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Securities Available for Sale and Held to Maturity
12 Months Ended
Dec. 31, 2011
Securities Available for Sale and Held to Maturity [Abstract]  
Securities Available for Sale and Held to Maturity
Note 4 Securities Available for Sale and Held to Maturity

The following table is a summary of the amortized cost and estimated fair value of securities available for sale and held to maturity at December 31, 2011 and 2010 ($ 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, 2011
 
Cost
  
Gains
  
(Losses)
  
Value
  
Cost
  
Gains
  
(Losses)
  
Value
 
U.S. Government agency obligations
                        
Issued by U.S. Government agencies
 $3  $-  $-  $3  $-  $-  $-  $- 
Issued by U.S. Government sponsored agencies
  64,573   229   -   64,802   -   -   -   - 
Obligations of states and political subdivisions
  190,868   11,971   (12)  202,827   42,619   4,131   (2)  46,748 
Mortgage-backed securities
                                
Residential mortgage pass-through securities
                                
Guaranteed by GNMA
  11,500   945   -   12,445   4,538   336   -   4,874 
Issued by FNMA and FHLMC
  340,839   7,093   -   347,932   588   28   -   616 
Other residential mortgage-backed securities
                                
Issued or guaranteed by FNMA, FHLMC or GNMA
  1,570,782   44,183   -   1,614,965   7,749   133   (1)  7,881 
Commercial mortgage-backed securities
                                
Issued or guaranteed by FNMA, FHLMC or GNMA
  216,698   9,497   (176)  226,019   2,211   185   -   2,396 
Total
 $2,395,263  $73,918  $(188) $2,468,993  $57,705  $4,813  $(3) $62,515 
                                  
                                  
December 31, 2010
                                
U.S. Government agency obligations
                                
Issued by U.S. Government agencies
 $12  $-  $-  $12  $-  $-  $-  $- 
Issued by U.S. Government sponsored agencies
  124,093   114   (2,184)  122,023   -   -   -   - 
Obligations of states and political subdivisions
  159,418   2,259   (2,040)  159,637   53,246   2,628   (10)  55,864 
Mortgage-backed securities
                                
Residential mortgage pass-through securities
                                
Guaranteed by GNMA
  11,719   723   -   12,442   6,058   171   -   6,229 
Issued by FNMA and FHLMC
  432,162   1,188   (6,846)  426,504   763   6   -   769 
Other residential mortgage-backed securities
                                
Issued or guaranteed by FNMA, FHLMC or GNMA
  1,361,339   43,788   (4,311)  1,400,816   78,526   1,503   -   80,029 
Commercial mortgage-backed securities
                                
Issued or guaranteed by FNMA, FHLMC or GNMA
  54,331   2,007   (523)  55,815   2,254   -   (2)  2,252 
Total
 $2,143,074  $50,079  $(15,904) $2,177,249  $140,847  $4,308  $(12) $145,143 

Temporarily Impaired Securities

The table below includes securities with gross unrealized losses segregated by length of impairment ($ in thousands)

   
Less than 12 Months
  
12 Months or More
  
Total
 
      
Gross
     
Gross
     
Gross
 
   
Estimated
  
Unrealized
  
Estimated
  
Unrealized
  
Estimated
  
Unrealized
 
December 31, 2011
 
Fair Value
  
(Losses)
  
Fair Value
  
(Losses)
  
Fair Value
  
(Losses)
 
Obligations of states and political subdivisions
 $3,368  $(12) $202  $(2) $3,570  $(14)
Mortgage-backed securities
                        
Other residential mortgage-backed securities
                        
Issued or guaranteed by FNMA, FHLMC or GNMA
  1,069   (1)  -   -   1,069   (1)
Commercial mortgage-backed securities
                        
Issued or guaranteed by FNMA, FHLMC or GNMA
  46,890   (176)  -   -   46,890   (176)
Total
 $51,327  $(189) $202  $(2) $51,529  $(191)
                          
December 31, 2010
                        
U.S. Government agency obligations                         
Issued by U.S. Government sponsored agencies
 $86,917  $(2,184) $-  $-  $86,917  $(2,184)
Obligations of states and political subdivisions
  65,523   (2,045)  307   (5)  65,830   (2,050)
Mortgage-backed securities
                        
Residential mortgage pass-through securities 
                        
Issued by FNMA and FHLMC
  312,787   (6,846)  -   -   312,787   (6,846)
Other residential mortgage-backed securities
                        
Issued or guaranteed by FNMA, FHLMC or GNMA
  232,279   (4,311)  -   -   232,279   (4,311)
Commercial mortgage-backed securities
                        
Issued or guaranteed by FNMA, FHLMC or GNMA
  21,073   (525)  -   -   21,073   (525)
Total
 $718,579  $(15,911) $307  $(5) $718,886  $(15,916)
 
Declines in the fair value of held-to-maturity and available-for-sale securities below their cost that are deemed to be other than temporary are reflected in earnings as realized losses to the extent the impairment is related to credit losses. The amount of the impairment related to other factors is recognized in other comprehensive income. In estimating other-than-temporary impairment losses, Management considers, among other things, the length of time and the extent to which the fair value has been less than cost, the financial condition and near-term prospects of the issuer and the intent and ability of Trustmark to hold the security for a period of time sufficient to allow for any anticipated recovery in fair value.  The unrealized losses shown above are primarily due to increases in market rates over the yields available at the time of purchase of the underlying securities and not credit quality.  Because Trustmark does not intend to sell these securities and it is more likely than not that Trustmark will not be required to sell the investments before recovery of their amortized cost bases, which may be maturity, Trustmark does not consider these investments to be other-than-temporarily impaired at December 31, 2011. There were no other-than-temporary impairments for the years ended December 31, 2011, 2010 and 2009.

Security Gains and Losses

Gains and losses as a result of calls and disposition of securities were as follows ($ in thousands):

    
Years Ended December 31,
 
Available for Sale
  
2011
  
2010
  
2009
 
Proceeds from calls and sales of securities
  $24,471  $65,074  $188,460 
Gross realized gains
   57   2,216   5,379 
Gross realized (losses)
   (11)  -   (11)
               
Held to Maturity
             
Proceeds from calls of securities
  $3,645  $11,305  $9,303 
Gross realized gains
   34   113   99 

Securities Pledged

Securities with a carrying value of $1.8 billion and $1.7 billion at December 31, 2011 and 2010, respectively, were pledged to collateralize public deposits and securities sold under repurchase agreements and for other purposes as permitted by law.  Of the amount pledged at December 31, 2011, $6.4 million was pledged to the Discount Window to provide additional contingency funding capacity.  At year-end, these securities were not required to collateralize any borrowings from the FRB.

Contractual Maturities

The amortized cost and estimated fair value of securities available for sale and held to maturity at December 31, 2011, 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
 
      
Estimated
     
Estimated
 
   
Amortized
  
Fair
  
Amortized
  
Fair
 
   
Cost
  
Value
  
Cost
  
Value
 
Due in one year or less
 $9,506  $9,568  $2,922  $2,942 
Due after one year through five years
  59,092   61,549   18,377   19,922 
Due after five years through ten years
  176,050   185,097   19,824   22,298 
Due after ten years
  10,796   11,418   1,496   1,586 
    255,444   267,632   42,619   46,748 
Mortgage-backed securities
  2,139,819   2,201,361   15,086   15,767 
Total
 $2,395,263  $2,468,993  $57,705  $62,515