Annual Meeting

Our strength and stability have long attracted customers. Those who become part of our family are rewarded with industry-leading products and hometown service. We deliver that service through our network of branches that is now 140 locations lean. Always looking to improve, this year has seen Trustco Bank open, close, and relocate branches within our service area. Consequently, we are more efficient and more effective. As one building block sits on another, the factors of strength, a robust network of physical locations and electronic points of access, and hometown service, all come together in the form of rock-solid customer relationships. We do not have risky concentrations of deposits from a handful of business sectors. Rather, we have relationships with individuals and businesses as diverse as the communities that we are proud to serve. This is, in turn, another source of strength for us. When other banks lost not only deposits, but customers as well, we were able to grow total deposits and mitigate pressure on net interest margin generating an impressive $58.6 million in net income.

Other metrics also show our strength. Credit quality is a foundational element of our company. Nonperforming loans as a percentage of the total loan portfolio were a negligible 0.35% in 2023, down from the previous year. This is the result of expert underwriting. Our capital position also is solid. Our Tier 1 risk-based capital ratio for 2023 was 18.90% - well better than the peer median. This is the result of focused balance sheet management, which also has resulted in excellent liquidity, which in turn enables us to fund loans without borrowing. Taken together, these components make up the framework of our strategic vision.

As Your Home Town Bank, supporting the communities in which we operate is part of our corporate culture. As a company, we have contributed in a meaningful way to organizations focused on issues such as veteran wellness, hunger, and homelessness. Our team members also contribute their talent, volunteering in these areas, and many more. The impact of these commitments has been felt from New York’s Capital Region at Ronald McDonald House, to Central Florida, at the Run for Freedom road race in Casselberry, Florida to benefit veterans’ charities.

There can be no doubt that the coming year will present challenges. All coming years do. Our company sits on solid footings, fortified over many challenging years, and we are experienced and ready for whatever may come. As owners of our company, you can rest assured that we are well positioned to make the most of the opportunities that are presented in 2024 and beyond.

Yours sincerely,
Robert J. McCormick
Chairman, President, and Chief Executive Officer
Trustco Bank Corp NY