Defined Benefit and Other Postretirement Benefits

9 Months Ended

Sep. 30, 2011

Defined Benefit and Other Postretirement Benefits [Abstract]

Defined Benefit and Other Postretirement Benefits

Note 9 – Defined Benefit and Other Postretirement Benefits

Capital Accumulation Plan

Trustmark maintains a noncontributory defined benefit pension plan (Trustmark Capital Accumulation Plan), which covers substantially all associates employed prior to 2007. The plan provides retirement benefits that are based on the length of credited service and final average compensation, as defined in the plan and vest upon three years of service.  In an effort to control expenses, the Board voted to freeze plan benefits effective during the second quarter of 2009, with the exception of certain associates covered through plans obtained by acquisitions.  Individuals will not earn additional benefits, except for interest as required by the IRS regulations, after the effective date.  Associates will retain their previously earned pension benefits.

The following table presents information regarding the plan's net periodic benefit cost for the periods presented ($ in thousands):

	Three Months Ended September 30,						Nine Months Ended September 30,
	2011			2010			2011			2010
Net periodic benefit cost
Service cost	$	124		$	138		$	398		$	412
Interest cost		1,115			1,194			3,345			3,583
Expected return on plan assets		(1,470	)		(1,481	)		(4,412	)		(4,444	)
Recognized net actuarial loss		1,026			849			3,100			2,548
Net periodic benefit cost	$	795		$	700		$	2,431		$	2,099

The acceptable range of contributions to the plan is determined each year by the plan's actuary.  Trustmark's policy is to fund amounts allowable for federal income tax purposes.  The actual amount of the contribution is determined based on the plan's funded status and return on plan assets as of the measurement date, which is December 31.  For 2011, Trustmark's minimum required contribution is expected to be zero.  During 2010, Trustmark made a voluntary contribution of $1.9 million to improve the funded status of the 2009 plan year.  There was not a voluntary contribution related to the 2010 plan year.

Supplemental Retirement Plan

Trustmark maintains a nonqualified supplemental retirement plan covering directors who elected to defer fees, key executive officers and senior officers.  The plan provides for defined death benefits and/or retirement benefits based on a participant's covered salary.  Trustmark has acquired life insurance contracts on the participants covered under the plan, which may be used to fund future payments under the plan.  The measurement date for the plan is December 31. The following table presents information regarding the plan's net periodic benefit cost for the periods presented ($ in thousands):

	Three months ended September 30,				Nine months ended September 30,
	2011		2010		2011		2010
Net periodic benefit cost
Service cost	$	147	$	190	$	441	$	567
Interest cost		569		561		1,707		1,682
Amortization of prior service cost		59		38		177		114
Recognized net actuarial loss		124		88		372		266
Net periodic benefit cost	$	899	$	877	$	2,697	$	2,629