (Losses) (30,921) (1,847)
Securities Available for Sale, Estimated Fair Value 3,238,877 1,991,815
Securities Held to Maturity, Amortized Cost 342,537 538,072
Securities Held to Maturity, Gross Unrealized Gains 11,011 25,101
Securities Held to Maturity, Gross Unrealized (Losses) (37) (58)
Securities Held to Maturity, Estimated Fair Value 353,511 563,115
U.S. Treasury Securities [Member]    
Schedule of Available For Sale and Held to Maturity Securities [Line Items]    
Securities Available for Sale, Amortized Cost 349,562  
Securities Available for Sale, Gross Unrealized Gains 16  
Securities Available for Sale, Gross Unrealized (Losses) (4,938)  
Securities Available for Sale, Estimated Fair Value 344,640  
Securities Held to Maturity, Amortized Cost 0  
Securities Held to Maturity, Gross Unrealized Gains 0  
Securities Held to Maturity, Gross Unrealized (Losses) 0  
Securities Held to Maturity, Estimated Fair Value 0  
U.S. Government Agency Obligations [Member]    
Schedule of Available For Sale and Held to Maturity Securities [Line Items]    
Securities Available for Sale, Amortized Cost 14,044 18,378
Securities Available for Sale, Gross Unrealized Gains 20 144
Securities Available for Sale, Gross Unrealized (Losses) (337) (481)
Securities Available for Sale, Estimated Fair Value 13,727 18,041
Securities Held to Maturity, Amortized Cost 0 0
Securities Held to Maturity, Gross Unrealized Gains 0  
Securities Held to Maturity, Gross Unrealized (Losses) 0 0
Securities Held to Maturity, Estimated Fair Value 0 0
Obligations of States and Political Subdivisions [Member]    
Schedule of Available For Sale and Held to Maturity Securities [Line Items]    
Securities Available for Sale, Amortized Cost 5,134 5,198
Securities Available for Sale, Gross Unrealized Gains 580 637
Securities Available for Sale, Gross Unrealized (Losses) 0 0
Securities Available for Sale, Estimated Fair Value 5,714 5,835
Securities Held to Maturity, Amortized Cost 7,328 26,584
Securities Held to Maturity, Gross Unrealized Gains 64 258
Securities Held to Maturity, Gross Unrealized (Losses) (3) (3)
Securities Held to Maturity, Estimated Fair Value 7,389 26,839
Residential Mortgage Pass-Through Securities Guaranteed by GNMA [Member]    
Schedule of Available For Sale and Held to Maturity Securities [Line Items]    
Securities Available for Sale, Amortized Cost 38,942 55,193
Securities Available for Sale, Gross Unrealized Gains 665 1,672
Securities Available for Sale, Gross Unrealized (Losses) (34) (3)
Securities Available for Sale, Estimated Fair Value 39,573 56,862
Securities Held to Maturity, Amortized Cost 5,005 7,598
Securities Held to Maturity, Gross Unrealized Gains 187 382
Securities Held to Maturity, Gross Unrealized (Losses) (3) 0
Securities Held to Maturity, Estimated Fair Value 5,189 7,980
Residential Mortgage Pass-Through Securities Issued by FNMA and FHLMC [Member]    
Schedule of Available For Sale and Held to Maturity Securities [Line Items]    
Securities Available for Sale, Amortized Cost 2,230,498 1,421,861
Securities Available for Sale, Gross Unrealized Gains 8,945 20,768
Securities Available for Sale, Gross Unrealized (Losses) (21,014) (1,308)
Securities Available for Sale, Estimated Fair Value 2,218,429 1,441,321
Securities Held to Maturity, Amortized Cost 43,444 67,944
Securities Held to Maturity, Gross Unrealized Gains 962 2,397
Securities Held to Maturity, Gross Unrealized (Losses) 0 0
Securities Held to Maturity, Estimated Fair Value 44,406 70,341
Other Residential Mortgage-Backed Securities Issued or Guaranteed by FNMA, FHLMC or GNMA [Member]    
Schedule of Available For Sale and Held to Maturity Securities [Line Items]    
Securities Available for Sale, Amortized Cost 193,908 409,883
Securities Available for Sale, Gross Unrealized Gains 2,879 9,600
Securities Available for Sale, Gross Unrealized (Losses) (97) (46)
Securities Available for Sale, Estimated Fair Value 196,690 419,437
Securities Held to Maturity, Amortized Cost 241,934 360,361
Securities Held to Maturity, Gross Unrealized Gains 9,015 19,678
Securities Held to Maturity, Gross Unrealized (Losses) (31) (55)
Securities Held to Maturity, Estimated Fair Value 250,918 379,984
Commercial Mortgage-Backed Securities Issued or Guaranteed by FNMA, FHLMC or GNMA [Member]    
Schedule of Available For Sale and Held to Maturity Securities [Line Items]    
Securities Available for Sale, Amortized Cost 424,201 49,260
Securities Available for Sale, Gross Unrealized Gains 404 1,068
Securities Available for Sale, Gross Unrealized (Losses) (4,501) (9)
Securities Available for Sale, Estimated Fair Value 420,104 50,319
Securities Held to Maturity, Amortized Cost 44,826 75,585
Securities Held to Maturity, Gross Unrealized Gains 783 2,386
Securities Held to Maturity, Gross Unrealized (Losses) 0 0
Securities Held to Maturity, Estimated Fair Value $ 45,609 $ 77,971
v3.22.0.1
Securities Available for Sale and Held to Maturity - Additional Information (Details) - USD ($)
 12 Months Ended
Dec. 31, 2021
Dec. 31, 2020
Dec. 31, 2019
Dec. 31, 2013
Schedule of Available For Sale and Held to Maturity Securities [Line Items]        
Reclassification of Securities available for sale to securities held to maturity       $ 1,099,000,000.000
Net unrealized holding loss on AFS Securities at date of transfer       46,600,000
Net unrealized holding losses on AFS Securities, net of tax at date of transfer       $ 28,800,000
Net unamortized, unrealized loss on transfer of securities $ 6,300,000 $ 8,900,000    
Net unamortized, unrealized loss on transfer of securities, net of tax 4,700,000 6,700,000    
Credit loss recognized 0 0    
Potential credit loss exposure 7,300,000 26,600,000    
Securities held to maturity 342,537,000 538,072,000    
Other-than-temporary impairments     $ 0  
Pledged to collateralize public deposits and securities sold under repurchase agreements and for other purposes as permitted by law 2,831,000,000 1,964,000,000    
Pledged securities providing additional contingency funding 0 0    
Realized gains or losses on security 0 0 $ 0  
30 Days or More Past Due [Member]        
Schedule of Available For Sale and Held to Maturity Securities [Line Items]        
Securities held to maturity 0 0    
Securities Available for Sale [Member]        
Schedule of Available For Sale and Held to Maturity Securities [Line Items]        
Accrued interest receivable 5,100,000 4,000,000.0    
Securities Held to Maturity [Member]        
Schedule of Available For Sale and Held to Maturity Securities [Line Items]        
Accrued interest receivable 670,000 1,200,000    
Reserve for credit loss 0 0    
Held-to-maturity nonnaccrual $ 0 $ 0    
v3.22.0.1
Securities Available for Sale and Held to Maturity - Securities Held to Maturity by Credit Rating, as Determined by Moody's (Details) - USD ($)
$ in Thousands
Dec. 31, 2021
Dec. 31, 2020
Schedule of Available For Sale and Held to Maturity Securities [Line Items]    
Securities Held to Maturity Amortized Cost $ 342,537 $ 538,072
Aaa [Member]    
Schedule of Available For Sale and Held to Maturity Securities [Line Items]    
Securities Held to Maturity Amortized Cost 335,208 511,488
Aaa1 to Aa3 [Member]    
Schedule of Available For Sale and Held to Maturity Securities [Line Items]    
Securities Held to Maturity Amortized Cost 5,007 22,528
Not Rated [Member]    
Schedule of Available For Sale and Held to Maturity Securities [Line Items]    
Securities Held to Maturity Amortized Cost [1] $ 2,322 $ 4,056
[1] Not rated securities primarily consist of Mississippi municipal general obligations.
v3.22.0.1
Securities Available for Sale and Held to Maturity - Securities with Gross Unrealized Losses, Segregated by Length of Impairment (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2021
Dec. 31, 2020
Schedule of Available For Sale and Held to Maturity Securities [Line Items]    
Estimated Fair Value, Less than 12 Months $ 2,423,465 $ 355,939
Estimated Fair Value, 12 Months or More 67,875 12,493
Estimated Fair Value, Total 2,491,340 368,432
Gross Unrealized (Losses), Less than 12 Months (29,552) (1,412)
Gross Unrealized (Losses), 12 Months or More (1,406) (493)
Gross Unrealized (Losses), Total (30,958) (1,905)
US Treasury Securities [Member]    
Schedule of Available For Sale and Held to Maturity Securities [Line Items]    
Estimated Fair Value, Less than 12 Months 315,123  
Estimated Fair Value, Total 315,123  
Gross Unrealized (Losses), Less than 12 Months (4,938)  
Gross Unrealized (Losses), Total (4,938)  
U.S. Government Agency Obligations [Member]    
Schedule of Available For Sale and Held to Maturity Securities [Line Items]    
Estimated Fair Value, Less than 12 Months 1,312 0
Estimated Fair Value, 12 Months or More 8,619 11,167
Estimated Fair Value, Total 9,931 11,167
Gross Unrealized (Losses), Less than 12 Months (5) 0
Gross Unrealized (Losses), 12 Months or More (332) (481)
Gross Unrealized (Losses), Total (337) (481)
Obligations of States and Political Subdivisions [Member]    
Schedule of Available For Sale and Held to Maturity Securities [Line Items]    
Estimated Fair Value, Less than 12 Months 3,006 0
Estimated Fair Value, 12 Months or More 667 667
Estimated Fair Value, Total 3,673 667
Gross Unrealized (Losses), Less than 12 Months (1) 0
Gross Unrealized (Losses), 12 Months or More (2) (3)
Gross Unrealized (Losses), Total (3) (3)
Residential Mortgage Pass-Through Securities Guaranteed by GNMA [Member]    
Schedule of Available For Sale and Held to Maturity Securities [Line Items]    
Estimated Fair Value, Less than 12 Months 6,040 1,636
Estimated Fair Value, 12 Months or More 0 0
Estimated Fair Value, Total 6,040 1,636
Gross Unrealized (Losses), Less than 12 Months (37) (3)
Gross Unrealized (Losses), 12 Months or More 0 0
Gross Unrealized (Losses), Total (37) (3)
Residential Mortgage Pass-Through Securities Issued by FNMA and FHLMC [Member]    
Schedule of Available For Sale and Held to Maturity Securities [Line Items]    
Estimated Fair Value, Less than 12 Months 1,734,921 324,905
Estimated Fair Value, 12 Months or More 55,303 0
Estimated Fair Value, Total 1,790,224 324,905
Gross Unrealized (Losses), Less than 12 Months (19,980) (1,308)
Gross Unrealized (Losses), 12 Months or More (1,034) 0
Gross Unrealized (Losses), Total (21,014) (1,308)
Other Residential Mortgage-Backed Securities Issued or Guaranteed by FNMA, FHLMC or GNMA [Member]    
Schedule of Available For Sale and Held to Maturity Securities [Line Items]    
Estimated Fair Value, Less than 12 Months 19,038 29,398
Estimated Fair Value, 12 Months or More 2,647 0
Estimated Fair Value, Total 21,685 29,398
Gross Unrealized (Losses), Less than 12 Months (99) (101)
Gross Unrealized (Losses), 12 Months or More (29) 0
Gross Unrealized (Losses), Total (128) (101)
Commercial Mortgage-Backed Securities Issued or Guaranteed by FNMA, FHLMC or GNMA [Member]    
Schedule of Available For Sale and Held to Maturity Securities [Line Items]    
Estimated Fair Value, Less than 12 Months 344,025 0
Estimated Fair Value, 12 Months or More 639 659
Estimated Fair Value, Total 344,664 659
Gross Unrealized (Losses), Less than 12 Months (4,492) 0
Gross Unrealized (Losses), 12 Months or More (9) (9)
Gross Unrealized (Losses), Total $ (4,501) $ (9)
v3.22.0.1
Securities Available for Sale and Held to Maturity - Contractual Maturities of Available for Sale and Held to Maturity Securities (Details) - USD ($)
$ in Thousands
Dec. 31, 2021
Dec. 31, 2020
Securities Available for Sale, Amortized Cost [Abstract]    
Due in one year or less $ 1,524  
Due after one year through five years 243,531  
Due after five years through ten years 113,074  
Due after ten years 10,611  
Total amortized cost, before mortgage-backed securities 368,740  
Mortgage-backed securities 2,887,549  
Securities Available for Sale, Amortized Cost 3,256,289 $ 1,959,773
Securities Available for Sale, Estimated Fair Value [Abstract]    
Due in one year or less 1,534  
Due after one year through five years 240,494  
Due after five years through ten years 111,752  
Due after ten years 10,301  
Total fair value, before mortgage-backed securities 364,081  
Mortgage-backed securities 2,874,796  
Total 3,238,877 1,991,815
Securities Held to Maturity, Amortized Cost [Abstract]    
Due in one year or less 2,809  
Due after one year through five years 4,519  
Total amortized cost, before mortgage-backed securities 7,328  
Mortgage-backed securities 335,209  
Securities Held to Maturity, Amortized Cost 342,537 538,072
Securities Held to Maturity, Estimated Fair Value [Abstract]    
Due in one year or less 2,827  
Due after one year through five years 4,562  
Total fair value, before mortgage-backed securities 7,389  
Mortgage-backed securities 346,122  
Total $ 353,511 $ 563,115
v3.22.0.1
LHFI and ACL, LHFI - Loan Portfolio Held for Investment (Details) - USD ($)
$ in Thousands
Dec. 31, 2021
Dec. 31, 2020
Loan Portfolio [Abstract]    
Total LHFI $ 10,247,829 $ 9,824,524
Less ACL, LHFI 99,457 117,306
Net LHFI 10,148,372 9,707,218
Construction, Land Development and Other Land [Member] | Loans Secured by Real Estate [Member]    
Loan Portfolio [Abstract]    
Total LHFI 596,968 514,056
Other Secured by 1-4 Family Residential Properties [Member] | Loans Secured by Real Estate [Member]    
Loan Portfolio [Abstract]    
Total LHFI 517,683 524,732
Secured by 1-4 Family Residential Properties [Member] | Other Loans Secured by Real Estate [Member]    
Loan Portfolio [Abstract]    
Total LHFI 1,460,310 1,216,400
Other Real Estate Secured [Member] | Loans Secured by Real Estate [Member]    
Loan Portfolio [Abstract]    
Total LHFI 726,043 1,065,964
Other Construction [Member] | Other Loans Secured by Real Estate [Member]    
Loan Portfolio [Abstract]    
Total LHFI 711,813 794,983
Secured by Nonfarm, Nonresidential Properties [Member] | Loans Secured by Real Estate [Member]    
Loan Portfolio [Abstract]    
Total LHFI 2,977,084 2,709,026
Commercial and Industrial Loans [Member]    
Loan Portfolio [Abstract]    
Total LHFI 1,414,279 1,309,078
Consumer Loans [Member]    
Loan Portfolio [Abstract]    
Total LHFI 162,555 164,386
State and Other Political Subdivision Loans [Member]    
Loan Portfolio [Abstract]    
Total LHFI 1,146,251 1,000,776
Other Commercial Loans [Member]    
Loan Portfolio [Abstract]    
Total LHFI $ 534,843 $ 525,123
v3.22.0.1
LHFI and ACL, LHFI - Additional Information (Details 1)
$ in Thousands
 12 Months Ended
Dec. 31, 2021
USD ($)
Region
Dec. 31, 2020
USD ($)
Dec. 31, 2019
USD ($)
Accounts, Notes, Loans and Financing Receivable, Gross, Allowance, and Net [Abstract]      
Accrued interest receivable $ 26,700 $ 33,000  
Maximum concentration of loan as a percentage of total LHFI 10.00%    
Key market regions | Region 5    
Loans and Leases Receivable, Related Parties $ 26,300 37,700  
New loan advances to related party 170,300    
Loan repayment by related party 181,300    
Decrease in loans due to changes in executive officers and directors 426    
LHFI classified as TDRs 21,600 25,800 $ 31,500
LHFI classified as TDRs from bankruptcies, payment concessions, credits with interest-only payments and credits renewed at a rate that was not commensurate with that of new debt with similar risk 18,200 17,700 20,800
Unused commitments on TDRs 1,000 4,500 7,000
Financing receivable, related allowance 1,500 2,400 3,200
Financing receivable, related charge-offs $ 3,700 2,300 $ 1,600
Period of extension on interest part of loans modified related to COVID-19 90 days    
Period of extension on full payment deferrals part of loans modified related to COVID-19 90 days    
Balance of loans remaining under some type of concession related to COVID-19 $ 1,100 $ 34,200  
v3.22.0.1
LHFI and ACL, LHFI - Schedule of Amortized Cost Basis of Loans on Nonaccrual Status (Details) - USD ($)
$ in Thousands
Dec. 31, 2021
Dec. 31, 2020
Financing Receivable Allowance For Credit Losses [Line Items]    
Nonaccrual With No ACL $ 22,769 $ 32,413
Total Nonaccrual 62,698 63,128
Loans Past Due 90 Days or More Still Accruing 2,114 1,576
Construction, Land Development and Other Land [Member] | Loans Secured by Real Estate [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Nonaccrual With No ACL 4,784 5,756
Total Nonaccrual 5,878 5,985
Loans Past Due 90 Days or More Still Accruing 7  
Other Secured by 1-4 Family Residential Properties [Member] | Loans Secured by Real Estate [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Nonaccrual With No ACL 1,319 1,895
Total Nonaccrual 3,418 4,487
Loans Past Due 90 Days or More Still Accruing 148 79
Secured by Nonfarm, Nonresidential Properties [Member] | Loans Secured by Real Estate [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Nonaccrual With No ACL 10,842 12,037
Total Nonaccrual 12,508 15,197
Other Real Estate Secured [Member] | Loans Secured by Real Estate [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Nonaccrual With No ACL 56 60
Total Nonaccrual 150 185
Secured by 1-4 Family Residential Properties [Member] | Other Loans Secured by Real Estate [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Total Nonaccrual 12,775 11,807
Loans Past Due 90 Days or More Still Accruing 1,655 1,257
Commercial and Industrial Loans [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Nonaccrual With No ACL 1,363 12,665
Total Nonaccrual 19,328 15,618
Consumer Loans [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Total Nonaccrual 117 86
Loans Past Due 90 Days or More Still Accruing 304 240
State and Other Political Subdivision Loans [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Total Nonaccrual 3,664 3,970
Other Commercial Loans [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Nonaccrual With No ACL 4,405  
Total Nonaccrual $ 4,860 $ 5,793
v3.22.0.1
LHFI and ACL, LHFI - Aging Analysis of Past Due and Nonaccrual LHFI by Loan Type (Details) - USD ($)
$ in Thousands
Dec. 31, 2021
Dec. 31, 2020
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI) $ 10,247,829 $ 9,824,524
Total LHFI 10,247,829 9,824,524
Past Due 30 to 59 Days [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI) 8,310 9,615
Past Due 60 to 89 Days [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI) 1,165 5,304
Past Due 90 Days or More [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI) 15,819 9,552
Financial Asset, Past Due [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI) 25,294 24,471
Current Loans    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI) 10,222,535 9,800,053
Construction, Land Development and Other Land [Member] | Loans Secured by Real Estate [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Total LHFI 596,968 514,056
Construction, Land Development and Other Land [Member] | Loans Secured by Real Estate [Member] | Past Due 30 to 59 Days [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI) 323 339
Construction, Land Development and Other Land [Member] | Loans Secured by Real Estate [Member] | Past Due 60 to 89 Days [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI) 11 34
Construction, Land Development and Other Land [Member] | Loans Secured by Real Estate [Member] | Past Due 90 Days or More [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI) 5,241 161
Construction, Land Development and Other Land [Member] | Loans Secured by Real Estate [Member] | Financial Asset, Past Due [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI) 5,575 534
Construction, Land Development and Other Land [Member] | Loans Secured by Real Estate [Member] | Current Loans    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI) 591,393 513,522
Other Secured by 1-4 Family Residential Properties [Member] | Loans Secured by Real Estate [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Total LHFI 517,683 524,732
Other Secured by 1-4 Family Residential Properties [Member] | Loans Secured by Real Estate [Member] | Past Due 30 to 59 Days [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI) 1,811 1,505
Other Secured by 1-4 Family Residential Properties [Member] | Loans Secured by Real Estate [Member] | Past Due 60 to 89 Days [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI) 368 523
Other Secured by 1-4 Family Residential Properties [Member] | Loans Secured by Real Estate [Member] | Past Due 90 Days or More [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI) 567 896
Other Secured by 1-4 Family Residential Properties [Member] | Loans Secured by Real Estate [Member] | Financial Asset, Past Due [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI) 2,746 2,924
Other Secured by 1-4 Family Residential Properties [Member] | Loans Secured by Real Estate [Member] | Current Loans    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI) 514,937 521,808
Secured by 1-4 Family Residential Properties [Member] | Other Loans Secured by Real Estate [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Total LHFI 1,460,310 1,216,400
Secured by 1-4 Family Residential Properties [Member] | Other Loans Secured by Real Estate [Member] | Past Due 30 to 59 Days [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI) 2,799 3,291
Secured by 1-4 Family Residential Properties [Member] | Other Loans Secured by Real Estate [Member] | Past Due 60 to 89 Days [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI) 531 1,289
Secured by 1-4 Family Residential Properties [Member] | Other Loans Secured by Real Estate [Member] | Past Due 90 Days or More [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI) 6,720 5,110
Secured by 1-4 Family Residential Properties [Member] | Other Loans Secured by Real Estate [Member] | Financial Asset, Past Due [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI) 10,050 9,690
Secured by 1-4 Family Residential Properties [Member] | Other Loans Secured by Real Estate [Member] | Current Loans    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI) 1,450,260 1,206,710
Secured by Nonfarm, Nonresidential Properties [Member] | Loans Secured by Real Estate [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI) 2,977,084 2,709,026
Total LHFI 2,977,084 2,709,026
Secured by Nonfarm, Nonresidential Properties [Member] | Loans Secured by Real Estate [Member] | Past Due 30 to 59 Days [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI) 845 920
Secured by Nonfarm, Nonresidential Properties [Member] | Loans Secured by Real Estate [Member] | Past Due 90 Days or More [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI) 1,442 972
Secured by Nonfarm, Nonresidential Properties [Member] | Loans Secured by Real Estate [Member] | Financial Asset, Past Due [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI) 2,287 1,892
Secured by Nonfarm, Nonresidential Properties [Member] | Loans Secured by Real Estate [Member] | Current Loans    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI) 2,974,797 2,707,134
Other Real Estate Secured [Member] | Loans Secured by Real Estate [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Total LHFI 726,043 1,065,964
Other Real Estate Secured [Member] | Loans Secured by Real Estate [Member] | Past Due 30 to 59 Days [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI)   103
Other Real Estate Secured [Member] | Loans Secured by Real Estate [Member] | Past Due 60 to 89 Days [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI)   101
Other Real Estate Secured [Member] | Loans Secured by Real Estate [Member] | Past Due 90 Days or More [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI) 142 107
Other Real Estate Secured [Member] | Loans Secured by Real Estate [Member] | Financial Asset, Past Due [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI) 142 311
Other Real Estate Secured [Member] | Loans Secured by Real Estate [Member] | Current Loans    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI) 725,901 1,065,653
Commercial and Industrial Loans [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI) 1,414,279 1,309,078
Total LHFI 1,414,279 1,309,078
Commercial and Industrial Loans [Member] | Past Due 30 to 59 Days [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI) 607 271
Commercial and Industrial Loans [Member] | Past Due 60 to 89 Days [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI) 41 196
Commercial and Industrial Loans [Member] | Past Due 90 Days or More [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI) 1,107 1,543
Commercial and Industrial Loans [Member] | Financial Asset, Past Due [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI) 1,755 2,010
Commercial and Industrial Loans [Member] | Current Loans    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI) 1,412,524 1,307,068
Other Construction [Member] | Other Loans Secured by Real Estate [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Total LHFI 711,813 794,983
Other Construction [Member] | Other Loans Secured by Real Estate [Member] | Current Loans    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI) 711,813 794,983
Consumer Loans [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI) 162,555 164,386
Total LHFI 162,555 164,386
Consumer Loans [Member] | Past Due 30 to 59 Days [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI) 1,673 926
Consumer Loans [Member] | Past Due 60 to 89 Days [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI) 182 190
Consumer Loans [Member] | Past Due 90 Days or More [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI) 305 240
Consumer Loans [Member] | Financial Asset, Past Due [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI) 2,160 1,356
Consumer Loans [Member] | Current Loans    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI) 160,395 163,030
State and Other Political Subdivision Loans [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI) 1,146,251 1,000,776
Total LHFI 1,146,251 1,000,776
State and Other Political Subdivision Loans [Member] | Past Due 30 to 59 Days [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI) 32 117
State and Other Political Subdivision Loans [Member] | Past Due 90 Days or More [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI) 177 177
State and Other Political Subdivision Loans [Member] | Financial Asset, Past Due [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI) 209 294
State and Other Political Subdivision Loans [Member] | Current Loans    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI) 1,146,042 1,000,482
Other Commercial Loans [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI) 534,843 525,123
Total LHFI 534,843 525,123
Other Commercial Loans [Member] | Past Due 30 to 59 Days [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI) 220 2,143
Other Commercial Loans [Member] | Past Due 60 to 89 Days [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI) 32 2,971
Other Commercial Loans [Member] | Past Due 90 Days or More [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI) 118 346
Other Commercial Loans [Member] | Financial Asset, Past Due [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI) 370 5,460
Other Commercial Loans [Member] | Current Loans    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI) $ 534,473 $ 519,663
v3.22.0.1
LHFI and ACL, LHFI - Impact of Modifications Classified as Troubled Debt Restructurings (Details) - Troubled Debt Restructurings [Member]
$ in Thousands
 12 Months Ended
Dec. 31, 2021
USD ($)
Contract
Dec. 31, 2020
USD ($)
Contract
Dec. 31, 2019
USD ($)
Contract
Financing Receivable Modifications [Line Items]      
Number of Contracts | Contract 24 27 30
Pre-Modification Outstanding Recorded Investment $ 13,337 $ 7,627 $ 15,994
Post-Modification Outstanding Recorded Investment $ 12,810 $ 7,602 $ 15,877
Construction, Land Development and Other Land [Member] | Loans Secured by Real Estate [Member]      
Financing Receivable Modifications [Line Items]      
Number of Contracts | Contract 5    
Pre-Modification Outstanding Recorded Investment $ 5,582    
Post-Modification Outstanding Recorded Investment $ 5,582    
Other Secured by 1-4 Family Residential Properties [Member] | Loans Secured by Real Estate [Member]      
Financing Receivable Modifications [Line Items]      
Number of Contracts | Contract 3 13  
Pre-Modification Outstanding Recorded Investment $ 37 $ 923  
Post-Modification Outstanding Recorded Investment $ 37 $ 929  
Secured by Nonfarm, Nonresidential Properties [Member] | Loans Secured by Real Estate [Member]      
Financing Receivable Modifications [Line Items]      
Number of Contracts | Contract 5 2 1
Pre-Modification Outstanding Recorded Investment $ 5,789 $ 1,111 $ 5,055
Post-Modification Outstanding Recorded Investment $ 5,265 $ 1,111 $ 5,055
Secured by 1-4 Family Residential Properties [Member] | Loans Secured by Real Estate [Member]      
Financing Receivable Modifications [Line Items]      
Number of Contracts | Contract     19
Pre-Modification Outstanding Recorded Investment     $ 1,742
Post-Modification Outstanding Recorded Investment     $ 1,738
Secured by 1-4 Family Residential Properties [Member] | Other Loans Secured by Real Estate [Member]      
Financing Receivable Modifications [Line Items]      
Number of Contracts | Contract 8    
Pre-Modification Outstanding Recorded Investment $ 909    
Post-Modification Outstanding Recorded Investment $ 906    
Commercial and Industrial Loans [Member]      
Financing Receivable Modifications [Line Items]      
Number of Contracts | Contract 2 4 8
Pre-Modification Outstanding Recorded Investment $ 1,014 $ 1,665 $ 9,167
Post-Modification Outstanding Recorded Investment $ 1,014 $ 1,664 $ 9,054
Consumer Loans [Member]      
Financing Receivable Modifications [Line Items]      
Number of Contracts | Contract 1 6 2
Pre-Modification Outstanding Recorded Investment $ 6 $ 26 $ 30
Post-Modification Outstanding Recorded Investment $ 6 $ 26 $ 30
State and Other Political Subdivision Loans [Member]      
Financing Receivable Modifications [Line Items]      
Number of Contracts | Contract   2  
Pre-Modification Outstanding Recorded Investment   $ 3,902  
Post-Modification Outstanding Recorded Investment   $ 3,872  
v3.22.0.1
LHFI and ACL, LHFI - Troubled Debt Restructuring Subsequently Defaulted (Details) - Troubled Debt Restructurings [Member]
$ in Thousands
 12 Months Ended
Dec. 31, 2021
USD ($)
Contract
Dec. 31, 2020
USD ($)
Contract
Dec. 31, 2019
USD ($)
Contract
Financing Receivable Modifications [Line Items]      
Number of Contracts | Contract 7 4 11
Recorded Investment | $ $ 5,676 $ 299 $ 665
Construction, Land Development and Other Land [Member] | Loans Secured by Real Estate [Member]      
Financing Receivable Modifications [Line Items]      
Number of Contracts | Contract 5    
Recorded Investment | $ $ 5,582    
Other Secured by 1-4 Family Residential Properties [Member] | Loans Secured by Real Estate [Member]      
Financing Receivable Modifications [Line Items]      
Number of Contracts | Contract 1 2 3
Recorded Investment | $ $ 16 $ 78 $ 446
Secured by Nonfarm, Nonresidential Properties [Member] | Loans Secured by Real Estate [Member]      
Financing Receivable Modifications [Line Items]      
Number of Contracts | Contract   1  
Recorded Investment | $   $ 139  
Secured by 1-4 Family Residential Properties [Member] | Other Loans Secured by Real Estate [Member]      
Financing Receivable Modifications [Line Items]      
Number of Contracts | Contract 1    
Recorded Investment | $ $ 78    
Commercial and Industrial Loans [Member]      
Financing Receivable Modifications [Line Items]      
Number of Contracts | Contract   1 7
Recorded Investment | $   $ 82 $ 192
Consumer Loans [Member]      
Financing Receivable Modifications [Line Items]      
Number of Contracts | Contract     1
Recorded Investment | $     $ 27
v3.22.0.1
LHFI and ACL, LHFI - Troubled Debt Restructuring Related to Loans Held for Investment, Excluding Covered Loans, by Loan Type (Details) - USD ($)
$ in Thousands
Dec. 31, 2021
Dec. 31, 2020
Dec. 31, 2019
Financing Receivable Modifications [Line Items]      
Nonaccrual $ 62,698 $ 63,128  
Construction, Land Development and Other Land [Member] | Loans Secured by Real Estate [Member]      
Financing Receivable Modifications [Line Items]      
Nonaccrual 5,878 5,985  
Secured by 1-4 Family Residential Properties [Member] | Other Loans Secured by Real Estate [Member]      
Financing Receivable Modifications [Line Items]      
Nonaccrual 12,775 11,807  
Other Secured by 1-4 Family Residential Properties [Member] | Loans Secured by Real Estate [Member]      
Financing Receivable Modifications [Line Items]      
Nonaccrual 3,418 4,487  
Secured by Nonfarm, Nonresidential Properties [Member] | Loans Secured by Real Estate [Member]      
Financing Receivable Modifications [Line Items]      
Nonaccrual 12,508 15,197  
Other Real Estate Secured [Member] | Loans Secured by Real Estate [Member]      
Financing Receivable Modifications [Line Items]      
Nonaccrual 150 185  
Commercial and Industrial Loans [Member]      
Financing Receivable Modifications [Line Items]      
Nonaccrual 19,328 15,618  
Consumer Loans [Member]      
Financing Receivable Modifications [Line Items]      
Nonaccrual 117 86  
State and Other Political Subdivision Loans [Member]      
Financing Receivable Modifications [Line Items]      
Nonaccrual 3,664 3,970  
Other Commercial Loans [Member]      
Financing Receivable Modifications [Line Items]      
Nonaccrual 4,860 5,793  
Troubled Debt Restructurings [Member]      
Financing Receivable Modifications [Line Items]      
Accruing 2,451 1,506 $ 3,396
Nonaccrual 19,160 24,254 28,127
Total 21,611 25,760 31,523
Troubled Debt Restructurings [Member] | Construction, Land Development and Other Land [Member] | Loans Secured by Real Estate [Member]      
Financing Receivable Modifications [Line Items]      
Accruing 0 0 0
Nonaccrual 4,640 12 15
Total 4,640 12 15
Troubled Debt Restructurings [Member] | Secured by 1-4 Family Residential Properties [Member] | Loans Secured by Real Estate [Member]      
Financing Receivable Modifications [Line Items]      
Accruing     77
Nonaccrual     3,865
Total     3,942
Troubled Debt Restructurings [Member] | Secured by 1-4 Family Residential Properties [Member] | Other Loans Secured by Real Estate [Member]      
Financing Receivable Modifications [Line Items]      
Accruing 50    
Nonaccrual 2,484    
Total 2,534    
Troubled Debt Restructurings [Member] | Other Secured by 1-4 Family Residential Properties [Member] | Loans Secured by Real Estate [Member]      
Financing Receivable Modifications [Line Items]      
Accruing 0 0  
Nonaccrual 965 3,699  
Total 965 3,699  
Troubled Debt Restructurings [Member] | Secured by Nonfarm, Nonresidential Properties [Member] | Loans Secured by Real Estate [Member]      
Financing Receivable Modifications [Line Items]      
Accruing 394 0 0
Nonaccrual 7,325 3,903 5,176
Total 7,719 3,903 5,176
Troubled Debt Restructurings [Member] | Commercial and Industrial Loans [Member]      
Financing Receivable Modifications [Line Items]      
Accruing 2,000 1,500 3,319
Nonaccrual 215 12,749 18,913
Total 2,215 14,249 22,232
Troubled Debt Restructurings [Member] | Consumer Loans [Member]      
Financing Receivable Modifications [Line Items]      
Accruing 7 6 0
Nonaccrual 9 17 21
Total 16 23 21
Troubled Debt Restructurings [Member] | State and Other Political Subdivision Loans [Member]      
Financing Receivable Modifications [Line Items]      
Accruing 0 0  
Nonaccrual 3,486 3,793  
Total 3,486 3,793  
Troubled Debt Restructurings [Member] | Other Commercial Loans [Member]      
Financing Receivable Modifications [Line Items]      
Accruing 0 0  
Nonaccrual 36 81  
Total $ 36 $ 81  
Troubled Debt Restructurings [Member] | Other Loans [Member]      
Financing Receivable Modifications [Line Items]      
Accruing     0
Nonaccrual     137
Total     $ 137
v3.22.0.1
LHFI and ACL, LHFI - Schedule of Amortized Cost Basis of Collateral-Dependent Loans by Class of Loans and Collateral Type (Details) - USD ($)
$ in Thousands
Dec. 31, 2021
Dec. 31, 2020
Financing Receivable Impaired [Line Items]    
Collateral-Dependent Loans $ 44,361 $ 43,409
Loans Secured by Real Estate [Member]    
Financing Receivable Impaired [Line Items]    
Collateral-Dependent Loans 25,923 24,410
Equipment and Machinery [Member]    
Financing Receivable Impaired [Line Items]    
Collateral-Dependent Loans 349 425
Inventory and Receivables [Member]    
Financing Receivable Impaired [Line Items]    
Collateral-Dependent Loans 1,253 6,857
Vehicles [Member]    
Financing Receivable Impaired [Line Items]    
Collateral-Dependent Loans 370 135
Miscellaneous [Member]    
Financing Receivable Impaired [Line Items]    
Collateral-Dependent Loans 16,466 11,582
Construction, Land Development and Other Land [Member]    
Financing Receivable Impaired [Line Items]    
Collateral-Dependent Loans 5,198 5,756
Construction, Land Development and Other Land [Member] | Loans Secured by Real Estate [Member]    
Financing Receivable Impaired [Line Items]    
Collateral-Dependent Loans 5,198 5,756
Other Secured by 1-4 Family Residential Properties [Member]    
Financing Receivable Impaired [Line Items]    
Collateral-Dependent Loans   454
Other Secured by 1-4 Family Residential Properties [Member] | Loans Secured by Real Estate [Member]    
Financing Receivable Impaired [Line Items]    
Collateral-Dependent Loans   454
Secured by Nonfarm, Nonresidential Properties [Member]    
Financing Receivable Impaired [Line Items]    
Collateral-Dependent Loans 11,072 12,037
Secured by Nonfarm, Nonresidential Properties [Member] | Loans Secured by Real Estate [Member]    
Financing Receivable Impaired [Line Items]    
Collateral-Dependent Loans 11,072 12,037
Other Real Estate Secured [Member]    
Financing Receivable Impaired [Line Items]    
Collateral-Dependent Loans 56 60
Other Real Estate Secured [Member] | Loans Secured by Real Estate [Member]    
Financing Receivable Impaired [Line Items]    
Collateral-Dependent Loans 56 60
Secured by 1-4 Family Residential Properties [Member]    
Financing Receivable Impaired [Line Items]    
Collateral-Dependent Loans 1,319 1,441
Secured by 1-4 Family Residential Properties [Member] | Loans Secured by Real Estate [Member]    
Financing Receivable Impaired [Line Items]    
Collateral-Dependent Loans 1,319 1,441
Commercial and Industrial Loans [Member]    
Financing Receivable Impaired [Line Items]    
Collateral-Dependent Loans 18,444 14,076
Commercial and Industrial Loans [Member] | Loans Secured by Real Estate [Member]    
Financing Receivable Impaired [Line Items]    
Collateral-Dependent Loans 42 86
Commercial and Industrial Loans [Member] | Equipment and Machinery [Member]    
Financing Receivable Impaired [Line Items]    
Collateral-Dependent Loans 349 425
Commercial and Industrial Loans [Member] | Inventory and Receivables [Member]    
Financing Receivable Impaired [Line Items]    
Collateral-Dependent Loans 1,253 4,899
Commercial and Industrial Loans [Member] | Vehicles [Member]    
Financing Receivable Impaired [Line Items]    
Collateral-Dependent Loans 370 135
Commercial and Industrial Loans [Member] | Miscellaneous [Member]    
Financing Receivable Impaired [Line Items]    
Collateral-Dependent Loans 16,430 8,531
State and Other Political Subdivision Loans [Member]    
Financing Receivable Impaired [Line Items]    
Collateral-Dependent Loans 3,664 3,970
State and Other Political Subdivision Loans [Member] | Loans Secured by Real Estate [Member]    
Financing Receivable Impaired [Line Items]    
Collateral-Dependent Loans 3,664 3,970
Other Commercial Loans [Member]    
Financing Receivable Impaired [Line Items]    
Collateral-Dependent Loans 4,608 5,615
Other Commercial Loans [Member] | Loans Secured by Real Estate [Member]    
Financing Receivable Impaired [Line Items]    
Collateral-Dependent Loans 4,572 606
Other Commercial Loans [Member] | Inventory and Receivables [Member]    
Financing Receivable Impaired [Line Items]    
Collateral-Dependent Loans   1,958
Other Commercial Loans [Member] | Miscellaneous [Member]    
Financing Receivable Impaired [Line Items]    
Collateral-Dependent Loans $ 36 $ 3,051
v3.22.0.1
LHFI and ACL, LHFI - Additional Information (Details 2)
 12 Months Ended
Dec. 31, 2021
USD ($)
KeyRatio
Dec. 31, 2020
USD ($)
Dec. 31, 2019
USD ($)
Financing Receivable Recorded Investment [Line Items]      
Number of key quality ratios | KeyRatio 6    
Exposure for commercial non accrual loans to be reviewed on individual basis $ 500,000    
Exposure for commercial accrual loans deemed to be reviewed on individual basis 500,000    
LHFS past due 90 days or more $ 69,900,000 $ 119,400,000  
Number of days used as baseline in evaluating collateral documentation exceptions for loan policy 90 days    
Financing Receivable [Abstract]      
PCL [1] $ (21,499,000) 36,113,000 $ 10,797,000
Allowance for Credit Losses, ACL [Member]      
Financing Receivable [Abstract]      
PCL (21,499,000) 36,113,000 $ 10,797,000
Commercial and Industrial Loans [Member]      
Financing Receivable [Abstract]      
PCL   2,400,000  
Commercial and Industrial Loans [Member] | Allowance for Credit Losses, ACL [Member]      
Financing Receivable [Abstract]      
PCL 3,752,000 (2,356,000)  
State and Other Political Subdivision Loans [Member]      
Financing Receivable [Abstract]      
PCL   1,500,000  
State and Other Political Subdivision Loans [Member] | Allowance for Credit Losses, ACL [Member]      
Financing Receivable [Abstract]      
PCL (482,000) $ (1,494,000)  
Minimum [Member]      
Financing Receivable [Abstract]      
Credit amount used as baseline in evaluating loan policy $ 100,000    
[1] Effective January 1, 2020, Trustmark adopted FASB ASU 2016-13 using the modified retrospective approach. Therefore, prior period balances are presented under legacy GAAP and may not be comparable to current period presentation.
v3.22.0.1
LHFI and ACL, LHFI - Summary of Amortized Cost Basis of Loans by Credit Quality Indicator (Details) - USD ($)
$ in Thousands
Dec. 31, 2021
Dec. 31, 2020
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, 2021 $ 3,495,006 $ 2,729,685
Term Loans by Origination Year, 2020 1,956,255 2,007,251
Term Loans by Origination Year, 2019 1,263,132 1,283,113
Term Loans by Origination Year, 2018 628,618 697,511
Term Loans by Origination Year, 2017 431,022 749,451
Term Loans by Origination Year, Prior to 2017 1,184,453 1,136,893
Financing Receivable, Revolving Loans 1,289,343 1,220,620
Total LHFI 10,247,829 9,824,524
Past Due 90 Days or More [Member]    
Financing Receivable Recorded Investment [Line Items]    
Total LHFI 15,819 9,552
Commercial and Industrial Loans [Member]    
Financing Receivable Recorded Investment [Line Items]    
Total LHFI 1,414,279 1,309,078
Commercial and Industrial Loans [Member] | Past Due 90 Days or More [Member]    
Financing Receivable Recorded Investment [Line Items]    
Total LHFI 1,107 1,543
State and Other Political Subdivision Loans [Member]    
Financing Receivable Recorded Investment [Line Items]    
Total LHFI 1,146,251 1,000,776
State and Other Political Subdivision Loans [Member] | Past Due 90 Days or More [Member]    
Financing Receivable Recorded Investment [Line Items]    
Total LHFI 177 177
Other Commercial Loans [Member]    
Financing Receivable Recorded Investment [Line Items]    
Total LHFI 534,843 525,123
Other Commercial Loans [Member] | Past Due 90 Days or More [Member]    
Financing Receivable Recorded Investment [Line Items]    
Total LHFI 118 346
Consumer Loans [Member]    
Financing Receivable Recorded Investment [Line Items]    
Total LHFI 162,555 164,386
Consumer Loans [Member] | Past Due 90 Days or More [Member]    
Financing Receivable Recorded Investment [Line Items]    
Total LHFI 305 240
Loans Secured by Real Estate [Member] | Construction, Land Development and Other Land [Member]    
Financing Receivable Recorded Investment [Line Items]    
Total LHFI 596,968 514,056
Loans Secured by Real Estate [Member] | Other Secured by 1-4 Family Residential Properties [Member]    
Financing Receivable Recorded Investment [Line Items]    
Total LHFI 517,683 524,732
Loans Secured by Real Estate [Member] | Other Real Estate Secured [Member]    
Financing Receivable Recorded Investment [Line Items]    
Total LHFI 726,043 1,065,964
Loans Secured by Real Estate [Member] | Secured by Nonfarm, Nonresidential Properties [Member]    
Financing Receivable Recorded Investment [Line Items]    
Total LHFI 2,977,084 2,709,026
Loans Secured by Real Estate [Member] | Secured by Nonfarm, Nonresidential Properties [Member] | Past Due 90 Days or More [Member]    
Financing Receivable Recorded Investment [Line Items]    
Total LHFI 1,442 972
Other Loans Secured by Real Estate [Member] | Other Construction [Member]    
Financing Receivable Recorded Investment [Line Items]    
Total LHFI 711,813 794,983
Other Loans Secured by Real Estate [Member] | Secured by 1-4 Family Residential Properties [Member]    
Financing Receivable Recorded Investment [Line Items]    
Total LHFI 1,460,310 1,216,400
Commercial LHFI [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, 2021 2,732,070 2,304,725
Term Loans by Origination Year, 2020 1,665,887 1,731,911
Term Loans by Origination Year, 2019 1,105,778 1,072,826
Term Loans by Origination Year, 2018 505,169 593,152
Term Loans by Origination Year, 2017 367,347 634,209
Term Loans by Origination Year, Prior to 2017 879,827 791,222
Financing Receivable, Revolving Loans 882,970 814,179
Total LHFI 8,139,048 7,942,224
Commercial LHFI [Member] | Commercial and Industrial Loans [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, 2021 518,266 457,222
Term Loans by Origination Year, 2020 250,920 167,117
Term Loans by Origination Year, 2019 75,636 87,348
Term Loans by Origination Year, 2018 35,179 81,720
Term Loans by Origination Year, 2017 59,301 61,323
Term Loans by Origination Year, Prior to 2017 36,273 48,242
Financing Receivable, Revolving Loans 438,704 406,106
Total LHFI 1,414,279 1,309,078
Commercial LHFI [Member] | Commercial and Industrial Loans [Member] | Pass - RR 1 through RR 6 [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, 2021 503,073 444,304
Term Loans by Origination Year, 2020 249,171 165,163
Term Loans by Origination Year, 2019 74,239 77,611
Term Loans by Origination Year, 2018 33,403 77,985
Term Loans by Origination Year, 2017 50,016 59,131
Term Loans by Origination Year, Prior to 2017 35,883 43,214
Financing Receivable, Revolving Loans 400,423 372,486
Total LHFI 1,346,208 1,239,894
Commercial LHFI [Member] | Commercial and Industrial Loans [Member] | Special Mention - RR 7 [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, 2021 643 677
Term Loans by Origination Year, 2020 365 45
Term Loans by Origination Year, 2019 147  
Term Loans by Origination Year, 2018 550  
Term Loans by Origination Year, 2017 48  
Financing Receivable, Revolving Loans 99 240
Total LHFI 1,852 962
Commercial LHFI [Member] | Commercial and Industrial Loans [Member] | Substandard - RR 8 [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, 2021 14,530 12,090
Term Loans by Origination Year, 2020 1,338 1,814
Term Loans by Origination Year, 2019 1,221 9,737
Term Loans by Origination Year, 2018 1,119 3,735
Term Loans by Origination Year, 2017 9,237 2,160
Term Loans by Origination Year, Prior to 2017 386 5,024
Financing Receivable, Revolving Loans 38,182 33,380
Total LHFI 66,013 67,940
Commercial LHFI [Member] | Commercial and Industrial Loans [Member] | Doubtful - RR 9 [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, 2021 20 151
Term Loans by Origination Year, 2020 46 95
Term Loans by Origination Year, 2019 29  
Term Loans by Origination Year, 2018 107  
Term Loans by Origination Year, 2017   32
Term Loans by Origination Year, Prior to 2017 4 4
Total LHFI 206 282
Commercial LHFI [Member] | State and Other Political Subdivision Loans [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, 2021 381,317 250,363
Term Loans by Origination Year, 2020 148,156 79,595
Term Loans by Origination Year, 2019 56,987 41,334
Term Loans by Origination Year, 2018 30,558 114,064
Term Loans by Origination Year, 2017 95,491 132,634
Term Loans by Origination Year, Prior to 2017 425,333 381,340
Financing Receivable, Revolving Loans 8,409 1,446
Total LHFI 1,146,251 1,000,776
Commercial LHFI [Member] | State and Other Political Subdivision Loans [Member] | Pass - RR 1 through RR 6 [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, 2021 381,317 250,363
Term Loans by Origination Year, 2020 148,156 79,595
Term Loans by Origination Year, 2019 56,987 41,334
Term Loans by Origination Year, 2018 30,558 113,817
Term Loans by Origination Year, 2017 95,491 132,634
Term Loans by Origination Year, Prior to 2017 418,319 372,831
Financing Receivable, Revolving Loans 8,409 1,446
Total LHFI 1,139,237 992,020
Commercial LHFI [Member] | State and Other Political Subdivision Loans [Member] | Special Mention - RR 7 [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, Prior to 2017 3,350 4,018
Total LHFI 3,350 4,018
Commercial LHFI [Member] | State and Other Political Subdivision Loans [Member] | Substandard - RR 8 [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, 2018   247
Term Loans by Origination Year, Prior to 2017 3,664 4,491
Total LHFI 3,664 4,738
Commercial LHFI [Member] | Other Commercial Loans [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, 2021 112,095 109,113
Term Loans by Origination Year, 2020 45,392 73,089
Term Loans by Origination Year, 2019 64,953 21,452
Term Loans by Origination Year, 2018 8,855 9,729
Term Loans by Origination Year, 2017 7,924 34,188
Term Loans by Origination Year, Prior to 2017 41,135 30,738
Financing Receivable, Revolving Loans 254,489 246,814
Total LHFI 534,843 525,123
Commercial LHFI [Member] | Other Commercial Loans [Member] | Pass - RR 1 through RR 6 [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, 2021 103,504 101,230
Term Loans by Origination Year, 2020 38,661 70,990
Term Loans by Origination Year, 2019 64,871 20,769
Term Loans by Origination Year, 2018 8,643 9,723
Term Loans by Origination Year, 2017 7,924 33,481
Term Loans by Origination Year, Prior to 2017 41,112 30,715
Financing Receivable, Revolving Loans 232,476 225,533
Total LHFI 497,191 492,441
Commercial LHFI [Member] | Other Commercial Loans [Member] | Special Mention - RR 7 [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, 2021 4,059 7,500
Financing Receivable, Revolving Loans 9,013 11,333
Total LHFI 13,072 18,833
Commercial LHFI [Member] | Other Commercial Loans [Member] | Substandard - RR 8 [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, 2021 4,532 381
Term Loans by Origination Year, 2020 6,681 2,099
Term Loans by Origination Year, 2019 82 683
Term Loans by Origination Year, 2018 212 6
Term Loans by Origination Year, 2017   707
Financing Receivable, Revolving Loans 13,000 9,948
Total LHFI 24,507 13,824
Commercial LHFI [Member] | Other Commercial Loans [Member] | Doubtful - RR 9 [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, 2021   2
Term Loans by Origination Year, 2020 50  
Term Loans by Origination Year, Prior to 2017 23 23
Total LHFI 73 25
Commercial LHFI [Member] | Loans Secured by Real Estate [Member] | Construction, Land Development and Other Land [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, 2021 378,752 292,637
Term Loans by Origination Year, 2020 82,558 66,441
Term Loans by Origination Year, 2019 24,801 27,627
Term Loans by Origination Year, 2018 2,219 4,499
Term Loans by Origination Year, 2017 1,367 3,768
Term Loans by Origination Year, Prior to 2017 2,932 3,628
Financing Receivable, Revolving Loans 26,505 28,649
Total LHFI 519,134 427,249
Commercial LHFI [Member] | Loans Secured by Real Estate [Member] | Construction, Land Development and Other Land [Member] | Pass - RR 1 through RR 6 [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, 2021 376,438 287,218
Term Loans by Origination Year, 2020 76,176 62,078
Term Loans by Origination Year, 2019 21,366 26,401
Term Loans by Origination Year, 2018 2,189 4,487
Term Loans by Origination Year, 2017 1,367 3,274
Term Loans by Origination Year, Prior to 2017 2,890 3,564
Financing Receivable, Revolving Loans 26,505 28,548
Total LHFI 506,931 415,570
Commercial LHFI [Member] | Loans Secured by Real Estate [Member] | Construction, Land Development and Other Land [Member] | Special Mention - RR 7 [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, 2021 71  
Term Loans by Origination Year, 2020 6,382  
Total LHFI 6,453  
Commercial LHFI [Member] | Loans Secured by Real Estate [Member] | Construction, Land Development and Other Land [Member] | Substandard - RR 8 [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, 2021 2,243 5,419
Term Loans by Origination Year, 2020   4,363
Term Loans by Origination Year, 2019 3,435 1,226
Term Loans by Origination Year, 2018 30 12
Term Loans by Origination Year, 2017   494
Term Loans by Origination Year, Prior to 2017   22
Financing Receivable, Revolving Loans   101
Total LHFI 5,708 11,637
Commercial LHFI [Member] | Loans Secured by Real Estate [Member] | Construction, Land Development and Other Land [Member] | Doubtful - RR 9 [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, Prior to 2017 42 42
Total LHFI 42 42
Commercial LHFI [Member] | Loans Secured by Real Estate [Member] | Other Secured by 1-4 Family Residential Properties [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, 2021 45,062 36,578
Term Loans by Origination Year, 2020 23,562 19,604
Term Loans by Origination Year, 2019 13,200 16,363
Term Loans by Origination Year, 2018 9,888 9,946
Term Loans by Origination Year, 2017 5,783 10,575
Term Loans by Origination Year, Prior to 2017 3,703 5,123
Financing Receivable, Revolving Loans 8,771 12,436
Total LHFI 109,969 110,625
Commercial LHFI [Member] | Loans Secured by Real Estate [Member] | Other Secured by 1-4 Family Residential Properties [Member] | Pass - RR 1 through RR 6 [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, 2021 44,208 35,139
Term Loans by Origination Year, 2020 23,269 19,596
Term Loans by Origination Year, 2019 13,194 15,399
Term Loans by Origination Year, 2018 9,722 9,605
Term Loans by Origination Year, 2017 5,737 10,273
Term Loans by Origination Year, Prior to 2017 3,076 4,786
Financing Receivable, Revolving Loans 8,771 8,486
Total LHFI 107,977 103,284
Commercial LHFI [Member] | Loans Secured by Real Estate [Member] | Other Secured by 1-4 Family Residential Properties [Member] | Special Mention - RR 7 [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, 2021 111 255
Term Loans by Origination Year, 2020 143  
Term Loans by Origination Year, 2019   50
Total LHFI 254 305
Commercial LHFI [Member] | Loans Secured by Real Estate [Member] | Other Secured by 1-4 Family Residential Properties [Member] | Substandard - RR 8 [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, 2021 721 1,155
Term Loans by Origination Year, 2020 150 8
Term Loans by Origination Year, 2019 6 914
Term Loans by Origination Year, 2018 166 341
Term Loans by Origination Year, 2017 46 302
Term Loans by Origination Year, Prior to 2017 627 337
Financing Receivable, Revolving Loans   3,950
Total LHFI 1,716 7,007
Commercial LHFI [Member] | Loans Secured by Real Estate [Member] | Other Secured by 1-4 Family Residential Properties [Member] | Doubtful - RR 9 [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, 2021 22 29
Total LHFI 22 29
Commercial LHFI [Member] | Loans Secured by Real Estate [Member] | Other Real Estate Secured [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, 2021 257,957 165,452
Term Loans by Origination Year, 2020 105,752 376,779
Term Loans by Origination Year, 2019 220,487 347,490
Term Loans by Origination Year, 2018 64,276 48,626
Term Loans by Origination Year, 2017 6,816 90,380
Term Loans by Origination Year, Prior to 2017 57,070 24,643
Financing Receivable, Revolving Loans 13,350 12,116
Total LHFI 725,708 1,065,486
Commercial LHFI [Member] | Loans Secured by Real Estate [Member] | Other Real Estate Secured [Member] | Pass - RR 1 through RR 6 [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, 2021 256,273 146,803
Term Loans by Origination Year, 2020 105,687 376,765
Term Loans by Origination Year, 2019 220,487 347,472
Term Loans by Origination Year, 2018 64,268 48,626
Term Loans by Origination Year, 2017 6,816 89,824
Term Loans by Origination Year, Prior to 2017 56,196 23,680
Financing Receivable, Revolving Loans 13,350 12,116
Total LHFI 723,077 1,045,286
Commercial LHFI [Member] | Loans Secured by Real Estate [Member] | Other Real Estate Secured [Member] | Special Mention - RR 7 [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, Prior to 2017 773 841
Total LHFI 773 841
Commercial LHFI [Member] | Loans Secured by Real Estate [Member] | Other Real Estate Secured [Member] | Substandard - RR 8 [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, 2021 1,684 18,649
Term Loans by Origination Year, 2020 65 14
Term Loans by Origination Year, 2019   18
Term Loans by Origination Year, 2018 8  
Term Loans by Origination Year, 2017   556
Term Loans by Origination Year, Prior to 2017 101 122
Total LHFI 1,858 19,359
Commercial LHFI [Member] | Loans Secured by Real Estate [Member] | Secured by Nonfarm, Nonresidential Properties [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, 2021 763,439 730,062
Term Loans by Origination Year, 2020 615,967 523,350
Term Loans by Origination Year, 2019 624,572 449,736
Term Loans by Origination Year, 2018 354,194 310,494
Term Loans by Origination Year, 2017 190,665 298,877
Term Loans by Origination Year, Prior to 2017 313,381 297,508
Financing Receivable, Revolving Loans 114,833 98,877
Total LHFI 2,977,051 2,708,904
Commercial LHFI [Member] | Loans Secured by Real Estate [Member] | Secured by Nonfarm, Nonresidential Properties [Member] | Pass - RR 1 through RR 6 [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, 2021 750,869 697,439
Term Loans by Origination Year, 2020 604,026 496,476
Term Loans by Origination Year, 2019 610,446 442,264
Term Loans by Origination Year, 2018 350,603 293,072
Term Loans by Origination Year, 2017 183,115 254,747
Term Loans by Origination Year, Prior to 2017 279,529 251,219
Financing Receivable, Revolving Loans 113,808 96,098
Total LHFI 2,892,396 2,531,315
Commercial LHFI [Member] | Loans Secured by Real Estate [Member] | Secured by Nonfarm, Nonresidential Properties [Member] | Special Mention - RR 7 [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, 2021 1,510 13,452
Term Loans by Origination Year, 2020 9,584 6,139
Term Loans by Origination Year, 2019 412 2,956
Term Loans by Origination Year, 2018   4,466
Term Loans by Origination Year, 2017 1,562 4,957
Term Loans by Origination Year, Prior to 2017 4,522 20,545
Total LHFI 17,590 52,515
Commercial LHFI [Member] | Loans Secured by Real Estate [Member] | Secured by Nonfarm, Nonresidential Properties [Member] | Substandard - RR 8 [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, 2021 11,017 19,119
Term Loans by Origination Year, 2020 2,357 20,572
Term Loans by Origination Year, 2019 13,609 4,516
Term Loans by Origination Year, 2018 3,591 12,956
Term Loans by Origination Year, 2017 5,988 38,956
Term Loans by Origination Year, Prior to 2017 29,309 25,438
Financing Receivable, Revolving Loans 1,025 2,779
Total LHFI 66,896 124,336
Commercial LHFI [Member] | Loans Secured by Real Estate [Member] | Secured by Nonfarm, Nonresidential Properties [Member] | Doubtful - RR 9 [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, 2021 43 52
Term Loans by Origination Year, 2020   163
Term Loans by Origination Year, 2019 105  
Term Loans by Origination Year, 2017   217
Term Loans by Origination Year, Prior to 2017 21 306
Total LHFI 169 738
Commercial LHFI [Member] | Other Loans Secured by Real Estate [Member] | Other Construction [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, 2021 275,182 263,298
Term Loans by Origination Year, 2020 393,580 425,936
Term Loans by Origination Year, 2019 25,142 81,476
Term Loans by Origination Year, 2018   14,074
Term Loans by Origination Year, 2017   2,464
Financing Receivable, Revolving Loans 17,909 7,735
Total LHFI 711,813 794,983
Commercial LHFI [Member] | Other Loans Secured by Real Estate [Member] | Other Construction [Member] | Pass - RR 1 through RR 6 [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, 2021 273,747 262,544
Term Loans by Origination Year, 2020 393,580 425,936
Term Loans by Origination Year, 2019 25,142 81,476
Term Loans by Origination Year, 2018   14,074
Term Loans by Origination Year, 2017   2,464
Financing Receivable, Revolving Loans 17,909 7,735
Total LHFI 710,378 794,229
Commercial LHFI [Member] | Other Loans Secured by Real Estate [Member] | Other Construction [Member] | Substandard - RR 8 [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, 2021 1,435 754
Total LHFI 1,435 754
Consumer LHFI [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, 2021 762,936 424,960
Term Loans by Origination Year, 2020 290,368 275,340
Term Loans by Origination Year, 2019 157,354 210,287
Term Loans by Origination Year, 2018 123,449 104,359
Term Loans by Origination Year, 2017 63,675 115,242
Term Loans by Origination Year, Prior to 2017 304,626 345,671
Financing Receivable, Revolving Loans 406,373 406,441
Total LHFI 2,108,781 1,882,300
Consumer LHFI [Member] | Consumer Loans [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, 2021 66,452 65,983
Term Loans by Origination Year, 2020 25,775 25,465
Term Loans by Origination Year, 2019 8,629 13,266
Term Loans by Origination Year, 2018 4,769 3,925
Term Loans by Origination Year, 2017 1,307 1,266
Term Loans by Origination Year, Prior to 2017 383 348
Financing Receivable, Revolving Loans 55,240 54,133
Total LHFI 162,555 164,386
Consumer LHFI [Member] | Consumer Loans [Member] | Current [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, 2021 65,366 65,370
Term Loans by Origination Year, 2020 25,512 25,303
Term Loans by Origination Year, 2019 8,498 13,140
Term Loans by Origination Year, 2018 4,734 3,893
Term Loans by Origination Year, 2017 1,289 1,257
Term Loans by Origination Year, Prior to 2017 378 345
Financing Receivable, Revolving Loans 54,518 53,669
Total LHFI 160,295 162,977
Consumer LHFI [Member] | Consumer Loans [Member] | Past Due 30-89 Days [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, 2021 989 524
Term Loans by Origination Year, 2020 223 158
Term Loans by Origination Year, 2019 123 67
Term Loans by Origination Year, 2018 22 19
Term Loans by Origination Year, 2017 10 7
Term Loans by Origination Year, Prior to 2017 5 3
Financing Receivable, Revolving Loans 468 305
Total LHFI 1,840 1,083
Consumer LHFI [Member] | Consumer Loans [Member] | Past Due 90 Days or More [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, 2021 26 77
Term Loans by Origination Year, 2020 23  
Term Loans by Origination Year, 2019 6 4
Financing Receivable, Revolving Loans 248 159
Total LHFI 303 240
Consumer LHFI [Member] | Consumer Loans [Member] | Nonaccrual [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, 2021 71 12
Term Loans by Origination Year, 2020 17 4
Term Loans by Origination Year, 2019 2 55
Term Loans by Origination Year, 2018 13 13
Term Loans by Origination Year, 2017 8 2
Financing Receivable, Revolving Loans 6  
Total LHFI 117 86
Consumer LHFI [Member] | Loans Secured by Real Estate [Member] | Construction, Land Development and Other Land [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, 2021 51,913 47,336
Term Loans by Origination Year, 2020 16,469 24,492
Term Loans by Origination Year, 2019 3,073 8,516
Term Loans by Origination Year, 2018 3,064 2,036
Term Loans by Origination Year, 2017 797 1,448
Term Loans by Origination Year, Prior to 2017 2,518 2,979
Total LHFI 77,834 86,807
Consumer LHFI [Member] | Loans Secured by Real Estate [Member] | Construction, Land Development and Other Land [Member] | Current [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, 2021 51,849 47,336
Term Loans by Origination Year, 2020 16,204 24,174
Term Loans by Origination Year, 2019 3,024 8,496
Term Loans by Origination Year, 2018 3,059 2,036
Term Loans by Origination Year, 2017 797 1,447
Term Loans by Origination Year, Prior to 2017 2,404 2,868
Total LHFI 77,337 86,357
Consumer LHFI [Member] | Loans Secured by Real Estate [Member] | Construction, Land Development and Other Land [Member] | Past Due 30-89 Days [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, 2020 265 318
Term Loans by Origination Year, 2019 49 20
Term Loans by Origination Year, 2018 5  
Term Loans by Origination Year, 2017   1
Term Loans by Origination Year, Prior to 2017 14 12
Total LHFI 333 351
Consumer LHFI [Member] | Loans Secured by Real Estate [Member] | Construction, Land Development and Other Land [Member] | Past Due 90 Days or More [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, Prior to 2017 7  
Total LHFI 7  
Consumer LHFI [Member] | Loans Secured by Real Estate [Member] | Construction, Land Development and Other Land [Member] | Nonaccrual [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, 2021 64  
Term Loans by Origination Year, Prior to 2017 93 99
Total LHFI 157 99
Consumer LHFI [Member] | Loans Secured by Real Estate [Member] | Other Secured by 1-4 Family Residential Properties [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, 2021 21,197 20,963
Term Loans by Origination Year, 2020 11,206 10,309
Term Loans by Origination Year, 2019 6,235 12,158
Term Loans by Origination Year, 2018 6,026 4,618
Term Loans by Origination Year, 2017 3,632 2,082
Term Loans by Origination Year, Prior to 2017 8,285 11,669
Financing Receivable, Revolving Loans 351,133 352,308
Total LHFI 407,714 414,107
Consumer LHFI [Member] | Loans Secured by Real Estate [Member] | Other Secured by 1-4 Family Residential Properties [Member] | Current [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, 2021 21,166 20,864
Term Loans by Origination Year, 2020 11,098 10,253
Term Loans by Origination Year, 2019 6,119 12,037
Term Loans by Origination Year, 2018 5,903 4,177
Term Loans by Origination Year, 2017 3,291 2,082
Term Loans by Origination Year, Prior to 2017 7,853 11,124
Financing Receivable, Revolving Loans 347,743 348,830
Total LHFI 403,173 409,367
Consumer LHFI [Member] | Loans Secured by Real Estate [Member] | Other Secured by 1-4 Family Residential Properties [Member] | Past Due 30-89 Days [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, 2021 5 93
Term Loans by Origination Year, 2020 34 12
Term Loans by Origination Year, 2019 87  
Term Loans by Origination Year, 2018 114 13
Term Loans by Origination Year, Prior to 2017 145 133
Financing Receivable, Revolving Loans 1,214 1,058
Total LHFI 1,599 1,309
Consumer LHFI [Member] | Loans Secured by Real Estate [Member] | Other Secured by 1-4 Family Residential Properties [Member] | Past Due 90 Days or More [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, 2020 4  
Term Loans by Origination Year, Prior to 2017 13 30
Financing Receivable, Revolving Loans 91 22
Total LHFI 108 52
Consumer LHFI [Member] | Loans Secured by Real Estate [Member] | Other Secured by 1-4 Family Residential Properties [Member] | Nonaccrual [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, 2021 26 6
Term Loans by Origination Year, 2020 70 44
Term Loans by Origination Year, 2019 29 121
Term Loans by Origination Year, 2018 9 428
Term Loans by Origination Year, 2017 341  
Term Loans by Origination Year, Prior to 2017 274 382
Financing Receivable, Revolving Loans 2,085 2,398
Total LHFI 2,834 3,379
Consumer LHFI [Member] | Loans Secured by Real Estate [Member] | Other Real Estate Secured [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, 2021   107
Term Loans by Origination Year, 2020 97  
Term Loans by Origination Year, 2019   38
Term Loans by Origination Year, 2018 8 37
Term Loans by Origination Year, 2017 60 96
Term Loans by Origination Year, Prior to 2017 170 200
Total LHFI 335 478
Consumer LHFI [Member] | Loans Secured by Real Estate [Member] | Other Real Estate Secured [Member] | Current [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, 2021   107
Term Loans by Origination Year, 2020 97  
Term Loans by Origination Year, 2019   38
Term Loans by Origination Year, 2018 8 37
Term Loans by Origination Year, 2017 60 96
Term Loans by Origination Year, Prior to 2017 170 200
Total LHFI 335 478
Consumer LHFI [Member] | Loans Secured by Real Estate [Member] | Secured by Nonfarm, Nonresidential Properties [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, 2021 31 109
Term Loans by Origination Year, 2018   4
Term Loans by Origination Year, 2017 2  
Term Loans by Origination Year, Prior to 2017   9
Total LHFI 33 122
Consumer LHFI [Member] | Loans Secured by Real Estate [Member] | Secured by Nonfarm, Nonresidential Properties [Member] | Current [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, 2021 31 109
Term Loans by Origination Year, 2018   4
Term Loans by Origination Year, 2017 2  
Term Loans by Origination Year, Prior to 2017   9
Total LHFI 33 122
Consumer LHFI [Member] | Other Loans Secured by Real Estate [Member] | Secured by 1-4 Family Residential Properties [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, 2021 623,343 290,462
Term Loans by Origination Year, 2020 236,821 215,074
Term Loans by Origination Year, 2019 139,417 176,309
Term Loans by Origination Year, 2018 109,582 93,739
Term Loans by Origination Year, 2017 57,877 110,350
Term Loans by Origination Year, Prior to 2017 293,270 330,466
Total LHFI 1,460,310 1,216,400
Consumer LHFI [Member] | Other Loans Secured by Real Estate [Member] | Secured by 1-4 Family Residential Properties [Member] | Current [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, 2021 622,330 289,521
Term Loans by Origination Year, 2020 233,951 214,056
Term Loans by Origination Year, 2019 137,500 173,324
Term Loans by Origination Year, 2018 107,345 92,564
Term Loans by Origination Year, 2017 56,374 109,031
Term Loans by Origination Year, Prior to 2017 285,919 321,250
Total LHFI 1,443,419 1,199,746
Consumer LHFI [Member] | Other Loans Secured by Real Estate [Member] | Secured by 1-4 Family Residential Properties [Member] | Past Due 30-89 Days [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, 2021 542 499
Term Loans by Origination Year, 2020 494 93
Term Loans by Origination Year, 2019 333 753
Term Loans by Origination Year, 2018 10 366
Term Loans by Origination Year, 2017 369 1,080
Term Loans by Origination Year, Prior to 2017 714 799
Total LHFI 2,462 3,590
Consumer LHFI [Member] | Other Loans Secured by Real Estate [Member] | Secured by 1-4 Family Residential Properties [Member] | Past Due 90 Days or More [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, 2021 199 159
Term Loans by Origination Year, 2020 501 214
Term Loans by Origination Year, 2019 165 208
Term Loans by Origination Year, 2018 122 127
Term Loans by Origination Year, 2017 218  
Term Loans by Origination Year, Prior to 2017 450 549
Total LHFI 1,655 1,257
Consumer LHFI [Member] | Other Loans Secured by Real Estate [Member] | Secured by 1-4 Family Residential Properties [Member] | Nonaccrual [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, 2021 272 283
Term Loans by Origination Year, 2020 1,875 711
Term Loans by Origination Year, 2019 1,419 2,024
Term Loans by Origination Year, 2018 2,105 682
Term Loans by Origination Year, 2017 916 239
Term Loans by Origination Year, Prior to 2017 6,187 7,868
Total LHFI $ 12,774 $ 11,807
v3.22.0.1
LHFI and ACL, LHFI - Summary of Trustmark's Portfolio Segments, Loan Classes, Loan Pools and the ACL Methodology and Loss Drivers (Details)
 12 Months Ended
Dec. 31, 2021
Loans Secured by Real Estate [Member] | Construction, Land Development and Other Land [Member] | 1 -4 Family Residential Construction [Member]  
Financing Receivable Recorded Investment [Line Items]  
Methodology DCF
Loss Drivers Prime Rate, National GDP
Loans Secured by Real Estate [Member] | Construction, Land Development and Other Land [Member] | Lots and Development [Member]  
Financing Receivable Recorded Investment [Line Items]  
Methodology DCF
Loss Drivers Prime Rate, Southern Unemployment
Loans Secured by Real Estate [Member] | Construction, Land Development and Other Land [Member] | Unimproved Land [Member]  
Financing Receivable Recorded Investment [Line Items]  
Methodology DCF
Loss Drivers Prime Rate, Southern Unemployment
Loans Secured by Real Estate [Member] | Construction, Land Development and Other Land [Member] | All Other Consumer [Member]  
Financing Receivable Recorded Investment [Line Items]  
Methodology DCF
Loss Drivers Southern Unemployment
Loans Secured by Real Estate [Member] | Other Secured by 1-4 Family Residential Properties [Member] | All Other Consumer [Member]  
Financing Receivable Recorded Investment [Line Items]  
Methodology DCF
Loss Drivers Southern Unemployment
Loans Secured by Real Estate [Member] | Other Secured by 1-4 Family Residential Properties [Member] | Consumer 1-4 Family - 1st Liens [Member]  
Financing Receivable Recorded Investment [Line Items]  
Methodology DCF
Loss Drivers Prime Rate, Southern Unemployment
Loans Secured by Real Estate [Member] | Other Secured by 1-4 Family Residential Properties [Member] | Nonresidential Owner- Occupied [Member]  
Financing Receivable Recorded Investment [Line Items]  
Methodology DCF
Loss Drivers Southern Unemployment, National GDP
Loans Secured by Real Estate [Member] | Secured by Nonfarm, Nonresidential Properties [Member] | Nonresidential Owner- Occupied [Member]  
Financing Receivable Recorded Investment [Line Items]  
Methodology DCF
Loss Drivers Southern Unemployment, National GDP
Loans Secured by Real Estate [Member] | Secured by Nonfarm, Nonresidential Properties [Member] | Nonowner-Occupied - Hotel/Motel [Member]  
Financing Receivable Recorded Investment [Line Items]  
Methodology DCF
Loss Drivers Southern Vacancy Rate, Southern Unemployment
Loans Secured by Real Estate [Member] | Secured by Nonfarm, Nonresidential Properties [Member] | Nonowner-Occupied - Office [Member]  
Financing Receivable Recorded Investment [Line Items]  
Methodology DCF
Loss Drivers Southern Vacancy Rate, Southern Unemployment
Loans Secured by Real Estate [Member] | Secured by Nonfarm, Nonresidential Properties [Member] | Nonowner-Occupied- Retail [Member]  
Financing Receivable Recorded Investment [Line Items]  
Methodology DCF
Loss Drivers Southern Vacancy Rate, Southern Unemployment
Loans Secured by Real Estate [Member] | Secured by Nonfarm, Nonresidential Properties [Member] | Nonowner-Occupied- Senior Living/ Nursing Homes [Member]  
Financing Receivable Recorded Investment [Line Items]  
Methodology DCF
Loss Drivers Southern Vacancy Rate, Southern Unemployment
Loans Secured by Real Estate [Member] | Secured by Nonfarm, Nonresidential Properties [Member] | Nonowner-occupied - All Other [Member]  
Financing Receivable Recorded Investment [Line Items]  
Methodology DCF
Loss Drivers Southern Vacancy Rate, Southern Unemployment
Loans Secured by Real Estate [Member] | Other Real Estate Secured [Member] | Nonresidential Owner- Occupied [Member]  
Financing Receivable Recorded Investment [Line Items]  
Methodology DCF
Loss Drivers Southern Unemployment, National GDP
Loans Secured by Real Estate [Member] | Other Real Estate Secured [Member] | Nonowner-occupied - All Other [Member]  
Financing Receivable Recorded Investment [Line Items]  
Methodology DCF
Loss Drivers Southern Vacancy Rate, Southern Unemployment
Loans Secured by Real Estate [Member] | Other Real Estate Secured [Member] | Nonresidential Nonowner- Occupied - Apartments [Member]  
Financing Receivable Recorded Investment [Line Items]  
Methodology DCF
Loss Drivers Southern Vacancy Rate, Southern Unemployment
Other Loans Secured by Real Estate [Member] | Other Construction [Member] | Other Construction [Member]  
Financing Receivable Recorded Investment [Line Items]  
Methodology WARM
Loss Drivers Prime Rate, National Unemployment
Other Loans Secured by Real Estate [Member] | Secured by 1-4 Family Residential Properties [Member] | Trustmark Mortgage [Member]  
Financing Receivable Recorded Investment [Line Items]  
Methodology WARM
Loss Drivers Southern Unemployment
Commercial and Industrial Loans [Member] | Commercial and Industrial Loans [Member] | Commercial and Industrial - Non-Working Capital [Member]  
Financing Receivable Recorded Investment [Line Items]  
Methodology DCF
Loss Drivers Trustmark historical data
Commercial and Industrial Loans [Member] | Commercial and Industrial Loans [Member] | Commercial and Industrial - Working Capital [Member]  
Financing Receivable Recorded Investment [Line Items]  
Methodology DCF
Loss Drivers Trustmark historical data
Commercial and Industrial Loans [Member] | Commercial and Industrial Loans [Member] | Credit Cards [Member]  
Financing Receivable Recorded Investment [Line Items]  
Methodology WARM
Loss Drivers Trustmark call report data
Consumer Loans [Member] | Consumer Loans [Member] | All Other Consumer [Member]  
Financing Receivable Recorded Investment [Line Items]  
Methodology DCF
Loss Drivers Southern Unemployment
Consumer Loans [Member] | Consumer Loans [Member] | Credit Cards [Member]  
Financing Receivable Recorded Investment [Line Items]  
Methodology WARM
Loss Drivers Trustmark call report data
Consumer Loans [Member] | Consumer Loans [Member] | Overdrafts [Member]  
Financing Receivable Recorded Investment [Line Items]  
Methodology Loss Rate
Loss Drivers Trustmark historical data
State and Other Political Subdivision Loans [Member] | State and Other Political Subdivision Loans [Member] | Obligations of State and Political Subdivisions [Member]  
Financing Receivable Recorded Investment [Line Items]  
Methodology DCF
Loss Drivers Moody's Bond Default Study
Other Commercial Loans [Member] | Other Commercial Loans [Member] | Commercial and Industrial - Non-Working Capital [Member]  
Financing Receivable Recorded Investment [Line Items]  
Methodology DCF
Loss Drivers Trustmark historical data
Other Commercial Loans [Member] | Other Commercial Loans [Member] | Commercial and Industrial - Working Capital [Member]  
Financing Receivable Recorded Investment [Line Items]  
Methodology DCF
Loss Drivers Trustmark historical data
Other Commercial Loans [Member] | Other Commercial Loans [Member] | Other Loans [Member]  
Financing Receivable Recorded Investment [Line Items]  
Methodology DCF
Loss Drivers Prime Rate, Southern Unemployment
v3.22.0.1
LHFI and ACL, LHFI - Summary of Balance in Allowance for Loan Losses (Details) - USD ($)
$ in Thousands
Dec. 31, 2021
Dec. 31, 2020
Dec. 31, 2019
Dec. 31, 2018
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract]        
Total $ 99,457 $ 117,306    
Allowance for Credit Losses, ACL [Member]        
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract]        
Individually Evaluated for Credit Loss 7,625 4,379    
Collectively Evaluated for Credit Loss 91,832 112,927    
Total 99,457 117,306 $ 84,277 $ 79,290
Allowance for Loan Losses, LHFI [Member]        
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract]        
Individually Evaluated for Credit Loss 44,361 43,409    
Collectively Evaluated for Credit Loss 10,203,468 9,781,115    
Total 10,247,829 9,824,524    
Commercial and Industrial Loans [Member] | Allowance for Credit Losses, ACL [Member]        
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract]        
Individually Evaluated for Credit Loss 5,750 579    
Collectively Evaluated for Credit Loss 13,189 14,272    
Total 18,939 14,851 25,992  
Commercial and Industrial Loans [Member] | Allowance for Loan Losses, LHFI [Member]        
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract]        
Individually Evaluated for Credit Loss 18,444 14,076    
Collectively Evaluated for Credit Loss 1,395,835 1,295,002    
Total 1,414,279 1,309,078    
Consumer Loans [Member] | Allowance for Credit Losses, ACL [Member]        
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract]        
Collectively Evaluated for Credit Loss 4,774 5,838    
Total 4,774 5,838 3,379  
Consumer Loans [Member] | Allowance for Loan Losses, LHFI [Member]        
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract]        
Collectively Evaluated for Credit Loss 162,555 164,386    
Total 162,555 164,386    
State and Other Political Subdivision Loans [Member] | Allowance for Credit Losses, ACL [Member]        
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract]        
Individually Evaluated for Credit Loss 1,394 1,700    
Collectively Evaluated for Credit Loss 1,314 1,490    
Total 2,708 3,190 2,229  
State and Other Political Subdivision Loans [Member] | Allowance for Loan Losses, LHFI [Member]        
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract]        
Individually Evaluated for Credit Loss 3,664 3,970    
Collectively Evaluated for Credit Loss 1,142,587 996,806    
Total 1,146,251 1,000,776    
Other Commercial Loans [Member] | Allowance for Credit Losses, ACL [Member]        
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract]        
Individually Evaluated for Credit Loss 203      
Collectively Evaluated for Credit Loss 5,145      
Total 5,348 7,439 5,303  
Other Commercial Loans [Member] | Allowance for Loan Losses, LHFI [Member]        
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract]        
Individually Evaluated for Credit Loss 4,608      
Collectively Evaluated for Credit Loss 530,235      
Total 534,843      
Other Loans [Member] | Allowance for Credit Losses, ACL [Member]        
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract]        
Individually Evaluated for Credit Loss   2,100    
Collectively Evaluated for Credit Loss   5,339    
Total   7,439    
Other Loans [Member] | Allowance for Loan Losses, LHFI [Member]        
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract]        
Individually Evaluated for Credit Loss   5,615    
Collectively Evaluated for Credit Loss   519,508    
Total   525,123    
Loans Secured by Real Estate [Member] | Construction, Land Development and Other Land [Member] | Allowance for Credit Losses, ACL [Member]        
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract]        
Individually Evaluated for Credit Loss 278      
Collectively Evaluated for Credit Loss 5,801 6,854    
Total 6,079 6,854 6,371  
Loans Secured by Real Estate [Member] | Construction, Land Development and Other Land [Member] | Allowance for Loan Losses, LHFI [Member]        
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract]        
Individually Evaluated for Credit Loss 5,198 5,756    
Collectively Evaluated for Credit Loss 591,770 508,300    
Total 596,968 514,056    
Loans Secured by Real Estate [Member] | Other Secured by 1-4 Family Residential Properties [Member] | Allowance for Credit Losses, ACL [Member]        
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract]        
Collectively Evaluated for Credit Loss 10,310 9,928    
Total 10,310 9,928 5,888  
Loans Secured by Real Estate [Member] | Other Secured by 1-4 Family Residential Properties [Member] | Allowance for Loan Losses, LHFI [Member]        
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract]        
Individually Evaluated for Credit Loss   454    
Collectively Evaluated for Credit Loss 517,683 524,278    
Total 517,683 524,732    
Loans Secured by Real Estate [Member] | Secured by Nonfarm, Nonresidential Properties [Member] | Allowance for Credit Losses, ACL [Member]        
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract]        
Collectively Evaluated for Credit Loss 37,912 48,523    
Total 37,912 48,523 26,158  
Loans Secured by Real Estate [Member] | Secured by Nonfarm, Nonresidential Properties [Member] | Allowance for Loan Losses, LHFI [Member]        
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract]        
Individually Evaluated for Credit Loss 11,072 12,037    
Collectively Evaluated for Credit Loss 2,966,012 2,696,989    
Total 2,977,084 2,709,026    
Loans Secured by Real Estate [Member] | Other Real Estate Secured [Member] | Allowance for Credit Losses, ACL [Member]        
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract]        
Collectively Evaluated for Credit Loss 4,713 7,382    
Total 4,713 7,382 4,024  
Loans Secured by Real Estate [Member] | Other Real Estate Secured [Member] | Allowance for Loan Losses, LHFI [Member]        
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract]        
Individually Evaluated for Credit Loss 56 60    
Collectively Evaluated for Credit Loss 725,987 1,065,904    
Total 726,043 1,065,964    
Other Loans Secured by Real Estate [Member] | Other Construction [Member] | Allowance for Credit Losses, ACL [Member]        
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract]        
Collectively Evaluated for Credit Loss 5,968 8,158    
Total 5,968 8,158 1,889  
Other Loans Secured by Real Estate [Member] | Other Construction [Member] | Allowance for Loan Losses, LHFI [Member]        
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract]        
Collectively Evaluated for Credit Loss 711,813 794,983    
Total 711,813 794,983    
Other Loans Secured by Real Estate [Member] | Secured by 1-4 Family Residential Properties [Member] | Allowance for Credit Losses, ACL [Member]        
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract]        
Collectively Evaluated for Credit Loss 2,706 5,143    
Total 2,706 5,143 $ 3,044  
Other Loans Secured by Real Estate [Member] | Secured by 1-4 Family Residential Properties [Member] | Allowance for Loan Losses, LHFI [Member]        
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract]        
Individually Evaluated for Credit Loss 1,319 1,441    
Collectively Evaluated for Credit Loss 1,458,991 1,214,959    
Total $ 1,460,310 $ 1,216,400    
v3.22.0.1
LHFI and ACL, LHFI - Change in Allowance for Loan Losses (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2021
Dec. 31, 2020
Dec. 31, 2019
Financing Receivable, Allowance for Credit Losses [Roll Forward]      
Balance at beginning of period $ 117,306    
PCL, LHFI [1] (21,499) $ 36,113 $ 10,797
Balance at end of period 99,457 117,306  
Commercial and Industrial Loans [Member]      
Financing Receivable, Allowance for Credit Losses [Roll Forward]      
PCL, LHFI   2,400  
State and Other Political Subdivision Loans [Member]      
Financing Receivable, Allowance for Credit Losses [Roll Forward]      
PCL, LHFI   1,500  
Allowance for Credit Losses, ACL [Member]      
Financing Receivable, Allowance for Credit Losses [Roll Forward]      
Balance at beginning of period 117,306 84,277 79,290
Loans charged-off (10,275) (11,475) (14,481)
Recoveries 13,925 9,608 8,671
Net (charge-offs) recoveries 3,650 (1,867) (5,810)
PCL, LHFI (21,499) 36,113 10,797
Balance at end of period 99,457 117,306 84,277
Allowance for Credit Losses, ACL [Member] | Commercial and Industrial Loans [Member]      
Financing Receivable, Allowance for Credit Losses [Roll Forward]      
Balance at beginning of period 14,851 25,992  
Loans charged-off (4,391) (1,557)  
Recoveries 4,727 1,736  
PCL, LHFI 3,752 (2,356)  
Balance at end of period 18,939 14,851 25,992
Allowance for Credit Losses, ACL [Member] | Consumer Loans [Member]      
Financing Receivable, Allowance for Credit Losses [Roll Forward]      
Balance at beginning of period 5,838 3,379  
Loans charged-off (1,640) (2,039)  
Recoveries 1,665 1,824  
PCL, LHFI (1,089) 615  
Balance at end of period 4,774 5,838 3,379
Allowance for Credit Losses, ACL [Member] | State and Other Political Subdivision Loans [Member]      
Financing Receivable, Allowance for Credit Losses [Roll Forward]      
Balance at beginning of period 3,190 2,229  
PCL, LHFI (482) (1,494)  
Balance at end of period 2,708 3,190 2,229
Allowance for Credit Losses, ACL [Member] | Other Commercial Loans [Member]      
Financing Receivable, Allowance for Credit Losses [Roll Forward]      
Balance at beginning of period 7,439 5,303  
Loans charged-off (3,750) (3,922)  
Recoveries 4,024 3,929  
PCL, LHFI (2,365) 45  
Balance at end of period 5,348 7,439 5,303
Allowance for Credit Losses, ACL [Member] | Loans Secured by Real Estate [Member] | Construction, Land Development and Other Land [Member]      
Financing Receivable, Allowance for Credit Losses [Roll Forward]      
Balance at beginning of period 6,854 6,371  
Loans charged-off (39) (12)  
Recoveries 1,564 716  
PCL, LHFI (2,300) (33)  
Balance at end of period 6,079 6,854 6,371
Allowance for Credit Losses, ACL [Member] | Loans Secured by Real Estate [Member] | Other Secured by 1-4 Family Residential Properties [Member]      
Financing Receivable, Allowance for Credit Losses [Roll Forward]      
Balance at beginning of period 9,928 5,888  
Loans charged-off (109) (117)  
Recoveries 505 378  
PCL, LHFI (14) (409)  
Balance at end of period 10,310 9,928 5,888
Allowance for Credit Losses, ACL [Member] | Loans Secured by Real Estate [Member] | Secured by Nonfarm, Nonresidential Properties [Member]      
Financing Receivable, Allowance for Credit Losses [Roll Forward]      
Balance at beginning of period 48,523 26,158  
Loans charged-off (169) (3,777)  
Recoveries 1,245 546  
PCL, LHFI (11,687) 33,775  
Balance at end of period 37,912 48,523 26,158
Allowance for Credit Losses, ACL [Member] | Loans Secured by Real Estate [Member] | Other Real Estate Secured [Member]      
Financing Receivable, Allowance for Credit Losses [Roll Forward]      
Balance at beginning of period 7,382 4,024  
Loans charged-off   (8)  
Recoveries 20 68  
PCL, LHFI (2,689) 4,063  
Balance at end of period 4,713 7,382 4,024
Allowance for Credit Losses, ACL [Member] | Other Loans Secured by Real Estate [Member] | Other Construction [Member]      
Financing Receivable, Allowance for Credit Losses [Roll Forward]      
Balance at beginning of period 8,158 1,889  
Recoveries 47 208  
PCL, LHFI (2,237) 2,859  
Balance at end of period 5,968 8,158 1,889
Allowance for Credit Losses, ACL [Member] | Other Loans Secured by Real Estate [Member] | Secured by 1-4 Family Residential Properties [Member]      
Financing Receivable, Allowance for Credit Losses [Roll Forward]      
Balance at beginning of period 5,143 3,044  
Loans charged-off (177) (43)  
Recoveries 128 203  
PCL, LHFI (2,388) (952)  
Balance at end of period $ 2,706 5,143 3,044
Allowance for Credit Losses, ACL [Member] | ASU 2016-13 [Member]      
Financing Receivable, Allowance for Credit Losses [Roll Forward]      
LHFI   (3,039)  
Allowance for loan losses, acquired loans transfer   815  
Acquired loans ACL adjustment   1,007  
Allowance for Credit Losses, ACL [Member] | ASU 2016-13 [Member] | Cumulative Effect Period Of Adoption Adjustment [Member]      
Financing Receivable, Allowance for Credit Losses [Roll Forward]      
Balance at beginning of period   (1,217)  
Balance at end of period     (1,217)
Allowance for Credit Losses, ACL [Member] | ASU 2016-13 [Member] | Commercial and Industrial Loans [Member] | Cumulative Effect Period Of Adoption Adjustment [Member]      
Financing Receivable, Allowance for Credit Losses [Roll Forward]      
Balance at beginning of period   (8,964)  
Balance at end of period     (8,964)
Allowance for Credit Losses, ACL [Member] | ASU 2016-13 [Member] | Consumer Loans [Member] | Cumulative Effect Period Of Adoption Adjustment [Member]      
Financing Receivable, Allowance for Credit Losses [Roll Forward]      
Balance at beginning of period   2,059  
Balance at end of period     2,059
Allowance for Credit Losses, ACL [Member] | ASU 2016-13 [Member] | State and Other Political Subdivision Loans [Member] | Cumulative Effect Period Of Adoption Adjustment [Member]      
Financing Receivable, Allowance for Credit Losses [Roll Forward]      
Balance at beginning of period   2,455  
Balance at end of period     2,455
Allowance for Credit Losses, ACL [Member] | ASU 2016-13 [Member] | Other Commercial Loans [Member] | Cumulative Effect Period Of Adoption Adjustment [Member]      
Financing Receivable, Allowance for Credit Losses [Roll Forward]      
Balance at beginning of period   2,084  
Balance at end of period     2,084
Allowance for Credit Losses, ACL [Member] | ASU 2016-13 [Member] | Loans Secured by Real Estate [Member] | Construction, Land Development and Other Land [Member] | Cumulative Effect Period Of Adoption Adjustment [Member]      
Financing Receivable, Allowance for Credit Losses [Roll Forward]      
Balance at beginning of period   (188)  
Balance at end of period     (188)
Allowance for Credit Losses, ACL [Member] | ASU 2016-13 [Member] | Loans Secured by Real Estate [Member] | Other Secured by 1-4 Family Residential Properties [Member] | Cumulative Effect Period Of Adoption Adjustment [Member]      
Financing Receivable, Allowance for Credit Losses [Roll Forward]      
Balance at beginning of period   4,188  
Balance at end of period     4,188
Allowance for Credit Losses, ACL [Member] | ASU 2016-13 [Member] | Loans Secured by Real Estate [Member] | Secured by Nonfarm, Nonresidential Properties [Member] | Cumulative Effect Period Of Adoption Adjustment [Member]      
Financing Receivable, Allowance for Credit Losses [Roll Forward]      
Balance at beginning of period   (8,179)  
Balance at end of period     (8,179)
Allowance for Credit Losses, ACL [Member] | ASU 2016-13 [Member] | Loans Secured by Real Estate [Member] | Other Real Estate Secured [Member] | Cumulative Effect Period Of Adoption Adjustment [Member]      
Financing Receivable, Allowance for Credit Losses [Roll Forward]      
Balance at beginning of period   (765)  
Balance at end of period     (765)
Allowance for Credit Losses, ACL [Member] | ASU 2016-13 [Member] | Other Loans Secured by Real Estate [Member] | Other Construction [Member] | Cumulative Effect Period Of Adoption Adjustment [Member]      
Financing Receivable, Allowance for Credit Losses [Roll Forward]      
Balance at beginning of period   3,202  
Balance at end of period     3,202
Allowance for Credit Losses, ACL [Member] | ASU 2016-13 [Member] | Other Loans Secured by Real Estate [Member] | Secured by 1-4 Family Residential Properties [Member] | Cumulative Effect Period Of Adoption Adjustment [Member]      
Financing Receivable, Allowance for Credit Losses [Roll Forward]      
Balance at beginning of period   $ 2,891  
Balance at end of period     $ 2,891
[1] Effective January 1, 2020, Trustmark adopted FASB ASU 2016-13 using the modified retrospective approach. Therefore, prior period balances are presented under legacy GAAP and may not be comparable to current period presentation.
v3.22.0.1
Acquired Loans - Additional Information (Details) - USD ($)
$ in Thousands
Jan. 01, 2020
Dec. 31, 2019
Dec. 31, 2018
Financing Receivable Allowance For Credit Losses [Line Items]      
Allowance for loan losses, acquired loans   $ 815 $ 1,231
ASU 2016-13 [Member] | Purchased Credit Deteriorated (PCD) Loans [Member]      
Financing Receivable Allowance For Credit Losses [Line Items]      
Acquired loans $ 72,600    
Allowance for loan losses, acquired loans $ 815    
v3.22.0.1
Acquired Loans - Schedule of Acquired Loans (Details) - USD ($)
$ in Thousands
Dec. 31, 2019
Dec. 31, 2018
Financing Receivable Allowance For Credit Losses [Line Items]    
Less allowance for loan losses, acquired loans $ 815 $ 1,231
v3.22.0.1
Acquired Loans - Changes in the Carrying Value of Acquired Loans (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Carrying value of acquired loans [Abstract]    
Accounting Standards Update Extensible List ASU 2016-13 [Member]  
Accretion to interest income   $ 5,532
v3.22.0.1
Acquired Loans - Changes in Accretable Yield of Acquired Loans (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Change in accretable difference on acquired loans [Abstract]    
Accretable yield at beginning of period $ (14,816) $ (17,722)
FASB ASU 2016-13 adoption adjustment $ 14,816  
Accretion to interest income   5,532
Disposals, net   2,072
Reclassification from nonaccretable difference [1]   (4,698)
Accretable yield at end of period   $ (14,816)
[1] Reclassifications from nonaccretable difference are due to lower loss expectations and improvements in expected cash flows.
v3.22.0.1
Acquired Loans - Components of the Allowance for Loan Losses on Acquired Loans (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Allowance for Loan and Lease Losses [Roll Forward]    
Balance at beginning of period $ 815 $ 1,231
FASB ASU 2016-13 adoption adjustment $ (815)  
Net (charge-offs) recoveries   (458)
Provision for loan losses, acquired loans [1]   42
Balance at end of period   $ 815
[1] Effective January 1, 2020, Trustmark adopted FASB ASU 2016-13 using the modified retrospective approach. Therefore, prior period balances are presented under legacy GAAP and may not be comparable to current period presentation.
v3.22.0.1
Premises and Equipment, Net - Premises and Equipment, Net (Details) - USD ($)
$ in Thousands
Dec. 31, 2021
Dec. 31, 2020
Premises and Equipment, Net, by Type [Abstract]    
Total cost of premises and equipment $ 467,235 $ 449,815
Less accumulated depreciation and amortization 271,334 263,147
Premises and equipment, net 195,901 186,668
Finance lease right-of-use assets 6,017 7,471
Assets held for sale 3,726 139
Total premises and equipment, net 205,644 194,278
Land [Member]    
Premises and Equipment, Net, by Type [Abstract]    
Total cost of premises and equipment 54,342 52,189
Building and Leasehold Improvements [Member]    
Premises and Equipment, Net, by Type [Abstract]    
Total cost of premises and equipment 221,986 216,650
Furniture and Equipment [Member]    
Premises and Equipment, Net, by Type [Abstract]    
Total cost of premises and equipment $ 190,907 $ 180,976
v3.22.0.1
Premises and Equipment, Net - Additional Information (Details)
$ in Thousands
 12 Months Ended
Dec. 31, 2021
USD ($)
Property
Dec. 31, 2020
USD ($)
Property
Dec. 31, 2019
USD ($)
Property, Plant and Equipment [Abstract]      
Number of property held for sale | Property 2 1  
Property valuation adjustments $ 140 $ 1,700 $ 0
Premises and Equipment, Net, by Type [Abstract]      
Depreciation and amortization of premises and equipment $ 15,600 $ 14,800 $ 15,700
v3.22.0.1
Mortgage Banking - Schedule of Activity in the Mortgage Servicing Rights (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2021
Dec. 31, 2020
Mortgage servicing rights [Abstract]    
Balance at beginning of period $ 66,464 $ 79,394
Origination of servicing assets 28,125 29,805
Change in fair value [Abstract]    
Due to market changes 13,258 (26,147)
Due to runoff (20,160) (16,588)
Balance at end of period $ 87,687 $ 66,464
v3.22.0.1
Mortgage Banking - Additional Information (Details)
$ in Thousands
 12 Months Ended
Dec. 31, 2021
USD ($)
CPR
Dec. 31, 2020
USD ($)
CPR
Dec. 31, 2019
USD ($)
Schedule of changes in the reserve for mortgage loan [Abstract]      
Assumed average prepayment speed | CPR 12 15  
Average discount rate (in hundredths) 9.56% 9.53%  
Annual servicing fee $ 25,100 $ 23,300 $ 22,600
Servicing fee income percentage of outstanding balance of underlying loans (in hundredths) 0.32%    
Mortgage servicing rights [Abstract]      
Residential mortgage loans sold $ 2,286,000 2,532,000 1,404,000
Gains on sales of residential mortgage loans $ 56,000 110,900 $ 30,300
Period of putback response 60 days    
Reserve for mortgage loan servicing putback expenses $ 500 $ 500  
v3.22.0.1
Mortgage Banking - Schedule of Mortgage Loans Sold and Serviced for Others (Details) - USD ($)
$ in Thousands
Dec. 31, 2021
Dec. 31, 2020
Mortgage Loans On Real Estate [Line Items]    
Total mortgage loans sold and serviced for others $ 7,953,200 $ 7,657,090
Federal National Mortgage Association [Member]    
Mortgage Loans On Real Estate [Line Items]    
Total mortgage loans sold and serviced for others 4,709,584 4,629,670
Government National Mortgage Association [Member]    
Mortgage Loans On Real Estate [Line Items]    
Total mortgage loans sold and serviced for others 3,194,373 2,960,760
Federal Home Loan Mortgage Corporation [Member]    
Mortgage Loans On Real Estate [Line Items]    
Total mortgage loans sold and serviced for others 35,971 50,459
Other [Member]    
Mortgage Loans On Real Estate [Line Items]    
Total mortgage loans sold and serviced for others $ 13,272 $ 16,201
v3.22.0.1
Goodwill and Identifiable Intangible Assets - Goodwill by Segment (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2021
Dec. 31, 2020
Goodwill [Roll Forward]    
Goodwill, beginning of period $ 385,270 $ 379,627
Additions   5,643
Adjustment (1,033)  
Balance, end of period 384,237 385,270
General Banking [Member]    
Goodwill [Roll Forward]    
Goodwill, beginning of period 334,603 334,603
Balance, end of period 334,603 334,603
Insurance [Member]    
Goodwill [Roll Forward]    
Goodwill, beginning of period 50,667 45,024
Additions   5,643
Adjustment (1,033)  
Balance, end of period $ 49,634 $ 50,667
v3.22.0.1
Goodwill and Identifiable Intangible Assets - Additional Information (Details) - USD ($)
 12 Months Ended
Dec. 31, 2021
Dec. 31, 2020
Dec. 31, 2019
Goodwill [Line Items]      
Amortization expense of identifiable intangible assets $ 2,300,000 $ 3,100,000 $ 4,100,000
Impairment losses on identifiable intangible assets 0 0 0
Future amortization expense for identifiable intangible assets [Abstract]      
2022 1,400,000    
2023 673,000    
2024 471,000    
2025 403,000    
2026 341,000    
General Banking And Insurance [Member]      
Goodwill [Line Items]      
Impairment charge $ 0 $ 0 $ 0
v3.22.0.1
Goodwill and Identifiable Intangible Assets - Schedule of Identifiable Intangible Assets (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2021
Dec. 31, 2020
Finite Lived Intangible Assets [Line Items]    
Gross Carrying Amount $ 106,271 $ 106,271
Accumulated Amortization 101,197 98,881
Net Carrying Amount $ 5,074 7,390
Remaining Weighted-Average Amortization Periods in Years 12 years 4 months 24 days  
Core Deposit Intangibles [Member]    
Finite Lived Intangible Assets [Line Items]    
Gross Carrying Amount $ 87,674 87,674
Accumulated Amortization 86,280 84,580
Net Carrying Amount $ 1,394 3,094
Remaining Weighted-Average Amortization Periods in Years 2 years 8 months 12 days  
Insurance Intangibles [Member]    
Finite Lived Intangible Assets [Line Items]    
Gross Carrying Amount $ 17,272 17,272
Accumulated Amortization 13,709 13,159
Net Carrying Amount $ 3,563 4,113
Remaining Weighted-Average Amortization Periods in Years 16 years 6 months  
Banking Charters [Member]    
Finite Lived Intangible Assets [Line Items]    
Gross Carrying Amount $ 1,325 1,325
Accumulated Amortization 1,208 1,142
Net Carrying Amount $ 117 $ 183
Remaining Weighted-Average Amortization Periods in Years 1 year 9 months 18 days  
v3.22.0.1
Other Real Estate - Changes and Gains (Losses), Net on Other Real Estate (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2021
Dec. 31, 2020
Dec. 31, 2019
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate [Roll Forward]      
Balance at beginning of period $ 11,651 $ 29,248 $ 34,668
Additions 770 635 8,598
Disposals (6,932) (16,446) (11,474)
Write-downs (932) (1,786) 2,544
Balance at end of period 4,557 11,651 29,248
Gains (losses), net on the sale of other real estate included in other real estate expense $ (1,869) $ 897 $ (291)
v3.22.0.1
Other Real Estate - Other Real Estate, By Type of Property (Details) - USD ($)
$ in Thousands
Dec. 31, 2021
Dec. 31, 2020
Dec. 31, 2019
Dec. 31, 2018
Other real estate [Line Items]        
Total other real estate $ 4,557 $ 11,651 $ 29,248 $ 34,668
Construction, Land Development And Other Land Properties [Member]        
Other real estate [Line Items]        
Total other real estate   3,857    
1 - 4 Family Residential Properties [Member]        
Other real estate [Line Items]        
Total other real estate 94 1,349    
Nonfarm, Nonresidential Properties [Member]        
Other real estate [Line Items]        
Total other real estate $ 4,463 $ 6,445    
v3.22.0.1
Other Real Estate - Other Real Estate, By Geographic Location (Details) - USD ($)
$ in Thousands
Dec. 31, 2021
Dec. 31, 2020
Dec. 31, 2019
Dec. 31, 2018
Other Real Estate by Geographic Location [Line Items]        
Total other real estate $ 4,557 $ 11,651 $ 29,248 $ 34,668
Alabama [Member]        
Other Real Estate by Geographic Location [Line Items]        
Total other real estate   3,271    
Mississippi [Member]        
Other Real Estate by Geographic Location [Line Items]        
Total other real estate [1] $ 4,557 8,330    
Tennessee [Member]        
Other Real Estate by Geographic Location [Line Items]        
Total other real estate [2]   $ 50    
[1] Mississippi includes Central and Southern Mississippi Regions.
[2] Tennessee includes Memphis, Tennessee and Northern Mississippi Regions.
v3.22.0.1
Other Real Estate - Additional information (Details) - USD ($)
$ in Thousands
Dec. 31, 2021
Dec. 31, 2020
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate [Roll Forward]    
Foreclosed residential real estate properties recorded as a result of obtaining physical possession of property $ 94 $ 1,300
Consumer mortgage loans and that formal foreclosure proceedings are in process $ 1,200 $ 424
v3.22.0.1
Leases - Components of Net Lease Cost (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2021
Dec. 31, 2020
Dec. 31, 2019
Finance leases      
Amortization of right-of-use assets $ 1,546 $ 1,856 $ 2,162
Interest on lease liabilities 219 254 307
Operating lease cost 5,275 5,188 5,183
Short-term lease cost 463 423 370
Variable lease cost 1,234 1,286 1,387
Sublease income (350) (335) (331)
Net lease cost $ 8,387 $ 8,672 $ 9,078
v3.22.0.1
Leases - Cash Payments Included in Measurement of Lease liabilities (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2021
Dec. 31, 2020
Dec. 31, 2019
Finance leases      
Operating cash flows included in operating activities $ 219 $ 254 $ 307
Financing cash flows included in payments under finance lease obligations 1,434 1,715 1,964
Operating leases      
Operating cash flows (fixed payments) included in other operating activities, net 4,781 4,988 5,092
Operating cash flows (liability reduction) included in other operating activities, net $ 3,948 $ 3,856 $ 5,404
v3.22.0.1
Leases - Balance Sheet Information and Weighted-Average Lease Terms and Discount Rates Related to Leases (Details) - USD ($)
$ in Thousands
Dec. 31, 2021
Dec. 31, 2020
Leases [Abstract]    
Finance lease right-of-use assets, net of accumulated depreciation $ 6,017 $ 7,471
Finance Lease, Right-of-Use Asset, Statement of Financial Position [Extensible Enumeration] Property, Plant and Equipment, Net Property, Plant and Equipment, Net
Finance lease liabilities $ 6,464 $ 7,805
Finance Lease, Liability, Statement of Financial Position [Extensible Enumeration] Other Borrowings Other Borrowings
Operating lease right-of-use assets $ 34,603 $ 30,901
Operating lease liabilities $ 36,468 $ 32,290
Weighted-average lease term    
Finance leases 8 years 4 months 13 days 8 years 6 months 10 days
Operating leases 9 years 3 months 8 years 7 months 24 days
Weighted-average discount rate    
Finance leases 3.24% 3.10%
Operating leases 2.84% 3.41%
v3.22.0.1
Leases - Future Minimum Rental Commitments Under Finance and Operating Leases (Details) - USD ($)
$ in Thousands
Dec. 31, 2021
Dec. 31, 2020
Leases [Abstract]    
Finance leases, 2022 $ 1,597  
Finance leases, 2023 885  
Finance leases, 2024 572  
Finance leases, 2025 584  
Finance leases, 2026 589  
Finance leases, Thereafter 3,279  
Finance leases, total minimum lease payments 7,506  
Finance leases, imputed interest (1,042)  
Finance lease liabilities 6,464 $ 7,805
Operating leases, 2022 4,934  
Operating leases, 2023 4,688  
Operating leases, 2024 4,828  
Operating leases, 2025 4,796  
Operating leases, 2026 4,601  
Operating leases, Thereafter 17,652  
Operating leases, total minimum lease payments 41,499  
Operating leases, imputed interest (5,031)  
Operating lease liabilities $ 36,468 $ 32,290
v3.22.0.1
Deposits - Deposits Summary (Details) - USD ($)
$ in Thousands
Dec. 31, 2021
Dec. 31, 2020
Deposits [Abstract]    
Noninterest-bearing demand $ 4,771,065 $ 4,349,010
Interest-bearing demand 4,372,500 3,646,246
Savings 4,745,137 4,647,610
Time 1,198,458 1,405,898
Total deposits $ 15,087,160 $ 14,048,764
v3.22.0.1
Deposits - Interest Expense on Deposits by Type (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2021
Dec. 31, 2020
Dec. 31, 2019
Interest expense on deposits by type [Abstract]      
Interest-bearing demand $ 4,906 $ 9,985 $ 35,428
Savings 7,912 13,481 19,462
Time 4,127 14,021 24,281
Total $ 16,945 $ 37,487 $ 79,171
v3.22.0.1
Deposits - Additional Information (Details) - USD ($)
$ in Millions
Dec. 31, 2021
Dec. 31, 2020
Deposits [Abstract]    
Time deposits that exceed the FDIC insurance limit of $250 thousand $ 164.0 $ 228.1
v3.22.0.1
Deposits - Maturities of Interest-Bearing Deposits (Details) - USD ($)
$ in Thousands
Dec. 31, 2021
Dec. 31, 2020
Maturities of interest-bearing deposits [Abstract]    
2022 $ 984,432  
2023 154,697  
2024 31,418  
2025 12,970  
2026 11,276  
Thereafter 3,665  
Total time deposits 1,198,458 $ 1,405,898
Interest-bearing deposits with no stated maturity 9,117,637  
Total interest-bearing deposits $ 10,316,095 $ 9,699,754
v3.22.0.1
Borrowings - Securities Sold Under Repurchase Agreements - Additional Information (Details) - USD ($)
$ in Millions
Dec. 31, 2021
Dec. 31, 2020
Debt Disclosure [Abstract]    
Securities sold under repurchase agreements, secured by securities carrying amount $ 252.4 $ 156.1
v3.22.0.1
Borrowings - Schedule of Securities Sold Under Repurchase Agreements (Details) - USD ($)
$ in Thousands
Dec. 31, 2021
Dec. 31, 2020
Securities sold under repurchase agreements by collateral pledged    
Total securities sold under repurchase agreements $ 193,313 $ 128,053
Residential Mortgage Pass-Through Securities Issued by FNMA and FHLMC [Member]    
Securities sold under repurchase agreements by collateral pledged    
Total securities sold under repurchase agreements 167,310 115,357
Other Residential Mortgage-Backed Securities Issued or Guaranteed by FNMA, FHLMC or GNMA [Member]    
Securities sold under repurchase agreements by collateral pledged    
Total securities sold under repurchase agreements 1,475 $ 12,696
Commercial Mortgage-Backed Securities Issued or Guaranteed by FNMA, FHLMC or GNMA [Member]    
Securities sold under repurchase agreements by collateral pledged    
Total securities sold under repurchase agreements $ 24,528  
v3.22.0.1
Borrowings - Summary of Other Borrowings (Details) - USD ($)
$ in Thousands
Dec. 31, 2021
Dec. 31, 2020
Debt Disclosure [Abstract]    
FHLB advances $ 97 $ 741
Serviced GNMA loans eligible for repurchase 84,464 141,160
Finance lease liabilities 6,464 7,805
Other   18,546
Total other borrowings $ 91,025 $ 168,252
v3.22.0.1
Borrowings - FHLB Advances - Additional Information (Details)
 12 Months Ended
Dec. 31, 2021
USD ($)
Loan
Dec. 31, 2020
USD ($)
Loan
Dec. 31, 2019
USD ($)
Debt Instrument [Line Items]      
Interest expense, short-term borrowings $ 2,000 $ 9,000 $ 0
Interest expense, long-term $ 0 $ 8,000 $ 5,000
Atlanta | BancTrust [Member] | Federal Home Loan Bank Advances      
Debt Instrument [Line Items]      
Number of outstanding short-term FHLB advances | Loan 0 1  
Short-term FHLB advances   $ 625,000  
Interest rate (in hundredths) 0.08% 0.75%  
Debt instrument remaining maturity period 4 years 8 months 15 days 5 years 8 months 15 days  
Number of outstanding long-term FHLB advances | Loan 1 1  
Long-term FHLB advances $ 97,000 $ 116,000  
Atlanta | BancTrust [Member] | Fair Market Value Adjustment [Member] | Federal Home Loan Bank Advances      
Debt Instrument [Line Items]      
Fair value adjustment on FHLB advances $ 0 $ 0  
Dallas [Member] | Federal Home Loan Bank Advances      
Debt Instrument [Line Items]      
Number of outstanding long-term FHLB advances | Loan 0 0  
Additional debt instrument borrowing capacity $ 3,449,000,000 $ 2,725,000,000  
v3.22.0.1
Borrowings - Subordinated Notes Payable - Additional Information (Details) - USD ($)
$ in Thousands
 3 Months Ended 12 Months Ended
Dec. 01, 2025
Dec. 31, 2020
Dec. 31, 2021
Dec. 31, 2020
Debt Instrument [Line Items]        
Subordinated notes   $ 122,921 $ 123,042 $ 122,921
Subordinated Notes [Member]        
Debt Instrument [Line Items]        
Face amount of debt issued   $ 125,000   $ 125,000
Interest rate (in hundredths)   3.625% 3.625% 3.625%
Maturity date       Dec. 01, 2030
Underwriting discount percentage   1.20%    
Proceeds from issuance of subordinated notes before deducting offering expenses   $ 123,500    
Subordinated notes   $ 122,900 $ 123,000 $ 122,900
Frequency of periodic payment     semi-annually  
Subordinated Notes [Member] | Forecast        
Debt Instrument [Line Items]        
Frequency of periodic payment quarterly      
Variable interest rate, description Three-Month Term Secured Overnight Financing Rate (SOFR)      
Basis spread percentage (in hundredths) 3.387%      
v3.22.0.1
Borrowings - Junior Subordinated Debt Securities - Additional information (Details)
$ in Thousands
 12 Months Ended
Aug. 18, 2006
USD ($)
qtr
Dec. 31, 2021
USD ($)
Dec. 31, 2020
USD ($)
Dec. 31, 2019
USD ($)
Variable Interest Entity [Line Items]        
Junior subordinated debt securities   $ 61,856 $ 61,856  
Total assets   17,595,636 16,551,840 $ 13,497,877
Total liabilities and shareholders' equity   17,595,636 16,551,840  
Common securities   12,845 13,215  
Net income   147,365 $ 160,025 150,460
Trustmark Preferred Capital Trust I [Member] | Junior Subordinated Debt Securities [Member]        
Variable Interest Entity [Line Items]        
Face amount of debt issued $ 60,000      
Maturity date Sep. 30, 2036      
Variable interest rate, description three-month LIBOR   three-month LIBOR  
Basis spread over LIBOR rate (in hundredths) 1.72%      
Junior subordinated debt securities $ 61,900      
Consecutive quarters that Trustmark may defer interest payments | qtr 20      
Total assets   61,900 $ 61,900  
Total liabilities and shareholders' equity   61,900 61,900  
Trust preferred securities   60,000 60,000  
Common securities   1,900 1,900  
Net income   36 51 79
Dividends paid   $ 36 $ 51 $ 79
v3.22.0.1
Revenue from Contracts with Customers - Summary of Noninterest Income Disaggregated by Reportable Operating Segment and Revenue Stream (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2021
Dec. 31, 2020
Dec. 31, 2019
Revenue From Contract With Customer [Line Items]      
Service charges on deposit accounts $ 33,246 $ 32,289 $ 42,603
Bank card and other fees 34,662 31,022 31,736
Mortgage banking, net 63,750 125,822 29,822
Insurance commissions 48,511 45,176 42,396
Wealth management 35,190 31,625 30,679
Other, net 6,551 8,659 9,809
Total Noninterest Income 221,910 274,593 187,045
Topic 606 [Member]      
Revenue From Contract With Customer [Line Items]      
Service charges on deposit accounts 33,246 32,289 42,603
Bank card and other fees 30,935 27,428 28,030
Insurance commissions 48,511 45,176 42,396
Wealth management 35,190 31,625 30,679
Other, net 6,856 7,631 9,867
Total Noninterest Income 154,738 144,149 153,575
Not Topic 606 [Member]      
Revenue From Contract With Customer [Line Items]      
Bank card and other fees [1] 3,727 3,594 3,706
Mortgage banking, net [1] 63,750 125,822 29,822
Other, net [1] (305) 1,028 (58)
Total Noninterest Income [1] 67,172 130,444 33,470
General Banking Segment [Member]      
Revenue From Contract With Customer [Line Items]      
Service charges on deposit accounts 33,169 32,213 42,509
Bank card and other fees 34,624 30,992 31,679
Mortgage banking, net 63,750 125,822 29,822
Wealth management 48 254 379
Other, net 6,283 8,410 9,367
Total Noninterest Income 137,874 197,691 113,756
General Banking Segment [Member] | Topic 606 [Member]      
Revenue From Contract With Customer [Line Items]      
Service charges on deposit accounts 33,169 32,213 42,509
Bank card and other fees 30,897 27,398 27,973
Wealth management 48 254 379
Other, net 6,621 7,432 9,528
Total Noninterest Income 70,735 67,297 80,389
General Banking Segment [Member] | Not Topic 606 [Member]      
Revenue From Contract With Customer [Line Items]      
Bank card and other fees [1] 3,727 3,594 3,706
Mortgage banking, net [1] 63,750 125,822 29,822
Other, net [1] (338) 978 (161)
Total Noninterest Income [1] 67,139 130,394 33,367
Wealth Management Segment [Member]      
Revenue From Contract With Customer [Line Items]      
Service charges on deposit accounts 77 76 94
Bank card and other fees 38 30 57
Wealth management 35,142 31,371 30,300
Other, net 163 157 409
Total Noninterest Income 35,420 31,634 30,860
Wealth Management Segment [Member] | Topic 606 [Member]      
Revenue From Contract With Customer [Line Items]      
Service charges on deposit accounts 77 76 94
Bank card and other fees 38 30 57
Wealth management 35,142 31,371 30,300
Other, net 130 107 306
Total Noninterest Income 35,387 31,584 30,757
Wealth Management Segment [Member] | Not Topic 606 [Member]      
Revenue From Contract With Customer [Line Items]      
Other, net [1] 33 50 103
Total Noninterest Income [1] 33 50 103
Insurance Segment [Member]      
Revenue From Contract With Customer [Line Items]      
Insurance commissions 48,511 45,176 42,396
Other, net 105 92 33
Total Noninterest Income 48,616 45,268 42,429
Insurance Segment [Member] | Topic 606 [Member]      
Revenue From Contract With Customer [Line Items]      
Insurance commissions 48,511 45,176 42,396
Other, net 105 92 33
Total Noninterest Income $ 48,616 $ 45,268 $ 42,429
[1] Noninterest income not in scope for FASB ASC Topic 606 includes customer derivatives revenue and miscellaneous credit card income within bank card and other fees; mortgage banking, net; amortization of tax credits, accretion of the FDIC indemnification asset, cash surrender value on various life insurance policies, earnings on Trustmark’s non-qualified deferred compensation plans, other partnership investments and rental income within other, net; and securities gains (losses), net.
v3.22.0.1
Income Taxes - Income Tax Provision (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2021
Dec. 31, 2020
Dec. 31, 2019
Current [Abstract]      
Federal $ 5,815 $ 40,118 $ 20,068
State 2,118 9,439 7,145
Deferred [Abstract]      
Federal 16,092 (15,840) (3,104)
State 4,023 (3,960) (776)
Income tax provision $ 28,048 $ 29,757 $ 23,333
v3.22.0.1
Income Taxes - Income Tax Reconciliation (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2021
Dec. 31, 2020
Dec. 31, 2019
Reconciliation of provision for tax from the federal rate to the effective tax rate [Abstract]      
Income tax computed at statutory tax rate $ 36,837 $ 39,854 $ 36,497
Tax exempt interest (3,935) (4,284) (4,951)
Nondeductible interest expense 106 247 564
State income taxes, net 1,673 7,457 5,645
Income tax credits, net (10,479) (9,375) (13,473)
Death benefit gains (175) (91) (123)
Other 4,021 (4,051) (826)
Income tax provision $ 28,048 $ 29,757 $ 23,333
v3.22.0.1
Income Taxes - Deferred Tax Assets and Liabilities (Details) - USD ($)
$ in Thousands
Dec. 31, 2021
Dec. 31, 2020
Deferred tax assets [Abstract]    
Loan purchase accounting   $ 293
Other real estate $ 1,182 2,049
Accumulated credit losses 33,895 39,073
Deferred compensation 18,804 17,465
Finance and operating lease liabilities 10,733 10,024
Realized built-in losses 9,930 10,681
Securities 5,924 2,233
Pension and other postretirement benefit plans 4,929 6,128
Interest on nonaccrual loans 1,235 1,034
LHFS 591 2,754
Stock-based compensation 2,771 2,749
Loan fees 125 3,401
Other 9,705 10,294
Gross deferred tax asset 99,824 108,178
Deferred tax liabilities [Abstract]    
Goodwill and other identifiable intangibles 14,667 15,136
Premises and equipment 16,470 11,479
Finance and operating lease right-of-use assets 10,155 9,593
MSR 13,007 7,108
Securities 1,686 9,712
Other 3,081 4,537
Gross deferred tax liability 59,066 57,565
Net deferred tax asset $ 40,758 $ 50,613
v3.22.0.1
Income Taxes - Changes in Unrecognized Tax Benefits (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2021
Dec. 31, 2020
Dec. 31, 2019
Changes in unrecognized tax benefits [Roll Forward]      
Balance at beginning of period $ 1,781 $ 1,524 $ 1,249
Change due to tax positions taken during the current year 412 353 279
Change due to tax positions taken during a prior year 107 79 134
Change due to the lapse of applicable statute of limitations during the current year (171) (175) (138)
Balance at end of period 2,129 1,781 1,524
Accrued interest, net of federal benefit, at end of period 419 330 271
Unrecognized tax benefits that would impact the effective tax rate, if recognized, at end of period $ 1,766 $ 1,420 $ 1,218
v3.22.0.1
Defined Benefit and Other Postretirement Benefits - Plan Benefit Obligation, Plan Assets and Funded Status of the Plan (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2021
Dec. 31, 2020
Dec. 31, 2019
Trustmark Capital Accumulation Plan [Member] | Trustmark Corporation Pension Plan for Certain Employees of Acquired Financial Institutions [Member]      
Change in benefit obligation [Roll Forward]      
Benefit obligation, beginning of year $ 9,547 $ 9,060  
Service cost 252 254 $ 211
Interest cost 173 241 361
Actuarial (gain) loss (198) 876  
Benefits paid (1,127) (884)  
Benefit obligation, end of year 8,647 9,547 9,060
Change in plan assets [ Roll Forward]      
Fair value of plan assets, beginning of year 2,873 3,443  
Actual return on plan assets 291 (87)  
Employer contributions 863 401  
Benefit payments (1,127) (884)  
Fair value of plan assets, end of year 2,900 2,873 3,443
Funded status at end of year - net liability (5,747) (6,674)  
Amounts recognized in accumulated other comprehensive income (loss) [Abstract]      
Net loss 1,428 2,564  
Actuarial (gain) loss included in benefit obligation:      
Change in discount rate (491) 1,009  
Change in mortality table 15 (47)  
Other 278 (86)  
Actuarial (gain) loss (198) 876  
Supplemental Retirement Plan [Member]      
Change in benefit obligation [Roll Forward]      
Benefit obligation, beginning of year 59,646 57,482  
Service cost 75 77 109
Interest cost 1,125 1,576 2,044
Actuarial (gain) loss (2,357) 4,168  
Benefits paid (3,454) (3,657)  
Benefit obligation, end of year 55,035 59,646 $ 57,482
Change in plan assets [ Roll Forward]      
Employer contributions 3,454 3,657  
Benefit payments (3,454) (3,657)  
Funded status at end of year - net liability (55,035) (59,646)  
Amounts recognized in accumulated other comprehensive income (loss) [Abstract]      
Net loss 17,937 21,486  
Prior service cost 348 459  
Amounts recognized 18,285 21,945  
Actuarial (gain) loss included in benefit obligation:      
Change in discount rate (2,431) 4,997  
Change in mortality table 134 (380)  
Other (60) (449)  
Actuarial (gain) loss $ (2,357) $ 4,168  
v3.22.0.1
Defined Benefit and Other Postretirement Benefits - Net Periodic Benefit Cost (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2021
Dec. 31, 2020
Dec. 31, 2019
Trustmark Capital Accumulation Plan [Member] | Trustmark Corporation Pension Plan for Certain Employees of Acquired Financial Institutions [Member]      
Net periodic benefit cost [Abstract]      
Service cost $ 252 $ 254 $ 211
Interest cost 173 241 361
Expected return on plan assets (130) (154) (202)
Recognized net loss due to lump sum settlements 183 119 312
Recognized net actuarial loss 594 326 373
Net periodic benefit cost 1,072 786 1,055
Other changes in plan assets and benefit obligation recognized in other comprehensive income (loss), before taxes:      
Net (gain) loss - Total recognized in other comprehensive income (loss) (1,136) 671 (277)
Total recognized in net periodic benefit cost and other comprehensive income (loss) $ (64) $ 1,457 $ 778
Weighted-average assumptions as of end of year [Abstract]      
Discount rate for benefit obligation 2.41% 1.95% 2.84%
Discount rate for net periodic benefit cost 1.95% 2.84% 3.97%
Expected long-term return on plan assets 5.00% 5.00% 5.00%
Supplemental Retirement Plan [Member]      
Net periodic benefit cost [Abstract]      
Service cost $ 75 $ 77 $ 109
Interest cost 1,125 1,576 2,044
Amortization of prior service cost 111 150 250
Recognized net actuarial loss 1,192 957 627
Net periodic benefit cost 2,503 2,760 3,030
Other changes in plan assets and benefit obligation recognized in other comprehensive income (loss), before taxes:      
Net (gain) loss (3,549) 3,211 (4,872)
Amortization of prior service cost (111) (150) (250)
Net (gain) loss - Total recognized in other comprehensive income (loss) (3,660) 3,061 4,622
Total recognized in net periodic benefit cost and other comprehensive income (loss) $ (1,157) $ 5,821 $ 7,652
Weighted-average assumptions as of end of year [Abstract]      
Discount rate for benefit obligation 2.41% 1.95% 2.84%
Discount rate for net periodic benefit cost 1.95% 2.84% 3.97%
v3.22.0.1
Defined Benefit and Other Postretirement Benefits - Weighted-Average Asset Allocation (Details) - Trustmark Capital Accumulation Plan [Member] - Trustmark Corporation Pension Plan for Certain Employees of Acquired Financial Institutions [Member]
Dec. 31, 2021
Dec. 31, 2020
Asset target allocations [Abstract]    
Weighted-average asset allocation (in hundredths) 100.00% 100.00%
Money Market Funds [Member]    
Asset target allocations [Abstract]    
Weighted-average asset allocation (in hundredths) 4.00% 5.00%
Exchange Traded Equity Securities Funds [Member]    
Asset target allocations [Abstract]    
Weighted-average asset allocation (in hundredths) 50.00% 43.00%
Exchange Traded Fixed Income Funds [Member]    
Asset target allocations [Abstract]    
Weighted-average asset allocation (in hundredths) 35.00% 41.00%
International Exchange Traded Funds [Member]    
Asset target allocations [Abstract]    
Weighted-average asset allocation (in hundredths) 11.00% 11.00%
v3.22.0.1
Defined Benefit and Other Postretirement Benefits - Plan Assets Measured at Fair Value (Details) - Trustmark Capital Accumulation Plan [Member] - Trustmark Corporation Pension Plan for Certain Employees of Acquired Financial Institutions [Member] - USD ($)
$ in Thousands
Dec. 31, 2021
Dec. 31, 2020
Dec. 31, 2019
Asset target allocations [Abstract]      
Fair value of plan assets $ 2,900 $ 2,873 $ 3,443
Level 1 [Member]      
Asset target allocations [Abstract]      
Fair value of plan assets 2,900 2,873  
Money Market Funds [Member]      
Asset target allocations [Abstract]      
Fair value of plan assets 107 131  
Money Market Funds [Member] | Level 1 [Member]      
Asset target allocations [Abstract]      
Fair value of plan assets 107 131  
Exchange Traded Equity Securities Funds [Member]      
Asset target allocations [Abstract]      
Fair value of plan assets 1,460 1,242  
Exchange Traded Equity Securities Funds [Member] | Level 1 [Member]      
Asset target allocations [Abstract]      
Fair value of plan assets 1,460 1,242  
Exchange Traded Fixed Income Funds [Member]      
Asset target allocations [Abstract]      
Fair value of plan assets 1,021 1,182  
Exchange Traded Fixed Income Funds [Member] | Level 1 [Member]      
Asset target allocations [Abstract]      
Fair value of plan assets 1,021 1,182  
International Exchange Traded Funds [Member]      
Asset target allocations [Abstract]      
Fair value of plan assets 312 318  
International Exchange Traded Funds [Member] | Level 1 [Member]      
Asset target allocations [Abstract]      
Fair value of plan assets $ 312 $ 318  
v3.22.0.1
Defined Benefit and Other Postretirement Benefits - Additional Information (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2022
Dec. 31, 2021
Dec. 31, 2020
Dec. 31, 2019
Trustmark Capital Accumulation Plan [Member]        
Defined Benefit Plan Disclosure [Line Items]        
Trustmark's minimum required contribution to the Trustmark Corporation Pension Plan for Certain Employees of Acquired Financial Institutions   $ 312    
Trustmark's contribution to the Trustmark Corporation Pension Plan for Certain Employees of Acquired Financial Institutions   324    
Trustmark Capital Accumulation Plan [Member] | Trustmark Corporation Pension Plan for Certain Employees of Acquired Financial Institutions [Member]        
Estimated future benefit payments [Abstract]        
Accumulated other comprehensive income (loss) expected to be recognized during next fiscal year as components of net periodic benefit cost   241    
Trustmark Capital Accumulation Plan [Member] | Forecast        
Defined Benefit Plan Disclosure [Line Items]        
Trustmark's minimum required contribution to the Trustmark Corporation Pension Plan for Certain Employees of Acquired Financial Institutions $ 164      
Supplemental Retirement Plan [Member]        
Estimated future benefit payments [Abstract]        
Accumulated other comprehensive income (loss) expected to be recognized during next fiscal year as components of net periodic benefit cost   986    
Accumulated other comprehensive loss expected to be recognized during next fiscal year as prior service cost   111    
Defined Contribution Plan [Member]        
Other Benefit Plans - Defined Contribution Plan [Abstract]        
Trustmarks contribution to defined contribution plan   $ 9,900 $ 9,200 $ 8,200
Contributions up to a maximum of eligible compensation   6.00%    
Trustmark contributions to the plan   100.00%    
Period when associates may become eligible to make elective deferral contributions after employment   30 days    
Eligible associates must complete number of years of service   1 year    
v3.22.0.1
Defined Benefit and Other Postretirement Benefits - Estimated Future Benefit Payments and Other Disclosures (Details)
$ in Thousands
Dec. 31, 2021
USD ($)
Supplemental Retirement Plan [Member]  
Estimated future benefit payments [Abstract]  
2022 $ 4,065
2023 3,978
2024 3,967
2025 3,801
2026 3,742
2027 - 2031 16,941
Trustmark Corporation Pension Plan for Certain Employees of Acquired Financial Institutions [Member] | Trustmark Capital Accumulation Plan [Member]  
Estimated future benefit payments [Abstract]  
2022 1,275
2023 1,486
2024 1,145
2025 594
2026 641
2027 - 2031 $ 2,138
v3.22.0.1
Stock and Incentive Compensation Plans - Additional Information (Details)
 12 Months Ended
Dec. 31, 2021
shares
Performance Based Award [Member]  
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]  
Vesting period 3 years
Restricted Stock Units (RSUs) [Member]  
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]  
Return on average tangible equity, performance measure 100.00%
Total shareholder return, performance measure 100.00%
Time-based Awards [Member] | Executive and Senior Management [Member]  
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]  
Vesting period 3 years
Time-based Awards [Member] | Board of Directors [Member]  
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]  
Vesting period 1 year
Stock and Incentive Compensation Plan [Member]  
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]  
Common stock available for issuance (in shares) 563,994
v3.22.0.1
Stock and Incentive Compensation Plans - Summary of Stock Plan Activity (Details) - Stock and Incentive Compensation Plan [Member] - $ / shares
 12 Months Ended
Dec. 31, 2021
Dec. 31, 2020
Dec. 31, 2019
Performance Based Award [Member]      
Shares [Roll Forward]      
Nonvested shares, beginning of year (in shares) 145,042 149,914 177,695
Granted (in shares) 53,273 53,450 50,862
Released from restriction (in shares) (44,536) (36,357) (61,347)
Forfeited (in shares) (12,958) (21,965) (17,296)
Nonvested shares, end of year (in shares) 140,821 145,042 149,914
Weighted-Average Grant Date Fair Value [Abstract]      
Nonvested shares, beginning of year (in dollars per share) $ 32.43 $ 32.88 $ 27.10
Granted (in dollars per share) 30.02 31.98 33.44
Released from restriction (in dollars per share) 31.88 33.31 20.18
Forfeited (in dollars per share) 31.28 32.97 20.18
Nonvested shares, end of year (in dollars per share) $ 31.80 $ 32.43 $ 32.88
Time-based Awards [Member]      
Shares [Roll Forward]      
Nonvested shares, beginning of year (in shares) 301,619 300,006 321,870
Granted (in shares) 180,847 123,810 113,673
Released from restriction (in shares) (135,120) (110,537) (124,598)
Forfeited (in shares) (9,880) (11,660) (10,939)
Nonvested shares, end of year (in shares) 337,466 301,619 300,006
Weighted-Average Grant Date Fair Value [Abstract]      
Nonvested shares, beginning of year (in dollars per share) $ 32.24 $ 33.04 $ 28.48
Granted (in dollars per share) 29.85 31.52 33.42
Released from restriction (in dollars per share) 31.77 33.58 21.64
Forfeited (in dollars per share) 31.19 32.47 32.73
Nonvested shares, end of year (in dollars per share) $ 31.18 $ 32.24 $ 33.04
v3.22.0.1
Stock and Incentive Compensation Plans - Compensation Expense for Awards Under Stock Plan (Details) - Stock and Incentive Compensation Plan [Member] - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2021
Dec. 31, 2020
Dec. 31, 2019
Compensation expense [Abstract]      
Recognized compensation expense $ 5,602 $ 5,197 $ 4,787
Unrecognized compensation expense 4,660    
Performance Based Award [Member]      
Compensation expense [Abstract]      
Recognized compensation expense 828 815 1,524
Unrecognized compensation expense $ 1,475    
Weighted average life of unrecognized compensation expense 1 year 7 months 20 days    
Time-based Awards [Member]      
Compensation expense [Abstract]      
Recognized compensation expense $ 4,774 $ 4,382 $ 3,263
Unrecognized compensation expense $ 3,185    
Weighted average life of unrecognized compensation expense 1 year 9 months 7 days    
v3.22.0.1
Commitments and Contingencies - Additional Information (Details) - USD ($)
$ in Millions
 12 Months Ended
Dec. 31, 2021
Dec. 31, 2020
Loss Contingencies [Line Items]    
Unused commitments to extend credit $ 5,238.0 $ 4,867.0
Standby Letters of Credit [Member]    
Loss Contingencies [Line Items]    
Potential exposure to credit loss in the event of nonperformance $ 222.5 113.8
Letters of credit, maturity term - maximum 3 years  
Collateral held, fair value $ 124.6 $ 21.9
v3.22.0.1
Commitments and Contingencies - Summary of Changes in ACL on Off-balance Sheet Credit Exposures (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2021
Dec. 31, 2020
Commitments and Contingencies Disclosure [Abstract]    
Balance at beginning of period $ 38,572 $ 0
FASB ASU 2016-13 adoption adjustment 0 29,638
PCL, off-balance sheet credit exposures [1] (2,949) 8,934
Balance at end of period $ 35,623 $ 38,572
[1] During 2021, Trustmark reclassified its credit loss expense on off-balance sheet credit exposures from noninterest expense to PCL, off-balance sheet credit exposures. Prior periods have been reclassified accordingly.
v3.22.0.1
Shareholders' Equity - Additional Information (Details) - USD ($)
$ in Millions
 1 Months Ended 12 Months Ended
Jan. 31, 2022
Dec. 31, 2021
Dec. 31, 2020
Dec. 31, 2019
Dec. 07, 2021
Apr. 01, 2020
Apr. 01, 2019
Mar. 11, 2016
Stockholders Equity [Line items]                
Capital conservation buffer rate   2.50% 2.50%          
Dividend potential for next fiscal year   $ 161.9            
Period for which retained net income considered for approval   2 years            
Stock Repurchase Program 1 [Member] | Common Stock [Member]                
Stockholders Equity [Line items]                
Amount of stock authorized for repurchase               $ 100.0
Repurchase shares of common stock   1,200,000            
Repurchase shares of common stock, value       $ 36.9        
2016 Program [Member]                
Stockholders Equity [Line items]                
Repurchase shares of common stock   3,200,000            
Repurchase shares of common stock, value   $ 100.0            
Stock Repurchase Program 2 [Member]                
Stockholders Equity [Line items]                
Amount of stock authorized for repurchase             $ 100.0  
Stock Repurchase Program 2 [Member] | Common Stock [Member]                
Stockholders Equity [Line items]                
Repurchase shares of common stock     887,000 601,000        
Repurchase shares of common stock, value     $ 27.5 $ 19.7        
2019 Program | Common Stock [Member]                
Stockholders Equity [Line items]                
Repurchase shares of common stock   1,500,000            
Repurchase shares of common stock, value   $ 47.2            
Stock Repurchase Program 3 [Member]                
Stockholders Equity [Line items]                
Amount of stock authorized for repurchase           $ 100.0    
Stock Repurchase Program 3 [Member] | Common Stock [Member]                
Stockholders Equity [Line items]                
Repurchase shares of common stock   1,900,000            
Repurchase shares of common stock, value   $ 61.8            
Stock Repurchase Program 4 [Member]                
Stockholders Equity [Line items]                
Amount of stock authorized for repurchase         $ 100.0      
Stock Repurchase Program 4 [Member] | Common Stock [Member] | Subsequent Event [Member]                
Stockholders Equity [Line items]                
Repurchase shares of common stock 156,000              
Repurchase shares of common stock, value $ 5.2              
v3.22.0.1
Shareholders' Equity - Table of Actual Regulatory Capital Amounts and Ratios (Details)
$ in Thousands
Dec. 31, 2021
USD ($)
Dec. 31, 2020
USD ($)
Trustmark Corporation [Member] | Common Equity Tier 1 Capital (to Risk Weighted Assets) [Member]    
Common Equity Tier One Risk Based Capital [Abstract]    
Actual Regulatory Capital Amount $ 1,425,227 $ 1,395,844
Actual Regulatory Capital Ratio 11.29% 11.62%
Minimum Regulatory Capital Required Ratio 7.00% 7.00%
Minimum Regulatory Provision to be Well-Capitalized Ratio
Trustmark Corporation [Member] | Tier 1 Capital (to Risk Weighted Assets) [Member]    
Tier 1 Capital (to Risk Weighted Assets) [Abstract]    
Actual Regulatory Capital Amount $ 1,485,227 $ 1,455,844
Actual Regulatory Capital Ratio 11.77 12.11
Minimum Regulatory Capital Required Ratio 8.500 8.500
Minimum Regulatory Provision to be Well-Capitalized Ratio
Trustmark Corporation [Member] | Total Capital (to Risk Weighted Assets) [Member]    
Total Capital (to Risk Weighted Assets) [Abstract]    
Actual Regulatory Capital Amount $ 1,710,700 $ 1,696,794
Actual Regulatory Capital Ratio 13.55 14.12
Minimum Regulatory Capital Required Ratio 10.500 10.500
Minimum Regulatory Provision to be Well-Capitalized Ratio
Trustmark Corporation [Member] | Tier 1 Leverage (to Average Assets) [Member]    
Tier 1 Leverage (to Average Assets) [Abstract]    
Actual Regulatory Capital Amount $ 1,485,227 $ 1,455,844
Actual Regulatory Capital Ratio 8.73 9.33
Minimum Regulatory Capital Required Ratio 4.00 4.00
Minimum Regulatory Provision to be Well-Capitalized Ratio
Trustmark National Bank [Member] | Common Equity Tier 1 Capital (to Risk Weighted Assets) [Member]    
Common Equity Tier One Risk Based Capital [Abstract]    
Actual Regulatory Capital Amount $ 1,518,599 $ 1,412,015
Actual Regulatory Capital Ratio 12.03% 11.75%
Minimum Regulatory Capital Required Ratio 7.00% 7.00%
Minimum Regulatory Provision to be Well-Capitalized Ratio 6.50% 6.50%
Trustmark National Bank [Member] | Tier 1 Capital (to Risk Weighted Assets) [Member]    
Tier 1 Capital (to Risk Weighted Assets) [Abstract]    
Actual Regulatory Capital Amount $ 1,518,599 $ 1,412,015
Actual Regulatory Capital Ratio 12.03 11.75
Minimum Regulatory Capital Required Ratio 8.500 8.500
Minimum Regulatory Provision to be Well-Capitalized Ratio 8.00 8.00
Trustmark National Bank [Member] | Total Capital (to Risk Weighted Assets) [Member]    
Total Capital (to Risk Weighted Assets) [Abstract]    
Actual Regulatory Capital Amount $ 1,621,030 $ 1,530,044
Actual Regulatory Capital Ratio 12.84 12.73
Minimum Regulatory Capital Required Ratio 10.500 10.500
Minimum Regulatory Provision to be Well-Capitalized Ratio 10.00 10.00
Trustmark National Bank [Member] | Tier 1 Leverage (to Average Assets) [Member]    
Tier 1 Leverage (to Average Assets) [Abstract]    
Actual Regulatory Capital Amount $ 1,518,599 $ 1,412,015
Actual Regulatory Capital Ratio 8.94 9.07
Minimum Regulatory Capital Required Ratio 4.00 4.00
Minimum Regulatory Provision to be Well-Capitalized Ratio 5.00 5.00
v3.22.0.1
Shareholders' Equity - Net Change in Components of Accumulated Other Comprehensive Income (Loss) and the Related Tax Effects (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2021
Dec. 31, 2020
Dec. 31, 2019
Accumulated Other Comprehensive Income (Loss) [Line Items]      
Other comprehensive income (loss), before tax amount $ (42,013) $ 30,068 $ 42,772
Other comprehensive income (loss), tax (expense) benefit 10,504 (7,519) (10,693)
Other comprehensive income (loss), before reclassifications, net of tax amount (32,971) 21,502 31,420
Reclassification from accumulated other comprehensive income, current period, net of tax amount 1,462 1,047 659
Other comprehensive income (loss), net of tax amount (31,509) 22,549 32,079
Securities Available for Sale and Transferred Securities [Member]      
Accumulated Other Comprehensive Income (Loss) [Line Items]      
Other comprehensive income (loss), before reclassifications, before tax amount (49,454) 30,622 44,136
Other comprehensive income (loss), change in net unrealized holding loss on securities transferred to held to maturity, before tax amount 2,647 3,177 3,605
Other comprehensive income (loss), before tax amount (46,807) 33,799 47,741
Other comprehensive income (loss), before reclassifications, tax (expense) benefit 12,364 (7,657) (11,033)
Other comprehensive income (loss), change in net unrealized holding loss on securities transferred to held to maturity, tax (expense) benefit (662) (794) (901)
Other comprehensive income (loss), tax (expense) benefit 11,702 (8,451) (11,934)
Other comprehensive income (loss), before reclassifications, net of tax amount (37,090) 22,965 33,103
Other comprehensive income (loss), change in net unrealized holding loss on securities transferred to held to maturity, net of tax amount 1,985 2,383 2,704
Other comprehensive income (loss), net of tax amount (35,105) 25,348 35,807
Change in Net Actuarial Loss [Member]      
Accumulated Other Comprehensive Income (Loss) [Line Items]      
Other comprehensive income (loss), before reclassifications, before tax amount 2,845 (5,128) (5,703)
Reclassification from accumulated other comprehensive income, current period, before tax amount 1,655 1,128 (796)
Other comprehensive income (loss), before reclassifications, tax (expense) benefit (711) 1,282 1,425
Reclassification from accumulated other comprehensive income, current period, tax (expense) benefit (414) (282) (199)
Other comprehensive income (loss), before reclassifications, net of tax amount 2,134 (3,846) (4,278)
Reclassification from accumulated other comprehensive income, current period, net of tax amount 1,241 846 597
Net Change in Prior Service Costs [Member]      
Accumulated Other Comprehensive Income (Loss) [Line Items]      
Reclassification from accumulated other comprehensive income, current period, before tax amount 111 150 250
Reclassification from accumulated other comprehensive income, current period, tax (expense) benefit (27) (38) (63)
Reclassification from accumulated other comprehensive income, current period, net of tax amount 84 112 187
Recognized Net Loss Due to Lump Sum Settlements [Member]      
Accumulated Other Comprehensive Income (Loss) [Line Items]      
Reclassification from accumulated other comprehensive income, current period, before tax amount 183 119 312
Reclassification from accumulated other comprehensive income, current period, tax (expense) benefit (46) (30) (77)
Reclassification from accumulated other comprehensive income, current period, net of tax amount 137 89 235
Pension and Other Postretirement Benefit Plans [Member]      
Accumulated Other Comprehensive Income (Loss) [Line Items]      
Reclassification from accumulated other comprehensive income, current period, before tax amount 4,794 (3,731) 4,345
Reclassification from accumulated other comprehensive income, current period, tax (expense) benefit (1,198) 932 (1,086)
Reclassification from accumulated other comprehensive income, current period, net of tax amount $ 3,596 $ (2,799) 3,259
Cash Flow Hedge Derivatives {Member]      
Accumulated Other Comprehensive Income (Loss) [Line Items]      
Other comprehensive income (loss), before reclassifications, before tax amount     (145)
Reclassification from accumulated other comprehensive income, current period, before tax amount     (479)
Other comprehensive income (loss), before tax amount     (624)
Other comprehensive income (loss), before reclassifications, tax (expense) benefit     36
Reclassification from accumulated other comprehensive income, current period, tax (expense) benefit     119
Other comprehensive income (loss), tax (expense) benefit     155
Other comprehensive income (loss), before reclassifications, net of tax amount     (109)
Reclassification from accumulated other comprehensive income, current period, net of tax amount     (360)
Other comprehensive income (loss), net of tax amount     $ (469)
v3.22.0.1
Shareholders' Equity - Changes in Balances of Component of Accumulated Other Comprehensive Income (Loss) (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2021
Dec. 31, 2020
Dec. 31, 2019
Accumulated Other Comprehensive Income (Loss) [Line Items]      
Balance $ 1,741,117 $ 1,660,702 $ 1,591,453
Other comprehensive income (loss) before reclassification (32,971) 21,502 31,420
Amounts reclassified from accumulated other comprehensive income (loss) 1,462 1,047 659
Other comprehensive income (loss), net of tax amount (31,509) 22,549 32,079
Balance 1,741,311 1,741,117 1,660,702
Securities Available for Sale and Transferred Securities [Member]      
Accumulated Other Comprehensive Income (Loss) [Line Items]      
Balance 17,331 (8,017) (43,824)
Other comprehensive income (loss) before reclassification (35,105) 25,348 35,807
Other comprehensive income (loss), net of tax amount (35,105) 25,348 35,807
Balance (17,774) 17,331 (8,017)
Defined Benefit Pension Items [Member]      
Accumulated Other Comprehensive Income (Loss) [Line Items]      
Balance (18,382) (15,583) (12,324)
Other comprehensive income (loss) before reclassification 2,134 (3,846) (4,278)
Amounts reclassified from accumulated other comprehensive income (loss) 1,462 1,047 1,019
Other comprehensive income (loss), net of tax amount 3,596 (2,799) (3,259)
Balance (14,786) (18,382) (15,583)
Cash Flow Hedge Derivatives [Member]      
Accumulated Other Comprehensive Income (Loss) [Line Items]      
Balance     469
Other comprehensive income (loss) before reclassification     (109)
Amounts reclassified from accumulated other comprehensive income (loss)     (360)
Other comprehensive income (loss), net of tax amount     (469)
Accumulated Other Comprehensive Income (Loss) [Member]      
Accumulated Other Comprehensive Income (Loss) [Line Items]      
Balance (1,051) (23,600) (55,679)
Balance $ (32,560) $ (1,051) $ (23,600)
v3.22.0.1
Fair Value - Financial Assets and Liabilities Measured at Fair Value Recurring Basis (Details) - USD ($)
$ in Thousands
Dec. 31, 2021
Dec. 31, 2020
Dec. 31, 2019
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]      
Securities available for sale $ 3,238,877 $ 1,991,815  
LHFS 275,706 446,951  
MSR 87,687 66,464 $ 79,394
U.S. Treasury Securities [Member]      
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]      
Securities available for sale 344,640    
U.S. Government Agency Obligations [Member]      
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]      
Securities available for sale 13,727 18,041  
Obligations of States and Political Subdivisions [Member]      
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]      
Securities available for sale 5,714 5,835  
Recurring Basis [Member]      
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]      
Securities available for sale 3,238,877 1,991,815  
LHFS 275,706 446,951  
MSR 87,687 66,464  
Other assets - derivatives 24,809 47,768  
Other liabilities - derivatives 4,677 5,324  
Recurring Basis [Member] | U.S. Treasury Securities [Member]      
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]      
Securities available for sale 344,640    
Recurring Basis [Member] | U.S. Government Agency Obligations [Member]      
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]      
Securities available for sale 13,727 18,041  
Recurring Basis [Member] | Obligations of States and Political Subdivisions [Member]      
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]      
Securities available for sale 5,714 5,835  
Recurring Basis [Member] | Mortgage-Backed Securities [Member]      
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]      
Securities available for sale 2,874,796 1,967,939  
Level 1 [Member] | Recurring Basis [Member]      
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]      
Securities available for sale 344,640 0  
LHFS 0 0  
MSR 0 0  
Other assets - derivatives 2,794 145  
Other liabilities - derivatives 414 666  
Level 1 [Member] | Recurring Basis [Member] | U.S. Treasury Securities [Member]      
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]      
Securities available for sale 344,640    
Level 1 [Member] | Recurring Basis [Member] | U.S. Government Agency Obligations [Member]      
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]      
Securities available for sale 0 0  
Level 1 [Member] | Recurring Basis [Member] | Obligations of States and Political Subdivisions [Member]      
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]      
Securities available for sale 0 0  
Level 1 [Member] | Recurring Basis [Member] | Mortgage-Backed Securities [Member]      
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]      
Securities available for sale 0 0  
Level 2 [Member] | Recurring Basis [Member]      
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]      
Securities available for sale 2,894,237 1,991,815  
LHFS 275,706 446,951  
MSR 0 0  
Other assets - derivatives 20,156 38,063  
Other liabilities - derivatives 4,263 4,658  
Level 2 [Member] | Recurring Basis [Member] | U.S. Treasury Securities [Member]      
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]      
Securities available for sale 0    
Level 2 [Member] | Recurring Basis [Member] | U.S. Government Agency Obligations [Member]      
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]      
Securities available for sale 13,727 18,041  
Level 2 [Member] | Recurring Basis [Member] | Obligations of States and Political Subdivisions [Member]      
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]      
Securities available for sale 5,714 5,835  
Level 2 [Member] | Recurring Basis [Member] | Mortgage-Backed Securities [Member]      
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]      
Securities available for sale 2,874,796 1,967,939  
Level 3 [Member] | Recurring Basis [Member]      
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]      
Securities available for sale 0 0  
LHFS 0 0  
MSR 87,687 66,464  
Other assets - derivatives 1,859 9,560  
Other liabilities - derivatives 0 0  
Level 3 [Member] | Recurring Basis [Member] | U.S. Treasury Securities [Member]      
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]      
Securities available for sale 0    
Level 3 [Member] | Recurring Basis [Member] | U.S. Government Agency Obligations [Member]      
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]      
Securities available for sale 0 0  
Level 3 [Member] | Recurring Basis [Member] | Obligations of States and Political Subdivisions [Member]      
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]      
Securities available for sale 0 0  
Level 3 [Member] | Recurring Basis [Member] | Mortgage-Backed Securities [Member]      
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]      
Securities available for sale $ 0 $ 0  
v3.22.0.1
Fair Value - Changes in Level 3 Assets Measured at Fair Value on a Recurring Basis (Details) - Recurring Basis [Member] - Level 3 [Member] - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2021
Dec. 31, 2020
MSR [Member]    
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]    
Beginning Balance $ 66,464 $ 79,394
Total net (loss) gain included in Mortgage banking, net [1] (6,902) (42,735)
Additions 28,125 29,805
Sales 0 0
Ending Balance 87,687 66,464
The amount of total gains (losses) for the period included in earnings that are attributable to the change in unrealized gains or losses still held, end of period 13,258 (26,146)
Other Assets - Derivatives [Member]    
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]    
Beginning Balance 9,560 1,439
Total net (loss) gain included in Mortgage banking, net [1] 9,104 40,669
Additions 0 0
Sales (16,805) (32,548)
Ending Balance 1,859 9,560
The amount of total gains (losses) for the period included in earnings that are attributable to the change in unrealized gains or losses still held, end of period $ 3,159 $ 25,031
[1] Total net (loss) gain included in Mortgage banking, net relating to the MSR includes changes in fair value due to market changes and due to run-off.
v3.22.0.1
Fair Value - Additional Information (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2021
Dec. 31, 2020
Dec. 31, 2019
Fair Value Disclosures [Abstract]      
Outstanding balances in collateral dependent related to allowance for credit losses $ 44,400 $ 43,400  
Collateral dependent related to allowance for credit losses 7,600 4,400  
Foreclosed assets re-measured after initial recognition 7,300 10,100  
Write-downs of allowance for foreclosed assets after initial recognition 437 2,000  
Noninterest gain (loss) Mortgage banking, net for changes in fair value of LHFS (10,300) 10,500 $ 1,500
Interest earned on LHFS included in Interest and fees on LHFS and LHFI 7,000 6,900 $ 5,900
Serviced GNMA loans eligible for repurchase $ (84,464) $ (141,160)  
v3.22.0.1
Fair Value - Carrying Amounts and Estimated Fair Values of Financial Instruments (Details) - USD ($)
$ in Thousands
Dec. 31, 2021
Dec. 31, 2020
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Securities held to maturity $ 342,537 $ 538,072
Deposits 15,087,160 14,048,764
Federal funds purchased and securities sold under repurchase agreements 238,577 164,519
Other borrowings 91,025 168,252
Subordinated notes 123,042 122,921
Junior subordinated debt securities 61,856 61,856
Level 2 [Member] | Carrying Value [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Cash and short-term investments 2,266,829 1,952,554
Securities held to maturity 342,537 538,072
Deposits 15,087,160 14,048,764
Federal funds purchased and securities sold under repurchase agreements 238,577 164,519
Other borrowings 91,025 168,252
Subordinated notes 123,042 122,921
Junior subordinated debt securities 61,856 61,856
Level 2 [Member] | Estimate Fair Value [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Cash and short-term investments 2,266,829 1,952,554
Securities held to maturity 353,511 563,115
Deposits 15,084,440 14,052,863
Federal funds purchased and securities sold under repurchase agreements 238,577 164,519
Other borrowings 91,022 168,252
Subordinated notes 128,438 127,500
Junior subordinated debt securities 49,485 46,083
Level 3 [Member] | Carrying Value [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Net LHFI and PPP loans 10,181,708 10,317,352
Level 3 [Member] | Estimate Fair Value [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Net LHFI and PPP loans $ 10,123,379 $ 10,312,395
v3.22.0.1
Fair Value - Fair Value and the Contractual Principal Outstanding of the LHFS (Details) - USD ($)
$ in Thousands
Dec. 31, 2021
Dec. 31, 2020
Fair value and the contractual principal outstanding of the LHFS [Abstract]    
Fair value of LHFS $ 191,242 $ 305,791
LHFS contractual principal outstanding 186,535 290,625
Fair value less unpaid principal $ 4,707 $ 15,166
v3.22.0.1
Derivative Financial Instruments - Additional Information (Details)
 12 Months Ended
Dec. 31, 2021
USD ($)
Contract
Dec. 31, 2020
USD ($)
Contract
Dec. 31, 2019
USD ($)
Apr. 04, 2013
USD ($)
Designated as Hedging Instrument [Member] | Interest Rate Swap [Member]        
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items]        
Period for which cash flow hedges will be used to hedge quarterly interest payments 5 years      
Derivative inception date Dec. 31, 2014      
Derivative maturity date Dec. 31, 2019      
Description of variable rate basis for derivative three-month LIBOR      
Ineffectiveness related to interest rate swap designated as a cash flow hedge $ 0 $ 0 $ 0  
Accumulated net, after tax gain included in accumulated other comprehensive income (loss) $ 0 $ 0 0  
Designated as Hedging Instrument [Member] | Interest Rate Swap [Member] | Junior Subordinated Debentures [Member]        
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items]        
Total notional amount       $ 60,000,000.0
Designated as Hedging Instrument [Member] | Interest Rate Swap [Member] | Three-month LIBOR [Member]        
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items]        
Swap fixed interest rate to be paid 1.66%      
Derivatives not Designated as Hedging Instruments [Member] | Beneficiary [Member]        
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items]        
Number of risk participation agreements | Contract 6 3    
Aggregate notional amount of credit risk participation agreements $ 52,000,000.0 $ 41,100,000    
Derivatives not Designated as Hedging Instruments [Member] | Guarantor [Member]        
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items]        
Number of risk participation agreements | Contract 24 24    
Aggregate notional amount of credit risk participation agreements $ 173,500,000 $ 172,000,000.0    
Derivatives not Designated as Hedging Instruments [Member] | Mortgage Servicing Rights Hedge [Member]        
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items]        
Total notional amount 409,500,000 326,500,000    
Net (negative) positive ineffectiveness on MSR fair value 2,500,000 7,800,000 $ (11,500,000)  
Derivatives not Designated as Hedging Instruments [Member] | Interest Rate Swap [Member]        
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items]        
Total notional amount 1,225,000,000 1,125,000,000    
Termination value of derivatives 655,000 1,300,000    
Collateral Posted 850,000      
Derivatives not Designated as Hedging Instruments [Member] | Forward Contracts [Member]        
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items]        
Off-balance sheet obligations 236,000,000.0 377,500,000    
Valuation adjustment (81,000) (3,100,000)    
Derivatives not Designated as Hedging Instruments [Member] | Interest Rate Lock Commitments [Member]        
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items]        
Off-balance sheet obligations 142,600,000 329,300,000    
Valuation adjustment $ 1,900,000 $ 9,600,000    
v3.22.0.1
Derivative Financial Instruments - Fair Value of Derivative Instruments (Details) - USD ($)
$ in Thousands
Dec. 31, 2021
Dec. 31, 2020
Interest Rate Swap [Member]    
Derivatives, Fair Value [Line Items]    
Fair value of derivative asset $ 20,115 $ 37,974
Fair value of derivative liability 4,144 1,313
Derivatives not Designated as Hedging Instruments [Member] | Credit Risk Participation Agreement [Member] | Other Assets [Member]    
Derivatives, Fair Value [Line Items]    
Fair value of derivative asset 41 89
Derivatives not Designated as Hedging Instruments [Member] | Credit Risk Participation Agreement [Member] | Other Liabilities [Member]    
Derivatives, Fair Value [Line Items]    
Fair value of derivative liability 38 200
Derivatives not Designated as Hedging Instruments [Member] | Future Contracts [Member] | Other Assets [Member]    
Derivatives, Fair Value [Line Items]    
Fair value of derivative asset 2,356  
Derivatives not Designated as Hedging Instruments [Member] | Future Contracts [Member] | Other Liabilities [Member]    
Derivatives, Fair Value [Line Items]    
Fair value of derivative liability   34
Derivatives not Designated as Hedging Instruments [Member] | Forward Contracts [Member] | Other Liabilities [Member]    
Derivatives, Fair Value [Line Items]    
Fair value of derivative liability 81 3,145
Derivatives not Designated as Hedging Instruments [Member] | Exchange Traded Purchased Options [Member] | Other Assets [Member]    
Derivatives, Fair Value [Line Items]    
Fair value of derivative asset 438 145
Derivatives not Designated as Hedging Instruments [Member] | OTC Written Options (Rate Locks) [Member] | Other Assets [Member]    
Derivatives, Fair Value [Line Items]    
Fair value of derivative asset 1,859 9,560
Derivatives not Designated as Hedging Instruments [Member] | Interest Rate Swap [Member] | Other Assets [Member]    
Derivatives, Fair Value [Line Items]    
Fair value of derivative asset [1] 20,115 37,974
Derivatives not Designated as Hedging Instruments [Member] | Interest Rate Swap [Member] | Other Liabilities [Member]    
Derivatives, Fair Value [Line Items]    
Fair value of derivative liability [1] 4,144 1,313
Derivatives not Designated as Hedging Instruments [Member] | Exchange Traded Written Options [Member] | Other Liabilities [Member]    
Derivatives, Fair Value [Line Items]    
Fair value of derivative liability $ 414 $ 632
[1] In accordance with GAAP, the variation margin collateral payments made or received for interest rate swaps that are centrally cleared are legally characterized as settled. As a result, the centrally cleared interest rate swaps included in other assets and other liabilities are presented on a net basis in the accompanying consolidated balance sheets.
v3.22.0.1
Derivative Financial Instruments - Effects of Derivative Instruments on Statements of Operations (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2021
Dec. 31, 2020
Dec. 31, 2019
Derivatives in Hedging Relationships [Member] | Accumulated Other Comprehensive Income (Loss) and Other Interest Expense [Member]      
Derivatives, Fair Value [Line Items]      
Amount of gain (loss) reclassified from accumulated other comprehensive income (loss) and recognized in other interest expense     $ 479
Derivatives not Designated as Hedging Instruments [Member] | Mortgage Banking, Net [Member]      
Derivatives, Fair Value [Line Items]      
Amount of gain (loss) recognized in mortgage banking, net $ (15,436) $ 39,436 11,096
Derivatives not Designated as Hedging Instruments [Member] | Bank Card and Other Fees [Member]      
Derivatives, Fair Value [Line Items]      
Amount of gain (loss) recognized in bank card and other fees $ 1,649 $ (1,022) $ (776)
v3.22.0.1
Derivative Financial Instruments - Schedule of Amount Included in Other Comprehensive Income (Loss) for Derivative Instruments Designated as Hedges of Cash Flows (Details)
$ in Thousands
 12 Months Ended
Dec. 31, 2019
USD ($)
Derivatives, Fair Value [Line Items]  
Amount of gain (loss) recognized in other comprehensive income (loss), net of tax $ (109)
Derivatives in Hedging Relationships [Member]  
Derivatives, Fair Value [Line Items]  
Amount of gain (loss) recognized in other comprehensive income (loss), net of tax $ (109)
v3.22.0.1
Derivative Financial Instruments - Information about Financial Instruments that are Eligible for Offset in the Consolidated Balance Sheets (Details) - Interest Rate Swap [Member] - USD ($)
$ in Thousands
Dec. 31, 2021
Dec. 31, 2020
Offsetting Derivative Assets    
Gross Amounts of Recognized Assets, Offsetting of Derivative Assets $ 20,115 $ 37,974
Gross Amounts Offset in the Statement of Financial Position, Offsetting of Derivative Assets 0 0
Net Amounts of Assets presented in the Statement of Financial Position, Offsetting of Derivative Assets 20,115 37,974
Financial Instruments, Gross Amounts Not Offset in the Statement of Financial Position, Offsetting of Derivative Assets 55 0
Cash Collateral Received, Gross Amounts Not Offset in the Statement of Financial Position, Offsetting of Derivative Assets 0 0
Net Amount, Offsetting of Derivative Assets 20,170 37,974
Offsetting Derivative Liabilities    
Gross Amounts of Recognized Liabilities, Offsetting of Derivative Liabilities 4,144 1,313
Gross Amounts Offset in the Statement of Financial Position, Offsetting of Derivative Liabilities 0 0
Net Amounts of Liabilities presented in the Statement of Financial Position, Offsetting of Derivative Liabilities 4,144 1,313
Financial Instruments, Gross Amounts Not Offset in the Statement of Financial Position, Offsetting of Derivative Liabilities 55 0
Cash Collateral Posted, Gross Amounts Not Offset in the Statement of Financial Position, Offsetting of Derivative Liabilities (850) (1,313)
Net Amount, Offsetting of Derivative Liabilities $ 3,349 $ 0
v3.22.0.1
Segment Information - Additional Information (Details)
 12 Months Ended
Dec. 31, 2021
Segment
Segment Reporting [Abstract]  
Number of segments in which the business operates 3
v3.22.0.1
Segment Information - Schedule of Segment Information (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2021
Dec. 31, 2020
Dec. 31, 2019
Segment Reporting Information [Line Items]      
Net interest income $ 418,351 $ 426,537 $ 426,589
PCL [1] (24,448) 45,047 10,839
Noninterest income 221,910 274,593 187,045
Noninterest expense [1],[2] 489,296 466,301 429,002
Income Before Income Taxes 175,413 189,782 173,793
Income taxes 28,048 29,757 23,333
Net Income 147,365 160,025 150,460
Selected Financial Information      
Total assets 17,595,636 16,551,840 13,497,877
Depreciation and amortization 45,813 41,325 39,420
General Banking [Member]      
Segment Reporting Information [Line Items]      
Net interest income 413,201 420,225 419,597
PCL [1] (24,439) 45,058 10,622
Noninterest income 137,874 197,691 113,756
Noninterest expense [1] 421,561 401,810 367,976
Income Before Income Taxes 153,953 171,048 154,755
Income taxes 22,706 25,109 18,638
Net Income 131,247 145,939 136,117
Selected Financial Information      
Total assets 17,275,438 16,226,358 13,140,467
Depreciation and amortization 44,776 40,351 38,634
Wealth Management [Member]      
Segment Reporting Information [Line Items]      
Net interest income 5,161 6,082 6,750
PCL (9) (11) 217
Noninterest income 35,420 31,634 30,860
Noninterest expense 31,721 30,318 28,882
Income Before Income Taxes 8,869 7,409 8,511
Income taxes 2,219 1,853 2,123
Net Income 6,650 5,556 6,388
Selected Financial Information      
Total assets 232,997 242,429 283,164
Depreciation and amortization 269 274 270
Insurance [Member]      
Segment Reporting Information [Line Items]      
Net interest income (11) 230 242
Noninterest income 48,616 45,268 42,429
Noninterest expense 36,014 34,173 32,144
Income Before Income Taxes 12,591 11,325 10,527
Income taxes 3,123 2,795 2,572
Net Income 9,468 8,530 7,955
Selected Financial Information      
Total assets 87,201 83,053 74,246
Depreciation and amortization $ 768 $ 700 $ 516
[1] During 2021, Trustmark reclassified its credit loss expense related to off-balance sheet credit exposures from noninterest expense to PCL, off-balance sheet credit exposures. Prior periods have been reclassified accordingly.
[2] During 2021, Trustmark reclassified its credit loss expense on off-balance sheet credit exposures from noninterest expense to PCL, off-balance sheet credit exposures. Prior periods have been reclassified accordingly.
v3.22.0.1
Parent Company Only Financial Information - Parent Only Financial Statements (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2021
Dec. 31, 2020
Dec. 31, 2019
Dec. 31, 2018
Assets        
Other assets $ 568,177 $ 609,142    
Total Assets 17,595,636 16,551,840 $ 13,497,877  
Liabilities and Shareholders' Equity:        
Subordinated notes 123,042 122,921    
Junior subordinated debt securities 61,856 61,856    
Shareholders' equity 1,741,311 1,741,117 1,660,702 $ 1,591,453
Total Liabilities and Shareholders' Equity 17,595,636 16,551,840    
Expense:        
Net Income 147,365 160,025 150,460  
Operating Activities        
Net income 147,365 160,025 150,460  
Adjustments to reconcile net income to net cash provided by operating activities:        
Other (9,601) 27,699 23,838  
Net cash from operating activities 348,771 65,346 116,447  
Financing Activities        
Proceeds from subordinated notes   122,900    
Common stock dividends (58,085) (58,769) (59,804)  
Repurchase and retirement of common stock (61,799) (27,538) (56,615)  
Net cash from financing activities 970,568 2,745,957 (32,853)  
Trustmark Corp (Parent Company Only) [Member]        
Assets        
Investment in banks 1,851,398 1,769,165    
Other assets 75,995 158,360    
Total Assets 1,927,393 1,927,525    
Liabilities and Shareholders' Equity:        
Accrued expense 1,184 1,631    
Subordinated notes 123,042 122,921    
Junior subordinated debt securities 61,856 61,856    
Shareholders' equity 1,741,311 1,741,117    
Total Liabilities and Shareholders' Equity 1,927,393 1,927,525    
Revenue:        
Dividends received from banks 45,284 109,243 120,297  
Earnings of subsidiaries over distributions 108,141 53,724 32,971  
Other income 95 66 90  
Total Revenue 153,520 163,033 153,358  
Expense:        
Other expense 6,155 3,008 2,898  
Total Expense 6,155 3,008 2,898  
Net Income 147,365 160,025 150,460  
Operating Activities        
Net income 147,365 160,025 150,460  
Adjustments to reconcile net income to net cash provided by operating activities:        
Net change in investment in subsidiaries (108,141) (53,724) (32,971)  
Other (2,078) (326) (1,800)  
Net cash from operating activities 37,146 105,975 115,689  
Financing Activities        
Proceeds from subordinated notes   122,900    
Common stock dividends (58,085) (58,769) (59,804)  
Repurchase and retirement of common stock (61,799) (27,538) (56,615)  
Net cash from financing activities (119,884) 36,593 (116,419)  
Net change in cash and cash equivalents (82,738) 142,568 (730)  
Cash and cash equivalents at beginning of year 158,275 15,707 16,437  
Cash and cash equivalents at end of year $ 75,537 $ 158,275 $ 15,707  
v3.22.0.1
Parent Company Only Financial Information - Additional Information (Details) - USD ($)
 12 Months Ended
Dec. 31, 2021
Dec. 31, 2020
Dec. 31, 2019
Condensed Financial Statements Captions [Line Items]      
Income taxes paid $ 15,259,000 $ 46,648,000 $ 24,809,000
Trustmark Corp (Parent Company Only) [Member]      
Condensed Financial Statements Captions [Line Items]      
Income taxes paid 15,300,000 46,600,000 24,800,000
Interest paid $ 4,600,000 0  
Interest received   $ 0 $ 482,000