Segment Information

9 Months Ended

Sep. 30, 2016

Segment Reporting [Abstract]

Segment Information

Note 17 – Segment Information

Trustmark’s management reporting structure includes three segments: General Banking, Wealth Management and Insurance.  For a complete overview of Trustmark’s operating segments, see Note 21 – Segment Information included in Part II. Item 8. – Financial Statements and Supplementary Data, of Trustmark’s 2015 Annual Report on Form 10-K.  There have been no significant changes in Trustmark’s operating segments during the periods presented.

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):

	Three Months Ended September 30,				Nine Months Ended September 30,
	2016		2015		2016		2015
General Banking
Net interest income	$	97,395	$	97,408	$	287,950	$	291,483
Provision for loan losses, net		4,975		3,770		11,730		7,760
Noninterest income		27,207		28,320		81,230		82,477
Noninterest expense		84,358		90,043		267,063		262,403
Income before income taxes		35,269		31,915		90,387		103,797
Income taxes		6,844		6,207		18,168		22,588
General banking net income	$	28,425	$	25,708	$	72,219	$	81,209
Selected Financial Information
Average assets	$	12,916,011	$	12,231,450	$	12,788,736	$	12,123,213
Depreciation and amortization	$	9,274	$	9,209	$	26,483	$	27,256
Wealth Management
Net interest income	$	119	$	91	$	571	$	194
Noninterest income		7,434		7,748		22,681		23,477
Noninterest expense		6,216		6,195		18,200		19,373
Income before income taxes		1,337		1,644		5,052		4,298
Income taxes		512		629		1,933		1,644
Wealth management net income	$	825	$	1,015	$	3,119	$	2,654
Selected Financial Information
Average assets	$	6,039	$	4,181	$	1,842	$	3,020
Depreciation and amortization	$	44	$	44	$	131	$	139
Insurance
Net interest income	$	50	$	107	$	160	$	270
Noninterest income		10,075		9,905		28,308		27,925
Noninterest expense		7,334		7,322		21,768		21,266
Income before income taxes		2,791		2,690		6,700		6,929
Income taxes		1,059		983		2,550		2,612
Insurance net income	$	1,732	$	1,707	$	4,150	$	4,317
Selected Financial Information
Average assets	$	78,167	$	78,146	$	63,652	$	58,570
Depreciation and amortization	$	186	$	213	$	569	$	600
Consolidated
Net interest income	$	97,564	$	97,606	$	288,681	$	291,947
Provision for loan losses, net		4,975		3,770		11,730		7,760
Noninterest income		44,716		45,973		132,219		133,879
Noninterest expense		97,908		103,560		307,031		303,042
Income before income taxes		39,397		36,249		102,139		115,024
Income taxes		8,415		7,819		22,651		26,844
Consolidated net income	$	30,982	$	28,430	$	79,488	$	88,180
Selected Financial Information
Average assets	$	13,000,217	$	12,313,777	$	12,854,230	$	12,184,803
Depreciation and amortization	$	9,504	$	9,466	$	27,183	$	27,995