EX-99.1 2 secondquarter2022earning.htm EX-99.1
NEWS RELEASE For Immediate Release Contact: Deanna Hart Barbara Thompson July 28, 2022 Investor Relations Corporate Communications 919-716-2137 919-716-2716 FIRST CITIZENS BANCSHARES REPORTS SECOND QUARTER 2022 EARNINGS RALEIGH, N.C. -- First Citizens BancShares, Inc. (“BancShares”) (Nasdaq: FCNCA) reported earnings for the second quarter and year to date period ended June 30, 2022. Chairman and CEO, Frank B. Holding, Jr. on second quarter results, "We are pleased to announce another quarter of solid results. Our integration efforts remain on track, and we completed our first major customer conversion of the OneWest Bank division and certain CIT treasury management customers. Merger integration is now substantially complete with some optimization efforts continuing into 2023. In addition, we are excited to announce that our Board of Directors approved a share repurchase plan which will allow us to repurchase up to 1.5 million shares of our Class A common stock over the next 12 months. Returning excess capital to our shareholders is a key strategic focus and we are excited about the opportunity to execute on the plan. "Loan growth was strong this quarter, and pre-provision net revenue continued its momentum as our net interest margin expanded, our fee income producing lines of business performed well and expense control remained solid. We remain committed to achieving our cost savings goal as we continue to optimize our operations.” FINANCIAL HIGHLIGHTS Second quarter net income available to common stockholders was $238 million, or $14.86 per share, compared to first quarter net income available to common stockholders of $264 million or $16.70 per share. Adjusted for notable items, second quarter net income available to common stockholders was $270 million or $16.86, down from $299 million, or $18.95 per share in the first quarter of 2022. The primary driver of the decline in adjusted net income was a provision expense in the second quarter totaling $42 million versus a $49 million benefit in the first quarter. The increase in provision expense was largely offset by solid pre-provision net revenue growth. BancShares completed the acquisition of CIT Group, Inc. (“CIT”) on January 3, 2022 (the “CIT Merger”). BancShares’ financial information presented for the periods ended March 31, 2022 and June 30, 2022 reflects the acquisition of CIT. Certain historical financial information referenced as “Combined” in the commentary below reflects the combination of BancShares and CIT for historical periods prior to completion of the CIT Merger. For Combined financial information, refer to pages 8 through 12. For GAAP financial information, refer to pages 5 through 7. Certain financial results referenced as “Adjusted” in the commentary below excludes notable items, which are detailed on page 10. For Adjusted financial information, refer to page 11. The Combined and Adjusted financial information are non-GAAP measures. 2Q22 vs 1Q22: • Adjusted pre-provision net revenue increased by $60 million over the first quarter due to growth in net revenue as net interest margin expanded and fee income grew, while expenses declined. 1

• Net interest income increased by $51 million. Interest income increased $47 million due to higher interest income on loans, as earning asset yields rose, and we experienced strong loan growth. Interest expense declined by $4 million as an increase in interest expense on deposits was more than offset by a decline in interest on borrowings. • Net interest margin expanded from 2.73% to 3.04% due primarily to higher loan yields and balances, the impact of the $3 billion debt redemption in the first quarter and higher yields on investment securities and overnight investments, partially offset by higher deposit rates and lower SBA-PPP income. • Adjusted noninterest income increased by $3 million. The increase was primarily due to higher capital markets and wealth management revenue, partially offset by a decline in rental income on operating leases, net. • Adjusted noninterest expense decreased by $6 million primarily due to a decline in personnel expense. • Provision for credit losses, adjusted for the CECL Day 2 provision, increased by $91 million primarily due to changes in CECL macroeconomic forecasts and loan growth. • Total loans increased $2.2 billion or by 13.5% on an annualized basis. We experienced strong growth in our branch network and residential mortgage portfolio as well as in our commercial bank from a number of our industry verticals, middle market banking and business capital. • Deposits declined $2.3 billion or by 9.9% on an annualized basis. The main components of the decline were a $3.0 billion decline in interest-bearing deposits (money market deposits and time deposits) as we saw sensitive customers begin to move funds in response to recent rate increases. The reductions were primarily concentrated in acquired higher cost channels including the direct bank and legacy OneWest branches, offset by growth in our branch network. These declines in interest-bearing deposits were offset by growth in noninterest-bearing deposits of $747 million, or 11.6% annualized. 2Q22 vs 2Q21 (Combined): • Adjusted pre-provision net revenue increased by $114 million or 37.6% due to double digit percentage growth in net revenue as net interest margin expanded and fee income grew, while expenses increased at a modest pace. • Net interest income increased by $88 million. Interest income increased $24 million due to higher yields on investment securities and overnight investments, partially offset by reduced accretion income on acquired loans and SBA-PPP income. Interest expense declined $64 million driven primarily by lower borrowings. • Net interest margin improved from 2.56% to 3.04% due primarily to the impact of the $3 billion debt redemption in the first quarter, higher earning asset yields, partially offset by lower SBA-PPP income, lower accretion income and a reduction in loan balances. • Adjusted noninterest income increased by $37 million primarily due to higher rental income on operating leases, net and increases in wealth management income, service charges on deposits and card income. • Adjusted noninterest expense increased $11 million due to higher personnel costs, increased occupancy and equipment expense and higher third-party processing fees, partially offset by declines in professional fees and FDIC insurance expense. • Provision for credit losses increased by $136 million primarily due to changes in CECL macroeconomic forecasts, releases of COVID-related reserves in the second quarter of 2021 and loan growth. • Loans increased $1.3 billion or by 2.0%. Excluding the impact of SBA-PPP loans and purchase accounting adjustments, loans increased $2.8 billion or by 4.3%. Growth was attributable to the same factors as noted for the linked quarter above. • Deposits declined $367 million or by 0.4% compared to the prior year quarter. The decline was a result of a $2.5 billion reduction in interest-bearing deposits partially offset by a $2.1 billion increase in noninterest- bearing deposits. The changes are due to similar reasons as noted for the linked quarter. 2

EARNINGS CALL DETAILS BancShares will host a conference call to discuss the company's financial results on Thursday, July 28, 2022, at 9 a.m. Eastern time. To access this call, dial: Domestic: 1-844-200-6205 Canada: 1-833-950-0062 All other locations: + 1 929-526-1599 Access code: 158564 The second quarter 2022 earnings presentation and this news release are available on the company’s website at www.firstcitizens.com/investor-relations. After the conference call, you may access a replay of the call through August 18, 2022, by dialing 1-866-813-9403 (domestic), 1-226-828-7578 (Canada) or +44 204-525-0658 (all other locations) using the access code 908758. ABOUT FIRST CITIZENS BANCSHARES First Citizens BancShares, Inc. is the financial holding company for First Citizens Bank. In January 2022, First Citizens BancShares and CIT Group Inc. merged, creating one of the top 20 U.S. financial institutions, with over $100 billion in assets. First Citizens Bank helps personal, business, commercial and wealth clients build financial strength that lasts. As the largest family-controlled bank in the United States, First Citizens is continuing a unique legacy of strength, stability and long-term thinking that has spanned generations. Its commercial banking segment brings a wide array of best-in-class lending, leasing and banking services to middle-market companies and small businesses from coast to coast. Founded in 1898 and headquartered in Raleigh, N.C., First Citizens also operates a nationwide direct bank and a network of more than 550 branches in 22 states, many in high-growth markets. Visit firstcitizens.com. First Citizens Bank. Forever First® 3

FORWARD-LOOKING STATEMENTS This communication contains “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995 regarding the financial condition, results of operations, business plans and future performance of BancShares. Words such as “anticipates,” “believes,” “estimates,” “expects,” “predicts,” “forecasts,” “intends,” “plans,” “projects,” “targets,” “designed,” “could,” “may,” “should,” “will,” “potential,” “continue”, “aims” or other similar words and expressions are intended to identify these forward-looking statements. These forward-looking statements are based on BancShares’ current expectations and assumptions regarding BancShares’ business, the economy, and other future conditions. Because forward-looking statements relate to future results and occurrences, they are subject to inherent risks, uncertainties, changes in circumstances and other risk factors that are difficult to predict. Many possible events or factors could affect BancShares’ future financial results and performance and could cause the actual results, performance or achievements of BancShares to differ materially from any anticipated results expressed or implied by such forward-looking statements. Such risks and uncertainties include, among others, general competitive, economic, political, geopolitical events (including the military conflict between Russia and Ukraine) and market conditions, the impacts of the global COVID-19 pandemic on BancShares’ business and customers, the financial success or changing conditions or strategies of BancShares’ customers or vendors, fluctuations in interest rates, actions of government regulators, including the recent and projected interest rate hikes by the Board of Governors of the Federal Reserve Board (the “Federal Reserve”), the potential impact of decisions by the Federal Reserve on BancShares’ capital plans, adverse developments with respect to U.S. or global economic conditions, the impact of the current inflationary environment, the impact of implementation and compliance with current or proposed laws, regulations and regulatory interpretations, the availability of capital and personnel, and the failure to realize the anticipated benefits of BancShares’ previous acquisition transaction(s), including the recently completed transaction with CIT, which acquisition risks include (1) disruption from the transaction, or recently completed mergers, with customer, supplier or employee relationships, (2) the possibility that the amount of the costs, fees, expenses and charges related to the transaction may be greater than anticipated, including as a result of unexpected or unknown factors, events or liabilities, (3) reputational risk and the reaction of the parties’ customers to the transaction, (4) the risk that the cost savings and any revenue synergies from the transaction may not be realized or take longer than anticipated to be realized, and (5) difficulties experienced in the integration of the businesses. Except to the extent required by applicable laws or regulations, BancShares disclaims any obligation to update forward-looking statements or to publicly announce the results of any revisions to any of the forward-looking statements included herein to reflect future events or developments. Additional factors which could affect the forward-looking statements can be found in BancShares’ Annual Report on Form 10-K for the fiscal year ended December 31, 2021, and its other filings with the Securities and Exchange Commission (the “SEC”). SUPPLEMENTAL FINANCIAL TABLES The following section includes supplemental financial information and key performance metrics for current and historical periods. Certain measures in these tables, including the previously defined Combined and Adjusted financial information, are "Non-GAAP,“ meaning they are not presented in accordance with generally accepted accounting principles in the U.S. and also are not codified in U.S. banking regulations currently applicable to BancShares. BancShares believes that Non-GAAP financial measures, when reviewed in conjunction with GAAP financial information, can provide transparency about or an alternative means of assessing its operating results and financial position to its investors, analysts and management. The Non-GAAP measures are reconciled to the most comparable GAAP measure, in the Non-GAAP reconciliation table(s). 4

Dollars in millions, except per share data Summary Financial Data & Key Metrics (1) BancShares 2Q22 BancShares 1Q22 BancShares 2Q21 BancShares YTD22 BancShares YTD21 Key Performance Metrics: Diluted earnings per common share (EPS) $ 14.86 16.70 15.09 31.48 29.63 Diluted earnings per common share (EPS) - adjusted 16.86 18.95 13.63 35.67 26.99 Book value per common share 609.95 605.48 421.39 609.95 421.39 Tangible book value per common share (TBV) 578.92 574.09 383.19 578.92 383.19 Return on average assets (ROA) 0.95 % 1.00 % 1.13 % 0.97 % 1.14 % Return on average assets (ROA) - adjusted 1.07 % 1.12 % 1.02 % 1.10 % 1.04 % Return on average common equity (ROE) 9.87 % 11.18 % 14.64 % 10.51 % 14.67 % Return on average common equity (ROE) - adjusted 11.19 % 12.67 % 13.23 % 11.91 % 13.37 % Return on average tangible common equity (ROTCE) 10.40 % 11.83 % 16.14 % 11.11 % 16.21 % Return on average tangible common equity (ROTCE) - adjusted 11.80 % 13.41 % 14.58 % 12.58 % 14.76 % Efficiency ratio 57.55 % 61.57 % 64.61 % 59.50 % 63.98 % Net interest margin (NIM) 3.04 % 2.73 % 2.67 % 2.89 % 2.73 % Select Balance Sheet Items: Total investment securities $ 19,136 19,469 10,895 19,136 10,895 Total loans and leases 67,735 65,524 32,690 67,735 32,690 Total operating lease equipment, net 7,971 7,972 — 7,971 — Total deposits 89,329 91,597 48,410 89,329 48,410 Total borrowings 3,813 2,676 1,225 3,813 1,225 Loan to deposit ratio 75.83 % 71.54 % 67.53 % 75.83 % 67.53 % Noninterest-bearing deposits to total deposits 29.83 % 28.27 % 43.33 % 29.83 % 43.33 % Capital Ratios: (2) Total risk-based capital ratio 14.46 % 14.47 % 14.15 % 14.46 % 14.15 % Tier 1 risk-based capital ratio 12.37 % 12.39 % 12.13 % 12.37 % 12.13 % Common equity Tier 1 ratio 11.34 % 11.34 % 11.14 % 11.34 % 11.14 % Tier 1 leverage capital ratio 9.85 % 9.55 % 7.67 % 9.85 % 7.67 % Asset Quality: Nonaccrual loans to total loans and leases 0.76 % 0.82 % 0.57 % 0.76 % 0.57 % Allowance for credit losses (ACL) to loans and leases 1.26 % 1.29 % 0.58 % 1.26 % 0.58 % Net charge-off ratio 0.13 % 0.09 % 0.02 % 0.11 % 0.02 % (1) The financial information above is BancShares GAAP and Adjusted (non-GAAP) information. (2) Capital ratios for the current quarter are preliminary pending completion of quarterly regulatory filings. 5

Dollars in millions, except share and per share data Income Statement (unaudited) (1) 0 BancShares 2Q22 BancShares 1Q22 BancShares 2Q21 BancShares YTD22 BancShares YTD21 INTEREST INCOME Interest and fees on loans $ 655 621 324 1,276 647 Interest on investment securities 89 83 36 172 66 Interest on deposits at banks 13 6 2 19 4 Total interest income 757 710 362 1,467 717 INTEREST EXPENSE Deposits 42 39 8 81 17 Borrowings 15 22 8 37 14 Total interest expense 57 61 16 118 31 Net interest income 700 649 346 1,349 686 Provision (benefit) for credit losses 42 464 (20) 506 (31) Net interest income after provision for credit losses 658 185 366 843 717 NONINTEREST INCOME Rental income on operating leases 213 208 — 421 — Fee income and other service charges 39 35 10 74 21 Wealth management services 37 35 32 72 64 Service charges on deposit accounts 28 28 21 56 43 Factoring commissions 27 27 — 54 — Cardholder services, net 26 25 22 51 42 Merchant services, net 9 10 8 19 17 Insurance commissions 11 12 4 23 8 Realized gain on sales of investment securities available for sale, net — — 16 — 25 Fair value adjustment on marketable equity securities, net (6) 3 12 (3) 28 Bank-owned life insurance 9 8 — 17 1 Gain on sales of leasing equipment, net 5 6 — 11 — Gain on acquisition — 431 — 431 — Gain on extinguishment of debt — 6 — 6 — Other noninterest income 26 16 8 42 21 Total noninterest income 424 850 133 1,274 270 NONINTEREST EXPENSE Depreciation on operating lease equipment 89 81 — 170 — Maintenance and other operating lease expenses 47 43 — 90 — Salaries and benefits 341 352 188 693 372 Net occupancy expense 48 49 28 97 58 Equipment expense 54 52 29 106 59 Professional fees 15 16 4 31 8 Third-party processing fees 26 24 14 50 28 FDIC insurance expense 9 12 4 21 7 Marketing 9 8 2 17 4 Merger-related expenses 34 135 6 169 13 Intangible asset amortization 6 6 3 12 6 Other noninterest expense 67 32 22 99 42 Total noninterest expense 745 810 300 1,555 597 Income before income taxes 337 225 199 562 390 Income tax expense (benefit) 82 (46) 46 36 90 Net income $ 255 271 153 526 300 Preferred stock dividends 17 7 5 24 9 Net income available to common stockholders $ 238 264 148 502 291 Basic earnings per common share $ 14.87 16.70 15.09 31.52 29.63 Diluted earnings per common share $ 14.86 16.70 15.09 31.48 29.63 Weighted average common shares outstanding (basic) 16,023,613 15,779,153 9,816,405 15,918,978 9,816,405 Weighted average common shares outstanding (diluted) 16,035,090 15,779,153 9,816,405 15,937,826 9,816,405 (1) The financial information above is BancShares GAAP information. 6

Dollars in millions Balance Sheet (unaudited) (1) BancShares 2Q22 BancShares 1Q22 BancShares 2Q21 ASSETS Cash and due from banks $ 583 523 395 Interest-earning deposits at banks 6,476 9,285 7,871 Securities purchased under agreements to resell — — — Investment in marketable equity securities 94 100 119 Investment securities available for sale 9,210 9,295 7,381 Investment securities held to maturity 9,832 10,074 3,395 Assets held for sale 38 83 108 Loans and leases 67,735 65,524 32,690 Allowance for credit losses (850) (848) (189) Loans and leases, net of allowance for credit losses 66,885 64,676 32,501 Operating lease equipment, net 7,971 7,972 — Premises and equipment, net 1,415 1,431 1,238 Bank-owned life insurance 1,334 1,326 115 Goodwill 346 346 350 Other intangible assets 150 156 25 Other assets 3,339 3,330 1,677 Total assets $ 107,673 108,597 55,175 LIABILITIES Deposits Noninterest-bearing $ 26,645 25,898 20,974 Interest-bearing 62,684 65,699 27,436 Total deposits 89,329 91,597 48,410 Credit balances of factoring clients 1,070 1,150 — Securities sold under customer repurchase agreements 646 616 693 Federal Home Loan Bank borrowings 1,785 639 647 Senior unsecured borrowings 892 895 — Subordinated debt 1,055 1,058 497 Other borrowings 81 84 81 Other liabilities 2,173 1,988 370 Total liabilities $ 97,031 98,027 50,698 STOCKHOLDERS' EQUITY Preferred stock 881 881 340 Common Stock: Class A 15 15 9 Class B 1 1 1 Additional paid in capital 5,345 5,344 — Retained earnings 4,865 4,634 4,149 Accumulated other comprehensive (loss) (465) (305) (22) Total stockholders’ equity 10,642 10,570 4,477 Total liabilities and stockholders’ equity $ 107,673 108,597 55,175 (1) The financial information above is BancShares GAAP information. 7

Dollars in millions, except per share data Summary Financial Data & Key Metrics BancShares 2Q22 BancShares 1Q22 Combined (1) 2Q21 BancShares YTD22 Combined (1) YTD21 Key Performance Metrics: Diluted earnings per common share (EPS) $ 14.86 16.70 15.09 31.48 29.63 Diluted earnings per common share (EPS) - adjusted 16.86 18.95 13.63 35.67 26.99 Book value per common share 609.95 605.48 421.39 609.95 421.39 Tangible book value per common share (TBV) 578.92 574.09 383.19 578.92 383.19 Return on average assets (ROA) 0.95 % 1.00 % 1.13 % 0.97 % 1.14 % Return on average assets (ROA) - adjusted 1.07 % 1.12 % 1.02 % 1.10 % 1.04 % Return on average common equity (ROE) 9.87 % 11.18 % 14.64 % 10.51 % 14.67 % Return on average common equity (ROE) - adjusted 11.19 % 12.67 % 13.23 % 11.91 % 13.37 % Return on average tangible common equity (ROTCE) 10.40 % 11.83 % 16.14 % 11.11 % 16.21 % Return on average tangible common equity (ROTCE) - adjusted 11.80 % 13.41 % 14.58 % 12.58 % 14.76 % Efficiency ratio 57.55 % 61.57 % 64.73 % 59.50 % 64.17 % Net interest margin (NIM) 3.04 % 2.73 % 2.56 % 2.89 % 2.58 % Select Balance Sheet Items: Total investment securities $ 19,136 19,469 16,129 19,136 16,129 Total loans and leases 67,735 65,524 66,401 67,735 66,401 Total operating lease equipment, net 7,971 7,972 7,782 7,971 7,782 Total deposits 89,329 91,597 89,696 89,329 89,696 Total borrowings 3,813 2,676 5,469 3,813 5,469 Loan to deposit ratio 75.83 % 71.54 % 74.03 % 75.83 % 74.03 % Noninterest-bearing deposits to total deposits 29.83 % 28.27 % 27.32 % 29.83 % 27.32 % Capital Ratios: (2) Total risk-based capital ratio 14.46 % 14.47 % 14.15 % 14.46 % 14.15 % Tier 1 risk-based capital ratio 12.37 % 12.39 % 12.13 % 12.37 % 12.13 % Common equity Tier 1 ratio 11.34 % 11.34 % 11.14 % 11.34 % 11.14 % Tier 1 leverage capital ratio 9.85 % 9.55 % 7.67 % 9.85 % 7.67 % Asset Quality: Nonaccrual loans to total loans and leases 0.76 % 0.82 % 1.11 % 0.76 % 1.11 % Allowance for credit losses (ACL) to loans and leases 1.26 % 1.29 % 1.57 % 1.26 % 1.57 % Net charge-off ratio 0.13 % 0.09 % 0.16 % 0.11 % 0.12 % (1) EPS, book value per common shares, TBV per common share, ROA, ROE, ROTCE and all capital ratios for the quarter-to-date and year-to-date periods ending June 30, 2021 are based on historical BancShares financial information, which excludes CIT. (2) Capital ratios for the current quarter are preliminary pending completion of quarterly regulatory filings. 8

Dollars in millions, except share and per share data Income Statement (unaudited) 0 BancShares 2Q22 BancShares 1Q22 Combined (1) 2Q21 BancShares YTD22 Combined (1) YTD21 INTEREST INCOME Interest and fees on loans $ 655 621 680 1,276 1,367 Interest on investment securities 89 83 51 172 102 Interest on deposits at banks 13 6 2 19 6 Total interest income 757 710 733 1,467 1,475 INTEREST EXPENSE Deposits 42 39 59 81 130 Borrowings 15 22 62 37 127 Total interest expense 57 61 121 118 257 Net interest income 700 649 612 1,349 1,218 Provision (benefit) for credit losses 42 464 (94) 506 (224) Net interest income after provision for credit losses 658 185 706 843 1,442 NONINTEREST INCOME Rental income on operating leases 213 208 188 421 383 Fee income and other service charges 39 35 39 74 73 Wealth management services 37 35 32 72 64 Service charges on deposit accounts 28 28 23 56 46 Factoring commissions 27 27 27 54 51 Cardholder services, net 26 25 23 51 43 Merchant services, net 9 10 9 19 18 Insurance commissions 11 12 10 23 19 Realized gain on sales of investment securities available for sale, net — — 19 — 133 Fair value adjustment on marketable equity securities, net (6) 3 12 (3) 28 Bank-owned life insurance 9 8 9 17 18 Gain on sales of leasing equipment, net 5 6 29 11 57 Gain on acquisition — 431 — 431 — Gain on extinguishment of debt — 6 — 6 — Other noninterest income 26 16 63 42 112 Total noninterest income 424 850 483 1,274 1,045 NONINTEREST EXPENSE Depreciation on operating lease equipment 89 81 83 170 168 Maintenance and other operating lease expenses 47 43 54 90 106 Salaries and benefits 341 352 330 693 670 Net occupancy expense 48 49 46 97 94 Equipment expense 54 52 51 106 104 Professional fees 15 16 19 31 30 Third-party processing fees 26 24 22 50 43 FDIC insurance expense 9 12 13 21 26 Marketing 9 8 8 17 13 Merger-related expenses 34 135 6 169 18 Intangible asset amortization 6 6 11 12 23 Other noninterest expense 67 32 48 99 104 Total noninterest expense 745 810 691 1,555 1,399 Income before income taxes 337 225 498 562 1,088 Income tax expense (benefit) 82 (46) 118 36 258 Net income $ 255 271 380 526 830 Preferred stock dividends 17 7 17 24 24 Net income available to common stockholders $ 238 264 363 502 806 (1) Combined financial information for the three and six month periods ending June 30, 2021 reflect historical BancShares and CIT information on a combined basis. Please see “Income Statement - Combined June 30, 2021” below for a reconciliation of these amounts to the most comparable GAAP amounts for such periods. 9

Dollars in millions, except share and per share data Notable Items (1) BancShares 2Q22 BancShares 1Q22 Combined (2) 2Q21 BancShares YTD22 Combined (2) YTD21 NONINTEREST INCOME Rental income on operating leases, net (2) $ (136) (124) (137) (260) (274) Realized gain on sales of investment securities available for sale, net — — (19) — (133) Fair value adjustment on marketable equity securities, net 6 (3) (12) 3 (28) Gain on sales of leasing equipment, net (5) (6) (29) (11) (57) Gain on acquisition — (431) — (431) — Gain on extinguishment of debt — (6) — (6) — Gain on sales of legacy consumer mortgage loans — — (33) — (56) Gain on other loan and asset sales (6) — (8) (6) (8) Noninterest income - total adjustments $ (141) (570) (238) (711) (555) NONINTEREST EXPENSE Depreciation on operating lease equipment (3) (89) (81) (83) (170) (168) Maintenance and other operating lease equipment expense (3) (47) (43) (54) (90) (106) Merger-related expenses (34) (135) (6) (169) (18) Intangible asset amortization (6) (6) (11) (12) (23) Employee benefits-related expense (4) — 27 8 27 8 Other noninterest expense (5) (3) — 10 (3) 5 Noninterest expense - total adjustments $ (179) (238) (136) (417) (302) CECL Day 2 provision and reserve for unfunded commitments — (513) — (513) — Provision for credit losses - total adjustments $ — (513) — (513) — Impact of notable items on pre-tax income $ 38 181 (102) 219 (253) Income tax impact 6 146 (24) 152 (60) Impact of notable items on net income $ 32 35 (78) 67 (193) Impact of notable items on basic and diluted EPS 2.00 2.25 N/A 4.19 N/A (1) The notable items above reconcile the GAAP items (with the exception of quarter-to-date and year-to-date periods ending June 30, 2021 which reflect the historical results of BancShares and CIT on a combined basis) to the non-GAAP items. (2) Combined financial information for the three and six month periods ending June 30, 2021 reflect historical BancShares and CIT information on a combined basis. The combined financial information is non-GAAP. (3) Rental income on operating leases is net of depreciation and maintenance expense. (4) A portion of the adjustment for employee benefits-related expenses is included in salaries and benefits and the remainder is included in other noninterest expense. (5) In 2021, other expense includes a reserve release related to the prior sale of certain mortgage loans and the establishment of a litigation reserve. 10

Dollars in millions, except share and per share data Condensed Income Statement (unaudited) - Adjusted for Notable Items (1) 0 BancShares 2Q22 BancShares 1Q22 Combined (2) 2Q21 BancShares YTD22 Combined (2) YTD21 Interest income $ 757 710 733 1,467 1,475 Interest expense 57 61 121 118 257 Net interest income 700 649 612 1,349 1,218 Provision (benefit) for credit losses 42 (49) (94) (7) (224) Net interest income after provision for credit losses 658 698 706 1,356 1,442 Noninterest income 283 280 246 563 491 Noninterest expense 566 572 555 1,138 1,097 Income before income taxes 375 406 397 781 836 Income tax expense 88 100 94 188 198 Net income $ 287 306 303 593 638 Preferred stock dividends 17 7 17 24 24 Net income available to common stockholders $ 270 299 286 569 614 Basic earnings per common share (3) $ 16.87 18.95 13.63 35.71 26.99 Diluted earnings per common share (3) $ 16.86 18.95 13.63 35.67 26.99 Weighted average common shares outstanding (basic) (3) 16,023,613 15,779,153 9,816,405 15,918,978 9,816,405 Weighted average common shares outstanding (diluted) (3) 16,035,090 15,779,153 9,816,405 15,937,826 9,816,405 (1) The GAAP income statements are included previously in these materials. The adjusted income statements above reflect non-GAAP items (including core adjusted noninterest income and expense) as the impacts of the notable items are excluded. The notable items included previously in this release reconcile the GAAP items (with the exception of quarter-to-date and year-to-date periods ending June 30, 2021 which reflect the historical results of BancShares and CIT on a combined basis) to the non-GAAP items. (2) Combined financial information for the three and six month periods ending June 30, 2021 reflect historical BancShares and CIT information on a combined basis. The combined financial information is non-GAAP. Please see “Income Statement - Combined June 30, 2021” below for a reconciliation of these amounts to the most comparable GAAP amounts for such periods. (3) Per share and share data for the three and six month periods ending June 30, 2021 reflect historical BancShares financial information, which excludes CIT. 11

Dollars in millions Balance Sheet (unaudited) BancShares 2Q22 BancShares 1Q22 Combined (1) 2Q21 ASSETS Cash and due from banks $ 583 523 542 Interest-earning deposits at banks 6,476 9,285 13,006 Securities purchased under agreements to resell — — 150 Investment in marketable equity securities 94 100 119 Investment securities available for sale 9,210 9,295 12,463 Investment securities held to maturity 9,832 10,074 3,397 Assets held for sale 38 83 159 Loans and leases 67,735 65,524 66,401 Allowance for credit losses (850) (848) (1,040) Loans and leases, net of allowance for credit losses 66,885 64,676 65,361 Operating lease equipment, net 7,971 7,972 7,782 Premises and equipment, net 1,415 1,431 1,423 Bank-owned life insurance 1,334 1,326 1,301 Goodwill 346 346 350 Other intangible assets 150 156 143 Other assets 3,339 3,330 3,683 Total assets $ 107,673 108,597 109,879 LIABILITIES Deposits Noninterest-bearing $ 26,645 25,898 24,505 Interest-bearing 62,684 65,699 65,191 Total deposits 89,329 91,597 89,696 Credit balances of factoring clients 1,070 1,150 1,531 Securities sold under customer repurchase agreements 646 616 693 Federal Home Loan Bank borrowings 1,785 639 647 Senior unsecured borrowings 892 895 3,739 Subordinated debt 1,055 1,058 992 Other borrowings 81 84 91 Other liabilities 2,173 1,988 1,977 Total liabilities $ 97,031 98,027 99,366 STOCKHOLDERS' EQUITY Preferred stock 881 881 865 Common Stock: 2 Class A 15 15 9 Class B 1 1 1 Additional paid in capital 5,345 5,344 3,751 Retained earnings 4,865 4,634 6,023 Accumulated other comprehensive (loss) (465) (305) (138) Total stockholders’ equity 10,642 10,570 10,513 Total liabilities and stockholders’ equity $ 107,673 108,597 109,879 (1) Combined financial information as of June 30, 2021 reflect historical BancShares and CIT information on a combined basis. The combined financial information is non-GAAP. Please see “Balance Sheet - Combined as of June 30, 2021” below for a reconciliation of these amounts to the most comparable GAAP amounts. 12

Dollars in millions Loans & Leases by Class (end of period) BancShares 2Q22 BancShares 1Q22 Combined 2Q21 Loans & Leases by Class Commercial Commercial construction $ 2,783 2,633 2,649 Owner-occupied commercial mortgages 13,795 13,553 13,121 Non-owner-occupied commercial mortgages 9,167 9,293 9,948 Commercial and industrial 23,554 22,402 22,752 Leases 2,178 2,220 2,424 Total commercial $ 51,477 50,101 50,894 Consumer Residential mortgage $ 12,441 11,711 11,635 Revolving mortgage 1,893 1,840 1,981 Consumer auto 1,338 1,320 1,288 Consumer other 586 552 604 Total consumer $ 16,258 15,423 15,507 Total loans and leases $ 67,735 65,524 66,401 Less: Allowance for credit losses (850) 848 (1,040) Total loans and leases, net of allowance for credit losses $ 66,885 64,676 65,361 Deposits by Type (end of period) BancShares 2Q22 BancShares 1Q22 Combined 2Q21 Demand $ 26,645 25,898 $ 24,505 Checking with interest 16,285 16,702 14,733 Money market 24,699 26,249 25,239 Savings 13,319 13,506 14,334 Time 8,381 9,242 10,885 Total deposits $ 89,329 91,597 $ 89,696 13

Dollars in millions Credit Quality & Allowance BancShares 2Q22 BancShares 1Q22 Combined 2Q21 BancShares YTD22 Combined YTD21 Nonaccrual loans $ 513 538 736 513 736 Ratio of nonaccrual loans to total loans 0.76 % 0.82 % 1.11 % 0.76 % 1.11 % Charge-offs $ (41) (33) (55) (74) (92) Recoveries 19 18 29 37 52 Net charge-offs $ (22) (15) (26) (37) (40) Net charge-off ratio 0.13 % 0.09 % 0.16 % 0.11 % 0.12 % Allowance for credit losses to loans ratio 1.26 % 1.29 % 1.57 % 1.26 % 1.57 % Allowance for credit losses - beginning $ 848 178 1,153 178 1,288 Initial PCD allowance (12) 284 — 272 — Initial Non-PCD allowance — 454 — 454 — Provision (benefit) for credit losses 36 (53) (87) (17) (208) Net charge-offs (22) (15) (26) (37) (40) Allowance for credit losses - ending $ 850 848 1,040 850 1,040 14

Dollars in millions Average Balance Sheet BancShares 2Q22 BancShares 1Q22 Combined 2Q21 Avg Balance Income/ Expense Yield/ Rate Avg Balance Income/ Expense Yield/ Rate Avg Balance Income/ Expense Yield/ Rate Loans and leases $ 65,298 $ 655 4.01 % $ 64,144 $ 621 3.88 % $ 66,393 $ 680 4.08 % Investment securities 19,185 89 1.85 % 19,492 83 1.71 % 15,471 51 1.28 % Interest-earning deposits at banks 7,630 13 0.72 % 11,476 6 0.19 % 13,402 2 0.11 % Total interest-earning assets $ 92,113 $ 757 3.28 % $ 95,112 $ 710 2.99 % $ 95,266 $ 733 3.07 % Interest-bearing deposits $ 64,070 $ 42 0.26 % $ 66,258 $ 39 0.24 % $ 65,287 $ 59 0.37 % Securities sold under customer repurchase agreements 627 — 0.16 % 600 — 0.16 % 677 1 0.21 % Borrowings 2,419 15 2.43 % 4,506 22 1.95 % 6,060 61 4.03 % Total interest-bearing liabilities $ 67,116 $ 57 0.34 % $ 71,364 $ 61 0.35 % $ 72,024 $ 121 0.67 % Net interest income $ 700 $ 649 $ 612 Net interest spread 2.94 % 2.64 % 2.39 % Net interest margin 3.04 % 2.73 % 2.56 % Average Balance Sheet BancShares YTD22 Combined YTD21 Avg Balance Income/ Expense Yield/ Rate Avg Balance Income/ Expense Yield/ Rate Loans and leases $ 64,724 $ 1,276 3.96 % $ 67,032 $ 1,367 4.09 % Investment securities 19,338 172 1.78 % 15,554 102 1.30 % Interest-earning deposits at banks 9,542 19 0.40 % 11,962 6 0.11 % Total interest-earning assets $ 93,604 $ 1,467 3.14 % $ 94,548 $ 1,475 3.12 % Interest-bearing deposits $ 65,158 $ 81 0.25 % $ 65,305 $ 130 0.40 % Securities sold under customer repurchase agreements 614 — 0.16 % 659 1 0.21 % Borrowings 3,457 37 2.12 % 6,373 126 3.94 % Total interest-bearing liabilities $ 69,229 $ 118 0.34 % $ 72,337 $ 257 0.71 % Net interest income $ 1,349 $ 1,218 Net interest spread 2.80 % 2.41 % Net interest margin 2.89 % 2.58 % 15

Dollars in millions, except per share data Non-GAAP Reconciliations BancShares 2Q22 BancShares 1Q22 Combined (2) 2Q21 BancShares YTD22 Combined (2) YTD21 Reconciliations from GAAP to Adjusted (1) Net income available to common stockholders (GAAP) $ 238 264 363 502 806 Tax-effected notable items 32 35 (77) 67 (192) Adjusted net income available to common stockholders (non-GAAP) $ 270 299 286 569 614 Basic EPS (GAAP) (2) $ 14.87 16.70 15.09 31.52 29.63 Tax-effected notable items 2.00 2.25 (1.46) 4.19 (2.64) Basic EPS- adjusted (non-GAAP) (2) 16.87 18.95 13.63 35.71 26.99 Diluted EPS (GAAP) (2) $ 14.86 16.70 15.09 31.48 29.63 Tax-effected notable items 2.00 2.25 (1.46) 4.19 (2.64) Diluted EPS- adjusted (non-GAAP) (2) 16.86 18.95 13.63 35.67 26.99 ROA (GAAP) 0.95 % 1.00 % 1.13 % 0.97 % 1.14 % Tax-effected notable items 0.12 % 0.12 % (0.11) % 0.13 % (0.10) % ROA- adjusted (non-GAAP) 1.07 % 1.12 % 1.02 % 1.10 % 1.04 % ROE (GAAP) (2) (3) 9.87 % 11.18 % 14.64 % 10.51 % 14.67 % Tax-effected notable items 1.32 % 1.49 % (1.41) % 1.40 % (1.30) % ROE- adjusted (non-GAAP) (2) (3) 11.19 % 12.67 % 13.23 % 11.91 % 13.37 % ROTCE (2) (3) 10.40 % 11.83 % 16.14 % 11.11 % 16.21 % Tax-effected notable items 1.40 % 1.58 % (1.56) % 1.47 % (1.45) % ROTCE- adjusted (non-GAAP measure) (2) (3) 11.80 % 13.41 % 14.58 % 12.58 % 14.76 % Provision (benefit) for credit losses $ 42 464 (94) 506 (224) Day 2 provision related to CIT Merger — (513) — (513) — Provision (benefit) for credit losses- adjusted $ 42 (49) (94) (7) (224) (1) The GAAP income statements, adjusted condensed income statements (which reflect non-GAAP results including adjusted noninterest income and expense), and the individual notable items, which reconcile GAAP (with the exception of quarter-to-date and year-to-date periods ending June 30, 2021, which reflect the historical results of BancShares and CIT on a combined basis) to non-GAAP items are included previously in this release. The notable items in the table above represent the aggregate impacts of all of the notable items. (2) Basic and diluted EPS, ROE, and ROTCE for the quarter-to-date and year-to-date periods ending June 30, 2021 are based on historical FCB financial information, which excludes CIT. All other information for such periods is based on the combined balance sheets and historical results of BancShares and CIT. See "Balance Sheet - Combined as of June 30, 2021" and "Income Statement - Combined June 30, 2021" below for more information. (3) ROE and ROTCE are calculated based on common equity, which excludes preferred stock. 16

Dollars in millions, except per share data Non-GAAP Reconciliations BancShares 2Q22 BancShares 1Q22 Combined (1) 2Q21 BancShares YTD22 Combined (1) YTD21 Pre-tax, pre-provision net revenue Net income (GAAP) $ 255 271 380 526 830 Provision (benefit) for credit losses 42 464 (94) 506 (224) Income tax expense (benefit) 82 (46) 118 36 258 Pre-tax, pre-provision net revenue (PPNR) (non-GAAP) $ 379 689 404 1,068 864 ROTCE ROE (1) (GAAP) 9.87 % 11.18 % 14.64 % 10.51 % 14.67 % Exclusion of goodwill and other intangible assets 0.53 % 0.65 % 1.50 % 0.60 % 1.54 % ROTCE (1) (non-GAAP) 10.40 % 11.83 % 16.14 % 11.11 % 16.21 % TBV per common share Book value per common share (1) (GAAP) $ 609.95 605.48 421.39 609.95 421.39 Exclusion of goodwill and other intangible assets (31.03) (31.39) (38.20) (31.03) (38.20) TBV per common share (1) (non-GAAP) $ 578.92 574.09 383.19 578.92 383.19 Efficiency Ratio Net interest income (GAAP) $ 700 649 612 1,349 1,218 Adjusted noninterest income (non-GAAP) 283 280 246 563 491 Total efficiency revenue $ 983 929 858 1,912 1,709 Adjusted noninterest expense (non-GAAP) $ 566 572 555 1,138 1,097 Efficiency ratio (non-GAAP) 57.55 % 61.57 % 64.73 % 59.50 % 64.17 % Average Interest-earning Assets and Net Interest Margin Average interest-earning assets (GAAP) $ 92,113 95,112 95,266 93,604 94,548 Less: credit balances for factoring clients 1,189 1,160 1,586 1,175 1,607 Adjusted average interest earning assets (non-GAAP) $ 90,924 93,952 93,680 92,429 92,941 Net interest margin (non-GAAP) 3.04 % 2.73 % 2.56 % 2.89 % 2.58 % (1) ROE, ROTCE, book value per common share, and TBV per common share are calculated based on common equity, which excludes preferred stock. ROE, ROTCE, book value per common share, and TBV per common share for the quarter-to-date and year-to-date periods ending June 30, 2021 are based on historical FCB financial information which excludes CIT. All other information for such periods is based on the combined balance sheets and historical results of BancShares and CIT. See "Balance Sheet - Combined as of June 30, 2021" and "Income Statement - Combined June 30, 2021" below for more information. 17

Dollars in millions, except share and per share data Income Statement- Combined June 30, 2021 0 BancShares QTD CIT QTD Combined QTD (1) BancShares YTD CIT YTD Combined YTD (1) INTEREST INCOME Interest and fees on loans $ 324 356 680 647 720 1,367 Interest on investment securities 36 15 51 66 36 102 Interest on deposits at banks 2 — 2 4 2 6 Total interest income 362 371 733 717 758 1,475 INTEREST EXPENSE Deposits 8 51 59 17 113 130 Borrowings 8 54 62 14 113 127 Total interest expense 16 105 121 31 226 257 Net interest income 346 266 612 686 532 1,218 Provision (benefit) for credit losses (20) (74) (94) (31) (193) (224) Net interest income after provision for credit losses 366 340 706 717 725 1,442 NONINTEREST INCOME Rental income on operating leases — 188 188 — 383 383 Fee income and other service charges 10 29 39 21 52 73 Wealth management services 32 — 32 64 — 64 Service charges on deposit accounts 21 2 23 43 3 46 Factoring commissions — 27 27 — 51 51 Cardholder services, net 22 1 23 42 1 43 Merchant services, net 8 1 9 17 1 18 Insurance commissions 4 6 10 8 11 19 Realized gain on sales of investment securities available for sale, net 16 3 19 25 108 133 Fair value adjustment on marketable equity securities, net 12 — 12 28 — 28 Bank-owned life insurance — 9 9 1 17 18 Gain on sales of leasing equipment, net — 29 29 — 57 57 Other noninterest income 8 55 63 21 91 112 Total noninterest income 133 350 483 270 775 1,045 NONINTEREST EXPENSE Depreciation on operating lease equipment — 83 83 — 168 168 Maintenance and other operating lease expenses — 54 54 — 106 106 Salaries and benefits 188 142 330 372 298 670 Net occupancy expense 28 18 46 58 36 94 Equipment expense 29 22 51 59 45 104 Professional fees 4 15 19 8 22 30 Third-party processing fees 14 8 22 28 15 43 FDIC insurance expense 4 9 13 7 19 26 Marketing 2 6 8 4 9 13 Merger-related expenses 6 — 6 13 5 18 Intangible asset amortization 3 8 11 6 17 23 Other noninterest expense 22 26 48 42 62 104 Total noninterest expense 300 391 691 597 802 1,399 Income before income taxes 199 299 498 390 698 1,088 Income tax expense (benefit) 46 72 118 90 168 258 Net income $ 153 227 380 300 530 830 Preferred stock dividends 5 12 17 9 15 24 Net income available to common stockholders $ 148 215 363 291 515 806 Basic earnings per common share $ 15.09 N/A N/A 29.63 N/A N/A Diluted earnings per common share $ 15.09 N/A N/A 29.63 N/A N/A Weighted average common shares outstanding (basic) 9,816,405 N/A N/A 9,816,405 N/A N/A Weighted average common shares outstanding (diluted) 9,816,405 N/A N/A 9,816,405 N/A N/A (1) The income statements for the quarter-to-date and year-to-date periods ending June 30, 2021 reflect the historical results of BancShares and CIT on a combined basis to facilitate more meaningful comparisons to historical periods prior to the CIT Merger. The table reconciles BancShares’ historical results (GAAP) to the combined results (non-GAAP). The combined historical information is presented as reported by each company without adjustment for the acquisition method of accounting and is intended for comparative purposes only. Such combined historical information is not necessarily indicative of the results that might have occurred had the CIT Merger taken place as of the beginning of the applicable period presented nor is it indicative of results to be expected in any future period. 18

Dollars in millions, except share and per share data Adjusted Income Statement- Combined June 30, 2021 0 BancShares QTD CIT QTD Combined QTD (1) BancShares YTD CIT YTD Combined YTD (1) Interest income $ 362 371 733 717 758 1,475 Interest expense 16 105 121 31 226 257 Net interest income 346 266 612 686 532 1,218 Provision (benefit) for credit losses (20) (74) (94) (31) (193) (224) Net interest income after provision for credit losses 366 340 706 717 725 1,442 Noninterest income 106 140 246 218 273 491 Noninterest expense 291 264 555 578 519 1,097 Income before income taxes 181 216 397 357 479 836 Income tax expense (benefit) 41 53 94 82 116 198 Net income $ 140 163 303 275 363 638 Preferred stock dividends 5 12 17 9 15 24 Net income available to common stockholders $ 135 151 286 266 348 614 Basic earnings per common share $ 13.63 N/A N/A 26.99 N/A N/A Diluted earnings per common share $ 13.63 N/A N/A 26.99 N/A N/A Weighted average common shares outstanding (basic) 9,816,405 N/A N/A 9,816,405 N/A N/A Weighted average common shares outstanding (diluted) 9,816,405 N/A N/A 9,816,405 N/A N/A (1) The adjusted income statements for the quarter-to-date and year-to-date periods ending June 30, 2021 reflect the historical results of BancShares and CIT on a combined basis to facilitate more meaningful comparisons to historical periods prior to the CIT Merger. The table above reconciles BancShares’ historical adjusted results to the combined results.The combined historical information is presented as reported by each company without adjustment for the acquisition method of accounting and is intended for comparative purposes only. Such combined historical information is not necessarily indicative of the results that might have occurred had the CIT Merger taken place as of the beginning of the applicable period presented nor is it indicative of results to be expected in any future period. 19

Dollars in millions Balance Sheet- Combined as of June 30, 2021 BancShares 2Q21 CIT 2Q21 Combined (1) 2Q21 ASSETS Cash and due from banks $ 395 147 542 Interest-earning deposits at banks 7,871 5,135 13,006 Securities purchased under agreements to resell — 150 150 Investments in marketable equity securities 119 — 119 Investment securities available for sale 7,381 5,082 12,463 Investment securities held to maturity 3,395 2 3,397 Assets held for sale 108 51 159 Loans and leases 32,690 33,711 66,401 Allowance for credit losses (189) (851) (1,040) Loans and leases, net of allowance for credit losses 32,501 32,860 65,361 Operating lease equipment, net — 7,782 7,782 Premises and equipment, net 1,238 185 1,423 Bank-owned life insurance 115 1,186 1,301 Goodwill 350 — 350 Other intangible assets 25 118 143 Other assets 1,677 2,006 3,683 Total assets $ 55,175 54,704 109,879 LIABILITIES Deposits Noninterest-bearing $ 20,974 3,531 24,505 Interest-bearing 27,436 37,755 65,191 Total deposits 48,410 41,286 89,696 Credit balances of factoring clients — 1,531 1,531 Securities sold under customer repurchase agreements 693 — 693 Federal Home Loan Bank borrowings 647 — 647 Senior unsecured borrowings — 3,739 3,739 Subordinated debt 497 495 992 Other borrowings 81 10 91 Other liabilities 370 1,607 1,977 Total liabilities $ 50,698 48,668 99,366 STOCKHOLDERS' EQUITY Preferred stock 340 525 865 Common Stock: — 2 2 Class A 9 — 9 Class B 1 — 1 Additional paid in capital — 3,751 3,751 Retained earnings 4,149 1,874 6,023 Accumulated other comprehensive (loss) (22) (116) (138) Total stockholders’ equity 4,477 6,036 10,513 Total liabilities and stockholders’ equity $ 55,175 54,704 109,879 (1) The balance sheet as of June 30, 2021 reflects the historical balance sheets of BancShares and CIT on a combined basis to facilitate more meaningful comparisons to historical periods prior to the CIT Merger. The table above reconciles BancShares’ historical balance sheet (GAAP) to the combined balance sheet (non-GAAP). The combined historical information is presented as reported by each company without adjustment for the acquisition method of accounting and is intended for comparative purposes only. Such combined historical information is not necessarily indicative of the results that might have occurred had the CIT Merger taken place as of the beginning of the applicable period presented nor is it indicative of results to be expected in any future period. 20