RENASANT CORP - FORM 8-K - EX-99.1 - EXHIBIT 99.1

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8-K - 8-K - RENASANT CORP	renasant8-kxearningsreleas.htm



Contacts:	For Media:	For Financials:
	John Oxford	Kevin Chapman
	Vice President	Executive Vice President
	Director of External Affairs	Chief Financial Officer
	(662) 680-1219	(662) 680-1450
	joxford@renasant.com	kchapman@renasant.com

RENASANT CORPORATION ANNOUNCES

2015 FIRST QUARTER EARNINGS

TUPELO, MISSISSIPPI (April 28, 2015) - Renasant Corporation (NASDAQ: RNST) (the “Company”) today announced financial results for the first quarter of 2015. Net income for the first quarter of 2015 was $15,240,000, or basic and diluted earnings per share (“EPS”) of $0.48, as compared to $13,597,000, or basic and diluted EPS of $0.43, for the first quarter of 2014.

For the first quarter of 2015, the Company’s return on average assets and return on average equity were 1.06% and 8.59%, respectively, as compared to 0.93% and 8.19%, respectively, for the first quarter of 2014. The Company’s 2015 first quarter return on average tangible assets and return on average tangible equity were 1.18% and 15.45%, respectively, as compared to 1.05% and 16.05%, respectively, for the first quarter of 2014.

In December 2014, the Company announced a definitive merger agreement to acquire Heritage Financial Group, Inc. ("Heritage"), a bank holding company headquartered in Albany, Georgia, and the parent of HeritageBank of the South, in an all-stock merger. During the first quarter of 2015, the Company incurred merger expenses of approximately $478 thousand, or $0.01 in EPS, related to the Heritage merger.

“Our first quarter 2015 financial results reflect a strong start to what we expect to be a great year. These results are a continuation of superior returns on profitability metrics, as our return on tangible assets was 1.18%, and our return on tangible equity was 15.45%,” said Renasant Chairman and Chief Executive Officer, E. Robinson McGraw. “When compared to the same quarter in 2014, we increased net income and EPS by 12% by growing revenue while at the same time holding noninterest expense flat. As we look forward, we believe we are well positioned to improve profitability and earnings growth during 2015.”

Total assets as of March 31, 2015, were approximately $5.88 billion, as compared to $5.90 billion as of March 31, 2014, and $5.81 billion on a linked quarter basis.

Total deposits were $4.94 billion at March 31, 2015, as compared to $5.0 billion at March 31, 2014, and $4.84 billion at December 31, 2014. The Company’s cost of funds was 43 basis points for the first quarter of 2015, as compared to 48 basis points for the same quarter in 2014. The Company’s noninterest-bearing deposits averaged approximately $932 million, or 19.1% of average deposits, for the first quarter of 2015, as compared to $949 million, or 18.9% of average deposits, for the first quarter of 2014.

Total loans, including loans acquired in either the First M&F Corporation (“First M&F”) merger or in FDIC-assisted transactions (collectively referred to as “acquired loans”), were approximately

$3.95 billion at March 31, 2015, as compared to $3.87 billion at March 31, 2014, and $3.99 billion on a linked quarter basis.

Excluding acquired loans, loans grew 11% to $3.27 billion at March 31, 2015, as compared to $2.95 billion at March 31, 2014. On a linked quarter basis, non-acquired loans were $3.27 billion at December 31, 2014.

At March 31, 2015, the Company’s Tier 1 leverage capital ratio was 9.75%, its Tier 1 risk-based capital ratio was 12.45%, and its total risk-based capital ratio was 13.50%. The Company’s common equity Tier 1 capital ratio was 10.34% at March 31, 2015. In all capital ratio categories, the Company’s regulatory capital ratios continued to be in excess of the regulatory minimums required to be classified as “well-capitalized.” The Company’s tangible common equity ratio was 7.65% as of March 31, 2015.

Net interest income was $48.8 million for the first quarter of 2015, as compared to approximately $50.0 million for the first quarter of 2014. Net interest margin was 4.03% for the first quarter of 2015, as compared to 4.04% for the first quarter of 2014. Additional interest income recognized in connection with the acceleration of pay downs and payoffs from acquired loans was $590,000 in the first quarter of 2015 and increased net interest margin 5 basis points compared to $2.6 million and 21 basis point increase in net interest margin in the same period in 2014.

Noninterest income was $21.9 million for the first quarter of 2015, as compared to approximately $18.6 million for the first quarter of 2014, and $20.0 million for the fourth quarter of 2014. The Company’s mortgage revenue increased 95% on a linked quarter basis due to increased production as a result of a decrease in rates and originator hires made in the latter part of 2014.

Noninterest expense was $47.4 million for the first quarter of 2015, as compared to approximately $47.6 million for the first quarter of 2014.

At March 31, 2015, total nonperforming loans (loans 90 days or more past due and nonaccrual loans) were $48.2 million, and total other real estate owned (“OREO”) was $31.7 million. The Company’s nonperforming loans and OREO that were acquired either through the First M&F merger or in connection with FDIC-assisted transactions (collectively referred to as “acquired nonperforming assets”) were $29.3 million and $15.0 million, respectively at March 31, 2015.

Since the acquired nonperforming assets were recorded at fair value at the time of acquisition or subject to loss-share agreements with the FDIC, which significantly mitigates our actual loss, the remaining information in this release on nonperforming loans, OREO and the related asset quality ratios excludes these acquired nonperforming assets.

The Company’s nonperforming loans were $18.9 million as of March 31, 2015, as compared to $19.7 million as of March 31, 2014, and $20.2 million at December 31, 2014. Nonperforming loans as a percentage of total loans were 0.58% as of March 31, 2015, as compared to 0.67% as of March 31, 2014, and 0.62% as of December 31, 2014.

Annualized net charge-offs as a percentage of average loans remained the same at 0.11% for the first quarter of 2015, as compared to the first quarter of 2014. The Company recorded a provision for loan losses of $1.1 million for the first quarter of 2015, as compared to $1.5 million for the first quarter of 2014.

The allowance for loan losses totaled $42.3 million at March 31, 2015, as compared to $48.0 million as of March 31, 2014, and $42.3 million as of December 31, 2014. The allowance for loan losses

as a percentage of loans was 1.29% as of March 31, 2015, as compared to 1.63% as of March 31, 2014, and 1.29% as of December 31, 2014.

The Company’s coverage ratio, or its allowance for loan losses as a percentage of nonperforming loans, was 223.68% as of March 31, 2015, as compared to 244.06% as of March 31, 2014, and 209.49% as of December 31, 2014. Loans 30 to 89 days past due as a percentage of total loans were 0.37% at March 31, 2015, as compared to 0.25% at March 31, 2014, and 0.32% at December 31, 2014.

OREO was $16.7 million as of March 31, 2015, as compared to $25.1 million as of March 31, 2014, and $17.1 million at December 31, 2014. During the first quarter of 2015, the Company experienced a significant reduction in costs associated with OREO as OREO expense decreased approximately 68.7% as compared to the first quarter of 2014.

“We see many positives on the horizon, specifically, healthy commercial loan pipelines which support our annual loan growth goals with a robust mortgage loan pipeline - both of which should drive continued revenue growth,” stated McGraw. “Concurrently, we are working towards a successful merger and conversion with Heritage, which after receiving the required regulatory approval during the first quarter of 2015, we anticipate completing during the third quarter of 2015.”

CONFERENCE CALL INFORMATION:

A live audio webcast of a conference call with analysts will be available beginning at 10:00 AM Eastern Time on Wednesday, April 29, 2015.

The webcast can be accessed through Renasant's investor relations website at www.renasant.com or http://services.choruscall.com/links/rnst150429.html. To access the conference via telephone, dial 1-877-513-1143 in the United States and request the Renasant Corporation First Quarter Earnings Webcast and Conference Call. International participants should dial 1-412-902-4145 to access the conference call.

The webcast will be archived on www.renasant.com beginning one hour after the call and will remain accessible for one year. Replays can also be accessed via telephone by dialing 1-877-344-7529 in the United States and entering conference number 10063653 or by dialing 1-412-317-0088 internationally and entering the conference number. Telephone replay access is available until May 13, 2015.

ABOUT RENASANT CORPORATION:

Renasant Corporation is the parent of Renasant Bank, a 111-year-old financial services institution, and Renasant Insurance. Renasant has assets of approximately $5.9 billion and operates more than 120 banking, mortgage, financial services and insurance offices in Mississippi, Tennessee, Alabama and Georgia.

NOTE TO INVESTORS:

This news release may contain, or incorporate by reference, statements which may constitute “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Such forward looking statements usually include words such as “expects,” “projects,” “anticipates,” “believes,” “intends,” “estimates,” “strategy,” “plan,” “potential,” “possible” and other similar expressions.

Prospective investors are cautioned that any such forward-looking statements are not guarantees for future performance and involve risks and uncertainties, and that actual results may differ materially from those contemplated by such forward-looking statements. Important factors currently known to management that could cause actual results to differ materially from those in forward-looking statements include significant fluctuations in interest rates, inflation, economic recession, significant changes in the federal and state legal and regulatory environment, significant underperformance in our portfolio of outstanding loans, and competition in our markets. We undertake no obligation to update or revise forward-looking statements to reflect changed assumptions, the occurrence of unanticipated events or changes to future operating results over time.

NON-GAAP FINANCIAL MEASURES:

In addition to results presented in accordance with generally accepted accounting principles in the United States of America (GAAP), this press release contains certain non-GAAP financial measures. These non-GAAP financial measures adjust GAAP financial measures to exclude intangible assets, which the Company’s management uses when evaluating capital utilization and adequacy. In addition, the Company believes that these non-GAAP financial measures facilitate the making of period-to-period comparisons and are meaningful indications of its operating performance particularly because these measures are widely used by industry analysts for companies with merger and acquisition activities. Also, because intangible assets such as goodwill and the core deposit intangible can vary extensively from company to company and are excluded from the calculation of a financial institution’s regulatory capital, the Company believes that the presentation of this non-GAAP financial information allows readers to more easily compare the Company’s results to information provided in other regulatory reports and the results of other companies.

The specific non-GAAP financial measures used are return on average tangible shareholders’ equity, return on average tangible assets and the ratio of tangible equity to tangible assets (commonly referred to as the “tangible capital ratio”). The presentation of this non-GAAP financial information is not intended to be considered in isolation or as a substitute for any measure prepared in accordance with GAAP. Investors should note that, because there are no standardized definitions for the calculations as well as the results, the Company’s calculations may not be comparable to other similarly titled measures presented by other companies. Also, there may be limits in the usefulness of these measures to investors. As a result, the Company encourages readers to consider its consolidated financial statements in their entirety and not to rely on any single financial measure.

Reconciliations of these non-GAAP financial measures to the most directly comparable GAAP financial measures are included in the table at the end of this release under the caption “Reconciliation of GAAP to Non-GAAP.”



RENASANT CORPORATION
(Unaudited)
(Dollars in thousands, except per share data)
																	Q1 2015 -		For The Three Months Ending
		2015			2014												Q4 2014		March 31,
		First			Fourth			Third			Second			First			Percent								Percent
		Quarter			Quarter			Quarter			Quarter			Quarter			Variance		2015			2014			Variance
Statement of earnings
Interest income - taxable equivalent basis		$	55,910		$	57,335		$	58,098		$	60,002		$	57,811		(2.49	)	$	55,910		$	57,811		(3.29	)
Interest income		$	54,166		$	55,596		$	56,358		$	58,277		$	56,177		(2.57	)	$	54,166		$	56,177		(3.58	)
Interest expense		5,324			5,580			5,886			6,108			6,206			(4.59	)	5,324			6,206			(14.21	)
	Net interest income	48,842			50,016			50,472			52,169			49,971			(2.35	)	48,842			49,971			(2.26	)
Provision for loan losses		1,075			1,050			2,217			1,450			1,450			2.38		1,075			1,450			(25.86	)
	Net interest income after provision	47,767			48,966			48,255			50,719			48,521			(2.45	)	47,767			48,521			(1.55	)
Service charges on deposit accounts		5,933			6,526			6,747			6,193			5,916			(9.09	)	5,933			5,916			0.29
Fees and commissions on loans and deposits		4,894			5,150			6,237			5,515			4,972			(4.97	)	4,894			4,972			(1.57	)
Insurance commissions and fees		1,967			1,973			2,270			2,088			1,863			(0.30	)	1,967			1,863			5.58
Wealth management revenue		2,190			2,144			2,197			2,170			2,144			2.15		2,190			2,144			2.15
Securities gains (losses)		—			—			375			—			—			—		—			—			—
Gain on sale of mortgage loans		4,633			2,369			2,635			2,006			1,585			95.57		4,633			1,585			192.30
Gain on acquisition		—			—			—			—			—			—		—			—			—
Other		2,287			1,809			2,102			1,499			2,136			26.42		2,287			2,136			7.07
	Total noninterest income	21,904			19,971			22,563			19,471			18,616			9.68		21,904			18,616			17.66
Salaries and employee benefits		28,260			27,301			29,569			29,810			28,428			3.51		28,260			28,428			(0.59	)
Data processing		3,181			2,949			2,906			2,850			2,695			7.87		3,181			2,695			18.03
Occupancy and equipment		5,559			5,146			5,353			4,906			4,847			8.03		5,559			4,847			14.69
Other real estate		532			723			1,101			1,068			1,701			(26.42	)	532			1,701			(68.72	)
Amortization of intangibles		1,275			1,327			1,381			1,427			1,471			(3.92	)	1,275			1,471			(13.32	)
Merger-related expenses		478			499			—			—			195			(4.21	)	478			195			145.13
Debt extinguishment penalty		—			—			—			—			—			—		—			—			—
Other		8,129			8,034			7,865			9,335			8,308			1.18		8,129			8,308			(2.15	)
	Total noninterest expense	47,414			45,979			48,175			49,396			47,645			3.12		47,414			47,645			(0.48	)
Income before income taxes		22,257			22,958			22,643			20,794			19,492			(3.05	)	22,257			19,492			14.19
Income taxes		7,017			7,361			7,108			5,941			5,895			(4.67	)	7,017			5,895			19.03
	Net income	$	15,240		$	15,597		$	15,535		$	14,853		$	13,597		(2.29	)	$	15,240		$	13,597		12.08
Basic earnings per share		$	0.48		$	0.49		$	0.49		$	0.47		$	0.43		(2.04	)	$	0.48		$	0.43		11.63
Diluted earnings per share		0.48			0.49			0.49			0.47			0.43			(2.04	)	0.48			0.43			11.63
Average basic shares outstanding		31,576,275			31,537,278			31,526,423			31,496,737			31,436,148			0.12		31,576,275			31,436,148			0.45
Average diluted shares outstanding		31,815,710			31,781,734			31,718,529			31,698,198			31,668,362			0.11		31,815,710			31,668,362			0.47
Common shares outstanding		31,604,937			31,545,145			31,533,703			31,519,641			31,480,395			0.19		31,604,937			31,480,395			0.40
Cash dividend per common share		$	0.17		$	0.17		$	0.17		$	0.17		$	0.17		—		$	0.17		$	0.17		—
Performance ratios
Return on average shareholders' equity		8.59		%	8.72		%	8.84		%	8.67		%	8.19		%			8.59		%	8.19		%
Return on average tangible shareholders' equity (1)		15.45		%	15.90		%	16.50		%	16.55		%	16.05		%			15.45		%	16.05		%
Return on average assets		1.06		%	1.08		%	1.07		%	1.02		%	0.93		%			1.06		%	0.93		%
Return on average tangible assets (2)		1.18		%	1.20		%	1.20		%	1.15		%	1.05		%			1.18		%	1.05		%
Net interest margin (FTE)		4.03		%	4.09		%	4.12		%	4.24		%	4.04		%			4.03		%	4.04		%
Yield on earning assets (FTE)		4.45		%	4.53		%	4.58		%	4.72		%	4.53		%			4.45		%	4.53		%
Cost of funding		0.43		%	0.45		%	0.47		%	0.48		%	0.48		%			0.43		%	0.48		%
Average earning assets to average assets		87.49		%	87.41		%	87.32		%	87.39		%	87.35		%			87.49		%	87.35		%
Average loans to average deposits		81.44		%	82.67		%	82.26		%	79.11		%	77.00		%			81.44		%	77.00		%
Noninterest income (less securities gains/
	losses) to average assets	1.53		%	1.38		%	1.53		%	1.34		%	1.27		%			1.53		%	1.27		%
Noninterest expense (less debt prepayment penalties/
	merger-related expenses) to average assets	3.27		%	3.14		%	3.32		%	3.39		%	3.25		%			3.27		%	3.25		%
Net overhead ratio		1.74		%	1.76		%	1.79		%	2.06		%	1.97		%			1.74		%	1.97		%
Efficiency ratio (FTE) (4)		62.99		%	61.56		%	62.90		%	65.38		%	65.48		%			62.99		%	65.48		%



RENASANT CORPORATION
(Unaudited)
(Dollars in thousands, except per share data)
																	Q1 2015		For The Three Months Ending
		2015			2014												Q4 2014		March 31,
		First			Fourth			Third			Second			First			Percent								Percent
		Quarter			Quarter			Quarter			Quarter			Quarter			Variance		2015			2014			Variance
Average Balances
Total assets		$	5,821,758		$	5,746,146		$	5,758,083		$	5,836,607		$	5,927,884		1.32		$	5,821,758		$	5,927,884		(1.79	)
Earning assets		5,093,224			5,022,647			5,027,805			5,100,833			5,178,069			1.41		5,093,224			5,178,069			(1.64	)
Securities		989,743			979,052			1,001,548			1,026,948			1,002,519			1.09		989,743			1,002,519			(1.27	)
Mortgage loans held for sale		50,918			27,443			31,832			26,004			19,925			85.54		50,918			19,925			155.55
Loans, net of unearned		3,969,244			3,954,606			3,937,142			3,897,027			3,868,747			0.37		3,969,244			3,868,747			2.60
Intangibles		296,682			297,978			300,725			302,181			303,599			(0.43	)	296,682			303,599			(2.28	)
Noninterest-bearing deposits		932,011			936,672			896,856			905,180			949,317			(0.50	)	932,011			949,317			(1.82	)
Interest-bearing deposits		3,941,863			3,846,891			3,889,133			4,020,754			4,074,745			2.47		3,941,863			4,074,745			(3.26	)
Total deposits		4,873,874			4,783,563			4,785,988			4,925,934			5,024,063			1.89		4,873,874			5,024,062			(2.99	)
Borrowed funds		168,758			190,928			214,017			169,373			170,091			(11.61	)	168,758			170,091			(0.78	)
Shareholders' equity		719,687			709,780			697,103			686,794			673,046			1.40		719,687			673,046			6.93


																	Q1 2015 -		As of
		2015			2014												Q4 2014		March 31,
		First			Fourth			Third			Second			First			Percent								Percent
		Quarter			Quarter			Quarter			Quarter			Quarter			Variance		2015			2014			Variance
Balances at period end
Total assets		$	5,882,098		$	5,805,129		$	5,751,711		$	5,826,020		$	5,902,831		1.33		$	5,882,098		$	5,902,831		(0.35	)
Earning assets		5,168,497			5,063,039			5,053,252			5,063,873			5,161,173			2.08		5,168,497			5,161,173			0.14
Securities		1,016,393			983,747			980,328			1,007,331			1,046,688			3.32		1,016,393			1,046,688			(2.89	)
Mortgage loans held for sale		102,780			25,628			30,451			28,116			28,433			301.05		102,780			28,433			261.48
Loans acquired from M&F		553,574			577,347			636,628			694,115			746,047			(4.12	)	553,574			746,047			(25.80	)
Loans not acquired		3,274,314			3,267,486			3,165,492			3,096,286			2,947,836			0.21		3,274,314			2,947,836			11.08
Loans acquired and subject to loss share		125,773			143,041			155,319			167,129			173,545			(12.07	)	125,773			173,545			(27.53	)
	Total loans	3,953,661			3,987,874			3,957,439			3,957,530			3,867,428			(0.86	)	3,953,661			3,867,428			2.23
Intangibles		296,053			297,330			298,609			301,478			302,903			(0.43	)	296,053			302,903			(2.26	)
Noninterest-bearing deposits		959,351			919,872			935,544			902,766			914,964			4.29		959,351			914,964			4.85
Interest-bearing deposits		3,983,419			3,918,546			3,828,126			3,983,965			4,089,820			1.66		3,983,419			4,089,820			(2.60	)
	Total deposits	4,942,770			4,838,418			4,763,670			4,886,731			5,004,784			2.16		4,942,770			5,004,784			(1.24	)
Borrowed funds		162,313			188,825			227,664			189,830			168,700			(14.04	)	162,313			168,700			(3.79	)
Shareholders' equity		723,196			711,651			700,475			688,215			676,715			1.62		723,196			676,715			6.87
Market value per common share		$	30.05		$	28.93		$	27.05		$	29.07		$	29.05		3.87		$	30.05		$	29.05		3.44
Book value per common share		22.88			22.56			22.21			21.83			21.50			1.42		22.88			21.50			6.42
Tangible book value per common share		13.52			13.13			12.74			12.27			11.87			2.97		13.52			11.87			13.90
Shareholders' equity to assets (actual)		12.29		%	12.26		%	12.18		%	11.81		%	11.46		%	0.24		12.29		%	11.46		%	7.24
Tangible capital ratio (3)		7.65		%	7.52		%	7.37		%	7.00		%	6.68		%	1.73		7.65		%	6.68		%	14.52
Leverage ratio		9.75		%	9.53		%	9.31		%	8.91		%	8.56		%	2.31		9.75		%	8.56		%	13.90
Common equity tier 1 capital ratio		10.34		%	—		%	—		%	—		%	—		%	—		10.34		%	—		%	—
Tier 1 risk-based capital ratio		12.45		%	12.45		%	12.28		%	11.82		%	11.54		%	—		12.45		%	11.54		%	7.89
Total risk-based capital ratio		13.50		%	13.54		%	13.43		%	12.96		%	12.70		%	(0.30	)	13.50		%	12.70		%	6.30



RENASANT CORPORATION
(Unaudited)
(Dollars in thousands, except per share data)
																Q1 2015 -		As of
	2015			2014												Q4 2014		March 31,
	First			Fourth			Third			Second			First			Percent								Percent
	Quarter			Quarter			Quarter			Quarter			Quarter			Variance		2015			2014			Variance
Loans not acquired
Commercial, financial, agricultural	$	418,752		$	418,501		$	378,802		$	365,262		$	347,828		0.06		$	418,752		$	347,828		20.39
Lease Financing	11,560			10,114			5,377			1,767			612			14.30		11,560			612			1,788.89
Real estate- construction	200,966			210,837			193,787			172,319			149,450			(4.68	)	200,966			149,450			34.47
Real estate - 1-4 family mortgages	1,025,264			1,014,412			984,778			966,546			941,260			1.07		1,025,264			941,260			8.92
Real estate - commercial mortgages	1,542,706			1,538,950			1,527,680			1,516,372			1,441,403			0.24		1,542,706			1,441,403			7.03
Installment loans to individuals	75,066			74,672			75,068			74,020			67,283			0.53		75,066			67,283			11.57
Loans, net of unearned	$	3,274,314		$	3,267,486		$	3,165,492		$	3,096,286		$	2,947,836		0.21		$	3,274,314		$	2,947,836		11.08
Loans acquired and subject to loss share
Commercial, financial, agricultural	$	3,917		$	6,684		$	7,699		$	7,677		$	8,283		(41.40	)	$	3,917		$	8,283		(52.71	)
Lease Financing	—			—			—			—			—			—		—			—			—
Real estate- construction	—			—			1,648			1,648			1,648			—		—			1,648			(100.00	)
Real estate - 1-4 family mortgages	42,758			44,017			46,354			49,616			52,252			(2.86	)	42,758			52,252			(18.17	)
Real estate - commercial mortgages	79,064			92,304			99,579			108,166			111,337			(14.34	)	79,064			111,337			(28.99	)
Installment loans to individuals	34			36			39			22			25			(5.56	)	34			25			36.00
Loans, net of unearned	$	125,773		$	143,041		$	155,319		$	167,129		$	173,545		(12.07	)	$	125,773		$	173,545		(27.53	)
Loans acquired from M&F
Commercial, financial, agricultural	$	52,119		$	58,098		$	64,058		$	74,887		$	84,004		(10.29	)	$	52,119		$	84,004		(37.96	)
Lease Financing	—			—			—			—			—			—		—			—			—
Real estate- construction	483			1,224			1,631			2,610			4,803			(60.54	)	483			4,803			(89.94	)
Real estate - 1-4 family mortgages	171,433			177,931			190,447			205,126			217,748			(3.65	)	171,433			217,748			(21.27	)
Real estate - commercial mortgages	317,224			325,660			363,793			390,781			415,418			(2.59	)	317,224			415,418			(23.64	)
Installment loans to individuals	12,315			14,434			16,699			20,711			24,074			(14.68	)	12,315			24,074			(48.85	)
Loans, net of unearned	$	553,574		$	577,347		$	636,628		$	694,115		$	746,047		(4.12	)	$	553,574		$	746,047		(25.80	)
Asset quality data
Assets not acquired:
Nonaccrual loans	$	17,719		$	18,781		$	19,070		$	17,175		$	18,365		(5.65	)	$	17,719		$	18,365		(3.52	)
Loans 90 past due or more	1,193			1,406			7,177			3,615			1,322			(15.15	)	1,193			1,322			(9.76	)
Nonperforming loans	18,912			20,187			26,247			20,790			19,687			(6.32	)	18,912			19,687			(3.94	)
Other real estate owned	16,735			17,087			20,461			23,950			25,117			(2.06	)	16,735			25,117			(33.37	)
Nonperforming assets not acquired	$	35,647		$	37,274		$	46,708		$	44,740		$	44,804		(4.36	)	$	35,647		$	44,804		(20.44	)
Assets acquired and subject to loss share:
Nonaccrual loans	$	18,040		$	24,172		$	33,216		$	41,425		$	46,078		(25.37	)	$	18,040		$	46,078		(60.85	)
Loans 90 past due or more	—			48			1,979			—			32			(100.00	)	—			32			(100.00	)
Nonperforming loans	18,040			24,220			35,195			41,425			46,110			(25.52	)	18,040			46,110			(60.88	)
Other real estate owned	4,325			6,368			4,033			7,472			10,218			(32.08	)	4,325			10,218			(57.67	)
Nonperforming assets acquired and subject to loss share	$	22,365		$	30,588		$	39,228		$	48,897		$	56,328		(26.88	)	$	22,365		$	56,328		(60.30	)
Assets acquired from M&F:
Nonaccrual loans	$	1,627		$	1,443		$	1,991		$	5,966		$	6,393		12.75		$	1,627		$	6,393		(74.55	)
Loans 90 past due or more	9,636			9,259			8,375			5,057			1,922			4.07		9,636			1,922			401.35
Nonperforming loans	11,263			10,702			10,366			11,023			8,315			5.24		11,263			8,315			35.45
Other real estate owned	10,626			11,017			9,565			10,381			12,406			(3.55	)	10,626			12,406			(14.35	)
Nonperforming assets acquired from M&F	$	21,889		$	21,719		$	19,931		$	21,404		$	20,721		0.78		$	21,889		$	20,721		5.64
Net loan charge-offs (recoveries)	$	1,062		$	3,330		$	4,952		$	2,194		$	1,067		(68.11	)	$	1,062		$	1,067		(0.47	)
Allowance for loan losses	42,302			42,289			44,569			47,304			48,048			0.03		42,302			48,048			(11.96	)
Annualized net loan charge-offs / average loans	0.11		%	0.33		%	0.50		%	0.23		%	0.11		%			0.11		%	0.11		%
Nonperforming loans / total loans*	1.22		%	1.38		%	1.81		%	1.85		%	1.92		%			1.22		%	1.92		%
Nonperforming assets / total assets*	1.36		%	1.54		%	1.84		%	1.97		%	2.06		%			1.36		%	2.06		%
Allowance for loan losses / total loans*	1.07		%	1.06		%	1.13		%	1.20		%	1.24		%			1.07		%	1.24		%
Allowance for loan losses / nonperforming loans*	87.74		%	76.74		%	62.07		%	64.59		%	64.83		%			87.74		%	64.83		%
Nonperforming loans / total loans**	0.58		%	0.62		%	0.83		%	0.67		%	0.67		%			0.58		%	0.67		%
Nonperforming assets / total assets**	0.61		%	0.64		%	0.81		%	0.77		%	0.76		%			0.61		%	0.76		%
Allowance for loan losses / total loans**	1.29		%	1.29		%	1.41		%	1.53		%	1.63		%			1.29		%	1.63		%
Allowance for loan losses / nonperforming loans**	223.68		%	209.49		%	169.81		%	227.53		%	244.06		%			223.68		%	244.06		%
*Based on all assets (includes acquired assets)
**Excludes assets acquired from M&F and assets covered under loss share



RENASANT CORPORATION
(Unaudited)
(Dollars in thousands, except per share data)

					RECONCILIATION OF GAAP TO NON-GAAP

																	For The Three Months Ending
		2015			2014												March 31,
		First			Fourth			Third			Second			First
		Quarter			Quarter			Quarter			Quarter			Quarter			2015			2014
Net income (GAAP)		$	15,240		$	15,597		$	15,535		$	14,853		$	13,597		$	15,240		$	13,597
	Amortization of intangibles, net of tax	873			902			947			1,019			1,026			873			1,026
Tangible net income (non-GAAP)		$	16,113		$	16,499		$	16,482		$	15,872		$	14,623		$	16,113		$	14,623

Average shareholders' equity (GAAP)		$	719,687		$	709,780		$	697,103		$	686,794		$	673,046		$	719,687		$	673,046
	Intangibles	296,682			297,978			300,725			302,181			303,599			296,682			303,599
Average tangible s/h's equity (non-GAAP)		$	423,005		$	411,802		$	396,378		$	384,613		$	369,447		$	423,005		$	369,447

Average total assets (GAAP)		$	5,821,758		$	5,746,146		$	5,758,083		$	5,836,607		$	5,927,884		$	5,821,758		$	5,927,884
	Intangibles	296,682			297,978			300,725			302,181			303,599			296,682			303,599
Average tangible assets (non-GAAP)		$	5,525,076		$	5,448,168		$	5,457,358		$	5,534,426		$	5,624,285		$	5,525,076		$	5,624,285

Actual total assets (GAAP)		$	5,882,098		$	5,805,129		$	5,751,711		$	5,826,020		$	5,902,831		$	5,882,098		$	5,902,831
	Intangibles	296,053			297,330			298,609			301,478			302,903			296,053			302,903
Actual tangible assets (non-GAAP)		$	5,586,045		$	5,507,799		$	5,453,102		$	5,524,542		$	5,599,928		$	5,586,045		$	5,599,928

(1) Return on Average Equity
Return on avg s/h's equity (GAAP)		8.59		%	8.72		%	8.84		%	8.67		%	8.19		%	8.59		%	8.19		%
	Effect of adjustment for intangible assets	6.86		%	7.18		%	7.66		%	7.88		%	7.86		%	6.86		%	7.85		%
Return on avg tangible s/h's equity (non-GAAP)		15.45		%	15.90		%	16.50		%	16.55		%	16.05		%	15.45		%	16.05		%

(2) Return on Average Assets
Return on (average) assets (GAAP)		1.06		%	1.08		%	1.07		%	1.02		%	0.93		%	1.06		%	0.93		%
	Effect of adjustment for intangible assets	0.12		%	0.12		%	0.13		%	0.13		%	0.12		%	0.12		%	0.12		%
Return on average tangible assets (non-GAAP)		1.18		%	1.20		%	1.20		%	1.15		%	1.05		%	1.18		%	1.05		%

(3) Shareholder Equity Ratio
Shareholders' equity to (actual) assets (GAAP)		12.29		%	12.26		%	12.18		%	11.81		%	11.46		%	12.29		%	11.46		%
	Effect of adjustment for intangible assets	4.65		%	4.74		%	4.81		%	4.81		%	4.79		%	4.65		%	4.79		%
Tangible capital ratio (non-GAAP)		7.65		%	7.52		%	7.37		%	7.00		%	6.68		%	7.65		%	6.68		%


					CALCULATION OF EFFICIENCY RATIO

Interest income (FTE)		$	55,910		$	57,335		$	58,098		$	60,002		$	57,811		$	55,910		$	57,811
	Interest expense	5,324			5,580			5,886			6,108			6,206			5,324			6,206
Net Interest income (FTE)		$	50,586		$	51,755		$	52,212		$	53,894		$	51,605		$	50,586		$	51,605

Total noninterest income		$	21,904		$	19,971		$	22,563		$	19,471		$	18,616		$	21,904		$	18,616
	Securities gains (losses)	—			—			375			—			—			—			—
	Gain on acquisition	—			—			—			—			—			—			—
Total noninterest income		$	21,904		$	19,971		$	22,188		$	19,471		$	18,616		$	21,904		$	18,616
Total Income (FTE)		$	72,490		$	71,726		$	74,400		$	73,365		$	70,221		$	72,490		$	70,221

Total noninterest expense		$	47,414		$	45,979		$	48,175		$	49,396		$	47,645		$	47,414		$	47,645
	Amortization of intangibles	1,275			1,327			1,381			1,427			1,471			1,275			1,471
	Merger-related expenses	478			499			—			—			195			478			195
	Debt extinguishment penalty	—			—			—			—			—			—			—
Total noninterest expense		$	45,661		$	44,153		$	46,794		$	47,969		$	45,979		$	45,661		$	45,979

(4) Efficiency Ratio		62.99		%	61.56		%	62.90		%	65.38		%	65.48		%	62.99		%	65.48		%

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