EX-99.2 3 rf-2022930xexhibitx992.htm EX-99.2 Document

Exhibit 99.2

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Regions Financial Corporation and Subsidiaries
Financial Supplement (unaudited)
Third Quarter 2022





Regions Financial Corporation and Subsidiaries                                
Financial Supplement (unaudited) to Third Quarter 2022 Earnings Release

Table of Contents
 
   Page
Financial Highlights  
Selected Ratios and Other Information*  
Consolidated Balance Sheets  
  
Loans   
Deposits  
Consolidated Statements of Income  
Consolidated Average Daily Balances and Yield / Rate Analysis*  
Pre-Tax Pre-Provision Income ("PPI")* and Adjusted PPI*  
Non-Interest Income, Mortgage Income, Wealth Management Income and Capital Markets Income  
Non-Interest Expense  
Reconciliation of GAAP Financial Measures to non-GAAP Financial Measures*  
Adjusted Efficiency Ratios, Adjusted Fee Income Ratios, Adjusted Non-Interest Income / Expense, Adjusted Operating Leverage Ratios, Return Ratio, and Tangible Common Ratios
Credit Quality  
Allowance for Credit Losses, Net Charge-Offs and Related Ratios, Adjusted Net Charge-Offs and Related Ratios  
Non-Accrual Loans (excludes loans held for sale), Early and Late Stage Delinquencies  
Forward-Looking Statements

*Use of non-GAAP financial measures
Regions believes that presentation of non-GAAP financial measures provides a meaningful basis for period to period comparisons, which management believes will assist investors in assessing the performance of the Company on the same basis as that applied by management. Non-GAAP financial measures have inherent limitations, are not required to be uniformly applied and are not audited. Although non-GAAP financial measures are frequently used by stakeholders in the evaluation of a company, they have limitations as analytical tools, and should not be considered in isolation, or as a substitute for analyses of results as reported under GAAP. In particular, a measure of earnings that excludes certain adjustments does not represent the amount that effectively accrues directly to shareholders. Additionally, our non-GAAP financial measures may not be comparable to similar non-GAAP financial measures used by other companies.

Regions Financial Corporation and Subsidiaries                                
Financial Supplement (unaudited) to Third Quarter 2022 Earnings Release
Financial Highlights
Quarter Ended
($ amounts in millions, except per share data)9/30/20226/30/20223/31/202212/31/20219/30/2021
Earnings Summary
Interest income - taxable equivalent$1,355 $1,166 $1,063 $1,066 $1,017 
Interest expense - taxable equivalent81 47 37 37 41 
Net interest income - taxable equivalent1,274 1,119 1,026 1,029 976 
Less: Taxable-equivalent adjustment12 11 11 10 11 
Net interest income 1,262 1,108 1,015 1,019 965 
Provision for (benefit from) credit losses135 60 (36)110 (155)
Net interest income after provision for (benefit from) credit losses1,127 1,048 1,051 909 1,120 
Non-interest income605 640 584 615 649 
Non-interest expense1,170 948 933 983 938 
Income before income taxes562 740 702 541 831 
Income tax expense133 157 154 103 180 
Net income$429 $583 $548 $438 $651 
Net income available to common shareholders$404 $558 $524 $414 $624 
Weighted-average shares outstanding—during quarter:
Basic934 934 938 949 955 
Diluted940 940 947 958 962 
Earnings per common share - basic$0.43 $0.60 $0.56 $0.44 $0.65 
Earnings per common share - diluted$0.43 $0.59 $0.55 $0.43 $0.65 
Balance Sheet Summary
At quarter-end
Loans, net of unearned income$94,711 $93,458 $89,335 $87,784 $83,270 
Allowance for credit losses(1,539 )(1,514 )(1,492 )(1,574 )(1,499 )
Assets157,798 160,908 164,082 162,938 156,153 
Deposits135,378 138,263 141,022 139,072 132,039 
Long-term borrowings2,274 2,319 2,343 2,407 2,451 
Shareholders' equity15,173 16,507 16,982 18,326 18,605 
Average balances
Loans, net of unearned income$94,684 $90,764 $87,814 $86,548 $83,350 
Assets158,422 161,826 161,728 160,051 155,630 
Deposits135,518 139,592 138,734 136,682 131,897 
Long-term borrowings2,319 2,328 2,390 2,433 2,774 
Shareholders' equity16,473 16,404 17,717 18,308 18,453 




1
Regions Financial Corporation and Subsidiaries                                
Financial Supplement (unaudited) to Third Quarter 2022 Earnings Release
Selected Ratios and Other Information
As of and for Quarter Ended
 9/30/20226/30/20223/31/202212/31/20219/30/2021
Return on average assets* (1)
1.07 %1.44 %1.38 %1.09 %1.66 %
Return on average common shareholders' equity*10.82 %15.18 %13.23 %9.86 %14.75 %
Return on average tangible common shareholders’ equity (non-GAAP)* (2)
18.02 %25.40 %21.00 %15.07 %21.34 %
Efficiency ratio62.3 %53.9 %57.9 %59.8 %57.7 %
Adjusted efficiency ratio (non-GAAP) (2)
52.6 %54.2 %57.9 %58.8 %56.6 %
Common book value per share$14.46 $15.89 $16.42 $17.69 $17.75 
Tangible common book value per share (non-GAAP) (2)
$8.15 $9.55 $10.06 $11.38 $12.32 
Total equity to total assets9.62 %10.26 %10.35 %11.25 %11.91 %
Tangible common shareholders’ equity to tangible assets (non-GAAP) (2)
5.01 %5.76 %5.93 %6.83 %7.79 %
Common equity (3)
$11,554$11,298 $10,912 $10,844 $11,628 
Total risk-weighted assets (3)
$124,369$122,154 $116,182 $113,343 $108,052 
Common equity Tier 1 ratio (3)
9.3 %9.2 %9.4 %9.6 %10.8 %
Tier 1 capital ratio (3)
10.6 %10.6 %10.8 %11.0 %12.3 %
Total risk-based capital ratio (3)
12.3 %12.3 %12.5 %12.7 %14.1 %
Leverage ratio (3)
8.5 %8.2 %8.0 %8.1 %8.8 %
Effective tax rate 23.7 %21.2 %21.9 %18.9 %21.7 %
Allowance for credit losses as a percentage of loans, net of unearned income1.63 %1.62 %1.67 %1.79 %1.80 %
Allowance for credit losses to non-performing loans, excluding loans held for sale 311 %410 %446 %349 %283 %
Net interest margin (FTE)* 3.53 %3.06 %2.85 %2.83 %2.76 %
Adjusted net interest margin (FTE) (non-GAAP) * (2)
3.68 %3.44 %3.43 %3.34 %3.30 %
Loans, net of unearned income, to total deposits70.0 %67.6 %63.3 %63.1 %63.1 %
Net charge-offs as a percentage of average loans*0.46 %0.17 %0.21 %0.20 %0.14 %
Adjusted net charge-offs as a percentage of average loans (non-GAAP) * (2)
0.19 %0.17 %0.21 %0.20 %0.14 %
Non-performing loans, excluding loans held for sale, as a percentage of loans0.52 %0.39 %0.37 %0.51 %0.64 %
Non-performing assets (excluding loans 90 days past due) as a percentage of loans, foreclosed properties, and non-performing loans held for sale0.54 %0.41 %0.39 %0.54 %0.66 %
Non-performing assets (including loans 90 days past due) as a percentage of loans, foreclosed properties, and non-performing loans held for sale (4)
0.65 %0.52 %0.53 %0.70 %0.80 %
Associate headcount—full-time equivalent (5)
19,950 19,673 19,723 19,626 18,963 
ATMs 2,043 2,048 2,054 2,068 2,051 
Branch Statistics
Full service1,259 1,259 1,259 1,268 1,276 
Drive-through/transaction service only35 35 35 34 34 
Total branch outlets1,294 1,294 1,294 1,302 1,310 
*Annualized
(1)Calculated by dividing net income by average assets.
(2)See reconciliation of GAAP to non-GAAP Financial Measures that begin on pages 12, 13, 17, 18, 19 and 21.
(3)Current quarter Common equity as well as Total risk-weighted assets, Common equity Tier 1, Tier 1 capital, Total risk-based capital and Leverage ratios are estimated.
(4)Excludes guaranteed residential first mortgages that are 90+ days past due and still accruing. Refer to the footnotes on page 22 for amounts related to these loans.
(5)Associate headcount for the fourth quarter of 2021 includes approximately 620 associates from acquisitions closed in the quarter.


2
Regions Financial Corporation and Subsidiaries                                
Financial Supplement (unaudited) to Third Quarter 2022 Earnings Release
Consolidated Balance Sheets
As of
($ amounts in millions)9/30/20226/30/20223/31/202212/31/20219/30/2021
Assets:
Cash and due from banks$2,117 $2,301 $2,227 $1,350 $1,741 
Interest-bearing deposits in other banks13,549 18,199 25,718 28,061 25,766 
Debt securities held to maturity817 836 864 899 945 
Debt securities available for sale28,126 29,052 29,384 28,481 28,986 
Loans held for sale720 612 694 1,003 934 
Loans, net of unearned income 94,711 93,458 89,335 87,784 83,270 
Allowance for loan losses
(1,418)(1,425)(1,416)(1,479)(1,428)
Net loans93,293 92,033 87,919 86,305 81,842 
Other earning assets1,341 1,428 1,504 1,187 1,269 
Premises and equipment, net1,744 1,768 1,794 1,814 1,805 
Interest receivable424 365 329 319 304 
Goodwill5,739 5,749 5,748 5,744 5,181 
Residential mortgage servicing rights at fair value (MSRs)809 770 542 418 410 
Other identifiable intangible assets, net266 279 292 305 101 
Other assets8,853 7,516 7,067 7,052 6,869 
Total assets$157,798 $160,908 $164,082 $162,938 $156,153 
Liabilities and Equity:
Deposits:
Non-interest-bearing$54,996 $58,510 $59,590 $58,369 $57,145 
Interest-bearing80,382 79,753 81,432 80,703 74,894 
Total deposits135,378 138,263 141,022 139,072 132,039 
Borrowed funds:
Long-term borrowings2,274 2,319 2,343 2,407 2,451 
Other liabilities4,973 3,819 3,735 3,133 3,040 
Total liabilities142,625 144,401 147,100 144,612 137,530 
Equity:
Preferred stock, non-cumulative perpetual1,659 1,659 1,659 1,659 1,659 
Common stock10 10 10 10 10 
Additional paid-in capital11,976 11,962 11,983 12,189 12,479 
Retained earnings6,531 6,314 5,915 5,550 5,296 
Treasury stock, at cost(1,371)(1,371)(1,371)(1,371)(1,371)
Accumulated other comprehensive income, net(3,632)(2,067)(1,214)289 532 
Total shareholders’ equity15,173 16,507 16,982 18,326 18,605 
Noncontrolling interest
— — — — 18 
Total equity
15,173 16,507 16,982 18,326 18,623 
Total liabilities and equity
$157,798 $160,908 $164,082 $162,938 $156,153 








3
Regions Financial Corporation and Subsidiaries                                
Financial Supplement (unaudited) to Third Quarter 2022 Earnings Release
End of Period Loans
As of
    9/30/20229/30/2022
($ amounts in millions)9/30/20226/30/20223/31/202212/31/20219/30/2021 vs. 6/30/2022 vs. 9/30/2021
Commercial and industrial$49,591 $48,492 $45,643 $43,758 $41,748 $1,099 2.3 %$7,843 18.8 %
Commercial real estate mortgage—owner-occupied5,167 5,218 5,181 5,287 5,446 (51)(1.0)%(279)(5.1)%
Commercial real estate construction—owner-occupied282 266 273 264 252 16 6.0 %30 11.9 %
Total commercial55,040 53,976 51,097 49,309 47,446 1,064 2.0 %7,594 16.0 %
Commercial investor real estate mortgage 6,295 5,892 5,557 5,441 5,608 403 6.8 %687 12.3 %
Commercial investor real estate construction1,824 1,720 1,607 1,586 1,704 104 6.0 %120 7.0 %
Total investor real estate8,119 7,612 7,164 7,027 7,312 507 6.7 %807 11.0 %
Total business63,159 61,588 58,261 56,336 54,758 1,571 2.6 %8,401 15.3 %
Residential first mortgage18,399 17,892 17,373 17,512 17,347 507 2.8 %1,052 6.1 %
Home equity—lines of credit (1)
3,521 3,550 3,602 3,744 3,875 (29)(0.8)%(354)(9.1)%
Home equity—closed-end (2)
2,515 2,524 2,500 2,510 2,556 (9)(0.4)%(41)(1.6)%
Consumer credit card1,186 1,172 1,133 1,184 1,136 14 1.2 %50 4.4 %
Other consumer—exit portfolios (3)
662 775 909 1,071 1,260 (113)(14.6)%(598)(47.5)%
Other consumer5,269 5,957 5,557 5,427 2,338 (688)(11.5)%2,931 125.4 %
Total consumer31,552 31,870 31,074 31,448 28,512 (318)(1.0)%3,040 10.7 %
Total Loans$94,711 $93,458 $89,335 $87,784 $83,270 $1,253 1.3 %$11,441 13.7 %
______
NM - Not meaningful.
(1)     The balance of Regions' home equity lines of credit consists of $1,896 million of first lien and $1,625 million of second lien at 9/30/2022.
(2)    The balance of Regions' closed-end home equity loans consists of $2,294 million of first lien and $221 million of second lien at 9/30/2022.
(3)    Regions ceased originating indirect vehicle loans in the second quarter of 2019 and decided not to renew another third party relationship in the fourth quarter of 2019.
As of
End of Period Loans by Percentage9/30/20226/30/20223/31/202212/31/20219/30/2021
Commercial and industrial52.4 %51.9 %51.1 %49.9 %50.1 %
Commercial real estate mortgage—owner-occupied5.5 %5.6 %5.8 %6.0 %6.5 %
Commercial real estate construction—owner-occupied0.3 %0.3 %0.3 %0.3 %0.3 %
Total commercial58.2 %57.8 %57.2 %56.2 %56.9 %
Commercial investor real estate mortgage6.6 %6.3 %6.2 %6.2 %6.7 %
Commercial investor real estate construction1.9 %1.8 %1.8 %1.8 %2.0 %
Total investor real estate8.5 %8.1 %8.0 %8.0 %8.7 %
Total business66.7 %65.9 %65.2 %64.2 %65.6 %
Residential first mortgage19.4 %19.1 %19.4 %19.9 %20.8 %
Home equity—lines of credit 3.7 %3.8 %4.0 %4.3 %4.7 %
Home equity—closed-end 2.7 %2.7 %2.8 %2.9 %3.1 %
Consumer credit card1.3 %1.3 %1.3 %1.3 %1.4 %
Other consumer—exit portfolios0.7 %0.8 %1.0 %1.2 %1.5 %
Other consumer5.5 %6.4 %6.3 %6.2 %2.8 %
Total consumer33.3 %34.1 %34.8 %35.8 %34.4 %
Total Loans100.0 %100.0 %100.0 %100.0 %100.0 %


4
Regions Financial Corporation and Subsidiaries                                
Financial Supplement (unaudited) to Third Quarter 2022 Earnings Release
Average Balances of Loans
 Average Balances
($ amounts in millions)3Q222Q221Q224Q213Q213Q22 vs. 2Q223Q22 vs. 3Q21
Commercial and industrial$49,120 $46,538 $43,993 $42,254 $41,892 $2,582 5.5 %$7,228 17.3 %
Commercial real estate mortgage—owner-occupied5,167 5,204 5,237 5,386 5,436 (37)(0.7)%(269)(4.9)%
Commercial real estate construction—owner-occupied274 273 269 263 246 1 0.4 %28 11.4 %
Total commercial54,561 52,015 49,499 47,903 47,574 2,546 4.9 %6,987 14.7 %
Commercial investor real estate mortgage6,115 5,760 5,514 5,531 5,605 355 6.2 %510 9.1 %
Commercial investor real estate construction1,764 1,668 1,568 1,654 1,706 96 5.8 %58 3.4 %
Total investor real estate7,879 7,428 7,082 7,185 7,311 451 6.1 %568 7.8 %
Total business 62,440 59,443 56,581 55,088 54,885 2,997 5.0 %7,555 13.8 %
Residential first mortgage18,125 17,569 17,496 17,413 17,198 556 3.2 %927 5.4 %
Home equity—lines of credit3,531 3,571 3,667 3,806 3,956 (40)(1.1)%(425)(10.7)%
Home equity—closed-end2,519 2,511 2,496 2,528 2,567 8 0.3 %(48)(1.9)%
Consumer credit card1,176 1,145 1,142 1,155 1,128 31 2.7 %48 4.3 %
Other consumer—exit portfolios (1)
716 836 987 1,160 1,363 (120)(14.4)%(647)(47.5)%
Other consumer6,177 5,689 5,445 5,398 2,253 488 8.6 %3,924 174.2 %
Total consumer32,244 31,321 31,233 31,460 28,465 923 2.9 %3,779 13.3 %
Total Loans$94,684 $90,764 $87,814 $86,548 $83,350 $3,920 4.3 %$11,334 13.6 %
_____
NM - Not meaningful.
(1)Regions ceased originating indirect vehicle lending in the second quarter of 2019 and decided not to renew another third party relationship in the fourth quarter of 2019.








5
Regions Financial Corporation and Subsidiaries                                
Financial Supplement (unaudited) to Third Quarter 2022 Earnings Release
Average Balances of Loans (continued)
Average Balances
Nine Months Ended September 30
($ amounts in millions)202220212022 vs. 2021
Commercial and industrial$46,569 $42,612 $3,957 9.3 %
Commercial real estate mortgage—owner-occupied5,202 5,390 (188)(3.5)%
Commercial real estate construction—owner-occupied272 275 (3)(1.1)%
Total commercial52,043 48,277 3,766 7.8 %
Commercial investor real estate mortgage5,799 5,501 298 5.4 %
Commercial investor real estate construction1,667 1,771 (104)(5.9)%
Total investor real estate7,466 7,272 194 2.7 %
Total business 59,509 55,549 3,960 7.1 %
Residential first mortgage17,732 16,868 864 5.1 %
Home equity—lines of credit3,589 4,177 (588)(14.1)%
Home equity—closed-end2,509 2,615 (106)(4.1)%
Consumer credit card1,155 1,129 26 2.3 %
Other consumer—exit portfolios (1)
845 1,614 (769)(47.6)%
Other consumer5,773 2,262 3,511 155.2 %
Total consumer31,603 28,665 2,938 10.2 %
Total Loans$91,112 $84,214 $6,898 8.2 %
_____
NM - Not meaningful.
(1)Regions ceased originating indirect vehicle lending in the second quarter of 2019 and decided not to renew a third party relationship in the fourth quarter of 2019.


.


6
Regions Financial Corporation and Subsidiaries                                
Financial Supplement (unaudited) to Third Quarter 2022 Earnings Release
End of Period Deposits
 As of
     9/30/20229/30/2022
($ amounts in millions)9/30/20226/30/20223/31/202212/31/20219/30/2021 vs. 6/30/2022 vs. 9/30/2021
Interest-free deposits$54,996 $58,510 $59,590 $58,369 $57,145 $(3,514)(6.0)%$(2,149)(3.8)%
Interest-bearing checking26,500 26,989 28,001 28,018 25,217 (489)(1.8)%1,2835.1%
Savings16,083 16,220 16,101 15,134 14,573 (137)(0.8)%1,51010.4%
Money market—domestic32,444 31,116 31,677 31,408 30,736 1,3284.3%1,7085.6%
Low-cost deposits130,023 132,835 135,369 132,929 127,671 (2,812)(2.1)%2,3521.8%
Time deposits5,355 5,428 5,653 6,143 4,368 (73)(1.3)%98722.6%
Total Deposits$135,378 $138,263 $141,022 $139,072 $132,039 $(2,885)(2.1)%$3,3392.5%
 As of
   9/30/20229/30/2022
($ amounts in millions)9/30/20226/30/20223/31/202212/31/20219/30/2021 vs. 6/30/2022 vs. 9/30/2021
Consumer Bank Segment$85,455 $84,987 $85,219 $82,849 $79,873 $4680.6%$5,5827.0%
Corporate Bank Segment38,293 41,456 42,836 42,689 41,442 (3,163)(7.6)%(3,149)(7.6)%
Wealth Management Segment9,400 9,489 10,420 10,853 10,251 (89)(0.9)%(851)(8.3)%
Other (1)
2,230 2,331 2,547 2,681 473 (101)(4.3)%1,757371.5%
Total Deposits$135,378 $138,263 $141,022 $139,072 $132,039 $(2,885)(2.1)%$3,3392.5%
 As of
    9/30/20229/30/2022
($ amounts in millions)9/30/20226/30/20223/31/202212/31/20219/30/2021 vs. 6/30/2022 vs. 9/30/2021
Wealth Management - Private Wealth$8,565 $8,771 $9,472 $10,033 $9,046 $(206)(2.3)%$(481)(5.3)%
Wealth Management - Institutional Services835 718 948 820 1,205 11716.3%(370)(30.7)%
Total Wealth Management Segment Deposits$9,400 $9,489 $10,420 $10,853 $10,251 $(89)(0.9)%$(851)(8.3)%

As of
End of Period Deposits by Percentage9/30/20226/30/20223/31/202212/31/20219/30/2021
Interest-free deposits40.6 %42.3 %42.3 %42.0 %43.3 %
Interest-bearing checking19.6 %19.5 %19.9 %20.1 %19.1 %
Savings11.9 %11.7 %11.4 %10.9 %11.0 %
Money market—domestic24.0 %22.5 %22.5 %22.6 %23.3 %
Low-cost deposits96.1 %96.0 %96.1 %95.6 %96.7 %
Time deposits3.9 %4.0 %3.9 %4.4 %3.3 %
Total Deposits100.0 %100.0 %100.0 %100.0 %100.0 %
NM - Not meaningful.
(1)Other deposits represent non-customer balances primarily consisting of wholesale funding (for example, Eurodollar trade deposits, selected deposits and brokered time deposits).










7
Regions Financial Corporation and Subsidiaries                                
Financial Supplement (unaudited) to Third Quarter 2022 Earnings Release
Average Balances of Deposits
Average Balances
($ amounts in millions)3Q222Q221Q224Q213Q213Q22 vs. 2Q223Q22 vs. 3Q21
Interest-free deposits$55,806 $58,911 $58,117 $57,840 $56,999 $(3,105)(5.3)%$(1,193)(2.1)%
Interest-bearing checking26,665 27,533 27,771 26,000 25,277 (868)(3.2)%1,388 5.5 %
Savings16,176 16,200 15,539 14,854 14,328 (24)(0.1)%1,848 12.9 %
Money market—domestic31,520 31,348 31,402 31,483 30,765 172 0.5 %755 2.5 %
Low-cost deposits130,167 133,992 132,829 130,177 127,369 (3,825)(2.9)%2,798 2.2 %
Time deposits5,351 5,600 5,905 6,505 4,527 (249)(4.4)%824 18.2 %
Corporate treasury time deposits— — — — 1 — NM(1)(100.0)%
Total Deposits$135,518 $139,592 $138,734 $136,682 $131,897 $(4,074)(2.9)%3,621 2.7 %
 Average Balances
($ amounts in millions)3Q222Q221Q224Q213Q213Q22 vs. 2Q223Q22 vs. 3Q21
Consumer Bank Segment$84,741 $85,224 $83,054 $80,930 $79,098 $(483)(0.6)%$5,643 7.1 %
Corporate Bank Segment39,058 41,920 42,609 42,659 42,525 (2,862)(6.8)%(3,467)(8.2)%
Wealth Management Segment9,467 10,020 10,407 10,054 9,873 (553)(5.5)%(406)(4.1)%
Other (1)
2,252 2,428 2,664 3,039 401 (176)(7.2)%1,851 461.6 %
Total Deposits$135,518 $139,592 $138,734 $136,682 $131,897 $(4,074)(2.9)%$3,621 2.7 %
 Average Balances
($ amounts in millions)3Q222Q221Q224Q213Q213Q22 vs. 2Q223Q22 vs. 3Q21
Wealth Management - Private Wealth$8,792 $9,266 $9,591 $9,266 $9,036 $(474)(5.1)%$(244)(2.7)%
Wealth Management - Institutional Services675 754 816 788 837 (79)(10.5)%(162)(19.4)%
Total Wealth Management Segment Deposits$9,467 $10,020 $10,407 $10,054 $9,873 $(553)(5.5)%$(406)(4.1)%

Average Balances
Nine Months Ended September 30
($ amounts in millions)202220212022 vs. 2021
Interest-free deposits$57,603 $55,163 $2,440 4.4 %
Interest-bearing checking27,319 24,835 2,484 10.0 %
Savings15,974 13,535 2,439 18.0 %
Money market—domestic31,423 30,322 1,101 3.6 %
Low-cost deposits132,319 123,855 8,464 6.8 %
Time deposits5,617 4,830 787 16.3 %
Corporate treasury time deposits— 2 (2)(100.0)%
Corporate treasury other deposits— 1 (1)(100.0)%
Total Deposits$137,936 $128,688 $9,248 7.2 %
Average Balances
Nine Months Ended September 30
($ amounts in millions)202220212022 vs. 2021
Consumer Bank Segment$84,346 $76,772 $7,574 9.9 %
Corporate Bank Segment41,144 41,932 (788)(1.9)%
Wealth Management Segment10,000 9,560 440 4.6 %
Other (1)
2,446 424 2,022 476.9 %
Total Deposits$137,936 $128,688 $9,248 7.2 %
Average Balances
Nine Months Ended September 30
($ amounts in millions)202220212022 vs. 2021
Wealth Management - Private Wealth$9,252 $8,719 $533 6.1 %
Wealth Management - Institutional Services748 841 (93)(11.1)%
Total Wealth Management Segment Deposits$10,000 $9,560 $440 4.6 %
________
NM - Not meaningful.
(1)Other deposits represent non-customer balances primarily consisting of wholesale funding (for example, Eurodollar trade deposits, selected deposits and brokered time deposits).

8
Regions Financial Corporation and Subsidiaries                                
Financial Supplement (unaudited) to Third Quarter 2022 Earnings Release
Consolidated Statements of Income
Quarter Ended
($ amounts in millions, except per share data)9/30/20226/30/20223/31/202212/31/20219/30/2021
Interest income on:
Loans, including fees $1,072 $932 $876 $902 $847 
Debt securities171 157 138 134 135 
Loans held for sale8 10 9 6 7 
Other earning assets 92 56 29 14 17 
Total interest income1,343 1,155 1,052 1,056 1,006 
Interest expense on:
Deposits50 20 13 13 15 
Long-term borrowings31 27 24 24 26 
Total interest expense81 47 37 37 41 
Net interest income 1,262 1,108 1,015 1,019 965 
Provision for (benefit from) credit losses135 60 (36)110 (155)
Net interest income after provision for (benefit from) credit losses1,127 1,048 1,051 909 1,120 
Non-interest income:
Service charges on deposit accounts156 165 168 166 162 
Card and ATM fees126 133 124 127 129 
Wealth management income108 102 101 100 95 
Capital markets income93 112 73 83 87 
Mortgage income37 47 48 49 50 
Securities gains (losses), net(1)— — — 1 
Other86 81 70 90 125 
Total non-interest income605 640 584 615 649 
Non-interest expense:
Salaries and employee benefits593 575 546 575 552 
Equipment and software expense98 97 95 96 90 
Net occupancy expense76 75 75 76 75 
Other403 201 217 236 221 
Total non-interest expense1,170 948 933 983 938 
Income before income taxes562 740 702 541 831 
Income tax expense 133 157 154 103 180 
Net income $429 $583 $548 $438 $651 
Net income available to common shareholders$404 $558 $524 $414 $624 
Weighted-average shares outstanding—during quarter:
Basic934 934 938 949 955 
Diluted940 940 947 958 962 
Actual shares outstanding—end of quarter934 934 933 942 955 
Earnings per common share: (1)
Basic$0.43 $0.60 $0.56 $0.44 $0.65 
Diluted$0.43 $0.59 $0.55 $0.43 $0.65 
Taxable-equivalent net interest income$1,274 $1,119 $1,026 $1,029 $976 
________
(1) Quarterly amounts may not add to year-to-date amounts due to rounding.





9
Regions Financial Corporation and Subsidiaries                                
Financial Supplement (unaudited) to Third Quarter 2022 Earnings Release
Consolidated Statements of Income (continued) (unaudited)
Nine Months Ended September 30
($ amounts in millions, except per share data)20222021
Interest income on:
Loans, including fees$2,880 $2,550 
Debt securities466 399 
Loans held for sale27 31 
Other earning assets 177 45 
Total interest income3,550 3,025 
Interest expense on:
Deposits83 51 
Long-term borrowings82 79 
Total interest expense165 130 
Net interest income3,385 2,895 
Provision for (benefit from) credit losses159 (634)
Net interest income after provision for (benefit from) credit losses3,226 3,529 
Non-interest income:
Service charges on deposit accounts489 482 
Card and ATM fees383 372 
Wealth management income 311 282 
Capital markets income278 248 
Mortgage income132 193 
Securities gains (losses), net(1)3 
Other237 329 
Total non-interest income1,829 1,909 
Non-interest expense:
Salaries and employee benefits1,714 1,630 
Equipment and software expense290 269 
Net occupancy expense226 227 
Other821 638 
Total non-interest expense3,051 2,764 
Income before income taxes2,004 2,674 
Income tax expense 444 591 
Net income $1,560 $2,083 
Net income available to common shareholders$1,486 $1,986 
Weighted-average shares outstanding—during year:
Basic936 958 
Diluted942 965 
Actual shares outstanding—end of period934 955 
Earnings per common share:
Basic$1.59 $2.07 
Diluted$1.58 $2.06 
Taxable-equivalent net interest income$3,419 $2,929 


10
Regions Financial Corporation and Subsidiaries                                
Financial Supplement (unaudited) to Third Quarter 2022 Earnings Release
Consolidated Average Daily Balances and Yield/Rate Analysis
 Quarter Ended
 9/30/20226/30/2022
($ amounts in millions; yields on taxable-equivalent basis)Average BalanceIncome/ Expense
Yield/ Rate (1)
Average BalanceIncome/ Expense
Yield/ Rate (1)
Assets
Earning assets:
Federal funds sold and securities purchased under agreements to resell$1 $— 2.43 %$— $— — %
Debt securities (2)
32,101 171 2.12 31,429 157 2.00 
Loans held for sale539 8 6.09 704 10 5.39 
Loans, net of unearned income:
Commercial and industrial (3)
49,120 549 4.42 46,538 480 4.12 
Commercial real estate mortgage—owner-occupied (4)
5,167 56 4.20 5,204 56 4.31 
Commercial real estate construction—owner-occupied274 3 4.53 273 2 3.85 
Commercial investor real estate mortgage6,115 64 4.06 5,760 39 2.69 
Commercial investor real estate construction1,764 22 4.77 1,668 14 3.34 
Residential first mortgage18,125 147 3.24 17,569 137 3.12 
Home equity6,050 68 4.49 6,082 56 3.76 
Consumer credit card1,176 40 13.79 1,145 36 12.38 
Other consumer—exit portfolios716 10 5.72 836 13 5.93 
Other consumer6,177 125 8.03 5,689 110 7.73 
Total loans, net of unearned income94,684 1,084 4.53 90,764 943 4.15 
Interest bearing deposits in other banks14,353 81 2.25 22,246 45 0.81 
Other earning assets1,379 11 3.34 1,445 11 2.79 
Total earning assets 143,057 1,355 3.76 146,588 1,166 3.18 
Unrealized gains/(losses) on debt securities available for sale, net (2)
(2,389)(2,107)
Allowance for loan losses(1,432)(1,419)
Cash and due from banks2,291 2,386 
Other non-earning assets16,895 16,378 
$158,422 $161,826 
Liabilities and Shareholders’ Equity
Interest-bearing liabilities:
Savings $16,176 5 0.11 $16,200 5 0.12 
Interest-bearing checking26,665 22 0.33 27,533 6 0.09 
Money market 31,520 17 0.22 31,348 4 0.05 
Time deposits5,351 6 0.45 5,600 5 0.34 
Total interest-bearing deposits (5)
79,712 50 0.25 80,681 20 0.10 
Other short-term borrowings30 — 0.23 7 — 1.01 
Long-term borrowings2,319 31 5.39 2,328 27 4.53 
Total interest-bearing liabilities82,061 81 0.39 83,016 47 0.22 
Non-interest-bearing deposits (5)
55,806 — — 58,911 — — 
Total funding sources137,867 81 0.23 141,927 47 0.13 
Net interest spread (2)
3.36 2.95 
Other liabilities4,082 3,495 
Shareholders’ equity16,473 16,404 
$158,422 $161,826 
Net interest income /margin FTE basis (2)
$1,274 3.53 %$1,119 3.06 %
_______
(1) Amounts have been calculated using whole dollar values.
(2) Debt securities are included on an amortized cost basis with yield and net interest margin calculated accordingly.
(3) Interest income includes hedging income of zero for the quarter ended September 30, 2022 and $69 million for the quarter ended June 30, 2022.
(4) Interest income includes hedging income of zero for the quarter ended September 30, 2022 and $9 million for the quarter ended June 30, 2022.
(5) Total deposit costs may be calculated by dividing total interest expense on deposits by the sum of interest-bearing deposits and non-interest bearing deposits. The rates for total deposit costs equal 0.15% for the quarter ended September 30, 2022 and 0.06% for the quarter ended June 30, 2022.



11
Regions Financial Corporation and Subsidiaries                                
Financial Supplement (unaudited) to Third Quarter 2022 Earnings Release
Consolidated Average Daily Balances and Yield/Rate Analysis (continued)
 Quarter Ended
 3/31/202212/31/20219/30/2021
($ amounts in millions; yields on taxable-equivalent basis)Average BalanceIncome/ Expense
Yield/ Rate (1)
Average BalanceIncome/ Expense
Yield/ Rate (1)
Average BalanceIncome/ Expense
Yield/ Rate (1)
Assets
Earning assets:
Federal funds sold and securities purchased under agreements to resell$2 $— 0.18 %$1 $— 0.18 %$2 $— 0.18 %
Debt securities (2)
29,342 138 1.88 29,264 134 1.83 29,308 135 1.85 
Loans held for sale782 9 4.89 855 6 2.98 1,044 7 2.64 
Loans, net of unearned income:
Commercial and industrial (3)
43,993 447 4.10 42,254 468 4.39 41,892 464 4.38 
Commercial real estate mortgage—owner-occupied (4)
5,237 57 4.35 5,386 60 4.34 5,436 60 4.37 
Commercial real estate construction—owner-occupied269 3 3.91 263 3 3.95 246 2 4.14 
Commercial investor real estate mortgage5,514 30 2.19 5,531 30 2.13 5,605 32 2.18 
Commercial investor real estate construction1,568 11 2.83 1,654 11 2.72 1,706 12 2.72 
Residential first mortgage17,496 135 3.09 17,413 136 3.12 17,198 135 3.15 
Home equity6,163 55 3.55 6,334 55 3.51 6,523 58 3.53 
Consumer credit card1,142 35 12.48 1,155 35 12.16 1,128 35 12.19 
Other consumer—exit portfolios987 14 5.84 1,160 18 5.71 1,363 19 5.63 
Other consumer5,445 100 7.42 5,398 96 7.13 2,253 41 7.06 
Total loans, net of unearned income 87,814 887 4.07 86,548 912 4.18 83,350 858 4.07 
Interest bearing deposits in other banks26,606 13 0.20 26,121 10 0.15 25,144 9 0.15 
Other earning assets1,306 16 5.02 1,276 4 1.41 1,303 8 2.06 
Total earning assets
145,852 1,063 2.93 144,065 1,066 2.94 140,151 1,017 2.88 
Unrealized gains/(losses) on debt securities available for sale, net (2)
(549)331 674 
Allowance for loan losses(1,472)(1,572)(1,581)
Cash and due from banks2,200 2,143 1,937 
Other non-earning assets15,697 15,084 14,449 
$161,728 $160,051 $155,630 
Liabilities and Shareholders’ Equity
Interest-bearing liabilities:
Savings $15,539 5 0.13 $14,854 5 0.12 $14,328 4 0.13 
Interest-bearing checking27,771 2 0.03 26,000 2 0.03 25,277 2 0.03 
Money market 31,402 2 0.02 31,483 1 0.02 30,765 2 0.02 
Time deposits5,905 4 0.30 6,505 5 0.36 4,527 7 0.55 
Other deposits— — — — — — 1 — 1.50 
Total interest-bearing deposits (5)
80,617 13 0.07 78,842 13 0.07 74,898 15 0.08 
Federal funds purchased and securities sold under agreements to repurchase— — — 44 — 0.19 — — — 
Other short-term borrowings9 — 0.16 — — — — — — 
Long-term borrowings2,390 24 4.06 2,433 24 3.93 2,774 26 3.65 
Total interest-bearing liabilities 83,016 37 0.18 81,319 37 0.18 77,672 41 0.20 
Non-interest-bearing deposits (5)
58,117 — — 57,840 — — 56,999 — — 
Total funding sources141,133 37 0.11 139,159 37 0.11 134,671 41 0.12 
Net interest spread (2)
2.75 2.76 2.67 
Other liabilities2,878 2,566 2,506 
Shareholders’ equity17,717 18,308 18,453 
Noncontrolling interest— 18 — 
$161,728 $160,051 $155,630 
Net interest income/margin FTE basis (2)
$1,026 2.85 %$1,029 2.83 %$976 2.76 %
_______
(1) Amounts have been calculated using whole dollar values.
(2) Debt securities are included on an amortized cost basis with yield and net interest margin calculated accordingly.
(3) Interest income includes hedging income of $98 million, $100 million, and $97 million for the quarters ended March 31, 2022 , December 31, 2021, and September 30, 2021, respectively.
(4) Interest income includes hedging income of $12 million for each of the quarters ended March 31, 2022, December 31, 2021, and September 30, 2021.
(5) Total deposit costs may be calculated by dividing total interest expense on deposits by the sum of interest-bearing deposits and non-interest bearing deposits. The rates for total deposit costs equal 0.04% for the quarter ended March 31, 2022, 0.04% for the quarter ended December 31, 2021 and 0.04% for the quarter ended September 30, 2021.

Adjusted Net Interest Margin (non-GAAP)
Regions believes the adjusted net interest margin (non-GAAP) provides investors with meaningful additional information about Regions' performance when margin associated with the SBA's Paycheck Protection Program (PPP) loans and excess cash are excluded from net interest margin (GAAP).
Quarter-ended
9/30/20226/30/20223/31/202212/31/20219/30/2021
Net interest margin (FTE) (GAAP)3.53 %3.06 %2.85 %2.83 %2.76 %
Impact of SBA PPP loans (1)
(0.01)%(0.01)%(0.02)%(0.09)%(0.05)%
Impact of excess cash (2)
0.16 %0.39 %0.60 %0.60 %0.59 %
Adjusted net interest margin (FTE) (non-GAAP)3.68 %3.44 %3.43 %3.34 %3.30 %
_______
(1) The impact of SBA PPP loans was determined using average PPP loan balances and the related net interest income.
(2) The impact of excess cash was determined using the average cash balance in excess of $750 million and the related net interest income. The $750 million threshold approximates the average cash balance for the four quarters preceding the outbreak of the COVID-19 pandemic.

12
Regions Financial Corporation and Subsidiaries                                
Financial Supplement (unaudited) to Third Quarter 2022 Earnings Release
Pre-Tax Pre-Provision Income ("PPI") and Adjusted PPI (non-GAAP)
The Pre-Tax Pre-Provision Income tables below present computations of pre-tax pre-provision income excluding certain adjustments (non-GAAP). Regions believes that the presentation of PPI and the exclusion of certain items from PPI provides a meaningful base for period-to-period comparisons, which management believes will assist investors in analyzing the operating results of the Company and predicting future performance. These non-GAAP financial measures are also used by management to assess the performance of Regions’ business. It is possible that the activities related to the adjustments may recur; however, management does not consider the activities related to the adjustments to be indications of ongoing operations.
 Quarter Ended
($ amounts in millions)9/30/20226/30/20223/31/202212/31/20219/30/20213Q22 vs. 2Q223Q22 vs. 3Q21
Net income available to common shareholders (GAAP)$404 $558 $524 $414 $624 $(154)(27.6)%$(220)(35.3)%
Preferred dividends (GAAP)25 25 24 24 27 — — %(2)(7.4)%
Income tax expense (GAAP)133 157 154 103 180 (24)(15.3)%(47)(26.1)%
Income before income taxes (GAAP)562 740 702 541 831 (178)(24.1)%(269)(32.4)%
Provision for (benefit from) credit losses (GAAP)135 60 (36)110 (155)75 125.0 %290 187.1 %
Pre-tax pre-provision income (non-GAAP)697 800 666 651 676 (103)(12.9)%21 3.1 %
Other adjustments:
Securities (gains) losses, net1 — — — (1)1 NM2 200.0 %
Leveraged lease termination gains, net— — (1)— (2)— NM2 100.0 %
Salaries and employee benefits—severance charges— — — 1 — — NM— NM
Branch consolidation, property and equipment charges3 (6)1 — — 9 150.0 %3 NM
Loss on early extinguishment of debt— — — — 20 — NM(20)(100.0)%
Professional, legal and regulatory expenses (1)
179 — — 15 — 179 NM179 NM
Total other adjustments183 (6)— 16 17 189 NM166 NM
Adjusted pre-tax pre-provision income (non-GAAP)$880 $794 $666 $667 $693 $86 10.8 %$187 27.0 %
______
NM - Not Meaningful
(1)    The adjustment for the third quarter of 2022 relates to the settlement of a previously disclosed matter with the Consumer Financial Protection Bureau. The adjustment for the fourth quarter of 2021 is related to professional and legal expenses for acquisitions.



13
Regions Financial Corporation and Subsidiaries                                
Financial Supplement (unaudited) to Third Quarter 2022 Earnings Release
Non-Interest Income
 Quarter Ended
($ amounts in millions)9/30/20226/30/20223/31/202212/31/20219/30/20213Q22 vs. 2Q223Q22 vs. 3Q21
Service charges on deposit accounts156 165 168 166 162 $(9)(5.5)%$(6)(3.7)%
Card and ATM fees126 133 124 127 129 (7)(5.3)%(3)(2.3)%
Wealth management income108 102 101 100 95 6 5.9 %13 13.7 %
Capital markets income (1)
93 112 73 83 87 (19)(17.0)%6 6.9 %
Mortgage income (2)
37 47 48 49 50 (10)(21.3)%(13)(26.0)%
Commercial credit fee income 26 23 22 23 23 3 13.0 %3 13.0 %
Bank-owned life insurance15 16 14 14 18 (1)(6.3)%(3)(16.7)%
Market value adjustments on employee benefit assets-other (3)
(5)(17)(14)— 5 12 70.6 %(10)(200.0)%
Securities gains (losses), net(1)— — — 1 (1)— %(2)(200.0)%
Other miscellaneous income50 59 48 53 79 (9)(15.3)%(29)(36.7)%
Total non-interest income$605 $640 $584 $615 $649 $(35)(5.5)%$(44)(6.8)%
Mortgage Income
Quarter Ended
($ amounts in millions)9/30/20226/30/20223/31/202212/31/20219/30/20213Q22 vs. 2Q223Q22 vs. 3Q21
Production and sales$18 $23 $43 $46 $57 $(5)(21.7)%$(39)(68.4)%
Loan servicing40 28 27 27 26 12 42.9 %14 53.8 %
MSR and related hedge impact:
MSRs fair value increase (decrease) due to change in valuation inputs or assumptions28 52 47 (6)(3)(24)(46.2)%31 NM
MSRs hedge gain (loss)(26)(41)(52)1 (12)15 36.6 %(14)(116.7)%
MSRs change due to payment decay(23)(15)(17)(19)(18)(8)(53.3)%(5)(27.8)%
MSR and related hedge impact(21)(4)(22)(24)(33)(17)(425.0)%12 36.4 %
Total mortgage income$37 $47 $48 $49 $50 $(10)(21.3)%$(13)(26.0)%
Mortgage production - portfolio$997 $1,277 $1,021 $1,273 $1,548 $(280)(21.9)%$(551)(35.6)%
Mortgage production - agency/secondary market526 680 819 1,133 1,276 (154)(22.6)%(750)(58.8)%
Total mortgage production$1,523 $1,957 $1,840 $2,406 $2,824 $(434)(22.2)%$(1,301)(46.1)%
Mortgage production - purchased88.1 %82.9 %65.7 %58.6 %59.7 %
Mortgage production - refinanced11.9 %17.1 %34.3 %41.4 %40.3 %
 
Wealth Management Income
Quarter Ended
($ amounts in millions)9/30/20226/30/20223/31/202212/31/20219/30/20213Q22 vs. 2Q223Q22 vs. 3Q21
Investment management and trust fee income$74 $72 $75 $74 $69 $2 2.8 %$5 7.2 %
Investment services fee income34 30 26 26 26 4 13.3 %8 30.8 %
Total wealth management income (4)
$108 $102 $101 $100 $95 $6 5.9 %$13 13.7 %
Capital Markets Income
Quarter Ended
($ amounts in millions)9/30/20226/30/20223/31/202212/31/20219/30/20213Q22 vs. 2Q223Q22 vs. 3Q21
Capital markets income$93 $112 $73 $83 $87 $(19)(17.0)%$6 6.9 %
Less: Valuation adjustments on customer derivatives (5)
21 20 6 — 1 1 5.0 %20 NM
Capital markets income excluding valuation adjustments $72 $92 $67 $83 $86 $(20)(21.7)%$(14)(16.3)%
_________
NM - Not Meaningful
(1)Capital markets income primarily relates to capital raising activities that includes debt securities underwriting and placement, loan syndication and placement, as well as foreign exchange, derivative and merger and acquisition advisory services.
(2)Mortgage income in the first quarter of 2022 includes approximately $12 million in gains associated with the re-securitization and sale of approximately $285 million of Ginnie Mae loans that had been previously repurchased from their pools.
(3)These market value adjustments relate to assets held for employee and director benefits that are offset within salaries and employee benefits expense and other non-interest expense.
(4)Total wealth management income presented above does not include the portion of service charges on deposit accounts and similar smaller dollar amounts that are also attributable to the wealth management segment.
(5)For the purposes of determining the fair value of customer derivatives, the Company considers the risk of nonperformance by counterparties, as well as the Company's own risk of nonperformance. The valuation adjustments above are reflective of the values associated with these considerations.

14
Regions Financial Corporation and Subsidiaries                                
Financial Supplement (unaudited) to Third Quarter 2022 Earnings Release

Non-Interest Income
 Nine Months EndedYear-to-Date 9/30/2022 vs. 9/30/2021
($ amounts in millions)9/30/20229/30/2021AmountPercent
Service charges on deposit accounts$489 $482 $7 1.5 %
Card and ATM fees383 372 11 3.0 %
Wealth management income311 282 29 10.3 %
Capital markets income (1)
278 248 30 12.1 %
Mortgage income132 193 (61)(31.6)%
Commercial credit fee income 71 68 3 4.4 %
Bank-owned life insurance45 68 (23)(33.8)%
Market value adjustments on employee benefit assets - other (2)
(36)20 (56)(280.0)%
Gain on equity investment— 3 (3)(100.0)%
Securities gains (losses), net(1)3 (4)(133.3)%
Other miscellaneous income157 170 (13)(7.6)%
Total non-interest income$1,829 $1,909 $(80)(4.2)%
Mortgage Income
Nine Months EndedYear-to-Date 9/30/2022 vs. 9/30/2021
($ amounts in millions)9/30/20229/30/2021AmountPercent
Production and sales$84 $183 $(99)(54.1)%
Loan servicing95 75 20 26.7 %
MSR and related hedge impact:
MSRs fair value increase (decrease) due to change in valuation inputs or assumptions127 49 78 159.2 %
MSRs hedge gain (loss)(119)(63)(56)(88.9)%
MSRs change due to payment decay(55)(51)(4)(7.8)%
MSR and related hedge impact(47)(65)18 27.7 %
Total mortgage income$132 $193 $(61)(31.6)%
Mortgage production - portfolio$3,295 $4,764 $(1,469)(30.8)%
Mortgage production - agency/secondary market2,025 3,837 (1,812)(47.2)%
Total mortgage production $5,320 $8,601 $(3,281)(38.1)%
Mortgage production - purchased78.5 %58.3 %
Mortgage production - refinanced21.5 %41.7 %
Wealth Management Income
Nine Months EndedYear-to-Date 9/30/2022 vs. 9/30/2021
($ amounts in millions)9/30/20229/30/2021AmountPercent
Investment management and trust fee income$221 $204 $17 8.3 %
Investment services fee income90 78 12 15.4 %
Total wealth management income (3)
$311 $282 $29 10.3 %
Capital Markets Income
Nine Months EndedYear-to-Date 9/30/2022 vs. 9/30/2021
($ amounts in millions)9/30/20229/30/2021AmountPercent
Capital markets income$278 $248 $30 12.1 %
Less: Valuation adjustments on customer derivatives (4)
47 8 39 487.5 %
Capital markets income excluding valuation adjustments $231 $240 $(9)(3.8)%
_________
NM - Not Meaningful
(1)Capital markets income primarily relates to capital raising activities that includes debt securities underwriting and placement, loan syndication and placement, as well as foreign exchange, derivative and merger and acquisition advisory services.
(2)These market value adjustments relate to assets held for employee and director benefits that are offset within salaries and employee benefits expense and other non-interest expense.
(3)Total wealth management income presented above does not include the portion of service charges on deposit accounts and similar smaller dollar amounts that are also attributable to the wealth management segment.
(4)For the purposes of determining the fair value of customer derivatives, the Company considers the risk of nonperformance by counterparties, as well as the Company's own risk of nonperformance. The valuation adjustments above are reflective of the values associated with these considerations.

15
Regions Financial Corporation and Subsidiaries                                
Financial Supplement (unaudited) to Third Quarter 2022 Earnings Release
Non-Interest Expense
Quarter Ended
($ amounts in millions)9/30/20226/30/20223/31/202212/31/20219/30/20213Q22 vs. 2Q223Q22 vs. 3Q21
Salaries and employee benefits$593 $575 $546 $575 $552 $18 3.1 %$41 7.4 %
Equipment and software expense98 97 95 96 90 1 1.0 %8 8.9 %
Net occupancy expense76 75 75 76 75 1 1.3 %1 1.3 %
Outside services40 38 38 41 38 2 5.3 %2 5.3 %
Marketing29 22 24 32 23 7 31.8 %6 26.1 %
Professional, legal and regulatory expenses 199 24 17 33 21 175 NM178 NM
Credit/checkcard expenses13 13 26 15 16 — — %(3)(18.8)%
FDIC insurance assessments16 13 14 13 11 3 23.1 %5 45.5 %
Visa class B shares expense3 9 5 8 4 (6)(66.7)%(1)(25.0)%
Loss on early extinguishment of debt— — — — 20 — — %(20)(100.0)%
Branch consolidation, property and equipment charges 3 (6)1 — — 9 150.0 %3 NM
Other miscellaneous expenses100 88 92 94 88 12 13.6 %12 13.6 %
Total non-interest expense$1,170 $948 $933 $983 $938 $222 23.4 %$232 24.7 %

Nine Months EndedYear-to-Date 9/30/2022 vs. 9/30/2021
($ amounts in millions)9/30/20229/30/2021AmountPercent
Salaries and employee benefits $1,714 $1,630 $84 5.2 %
Equipment and software expense290 269 21 7.8 %
Net occupancy expense226 227 (1)(0.4)%
Outside services116 115 1 0.9 %
Marketing75 74 1 1.4 %
Professional, legal and regulatory expenses 240 65 175 269.2 %
Credit/checkcard expenses52 47 5 10.6 %
FDIC insurance assessments43 32 11 34.4 %
Visa class B shares expense17 14 3 21.4 %
Loss on early extinguishment of debt— 20 (20)(100.0)%
Branch consolidation, property and equipment charges (2)5 (7)(140.0)%
Other miscellaneous expenses280 266 14 5.3 %
Total non-interest expense$3,051 $2,764 $287 10.4 %
_________
NM - Not Meaningful




16
Regions Financial Corporation and Subsidiaries                                
Financial Supplement (unaudited) to Third Quarter 2022 Earnings Release
Reconciliation of GAAP Financial Measures to non-GAAP Financial Measures
Adjusted Efficiency Ratios, Adjusted Fee Income Ratios, Adjusted Non-Interest Income/Expense, Adjusted Operating Leverage Ratios, and Adjusted Total Revenue
The table below presents computations of the efficiency ratio, which is a measure of productivity, generally calculated as non-interest expense divided by total revenue; and the fee income ratio, generally calculated as non-interest income divided by total revenue. Management uses these ratios to monitor performance and believes these measures provide meaningful information to investors. Non-interest expense (GAAP) is presented excluding certain adjustments to arrive at adjusted non-interest expense (non-GAAP), which is the numerator for the adjusted efficiency ratio. Non-interest income (GAAP) is presented excluding certain adjustments to arrive at adjusted non-interest income (non-GAAP), which is the numerator for the adjusted fee income ratio. Net interest income and non-interest income are added together to arrive at total revenue. Adjustments are made to arrive at adjusted total revenue (non-GAAP). Net interest income on a taxable-equivalent basis and non-interest income are added together to arrive at total revenue on a taxable-equivalent basis. Adjustments are made to arrive at adjusted total revenue on a taxable-equivalent basis (non-GAAP), which is the denominator for the adjusted fee income and adjusted efficiency ratios. Also presented is a computation of the adjusted operating leverage ratio (non-GAAP) which is the period to period percentage change in adjusted total revenue on a taxable-equivalent basis (non-GAAP) less the percentage change in adjusted non-interest expense (non-GAAP).
 Quarter Ended
($ amounts in millions) 9/30/20226/30/20223/31/202212/31/20219/30/20213Q22 vs. 2Q223Q22 vs. 3Q21
Non-interest expense (GAAP)A$1,170 $948 $933 $983 $938 $222 23.4 %$232 24.7 %
Adjustments:
Branch consolidation, property and equipment charges(3)6 (1)— — (9)(150.0)%(3)NM
Salaries and employee benefits—severance charges— — — (1)— — NM— NM
Loss on early extinguishment of debt— — — — (20)— NM20 100.0 %
Professional, legal and regulatory expenses (1)
(179)— — (15)— (179)NM(179)NM
Adjusted non-interest expense (non-GAAP)B$988 $954 $932 $967 $918 $34 3.6 %$70 7.6 %
Net interest income (GAAP)C$1,262 $1,108 $1,015 $1,019 $965 $154 13.9 %$297 30.8 %
Taxable-equivalent adjustment12 11 11 10 11 1 9.1 %1 9.1 %
Net interest income, taxable-equivalent basisD$1,274 $1,119 $1,026 $1,029 $976 $155 13.9 %$298 30.5 %
Non-interest income (GAAP)E605 640 584 615 649 (35)(5.5)%(44)(6.8)%
Adjustments:
Securities (gains) losses, net1 — — — (1)1 NM2 200.0 %
Leveraged lease termination gains— — (1)— (2)— NM2 100.0 %
Adjusted non-interest income (non-GAAP)F$606 $640 $583 $615 $646 (34)(5.3)%$(40)(6.2)%
Total revenueC+E=G$1,867 $1,748 $1,599 $1,634 $1,614 $119 6.8 %$253 15.7 %
Adjusted total revenue (non-GAAP)C+F=H$1,868 $1,748 $1,598 $1,634 $1,611 $120 6.9 %$257 16.0 %
Total revenue, taxable-equivalent basisD+E=I$1,879 $1,759 $1,610 $1,644 $1,625 $120 6.8 %$254 15.6 %
Adjusted total revenue, taxable-equivalent basis (non-GAAP)D+F=J$1,880 $1,759 $1,609 $1,644 $1,622 $121 6.9 %$258 15.9 %
Efficiency ratio (GAAP) (2)
A/I62.3 %53.9 %57.9 %59.8 %57.7 %
Adjusted efficiency ratio (non-GAAP) (2)
B/J52.6 %54.2 %57.9 %58.8 %56.6 %
Fee income ratio (GAAP) (2)
E/I32.2 %36.4 %36.3 %37.4 %40.0 %
Adjusted fee income ratio (non-GAAP) (2)
F/J32.2 %36.4 %36.2 %37.4 %39.8 %
________
NM - Not Meaningful
(1)The adjustment for the third quarter of 2022 relates to the settlement of a previously disclosed matter with the Consumer Financial Protection Bureau. The adjustment for the fourth quarter of 2021 is related to professional and legal expenses for acquisitions.
(2)Amounts have been calculated using whole dollar values.







17
Regions Financial Corporation and Subsidiaries                                
Financial Supplement (unaudited) to Third Quarter 2022 Earnings Release
Reconciliation of GAAP Financial Measures to non-GAAP Financial Measures
Adjusted Efficiency Ratios, Adjusted Fee Income Ratios, Adjusted Non-Interest Income/Expense, Adjusted Operating Leverage Ratios and Adjusted Total Revenue (continued)
Nine Months Ended September 30
($ amounts in millions)202220212022 vs. 2021
Non-interest expense (GAAP)A$3,051 $2,764 $287 10.4 %
Adjustments:
Contribution to the Regions Financial Corporation foundation — (3)3 100.0 %
Branch consolidation, property and equipment charges2 (5)7 140.0 %
Salaries and employee benefits—severance charges— (5)5 100.0 %
Loss on early extinguishment of debt— (20)20 100.0 %
Professional, legal and regulatory expenses (1)
(179)— (179)NM
Adjusted non-interest expense (non-GAAP)B$2,874 $2,731 $143 5.2 %
Net interest income (GAAP) C$3,385 $2,895 $490 16.9 %
Taxable-equivalent adjustment34 34 — — %
Net interest income, taxable-equivalent basisD$3,419 $2,929 $490 16.7 %
Non-interest income (GAAP)E$1,829 $1,909 $(80)(4.2)%
Adjustments:
Securities (gains) losses, net1 (3)4 133.3 %
Gains on equity investment— (3)3 100.0 %
Leveraged lease termination gains(1)(2)1 50.0 %
Bank owned life insurance (2)
— (18)18 100.0 %
Adjusted non-interest income (non-GAAP)F$1,829 $1,883 $(54)(2.9)%
Total revenueC+E= G$5,214 $4,804 $410 8.5 %
Adjusted total revenue (non-GAAP)C+F=H$5,214 $4,778 $436 9.1 %
Total revenue, taxable-equivalent basisD+E=I$5,248 $4,838 $410 8.5 %
Adjusted total revenue, taxable-equivalent basis (non-GAAP)D+F=J$5,248 $4,812 $436 9.1 %
Operating leverage ratio (GAAP) (3)
I-A(1.9)%
Adjusted operating leverage ratio (non-GAAP) (3)
H-B3.9 %
Efficiency ratio (GAAP) (3)
A/I58.1 %57.1 %
Adjusted efficiency ratio (non-GAAP) (3)
B/J54.8 %56.8 %
Fee income ratio (GAAP) (3)
E/I34.9 %39.5 %
Adjusted fee income ratio (non-GAAP) (3)
F/J34.8 %39.1 %
______
NM - Not Meaningful
(1)This adjustment relates to the settlement of a previously disclosed matter with the Consumer Financial Protection Bureau.
(2)During the second quarter of 2021, the Company recognized an individual BOLI claim benefit.
(3)Amounts have been calculated using whole dollar values.






18
Regions Financial Corporation and Subsidiaries                                
Financial Supplement (unaudited) to Third Quarter 2022 Earnings Release
Reconciliation of GAAP Financial Measures to non-GAAP Financial Measures

Return Ratio

The table below provides a calculation of “return on average tangible common shareholders’ equity” (non-GAAP). Tangible common shareholders’ equity ratios have become a focus of some investors and management believes they may assist investors in analyzing the capital position of the Company absent the effects of intangible assets and preferred stock. Analysts and banking regulators have assessed Regions’ capital adequacy using the tangible common shareholders’ equity measure. Because tangible common shareholders’ equity is not formally defined by GAAP or prescribed in any amount by federal banking regulations it is currently considered to be a non-GAAP financial measure and other entities may calculate it differently than Regions’ disclosed calculations. Since analysts and banking regulators may assess Regions’ capital adequacy using tangible common shareholders’ equity, management believes that it is useful to provide investors the ability to assess Regions’ capital adequacy on this same basis.
Quarter Ended
($ amounts in millions)9/30/20226/30/20223/31/202212/31/20219/30/2021
RETURN ON AVERAGE TANGIBLE COMMON SHAREHOLDERS' EQUITY
Net income available to common shareholders (GAAP)A$404 $558 $524 $414 $624 
Average shareholders' equity (GAAP)$16,473 $16,404 $17,717 $18,308 $18,453 
Less:
Average intangible assets (GAAP)6,019 6,034 6,043 5,852 5,285 
Average deferred tax liability related to intangibles (GAAP) (104)(101)(100)(98)(96)
Average preferred stock (GAAP)1,659 1,659 1,659 1,660 1,659 
Average tangible common shareholders' equity (non-GAAP)B$8,899 $8,812 $10,115 $10,894 $11,605 
Return on average tangible common shareholders' equity (non-GAAP) *(1)
A/B18.02 %25.40 %21.00 %15.07 %21.34 %
____
*Annualized
(1)Amounts have been calculated using whole dollar values.
Tangible Common Ratios
The following table provides a reconciliation of shareholders’ equity (GAAP) to tangible common shareholders’ equity (non-GAAP) and the calculations of the end of period “tangible common shareholders’ equity to tangible assets” and "tangible common book value per share" ratios (non-GAAP). Since analysts and banking regulators may assess Regions’ capital adequacy using tangible common shareholders' equity, management believes that it is useful to provide investors the ability to assess Regions’ capital adequacy on this same basis.
As of and for Quarter Ended
($ amounts in millions, except per share data)9/30/20226/30/20223/31/202212/31/20219/30/2021
TANGIBLE COMMON RATIOS
Shareholders’ equity (GAAP)A$15,173 $16,507 $16,982 $18,326 $18,605 
Less:
Preferred stock (GAAP)1,659 1,659 1,659 1,659 1,659 
Intangible assets (GAAP)6,005 6,028 6,040 6,049 5,282 
Deferred tax liability related to intangibles (GAAP)(105)(104)(101)(100)(97)
Tangible common shareholders’ equity (non-GAAP)B$7,614 $8,924 $9,384 $10,718 $11,761 
Total assets (GAAP)C$157,798 $160,908 $164,082 $162,938 $156,153 
Less:
Intangible assets (GAAP)6,005 6,028 6,040 6,049 5,282 
Deferred tax liability related to intangibles (GAAP)(105)(104)(101)(100)(97)
Tangible assets (non-GAAP)D$151,898 $154,984 $158,143 $156,989 $150,968 
Shares outstanding—end of quarterE934 934 933 942 955 
Total equity to total assets (GAAP) (1)
A/C9.62 %10.26 %10.35 %11.25 %11.91 %
Tangible common shareholders’ equity to tangible assets (non-GAAP) (1)
B/D5.01 %5.76 %5.93 %6.83 %7.79 %
Tangible common book value per share (non-GAAP) (1)
B/E$8.15 $9.55 $10.06 $11.38 $12.32 
____
(1)Amounts have been calculated using whole dollar values.

19
Regions Financial Corporation and Subsidiaries                                
Financial Supplement (unaudited) to Third Quarter 2022 Earnings Release
Credit Quality
As of and for Quarter Ended
($ amounts in millions)9/30/20226/30/20223/31/202212/31/20219/30/2021
Components:
Beginning allowance for loan losses (ALL)$1,425 $1,416 $1,479 $1,428 $1,597 
Loans charged-off:
Commercial and industrial20 21 23 23 21 
Commercial real estate mortgage—owner-occupied— 1 3 — 1 
Total commercial20 22 26 23 22 
Commercial investor real estate mortgage— — — 1 — 
Total investor real estate— — — 1 — 
Residential first mortgage1 — — 1 — 
Home equity—lines of credit2 1 1 1 1 
Home equity—closed-end— — 1 — — 
Consumer credit card9 10 10 10 9 
Other consumer—exit portfolios4 4 6 6 7 
Other consumer (1)
99 33 33 30 20 
Total consumer115 48 51 48 37 
Total135 70 77 72 59 
Recoveries of loans previously charged-off:
Commercial and industrial12 12 13 12 14 
Commercial real estate mortgage—owner-occupied1 1 — — 2 
Total commercial13 13 13 12 16 
Commercial investor real estate mortgage— 1 — — 1 
Total investor real estate— 1 — — 1 
Residential first mortgage1 1 2 2 — 
Home equity—lines of credit2 4 3 3 3 
Home equity—closed-end— 1 1 1 1 
Consumer credit card2 2 2 3 2 
Other consumer—exit portfolios— 2 2 — 2 
Other consumer7 8 8 7 4 
Total consumer12 18 18 16 12 
Total25 32 31 28 29 
Net charge-offs (recoveries):
Commercial and industrial8 9 10 11 7 
Commercial real estate mortgage—owner-occupied(1)— 3 — (1)
Total commercial7 9 13 11 6 
Commercial investor real estate mortgage— (1)— 1 (1)
Total investor real estate— (1)— 1 (1)
Residential first mortgage— (1)(2)(1)— 
Home equity—lines of credit— (3)(2)(2)(2)
Home equity—closed-end— (1)— (1)(1)
Consumer credit card7 8 8 7 7 
Other consumer—exit portfolios4 2 4 6 5 
Other consumer92 25 25 23 16 
Total consumer103 30 33 32 25 
Total110 38 46 44 30 
Provision for (benefit from) loan losses (1)
103 47 (17)86 (139)
Initial allowance on acquired purchased credit deteriorated loans— — — 9 — 
Ending allowance for loan losses (ALL)1,418 1,425 1,416 1,479 1,428 
Beginning reserve for unfunded credit commitments89 76 95 71 87 
Provision for (benefit from) unfunded credit losses32 13 (19)24 (16)
Ending reserve for unfunded commitments121 89 76 95 71 
Allowance for credit losses (ACL) at period end$1,539 $1,514 $1,492 $1,574 $1,499 

20
Regions Financial Corporation and Subsidiaries                                
Financial Supplement (unaudited) to Third Quarter 2022 Earnings Release
Credit Quality (continued)
As of and for Quarter Ended
($ amounts in millions)9/30/20226/30/20223/31/202212/31/20219/30/2021
Net loan charge-offs as a % of average loans, annualized (2):
Commercial and industrial0.07 %0.07 %0.09 %0.11 %0.06 %
Commercial real estate mortgage—owner-occupied(0.06)%0.05 %0.20 %0.01 %(0.06)%
Commercial real estate construction—owner-occupied(0.08)%(0.01)%(0.03)%0.18 %0.10 %
Total commercial0.06 %0.07 %0.10 %0.10 %0.05 %
Commercial investor real estate mortgage(0.01)%(0.04)%(0.01)%0.01 %(0.05)%
Commercial investor real estate construction— %(0.01)%— %— %— %
Total investor real estate(0.01)%(0.03)%(0.01)%0.01 %(0.03)%
Residential first mortgage(0.01)%(0.01)%(0.05)%(0.02)%(0.01)%
Home equity—lines of credit(0.08)%(0.31)%(0.17)%(0.22)%(0.24)%
Home equity—closed-end(0.09)%(0.04)%(0.07)%(0.16)%(0.10)%
Consumer credit card2.39 %2.70 %2.83 %2.42 %2.57 %
Other consumer—exit portfolios2.13 %0.80 %1.83 %1.69 %1.58 %
Other consumer (1)
5.92 %1.72 %1.89 %1.69 %2.80 %
Total consumer1.25 %0.39 %0.44 %0.39 %0.35 %
Total0.46 %0.17 %0.21 %0.20 %0.14 %
Non-performing loans, excluding loans held for sale$495 $369 $335 $451 $530 
Non-performing loans held for sale2 3 7 13 3 
Non-performing loans, including loans held for sale497 372 342 464 533 
Foreclosed properties14 11 9 10 13 
Non-performing assets (NPAs)$511 $383 $351 $474 $546 
Loans past due > 90 days (3)
$105 $107 $125 $140 $124 
Criticized loans—business (4)
$2,771 $2,310 $2,539 $2,905 $3,054 
Credit Ratios (2):
ACL/Loans, net1.63 %1.62 %1.67 %1.79 %1.80 %
ALL/Loans, net1.50 %1.52 %1.59 %1.69 %1.71 %
Allowance for credit losses to non-performing loans, excluding loans held for sale311 %410 %446 %349 %283 %
Allowance for loan losses to non-performing loans, excluding loans held for sale287 %386 %423 %328 %269 %
Non-performing loans, excluding loans held for sale/Loans, net0.52 %0.39 %0.37 %0.51 %0.64 %
NPAs (ex. 90+ past due)/Loans, foreclosed properties, and non-performing loans held for sale0.54 %0.41 %0.39 %0.54 %0.66 %
NPAs (inc. 90+ past due)/Loans, foreclosed properties, and non-performing loans held for sale (2)
0.65 %0.52 %0.53 %0.70 %0.80 %
(1)At the end of the third quarter of 2022, the Company sold certain unsecured consumer loans with an associated allowance of $94 million at the time of the sale. As shown in the table below, there was a $63 million fair value mark recorded through charge-offs, which resulted in a net provision benefit of $31 million associated with the sale.
(2)Amounts have been calculated using whole dollar values.
(3)Excludes guaranteed residential first mortgages that are 90+ days past due and still accruing. Refer to the footnotes on page 22 for amounts related to these loans.
(4)Business represents the combined total of commercial and investor real estate loans.

Adjusted Net Charge-offs and Ratio (non-GAAP)

At the end of the third quarter of 2022, the Company made the strategic decision to sell certain unsecured consumer loans. These loans were marked down to fair value through charge-offs as shown below. Management believes that excluding the incremental increase to net charge-offs from the net charge-off ratio (GAAP) to arrive at an adjusted net charge-off ratio (non-GAAP) will assist investors in analyzing the Company's credit quality performance as well as provide a better basis from which to predict future performance.
For the Quarter Ended
($ amounts in millions)9/30/20226/30/20223/31/202212/31/20219/30/2021
Net loan charge-offs (GAAP)$110$38$46$44$30
Less: charge-offs associated with the sale of unsecured consumer loans63— — — — 
Adjusted net loan charge-offs (non-GAAP)4738464430
Adjusted net loan charge-offs as a % of average loans, annualized (non-GAAP) (1)
0.19 %0.17 %0.21 %0.20 %0.14 %
(1)Amounts have been calculated using whole dollar values.


21
Regions Financial Corporation and Subsidiaries                                
Financial Supplement (unaudited) to Third Quarter 2022 Earnings Release
Non-Performing Loans (excludes loans held for sale)
 As of
($ amounts in millions, %'s calculated using whole dollar values)9/30/20226/30/20223/31/202212/31/20219/30/2021
Commercial and industrial$333 0.67 %$257 0.53 %$216 0.47 %$305 0.70 %$359 0.86 %
Commercial real estate mortgage—owner-occupied29 0.57 %29 0.55 %32 0.61 %52 0.98 %68 1.26 %
Commercial real estate construction—owner-occupied6 2.22 %10 3.92 %10 3.75 %11 4.11 %11 4.22 %
Total commercial368 0.67 %296 0.55 %258 0.50 %368 0.75 %438 0.92 %
Commercial investor real estate mortgage59 0.93 %3 0.05 %2 0.04 %3 0.06 %4 0.07 %
Total investor real estate59 0.72 %3 0.04 %2 0.03 %3 0.05 %4 0.05 %
Residential first mortgage29 0.16 %27 0.15 %31 0.18 %33 0.19 %37 0.22 %
Home equity—lines of credit32 0.90 %36 1.00 %37 1.02 %40 1.08 %44 1.15 %
Home equity—closed-end7 0.28 %7 0.28 %7 0.28 %7 0.27 %7 0.27 %
Total consumer68 0.22 %70 0.22 %75 0.24 %80 0.25 %88 0.31 %
Total non-performing loans$495 0.52 %$369 0.39 %$335 0.37 %$451 0.51 %$530 0.64 %

Early and Late Stage Delinquencies
Accruing 30-89 Days Past Due Loans
As of
($ amounts in millions, %'s calculated using whole dollar values)9/30/20226/30/20223/31/202212/31/20219/30/2021
Commercial and industrial $77 0.16 %$37 0.08 %$37 0.08 %$64 0.15 %$34 0.08 %
Commercial real estate mortgage—owner-occupied5 0.09 %5 0.10 %6 0.11 %4 0.09 %7 0.14 %
Commercial real estate construction—owner-occupied— — %— — %1 0.46 %— 0.07 %1 0.23 %
Total commercial82 0.15 %42 0.08 %44 0.09 %68 0.14 %42 0.09 %
Commercial investor real estate mortgage1 — %— — %16 0.29 %— — %— — %
Total investor real estate1 — %— — %16 0.23 %— — %— — %
Residential first mortgage—non-guaranteed (1)
85 0.47 %71 0.41 %58 0.34 %64 0.38 %60 0.36 %
Home equity—lines of credit20 0.58 %16 0.45 %20 0.55 %21 0.57 %22 0.56 %
Home equity—closed-end 11 0.44 %11 0.43 %12 0.47 %11 0.44 %10 0.40 %
Consumer credit card17 1.39 %13 1.11 %13 1.12 %15 1.23 %12 1.02 %
Other consumer—exit portfolios10 1.49 %10 1.31 %11 1.21 %14 1.30 %14 1.08 %
Other consumer49 0.93 %48 0.81 %45 0.82 %46 0.85 %17 0.75 %
Total consumer (1)
192 0.73 %169 0.66 %159 0.64 %171 0.67 %135 0.49 %
Total accruing 30-89 days past due loans (1)
$275 0.29 %$211 0.23 %$219 0.25 %$239 0.27 %$177 0.21 %
Accruing 90+ Days Past Due LoansAs of
($ amounts in millions, %'s calculated using whole dollar values)9/30/20226/30/20223/31/202212/31/20219/30/2021
Commercial and industrial$4 0.01 %$4 0.01 %$5 0.01 %$5 0.01 %$3 0.01 %
Commercial real estate mortgage—owner-occupied— — %1 0.02 %1 0.01 %1 0.01 %2 0.03 %
Total commercial4 0.01 %5 0.01 %6 0.01 %6 0.01 %5 0.01 %
Residential first mortgage—non-guaranteed (2)
50 0.28 %50 0.29 %61 0.36 %74 0.44 %68 0.41 %
Home equity—lines of credit17 0.47 %16 0.46 %19 0.52 %21 0.56 %20 0.53 %
Home equity—closed-end 8 0.31 %9 0.36 %11 0.45 %12 0.49 %13 0.49 %
Consumer credit card13 1.12 %11 0.97 %12 1.11 %12 1.04 %11 0.97 %
Other consumer—exit portfolios1 0.20 %2 0.19 %2 0.19 %2 0.21 %2 0.18 %
Other consumer12 0.22 %14 0.23 %14 0.25 %13 0.23 %5 0.22 %
Total consumer (2)
101 0.40 %102 0.41 %119 0.50 %134 0.58 %119 0.43 %
Total accruing 90+ days past due loans (2)
$105 0.11 %$107 0.11 %$125 0.14 %$140 0.16 %$124 0.15 %
Total delinquencies (1) (2)
$380 0.40 %$318 0.34 %$344 0.39 %$379 0.43 %$301 0.36 %
(1)Excludes loans that are 100% guaranteed by FHA and guaranteed loans sold to Ginnie Mae where Regions has the right but not the obligation to repurchase. Total 30-89 days past due guaranteed loans excluded were $39 million at 9/30/2022, $42 million at 6/30/2022, $39 million at 3/31/2022, $40 million at 12/31/2021, and $40 million at 9/30/2021.
(2)Excludes loans that are 100% guaranteed by FHA and all guaranteed loans sold to Ginnie Mae where Regions has the right but not the obligation to repurchase. Total 90 days or more past due guaranteed loans excluded were $26 million at 9/30/2022, $28 million at 6/30/2022, $37 million at 3/31/2022, $49 million at 12/31/2021, and $44 million at 9/30/2021.

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Regions Financial Corporation and Subsidiaries                                
Financial Supplement (unaudited) to Third Quarter 2022 Earnings Release
Forward-Looking Statements
This release may include forward-looking statements as defined in the Private Securities Litigation Reform Act of 1995. Forward-looking statements are not based on historical information, but rather are related to future operations, strategies, financial results or other developments. Forward-looking statements are based on management’s current expectations as well as certain assumptions and estimates made by, and information available to, management at the time the statements are made. Those statements are based on general assumptions and are subject to various risks, and because they also relate to the future they are likewise subject to inherent uncertainties and other factors that may cause actual results to differ materially from the views, beliefs and projections expressed in such statements. Therefore, we caution you against relying on any of these forward-looking statements. These risks, uncertainties and other factors include, but are not limited to, those described below:
•Current and future economic and market conditions in the United States generally or in the communities we serve (in particular the Southeastern United States), including the effects of possible declines in property values, increases in unemployment rates, financial market disruptions and potential reductions of economic growth, which may adversely affect our lending and other businesses and our financial results and conditions.
•Possible changes in trade, monetary and fiscal policies of, and other activities undertaken by, governments, agencies, central banks and similar organizations, which could have a material adverse effect on our earnings.
•Possible changes in market interest rates or capital markets could adversely affect our revenue and expense, the value of assets and obligations, and the availability and cost of capital and liquidity.
•The impact of pandemics, including the ongoing COVID-19 pandemic, on our businesses, operations, and financial results and conditions. The duration and severity of any pandemic, including the COVID-19 pandemic, could disrupt the global economy, adversely affect our capital and liquidity position, impair the ability of borrowers to repay outstanding loans and increase our allowance for credit losses, impair collateral values, and result in lost revenue or additional expenses.
•Any impairment of our goodwill or other intangibles, any repricing of assets, or any adjustment of valuation allowances on our deferred tax assets due to changes in tax law, adverse changes in the economic environment, declining operations of the reporting unit or other factors.
•The effect of new tax legislation and/or interpretation of existing tax law, which may impact our earnings, capital ratios, and our ability to return capital to shareholders.
•Possible changes in the creditworthiness of customers and the possible impairment of the collectability of loans and leases, including operating leases.
•Changes in the speed of loan prepayments, loan origination and sale volumes, charge-offs, credit loss provisions or actual credit losses where our allowance for credit losses may not be adequate to cover our eventual losses.
•Possible acceleration of prepayments on mortgage-backed securities due to low interest rates, and the related acceleration of premium amortization on those securities.
•Loss of customer checking and savings account deposits as customers pursue other, higher-yield investments, which could increase our funding costs.
•Possible changes in consumer and business spending and saving habits and the related effect on our ability to increase assets and to attract deposits, which could adversely affect our net income.
•Our ability to effectively compete with other traditional and non-traditional financial services companies, including fintechs, some of whom possess greater financial resources than we do or are subject to different regulatory standards than we are.
•Our inability to develop and gain acceptance from current and prospective customers for new products and services and the enhancement of existing products and services to meet customers’ needs and respond to emerging technological trends in a timely manner could have a negative impact on our revenue.
•Our inability to keep pace with technological changes, including those related to the offering of digital banking and financial services, could result in losing business to competitors.
•Changes in laws and regulations affecting our businesses, including legislation and regulations relating to bank products and services, as well as changes in the enforcement and interpretation of such laws and regulations by applicable governmental and self-regulatory agencies, including as a result of the changes in U.S. presidential administration, control of the U.S. Congress, and changes in personnel at the bank regulatory agencies, which could require us to change certain business practices, increase compliance risk, reduce our revenue, impose additional costs on us, or otherwise negatively affect our businesses.
•Our capital actions, including dividend payments, common stock repurchases, or redemptions of preferred stock, must not cause us to fall below minimum capital ratio requirements, with applicable buffers taken into account, and must comply with other requirements and restrictions under law or imposed by our regulators, which may impact our ability to return capital to shareholders.
•Our ability to comply with stress testing and capital planning requirements (as part of the CCAR process or otherwise) may continue to require a significant investment of our managerial resources due to the importance of such tests and requirements.
•Our ability to comply with applicable capital and liquidity requirements (including, among other things, the Basel III capital standards), including our ability to generate capital internally or raise capital on favorable terms, and if we fail to meet requirements, our financial condition and market perceptions of us could be negatively impacted.
•The effects of any developments, changes or actions relating to any litigation or regulatory proceedings brought against us or any of our subsidiaries.
•The costs, including possibly incurring fines, penalties, or other negative effects (including reputational harm) of any adverse judicial, administrative, or arbitral rulings or proceedings, regulatory enforcement actions, or other legal actions to which we or any of our subsidiaries are a party, and which may adversely affect our results.
•Our ability to manage fluctuations in the value of assets and liabilities and off-balance sheet exposure so as to maintain sufficient capital and liquidity to support our businesses.
•Our ability to execute on our strategic and operational plans, including our ability to fully realize the financial and nonfinancial benefits relating to our strategic initiatives.
•The risks and uncertainties related to our acquisition or divestiture of businesses, including our recently completed acquisitions of EnerBank, Sabal, and Clearsight, and risks related to such acquisitions, including that the expected synergies, cost savings and other financial or other benefits may not be realized within the expected timeframes, or might be less than projected; difficulties in integrating the businesses; and the inability of Regions to effectively cross-sell products following these acquisitions.
•The success of our marketing efforts in attracting and retaining customers.
•Our ability to recruit and retain talented and experienced personnel to assist in the development, management and operation of our products and services may be affected by changes in laws and regulations in effect from time to time.
•Fraud or misconduct by our customers, employees or business partners.
•Any inaccurate or incomplete information provided to us by our customers or counterparties.
•Inability of our framework to manage risks associated with our businesses, such as credit risk and operational risk, including third-party vendors and other service providers, which could, among other things, result in a breach of operating or security systems as a result of a cyber attack or similar act or failure to deliver our services effectively.
•Dependence on key suppliers or vendors to obtain equipment and other supplies for our businesses on acceptable terms.
•The inability of our internal controls and procedures to prevent, detect or mitigate any material errors or fraudulent acts.
•The effects of geopolitical instability, including wars, conflicts, civil unrest, and terrorist attacks and the potential impact, directly or indirectly, on our businesses.

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Regions Financial Corporation and Subsidiaries                                
Financial Supplement (unaudited) to Third Quarter 2022 Earnings Release
•The effects of man-made and natural disasters, including fires, floods, droughts, tornadoes, hurricanes, and environmental damage (specifically in the Southeastern United States), which may negatively affect our operations and/or our loan portfolios and increase our cost of conducting business. The severity and frequency of future earthquakes, fires, hurricanes, tornadoes, droughts, floods and other weather-related events are difficult to predict and may be exacerbated by global climate change.
•Changes in commodity market prices and conditions could adversely affect the cash flows of our borrowers operating in industries that are impacted by changes in commodity prices (including businesses indirectly impacted by commodities prices such as businesses that transport commodities or manufacture equipment used in the production of commodities), which could impair their ability to service any loans outstanding to them and/or reduce demand for loans in those industries.
•Our ability to identify and address cyber-security risks such as data security breaches, malware, ransomware, “denial of service” attacks, “hacking” and identity theft, including account take-overs, a failure of which could disrupt our businesses and result in the disclosure of and/or misuse or misappropriation of confidential or proprietary information, disruption or damage to our systems, increased costs, losses, or adverse effects to our reputation.
•Our ability to achieve our expense management initiatives.
•Market replacement of LIBOR and the related effect on our LIBOR-based financial products and contracts, including, but not limited to, derivative products, debt obligations, deposits, investments, and loans.
•Possible downgrades in our credit ratings or outlook could, among other negative impacts, increase the costs of funding from capital markets.
•The effects of problems encountered by other financial institutions that adversely affect us or the banking industry generally could require us to change certain business practices, reduce our revenue, impose additional costs on us, or otherwise negatively affect our businesses.
•The effects of the failure of any component of our business infrastructure provided by a third party could disrupt our businesses, result in the disclosure of and/or misuse of confidential information or proprietary information, increase our costs, negatively affect our reputation, and cause losses.
•Our ability to receive dividends from our subsidiaries, in particular Regions Bank, could affect our liquidity and ability to pay dividends to shareholders.
•Changes in accounting policies or procedures as may be required by the FASB or other regulatory agencies could materially affect our financial statements and how we report those results, and expectations and preliminary analyses relating to how such changes will affect our financial results could prove incorrect.
•Fluctuations in the price of our common stock and inability to complete stock repurchases in the time frame and/or on the terms anticipated.
•The effects of anti-takeover and exclusive forum laws and provision in our certificate of incorporation and bylaws.
•The effects of any damage to our reputation resulting from developments related to any of the items identified above.
•Other risks identified from time to time in reports that we file with the SEC.

The foregoing list of factors is not exhaustive. For discussion of these and other factors that may cause actual results to differ from expectations, look under the captions “Forward-Looking Statements” and “Risk Factors” of Regions’ Annual Report on Form 10-K for the year ended December 31, 2021 and the "Risk Factors" of Regions' Quarterly Report on Form 10-Q for the quarter ended June 30, 2022 as filed with the SEC.
Forward-looking statements are subject to the risk that the actual effects may differ, possibly materially, from what is reflected in those forward-looking statements due to factors and future developments that are uncertain, unpredictable and in many cases beyond our control, including the scope and duration of the COVID-19 pandemic (including the impact of additional variants and resurgences), the effectiveness, availability and acceptance of any vaccines or therapies, and the direct and indirect impact of the COVID-19 pandemic on our customers, third parties and us.
The words “future,” “anticipates,” “assumes,” “intends,” “plans,” “seeks,” “believes,” “predicts,” “potential,” “objectives,” “estimates,” “expects,” “targets,” “projects,” “outlook,” “forecast,” “would,” “will,” “may,” “might,” “could,” “should,” “can,” and similar terms and expressions often signify forward-looking statements. You should not place undue reliance on any forward-looking statements, which speak only as of the date made. Factors or events that could cause our actual results to differ may emerge from time to time, and it is not possible to predict all of them. We assume no obligation and do not intend to update or revise any forward-looking statements that are made from time to time, either as a result of future developments, new information or otherwise, except as may be required by law.
Regions’ Investor Relations contact is Dana Nolan at (205) 264-7040; Regions’ Media contact is Jeremy King at (205) 264-4551.

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