TRUSTMARK CORP, 10-K filed on 2/15/2024
Annual Report
v3.24.0.1
Document and Entity Information - USD ($)
$ in Millions
 12 Months Ended
Dec. 31, 2023
Jan. 31, 2024
Jun. 30, 2023
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    
Document Fiscal Year Focus 2023    
Document Fiscal Period Focus FY    
Document Type 10-K    
Amendment Flag false    
Document Period End Date Dec. 31, 2023    
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    
Document Financial Statement Error Correction [Flag] false    
Entity Public Float     $ 698.8
Entity Common Stock, Shares Outstanding   61,084,299  
Documents Incorporated by Reference

DOCUMENTS INCORPORATED BY REFERENCE

Portions of the Proxy Statement for Trustmark’s 2024 Annual Meeting of Shareholders to be held April 23, 2024 are incorporated by reference into Part III of the Form 10-K report.

    
Auditor Name Crowe LLP    
Auditor Location Fort Lauderdale, Florida    
Auditor Firm ID 173    
v3.24.0.1
Consolidated Balance Sheets - USD ($)
$ in Thousands
Dec. 31, 2023
Dec. 31, 2022
Assets    
Cash and due from banks $ 975,543 $ 734,787
Federal funds sold and securities purchased under reverse repurchase agreements 0 4,000
Securities available for sale, at fair value (amortized cost: $1,959,007-2023; $2,270,709-2022; allowance for credit losses (ACL): $0) 1,762,878 2,024,082
Securities held to maturity, net of ACL of $0 (fair value: $1,355,504-2023; $1,406,589-2022) 1,426,279 1,494,514
Loans held for sale (LHFS) 184,812 135,226
Loans held for investment (LHFI) 12,950,524 12,204,039
Less ACL, LHFI 139,367 120,214
Net LHFI 12,811,157 12,083,825
Premises and equipment, net 232,537 212,365
Mortgage servicing rights (MSR) 131,870 129,677
Goodwill 384,237 384,237
Identifiable intangible assets, net 2,965 3,640
Other real estate, net 6,867 1,986
Operating lease right-of-use assets 38,142 36,301
Other assets 764,902 770,838
Total Assets 18,722,189 18,015,478
Deposits:    
Noninterest-bearing 3,197,620 4,093,771
Interest-bearing 12,372,143 10,343,877
Total deposits 15,569,763 14,437,648
Federal funds purchased and securities sold under repurchase agreements 405,745 449,331
Other borrowings 483,230 1,050,938
Subordinated notes 123,482 123,262
Junior subordinated debt securities 61,856 61,856
ACL on off-balance sheet credit exposures 34,057 36,838
Operating lease liabilities 41,584 38,932
Other liabilities 340,625 324,405
Total Liabilities 17,060,342 16,523,210
Shareholders' Equity    
Common stock, no par value: Authorized: 250,000,000 shares Issued and outstanding: 61,071,173 shares - 2023; 60,977,686 shares - 2022 12,725 12,705
Capital surplus 159,688 154,645
Retained earnings 1,709,157 1,600,321
Accumulated other comprehensive income (loss), net of tax (219,723) (275,403)
Total Shareholders' Equity 1,661,847 1,492,268
Total Liabilities and Shareholders' Equity $ 18,722,189 $ 18,015,478
v3.24.0.1
Consolidated Balance Sheets (Parenthetical) - USD ($)
Dec. 31, 2023
Dec. 31, 2022
Assets    
Securities available-for-sale, amortized cost $ 1,959,007,000 $ 2,270,709,000
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 $ 1,355,504,000 $ 1,406,589,000
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) 61,071,173 60,977,686
Common stock, outstanding (in shares) 61,071,173 60,977,686
v3.24.0.1
Consolidated Statements of Income - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Interest Income      
Interest and fees on LHFS & LHFI $ 775,309 $ 472,990 $ 363,772
Interest and fees on PPP loans 0 639 36,726
Interest on securities:      
Taxable 66,100 59,717 38,698
Tax exempt 208 333 548
Interest on federal funds sold and securities purchased under reverse repurchase agreements 80 74 0
Other interest income 37,135 8,080 2,767
Total Interest Income 878,832 541,833 442,511
Interest Expense      
Interest on deposits 245,951 29,069 16,945
Interest on federal funds purchased and securities sold under repurchase agreements 20,419 6,127 232
Other interest expense 59,584 11,929 6,983
Total Interest Expense 325,954 47,125 24,160
Net Interest Income 552,878 494,708 418,351
Provision for credit losses (PCL), LHFI 27,362 21,677 (21,499)
PCL, off-balance sheet credit exposures (2,781) 1,215 (2,949)
Net Interest Income After PCL 528,297 471,816 442,799
Noninterest Income      
Service charges on deposit accounts 43,416 42,157 33,246
Bank card and other fees 33,439 36,105 34,662
Mortgage banking, net 26,216 28,306 63,750
Insurance commissions 57,569 53,721 48,511
Wealth management 35,092 35,013 35,190
Other, net 11,187 9,842 6,551
Securities (gains) losses, net 39 0 0
Total Noninterest Income 206,958 205,144 221,910
Noninterest Expense      
Salaries and employee benefits 304,665 287,440 284,158
Services and fees [1] 109,478 105,469 92,282
Net occupancy - premises 29,482 29,264 27,043
Equipment expense 26,142 24,448 24,337
Litigation settlement expense 6,500 100,750 0
Other expense [1],[2] 61,652 55,842 61,476
Total Noninterest Expense 537,919 603,213 489,296
Income Before Income Taxes 197,336 73,747 175,413
Income taxes 31,847 1,860 28,048
Net Income $ 165,489 $ 71,887 $ 147,365
Earnings Per Share      
Basic $ 2.71 $ 1.17 $ 2.35
Diluted $ 2.7 $ 1.17 $ 2.34
[1] During the first quarter of 2023, Trustmark reclassified its debit card transaction fees from other expense to services and fees. The prior periods have been reclassified accordingly.
[2] During the first quarter of 2022, Trustmark reclassified its other real estate expense, net to other expense. The prior periods have been reclassified accordingly.
v3.24.0.1
Consolidated Statements of Comprehensive Income - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Statement of Comprehensive Income [Abstract]      
Net income per consolidated statements of income $ 165,489 $ 71,887 $ 147,365
Net unrealized gains (losses) on available for sale securities and transferred securities:      
Net unrealized holding gains (losses) arising during the period 38,133 (172,143) (37,090)
Reclassification adjustment for net (gains) losses realized in net income (29) 0 0
Change in net unrealized holding loss on securities transferred to held to maturity 11,668 (64,525) 1,985
Pension and other postretirement benefit plans:      
Change in the actuarial loss of pension and other postretirement benefit plans (518) 8,094 2,134
Reclassification adjustments for changes realized in net income:      
Net change in prior service costs 83 83 84
Recognized net loss due to lump sum settlements 19 0 137
Change in net actuarial loss 133 817 1,241
Derivatives:      
Change in the accumulated gain (loss) on effective cash flow hedge derivatives (6,098) (15,514) 0
Reclassification adjustment for (gain) loss realized in net income 12,289 345 0
Other comprehensive income (loss), net of tax 55,680 (242,843) (31,509)
Comprehensive income (loss) $ 221,169 $ (170,956) $ 115,856
v3.24.0.1
Consolidated Statements of Changes in Shareholders' Equity - USD ($)
$ in Thousands
Total
Common Stock [Member]
Capital Surplus [Member]
Retained Earnings [Member]
Accumulated Other Comprehensive Income (Loss) [Member]
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      
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      
Net income per consolidated statements of income 71,887     71,887  
Other comprehensive income (loss), net of tax (242,843)       (242,843)
Cash dividends paid on common stock ($0.92 per share) (56,679)     (56,679)  
Shares withheld to pay taxes, long-term incentive plan (1,687) $ 24 (1,711)    
Shares withheld to pay taxes, long-term incentive plan (in shares)   118,398      
Repurchase and retirement of common stock (24,604) $ (164) (24,440)    
Repurchase and retirement of common stock (in shares)   (789,391)      
Compensation expense, long-term incentive plan 4,883   4,883    
Balance at Dec. 31, 2022 $ 1,492,268 $ 12,705 154,645 1,600,321 (275,403)
Balance (in shares) at Dec. 31, 2022 60,977,686 60,977,686      
Net income per consolidated statements of income $ 165,489     165,489  
Other comprehensive income (loss), net of tax 55,680       55,680
Cash dividends paid on common stock ($0.92 per share) (56,653)     (56,653)  
Shares withheld to pay taxes, long-term incentive plan (1,092) $ 20 (1,112)    
Shares withheld to pay taxes, long-term incentive plan (in shares)   93,487      
Compensation expense, long-term incentive plan 6,155   6,155    
Balance at Dec. 31, 2023 $ 1,661,847 $ 12,725 $ 159,688 $ 1,709,157 $ (219,723)
Balance (in shares) at Dec. 31, 2023 61,071,173 61,071,173      
v3.24.0.1
Consolidated Statements of Changes in Shareholders' Equity (Parenthetical) - $ / shares
 12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Statement of Stockholders' Equity [Abstract]      
Cash dividends paid on common stock (in dollars per share) $ 0.92 $ 0.92 $ 0.92
v3.24.0.1
Consolidated Statements of Cash Flows - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Operating Activities      
Net income per consolidated statements of income $ 165,489 $ 71,887 $ 147,365
Adjustments to reconcile net income to net cash provided by operating activities:      
PCL 24,581 22,892 (24,448)
Depreciation and amortization 35,756 39,882 45,813
Net amortization of securities 6,140 11,206 20,310
Securities (gains) losses, net (39) 0 0
Gains on sales of loans, net (13,599) (24,914) (70,954)
Compensation expense, long-term incentive plan 6,155 4,883 5,601
Deferred income tax provision (4,800) (16,800) 20,115
Proceeds from sales of LHFS 1,149,609 1,267,967 2,357,108
Purchases and originations of LHFS (1,177,563) (1,116,232) (2,171,605)
Originations of MSR (13,712) (17,843) (28,125)
Earnings on bank-owned life insurance (5,244) (4,875) (4,853)
Net change in other assets (11,454) (51,921) 42,400
Net change in other liabilities 34,376 167,743 19,645
Other operating activities, net 1,192 (57,359) (9,601)
Net cash from operating activities 196,887 296,516 348,771
Investing Activities      
Proceeds from maturities, prepayments and calls of securities held to maturity 103,051 136,135 197,091
Proceeds from maturities, prepayments and calls of securities available for sale 301,344 435,386 835,200
Proceeds from sales of securities available for sale 4,796 0 0
Purchases of securities held to maturity (19,491) (604,938) 0
Purchases of securities available for sale 0 (230,527) (2,150,935)
Net proceeds from bank-owned life insurance (46) 288 1,772
Net change in federal funds sold and securities purchased under reverse repurchase agreements 4,000 (4,000) 50
Net change in member bank stock 17,830 (39,329) (1,220)
Net change in LHFI and PPP loans (761,931) (1,925,327) (197,800)
Proceeds from sales of PPP loans 0 0 353,287
Purchases of premises and equipment (40,082) (26,624) (27,360)
Proceeds from sales of premises and equipment 1,863 5,107 961
Proceeds from sales of other real estate 2,410 3,136 5,064
Purchases of software (8,575) (7,388) (3,836)
Investments in tax credit and other partnerships (16,343) (22,321) (17,288)
Net cash from investing activities (411,174) (2,280,402) (1,005,014)
Financing Activities      
Net change in deposits 1,132,115 (649,512) 1,038,396
Net change in federal funds purchased and securities sold under repurchase agreements (43,586) 210,754 74,058
Net change in other borrowings (575,020) 974,981 (19,189)
Payments under finance lease obligations (721) (1,409) (1,434)
Common stock dividends (56,653) (56,679) (58,085)
Repurchase and retirement of common stock 0 (24,604) (61,799)
Shares withheld to pay taxes, long-term incentive plan (1,092) (1,687) (1,379)
Net cash from financing activities 455,043 451,844 970,568
Net change in cash and cash equivalents 240,756 (1,532,042) 314,325
Cash and cash equivalents at beginning of year 734,787 2,266,829 1,952,504
Cash and cash equivalents at end of year $ 975,543 $ 734,787 $ 2,266,829
v3.24.0.1
Significant Accounting Policies
 12 Months Ended
Dec. 31, 2023
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 offices in Alabama (includes the Georgia Loan Production Office), 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. Certain reclassifications have been made to prior period amounts to conform to the current period presentation.

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 2024 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 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”
•
Ability and authority to 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)

Trustmark's LHFS portfolio consists of mortgage loans purchased from wholesale customers or originated in Trustmark’s General Banking Segment. 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 collectability 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 ultimate collectability of the total contractual principal and interest is no longer in doubt and the obligation has either been brought current or has performed in accordance with the contractual terms for a reasonable period of time.

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 applicable regulatory guidance. 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 judgment 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. 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 on 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. Recoveries may not exceed the aggregate of amounts previously 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 a valuation model administered by a third party that calculates the present value of estimated future net servicing income. 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 the section titled “Derivative Financial Instruments – Derivatives Not Designated as Hedging Instruments” of this note 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

Lessor Arrangements

Trustmark leases certain types of machinery and equipment to its commercial customers through sales-type and direct financing leases as part of its equipment financing portfolio. Sales-type and direct financing leases are similar to other forms of installment lending in that lessors generally do not retain benefits and risks incidental to ownership of the property subject to the leases. Such arrangements are essentially financing transactions that permit lessees to acquire and use property. Trustmark does not have any significant operating leases in which it is the lessor.

As lessor, the sum of all minimum lease payments over the lease term and the estimated residual value, less unearned interest income, is recorded as the net investment in the lease on the commencement date and is included in LHFI on the consolidated balance sheets. Interest income is accrued as earned over the term of the lease based on the net investment in the leases and is recognized in

interest and fees on LHFS and LHFI on the consolidated statements of income. Certain fees or costs associated with lease originations are deferred and accreted or amortized to interest income over the life of the lease using the effective interest method.

Trustmark’s portfolio of sales-type and direct financing leases generally have remaining lease terms of three to ten years, some of which include renewal options and/or options for the lessee to purchase the leased property near or at the end of the lease term at either the residual value or a specified price. Trustmark expects to sell or release the equipment at the end of the lease term. Due to the structure of these leases, there is no selling profit or loss on these transactions.

Lessee Arrangements

Trustmark has certain contracts that it has identified as leases according to FASB ASC Topic 842, "Leases". Trustmark classifies these leases as either operating or finance leases 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, 2023 and 2022, Trustmark’s investment in member bank stock totaled $54.4 million and $72.2 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, 2023, 2022 and 2021.

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 expense. Other real estate sales for the year ended December 31, 2023 resulted in a net loss of $145 thousand compared to a net loss of $1.0 million for the year ended December 31, 2022 and a net loss of $1.9 million for the year ended December 31, 2021.

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. FBBI utilizes 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 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 Designated as Hedging Instruments

FASB ASC Topic 815, Derivatives and Hedging (ASC 815), provides the disclosure requirements for derivatives and hedging activities with the intent to provide users of financial statements with an enhanced understanding of: (a) how and why an entity uses derivative instruments, (b) how the entity accounts for derivative instruments and related hedged items, and (c) how derivative instruments and related hedged items affect an entity’s financial position, financial performance, and cash flows. Further, qualitative disclosures are required that explain the objectives and strategies for using derivatives, as well as quantitative disclosures about the fair value of and gains and losses on derivative instruments, and disclosures about credit-risk-related contingent features in derivative instruments.

Derivatives designated and qualifying as a hedge of the exposure to changes in the fair value of an asset, liability, or firm commitment attributable to a particular risk, such as interest rate risk, are considered fair value hedges. Derivatives designated and qualifying as a hedge of the exposure to variability in expected future cash flows, or other types of forecasted transactions, are considered cash flow hedges. Hedge accounting generally provides for the matching of the timing of gain or loss recognition on the hedging instrument with the recognition of the changes in the fair value of the hedged asset or liability that are attributable to the hedged risk in a fair value hedge or the earnings effect of the hedged forecasted transactions in a cash flow hedge.

When entering into a hedge transaction, Trustmark formally documents the relationship between the hedging instrument and the hedged item, as well as the risk management objective and strategy for undertaking the hedge transaction, which includes designating the derivative instrument as a fair value or cash flow hedge to a specific asset or liability on the balance sheet or to specific forecasted transactions and the risk being hedged, along with a formal assessment at the inception of the hedge as to the effectiveness of the derivative instrument in offsetting changes in fair values or cash flows of the hedged item. Trustmark continues to assess hedge effectiveness on an ongoing basis using either a qualitative or a quantitative assessment (regression analysis).

As required by ASC 815, Trustmark records all derivatives on the balance sheet at fair value. The accounting for changes in the fair value of derivatives depends on the intended use of the derivative, whether Trustmark has elected to designate a derivative in a hedging relationship and apply hedge accounting and whether the hedging relationship has satisfied the criteria necessary to apply hedge accounting. For cash flow hedges, changes in the fair value of the derivative instrument are recorded in accumulated other comprehensive income (loss) and subsequently reclassified to net income in the same period that the hedged transaction impacts net income. Upon discontinuation of hedge accounting for cash flow hedges, any amounts in accumulated other comprehensive income (loss) related to that relationship affects earnings at the same time and in the same manner in which the hedged transaction affects earnings. If it becomes probable that the forecasted transaction will not occur, any related amounts in accumulated other comprehensive income (loss) are reclassified to earnings immediately.

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 offsetting interest rate swap transactions are either cleared through the Chicago Mercantile Exchange for clearable transactions or booked directly with institutional derivatives market participants for non-clearable transactions. 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,

 

 

2023

 

 

2022

 

 

2021

 

Income taxes paid

 

$

38,803

 

 

$

2,701

 

 

$

15,259

 

Interest paid on deposits and borrowings

 

 

306,568

 

 

 

45,275

 

 

 

24,429

 

Noncash transfers from loans to other real estate

 

 

7,237

 

 

 

1,533

 

 

 

770

 

Securities transferred from available for sale to held to maturity

 

 

—

 

 

 

674,092

 

 

 

—

 

Investment in tax credit partnership not funded

 

 

3,202

 

 

 

18,891

 

 

 

10,647

 

Finance right-of-use assets resulting from lease liabilities

 

 

—

 

 

 

—

 

 

 

92

 

Operating right-of-use assets resulting from lease liabilities

 

 

7,303

 

 

 

6,912

 

 

 

9,666

 

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,

 

 

 

2023

 

 

2022

 

 

2021

 

Basic shares

 

 

61,054

 

 

 

61,242

 

 

 

62,788

 

Dilutive shares

 

 

177

 

 

 

190

 

 

 

185

 

Diluted shares

 

 

61,231

 

 

 

61,432

 

 

 

62,973

 

 

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,

 

 

 

2023

 

 

2022

 

 

2021

 

Weighted-average antidilutive stock awards

 

 

23

 

 

 

—

 

 

 

1

 

 

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 2022-02, “Financial Instruments-Credit Losses (Topic 326): Trouble Debt Restructurings and Vintage Disclosures.” Issued in March 2022, ASU 2022-02 seeks to improve the decision usefulness of information provided to investors concerning certain loan refinancings, restructurings and write-offs. In regard to troubled debt restructurings (TDRs) by creditors, investors and preparers observed that the additional designation of a loan modification as a TDR and the related accounting are unnecessarily complex and no longer provide decision-useful information. The amendments of ASU 2022-02 eliminate the accounting guidance for TDRs by creditors in FASB ASC Subtopic 310-40, “Receivables-Troubled Debt Restructurings by Creditors,” as it is no longer meaningful due to the implementation of FASB ASC Topic 326, which requires an entity to consider lifetime expected credit losses on loans when establishing an allowance for credit losses. Therefore, most losses that would have been realized for a TDR under FASB ASC Subtopic 310-40 are now captured by the accounting required under FASB ASC Topic 326. The amendments of ASU 2022-02 also enhanced disclosure requirements for certain loan refinancings and restructurings by creditors when a borrower is experiencing financial difficulty. Stakeholders also noted inconsistency in the requirement for a public business entity (PBE) to disclose gross write-offs and gross recoveries by class of financing receivable and major security type in certain vintage disclosures. Financial statement users expressed that, in addition to the existing vintage disclosures in FASB ASC Topic 326, information about gross write-offs by year of origination

would be helpful in understanding credit quality changes in an entity’s loan portfolio and underwriting performance. For PBEs, the amendments of ASU 2022-02 require that an entity disclose current period gross write-offs by year of origination for financing receivables and net investments in leases within the scope of FASB ASC Subtopic 326-20, “Financial Instruments-Credit Losses-Measured at Amortized Cost.” For write-offs associated with origination dates that are more than five annual periods before the reporting period, an entity may present aggregate amounts in the current period for financing receivables and net investment in leases. The amendments of ASU 2022-02 were effective for fiscal years and interim periods within those fiscal years beginning after December 15, 2022 for entities that have already adopted the amendments of ASU 2016-13, such as Trustmark. Trustmark adopted the amendments of ASU 2022-02 effective January 1, 2023. The amendments of ASU 2022-02 include only changes to certain financial statement disclosures; and, therefore, adoption of ASU 2022-02 did not have a material impact on Trustmark’s consolidated financial statements or results of operations. The enhanced disclosures required by ASU 2022-02 are presented in Note 4 - LHFI and ACL, LHFI of this report.

ASU 2023-07, “Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures.” Issued in November 2023, ASU 2023-07 is intended to improve disclosures about a public entity’s reportable segments and address requests from investors and other allocators of capital for additional, more detailed information about a reportable segment’s expenses. The amendments of ASU 2023-07 require a public entity to disclose, on an annual and interim basis, significant segment expenses that are regularly provided to the chief operating decision maker (CODM) and included within each reported measure of segment profit or loss, and an amount for other segment items by reportable segment and a description of its composition. The other segment items category is the difference between segment revenue less the significant expenses disclosed and each reported measure of segment profit or loss. ASU 2023-07 also requires a public entity to provide all annual disclosures about a reportable segment’s profit or loss and assets currently required under FASB ASC Topic 280 in interim periods. The amendments of ASU 2023-07 clarify that if the CODM uses more than one measure of a segment's profit or loss in assessing segment performance and deciding how to allocate resources, a public entity may report one or more of those additional measures of segment profit. However, at least one of the reported segment profit or loss measures (or the single reported measure if only one is disclosed) should be the measure that is most consistent with the measurement principles used in measuring the corresponding amounts in the public entity's consolidated financial statements. ASU 2023-07 requires a public entity to disclose the title and position of the CODM, together with an explanation of how the CODM uses the reported measure(s) of segment profit or loss in assessing segment performance and deciding how to allocate resources. In addition, ASU 2023-07 requires that a public entity with a single reportable segment provide all the disclosures required by the amendments of ASU 2023-07 and all existing segment disclosures in FASB ASC Topic 280. The amendments of ASU 2023-07 are effective for fiscal years beginning after December 15, 2023, and for interim periods within fiscal years beginning after December 15, 2024, with early adoption permitted. The amendments in ASU 2023-07 should be applied retrospectively to all periods presented on the financial statements. Upon implementation, the segment expense categories and amounts disclosed in the prior periods should be based on the significant segment expense categories identified and disclosed in the period of adoption. Trustmark has adopted the amendments of ASU 2023-07 related to annual disclosure requirements effective January 1, 2024, and will present any newly required annual disclosures in its Annual Report of Form 10-K for the year ending December 31, 2024. Trustmark intends to adopt the amendments of ASU 2023-07 related to interim disclosure requirements effective January 1, 2025, and will present any newly required interim disclosures beginning with its Quarterly Report on Form 10-Q for the period ending March 31, 2025. Adoption of ASU 2023-07 is not expected to have a material impact to Trustmark’s consolidated financial statements or results of operations.

Pending Accounting Pronouncements

ASU 2023-09, “Income Taxes (Topic 740): Improvements to Income Tax Disclosures.” Issued in December 2023, ASU 2023-09 is intended to improve the disclosures for income taxes to address requests from investors, lenders, creditors and other allocators of capital (collectively, "investors") that use the financial statements to make capital allocation decisions. During the FASB's 2021 agenda consultation process and other stakeholder outreach, investors highlighted that the current system of income tax disclosures does not provide enough information to understand the tax provision for an entity that operates in multiple jurisdictions. Investors currently rely on the rate reconciliation table and other disclosures, including total income taxes paid in the statement of cash flows, to evaluate income tax risks and opportunities. The amendments in ASU 2023-09 will require consistent categories and greater disaggregation of information in the rate reconciliation disclosure as well as disclosure of income taxes paid disaggregated by jurisdiction. The amendments of ASU 2023-09 are effective for annual periods beginning after December 15, 2024, and early adoption is permitted for annual financial statements that have not yet been issued or made available for issuance. Trustmark intends to adopt the amendments of ASU 2023-09 effective January 1, 2025, and will include the required disclosures in its Annual Report on Form 10-K for the year ending December 31, 2025. Trustmark is currently evaluating the changes to disclosures required by ASU 2023-09; however, adoption of ASU 2023-09 is not expected to have a material impact to Trustmark’s consolidated financial statements or results of operations.
v3.24.0.1
Cash and Due from Banks
 12 Months Ended
Dec. 31, 2023
Cash and Cash Equivalents [Abstract]  
Cash and Due from Banks

Note 2 – Cash and Due from Banks

Trustmark is no longer 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.

v3.24.0.1
Securities Available for Sale and Held to Maturity
 12 Months Ended
Dec. 31, 2023
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, 2023 and 2022 ($ 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, 2023

 

Cost

 

 

Gains

 

 

Losses

 

 

Value

 

 

Cost

 

 

Gains

 

 

Losses

 

 

Value

 

U.S. Treasury securities

 

$

396,179

 

 

$

—

 

 

$

(23,811

)

 

$

372,368

 

 

$

29,068

 

 

$

—

 

 

$

(26

)

 

$

29,042

 

U.S. Government agency obligations

 

 

6,207

 

 

 

1

 

 

 

(416

)

 

 

5,792

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Obligations of states and political
   subdivisions

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

340

 

 

 

—

 

 

 

—

 

 

 

340

 

Mortgage-backed securities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Residential mortgage pass-through
   securities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Guaranteed by GNMA

 

 

25,744

 

 

 

4

 

 

 

(2,613

)

 

 

23,135

 

 

 

13,005

 

 

 

—

 

 

 

(497

)

 

 

12,508

 

Issued by FNMA and FHLMC

 

 

1,338,256

 

 

 

32

 

 

 

(161,490

)

 

 

1,176,798

 

 

 

469,593

 

 

 

—

 

 

 

(18,205

)

 

 

451,388

 

Other residential mortgage-backed
   securities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Issued or guaranteed by FNMA,
   FHLMC or GNMA

 

 

92,076

 

 

 

—

 

 

 

(6,002

)

 

 

86,074

 

 

 

154,466

 

 

 

—

 

 

 

(10,113

)

 

 

144,353

 

Commercial mortgage-backed
   securities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Issued or guaranteed by FNMA,
   FHLMC or GNMA

 

 

100,545

 

 

 

—

 

 

 

(1,834

)

 

 

98,711

 

 

 

759,807

 

 

 

51

 

 

 

(41,985

)

 

 

717,873

 

Total

 

$

1,959,007

 

 

$

37

 

 

$

(196,166

)

 

$

1,762,878

 

 

$

1,426,279

 

 

$

51

 

 

$

(70,826

)

 

$

1,355,504

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

December 31, 2022

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

U.S. Treasury securities

 

$

425,719

 

 

$

308

 

 

$

(34,514

)

 

$

391,513

 

 

$

28,295

 

 

$

—

 

 

$

(115

)

 

$

28,180

 

U.S. Government agency obligations

 

 

8,297

 

 

 

—

 

 

 

(531

)

 

 

7,766

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Obligations of states and political
   subdivisions

 

 

4,820

 

 

 

53

 

 

 

(11

)

 

 

4,862

 

 

 

4,510

 

 

 

3

 

 

 

(3

)

 

 

4,510

 

Mortgage-backed securities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Residential mortgage pass-through
   securities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Guaranteed by GNMA

 

 

30,534

 

 

 

7

 

 

 

(3,444

)

 

 

27,097

 

 

 

4,442

 

 

 

—

 

 

 

(395

)

 

 

4,047

 

Issued by FNMA and FHLMC

 

 

1,541,570

 

 

 

12

 

 

 

(196,119

)

 

 

1,345,463

 

 

 

509,311

 

 

 

—

 

 

 

(19,586

)

 

 

489,725

 

Other residential mortgage-backed
   securities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Issued or guaranteed by FNMA,
   FHLMC or GNMA

 

 

123,755

 

 

 

—

 

 

 

(8,615

)

 

 

115,140

 

 

 

188,201

 

 

 

—

 

 

 

(13,826

)

 

 

174,375

 

Commercial mortgage-backed
   securities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Issued or guaranteed by FNMA,
   FHLMC or GNMA

 

 

136,014

 

 

 

—

 

 

 

(3,773

)

 

 

132,241

 

 

 

759,755

 

 

 

34

 

 

 

(54,037

)

 

 

705,752

 

Total

 

$

2,270,709

 

 

$

380

 

 

$

(247,007

)

 

$

2,024,082

 

 

$

1,494,514

 

 

$

37

 

 

$

(87,962

)

 

$

1,406,589

 

 

During 2022, Trustmark reclassified a total of $766.0 million of securities available for sale to securities held to maturity. On the date of these transfers, the net unrealized holding loss on the available for sale securities totaled approximately $91.9 million ($68.9 million, net of tax).

The securities were transferred at fair value, which became the cost basis for the securities held to maturity. The net unrealized holding loss will be 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 these transfers. At December 31, 2023, the net unamortized, unrealized loss on transferred securities included in accumulated other comprehensive income (loss) in the accompanying balance sheet totaled $57.6 million compared to approximately $69.2 million at December 31, 2022.

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, 2023 and 2022, the results of the loss analysis performed did not identify any securities that warranted DCF analysis 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, 2023 and 2022, accrued interest receivable totaled $3.7 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, 2023 and 2022, the potential credit loss exposure for Trustmark’s securities held to maturity was $340 thousand and $4.5 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, 2023 and 2022.

Accrued interest receivable is excluded from the estimate of credit losses for securities held to maturity. At December 31, 2023 and 2022, accrued interest receivable totaled $2.6 million and $2.7 million for securities held to maturity and was reported in other assets on the accompanying consolidated balance sheet.

At both December 31, 2023 and 2022, 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, 2023 and 2022.

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, 2023 and 2022 ($ in thousands):

 

 

December 31, 2023

 

 

December 31, 2022

 

Aaa

 

$

1,425,939

 

 

$

1,490,004

 

Aa1 to Aa3

 

 

—

 

 

 

3,001

 

Not Rated (1)

 

 

340

 

 

 

1,509

 

Total

 

$

1,426,279

 

 

$

1,494,514

 
(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, 2023 and 2022 ($ in thousands):

 

 

 

Less than 12 Months

 

 

12 Months or More

 

 

Total

 

 

 

 

 

 

Gross

 

 

 

 

 

Gross

 

 

 

 

 

Gross

 

 

 

Estimated

 

 

Unrealized

 

 

Estimated

 

 

Unrealized

 

 

Estimated

 

 

Unrealized

 

December 31, 2023

 

Fair Value

 

 

Losses

 

 

Fair Value

 

 

Losses

 

 

Fair Value

 

 

Losses

 

U.S. Treasury securities

 

$

29,042

 

 

$

(26

)

 

$

372,368

 

 

$

(23,811

)

 

$

401,410

 

 

$

(23,837

)

U.S. Government agency obligations

 

 

—

 

 

 

—

 

 

 

5,791

 

 

 

(416

)

 

 

5,791

 

 

 

(416

)

Mortgage-backed securities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Residential mortgage pass-through
   securities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Guaranteed by GNMA

 

 

9,381

 

 

 

(172

)

 

 

25,967

 

 

 

(2,938

)

 

 

35,348

 

 

 

(3,110

)

Issued by FNMA and FHLMC

 

 

309,466

 

 

 

(3,274

)

 

 

1,311,865

 

 

 

(176,421

)

 

 

1,621,331

 

 

 

(179,695

)

Other residential mortgage-backed
   securities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Issued or guaranteed by FNMA,
   FHLMC or GNMA

 

 

—

 

 

 

—

 

 

 

230,368

 

 

 

(16,115

)

 

 

230,368

 

 

 

(16,115

)

Commercial mortgage-backed
   securities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Issued or guaranteed by FNMA,
   FHLMC or GNMA

 

 

1,656

 

 

 

(13

)

 

 

812,520

 

 

 

(43,806

)

 

 

814,176

 

 

 

(43,819

)

Total

 

$

349,545

 

 

$

(3,485

)

 

$

2,758,879

 

 

$

(263,507

)

 

$

3,108,424

 

 

$

(266,992

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

December 31, 2022

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

U.S. Treasury securities

 

$

161,298

 

 

$

(5,655

)

 

$

258,087

 

 

$

(28,974

)

 

$

419,385

 

 

$

(34,629

)

U.S. Government agency obligations

 

 

1,828

 

 

 

(184

)

 

 

5,938

 

 

 

(347

)

 

 

7,766

 

 

 

(531

)

Obligations of states and political
   subdivisions

 

 

1,017

 

 

 

(11

)

 

 

3,664

 

 

 

(3

)

 

 

4,681

 

 

 

(14

)

Mortgage-backed securities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Residential mortgage pass-through
   securities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Guaranteed by GNMA

 

 

27,223

 

 

 

(3,270

)

 

 

3,577

 

 

 

(569

)

 

 

30,800

 

 

 

(3,839

)

Issued by FNMA and FHLMC

 

 

770,865

 

 

 

(41,807

)

 

 

1,062,041

 

 

 

(173,898

)

 

 

1,832,906

 

 

 

(215,705

)

Other residential mortgage-backed
   securities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Issued or guaranteed by FNMA,
   FHLMC or GNMA

 

 

281,964

 

 

 

(21,452

)

 

 

7,235

 

 

 

(989

)

 

 

289,199

 

 

 

(22,441

)

Commercial mortgage-backed
   securities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Issued or guaranteed by FNMA,
   FHLMC or GNMA

 

 

833,970

 

 

 

(57,742

)

 

 

1,644

 

 

 

(68

)

 

 

835,614

 

 

 

(57,810

)

Total

 

$

2,078,165

 

 

$

(130,121

)

 

$

1,342,186

 

 

$

(204,848

)

 

$

3,420,351

 

 

$

(334,969

)

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. 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 at maturity.

Securities Gains and Losses

Realized gains and losses are determined using the specific identification method and are included in noninterest income as securities gains (losses), net. For the years ended December 31, 2023, 2022 and 2021, gross realized gains or losses as a result of calls and dispositions of securities, as well as any associated proceeds, were as follows ($ in thousands):

 

 

 

Years Ended December 31,

 

Available for Sale

 

2023

 

 

2022

 

 

2021

 

Proceeds from calls and sales of securities

 

$

4,796

 

 

$

—

 

 

$

—

 

Gross realized gains

 

 

47

 

 

 

—

 

 

 

—

 

Gross realized losses

 

 

(8

)

 

 

—

 

 

 

—

 

 

Securities Pledged

Securities with a carrying value of $2.321 billion and $2.693 billion at December 31, 2023 and 2022, 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, 2023 and 2022, 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, 2023, 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

 

$

65,199

 

 

$

63,501

 

 

$

340

 

 

$

340

 

Due after one year through five years

 

 

331,225

 

 

 

309,108

 

 

 

29,068

 

 

 

29,042

 

Due after five years through ten years

 

 

2,356

 

 

 

2,151

 

 

 

—

 

 

 

—

 

Due after ten years

 

 

3,606

 

 

 

3,400

 

 

 

—

 

 

 

—

 

 

 

 

402,386

 

 

 

378,160

 

 

 

29,408

 

 

 

29,382

 

Mortgage-backed securities

 

 

1,556,621

 

 

 

1,384,718

 

 

 

1,396,871

 

 

 

1,326,122

 

Total

 

$

1,959,007

 

 

$

1,762,878

 

 

$

1,426,279

 

 

$

1,355,504

 
v3.24.0.1
LHFI and ACL, LHFI
 12 Months Ended
Dec. 31, 2023
Accounts, Notes, Loans and Financing Receivable, Gross, Allowance, and Net [Abstract]  
LHFI and ACL, LHFI

Note 4 – LHFI and ACL, LHFI

At December 31, 2023 and 2022, LHFI consisted of the following ($ in thousands):

 

 

 

December 31,

 

 

 

2023

 

 

2022

 

Loans secured by real estate:

 

 

 

 

 

 

Construction, land development and other land

 

$

642,886

 

 

$

690,616

 

Other secured by 1-4 family residential properties

 

 

622,397

 

 

 

590,790

 

Secured by nonfarm, nonresidential properties

 

 

3,489,434

 

 

 

3,278,830

 

Other real estate secured

 

 

1,312,551

 

 

 

742,538

 

Other loans secured by real estate:

 

 

 

 

 

 

Other construction

 

 

867,793

 

 

 

1,028,926

 

Secured by 1-4 family residential properties

 

 

2,282,318

 

 

 

2,185,057

 

Commercial and industrial loans

 

 

1,922,910

 

 

 

1,821,259

 

Consumer loans

 

 

165,734

 

 

 

170,230

 

State and other political subdivision loans

 

 

1,088,466

 

 

 

1,223,863

 

Other commercial loans and leases

 

 

556,035

 

 

 

471,930

 

LHFI

 

 

12,950,524

 

 

 

12,204,039

 

Less ACL

 

 

139,367

 

 

 

120,214

 

Net LHFI

 

$

12,811,157

 

 

$

12,083,825

 

Accrued interest receivable is not included in the amortized cost basis of Trustmark’s LHFI. At December 31, 2023 and 2022, accrued interest receivable for LHFI totaled $71.0 million and $50.7 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, 2023, 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, 2023 and 2022, loans to certain executive officers and directors, including their immediate families and companies in which they are principal owners, totaled $41.1 million and $47.0 million, respectively. During 2023, $287.4 million of new loan advances were made, while repayments were $293.2 million. There were no increases in loans due to changes in executive officers and directors.

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, 2023.

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, 2023 and 2022 ($ in thousands):

 

 

 

December 31, 2023

 

 

 

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

 

$

2,020

 

 

$

2,642

 

 

$

—

 

Other secured by 1-4 family residential properties

 

 

946

 

 

 

6,518

 

 

 

1,238

 

Secured by nonfarm, nonresidential properties

 

 

20,812

 

 

 

23,061

 

 

 

54

 

Other real estate secured

 

 

—

 

 

 

158

 

 

 

106

 

Other loans secured by real estate:

 

 

 

 

 

 

 

 

 

Other construction

 

 

—

 

 

 

62

 

 

 

—

 

Secured by 1-4 family residential properties

 

 

3,235

 

 

 

43,815

 

 

 

3,740

 

Commercial and industrial loans

 

 

79

 

 

 

22,303

 

 

 

24

 

Consumer loans

 

 

—

 

 

 

243

 

 

 

628

 

Other commercial loans and leases

 

 

—

 

 

 

1,206

 

 

 

—

 

Total

 

$

27,092

 

 

$

100,008

 

 

$

5,790

 

 

 

 

December 31, 2022

 

 

 

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

 

$

137

 

 

$

1,902

 

 

$

—

 

Other secured by 1-4 family residential properties

 

 

482

 

 

 

3,957

 

 

 

534

 

Secured by nonfarm, nonresidential properties

 

 

4,841

 

 

 

6,957

 

 

 

—

 

Other real estate secured

 

 

—

 

 

 

231

 

 

 

—

 

Other loans secured by real estate:

 

 

 

 

 

 

 

 

 

Other construction

 

 

—

 

 

 

7,620

 

 

 

—

 

Secured by 1-4 family residential properties

 

 

1,193

 

 

 

19,775

 

 

 

3,118

 

Commercial and industrial loans

 

 

14,441

 

 

 

25,102

 

 

 

—

 

Consumer loans

 

 

—

 

 

 

181

 

 

 

277

 

Other commercial loans

 

 

—

 

 

 

247

 

 

 

—

 

Total

 

$

21,094

 

 

$

65,972

 

 

$

3,929

 

 

 

The following tables provide an aging analysis of the amortized cost basis of past due LHFI (including nonaccrual loans) at December 31, 2023 and 2022 ($ in thousands):

 

 

 

December 31, 2023

 

 

 

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

 

$

93

 

 

$

507

 

 

$

2,362

 

 

$

2,962

 

 

$

639,924

 

 

$

642,886

 

Other secured by 1-4 family residential properties

 

 

4,493

 

 

 

1,687

 

 

 

2,716

 

 

 

8,896

 

 

 

613,501

 

 

 

622,397

 

Secured by nonfarm, nonresidential properties

 

 

1,531

 

 

 

1,063

 

 

 

727

 

 

 

3,321

 

 

 

3,486,113

 

 

 

3,489,434

 

Other real estate secured

 

 

126

 

 

 

—

 

 

 

207

 

 

 

333

 

 

 

1,312,218

 

 

 

1,312,551

 

Other loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other construction

 

 

62

 

 

 

—

 

 

 

—

 

 

 

62

 

 

 

867,731

 

 

 

867,793

 

Secured by 1-4 family residential properties

 

 

19,298

 

 

 

9,327

 

 

 

22,164

 

 

 

50,789

 

 

 

2,231,529

 

 

 

2,282,318

 

Commercial and industrial loans

 

 

11,881

 

 

 

484

 

 

 

499

 

 

 

12,864

 

 

 

1,910,046

 

 

 

1,922,910

 

Consumer loans

 

 

2,112

 

 

 

772

 

 

 

647

 

 

 

3,531

 

 

 

162,203

 

 

 

165,734

 

State and other political subdivision loans

 

 

152

 

 

 

—

 

 

 

—

 

 

 

152

 

 

 

1,088,314

 

 

 

1,088,466

 

Other commercial loans and leases

 

 

1,247

 

 

 

58

 

 

 

—

 

 

 

1,305

 

 

 

554,730

 

 

 

556,035

 

Total

 

$

40,995

 

 

$

13,898

 

 

$

29,322

 

 

$

84,215

 

 

$

12,866,309

 

 

$

12,950,524

 

 

 

 

December 31, 2022

 

 

 

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

 

$

1,972

 

 

$

199

 

 

$

34

 

 

$

2,205

 

 

$

688,411

 

 

$

690,616

 

Other secured by 1-4 family residential properties

 

 

3,682

 

 

 

1,206

 

 

 

1,281

 

 

 

6,169

 

 

 

584,621

 

 

 

590,790

 

Secured by nonfarm, nonresidential properties

 

 

825

 

 

 

18

 

 

 

794

 

 

 

1,637

 

 

 

3,277,193

 

 

 

3,278,830

 

Other real estate secured

 

 

131

 

 

 

30

 

 

 

—

 

 

 

161

 

 

 

742,377

 

 

 

742,538

 

Other loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other construction

 

 

—

 

 

 

—

 

 

 

7,620

 

 

 

7,620

 

 

 

1,021,306

 

 

 

1,028,926

 

Secured by 1-4 family residential properties

 

 

10,709

 

 

 

4,236

 

 

 

9,999

 

 

 

24,944

 

 

 

2,160,113

 

 

 

2,185,057

 

Commercial and industrial loans

 

 

1,966

 

 

 

508

 

 

 

8,974

 

 

 

11,448

 

 

 

1,809,811

 

 

 

1,821,259

 

Consumer loans

 

 

2,199

 

 

 

645

 

 

 

279

 

 

 

3,123

 

 

 

167,107

 

 

 

170,230

 

State and other political subdivision loans

 

 

431

 

 

 

—

 

 

 

—

 

 

 

431

 

 

 

1,223,432

 

 

 

1,223,863

 

Other commercial loans

 

 

785

 

 

 

45

 

 

 

24

 

 

 

854

 

 

 

471,076

 

 

 

471,930

 

Total

 

$

22,700

 

 

$

6,887

 

 

$

29,005

 

 

$

58,592

 

 

$

12,145,447

 

 

$

12,204,039

 

Modified LHFI

Occasionally, Trustmark modifies loans for borrowers experiencing financial difficulties by providing payment concessions, interest-only payments for an extended period of time, maturity extensions or interest rate reductions. Other concessions may arise from court proceedings or may be imposed by law. In some cases, Trustmark provides multiple types of concessions on one loan.

The following tables present the amortized cost of LHFI at the end of each of the periods presented of loans modified to borrowers experiencing financial difficulty disaggregated by class of loan and type of modification ($ in thousands). The percentage of the amortized cost basis of LHFI that were modified to borrowers in financial distress as compared to the amortized cost basis of each class of LHFI is also presented below:

 

 

 

Year Ended December 31, 2023

 

 

 

Payment Concessions

 

 

Term Extensions

 

 

Total

 

 

% of Total Class of Loan

 

Loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

Other secured by 1-4 family residential properties

 

$

—

 

 

$

805

 

 

$

805

 

 

 

0.13

%

Secured by nonfarm, nonresidential properties

 

 

—

 

 

 

359

 

 

 

359

 

 

 

0.01

%

Other loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

Secured by 1-4 family residential properties

 

 

—

 

 

 

1,148

 

 

 

1,148

 

 

 

0.05

%

Commercial and industrial loans

 

 

242

 

 

 

—

 

 

 

242

 

 

 

0.01

%

Consumer loans

 

 

—

 

 

 

36

 

 

 

36

 

 

 

0.02

%

Other commercial loans and leases

 

 

116

 

 

 

31

 

 

 

147

 

 

 

0.03

%

Total

 

$

358

 

 

$

2,379

 

 

$

2,737

 

 

 

0.02

%

 

The following table details the financial effect of the loan modifications presented above to borrowers experiencing financial difficulty for the periods presented:

 

 

Year Ended December 31, 2023

 

 

Financial Effect

 

 

Payment Concessions

 

Term Extensions

Loans secured by real estate:

 

 

 

 

Other secured by 1-4 family residential properties

 

 

 

Modifed lines of credit to amortize over 12 month and 24 month terms

Secured by nonfarm, nonresidential properties

 

 

 

One loan renewed and extended maturity by six months

Other loans secured by real estate:

 

 

 

 

Secured by 1-4 family residential properties

 

 

 

Extended amortization with term adjusted by weighted-average 3.4 years

Commercial and industrial loans

 

Six month payment deferrals

 

 

Consumer loans

 

 

 

Bankruptcies extended amortization with term adjusted by weighted average 1.3 years reducing borrower payment

Other commercial loans and leases

 

Six month payment deferrals

 

One loan renewed and extended maturity by seven months

Trustmark had no unused commitments on modified loans to borrowers experiencing financial difficulty at December 31, 2023.

During the year ended December 31, 2023, Trustmark had payment concession balances of $116 thousand at default for LHFI in the other commercial loans and leases portfolio that had a payment default and were modified within the twelve months prior to that default to borrowers experiencing financial difficulty.

Trustmark has utilized loans 90 days or more past due to define payment default in determining modified loans that have subsequently defaulted. If Trustmark determines that a modified loan (or a portion of a loan) has subsequently been deemed uncollectible, the loan (or a portion of the loan) is charged off against the ACL, LHFI.

Trustmark closely monitors the performance of loans that are modified to borrowers experiencing financial difficulty to understand the effectiveness of its modification efforts. The following tables provide details of the performance of such LHFI that have been modified during the periods presented ($ in thousands):

 

 

Year Ended December 31, 2023

 

 

 

Past Due

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

90 Days

 

 

Total

 

 

Current

 

 

 

 

 

 

30-59 Days

 

 

60-89 Days

 

 

or More

 

 

Past Due

 

 

Loans

 

 

Total

 

Loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other secured by 1-4 family residential properties

 

$

290

 

 

$

17

 

 

$

—

 

 

$

307

 

 

$

498

 

 

$

805

 

Secured by nonfarm, nonresidential properties

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

359

 

 

 

359

 

Other loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Secured by 1-4 family residential properties

 

 

64

 

 

 

—

 

 

 

—

 

 

 

64

 

 

 

1,084

 

 

 

1,148

 

Commercial and industrial loans

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

242

 

 

 

242

 

Consumer loans

 

 

17

 

 

 

—

 

 

 

—

 

 

 

17

 

 

 

19

 

 

 

36

 

Other commercial loans and leases

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

147

 

 

 

147

 

Total

 

$

371

 

 

$

17

 

 

$

—

 

 

$

388

 

 

$

2,349

 

 

$

2,737

 

 

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, 2023 and 2022 ($ in thousands):

 

 

 

December 31, 2023

 

 

 

Real Estate

 

 

Vehicles

 

 

Miscellaneous

 

 

Total

 

Loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

Construction, land development and
   other land

 

$

2,020

 

 

$

—

 

 

$

—

 

 

$

2,020

 

Other secured by 1-4 family
   residential properties

 

 

946

 

 

 

—

 

 

 

—

 

 

 

946

 

Secured by nonfarm, nonresidential
   properties

 

 

20,812

 

 

 

—

 

 

 

—

 

 

 

20,812

 

Other loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

Secured by 1-4 family residential
   properties

 

 

3,235

 

 

 

—

 

 

 

—

 

 

 

3,235

 

Commercial and industrial loans

 

 

38

 

 

 

41

 

 

 

21,023

 

 

 

21,102

 

Other commercial loans and leases

 

 

—

 

 

 

—

 

 

 

967

 

 

 

967

 

Total

 

$

27,051

 

 

$

41

 

 

$

21,990

 

 

$

49,082

 

 

 

 

December 31, 2022

 

 

 

Real Estate

 

 

Inventory and Receivables

 

 

Vehicles

 

 

Miscellaneous

 

 

Total

 

Loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Construction, land development and
   other land

 

$

1,558

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

1,558

 

Other secured by 1-4 family
   residential properties

 

 

482

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

482

 

Secured by nonfarm, nonresidential
   properties

 

 

4,841

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

4,841

 

Other loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other construction

 

 

7,620

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

7,620

 

Secured by 1-4 family residential
   properties

 

 

1,193

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

1,193

 

Commercial and industrial loans

 

 

40

 

 

 

233

 

 

 

395

 

 

 

23,926

 

 

 

24,594

 

Total

 

$

15,734

 

 

$

233

 

 

$

395

 

 

$

23,926

 

 

$

40,288

 

 

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 ensure 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 modified loan to a borrower experiencing financial difficulty 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 30 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 modified status. 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

The Retail Credit Review Committee, Management Credit Policy Committee and the Enterprise Risk Committee review the volume and percentage of consumer loan delinquencies and losses to monitor the overall quality of the consumer portfolio.

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, 2023 and 2022 ($ in thousands):

 

 

 

Term Loans by Origination Year

 

 

 

 

 

 

 

 

 

2023

 

 

2022

 

 

2021

 

 

2020

 

 

2019

 

 

Prior

 

 

Revolving Loans

 

 

Total

 

As of December 31, 2023

 

Commercial LHFI

 

Loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Construction, land development
   and other land:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass - RR 1 through RR 6

 

$

359,813

 

 

$

98,742

 

 

$

35,095

 

 

$

10,591

 

 

$

2,036

 

 

$

1,961

 

 

$

52,351

 

 

$

560,589

 

Special Mention - RR 7

 

 

—

 

 

 

—

 

 

 

360

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

360

 

Substandard - RR 8

 

 

606

 

 

 

336

 

 

 

1,512

 

 

 

19

 

 

 

—

 

 

 

21

 

 

 

—

 

 

 

2,494

 

Doubtful - RR 9

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

24

 

 

 

—

 

 

 

24

 

Total

 

 

360,419

 

 

 

99,078

 

 

 

36,967

 

 

 

10,610

 

 

 

2,036

 

 

 

2,006

 

 

 

52,351

 

 

 

563,467

 

Current period gross
   charge-offs

 

 

—

 

 

 

(4

)

 

 

(10

)

 

 

—

 

 

 

(228

)

 

 

—

 

 

 

—

 

 

 

(242

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other secured by 1-4 family residential
   properties:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass - RR 1 through RR 6

 

$

33,072

 

 

$

30,760

 

 

$

29,159

 

 

$

14,309

 

 

$

8,084

 

 

$

2,822

 

 

$

10,077

 

 

$

128,283

 

Special Mention - RR 7

 

 

—

 

 

 

82

 

 

 

48

 

 

 

10

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

140

 

Substandard - RR 8

 

 

220

 

 

 

625

 

 

 

157

 

 

 

22

 

 

 

80

 

 

 

306

 

 

 

98

 

 

 

1,508

 

Doubtful - RR 9

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total

 

 

33,292

 

 

 

31,467

 

 

 

29,364

 

 

 

14,341

 

 

 

8,164

 

 

 

3,128

 

 

 

10,175

 

 

 

129,931

 

Current period gross
   charge-offs

 

 

—

 

 

 

—

 

 

 

(24

)

 

 

—

 

 

 

—

 

 

 

(6

)

 

 

—

 

 

 

(30

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Secured by nonfarm, nonresidential
   properties:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass - RR 1 through RR 6

 

$

501,327

 

 

$

919,519

 

 

$

526,412

 

 

$

596,240

 

 

$

323,687

 

 

$

369,250

 

 

$

129,142

 

 

$

3,365,577

 

Special Mention - RR 7

 

 

4,271

 

 

 

14,930

 

 

 

—

 

 

 

138

 

 

 

23,966

 

 

 

—

 

 

 

—

 

 

 

43,305

 

Substandard - RR 8

 

 

6,332

 

 

 

1,964

 

 

 

47,491

 

 

 

10,809

 

 

 

8,614

 

 

 

5,200

 

 

 

48

 

 

 

80,458

 

Doubtful - RR 9

 

 

21

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

53

 

 

 

13

 

 

 

—

 

 

 

87

 

Total

 

 

511,951

 

 

 

936,413

 

 

 

573,903

 

 

 

607,187

 

 

 

356,320

 

 

 

374,463

 

 

 

129,190

 

 

 

3,489,427

 

Current period gross
   charge-offs

 

 

—

 

 

 

(39

)

 

 

(82

)

 

 

—

 

 

 

(19

)

 

 

(138

)

 

 

—

 

 

 

(278

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other real estate secured:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass - RR 1 through RR 6

 

$

194,141

 

 

$

447,200

 

 

$

332,818

 

 

$

209,757

 

 

$

56,024

 

 

$

11,080

 

 

$

8,880

 

 

$

1,259,900

 

Special Mention - RR 7

 

 

126

 

 

 

2,076

 

 

 

—

 

 

 

—

 

 

 

35,881

 

 

 

—

 

 

 

—

 

 

 

38,083

 

Substandard - RR 8

 

 

—

 

 

 

14,064

 

 

 

—

 

 

 

290

 

 

 

—

 

 

 

39

 

 

 

—

 

 

 

14,393

 

Doubtful - RR 9

 

 

42

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

42

 

Total

 

 

194,309

 

 

 

463,340

 

 

 

332,818

 

 

 

210,047

 

 

 

91,905

 

 

 

11,119

 

 

 

8,880

 

 

 

1,312,418

 

Current period gross
   charge-offs

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

 

 

Term Loans by Origination Year

 

 

 

 

 

 

 

 

 

2023

 

 

2022

 

 

2021

 

 

2020

 

 

2019

 

 

Prior

 

 

Revolving Loans

 

 

Total

 

As of December 31, 2023

 

Commercial LHFI

 

Other loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other construction

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass - RR 1 through RR 6

 

$

179,676

 

 

$

518,062

 

 

$

149,883

 

 

$

14,062

 

 

$

—

 

 

$

6

 

 

$

6,042

 

 

$

867,731

 

Special Mention - RR 7

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Substandard - RR 8

 

 

62

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

62

 

Doubtful - RR 9

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total

 

 

179,738

 

 

 

518,062

 

 

 

149,883

 

 

 

14,062

 

 

 

—

 

 

 

6

 

 

 

6,042

 

 

 

867,793

 

Current period gross
   charge-offs

 

 

(61

)

 

 

—

 

 

 

(3,392

)

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

(3,453

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial and industrial loans:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass - RR 1 through RR 6

 

$

497,730

 

 

$

474,737

 

 

$

158,659

 

 

$

80,646

 

 

$

31,876

 

 

$

44,972

 

 

$

537,527

 

 

$

1,826,147

 

Special Mention - RR 7

 

 

12,570

 

 

 

10,141

 

 

 

3,149

 

 

 

1,381

 

 

 

110

 

 

 

—

 

 

 

126

 

 

 

27,477

 

Substandard - RR 8

 

 

4,797

 

 

 

16,872

 

 

 

13,909

 

 

 

11,958

 

 

 

40

 

 

 

80

 

 

 

21,528

 

 

 

69,184

 

Doubtful - RR 9

 

 

6

 

 

 

58

 

 

 

1

 

 

 

—

 

 

 

—

 

 

 

25

 

 

 

12

 

 

 

102

 

Total

 

 

515,103

 

 

 

501,808

 

 

 

175,718

 

 

 

93,985

 

 

 

32,026

 

 

 

45,077

 

 

 

559,193

 

 

 

1,922,910

 

Current period gross
   charge-offs

 

 

(42

)

 

 

(1,071

)

 

 

(700

)

 

 

(138

)

 

 

(95

)

 

 

(108

)

 

 

(7

)

 

 

(2,161

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

State and other political subdivision loans:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass - RR 1 through RR 6

 

$

152,157

 

 

$

247,034

 

 

$

174,812

 

 

$

99,786

 

 

$

32,118

 

 

$

377,225

 

 

$

5,334

 

 

$

1,088,466

 

Special Mention - RR 7

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Substandard - RR 8

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Doubtful - RR 9

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total

 

 

152,157

 

 

 

247,034

 

 

 

174,812

 

 

 

99,786

 

 

 

32,118

 

 

 

377,225

 

 

 

5,334

 

 

 

1,088,466

 

Current period gross
   charge-offs

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other commercial loans and leases:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass - RR 1 through RR 6

 

$

211,402

 

 

$

48,947

 

 

$

30,071

 

 

$

21,377

 

 

$

32,837

 

 

$

8,468

 

 

$

201,339

 

 

$

554,441

 

Special Mention - RR 7

 

 

—

 

 

 

—

 

 

 

—

 

 

 

208

 

 

 

—

 

 

 

—

 

 

 

20

 

 

 

228

 

Substandard - RR 8

 

 

106

 

 

 

211

 

 

 

42

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

987

 

 

 

1,346

 

Doubtful - RR 9

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

20

 

 

 

—

 

 

 

20

 

Total

 

 

211,508

 

 

 

49,158

 

 

 

30,113

 

 

 

21,585

 

 

 

32,837

 

 

 

8,488

 

 

 

202,346

 

 

 

556,035

 

Current period gross
   charge-offs

 

 

(40

)

 

 

(248

)

 

 

—

 

 

 

(26

)

 

 

—

 

 

 

—

 

 

 

—

 

 

 

(314

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total commercial LHFI

 

$

2,158,477

 

 

$

2,846,360

 

 

$

1,503,578

 

 

$

1,071,603

 

 

$

555,406

 

 

$

821,512

 

 

$

973,511

 

 

$

9,930,447

 

Total commercial LHFI
   gross charge-offs

 

$

(143

)

 

$

(1,362

)

 

$

(4,208

)

 

$

(164

)

 

$

(342

)

 

$

(252

)

 

$

(7

)

 

$

(6,478

)

 

 

 

Term Loans by Origination Year

 

 

 

 

 

 

 

 

 

2023

 

 

2022

 

 

2021

 

 

2020

 

 

2019

 

 

Prior

 

 

Revolving Loans

 

 

Total

 

As of December 31, 2023

 

Consumer LHFI

 

Loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Construction, land development and
   other land:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current

 

$

44,912

 

 

$

23,110

 

 

$

5,973

 

 

$

1,203

 

 

$

1,082

 

 

$

1,864

 

 

$

653

 

 

$

78,797

 

Past due 30-89 days

 

 

—

 

 

 

250

 

 

 

—

 

 

 

—

 

 

 

30

 

 

 

191

 

 

 

—

 

 

 

471

 

Past due 90 days or more

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Nonaccrual

 

 

—

 

 

 

—

 

 

 

148

 

 

 

—

 

 

 

—

 

 

 

3

 

 

 

—

 

 

 

151

 

Total

 

 

44,912

 

 

 

23,360

 

 

 

6,121

 

 

 

1,203

 

 

 

1,112

 

 

 

2,058

 

 

 

653

 

 

 

79,419

 

Current period gross
   charge-offs

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other secured by 1-4 family residential
   properties:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current

 

$

29,636

 

 

$

11,366

 

 

$

5,733

 

 

$

4,471

 

 

$

4,313

 

 

$

7,674

 

 

$

417,383

 

 

$

480,576

 

Past due 30-89 days

 

 

225

 

 

 

68

 

 

 

74

 

 

 

4

 

 

 

51

 

 

 

220

 

 

 

4,292

 

 

 

4,934

 

Past due 90 days or more

 

 

—

 

 

 

264

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

41

 

 

 

934

 

 

 

1,239

 

Nonaccrual

 

 

8

 

 

 

76

 

 

 

48

 

 

 

8

 

 

 

—

 

 

 

616

 

 

 

4,961

 

 

 

5,717

 

Total

 

 

29,869

 

 

 

11,774

 

 

 

5,855

 

 

 

4,483

 

 

 

4,364

 

 

 

8,551

 

 

 

427,570

 

 

 

492,466

 

Current period gross
   charge-offs

 

 

—

 

 

 

(100

)

 

 

(9

)

 

 

(2

)

 

 

(10

)

 

 

(22

)

 

 

(147

)

 

 

(290

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Secured by nonfarm, nonresidential
   properties:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current

 

$

—

 

 

$

—

 

 

$

7

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

7

 

Past due 30-89 days

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Past due 90 days or more

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Nonaccrual

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total

 

 

—

 

 

 

—

 

 

 

7

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

7

 

Current period gross
   charge-offs

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other real estate secured:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current

 

$

—

 

 

$

—

 

 

$

—

 

 

$

78

 

 

$

—

 

 

$

55

 

 

$

—

 

 

$

133

 

Past due 30-89 days

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Past due 90 days or more

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Nonaccrual

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total

 

 

—

 

 

 

—

 

 

 

—

 

 

 

78

 

 

 

—

 

 

 

55

 

 

 

—

 

 

 

133

 

Current period gross
   charge-offs

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

 

Term Loans by Origination Year

 

 

 

 

 

 

 

 

 

2023

 

 

2022

 

 

2021

 

 

2020

 

 

2019

 

 

Prior

 

 

Revolving Loans

 

 

Total

 

As of December 31, 2023

 

Consumer LHFI

 

Other loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Secured by 1-4 family residential properties

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current

 

$

258,800

 

 

$

878,893

 

 

$

516,324

 

 

$

180,272

 

 

$

98,552

 

 

$

277,664

 

 

$

—

 

 

$

2,210,505

 

Past due 30-89 days

 

 

3,370

 

 

 

11,293

 

 

 

5,513

 

 

 

2,121

 

 

 

298

 

 

 

1,664

 

 

 

—

 

 

 

24,259

 

Past due 90 days or more

 

 

376

 

 

 

1,219

 

 

 

1,208

 

 

 

682

 

 

 

—

 

 

 

255

 

 

 

—

 

 

 

3,740

 

Nonaccrual

 

 

678

 

 

 

15,586

 

 

 

11,452

 

 

 

4,884

 

 

 

1,848

 

 

 

9,366

 

 

 

—

 

 

 

43,814

 

Total

 

 

263,224

 

 

 

906,991

 

 

 

534,497

 

 

 

187,959

 

 

 

100,698

 

 

 

288,949

 

 

 

—

 

 

 

2,282,318

 

Current period gross
   charge-offs

 

 

(64

)

 

 

(930

)

 

 

(217

)

 

 

(104

)

 

 

—

 

 

 

(142

)

 

 

—

 

 

 

(1,457

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Consumer loans:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current

 

$

59,496

 

 

$

32,767

 

 

$

10,698

 

 

$

2,604

 

 

$

917

 

 

$

294

 

 

$

55,321

 

 

$

162,097

 

Past due 30-89 days

 

 

1,274

 

 

 

475

 

 

 

134

 

 

 

34

 

 

 

5

 

 

 

5

 

 

 

839

 

 

 

2,766

 

Past due 90 days or more

 

 

64

 

 

 

44

 

 

 

3

 

 

 

1

 

 

 

—

 

 

 

—

 

 

 

516

 

 

 

628

 

Nonaccrual

 

 

44

 

 

 

65

 

 

 

84

 

 

 

26

 

 

 

—

 

 

 

—

 

 

 

24

 

 

 

243

 

Total

 

 

60,878

 

 

 

33,351

 

 

 

10,919

 

 

 

2,665

 

 

 

922

 

 

 

299

 

 

 

56,700

 

 

 

165,734

 

Current period gross
   charge-offs

 

 

(6,138

)

 

 

(559

)

 

 

(167

)

 

 

(43

)

 

 

(1

)

 

 

(1

)

 

 

(2,381

)

 

 

(9,290

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total consumer LHFI

 

$

398,883

 

 

$

975,476

 

 

$

557,399

 

 

$

196,388

 

 

$

107,096

 

 

$

299,912

 

 

$

484,923

 

 

$

3,020,077

 

Total consumer LHFI
   gross charge-offs

 

$

(6,202

)

 

$

(1,589

)

 

$

(393

)

 

$

(149

)

 

$

(11

)

 

$

(165

)

 

$

(2,528

)

 

$

(11,037

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total LHFI

 

$

2,557,360

 

 

$

3,821,836

 

 

$

2,060,977

 

 

$

1,267,991

 

 

$

662,502

 

 

$

1,121,424

 

 

$

1,458,434

 

 

$

12,950,524

 

Total current period
   gross charge-offs

 

$

(6,345

)

 

$

(2,951

)

 

$

(4,601

)

 

$

(313

)

 

$

(353

)

 

$

(417

)

 

$

(2,535

)

 

$

(17,515

)

 

 

 

Term Loans by Origination Year

 

 

 

 

 

 

 

 

 

2022

 

 

2021

 

 

2020

 

 

2019

 

 

2018

 

 

Prior

 

 

Revolving Loans

 

 

Total

 

As of December 31, 2022

 

Commercial LHFI

 

Loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Construction, land development
   and other land:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass - RR 1 through RR 6

 

$

363,824

 

 

$

119,727

 

 

$

29,632

 

 

$

3,405

 

 

$

1,016

 

 

$

2,364

 

 

$

64,953

 

 

$

584,921

 

Special Mention - RR 7

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Substandard - RR 8

 

 

146

 

 

 

199

 

 

 

—

 

 

 

1,415

 

 

 

—

 

 

 

—

 

 

 

44

 

 

 

1,804

 

Doubtful - RR 9

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

42

 

 

 

—

 

 

 

42

 

Total

 

 

363,970

 

 

 

119,926

 

 

 

29,632

 

 

 

4,820

 

 

 

1,016

 

 

 

2,406

 

 

 

64,997

 

 

 

586,767

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other secured by 1-4 family residential
   properties:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass - RR 1 through RR 6

 

$

41,996

 

 

$

33,346

 

 

$

17,215

 

 

$

9,341

 

 

$

6,798

 

 

$

2,870

 

 

$

12,209

 

 

$

123,775

 

Special Mention - RR 7

 

 

29

 

 

 

64

 

 

 

17

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

110

 

Substandard - RR 8

 

 

686

 

 

 

31

 

 

 

75

 

 

 

88

 

 

 

220

 

 

 

285

 

 

 

—

 

 

 

1,385

 

Doubtful - RR 9

 

 

15

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

15

 

Total

 

 

42,726

 

 

 

33,441

 

 

 

17,307

 

 

 

9,429

 

 

 

7,018

 

 

 

3,155

 

 

 

12,209

 

 

 

125,285

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Secured by nonfarm, nonresidential
   properties:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass - RR 1 through RR 6

 

$

889,556

 

 

$

657,242

 

 

$

603,515

 

 

$

457,163

 

 

$

205,425

 

 

$

281,828

 

 

$

130,052

 

 

$

3,224,781

 

Special Mention - RR 7

 

 

10,284

 

 

 

—

 

 

 

—

 

 

 

271

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

10,555

 

Substandard - RR 8

 

 

12,034

 

 

 

1,066

 

 

 

9,457

 

 

 

905

 

 

 

706

 

 

 

18,488

 

 

 

693

 

 

 

43,349

 

Doubtful - RR 9

 

 

34

 

 

 

—

 

 

 

—

 

 

 

77

 

 

 

—

 

 

 

18

 

 

 

—

 

 

 

129

 

Total

 

 

911,908

 

 

 

658,308

 

 

 

612,972

 

 

 

458,416

 

 

 

206,131

 

 

 

300,334

 

 

 

130,745

 

 

 

3,278,814

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other real estate secured:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass - RR 1 through RR 6

 

$

293,051

 

 

$

156,386

 

 

$

143,114

 

 

$

107,827

 

 

$

11,297

 

 

$

17,626

 

 

$

12,516

 

 

$

741,817

 

Special Mention - RR 7

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Substandard - RR 8

 

 

30

 

 

 

—

 

 

 

309

 

 

 

—

 

 

 

5

 

 

 

68

 

 

 

126

 

 

 

538

 

Doubtful - RR 9

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total

 

 

293,081

 

 

 

156,386

 

 

 

143,423

 

 

 

107,827

 

 

 

11,302

 

 

 

17,694

 

 

 

12,642

 

 

 

742,355

 

 

 

 

Term Loans by Origination Year

 

 

 

 

 

 

 

 

 

2022

 

 

2021

 

 

2020

 

 

2019

 

 

2018

 

 

Prior

 

 

Revolving Loans

 

 

Total

 

As of December 31, 2022

 

Commercial LHFI

 

Other loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other construction

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass - RR 1 through RR 6

 

$

372,981

 

 

$

306,904

 

 

$

340,388

 

 

$

833

 

 

$

—

 

 

$

—

 

 

$

200

 

 

$

1,021,306

 

Special Mention - RR 7

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Substandard - RR 8

 

 

—

 

 

 

7,620

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

7,620

 

Doubtful - RR 9

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total

 

 

372,981

 

 

 

314,524

 

 

 

340,388

 

 

 

833

 

 

 

—

 

 

 

—

 

 

 

200

 

 

 

1,028,926

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial and industrial loans:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass - RR 1 through RR 6

 

$

673,848

 

 

$

261,962

 

 

$

120,123

 

 

$

44,994

 

 

$

14,265

 

 

$

69,078

 

 

$

577,749

 

 

$

1,762,019

 

Special Mention - RR 7

 

 

—

 

 

 

—

 

 

 

12,421

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

6,454

 

 

 

18,875

 

Substandard - RR 8

 

 

6,973

 

 

 

9,845

 

 

 

2,170

 

 

 

312

 

 

 

74

 

 

 

—

 

 

 

20,625

 

 

 

39,999

 

Doubtful - RR 9

 

 

240

 

 

 

53

 

 

 

10

 

 

 

4

 

 

 

35

 

 

 

—

 

 

 

24

 

 

 

366

 

Total

 

 

681,061

 

 

 

271,860

 

 

 

134,724

 

 

 

45,310

 

 

 

14,374

 

 

 

69,078

 

 

 

604,852

 

 

 

1,821,259

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

State and other political subdivision loans:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass - RR 1 through RR 6

 

$

393,345

 

 

$

223,302

 

 

$

123,350

 

 

$

39,031

 

 

$

18,876

 

 

$

421,588

 

 

$

1,671

 

 

$

1,221,163

 

Special Mention - RR 7

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

2,700

 

 

 

—

 

 

 

2,700

 

Substandard - RR 8

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Doubtful - RR 9

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total

 

 

393,345

 

 

 

223,302

 

 

 

123,350

 

 

 

39,031

 

 

 

18,876

 

 

 

424,288

 

 

 

1,671

 

 

 

1,223,863

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other commercial loans:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass - RR 1 through RR 6

 

$

88,763

 

 

$

40,006

 

 

$

28,239

 

 

$

37,607

 

 

$

6,424

 

 

$

10,829

 

 

$

244,882

 

 

$

456,750

 

Special Mention - RR 7

 

 

879

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

879

 

Substandard - RR 8

 

 

3,728

 

 

 

98

 

 

 

—

 

 

 

—

 

 

 

16

 

 

 

1,134

 

 

 

9,301

 

 

 

14,277

 

Doubtful - RR 9

 

 

24

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

24

 

Total

 

 

93,394

 

 

 

40,104

 

 

 

28,239

 

 

 

37,607

 

 

 

6,440

 

 

 

11,963

 

 

 

254,183

 

 

 

471,930

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total commercial LHFI

 

$

3,152,466

 

 

$

1,817,851

 

 

$

1,430,035

 

 

$

703,273

 

 

$

265,157

 

 

$

828,918

 

 

$

1,081,499

 

 

$

9,279,199

 

 

 

 

Term Loans by Origination Year

 

 

 

 

 

 

 

 

 

2022

 

 

2021

 

 

2020

 

 

2019

 

 

2018

 

 

Prior

 

 

Revolving Loans

 

 

Total

 

As of December 31, 2022

 

Consumer LHFI

 

Loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Construction, land development and
   other land:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current

 

$

62,049

 

 

$

32,867

 

 

$

3,304

 

 

$

1,759

 

 

$

1,679

 

 

$

1,915

 

 

$

—

 

 

$

103,573

 

Past due 30-89 days

 

 

—

 

 

 

150

 

 

 

—

 

 

 

36

 

 

 

15

 

 

 

9

 

 

 

—

 

 

 

210

 

Past due 90 days or more

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Nonaccrual

 

 

—

 

 

 

58

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

8

 

 

 

—

 

 

 

66

 

Total

 

 

62,049

 

 

 

33,075

 

 

 

3,304

 

 

 

1,795

 

 

 

1,694

 

 

 

1,932

 

 

 

—

 

 

 

103,849

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other secured by 1-4 family residential
   properties:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current

 

$

25,402

 

 

$

7,983

 

 

$

5,389

 

 

$

4,894

 

 

$

3,701

 

 

$

7,252

 

 

$

403,123

 

 

$

457,744

 

Past due 30-89 days

 

 

19

 

 

 

35

 

 

 

15

 

 

 

134

 

 

 

5

 

 

 

286

 

 

 

3,197

 

 

 

3,691

 

Past due 90 days or more

 

 

—

 

 

 

—

 

 

 

—

 

 

 

1

 

 

 

—

 

 

 

—

 

 

 

452

 

 

 

453

 

Nonaccrual

 

 

88

 

 

 

24

 

 

 

4

 

 

 

20

 

 

 

7

 

 

 

454

 

 

 

3,020

 

 

 

3,617

 

Total

 

 

25,509

 

 

 

8,042

 

 

 

5,408

 

 

 

5,049

 

 

 

3,713

 

 

 

7,992

 

 

 

409,792

 

 

 

465,505

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Secured by nonfarm, nonresidential
   properties:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current

 

$

—

 

 

$

16

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

16

 

Past due 30-89 days

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Past due 90 days or more

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Nonaccrual

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total

 

 

—

 

 

 

16

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

16

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other real estate secured:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current

 

$

—

 

 

$

—

 

 

$

89

 

 

$

—

 

 

$

5

 

 

$

89

 

 

$

—

 

 

$

183

 

Past due 30-89 days

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Past due 90 days or more

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Nonaccrual

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total

 

 

—

 

 

 

—

 

 

 

89

 

 

 

—

 

 

 

5

 

 

 

89

 

 

 

—

 

 

 

183

 

 

 

 

Term Loans by Origination Year

 

 

 

 

 

 

 

 

 

2022

 

 

2021

 

 

2020

 

 

2019

 

 

2018

 

 

Prior

 

 

Revolving Loans

 

 

Total

 

As of December 31, 2022

 

Consumer LHFI

 

Other loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Secured by 1-4 family residential properties

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current

 

$

939,511

 

 

$

559,804

 

 

$

198,769

 

 

$

109,466

 

 

$

80,249

 

 

$

262,196

 

 

$

—

 

 

$

2,149,995

 

Past due 30-89 days

 

 

3,967

 

 

 

3,752

 

 

 

2,119

 

 

 

425

 

 

 

—

 

 

 

1,906

 

 

 

—

 

 

 

12,169

 

Past due 90 days or more

 

 

835

 

 

 

777

 

 

 

272

 

 

 

—

 

 

 

134

 

 

 

1,100

 

 

 

—

 

 

 

3,118

 

Nonaccrual

 

 

2,363

 

 

 

4,180

 

 

 

3,275

 

 

 

1,896

 

 

 

2,028

 

 

 

6,033

 

 

 

—

 

 

 

19,775

 

Total

 

 

946,676

 

 

 

568,513

 

 

 

204,435

 

 

 

111,787

 

 

 

82,411

 

 

 

271,235

 

 

 

—

 

 

 

2,185,057

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Consumer loans:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current

 

$

70,858

 

 

$

25,771

 

 

$

9,514

 

 

$

2,509

 

 

$

1,513

 

 

$

295

 

 

$

56,508

 

 

$

166,968

 

Past due 30-89 days

 

 

1,431

 

 

 

238

 

 

 

159

 

 

 

8

 

 

 

23

 

 

 

10

 

 

 

946

 

 

 

2,815

 

Past due 90 days or more

 

 

28

 

 

 

12

 

 

 

7

 

 

 

1

 

 

 

2

 

 

 

—

 

 

 

216

 

 

 

266

 

Nonaccrual

 

 

79

 

 

 

41

 

 

 

19

 

 

 

17

 

 

 

4

 

 

 

—

 

 

 

21

 

 

 

181

 

Total

 

 

72,396

 

 

 

26,062

 

 

 

9,699

 

 

 

2,535

 

 

 

1,542

 

 

 

305

 

 

 

57,691

 

 

 

170,230

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total consumer LHFI

 

$

1,106,630

 

 

$

635,708

 

 

$

222,935

 

 

$

121,166

 

 

$

89,365

 

 

$

281,553

 

 

$

467,483

 

 

$

2,924,840

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total LHFI

 

$

4,259,096

 

 

$

2,453,559

 

 

$

1,652,970

 

 

$

824,439

 

 

$

354,522

 

 

$

1,110,471

 

 

$

1,548,982

 

 

$

12,204,039

 

Past Due LHFS

LHFS past due 90 days or more totaled $51.2 million and $49.3 million at December 31, 2023 and 2022, respectively.

Trustmark did not exercise its buy-back option on any delinquent loans serviced for GNMA during 2023 or 2022.

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 LHFI. 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 that are centrally underwritten based on the borrower's credit bureau score as well as an evaluation of the borrower’s repayment capacity, credit, and collateral. 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

 

DCF

 

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

 

 

 

 

Equipment finance loans

 

WARM

 

Southern Unemployment, Southern GDP

 

 

 

 

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 and leases

 

Other commercial loans and leases

 

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

 

 

 

 

Equipment finance leases

 

WARM

 

Southern Unemployment, Southern GDP

 

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 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 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 consumer loans and other commercial loans.

During the first quarter of 2022, Management elected to incorporate a methodology change related to the other construction pool. Components of this change include management utilizing an alternative LDA to support the PD and LGD assumptions necessary to apply a DCF methodology to the other construction pool. Fundamentally, this approach utilizes publicly reported default balances and leverages a generalized linear model (GLM) framework to estimate PD. Taken together, these differences allow for results to be scaled to be specific and directly applicable to the other construction segment. LGD is assumed to be a through-the-cycle constant based on the actual performance of Trustmark’s other construction segment. These assumptions are then input into the DCF model and used in conjunction with prepayment data to calculate the cash flows at the individual loan level. Previously, the other construction pool used the weighted average remaining maturity (WARM) method. Management believes this change is commensurate with the level of risk in the pool.

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 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 changed rapidly. At the macroeconomic levels experienced during the COVID-19 pandemic, 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 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 percentiles, 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. Due to multiple periods having a PD or LGD at or near zero as a result of the 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 at December 31, 2023: (i) economic conditions and concentrations of credit, (ii) nature and volume of the portfolio and (iii) performance trends.

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.

 

Trustmark's current quantitative methodologies do not completely incorporate changes in credit quality. As a result Trustmark utilizes the performance trends factor. This factor is based on migration analyses, that allocates 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 performance trends qualitative factor is estimated by properly segmenting loan pools into risk levels by risk rating for commercial credits and delinquency status for consumer credits. A migration analysis is then performed quarterly using a third-party software and the results for each risk level is compiled to calculate the historical PD average for each loan portfolio based on risk levels. This average historical PD rate is updated annually. For the mortgage portfolio, Trustmark uses an internal report to incorporate a roll rate method for the calculation of the PD rate. In addition, to the PD rate for each portfolio, Management incorporates the quantitative rate and the k value derived from the Frye-Jacobs method to calculate a loss estimate that includes both PD and LGD. The quantitative rate is used to eliminate any additional reserve that the quantitative reserve already includes. Finally, the loss estimate rate is then applied to the total balances for each risk level for each portfolio to calculate a qualitative reserve.

 

During the second quarter of 2022, Management elected to activate the nature and volume of the portfolio qualitative factor as a result of a sub-pool of the secured by 1-4 family residential properties growing to a significant size along with the underlying nature being different as well. The nature and volume of the portfolio qualitative factor utilizes a WARM methodology that uses industry data for the assumptions to support the qualitative adjustment. The industry data is used to compile a PD based on credit score ranges along with using the industry data to compile an LGD. The sub-pool of credits are then aggregated into the appropriate credit score bands in which a weighted average loss rate is calculated based on the PD and LGD for each credit score range. This weighted average loss rate is then applied to the expected balance for the sub-segment of credits. This total is then used as the qualitative reserve adjustment.

The external factors qualitative factor is Management’s best judgment 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). Trustmark's External Factor – Pandemic ensures 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 PD (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.

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 were 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. During the fourth quarter of 2022, Management noted that all pass rated loans (RR 5 & RR 6) related to the External Factor-Pandemic qualitative factor either did not experience significant stress related to the pandemic or have since recovered and does not expect future stresses attributed to the pandemic that may affect these loans. As a result, Management decided to accelerate the release of the additional pandemic reserves on all pass rated loans. During the fourth quarter of 2023, Management decided to resolve the External Factor-Pandemic qualitative factor as a result of the remaining loan balances that were identified as COVID affected loans were immaterial from both a reserve and balance perspective. The remaining loans were incorporated back into the performance qualitative factor as a result of this resolution. Further, due to this resolution there is no longer any active External Factor as of December 31, 2023.

During the first quarter of 2022, in order to account for the potential uncertainty related to higher prices and low economic growth, Trustmark chose to enact a portion of the qualitative framework, External Factor - Stagflation. Management calculated the reserve using a third-party stagflation forecast and compared it to the third-party baseline forecast used in the quantitative modeling. The weighted differential is added as qualitative reserves to account for potential uncertainty. During the fourth quarter of 2022, Management determined that the likelihood of a stagflation scenario had sufficiently diminished. Management identified that the potential had already been reduced and effectively captured within a nominally more negative baseline economic forecast. As a result, Management elected to resolve the External Factor - Stagflation and fully release the reserves.

The following tables disaggregate the ACL, LHFI and the amortized cost basis of the loans by the measurement methodology used at December 31, 2023 and 2022 ($ in thousands):

 

 

 

December 31, 2023

 

 

 

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

 

$

—

 

 

$

17,192

 

 

$

17,192

 

 

$

2,020

 

 

 

640,866

 

 

$

642,886

 

Other secured by 1-4 family residential properties

 

 

—

 

 

 

12,942

 

 

 

12,942

 

 

 

946

 

 

 

621,451

 

 

 

622,397

 

Secured by nonfarm, nonresidential properties

 

 

—

 

 

 

24,043

 

 

 

24,043

 

 

 

20,812

 

 

 

3,468,622

 

 

 

3,489,434

 

Other real estate secured

 

 

—

 

 

 

4,488

 

 

 

4,488

 

 

 

—

 

 

 

1,312,551

 

 

 

1,312,551

 

Other loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other construction

 

 

—

 

 

 

5,758

 

 

 

5,758

 

 

 

—

 

 

 

867,793

 

 

 

867,793

 

Secured by 1-4 family residential properties

 

 

—

 

 

 

34,794

 

 

 

34,794

 

 

 

3,235

 

 

 

2,279,083

 

 

 

2,282,318

 

Commercial and industrial loans

 

 

11,436

 

 

 

15,202

 

 

 

26,638

 

 

 

21,102

 

 

 

1,901,808

 

 

 

1,922,910

 

Consumer loans

 

 

—

 

 

 

5,794

 

 

 

5,794

 

 

 

—

 

 

 

165,734

 

 

 

165,734

 

State and other political subdivision loans

 

 

—

 

 

 

646

 

 

 

646

 

 

 

—

 

 

 

1,088,466

 

 

 

1,088,466

 

Other commercial loans and leases

 

 

967

 

 

 

6,105

 

 

 

7,072

 

 

 

967

 

 

 

555,068

 

 

 

556,035

 

Total

 

$

12,403

 

 

$

126,964

 

 

$

139,367

 

 

$

49,082

 

 

$

12,901,442

 

 

$

12,950,524

 

 

 

 

 

December 31, 2022

 

 

 

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

 

$

121

 

 

$

12,707

 

 

$

12,828

 

 

$

1,558

 

 

$

689,058

 

 

$

690,616

 

Other secured by 1-4 family residential properties

 

 

—

 

 

 

12,374

 

 

 

12,374

 

 

 

482

 

 

 

590,308

 

 

 

590,790

 

Secured by nonfarm, nonresidential properties

 

 

—

 

 

 

19,488

 

 

 

19,488

 

 

 

4,841

 

 

 

3,273,989

 

 

 

3,278,830

 

Other real estate secured

 

 

—

 

 

 

4,743

 

 

 

4,743

 

 

 

—

 

 

 

742,538

 

 

 

742,538

 

Other loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other construction

 

 

7,620

 

 

 

7,512

 

 

 

15,132

 

 

 

7,620

 

 

 

1,021,306

 

 

 

1,028,926

 

Secured by 1-4 family residential properties

 

 

—

 

 

 

21,185

 

 

 

21,185

 

 

 

1,193

 

 

 

2,183,864

 

 

 

2,185,057

 

Commercial and industrial loans

 

 

9,946

 

 

 

13,194

 

 

 

23,140

 

 

 

24,594

 

 

 

1,796,665

 

 

 

1,821,259

 

Consumer loans

 

 

—

 

 

 

5,792

 

 

 

5,792

 

 

 

—

 

 

 

170,230

 

 

 

170,230

 

State and other political subdivision loans

 

 

—

 

 

 

885

 

 

 

885

 

 

 

—

 

 

 

1,223,863

 

 

 

1,223,863

 

Other commercial loans

 

 

—

 

 

 

4,647

 

 

 

4,647

 

 

 

—

 

 

 

471,930

 

 

 

471,930

 

Total

 

$

17,687

 

 

$

102,527

 

 

$

120,214

 

 

$

40,288

 

 

$

12,163,751

 

 

$

12,204,039

 

 

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

 

 

 

Years Ended December 31,

 

 

 

2023

 

 

2022

 

 

2021

 

Balance at beginning of period

 

$

120,214

 

 

$

99,457

 

 

$

117,306

 

Loans charged-off

 

 

(17,515

)

 

 

(11,332

)

 

 

(10,275

)

Recoveries

 

 

9,306

 

 

 

10,412

 

 

 

13,925

 

Net (charge-offs) recoveries

 

 

(8,209

)

 

 

(920

)

 

 

3,650

 

PCL, LHFI

 

 

27,362

 

 

 

21,677

 

 

 

(21,499

)

Balance at end of period

 

$

139,367

 

 

$

120,214

 

 

$

99,457

 

 

The following tables detail changes in the ACL, LHFI by loan class for the years ended December 31, 2023 and 2022 ($ in thousands):

 

 

 

2023

 

 

 

Balance

 

 

 

 

 

 

 

 

 

 

 

Balance

 

 

 

January 1,

 

 

Charge-offs

 

 

Recoveries

 

 

PCL

 

 

December 31,

 

Loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Construction, land development and other land

 

$

12,828

 

 

$

(242

)

 

$

142

 

 

$

4,464

 

 

$

17,192

 

Other secured by 1-4 family residential properties

 

 

12,374

 

 

 

(320

)

 

 

439

 

 

 

449

 

 

 

12,942

 

Secured by nonfarm, nonresidential properties

 

 

19,488

 

 

 

(278

)

 

 

2,328

 

 

 

2,505

 

 

 

24,043

 

Other real estate secured

 

 

4,743

 

 

 

—

 

 

 

28

 

 

 

(283

)

 

 

4,488

 

Other loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other construction

 

 

15,132

 

 

 

(3,453

)

 

 

73

 

 

 

(5,994

)

 

 

5,758

 

Secured by 1-4 family residential properties

 

 

21,185

 

 

 

(1,457

)

 

 

38

 

 

 

15,028

 

 

 

34,794

 

Commercial and industrial loans

 

 

23,140

 

 

 

(2,161

)

 

 

1,066

 

 

 

4,593

 

 

 

26,638

 

Consumer loans

 

 

5,792

 

 

 

(9,290

)

 

 

5,192

 

 

 

4,100

 

 

 

5,794

 

State and other political subdivision loans

 

 

885

 

 

 

—

 

 

 

—

 

 

 

(239

)

 

 

646

 

Other commercial loans and leases

 

 

4,647

 

 

 

(314

)

 

 

—

 

 

 

2,739

 

 

 

7,072

 

Total

 

$

120,214

 

 

$

(17,515

)

 

$

9,306

 

 

$

27,362

 

 

$

139,367

 

 

The PCL, LHFI for the year ended December 31, 2023 was primarily attributable to loan growth, extended maturities on the secured by 1-4 family residential properties resulting from lower prepayment speeds, changes in the macroeconomic forecast and net adjustments to the qualitative factors.

 

The negative PCL, LHFI for the other construction portfolio for the year ended December 31, 2023 was primarily due to the transfer of a fully-reserved nonaccrual loan to other real estate, net.

 

 

 

2022

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Balance
January 1,

 

 

Charge-offs

 

 

Recoveries

 

 

PCL

 

 

Balance
December 31,

 

Loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Construction, land development and other land

 

$

6,079

 

 

$

(226

)

 

$

1,280

 

 

$

5,695

 

 

$

12,828

 

Other secured by 1-4 family residential properties

 

 

10,310

 

 

 

(225

)

 

 

597

 

 

 

1,692

 

 

 

12,374

 

Secured by nonfarm, nonresidential properties

 

 

37,912

 

 

 

(306

)

 

 

1,724

 

 

 

(19,842

)

 

 

19,488

 

Other real estate secured

 

 

4,713

 

 

 

(131

)

 

 

14

 

 

 

147

 

 

 

4,743

 

Other loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other construction

 

 

5,968

 

 

 

(153

)

 

 

222

 

 

 

9,095

 

 

 

15,132

 

Secured by 1-4 family residential properties

 

 

2,706

 

 

 

(154

)

 

 

167

 

 

 

18,466

 

 

 

21,185

 

Commercial and industrial loans

 

 

18,939

 

 

 

(671

)

 

 

955

 

 

 

3,917

 

 

 

23,140

 

Consumer loans

 

 

4,774

 

 

 

(2,125

)

 

 

1,563

 

 

 

1,580

 

 

 

5,792

 

State and other political subdivision loans

 

 

2,708

 

 

 

—

 

 

 

—

 

 

 

(1,823

)

 

 

885

 

Other commercial loans

 

 

5,348

 

 

 

(7,341

)

 

 

3,890

 

 

 

2,750

 

 

 

4,647

 

Total

 

$

99,457

 

 

$

(11,332

)

 

$

10,412

 

 

$

21,677

 

 

$

120,214

 

The increases in the PCL, LHFI for the year ended December 31, 2022 were primarily due to loan growth, the weakening of the macroeconomic forecast and the nature and volume of the portfolio.

The decrease in the PCL, LHFI for the secured by nonfarm, nonresidential properties portfolio for the year ended December 31, 2022 was primarily due to adjustments to the External Factor - Pandemic qualitative factor. The decrease in the PCL, LHFI for the state and

other political subdivision loans portfolio was due to the release of specific reserves on individually analyzed credits coupled with the adjustments to the External Factor - Pandemic qualitative factor and routine modeling assumption updates.
v3.24.0.1
Premises and Equipment, Net
 12 Months Ended
Dec. 31, 2023
Property, Plant and Equipment [Abstract]  
Premises and Equipment, Net

Note 5 – Premises and Equipment, Net

At December 31, 2023 and 2022, premises and equipment, net consisted of the following ($ in thousands):

 

 

 

December 31,

 

 

 

2023

 

 

2022

 

Land

 

$

56,747

 

 

$

54,300

 

Buildings and leasehold improvements

 

 

247,173

 

 

 

237,215

 

Furniture and equipment

 

 

212,625

 

 

 

198,698

 

Total cost of premises and equipment

 

 

516,545

 

 

 

490,213

 

Less accumulated depreciation and amortization

 

 

288,956

 

 

 

282,385

 

Premises and equipment, net

 

 

227,589

 

 

 

207,828

 

Finance lease right-of-use assets

 

 

3,751

 

 

 

4,537

 

Assets held for sale

 

 

1,197

 

 

 

—

 

Total premises and equipment, net

 

$

232,537

 

 

$

212,365

 

 

There were three properties included in assets held for sale at December 31, 2023 compared to no properties at December 31, 2022. 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 subsequent twelve months as a result of its strategic initiatives. Property valuation adjustments of $470 thousand were recognized and included in other expense for 2023 compared to $400 thousand for 2022 and $140 thousand for 2021.

Depreciation and amortization of premises and equipment totaled $17.4 million in 2023, $16.2 million in 2022 and $15.6 million in 2021.
v3.24.0.1
Mortgage Banking
 12 Months Ended
Dec. 31, 2023
Mortgage Banking [Abstract]  
Mortgage Banking

Note 6 – Mortgage Banking

MSR

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

 

 

 

Years Ended December 31,

 

 

 

2023

 

 

2022

 

Balance at beginning of period

 

$

129,677

 

 

$

87,687

 

Origination of servicing assets

 

 

13,712

 

 

 

17,843

 

Change in fair value:

 

 

 

 

 

 

Due to market changes

 

 

(1,489

)

 

 

38,181

 

Due to runoff

 

 

(10,030

)

 

 

(14,034

)

Balance at end of period

 

$

131,870

 

 

$

129,677

 

 

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, the float rate, which is the interest rate earned on escrow balances, and the discount rate as some of the primary assumptions used 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. An increase in the float rate will result in an increase in the fair value of the MSR, while a decrease in the float rate will result in a decrease in the fair value of the MSR. At December 31, 2023, the fair value of the MSR included an assumed average prepayment speed of 9 CPR and an average discount rate of 10.07% compared to an assumed average prepayment speed of 8 CPR and an average discount rate of 10.08% at December 31, 2022.

Mortgage Loans Sold/Serviced

During 2023, 2022 and 2021, Trustmark sold $1.136 billion, $1.243 billion and $2.286 billion, respectively, of residential mortgage loans. Gain on sales of loans, net totaled $15.3 million in 2023, $20.2 million in 2022 and $56.0 million in 2021. Trustmark receives annual servicing fee income approximating 0.32% of the outstanding balance of the underlying loans, which totaled $26.9 million in 2023, $26.0 million in 2022 and $25.1 million in 2021. 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, 2023 and 2022 ($ in thousands):

 

 

 

December 31,

 

 

 

2023

 

 

2022

 

Federal National Mortgage Association

 

$

4,826,028

 

 

$

4,684,815

 

Government National Mortgage Association

 

 

3,510,983

 

 

 

3,350,222

 

Federal Home Loan Mortgage Corporation

 

 

112,352

 

 

 

52,023

 

Other

 

 

28,012

 

 

 

28,764

 

Total mortgage loans sold and serviced for others

 

$

8,477,375

 

 

$

8,115,824

 

 

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, 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, 2023 and 2022, 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.
v3.24.0.1
Goodwill and Identifiable Intangible Assets
 12 Months Ended
Dec. 31, 2023
Goodwill and Intangible Assets Disclosure [Abstract]  
Goodwill and Identifiable Intangible Assets

Note 7 – Goodwill and Identifiable Intangible Assets

Goodwill

The table below illustrates goodwill by segment for the years ended December 31, 2023 and 2022 ($ in thousands):

 

 

 

General

 

 

 

 

 

 

 

 

 

Banking

 

 

Insurance

 

 

Total

 

Balance as of January 1, 2022

 

$

334,603

 

 

$

49,634

 

 

$

384,237

 

Adjustment during 2022

 

 

—

 

 

 

—

 

 

 

—

 

Balance as of December 31, 2022

 

 

334,603

 

 

 

49,634

 

 

 

384,237

 

Adjustment during 2023

 

 

—

 

 

 

—

 

 

 

—

 

Balance as of December 31, 2023

 

$

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 2023, 2022 and 2021. 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, 2023 and 2022, identifiable intangible assets consisted of the following ($ in thousands):

 

 

 

December 31, 2023

 

 

December 31, 2022

 

 

 

Gross Carrying

 

 

Accumulated

 

 

Net Carrying

 

 

Gross Carrying

 

 

Accumulated

 

 

Net Carrying

 

 

 

Amount

 

 

Amortization

 

 

Amount

 

 

Amount

 

 

Amortization

 

 

Amount

 

Core deposit intangibles

 

$

87,674

 

 

$

87,439

 

 

$

235

 

 

$

87,674

 

 

$

87,199

 

 

$

475

 

Insurance intangibles

 

 

17,272

 

 

 

14,542

 

 

 

2,730

 

 

 

17,272

 

 

 

14,157

 

 

 

3,115

 

Banking charters

 

 

1,325

 

 

 

1,325

 

 

 

—

 

 

 

1,325

 

 

 

1,275

 

 

 

50

 

Total

 

$

106,271

 

 

$

103,306

 

 

$

2,965

 

 

$

106,271

 

 

$

102,631

 

 

$

3,640

 

Trustmark recorded $675 thousand of amortization of identifiable intangible assets in 2023, $1.4 million in 2022 and $2.3 million in 2021. Trustmark estimates that amortization expense for identifiable intangible assets will be $469 thousand in 2024, $403 thousand in 2025, $341 thousand in 2026, $283 thousand in 2027 and $250 thousand in 2028. 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 2023, 2022 or 2021.

The following table illustrates the carrying amounts and remaining weighted-average amortization periods of identifiable intangible assets at December 31, 2023 ($ in thousands):

 

 

 

 

 

Remaining

 

 

 

 

 

 

Weighted-

 

 

 

 

 

 

Average

 

 

 

Net Carrying

 

 

Amortization

 

 

 

Amount

 

 

Period in Years

 

Core deposit intangibles

 

$

235

 

 

 

3.2

 

Insurance intangibles

 

 

2,730

 

 

 

14.9

 

Total

 

$

2,965

 

 

 

13.9

 
v3.24.0.1
Other Real Estate
 12 Months Ended
Dec. 31, 2023
Other Real Estate, Foreclosed Assets, and Repossessed Assets [Abstract]  
Other Real Estate

Note 8 – Other Real Estate

At December 31, 2023, Trustmark’s geographic other real estate distribution was primarily concentrated in its Alabama, Mississippi and Texas market regions. The ultimate recovery of a substantial portion of the carrying amount of other real estate is susceptible to changes in market conditions in this area.

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

 

 

 

Years Ended December 31,

 

 

 

2023

 

 

2022

 

 

2021

 

Balance at beginning of period

 

$

1,986

 

 

$

4,557

 

 

$

11,651

 

Additions

 

 

7,237

 

 

 

1,533

 

 

 

770

 

Disposals

 

 

(2,555

)

 

 

(4,142

)

 

 

(6,932

)

(Write-downs) recoveries

 

 

199

 

 

 

38

 

 

 

(932

)

Balance at end of period

 

$

6,867

 

 

$

1,986

 

 

$

4,557

 

 

 

 

 

 

 

 

 

 

 

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

 

$

(145

)

 

$

(1,006

)

 

$

(1,869

)

 

At December 31, 2023 and 2022, other real estate by type of property consisted of the following ($ in thousands):

 

 

 

December 31,

 

 

 

2023

 

 

2022

 

1-4 family residential properties

 

$

1,977

 

 

$

1,128

 

Nonfarm, nonresidential properties

 

 

4,835

 

 

 

561

 

Other real estate properties

 

 

55

 

 

 

297

 

Total other real estate

 

$

6,867

 

 

$

1,986

 

 

At December 31, 2023 and 2022, other real estate by geographic location consisted of the following ($ in thousands):

 

 

 

December 31,

 

 

 

2023

 

 

2022

 

Alabama

 

$

1,397

 

 

$

194

 

Mississippi (1)

 

 

1,242

 

 

 

1,769

 

Tennessee (2)

 

 

—

 

 

 

23

 

Texas

 

 

4,228

 

 

 

—

 

Total other real estate

 

$

6,867

 

 

$

1,986

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

At December 31, 2023 and 2022, the balance of other real estate included $2.0 million and $1.1 million, respectively, of foreclosed residential real estate properties recorded as a result of obtaining physical possession of the property. At December 31, 2023 and 2022, the recorded investment of consumer mortgage loans secured by residential real estate properties for which formal foreclosure proceedings are in process was $6.4 million and $2.9 million, respectively.
v3.24.0.1
Leases
 12 Months Ended
Dec. 31, 2023
Leases [Abstract]  
Leases

Note 9 – Leases

Lessor Arrangements

Trustmark leases certain types of machinery and equipment to its customers through sales-type and direct financing leases as part of its equipment financing portfolio. These leases generally have remaining lease terms of three to ten years, some of which include renewal options and/or options for the lessee to purchase the leased property near or at the end of the lease term. Trustmark recognized interest income from its sales-type and direct financing leases of $3.2 million for the year ended December 31, 2023. Trustmark does not have any significant operating leases in which it is the lessor.

The table below summarizes the components of Trustmark's net investment in its sales-type and direct financing leases at December 31, 2023 ($ in thousands):

 

 

 

December 31, 2023

 

Leases receivable

 

$

161,319

 

Unearned income

 

 

(29,011

)

Initial direct costs

 

 

1,326

 

Unguaranteed lease residual

 

 

4,101

 

Total net investment

 

$

137,735

 

The table below details the minimum future lease payments for Trustmark's leases receivable at December 31, 2023 ($ in thousands):

 

 

 

December 31, 2023

 

2024

 

$

24,647

 

2025

 

 

25,617

 

2026

 

 

24,176

 

2027

 

 

36,295

 

2028

 

 

21,141

 

Thereafter

 

 

29,443

 

Total leases receivable

 

$

161,319

 

 

Lessee Arrangements

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

 

 

 

Years Ended December 31,

 

 

 

2023

 

 

2022

 

 

2021

 

Finance leases

 

 

 

 

 

 

 

 

 

Amortization of right-of-use assets

 

$

786

 

 

$

1,479

 

 

$

1,546

 

Interest on lease liabilities

 

 

163

 

 

 

188

 

 

 

219

 

Operating lease cost

 

 

5,311

 

 

 

5,172

 

 

 

5,275

 

Short-term lease cost

 

 

277

 

 

 

389

 

 

 

463

 

Variable lease cost

 

 

906

 

 

 

1,150

 

 

 

1,234

 

Sublease income

 

 

(12

)

 

 

(168

)

 

 

(350

)

Net lease cost

 

$

7,431

 

 

$

8,210

 

 

$

8,387

 

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

 

 

Years Ended December 31,

 

 

 

2023

 

 

2022

 

 

2021

 

Finance leases

 

 

 

 

 

 

 

 

 

Operating cash flows included in operating activities

 

$

163

 

 

$

188

 

 

$

219

 

Financing cash flows included in payments under finance lease
   obligations

 

 

721

 

 

 

1,409

 

 

 

1,434

 

Operating leases

 

 

 

 

 

 

 

 

 

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

 

 

4,188

 

 

 

4,829

 

 

 

4,781

 

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

 

 

3,643

 

 

 

4,009

 

 

 

3,948

 

The table below details balance sheet information, as well as weighted-average lease terms and discount rates, related to leases at December 31, 2023 and 2022 ($ in thousands):

 

 

December 31,

 

 

 

2023

 

 

2022

 

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

 

$

3,751

 

 

$

4,537

 

Finance lease liabilities

 

 

4,334

 

 

 

5,055

 

Operating lease right-of-use assets

 

 

38,142

 

 

 

36,301

 

Operating lease liabilities

 

 

41,584

 

 

 

38,932

 

 

 

 

 

 

 

 

Weighted-average lease term

 

 

 

 

 

 

Finance leases

 

8.34 years

 

 

8.72 years

 

Operating leases

 

10.13 years

 

 

9.64 years

 

 

 

 

 

 

 

 

Weighted-average discount rate

 

 

 

 

 

 

Finance leases

 

 

3.61

%

 

 

3.49

%

Operating leases

 

 

3.64

%

 

 

3.22

%

At December 31, 2023, future minimum rental commitments under finance and operating leases were as follows ($ in thousands):

 

 

 

Finance Leases

 

 

Operating Leases

 

2024

 

$

573

 

 

$

5,051

 

2025

 

 

584

 

 

 

5,119

 

2026

 

 

589

 

 

 

4,967

 

2027

 

 

594

 

 

 

5,020

 

2028

 

 

599

 

 

 

4,860

 

Thereafter

 

 

2,086

 

 

 

25,452

 

Total minimum lease payments

 

 

5,025

 

 

 

50,469

 

Less imputed interest

 

 

(691

)

 

 

(8,885

)

Lease liabilities

 

$

4,334

 

 

$

41,584

 
v3.24.0.1
Deposits
 12 Months Ended
Dec. 31, 2023
Deposits [Abstract]  
Deposits

Note 10 – Deposits

At December 31, 2023 and 2022, deposits consisted of the following ($ in thousands):

 

 

December 31,

 

 

 

2023

 

 

2022

 

Noninterest-bearing demand

 

$

3,197,620

 

 

$

4,093,771

 

Interest-bearing demand

 

 

4,947,626

 

 

 

4,773,219

 

Savings

 

 

4,047,853

 

 

 

4,282,435

 

Time

 

 

3,376,664

 

 

 

1,288,223

 

Total

 

$

15,569,763

 

 

$

14,437,648

 

 

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

 

 

 

Years Ended December 31,

 

 

 

2023

 

 

2022

 

 

2021

 

Interest-bearing demand

 

$

121,138

 

 

$

16,409

 

 

$

4,906

 

Savings

 

 

28,605

 

 

 

9,654

 

 

 

7,912

 

Time

 

 

96,208

 

 

 

3,006

 

 

 

4,127

 

Total

 

$

245,951

 

 

$

29,069

 

 

$

16,945

 

 

Time deposits that exceed the FDIC insurance limit of $250 thousand totaled $822.4 million and $247.2 million at December 31, 2023 and 2022, respectively.

The maturities of interest-bearing deposits at December 31, 2023, are as follows ($ in thousands):

 

2024

 

$

3,199,607

 

2025

 

 

142,607

 

2026

 

 

19,632

 

2027

 

 

7,433

 

2028

 

 

5,503

 

Thereafter

 

 

1,882

 

Total time deposits

 

 

3,376,664

 

Interest-bearing deposits with no stated maturity

 

 

8,995,479

 

Total interest-bearing deposits

 

$

12,372,143

 
v3.24.0.1
Borrowings
 12 Months Ended
Dec. 31, 2023
Debt Disclosure [Abstract]  
Borrowings

Note 11 - 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 $61.6 million and $102.4 million at December 31, 2023 and 2022, respectively. At both December 31, 2023 and 2022, 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, 2023 and 2022 ($ in thousands):

 

 

December 31,

 

 

 

2023

 

 

2022

 

Mortgage-backed securities

 

 

 

 

 

 

Residential mortgage pass-through securities

 

 

 

 

Issued by FNMA and FHLMC

 

$

28,600

 

 

$

41,732

 

Other residential mortgage-backed securities

 

 

 

 

 

 

Issued or guaranteed by FNMA, FHLMC or GNMA

 

 

526

 

 

 

1,111

 

Commercial mortgage-backed securities

 

 

 

 

 

 

Issued or guaranteed by FNMA, FHLMC or GNMA

 

 

—

 

 

 

21,277

 

Total securities sold under repurchase agreements

 

$

29,126

 

 

$

64,120

 

 

Other Borrowings

At December 31, 2023 and 2022, other borrowings consisted of the following ($ in thousands):

 

 

 

December 31,

 

 

 

2023

 

 

2022

 

FHLB advances

 

$

400,058

 

 

$

975,078

 

Serviced GNMA loans eligible for repurchase

 

 

78,838

 

 

 

70,805

 

Finance lease liabilities

 

 

4,334

 

 

 

5,055

 

Total other borrowings

 

$

483,230

 

 

$

1,050,938

 

FHLB Advances

At both December 31, 2023 and 2022, Trustmark had no outstanding short-term FHLB advances with the FHLB of Atlanta.

At both December 31, 2023 and 2022, Trustmark had one outstanding long-term FHLB advance with the FHLB of Atlanta totaling $58 thousand and $78 thousand, respectively. This advance was assumed through the BancTrust merger and had a fixed interest rate of 0.08%. At December 31, 2023 and 2022, this advance had a remaining maturity of 2.71 years and 3.71 years, respectively. There was no fair market value adjustment associated with the BancTrust merger included in the FHLB advances at December 31, 2023 and 2022. Trustmark’s FHLB advances are collateralized by securities held in safekeeping with the FHLB of Atlanta.

At December 31, 2023, Trustmark had five outstanding short-term FHLB advances totaling $400.0 million and no long-term FHLB advances with the FHLB of Dallas, compared to four outstanding short-term FHLB advances totaling $975.0 million and no long-term FHLB advances with the FHLB of Dallas at December 31, 2022. The outstanding short-term advances with the FHLB of Dallas had fixed rates ranging from 5.38% and 5.61% with balances ranging from $50.0 million to $125.0 million. The outstanding short-term FHLB advances had a weighted-average remaining maturity of 9 days with a weighted-average cost of 5.54% at December 31, 2023, compared to a weighted-average remaining maturity of 10 days with a weighted-average cost of 4.58% at December 31, 2022.

Trustmark incurred $49.9 million of interest expense on short-term FHLB advances in 2023, compared to $4.8 million of interest expense in 2022 and $2 thousand of interest expense in 2021. Trustmark incurred no interest expense on long-term FHLB advances in 2023, 2022 and 2021.

At December 31, 2023 and 2022, Trustmark had $4.003 billion and $3.034 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, 2023 and 2022, the carrying amount of the Notes was $123.5 million and $123.3 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 Chicago Mercantile Exchange, Inc. (CME) SOFR plus a spread adjustment of 0.26% and a margin of 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 CME SOFR plus a spread adjustment of 0.26% and a margin of 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, 2023 and 2022, 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, 2023 and 2022, 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 2023, net income for the Trust equaled $132 thousand resulting from interest income from the junior subordinated debt securities issued by Trustmark to the Trust, compared with net income of $66 thousand during 2022 and $36 thousand during 2021. Dividends issued to Trustmark by the Trust during 2023 totaled $132 thousand, compared to $66 thousand during 2022 and $36 thousand during 2021.
v3.24.0.1
Revenue from Contracts with Customers
 12 Months Ended
Dec. 31, 2023
Revenue from Contract with Customer [Abstract]  
Revenue from Contracts with Customers

Note 12 – 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, 2023

 

 

Year Ended December 31, 2022

 

 

Year Ended December 31, 2021

 

 

 

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

 

$

43,329

 

 

$

—

 

 

$

43,329

 

 

$

42,073

 

 

$

—

 

 

$

42,073

 

 

$

33,169

 

 

$

—

 

 

$

33,169

 

Bank card and other fees

 

 

30,387

 

 

 

2,995

 

 

 

33,382

 

 

 

31,474

 

 

 

4,584

 

 

 

36,058

 

 

 

30,897

 

 

 

3,727

 

 

 

34,624

 

Mortgage banking, net

 

 

—

 

 

 

26,216

 

 

 

26,216

 

 

 

—

 

 

 

28,306

 

 

 

28,306

 

 

 

—

 

 

 

63,750

 

 

 

63,750

 

Wealth management

 

 

838

 

 

 

—

 

 

 

838

 

 

 

639

 

 

 

—

 

 

 

639

 

 

 

48

 

 

 

—

 

 

 

48

 

Other, net

 

 

11,769

 

 

 

(2,076

)

 

 

9,693

 

 

 

8,469

 

 

 

805

 

 

 

9,274

 

 

 

6,621

 

 

 

(338

)

 

 

6,283

 

Security gains (losses),
   net

 

 

—

 

 

 

39

 

 

 

39

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total noninterest
   income

 

$

86,323

 

 

$

27,174

 

 

$

113,497

 

 

$

82,655

 

 

$

33,695

 

 

$

116,350

 

 

$

70,735

 

 

$

67,139

 

 

$

137,874

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Wealth Management
   Segment

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Service charges on
   deposit accounts

 

$

87

 

 

$

—

 

 

$

87

 

 

$

84

 

 

$

—

 

 

$

84

 

 

$

77

 

 

$

—

 

 

$

77

 

Bank card and other fees

 

 

57

 

 

 

—

 

 

 

57

 

 

 

47

 

 

 

—

 

 

 

47

 

 

 

38

 

 

 

—

 

 

 

38

 

Wealth management

 

 

34,254

 

 

 

—

 

 

 

34,254

 

 

 

34,374

 

 

 

—

 

 

 

34,374

 

 

 

35,142

 

 

 

—

 

 

 

35,142

 

Other, net

 

 

162

 

 

 

376

 

 

 

538

 

 

 

528

 

 

 

39

 

 

 

567

 

 

 

130

 

 

 

33

 

 

 

163

 

Total noninterest
   income

 

$

34,560

 

 

$

376

 

 

$

34,936

 

 

$

35,033

 

 

$

39

 

 

$

35,072

 

 

$

35,387

 

 

$

33

 

 

$

35,420

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Insurance Segment

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Insurance commissions

 

$

57,569

 

 

$

—

 

 

$

57,569

 

 

$

53,721

 

 

$

—

 

 

$

53,721

 

 

$

48,511

 

 

$

—

 

 

$

48,511

 

Other, net

 

 

956

 

 

 

—

 

 

 

956

 

 

 

1

 

 

 

—

 

 

 

1

 

 

 

105

 

 

 

—

 

 

 

105

 

Total noninterest
   income

 

$

58,525

 

 

$

—

 

 

$

58,525

 

 

$

53,722

 

 

$

—

 

 

$

53,722

 

 

$

48,616

 

 

$

—

 

 

$

48,616

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Consolidated

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Service charges on
   deposit accounts

 

$

43,416

 

 

$

—

 

 

$

43,416

 

 

$

42,157

 

 

$

—

 

 

$

42,157

 

 

$

33,246

 

 

$

—

 

 

$

33,246

 

Bank card and other fees

 

 

30,444

 

 

 

2,995

 

 

 

33,439

 

 

 

31,521

 

 

 

4,584

 

 

 

36,105

 

 

 

30,935

 

 

 

3,727

 

 

 

34,662

 

Mortgage banking, net

 

 

—

 

 

 

26,216

 

 

 

26,216

 

 

 

—

 

 

 

28,306

 

 

 

28,306

 

 

 

—

 

 

 

63,750

 

 

 

63,750

 

Insurance commissions

 

 

57,569

 

 

 

—

 

 

 

57,569

 

 

 

53,721

 

 

 

—

 

 

 

53,721

 

 

 

48,511

 

 

 

—

 

 

 

48,511

 

Wealth management

 

 

35,092

 

 

 

—

 

 

 

35,092

 

 

 

35,013

 

 

 

—

 

 

 

35,013

 

 

 

35,190

 

 

 

—

 

 

 

35,190

 

Other, net

 

 

12,887

 

 

 

(1,700

)

 

 

11,187

 

 

 

8,998

 

 

 

844

 

 

 

9,842

 

 

 

6,856

 

 

 

(305

)

 

 

6,551

 

Security gains (losses),
   net

 

 

—

 

 

 

39

 

 

 

39

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total noninterest
   income

 

$

179,408

 

 

$

27,550

 

 

$

206,958

 

 

$

171,410

 

 

$

33,734

 

 

$

205,144

 

 

$

154,738

 

 

$

67,172

 

 

$

221,910

 
(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.
v3.24.0.1
Income Taxes
 12 Months Ended
Dec. 31, 2023
Income Tax Disclosure [Abstract]  
Income Taxes

Note 13 – 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,

 

 

 

2023

 

 

2022

 

 

2021

 

Current

 

 

 

 

 

 

 

 

 

Federal

 

$

29,450

 

 

$

15,377

 

 

$

5,815

 

State

 

 

7,197

 

 

 

3,283

 

 

 

2,118

 

Deferred

 

 

 

 

 

 

 

 

 

Federal

 

 

(3,840

)

 

 

(13,440

)

 

 

16,092

 

State

 

 

(960

)

 

 

(3,360

)

 

 

4,023

 

Income tax provision

 

$

31,847

 

 

$

1,860

 

 

$

28,048

 

 

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,

 

 

 

2023

 

 

2022

 

 

2021

 

Income tax computed at statutory tax rate

 

$

41,441

 

 

$

15,487

 

 

$

36,837

 

Tax exempt interest

 

 

(5,521

)

 

 

(4,419

)

 

 

(3,935

)

Nondeductible interest expense

 

 

2,104

 

 

 

271

 

 

 

106

 

State income taxes, net

 

 

5,686

 

 

 

2,596

 

 

 

1,673

 

Income tax credits, net

 

 

(11,904

)

 

 

(10,071

)

 

 

(10,479

)

Death benefit gains

 

 

(80

)

 

 

(287

)

 

 

(175

)

Other

 

 

121

 

 

 

(1,717

)

 

 

4,021

 

Income tax provision

 

$

31,847

 

 

$

1,860

 

 

$

28,048

 

 

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, 2023 and 2022, which are included in other assets on the accompanying consolidated balance sheets ($ in thousands):

 

 

December 31,

 

 

 

2023

 

 

2022

 

Deferred tax assets:

 

 

 

 

 

 

Litigation losses

 

$

26,647

 

 

$

25,187

 

Other real estate

 

 

1,743

 

 

 

70

 

Accumulated credit losses

 

 

43,473

 

 

 

39,370

 

Deferred compensation

 

 

17,893

 

 

 

17,695

 

Finance and operating lease liabilities

 

 

11,426

 

 

 

10,997

 

Realized built-in losses

 

 

8,429

 

 

 

9,180

 

Securities

 

 

68,223

 

 

 

84,813

 

Pension and other postretirement benefit plans

 

 

2,025

 

 

 

1,931

 

Interest on nonaccrual loans

 

 

1,218

 

 

 

1,159

 

LHFS

 

 

777

 

 

 

205

 

Stock-based compensation

 

 

3,196

 

 

 

2,647

 

Derivatives

 

 

2,993

 

 

 

5,056

 

Other

 

 

10,543

 

 

 

10,038

 

Gross deferred tax asset

 

 

198,586

 

 

 

208,348

 

 

 

 

 

 

 

 

Deferred tax liabilities:

 

 

 

 

 

 

Goodwill and other identifiable intangibles

 

 

14,297

 

 

 

14,378

 

Premises and equipment

 

 

17,382

 

 

 

15,978

 

Finance and operating lease right-of-use assets

 

 

10,420

 

 

 

10,209

 

MSR

 

 

26,271

 

 

 

24,452

 

Securities

 

 

3,181

 

 

 

2,069

 

Other

 

 

2,264

 

 

 

2,876

 

Gross deferred tax liability

 

 

73,815

 

 

 

69,962

 

Net deferred tax asset

 

$

124,771

 

 

$

138,386

 

 

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

 

 

 

December 31,

 

 

 

2023

 

 

2022

 

 

2021

 

Balance at beginning of period

 

$

2,316

 

 

$

2,129

 

 

$

1,781

 

Change due to tax positions taken during the current year

 

 

1,333

 

 

 

653

 

 

 

412

 

Change due to tax positions taken during a prior year

 

 

(426

)

 

 

(266

)

 

 

107

 

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

 

 

(359

)

 

 

(200

)

 

 

(171

)

Balance at end of period

 

$

2,864

 

 

$

2,316

 

 

$

2,129

 

 

 

 

 

 

 

 

 

 

 

Accrued interest, net of federal benefit

 

$

470

 

 

$

489

 

 

$

419

 

 

 

 

 

 

 

 

 

 

 

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

 

$

2,518

 

 

$

1,948

 

 

$

1,766

 

 

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 2017 and earlier tax years. Trustmark does not anticipate a significant change to the total amount of unrecognized tax benefits within the next twelve months.
v3.24.0.1
Defined Benefit and Other Postretirement Benefits
 12 Months Ended
Dec. 31, 2023
Retirement Benefits [Abstract]  
Defined Benefit and Other Postretirement Benefits

Note 14 – 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,

 

 

 

2023

 

 

2022

 

Change in benefit obligation:

 

 

 

 

 

 

Benefit obligation, beginning of year

 

$

6,907

 

 

$

8,647

 

Service cost

 

 

52

 

 

 

115

 

Interest cost

 

 

292

 

 

 

192

 

Actuarial (gain) loss

 

 

164

 

 

 

(1,882

)

Benefits paid

 

 

(1,492

)

 

 

(165

)

Benefit obligation, end of year

 

$

5,923

 

 

$

6,907

 

 

 

 

 

 

 

 

Change in plan assets:

 

 

 

 

 

 

Fair value of plan assets, beginning of year

 

$

2,907

 

 

$

2,900

 

Actual return on plan assets

 

 

237

 

 

 

(285

)

Employer contributions

 

 

751

 

 

 

457

 

Benefit payments

 

 

(1,492

)

 

 

(165

)

Fair value of plan assets, end of year

 

$

2,403

 

 

$

2,907

 

 

 

 

 

 

 

 

Funded status at end of year - net liability

 

$

(3,520

)

 

$

(4,000

)

 

 

 

 

 

 

 

Amounts recognized in accumulated other comprehensive loss:

 

 

 

 

 

 

Net (gain) loss - amount recognized

 

$

(262

)

 

$

(271

)

 

 

 

 

 

 

 

Actuarial (gain) loss included in benefit obligation:

 

 

 

 

 

 

Change in discount rate

 

$

124

 

 

$

(2,174

)

Change in mortality table

 

 

(38

)

 

 

—

 

Other

 

 

78

 

 

 

292

 

Actuarial (gain) loss

 

$

164

 

 

$

(1,882

)

 

 

 

Years Ended December 31,

 

 

 

2023

 

 

2022

 

 

2021

 

Net periodic benefit cost:

 

 

 

 

 

 

 

 

 

Service cost

 

$

52

 

 

$

115

 

 

$

252

 

Interest cost

 

 

292

 

 

 

192

 

 

 

173

 

Expected return on plan assets

 

 

(107

)

 

 

(121

)

 

 

(130

)

Recognized net loss due to lump sum settlements

 

 

25

 

 

 

—

 

 

 

183

 

Recognized net actuarial loss

 

 

—

 

 

 

224

 

 

 

594

 

Net periodic benefit cost

 

$

262

 

 

$

410

 

 

$

1,072

 

 

 

 

 

 

 

 

 

 

 

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)

 

$

9

 

 

$

(1,699

)

 

$

(1,136

)

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

 

$

271

 

 

$

(1,289

)

 

$

(64

)

 

 

 

 

 

 

 

 

 

 

Weighted-average assumptions as of end of year:

 

 

 

 

 

 

 

 

 

Discount rate for benefit obligation

 

 

4.67

%

 

 

4.88

%

 

 

2.41

%

Discount rate for net periodic benefit cost

 

 

4.88

%

 

 

2.41

%

 

 

1.95

%

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, 2023 and 2022.

 

 

December 31,

 

 

 

2023

 

 

2022

 

Money market fund

 

 

27.0

%

 

 

7.0

%

Exchange traded funds:

 

 

 

 

 

 

Equity securities

 

 

36.0

%

 

 

47.0

%

Fixed income

 

 

28.0

%

 

 

39.0

%

International

 

 

9.0

%

 

 

7.0

%

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, 2023 and 2022 ($ in thousands):

 

 

December 31, 2023

 

 

 

Total

 

 

Level 1

 

 

Level 2

 

 

Level 3

 

Money market fund

 

$

643

 

 

$

643

 

 

$

—

 

 

$

—

 

Exchange traded funds:

 

 

 

 

 

 

 

 

 

 

 

 

Equity securities

 

 

861

 

 

 

861

 

 

 

—

 

 

 

—

 

Fixed income

 

 

690

 

 

 

690

 

 

 

—

 

 

 

—

 

International

 

 

209

 

 

 

209

 

 

 

—

 

 

 

—

 

Total assets at fair value

 

$

2,403

 

 

$

2,403

 

 

$

—

 

 

$

—

 

 

 

 

December 31, 2022

 

 

 

Total

 

 

Level 1

 

 

Level 2

 

 

Level 3

 

Money market fund

 

$

203

 

 

$

203

 

 

$

—

 

 

$

—

 

Exchange traded funds:

 

 

 

 

 

 

 

 

 

 

 

 

Equity securities

 

 

1,379

 

 

 

1,379

 

 

 

—

 

 

 

—

 

Fixed income

 

 

1,135

 

 

 

1,135

 

 

 

—

 

 

 

—

 

International

 

 

190

 

 

 

190

 

 

 

—

 

 

 

—

 

Total assets at fair value

 

$

2,907

 

 

$

2,907

 

 

$

—

 

 

$

—

 

 

There have been no changes in the methodologies used in estimating the fair value of plan assets at December 31, 2023. 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, 2023, Trustmark’s minimum required contribution to the Continuing Plan was $154 thousand and Trustmark contributed $609 thousand. For the plan year ending December 31, 2024, Trustmark’s minimum required contribution to the Continuing Plan is expected to be $128 thousand. Management and the Board of Directors of Trustmark will monitor the Continuing Plan throughout 2024 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

 

2024

 

$

1,312

 

2025

 

 

682

 

2026

 

 

701

 

2027

 

 

724

 

2028

 

 

428

 

2029 - 2033

 

 

1,396

 

 

No net gain or loss is expected to be recognized as components of net periodic benefit cost during 2024 in accumulated other comprehensive income (loss).

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,

 

 

 

2023

 

 

2022

 

Change in benefit obligation:

 

 

 

 

 

 

Benefit obligation, beginning of year

 

$

43,201

 

 

$

55,035

 

Service cost

 

 

69

 

 

 

71

 

Interest cost

 

 

2,013

 

 

 

1,278

 

Actuarial (gain) loss

 

 

763

 

 

 

(9,195

)

Benefits paid

 

 

(4,427

)

 

 

(3,988

)

Benefit obligation, end of year

 

$

41,619

 

 

$

43,201

 

Change in plan assets:

 

 

 

 

 

 

Fair value of plan assets, beginning of year

 

$

—

 

 

$

—

 

Employer contributions

 

 

4,427

 

 

 

3,988

 

Benefit payments

 

 

(4,427

)

 

 

(3,988

)

Fair value of plan assets, end of year

 

$

—

 

 

$

—

 

 

 

 

 

 

 

 

Funded status at end of year - net liability

 

$

(41,619

)

 

$

(43,201

)

 

 

 

 

 

 

 

Amounts recognized in accumulated other comprehensive loss:

 

 

 

 

 

 

Net loss

 

$

8,235

 

 

$

7,756

 

Prior service cost

 

 

126

 

 

 

237

 

Amounts recognized

 

$

8,361

 

 

$

7,993

 

 

 

 

 

 

 

 

Actuarial (gain) loss included in benefit obligation:

 

 

 

 

 

 

Change in discount rate

 

$

649

 

 

$

(9,803

)

Change in mortality table

 

 

(308

)

 

 

—

 

Other

 

 

422

 

 

 

608

 

Actuarial (gain) loss

 

$

763

 

 

$

(9,195

)

 

 

 

Years Ended December 31,

 

 

 

2023

 

 

2022

 

 

2021

 

Net periodic benefit cost:

 

 

 

 

 

 

 

 

 

Service cost

 

$

69

 

 

$

71

 

 

$

75

 

Interest cost

 

 

2,013

 

 

 

1,278

 

 

 

1,125

 

Amortization of prior service cost

 

 

111

 

 

 

111

 

 

 

111

 

Recognized net actuarial loss

 

 

284

 

 

 

986

 

 

 

1,192

 

Net periodic benefit cost

 

$

2,477

 

 

$

2,446

 

 

$

2,503

 

 

 

 

 

 

 

 

 

 

 

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

 

 

 

 

 

 

 

 

 

Net (gain) loss

 

$

479

 

 

$

(10,181

)

 

$

(3,549

)

Amortization of prior service cost

 

 

(111

)

 

 

(111

)

 

 

(111

)

Total recognized in other comprehensive income (loss)

 

$

368

 

 

$

(10,292

)

 

$

(3,660

)

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

 

$

2,845

 

 

$

(7,846

)

 

$

(1,157

)

 

 

 

 

 

 

 

 

 

 

Weighted-average assumptions as of end of year:

 

 

 

 

 

 

 

 

 

Discount rate for benefit obligation

 

 

4.67

%

 

 

4.88

%

 

 

2.41

%

Discount rate for net periodic benefit cost

 

 

4.88

%

 

 

2.41

%

 

 

1.95

%

 

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

 

2024

 

$

3,997

 

2025

 

 

3,871

 

2026

 

 

3,825

 

2027

 

 

3,641

 

2028

 

 

3,520

 

2029 - 2033

 

 

16,051

 

 

Amounts in accumulated other comprehensive income (loss) expected to be recognized as components of net periodic benefit cost during 2024 include a loss of $346 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 eligible compensation, 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, subject to the IRS maximum eligible compensation. Associates are automatically enrolled in the plan at 3% of eligible compensation unless they opt out within 60 days of employment. Associates may become eligible to make elective deferral contributions the first of the month following one month of employment. Eligible associates that elect to participate vest immediately in Trustmark’s matching contributions. Trustmark’s contributions to this plan were $10.8 million in 2023, $10.2 million in 2022 and $9.9 million in 2021.
v3.24.0.1
Stock and Incentive Compensation Plans
 12 Months Ended
Dec. 31, 2023
Share-Based Payment Arrangement [Abstract]  
Stock and Incentive Compensation Plans

Note 15 – Stock and Incentive Compensation Plans

Trustmark has granted restricted stock units subject to the provisions of the Stock and Incentive Compensation Plan (the Stock Plan). Current outstanding and future grants of restricted stock units 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, 2023, the maximum number of shares of Trustmark’s common stock available for issuance under the Stock Plan was 777,264 shares.

Restricted Stock Grants

Performance Units

Trustmark’s performance units vest over three years and are granted to Trustmark’s executive and senior management teams. Performance units granted vest based on performance goals of return on average tangible equity and total shareholder return. Performance units 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 units are recognized using the straight-line method over the requisite service period. These units provide for achievement units if performance measures exceed 100%. The restricted stock agreement for these units provide for dividend privileges, but no voting rights.

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

 

 

 

Years Ended December 31,

 

 

 

2023

 

 

2022

 

 

2021

 

 

 

 

 

 

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

 

 

148,416

 

 

$

31.63

 

 

 

140,821

 

 

$

31.80

 

 

 

145,042

 

 

$

32.43

 

Granted

 

 

70,666

 

 

 

29.78

 

 

 

60,773

 

 

 

32.64

 

 

 

53,273

 

 

 

30.02

 

Released from restriction

 

 

(39,943

)

 

 

31.98

 

 

 

(19,723

)

 

 

33.40

 

 

 

(44,536

)

 

 

31.88

 

Forfeited

 

 

(4,925

)

 

 

31.41

 

 

 

(33,455

)

 

 

33.11

 

 

 

(12,958

)

 

 

31.28

 

Nonvested shares, end of year

 

 

174,214

 

 

$

30.81

 

 

 

148,416

 

 

$

31.63

 

 

 

140,821

 

 

$

31.80

 

 

 

Time-based Units

Trustmark’s time-based units granted to Trustmark’s executive and senior management teams vest over three years. Trustmark’s time-based units granted to members of Trustmark’s Board of Directors vest over one year. Time-based units are valued utilizing the fair value of Trustmark’s stock at the grant date. These units are recognized on the straight-line method over the requisite service period. The restricted stock agreement for these units provide for dividend privileges, but no voting rights.

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

 

 

 

Years Ended December 31,

 

 

 

2023

 

 

2022

 

 

2021

 

 

 

 

 

 

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

 

 

312,978

 

 

$

30.99

 

 

 

337,466

 

 

$

31.18

 

 

 

301,619

 

 

$

32.24

 

Granted

 

 

145,003

 

 

 

28.59

 

 

 

133,307

 

 

 

31.85

 

 

 

180,847

 

 

 

29.85

 

Released from restriction

 

 

(90,587

)

 

 

30.90

 

 

 

(148,905

)

 

 

32.16

 

 

 

(135,120

)

 

 

31.77

 

Forfeited

 

 

(9,142

)

 

 

30.72

 

 

 

(8,890

)

 

 

31.62

 

 

 

(9,880

)

 

 

31.19

 

Nonvested shares, end of year

 

 

358,252

 

 

$

30.04

 

 

 

312,978

 

 

$

30.99

 

 

 

337,466

 

 

$

31.18

 

 

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

 

 

 

 

 

 

 

 

 

 

 

At December 31, 2023

 

 

 

Recognized Compensation Expense

 

 

Unrecognized

 

 

Weighted Average

 

 

 

for Years Ended December 31,

 

 

Compensation

 

 

Life of Unrecognized

 

 

 

2023

 

 

2022

 

 

2021

 

 

Expense

 

 

Compensation Expense

 

Performance awards

 

$

1,772

 

 

$

1,258

 

 

$

828

 

 

$

2,021

 

 

 

1.69

 

Time-based awards

 

 

4,383

 

 

 

3,625

 

 

 

4,773

 

 

 

3,005

 

 

 

1.58

 

Total

 

$

6,155

 

 

$

4,883

 

 

$

5,601

 

 

$

5,026

 

 

 

 
v3.24.0.1
Commitments and Contingencies
 12 Months Ended
Dec. 31, 2023
Commitments and Contingencies Disclosure [Abstract]  
Commitments and Contingencies

Note 16 – 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, 2023 and 2022, Trustmark had unused commitments to extend credit of $4.907 billion and $5.472 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, 2023 and 2022, Trustmark’s maximum exposure to credit loss in the event of nonperformance by the other party for letters of credit was $125.4 million and $144.1 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, 2023 and 2022, the fair value of collateral held was $31.4 million and $15.4 million, respectively.

ACL on Off-Balance Sheet Credit Exposures

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 sheets.

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

 

 

 

Years Ended December 31,

 

 

 

2023

 

 

2022

 

 

2021

 

Balance at beginning of period

 

$

36,838

 

 

$

35,623

 

 

$

38,572

 

PCL, off-balance sheet credit exposures

 

 

(2,781

)

 

 

1,215

 

 

 

(2,949

)

Balance at end of period

 

$

34,057

 

 

$

36,838

 

 

$

35,623

 

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, 2023 was primarily due to decreases in unfunded commitments for the construction, land development and other land portfolio and other construction loan portfolio. The increase in the ACL on off-balance sheet credit exposures for the year ended December 31, 2022 was primarily due to the overall increase in the total reserve rates applied to off-balance sheet credit exposures as a result of the weakening in the macroeconomic forecasts and an increase in unfunded balances.

Legal Proceedings

As previously announced, on December 31, 2022, Trustmark National Bank (TNB) agreed to a settlement in principle (the Stanford Settlement) relating to litigation involving the Stanford Financial Group. On January 13, 2023, TNB entered into a Settlement Agreement (the Stanford Settlement Agreement) reflecting the terms of the Stanford Settlement. The parties to the Stanford Settlement Agreement are, on the one hand, (i) Ralph S. Janvey, solely in his capacity as the court-appointed receiver (the Stanford Receiver) for the Stanford Receivership Estate; (ii) the Official Stanford Investors Committee; (iii) each of the plaintiffs in the Rotstain and Smith Actions; and, on the other hand, (iv) TNB. Under the terms of the Stanford Settlement Agreement, the parties agreed to settle and dismiss the Rotstain Action, the Smith Action, and all current or future claims by plaintiffs in either such Action arising from or related to Stanford. In addition, the Stanford Settlement Agreement provided that the parties would request dismissal of the Jackson Action pursuant to the terms of the bar orders described below. The Court’s approval of the Stanford Settlement Agreement, including the bar orders described below, has occurred and has been upheld on appeal, as described below. As a result, pursuant to the Stanford Settlement, TNB made a one-time cash payment of $100.0 million to the Stanford Receiver on February 2, 2024.

The Stanford Settlement Agreement included the parties’ agreement to seek the Northern District of Texas District Court’s entry of bar orders prohibiting any continued or future claims by the plaintiffs in the Actions or by any other person or entity against TNB and its related parties relating to Stanford, whether asserted to date or not. The bar orders prohibit all litigation relating to Stanford described herein, including not only the Actions and any pending matters but also any actions that may be brought in the future. Final Court approval of these bar orders was a condition of the Stanford Settlement.

The Stanford Settlement Agreement was also subject to notice to Stanford’s investor claimants (which has been provided) and final, non-appealable approval by the U.S. District Court for the Northern District of Texas (which has occurred).

The Stanford Settlement Agreement also provides that TNB denies and makes no admission of liability or wrongdoing in connection with any Stanford matter. As has been the case throughout the pendency of the Actions, TNB expressly denies any liability or wrongdoing with respect to any matter alleged in regard to the multi-billion dollar Ponzi scheme operated by Stanford for almost 20 years. TNB’s relationship with Stanford began as a result of TNB’s acquisition of a Houston-based bank in August 2006, and consisted of ordinary banking services provided to business deposit customers.

The foregoing description of the terms of the Stanford Settlement Agreement does not purport to be complete and is qualified in its entirety by reference to the full text of the Stanford Settlement Agreement, a copy of which is filed as Exhibit 10.ai to the 2022 Annual Report and is incorporated herein by reference.

On January 20, 2023, the U.S. District Court for the Northern District of Texas entered an order preliminarily finding that the Stanford Settlement is fair, reasonable, and equitable; has no obvious deficiencies; and is the product of serious, informed, good faith, and arm’s-length negotiations. Following the provision of notice as required by the Stanford Settlement Agreement and by the Court’s preliminary order, the Court (Judge David C. Godbey, presiding) held a Final Approval Hearing on May 3, 2023, at which the Court approved the Stanford Settlement from the bench. On May 4, 2023, Judge Godbey signed the written orders confirming his oral ruling, including the bar order contemplated by the Stanford Settlement Agreement and the judgment and bar order with respect to the Jackson Action.

On May 10, 2023, Robert Allen Stanford, writing from prison, appealed the District Court’s approval of the Stanford Settlement to the Fifth Circuit Court of Appeals. On June 12, 2023, the Stanford Receiver moved to dismiss the appeal as frivolous. On July 25, 2023, a three-judge panel of the Fifth Circuit issued a per curiam order dismissing Stanford’s appeal as frivolous. In July and August 2023, Mr. Stanford filed, then subsequently withdrew, a motion seeking panel rehearing of the Fifth Circuit’s July 25, 2023, decision.

When Stanford’s deadline to appeal the Fifth Circuit’s ruling to the Supreme Court of the United States passed without his filing a petition for certiorari, the trial court’s ruling approving the Stanford Settlement and entering the bar orders became final and non-appealable, as defined in the Stanford Settlement Agreement (the Stanford Settlement Effective Date). On November 14, the parties to the Rotstain and Smith Actions filed agreed dismissals of those cases, which were granted on November 27, 2023 (Smith Action) and December 18, 2023 (Rotstain Action). Those dismissals were final and non-appealable as of December 27, 2023 (Smith Action) and January 17, 2024 (Rotstain Action). Accordingly, pursuant to the Stanford Settlement Agreement, TNB made the settlement payment on February 2, 2024, concluding the Stanford Settlement.

TNB and Trustmark Corporation determined that it was in the best interest of TNB, Trustmark Corporation and the shareholders of Trustmark Corporation to enter into the Stanford Settlement and the Stanford Settlement Agreement to eliminate the risk, ongoing expense, uncertainty as to ultimate outcome, and imposition on management and the business of TNB of further litigation of the Actions and related Stanford claims.

As previously announced, on August 30, 2023, TNB agreed to a settlement in principle (the Adams/Madison Timber Settlement) relating to litigation and claims involving Arthur Lamar Adams and Madison Timber Properties, LLC (collectively, Adams/Madison Timber). On October 9, 2023, TNB entered into a Settlement Agreement (the Adams/Madison Timber Settlement Agreement) reflecting the terms of the Adams/Madison Timber Settlement. The parties to the Adams/Madison Timber Settlement are, on the one hand, Alysson Mills in her capacity as Court-appointed Receiver (the Adams/Madison Timber Receiver); and, on the other hand, TNB. Under the terms of the Adams/Madison Timber Settlement Agreement, the parties agreed to settle and dismiss the Adams/Madison Timber Action, and the Adams/Madison Timber Receiver agreed to fully release all claims against TNB and any of its employees, agents and representatives. The Adams/Madison Timber Settlement included the parties’ agreement to seek the Court’s entry of bar orders prohibiting any continued or future claims by anyone against TNB and its related parties relating to Adams/Madison Timber, whether asserted to date or not. Final Court approval of a bar order was a condition of the Adams/Madison Timber Settlement. On November 14, 2023, the Court entered a Partial Final Judgment and Final Bar Order approving the settlement. The bar order therefore is expected to prohibit all litigation relating to Adams/Madison Timber described herein.

The Adams/Madison Timber Settlement was subject to notice to Adams/Madison Timber investors, and final, non-appealable approval by the Court and entry of a judgment dismissing the Lawsuit against TNB. No investor or other interested parties appealed the bar order before the appeal deadline passed. Accordingly, TNB made the settlement payment to the Adams/Madison Timber Receiver on January 22, 2024, concluding the Adams/Madison Timber Settlement.

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, TNB was not served in connection with. In accordance with FASB ASC Subtopic 450-20, “Loss Contingencies,” TNB will establish an accrued liability for any litigation matter if and when such matter presents loss contingencies that are both probable and reasonably estimable. As a result of the entry into the Stanford Settlement as described above, Trustmark Corporation recognized a $100.0 million litigation settlement expense included in noninterest expense related to the Stanford litigation during the fourth quarter of 2022, plus an additional $750 thousand in related legal fees. As a result of the entry into the Adams/Madison Timber Settlement as described above, Trustmark Corporation recognized a $6.5 million litigation settlement expense included in noninterest expense related to the Adams/Madison Timber litigation during the third quarter of 2023. Trustmark Corporation and TNB will remain substantially above levels considered to be well-capitalized under all relevant standards. At the present time, TNB believes, based on its evaluation and the advice of legal counsel, that a loss in any currently pending legal proceeding other than the settled Stanford and Adams/Madison Timber litigation is not probable and a reasonable estimate cannot reasonably be made.
v3.24.0.1
Shareholders' Equity
 12 Months Ended
Dec. 31, 2023
Stockholders' Equity Note [Abstract]  
Shareholders' Equity

Note 17 – 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 2.5%. 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, 2023, 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, 2023. 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, 2023, 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, 2023 and 2022 ($ in thousands):

 

 

Actual

 

 

 

 

 

 

 

 

 

Regulatory Capital

 

 

Minimum

 

 

To Be Well

 

 

 

Amount

 

 

Ratio

 

 

Requirement

 

 

Capitalized

 

At December 31, 2023:

 

 

 

 

 

 

 

 

 

 

 

 

Common Equity Tier 1 Capital (to Risk Weighted Assets)

 

 

 

 

 

 

 

 

 

 

 

 

Trustmark Corporation

 

$

1,521,665

 

 

 

10.04

%

 

 

7.000

%

 

n/a

 

Trustmark National Bank

 

 

1,602,327

 

 

 

10.58

%

 

 

7.000

%

 

 

6.50

%

 

 

 

 

 

 

 

 

 

 

 

 

 

Tier 1 Capital (to Risk Weighted Assets)

 

 

 

 

 

 

 

 

 

 

 

 

Trustmark Corporation

 

$

1,581,665

 

 

 

10.44

%

 

 

8.500

%

 

n/a

 

Trustmark National Bank

 

 

1,602,327

 

 

 

10.58

%

 

 

8.500

%

 

 

8.00

%

 

 

 

 

 

 

 

 

 

 

 

 

 

Total Capital (to Risk Weighted Assets)

 

 

 

 

 

 

 

 

 

 

 

 

Trustmark Corporation

 

$

1,862,246

 

 

 

12.29

%

 

 

10.500

%

 

n/a

 

Trustmark National Bank

 

 

1,759,426

 

 

 

11.61

%

 

 

10.500

%

 

 

10.00

%

 

 

 

 

 

 

 

 

 

 

 

 

 

Tier 1 Leverage (to Average Assets)

 

 

 

 

 

 

 

 

 

 

 

 

Trustmark Corporation

 

$

1,581,665

 

 

 

8.62

%

 

 

4.00

%

 

n/a

 

Trustmark National Bank

 

 

1,602,327

 

 

 

8.75

%

 

 

4.00

%

 

 

5.00

%

 

 

 

 

 

 

 

 

 

 

 

 

 

At December 31, 2022:

 

 

 

 

 

 

 

 

 

 

 

 

Common Equity Tier 1 Capital (to Risk Weighted Assets)

 

 

 

 

 

 

 

 

 

 

 

 

Trustmark Corporation

 

$

1,413,672

 

 

 

9.74

%

 

 

7.000

%

 

n/a

 

Trustmark National Bank

 

 

1,501,889

 

 

 

10.34

%

 

 

7.000

%

 

 

6.50

%

 

 

 

 

 

 

 

 

 

 

 

 

 

Tier 1 Capital (to Risk Weighted Assets)

 

 

 

 

 

 

 

 

 

 

 

 

Trustmark Corporation

 

$

1,473,672

 

 

 

10.15

%

 

 

8.500

%

 

n/a

 

Trustmark National Bank

 

 

1,501,889

 

 

 

10.34

%

 

 

8.500

%

 

 

8.00

%

 

 

 

 

 

 

 

 

 

 

 

 

 

Total Capital (to Risk Weighted Assets)

 

 

 

 

 

 

 

 

 

 

 

 

Trustmark Corporation

 

$

1,729,499

 

 

 

11.91

%

 

 

10.500

%

 

n/a

 

Trustmark National Bank

 

 

1,634,454

 

 

 

11.26

%

 

 

10.500

%

 

 

10.00

%

 

 

 

 

 

 

 

 

 

 

 

 

 

Tier 1 Leverage (to Average Assets)

 

 

 

 

 

 

 

 

 

 

 

 

Trustmark Corporation

 

$

1,473,672

 

 

 

8.47

%

 

 

4.00

%

 

n/a

 

Trustmark National Bank

 

 

1,501,889

 

 

 

8.65

%

 

 

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 2024, TNB will have available approximately $95.1 million plus its net income for that year to pay as dividends.

Stock Repurchase Program

On January 28, 2020, the Board of Directors of Trustmark authorized a 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. 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 could be acquired through December 31, 2022. Under this authority, Trustmark repurchased approximately 789 thousand shares of its common stock valued at $24.6 million during the twelve months ended December 31, 2022.

On December 6, 2022, Trustmark’s Board of Directors authorized a stock repurchase program effective January 1, 2023, under which $50.0 million of Trustmark’s outstanding shares could be acquired through December 31, 2023. No shares were repurchased under this stock repurchase program.

On December 5, 2023, Trustmark’s Board of Directors authorized a stock repurchase program effective January 1, 2024, under which $50.0 million of Trustmark’s outstanding shares may be acquired through December 31, 2024. The repurchase program, which is subject to market conditions and management discretion, will be implemented through open market repurchases or privately negotiated transactions. No shares have been repurchased under this stock repurchase program.

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, 2023, 2022 and 2021 ($ 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 14 – 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 derivatives are included in interest and fees on LHFS and LHFI in the accompanying consolidated statements of income.

 

 

 

Before Tax

 

 

Tax (Expense)

 

 

Net of Tax

 

 

 

Amount

 

 

Benefit

 

 

Amount

 

Year Ended December 31, 2023

 

 

 

 

 

 

 

 

 

Securities available for sale and transferred securities:

 

 

 

 

 

 

 

 

 

Net unrealized holding gains (losses) arising during the period

 

$

50,537

 

 

$

(12,404

)

 

$

38,133

 

Reclassification adjustment for net (gains) losses realized in net income

 

 

(39

)

 

 

10

 

 

 

(29

)

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

 

 

15,557

 

 

 

(3,889

)

 

 

11,668

 

Total securities available for sale and transferred securities

 

 

66,055

 

 

 

(16,283

)

 

 

49,772

 

Pension and other postretirement benefit plans:

 

 

 

 

 

 

 

 

 

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

 

 

(691

)

 

 

173

 

 

 

(518

)

Reclassification adjustments for changes realized in net income:

 

 

 

 

 

 

 

 

 

Net change in prior service costs

 

 

111

 

 

 

(28

)

 

 

83

 

Recognized net loss due to lump sum settlements

 

 

25

 

 

 

(6

)

 

 

19

 

Change in net actuarial loss

 

 

177

 

 

 

(44

)

 

 

133

 

Total pension and other postretirement benefit plans

 

 

(378

)

 

 

95

 

 

 

(283

)

Cash flow hedge derivatives:

 

 

 

 

 

 

 

 

 

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

 

 

(8,131

)

 

 

2,033

 

 

 

(6,098

)

Reclassification adjustment for (gain) loss realized in net income

 

 

16,385

 

 

 

(4,096

)

 

 

12,289

 

Total cash flow hedge derivatives

 

 

8,254

 

 

 

(2,063

)

 

 

6,191

 

Total other comprehensive income (loss)

 

$

73,931

 

 

$

(18,251

)

 

$

55,680

 

 

 

 

 

 

 

 

 

 

 

Year Ended December 31, 2022

 

 

 

 

 

 

 

 

 

Securities available for sale and transferred securities:

 

 

 

 

 

 

 

 

 

Net unrealized holding gains (losses) arising during the period

 

$

(229,524

)

 

$

57,381

 

 

$

(172,143

)

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

 

 

(86,033

)

 

 

21,508

 

 

 

(64,525

)

Total securities available for sale and transferred securities

 

 

(315,557

)

 

 

78,889

 

 

 

(236,668

)

Pension and other postretirement benefit plans:

 

 

 

 

 

 

 

 

 

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

 

 

10,792

 

 

 

(2,698

)

 

 

8,094

 

Reclassification adjustments for changes realized in net income:

 

 

 

 

 

 

 

 

 

Net change in prior service costs

 

 

111

 

 

 

(28

)

 

 

83

 

Change in net actuarial loss

 

 

1,089

 

 

 

(272

)

 

 

817

 

Total pension and other postretirement benefit plans

 

 

11,992

 

 

 

(2,998

)

 

 

8,994

 

Cash flow hedge derivatives:

 

 

 

 

 

 

 

 

 

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

 

 

(20,685

)

 

 

5,171

 

 

 

(15,514

)

Reclassification adjustment for (gain) loss realized in net income

 

 

460

 

 

 

(115

)

 

 

345

 

Total cash flow hedge derivatives

 

 

(20,225

)

 

 

5,056

 

 

 

(15,169

)

Total other comprehensive income (loss)

 

$

(323,790

)

 

$

80,947

 

 

$

(242,843

)

 

 

 

 

 

 

 

 

 

 

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

)

 

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, 2021

 

$

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

)

Other comprehensive income (loss) before
   reclassification

 

 

(236,668

)

 

 

8,094

 

 

 

(15,514

)

 

 

(244,088

)

Amounts reclassified from accumulated other
   comprehensive income (loss)

 

 

—

 

 

 

900

 

 

 

345

 

 

 

1,245

 

Net other comprehensive income (loss)

 

 

(236,668

)

 

 

8,994

 

 

 

(15,169

)

 

 

(242,843

)

Balance, December 31, 2022

 

 

(254,442

)

 

 

(5,792

)

 

 

(15,169

)

 

 

(275,403

)

Other comprehensive income (loss) before reclassification

 

 

49,801

 

 

 

(518

)

 

 

(6,098

)

 

 

43,185

 

Amounts reclassified from accumulated other
   comprehensive income (loss)

 

 

(29

)

 

 

235

 

 

 

12,289

 

 

 

12,495

 

Net other comprehensive income (loss)

 

 

49,772

 

 

 

(283

)

 

 

6,191

 

 

 

55,680

 

Balance, December 31, 2023

 

$

(204,670

)

 

$

(6,075

)

 

$

(8,978

)

 

$

(219,723

)
v3.24.0.1
Fair Value
 12 Months Ended
Dec. 31, 2023
Fair Value Disclosures [Abstract]  
Fair Value

Note 18 – 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, 2023 and 2022, 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, 2023 and 2022.

 

 

 

December 31, 2023

 

 

 

Total

 

 

Level 1

 

 

Level 2

 

 

Level 3

 

U.S. Treasury securities

 

$

372,368

 

 

$

372,368

 

 

$

—

 

 

$

—

 

U.S. Government agency obligations

 

 

5,792

 

 

 

—

 

 

 

5,792

 

 

 

—

 

Obligations of states and political subdivisions

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Mortgage-backed securities

 

 

1,384,718

 

 

 

—

 

 

 

1,384,718

 

 

 

—

 

Securities available for sale

 

 

1,762,878

 

 

 

372,368

 

 

 

1,390,510

 

 

 

—

 

LHFS

 

 

184,812

 

 

 

—

 

 

 

184,812

 

 

 

—

 

MSR

 

 

131,870

 

 

 

—

 

 

 

—

 

 

 

131,870

 

Other assets - derivatives

 

 

23,316

 

 

 

7,685

 

 

 

14,786

 

 

 

845

 

Other liabilities - derivatives

 

 

35,600

 

 

 

21

 

 

 

35,579

 

 

 

—

 

 

 

 

December 31, 2022

 

 

 

Total

 

 

Level 1

 

 

Level 2

 

 

Level 3

 

U.S. Treasury securities

 

$

391,513

 

 

$

391,513

 

 

$

—

 

 

$

—

 

U.S. Government agency obligations

 

 

7,766

 

 

 

—

 

 

 

7,766

 

 

 

—

 

Obligations of states and political subdivisions

 

 

4,862

 

 

 

—

 

 

 

4,862

 

 

 

—

 

Mortgage-backed securities

 

 

1,619,941

 

 

 

—

 

 

 

1,619,941

 

 

 

—

 

Securities available for sale

 

 

2,024,082

 

 

 

391,513

 

 

 

1,632,569

 

 

 

—

 

LHFS

 

 

135,226

 

 

 

—

 

 

 

135,226

 

 

 

—

 

MSR

 

 

129,677

 

 

 

—

 

 

 

—

 

 

 

129,677

 

Other assets - derivatives

 

 

8,871

 

 

 

54

 

 

 

8,660

 

 

 

157

 

Other liabilities - derivatives

 

 

45,379

 

 

 

474

 

 

 

44,905

 

 

 

—

 

 

The changes in Level 3 assets measured at fair value on a recurring basis for the years ended December 31, 2023 and 2022 are summarized as follows ($ in thousands):

 

 

MSR

 

 

Other Assets -
Derivatives

 

Balance, January 1, 2023

 

$

129,677

 

 

$

157

 

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

 

 

(11,519

)

 

 

2,470

 

Additions

 

 

13,712

 

 

 

—

 

Sales

 

 

—

 

 

 

(1,782

)

Balance, December 31, 2023

 

$

131,870

 

 

$

845

 

 

 

 

 

 

 

 

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, 2023

 

$

(1,489

)

 

$

1,103

 

 

 

 

 

 

 

 

Balance, January 1, 2022

 

$

87,687

 

 

$

1,859

 

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

 

 

24,147

 

 

 

(131

)

Additions

 

 

17,843

 

 

 

—

 

Sales

 

 

—

 

 

 

(1,571

)

Balance, December 31, 2022

 

$

129,677

 

 

$

157

 

 

 

 

 

 

 

 

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, 2022

 

$

38,181

 

 

$

(1,214

)
(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, 2023, 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, 2023, Trustmark had outstanding balances of $49.1 million with a related ACL of $12.4 million in collateral-dependent LHFI, compared to outstanding balances of $40.3 million with a related ACL of $17.7 million in collateral-dependent LHFI at December 31, 2022. 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 $898 thousand were re-measured during 2023, requiring write-downs of $243 thousand to reach their current fair values compared to $3.0 million of foreclosed assets that were re-measured during 2022, requiring write-downs of $1.0 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, 2023 and 2022 were as follows ($ in thousands):

 

 

 

December 31, 2023

 

 

December 31, 2022

 

 

 

Carrying
 Value

 

 

Estimated
Fair Value

 

 

Carrying
Value

 

 

Estimated
Fair Value

 

Financial Assets:

 

 

 

 

 

 

 

 

 

 

 

 

Level 2 Inputs:

 

 

 

 

 

 

 

 

 

 

 

 

Cash and short-term investments

 

$

975,543

 

 

$

975,543

 

 

$

738,787

 

 

$

738,787

 

Securities held to maturity

 

 

1,426,279

 

 

 

1,355,504

 

 

 

1,494,514

 

 

 

1,406,589

 

Level 3 Inputs:

 

 

 

 

 

 

 

 

 

 

 

 

Net LHFI

 

 

12,811,157

 

 

 

12,762,505

 

 

 

12,083,825

 

 

 

11,850,318

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Financial Liabilities:

 

 

 

 

 

 

 

 

 

 

 

 

Level 2 Inputs:

 

 

 

 

 

 

 

 

 

 

 

 

Deposits

 

 

15,569,763

 

 

 

15,553,417

 

 

 

14,437,648

 

 

 

14,404,661

 

Federal funds purchased and securities sold under
   repurchase agreements

 

 

405,745

 

 

 

405,745

 

 

 

449,331

 

 

 

449,331

 

Other borrowings

 

 

483,230

 

 

 

483,226

 

 

 

1,050,938

 

 

 

1,050,932

 

Subordinated notes

 

 

123,482

 

 

 

108,125

 

 

 

123,262

 

 

 

113,125

 

Junior subordinated debt securities

 

 

61,856

 

 

 

46,856

 

 

 

61,856

 

 

 

46,392

 

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, 2023, a net gain of $2.2 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 losses of $3.3 million and $10.3 million, respectively, for the years ended December 31, 2022 and 2021. Interest and fees on LHFS and LHFI for the year ended December 31, 2023 included $7.8 million of interest earned on the LHFS accounted for under the fair value option compared to $6.8 million and $7.0 million for the years ended December 31, 2022 and 2021, 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 $78.8 million and $70.8 million at December 31, 2023 and 2022, 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, 2023 and 2022 ($ in thousands):

 

 

December 31,

 

 

 

2023

 

 

2022

 

Fair value of LHFS

 

$

105,974

 

 

$

64,421

 

LHFS contractual principal outstanding

 

 

102,994

 

 

 

63,427

 

Fair value less unpaid principal

 

$

2,980

 

 

$

994

 
v3.24.0.1
Derivative Financial Instruments
 12 Months Ended
Dec. 31, 2023
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Derivative Financial Instruments

Note 19 – Derivative Financial Instruments

Derivatives Designated as Hedging Instruments

During the third quarter of 2022, Trustmark initiated a cash flow hedging program. Trustmark's objectives in initiating this hedging program were to add stability to interest income and to manage its exposure to interest rate movements. Interest rate swaps designated as cash flow hedges involve the receipt of fixed-rate amounts from a counterparty in exchange for Trustmark making variable-rate

payments over the life of the agreements without exchange of the underlying notional amount. Interest rate floor spreads designated as cash flow hedges involve the receipt of variable-rate amounts if interest rates fall below the purchased floor strike rate on the contract and payments of variable-rate amounts if interest rates fall below the sold floor strike rate on the contract. Trustmark uses such derivatives to hedge the variable cash flows associated with existing and anticipated variable-rate loan assets. At December 31, 2023, the aggregate notional value of Trustmark's interest rate swaps and floor spreads designated as cash flow hedges totaled $1.125 billion compared to $825.0 million at December 31, 2022.

Trustmark records any gains or losses on these cash flow hedges in accumulated other comprehensive income (loss). Gains and losses on derivatives representing hedge components excluded from the assessment of effectiveness are recognized over the life of the hedge on a systematic and rational basis, as documented at hedge inception in accordance with Trustmark’s accounting policy election. The earnings recognition of excluded components totaled $57 thousand of amortization expense for the year ended 2023 and is included in interest and fees on LHFS and LHFI. As interest payments are received on Trustmark's variable-rate assets, amounts reported in accumulated other comprehensive income (loss) are reclassified into interest and fees on LHFS and LHFI in the accompanying consolidated statements of income during the same period. During the next twelve months, Trustmark estimates that $13.2 million will be reclassified as a reduction to interest and fees on LHFS and LHFI. This amount could differ due to changes in interest rates, hedge de-designations or the addition of other hedges.

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 $285.0 million at December 31, 2023 compared to $277.0 million at December 31, 2022. 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 negative ineffectiveness of $6.3 million and a net negative ineffectiveness of $4.1 million for the years ended December 31, 2023 and 2022, respectively, compared a net positive ineffectiveness of $2.5 million for the year ended December 31, 2021.

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 $109.5 million at December 31, 2023, with a negative valuation adjustment of $994 thousand, compared to $97.0 million at December 31, 2022, with a positive valuation adjustment of $168 thousand.

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 $61.9 million at December 31, 2023, with a positive valuation adjustment of $845 thousand, compared to $68.4 million at December 31, 2022, with a positive valuation adjustment of $157 thousand.

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 offsetting interest rate swap transactions are either cleared through the Chicago Mercantile Exchange for clearable transactions or booked directly with institutional derivatives market participants for non-clearable transactions. 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, 2023, Trustmark had interest rate swaps with an aggregate notional amount of $1.500 billion related to this program, compared to $1.391 billion at December 31, 2022.

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, 2023, 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 $1.4 million compared to none at December 31, 2022. At December 31, 2023 and 2022, Trustmark had posted collateral of $2.0 million and $740 thousand, respectively, 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, 2023, 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, 2023, Trustmark had entered into six risk participation agreements as a beneficiary with an aggregate notional amount of $40.1 million compared to five risk participation agreements as a beneficiary with an aggregate notional amount of $50.2 million at December 31, 2022. At December 31, 2023, Trustmark had entered into thirty-five risk participation agreements as a guarantor with aggregate notional amounts of $304.7 million compared to twenty-nine risk participation agreements as a guarantor with aggregate notional amounts of $235.8 million at December 31, 2022. The aggregate fair values of these risk participation agreements were immaterial at December 31, 2023 and 2022.

Tabular Disclosures

The following tables disclose the fair value of derivative instruments in Trustmark’s consolidated balance sheets at December 31, 2023 and 2022 as well as the effect of these derivative instruments on Trustmark’s results of operations for the periods presented ($ in thousands):

 

 

December 31,

 

 

 

2023

 

 

2022

 

Derivatives in hedging relationships

 

 

 

 

 

 

Interest rate contracts:

 

 

 

 

 

 

Interest rate swaps included in other assets (1)

 

$

1,182

 

 

$

—

 

Interest rate floors included in other assets

 

 

1,689

 

 

 

—

 

Interest rate swaps included in other liabilities (1)

 

 

267

 

 

 

761

 

 

 

 

 

 

 

 

Derivatives not designated as hedging instruments

 

 

 

 

 

 

Interest rate contracts:

 

 

 

 

 

 

Exchange traded purchased options included in other assets

 

$

180

 

 

$

38

 

OTC written options (rate locks) included in other assets

 

 

845

 

 

 

157

 

Futures contracts included in other assets

 

 

7,505

 

 

 

16

 

Interest rate swaps included in other assets (1)

 

 

11,910

 

 

 

8,654

 

Credit risk participation agreements included in other assets

 

 

5

 

 

 

6

 

Futures contracts included in other liabilities

 

 

—

 

 

 

268

 

Forward contracts included in other liabilities

 

 

994

 

 

 

(168

)

Exchange traded written options included in other liabilities

 

 

21

 

 

 

206

 

Interest rate swaps included in other liabilities (1)

 

 

34,255

 

 

 

44,304

 

Credit risk participation agreements included in other liabilities

 

 

63

 

 

 

8

 
(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,

 

 

 

2023

 

 

2022

 

 

2021

 

Derivatives in hedging relationships

 

 

 

 

 

 

 

 

 

Amount of gain (loss) reclassified from accumulated other
comprehensive income (loss) and recognized in interest
and fees on LHFS & LHFI

 

$

(16,385

)

 

$

(460

)

 

$

—

 

 

 

 

 

 

 

 

 

 

 

Derivatives not designated as hedging instruments

 

 

 

 

 

 

 

 

 

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

 

$

(5,281

)

 

$

(43,764

)

 

$

(15,436

)

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

 

 

271

 

 

 

403

 

 

 

1,649

 

 

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,

 

 

 

2023

 

 

2022

 

 

2021

 

Derivatives in cash flow hedging relationship

 

 

 

 

 

 

 

 

 

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

 

$

(6,098

)

 

$

(15,514

)

 

$

—

 

 

Information about financial instruments that are eligible for offset in the consolidated balance sheets at December 31, 2023 and 2022 is presented in the following tables ($ in thousands):

 

Offsetting of Derivative Assets

 

As of December 31, 2023

 

 

 

 

 

 

 

 

 

 

 

 

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

 

$

14,781

 

 

$

—

 

 

$

14,781

 

 

$

(4,339

)

 

$

—

 

 

$

10,442

 

 

Offsetting of Derivative Liabilities

 

As of December 31, 2023

 

 

 

 

 

 

 

 

 

 

 

 

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

 

$

34,522

 

 

$

—

 

 

$

34,522

 

 

$

(4,339

)

 

$

(2,040

)

 

$

28,143

 

 

Offsetting of Derivative Assets

 

As of December 31, 2022

 

 

 

 

 

 

 

 

 

 

 

 

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

 

$

9,415

 

 

$

—

 

 

$

9,415

 

 

$

—

 

 

$

(2,230

)

 

$

7,185

 

 

Offsetting of Derivative Liabilities

 

As of December 31, 2022

 

 

 

 

 

 

 

 

 

 

 

 

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

 

$

44,304

 

 

$

—

 

 

$

44,304

 

 

$

—

 

 

$

(740

)

 

$

43,564

 
v3.24.0.1
Segment Information
 12 Months Ended
Dec. 31, 2023
Segment Reporting [Abstract]  
Segment Information

Note 20 – 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,

 

 

 

2023

 

 

2022

 

 

2021

 

General Banking

 

 

 

 

 

 

 

 

 

Net interest income

 

$

547,010

 

 

$

489,398

 

 

$

413,201

 

PCL

 

 

26,716

 

 

 

22,913

 

 

 

(24,439

)

Noninterest income

 

 

113,497

 

 

 

116,350

 

 

 

137,874

 

Noninterest expense

 

 

463,496

 

 

 

531,397

 

 

 

421,561

 

Income before income taxes

 

 

170,295

 

 

 

51,438

 

 

 

153,953

 

Income taxes

 

 

25,091

 

 

 

(3,683

)

 

 

22,706

 

General banking net income

 

$

145,204

 

 

$

55,121

 

 

$

131,247

 

 

 

 

 

 

 

 

 

 

 

Selected Financial Information

 

 

 

 

 

 

 

 

 

Total assets

 

$

18,440,198

 

 

$

17,710,673

 

 

$

17,275,438

 

Depreciation and amortization

 

$

34,924

 

 

$

38,909

 

 

$

44,776

 

 

 

 

 

 

 

 

 

 

 

Wealth Management

 

 

 

 

 

 

 

 

 

Net interest income

 

$

5,879

 

 

$

5,321

 

 

$

5,161

 

PCL

 

 

(2,135

)

 

 

(21

)

 

 

(9

)

Noninterest income

 

 

34,936

 

 

 

35,072

 

 

 

35,420

 

Noninterest expense

 

 

32,339

 

 

 

32,873

 

 

 

31,721

 

Income before income taxes

 

 

10,611

 

 

 

7,541

 

 

 

8,869

 

Income taxes

 

 

2,653

 

 

 

1,870

 

 

 

2,219

 

Wealth Management net income

 

$

7,958

 

 

$

5,671

 

 

$

6,650

 

 

 

 

 

 

 

 

 

 

 

Selected Financial Information

 

 

 

 

 

 

 

 

 

Total assets

 

$

185,342

 

 

$

214,313

 

 

$

232,997

 

Depreciation and amortization

 

$

261

 

 

$

288

 

 

$

269

 

 

 

 

 

 

 

 

 

 

 

Insurance

 

 

 

 

 

 

 

 

 

Net interest income

 

$

(11

)

 

$

(11

)

 

$

(11

)

Noninterest income

 

 

58,525

 

 

 

53,722

 

 

 

48,616

 

Noninterest expense

 

 

42,084

 

 

 

38,943

 

 

 

36,014

 

Income before income taxes

 

 

16,430

 

 

 

14,768

 

 

 

12,591

 

Income taxes

 

 

4,103

 

 

 

3,673

 

 

 

3,123

 

Insurance net income

 

$

12,327

 

 

$

11,095

 

 

$

9,468

 

 

 

 

 

 

 

 

 

 

 

Selected Financial Information

 

 

 

 

 

 

 

 

 

Total assets

 

$

96,649

 

 

$

90,492

 

 

$

87,201

 

Depreciation and amortization

 

$

571

 

 

$

685

 

 

$

768

 

 

 

 

 

 

 

 

 

 

 

Consolidated

 

 

 

 

 

 

 

 

 

Net interest income

 

$

552,878

 

 

$

494,708

 

 

$

418,351

 

PCL

 

 

24,581

 

 

 

22,892

 

 

 

(24,448

)

Noninterest income

 

 

206,958

 

 

 

205,144

 

 

 

221,910

 

Noninterest expense

 

 

537,919

 

 

 

603,213

 

 

 

489,296

 

Income before income taxes

 

 

197,336

 

 

 

73,747

 

 

 

175,413

 

Income taxes

 

 

31,847

 

 

 

1,860

 

 

 

28,048

 

Consolidated net income

 

$

165,489

 

 

$

71,887

 

 

$

147,365

 

 

 

 

 

 

 

 

 

 

 

Selected Financial Information

 

 

 

 

 

 

 

 

 

Total assets

 

$

18,722,189

 

 

$

18,015,478

 

 

$

17,595,636

 

Depreciation and amortization

 

$

35,756

 

 

$

39,882

 

 

$

45,813

 
v3.24.0.1
Parent Company Only Financial Information
 12 Months Ended
Dec. 31, 2023
Condensed Financial Information Disclosure [Abstract]  
Parent Company Only Financial Information

Note 21 – Parent Company Only Financial Information

($ in thousands)

 

Condensed Balance Sheets

 

December 31,

 

 

 

2023

 

 

2022

 

Assets:

 

 

 

 

 

 

Investment in banks

 

$

1,770,392

 

 

$

1,602,169

 

Other assets

 

 

77,901

 

 

 

76,325

 

Total Assets

 

$

1,848,293

 

 

$

1,678,494

 

 

 

 

 

 

 

 

Liabilities and Shareholders' Equity:

 

 

 

 

 

 

Accrued expense

 

$

1,108

 

 

$

1,108

 

Subordinated notes

 

 

123,482

 

 

 

123,262

 

Junior subordinated debt securities

 

 

61,856

 

 

 

61,856

 

Shareholders' equity

 

 

1,661,847

 

 

 

1,492,268

 

Total Liabilities and Shareholders' Equity

 

$

1,848,293

 

 

$

1,678,494

 

 

Condensed Statements of Income

 

Years Ended December 31,

 

 

 

2023

 

 

2022

 

 

2021

 

Revenue:

 

 

 

 

 

 

 

 

 

Dividends received from banks

 

$

67,189

 

 

$

89,733

 

 

$

45,284

 

Earnings of subsidiaries over distributions

 

 

106,388

 

 

 

(11,269

)

 

 

108,141

 

Other income

 

 

163

 

 

 

94

 

 

 

95

 

Total Revenue

 

 

173,740

 

 

 

78,558

 

 

 

153,520

 

Expense:

 

 

 

 

 

 

 

 

 

Other expense

 

 

8,251

 

 

 

6,671

 

 

 

6,155

 

Total Expense

 

 

8,251

 

 

 

6,671

 

 

 

6,155

 

Net Income

 

$

165,489

 

 

$

71,887

 

 

$

147,365

 

 

Condensed Statements of Cash Flows

 

Years Ended December 31,

 

 

 

2023

 

 

2022

 

 

2021

 

Operating Activities:

 

 

 

 

 

 

 

 

 

Net income

 

$

165,489

 

 

$

71,887

 

 

$

147,365

 

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

 

 

 

 

 

 

 

 

 

Net change in investment in subsidiaries

 

 

(106,388

)

 

 

11,269

 

 

 

(108,141

)

Other

 

 

(797

)

 

 

(1,550

)

 

 

(2,078

)

Net cash from operating activities

 

 

58,304

 

 

 

81,606

 

 

 

37,146

 

 

 

 

 

 

 

 

 

 

 

Financing Activities:

 

 

 

 

 

 

 

 

 

Common stock dividends

 

 

(56,653

)

 

 

(56,679

)

 

 

(58,085

)

Repurchase and retirement of common stock

 

 

—

 

 

 

(24,604

)

 

 

(61,799

)

Net cash from financing activities

 

 

(56,653

)

 

 

(81,283

)

 

 

(119,884

)

Net change in cash and cash equivalents

 

 

1,651

 

 

 

323

 

 

 

(82,738

)

Cash and cash equivalents at beginning of year

 

 

75,860

 

 

 

75,537

 

 

 

158,275

 

Cash and cash equivalents at end of year

 

$

77,511

 

 

$

75,860

 

 

$

75,537

 

 

Trustmark paid income taxes of approximately $38.8 million in 2023, $2.7 million in 2022 and $15.3 million in 2021. Trustmark (parent company only) paid interest of $4.5 million of interest paid in both 2023 and 2022 and $4.6 million in 2021.

v3.24.0.1
Significant Accounting Policies (Policies)
 12 Months Ended
Dec. 31, 2023
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 offices in Alabama (includes the Georgia Loan Production Office), 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. Certain reclassifications have been made to prior period amounts to conform to the current period presentation.

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 2024 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 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”
•
Ability and authority to 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)

Trustmark's LHFS portfolio consists of mortgage loans purchased from wholesale customers or originated in Trustmark’s General Banking Segment. 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 collectability 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 ultimate collectability of the total contractual principal and interest is no longer in doubt and the obligation has either been brought current or has performed in accordance with the contractual terms for a reasonable period of time.

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 applicable regulatory guidance. 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 judgment 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. 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 on 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. Recoveries may not exceed the aggregate of amounts previously 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 LHFI. 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 that are centrally underwritten based on the borrower's credit bureau score as well as an evaluation of the borrower’s repayment capacity, credit, and collateral. 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

 

DCF

 

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

 

 

 

 

Equipment finance loans

 

WARM

 

Southern Unemployment, Southern GDP

 

 

 

 

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 and leases

 

Other commercial loans and leases

 

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

 

 

 

 

Equipment finance leases

 

WARM

 

Southern Unemployment, Southern GDP

 

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 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 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 consumer loans and other commercial loans.

During the first quarter of 2022, Management elected to incorporate a methodology change related to the other construction pool. Components of this change include management utilizing an alternative LDA to support the PD and LGD assumptions necessary to apply a DCF methodology to the other construction pool. Fundamentally, this approach utilizes publicly reported default balances and leverages a generalized linear model (GLM) framework to estimate PD. Taken together, these differences allow for results to be scaled to be specific and directly applicable to the other construction segment. LGD is assumed to be a through-the-cycle constant based on the actual performance of Trustmark’s other construction segment. These assumptions are then input into the DCF model and used in conjunction with prepayment data to calculate the cash flows at the individual loan level. Previously, the other construction pool used the weighted average remaining maturity (WARM) method. Management believes this change is commensurate with the level of risk in the pool.

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 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 changed rapidly. At the macroeconomic levels experienced during the COVID-19 pandemic, 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 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 percentiles, 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. Due to multiple periods having a PD or LGD at or near zero as a result of the 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 at December 31, 2023: (i) economic conditions and concentrations of credit, (ii) nature and volume of the portfolio and (iii) performance trends.

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.

 

Trustmark's current quantitative methodologies do not completely incorporate changes in credit quality. As a result Trustmark utilizes the performance trends factor. This factor is based on migration analyses, that allocates 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 performance trends qualitative factor is estimated by properly segmenting loan pools into risk levels by risk rating for commercial credits and delinquency status for consumer credits. A migration analysis is then performed quarterly using a third-party software and the results for each risk level is compiled to calculate the historical PD average for each loan portfolio based on risk levels. This average historical PD rate is updated annually. For the mortgage portfolio, Trustmark uses an internal report to incorporate a roll rate method for the calculation of the PD rate. In addition, to the PD rate for each portfolio, Management incorporates the quantitative rate and the k value derived from the Frye-Jacobs method to calculate a loss estimate that includes both PD and LGD. The quantitative rate is used to eliminate any additional reserve that the quantitative reserve already includes. Finally, the loss estimate rate is then applied to the total balances for each risk level for each portfolio to calculate a qualitative reserve.

 

During the second quarter of 2022, Management elected to activate the nature and volume of the portfolio qualitative factor as a result of a sub-pool of the secured by 1-4 family residential properties growing to a significant size along with the underlying nature being different as well. The nature and volume of the portfolio qualitative factor utilizes a WARM methodology that uses industry data for the assumptions to support the qualitative adjustment. The industry data is used to compile a PD based on credit score ranges along with using the industry data to compile an LGD. The sub-pool of credits are then aggregated into the appropriate credit score bands in which a weighted average loss rate is calculated based on the PD and LGD for each credit score range. This weighted average loss rate is then applied to the expected balance for the sub-segment of credits. This total is then used as the qualitative reserve adjustment.

The external factors qualitative factor is Management’s best judgment 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). Trustmark's External Factor – Pandemic ensures 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 PD (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.

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 were 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. During the fourth quarter of 2022, Management noted that all pass rated loans (RR 5 & RR 6) related to the External Factor-Pandemic qualitative factor either did not experience significant stress related to the pandemic or have since recovered and does not expect future stresses attributed to the pandemic that may affect these loans. As a result, Management decided to accelerate the release of the additional pandemic reserves on all pass rated loans. During the fourth quarter of 2023, Management decided to resolve the External Factor-Pandemic qualitative factor as a result of the remaining loan balances that were identified as COVID affected loans were immaterial from both a reserve and balance perspective. The remaining loans were incorporated back into the performance qualitative factor as a result of this resolution. Further, due to this resolution there is no longer any active External Factor as of December 31, 2023.

During the first quarter of 2022, in order to account for the potential uncertainty related to higher prices and low economic growth, Trustmark chose to enact a portion of the qualitative framework, External Factor - Stagflation. Management calculated the reserve using a third-party stagflation forecast and compared it to the third-party baseline forecast used in the quantitative modeling. The weighted differential is added as qualitative reserves to account for potential uncertainty. During the fourth quarter of 2022, Management determined that the likelihood of a stagflation scenario had sufficiently diminished. Management identified that the potential had already been reduced and effectively captured within a nominally more negative baseline economic forecast. As a result, Management elected to resolve the External Factor - Stagflation and fully release the reserves
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 a valuation model administered by a third party that calculates the present value of estimated future net servicing income. 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 the section titled “Derivative Financial Instruments – Derivatives Not Designated as Hedging Instruments” of this note 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.
Lessor Arrangements

Lessor Arrangements

Trustmark leases certain types of machinery and equipment to its commercial customers through sales-type and direct financing leases as part of its equipment financing portfolio. Sales-type and direct financing leases are similar to other forms of installment lending in that lessors generally do not retain benefits and risks incidental to ownership of the property subject to the leases. Such arrangements are essentially financing transactions that permit lessees to acquire and use property. Trustmark does not have any significant operating leases in which it is the lessor.

As lessor, the sum of all minimum lease payments over the lease term and the estimated residual value, less unearned interest income, is recorded as the net investment in the lease on the commencement date and is included in LHFI on the consolidated balance sheets. Interest income is accrued as earned over the term of the lease based on the net investment in the leases and is recognized in

interest and fees on LHFS and LHFI on the consolidated statements of income. Certain fees or costs associated with lease originations are deferred and accreted or amortized to interest income over the life of the lease using the effective interest method.

Trustmark’s portfolio of sales-type and direct financing leases generally have remaining lease terms of three to ten years, some of which include renewal options and/or options for the lessee to purchase the leased property near or at the end of the lease term at either the residual value or a specified price. Trustmark expects to sell or release the equipment at the end of the lease term. Due to the structure of these leases, there is no selling profit or loss on these transactions.

Lessee Arrangements

Lessee Arrangements

Trustmark has certain contracts that it has identified as leases according to FASB ASC Topic 842, "Leases". Trustmark classifies these leases as either operating or finance leases 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, 2023 and 2022, Trustmark’s investment in member bank stock totaled $54.4 million and $72.2 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, 2023, 2022 and 2021.
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 expense. Other real estate sales for the year ended December 31, 2023 resulted in a net loss of $145 thousand compared to a net loss of $1.0 million for the year ended December 31, 2022 and a net loss of $1.9 million for the year ended December 31, 2021.

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. FBBI utilizes 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 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 Designated as Hedging Instruments

FASB ASC Topic 815, Derivatives and Hedging (ASC 815), provides the disclosure requirements for derivatives and hedging activities with the intent to provide users of financial statements with an enhanced understanding of: (a) how and why an entity uses derivative instruments, (b) how the entity accounts for derivative instruments and related hedged items, and (c) how derivative instruments and related hedged items affect an entity’s financial position, financial performance, and cash flows. Further, qualitative disclosures are required that explain the objectives and strategies for using derivatives, as well as quantitative disclosures about the fair value of and gains and losses on derivative instruments, and disclosures about credit-risk-related contingent features in derivative instruments.

Derivatives designated and qualifying as a hedge of the exposure to changes in the fair value of an asset, liability, or firm commitment attributable to a particular risk, such as interest rate risk, are considered fair value hedges. Derivatives designated and qualifying as a hedge of the exposure to variability in expected future cash flows, or other types of forecasted transactions, are considered cash flow hedges. Hedge accounting generally provides for the matching of the timing of gain or loss recognition on the hedging instrument with the recognition of the changes in the fair value of the hedged asset or liability that are attributable to the hedged risk in a fair value hedge or the earnings effect of the hedged forecasted transactions in a cash flow hedge.

When entering into a hedge transaction, Trustmark formally documents the relationship between the hedging instrument and the hedged item, as well as the risk management objective and strategy for undertaking the hedge transaction, which includes designating the derivative instrument as a fair value or cash flow hedge to a specific asset or liability on the balance sheet or to specific forecasted transactions and the risk being hedged, along with a formal assessment at the inception of the hedge as to the effectiveness of the derivative instrument in offsetting changes in fair values or cash flows of the hedged item. Trustmark continues to assess hedge effectiveness on an ongoing basis using either a qualitative or a quantitative assessment (regression analysis).

As required by ASC 815, Trustmark records all derivatives on the balance sheet at fair value. The accounting for changes in the fair value of derivatives depends on the intended use of the derivative, whether Trustmark has elected to designate a derivative in a hedging relationship and apply hedge accounting and whether the hedging relationship has satisfied the criteria necessary to apply hedge accounting. For cash flow hedges, changes in the fair value of the derivative instrument are recorded in accumulated other comprehensive income (loss) and subsequently reclassified to net income in the same period that the hedged transaction impacts net income. Upon discontinuation of hedge accounting for cash flow hedges, any amounts in accumulated other comprehensive income (loss) related to that relationship affects earnings at the same time and in the same manner in which the hedged transaction affects earnings. If it becomes probable that the forecasted transaction will not occur, any related amounts in accumulated other comprehensive income (loss) are reclassified to earnings immediately.

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 offsetting interest rate swap transactions are either cleared through the Chicago Mercantile Exchange for clearable transactions or booked directly with institutional derivatives market participants for non-clearable transactions. 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,

 

 

2023

 

 

2022

 

 

2021

 

Income taxes paid

 

$

38,803

 

 

$

2,701

 

 

$

15,259

 

Interest paid on deposits and borrowings

 

 

306,568

 

 

 

45,275

 

 

 

24,429

 

Noncash transfers from loans to other real estate

 

 

7,237

 

 

 

1,533

 

 

 

770

 

Securities transferred from available for sale to held to maturity

 

 

—

 

 

 

674,092

 

 

 

—

 

Investment in tax credit partnership not funded

 

 

3,202

 

 

 

18,891

 

 

 

10,647

 

Finance right-of-use assets resulting from lease liabilities

 

 

—

 

 

 

—

 

 

 

92

 

Operating right-of-use assets resulting from lease liabilities

 

 

7,303

 

 

 

6,912

 

 

 

9,666

 
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,

 

 

 

2023

 

 

2022

 

 

2021

 

Basic shares

 

 

61,054

 

 

 

61,242

 

 

 

62,788

 

Dilutive shares

 

 

177

 

 

 

190

 

 

 

185

 

Diluted shares

 

 

61,231

 

 

 

61,432

 

 

 

62,973

 

 

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,

 

 

 

2023

 

 

2022

 

 

2021

 

Weighted-average antidilutive stock awards

 

 

23

 

 

 

—

 

 

 

1

 
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 2022-02, “Financial Instruments-Credit Losses (Topic 326): Trouble Debt Restructurings and Vintage Disclosures.” Issued in March 2022, ASU 2022-02 seeks to improve the decision usefulness of information provided to investors concerning certain loan refinancings, restructurings and write-offs. In regard to troubled debt restructurings (TDRs) by creditors, investors and preparers observed that the additional designation of a loan modification as a TDR and the related accounting are unnecessarily complex and no longer provide decision-useful information. The amendments of ASU 2022-02 eliminate the accounting guidance for TDRs by creditors in FASB ASC Subtopic 310-40, “Receivables-Troubled Debt Restructurings by Creditors,” as it is no longer meaningful due to the implementation of FASB ASC Topic 326, which requires an entity to consider lifetime expected credit losses on loans when establishing an allowance for credit losses. Therefore, most losses that would have been realized for a TDR under FASB ASC Subtopic 310-40 are now captured by the accounting required under FASB ASC Topic 326. The amendments of ASU 2022-02 also enhanced disclosure requirements for certain loan refinancings and restructurings by creditors when a borrower is experiencing financial difficulty. Stakeholders also noted inconsistency in the requirement for a public business entity (PBE) to disclose gross write-offs and gross recoveries by class of financing receivable and major security type in certain vintage disclosures. Financial statement users expressed that, in addition to the existing vintage disclosures in FASB ASC Topic 326, information about gross write-offs by year of origination

would be helpful in understanding credit quality changes in an entity’s loan portfolio and underwriting performance. For PBEs, the amendments of ASU 2022-02 require that an entity disclose current period gross write-offs by year of origination for financing receivables and net investments in leases within the scope of FASB ASC Subtopic 326-20, “Financial Instruments-Credit Losses-Measured at Amortized Cost.” For write-offs associated with origination dates that are more than five annual periods before the reporting period, an entity may present aggregate amounts in the current period for financing receivables and net investment in leases. The amendments of ASU 2022-02 were effective for fiscal years and interim periods within those fiscal years beginning after December 15, 2022 for entities that have already adopted the amendments of ASU 2016-13, such as Trustmark. Trustmark adopted the amendments of ASU 2022-02 effective January 1, 2023. The amendments of ASU 2022-02 include only changes to certain financial statement disclosures; and, therefore, adoption of ASU 2022-02 did not have a material impact on Trustmark’s consolidated financial statements or results of operations. The enhanced disclosures required by ASU 2022-02 are presented in Note 4 - LHFI and ACL, LHFI of this report.

ASU 2023-07, “Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures.” Issued in November 2023, ASU 2023-07 is intended to improve disclosures about a public entity’s reportable segments and address requests from investors and other allocators of capital for additional, more detailed information about a reportable segment’s expenses. The amendments of ASU 2023-07 require a public entity to disclose, on an annual and interim basis, significant segment expenses that are regularly provided to the chief operating decision maker (CODM) and included within each reported measure of segment profit or loss, and an amount for other segment items by reportable segment and a description of its composition. The other segment items category is the difference between segment revenue less the significant expenses disclosed and each reported measure of segment profit or loss. ASU 2023-07 also requires a public entity to provide all annual disclosures about a reportable segment’s profit or loss and assets currently required under FASB ASC Topic 280 in interim periods. The amendments of ASU 2023-07 clarify that if the CODM uses more than one measure of a segment's profit or loss in assessing segment performance and deciding how to allocate resources, a public entity may report one or more of those additional measures of segment profit. However, at least one of the reported segment profit or loss measures (or the single reported measure if only one is disclosed) should be the measure that is most consistent with the measurement principles used in measuring the corresponding amounts in the public entity's consolidated financial statements. ASU 2023-07 requires a public entity to disclose the title and position of the CODM, together with an explanation of how the CODM uses the reported measure(s) of segment profit or loss in assessing segment performance and deciding how to allocate resources. In addition, ASU 2023-07 requires that a public entity with a single reportable segment provide all the disclosures required by the amendments of ASU 2023-07 and all existing segment disclosures in FASB ASC Topic 280. The amendments of ASU 2023-07 are effective for fiscal years beginning after December 15, 2023, and for interim periods within fiscal years beginning after December 15, 2024, with early adoption permitted. The amendments in ASU 2023-07 should be applied retrospectively to all periods presented on the financial statements. Upon implementation, the segment expense categories and amounts disclosed in the prior periods should be based on the significant segment expense categories identified and disclosed in the period of adoption. Trustmark has adopted the amendments of ASU 2023-07 related to annual disclosure requirements effective January 1, 2024, and will present any newly required annual disclosures in its Annual Report of Form 10-K for the year ending December 31, 2024. Trustmark intends to adopt the amendments of ASU 2023-07 related to interim disclosure requirements effective January 1, 2025, and will present any newly required interim disclosures beginning with its Quarterly Report on Form 10-Q for the period ending March 31, 2025. Adoption of ASU 2023-07 is not expected to have a material impact to Trustmark’s consolidated financial statements or results of operations.

Pending Accounting Pronouncements

ASU 2023-09, “Income Taxes (Topic 740): Improvements to Income Tax Disclosures.” Issued in December 2023, ASU 2023-09 is intended to improve the disclosures for income taxes to address requests from investors, lenders, creditors and other allocators of capital (collectively, "investors") that use the financial statements to make capital allocation decisions. During the FASB's 2021 agenda consultation process and other stakeholder outreach, investors highlighted that the current system of income tax disclosures does not provide enough information to understand the tax provision for an entity that operates in multiple jurisdictions. Investors currently rely on the rate reconciliation table and other disclosures, including total income taxes paid in the statement of cash flows, to evaluate income tax risks and opportunities. The amendments in ASU 2023-09 will require consistent categories and greater disaggregation of information in the rate reconciliation disclosure as well as disclosure of income taxes paid disaggregated by jurisdiction. The amendments of ASU 2023-09 are effective for annual periods beginning after December 15, 2024, and early adoption is permitted for annual financial statements that have not yet been issued or made available for issuance. Trustmark intends to adopt the amendments of ASU 2023-09 effective January 1, 2025, and will include the required disclosures in its Annual Report on Form 10-K for the year ending December 31, 2025. Trustmark is currently evaluating the changes to disclosures required by ASU 2023-09; however, adoption of ASU 2023-09 is not expected to have a material impact to Trustmark’s consolidated financial statements or results of operations.
Securities Available for Sale

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, 2023 and 2022, the results of the loss analysis performed did not identify any securities that warranted DCF analysis 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, 2023 and 2022, accrued interest receivable totaled $3.7 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

Securities Held to Maturity

At December 31, 2023 and 2022, the potential credit loss exposure for Trustmark’s securities held to maturity was $340 thousand and $4.5 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, 2023 and 2022.

Accrued interest receivable is excluded from the estimate of credit losses for securities held to maturity. At December 31, 2023 and 2022, accrued interest receivable totaled $2.6 million and $2.7 million for securities held to maturity and was reported in other assets on the accompanying consolidated balance sheet.

At both December 31, 2023 and 2022, 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, 2023 and 2022.
v3.24.0.1
Significant Accounting Policies (Tables)
 12 Months Ended
Dec. 31, 2023
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,

 

 

2023

 

 

2022

 

 

2021

 

Income taxes paid

 

$

38,803

 

 

$

2,701

 

 

$

15,259

 

Interest paid on deposits and borrowings

 

 

306,568

 

 

 

45,275

 

 

 

24,429

 

Noncash transfers from loans to other real estate

 

 

7,237

 

 

 

1,533

 

 

 

770

 

Securities transferred from available for sale to held to maturity

 

 

—

 

 

 

674,092

 

 

 

—

 

Investment in tax credit partnership not funded

 

 

3,202

 

 

 

18,891

 

 

 

10,647

 

Finance right-of-use assets resulting from lease liabilities

 

 

—

 

 

 

—

 

 

 

92

 

Operating right-of-use assets resulting from lease liabilities

 

 

7,303

 

 

 

6,912

 

 

 

9,666

 
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,

 

 

 

2023

 

 

2022

 

 

2021

 

Basic shares

 

 

61,054

 

 

 

61,242

 

 

 

62,788

 

Dilutive shares

 

 

177

 

 

 

190

 

 

 

185

 

Diluted shares

 

 

61,231

 

 

 

61,432

 

 

 

62,973

 
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,

 

 

 

2023

 

 

2022

 

 

2021

 

Weighted-average antidilutive stock awards

 

 

23

 

 

 

—

 

 

 

1

 
v3.24.0.1
Securities Available for Sale and Held to Maturity (Tables)
 12 Months Ended
Dec. 31, 2023
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, 2023 and 2022 ($ 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, 2023

 

Cost

 

 

Gains

 

 

Losses

 

 

Value

 

 

Cost

 

 

Gains

 

 

Losses

 

 

Value

 

U.S. Treasury securities

 

$

396,179

 

 

$

—

 

 

$

(23,811

)

 

$

372,368

 

 

$

29,068

 

 

$

—

 

 

$

(26

)

 

$

29,042

 

U.S. Government agency obligations

 

 

6,207

 

 

 

1

 

 

 

(416

)

 

 

5,792

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Obligations of states and political
   subdivisions

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

340

 

 

 

—

 

 

 

—

 

 

 

340

 

Mortgage-backed securities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Residential mortgage pass-through
   securities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Guaranteed by GNMA

 

 

25,744

 

 

 

4

 

 

 

(2,613

)

 

 

23,135

 

 

 

13,005

 

 

 

—

 

 

 

(497

)

 

 

12,508

 

Issued by FNMA and FHLMC

 

 

1,338,256

 

 

 

32

 

 

 

(161,490

)

 

 

1,176,798

 

 

 

469,593

 

 

 

—

 

 

 

(18,205

)

 

 

451,388

 

Other residential mortgage-backed
   securities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Issued or guaranteed by FNMA,
   FHLMC or GNMA

 

 

92,076

 

 

 

—

 

 

 

(6,002

)

 

 

86,074

 

 

 

154,466

 

 

 

—

 

 

 

(10,113

)

 

 

144,353

 

Commercial mortgage-backed
   securities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Issued or guaranteed by FNMA,
   FHLMC or GNMA

 

 

100,545

 

 

 

—

 

 

 

(1,834

)

 

 

98,711

 

 

 

759,807

 

 

 

51

 

 

 

(41,985

)

 

 

717,873

 

Total

 

$

1,959,007

 

 

$

37

 

 

$

(196,166

)

 

$

1,762,878

 

 

$

1,426,279

 

 

$

51

 

 

$

(70,826

)

 

$

1,355,504

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

December 31, 2022

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

U.S. Treasury securities

 

$

425,719

 

 

$

308

 

 

$

(34,514

)

 

$

391,513

 

 

$

28,295

 

 

$

—

 

 

$

(115

)

 

$

28,180

 

U.S. Government agency obligations

 

 

8,297

 

 

 

—

 

 

 

(531

)

 

 

7,766

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Obligations of states and political
   subdivisions

 

 

4,820

 

 

 

53

 

 

 

(11

)

 

 

4,862

 

 

 

4,510

 

 

 

3

 

 

 

(3

)

 

 

4,510

 

Mortgage-backed securities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Residential mortgage pass-through
   securities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Guaranteed by GNMA

 

 

30,534

 

 

 

7

 

 

 

(3,444

)

 

 

27,097

 

 

 

4,442

 

 

 

—

 

 

 

(395

)

 

 

4,047

 

Issued by FNMA and FHLMC

 

 

1,541,570

 

 

 

12

 

 

 

(196,119

)

 

 

1,345,463

 

 

 

509,311

 

 

 

—

 

 

 

(19,586

)

 

 

489,725

 

Other residential mortgage-backed
   securities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Issued or guaranteed by FNMA,
   FHLMC or GNMA

 

 

123,755

 

 

 

—

 

 

 

(8,615

)

 

 

115,140

 

 

 

188,201

 

 

 

—

 

 

 

(13,826

)

 

 

174,375

 

Commercial mortgage-backed
   securities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Issued or guaranteed by FNMA,
   FHLMC or GNMA

 

 

136,014

 

 

 

—

 

 

 

(3,773

)

 

 

132,241

 

 

 

759,755

 

 

 

34

 

 

 

(54,037

)

 

 

705,752

 

Total

 

$

2,270,709

 

 

$

380

 

 

$

(247,007

)

 

$

2,024,082

 

 

$

1,494,514

 

 

$

37

 

 

$

(87,962

)

 

$

1,406,589

 
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, 2023 and 2022 ($ in thousands):

 

 

December 31, 2023

 

 

December 31, 2022

 

Aaa

 

$

1,425,939

 

 

$

1,490,004

 

Aa1 to Aa3

 

 

—

 

 

 

3,001

 

Not Rated (1)

 

 

340

 

 

 

1,509

 

Total

 

$

1,426,279

 

 

$

1,494,514

 
(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, 2023 and 2022 ($ in thousands):

 

 

 

Less than 12 Months

 

 

12 Months or More

 

 

Total

 

 

 

 

 

 

Gross

 

 

 

 

 

Gross

 

 

 

 

 

Gross

 

 

 

Estimated

 

 

Unrealized

 

 

Estimated

 

 

Unrealized

 

 

Estimated

 

 

Unrealized

 

December 31, 2023

 

Fair Value

 

 

Losses

 

 

Fair Value

 

 

Losses

 

 

Fair Value

 

 

Losses

 

U.S. Treasury securities

 

$

29,042

 

 

$

(26

)

 

$

372,368

 

 

$

(23,811

)

 

$

401,410

 

 

$

(23,837

)

U.S. Government agency obligations

 

 

—

 

 

 

—

 

 

 

5,791

 

 

 

(416

)

 

 

5,791

 

 

 

(416

)

Mortgage-backed securities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Residential mortgage pass-through
   securities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Guaranteed by GNMA

 

 

9,381

 

 

 

(172

)

 

 

25,967

 

 

 

(2,938

)

 

 

35,348

 

 

 

(3,110

)

Issued by FNMA and FHLMC

 

 

309,466

 

 

 

(3,274

)

 

 

1,311,865

 

 

 

(176,421

)

 

 

1,621,331

 

 

 

(179,695

)

Other residential mortgage-backed
   securities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Issued or guaranteed by FNMA,
   FHLMC or GNMA

 

 

—

 

 

 

—

 

 

 

230,368

 

 

 

(16,115

)

 

 

230,368

 

 

 

(16,115

)

Commercial mortgage-backed
   securities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Issued or guaranteed by FNMA,
   FHLMC or GNMA

 

 

1,656

 

 

 

(13

)

 

 

812,520

 

 

 

(43,806

)

 

 

814,176

 

 

 

(43,819

)

Total

 

$

349,545

 

 

$

(3,485

)

 

$

2,758,879

 

 

$

(263,507

)

 

$

3,108,424

 

 

$

(266,992

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

December 31, 2022

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

U.S. Treasury securities

 

$

161,298

 

 

$

(5,655

)

 

$

258,087

 

 

$

(28,974

)

 

$

419,385

 

 

$

(34,629

)

U.S. Government agency obligations

 

 

1,828

 

 

 

(184

)

 

 

5,938

 

 

 

(347

)

 

 

7,766

 

 

 

(531

)

Obligations of states and political
   subdivisions

 

 

1,017

 

 

 

(11

)

 

 

3,664

 

 

 

(3

)

 

 

4,681

 

 

 

(14

)

Mortgage-backed securities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Residential mortgage pass-through
   securities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Guaranteed by GNMA

 

 

27,223

 

 

 

(3,270

)

 

 

3,577

 

 

 

(569

)

 

 

30,800

 

 

 

(3,839

)

Issued by FNMA and FHLMC

 

 

770,865

 

 

 

(41,807

)

 

 

1,062,041

 

 

 

(173,898

)

 

 

1,832,906

 

 

 

(215,705

)

Other residential mortgage-backed
   securities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Issued or guaranteed by FNMA,
   FHLMC or GNMA

 

 

281,964

 

 

 

(21,452

)

 

 

7,235

 

 

 

(989

)

 

 

289,199

 

 

 

(22,441

)

Commercial mortgage-backed
   securities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Issued or guaranteed by FNMA,
   FHLMC or GNMA

 

 

833,970

 

 

 

(57,742

)

 

 

1,644

 

 

 

(68

)

 

 

835,614

 

 

 

(57,810

)

Total

 

$

2,078,165

 

 

$

(130,121

)

 

$

1,342,186

 

 

$

(204,848

)

 

$

3,420,351

 

 

$

(334,969

)
Gains and Losses as a Result of Calls and Disposition of Securities For the years ended December 31, 2023, 2022 and 2021, gross realized gains or losses as a result of calls and dispositions of securities, as well as any associated proceeds, were as follows ($ in thousands):

 

 

 

Years Ended December 31,

 

Available for Sale

 

2023

 

 

2022

 

 

2021

 

Proceeds from calls and sales of securities

 

$

4,796

 

 

$

—

 

 

$

—

 

Gross realized gains

 

 

47

 

 

 

—

 

 

 

—

 

Gross realized losses

 

 

(8

)

 

 

—

 

 

 

—

 

 
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, 2023, 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

 

$

65,199

 

 

$

63,501

 

 

$

340

 

 

$

340

 

Due after one year through five years

 

 

331,225

 

 

 

309,108

 

 

 

29,068

 

 

 

29,042

 

Due after five years through ten years

 

 

2,356

 

 

 

2,151

 

 

 

—

 

 

 

—

 

Due after ten years

 

 

3,606

 

 

 

3,400

 

 

 

—

 

 

 

—

 

 

 

 

402,386

 

 

 

378,160

 

 

 

29,408

 

 

 

29,382

 

Mortgage-backed securities

 

 

1,556,621

 

 

 

1,384,718

 

 

 

1,396,871

 

 

 

1,326,122

 

Total

 

$

1,959,007

 

 

$

1,762,878

 

 

$

1,426,279

 

 

$

1,355,504

 
v3.24.0.1
LHFI and ACL, LHFII (Tables)
 12 Months Ended
Dec. 31, 2023
Accounts, Notes, Loans and Financing Receivable, Gross, Allowance, and Net [Abstract]  
Loan Portfolio Held for Investment

At December 31, 2023 and 2022, LHFI consisted of the following ($ in thousands):

 

 

 

December 31,

 

 

 

2023

 

 

2022

 

Loans secured by real estate:

 

 

 

 

 

 

Construction, land development and other land

 

$

642,886

 

 

$

690,616

 

Other secured by 1-4 family residential properties

 

 

622,397

 

 

 

590,790

 

Secured by nonfarm, nonresidential properties

 

 

3,489,434

 

 

 

3,278,830

 

Other real estate secured

 

 

1,312,551

 

 

 

742,538

 

Other loans secured by real estate:

 

 

 

 

 

 

Other construction

 

 

867,793

 

 

 

1,028,926

 

Secured by 1-4 family residential properties

 

 

2,282,318

 

 

 

2,185,057

 

Commercial and industrial loans

 

 

1,922,910

 

 

 

1,821,259

 

Consumer loans

 

 

165,734

 

 

 

170,230

 

State and other political subdivision loans

 

 

1,088,466

 

 

 

1,223,863

 

Other commercial loans and leases

 

 

556,035

 

 

 

471,930

 

LHFI

 

 

12,950,524

 

 

 

12,204,039

 

Less ACL

 

 

139,367

 

 

 

120,214

 

Net LHFI

 

$

12,811,157

 

 

$

12,083,825

 
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, 2023 and 2022 ($ in thousands):

 

 

 

December 31, 2023

 

 

 

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

 

$

2,020

 

 

$

2,642

 

 

$

—

 

Other secured by 1-4 family residential properties

 

 

946

 

 

 

6,518

 

 

 

1,238

 

Secured by nonfarm, nonresidential properties

 

 

20,812

 

 

 

23,061

 

 

 

54

 

Other real estate secured

 

 

—

 

 

 

158

 

 

 

106

 

Other loans secured by real estate:

 

 

 

 

 

 

 

 

 

Other construction

 

 

—

 

 

 

62

 

 

 

—

 

Secured by 1-4 family residential properties

 

 

3,235

 

 

 

43,815

 

 

 

3,740

 

Commercial and industrial loans

 

 

79

 

 

 

22,303

 

 

 

24

 

Consumer loans

 

 

—

 

 

 

243

 

 

 

628

 

Other commercial loans and leases

 

 

—

 

 

 

1,206

 

 

 

—

 

Total

 

$

27,092

 

 

$

100,008

 

 

$

5,790

 

 

 

 

December 31, 2022

 

 

 

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

 

$

137

 

 

$

1,902

 

 

$

—

 

Other secured by 1-4 family residential properties

 

 

482

 

 

 

3,957

 

 

 

534

 

Secured by nonfarm, nonresidential properties

 

 

4,841

 

 

 

6,957

 

 

 

—

 

Other real estate secured

 

 

—

 

 

 

231

 

 

 

—

 

Other loans secured by real estate:

 

 

 

 

 

 

 

 

 

Other construction

 

 

—

 

 

 

7,620

 

 

 

—

 

Secured by 1-4 family residential properties

 

 

1,193

 

 

 

19,775

 

 

 

3,118

 

Commercial and industrial loans

 

 

14,441

 

 

 

25,102

 

 

 

—

 

Consumer loans

 

 

—

 

 

 

181

 

 

 

277

 

Other commercial loans

 

 

—

 

 

 

247

 

 

 

—

 

Total

 

$

21,094

 

 

$

65,972

 

 

$

3,929

 

 
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, 2023 and 2022 ($ in thousands):

 

 

 

December 31, 2023

 

 

 

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

 

$

93

 

 

$

507

 

 

$

2,362

 

 

$

2,962

 

 

$

639,924

 

 

$

642,886

 

Other secured by 1-4 family residential properties

 

 

4,493

 

 

 

1,687

 

 

 

2,716

 

 

 

8,896

 

 

 

613,501

 

 

 

622,397

 

Secured by nonfarm, nonresidential properties

 

 

1,531

 

 

 

1,063

 

 

 

727

 

 

 

3,321

 

 

 

3,486,113

 

 

 

3,489,434

 

Other real estate secured

 

 

126

 

 

 

—

 

 

 

207

 

 

 

333

 

 

 

1,312,218

 

 

 

1,312,551

 

Other loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other construction

 

 

62

 

 

 

—

 

 

 

—

 

 

 

62

 

 

 

867,731

 

 

 

867,793

 

Secured by 1-4 family residential properties

 

 

19,298

 

 

 

9,327

 

 

 

22,164

 

 

 

50,789

 

 

 

2,231,529

 

 

 

2,282,318

 

Commercial and industrial loans

 

 

11,881

 

 

 

484

 

 

 

499

 

 

 

12,864

 

 

 

1,910,046

 

 

 

1,922,910

 

Consumer loans

 

 

2,112

 

 

 

772

 

 

 

647

 

 

 

3,531

 

 

 

162,203

 

 

 

165,734

 

State and other political subdivision loans

 

 

152

 

 

 

—

 

 

 

—

 

 

 

152

 

 

 

1,088,314

 

 

 

1,088,466

 

Other commercial loans and leases

 

 

1,247

 

 

 

58

 

 

 

—

 

 

 

1,305

 

 

 

554,730

 

 

 

556,035

 

Total

 

$

40,995

 

 

$

13,898

 

 

$

29,322

 

 

$

84,215

 

 

$

12,866,309

 

 

$

12,950,524

 

 

 

 

December 31, 2022

 

 

 

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

 

$

1,972

 

 

$

199

 

 

$

34

 

 

$

2,205

 

 

$

688,411

 

 

$

690,616

 

Other secured by 1-4 family residential properties

 

 

3,682

 

 

 

1,206

 

 

 

1,281

 

 

 

6,169

 

 

 

584,621

 

 

 

590,790

 

Secured by nonfarm, nonresidential properties

 

 

825

 

 

 

18

 

 

 

794

 

 

 

1,637

 

 

 

3,277,193

 

 

 

3,278,830

 

Other real estate secured

 

 

131

 

 

 

30

 

 

 

—

 

 

 

161

 

 

 

742,377

 

 

 

742,538

 

Other loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other construction

 

 

—

 

 

 

—

 

 

 

7,620

 

 

 

7,620

 

 

 

1,021,306

 

 

 

1,028,926

 

Secured by 1-4 family residential properties

 

 

10,709

 

 

 

4,236

 

 

 

9,999

 

 

 

24,944

 

 

 

2,160,113

 

 

 

2,185,057

 

Commercial and industrial loans

 

 

1,966

 

 

 

508

 

 

 

8,974

 

 

 

11,448

 

 

 

1,809,811

 

 

 

1,821,259

 

Consumer loans

 

 

2,199

 

 

 

645

 

 

 

279

 

 

 

3,123

 

 

 

167,107

 

 

 

170,230

 

State and other political subdivision loans

 

 

431

 

 

 

—

 

 

 

—

 

 

 

431

 

 

 

1,223,432

 

 

 

1,223,863

 

Other commercial loans

 

 

785

 

 

 

45

 

 

 

24

 

 

 

854

 

 

 

471,076

 

 

 

471,930

 

Total

 

$

22,700

 

 

$

6,887

 

 

$

29,005

 

 

$

58,592

 

 

$

12,145,447

 

 

$

12,204,039

 

Modified LHFI
Impact of Modifications Classified as Troubled Debt Restructurings

The following tables present the amortized cost of LHFI at the end of each of the periods presented of loans modified to borrowers experiencing financial difficulty disaggregated by class of loan and type of modification ($ in thousands). The percentage of the amortized cost basis of LHFI that were modified to borrowers in financial distress as compared to the amortized cost basis of each class of LHFI is also presented below:

 

 

 

Year Ended December 31, 2023

 

 

 

Payment Concessions

 

 

Term Extensions

 

 

Total

 

 

% of Total Class of Loan

 

Loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

Other secured by 1-4 family residential properties

 

$

—

 

 

$

805

 

 

$

805

 

 

 

0.13

%

Secured by nonfarm, nonresidential properties

 

 

—

 

 

 

359

 

 

 

359

 

 

 

0.01

%

Other loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

Secured by 1-4 family residential properties

 

 

—

 

 

 

1,148

 

 

 

1,148

 

 

 

0.05

%

Commercial and industrial loans

 

 

242

 

 

 

—

 

 

 

242

 

 

 

0.01

%

Consumer loans

 

 

—

 

 

 

36

 

 

 

36

 

 

 

0.02

%

Other commercial loans and leases

 

 

116

 

 

 

31

 

 

 

147

 

 

 

0.03

%

Total

 

$

358

 

 

$

2,379

 

 

$

2,737

 

 

 

0.02

%
Troubled debt restructurings on financial effect

The following table details the financial effect of the loan modifications presented above to borrowers experiencing financial difficulty for the periods presented:

 

 

Year Ended December 31, 2023

 

 

Financial Effect

 

 

Payment Concessions

 

Term Extensions

Loans secured by real estate:

 

 

 

 

Other secured by 1-4 family residential properties

 

 

 

Modifed lines of credit to amortize over 12 month and 24 month terms

Secured by nonfarm, nonresidential properties

 

 

 

One loan renewed and extended maturity by six months

Other loans secured by real estate:

 

 

 

 

Secured by 1-4 family residential properties

 

 

 

Extended amortization with term adjusted by weighted-average 3.4 years

Commercial and industrial loans

 

Six month payment deferrals

 

 

Consumer loans

 

 

 

Bankruptcies extended amortization with term adjusted by weighted average 1.3 years reducing borrower payment

Other commercial loans and leases

 

Six month payment deferrals

 

One loan renewed and extended maturity by seven months
Past Due Modifications Related To Loans Held For Investment The following tables provide details of the performance of such LHFI that have been modified during the periods presented ($ in thousands):

 

 

Year Ended December 31, 2023

 

 

 

Past Due

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

90 Days

 

 

Total

 

 

Current

 

 

 

 

 

 

30-59 Days

 

 

60-89 Days

 

 

or More

 

 

Past Due

 

 

Loans

 

 

Total

 

Loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other secured by 1-4 family residential properties

 

$

290

 

 

$

17

 

 

$

—

 

 

$

307

 

 

$

498

 

 

$

805

 

Secured by nonfarm, nonresidential properties

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

359

 

 

 

359

 

Other loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Secured by 1-4 family residential properties

 

 

64

 

 

 

—

 

 

 

—

 

 

 

64

 

 

 

1,084

 

 

 

1,148

 

Commercial and industrial loans

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

242

 

 

 

242

 

Consumer loans

 

 

17

 

 

 

—

 

 

 

—

 

 

 

17

 

 

 

19

 

 

 

36

 

Other commercial loans and leases

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

147

 

 

 

147

 

Total

 

$

371

 

 

$

17

 

 

$

—

 

 

$

388

 

 

$

2,349

 

 

$

2,737

 

 
Schedule Of Amortized Cost Basis Of Collateral Dependent Loans by Class of Loans

The following tables present the amortized cost basis of collateral-dependent loans by class of loans and collateral type at December 31, 2023 and 2022 ($ in thousands):

 

 

 

December 31, 2023

 

 

 

Real Estate

 

 

Vehicles

 

 

Miscellaneous

 

 

Total

 

Loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

Construction, land development and
   other land

 

$

2,020

 

 

$

—

 

 

$

—

 

 

$

2,020

 

Other secured by 1-4 family
   residential properties

 

 

946

 

 

 

—

 

 

 

—

 

 

 

946

 

Secured by nonfarm, nonresidential
   properties

 

 

20,812

 

 

 

—

 

 

 

—

 

 

 

20,812

 

Other loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

Secured by 1-4 family residential
   properties

 

 

3,235

 

 

 

—

 

 

 

—

 

 

 

3,235

 

Commercial and industrial loans

 

 

38

 

 

 

41

 

 

 

21,023

 

 

 

21,102

 

Other commercial loans and leases

 

 

—

 

 

 

—

 

 

 

967

 

 

 

967

 

Total

 

$

27,051

 

 

$

41

 

 

$

21,990

 

 

$

49,082

 

 

 

 

December 31, 2022

 

 

 

Real Estate

 

 

Inventory and Receivables

 

 

Vehicles

 

 

Miscellaneous

 

 

Total

 

Loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Construction, land development and
   other land

 

$

1,558

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

1,558

 

Other secured by 1-4 family
   residential properties

 

 

482

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

482

 

Secured by nonfarm, nonresidential
   properties

 

 

4,841

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

4,841

 

Other loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other construction

 

 

7,620

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

7,620

 

Secured by 1-4 family residential
   properties

 

 

1,193

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

1,193

 

Commercial and industrial loans

 

 

40

 

 

 

233

 

 

 

395

 

 

 

23,926

 

 

 

24,594

 

Total

 

$

15,734

 

 

$

233

 

 

$

395

 

 

$

23,926

 

 

$

40,288

 
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, 2023 and 2022 ($ in thousands):

 

 

 

Term Loans by Origination Year

 

 

 

 

 

 

 

 

 

2023

 

 

2022

 

 

2021

 

 

2020

 

 

2019

 

 

Prior

 

 

Revolving Loans

 

 

Total

 

As of December 31, 2023

 

Commercial LHFI

 

Loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Construction, land development
   and other land:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass - RR 1 through RR 6

 

$

359,813

 

 

$

98,742

 

 

$

35,095

 

 

$

10,591

 

 

$

2,036

 

 

$

1,961

 

 

$

52,351

 

 

$

560,589

 

Special Mention - RR 7

 

 

—

 

 

 

—

 

 

 

360

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

360

 

Substandard - RR 8

 

 

606

 

 

 

336

 

 

 

1,512

 

 

 

19

 

 

 

—

 

 

 

21

 

 

 

—

 

 

 

2,494

 

Doubtful - RR 9

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

24

 

 

 

—

 

 

 

24

 

Total

 

 

360,419

 

 

 

99,078

 

 

 

36,967

 

 

 

10,610

 

 

 

2,036

 

 

 

2,006

 

 

 

52,351

 

 

 

563,467

 

Current period gross
   charge-offs

 

 

—

 

 

 

(4

)

 

 

(10

)

 

 

—

 

 

 

(228

)

 

 

—

 

 

 

—

 

 

 

(242

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other secured by 1-4 family residential
   properties:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass - RR 1 through RR 6

 

$

33,072

 

 

$

30,760

 

 

$

29,159

 

 

$

14,309

 

 

$

8,084

 

 

$

2,822

 

 

$

10,077

 

 

$

128,283

 

Special Mention - RR 7

 

 

—

 

 

 

82

 

 

 

48

 

 

 

10

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

140

 

Substandard - RR 8

 

 

220

 

 

 

625

 

 

 

157

 

 

 

22

 

 

 

80

 

 

 

306

 

 

 

98

 

 

 

1,508

 

Doubtful - RR 9

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total

 

 

33,292

 

 

 

31,467

 

 

 

29,364

 

 

 

14,341

 

 

 

8,164

 

 

 

3,128

 

 

 

10,175

 

 

 

129,931

 

Current period gross
   charge-offs

 

 

—

 

 

 

—

 

 

 

(24

)

 

 

—

 

 

 

—

 

 

 

(6

)

 

 

—

 

 

 

(30

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Secured by nonfarm, nonresidential
   properties:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass - RR 1 through RR 6

 

$

501,327

 

 

$

919,519

 

 

$

526,412

 

 

$

596,240

 

 

$

323,687

 

 

$

369,250

 

 

$

129,142

 

 

$

3,365,577

 

Special Mention - RR 7

 

 

4,271

 

 

 

14,930

 

 

 

—

 

 

 

138

 

 

 

23,966

 

 

 

—

 

 

 

—

 

 

 

43,305

 

Substandard - RR 8

 

 

6,332

 

 

 

1,964

 

 

 

47,491

 

 

 

10,809

 

 

 

8,614

 

 

 

5,200

 

 

 

48

 

 

 

80,458

 

Doubtful - RR 9

 

 

21

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

53

 

 

 

13

 

 

 

—

 

 

 

87

 

Total

 

 

511,951

 

 

 

936,413

 

 

 

573,903

 

 

 

607,187

 

 

 

356,320

 

 

 

374,463

 

 

 

129,190

 

 

 

3,489,427

 

Current period gross
   charge-offs

 

 

—

 

 

 

(39

)

 

 

(82

)

 

 

—

 

 

 

(19

)

 

 

(138

)

 

 

—

 

 

 

(278

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other real estate secured:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass - RR 1 through RR 6

 

$

194,141

 

 

$

447,200

 

 

$

332,818

 

 

$

209,757

 

 

$

56,024

 

 

$

11,080

 

 

$

8,880

 

 

$

1,259,900

 

Special Mention - RR 7

 

 

126

 

 

 

2,076

 

 

 

—

 

 

 

—

 

 

 

35,881

 

 

 

—

 

 

 

—

 

 

 

38,083

 

Substandard - RR 8

 

 

—

 

 

 

14,064

 

 

 

—

 

 

 

290

 

 

 

—

 

 

 

39

 

 

 

—

 

 

 

14,393

 

Doubtful - RR 9

 

 

42

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

42

 

Total

 

 

194,309

 

 

 

463,340

 

 

 

332,818

 

 

 

210,047

 

 

 

91,905

 

 

 

11,119

 

 

 

8,880

 

 

 

1,312,418

 

Current period gross
   charge-offs

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

 

 

Term Loans by Origination Year

 

 

 

 

 

 

 

 

 

2023

 

 

2022

 

 

2021

 

 

2020

 

 

2019

 

 

Prior

 

 

Revolving Loans

 

 

Total

 

As of December 31, 2023

 

Commercial LHFI

 

Other loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other construction

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass - RR 1 through RR 6

 

$

179,676

 

 

$

518,062

 

 

$

149,883

 

 

$

14,062

 

 

$

—

 

 

$

6

 

 

$

6,042

 

 

$

867,731

 

Special Mention - RR 7

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Substandard - RR 8

 

 

62

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

62

 

Doubtful - RR 9

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total

 

 

179,738

 

 

 

518,062

 

 

 

149,883

 

 

 

14,062

 

 

 

—

 

 

 

6

 

 

 

6,042

 

 

 

867,793

 

Current period gross
   charge-offs

 

 

(61

)

 

 

—

 

 

 

(3,392

)

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

(3,453

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial and industrial loans:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass - RR 1 through RR 6

 

$

497,730

 

 

$

474,737

 

 

$

158,659

 

 

$

80,646

 

 

$

31,876

 

 

$

44,972

 

 

$

537,527

 

 

$

1,826,147

 

Special Mention - RR 7

 

 

12,570

 

 

 

10,141

 

 

 

3,149

 

 

 

1,381

 

 

 

110

 

 

 

—

 

 

 

126

 

 

 

27,477

 

Substandard - RR 8

 

 

4,797

 

 

 

16,872

 

 

 

13,909

 

 

 

11,958

 

 

 

40

 

 

 

80

 

 

 

21,528

 

 

 

69,184

 

Doubtful - RR 9

 

 

6

 

 

 

58

 

 

 

1

 

 

 

—

 

 

 

—

 

 

 

25

 

 

 

12

 

 

 

102

 

Total

 

 

515,103

 

 

 

501,808

 

 

 

175,718

 

 

 

93,985

 

 

 

32,026

 

 

 

45,077

 

 

 

559,193

 

 

 

1,922,910

 

Current period gross
   charge-offs

 

 

(42

)

 

 

(1,071

)

 

 

(700

)

 

 

(138

)

 

 

(95

)

 

 

(108

)

 

 

(7

)

 

 

(2,161

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

State and other political subdivision loans:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass - RR 1 through RR 6

 

$

152,157

 

 

$

247,034

 

 

$

174,812

 

 

$

99,786

 

 

$

32,118

 

 

$

377,225

 

 

$

5,334

 

 

$

1,088,466

 

Special Mention - RR 7

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Substandard - RR 8

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Doubtful - RR 9

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total

 

 

152,157

 

 

 

247,034

 

 

 

174,812

 

 

 

99,786

 

 

 

32,118

 

 

 

377,225

 

 

 

5,334

 

 

 

1,088,466

 

Current period gross
   charge-offs

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other commercial loans and leases:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass - RR 1 through RR 6

 

$

211,402

 

 

$

48,947

 

 

$

30,071

 

 

$

21,377

 

 

$

32,837

 

 

$

8,468

 

 

$

201,339

 

 

$

554,441

 

Special Mention - RR 7

 

 

—

 

 

 

—

 

 

 

—

 

 

 

208

 

 

 

—

 

 

 

—

 

 

 

20

 

 

 

228

 

Substandard - RR 8

 

 

106

 

 

 

211

 

 

 

42

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

987

 

 

 

1,346

 

Doubtful - RR 9

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

20

 

 

 

—

 

 

 

20

 

Total

 

 

211,508

 

 

 

49,158

 

 

 

30,113

 

 

 

21,585

 

 

 

32,837

 

 

 

8,488

 

 

 

202,346

 

 

 

556,035

 

Current period gross
   charge-offs

 

 

(40

)

 

 

(248

)

 

 

—

 

 

 

(26

)

 

 

—

 

 

 

—

 

 

 

—

 

 

 

(314

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total commercial LHFI

 

$

2,158,477

 

 

$

2,846,360

 

 

$

1,503,578

 

 

$

1,071,603

 

 

$

555,406

 

 

$

821,512

 

 

$

973,511

 

 

$

9,930,447

 

Total commercial LHFI
   gross charge-offs

 

$

(143

)

 

$

(1,362

)

 

$

(4,208

)

 

$

(164

)

 

$

(342

)

 

$

(252

)

 

$

(7

)

 

$

(6,478

)

 

 

 

Term Loans by Origination Year

 

 

 

 

 

 

 

 

 

2023

 

 

2022

 

 

2021

 

 

2020

 

 

2019

 

 

Prior

 

 

Revolving Loans

 

 

Total

 

As of December 31, 2023

 

Consumer LHFI

 

Loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Construction, land development and
   other land:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current

 

$

44,912

 

 

$

23,110

 

 

$

5,973

 

 

$

1,203

 

 

$

1,082

 

 

$

1,864

 

 

$

653

 

 

$

78,797

 

Past due 30-89 days

 

 

—

 

 

 

250

 

 

 

—

 

 

 

—

 

 

 

30

 

 

 

191

 

 

 

—

 

 

 

471

 

Past due 90 days or more

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Nonaccrual

 

 

—

 

 

 

—

 

 

 

148

 

 

 

—

 

 

 

—

 

 

 

3

 

 

 

—

 

 

 

151

 

Total

 

 

44,912

 

 

 

23,360

 

 

 

6,121

 

 

 

1,203

 

 

 

1,112

 

 

 

2,058

 

 

 

653

 

 

 

79,419

 

Current period gross
   charge-offs

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other secured by 1-4 family residential
   properties:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current

 

$

29,636

 

 

$

11,366

 

 

$

5,733

 

 

$

4,471

 

 

$

4,313

 

 

$

7,674

 

 

$

417,383

 

 

$

480,576

 

Past due 30-89 days

 

 

225

 

 

 

68

 

 

 

74

 

 

 

4

 

 

 

51

 

 

 

220

 

 

 

4,292

 

 

 

4,934

 

Past due 90 days or more

 

 

—

 

 

 

264

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

41

 

 

 

934

 

 

 

1,239

 

Nonaccrual

 

 

8

 

 

 

76

 

 

 

48

 

 

 

8

 

 

 

—

 

 

 

616

 

 

 

4,961

 

 

 

5,717

 

Total

 

 

29,869

 

 

 

11,774

 

 

 

5,855

 

 

 

4,483

 

 

 

4,364

 

 

 

8,551

 

 

 

427,570

 

 

 

492,466

 

Current period gross
   charge-offs

 

 

—

 

 

 

(100

)

 

 

(9

)

 

 

(2

)

 

 

(10

)

 

 

(22

)

 

 

(147

)

 

 

(290

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Secured by nonfarm, nonresidential
   properties:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current

 

$

—

 

 

$

—

 

 

$

7

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

7

 

Past due 30-89 days

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Past due 90 days or more

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Nonaccrual

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total

 

 

—

 

 

 

—

 

 

 

7

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

7

 

Current period gross
   charge-offs

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other real estate secured:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current

 

$

—

 

 

$

—

 

 

$

—

 

 

$

78

 

 

$

—

 

 

$

55

 

 

$

—

 

 

$

133

 

Past due 30-89 days

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Past due 90 days or more

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Nonaccrual

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total

 

 

—

 

 

 

—

 

 

 

—

 

 

 

78

 

 

 

—

 

 

 

55

 

 

 

—

 

 

 

133

 

Current period gross
   charge-offs

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

 

Term Loans by Origination Year

 

 

 

 

 

 

 

 

 

2023

 

 

2022

 

 

2021

 

 

2020

 

 

2019

 

 

Prior

 

 

Revolving Loans

 

 

Total

 

As of December 31, 2023

 

Consumer LHFI

 

Other loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Secured by 1-4 family residential properties

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current

 

$

258,800

 

 

$

878,893

 

 

$

516,324

 

 

$

180,272

 

 

$

98,552

 

 

$

277,664

 

 

$

—

 

 

$

2,210,505

 

Past due 30-89 days

 

 

3,370

 

 

 

11,293

 

 

 

5,513

 

 

 

2,121

 

 

 

298

 

 

 

1,664

 

 

 

—

 

 

 

24,259

 

Past due 90 days or more

 

 

376

 

 

 

1,219

 

 

 

1,208

 

 

 

682

 

 

 

—

 

 

 

255

 

 

 

—

 

 

 

3,740

 

Nonaccrual

 

 

678

 

 

 

15,586

 

 

 

11,452

 

 

 

4,884

 

 

 

1,848

 

 

 

9,366

 

 

 

—

 

 

 

43,814

 

Total

 

 

263,224

 

 

 

906,991

 

 

 

534,497

 

 

 

187,959

 

 

 

100,698

 

 

 

288,949

 

 

 

—

 

 

 

2,282,318

 

Current period gross
   charge-offs

 

 

(64

)

 

 

(930

)

 

 

(217

)

 

 

(104

)

 

 

—

 

 

 

(142

)

 

 

—

 

 

 

(1,457

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Consumer loans:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current

 

$

59,496

 

 

$

32,767

 

 

$

10,698

 

 

$

2,604

 

 

$

917

 

 

$

294

 

 

$

55,321

 

 

$

162,097

 

Past due 30-89 days

 

 

1,274

 

 

 

475

 

 

 

134

 

 

 

34

 

 

 

5

 

 

 

5

 

 

 

839

 

 

 

2,766

 

Past due 90 days or more

 

 

64

 

 

 

44

 

 

 

3

 

 

 

1

 

 

 

—

 

 

 

—

 

 

 

516

 

 

 

628

 

Nonaccrual

 

 

44

 

 

 

65

 

 

 

84

 

 

 

26

 

 

 

—

 

 

 

—

 

 

 

24

 

 

 

243

 

Total

 

 

60,878

 

 

 

33,351

 

 

 

10,919

 

 

 

2,665

 

 

 

922

 

 

 

299

 

 

 

56,700

 

 

 

165,734

 

Current period gross
   charge-offs

 

 

(6,138

)

 

 

(559

)

 

 

(167

)

 

 

(43

)

 

 

(1

)

 

 

(1

)

 

 

(2,381

)

 

 

(9,290

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total consumer LHFI

 

$

398,883

 

 

$

975,476

 

 

$

557,399

 

 

$

196,388

 

 

$

107,096

 

 

$

299,912

 

 

$

484,923

 

 

$

3,020,077

 

Total consumer LHFI
   gross charge-offs

 

$

(6,202

)

 

$

(1,589

)

 

$

(393

)

 

$

(149

)

 

$

(11

)

 

$

(165

)

 

$

(2,528

)

 

$

(11,037

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total LHFI

 

$

2,557,360

 

 

$

3,821,836

 

 

$

2,060,977

 

 

$

1,267,991

 

 

$

662,502

 

 

$

1,121,424

 

 

$

1,458,434

 

 

$

12,950,524

 

Total current period
   gross charge-offs

 

$

(6,345

)

 

$

(2,951

)

 

$

(4,601

)

 

$

(313

)

 

$

(353

)

 

$

(417

)

 

$

(2,535

)

 

$

(17,515

)

 

 

 

Term Loans by Origination Year

 

 

 

 

 

 

 

 

 

2022

 

 

2021

 

 

2020

 

 

2019

 

 

2018

 

 

Prior

 

 

Revolving Loans

 

 

Total

 

As of December 31, 2022

 

Commercial LHFI

 

Loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Construction, land development
   and other land:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass - RR 1 through RR 6

 

$

363,824

 

 

$

119,727

 

 

$

29,632

 

 

$

3,405

 

 

$

1,016

 

 

$

2,364

 

 

$

64,953

 

 

$

584,921

 

Special Mention - RR 7

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Substandard - RR 8

 

 

146

 

 

 

199

 

 

 

—

 

 

 

1,415

 

 

 

—

 

 

 

—

 

 

 

44

 

 

 

1,804

 

Doubtful - RR 9

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

42

 

 

 

—

 

 

 

42

 

Total

 

 

363,970

 

 

 

119,926

 

 

 

29,632

 

 

 

4,820

 

 

 

1,016

 

 

 

2,406

 

 

 

64,997

 

 

 

586,767

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other secured by 1-4 family residential
   properties:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass - RR 1 through RR 6

 

$

41,996

 

 

$

33,346

 

 

$

17,215

 

 

$

9,341

 

 

$

6,798

 

 

$

2,870

 

 

$

12,209

 

 

$

123,775

 

Special Mention - RR 7

 

 

29

 

 

 

64

 

 

 

17

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

110

 

Substandard - RR 8

 

 

686

 

 

 

31

 

 

 

75

 

 

 

88

 

 

 

220

 

 

 

285

 

 

 

—

 

 

 

1,385

 

Doubtful - RR 9

 

 

15

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

15

 

Total

 

 

42,726

 

 

 

33,441

 

 

 

17,307

 

 

 

9,429

 

 

 

7,018

 

 

 

3,155

 

 

 

12,209

 

 

 

125,285

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Secured by nonfarm, nonresidential
   properties:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass - RR 1 through RR 6

 

$

889,556

 

 

$

657,242

 

 

$

603,515

 

 

$

457,163

 

 

$

205,425

 

 

$

281,828

 

 

$

130,052

 

 

$

3,224,781

 

Special Mention - RR 7

 

 

10,284

 

 

 

—

 

 

 

—

 

 

 

271

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

10,555

 

Substandard - RR 8

 

 

12,034

 

 

 

1,066

 

 

 

9,457

 

 

 

905

 

 

 

706

 

 

 

18,488

 

 

 

693

 

 

 

43,349

 

Doubtful - RR 9

 

 

34

 

 

 

—

 

 

 

—

 

 

 

77

 

 

 

—

 

 

 

18

 

 

 

—

 

 

 

129

 

Total

 

 

911,908

 

 

 

658,308

 

 

 

612,972

 

 

 

458,416

 

 

 

206,131

 

 

 

300,334

 

 

 

130,745

 

 

 

3,278,814

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other real estate secured:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass - RR 1 through RR 6

 

$

293,051

 

 

$

156,386

 

 

$

143,114

 

 

$

107,827

 

 

$

11,297

 

 

$

17,626

 

 

$

12,516

 

 

$

741,817

 

Special Mention - RR 7

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Substandard - RR 8

 

 

30

 

 

 

—

 

 

 

309

 

 

 

—

 

 

 

5

 

 

 

68

 

 

 

126

 

 

 

538

 

Doubtful - RR 9

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total

 

 

293,081

 

 

 

156,386

 

 

 

143,423

 

 

 

107,827

 

 

 

11,302

 

 

 

17,694

 

 

 

12,642

 

 

 

742,355

 

 

 

 

Term Loans by Origination Year

 

 

 

 

 

 

 

 

 

2022

 

 

2021

 

 

2020

 

 

2019

 

 

2018

 

 

Prior

 

 

Revolving Loans

 

 

Total

 

As of December 31, 2022

 

Commercial LHFI

 

Other loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other construction

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass - RR 1 through RR 6

 

$

372,981

 

 

$

306,904

 

 

$

340,388

 

 

$

833

 

 

$

—

 

 

$

—

 

 

$

200

 

 

$

1,021,306

 

Special Mention - RR 7

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Substandard - RR 8

 

 

—

 

 

 

7,620

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

7,620

 

Doubtful - RR 9

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total

 

 

372,981

 

 

 

314,524

 

 

 

340,388

 

 

 

833

 

 

 

—

 

 

 

—

 

 

 

200

 

 

 

1,028,926

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial and industrial loans:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass - RR 1 through RR 6

 

$

673,848

 

 

$

261,962

 

 

$

120,123

 

 

$

44,994

 

 

$

14,265

 

 

$

69,078

 

 

$

577,749

 

 

$

1,762,019

 

Special Mention - RR 7

 

 

—

 

 

 

—

 

 

 

12,421

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

6,454

 

 

 

18,875

 

Substandard - RR 8

 

 

6,973

 

 

 

9,845

 

 

 

2,170

 

 

 

312

 

 

 

74

 

 

 

—

 

 

 

20,625

 

 

 

39,999

 

Doubtful - RR 9

 

 

240

 

 

 

53

 

 

 

10

 

 

 

4

 

 

 

35

 

 

 

—

 

 

 

24

 

 

 

366

 

Total

 

 

681,061

 

 

 

271,860

 

 

 

134,724

 

 

 

45,310

 

 

 

14,374

 

 

 

69,078

 

 

 

604,852

 

 

 

1,821,259

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

State and other political subdivision loans:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass - RR 1 through RR 6

 

$

393,345

 

 

$

223,302

 

 

$

123,350

 

 

$

39,031

 

 

$

18,876

 

 

$

421,588

 

 

$

1,671

 

 

$

1,221,163

 

Special Mention - RR 7

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

2,700

 

 

 

—

 

 

 

2,700

 

Substandard - RR 8

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Doubtful - RR 9

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total

 

 

393,345

 

 

 

223,302

 

 

 

123,350

 

 

 

39,031

 

 

 

18,876

 

 

 

424,288

 

 

 

1,671

 

 

 

1,223,863

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other commercial loans:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass - RR 1 through RR 6

 

$

88,763

 

 

$

40,006

 

 

$

28,239

 

 

$

37,607

 

 

$

6,424

 

 

$

10,829

 

 

$

244,882

 

 

$

456,750

 

Special Mention - RR 7

 

 

879

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

879

 

Substandard - RR 8

 

 

3,728

 

 

 

98

 

 

 

—

 

 

 

—

 

 

 

16

 

 

 

1,134

 

 

 

9,301

 

 

 

14,277

 

Doubtful - RR 9

 

 

24

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

24

 

Total

 

 

93,394

 

 

 

40,104

 

 

 

28,239

 

 

 

37,607

 

 

 

6,440

 

 

 

11,963

 

 

 

254,183

 

 

 

471,930

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total commercial LHFI

 

$

3,152,466

 

 

$

1,817,851

 

 

$

1,430,035

 

 

$

703,273

 

 

$

265,157

 

 

$

828,918

 

 

$

1,081,499

 

 

$

9,279,199

 

 

 

 

Term Loans by Origination Year

 

 

 

 

 

 

 

 

 

2022

 

 

2021

 

 

2020

 

 

2019

 

 

2018

 

 

Prior

 

 

Revolving Loans

 

 

Total

 

As of December 31, 2022

 

Consumer LHFI

 

Loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Construction, land development and
   other land:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current

 

$

62,049

 

 

$

32,867

 

 

$

3,304

 

 

$

1,759

 

 

$

1,679

 

 

$

1,915

 

 

$

—

 

 

$

103,573

 

Past due 30-89 days

 

 

—

 

 

 

150

 

 

 

—

 

 

 

36

 

 

 

15

 

 

 

9

 

 

 

—

 

 

 

210

 

Past due 90 days or more

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Nonaccrual

 

 

—

 

 

 

58

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

8

 

 

 

—

 

 

 

66

 

Total

 

 

62,049

 

 

 

33,075

 

 

 

3,304

 

 

 

1,795

 

 

 

1,694

 

 

 

1,932

 

 

 

—

 

 

 

103,849

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other secured by 1-4 family residential
   properties:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current

 

$

25,402

 

 

$

7,983

 

 

$

5,389

 

 

$

4,894

 

 

$

3,701

 

 

$

7,252

 

 

$

403,123

 

 

$

457,744

 

Past due 30-89 days

 

 

19

 

 

 

35

 

 

 

15

 

 

 

134

 

 

 

5

 

 

 

286

 

 

 

3,197

 

 

 

3,691

 

Past due 90 days or more

 

 

—

 

 

 

—

 

 

 

—

 

 

 

1

 

 

 

—

 

 

 

—

 

 

 

452

 

 

 

453

 

Nonaccrual

 

 

88

 

 

 

24

 

 

 

4

 

 

 

20

 

 

 

7

 

 

 

454

 

 

 

3,020

 

 

 

3,617

 

Total

 

 

25,509

 

 

 

8,042

 

 

 

5,408

 

 

 

5,049

 

 

 

3,713

 

 

 

7,992

 

 

 

409,792

 

 

 

465,505

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Secured by nonfarm, nonresidential
   properties:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current

 

$

—

 

 

$

16

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

16

 

Past due 30-89 days

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Past due 90 days or more

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Nonaccrual

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total

 

 

—

 

 

 

16

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

16

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other real estate secured:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current

 

$

—

 

 

$

—

 

 

$

89

 

 

$

—

 

 

$

5

 

 

$

89

 

 

$

—

 

 

$

183

 

Past due 30-89 days

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Past due 90 days or more

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Nonaccrual

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total

 

 

—

 

 

 

—

 

 

 

89

 

 

 

—

 

 

 

5

 

 

 

89

 

 

 

—

 

 

 

183

 

 

 

 

Term Loans by Origination Year

 

 

 

 

 

 

 

 

 

2022

 

 

2021

 

 

2020

 

 

2019

 

 

2018

 

 

Prior

 

 

Revolving Loans

 

 

Total

 

As of December 31, 2022

 

Consumer LHFI

 

Other loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Secured by 1-4 family residential properties

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current

 

$

939,511

 

 

$

559,804

 

 

$

198,769

 

 

$

109,466

 

 

$

80,249

 

 

$

262,196

 

 

$

—

 

 

$

2,149,995

 

Past due 30-89 days

 

 

3,967

 

 

 

3,752

 

 

 

2,119

 

 

 

425

 

 

 

—

 

 

 

1,906

 

 

 

—

 

 

 

12,169

 

Past due 90 days or more

 

 

835

 

 

 

777

 

 

 

272

 

 

 

—

 

 

 

134

 

 

 

1,100

 

 

 

—

 

 

 

3,118

 

Nonaccrual

 

 

2,363

 

 

 

4,180

 

 

 

3,275

 

 

 

1,896

 

 

 

2,028

 

 

 

6,033

 

 

 

—

 

 

 

19,775

 

Total

 

 

946,676

 

 

 

568,513

 

 

 

204,435

 

 

 

111,787

 

 

 

82,411

 

 

 

271,235

 

 

 

—

 

 

 

2,185,057

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Consumer loans:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current

 

$

70,858

 

 

$

25,771

 

 

$

9,514

 

 

$

2,509

 

 

$

1,513

 

 

$

295

 

 

$

56,508

 

 

$

166,968

 

Past due 30-89 days

 

 

1,431

 

 

 

238

 

 

 

159

 

 

 

8

 

 

 

23

 

 

 

10

 

 

 

946

 

 

 

2,815

 

Past due 90 days or more

 

 

28

 

 

 

12

 

 

 

7

 

 

 

1

 

 

 

2

 

 

 

—

 

 

 

216

 

 

 

266

 

Nonaccrual

 

 

79

 

 

 

41

 

 

 

19

 

 

 

17

 

 

 

4

 

 

 

—

 

 

 

21

 

 

 

181

 

Total

 

 

72,396

 

 

 

26,062

 

 

 

9,699

 

 

 

2,535

 

 

 

1,542

 

 

 

305

 

 

 

57,691

 

 

 

170,230

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total consumer LHFI

 

$

1,106,630

 

 

$

635,708

 

 

$

222,935

 

 

$

121,166

 

 

$

89,365

 

 

$

281,553

 

 

$

467,483

 

 

$

2,924,840

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total LHFI

 

$

4,259,096

 

 

$

2,453,559

 

 

$

1,652,970

 

 

$

824,439

 

 

$

354,522

 

 

$

1,110,471

 

 

$

1,548,982

 

 

$

12,204,039

 
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

 

DCF

 

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

 

 

 

 

Equipment finance loans

 

WARM

 

Southern Unemployment, Southern GDP

 

 

 

 

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 and leases

 

Other commercial loans and leases

 

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

 

 

 

 

Equipment finance leases

 

WARM

 

Southern Unemployment, Southern GDP
Change in Allowance for Loan Losses

The following tables disaggregate the ACL, LHFI and the amortized cost basis of the loans by the measurement methodology used at December 31, 2023 and 2022 ($ in thousands):

 

 

 

December 31, 2023

 

 

 

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

 

$

—

 

 

$

17,192

 

 

$

17,192

 

 

$

2,020

 

 

 

640,866

 

 

$

642,886

 

Other secured by 1-4 family residential properties

 

 

—

 

 

 

12,942

 

 

 

12,942

 

 

 

946

 

 

 

621,451

 

 

 

622,397

 

Secured by nonfarm, nonresidential properties

 

 

—

 

 

 

24,043

 

 

 

24,043

 

 

 

20,812

 

 

 

3,468,622

 

 

 

3,489,434

 

Other real estate secured

 

 

—

 

 

 

4,488

 

 

 

4,488

 

 

 

—

 

 

 

1,312,551

 

 

 

1,312,551

 

Other loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other construction

 

 

—

 

 

 

5,758

 

 

 

5,758

 

 

 

—

 

 

 

867,793

 

 

 

867,793

 

Secured by 1-4 family residential properties

 

 

—

 

 

 

34,794

 

 

 

34,794

 

 

 

3,235

 

 

 

2,279,083

 

 

 

2,282,318

 

Commercial and industrial loans

 

 

11,436

 

 

 

15,202

 

 

 

26,638

 

 

 

21,102

 

 

 

1,901,808

 

 

 

1,922,910

 

Consumer loans

 

 

—

 

 

 

5,794

 

 

 

5,794

 

 

 

—

 

 

 

165,734

 

 

 

165,734

 

State and other political subdivision loans

 

 

—

 

 

 

646

 

 

 

646

 

 

 

—

 

 

 

1,088,466

 

 

 

1,088,466

 

Other commercial loans and leases

 

 

967

 

 

 

6,105

 

 

 

7,072

 

 

 

967

 

 

 

555,068

 

 

 

556,035

 

Total

 

$

12,403

 

 

$

126,964

 

 

$

139,367

 

 

$

49,082

 

 

$

12,901,442

 

 

$

12,950,524

 

 

 

 

 

December 31, 2022

 

 

 

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

 

$

121

 

 

$

12,707

 

 

$

12,828

 

 

$

1,558

 

 

$

689,058

 

 

$

690,616

 

Other secured by 1-4 family residential properties

 

 

—

 

 

 

12,374

 

 

 

12,374

 

 

 

482

 

 

 

590,308

 

 

 

590,790

 

Secured by nonfarm, nonresidential properties

 

 

—

 

 

 

19,488

 

 

 

19,488

 

 

 

4,841

 

 

 

3,273,989

 

 

 

3,278,830

 

Other real estate secured

 

 

—

 

 

 

4,743

 

 

 

4,743

 

 

 

—

 

 

 

742,538

 

 

 

742,538

 

Other loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other construction

 

 

7,620

 

 

 

7,512

 

 

 

15,132

 

 

 

7,620

 

 

 

1,021,306

 

 

 

1,028,926

 

Secured by 1-4 family residential properties

 

 

—

 

 

 

21,185

 

 

 

21,185

 

 

 

1,193

 

 

 

2,183,864

 

 

 

2,185,057

 

Commercial and industrial loans

 

 

9,946

 

 

 

13,194

 

 

 

23,140

 

 

 

24,594

 

 

 

1,796,665

 

 

 

1,821,259

 

Consumer loans

 

 

—

 

 

 

5,792

 

 

 

5,792

 

 

 

—

 

 

 

170,230

 

 

 

170,230

 

State and other political subdivision loans

 

 

—

 

 

 

885

 

 

 

885

 

 

 

—

 

 

 

1,223,863

 

 

 

1,223,863

 

Other commercial loans

 

 

—

 

 

 

4,647

 

 

 

4,647

 

 

 

—

 

 

 

471,930

 

 

 

471,930

 

Total

 

$

17,687

 

 

$

102,527

 

 

$

120,214

 

 

$

40,288

 

 

$

12,163,751

 

 

$

12,204,039

 

 

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

 

 

 

Years Ended December 31,

 

 

 

2023

 

 

2022

 

 

2021

 

Balance at beginning of period

 

$

120,214

 

 

$

99,457

 

 

$

117,306

 

Loans charged-off

 

 

(17,515

)

 

 

(11,332

)

 

 

(10,275

)

Recoveries

 

 

9,306

 

 

 

10,412

 

 

 

13,925

 

Net (charge-offs) recoveries

 

 

(8,209

)

 

 

(920

)

 

 

3,650

 

PCL, LHFI

 

 

27,362

 

 

 

21,677

 

 

 

(21,499

)

Balance at end of period

 

$

139,367

 

 

$

120,214

 

 

$

99,457

 

 

The following tables detail changes in the ACL, LHFI by loan class for the years ended December 31, 2023 and 2022 ($ in thousands):

 

 

 

2023

 

 

 

Balance

 

 

 

 

 

 

 

 

 

 

 

Balance

 

 

 

January 1,

 

 

Charge-offs

 

 

Recoveries

 

 

PCL

 

 

December 31,

 

Loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Construction, land development and other land

 

$

12,828

 

 

$

(242

)

 

$

142

 

 

$

4,464

 

 

$

17,192

 

Other secured by 1-4 family residential properties

 

 

12,374

 

 

 

(320

)

 

 

439

 

 

 

449

 

 

 

12,942

 

Secured by nonfarm, nonresidential properties

 

 

19,488

 

 

 

(278

)

 

 

2,328

 

 

 

2,505

 

 

 

24,043

 

Other real estate secured

 

 

4,743

 

 

 

—

 

 

 

28

 

 

 

(283

)

 

 

4,488

 

Other loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other construction

 

 

15,132

 

 

 

(3,453

)

 

 

73

 

 

 

(5,994

)

 

 

5,758

 

Secured by 1-4 family residential properties

 

 

21,185

 

 

 

(1,457

)

 

 

38

 

 

 

15,028

 

 

 

34,794

 

Commercial and industrial loans

 

 

23,140

 

 

 

(2,161

)

 

 

1,066

 

 

 

4,593

 

 

 

26,638

 

Consumer loans

 

 

5,792

 

 

 

(9,290

)

 

 

5,192

 

 

 

4,100

 

 

 

5,794

 

State and other political subdivision loans

 

 

885

 

 

 

—

 

 

 

—

 

 

 

(239

)

 

 

646

 

Other commercial loans and leases

 

 

4,647

 

 

 

(314

)

 

 

—

 

 

 

2,739

 

 

 

7,072

 

Total

 

$

120,214

 

 

$

(17,515

)

 

$

9,306

 

 

$

27,362

 

 

$

139,367

 

 

The PCL, LHFI for the year ended December 31, 2023 was primarily attributable to loan growth, extended maturities on the secured by 1-4 family residential properties resulting from lower prepayment speeds, changes in the macroeconomic forecast and net adjustments to the qualitative factors.

 

The negative PCL, LHFI for the other construction portfolio for the year ended December 31, 2023 was primarily due to the transfer of a fully-reserved nonaccrual loan to other real estate, net.

 

 

 

2022

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Balance
January 1,

 

 

Charge-offs

 

 

Recoveries

 

 

PCL

 

 

Balance
December 31,

 

Loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Construction, land development and other land

 

$

6,079

 

 

$

(226

)

 

$

1,280

 

 

$

5,695

 

 

$

12,828

 

Other secured by 1-4 family residential properties

 

 

10,310

 

 

 

(225

)

 

 

597

 

 

 

1,692

 

 

 

12,374

 

Secured by nonfarm, nonresidential properties

 

 

37,912

 

 

 

(306

)

 

 

1,724

 

 

 

(19,842

)

 

 

19,488

 

Other real estate secured

 

 

4,713

 

 

 

(131

)

 

 

14

 

 

 

147

 

 

 

4,743

 

Other loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other construction

 

 

5,968

 

 

 

(153

)

 

 

222

 

 

 

9,095

 

 

 

15,132

 

Secured by 1-4 family residential properties

 

 

2,706

 

 

 

(154

)

 

 

167

 

 

 

18,466

 

 

 

21,185

 

Commercial and industrial loans

 

 

18,939

 

 

 

(671

)

 

 

955

 

 

 

3,917

 

 

 

23,140

 

Consumer loans

 

 

4,774

 

 

 

(2,125

)

 

 

1,563

 

 

 

1,580

 

 

 

5,792

 

State and other political subdivision loans

 

 

2,708

 

 

 

—

 

 

 

—

 

 

 

(1,823

)

 

 

885

 

Other commercial loans

 

 

5,348

 

 

 

(7,341

)

 

 

3,890

 

 

 

2,750

 

 

 

4,647

 

Total

 

$

99,457

 

 

$

(11,332

)

 

$

10,412

 

 

$

21,677

 

 

$

120,214

 
v3.24.0.1
Premises and Equipment, Net (Tables)
 12 Months Ended
Dec. 31, 2023
Property, Plant and Equipment [Abstract]  
Premises and Equipment, Net

At December 31, 2023 and 2022, premises and equipment, net consisted of the following ($ in thousands):

 

 

 

December 31,

 

 

 

2023

 

 

2022

 

Land

 

$

56,747

 

 

$

54,300

 

Buildings and leasehold improvements

 

 

247,173

 

 

 

237,215

 

Furniture and equipment

 

 

212,625

 

 

 

198,698

 

Total cost of premises and equipment

 

 

516,545

 

 

 

490,213

 

Less accumulated depreciation and amortization

 

 

288,956

 

 

 

282,385

 

Premises and equipment, net

 

 

227,589

 

 

 

207,828

 

Finance lease right-of-use assets

 

 

3,751

 

 

 

4,537

 

Assets held for sale

 

 

1,197

 

 

 

—

 

Total premises and equipment, net

 

$

232,537

 

 

$

212,365

 
v3.24.0.1
Mortgage Banking (Tables)
 12 Months Ended
Dec. 31, 2023
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,

 

 

 

2023

 

 

2022

 

Balance at beginning of period

 

$

129,677

 

 

$

87,687

 

Origination of servicing assets

 

 

13,712

 

 

 

17,843

 

Change in fair value:

 

 

 

 

 

 

Due to market changes

 

 

(1,489

)

 

 

38,181

 

Due to runoff

 

 

(10,030

)

 

 

(14,034

)

Balance at end of period

 

$

131,870

 

 

$

129,677

 
Schedule of Mortgage Loans Sold and Serviced for Others

The table below details the mortgage loans sold and serviced for others at December 31, 2023 and 2022 ($ in thousands):

 

 

 

December 31,

 

 

 

2023

 

 

2022

 

Federal National Mortgage Association

 

$

4,826,028

 

 

$

4,684,815

 

Government National Mortgage Association

 

 

3,510,983

 

 

 

3,350,222

 

Federal Home Loan Mortgage Corporation

 

 

112,352

 

 

 

52,023

 

Other

 

 

28,012

 

 

 

28,764

 

Total mortgage loans sold and serviced for others

 

$

8,477,375

 

 

$

8,115,824

 
v3.24.0.1
Goodwill and Identifiable Intangible Assets (Tables)
 12 Months Ended
Dec. 31, 2023
Goodwill and Intangible Assets Disclosure [Abstract]  
Goodwill by segment

The table below illustrates goodwill by segment for the years ended December 31, 2023 and 2022 ($ in thousands):

 

 

 

General

 

 

 

 

 

 

 

 

 

Banking

 

 

Insurance

 

 

Total

 

Balance as of January 1, 2022

 

$

334,603

 

 

$

49,634

 

 

$

384,237

 

Adjustment during 2022

 

 

—

 

 

 

—

 

 

 

—

 

Balance as of December 31, 2022

 

 

334,603

 

 

 

49,634

 

 

 

384,237

 

Adjustment during 2023

 

 

—

 

 

 

—

 

 

 

—

 

Balance as of December 31, 2023

 

$

334,603

 

 

$

49,634

 

 

$

384,237

 
Schedule of identifiable intangible assets

At December 31, 2023 and 2022, identifiable intangible assets consisted of the following ($ in thousands):

 

 

 

December 31, 2023

 

 

December 31, 2022

 

 

 

Gross Carrying

 

 

Accumulated

 

 

Net Carrying

 

 

Gross Carrying

 

 

Accumulated

 

 

Net Carrying

 

 

 

Amount

 

 

Amortization

 

 

Amount

 

 

Amount

 

 

Amortization

 

 

Amount

 

Core deposit intangibles

 

$

87,674

 

 

$

87,439

 

 

$

235

 

 

$

87,674

 

 

$

87,199

 

 

$

475

 

Insurance intangibles

 

 

17,272

 

 

 

14,542

 

 

 

2,730

 

 

 

17,272

 

 

 

14,157

 

 

 

3,115

 

Banking charters

 

 

1,325

 

 

 

1,325

 

 

 

—

 

 

 

1,325

 

 

 

1,275

 

 

 

50

 

Total

 

$

106,271

 

 

$

103,306

 

 

$

2,965

 

 

$

106,271

 

 

$

102,631

 

 

$

3,640

 

The following table illustrates the carrying amounts and remaining weighted-average amortization periods of identifiable intangible assets at December 31, 2023 ($ in thousands):

 

 

 

 

 

Remaining

 

 

 

 

 

 

Weighted-

 

 

 

 

 

 

Average

 

 

 

Net Carrying

 

 

Amortization

 

 

 

Amount

 

 

Period in Years

 

Core deposit intangibles

 

$

235

 

 

 

3.2

 

Insurance intangibles

 

 

2,730

 

 

 

14.9

 

Total

 

$

2,965

 

 

 

13.9

 
v3.24.0.1
Other Real Estate (Tables)
 12 Months Ended
Dec. 31, 2023
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,

 

 

 

2023

 

 

2022

 

 

2021

 

Balance at beginning of period

 

$

1,986

 

 

$

4,557

 

 

$

11,651

 

Additions

 

 

7,237

 

 

 

1,533

 

 

 

770

 

Disposals

 

 

(2,555

)

 

 

(4,142

)

 

 

(6,932

)

(Write-downs) recoveries

 

 

199

 

 

 

38

 

 

 

(932

)

Balance at end of period

 

$

6,867

 

 

$

1,986

 

 

$

4,557

 

 

 

 

 

 

 

 

 

 

 

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

 

$

(145

)

 

$

(1,006

)

 

$

(1,869

)
Other Real Estate, By Type of Property

At December 31, 2023 and 2022, other real estate by type of property consisted of the following ($ in thousands):

 

 

 

December 31,

 

 

 

2023

 

 

2022

 

1-4 family residential properties

 

$

1,977

 

 

$

1,128

 

Nonfarm, nonresidential properties

 

 

4,835

 

 

 

561

 

Other real estate properties

 

 

55

 

 

 

297

 

Total other real estate

 

$

6,867

 

 

$

1,986

 
Other Real Estate, By Geographic Location

At December 31, 2023 and 2022, other real estate by geographic location consisted of the following ($ in thousands):

 

 

 

December 31,

 

 

 

2023

 

 

2022

 

Alabama

 

$

1,397

 

 

$

194

 

Mississippi (1)

 

 

1,242

 

 

 

1,769

 

Tennessee (2)

 

 

—

 

 

 

23

 

Texas

 

 

4,228

 

 

 

—

 

Total other real estate

 

$

6,867

 

 

$

1,986

 
(1)
Mississippi includes Central and Southern Mississippi Regions.
(2)
Tennessee includes Memphis, Tennessee and Northern Mississippi Regions.
v3.24.0.1
Leases (Tables)
 12 Months Ended
Dec. 31, 2023
Leases [Abstract]  
Components of the Trustmark's net investment in its sales-type and direct financing leases

The table below summarizes the components of Trustmark's net investment in its sales-type and direct financing leases at December 31, 2023 ($ in thousands):

 

 

 

December 31, 2023

 

Leases receivable

 

$

161,319

 

Unearned income

 

 

(29,011

)

Initial direct costs

 

 

1,326

 

Unguaranteed lease residual

 

 

4,101

 

Total net investment

 

$

137,735

 
Minimum Future Lease Payments for Trustmark's Leases Receivable

The table below details the minimum future lease payments for Trustmark's leases receivable at December 31, 2023 ($ in thousands):

 

 

 

December 31, 2023

 

2024

 

$

24,647

 

2025

 

 

25,617

 

2026

 

 

24,176

 

2027

 

 

36,295

 

2028

 

 

21,141

 

Thereafter

 

 

29,443

 

Total leases receivable

 

$

161,319

 

 
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,

 

 

 

2023

 

 

2022

 

 

2021

 

Finance leases

 

 

 

 

 

 

 

 

 

Amortization of right-of-use assets

 

$

786

 

 

$

1,479

 

 

$

1,546

 

Interest on lease liabilities

 

 

163

 

 

 

188

 

 

 

219

 

Operating lease cost

 

 

5,311

 

 

 

5,172

 

 

 

5,275

 

Short-term lease cost

 

 

277

 

 

 

389

 

 

 

463

 

Variable lease cost

 

 

906

 

 

 

1,150

 

 

 

1,234

 

Sublease income

 

 

(12

)

 

 

(168

)

 

 

(350

)

Net lease cost

 

$

7,431

 

 

$

8,210

 

 

$

8,387

 
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,

 

 

 

2023

 

 

2022

 

 

2021

 

Finance leases

 

 

 

 

 

 

 

 

 

Operating cash flows included in operating activities

 

$

163

 

 

$

188

 

 

$

219

 

Financing cash flows included in payments under finance lease
   obligations

 

 

721

 

 

 

1,409

 

 

 

1,434

 

Operating leases

 

 

 

 

 

 

 

 

 

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

 

 

4,188

 

 

 

4,829

 

 

 

4,781

 

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

 

 

3,643

 

 

 

4,009

 

 

 

3,948

 
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, related to leases at December 31, 2023 and 2022 ($ in thousands):

 

 

December 31,

 

 

 

2023

 

 

2022

 

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

 

$

3,751

 

 

$

4,537

 

Finance lease liabilities

 

 

4,334

 

 

 

5,055

 

Operating lease right-of-use assets

 

 

38,142

 

 

 

36,301

 

Operating lease liabilities

 

 

41,584

 

 

 

38,932

 

 

 

 

 

 

 

 

Weighted-average lease term

 

 

 

 

 

 

Finance leases

 

8.34 years

 

 

8.72 years

 

Operating leases

 

10.13 years

 

 

9.64 years

 

 

 

 

 

 

 

 

Weighted-average discount rate

 

 

 

 

 

 

Finance leases

 

 

3.61

%

 

 

3.49

%

Operating leases

 

 

3.64

%

 

 

3.22

%
Future Minimum Rental Commitments Under Finance and Operating Leases

At December 31, 2023, future minimum rental commitments under finance and operating leases were as follows ($ in thousands):

 

 

 

Finance Leases

 

 

Operating Leases

 

2024

 

$

573

 

 

$

5,051

 

2025

 

 

584

 

 

 

5,119

 

2026

 

 

589

 

 

 

4,967

 

2027

 

 

594

 

 

 

5,020

 

2028

 

 

599

 

 

 

4,860

 

Thereafter

 

 

2,086

 

 

 

25,452

 

Total minimum lease payments

 

 

5,025

 

 

 

50,469

 

Less imputed interest

 

 

(691

)

 

 

(8,885

)

Lease liabilities

 

$

4,334

 

 

$

41,584

 
v3.24.0.1
Deposits (Tables)
 12 Months Ended
Dec. 31, 2023
Deposits [Abstract]  
Deposits Summary

At December 31, 2023 and 2022, deposits consisted of the following ($ in thousands):

 

 

December 31,

 

 

 

2023

 

 

2022

 

Noninterest-bearing demand

 

$

3,197,620

 

 

$

4,093,771

 

Interest-bearing demand

 

 

4,947,626

 

 

 

4,773,219

 

Savings

 

 

4,047,853

 

 

 

4,282,435

 

Time

 

 

3,376,664

 

 

 

1,288,223

 

Total

 

$

15,569,763

 

 

$

14,437,648

 
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,

 

 

 

2023

 

 

2022

 

 

2021

 

Interest-bearing demand

 

$

121,138

 

 

$

16,409

 

 

$

4,906

 

Savings

 

 

28,605

 

 

 

9,654

 

 

 

7,912

 

Time

 

 

96,208

 

 

 

3,006

 

 

 

4,127

 

Total

 

$

245,951

 

 

$

29,069

 

 

$

16,945

 
Maturities of Interest-Bearing Deposits

The maturities of interest-bearing deposits at December 31, 2023, are as follows ($ in thousands):

 

2024

 

$

3,199,607

 

2025

 

 

142,607

 

2026

 

 

19,632

 

2027

 

 

7,433

 

2028

 

 

5,503

 

Thereafter

 

 

1,882

 

Total time deposits

 

 

3,376,664

 

Interest-bearing deposits with no stated maturity

 

 

8,995,479

 

Total interest-bearing deposits

 

$

12,372,143

 
v3.24.0.1
Borrowings (Tables)
 12 Months Ended
Dec. 31, 2023
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, 2023 and 2022 ($ in thousands):

 

 

December 31,

 

 

 

2023

 

 

2022

 

Mortgage-backed securities

 

 

 

 

 

 

Residential mortgage pass-through securities

 

 

 

 

Issued by FNMA and FHLMC

 

$

28,600

 

 

$

41,732

 

Other residential mortgage-backed securities

 

 

 

 

 

 

Issued or guaranteed by FNMA, FHLMC or GNMA

 

 

526

 

 

 

1,111

 

Commercial mortgage-backed securities

 

 

 

 

 

 

Issued or guaranteed by FNMA, FHLMC or GNMA

 

 

—

 

 

 

21,277

 

Total securities sold under repurchase agreements

 

$

29,126

 

 

$

64,120

 
Summary of Other Borrowings

At December 31, 2023 and 2022, other borrowings consisted of the following ($ in thousands):

 

 

 

December 31,

 

 

 

2023

 

 

2022

 

FHLB advances

 

$

400,058

 

 

$

975,078

 

Serviced GNMA loans eligible for repurchase

 

 

78,838

 

 

 

70,805

 

Finance lease liabilities

 

 

4,334

 

 

 

5,055

 

Total other borrowings

 

$

483,230

 

 

$

1,050,938

 
v3.24.0.1
Revenue from Contracts with Customers (Tables)
 12 Months Ended
Dec. 31, 2023
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, 2023

 

 

Year Ended December 31, 2022

 

 

Year Ended December 31, 2021

 

 

 

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

 

$

43,329

 

 

$

—

 

 

$

43,329

 

 

$

42,073

 

 

$

—

 

 

$

42,073

 

 

$

33,169

 

 

$

—

 

 

$

33,169

 

Bank card and other fees

 

 

30,387

 

 

 

2,995

 

 

 

33,382

 

 

 

31,474

 

 

 

4,584

 

 

 

36,058

 

 

 

30,897

 

 

 

3,727

 

 

 

34,624

 

Mortgage banking, net

 

 

—

 

 

 

26,216

 

 

 

26,216

 

 

 

—

 

 

 

28,306

 

 

 

28,306

 

 

 

—

 

 

 

63,750

 

 

 

63,750

 

Wealth management

 

 

838

 

 

 

—

 

 

 

838

 

 

 

639

 

 

 

—

 

 

 

639

 

 

 

48

 

 

 

—

 

 

 

48

 

Other, net

 

 

11,769

 

 

 

(2,076

)

 

 

9,693

 

 

 

8,469

 

 

 

805

 

 

 

9,274

 

 

 

6,621

 

 

 

(338

)

 

 

6,283

 

Security gains (losses),
   net

 

 

—

 

 

 

39

 

 

 

39

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total noninterest
   income

 

$

86,323

 

 

$

27,174

 

 

$

113,497

 

 

$

82,655

 

 

$

33,695

 

 

$

116,350

 

 

$

70,735

 

 

$

67,139

 

 

$

137,874

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Wealth Management
   Segment

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Service charges on
   deposit accounts

 

$

87

 

 

$

—

 

 

$

87

 

 

$

84

 

 

$

—

 

 

$

84

 

 

$

77

 

 

$

—

 

 

$

77

 

Bank card and other fees

 

 

57

 

 

 

—

 

 

 

57

 

 

 

47

 

 

 

—

 

 

 

47

 

 

 

38

 

 

 

—

 

 

 

38

 

Wealth management

 

 

34,254

 

 

 

—

 

 

 

34,254

 

 

 

34,374

 

 

 

—

 

 

 

34,374

 

 

 

35,142

 

 

 

—

 

 

 

35,142

 

Other, net

 

 

162

 

 

 

376

 

 

 

538

 

 

 

528

 

 

 

39

 

 

 

567

 

 

 

130

 

 

 

33

 

 

 

163

 

Total noninterest
   income

 

$

34,560

 

 

$

376

 

 

$

34,936

 

 

$

35,033

 

 

$

39

 

 

$

35,072

 

 

$

35,387

 

 

$

33

 

 

$

35,420

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Insurance Segment

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Insurance commissions

 

$

57,569

 

 

$

—

 

 

$

57,569

 

 

$

53,721

 

 

$

—

 

 

$

53,721

 

 

$

48,511

 

 

$

—

 

 

$

48,511

 

Other, net

 

 

956

 

 

 

—

 

 

 

956

 

 

 

1

 

 

 

—

 

 

 

1

 

 

 

105

 

 

 

—

 

 

 

105

 

Total noninterest
   income

 

$

58,525

 

 

$

—

 

 

$

58,525

 

 

$

53,722

 

 

$

—

 

 

$

53,722

 

 

$

48,616

 

 

$

—

 

 

$

48,616

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Consolidated

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Service charges on
   deposit accounts

 

$

43,416

 

 

$

—

 

 

$

43,416

 

 

$

42,157

 

 

$

—

 

 

$

42,157

 

 

$

33,246

 

 

$

—

 

 

$

33,246

 

Bank card and other fees

 

 

30,444

 

 

 

2,995

 

 

 

33,439

 

 

 

31,521

 

 

 

4,584

 

 

 

36,105

 

 

 

30,935

 

 

 

3,727

 

 

 

34,662

 

Mortgage banking, net

 

 

—

 

 

 

26,216

 

 

 

26,216

 

 

 

—

 

 

 

28,306

 

 

 

28,306

 

 

 

—

 

 

 

63,750

 

 

 

63,750

 

Insurance commissions

 

 

57,569

 

 

 

—

 

 

 

57,569

 

 

 

53,721

 

 

 

—

 

 

 

53,721

 

 

 

48,511

 

 

 

—

 

 

 

48,511

 

Wealth management

 

 

35,092

 

 

 

—

 

 

 

35,092

 

 

 

35,013

 

 

 

—

 

 

 

35,013

 

 

 

35,190

 

 

 

—

 

 

 

35,190

 

Other, net

 

 

12,887

 

 

 

(1,700

)

 

 

11,187

 

 

 

8,998

 

 

 

844

 

 

 

9,842

 

 

 

6,856

 

 

 

(305

)

 

 

6,551

 

Security gains (losses),
   net

 

 

—

 

 

 

39

 

 

 

39

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total noninterest
   income

 

$

179,408

 

 

$

27,550

 

 

$

206,958

 

 

$

171,410

 

 

$

33,734

 

 

$

205,144

 

 

$

154,738

 

 

$

67,172

 

 

$

221,910

 
(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.
v3.24.0.1
Income Taxes (Tables)
 12 Months Ended
Dec. 31, 2023
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,

 

 

 

2023

 

 

2022

 

 

2021

 

Current

 

 

 

 

 

 

 

 

 

Federal

 

$

29,450

 

 

$

15,377

 

 

$

5,815

 

State

 

 

7,197

 

 

 

3,283

 

 

 

2,118

 

Deferred

 

 

 

 

 

 

 

 

 

Federal

 

 

(3,840

)

 

 

(13,440

)

 

 

16,092

 

State

 

 

(960

)

 

 

(3,360

)

 

 

4,023

 

Income tax provision

 

$

31,847

 

 

$

1,860

 

 

$

28,048

 
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,

 

 

 

2023

 

 

2022

 

 

2021

 

Income tax computed at statutory tax rate

 

$

41,441

 

 

$

15,487

 

 

$

36,837

 

Tax exempt interest

 

 

(5,521

)

 

 

(4,419

)

 

 

(3,935

)

Nondeductible interest expense

 

 

2,104

 

 

 

271

 

 

 

106

 

State income taxes, net

 

 

5,686

 

 

 

2,596

 

 

 

1,673

 

Income tax credits, net

 

 

(11,904

)

 

 

(10,071

)

 

 

(10,479

)

Death benefit gains

 

 

(80

)

 

 

(287

)

 

 

(175

)

Other

 

 

121

 

 

 

(1,717

)

 

 

4,021

 

Income tax provision

 

$

31,847

 

 

$

1,860

 

 

$

28,048

 
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, 2023 and 2022, which are included in other assets on the accompanying consolidated balance sheets ($ in thousands):

 

 

December 31,

 

 

 

2023

 

 

2022

 

Deferred tax assets:

 

 

 

 

 

 

Litigation losses

 

$

26,647

 

 

$

25,187

 

Other real estate

 

 

1,743

 

 

 

70

 

Accumulated credit losses

 

 

43,473

 

 

 

39,370

 

Deferred compensation

 

 

17,893

 

 

 

17,695

 

Finance and operating lease liabilities

 

 

11,426

 

 

 

10,997

 

Realized built-in losses

 

 

8,429

 

 

 

9,180

 

Securities

 

 

68,223

 

 

 

84,813

 

Pension and other postretirement benefit plans

 

 

2,025

 

 

 

1,931

 

Interest on nonaccrual loans

 

 

1,218

 

 

 

1,159

 

LHFS

 

 

777

 

 

 

205

 

Stock-based compensation

 

 

3,196

 

 

 

2,647

 

Derivatives

 

 

2,993

 

 

 

5,056

 

Other

 

 

10,543

 

 

 

10,038

 

Gross deferred tax asset

 

 

198,586

 

 

 

208,348

 

 

 

 

 

 

 

 

Deferred tax liabilities:

 

 

 

 

 

 

Goodwill and other identifiable intangibles

 

 

14,297

 

 

 

14,378

 

Premises and equipment

 

 

17,382

 

 

 

15,978

 

Finance and operating lease right-of-use assets

 

 

10,420

 

 

 

10,209

 

MSR

 

 

26,271

 

 

 

24,452

 

Securities

 

 

3,181

 

 

 

2,069

 

Other

 

 

2,264

 

 

 

2,876

 

Gross deferred tax liability

 

 

73,815

 

 

 

69,962

 

Net deferred tax asset

 

$

124,771

 

 

$

138,386

 

 
Changes in Unrecognized Tax Benefits

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

 

 

 

December 31,

 

 

 

2023

 

 

2022

 

 

2021

 

Balance at beginning of period

 

$

2,316

 

 

$

2,129

 

 

$

1,781

 

Change due to tax positions taken during the current year

 

 

1,333

 

 

 

653

 

 

 

412

 

Change due to tax positions taken during a prior year

 

 

(426

)

 

 

(266

)

 

 

107

 

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

 

 

(359

)

 

 

(200

)

 

 

(171

)

Balance at end of period

 

$

2,864

 

 

$

2,316

 

 

$

2,129

 

 

 

 

 

 

 

 

 

 

 

Accrued interest, net of federal benefit

 

$

470

 

 

$

489

 

 

$

419

 

 

 

 

 

 

 

 

 

 

 

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

 

$

2,518

 

 

$

1,948

 

 

$

1,766

 
v3.24.0.1
Defined Benefit and Other Postretirement Benefits (Tables)
 12 Months Ended
Dec. 31, 2023
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,

 

 

 

2023

 

 

2022

 

Change in benefit obligation:

 

 

 

 

 

 

Benefit obligation, beginning of year

 

$

6,907

 

 

$

8,647

 

Service cost

 

 

52

 

 

 

115

 

Interest cost

 

 

292

 

 

 

192

 

Actuarial (gain) loss

 

 

164

 

 

 

(1,882

)

Benefits paid

 

 

(1,492

)

 

 

(165

)

Benefit obligation, end of year

 

$

5,923

 

 

$

6,907

 

 

 

 

 

 

 

 

Change in plan assets:

 

 

 

 

 

 

Fair value of plan assets, beginning of year

 

$

2,907

 

 

$

2,900

 

Actual return on plan assets

 

 

237

 

 

 

(285

)

Employer contributions

 

 

751

 

 

 

457

 

Benefit payments

 

 

(1,492

)

 

 

(165

)

Fair value of plan assets, end of year

 

$

2,403

 

 

$

2,907

 

 

 

 

 

 

 

 

Funded status at end of year - net liability

 

$

(3,520

)

 

$

(4,000

)

 

 

 

 

 

 

 

Amounts recognized in accumulated other comprehensive loss:

 

 

 

 

 

 

Net (gain) loss - amount recognized

 

$

(262

)

 

$

(271

)

 

 

 

 

 

 

 

Actuarial (gain) loss included in benefit obligation:

 

 

 

 

 

 

Change in discount rate

 

$

124

 

 

$

(2,174

)

Change in mortality table

 

 

(38

)

 

 

—

 

Other

 

 

78

 

 

 

292

 

Actuarial (gain) loss

 

$

164

 

 

$

(1,882

)
Net Periodic Benefit Cost

 

 

Years Ended December 31,

 

 

 

2023

 

 

2022

 

 

2021

 

Net periodic benefit cost:

 

 

 

 

 

 

 

 

 

Service cost

 

$

52

 

 

$

115

 

 

$

252

 

Interest cost

 

 

292

 

 

 

192

 

 

 

173

 

Expected return on plan assets

 

 

(107

)

 

 

(121

)

 

 

(130

)

Recognized net loss due to lump sum settlements

 

 

25

 

 

 

—

 

 

 

183

 

Recognized net actuarial loss

 

 

—

 

 

 

224

 

 

 

594

 

Net periodic benefit cost

 

$

262

 

 

$

410

 

 

$

1,072

 

 

 

 

 

 

 

 

 

 

 

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)

 

$

9

 

 

$

(1,699

)

 

$

(1,136

)

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

 

$

271

 

 

$

(1,289

)

 

$

(64

)

 

 

 

 

 

 

 

 

 

 

Weighted-average assumptions as of end of year:

 

 

 

 

 

 

 

 

 

Discount rate for benefit obligation

 

 

4.67

%

 

 

4.88

%

 

 

2.41

%

Discount rate for net periodic benefit cost

 

 

4.88

%

 

 

2.41

%

 

 

1.95

%

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, 2023 and 2022.

 

 

December 31,

 

 

 

2023

 

 

2022

 

Money market fund

 

 

27.0

%

 

 

7.0

%

Exchange traded funds:

 

 

 

 

 

 

Equity securities

 

 

36.0

%

 

 

47.0

%

Fixed income

 

 

28.0

%

 

 

39.0

%

International

 

 

9.0

%

 

 

7.0

%

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, 2023 and 2022 ($ in thousands):

 

 

December 31, 2023

 

 

 

Total

 

 

Level 1

 

 

Level 2

 

 

Level 3

 

Money market fund

 

$

643

 

 

$

643

 

 

$

—

 

 

$

—

 

Exchange traded funds:

 

 

 

 

 

 

 

 

 

 

 

 

Equity securities

 

 

861

 

 

 

861

 

 

 

—

 

 

 

—

 

Fixed income

 

 

690

 

 

 

690

 

 

 

—

 

 

 

—

 

International

 

 

209

 

 

 

209

 

 

 

—

 

 

 

—

 

Total assets at fair value

 

$

2,403

 

 

$

2,403

 

 

$

—

 

 

$

—

 

 

 

 

December 31, 2022

 

 

 

Total

 

 

Level 1

 

 

Level 2

 

 

Level 3

 

Money market fund

 

$

203

 

 

$

203

 

 

$

—

 

 

$

—

 

Exchange traded funds:

 

 

 

 

 

 

 

 

 

 

 

 

Equity securities

 

 

1,379

 

 

 

1,379

 

 

 

—

 

 

 

—

 

Fixed income

 

 

1,135

 

 

 

1,135

 

 

 

—

 

 

 

—

 

International

 

 

190

 

 

 

190

 

 

 

—

 

 

 

—

 

Total assets at fair value

 

$

2,907

 

 

$

2,907

 

 

$

—

 

 

$

—

 
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

 

2024

 

$

1,312

 

2025

 

 

682

 

2026

 

 

701

 

2027

 

 

724

 

2028

 

 

428

 

2029 - 2033

 

 

1,396

 
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,

 

 

 

2023

 

 

2022

 

Change in benefit obligation:

 

 

 

 

 

 

Benefit obligation, beginning of year

 

$

43,201

 

 

$

55,035

 

Service cost

 

 

69

 

 

 

71

 

Interest cost

 

 

2,013

 

 

 

1,278

 

Actuarial (gain) loss

 

 

763

 

 

 

(9,195

)

Benefits paid

 

 

(4,427

)

 

 

(3,988

)

Benefit obligation, end of year

 

$

41,619

 

 

$

43,201

 

Change in plan assets:

 

 

 

 

 

 

Fair value of plan assets, beginning of year

 

$

—

 

 

$

—

 

Employer contributions

 

 

4,427

 

 

 

3,988

 

Benefit payments

 

 

(4,427

)

 

 

(3,988

)

Fair value of plan assets, end of year

 

$

—

 

 

$

—

 

 

 

 

 

 

 

 

Funded status at end of year - net liability

 

$

(41,619

)

 

$

(43,201

)

 

 

 

 

 

 

 

Amounts recognized in accumulated other comprehensive loss:

 

 

 

 

 

 

Net loss

 

$

8,235

 

 

$

7,756

 

Prior service cost

 

 

126

 

 

 

237

 

Amounts recognized

 

$

8,361

 

 

$

7,993

 

 

 

 

 

 

 

 

Actuarial (gain) loss included in benefit obligation:

 

 

 

 

 

 

Change in discount rate

 

$

649

 

 

$

(9,803

)

Change in mortality table

 

 

(308

)

 

 

—

 

Other

 

 

422

 

 

 

608

 

Actuarial (gain) loss

 

$

763

 

 

$

(9,195

)
Net Periodic Benefit Cost

 

 

Years Ended December 31,

 

 

 

2023

 

 

2022

 

 

2021

 

Net periodic benefit cost:

 

 

 

 

 

 

 

 

 

Service cost

 

$

69

 

 

$

71

 

 

$

75

 

Interest cost

 

 

2,013

 

 

 

1,278

 

 

 

1,125

 

Amortization of prior service cost

 

 

111

 

 

 

111

 

 

 

111

 

Recognized net actuarial loss

 

 

284

 

 

 

986

 

 

 

1,192

 

Net periodic benefit cost

 

$

2,477

 

 

$

2,446

 

 

$

2,503

 

 

 

 

 

 

 

 

 

 

 

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

 

 

 

 

 

 

 

 

 

Net (gain) loss

 

$

479

 

 

$

(10,181

)

 

$

(3,549

)

Amortization of prior service cost

 

 

(111

)

 

 

(111

)

 

 

(111

)

Total recognized in other comprehensive income (loss)

 

$

368

 

 

$

(10,292

)

 

$

(3,660

)

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

 

$

2,845

 

 

$

(7,846

)

 

$

(1,157

)

 

 

 

 

 

 

 

 

 

 

Weighted-average assumptions as of end of year:

 

 

 

 

 

 

 

 

 

Discount rate for benefit obligation

 

 

4.67

%

 

 

4.88

%

 

 

2.41

%

Discount rate for net periodic benefit cost

 

 

4.88

%

 

 

2.41

%

 

 

1.95

%
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

 

2024

 

$

3,997

 

2025

 

 

3,871

 

2026

 

 

3,825

 

2027

 

 

3,641

 

2028

 

 

3,520

 

2029 - 2033

 

 

16,051

 
v3.24.0.1
Stock and Incentive Compensation Plans (Tables)
 12 Months Ended
Dec. 31, 2023
Compensation Expense for Awards Under Stock Plan

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

 

 

 

 

 

 

 

 

 

 

 

At December 31, 2023

 

 

 

Recognized Compensation Expense

 

 

Unrecognized

 

 

Weighted Average

 

 

 

for Years Ended December 31,

 

 

Compensation

 

 

Life of Unrecognized

 

 

 

2023

 

 

2022

 

 

2021

 

 

Expense

 

 

Compensation Expense

 

Performance awards

 

$

1,772

 

 

$

1,258

 

 

$

828

 

 

$

2,021

 

 

 

1.69

 

Time-based awards

 

 

4,383

 

 

 

3,625

 

 

 

4,773

 

 

 

3,005

 

 

 

1.58

 

Total

 

$

6,155

 

 

$

4,883

 

 

$

5,601

 

 

$

5,026

 

 

 

 
Performance Based Award [Member]  
Summary of Stock Plan Activity

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

 

 

 

Years Ended December 31,

 

 

 

2023

 

 

2022

 

 

2021

 

 

 

 

 

 

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

 

 

148,416

 

 

$

31.63

 

 

 

140,821

 

 

$

31.80

 

 

 

145,042

 

 

$

32.43

 

Granted

 

 

70,666

 

 

 

29.78

 

 

 

60,773

 

 

 

32.64

 

 

 

53,273

 

 

 

30.02

 

Released from restriction

 

 

(39,943

)

 

 

31.98

 

 

 

(19,723

)

 

 

33.40

 

 

 

(44,536

)

 

 

31.88

 

Forfeited

 

 

(4,925

)

 

 

31.41

 

 

 

(33,455

)

 

 

33.11

 

 

 

(12,958

)

 

 

31.28

 

Nonvested shares, end of year

 

 

174,214

 

 

$

30.81

 

 

 

148,416

 

 

$

31.63

 

 

 

140,821

 

 

$

31.80

 

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

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

 

 

 

Years Ended December 31,

 

 

 

2023

 

 

2022

 

 

2021

 

 

 

 

 

 

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

 

 

312,978

 

 

$

30.99

 

 

 

337,466

 

 

$

31.18

 

 

 

301,619

 

 

$

32.24

 

Granted

 

 

145,003

 

 

 

28.59

 

 

 

133,307

 

 

 

31.85

 

 

 

180,847

 

 

 

29.85

 

Released from restriction

 

 

(90,587

)

 

 

30.90

 

 

 

(148,905

)

 

 

32.16

 

 

 

(135,120

)

 

 

31.77

 

Forfeited

 

 

(9,142

)

 

 

30.72

 

 

 

(8,890

)

 

 

31.62

 

 

 

(9,880

)

 

 

31.19

 

Nonvested shares, end of year

 

 

358,252

 

 

$

30.04

 

 

 

312,978

 

 

$

30.99

 

 

 

337,466

 

 

$

31.18

 
v3.24.0.1
Commitments and Contingencies (Tables)
 12 Months Ended
Dec. 31, 2023
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 periods presented ($ in thousands):

 

 

 

Years Ended December 31,

 

 

 

2023

 

 

2022

 

 

2021

 

Balance at beginning of period

 

$

36,838

 

 

$

35,623

 

 

$

38,572

 

PCL, off-balance sheet credit exposures

 

 

(2,781

)

 

 

1,215

 

 

 

(2,949

)

Balance at end of period

 

$

34,057

 

 

$

36,838

 

 

$

35,623

 
v3.24.0.1
Shareholders' Equity (Tables)
 12 Months Ended
Dec. 31, 2023
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, 2023 and 2022 ($ in thousands):

 

 

Actual

 

 

 

 

 

 

 

 

 

Regulatory Capital

 

 

Minimum

 

 

To Be Well

 

 

 

Amount

 

 

Ratio

 

 

Requirement

 

 

Capitalized

 

At December 31, 2023:

 

 

 

 

 

 

 

 

 

 

 

 

Common Equity Tier 1 Capital (to Risk Weighted Assets)

 

 

 

 

 

 

 

 

 

 

 

 

Trustmark Corporation

 

$

1,521,665

 

 

 

10.04

%

 

 

7.000

%

 

n/a

 

Trustmark National Bank

 

 

1,602,327

 

 

 

10.58

%

 

 

7.000

%

 

 

6.50

%

 

 

 

 

 

 

 

 

 

 

 

 

 

Tier 1 Capital (to Risk Weighted Assets)

 

 

 

 

 

 

 

 

 

 

 

 

Trustmark Corporation

 

$

1,581,665

 

 

 

10.44

%

 

 

8.500

%

 

n/a

 

Trustmark National Bank

 

 

1,602,327

 

 

 

10.58

%

 

 

8.500

%

 

 

8.00

%

 

 

 

 

 

 

 

 

 

 

 

 

 

Total Capital (to Risk Weighted Assets)

 

 

 

 

 

 

 

 

 

 

 

 

Trustmark Corporation

 

$

1,862,246

 

 

 

12.29

%

 

 

10.500

%

 

n/a

 

Trustmark National Bank

 

 

1,759,426

 

 

 

11.61

%

 

 

10.500

%

 

 

10.00

%

 

 

 

 

 

 

 

 

 

 

 

 

 

Tier 1 Leverage (to Average Assets)

 

 

 

 

 

 

 

 

 

 

 

 

Trustmark Corporation

 

$

1,581,665

 

 

 

8.62

%

 

 

4.00

%

 

n/a

 

Trustmark National Bank

 

 

1,602,327

 

 

 

8.75

%

 

 

4.00

%

 

 

5.00

%

 

 

 

 

 

 

 

 

 

 

 

 

 

At December 31, 2022:

 

 

 

 

 

 

 

 

 

 

 

 

Common Equity Tier 1 Capital (to Risk Weighted Assets)

 

 

 

 

 

 

 

 

 

 

 

 

Trustmark Corporation

 

$

1,413,672

 

 

 

9.74

%

 

 

7.000

%

 

n/a

 

Trustmark National Bank

 

 

1,501,889

 

 

 

10.34

%

 

 

7.000

%

 

 

6.50

%

 

 

 

 

 

 

 

 

 

 

 

 

 

Tier 1 Capital (to Risk Weighted Assets)

 

 

 

 

 

 

 

 

 

 

 

 

Trustmark Corporation

 

$

1,473,672

 

 

 

10.15

%

 

 

8.500

%

 

n/a

 

Trustmark National Bank

 

 

1,501,889

 

 

 

10.34

%

 

 

8.500

%

 

 

8.00

%

 

 

 

 

 

 

 

 

 

 

 

 

 

Total Capital (to Risk Weighted Assets)

 

 

 

 

 

 

 

 

 

 

 

 

Trustmark Corporation

 

$

1,729,499

 

 

 

11.91

%

 

 

10.500

%

 

n/a

 

Trustmark National Bank

 

 

1,634,454

 

 

 

11.26

%

 

 

10.500

%

 

 

10.00

%

 

 

 

 

 

 

 

 

 

 

 

 

 

Tier 1 Leverage (to Average Assets)

 

 

 

 

 

 

 

 

 

 

 

 

Trustmark Corporation

 

$

1,473,672

 

 

 

8.47

%

 

 

4.00

%

 

n/a

 

Trustmark National Bank

 

 

1,501,889

 

 

 

8.65

%

 

 

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, 2023

 

 

 

 

 

 

 

 

 

Securities available for sale and transferred securities:

 

 

 

 

 

 

 

 

 

Net unrealized holding gains (losses) arising during the period

 

$

50,537

 

 

$

(12,404

)

 

$

38,133

 

Reclassification adjustment for net (gains) losses realized in net income

 

 

(39

)

 

 

10

 

 

 

(29

)

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

 

 

15,557

 

 

 

(3,889

)

 

 

11,668

 

Total securities available for sale and transferred securities

 

 

66,055

 

 

 

(16,283

)

 

 

49,772

 

Pension and other postretirement benefit plans:

 

 

 

 

 

 

 

 

 

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

 

 

(691

)

 

 

173

 

 

 

(518

)

Reclassification adjustments for changes realized in net income:

 

 

 

 

 

 

 

 

 

Net change in prior service costs

 

 

111

 

 

 

(28

)

 

 

83

 

Recognized net loss due to lump sum settlements

 

 

25

 

 

 

(6

)

 

 

19

 

Change in net actuarial loss

 

 

177

 

 

 

(44

)

 

 

133

 

Total pension and other postretirement benefit plans

 

 

(378

)

 

 

95

 

 

 

(283

)

Cash flow hedge derivatives:

 

 

 

 

 

 

 

 

 

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

 

 

(8,131

)

 

 

2,033

 

 

 

(6,098

)

Reclassification adjustment for (gain) loss realized in net income

 

 

16,385

 

 

 

(4,096

)

 

 

12,289

 

Total cash flow hedge derivatives

 

 

8,254

 

 

 

(2,063

)

 

 

6,191

 

Total other comprehensive income (loss)

 

$

73,931

 

 

$

(18,251

)

 

$

55,680

 

 

 

 

 

 

 

 

 

 

 

Year Ended December 31, 2022

 

 

 

 

 

 

 

 

 

Securities available for sale and transferred securities:

 

 

 

 

 

 

 

 

 

Net unrealized holding gains (losses) arising during the period

 

$

(229,524

)

 

$

57,381

 

 

$

(172,143

)

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

 

 

(86,033

)

 

 

21,508

 

 

 

(64,525

)

Total securities available for sale and transferred securities

 

 

(315,557

)

 

 

78,889

 

 

 

(236,668

)

Pension and other postretirement benefit plans:

 

 

 

 

 

 

 

 

 

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

 

 

10,792

 

 

 

(2,698

)

 

 

8,094

 

Reclassification adjustments for changes realized in net income:

 

 

 

 

 

 

 

 

 

Net change in prior service costs

 

 

111

 

 

 

(28

)

 

 

83

 

Change in net actuarial loss

 

 

1,089

 

 

 

(272

)

 

 

817

 

Total pension and other postretirement benefit plans

 

 

11,992

 

 

 

(2,998

)

 

 

8,994

 

Cash flow hedge derivatives:

 

 

 

 

 

 

 

 

 

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

 

 

(20,685

)

 

 

5,171

 

 

 

(15,514

)

Reclassification adjustment for (gain) loss realized in net income

 

 

460

 

 

 

(115

)

 

 

345

 

Total cash flow hedge derivatives

 

 

(20,225

)

 

 

5,056

 

 

 

(15,169

)

Total other comprehensive income (loss)

 

$

(323,790

)

 

$

80,947

 

 

$

(242,843

)

 

 

 

 

 

 

 

 

 

 

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

)
Summary of Changes in Balances 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, 2021

 

$

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

)

Other comprehensive income (loss) before
   reclassification

 

 

(236,668

)

 

 

8,094

 

 

 

(15,514

)

 

 

(244,088

)

Amounts reclassified from accumulated other
   comprehensive income (loss)

 

 

—

 

 

 

900

 

 

 

345

 

 

 

1,245

 

Net other comprehensive income (loss)

 

 

(236,668

)

 

 

8,994

 

 

 

(15,169

)

 

 

(242,843

)

Balance, December 31, 2022

 

 

(254,442

)

 

 

(5,792

)

 

 

(15,169

)

 

 

(275,403

)

Other comprehensive income (loss) before reclassification

 

 

49,801

 

 

 

(518

)

 

 

(6,098

)

 

 

43,185

 

Amounts reclassified from accumulated other
   comprehensive income (loss)

 

 

(29

)

 

 

235

 

 

 

12,289

 

 

 

12,495

 

Net other comprehensive income (loss)

 

 

49,772

 

 

 

(283

)

 

 

6,191

 

 

 

55,680

 

Balance, December 31, 2023

 

$

(204,670

)

 

$

(6,075

)

 

$

(8,978

)

 

$

(219,723

)
v3.24.0.1
Fair Value (Tables)
 12 Months Ended
Dec. 31, 2023
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, 2023 and 2022, 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, 2023 and 2022.

 

 

 

December 31, 2023

 

 

 

Total

 

 

Level 1

 

 

Level 2

 

 

Level 3

 

U.S. Treasury securities

 

$

372,368

 

 

$

372,368

 

 

$

—

 

 

$

—

 

U.S. Government agency obligations

 

 

5,792

 

 

 

—

 

 

 

5,792

 

 

 

—

 

Obligations of states and political subdivisions

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Mortgage-backed securities

 

 

1,384,718

 

 

 

—

 

 

 

1,384,718

 

 

 

—

 

Securities available for sale

 

 

1,762,878

 

 

 

372,368

 

 

 

1,390,510

 

 

 

—

 

LHFS

 

 

184,812

 

 

 

—

 

 

 

184,812

 

 

 

—

 

MSR

 

 

131,870

 

 

 

—

 

 

 

—

 

 

 

131,870

 

Other assets - derivatives

 

 

23,316

 

 

 

7,685

 

 

 

14,786

 

 

 

845

 

Other liabilities - derivatives

 

 

35,600

 

 

 

21

 

 

 

35,579

 

 

 

—

 

 

 

 

December 31, 2022

 

 

 

Total

 

 

Level 1

 

 

Level 2

 

 

Level 3

 

U.S. Treasury securities

 

$

391,513

 

 

$

391,513

 

 

$

—

 

 

$

—

 

U.S. Government agency obligations

 

 

7,766

 

 

 

—

 

 

 

7,766

 

 

 

—

 

Obligations of states and political subdivisions

 

 

4,862

 

 

 

—

 

 

 

4,862

 

 

 

—

 

Mortgage-backed securities

 

 

1,619,941

 

 

 

—

 

 

 

1,619,941

 

 

 

—

 

Securities available for sale

 

 

2,024,082

 

 

 

391,513

 

 

 

1,632,569

 

 

 

—

 

LHFS

 

 

135,226

 

 

 

—

 

 

 

135,226

 

 

 

—

 

MSR

 

 

129,677

 

 

 

—

 

 

 

—

 

 

 

129,677

 

Other assets - derivatives

 

 

8,871

 

 

 

54

 

 

 

8,660

 

 

 

157

 

Other liabilities - derivatives

 

 

45,379

 

 

 

474

 

 

 

44,905

 

 

 

—

 
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, 2023 and 2022 are summarized as follows ($ in thousands):

 

 

MSR

 

 

Other Assets -
Derivatives

 

Balance, January 1, 2023

 

$

129,677

 

 

$

157

 

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

 

 

(11,519

)

 

 

2,470

 

Additions

 

 

13,712

 

 

 

—

 

Sales

 

 

—

 

 

 

(1,782

)

Balance, December 31, 2023

 

$

131,870

 

 

$

845

 

 

 

 

 

 

 

 

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, 2023

 

$

(1,489

)

 

$

1,103

 

 

 

 

 

 

 

 

Balance, January 1, 2022

 

$

87,687

 

 

$

1,859

 

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

 

 

24,147

 

 

 

(131

)

Additions

 

 

17,843

 

 

 

—

 

Sales

 

 

—

 

 

 

(1,571

)

Balance, December 31, 2022

 

$

129,677

 

 

$

157

 

 

 

 

 

 

 

 

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, 2022

 

$

38,181

 

 

$

(1,214

)
(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, 2023 and 2022 were as follows ($ in thousands):

 

 

 

December 31, 2023

 

 

December 31, 2022

 

 

 

Carrying
 Value

 

 

Estimated
Fair Value

 

 

Carrying
Value

 

 

Estimated
Fair Value

 

Financial Assets:

 

 

 

 

 

 

 

 

 

 

 

 

Level 2 Inputs:

 

 

 

 

 

 

 

 

 

 

 

 

Cash and short-term investments

 

$

975,543

 

 

$

975,543

 

 

$

738,787

 

 

$

738,787

 

Securities held to maturity

 

 

1,426,279

 

 

 

1,355,504

 

 

 

1,494,514

 

 

 

1,406,589

 

Level 3 Inputs:

 

 

 

 

 

 

 

 

 

 

 

 

Net LHFI

 

 

12,811,157

 

 

 

12,762,505

 

 

 

12,083,825

 

 

 

11,850,318

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Financial Liabilities:

 

 

 

 

 

 

 

 

 

 

 

 

Level 2 Inputs:

 

 

 

 

 

 

 

 

 

 

 

 

Deposits

 

 

15,569,763

 

 

 

15,553,417

 

 

 

14,437,648

 

 

 

14,404,661

 

Federal funds purchased and securities sold under
   repurchase agreements

 

 

405,745

 

 

 

405,745

 

 

 

449,331

 

 

 

449,331

 

Other borrowings

 

 

483,230

 

 

 

483,226

 

 

 

1,050,938

 

 

 

1,050,932

 

Subordinated notes

 

 

123,482

 

 

 

108,125

 

 

 

123,262

 

 

 

113,125

 

Junior subordinated debt securities

 

 

61,856

 

 

 

46,856

 

 

 

61,856

 

 

 

46,392

 
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, 2023 and 2022 ($ in thousands):

 

 

December 31,

 

 

 

2023

 

 

2022

 

Fair value of LHFS

 

$

105,974

 

 

$

64,421

 

LHFS contractual principal outstanding

 

 

102,994

 

 

 

63,427

 

Fair value less unpaid principal

 

$

2,980

 

 

$

994

 
v3.24.0.1
Derivative Financial Instruments (Tables)
 12 Months Ended
Dec. 31, 2023
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, 2023 and 2022 as well as the effect of these derivative instruments on Trustmark’s results of operations for the periods presented ($ in thousands):

 

 

December 31,

 

 

 

2023

 

 

2022

 

Derivatives in hedging relationships

 

 

 

 

 

 

Interest rate contracts:

 

 

 

 

 

 

Interest rate swaps included in other assets (1)

 

$

1,182

 

 

$

—

 

Interest rate floors included in other assets

 

 

1,689

 

 

 

—

 

Interest rate swaps included in other liabilities (1)

 

 

267

 

 

 

761

 

 

 

 

 

 

 

 

Derivatives not designated as hedging instruments

 

 

 

 

 

 

Interest rate contracts:

 

 

 

 

 

 

Exchange traded purchased options included in other assets

 

$

180

 

 

$

38

 

OTC written options (rate locks) included in other assets

 

 

845

 

 

 

157

 

Futures contracts included in other assets

 

 

7,505

 

 

 

16

 

Interest rate swaps included in other assets (1)

 

 

11,910

 

 

 

8,654

 

Credit risk participation agreements included in other assets

 

 

5

 

 

 

6

 

Futures contracts included in other liabilities

 

 

—

 

 

 

268

 

Forward contracts included in other liabilities

 

 

994

 

 

 

(168

)

Exchange traded written options included in other liabilities

 

 

21

 

 

 

206

 

Interest rate swaps included in other liabilities (1)

 

 

34,255

 

 

 

44,304

 

Credit risk participation agreements included in other liabilities

 

 

63

 

 

 

8

 
(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,

 

 

 

2023

 

 

2022

 

 

2021

 

Derivatives in hedging relationships

 

 

 

 

 

 

 

 

 

Amount of gain (loss) reclassified from accumulated other
comprehensive income (loss) and recognized in interest
and fees on LHFS & LHFI

 

$

(16,385

)

 

$

(460

)

 

$

—

 

 

 

 

 

 

 

 

 

 

 

Derivatives not designated as hedging instruments

 

 

 

 

 

 

 

 

 

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

 

$

(5,281

)

 

$

(43,764

)

 

$

(15,436

)

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

 

 

271

 

 

 

403

 

 

 

1,649

 
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,

 

 

 

2023

 

 

2022

 

 

2021

 

Derivatives in cash flow hedging relationship

 

 

 

 

 

 

 

 

 

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

 

$

(6,098

)

 

$

(15,514

)

 

$

—

 
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, 2023 and 2022 is presented in the following tables ($ in thousands):

 

Offsetting of Derivative Assets

 

As of December 31, 2023

 

 

 

 

 

 

 

 

 

 

 

 

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

 

$

14,781

 

 

$

—

 

 

$

14,781

 

 

$

(4,339

)

 

$

—

 

 

$

10,442

 

 

Offsetting of Derivative Liabilities

 

As of December 31, 2023

 

 

 

 

 

 

 

 

 

 

 

 

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

 

$

34,522

 

 

$

—

 

 

$

34,522

 

 

$

(4,339

)

 

$

(2,040

)

 

$

28,143

 

 

Offsetting of Derivative Assets

 

As of December 31, 2022

 

 

 

 

 

 

 

 

 

 

 

 

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

 

$

9,415

 

 

$

—

 

 

$

9,415

 

 

$

—

 

 

$

(2,230

)

 

$

7,185

 

 

Offsetting of Derivative Liabilities

 

As of December 31, 2022

 

 

 

 

 

 

 

 

 

 

 

 

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

 

$

44,304

 

 

$

—

 

 

$

44,304

 

 

$

—

 

 

$

(740

)

 

$

43,564

 
v3.24.0.1
Segment Information (Tables)
 12 Months Ended
Dec. 31, 2023
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,

 

 

 

2023

 

 

2022

 

 

2021

 

General Banking

 

 

 

 

 

 

 

 

 

Net interest income

 

$

547,010

 

 

$

489,398

 

 

$

413,201

 

PCL

 

 

26,716

 

 

 

22,913

 

 

 

(24,439

)

Noninterest income

 

 

113,497

 

 

 

116,350

 

 

 

137,874

 

Noninterest expense

 

 

463,496

 

 

 

531,397

 

 

 

421,561

 

Income before income taxes

 

 

170,295

 

 

 

51,438

 

 

 

153,953

 

Income taxes

 

 

25,091

 

 

 

(3,683

)

 

 

22,706

 

General banking net income

 

$

145,204

 

 

$

55,121

 

 

$

131,247

 

 

 

 

 

 

 

 

 

 

 

Selected Financial Information

 

 

 

 

 

 

 

 

 

Total assets

 

$

18,440,198

 

 

$

17,710,673

 

 

$

17,275,438

 

Depreciation and amortization

 

$

34,924

 

 

$

38,909

 

 

$

44,776

 

 

 

 

 

 

 

 

 

 

 

Wealth Management

 

 

 

 

 

 

 

 

 

Net interest income

 

$

5,879

 

 

$

5,321

 

 

$

5,161

 

PCL

 

 

(2,135

)

 

 

(21

)

 

 

(9

)

Noninterest income

 

 

34,936

 

 

 

35,072

 

 

 

35,420

 

Noninterest expense

 

 

32,339

 

 

 

32,873

 

 

 

31,721

 

Income before income taxes

 

 

10,611

 

 

 

7,541

 

 

 

8,869

 

Income taxes

 

 

2,653

 

 

 

1,870

 

 

 

2,219

 

Wealth Management net income

 

$

7,958

 

 

$

5,671

 

 

$

6,650

 

 

 

 

 

 

 

 

 

 

 

Selected Financial Information

 

 

 

 

 

 

 

 

 

Total assets

 

$

185,342

 

 

$

214,313

 

 

$

232,997

 

Depreciation and amortization

 

$

261

 

 

$

288

 

 

$

269

 

 

 

 

 

 

 

 

 

 

 

Insurance

 

 

 

 

 

 

 

 

 

Net interest income

 

$

(11

)

 

$

(11

)

 

$

(11

)

Noninterest income

 

 

58,525

 

 

 

53,722

 

 

 

48,616

 

Noninterest expense

 

 

42,084

 

 

 

38,943

 

 

 

36,014

 

Income before income taxes

 

 

16,430

 

 

 

14,768

 

 

 

12,591

 

Income taxes

 

 

4,103

 

 

 

3,673

 

 

 

3,123

 

Insurance net income

 

$

12,327

 

 

$

11,095

 

 

$

9,468

 

 

 

 

 

 

 

 

 

 

 

Selected Financial Information

 

 

 

 

 

 

 

 

 

Total assets

 

$

96,649

 

 

$

90,492

 

 

$

87,201

 

Depreciation and amortization

 

$

571

 

 

$

685

 

 

$

768

 

 

 

 

 

 

 

 

 

 

 

Consolidated

 

 

 

 

 

 

 

 

 

Net interest income

 

$

552,878

 

 

$

494,708

 

 

$

418,351

 

PCL

 

 

24,581

 

 

 

22,892

 

 

 

(24,448

)

Noninterest income

 

 

206,958

 

 

 

205,144

 

 

 

221,910

 

Noninterest expense

 

 

537,919

 

 

 

603,213

 

 

 

489,296

 

Income before income taxes

 

 

197,336

 

 

 

73,747

 

 

 

175,413

 

Income taxes

 

 

31,847

 

 

 

1,860

 

 

 

28,048

 

Consolidated net income

 

$

165,489

 

 

$

71,887

 

 

$

147,365

 

 

 

 

 

 

 

 

 

 

 

Selected Financial Information

 

 

 

 

 

 

 

 

 

Total assets

 

$

18,722,189

 

 

$

18,015,478

 

 

$

17,595,636

 

Depreciation and amortization

 

$

35,756

 

 

$

39,882

 

 

$

45,813

 
v3.24.0.1
Parent Company Only Financial Information (Tables)
 12 Months Ended
Dec. 31, 2023
Condensed Financial Information Disclosure [Abstract]  
Parent Only Financial Statements

Condensed Balance Sheets

 

December 31,

 

 

 

2023

 

 

2022

 

Assets:

 

 

 

 

 

 

Investment in banks

 

$

1,770,392

 

 

$

1,602,169

 

Other assets

 

 

77,901

 

 

 

76,325

 

Total Assets

 

$

1,848,293

 

 

$

1,678,494

 

 

 

 

 

 

 

 

Liabilities and Shareholders' Equity:

 

 

 

 

 

 

Accrued expense

 

$

1,108

 

 

$

1,108

 

Subordinated notes

 

 

123,482

 

 

 

123,262

 

Junior subordinated debt securities

 

 

61,856

 

 

 

61,856

 

Shareholders' equity

 

 

1,661,847

 

 

 

1,492,268

 

Total Liabilities and Shareholders' Equity

 

$

1,848,293

 

 

$

1,678,494

 

 

Condensed Statements of Income

 

Years Ended December 31,

 

 

 

2023

 

 

2022

 

 

2021

 

Revenue:

 

 

 

 

 

 

 

 

 

Dividends received from banks

 

$

67,189

 

 

$

89,733

 

 

$

45,284

 

Earnings of subsidiaries over distributions

 

 

106,388

 

 

 

(11,269

)

 

 

108,141

 

Other income

 

 

163

 

 

 

94

 

 

 

95

 

Total Revenue

 

 

173,740

 

 

 

78,558

 

 

 

153,520

 

Expense:

 

 

 

 

 

 

 

 

 

Other expense

 

 

8,251

 

 

 

6,671

 

 

 

6,155

 

Total Expense

 

 

8,251

 

 

 

6,671

 

 

 

6,155

 

Net Income

 

$

165,489

 

 

$

71,887

 

 

$

147,365

 

 

Condensed Statements of Cash Flows

 

Years Ended December 31,

 

 

 

2023

 

 

2022

 

 

2021

 

Operating Activities:

 

 

 

 

 

 

 

 

 

Net income

 

$

165,489

 

 

$

71,887

 

 

$

147,365

 

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

 

 

 

 

 

 

 

 

 

Net change in investment in subsidiaries

 

 

(106,388

)

 

 

11,269

 

 

 

(108,141

)

Other

 

 

(797

)

 

 

(1,550

)

 

 

(2,078

)

Net cash from operating activities

 

 

58,304

 

 

 

81,606

 

 

 

37,146

 

 

 

 

 

 

 

 

 

 

 

Financing Activities:

 

 

 

 

 

 

 

 

 

Common stock dividends

 

 

(56,653

)

 

 

(56,679

)

 

 

(58,085

)

Repurchase and retirement of common stock

 

 

—

 

 

 

(24,604

)

 

 

(61,799

)

Net cash from financing activities

 

 

(56,653

)

 

 

(81,283

)

 

 

(119,884

)

Net change in cash and cash equivalents

 

 

1,651

 

 

 

323

 

 

 

(82,738

)

Cash and cash equivalents at beginning of year

 

 

75,860

 

 

 

75,537

 

 

 

158,275

 

Cash and cash equivalents at end of year

 

$

77,511

 

 

$

75,860

 

 

$

75,537

 
v3.24.0.1
Significant Accounting Policies - Additional Information (Details)
 12 Months Ended
Dec. 31, 2023
USD ($)
RevenueCategory
Fee
Contract
Dec. 31, 2022
USD ($)
Dec. 31, 2021
USD ($)
Summary Of Significant Accounting Policies [Line Items]      
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 $ 54,400,000 $ 72,200,000  
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 $ (145,000) $ (1,006,000) $ (1,869,000)
Number of trust management revenue categories | RevenueCategory 5    
Time period between service obligation completed and payment received from trust customer 30 days    
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 2022-02 [Member]      
Summary Of Significant Accounting Policies [Line Items]      
Change in accounting principle, accounting standards update, adoption date Jan. 01, 2023    
Change in accounting principle, accounting standards update, adopted [true false] true    
Change in accounting principle, accounting standards update, immaterial effect [true false] true    
v3.24.0.1
Significant Accounting Policies - Additional Information (Details 1) - Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: 2023-01-01
Dec. 31, 2023
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
v3.24.0.1
Significant Accounting Policies - Supplemental Cash Flow Information (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Statement of cash flows specific transaction amounts [Abstract]      
Income taxes paid $ 38,803 $ 2,701 $ 15,259
Interest paid on deposits and borrowings 306,568 45,275 24,429
Noncash transfers from loans to other real estate 7,237 1,533 770
Securities transferred from available for sale to held to maturity 0 674,092 0
Investment in tax credit partnership not funded 3,202 18,891 10,647
Finance right-of-use assets resulting from lease liabilities 0 0 92
Operating right-of-use assets resulting from lease liabilities $ 7,303 $ 6,912 $ 9,666
v3.24.0.1
Significant Accounting Policies - Weighted-Average Shares Used to Calculate Basic and Diluted EPS (Details) - shares
shares in Thousands
 12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Earnings Per Share (EPS) [Abstract]      
Basic shares 61,054 61,242 62,788
Dilutive shares 177 190 185
Diluted shares 61,231 61,432 62,973
v3.24.0.1
Significant Accounting Policies - Weighted-Average Antidilutive Stock Awards Excluded from Determining Diluted EPS (Details) - shares
 12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Accounting Policies [Abstract]      
Weighted-average antidilutive stock awards (in shares) 23,000 0 1,000
v3.24.0.1
Cash and Due from Banks - Additional Information (Details)
 12 Months Ended
Dec. 31, 2023
Cash and Cash Equivalents [Abstract]  
Federal reserve tax rate, percent 0.00%
v3.24.0.1
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, 2023
Dec. 31, 2022
Schedule of Available For Sale and Held to Maturity Securities [Line Items]    
Securities Available for Sale, Amortized Cost $ 1,959,007 $ 2,270,709
Securities Available for Sale, Gross Unrealized Gains 37 380
Securities Available for Sale, Gross Unrealized (Losses) (196,166) (247,007)
Securities Available for Sale, Estimated Fair Value 1,762,878 2,024,082
Securities Held to Maturity, Amortized Cost 1,426,279 1,494,514
Securities Held to Maturity, Gross Unrealized Gains 51 37
Securities Held to Maturity, Gross Unrealized (Losses) (70,826) (87,962)
Securities Held to Maturity, Estimated Fair Value 1,355,504 1,406,589
U.S. Treasury Securities [Member]    
Schedule of Available For Sale and Held to Maturity Securities [Line Items]    
Securities Available for Sale, Amortized Cost 396,179 425,719
Securities Available for Sale, Gross Unrealized Gains 0 308
Securities Available for Sale, Gross Unrealized (Losses) (23,811) (34,514)
Securities Available for Sale, Estimated Fair Value 372,368 391,513
Securities Held to Maturity, Amortized Cost 29,068 28,295
Securities Held to Maturity, Gross Unrealized Gains 0 0
Securities Held to Maturity, Gross Unrealized (Losses) (26) (115)
Securities Held to Maturity, Estimated Fair Value 29,042 28,180
U.S. Government Agency Obligations [Member]    
Schedule of Available For Sale and Held to Maturity Securities [Line Items]    
Securities Available for Sale, Amortized Cost 6,207 8,297
Securities Available for Sale, Gross Unrealized Gains 1 0
Securities Available for Sale, Gross Unrealized (Losses) (416) (531)
Securities Available for Sale, Estimated Fair Value 5,792 7,766
Securities Held to Maturity, Amortized Cost 0 0
Securities Held to Maturity, Gross Unrealized Gains 0 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 0 4,820
Securities Available for Sale, Gross Unrealized Gains 0 53
Securities Available for Sale, Gross Unrealized (Losses) 0 (11)
Securities Available for Sale, Estimated Fair Value 0 4,862
Securities Held to Maturity, Amortized Cost 340 4,510
Securities Held to Maturity, Gross Unrealized Gains 0 3
Securities Held to Maturity, Gross Unrealized (Losses) 0 (3)
Securities Held to Maturity, Estimated Fair Value 340 4,510
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 25,744 30,534
Securities Available for Sale, Gross Unrealized Gains 4 7
Securities Available for Sale, Gross Unrealized (Losses) (2,613) (3,444)
Securities Available for Sale, Estimated Fair Value 23,135 27,097
Securities Held to Maturity, Amortized Cost 13,005 4,442
Securities Held to Maturity, Gross Unrealized Gains 0 0
Securities Held to Maturity, Gross Unrealized (Losses) (497) (395)
Securities Held to Maturity, Estimated Fair Value 12,508 4,047
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 1,338,256 1,541,570
Securities Available for Sale, Gross Unrealized Gains 32 12
Securities Available for Sale, Gross Unrealized (Losses) (161,490) (196,119)
Securities Available for Sale, Estimated Fair Value 1,176,798 1,345,463
Securities Held to Maturity, Amortized Cost 469,593 509,311
Securities Held to Maturity, Gross Unrealized Gains 0 0
Securities Held to Maturity, Gross Unrealized (Losses) (18,205) (19,586)
Securities Held to Maturity, Estimated Fair Value 451,388 489,725
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 92,076 123,755
Securities Available for Sale, Gross Unrealized Gains 0 0
Securities Available for Sale, Gross Unrealized (Losses) (6,002) (8,615)
Securities Available for Sale, Estimated Fair Value 86,074 115,140
Securities Held to Maturity, Amortized Cost 154,466 188,201
Securities Held to Maturity, Gross Unrealized Gains 0 0
Securities Held to Maturity, Gross Unrealized (Losses) (10,113) (13,826)
Securities Held to Maturity, Estimated Fair Value 144,353 174,375
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 100,545 136,014
Securities Available for Sale, Gross Unrealized Gains 0 0
Securities Available for Sale, Gross Unrealized (Losses) (1,834) (3,773)
Securities Available for Sale, Estimated Fair Value 98,711 132,241
Securities Held to Maturity, Amortized Cost 759,807 759,755
Securities Held to Maturity, Gross Unrealized Gains 51 34
Securities Held to Maturity, Gross Unrealized (Losses) (41,985) (54,037)
Securities Held to Maturity, Estimated Fair Value $ 717,873 $ 705,752
v3.24.0.1
Securities Available for Sale and Held to Maturity - Additional Information (Details) - USD ($)
 12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Schedule of Available For Sale and Held to Maturity Securities [Line Items]    
Reclassification of Securities available for sale to securities held to maturity   $ 766,000,000
Net unrealized holding loss on AFS Securities at date of transfer   (91,900,000)
Net unrealized holding losses on AFS Securities, net of tax at date of transfer   (68,900,000)
Net unamortized, unrealized loss on transfer of securities $ (57,600,000) (69,200,000)
Credit loss recognized 0 0
Potential credit loss exposure 340,000 4,500,000
Securities held to maturity 1,426,279,000 1,494,514,000
Pledged to collateralize public deposits and securities sold under repurchase agreements and for other purposes as permitted by law 2,321,000,000 2,693,000,000
Pledged securities providing additional contingency funding 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 3,700,000 4,000,000
Securities Held to Maturity [Member]    
Schedule of Available For Sale and Held to Maturity Securities [Line Items]    
Accrued interest receivable 2,600,000 2,700,000
Reserve for credit loss 0 0
Held-to-maturity nonnaccrual $ 0 $ 0
v3.24.0.1
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, 2023
Dec. 31, 2022
Schedule of Available For Sale and Held to Maturity Securities [Line Items]    
Securities Held to Maturity Amortized Cost $ 1,426,279 $ 1,494,514
Aaa [Member]    
Schedule of Available For Sale and Held to Maturity Securities [Line Items]    
Securities Held to Maturity Amortized Cost 1,425,939 1,490,004
Aaa1 to Aa3 [Member]    
Schedule of Available For Sale and Held to Maturity Securities [Line Items]    
Securities Held to Maturity Amortized Cost 0 3,001
Not Rated [Member]    
Schedule of Available For Sale and Held to Maturity Securities [Line Items]    
Securities Held to Maturity Amortized Cost [1] $ 340 $ 1,509
[1] Not rated securities primarily consist of Mississippi municipal general obligations.
v3.24.0.1
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, 2023
Dec. 31, 2022
Schedule of Available For Sale and Held to Maturity Securities [Line Items]    
Estimated Fair Value, Less than 12 Months $ 349,545 $ 2,078,165
Estimated Fair Value, 12 Months or More 2,758,879 1,342,186
Estimated Fair Value, Total 3,108,424 3,420,351
Gross Unrealized (Losses), Less than 12 Months (3,485) (130,121)
Gross Unrealized (Losses), 12 Months or More (263,507) (204,848)
Gross Unrealized (Losses), Total (266,992) (334,969)
US Treasury Securities [Member]    
Schedule of Available For Sale and Held to Maturity Securities [Line Items]    
Estimated Fair Value, Less than 12 Months 29,042 161,298
Estimated Fair Value, 12 Months or More 372,368 258,087
Estimated Fair Value, Total 401,410 419,385
Gross Unrealized (Losses), Less than 12 Months (26) (5,655)
Gross Unrealized (Losses), 12 Months or More (23,811) (28,974)
Gross Unrealized (Losses), Total (23,837) (34,629)
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 0 1,828
Estimated Fair Value, 12 Months or More 5,791 5,938
Estimated Fair Value, Total 5,791 7,766
Gross Unrealized (Losses), Less than 12 Months 0 (184)
Gross Unrealized (Losses), 12 Months or More (416) (347)
Gross Unrealized (Losses), Total (416) (531)
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   1,017
Estimated Fair Value, 12 Months or More   3,664
Estimated Fair Value, Total   4,681
Gross Unrealized (Losses), Less than 12 Months   (11)
Gross Unrealized (Losses), 12 Months or More   (3)
Gross Unrealized (Losses), Total   (14)
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 9,381 27,223
Estimated Fair Value, 12 Months or More 25,967 3,577
Estimated Fair Value, Total 35,348 30,800
Gross Unrealized (Losses), Less than 12 Months (172) (3,270)
Gross Unrealized (Losses), 12 Months or More (2,938) (569)
Gross Unrealized (Losses), Total (3,110) (3,839)
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 309,466 770,865
Estimated Fair Value, 12 Months or More 1,311,865 1,062,041
Estimated Fair Value, Total 1,621,331 1,832,906
Gross Unrealized (Losses), Less than 12 Months (3,274) (41,807)
Gross Unrealized (Losses), 12 Months or More (176,421) (173,898)
Gross Unrealized (Losses), Total (179,695) (215,705)
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 0 281,964
Estimated Fair Value, 12 Months or More 230,368 7,235
Estimated Fair Value, Total 230,368 289,199
Gross Unrealized (Losses), Less than 12 Months 0 (21,452)
Gross Unrealized (Losses), 12 Months or More (16,115) (989)
Gross Unrealized (Losses), Total (16,115) (22,441)
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 1,656 833,970
Estimated Fair Value, 12 Months or More 812,520 1,644
Estimated Fair Value, Total 814,176 835,614
Gross Unrealized (Losses), Less than 12 Months (13) (57,742)
Gross Unrealized (Losses), 12 Months or More (43,806) (68)
Gross Unrealized (Losses), Total $ (43,819) $ (57,810)
v3.24.0.1
Securities Available for Sale and Held to Maturity - Gains and Losses as a Result of Calls and Disposition of Securities (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Investments, Debt and Equity Securities [Abstract]      
Proceeds From Calls And Sales Of Securities $ 4,796 $ 0 $ 0
Gross realized gains 47 0 0
Gross realized losses $ (8) $ 0 $ 0
v3.24.0.1
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, 2023
Dec. 31, 2022
Securities Available for Sale, Amortized Cost [Abstract]    
Due in one year or less $ 65,199  
Due after one year through five years 331,225  
Due after five years through ten years 2,356  
Due after ten years 3,606  
Total amortized cost, before mortgage-backed securities 402,386  
Mortgage-backed securities 1,556,621  
Securities Available for Sale, Amortized Cost 1,959,007 $ 2,270,709
Securities Available for Sale, Estimated Fair Value [Abstract]    
Due in one year or less 63,501  
Due after one year through five years 309,108  
Due after five years through ten years 2,151  
Due after ten years 3,400  
Total fair value, before mortgage-backed securities 378,160  
Mortgage-backed securities 1,384,718  
Total 1,762,878 2,024,082
Securities Held to Maturity, Amortized Cost [Abstract]    
Due in one year or less 340  
Due after one year through five years 29,068  
Due after five years through ten years 0  
Due after ten years 0  
Total amortized cost, before mortgage-backed securities 29,408  
Mortgage-backed securities 1,396,871  
Securities Held to Maturity, Amortized Cost 1,426,279 1,494,514
Securities Held to Maturity, Estimated Fair Value [Abstract]    
Due in one year or less 340  
Due after one year through five years 29,042  
Due after five years through ten years 0  
Due after ten years 0  
Total fair value, before mortgage-backed securities 29,382  
Mortgage-backed securities 1,326,122  
Total $ 1,355,504 $ 1,406,589
v3.24.0.1
LHFI and ACL, LHFI - Loan Portfolio Held for Investment (Details) - USD ($)
$ in Thousands
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Dec. 31, 2020
Loan Portfolio [Abstract]        
Total LHFI $ 12,950,524 $ 12,204,039    
Less ACL, LHFI 139,367 120,214 $ 99,457 $ 117,306
Net LHFI 12,811,157 12,083,825    
Construction, Land Development and Other Land [Member] | Loans Secured by Real Estate [Member]        
Loan Portfolio [Abstract]        
Total LHFI 642,886 690,616    
Other Secured by 1-4 Family Residential Properties [Member] | Loans Secured by Real Estate [Member]        
Loan Portfolio [Abstract]        
Total LHFI 622,397 590,790    
Secured by 1-4 Family Residential Properties [Member] | Other Loans Secured by Real Estate [Member]        
Loan Portfolio [Abstract]        
Total LHFI 2,282,318 2,185,057    
Other Real Estate Secured [Member] | Loans Secured by Real Estate [Member]        
Loan Portfolio [Abstract]        
Total LHFI 1,312,551 742,538    
Other Construction [Member] | Other Loans Secured by Real Estate [Member]        
Loan Portfolio [Abstract]        
Total LHFI 867,793 1,028,926    
Secured by Nonfarm, Nonresidential Properties [Member] | Loans Secured by Real Estate [Member]        
Loan Portfolio [Abstract]        
Total LHFI 3,489,434 3,278,830    
Less ACL, LHFI 24,043 19,488 37,912  
Commercial and Industrial Loans [Member]        
Loan Portfolio [Abstract]        
Total LHFI 1,922,910 1,821,259    
Less ACL, LHFI 26,638 23,140 18,939  
Consumer Loans [Member]        
Loan Portfolio [Abstract]        
Total LHFI 165,734 170,230    
Less ACL, LHFI 5,794 5,792 4,774  
State and Other Political Subdivision Loans [Member]        
Loan Portfolio [Abstract]        
Total LHFI 1,088,466 1,223,863    
Less ACL, LHFI 646 885 $ 2,708  
Other Commercial Loans and Leases [Member]        
Loan Portfolio [Abstract]        
Total LHFI 556,035 471,930    
Less ACL, LHFI $ 7,072 $ 4,647    
v3.24.0.1
LHFI and ACL, LHFI - Additional Information (Details 1)
$ in Millions
 12 Months Ended
Dec. 31, 2023
USD ($)
Region
Dec. 31, 2022
USD ($)
Accounts, Notes, Loans and Financing Receivable, Gross, Allowance, and Net [Abstract]    
Accrued interest receivable $ 71.0 $ 50.7
Maximum concentration of loan as a percentage of total LHFI 10.00%  
Key market regions | Region 5  
Loans and Leases Receivable, Related Parties $ 41.1 $ 47.0
New loan advances to related party 287.4  
Loan repayment by related party 293.2  
Decrease in loans due to changes in executive officers and directors $ 0.0  
v3.24.0.1
LHFI and ACL, LHFI - Schedule of Amortized Cost Basis of Loans on Nonaccrual Status (Details) - USD ($)
$ in Thousands
Dec. 31, 2023
Dec. 31, 2022
Financing Receivable Allowance For Credit Losses [Line Items]    
Nonaccrual With No ACL $ 27,092 $ 21,094
Total Nonaccrual 100,008 65,972
Loans Past Due 90 Days or More Still Accruing 5,790 3,929
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 2,020 137
Total Nonaccrual 2,642 1,902
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 946 482
Total Nonaccrual 6,518 3,957
Loans Past Due 90 Days or More Still Accruing 1,238 534
Secured by Nonfarm, Nonresidential Properties [Member] | Loans Secured by Real Estate [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Nonaccrual With No ACL 20,812 4,841
Total Nonaccrual 23,061 6,957
Loans Past Due 90 Days or More Still Accruing 54  
Other Real Estate Secured [Member] | Loans Secured by Real Estate [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Nonaccrual With No ACL   0
Total Nonaccrual 158 231
Loans Past Due 90 Days or More Still Accruing 106  
Secured by 1-4 Family Residential Properties [Member] | Other Loans Secured by Real Estate [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Nonaccrual With No ACL 3,235 1,193
Total Nonaccrual 43,815 19,775
Loans Past Due 90 Days or More Still Accruing 3,740 3,118
Commercial and Industrial Loans [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Nonaccrual With No ACL 79 14,441
Total Nonaccrual 22,303 25,102
Loans Past Due 90 Days or More Still Accruing 24  
Consumer Loans [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Total Nonaccrual 243 181
Loans Past Due 90 Days or More Still Accruing 628 277
Other Commercial Loans [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Nonaccrual With No ACL   0
Total Nonaccrual   247
Other Commercial Loans and Leases Financing Receivable [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Total Nonaccrual 1,206  
Loans Past Due 90 Days or More Still Accruing 0  
Other construction [Member] | Other Loans Secured by Real Estate [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Nonaccrual With No ACL 0  
Total Nonaccrual $ 62 $ 7,620
v3.24.0.1
LHFI and ACL, LHFI - Aging Analysis of Past Due and Nonaccrual LHFI by Loan Type (Details) - USD ($)
$ in Thousands
Dec. 31, 2023
Dec. 31, 2022
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI) $ 12,950,524 $ 12,204,039
Total LHFI 12,950,524 12,204,039
Past Due 30 to 59 Days [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI) 40,995 22,700
Past Due 60 to 89 Days [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI) 13,898 6,887
Past Due 90 Days or More [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI) 29,322 29,005
Financial Asset, Past Due [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI) 84,215 58,592
Current Loans    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI) 12,866,309 12,145,447
Construction, Land Development and Other Land [Member] | Loans Secured by Real Estate [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI) 642,886 690,616
Total LHFI 642,886 690,616
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) 93 1,972
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) 507 199
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) 2,362 34
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) 2,962 2,205
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) 639,924 688,411
Other Secured by 1-4 Family Residential Properties [Member] | Loans Secured by Real Estate [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI) 622,397 590,790
Total LHFI 622,397 590,790
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) 4,493 3,682
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) 1,687 1,206
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) 2,716 1,281
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) 8,896 6,169
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) 613,501 584,621
Secured by 1-4 Family Residential Properties [Member] | Other Loans Secured by Real Estate [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI) 2,282,318 2,185,057
Total LHFI 2,282,318 2,185,057
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) 19,298 10,709
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) 9,327 4,236
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) 22,164 9,999
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) 50,789 24,944
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) 2,231,529 2,160,113
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) 3,489,434 3,278,830
Total LHFI 3,489,434 3,278,830
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) 1,531 825
Secured by Nonfarm, Nonresidential 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) 1,063 18
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) 727 794
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) 3,321 1,637
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) 3,486,113 3,277,193
Other Real Estate Secured [Member] | Loans Secured by Real Estate [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI) 1,312,551 742,538
Total LHFI 1,312,551 742,538
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) 126 131
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) 0 30
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) 207 0
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) 333 161
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) 1,312,218 742,377
Commercial and Industrial Loans [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI) 1,922,910 1,821,259
Total LHFI 1,922,910 1,821,259
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) 11,881 1,966
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) 484 508
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) 499 8,974
Commercial and Industrial Loans [Member] | Financial Asset, Past Due [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI) 12,864 11,448
Commercial and Industrial Loans [Member] | Current Loans    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI) 1,910,046 1,809,811
Other construction [Member] | Other Loans Secured by Real Estate [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Total LHFI 867,793 1,028,926
Other construction [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) 62 0
Other construction [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) 0 0
Other construction [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) 0 7,620
Other construction [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) 62 7,620
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) 867,731 1,021,306
Consumer Loans [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI) 165,734 170,230
Total LHFI 165,734 170,230
Consumer Loans [Member] | Past Due 30 to 59 Days [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI) 2,112 2,199
Consumer Loans [Member] | Past Due 60 to 89 Days [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI) 772 645
Consumer Loans [Member] | Past Due 90 Days or More [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI) 647 279
Consumer Loans [Member] | Financial Asset, Past Due [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI) 3,531 3,123
Consumer Loans [Member] | Current Loans    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI) 162,203 167,107
State and Other Political Subdivision Loans [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI) 1,088,466 1,223,863
Total LHFI 1,088,466 1,223,863
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) 152 431
State and Other Political Subdivision Loans [Member] | Past Due 60 to 89 Days [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI) 0 0
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) 0 0
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) 152 431
State and Other Political Subdivision Loans [Member] | Current Loans    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI) 1,088,314 1,223,432
Other Commercial Loans [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI)   471,930
Total LHFI   471,930
Other Commercial Loans [Member] | Past Due 30 to 59 Days [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI)   785
Other Commercial Loans [Member] | Past Due 60 to 89 Days [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI)   45
Other Commercial Loans [Member] | Past Due 90 Days or More [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI)   24
Other Commercial Loans [Member] | Financial Asset, Past Due [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI)   854
Other Commercial Loans [Member] | Current Loans    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI)   471,076
Other Commercial Loans and Leases [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI) 556,035 $ 471,930
Total LHFI 556,035  
Other Commercial Loans and Leases [Member] | Past Due 30 to 59 Days [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI) 1,247  
Other Commercial Loans and Leases [Member] | Past Due 60 to 89 Days [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI) 58  
Other Commercial Loans and Leases [Member] | Past Due 90 Days or More [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI) 0  
Other Commercial Loans and Leases [Member] | Financial Asset, Past Due [Member]    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI) 1,305  
Other Commercial Loans and Leases [Member] | Current Loans    
Financing Receivable Allowance For Credit Losses [Line Items]    
Loans held for investment (LHFI) $ 554,730  
v3.24.0.1
LHFI and ACL, LHFI - Impact of Modifications Classified as Troubled Debt Restructurings (Details) - Troubled Debt Restructurings [Member]
$ in Thousands
 12 Months Ended
Dec. 31, 2023
USD ($)
Financing Receivable Modifications [Line Items]  
Pre-Modification Outstanding Recorded Investment $ 358
Amortized Cost Basis $ 2,379
% of Total Class of Loan 0.02%
Post-Modification Outstanding Recorded Investment $ 2,737
Other Secured by 1-4 Family Residential Properties [Member] | Loans Secured by Real Estate [Member]  
Financing Receivable Modifications [Line Items]  
Amortized Cost Basis $ 805
% of Total Class of Loan 0.13%
Post-Modification Outstanding Recorded Investment $ 805
Secured by Nonfarm, Nonresidential Properties [Member] | Loans Secured by Real Estate [Member]  
Financing Receivable Modifications [Line Items]  
Amortized Cost Basis $ 359
% of Total Class of Loan 0.01%
Post-Modification Outstanding Recorded Investment $ 359
Secured by 1-4 Family Residential Properties [Member] | Other Loans Secured by Real Estate [Member]  
Financing Receivable Modifications [Line Items]  
Amortized Cost Basis $ 1,148
% of Total Class of Loan 0.05%
Post-Modification Outstanding Recorded Investment $ 1,148
Commercial and Industrial Loans [Member]  
Financing Receivable Modifications [Line Items]  
Pre-Modification Outstanding Recorded Investment $ 242
% of Total Class of Loan 0.01%
Post-Modification Outstanding Recorded Investment $ 242
Consumer Loans [Member]  
Financing Receivable Modifications [Line Items]  
Amortized Cost Basis $ 36
% of Total Class of Loan 0.02%
Post-Modification Outstanding Recorded Investment $ 36
Other Commercial Loans and Leases [Member]  
Financing Receivable Modifications [Line Items]  
Pre-Modification Outstanding Recorded Investment 116
Amortized Cost Basis $ 31
% of Total Class of Loan 0.03%
Post-Modification Outstanding Recorded Investment $ 147
v3.24.0.1
LHFI and ACL, LHFI - Troubled debt restructurings on financial effect (Details) - Troubled Debt Restructurings [Member]
 12 Months Ended
Dec. 31, 2023
Secured by Nonfarm, Nonresidential Properties [Member] | Loans Secured by Real Estate [Member]  
Financing Receivable, Modified [Line Items]  
Term Extension - Financial Effect One loan renewed and extended maturity by six months
Secured by 1-4 Family Residential Properties [Member] | Other Loans Secured By Real Estate [Member]  
Financing Receivable, Modified [Line Items]  
Term Extension - Financial Effect Extended amortization with term adjusted by weighted-average 3.4 years
Weighted average amortization period 3 years 4 months 24 days
Other Secured by 1-4 Family Residential Properties [Member] | Loans Secured by Real Estate [Member]  
Financing Receivable, Modified [Line Items]  
Term Extension - Financial Effect Modifed lines of credit to amortize over 12 month and 24 month terms
Commercial and Industrial Loans [Member]  
Financing Receivable, Modified [Line Items]  
Term Extension - Payment Concessions Six month payment deferrals
Consumer Loans [Member]  
Financing Receivable, Modified [Line Items]  
Term Extension - Financial Effect Bankruptcies extended amortization with term adjusted by weighted average 1.3 years reducing borrower payment
Weighted average amortization period 1 year 3 months 18 days
Other Commercial Loans and Leases [Member]  
Financing Receivable, Modified [Line Items]  
Term Extension - Financial Effect One loan renewed and extended maturity by seven months
Term Extension - Payment Concessions Six month payment deferrals
v3.24.0.1
LHFI and ACL, LHFI - Troubled Debt Restructuring Subsequently Defaulted (Details)
$ in Thousands
 12 Months Ended
Dec. 31, 2023
USD ($)
Troubled Debt Restructurings [Member] | Other Commercial Loans and Leases [Member]  
Financing Receivable Modifications [Line Items]  
Recorded Investment $ 116
v3.24.0.1
LHFI and ACL, LHFI - Past Due Modifications Related To Loans Held For Investment (Details) - Troubled Debt Restructurings [Member]
$ in Thousands
 12 Months Ended
Dec. 31, 2023
USD ($)
Financing Receivable Modifications [Line Items]  
Total $ 2,737
30 Days or More Past Due [Member]  
Financing Receivable Modifications [Line Items]  
Total 371
Past Due 60 to 89 Days [Member]  
Financing Receivable Modifications [Line Items]  
Total 17
Past Due  
Financing Receivable Modifications [Line Items]  
Total 388
Current Loans  
Financing Receivable Modifications [Line Items]  
Total 2,349
Secured by 1-4 Family Residential Properties [Member] | Other Loans Secured by Real Estate [Member]  
Financing Receivable Modifications [Line Items]  
Total 1,148
Secured by 1-4 Family Residential Properties [Member] | Other Loans Secured by Real Estate [Member] | 30 Days or More Past Due [Member]  
Financing Receivable Modifications [Line Items]  
Total 64
Secured by 1-4 Family Residential Properties [Member] | Other Loans Secured by Real Estate [Member] | Past Due  
Financing Receivable Modifications [Line Items]  
Total 64
Secured by 1-4 Family Residential Properties [Member] | Other Loans Secured by Real Estate [Member] | Current Loans  
Financing Receivable Modifications [Line Items]  
Total 1,084
Other Secured by 1-4 Family Residential Properties [Member] | Loans Secured by Real Estate [Member]  
Financing Receivable Modifications [Line Items]  
Total 805
Other Secured by 1-4 Family Residential Properties [Member] | Loans Secured by Real Estate [Member] | 30 Days or More Past Due [Member]  
Financing Receivable Modifications [Line Items]  
Total 290
Other Secured by 1-4 Family Residential Properties [Member] | Loans Secured by Real Estate [Member] | Past Due 60 to 89 Days [Member]  
Financing Receivable Modifications [Line Items]  
Total 17
Other Secured by 1-4 Family Residential Properties [Member] | Loans Secured by Real Estate [Member] | Past Due  
Financing Receivable Modifications [Line Items]  
Total 307
Other Secured by 1-4 Family Residential Properties [Member] | Loans Secured by Real Estate [Member] | Current Loans  
Financing Receivable Modifications [Line Items]  
Total 498
Secured by Nonfarm, Nonresidential Properties [Member] | Loans Secured by Real Estate [Member]  
Financing Receivable Modifications [Line Items]  
Total 359
Secured by Nonfarm, Nonresidential Properties [Member] | Loans Secured by Real Estate [Member] | Current Loans  
Financing Receivable Modifications [Line Items]  
Total 359
Commercial and Industrial Loans [Member]  
Financing Receivable Modifications [Line Items]  
Total 242
Commercial and Industrial Loans [Member] | Current Loans  
Financing Receivable Modifications [Line Items]  
Total 242
Consumer Loans [Member]  
Financing Receivable Modifications [Line Items]  
Total 36
Consumer Loans [Member] | 30 Days or More Past Due [Member]  
Financing Receivable Modifications [Line Items]  
Total 17
Consumer Loans [Member] | Past Due  
Financing Receivable Modifications [Line Items]  
Total 17
Consumer Loans [Member] | Current Loans  
Financing Receivable Modifications [Line Items]  
Total 19
Other Commercial Loans and Leases [Member]  
Financing Receivable Modifications [Line Items]  
Total 147
Other Commercial Loans and Leases [Member] | Current Loans  
Financing Receivable Modifications [Line Items]  
Total $ 147
v3.24.0.1
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, 2023
Dec. 31, 2022
Financing Receivable Impaired [Line Items]    
Collateral-Dependent Loans $ 49,082 $ 40,288
Loans Secured by Real Estate [Member]    
Financing Receivable Impaired [Line Items]    
Collateral-Dependent Loans 27,051 15,734
Inventory and Receivables [Member]    
Financing Receivable Impaired [Line Items]    
Collateral-Dependent Loans   233
Vehicles [Member]    
Financing Receivable Impaired [Line Items]    
Collateral-Dependent Loans 41 395
Miscellaneous [Member]    
Financing Receivable Impaired [Line Items]    
Collateral-Dependent Loans 21,990 23,926
Construction, Land Development and Other Land [Member]    
Financing Receivable Impaired [Line Items]    
Collateral-Dependent Loans 2,020 1,558
Construction, Land Development and Other Land [Member] | Loans Secured by Real Estate [Member]    
Financing Receivable Impaired [Line Items]    
Collateral-Dependent Loans 2,020 1,558
Other Secured by 1-4 Family Residential Properties [Member]    
Financing Receivable Impaired [Line Items]    
Collateral-Dependent Loans 946 482
Other Secured by 1-4 Family Residential Properties [Member] | Loans Secured by Real Estate [Member]    
Financing Receivable Impaired [Line Items]    
Collateral-Dependent Loans 946  
Secured by Nonfarm, Nonresidential Properties [Member]    
Financing Receivable Impaired [Line Items]    
Collateral-Dependent Loans 20,812 4,841
Secured by Nonfarm, Nonresidential Properties [Member] | Loans Secured by Real Estate [Member]    
Financing Receivable Impaired [Line Items]    
Collateral-Dependent Loans 20,812 4,841
Other Real Estate Secured [Member] | Loans Secured by Real Estate [Member]    
Financing Receivable Impaired [Line Items]    
Collateral-Dependent Loans   482
Other Construction Financing Receivable [Member]    
Financing Receivable Impaired [Line Items]    
Collateral-Dependent Loans   7,620
Other Construction Financing Receivable [Member] | Loans Secured by Real Estate [Member]    
Financing Receivable Impaired [Line Items]    
Collateral-Dependent Loans   7,620
Other Construction Financing Receivable [Member] | Inventory and Receivables [Member]    
Financing Receivable Impaired [Line Items]    
Collateral-Dependent Loans   0
Secured by 1-4 Family Residential Properties [Member]    
Financing Receivable Impaired [Line Items]    
Collateral-Dependent Loans 3,235 1,193
Secured by 1-4 Family Residential Properties [Member] | Loans Secured by Real Estate [Member]    
Financing Receivable Impaired [Line Items]    
Collateral-Dependent Loans 3,235 1,193
Commercial and Industrial Loans [Member]    
Financing Receivable Impaired [Line Items]    
Collateral-Dependent Loans 21,102 24,594
Commercial and Industrial Loans [Member] | Loans Secured by Real Estate [Member]    
Financing Receivable Impaired [Line Items]    
Collateral-Dependent Loans 38 40
Commercial and Industrial Loans [Member] | Inventory and Receivables [Member]    
Financing Receivable Impaired [Line Items]    
Collateral-Dependent Loans   233
Commercial and Industrial Loans [Member] | Vehicles [Member]    
Financing Receivable Impaired [Line Items]    
Collateral-Dependent Loans 41 395
Commercial and Industrial Loans [Member] | Miscellaneous [Member]    
Financing Receivable Impaired [Line Items]    
Collateral-Dependent Loans 21,023 $ 23,926
Other Commercial Loans and Leases [Member]    
Financing Receivable Impaired [Line Items]    
Collateral-Dependent Loans 967  
Other Commercial Loans and Leases [Member] | Miscellaneous [Member]    
Financing Receivable Impaired [Line Items]    
Collateral-Dependent Loans $ 967  
v3.24.0.1
LHFI and ACL, LHFI - Additional Information (Details 2)
 12 Months Ended
Dec. 31, 2023
USD ($)
KeyRatio
Dec. 31, 2022
USD ($)
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 modified commercial accrual loans deemed to be reviewed on individual basis 500,000  
LHFS past due 90 days or more $ 51,200,000 $ 49,300,000
Number of days used as baseline in evaluating collateral documentation exceptions for loan policy 90 days  
Minimum [Member]    
Financing Receivable [Abstract]    
Credit amount used as baseline in evaluating loan policy $ 100,000  
v3.24.0.1
LHFI and ACL, LHFI - Summary of Amortized Cost Basis of Loans by Credit Quality Indicator (Details) - USD ($)
$ in Thousands
Dec. 31, 2023
Dec. 31, 2022
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, Current Fiscal Year $ 2,557,360 $ 4,259,096
Term Loans by Origination Year, Before Latest Fiscal Year 3,821,836 2,453,559
Term Loans by Origination Year, Two Years Before Latest Fiscal Year 2,060,977 1,652,970
Term Loans by Origination Year, Three Years Before Latest Fiscal Year 1,267,991 824,439
Term Loans by Origination Year, Four Years Before Latest Fiscal Year 662,502 354,522
Term Loans by Origination Year, Five or More Years Before Latest Fiscal Year 1,121,424 1,110,471
Financing Receivable, Revolving Loans 1,458,434 1,548,982
Total LHFI 12,950,524 12,204,039
Past Due 90 Days or More [Member]    
Financing Receivable Recorded Investment [Line Items]    
Total LHFI 29,322 29,005
Commercial and Industrial Loans [Member]    
Financing Receivable Recorded Investment [Line Items]    
Total LHFI 1,922,910 1,821,259
Commercial and Industrial Loans [Member] | Past Due 90 Days or More [Member]    
Financing Receivable Recorded Investment [Line Items]    
Total LHFI 499 8,974
State and Other Political Subdivision Loans [Member]    
Financing Receivable Recorded Investment [Line Items]    
Total LHFI 1,088,466 1,223,863
State and Other Political Subdivision Loans [Member] | Past Due 90 Days or More [Member]    
Financing Receivable Recorded Investment [Line Items]    
Total LHFI 0 0
Other Commercial Loans [Member]    
Financing Receivable Recorded Investment [Line Items]    
Total LHFI   471,930
Other Commercial Loans [Member] | Past Due 90 Days or More [Member]    
Financing Receivable Recorded Investment [Line Items]    
Total LHFI   24
Other Commercial Loans and Leases [Member]    
Financing Receivable Recorded Investment [Line Items]    
Total LHFI 556,035 471,930
Other Commercial Loans and Leases [Member] | Past Due 90 Days or More [Member]    
Financing Receivable Recorded Investment [Line Items]    
Total LHFI 0  
Consumer Loans [Member]    
Financing Receivable Recorded Investment [Line Items]    
Total LHFI 165,734 170,230
Consumer Loans [Member] | Past Due 90 Days or More [Member]    
Financing Receivable Recorded Investment [Line Items]    
Total LHFI 647 279
Loans Secured by Real Estate [Member] | Construction, Land Development and Other Land [Member]    
Financing Receivable Recorded Investment [Line Items]    
Total LHFI 642,886 690,616
Loans Secured by Real Estate [Member] | Other Secured by 1-4 Family Residential Properties [Member]    
Financing Receivable Recorded Investment [Line Items]    
Total LHFI 622,397 590,790
Loans Secured by Real Estate [Member] | Other Real Estate Secured [Member]    
Financing Receivable Recorded Investment [Line Items]    
Total LHFI 1,312,551 742,538
Loans Secured by Real Estate [Member] | Secured by Nonfarm, Nonresidential Properties [Member]    
Financing Receivable Recorded Investment [Line Items]    
Total LHFI 3,489,434 3,278,830
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 727 794
Other Loans Secured by Real Estate [Member] | Other Construction [Member]    
Financing Receivable Recorded Investment [Line Items]    
Total LHFI 867,793 1,028,926
Other Loans Secured by Real Estate [Member] | Secured by 1-4 Family Residential Properties [Member]    
Financing Receivable Recorded Investment [Line Items]    
Total LHFI 2,282,318 2,185,057
Commercial LHFI [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, Current Fiscal Year 2,158,477 3,152,466
Term Loans by Origination Year, Before Latest Fiscal Year 2,846,360 1,817,851
Term Loans by Origination Year, Two Years Before Latest Fiscal Year 1,503,578 1,430,035
Term Loans by Origination Year, Three Years Before Latest Fiscal Year 1,071,603 703,273
Term Loans by Origination Year, Four Years Before Latest Fiscal Year 555,406 265,157
Term Loans by Origination Year, Five or More Years Before Latest Fiscal Year 821,512 828,918
Financing Receivable, Revolving Loans 973,511 1,081,499
Total LHFI 9,930,447 9,279,199
Commercial LHFI [Member] | Commercial and Industrial Loans [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, Current Fiscal Year 515,103 681,061
Term Loans by Origination Year, Before Latest Fiscal Year 501,808 271,860
Term Loans by Origination Year, Two Years Before Latest Fiscal Year 175,718 134,724
Term Loans by Origination Year, Three Years Before Latest Fiscal Year 93,985 45,310
Term Loans by Origination Year, Four Years Before Latest Fiscal Year 32,026 14,374
Term Loans by Origination Year, Five or More Years Before Latest Fiscal Year 45,077 69,078
Financing Receivable, Revolving Loans 559,193 604,852
Total LHFI 1,922,910 1,821,259
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, Current Fiscal Year 497,730 673,848
Term Loans by Origination Year, Before Latest Fiscal Year 474,737 261,962
Term Loans by Origination Year, Two Years Before Latest Fiscal Year 158,659 120,123
Term Loans by Origination Year, Three Years Before Latest Fiscal Year 80,646 44,994
Term Loans by Origination Year, Four Years Before Latest Fiscal Year 31,876 14,265
Term Loans by Origination Year, Five or More Years Before Latest Fiscal Year 44,972 69,078
Financing Receivable, Revolving Loans 537,527 577,749
Total LHFI 1,826,147 1,762,019
Commercial LHFI [Member] | Commercial and Industrial Loans [Member] | Special Mention - RR 7 [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, Current Fiscal Year 12,570  
Term Loans by Origination Year, Before Latest Fiscal Year 10,141  
Term Loans by Origination Year, Two Years Before Latest Fiscal Year 3,149 12,421
Term Loans by Origination Year, Three Years Before Latest Fiscal Year 1,381  
Term Loans by Origination Year, Four Years Before Latest Fiscal Year 110  
Financing Receivable, Revolving Loans 126 6,454
Total LHFI 27,477 18,875
Commercial LHFI [Member] | Commercial and Industrial Loans [Member] | Substandard - RR 8 [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, Current Fiscal Year 4,797 6,973
Term Loans by Origination Year, Before Latest Fiscal Year 16,872 9,845
Term Loans by Origination Year, Two Years Before Latest Fiscal Year 13,909 2,170
Term Loans by Origination Year, Three Years Before Latest Fiscal Year 11,958 312
Term Loans by Origination Year, Four Years Before Latest Fiscal Year 40 74
Term Loans by Origination Year, Five or More Years Before Latest Fiscal Year 80  
Financing Receivable, Revolving Loans 21,528 20,625
Total LHFI 69,184 39,999
Commercial LHFI [Member] | Commercial and Industrial Loans [Member] | Doubtful - RR 9 [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, Current Fiscal Year 6 240
Term Loans by Origination Year, Before Latest Fiscal Year 58 53
Term Loans by Origination Year, Two Years Before Latest Fiscal Year 1 10
Term Loans by Origination Year, Three Years Before Latest Fiscal Year   4
Term Loans by Origination Year, Four Years Before Latest Fiscal Year   35
Term Loans by Origination Year, Five or More Years Before Latest Fiscal Year 25  
Financing Receivable, Revolving Loans 12 24
Total LHFI 102 366
Commercial LHFI [Member] | State and Other Political Subdivision Loans [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, Current Fiscal Year 152,157 393,345
Term Loans by Origination Year, Before Latest Fiscal Year 247,034 223,302
Term Loans by Origination Year, Two Years Before Latest Fiscal Year 174,812 123,350
Term Loans by Origination Year, Three Years Before Latest Fiscal Year 99,786 39,031
Term Loans by Origination Year, Four Years Before Latest Fiscal Year 32,118 18,876
Term Loans by Origination Year, Five or More Years Before Latest Fiscal Year 377,225 424,288
Financing Receivable, Revolving Loans 5,334 1,671
Total LHFI 1,088,466 1,223,863
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, Current Fiscal Year 152,157 393,345
Term Loans by Origination Year, Before Latest Fiscal Year 247,034 223,302
Term Loans by Origination Year, Two Years Before Latest Fiscal Year 174,812 123,350
Term Loans by Origination Year, Three Years Before Latest Fiscal Year 99,786 39,031
Term Loans by Origination Year, Four Years Before Latest Fiscal Year 32,118 18,876
Term Loans by Origination Year, Five or More Years Before Latest Fiscal Year 377,225 421,588
Financing Receivable, Revolving Loans 5,334 1,671
Total LHFI 1,088,466 1,221,163
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, Five or More Years Before Latest Fiscal Year   2,700
Total LHFI   2,700
Commercial LHFI [Member] | Other Commercial Loans [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, Current Fiscal Year   93,394
Term Loans by Origination Year, Before Latest Fiscal Year   40,104
Term Loans by Origination Year, Two Years Before Latest Fiscal Year   28,239
Term Loans by Origination Year, Three Years Before Latest Fiscal Year   37,607
Term Loans by Origination Year, Four Years Before Latest Fiscal Year   6,440
Term Loans by Origination Year, Five or More Years Before Latest Fiscal Year   11,963
Financing Receivable, Revolving Loans   254,183
Total LHFI   471,930
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, Current Fiscal Year   88,763
Term Loans by Origination Year, Before Latest Fiscal Year   40,006
Term Loans by Origination Year, Two Years Before Latest Fiscal Year   28,239
Term Loans by Origination Year, Three Years Before Latest Fiscal Year   37,607
Term Loans by Origination Year, Four Years Before Latest Fiscal Year   6,424
Term Loans by Origination Year, Five or More Years Before Latest Fiscal Year   10,829
Financing Receivable, Revolving Loans   244,882
Total LHFI   456,750
Commercial LHFI [Member] | Other Commercial Loans [Member] | Special Mention - RR 7 [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, Current Fiscal Year   879
Total LHFI   879
Commercial LHFI [Member] | Other Commercial Loans [Member] | Substandard - RR 8 [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, Current Fiscal Year   3,728
Term Loans by Origination Year, Before Latest Fiscal Year   98
Term Loans by Origination Year, Four Years Before Latest Fiscal Year   16
Term Loans by Origination Year, Five or More Years Before Latest Fiscal Year   1,134
Financing Receivable, Revolving Loans   9,301
Total LHFI   14,277
Commercial LHFI [Member] | Other Commercial Loans [Member] | Doubtful - RR 9 [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, Current Fiscal Year   24
Total LHFI   24
Commercial LHFI [Member] | Other Commercial Loans and Leases [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, Current Fiscal Year 211,508  
Term Loans by Origination Year, Before Latest Fiscal Year 49,158  
Term Loans by Origination Year, Two Years Before Latest Fiscal Year 30,113  
Term Loans by Origination Year, Three Years Before Latest Fiscal Year 21,585  
Term Loans by Origination Year, Four Years Before Latest Fiscal Year 32,837  
Term Loans by Origination Year, Five or More Years Before Latest Fiscal Year 8,488  
Financing Receivable, Revolving Loans 202,346  
Total LHFI 556,035  
Commercial LHFI [Member] | Other Commercial Loans and Leases [Member] | Pass - RR 1 through RR 6 [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, Current Fiscal Year 211,402  
Term Loans by Origination Year, Before Latest Fiscal Year 48,947  
Term Loans by Origination Year, Two Years Before Latest Fiscal Year 30,071  
Term Loans by Origination Year, Three Years Before Latest Fiscal Year 21,377  
Term Loans by Origination Year, Four Years Before Latest Fiscal Year 32,837  
Term Loans by Origination Year, Five or More Years Before Latest Fiscal Year 8,468  
Financing Receivable, Revolving Loans 201,339  
Total LHFI 554,441  
Commercial LHFI [Member] | Other Commercial Loans and Leases [Member] | Special Mention - RR 7 [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, Three Years Before Latest Fiscal Year 208  
Financing Receivable, Revolving Loans 20  
Total LHFI 228  
Commercial LHFI [Member] | Other Commercial Loans and Leases [Member] | Substandard - RR 8 [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, Current Fiscal Year 106  
Term Loans by Origination Year, Before Latest Fiscal Year 211  
Term Loans by Origination Year, Two Years Before Latest Fiscal Year 42  
Financing Receivable, Revolving Loans 987  
Total LHFI 1,346  
Commercial LHFI [Member] | Other Commercial Loans and Leases [Member] | Doubtful - RR 9 [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, Five or More Years Before Latest Fiscal Year 20  
Total LHFI 20  
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, Current Fiscal Year 360,419 363,970
Term Loans by Origination Year, Before Latest Fiscal Year 99,078 119,926
Term Loans by Origination Year, Two Years Before Latest Fiscal Year 36,967 29,632
Term Loans by Origination Year, Three Years Before Latest Fiscal Year 10,610 4,820
Term Loans by Origination Year, Four Years Before Latest Fiscal Year 2,036 1,016
Term Loans by Origination Year, Five or More Years Before Latest Fiscal Year 2,006 2,406
Financing Receivable, Revolving Loans 52,351 64,997
Total LHFI 563,467 586,767
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, Current Fiscal Year 359,813 363,824
Term Loans by Origination Year, Before Latest Fiscal Year 98,742 119,727
Term Loans by Origination Year, Two Years Before Latest Fiscal Year 35,095 29,632
Term Loans by Origination Year, Three Years Before Latest Fiscal Year 10,591 3,405
Term Loans by Origination Year, Four Years Before Latest Fiscal Year 2,036 1,016
Term Loans by Origination Year, Five or More Years Before Latest Fiscal Year 1,961 2,364
Financing Receivable, Revolving Loans 52,351 64,953
Total LHFI 560,589 584,921
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, Two Years Before Latest Fiscal Year 360  
Total LHFI 360  
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, Current Fiscal Year 606 146
Term Loans by Origination Year, Before Latest Fiscal Year 336 199
Term Loans by Origination Year, Two Years Before Latest Fiscal Year 1,512  
Term Loans by Origination Year, Three Years Before Latest Fiscal Year 19 1,415
Term Loans by Origination Year, Five or More Years Before Latest Fiscal Year 21  
Financing Receivable, Revolving Loans   44
Total LHFI 2,494 1,804
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, Five or More Years Before Latest Fiscal Year 24 42
Total LHFI 24 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, Current Fiscal Year 33,292 42,726
Term Loans by Origination Year, Before Latest Fiscal Year 31,467 33,441
Term Loans by Origination Year, Two Years Before Latest Fiscal Year 29,364 17,307
Term Loans by Origination Year, Three Years Before Latest Fiscal Year 14,341 9,429
Term Loans by Origination Year, Four Years Before Latest Fiscal Year 8,164 7,018
Term Loans by Origination Year, Five or More Years Before Latest Fiscal Year 3,128 3,155
Financing Receivable, Revolving Loans 10,175 12,209
Total LHFI 129,931 125,285
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, Current Fiscal Year 33,072 41,996
Term Loans by Origination Year, Before Latest Fiscal Year 30,760 33,346
Term Loans by Origination Year, Two Years Before Latest Fiscal Year 29,159 17,215
Term Loans by Origination Year, Three Years Before Latest Fiscal Year 14,309 9,341
Term Loans by Origination Year, Four Years Before Latest Fiscal Year 8,084 6,798
Term Loans by Origination Year, Five or More Years Before Latest Fiscal Year 2,822 2,870
Financing Receivable, Revolving Loans 10,077 12,209
Total LHFI 128,283 123,775
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, Current Fiscal Year   29
Term Loans by Origination Year, Before Latest Fiscal Year 82 64
Term Loans by Origination Year, Two Years Before Latest Fiscal Year 48 17
Term Loans by Origination Year, Three Years Before Latest Fiscal Year 10  
Total LHFI 140 110
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, Current Fiscal Year 220 686
Term Loans by Origination Year, Before Latest Fiscal Year 625 31
Term Loans by Origination Year, Two Years Before Latest Fiscal Year 157 75
Term Loans by Origination Year, Three Years Before Latest Fiscal Year 22 88
Term Loans by Origination Year, Four Years Before Latest Fiscal Year 80 220
Term Loans by Origination Year, Five or More Years Before Latest Fiscal Year 306 285
Financing Receivable, Revolving Loans 98  
Total LHFI 1,508 1,385
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, Current Fiscal Year   15
Total LHFI   15
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, Current Fiscal Year 194,309 293,081
Term Loans by Origination Year, Before Latest Fiscal Year 463,340 156,386
Term Loans by Origination Year, Two Years Before Latest Fiscal Year 332,818 143,423
Term Loans by Origination Year, Three Years Before Latest Fiscal Year 210,047 107,827
Term Loans by Origination Year, Four Years Before Latest Fiscal Year 91,905 11,302
Term Loans by Origination Year, Five or More Years Before Latest Fiscal Year 11,119 17,694
Financing Receivable, Revolving Loans 8,880 12,642
Total LHFI 1,312,418 742,355
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, Current Fiscal Year 194,141 293,051
Term Loans by Origination Year, Before Latest Fiscal Year 447,200 156,386
Term Loans by Origination Year, Two Years Before Latest Fiscal Year 332,818 143,114
Term Loans by Origination Year, Three Years Before Latest Fiscal Year 209,757 107,827
Term Loans by Origination Year, Four Years Before Latest Fiscal Year 56,024 11,297
Term Loans by Origination Year, Five or More Years Before Latest Fiscal Year 11,080 17,626
Financing Receivable, Revolving Loans 8,880 12,516
Total LHFI 1,259,900 741,817
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, Current Fiscal Year 126  
Term Loans by Origination Year, Before Latest Fiscal Year 2,076  
Term Loans by Origination Year, Four Years Before Latest Fiscal Year 35,881  
Total LHFI 38,083  
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, Current Fiscal Year   30
Term Loans by Origination Year, Before Latest Fiscal Year 14,064  
Term Loans by Origination Year, Two Years Before Latest Fiscal Year   309
Term Loans by Origination Year, Three Years Before Latest Fiscal Year 290  
Term Loans by Origination Year, Four Years Before Latest Fiscal Year   5
Term Loans by Origination Year, Five or More Years Before Latest Fiscal Year 39 68
Financing Receivable, Revolving Loans   126
Total LHFI 14,393 538
Commercial LHFI [Member] | Loans Secured by Real Estate [Member] | Other Real Estate Secured [Member] | Doubtful - RR 9 [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, Current Fiscal Year 42  
Total LHFI 42  
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, Current Fiscal Year 511,951 911,908
Term Loans by Origination Year, Before Latest Fiscal Year 936,413 658,308
Term Loans by Origination Year, Two Years Before Latest Fiscal Year 573,903 612,972
Term Loans by Origination Year, Three Years Before Latest Fiscal Year 607,187 458,416
Term Loans by Origination Year, Four Years Before Latest Fiscal Year 356,320 206,131
Term Loans by Origination Year, Five or More Years Before Latest Fiscal Year 374,463 300,334
Financing Receivable, Revolving Loans 129,190 130,745
Total LHFI 3,489,427 3,278,814
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, Current Fiscal Year 501,327 889,556
Term Loans by Origination Year, Before Latest Fiscal Year 919,519 657,242
Term Loans by Origination Year, Two Years Before Latest Fiscal Year 526,412 603,515
Term Loans by Origination Year, Three Years Before Latest Fiscal Year 596,240 457,163
Term Loans by Origination Year, Four Years Before Latest Fiscal Year 323,687 205,425
Term Loans by Origination Year, Five or More Years Before Latest Fiscal Year 369,250 281,828
Financing Receivable, Revolving Loans 129,142 130,052
Total LHFI 3,365,577 3,224,781
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, Current Fiscal Year 4,271 10,284
Term Loans by Origination Year, Before Latest Fiscal Year 14,930  
Term Loans by Origination Year, Three Years Before Latest Fiscal Year 138 271
Term Loans by Origination Year, Four Years Before Latest Fiscal Year 23,966  
Total LHFI 43,305 10,555
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, Current Fiscal Year 6,332 12,034
Term Loans by Origination Year, Before Latest Fiscal Year 1,964 1,066
Term Loans by Origination Year, Two Years Before Latest Fiscal Year 47,491 9,457
Term Loans by Origination Year, Three Years Before Latest Fiscal Year 10,809 905
Term Loans by Origination Year, Four Years Before Latest Fiscal Year 8,614 706
Term Loans by Origination Year, Five or More Years Before Latest Fiscal Year 5,200 18,488
Financing Receivable, Revolving Loans 48 693
Total LHFI 80,458 43,349
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, Current Fiscal Year 21 34
Term Loans by Origination Year, Three Years Before Latest Fiscal Year   77
Term Loans by Origination Year, Four Years Before Latest Fiscal Year 53  
Term Loans by Origination Year, Five or More Years Before Latest Fiscal Year 13 18
Total LHFI 87 129
Commercial LHFI [Member] | Other Loans Secured by Real Estate [Member] | Other Construction [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, Current Fiscal Year 179,738 372,981
Term Loans by Origination Year, Before Latest Fiscal Year 518,062 314,524
Term Loans by Origination Year, Two Years Before Latest Fiscal Year 149,883 340,388
Term Loans by Origination Year, Three Years Before Latest Fiscal Year 14,062 833
Term Loans by Origination Year, Five or More Years Before Latest Fiscal Year 6  
Financing Receivable, Revolving Loans 6,042 200
Total LHFI 867,793 1,028,926
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, Current Fiscal Year 179,676 372,981
Term Loans by Origination Year, Before Latest Fiscal Year 518,062 306,904
Term Loans by Origination Year, Two Years Before Latest Fiscal Year 149,883 340,388
Term Loans by Origination Year, Three Years Before Latest Fiscal Year 14,062 833
Term Loans by Origination Year, Five or More Years Before Latest Fiscal Year 6  
Financing Receivable, Revolving Loans 6,042 200
Total LHFI 867,731 1,021,306
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, Current Fiscal Year 62  
Term Loans by Origination Year, Before Latest Fiscal Year   7,620
Total LHFI 62 7,620
Commercial Borrower Gross Charge-offs [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, Current Fiscal Year 143  
Term Loans by Origination Year, Before Latest Fiscal Year 1,362  
Term Loans by Origination Year, Two Years Before Latest Fiscal Year 4,208  
Term Loans by Origination Year, Three Years Before Latest Fiscal Year 164  
Term Loans by Origination Year, Four Years Before Latest Fiscal Year 342  
Term Loans by Origination Year, Five or More Years Before Latest Fiscal Year 252  
Financing Receivable, Revolving Loans 7  
Total LHFI 6,478  
Commercial Borrower Gross Charge-offs [Member] | Commercial and Industrial Loans [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, Current Fiscal Year 42  
Term Loans by Origination Year, Before Latest Fiscal Year 1,071  
Term Loans by Origination Year, Two Years Before Latest Fiscal Year 700  
Term Loans by Origination Year, Three Years Before Latest Fiscal Year 138  
Term Loans by Origination Year, Four Years Before Latest Fiscal Year 95  
Term Loans by Origination Year, Five or More Years Before Latest Fiscal Year 108  
Financing Receivable, Revolving Loans 7  
Total LHFI 2,161  
Commercial Borrower Gross Charge-offs [Member] | Other Commercial Loans and Leases [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, Current Fiscal Year 40  
Term Loans by Origination Year, Before Latest Fiscal Year 248  
Term Loans by Origination Year, Three Years Before Latest Fiscal Year 26  
Total LHFI 314  
Commercial Borrower Gross Charge-offs [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, Before Latest Fiscal Year 4  
Term Loans by Origination Year, Two Years Before Latest Fiscal Year 10  
Term Loans by Origination Year, Four Years Before Latest Fiscal Year 228  
Total LHFI 242  
Commercial Borrower Gross Charge-offs [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, Two Years Before Latest Fiscal Year 24  
Term Loans by Origination Year, Five or More Years Before Latest Fiscal Year 6  
Total LHFI 30  
Commercial Borrower Gross Charge-offs [Member] | Loans Secured by Real Estate [Member] | Secured by Nonfarm, Nonresidential Properties [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, Before Latest Fiscal Year 39  
Term Loans by Origination Year, Two Years Before Latest Fiscal Year 82  
Term Loans by Origination Year, Four Years Before Latest Fiscal Year 19  
Term Loans by Origination Year, Five or More Years Before Latest Fiscal Year 138  
Total LHFI 278  
Commercial Borrower Gross Charge-offs [Member] | Other Loans Secured by Real Estate [Member] | Other Construction [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, Current Fiscal Year 61  
Term Loans by Origination Year, Two Years Before Latest Fiscal Year 3,392  
Total LHFI 3,453  
Consumer LHFI [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, Current Fiscal Year 398,883 1,106,630
Term Loans by Origination Year, Before Latest Fiscal Year 975,476 635,708
Term Loans by Origination Year, Two Years Before Latest Fiscal Year 557,399 222,935
Term Loans by Origination Year, Three Years Before Latest Fiscal Year 196,388 121,166
Term Loans by Origination Year, Four Years Before Latest Fiscal Year 107,096 89,365
Term Loans by Origination Year, Five or More Years Before Latest Fiscal Year 299,912 281,553
Financing Receivable, Revolving Loans 484,923 467,483
Total LHFI 3,020,077 2,924,840
Consumer LHFI [Member] | Consumer Loans [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, Current Fiscal Year 60,878 72,396
Term Loans by Origination Year, Before Latest Fiscal Year 33,351 26,062
Term Loans by Origination Year, Two Years Before Latest Fiscal Year 10,919 9,699
Term Loans by Origination Year, Three Years Before Latest Fiscal Year 2,665 2,535
Term Loans by Origination Year, Four Years Before Latest Fiscal Year 922 1,542
Term Loans by Origination Year, Five or More Years Before Latest Fiscal Year 299 305
Financing Receivable, Revolving Loans 56,700 57,691
Total LHFI 165,734 170,230
Consumer LHFI [Member] | Consumer Loans [Member] | Current [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, Current Fiscal Year 59,496 70,858
Term Loans by Origination Year, Before Latest Fiscal Year 32,767 25,771
Term Loans by Origination Year, Two Years Before Latest Fiscal Year 10,698 9,514
Term Loans by Origination Year, Three Years Before Latest Fiscal Year 2,604 2,509
Term Loans by Origination Year, Four Years Before Latest Fiscal Year 917 1,513
Term Loans by Origination Year, Five or More Years Before Latest Fiscal Year 294 295
Financing Receivable, Revolving Loans 55,321 56,508
Total LHFI 162,097 166,968
Consumer LHFI [Member] | Consumer Loans [Member] | Past Due 30-89 Days [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, Current Fiscal Year 1,274 1,431
Term Loans by Origination Year, Before Latest Fiscal Year 475 238
Term Loans by Origination Year, Two Years Before Latest Fiscal Year 134 159
Term Loans by Origination Year, Three Years Before Latest Fiscal Year 34 8
Term Loans by Origination Year, Four Years Before Latest Fiscal Year 5 23
Term Loans by Origination Year, Five or More Years Before Latest Fiscal Year 5 10
Financing Receivable, Revolving Loans 839 946
Total LHFI 2,766 2,815
Consumer LHFI [Member] | Consumer Loans [Member] | Past Due 90 Days or More [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, Current Fiscal Year 64 28
Term Loans by Origination Year, Before Latest Fiscal Year 44 12
Term Loans by Origination Year, Two Years Before Latest Fiscal Year 3 7
Term Loans by Origination Year, Three Years Before Latest Fiscal Year 1 1
Term Loans by Origination Year, Four Years Before Latest Fiscal Year   2
Financing Receivable, Revolving Loans 516 216
Total LHFI 628 266
Consumer LHFI [Member] | Consumer Loans [Member] | Nonaccrual [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, Current Fiscal Year 44 79
Term Loans by Origination Year, Before Latest Fiscal Year 65 41
Term Loans by Origination Year, Two Years Before Latest Fiscal Year 84 19
Term Loans by Origination Year, Three Years Before Latest Fiscal Year 26 17
Term Loans by Origination Year, Four Years Before Latest Fiscal Year   4
Financing Receivable, Revolving Loans 24 21
Total LHFI 243 181
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, Current Fiscal Year 44,912 62,049
Term Loans by Origination Year, Before Latest Fiscal Year 23,360 33,075
Term Loans by Origination Year, Two Years Before Latest Fiscal Year 6,121 3,304
Term Loans by Origination Year, Three Years Before Latest Fiscal Year 1,203 1,795
Term Loans by Origination Year, Four Years Before Latest Fiscal Year 1,112 1,694
Term Loans by Origination Year, Five or More Years Before Latest Fiscal Year 2,058 1,932
Financing Receivable, Revolving Loans 653  
Total LHFI 79,419 103,849
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, Current Fiscal Year 44,912 62,049
Term Loans by Origination Year, Before Latest Fiscal Year 23,110 32,867
Term Loans by Origination Year, Two Years Before Latest Fiscal Year 5,973 3,304
Term Loans by Origination Year, Three Years Before Latest Fiscal Year 1,203 1,759
Term Loans by Origination Year, Four Years Before Latest Fiscal Year 1,082 1,679
Term Loans by Origination Year, Five or More Years Before Latest Fiscal Year 1,864 1,915
Financing Receivable, Revolving Loans 653  
Total LHFI 78,797 103,573
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, Before Latest Fiscal Year 250 150
Term Loans by Origination Year, Three Years Before Latest Fiscal Year   36
Term Loans by Origination Year, Four Years Before Latest Fiscal Year 30 15
Term Loans by Origination Year, Five or More Years Before Latest Fiscal Year 191 9
Total LHFI 471 210
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, Before Latest Fiscal Year   58
Term Loans by Origination Year, Two Years Before Latest Fiscal Year 148  
Term Loans by Origination Year, Five or More Years Before Latest Fiscal Year 3 8
Total LHFI 151 66
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, Current Fiscal Year 29,869 25,509
Term Loans by Origination Year, Before Latest Fiscal Year 11,774 8,042
Term Loans by Origination Year, Two Years Before Latest Fiscal Year 5,855 5,408
Term Loans by Origination Year, Three Years Before Latest Fiscal Year 4,483 5,049
Term Loans by Origination Year, Four Years Before Latest Fiscal Year 4,364 3,713
Term Loans by Origination Year, Five or More Years Before Latest Fiscal Year 8,551 7,992
Financing Receivable, Revolving Loans 427,570 409,792
Total LHFI 492,466 465,505
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, Current Fiscal Year 29,636 25,402
Term Loans by Origination Year, Before Latest Fiscal Year 11,366 7,983
Term Loans by Origination Year, Two Years Before Latest Fiscal Year 5,733 5,389
Term Loans by Origination Year, Three Years Before Latest Fiscal Year 4,471 4,894
Term Loans by Origination Year, Four Years Before Latest Fiscal Year 4,313 3,701
Term Loans by Origination Year, Five or More Years Before Latest Fiscal Year 7,674 7,252
Financing Receivable, Revolving Loans 417,383 403,123
Total LHFI 480,576 457,744
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, Current Fiscal Year 225 19
Term Loans by Origination Year, Before Latest Fiscal Year 68 35
Term Loans by Origination Year, Two Years Before Latest Fiscal Year 74 15
Term Loans by Origination Year, Three Years Before Latest Fiscal Year 4 134
Term Loans by Origination Year, Four Years Before Latest Fiscal Year 51 5
Term Loans by Origination Year, Five or More Years Before Latest Fiscal Year 220 286
Financing Receivable, Revolving Loans 4,292 3,197
Total LHFI 4,934 3,691
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, Before Latest Fiscal Year 264  
Term Loans by Origination Year, Three Years Before Latest Fiscal Year   1
Term Loans by Origination Year, Five or More Years Before Latest Fiscal Year 41  
Financing Receivable, Revolving Loans 934 452
Total LHFI 1,239 453
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, Current Fiscal Year 8 88
Term Loans by Origination Year, Before Latest Fiscal Year 76 24
Term Loans by Origination Year, Two Years Before Latest Fiscal Year 48 4
Term Loans by Origination Year, Three Years Before Latest Fiscal Year 8 20
Term Loans by Origination Year, Four Years Before Latest Fiscal Year   7
Term Loans by Origination Year, Five or More Years Before Latest Fiscal Year 616 454
Financing Receivable, Revolving Loans 4,961 3,020
Total LHFI 5,717 3,617
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, Two Years Before Latest Fiscal Year   89
Term Loans by Origination Year, Three Years Before Latest Fiscal Year 78  
Term Loans by Origination Year, Four Years Before Latest Fiscal Year   5
Term Loans by Origination Year, Five or More Years Before Latest Fiscal Year 55 89
Total LHFI 133 183
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, Two Years Before Latest Fiscal Year   89
Term Loans by Origination Year, Three Years Before Latest Fiscal Year 78  
Term Loans by Origination Year, Four Years Before Latest Fiscal Year   5
Term Loans by Origination Year, Five or More Years Before Latest Fiscal Year 55 89
Total LHFI 133 183
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, Before Latest Fiscal Year   16
Term Loans by Origination Year, Two Years Before Latest Fiscal Year 7  
Total LHFI 7 16
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, Before Latest Fiscal Year   16
Term Loans by Origination Year, Two Years Before Latest Fiscal Year 7  
Total LHFI 7 16
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, Current Fiscal Year 263,224 946,676
Term Loans by Origination Year, Before Latest Fiscal Year 906,991 568,513
Term Loans by Origination Year, Two Years Before Latest Fiscal Year 534,497 204,435
Term Loans by Origination Year, Three Years Before Latest Fiscal Year 187,959 111,787
Term Loans by Origination Year, Four Years Before Latest Fiscal Year 100,698 82,411
Term Loans by Origination Year, Five or More Years Before Latest Fiscal Year 288,949 271,235
Total LHFI 2,282,318 2,185,057
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, Current Fiscal Year 258,800 939,511
Term Loans by Origination Year, Before Latest Fiscal Year 878,893 559,804
Term Loans by Origination Year, Two Years Before Latest Fiscal Year 516,324 198,769
Term Loans by Origination Year, Three Years Before Latest Fiscal Year 180,272 109,466
Term Loans by Origination Year, Four Years Before Latest Fiscal Year 98,552 80,249
Term Loans by Origination Year, Five or More Years Before Latest Fiscal Year 277,664 262,196
Total LHFI 2,210,505 2,149,995
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, Current Fiscal Year 3,370 3,967
Term Loans by Origination Year, Before Latest Fiscal Year 11,293 3,752
Term Loans by Origination Year, Two Years Before Latest Fiscal Year 5,513 2,119
Term Loans by Origination Year, Three Years Before Latest Fiscal Year 2,121 425
Term Loans by Origination Year, Four Years Before Latest Fiscal Year 298  
Term Loans by Origination Year, Five or More Years Before Latest Fiscal Year 1,664 1,906
Total LHFI 24,259 12,169
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, Current Fiscal Year 376 835
Term Loans by Origination Year, Before Latest Fiscal Year 1,219 777
Term Loans by Origination Year, Two Years Before Latest Fiscal Year 1,208 272
Term Loans by Origination Year, Three Years Before Latest Fiscal Year 682  
Term Loans by Origination Year, Four Years Before Latest Fiscal Year   134
Term Loans by Origination Year, Five or More Years Before Latest Fiscal Year 255 1,100
Total LHFI 3,740 3,118
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, Current Fiscal Year 678 2,363
Term Loans by Origination Year, Before Latest Fiscal Year 15,586 4,180
Term Loans by Origination Year, Two Years Before Latest Fiscal Year 11,452 3,275
Term Loans by Origination Year, Three Years Before Latest Fiscal Year 4,884 1,896
Term Loans by Origination Year, Four Years Before Latest Fiscal Year 1,848 2,028
Term Loans by Origination Year, Five or More Years Before Latest Fiscal Year 9,366 6,033
Total LHFI 43,814 $ 19,775
Consumer Borrower Gross Charge-offs [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, Current Fiscal Year 6,202  
Term Loans by Origination Year, Before Latest Fiscal Year 1,589  
Term Loans by Origination Year, Two Years Before Latest Fiscal Year 393  
Term Loans by Origination Year, Three Years Before Latest Fiscal Year 149  
Term Loans by Origination Year, Four Years Before Latest Fiscal Year 11  
Term Loans by Origination Year, Five or More Years Before Latest Fiscal Year 165  
Financing Receivable, Revolving Loans 2,528  
Total LHFI 11,037  
Consumer Borrower Gross Charge-offs [Member] | Consumer Loans [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, Current Fiscal Year 6,138  
Term Loans by Origination Year, Before Latest Fiscal Year 559  
Term Loans by Origination Year, Two Years Before Latest Fiscal Year 167  
Term Loans by Origination Year, Three Years Before Latest Fiscal Year 43  
Term Loans by Origination Year, Four Years Before Latest Fiscal Year 1  
Term Loans by Origination Year, Five or More Years Before Latest Fiscal Year 1  
Financing Receivable, Revolving Loans 2,381  
Total LHFI 9,290  
Consumer Borrower Gross Charge-offs [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, Before Latest Fiscal Year 100  
Term Loans by Origination Year, Two Years Before Latest Fiscal Year 9  
Term Loans by Origination Year, Three Years Before Latest Fiscal Year 2  
Term Loans by Origination Year, Four Years Before Latest Fiscal Year 10  
Term Loans by Origination Year, Five or More Years Before Latest Fiscal Year 22  
Financing Receivable, Revolving Loans 147  
Total LHFI 290  
Consumer Borrower Gross Charge-offs [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, Current Fiscal Year 64  
Term Loans by Origination Year, Before Latest Fiscal Year 930  
Term Loans by Origination Year, Two Years Before Latest Fiscal Year 217  
Term Loans by Origination Year, Three Years Before Latest Fiscal Year 104  
Term Loans by Origination Year, Five or More Years Before Latest Fiscal Year 142  
Total LHFI 1,457  
Financing Receivables Current Period Gross Charge-offs [Member]    
Financing Receivable Recorded Investment [Line Items]    
Term Loans by Origination Year, Current Fiscal Year 6,345  
Term Loans by Origination Year, Before Latest Fiscal Year 2,951  
Term Loans by Origination Year, Two Years Before Latest Fiscal Year 4,601  
Term Loans by Origination Year, Three Years Before Latest Fiscal Year 313  
Term Loans by Origination Year, Four Years Before Latest Fiscal Year 353  
Term Loans by Origination Year, Five or More Years Before Latest Fiscal Year 417  
Financing Receivable, Revolving Loans 2,535  
Total LHFI $ 17,515  
v3.24.0.1
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, 2023
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 DCF
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
Commercial and Industrial Loans [Member] | Commercial and Industrial Loans [Member] | Equipment Finance Loans [Member]  
Financing Receivable Recorded Investment [Line Items]  
Methodology WARM
Loss Drivers Southern Unemployment, Southern GDP
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 and Leases [Member] | Other Commercial Loans and Leases [Member] | Commercial and Industrial - Non-Working Capital [Member]  
Financing Receivable Recorded Investment [Line Items]  
Methodology DCF
Loss Drivers Trustmark historical data
Other Commercial Loans and Leases [Member] | Other Commercial Loans and Leases [Member] | Commercial and Industrial - Working Capital [Member]  
Financing Receivable Recorded Investment [Line Items]  
Methodology DCF
Loss Drivers Trustmark historical data
Other Commercial Loans and Leases [Member] | Other Commercial Loans and Leases [Member] | Other Loans [Member]  
Financing Receivable Recorded Investment [Line Items]  
Methodology DCF
Loss Drivers Prime Rate, Southern Unemployment
Other Commercial Loans and Leases [Member] | Other Commercial Loans and Leases [Member] | Equipment Finance Leases [Member]  
Financing Receivable Recorded Investment [Line Items]  
Methodology WARM
Loss Drivers Southern Unemployment, Southern GDP
v3.24.0.1
LHFI and ACL, LHFI - Summary of Balance in Allowance for Loan Losses (Details) - USD ($)
$ in Thousands
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Dec. 31, 2020
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract]        
Individually Evaluated for Credit Loss $ 12,403 $ 17,687    
Individually Evaluated for Credit Loss 49,082 40,288    
Collectively Evaluated for Credit Loss 126,964 102,527    
Collectively Evaluated for Credit Loss 12,901,442 12,163,751    
Total LHFI 12,950,524 12,204,039    
Total 139,367 120,214 $ 99,457 $ 117,306
Commercial and Industrial Loans [Member]        
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract]        
Individually Evaluated for Credit Loss 11,436 9,946    
Individually Evaluated for Credit Loss 21,102 24,594    
Collectively Evaluated for Credit Loss 15,202 13,194    
Collectively Evaluated for Credit Loss 1,901,808 1,796,665    
Total LHFI 1,922,910 1,821,259    
Total 26,638 23,140 18,939  
Consumer Loans [Member]        
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract]        
Individually Evaluated for Credit Loss 0      
Collectively Evaluated for Credit Loss 5,794 5,792    
Collectively Evaluated for Credit Loss 165,734 170,230    
Total LHFI 165,734 170,230    
Total 5,794 5,792 4,774  
State and Other Political Subdivision Loans [Member]        
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract]        
Individually Evaluated for Credit Loss 0 0    
Individually Evaluated for Credit Loss 0 0    
Collectively Evaluated for Credit Loss 646 885    
Collectively Evaluated for Credit Loss 1,088,466 1,223,863    
Total LHFI 1,088,466 1,223,863    
Total 646 885 2,708  
Other Commercial Loans and Leases [Member]        
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract]        
Individually Evaluated for Credit Loss 967      
Individually Evaluated for Credit Loss 967      
Collectively Evaluated for Credit Loss 6,105      
Collectively Evaluated for Credit Loss 555,068      
Total LHFI 556,035 471,930    
Total 7,072 4,647    
Other Commercial Loans [Member]        
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract]        
Individually Evaluated for Credit Loss   0    
Individually Evaluated for Credit Loss   0    
Collectively Evaluated for Credit Loss   4,647    
Collectively Evaluated for Credit Loss   471,930    
Total LHFI   471,930    
Total   4,647 5,348  
Loans Secured by Real Estate [Member] | Construction, Land Development and Other Land [Member]        
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract]        
Individually Evaluated for Credit Loss 0 121    
Individually Evaluated for Credit Loss 2,020 1,558    
Collectively Evaluated for Credit Loss 17,192 12,707    
Collectively Evaluated for Credit Loss 640,866 689,058    
Total LHFI 642,886 690,616    
Total 17,192 12,828 6,079  
Loans Secured by Real Estate [Member] | Other Secured by 1-4 Family Residential Properties [Member]        
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract]        
Individually Evaluated for Credit Loss 946 482    
Collectively Evaluated for Credit Loss 12,942 12,374    
Collectively Evaluated for Credit Loss 621,451 590,308    
Total LHFI 622,397 590,790    
Total 12,942 12,374 10,310  
Loans Secured by Real Estate [Member] | Secured by Nonfarm, Nonresidential Properties [Member]        
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract]        
Individually Evaluated for Credit Loss 20,812 4,841    
Collectively Evaluated for Credit Loss 24,043 19,488    
Collectively Evaluated for Credit Loss 3,468,622 3,273,989    
Total LHFI 3,489,434 3,278,830    
Total 24,043 19,488 37,912  
Loans Secured by Real Estate [Member] | Other Real Estate Secured [Member]        
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract]        
Individually Evaluated for Credit Loss 0 0    
Collectively Evaluated for Credit Loss 4,488 4,743    
Collectively Evaluated for Credit Loss 1,312,551 742,538    
Total LHFI 1,312,551 742,538    
Total 4,488 4,743 4,713  
Other Loans Secured by Real Estate [Member] | Other Construction [Member]        
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract]        
Individually Evaluated for Credit Loss 0 7,620    
Individually Evaluated for Credit Loss 0 7,620    
Collectively Evaluated for Credit Loss 5,758 7,512    
Collectively Evaluated for Credit Loss 867,793 1,021,306    
Total LHFI 867,793 1,028,926    
Total 5,758 15,132 5,968  
Other Loans Secured by Real Estate [Member] | Secured by 1-4 Family Residential Properties [Member]        
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract]        
Individually Evaluated for Credit Loss 3,235 1,193    
Collectively Evaluated for Credit Loss 34,794 21,185    
Collectively Evaluated for Credit Loss 2,279,083 2,183,864    
Total LHFI 2,282,318 2,185,057    
Total $ 34,794 $ 21,185 $ 2,706  
v3.24.0.1
LHFI and ACL, LHFI - Change in Allowance for Loan Losses (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Financing Receivable, Allowance for Credit Losses [Roll Forward]      
Balance at beginning of period $ 120,214 $ 99,457 $ 117,306
Loans charged-off (17,515) (11,332) (10,275)
Recoveries 9,306 10,412 13,925
Net (charge-offs) recoveries (8,209) (920) 3,650
Provision for credit losses (PCL), LHFI 27,362 21,677 (21,499)
Balance at end of period 139,367 120,214 99,457
Commercial and Industrial Loans [Member]      
Financing Receivable, Allowance for Credit Losses [Roll Forward]      
Balance at beginning of period 23,140 18,939  
Loans charged-off (2,161) (671)  
Recoveries 1,066 955  
Provision for credit losses (PCL), LHFI 4,593 3,917  
Balance at end of period 26,638 23,140 18,939
Consumer Loans [Member]      
Financing Receivable, Allowance for Credit Losses [Roll Forward]      
Balance at beginning of period 5,792 4,774  
Loans charged-off (9,290) (2,125)  
Recoveries 5,192 1,563  
Provision for credit losses (PCL), LHFI 4,100 1,580  
Balance at end of period 5,794 5,792 4,774
State and Other Political Subdivision Loans [Member]      
Financing Receivable, Allowance for Credit Losses [Roll Forward]      
Balance at beginning of period 885 2,708  
Loans charged-off 0 0  
Recoveries 0 0  
Provision for credit losses (PCL), LHFI (239) (1,823)  
Balance at end of period 646 885 2,708
Other Commercial Loans and Leases [Member]      
Financing Receivable, Allowance for Credit Losses [Roll Forward]      
Balance at beginning of period 4,647    
Loans charged-off (314)    
Recoveries 0    
Provision for credit losses (PCL), LHFI 2,739    
Balance at end of period 7,072 4,647  
Other Commercial Loans [Member]      
Financing Receivable, Allowance for Credit Losses [Roll Forward]      
Balance at beginning of period 4,647 5,348  
Loans charged-off   (7,341)  
Recoveries   3,890  
Provision for credit losses (PCL), LHFI   2,750  
Balance at end of period   4,647 5,348
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 12,828 6,079  
Loans charged-off (242) (226)  
Recoveries 142 1,280  
Provision for credit losses (PCL), LHFI 4,464 5,695  
Balance at end of period 17,192 12,828 6,079
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 12,374 10,310  
Loans charged-off (320) (225)  
Recoveries 439 597  
Provision for credit losses (PCL), LHFI 449 1,692  
Balance at end of period 12,942 12,374 10,310
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 19,488 37,912  
Loans charged-off (278) (306)  
Recoveries 2,328 1,724  
Provision for credit losses (PCL), LHFI 2,505 (19,842)  
Balance at end of period 24,043 19,488 37,912
Loans Secured by Real Estate [Member] | Other Real Estate Secured [Member]      
Financing Receivable, Allowance for Credit Losses [Roll Forward]      
Balance at beginning of period 4,743 4,713  
Loans charged-off 0 (131)  
Recoveries 28 14  
Provision for credit losses (PCL), LHFI (283) 147  
Balance at end of period 4,488 4,743 4,713
Other Loans Secured by Real Estate [Member] | Other Construction [Member]      
Financing Receivable, Allowance for Credit Losses [Roll Forward]      
Balance at beginning of period 15,132 5,968  
Loans charged-off (3,453) (153)  
Recoveries 73 222  
Provision for credit losses (PCL), LHFI (5,994) 9,095  
Balance at end of period 5,758 15,132 5,968
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 21,185 2,706  
Loans charged-off (1,457) (154)  
Recoveries 38 167  
Provision for credit losses (PCL), LHFI 15,028 18,466  
Balance at end of period $ 34,794 $ 21,185 $ 2,706
v3.24.0.1
Premises and Equipment, Net - Premises and Equipment, Net (Details) - USD ($)
$ in Thousands
Dec. 31, 2023
Dec. 31, 2022
Premises and Equipment, Net, by Type [Abstract]    
Total cost of premises and equipment $ 516,545 $ 490,213
Less accumulated depreciation and amortization 288,956 282,385
Premises and equipment, net 227,589 207,828
Finance lease right-of-use assets 3,751 4,537
Assets held for sale 1,197 0
Total premises and equipment, net 232,537 212,365
Land [Member]    
Premises and Equipment, Net, by Type [Abstract]    
Total cost of premises and equipment 56,747 54,300
Building and Leasehold Improvements [Member]    
Premises and Equipment, Net, by Type [Abstract]    
Total cost of premises and equipment 247,173 237,215
Furniture and Equipment [Member]    
Premises and Equipment, Net, by Type [Abstract]    
Total cost of premises and equipment $ 212,625 $ 198,698
v3.24.0.1
Premises and Equipment, Net - Additional Information (Details)
$ in Thousands
 12 Months Ended
Dec. 31, 2023
USD ($)
Property
Dec. 31, 2022
USD ($)
Property
Dec. 31, 2021
USD ($)
Property, Plant and Equipment [Abstract]      
Number of property held for sale | Property 3 0  
Property valuation adjustments $ 470 $ 400 $ 140
Premises and Equipment, Net, by Type [Abstract]      
Depreciation and amortization of premises and equipment $ 17,400 $ 16,200 $ 15,600
v3.24.0.1
Mortgage Banking - Schedule of Activity in the Mortgage Servicing Rights (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Mortgage servicing rights [Abstract]    
Balance at beginning of period $ 129,677 $ 87,687
Origination of servicing assets 13,712 17,843
Change in fair value [Abstract]    
Due to market changes $ 1,489 $ 38,181
Servicing Asset, Fair Value, Change in Fair Value, Valuation Input, Statement of Income or Comprehensive Income [Extensible Enumeration] Mortgage Banking Income Mortgage Banking Income
Due to runoff $ (10,030) $ (14,034)
Balance at end of period $ 131,870 $ 129,677
v3.24.0.1
Mortgage Banking - Additional Information (Details)
$ in Thousands
 12 Months Ended
Dec. 31, 2023
USD ($)
CPR
Dec. 31, 2022
USD ($)
CPR
Dec. 31, 2021
USD ($)
Schedule of changes in the reserve for mortgage loan [Abstract]      
Assumed average prepayment speed | CPR 9 8  
Average discount rate (in hundredths) 10.07% 10.08%  
Annual servicing fee $ 26,900 $ 26,000 $ 25,100
Servicing fee income percentage of outstanding balance of underlying loans (in hundredths) 0.32%    
Mortgage servicing rights [Abstract]      
Residential mortgage loans sold $ 1,136,000 1,243,000 2,286,000
Gains on sales of residential mortgage loans $ 15,300 20,200 $ 56,000
Period of putback response 60 days    
Reserve for mortgage loan servicing putback expenses $ 500 $ 500  
v3.24.0.1
Mortgage Banking - Schedule of Mortgage Loans Sold and Serviced for Others (Details) - USD ($)
$ in Thousands
Dec. 31, 2023
Dec. 31, 2022
Mortgage Loans On Real Estate [Line Items]    
Total mortgage loans sold and serviced for others $ 8,477,375 $ 8,115,824
Federal National Mortgage Association [Member]    
Mortgage Loans On Real Estate [Line Items]    
Total mortgage loans sold and serviced for others 4,826,028 4,684,815
Government National Mortgage Association [Member]    
Mortgage Loans On Real Estate [Line Items]    
Total mortgage loans sold and serviced for others 3,510,983 3,350,222
Federal Home Loan Mortgage Corporation [Member]    
Mortgage Loans On Real Estate [Line Items]    
Total mortgage loans sold and serviced for others 112,352 52,023
Other [Member]    
Mortgage Loans On Real Estate [Line Items]    
Total mortgage loans sold and serviced for others $ 28,012 $ 28,764
v3.24.0.1
Goodwill and Identifiable Intangible Assets - Goodwill by Segment (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Goodwill [Roll Forward]    
Goodwill, beginning of period $ 384,237 $ 384,237
Adjustment 0 0
Balance, end of period 384,237 384,237
General Banking [Member]    
Goodwill [Roll Forward]    
Goodwill, beginning of period 334,603 334,603
Adjustment 0 0
Balance, end of period 334,603 334,603
Insurance [Member]    
Goodwill [Roll Forward]    
Goodwill, beginning of period 49,634 49,634
Adjustment 0 0
Balance, end of period $ 49,634 $ 49,634
v3.24.0.1
Goodwill and Identifiable Intangible Assets - Additional Information (Details) - USD ($)
 12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Goodwill [Line Items]      
Amortization expense of identifiable intangible assets $ 675,000 $ 1,400,000 $ 2,300,000
Impairment losses on identifiable intangible assets 0 0 0
Future amortization expense for identifiable intangible assets [Abstract]      
2024 469,000    
2025 403,000    
2026 341,000    
2027 283,000    
2028 250,000    
General Banking And Insurance [Member]      
Goodwill [Line Items]      
Impairment charge $ 0 $ 0 $ 0
v3.24.0.1
Goodwill and Identifiable Intangible Assets - Schedule of Identifiable Intangible Assets (Details) - USD ($)
$ in Thousands
Dec. 31, 2023
Dec. 31, 2022
Finite Lived Intangible Assets [Line Items]    
Gross Carrying Amount $ 106,271 $ 106,271
Accumulated Amortization 103,306 102,631
Net Carrying Amount $ 2,965 3,640
Remaining Weighted-Average Amortization Periods in Years 13 years 10 months 24 days  
Core Deposit Intangibles [Member]    
Finite Lived Intangible Assets [Line Items]    
Gross Carrying Amount $ 87,674 87,674
Accumulated Amortization 87,439 87,199
Net Carrying Amount $ 235 475
Remaining Weighted-Average Amortization Periods in Years 3 years 2 months 12 days  
Insurance Intangibles [Member]    
Finite Lived Intangible Assets [Line Items]    
Gross Carrying Amount $ 17,272 17,272
Accumulated Amortization 14,542 14,157
Net Carrying Amount $ 2,730 3,115
Remaining Weighted-Average Amortization Periods in Years 14 years 10 months 24 days  
Banking Charters [Member]    
Finite Lived Intangible Assets [Line Items]    
Gross Carrying Amount $ 1,325 1,325
Accumulated Amortization 1,325 1,275
Net Carrying Amount $ 0 $ 50
v3.24.0.1
Other Real Estate - Changes and Gains (Losses), Net on Other Real Estate (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate [Roll Forward]      
Balance at beginning of period $ 1,986 $ 4,557 $ 11,651
Additions 7,237 1,533 770
Disposals (2,555) (4,142) (6,932)
(Write-downs) recoveries (199) (38) (932)
Balance at end of period 6,867 1,986 4,557
Gains (losses), net on the sale of other real estate included in other real estate expense $ (145) $ (1,006) $ (1,869)
v3.24.0.1
Other Real Estate - Other Real Estate, By Type of Property (Details) - USD ($)
$ in Thousands
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Dec. 31, 2020
Other real estate [Line Items]        
Total other real estate $ 6,867 $ 1,986 $ 4,557 $ 11,651
1 - 4 Family Residential Properties [Member]        
Other real estate [Line Items]        
Total other real estate 1,977 1,128    
Nonfarm, Nonresidential Properties [Member]        
Other real estate [Line Items]        
Total other real estate 4,835 561    
Other Real Estate Properties [Member]        
Other real estate [Line Items]        
Total other real estate $ 55 $ 297    
v3.24.0.1
Other Real Estate - Other Real Estate, By Geographic Location (Details) - USD ($)
$ in Thousands
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Dec. 31, 2020
Other Real Estate by Geographic Location [Line Items]        
Total other real estate $ 6,867 $ 1,986 $ 4,557 $ 11,651
Alabama [Member]        
Other Real Estate by Geographic Location [Line Items]        
Total other real estate 1,397 194    
Mississippi [Member]        
Other Real Estate by Geographic Location [Line Items]        
Total other real estate [1] 1,242 1,769    
Tennessee [Member]        
Other Real Estate by Geographic Location [Line Items]        
Total other real estate [2] 0 23    
Texas [Member]        
Other Real Estate by Geographic Location [Line Items]        
Total other real estate $ 4,228 $ 0    
[1] Mississippi includes Central and Southern Mississippi Regions.
[2] Tennessee includes Memphis, Tennessee and Northern Mississippi Regions.
v3.24.0.1
Other Real Estate - Additional information (Details) - USD ($)
$ in Millions
Dec. 31, 2023
Dec. 31, 2022
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 $ 2.0 $ 1.1
Consumer mortgage loans and that formal foreclosure proceedings are in process $ 6.4 $ 2.9
v3.24.0.1
Leases - Additional Information (Details)
$ in Millions
 12 Months Ended
Dec. 31, 2023
USD ($)
Lessee, Lease, Description [Line Items]  
Interest Income from its Sales-Type and Direct Financing Leases $ 3.2
Minimum [Member]  
Lessee, Lease, Description [Line Items]  
Remaining Lease Term 3 years
Maximum [Member]  
Lessee, Lease, Description [Line Items]  
Remaining Lease Term 10 years
v3.24.0.1
Leases - Components of the Trustmark's net investment in its sales-type and direct financing leases (Details)
$ in Thousands
Dec. 31, 2023
USD ($)
Capital Leases, Net Investment in Direct Financing Leases [Abstract]  
Leases receivable $ 161,319
Unearned income (29,011)
Initial direct costs 1,326
Unguaranteed lease residual 4,101
Total net investment $ 137,735
v3.24.0.1
Leases - Minimum Future Lease Payments for Trustmark's Leases Receivable (Details)
$ in Thousands
Dec. 31, 2023
USD ($)
Sales-Type and Direct Financing Leases, Payment to be Received, Fiscal Year Maturity [Abstract]  
2024 $ 24,647
2025 25,617
2026 24,176
2027 36,295
2028 21,141
Thereafter 29,443
Total leases receivable $ 161,319
v3.24.0.1
Leases - Components of Net Lease Cost (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Finance leases      
Amortization of right-of-use assets $ 786 $ 1,479 $ 1,546
Interest on lease liabilities 163 188 219
Operating lease cost 5,311 5,172 5,275
Short-term lease cost 277 389 463
Variable lease cost 906 1,150 1,234
Sublease income (12) (168) (350)
Net lease cost $ 7,431 $ 8,210 $ 8,387
v3.24.0.1
Leases - Cash Payments Included in Measurement of Lease liabilities (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Finance leases      
Operating cash flows included in operating activities $ 163 $ 188 $ 219
Financing cash flows included in payments under finance lease obligations 721 1,409 1,434
Operating leases      
Operating cash flows (fixed payments) included in other operating activities, net 4,188 4,829 4,781
Operating cash flows (liability reduction) included in other operating activities, net $ 3,643 $ 4,009 $ 3,948
v3.24.0.1
Leases - Balance Sheet Information and Weighted-Average Lease Terms and Discount Rates Related to Leases (Details) - USD ($)
$ in Thousands
Dec. 31, 2023
Dec. 31, 2022
Leases [Abstract]    
Finance lease right-of-use assets, net of accumulated depreciation $ 3,751 $ 4,537
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 $ 4,334 $ 5,055
Finance Lease, Liability, Statement of Financial Position [Extensible Enumeration] Other Borrowings Other Borrowings
Operating lease right-of-use assets $ 38,142 $ 36,301
Operating lease liabilities $ 41,584 $ 38,932
Weighted-average lease term    
Finance leases 8 years 4 months 2 days 8 years 8 months 19 days
Operating leases 10 years 1 month 17 days 9 years 7 months 20 days
Weighted-average discount rate    
Finance leases 3.61% 3.49%
Operating leases 3.64% 3.22%
v3.24.0.1
Leases - Future Minimum Rental Commitments Under Finance and Operating Leases (Details) - USD ($)
$ in Thousands
Dec. 31, 2023
Dec. 31, 2022
Leases [Abstract]    
Finance leases, 2024 $ 573  
Finance leases, 2025 584  
Finance leases, 2026 589  
Finance leases, 2027 594  
Finance leases, 2028 599  
Finance leases, Thereafter 2,086  
Finance leases, total minimum lease payments 5,025  
Finance leases, imputed interest (691)  
Finance lease liabilities 4,334 $ 5,055
Operating leases, 2024 5,051  
Operating leases, 2025 5,119  
Operating leases, 2026 4,967  
Operating leases, 2027 5,020  
Operating leases, 2028 4,860  
Operating leases, Thereafter 25,452  
Operating leases, total minimum lease payments 50,469  
Operating leases, imputed interest (8,885)  
Operating lease liabilities $ 41,584 $ 38,932
v3.24.0.1
Deposits - Deposits Summary (Details) - USD ($)
$ in Thousands
Dec. 31, 2023
Dec. 31, 2022
Deposits [Abstract]    
Noninterest-bearing demand $ 3,197,620 $ 4,093,771
Interest-bearing demand 4,947,626 4,773,219
Savings 4,047,853 4,282,435
Time 3,376,664 1,288,223
Total deposits $ 15,569,763 $ 14,437,648
v3.24.0.1
Deposits - Interest Expense on Deposits by Type (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Interest expense on deposits by type [Abstract]      
Interest-bearing demand $ 121,138 $ 16,409 $ 4,906
Savings 28,605 9,654 7,912
Time 96,208 3,006 4,127
Total $ 245,951 $ 29,069 $ 16,945
v3.24.0.1
Deposits - Additional Information (Details) - USD ($)
$ in Millions
Dec. 31, 2023
Dec. 31, 2022
Deposits [Abstract]    
Time deposits that exceed the FDIC insurance limit of $250 thousand $ 822.4 $ 247.2
v3.24.0.1
Deposits - Maturities of Interest-Bearing Deposits (Details) - USD ($)
$ in Thousands
Dec. 31, 2023
Dec. 31, 2022
Maturities of interest-bearing deposits [Abstract]    
2024 $ 3,199,607  
2025 142,607  
2026 19,632  
2027 7,433  
2028 5,503  
Thereafter 1,882  
Total time deposits 3,376,664 $ 1,288,223
Interest-bearing deposits with no stated maturity 8,995,479  
Total interest-bearing deposits $ 12,372,143 $ 10,343,877
v3.24.0.1
Borrowings - Securities Sold Under Repurchase Agreements - Additional Information (Details) - USD ($)
$ in Millions
Dec. 31, 2023
Dec. 31, 2022
Debt Disclosure [Abstract]    
Securities sold under repurchase agreements, secured by securities carrying amount $ 61.6 $ 102.4
v3.24.0.1
Borrowings - Schedule of Securities Sold Under Repurchase Agreements (Details) - USD ($)
$ in Thousands
Dec. 31, 2023
Dec. 31, 2022
Securities sold under repurchase agreements by collateral pledged    
Total securities sold under repurchase agreements $ 29,126 $ 64,120
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 28,600 41,732
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 526 1,111
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 $ 0 $ 21,277
v3.24.0.1
Borrowings - Summary of Other Borrowings (Details) - USD ($)
$ in Thousands
Dec. 31, 2023
Dec. 31, 2022
Debt Disclosure [Abstract]    
FHLB advances $ 400,058 $ 975,078
Serviced GNMA loans eligible for repurchase 78,838 70,805
Finance lease liabilities 4,334 5,055
Total other borrowings $ 483,230 $ 1,050,938
v3.24.0.1
Borrowings - FHLB Advances - Additional Information (Details)
 12 Months Ended
Dec. 31, 2023
USD ($)
Loan
Dec. 31, 2022
USD ($)
Loan
Dec. 31, 2021
USD ($)
Debt Instrument [Line Items]      
Weighted-average cost related to FHLB advances (in hundredths) 5.54% 4.58%  
Weighted average remaining maturity 9 days 10 days  
Atlanta | BancTrust [Member] | Federal Home Loan Bank Advances      
Debt Instrument [Line Items]      
Number of outstanding short-term FHLB advances | Loan 0 0  
Interest rate (in hundredths) 0.08% 0.08%  
Debt instrument remaining maturity period 2 years 8 months 15 days 3 years 8 months 15 days  
Number of outstanding long-term FHLB advances | Loan 1 1  
Long-term FHLB advances $ 58,000 $ 78,000  
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 short-term FHLB advances | Loan 5 4  
Short-term FHLB advances $ 400,000,000 $ 975,000,000  
Long-term FHLB advances 0 0  
Additional debt instrument borrowing capacity 4,003,000,000.000 3,034,000,000.000  
Dallas [Member] | Short Term FhlbAdvances1 [Member] | Federal Home Loan Bank Advances      
Debt Instrument [Line Items]      
Short-term FHLB advances $ 50,000,000    
Interest rate (in hundredths) 5.38%    
Dallas [Member] | Short Term FhlbAdvances2 [Member] | Federal Home Loan Bank Advances      
Debt Instrument [Line Items]      
Short-term FHLB advances $ 125,000,000    
Interest rate (in hundredths) 5.61%    
Dallas [Member] | Fair Market Value Adjustment [Member] | Federal Home Loan Bank Advances      
Debt Instrument [Line Items]      
Interest expense, short-term borrowings   4,800,000  
Dallas [Member] | BancTrust [Member] | Federal Home Loan Bank Advances      
Debt Instrument [Line Items]      
Interest expense, long-term borrowings $ 0 $ 0 $ 0
Dallas [Member] | BancTrust [Member] | Fair Market Value Adjustment [Member]      
Debt Instrument [Line Items]      
Interest expense, short-term borrowings $ 49,900,000   $ 2,000
v3.24.0.1
Borrowings - Subordinated Notes Payable - Additional Information (Details) - USD ($)
$ in Thousands
 3 Months Ended 12 Months Ended
Dec. 01, 2025
Dec. 31, 2020
Dec. 31, 2023
Dec. 31, 2020
Dec. 31, 2022
Debt Instrument [Line Items]          
Subordinated notes     $ 123,482   $ 123,262
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     $ 123,500   $ 123,300
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%        
v3.24.0.1
Borrowings - Junior Subordinated Debt Securities - Additional information (Details)
$ in Thousands
 12 Months Ended
Aug. 18, 2006
USD ($)
qtr
Dec. 31, 2023
USD ($)
Dec. 31, 2022
USD ($)
Dec. 31, 2021
USD ($)
Variable Interest Entity [Line Items]        
Junior subordinated debt securities   $ 61,856 $ 61,856  
Total assets   18,722,189 18,015,478 $ 17,595,636
Total liabilities and shareholders' equity   18,722,189 18,015,478  
Common securities   12,725 12,705  
Net income   165,489 71,887 147,365
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 Chicago Mercantile Exchange, Inc. (CME) SOFR      
Basis spread over SOFR rate (in hundredths) 0.26%      
Debt instrument interest rate margin 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   132 66 36
Dividends paid   $ 132 $ 66 $ 36
v3.24.0.1
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, 2023
Dec. 31, 2022
Dec. 31, 2021
Revenue From Contract With Customer [Line Items]      
Service charges on deposit accounts $ 43,416 $ 42,157 $ 33,246
Bank card and other fees 33,439 36,105 34,662
Mortgage banking, net 26,216 28,306 63,750
Insurance commissions 57,569 53,721 48,511
Wealth management 35,092 35,013 35,190
Other, net 11,187 9,842 6,551
Security gains (losses), net 39    
Total Noninterest Income 206,958 205,144 221,910
Topic 606 [Member]      
Revenue From Contract With Customer [Line Items]      
Service charges on deposit accounts 43,416 42,157 33,246
Bank card and other fees 30,444 31,521 30,935
Insurance commissions 57,569 53,721 48,511
Wealth management 35,092 35,013 35,190
Other, net 12,887 8,998 6,856
Total Noninterest Income 179,408 171,410 154,738
Not Topic 606 [Member]      
Revenue From Contract With Customer [Line Items]      
Bank card and other fees [1] 2,995 4,584 3,727
Mortgage banking, net [1] 26,216 28,306 63,750
Other, net [1] (1,700) 844 (305)
Security gains (losses), net [1] 39    
Total Noninterest Income [1] 27,550 33,734 67,172
General Banking Segment [Member]      
Revenue From Contract With Customer [Line Items]      
Service charges on deposit accounts 43,329 42,073 33,169
Bank card and other fees 33,382 36,058 34,624
Mortgage banking, net 26,216 28,306 63,750
Wealth management 838 639 48
Other, net 9,693 9,274 6,283
Security gains (losses), net 39    
Total Noninterest Income 113,497 116,350 137,874
General Banking Segment [Member] | Topic 606 [Member]      
Revenue From Contract With Customer [Line Items]      
Service charges on deposit accounts 43,329 42,073 33,169
Bank card and other fees 30,387 31,474 30,897
Wealth management 838 639 48
Other, net 11,769 8,469 6,621
Total Noninterest Income 86,323 82,655 70,735
General Banking Segment [Member] | Not Topic 606 [Member]      
Revenue From Contract With Customer [Line Items]      
Bank card and other fees [1] 2,995 4,584 3,727
Mortgage banking, net [1] 26,216 28,306 63,750
Other, net [1] (2,076) 805 (338)
Security gains (losses), net [1] 39    
Total Noninterest Income [1] 27,174 33,695 67,139
Wealth Management Segment [Member]      
Revenue From Contract With Customer [Line Items]      
Service charges on deposit accounts 87 84 77
Bank card and other fees 57 47 38
Wealth management 34,254 34,374 35,142
Other, net 538 567 163
Total Noninterest Income 34,936 35,072 35,420
Wealth Management Segment [Member] | Topic 606 [Member]      
Revenue From Contract With Customer [Line Items]      
Service charges on deposit accounts 87 84 77
Bank card and other fees 57 47 38
Wealth management 34,254 34,374 35,142
Other, net 162 528 130
Total Noninterest Income 34,560 35,033 35,387
Wealth Management Segment [Member] | Not Topic 606 [Member]      
Revenue From Contract With Customer [Line Items]      
Other, net [1] 376 39 33
Total Noninterest Income [1] 376 39 33
Insurance Segment [Member]      
Revenue From Contract With Customer [Line Items]      
Insurance commissions 57,569 53,721 48,511
Other, net 956 1 105
Total Noninterest Income 58,525 53,722 48,616
Insurance Segment [Member] | Topic 606 [Member]      
Revenue From Contract With Customer [Line Items]      
Insurance commissions 57,569 53,721 48,511
Other, net 956 1 105
Total Noninterest Income 58,525 53,722 48,616
Insurance Segment [Member] | Not Topic 606 [Member]      
Revenue From Contract With Customer [Line Items]      
Total Noninterest Income [1] $ 0 $ 0 $ 0
[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.
v3.24.0.1
Income Taxes - Income Tax Provision (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Current [Abstract]      
Federal $ 29,450 $ 15,377 $ 5,815
State 7,197 3,283 2,118
Deferred [Abstract]      
Federal (3,840) (13,440) 16,092
State (960) (3,360) 4,023
Income tax provision $ 31,847 $ 1,860 $ 28,048
v3.24.0.1
Income Taxes - Income Tax Reconciliation (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Reconciliation of provision for tax from the federal rate to the effective tax rate [Abstract]      
Income tax computed at statutory tax rate $ 41,441 $ 15,487 $ 36,837
Tax exempt interest (5,521) (4,419) (3,935)
Nondeductible interest expense 2,104 271 106
State income taxes, net 5,686 2,596 1,673
Income tax credits, net (11,904) (10,071) (10,479)
Death benefit gains (80) (287) (175)
Other 121 (1,717) 4,021
Income tax provision $ 31,847 $ 1,860 $ 28,048
v3.24.0.1
Income Taxes - Deferred Tax Assets and Liabilities (Details) - USD ($)
$ in Thousands
Dec. 31, 2023
Dec. 31, 2022
Deferred tax assets [Abstract]    
Litigation losses $ 26,647 $ 25,187
Other real estate 1,743 70
Accumulated credit losses 43,473 39,370
Deferred compensation 17,893 17,695
Finance and operating lease liabilities 11,426 10,997
Realized built-in losses 8,429 9,180
Securities 68,223 84,813
Pension and other postretirement benefit plans 2,025 1,931
Interest on nonaccrual loans 1,218 1,159
LHFS 777 205
Stock-based compensation 3,196 2,647
Derivatives 2,993 5,056
Other 10,543 10,038
Gross deferred tax asset 198,586 208,348
Deferred tax liabilities [Abstract]    
Goodwill and other identifiable intangibles 14,297 14,378
Premises and equipment 17,382 15,978
Finance and operating lease right-of-use assets 10,420 10,209
MSR 26,271 24,452
Securities 3,181 2,069
Other 2,264 2,876
Gross deferred tax liability 73,815 69,962
Net deferred tax asset $ 124,771 $ 138,386
v3.24.0.1
Income Taxes - Changes in Unrecognized Tax Benefits (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Changes in unrecognized tax benefits [Roll Forward]      
Balance at beginning of period $ 2,316 $ 2,129 $ 1,781
Change due to tax positions taken during the current year 1,333 653 412
Change due to tax positions taken during a prior year (426) (266) 107
Change due to the lapse of applicable statute of limitations during the current year (359) (200) (171)
Balance at end of period 2,864 2,316 2,129
Accrued interest, net of federal benefit, at end of period 470 489 419
Unrecognized tax benefits that would impact the effective tax rate, if recognized, at end of period $ 2,518 $ 1,948 $ 1,766
v3.24.0.1
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, 2023
Dec. 31, 2022
Dec. 31, 2021
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 $ 6,907 $ 8,647  
Service cost 52 115 $ 252
Interest cost 292 192 173
Actuarial (gain) loss 164 (1,882)  
Benefits paid (1,492) (165)  
Benefit obligation, end of year 5,923 6,907 8,647
Change in plan assets [ Roll Forward]      
Fair value of plan assets, beginning of year 2,907 2,900  
Actual return on plan assets 237 (285)  
Employer contributions 751 457  
Benefit payments (1,492) (165)  
Fair value of plan assets, end of year 2,403 2,907 2,900
Funded status at end of year - net liability (3,520) (4,000)  
Amounts recognized in accumulated other comprehensive income (loss) [Abstract]      
Net (gain) loss - amount recognized (262) (271)  
Actuarial (gain) loss included in benefit obligation:      
Change in discount rate 124 (2,174)  
Change in mortality table (38) 0  
Other 78 292  
Actuarial (gain) loss 164 (1,882)  
Supplemental Retirement Plan [Member]      
Change in benefit obligation [Roll Forward]      
Benefit obligation, beginning of year 43,201 55,035  
Service cost 69 71 75
Interest cost 2,013 1,278 1,125
Actuarial (gain) loss 763 (9,195)  
Benefits paid (4,427) (3,988)  
Benefit obligation, end of year 41,619 43,201 $ 55,035
Change in plan assets [ Roll Forward]      
Employer contributions 4,427 3,988  
Benefit payments (4,427) (3,988)  
Funded status at end of year - net liability (41,619) (43,201)  
Amounts recognized in accumulated other comprehensive income (loss) [Abstract]      
Net (gain) loss - amount recognized 8,235 7,756  
Prior service cost 126 237  
Amounts recognized 8,361 7,993  
Actuarial (gain) loss included in benefit obligation:      
Change in discount rate 649 (9,803)  
Change in mortality table (308) 0  
Other 422 608  
Actuarial (gain) loss $ 763 $ (9,195)  
v3.24.0.1
Defined Benefit and Other Postretirement Benefits - Net Periodic Benefit Cost (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Net periodic benefit cost [Abstract]      
Defined Benefit Plan, Net Periodic Benefit (Cost) Credit, Expected Return (Loss), Statement of Income or Comprehensive Income [Extensible Enumeration] Other Comprehensive Income (Loss), Defined Benefit Plan, Gain (Loss) Arising During Period, after Tax Other Comprehensive Income (Loss), Defined Benefit Plan, Gain (Loss) Arising During Period, after Tax Other Comprehensive Income (Loss), Defined Benefit Plan, Gain (Loss) Arising During Period, after Tax
Defined Benefit Plan, Net Periodic Benefit Cost (Credit) Excluding Service Cost, Statement of Income or Comprehensive Income [Extensible Enumeration] Other Comprehensive Income (Loss), Defined Benefit Plan, Gain (Loss) Arising During Period, after Tax Other Comprehensive Income (Loss), Defined Benefit Plan, Gain (Loss) Arising During Period, after Tax Other Comprehensive Income (Loss), Defined Benefit Plan, Gain (Loss) Arising During Period, after Tax
Defined Benefit Plan, Net Periodic Benefit (Cost) Credit, Immediate Recognition of Actuarial Gain (Loss), Statement of Income or Comprehensive Income [Extensible Enumeration] Other Comprehensive Income (Loss), Defined Benefit Plan, Gain (Loss) Arising During Period, after Tax Other Comprehensive Income (Loss), Defined Benefit Plan, Gain (Loss) Arising During Period, after Tax Other Comprehensive Income (Loss), Defined Benefit Plan, Gain (Loss) Arising During Period, after Tax
Trustmark Capital Accumulation Plan [Member] | Trustmark Corporation Pension Plan for Certain Employees of Acquired Financial Institutions [Member]      
Net periodic benefit cost [Abstract]      
Service cost $ 52 $ 115 $ 252
Interest cost 292 192 173
Expected return on plan assets (107) (121) (130)
Recognized net loss due to lump sum settlements 25 0 183
Recognized net actuarial loss 0 224 594
Net periodic benefit cost 262 410 1,072
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) 9 (1,699) (1,136)
Total recognized in net periodic benefit cost and other comprehensive income (loss) $ 271 $ (1,289) $ (64)
Weighted-average assumptions as of end of year [Abstract]      
Discount rate for benefit obligation 4.67% 4.88% 2.41%
Discount rate for net periodic benefit cost 4.88% 2.41% 1.95%
Expected long-term return on plan assets 5.00% 5.00% 5.00%
Supplemental Retirement Plan [Member]      
Net periodic benefit cost [Abstract]      
Service cost $ 69 $ 71 $ 75
Interest cost 2,013 1,278 1,125
Amortization of prior service cost 111 111 111
Recognized net actuarial loss 284 986 1,192
Net periodic benefit cost 2,477 2,446 2,503
Other changes in plan assets and benefit obligation recognized in other comprehensive income (loss), before taxes:      
Net (gain) loss 479 (10,181) (3,549)
Amortization of prior service cost (111) (111) (111)
Net loss - Total recognized in other comprehensive income (loss) 368 (10,292) (3,660)
Total recognized in net periodic benefit cost and other comprehensive income (loss) $ 2,845 $ (7,846) $ (1,157)
Weighted-average assumptions as of end of year [Abstract]      
Discount rate for benefit obligation 4.67% 4.88% 2.41%
Discount rate for net periodic benefit cost 4.88% 2.41% 1.95%
v3.24.0.1
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, 2023
Dec. 31, 2022
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) 27.00% 7.00%
Exchange Traded Equity Securities Funds [Member]    
Asset target allocations [Abstract]    
Weighted-average asset allocation (in hundredths) 36.00% 47.00%
Exchange Traded Fixed Income Funds [Member]    
Asset target allocations [Abstract]    
Weighted-average asset allocation (in hundredths) 28.00% 39.00%
International Exchange Traded Funds [Member]    
Asset target allocations [Abstract]    
Weighted-average asset allocation (in hundredths) 9.00% 7.00%
v3.24.0.1
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, 2023
Dec. 31, 2022
Dec. 31, 2021
Asset target allocations [Abstract]      
Fair value of plan assets $ 2,403 $ 2,907 $ 2,900
Level 1 [Member]      
Asset target allocations [Abstract]      
Fair value of plan assets 2,403 2,907  
Money Market Funds [Member]      
Asset target allocations [Abstract]      
Fair value of plan assets 643 203  
Money Market Funds [Member] | Level 1 [Member]      
Asset target allocations [Abstract]      
Fair value of plan assets 643 203  
Exchange Traded Equity Securities Funds [Member]      
Asset target allocations [Abstract]      
Fair value of plan assets 861 1,379  
Exchange Traded Equity Securities Funds [Member] | Level 1 [Member]      
Asset target allocations [Abstract]      
Fair value of plan assets 861 1,379  
Exchange Traded Fixed Income Funds [Member]      
Asset target allocations [Abstract]      
Fair value of plan assets 690 1,135  
Exchange Traded Fixed Income Funds [Member] | Level 1 [Member]      
Asset target allocations [Abstract]      
Fair value of plan assets 690 1,135  
International Exchange Traded Funds [Member]      
Asset target allocations [Abstract]      
Fair value of plan assets 209 190  
International Exchange Traded Funds [Member] | Level 1 [Member]      
Asset target allocations [Abstract]      
Fair value of plan assets $ 209 $ 190  
v3.24.0.1
Defined Benefit and Other Postretirement Benefits - Additional Information (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
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   $ 154    
Trustmark's contribution to the Trustmark Corporation Pension Plan for Certain Employees of Acquired Financial Institutions   609    
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 $ 128      
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   346    
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   $ 10,800 $ 10,200 $ 9,900
Contributions up to a maximum of eligible compensation   6.00%    
Automatically enrolled Contributions of eligible compensation   3.00%    
Trustmark contributions to the plan   100.00%    
Period when associates may become eligible to make elective deferral contributions after employment   60 days    
v3.24.0.1
Defined Benefit and Other Postretirement Benefits - Estimated Future Benefit Payments and Other Disclosures (Details)
$ in Thousands
Dec. 31, 2023
USD ($)
Supplemental Retirement Plan [Member]  
Estimated future benefit payments [Abstract]  
2024 $ 3,997
2025 3,871
2026 3,825
2027 3,641
2028 3,520
2029 - 2033 16,051
Trustmark Corporation Pension Plan for Certain Employees of Acquired Financial Institutions [Member] | Trustmark Capital Accumulation Plan [Member]  
Estimated future benefit payments [Abstract]  
2024 1,312
2025 682
2026 701
2027 724
2028 428
2029 - 2033 $ 1,396
v3.24.0.1
Stock and Incentive Compensation Plans - Additional Information (Details)
 12 Months Ended
Dec. 31, 2023
shares
Performance Units [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]  
Total shareholder return, performance measure 100.00%
Time-based Awards [Member] | Management [Member]  
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]  
Vesting period 3 years
Time-based Awards [Member] | Director [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) 777,264
v3.24.0.1
Stock and Incentive Compensation Plans - Summary of Stock Plan Activity (Details) - Stock and Incentive Compensation Plan [Member] - $ / shares
 12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Performance Units [Member]      
Shares [Roll Forward]      
Nonvested shares, beginning of year (in shares) 148,416 140,821 145,042
Granted (in shares) 70,666 60,773 53,273
Released from restriction (in shares) (39,943) (19,723) (44,536)
Forfeited (in shares) (4,925) (33,455) (12,958)
Nonvested shares, end of year (in shares) 174,214 148,416 140,821
Weighted-Average Grant Date Fair Value [Abstract]      
Nonvested shares, beginning of year (in dollars per share) $ 31.63 $ 31.8 $ 32.43
Granted (in dollars per share) 29.78 32.64 30.02
Released from restriction (in dollars per share) 31.98 33.4 31.88
Forfeited (in dollars per share) 31.41 33.11 31.28
Nonvested shares, end of year (in dollars per share) $ 30.81 $ 31.63 $ 31.8
Time-based Awards [Member]      
Shares [Roll Forward]      
Nonvested shares, beginning of year (in shares) 312,978 337,466 301,619
Granted (in shares) 145,003 133,307 180,847
Released from restriction (in shares) (90,587) (148,905) (135,120)
Forfeited (in shares) (9,142) (8,890) (9,880)
Nonvested shares, end of year (in shares) 358,252 312,978 337,466
Weighted-Average Grant Date Fair Value [Abstract]      
Nonvested shares, beginning of year (in dollars per share) $ 30.99 $ 31.18 $ 32.24
Granted (in dollars per share) 28.59 31.85 29.85
Released from restriction (in dollars per share) 30.9 32.16 31.77
Forfeited (in dollars per share) 30.72 31.62 31.19
Nonvested shares, end of year (in dollars per share) $ 30.04 $ 30.99 $ 31.18
v3.24.0.1
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, 2023
Dec. 31, 2022
Dec. 31, 2021
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]      
Recognized compensation expense $ 6,155 $ 4,883 $ 5,601
Unrecognized compensation expense 5,026    
Performance Shares [Member]      
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]      
Recognized compensation expense 1,772 1,258 828
Unrecognized compensation expense $ 2,021    
Weighted average life of unrecognized compensation expense 1 year 8 months 8 days    
Time Based Award [Member]      
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]      
Recognized compensation expense $ 4,383 $ 3,625 $ 4,773
Unrecognized compensation expense $ 3,005    
Weighted average life of unrecognized compensation expense 1 year 6 months 29 days    
v3.24.0.1
Commitments and Contingencies - Additional Information (Details) - USD ($)
$ in Thousands
 3 Months Ended 12 Months Ended
Feb. 02, 2024
Sep. 30, 2023
Dec. 31, 2022
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Loss Contingencies [Line Items]            
Unused commitments to extend credit     $ 5,472,000 $ 4,907,000 $ 5,472,000  
Litigation settlement expense       6,500 100,750 $ 0
Standby Letters of Credit [Member]            
Loss Contingencies [Line Items]            
Potential exposure to credit loss in the event of nonperformance     144,100 $ 125,400 144,100  
Letters of credit, maturity term - maximum       3 years    
Collateral held, fair value     15,400 $ 31,400 $ 15,400  
Settlement Agreement [Member]            
Loss Contingencies [Line Items]            
Litigation settlement expense   $ 6,500 100,000      
Legal fees     $ 750      
Settlement Agreement [Member] | Subsequent Event [Member]            
Loss Contingencies [Line Items]            
One-time cash payment of legal settlement $ 100,000          
v3.24.0.1
Commitments and Contingencies - Summary of Changes in ACL on Off-balance Sheet Credit Exposures (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Commitments and Contingencies Disclosure [Abstract]      
Balance at beginning of period $ 36,838 $ 35,623 $ 38,572
PCL, off-balance sheet credit exposures (2,781) 1,215 (2,949)
Balance at end of period $ 34,057 $ 36,838 $ 35,623
v3.24.0.1
Shareholders' Equity - Additional Information (Details) - USD ($)
shares in Thousands, $ in Millions
 12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Dec. 05, 2023
Dec. 06, 2022
Dec. 07, 2021
Jan. 28, 2020
Stockholders Equity [Line items]              
Capital conservation buffer rate 2.50%            
Dividend potential for next fiscal year $ 95.1            
Period for which retained net income considered for approval 2 years            
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        
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]              
Stockholders Equity [Line items]              
Repurchase shares of common stock   789          
Repurchase shares of common stock, value   $ 24.6          
Stock Repurchase Program 5 [Member]              
Stockholders Equity [Line items]              
Amount of stock authorized for repurchase         $ 50.0    
Stock Repurchase Program 6 [Member]              
Stockholders Equity [Line items]              
Amount of stock authorized for repurchase       $ 50.0      
v3.24.0.1
Shareholders' Equity - Table of Actual Regulatory Capital Amounts and Ratios (Details) - USD ($)
$ in Thousands
Dec. 31, 2023
Dec. 31, 2022
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 $ 1,521,665 $ 1,413,672
Actual Regulatory Capital Ratio 10.04% 9.74%
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 $ 1,581,665 $ 1,473,672
Actual Regulatory Capital Ratio 10.44% 10.15%
Minimum Regulatory Capital Required Ratio 8.50% 8.50%
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 $ 1,862,246 $ 1,729,499
Actual Regulatory Capital Ratio 12.29% 11.91%
Minimum Regulatory Capital Required Ratio 10.50% 10.50%
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 $ 1,581,665 $ 1,473,672
Actual Regulatory Capital Ratio 8.62% 8.47%
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 $ 1,602,327 $ 1,501,889
Actual Regulatory Capital Ratio 10.58% 10.34%
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 $ 1,602,327 $ 1,501,889
Actual Regulatory Capital Ratio 10.58% 10.34%
Minimum Regulatory Capital Required Ratio 8.50% 8.50%
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 $ 1,759,426 $ 1,634,454
Actual Regulatory Capital Ratio 11.61% 11.26%
Minimum Regulatory Capital Required Ratio 10.50% 10.50%
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 $ 1,602,327 $ 1,501,889
Actual Regulatory Capital Ratio 8.75% 8.65%
Minimum Regulatory Capital Required Ratio 4.00% 4.00%
Minimum Regulatory Provision to be Well-Capitalized Ratio 5.00% 5.00%
v3.24.0.1
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, 2023
Dec. 31, 2022
Dec. 31, 2021
Accumulated Other Comprehensive Income (Loss) [Line Items]      
Other comprehensive income (loss), before tax amount $ 73,931 $ (323,790) $ (42,013)
Other Comprehensive Income (Loss), Tax, Total (18,251) 80,947 10,504
Other comprehensive income (loss), before reclassifications, net of tax amount 43,185 (244,088) (32,971)
Reclassification from accumulated other comprehensive income, current period, net of tax amount 12,495 1,245 1,462
Other comprehensive income (loss), net of tax amount 55,680 (242,843) (31,509)
Securities Available for Sale and Transferred Securities [Member]      
Accumulated Other Comprehensive Income (Loss) [Line Items]      
Other comprehensive income (loss), before reclassifications, before tax amount 50,537 (229,524) (49,454)
Reclassification from accumulated other comprehensive income net current period before tax (39)    
Other comprehensive income (loss), change in net unrealized holding loss on securities transferred to held to maturity, before tax amount 15,557 (86,033) 2,647
Other comprehensive income (loss), before tax amount 66,055 (315,557) (46,807)
Other comprehensive income (loss), before reclassifications, tax (expense) benefit (12,404) 57,381 12,364
Reclassification from Aoci net current period tax 10    
Other comprehensive income (loss), change in net unrealized holding loss on securities transferred to held to maturity, tax (expense) benefit (3,889) 21,508 (662)
Other Comprehensive Income (Loss), Tax, Total (16,283) 78,889 11,702
Other comprehensive income (loss), before reclassifications, net of tax amount 38,133 (172,143) (37,090)
Reclassification from accumulated other comprehensive income net current period net of tax (29)    
Other comprehensive income (loss), change in net unrealized holding loss on securities transferred to held to maturity, net of tax amount 11,668 (64,525) 1,985
Other comprehensive income (loss), net of tax amount 49,772 (236,668) (35,105)
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 111 111 111
Reclassification from accumulated other comprehensive income, current period, tax (expense) benefit (28) (28) (27)
Reclassification from accumulated other comprehensive income, current period, net of tax amount 83 83 84
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 25   183
Reclassification from accumulated other comprehensive income, current period, tax (expense) benefit (6)   (46)
Reclassification from accumulated other comprehensive income, current period, net of tax amount 19   137
Change in Net Actuarial Loss [Member]      
Accumulated Other Comprehensive Income (Loss) [Line Items]      
Other comprehensive income (loss), before reclassifications, before tax amount (691) (10,792) 2,845
Reclassification from accumulated other comprehensive income, current period, before tax amount 177 1,089 1,655
Other comprehensive income (loss), before reclassifications, tax (expense) benefit 173 (2,698) (711)
Reclassification from accumulated other comprehensive income, current period, tax (expense) benefit (44) (272) (414)
Other comprehensive income (loss), before reclassifications, net of tax amount (518) 8,094 2,134
Reclassification from accumulated other comprehensive income, current period, net of tax amount 133 817 1,241
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 (378) 11,992 4,794
Reclassification from accumulated other comprehensive income, current period, tax (expense) benefit 95 (2,998) (1,198)
Reclassification from accumulated other comprehensive income, current period, net of tax amount (283) 8,994 $ 3,596
Cash Flow Hedge Derivatives [Member]      
Accumulated Other Comprehensive Income (Loss) [Line Items]      
Other comprehensive income (loss), before reclassifications, before tax amount (8,131) (20,685)  
Reclassification from accumulated other comprehensive income, current period, before tax amount 16,385 460  
Other comprehensive income (loss), before tax amount 8,254 (20,225)  
Other comprehensive income (loss), before reclassifications, tax (expense) benefit 2,033 5,171  
Reclassification from accumulated other comprehensive income, current period, tax (expense) benefit (4,096) (115)  
Other Comprehensive Income (Loss), Tax, Total (2,063) 5,056  
Other comprehensive income (loss), before reclassifications, net of tax amount (6,098) (15,514)  
Reclassification from accumulated other comprehensive income, current period, net of tax amount 12,289 345  
Other comprehensive income (loss), net of tax amount $ 6,191 $ (15,169)  
v3.24.0.1
Shareholders' Equity - Changes in Balances of Component of Accumulated Other Comprehensive Income (Loss) (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Accumulated Other Comprehensive Income (Loss) [Line Items]      
Balance $ 1,492,268 $ 1,741,311 $ 1,741,117
Other comprehensive income (loss) before reclassification 43,185 (244,088) (32,971)
Amounts reclassified from accumulated other comprehensive income (loss) (12,495) (1,245) (1,462)
Other comprehensive income (loss), net of tax amount 55,680 (242,843) (31,509)
Balance 1,661,847 1,492,268 1,741,311
Securities Available for Sale and Transferred Securities [Member]      
Accumulated Other Comprehensive Income (Loss) [Line Items]      
Balance (254,442) (17,774) 17,331
Other comprehensive income (loss) before reclassification 49,801 (236,668) (35,105)
Amounts reclassified from accumulated other comprehensive income (loss) (29) 0 0
Other comprehensive income (loss), net of tax amount 49,772 (236,668) (35,105)
Balance (204,670) (254,442) (17,774)
Defined Benefit Pension Items [Member]      
Accumulated Other Comprehensive Income (Loss) [Line Items]      
Balance (5,792) (14,786) (18,382)
Other comprehensive income (loss) before reclassification (518) 8,094 2,134
Amounts reclassified from accumulated other comprehensive income (loss) 235 900 1,462
Other comprehensive income (loss), net of tax amount (283) 8,994 3,596
Balance (6,075) (5,792) (14,786)
Cash Flow Hedge Derivatives [Member]      
Accumulated Other Comprehensive Income (Loss) [Line Items]      
Balance (15,169) 0 0
Other comprehensive income (loss) before reclassification (6,098) (15,514) 0
Amounts reclassified from accumulated other comprehensive income (loss) (12,289) 345 0
Other comprehensive income (loss), net of tax amount 6,191 (15,169) 0
Balance (8,978) (15,169) 0
Accumulated Other Comprehensive Income (Loss) [Member]      
Accumulated Other Comprehensive Income (Loss) [Line Items]      
Balance (275,403) (32,560) (1,051)
Balance $ (219,723) $ (275,403) $ (32,560)
v3.24.0.1
Fair Value - Financial Assets and Liabilities Measured at Fair Value Recurring Basis (Details) - USD ($)
$ in Thousands
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]      
Securities available for sale $ 1,762,878 $ 2,024,082  
Loans held for sale 184,812 135,226  
Mortgage servicing rights (MSR) 131,870 129,677 $ 87,687
U.S. Treasury Securities [Member]      
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]      
Securities available for sale 372,368 391,513  
U.S. Government Agency Obligations [Member]      
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]      
Securities available for sale 5,792 7,766  
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 4,862  
Recurring Basis [Member]      
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]      
Securities available for sale 1,762,878 2,024,082  
Loans held for sale 184,812 135,226  
Mortgage servicing rights (MSR) 131,870 129,677  
Other assets - derivatives 23,316 8,871  
Other liabilities - derivatives $ 35,600 $ 45,379  
Derivative Asset, Statement of Financial Position [Extensible Enumeration] Other Assets Other Assets  
Derivative Liability, Statement of Financial Position [Extensible Enumeration] Other Liabilities Other Liabilities  
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 $ 372,368 $ 391,513  
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 5,792 7,766  
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 4,862  
Recurring Basis [Member] | Mortgage-Backed Securities [Member]      
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]      
Securities available for sale 1,384,718 1,619,941  
Level 1 [Member] | Recurring Basis [Member]      
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]      
Securities available for sale 372,368 391,513  
Loans held for sale 0 0  
Mortgage servicing rights (MSR) 0 0  
Other assets - derivatives 7,685 54  
Other liabilities - derivatives 21 474  
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 372,368 391,513  
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 1,390,510 1,632,569  
Loans held for sale 184,812 135,226  
Mortgage servicing rights (MSR) 0 0  
Other assets - derivatives 14,786 8,660  
Other liabilities - derivatives 35,579 44,905  
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 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 5,792 7,766  
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 0 4,862  
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 1,384,718 1,619,941  
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  
Loans held for sale 0 0  
Mortgage servicing rights (MSR) 131,870 129,677  
Other assets - derivatives 845 157  
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 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  
v3.24.0.1
Fair Value - Changes in Level 3 Assets Measured at Fair Value on a Recurring Basis (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]    
Fair Value, Asset, Recurring Basis, Unobservable Input Reconciliation, Gain (Loss), Statement of Income or Comprehensive Income [Extensible Enumeration] Mortgage Banking Income Mortgage Banking Income
MSR [Member] | Recurring Basis [Member] | Level 3 [Member]    
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]    
Beginning Balance $ 129,677 $ 87,687
Total net (loss) gain included in Mortgage banking, net [1] (11,519) 24,147
Additions 13,712 17,843
Sales 0 0
Ending Balance 131,870 129,677
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 (1,489) 38,181
Other Assets - Derivatives [Member] | Recurring Basis [Member] | Level 3 [Member]    
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]    
Beginning Balance 157 1,859
Total net (loss) gain included in Mortgage banking, net 2,470 (131)
Additions 0 0
Sales (1,782) (1,571)
Ending Balance 845 157
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 $ 1,103 $ (1,214)
[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.
v3.24.0.1
Fair Value - Additional Information (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Fair Value Disclosures [Abstract]      
Outstanding balances in collateral dependent related to allowance for credit losses $ 49,100 $ 40,300  
Collateral dependent related to allowance for credit losses 12,400 17,700  
Foreclosed assets re-measured after initial recognition 898 3,000  
Write-downs of allowance for foreclosed assets after initial recognition 243 1,000  
Noninterest gain (loss) Mortgage banking, net for changes in fair value of LHFS 2,200 (3,300) $ (10,300)
Interest and fees on fair value option LHFS 7,800 6,800 $ 7,000
Serviced GNMA loans eligible for repurchase $ 78,838 $ 70,805  
v3.24.0.1
Fair Value - Carrying Amounts and Estimated Fair Values of Financial Instruments (Details) - USD ($)
$ in Thousands
Dec. 31, 2023
Dec. 31, 2022
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Securities held to maturity $ 1,426,279 $ 1,494,514
Deposits 15,569,763 14,437,648
Federal funds purchased and securities sold under repurchase agreements 405,745 449,331
Other borrowings 483,230 1,050,938
Subordinated notes 123,482 123,262
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 975,543 738,787
Securities held to maturity 1,426,279 1,494,514
Deposits 15,569,763 14,437,648
Federal funds purchased and securities sold under repurchase agreements 405,745 449,331
Other borrowings 483,230 1,050,938
Subordinated notes 123,482 123,262
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 975,543 738,787
Securities held to maturity 1,355,504 1,406,589
Deposits 15,553,417 14,404,661
Federal funds purchased and securities sold under repurchase agreements 405,745 449,331
Other borrowings 483,226 1,050,932
Subordinated notes 108,125 113,125
Junior subordinated debt securities 46,856 46,392
Level 3 [Member] | Carrying Value [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Net LHFI 12,811,157 12,083,825
Level 3 [Member] | Estimate Fair Value [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Net LHFI $ 12,762,505 $ 11,850,318
v3.24.0.1
Fair Value - Fair Value and the Contractual Principal Outstanding of the LHFS (Details) - USD ($)
$ in Thousands
Dec. 31, 2023
Dec. 31, 2022
Fair value and the contractual principal outstanding of the LHFS [Abstract]    
Fair value of LHFS $ 105,974 $ 64,421
LHFS contractual principal outstanding 102,994 63,427
Fair value less unpaid principal $ 2,980 $ 994
v3.24.0.1
Derivative Financial Instruments - Additional Information (Details)
 12 Months Ended
Dec. 31, 2023
USD ($)
Contract
Dec. 31, 2022
USD ($)
Contract
Dec. 31, 2021
USD ($)
Designated as Hedging Instrument [Member]      
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items]      
Total excluded components of earnings recognition $ 57,000    
Designated as Hedging Instrument [Member] | Interest Rate Swap [Member]      
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items]      
Total notional amount 1,125,000,000 $ 825,000,000  
Interest and fees on LHFS and LHFI reclassified as a reduction over twelve months 13,200,000    
Designated as Hedging Instrument [Member] | Interest Rate Floor [Member]      
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items]      
Total notional amount $ 1,125,000,000 $ 825,000,000  
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 5  
Aggregate notional amount of credit risk participation agreements $ 40,100,000 $ 50,200,000  
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 35 29  
Aggregate notional amount of credit risk participation agreements $ 304,700,000 $ 235,800,000  
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 285,000,000 277,000,000  
Net (negative) positive ineffectiveness on MSR fair value (6,300,000) (4,100,000) $ 2,500,000
Derivatives not Designated as Hedging Instruments [Member] | Interest Rate Swap [Member]      
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items]      
Total notional amount 1,500,000,000 1,391,000,000  
Termination value of derivatives 1,400,000 0  
Collateral Posted 2,000,000 740,000  
Derivatives not Designated as Hedging Instruments [Member] | Forward Contracts [Member]      
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items]      
Off-balance sheet obligations 109,500,000 97,000,000  
Valuation adjustment (994,000) 168,000  
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 61,900,000 68,400,000  
Valuation adjustment $ 845,000 $ 157,000  
v3.24.0.1
Derivative Financial Instruments - Fair Value of Derivative Instruments (Details) - USD ($)
$ in Thousands
Dec. 31, 2023
Dec. 31, 2022
Interest Rate Swap [Member]    
Derivatives, Fair Value [Line Items]    
Fair value of derivative asset $ 14,781 $ 9,415
Fair value of derivative liability 34,522 44,304
Designated as Hedging Instrument [Member] | Interest Rate Swap [Member] | Other Assets [Member]    
Derivatives, Fair Value [Line Items]    
Fair value of derivative asset [1] 1,182 0
Designated as Hedging Instrument [Member] | Interest Rate Swap [Member] | Other Liabilities [Member]    
Derivatives, Fair Value [Line Items]    
Fair value of derivative liability [1] 267 761
Designated as Hedging Instrument [Member] | Interest Rate Floor [Member] | Other Assets [Member]    
Derivatives, Fair Value [Line Items]    
Fair value of derivative asset 1,689 0
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 5 6
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 63 8
Derivatives not Designated as Hedging Instruments [Member] | Future Contracts [Member] | Other Assets [Member]    
Derivatives, Fair Value [Line Items]    
Fair value of derivative asset 7,505 16
Derivatives not Designated as Hedging Instruments [Member] | Future Contracts [Member] | Other Liabilities [Member]    
Derivatives, Fair Value [Line Items]    
Fair value of derivative liability 0 268
Derivatives not Designated as Hedging Instruments [Member] | Forward Contracts [Member] | Other Liabilities [Member]    
Derivatives, Fair Value [Line Items]    
Fair value of derivative liability 994 (168)
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 180 38
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 845 157
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] 11,910 8,654
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] 34,255 44,304
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 $ 21 $ 206
[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.
v3.24.0.1
Derivative Financial Instruments - Effects of Derivative Instruments on Statements of Operations (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Derivatives, Fair Value [Line Items]      
Derivative Instrument, Gain (Loss) Reclassified from AOCI into Income, Effective Portion, Statement of Income or Comprehensive Income [Extensible Enumeration] Interest and Fee Income, Loan and Lease, Held-in-Portfolio Interest and Fee Income, Loan and Lease, Held-in-Portfolio Interest and Fee Income, Loan and Lease, Held-in-Portfolio
Derivatives in Hedging Relationships [Member]      
Derivatives, Fair Value [Line Items]      
Amount of gain (loss) reclassified from accumulated other comprehensive income (loss) and recognized in interest and fees on LHFS & LHFI $ (16,385) $ (460) $ 0
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 (5,281) (43,764) (15,436)
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 $ 271 $ 403 $ 1,649
v3.24.0.1
Derivative Financial Instruments - Schedule of Amount Included in Other Comprehensive Income (Loss) for Derivative Instruments Designated as Hedges of Cash Flows (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Derivatives, Fair Value [Line Items]      
Amount of gain (loss) recognized in other comprehensive income (loss), net of tax $ (12,289) $ (345) $ 0
Derivatives in Hedging Relationships [Member]      
Derivatives, Fair Value [Line Items]      
Amount of gain (loss) recognized in other comprehensive income (loss), net of tax $ (6,098) $ (15,514) $ 0
v3.24.0.1
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, 2023
Dec. 31, 2022
Offsetting Derivative Assets    
Gross Amounts of Recognized Assets, Offsetting of Derivative Assets $ 14,781 $ 9,415
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 14,781 9,415
Financial Instruments, Gross Amounts Not Offset in the Statement of Financial Position, Offsetting of Derivative Assets (4,339) 0
Cash Collateral Received, Gross Amounts Not Offset in the Statement of Financial Position, Offsetting of Derivative Assets 0 (2,230)
Net Amount, Offsetting of Derivative Assets 10,442 7,185
Offsetting Derivative Liabilities    
Gross Amounts of Recognized Liabilities, Offsetting of Derivative Liabilities 34,522 44,304
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 34,522 44,304
Financial Instruments, Gross Amounts Not Offset in the Statement of Financial Position, Offsetting of Derivative Liabilities (4,339) 0
Cash Collateral Posted, Gross Amounts Not Offset in the Statement of Financial Position, Offsetting of Derivative Liabilities (2,040) (740)
Net Amount, Offsetting of Derivative Liabilities $ 28,143 $ 43,564
v3.24.0.1
Segment Information - Additional Information (Details)
 12 Months Ended
Dec. 31, 2023
Segment
Segment Reporting [Abstract]  
Number of segments in which the business operates 3
v3.24.0.1
Segment Information - Schedule of Segment Information (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Segment Reporting Information [Line Items]      
Net interest income $ 552,878 $ 494,708 $ 418,351
PCL 24,581 22,892 (24,448)
Noninterest income 206,958 205,144 221,910
Noninterest expense 537,919 603,213 489,296
Income Before Income Taxes 197,336 73,747 175,413
Income taxes 31,847 1,860 28,048
Net Income 165,489 71,887 147,365
Selected Financial Information      
Total assets 18,722,189 18,015,478 17,595,636
Depreciation and amortization 35,756 39,882 45,813
General Banking [Member]      
Segment Reporting Information [Line Items]      
Net interest income 547,010 489,398 413,201
PCL 26,716 22,913 (24,439)
Noninterest income 113,497 116,350 137,874
Noninterest expense 463,496 531,397 421,561
Income Before Income Taxes 170,295 51,438 153,953
Income taxes 25,091 (3,683) 22,706
Net Income 145,204 55,121 131,247
Selected Financial Information      
Total assets 18,440,198 17,710,673 17,275,438
Depreciation and amortization 34,924 38,909 44,776
Wealth Management [Member]      
Segment Reporting Information [Line Items]      
Net interest income 5,879 5,321 5,161
PCL (2,135) (21) (9)
Noninterest income 34,936 35,072 35,420
Noninterest expense 32,339 32,873 31,721
Income Before Income Taxes 10,611 7,541 8,869
Income taxes 2,653 1,870 2,219
Net Income 7,958 5,671 6,650
Selected Financial Information      
Total assets 185,342 214,313 232,997
Depreciation and amortization 261 288 269
Insurance [Member]      
Segment Reporting Information [Line Items]      
Net interest income (11) (11) (11)
Noninterest income 58,525 53,722 48,616
Noninterest expense 42,084 38,943 36,014
Income Before Income Taxes 16,430 14,768 12,591
Income taxes 4,103 3,673 3,123
Net Income 12,327 11,095 9,468
Selected Financial Information      
Total assets 96,649 90,492 87,201
Depreciation and amortization $ 571 $ 685 $ 768
v3.24.0.1
Parent Company Only Financial Information - Parent Only Financial Statements (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Dec. 31, 2020
Assets        
Other assets $ 764,902 $ 770,838    
Total Assets 18,722,189 18,015,478 $ 17,595,636  
Liabilities and Shareholders' Equity:        
Subordinated notes 123,482 123,262    
Junior subordinated debt securities 61,856 61,856    
Shareholders' equity 1,661,847 1,492,268 1,741,311 $ 1,741,117
Total Liabilities and Shareholders' Equity 18,722,189 18,015,478    
Expense:        
Net Income 165,489 71,887 147,365  
Operating Activities        
Net income 165,489 71,887 147,365  
Adjustments to reconcile net income to net cash provided by operating activities:        
Other 1,192 (57,359) (9,601)  
Net cash from operating activities 196,887 296,516 348,771  
Financing Activities        
Common stock dividends (56,653) (56,679) (58,085)  
Repurchase and retirement of common stock 0 (24,604) (61,799)  
Net cash from financing activities 455,043 451,844 970,568  
Net change in cash and cash equivalents 240,756 (1,532,042) 314,325  
Trustmark Corp (Parent Company Only) [Member]        
Assets        
Investment in banks 1,770,392 1,602,169    
Other assets 77,901 76,325    
Total Assets 1,848,293 1,678,494    
Liabilities and Shareholders' Equity:        
Accrued expense 1,108 1,108    
Subordinated notes 123,482 123,262    
Junior subordinated debt securities 61,856 61,856    
Shareholders' equity 1,661,847 1,492,268    
Total Liabilities and Shareholders' Equity 1,848,293 1,678,494    
Revenue:        
Dividends received from banks 67,189 89,733 45,284  
Earnings of subsidiaries over distributions 106,388 (11,269) 108,141  
Other income 163 94 95  
Total Revenue 173,740 78,558 153,520  
Expense:        
Other expense 8,251 6,671 6,155  
Total Expense 8,251 6,671 6,155  
Net Income 165,489 71,887 147,365  
Operating Activities        
Net income 165,489 71,887 147,365  
Adjustments to reconcile net income to net cash provided by operating activities:        
Net change in investment in subsidiaries (106,388) 11,269 (108,141)  
Other (797) (1,550) (2,078)  
Net cash from operating activities 58,304 81,606 37,146  
Financing Activities        
Common stock dividends (56,653) (56,679) 58,085  
Repurchase and retirement of common stock 0 (24,604) (61,799)  
Net cash from financing activities (56,653) (81,283) (119,884)  
Net change in cash and cash equivalents 1,651 323 (82,738)  
Cash and cash equivalents at beginning of year 75,860 75,537 158,275  
Cash and cash equivalents at end of year $ 77,511 $ 75,860 $ 75,537  
v3.24.0.1
Parent Company Only Financial Information - Additional Information (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Condensed Financial Statements Captions [Line Items]      
Income taxes paid $ 38,803 $ 2,701 $ 15,259
Trustmark Corp (Parent Company Only) [Member]      
Condensed Financial Statements Captions [Line Items]      
Income taxes paid 38,800 2,700 15,300
Interest paid $ 4,500 $ 4,500 $ 4,600