EX-99.1 2 a1q2022earningsrelease.htm EX-99.1

First Horizon Corporation Reports First Quarter 2022 Net Income Available to Common Shareholders of
$187 Million, or EPS of $0.34; $211 Million, or $0.38, on an Adjusted basis*
ROTCE of 13.0% and Adjusted ROTCE of 14.7% with tangible book value per share of $10.46*
MEMPHIS, TN (April 19, 2022) – First Horizon Corporation (NYSE: FHN or “First Horizon”) today reported first quarter 2022 net income available to common shareholders ("NIAC") of $187 million, or earnings per share of $0.34, compared with fourth quarter 2021 NIAC of $219 million, or earnings per share of $0.40.
First quarter 2022 results were reduced by a net $24 million after-tax, or $0.04 per share, of notable items compared with a net $41 million, or $0.08 per share, in fourth quarter 2021. Excluding notable items, adjusted first quarter 2022 NIAC of $211 million, or $0.38 per share, decreased from $260 million, or $0.48 per share in fourth quarter of 2021. The decrease was led by a $0.04 per share reduction tied to lower provision credit.
"Our underlying results this quarter reflect the tremendous opportunities and momentum inherent in our higher-growth markets with C&I loan growth of 4% before the impact of paycheck protection program and mortgage warehouse loans," said President and Chief Executive Officer Bryan Jordan. "While higher long-term rates and global uncertainty impacted our countercyclical businesses, our highly asset-sensitive balance sheet is well positioned to benefit from rising short-term rates. I'm particularly proud of the hard work and dedication of our associates who contributed to the successful completion of the IBERIABANK systems and signage integration during the quarter. With that work behind us, we remain focused on driving value for our associates, clients, communities and shareholders as we look forward to completing the proposed transaction with TD Bank Group.”
Jordan continued, “With the war in Ukraine, our hearts go out to the families, clients and associates directly impacted by this crisis and we hope that peace, safety and freedom can be quickly restored.”
Notable Items

Notable Items |  |  |  |  |  |  |  |  |  |
Quarterly, Unaudited ($s in millions, except per share data) | 1Q22 |  | 4Q21 |  |  | 1Q21 |  |  |  |
Summary of Notable Items: |  |  |  |  |  |  |  |  |  |
Merger/acquisition/transaction-related items: |  |  |  |  |  |  |  |  |  |
IBKC: |  |  |  |  |  |  |  |  |  |
Purchase accounting gain (other noninterest income)* | $ | — |  |  | $ | — |  |  |  | $ | 1 |  |  |  |  |
Branch sale gain (other noninterest income) | — |  |  | 4 |  |  |  | — |  |  |  |  |
Merger/acquisition expense | (28) |  |  | (38) |  |  |  | (70) |  |  |  |  |
Total IBKC merger/acquisition- related items | (28) |  |  | (35) |  |  |  | (69) |  |  |  |  |
TD: |  |  |  |  |  |  |  |  |  |
Transaction-related expense | (9) |  |  | — |  |  |  | — |  |  |  |  |
Total TD transaction-related items | (9) |  |  | — |  |  |  | — |  |  |  |  |
Total Net Merger/acquisition/transaction- related items: | (37) |  |  | (35) |  |  |  | (69) |  |  |  |  |
Other notable items: |  |  |  |  |  |  |  |  |  |
Gain/(loss) on TruPS redemption (other noninterest income) | — |  |  | (3) |  |  |  | — |  |  |  |  |
Gain related to a fintech investment | 6 |  |  | — |  |  |  | — |  |  |  |  |
Other notable expense (other noninterest expense) | — |  |  | (16) |  |  |  | (10) |  |  |  |  |
Total net other notable items: | (6) |  |  | (19) |  |  |  | (10) |  |  |  |  |
Total Notable items (pre-tax) | $ | (32) |  |  | $ | (54) |  |  |  | $ | (79) |  |  |  |  |
Total Notable items (after-tax) | (24) |  |  | (41) |  |  |  | (60) |  |  |  |  |
EPS impact of notable items | $ | (0.04) |  |  | $ | (0.08) |  |  |  | $ | (0.11) |  |  |  |  |
Numbers may not foot due to rounding |  |  |  |  |  |  |  |  |  |
*' Purchase accounting gain is non-taxable income |  |  |  |  |  |  |  |  |  |

First quarter 2022 GAAP results were reduced by a net $24 million after-tax impact, or $0.04 per share, of notable items compared with a net $41 million impact, or $0.08 per share, in fourth quarter 2021. First quarter pre-tax net notable items included IBKC merger-related expense of $28 million; TD transaction-related costs of $9 million and a $6 million gain related to a fintech investment.
*ROTCE, PPNR, Core net interest income (NII), tangible book value per share, loans and leases excluding PPP and/or LMC, and "Adjusted" results are Non-GAAP Financial Measures; NII, Total Revenue, NIM and PPNR are presented on a fully taxable equivalent basis; References to loans include leases and EPS are based on diluted shares; Capital ratios are preliminary. See page 7 for information on our use of Non-GAAP measures and their reconciliation to GAAP beginning on page 21.
1

First Quarter 2022 Highlights
•Total revenue of $707 million decreased $38 million from fourth quarter levels. Adjusted revenue of $704 million decreased $44 million largely reflecting the impact of higher long-term rates and seasonality.
•Net interest income of $479 million was down $19 million, or 4%, from fourth quarter 2021 levels driven by a $16 million reduction in net merger-related and PPP benefits. Core net interest income was down $3 million given a $7 million impact tied to day count.
•Noninterest income of $229 million decreased $18 million largely as reductions in fixed income and mortgage banking fees given the impact of higher long-term rates and macroeconomic volatility, as well as other noninterest income, were partially offset by a $6 million increase tied to notable items.
•Noninterest expense of $493 million decreased $35 million from fourth quarter 2021 driven by a $17 million decrease in notable items. Adjusted noninterest expense of $455 million decreased $19 million from fourth quarter 2021 driven by lower other noninterest expense and outside services.
•Provision for credit losses was a benefit of $40 million compared with a benefit of $65 million in fourth quarter 2021, largely reflecting decreased COVID-19 impacts, partially offset by a slower growth economic forecast and inflationary pressures.
•Average interest-earning assets of $82.2 billion decreased modestly from fourth quarter 2021 largely as a $399 million increase in the securities portfolio was more than offset by a $695 million decrease in loans and loans held for sale driven by a $630 million decrease in Paycheck Protection Program loans ("PPP").
•Average loans before the impact of PPP remained relatively stable largely as a $1.0 billion decrease in loans to mortgage companies was more than offset by higher other commercial and industrial balances.
•Period-end loans before the impact of PPP increased $550 million, or 1%, driven by a $505 million increase in commercial. Period-end commercial loans excluding PPP and loans to mortgage companies ("LMC") rose 3%.
•Average deposits of $74.2 billion decreased $452 million, or 1%, from fourth quarter 2021 driven by a $356 million decrease in noninterest-bearing. Interest-bearing deposit costs of 10 basis points decreased 1 bp from fourth quarter 2021.
•Allowance for credit losses ("ACL") to loans ratio of 1.25% decreased from 1.34% at December 31, 2021; the ACL to nonperforming loans ratio of 207% decreased from 267% at December 31, 2021.
•Net charge-offs of 0.07% in first quarter 2022 increased from unusually low levels in fourth quarter 2021; nonperforming loans of $332 million increased 21% from from unusually low levels in fourth quarter 2021 and the nonperforming loans ratio of 0.60% increased from 0.50% as of December 31, 2021.
•ROCE of 9.9%; ROTCE of 13.0%; Adjusted ROTCE of 14.7%; CET 1 ratio of 10.0%; and total capital ratio of 13.2%.
•Tangible book value per share of $10.46 at March 31, 2022 decreased 5% from $11.00 at December 31, 2021 driven by a $0.76 reduction tied to the mark-to-market valuation adjustment on the securities portfolio
Strategic Update
•Successfully completed IBKC systems and signage conversion in February 2022.
•On track to deliver approximately $200 million of targeted annualized net cost saves by 4Q22.
•Achieved $116 million of annualized net cost saves in 1Q22.
•Announced proposed acquisition by TD at $25 per common share all cash, or approximately 37% premium at announcement.
2

SUMMARY RESULTS |  |  |  |  |  |  |  |  |  |  |  |  |  |
Quarterly, Unaudited |  |  |  |  |  |  |  |  |  |  |  |  |  |
|  |  |  |  |  |  |  | 1Q22 Change vs.
($s in millions, except per share and balance sheet data) |  | 1Q22 |  | 4Q21 |  | 1Q21 |  | 4Q21 |  | 1Q21
|  |  |  |  |  |  |  | $/bp |  | % |  | $/bp |  | %
Income Statement |  |  |  |  |  |  |  |  |  |  |  |  |  |
Interest income - taxable equivalent 1 |  | $ | 513 |  |  | $ | 534 |  |  | $ | 555 |  |  | $ | (21) |  |  | (4) | % |  | $ | (42) |  |  | (8) | %
Interest expense- taxable equivalent 1 |  | 31 |  |  | 33 |  |  | 45 |  |  | (2) |  |  | (6) |  |  | (14) |  |  | (31) |
Net interest income- taxable equivalent |  | 482 |  |  | 502 |  |  | 511 |  |  | (20) |  |  | (4) |  |  | (29) |  |  | (6) |
Less: Taxable-equivalent adjustment |  | 3 |  |  | 3 |  |  | 3 |  |  | — |  |  | — |  |  | — |  |  | — |
Net interest income |  | 479 |  |  | 498 |  |  | 508 |  |  | (19) |  |  | (4) |  |  | (29) |  |  | (6) |
Noninterest income |  | 229 |  |  | 247 |  |  | 298 |  |  | (18) |  |  | (7) |  |  | (69) |  |  | (23) |
Total revenue |  | 707 |  |  | 745 |  |  | 806 |  |  | (38) |  |  | (5) |  |  | (99) |  |  | (12) |
Noninterest expense |  | 493 |  |  | 528 |  |  | 544 |  |  | (35) |  |  | (7) |  |  | (51) |  |  | (9) |
Pre-provision net revenue 3 |  | 215 |  |  | 217 |  |  | 262 |  |  | (2) |  |  | (1) |  |  | (47) |  |  | (18) |
Provision for credit losses |  | (40) |  |  | (65) |  |  | (45) |  |  | 25 |  |  | 38 |  |  | 5 |  |  | 11 |
Income before income taxes |  | 255 |  |  | 282 |  |  | 307 |  |  | (27) |  |  | (10) |  |  | (52) |  |  | (17) |
Provision for income taxes |  | 57 |  |  | 53 |  |  | 71 |  |  | 4 |  |  | 8 |  |  | (14) |  |  | (20) |
Net income |  | 198 |  |  | 229 |  |  | 235 |  |  | (31) |  |  | (14) |  |  | (37) |  |  | (16) |
Net income attributable to noncontrolling interest |  | 3 |  |  | 3 |  |  | 3 |  |  | — |  |  | — |  |  | — |  |  | — |
Net income attributable to controlling interest |  | 195 |  |  | 227 |  |  | 233 |  |  | (32) |  |  | (14) |  |  | (38) |  |  | (16) |
Preferred stock dividends |  | 8 |  |  | 8 |  |  | 8 |  |  | — |  |  | — |  |  | — |  |  | — |
Net income available to common shareholders |  | $ | 187 |  |  | $ | 219 |  |  | $ | 225 |  |  | $ | (32) |  |  | (15) |  |  | $ | (38) |  |  | (17) |
Adjusted net income 4 |  | $ | 222 |  |  | $ | 271 |  |  | $ | 295 |  |  | $ | (49) |  |  | (18) |  |  | $ | (73) |  |  | (25) |
Adjusted net income available to common shareholders 4 |  | $ | 211 |  |  | $ | 260 |  |  | $ | 284 |  |  | $ | (49) |  |  | (19) | % |  | $ | (73) |  |  | (26) | %
Common stock information |  |  |  |  |  |  |  |  |  |  |  |  |  |
EPS |  | $ | 0.34 |  |  | $ | 0.40 |  |  | $ | 0.40 |  |  | $ | (0.06) |  |  | (16) | % |  | $ | (0.06) |  |  | (15) | %
Adjusted EPS 4 |  | $ | 0.38 |  |  | $ | 0.48 |  |  | $ | 0.51 |  |  | $ | (0.10) |  |  | (21) | % |  | $ | (0.13) |  |  | (25) | %
Diluted shares 8 |  | 550 |  |  | 542 |  |  | 557 |  |  | 8 |  |  | 1 | % |  | (7) |  |  | (1) | %
Key performance metrics |  |  |  |  |  |  |  |  |  |  |  |  |  |
Net interest margin |  | 2.37 | % |  | 2.42 | % |  | 2.62 | % |  | (5) | bp |  |  |  | (25) | bp |  |
Efficiency ratio |  | 69.66 |  |  | 70.88 |  |  | 67.53 |  |  | (122) |  |  |  |  | 213 |  |  |
Adjusted efficiency ratio 4 |  | 64.64 |  |  | 63.31 |  |  | 57.49 |  |  | 133 |  |  |  |  | 715 |  |  |
Effective income tax rate |  | 22.41 |  |  | 18.63 |  |  | 23.24 |  |  | 378 |  |  |  |  | (83) |  |  |
Return on average assets |  | 0.90 |  |  | 1.02 |  |  | 1.12 |  |  | (12) |  |  |  |  | (22) |  |  |
Adjusted return on average assets 4 |  | 1.02 |  |  | 1.21 |  |  | 1.40 |  |  | (19) |  |  |  |  | (38) |  |  |
Return on average common equity (“ROCE") |  | 9.9 |  |  | 11.3 |  |  | 12.0 |  |  | (134) |  |  |  |  | (209) |  |  |
Return on average tangible common equity (“ROTCE”)4 |  | 13.0 |  |  | 14.7 |  |  | 15.9 |  |  | (174) |  |  |  |  | (292) |  |  |
Adjusted ROTCE 4 |  | 14.7 |  |  | 17.5 |  |  | 20.2 |  |  | (283) |  |  |  |  | (547) |  |  |
Noninterest income as a % of total revenue |  | 32.31 |  |  | 33.10 |  |  | 37.00 |  |  | (79) |  |  |  |  | (469) |  |  |
Adjusted noninterest income as a % of total revenue 4 |  | 31.63 | % |  | 32.95 | % |  | 36.78 | % |  | (132) | bp |  |  |  | (515) | bp |  |
Balance Sheet (billions) |  |  |  |  |  |  |  |  |  |  |  |  |  |
Average loans |  | $ | 54.1 |  |  | $ | 54.7 |  |  | $ | 58.2 |  |  | $ | (0.6) |  |  | (1) | % |  | $ | (4.1) |  |  | (7) | %
Average deposits |  | 74.2 |  |  | 74.6 |  |  | 71.0 |  |  | (0.5) |  |  | (1) |  |  | 3.2 |  |  | 4 |
Average assets |  | 88.6 |  |  | 89.0 |  |  | 85.4 |  |  | (0.4) |  |  | — |  |  | 3.2 |  |  | 4 |
Average common equity |  | $ | 7.6 |  |  | $ | 7.7 |  |  | $ | 7.6 |  |  | $ | (0.1) |  |  | (1) | % |  | $ | — |  |  | 1 | %
Asset Quality Highlights |  |  |  |  |  |  |  |  |  |  |  |  |  |
Allowance for credit losses to loans and leases |  | 1.25 | % |  | 1.34 | % |  | 1.70 | % |  | (9) | bp |  |  |  | (45) | bp |  |
Net charge-off ratio |  | 0.07 |  |  | 0.01 |  |  | 0.06 |  |  | 7 |  |  |  |  | 2 |  |  |
Nonperforming loan and leases ratio |  | 0.60 | % |  | 0.50 | % |  | 0.67 | % |  | 10 | bp |  |  |  | (7) | bp |  |
Capital Ratio Highlights (current quarter is an estimate) |  |  |  |  |  |  |  |  |  |  |  |  |  |
Common Equity Tier 1 |  | 10.0 | % |  | 9.9 | % |  | 10.0 | % |  | 5 | bp |  |  |  | — | bp |  |
Tier 1 |  | 11.8 |  |  | 11.0 |  |  | 11.0 |  |  | 80 |  |  |  |  | 80 |  |  |
Total Capital |  | 13.2 |  |  | 12.3 |  |  | 12.8 |  |  | 85 |  |  |  |  | 35 |  |  |
Tier 1 leverage |  | 8.8 | % |  | 8.1 | % |  | 8.2 | % |  | 73 | bp |  |  |  | 61 | bp |  |

Numbers may not foot due to rounding.
Certain previously reported amounts have been reclassified to agree with current presentation.
See footnote disclosures on page 20.
3

First Quarter 2022 versus Fourth Quarter 2021
Net interest income
Net interest income of $479 million decreased $19 million from fourth quarter 2021 driven by a $23 million reduction tied to net merger-related and PPP benefits and day count. Core net interest income up $3 million before day count as the impact of lower loans to mortgage companies and consumer loan balances and spreads was more than offset by the benefit of higher investment portfolio income, other commercial and industrial loan balances and lower funding costs. Net interest margin of 2.37% decreased 5 bps from fourth quarter 2021 as the benefit of higher investment portfolio balances and spreads and lower funding costs was partially offset by the impact of lower LMC and consumer loan balances and spreads.
Noninterest income
Noninterest income of $229 million decreased $18 million as a $6 million benefit tied to notable items was more than offset by lower fixed income and mortgage banking fees given the impact of higher long-term rates and macroeconomic volatility as well as seasonality. Results were also impacted by lower other noninterest income and seasonality in traditional banking fees. Fixed income average daily revenue of $1.0 million compared with $1.1 million in fourth quarter 2021.
Noninterest expense
Noninterest expense of $493 million decreased $35 million from fourth quarter 2021 driven by a net $17 million decrease in notable items. Adjusted noninterest expense of $455 million decreased $19 million from fourth quarter 2021 driven by lower other noninterest expense and outside services. Adjusted personnel expense of $275 million remained relatively stable. Adjusted other noninterest expense decreased $9 million largely as a decrease in DDA product accruals, fraud losses, travel and entertainment, pension expense and contributions was partially offset by an increase in franchise taxes. Adjusted outside services decreased $7 million driven by lower contractor costs, advertising and consulting costs. Results reflect $3 million benefit tied to incremental merger cost savings.
Loans and leases
Average loan and lease balances of $54.1 billion decreased $599 million from fourth quarter 2021 driven by a $630 million decrease in PPP loans and a $1.0 billion reduction in loans to mortgage companies ("LMC"). Loan trends excluding PPP increased $30 million compared to the prior quarter, driven by a $73 million increase in commercial. Period-end loans and leases of $55.0 billion increased $153 million from fourth quarter 2021 despite a $397 million decrease in PPP. Loans before the impact of PPP were up $550 million largely as a $622 million decrease in LMC was more than offset by a $750 million increase in other commercial and industrial and a $378 million increase in commercial real estate. Before the impact of PPP and LMC, period-end loans increased $1.2 billion, or 10% annualized, reflecting a $1.1 billion increase in all other commercial loans.
Deposits
Average deposits of $74.2 billion decreased $452 million, or 1% from fourth quarter 2021. Period-end deposits of $74.1 billion decreased $780 million from fourth quarter 2021 from a $169 million increase in noninterest-bearing offset by a $949 million decrease in interest-bearing deposits. Interest-bearing deposit costs of 10 basis points remained remained relatively stable from fourth quarter 2021 levels.
Asset quality
Provision for credit losses benefit of $40 million compared to a benefit of $65 million in fourth quarter 2021, largely reflects decreased COVID-19 impacts, partially offset by a slower growth economic forecast and inflationary pressures.
Net charge-offs of $10 million, or 7 basis points in the first quarter, increased from unusually low fourth quarter 2021 levels reflecting continued relatively strong asset quality overall.
4

Nonperforming loans of $332 million increased $57 million from unusually low fourth quarter 2021 levels. First quarter 2022 ACL to nonperforming loans coverage ratio of 207% compared with 267% in fourth quarter 2021.
The ACL to loans ratio decreased to 1.25% from 1.34% in the fourth quarter 2021.
Capital
CET1 ratio of 10.0% in first quarter 2022 remained strong with 9.9% in fourth quarter 2021. Total capital ratio of 13.2% vs. 12.3% in fourth quarter 2021. Issued $494 million convertible preferred in connection with the TD transaction which added approximately 80 bps to Tier 1 and Total capital ratios.
Income taxes
The first quarter 2022 effective tax rate of 22.4% increased from fourth quarter 2021 rate of 18.6%. On an adjusted basis, the effective tax rate of 22.5% in the first quarter 2022 increased from 19.5% in fourth quarter 2021.
Forward-Looking Statements
This document contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933, as amended (the "Securities Act"), and Section 21E of the Securities Exchange Act of 1934, as amended (the "Exchange Act"). Forward-looking statements pertain to FHN's beliefs, plans, goals, expectations, and estimates. Forward-looking statements are not a representation of historical information, but instead pertain to future operations, strategies, financial results, or other developments. Forward-looking statements can be identified by the words “believe,” “expect,” “anticipate,” “intend,” “estimate,” “should,” “is likely,” “will,” “going forward,” and other expressions that indicate future events and trends.
Forward-looking statements are necessarily based upon estimates and assumptions that are inherently subject to significant business, operational, economic, and competitive uncertainties and contingencies, many of which are beyond FHN’s control, and many of which, with respect to future business decisions and actions (including acquisitions and divestitures), are subject to change and could cause FHN’s actual future results and outcomes to differ materially from those contemplated or implied by forward-looking statements or historical performance. Examples of uncertainties and contingencies include those mentioned: in this document; in Items 2.02 and 7.01 of FHN’s Current Report on Form 8-K to which this document has been filed as an exhibit; in the forepart, and in Items 1, 1A, and 7, of FHN’s most recent Annual Report on Form 10-K, as amended; and in the forepart, and in Item 1A of Part II, of FHN’s Quarterly Report(s) on Form 10-Q filed this year.
FHN assumes no obligation to update or revise any forward-looking statements that are made in this document or in any other statement, release, report, or filing from time to time.
Use of Non-GAAP Measures and Regulatory Measures that are not GAAP
Certain measures included in this report 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 FHN. Although other entities may use calculation methods that differ from those used by FHN for non-GAAP measures, FHN’s management believes such measures are relevant to understanding the financial condition, capital position, and financial results of FHN and its business segments. Non-GAAP measures are reported to FHN’s management and Board of Directors through various internal reports.
The non-GAAP measures presented in this earnings release are fully taxable equivalent measures, core net interest income ("NII"), pre-provision net revenue ("PPNR"), loans and leases excluding paycheck protection program ('PPP") and/or Loans to Mortgage Companies ("LMC"), return on average tangible common equity (“ROTCE”), tangible common equity (“TCE”) to tangible assets (“TA”), tangible book value ("TBV") per common share, and various consolidated and segment results and performance measures and ratios adjusted for notable items.
5

Presentation of regulatory measures, even those which are not GAAP, provide a meaningful base for comparability to other financial institutions subject to the same regulations as FHN, as demonstrated by their use by banking regulators in reviewing capital adequacy of financial institutions. Although not GAAP terms, these regulatory measures are not considered “non-GAAP” under U.S. financial reporting rules as long as their presentation conforms to regulatory standards. Regulatory measures used in this financial supplement include: common equity tier 1 capital ("CET1"), generally defined as common equity less goodwill, other intangibles, and certain other required regulatory deductions; tier 1 capital, generally defined as the sum of core capital (including common equity and instruments that cannot be redeemed at the option of the holder) adjusted for certain items under risk based capital regulations; and risk-weighted assets, which is a measure of total on- and off-balance sheet assets adjusted for credit and market risk, used to determine regulatory capital ratios.
Refer to the tabular reconciliation of non-GAAP to GAAP measures and presentation of the most comparable GAAP items beginning on page 21.
Important Other Information
In connection with the proposed transaction with TD, First Horizon has filed a preliminary proxy statement and other materials with the SEC, and intends to file additional relevant materials with the SEC, including a definitive proxy statement on Schedule 14A. All preliminary materials are subject to completion.
Neither this report nor any exhibit constitutes an offer to sell or a solicitation of an offer to buy any securities or a solicitation of any vote or approval.
SHAREHOLDERS OF FIRST HORIZON ARE URGED TO READ, WHEN AVAILABLE, ALL RELEVANT DOCUMENTS (INCLUDING ANY AMENDMENTS OR SUPPLEMENTS THERETO) FILED WITH THE SEC, INCLUDING FIRST HORIZON’S PROXY STATEMENT, BECAUSE THEY WILL CONTAIN IMPORTANT INFORMATION ABOUT FIRST HORIZON AND THE PROPOSED TRANSACTION WITH TD.
Investors and shareholders of First Horizon will be able to obtain a free copy of the definitive proxy statement as well as other relevant documents filed with the SEC without charge at the SEC’s website (http://www.sec.gov). Copies of the definitive proxy statement and the filings with the SEC that will be incorporated by reference in that proxy statement can also be obtained, without charge, by directing a request to Clyde A. Billings Jr., First Horizon Corporation, 165 Madison, Memphis, TN 38103, telephone (901) 523-4444.
Participants in the Solicitation
First Horizon and certain of its directors, executive officers and employees may be deemed to be participants in the solicitation of proxies in respect of the proposed transaction under the rules of the SEC. Information regarding First Horizon’s directors and executive officers is available in the proxy statement for its 2022 annual meeting of shareholders, which was filed with the SEC on March 14, 2022, and certain of its Current Reports on Form 8-K. Other information regarding the participants in the solicitation of proxies in respect of the proposed transaction and a description of their direct and indirect interests, by security holdings or otherwise, will be contained in the proxy statement and other relevant materials to be filed with the SEC. Free copies of these documents, when available, may be obtained as described in the preceding paragraph.
First Horizon Corp. (NYSE: FHN), with $88.7 billion in assets as of March 31, 2022, is a leading regional financial services company, dedicated to helping our clients, communities and associates unlock their full potential with capital and counsel. Headquartered in Memphis, TN, the banking subsidiary First Horizon Bank operates in 12 states across the southern U.S. The Company and its subsidiaries offer commercial, private banking, consumer, small business, wealth and trust management, retail brokerage, capital markets, fixed income, mortgage, and title insurance services. First Horizon has been recognized as one of the nation's best employers by Fortune and Forbes magazines and a Top 10 Most Reputable U.S. Bank. More information is available at www.FirstHorizon.com.
Contact: Investor Relations, Ellen Taylor (901) 523-4450
Media Relations, Beth Ardoin, (337) 278-6868
6

CONSOLIDATED INCOME STATEMENT |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Quarterly, Unaudited |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
|  |  |  |  |  |  |  |  |  |  | 1Q22 Change vs. |  |  |  |  |  |
($s in millions, except per share data) | 1Q22 |  | 4Q21 |  | 3Q21 |  | 2Q21 |  | 1Q21 |  | 4Q21 |  | 1Q21 |  |  |  |  |  |  |  |
|  |  |  |  |  |  |  |  |  |  | $ |  | % |  | $ |  | % |  |  |  |  |  |  |  |
Interest income - taxable equivalent 1 | $ | 513 |  |  | $ | 534 |  |  | $ | 536 |  |  | $ | 545 |  |  | $ | 555 |  |  | $ | (21) |  |  | (4) | % |  | $ | (42) |  |  | (8) | % |  |  |  |  |  |  |  |
Interest expense- taxable equivalent 1 | 31 |  |  | 33 |  |  | 41 |  |  | 45 |  |  | 45 |  |  | (2) |  |  | (6) |  |  | (14) |  |  | (31) |  |  |  |  |  |  |  |  |
Net interest income- taxable equivalent | 482 |  |  | 502 |  |  | 495 |  |  | 500 |  |  | 511 |  |  | (20) |  |  | (4) |  |  | (29) |  |  | (6) |  |  |  |  |  |  |  |  |
Less: Taxable-equivalent adjustment | 3 |  |  | 3 |  |  | 3 |  |  | 3 |  |  | 3 |  |  | — |  |  | — |  |  | — |  |  | — |  |  |  |  |  |  |  |  |
Net interest income | 479 |  |  | 498 |  |  | 492 |  |  | 497 |  |  | 508 |  |  | (19) |  |  | (4) |  |  | (29) |  |  | (6) |  |  |  |  |  |  |  |  |
Noninterest income: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Fixed income | 73 |  |  | 82 |  |  | 96 |  |  | 102 |  |  | 126 |  |  | (9) |  |  | (11) |  |  | (53) |  |  | (42) |  |  |  |  |  |  |  |  |
Mortgage banking and title | 22 |  |  | 28 |  |  | 34 |  |  | 38 |  |  | 53 |  |  | (6) |  |  | (21) |  |  | (31) |  |  | (58) |  |  |  |  |  |  |  |  |
Brokerage, trust, and insurance | 37 |  |  | 36 |  |  | 37 |  |  | 35 |  |  | 33 |  |  | 1 |  |  | 3 |  |  | 4 |  |  | 12 |  |  |  |  |  |  |  |  |
Service charges and fees | 57 |  |  | 56 |  |  | 56 |  |  | 54 |  |  | 53 |  |  | 1 |  |  | 2 |  |  | 4 |  |  | 8 |  |  |  |  |  |  |  |  |
Card and digital banking fees | 20 |  |  | 19 |  |  | 21 |  |  | 21 |  |  | 17 |  |  | 1 |  |  | 5 |  |  | 3 |  |  | 18 |  |  |  |  |  |  |  |  |
Deferred compensation income | (4) |  |  | — |  |  | 3 |  |  | 7 |  |  | 3 |  |  | (4) |  |  | NM |  | (7) |  |  | NM |  |  |  |  |  |  |  |
Other noninterest income | 24 |  |  | 25 |  |  | (1) |  |  | 27 |  |  | 15 |  |  | (1) |  |  | (4) |  |  | 9 |  |  | 60 |  |  |  |  |  |  |  |  |
Total noninterest income | 229 |  |  | 247 |  |  | 247 |  |  | 285 |  |  | 298 |  |  | (18) |  |  | (7) |  |  | (69) |  |  | (23) |  |  |  |  |  |  |  |  |
Total revenue | 707 |  |  | 745 |  |  | 738 |  |  | 781 |  |  | 806 |  |  | (38) |  |  | (5) |  |  | (99) |  |  | (12) |  |  |  |  |  |  |  |  |
Noninterest expense: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Personnel expense: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Salaries and benefits | 190 |  |  | 190 |  |  | 191 |  |  | 191 |  |  | 196 |  |  | — |  |  | — |  |  | (6) |  |  | (3) |  |  |  |  |  |  |  |  |
Incentives and commissions | 94 |  |  | 93 |  |  | 101 |  |  | 109 |  |  | 120 |  |  | 1 |  |  | 1 |  |  | (26) |  |  | (22) |  |  |  |  |  |  |  |  |
Deferred compensation expense | (5) |  |  | 7 |  |  | 4 |  |  | 6 |  |  | 3 |  |  | (12) |  |  | NM |  | (8) |  |  | NM |  |  |  |  |  |  |  |
Total personnel expense | 280 |  |  | 290 |  |  | 296 |  |  | 306 |  |  | 318 |  |  | (10) |  |  | (3) |  |  | (38) |  |  | (12) |  |  |  |  |  |  |  |  |
Occupancy and equipment 2 | 72 |  |  | 74 |  |  | 75 |  |  | 75 |  |  | 76 |  |  | (2) |  |  | (3) |  |  | (4) |  |  | (5) |  |  |  |  |  |  |  |  |
Outside services | 84 |  |  | 81 |  |  | 89 |  |  | 63 |  |  | 58 |  |  | 3 |  |  | 4 |  |  | 26 |  |  | 45 |  |  |  |  |  |  |  |  |
Amortization of intangible assets | 13 |  |  | 14 |  |  | 14 |  |  | 14 |  |  | 14 |  |  | (1) |  |  | (7) |  |  | (1) |  |  | (7) |  |  |  |  |  |  |  |  |
Other noninterest expense | 44 |  |  | 70 |  |  | 52 |  |  | 40 |  |  | 78 |  |  | (26) |  |  | (37) |  |  | (34) |  |  | (44) |  |  |  |  |  |  |  |  |
Total noninterest expense | 493 |  |  | 528 |  |  | 526 |  |  | 497 |  |  | 544 |  |  | (35) |  |  | (7) |  |  | (51) |  |  | (9) |  |  |  |  |  |  |  |  |
Pre-provision net revenue 3 | 215 |  |  | 217 |  |  | 213 |  |  | 284 |  |  | 262 |  |  | (2) |  |  | (1) |  |  | (47) |  |  | (18) |  |  |  |  |  |  |  |  |
Provision for credit losses | (40) |  |  | (65) |  |  | (85) |  |  | (115) |  |  | (45) |  |  | 25 |  |  | 38 |  |  | 5 |  |  | 11 |  |  |  |  |  |  |  |  |
Income before income taxes | 255 |  |  | 282 |  |  | 298 |  |  | 399 |  |  | 307 |  |  | (27) |  |  | (10) |  |  | (52) |  |  | (17) |  |  |  |  |  |  |  |  |
Provision for income taxes | 57 |  |  | 53 |  |  | 63 |  |  | 88 |  |  | 71 |  |  | 4 |  |  | 8 |  |  | (14) |  |  | (20) |  |  |  |  |  |  |  |  |
Net income | 198 |  |  | 229 |  |  | 235 |  |  | 311 |  |  | 235 |  |  | (31) |  |  | (14) |  |  | (37) |  |  | (16) |  |  |  |  |  |  |  |  |
Net income attributable to noncontrolling interest | 3 |  |  | 3 |  |  | 3 |  |  | 3 |  |  | 3 |  |  | — |  |  | — |  |  | — |  |  | — |  |  |  |  |  |  |  |  |
Net income attributable to controlling interest | 195 |  |  | 227 |  |  | 232 |  |  | 308 |  |  | 233 |  |  | (32) |  |  | (14) |  |  | (38) |  |  | (16) |  |  |  |  |  |  |  |  |
Preferred stock dividends | 8 |  |  | 8 |  |  | 8 |  |  | 13 |  |  | 8 |  |  | — |  |  | — |  |  | — |  |  | — |  |  |  |  |  |  |  |  |
Net income available to common shareholders | $ | 187 |  |  | $ | 219 |  |  | $ | 224 |  |  | $ | 295 |  |  | $ | 225 |  |  | $ | (32) |  |  | (15) | % |  | $ | (38) |  |  | (17) | % |  |  |  |  |  |  |  |
Common Share Data |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
EPS | $ | 0.35 |  |  | $ | 0.41 |  |  | $ | 0.41 |  |  | $ | 0.54 |  |  | $ | 0.41 |  |  | $ | (0.06) |  |  | (14) | % |  | $ | (0.06) |  |  | (15) | % |  |  |  |  |  |  |  |
Basic shares | 533 |  |  | 537 |  |  | 546 |  |  | 550 |  |  | 552 |  |  | (4) |  |  | (1) |  |  | (19) |  |  | (3) |  |  |  |  |  |  |  |  |
Diluted EPS | $ | 0.34 |  |  | $ | 0.40 |  |  | $ | 0.41 |  |  | $ | 0.53 |  |  | $ | 0.40 |  |  | $ | (0.06) |  |  | (16) |  |  | $ | (0.06) |  |  | (15) |  |  |  |  |  |  |  |  |
Diluted shares 8 | 550 |  |  | 542 |  |  | 550 |  |  | 556 |  |  | 557 |  |  | 8 |  |  | 1 | % |  | (7) |  |  | (1) | % |  |  |  |  |  |  |  |
Effective tax rate | 22.4 | % |  | 18.6 | % |  | 21.1 | % |  | 22.0 | % |  | 23.2 | % |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |

Numbers may not foot due to rounding. See footnote disclosures on page 20.
7

ADJUSTED 5 FINANCIAL DATA - SEE NOTABLE ITEMS ON PAGE 9
Quarterly, Unaudited

|  |  |  |  |  |  |  |  |  |  | 1Q22 Change vs. |  |  |  |  |  |
($s in millions, except per share data) | 1Q22 |  | 4Q21 |  | 3Q21 |  | 2Q21 |  | 1Q21 |  | 4Q21 |  | 1Q21 |  |  |  |  |  |  |  |
|  |  |  |  |  |  |  |  |  |  | $ |  | % |  | $ |  | % |  |  |  |  |  |  |  |
Net interest income (FTE)1 | $ | 482 |  |  | $ | 502 |  |  | $ | 495 |  |  | $ | 500 |  |  | $ | 511 |  |  | $ | (20) |  |  | (4) | % |  | $ | (29) |  |  | (6) | % |  |  |  |  |  |  |  |
Adjusted noninterest income: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Fixed income | 73 |  |  | 82 |  |  | 96 |  |  | 102 |  |  | 126 |  |  | (9) |  |  | (11) |  |  | (53) |  |  | (42) |  |  |  |  |  |  |  |  |
Mortgage banking and title | 22 |  |  | 28 |  |  | 34 |  |  | 38 |  |  | 53 |  |  | (6) |  |  | (21) |  |  | (31) |  |  | (58) |  |  |  |  |  |  |  |  |
Brokerage, trust, and insurance | 37 |  |  | 36 |  |  | 37 |  |  | 35 |  |  | 33 |  |  | 1 |  |  | 3 |  |  | 4 |  |  | 12 |  |  |  |  |  |  |  |  |
Service charges and fees | 57 |  |  | 56 |  |  | 56 |  |  | 54 |  |  | 53 |  |  | 1 |  |  | 2 |  |  | 4 |  |  | 8 |  |  |  |  |  |  |  |  |
Card and digital banking fees | 20 |  |  | 19 |  |  | 21 |  |  | 21 |  |  | 17 |  |  | 1 |  |  | 5 |  |  | 3 |  |  | 18 |  |  |  |  |  |  |  |  |
Deferred compensation income | (4) |  |  | — |  |  | 3 |  |  | 7 |  |  | 3 |  |  | (4) |  |  | NM |  | (7) |  |  | NM |  |  |  |  |  |  |  |
Adjusted other noninterest income | 18 |  |  | 25 |  |  | 21 |  |  | 29 |  |  | 14 |  |  | (7) |  |  | (28) |  |  | 4 |  |  | 29 |  |  |  |  |  |  |  |  |
Adjusted total noninterest income | $ | 223 |  |  | $ | 246 |  |  | $ | 268 |  |  | $ | 287 |  |  | $ | 297 |  |  | $ | (23) |  |  | (9) | % |  | $ | (74) |  |  | (25) | % |  |  |  |  |  |  |  |
Total revenue (FTE)1 | $ | 704 |  |  | $ | 748 |  |  | $ | 763 |  |  | $ | 787 |  |  | $ | 808 |  |  | $ | (44) |  |  | (6) | % |  | $ | (104) |  |  | (13) | % |  |  |  |  |  |  |  |
Adjusted noninterest expense: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Adjusted personnel expense: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Adjusted salaries and benefits | $ | 188 |  |  | $ | 189 |  |  | $ | 191 |  |  | $ | 191 |  |  | $ | 195 |  |  | $ | (1) |  |  | (1) | % |  | $ | (7) |  |  | (4) | % |  |  |  |  |  |  |  |
Adjusted Incentives and commissions | 92 |  |  | 84 |  |  | 92 |  |  | 93 |  |  | 99 |  |  | 8 |  |  | 10 | % |  | (7) |  |  | (7) |  |  |  |  |  |  |  |  |
Deferred compensation expense | (5) |  |  | 1 |  |  | 4 |  |  | 6 |  |  | 3 |  |  | (6) |  |  | NM |  | (8) |  |  | NM |  |  |  |  |  |  |  |
Adjusted total personnel expense | 275 |  |  | 274 |  |  | 286 |  |  | 290 |  |  | 297 |  |  | 1 |  |  | — | % |  | (22) |  |  | (7) |  |  |  |  |  |  |  |  |
Adjusted occupancy and equipment 2 | 72 |  |  | 73 |  |  | 74 |  |  | 75 |  |  | 72 |  |  | (1) |  |  | (1) | % |  | — |  |  | — |  |  |  |  |  |  |  |  |
Adjusted outside services | 59 |  |  | 66 |  |  | 65 |  |  | 56 |  |  | 54 |  |  | (7) |  |  | (11) | % |  | 5 |  |  | 9 |  |  |  |  |  |  |  |  |
Adjusted amortization of intangible assets | 12 |  |  | 13 |  |  | 13 |  |  | 13 |  |  | 13 |  |  | (1) |  |  | (8) | % |  | (1) |  |  | (8) |  |  |  |  |  |  |  |  |
Adjusted other noninterest expense | 37 |  |  | 46 |  |  | 42 |  |  | 31 |  |  | 28 |  |  | (9) |  |  | (20) | % |  | 9 |  |  | 32 |  |  |  |  |  |  |  |  |
Adjusted total noninterest expense | $ | 455 |  |  | $ | 474 |  |  | $ | 480 |  |  | $ | 465 |  |  | $ | 464 |  |  | $ | (19) |  |  | (4) | % |  | $ | (9) |  |  | (2) | % |  |  |  |  |  |  |  |
Adjusted pre-provision net revenue 3 | $ | 249 |  |  | $ | 274 |  |  | $ | 284 |  |  | $ | 321 |  |  | $ | 343 |  |  | $ | (25) |  |  | (9) | % |  | $ | (94) |  |  | (27) | % |  |  |  |  |  |  |  |
Adjusted provision for credit losses | $ | (40) |  |  | $ | (65) |  |  | $ | (85) |  |  | $ | (115) |  |  | $ | (45) |  |  | $ | 25 |  |  | 38 | % |  | $ | 5 |  |  | 11 | % |  |  |  |  |  |  |  |
Adjusted net income available to common shareholders | $ | 211 |  |  | $ | 260 |  |  | $ | 275 |  |  | $ | 321 |  |  | $ | 284 |  |  | $ | (49) |  |  | (19) | % |  | $ | (73) |  |  | (26) | % |  |  |  |  |  |  |  |
Adjusted Common Share Data |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Adjusted diluted EPS | $ | 0.38 |  |  | $ | 0.48 |  |  | $ | 0.50 |  |  | $ | 0.58 |  |  | $ | 0.51 |  |  | $ | (0.10) |  |  | (21) | % |  | $ | (0.13) |  |  | (25) | % |  |  |  |  |  |  |  |
Diluted shares 8 | 550 |  |  | 542 |  |  | 550 |  |  | 556 |  |  | 557 |  |  | 8 |  |  | 1 | % |  | (7) |  |  | (1) | % |  |  |  |  |  |  |  |
Adjusted effective tax rate | 22.5 | % |  | 19.5 | % |  | 21.8 | % |  | 22.2 | % |  | 23.4 | % |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Adjusted ROTCE | 14.7 | % |  | 17.5 | % |  | 18.4 | % |  | 22.2 | % |  | 20.2 | % |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Adjusted efficiency ratio | 64.6 | % |  | 63.3 | % |  | 62.9 | % |  | 59.2 | % |  | 57.5 | % |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |

Numbers may not foot due to rounding.
See footnote disclosures on page 20.
8

NOTABLE ITEMS
Quarterly, Unaudited

(In millions) | 1Q22 |  | 4Q21 |  | 3Q21 |  | 2Q21 |  | 1Q21 |  |  |  |
Summary of Notable Items: |  |  |  |  |  |  |  |  |  |  |  |  |
IBKC Purchase accounting gain (other noninterest income)* | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | (2) |  |  | $ | 1 |  |  |  |  |
Gain/(loss) on TRUPS redemption (other noninterest income) | — |  |  | (3) |  |  | (23) |  |  | — |  |  | — |  |  |  |  |
IBKC Branch sale gain (other noninterest income) | — |  |  | 4 |  |  | 2 |  |  | — |  |  | — |  |  |  |  |
Gain related to a fintech investment | 6 |  |  | — |  |  | — |  |  | — |  |  | — |  |  |  |  |
IBKC merger/acquisition expense | (28) |  |  | (38) |  |  | (46) |  |  | (32) |  |  | (70) |  |  |  |  |
TD transaction-related expense | (9) |  |  | — |  |  | — |  |  | — |  |  | — |  |  |  |  |
Other notable expenses** | — |  |  | (16) |  |  | — |  |  | — |  |  | (10) |  |  |  |  |
Total notable items | $ | (32) |  |  | $ | (54) |  |  | $ | (68) |  |  | $ | (34) |  |  | $ | (79) |  |  |  |  |
EPS impact of notable items | $ | (0.04) |  |  | $ | (0.08) |  |  | $ | (0.09) |  |  | $ | (0.05) |  |  | $ | (0.11) |  |  |  |  |

Numbers may not foot due to rounding
*' Purchase accounting gain is non-taxable income.
** 4Q21 includes $10 million of Visa derivative valuation expense and $6 million of deferred compensation expense.

IMPACT OF NOTABLE ITEMS:
Quarterly, Unaudited

(In millions) | 1Q22 |  | 4Q21 |  | 3Q21 |  | 2Q21 |  | 1Q21 |  |  |  |
Impacts of Notable Items: |  |  |  |  |  |  |  |  |  |  |  |  |
Noninterest income: |  |  |  |  |  |  |  |  |  |  |  |  |
Other noninterest income | $ | (6) |  |  | $ | — |  |  | $ | 22 |  |  | $ | 2 |  |  | $ | (1) |  |  |  |  |
Total noninterest income | $ | (6) |  |  | $ | — |  |  | $ | 22 |  |  | $ | 2 |  |  | $ | (1) |  |  |  |  |
Noninterest expense: |  |  |  |  |  |  |  |  |  |  |  |  |
Personnel expenses: |  |  |  |  |  |  |  |  |  |  |  |  |
Salaries and benefits | $ | (2) |  |  | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | — |  |  |  |  |
Incentives and commissions | (2) |  |  | (9) |  |  | (10) |  |  | (16) |  |  | (21) |  |  |  |  |
Deferred compensation expense | — |  |  | (6) |  |  | — |  |  | — |  |  | — |  |  |  |  |
Total personnel expenses | (4) |  |  | (16) |  |  | (10) |  |  | (16) |  |  | (21) |  |  |  |  |
Occupancy and equipment 3 | — |  |  | — |  |  | (1) |  |  | — |  |  | (4) |  |  |  |  |
Outside services | (25) |  |  | (15) |  |  | (24) |  |  | (6) |  |  | (4) |  |  |  |  |
Amortization of intangible assets | (1) |  |  | (1) |  |  | (1) |  |  | (1) |  |  | (1) |  |  |  |  |
Other noninterest expense | (7) |  |  | (23) |  |  | (10) |  |  | (9) |  |  | (50) |  |  |  |  |
Total noninterest expense | $ | (37) |  |  | $ | (54) |  |  | $ | (46) |  |  | $ | (32) |  |  | $ | (80) |  |  |  |  |
Provision for credit losses | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | — |  |  |  |  |
Income before income taxes | $ | 32 |  |  | $ | 54 |  |  | $ | 68 |  |  | $ | 34 |  |  | $ | 79 |  |  |  |  |
Provision for income taxes | 7 |  |  | 13 |  |  | 17 |  |  | 8 |  |  | 19 |  |  |  |  |
Net income/(loss) available to common shareholders | $ | 24 |  |  | $ | 41 |  |  | $ | 51 |  |  | $ | 26 |  |  | $ | 60 |  |  |  |  |

Numbers may not foot due to rounding
9

FINANCIAL RATIOS |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Quarterly, Unaudited |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
|  |  |  |  |  |  |  |  |  |  | 1Q22 change vs. |  |  |  |  |  |
| 1Q22 |  | 4Q21 |  | 3Q21 |  | 2Q21 |  | 1Q21 |  | 4Q21 | 1Q21 |  |  |  |  |
FINANCIAL RATIOS |  |  |  |  |  |  |  |  |  |  | $/bp |  | % |  | $/bp |  | % |  |  |  |  |  |  |  |
Net interest margin | 2.37 | % |  | 2.42 | % |  | 2.41 | % |  | 2.47 | % |  | 2.62 | % |  | (5) | bp |  |  |  | (25) | bp |  |  |  |  |  |  |  |  |  |
Return on average assets | 0.90 | % |  | 1.02 | % |  | 1.05 | % |  | 1.42 | % |  | 1.12 | % |  | (12) |  |  |  |  | (22) |  |  |  |  |  |  |  |  |  |  |
Adjusted return on average assets 4 | 1.02 | % |  | 1.21 | % |  | 1.28 | % |  | 1.54 | % |  | 1.40 | % |  | (19) |  |  |  |  | (38) |  |  |  |  |  |  |  |  |  |  |
Return on average common equity (“ROCE”) | 9.92 | % |  | 11.26 | % |  | 11.43 | % |  | 15.45 | % |  | 12.01 | % |  | (134) |  |  |  |  | (209) |  |  |  |  |  |  |  |  |  |  |
Return on average tangible common equity (“ROTCE”)4 | 12.98 | % |  | 14.72 | % |  | 14.95 | % |  | 20.36 | % |  | 15.90 | % |  | (174) |  |  |  |  | (292) |  |  |  |  |  |  |  |  |  |  |
Adjusted ROTCE 4 | 14.68 | % |  | 17.51 | % |  | 18.36 | % |  | 22.18 | % |  | 20.15 | % |  | (283) |  |  |  |  | (547) |  |  |  |  |  |  |  |  |  |  |
Noninterest income as a % of total revenue | 32.31 | % |  | 33.10 | % |  | 33.39 | % |  | 36.43 | % |  | 37.00 | % |  | (79) |  |  |  |  | (469) |  |  |  |  |  |  |  |  |  |  |
Adjusted noninterest income as a % of total revenue 4 | 31.63 | % |  | 32.95 | % |  | 35.14 | % |  | 36.49 | % |  | 36.78 | % |  | (132) |  |  |  |  | (515) |  |  |  |  |  |  |  |  |  |  |
Efficiency ratio | 69.66 | % |  | 70.88 | % |  | 71.21 | % |  | 63.67 | % |  | 67.53 | % |  | (122) |  |  |  |  | 213 |  |  |  |  |  |  |  |  |  |  |
Adjusted efficiency ratio 4 | 64.64 | % |  | 63.31 | % |  | 62.87 | % |  | 59.17 | % |  | 57.49 | % |  | 133 |  |  |  |  | 715 |  |  |  |  |  |  |  |  |  |  |
CAPITAL DATA |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
CET1 capital ratio* | 10.0 | % |  | 9.9 | % |  | 10.1 | % |  | 10.3 | % |  | 10.0 | % |  | 5 | bp |  |  |  | — | bp |  |  |  |  |  |  |  |  |  |
Tier 1 capital ratio* | 11.8 | % |  | 11.0 | % |  | 11.2 | % |  | 11.4 | % |  | 11.0 | % |  | 80 | bp |  |  |  | 80 | bp |  |  |  |  |  |  |  |  |  |
Total capital ratio* | 13.2 | % |  | 12.3 | % |  | 12.6 | % |  | 13.1 | % |  | 12.8 | % |  | 85 | bp |  |  |  | 35 | bp |  |  |  |  |  |  |  |  |  |
Tier 1 leverage ratio* | 8.8 | % |  | 8.1 | % |  | 8.1 | % |  | 8.2 | % |  | 8.2 | % |  | 73 | bp |  |  |  | 61 | bp |  |  |  |  |  |  |  |  |  |
Risk-weighted assets (“RWA”) (billions) | $ | 65.0 |  |  | $ | 64.2 |  |  | $ | 63.0 |  |  | $ | 62.0 |  |  | $ | 62.3 |  |  | $ | 1 |  |  | 1 | % |  | $ | 3 |  |  | 4 | % |  |  |  |  |  |  |  |
Total equity to total assets | 9.81 | % |  | 9.53 | % |  | 9.64 | % |  | 9.74 | % |  | 9.49 | % |  | 28 | bp |  |  |  | 32 | bp |  |  |  |  |  |  |  |  |  |
Tangible common equity/tangible assets (“TCE/TA”)4 | 6.44 | % |  | 6.73 | % |  | 6.80 | % |  | 6.87 | % |  | 6.64 | % |  | (29) | bp |  |  |  | (20) | bp |  |  |  |  |  |  |  |  |  |
Period-end shares outstanding (millions) | 535 |  |  | 534 |  |  | 542 |  |  | 551 |  |  | 552 |  |  | 1 |  |  | — | % |  | (17) |  |  | (3) | % |  |  |  |  |  |  |  |
Cash dividends declared per common share | $ | 0.15 |  |  | $ | 0.15 |  |  | $ | 0.15 |  |  | $ | 0.15 |  |  | $ | 0.15 |  |  | $ | — |  |  | — |  |  | $ | — |  |  | — |  |  |  |  |  |  |  |  |
Book value per common share | $ | 13.82 |  |  | $ | 14.39 |  |  | $ | 14.24 |  |  | $ | 14.07 |  |  | $ | 13.65 |  |  | $ | (0.57) |  |  | (4) | % |  | $ | 0.17 |  |  | 1 | % |  |  |  |  |  |  |  |
Tangible book value per common share 4 | $ | 10.46 |  |  | $ | 11.00 |  |  | $ | 10.88 |  |  | $ | 10.74 |  |  | $ | 10.30 |  |  | $ | (0.54) |  |  | (5) | % |  | $ | 0.16 |  |  | 2 | % |  |  |  |  |  |  |  |
SELECTED BALANCE SHEET DATA |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Loans-to-deposit ratio (period-end balances) | 74.23 | % |  | 73.25 | % |  | 74.65 | % |  | 77.36 | % |  | 80.09 | % |  | 98 | bp |  |  |  | (586) | bp |  |  |  |  |  |  |  |  |  |
Loans-to-deposit ratio (average balances) | 72.93 | % |  | 73.29 | % |  | 75.28 | % |  | 77.68 | % |  | 82.02 | % |  | (36) | bp |  |  |  | (909) | bp |  |  |  |  |  |  |  |  |  |
Full-time equivalent associates | 7,900 |  |  | 7,863 |  |  | 7,982 |  |  | 8,145 |  |  | 8,284 |  |  | 37 |  |  | — | % |  | (384) |  |  | (5) | % |  |  |  |  |  |  |  |

Certain previously reported amounts have been reclassified to agree with current presentation
*Current quarter is an estimate.
See footnote disclosures on page 20.
10

CONSOLIDATED PERIOD-END BALANCE SHEET
Quarterly, Unaudited

|  |  |  |  |  |  |  |  |  |  | 1Q22 change vs.
(In millions) | 1Q22 |  | 4Q21 |  | 3Q21 |  | 2Q21 |  | 1Q21 |  | 4Q21 |  |  | 1Q21
|  |  |  |  |  |  |  |  |  |  | $ |  | % |  |  | $ |  | % |
Assets: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Loans and leases: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Commercial, financial, and industrial (C&I) | $ | 30,798 |  |  | $ | 31,068 |  |  | $ | 31,516 |  |  | $ | 32,528 |  |  | $ | 33,951 |  |  | $ | (269) |  |  | (1) | % |  |  | $ | (3,153) |  |  | (9) | % |
Commercial real estate | 12,487 |  |  | 12,109 |  |  | 12,194 |  |  | 12,292 |  |  | 12,470 |  |  | 378 |  |  | 3 |  |  |  | 17 |  |  | — |  |
Total Commercial | 43,285 |  |  | 43,177 |  |  | 43,710 |  |  | 44,820 |  |  | 46,421 |  |  | 109 |  |  | — |  |  |  | (3,136) |  |  | (7) |  |
Consumer real estate | 10,874 |  |  | 10,772 |  |  | 10,787 |  |  | 10,864 |  |  | 11,053 |  |  | 102 |  |  | 1 |  |  |  | (179) |  |  | (2) |  |
Credit card and other 5 | 854 |  |  | 910 |  |  | 938 |  |  | 1,002 |  |  | 1,126 |  |  | (57) |  |  | (6) |  |  |  | (272) |  |  | (24) |  |
Total Consumer | 11,727 |  |  | 11,682 |  |  | 11,725 |  |  | 11,867 |  |  | 12,178 |  |  | 46 |  |  | — |  |  |  | (451) |  |  | (4) |  |
Loans and leases, net of unearned income | 55,012 |  |  | 54,859 |  |  | 55,435 |  |  | 56,687 |  |  | 58,600 |  |  | 153 |  |  | — |  |  |  | (3,588) |  |  | (6) |  |
Loans held for sale | 1,014 |  |  | 1,172 |  |  | 1,052 |  |  | 977 |  |  | 811 |  |  | (158) |  |  | (13) |  |  |  | 203 |  |  | 25 |  |
Investment securities | 9,943 |  |  | 9,419 |  |  | 8,798 |  |  | 8,398 |  |  | 8,361 |  |  | 524 |  |  | 6 |  |  |  | 1,582 |  |  | 19 |  |
Trading securities | 1,823 |  |  | 1,601 |  |  | 1,319 |  |  | 1,035 |  |  | 1,076 |  |  | 221 |  |  | 14 |  |  |  | 747 |  |  | 69 |  |
Interest-bearing deposits with banks | 13,548 |  |  | 14,907 |  |  | 14,829 |  |  | 13,451 |  |  | 11,635 |  |  | (1,359) |  |  | (9) |  |  |  | 1,913 |  |  | 16 |  |
Federal funds sold and securities purchased under agreements to resell | 640 |  |  | 641 |  |  | 361 |  |  | 622 |  |  | 520 |  |  | (1) |  |  | — |  |  |  | 120 |  |  | 23 |  |
Total interest earning assets | 81,980 |  |  | 82,600 |  |  | 81,794 |  |  | 81,170 |  |  | 81,004 |  |  | (620) |  |  | (1) |  |  |  | 976 |  |  | 1 |  |
Cash and due from banks | 1,225 |  |  | 1,147 |  |  | 1,197 |  |  | 1,303 |  |  | 1,169 |  |  | 78 |  |  | 7 |  |  |  | 55 |  |  | 5 |  |
Goodwill and other intangible assets, net | 1,795 |  |  | 1,808 |  |  | 1,822 |  |  | 1,836 |  |  | 1,850 |  |  | (13) |  |  | (1) |  |  |  | (55) |  |  | (3) |  |
Premises and equipment, net | 669 |  |  | 665 |  |  | 692 |  |  | 714 |  |  | 719 |  |  | 4 |  |  | 1 |  |  |  | (50) |  |  | (7) |  |
Allowance for loan and lease losses | (622) |  |  | (670) |  |  | (734) |  |  | (815) |  |  | (914) |  |  | 48 |  |  | 7 |  |  |  | 292 |  |  | 32 |  |
Other assets | 3,614 |  |  | 3,542 |  |  | 3,766 |  |  | 3,700 |  |  | 3,685 |  |  | 71 |  |  | 2 |  |  |  | (71) |  |  | (2) |  |
Total assets | $ | 88,660 |  |  | $ | 89,092 |  |  | $ | 88,537 |  |  | $ | 87,908 |  |  | $ | 87,513 |  |  | $ | (432) |  |  | — | % |  |  | $ | 1,147 |  |  | 1 | % |
Liabilities and Shareholders' Equity: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Deposits: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Savings | $ | 25,772 |  |  | $ | 26,457 |  |  | $ | 27,425 |  |  | $ | 27,416 |  |  | $ | 27,023 |  |  | $ | (685) |  |  | (3) | % |  |  | $ | (1,251) |  |  | (5) | % |
Time deposits | 3,165 |  |  | 3,500 |  |  | 3,920 |  |  | 4,304 |  |  | 4,653 |  |  | (335) |  |  | (10) |  |  |  | (1,488) |  |  | (32) |  |
Other interest-bearing deposits | 17,126 |  |  | 17,054 |  |  | 15,571 |  |  | 15,728 |  |  | 16,444 |  |  | 71 |  |  | — |  |  |  | 681 |  |  | 4 |  |
Total interest-bearing deposits | 46,063 |  |  | 47,012 |  |  | 46,916 |  |  | 47,447 |  |  | 48,120 |  |  | (949) |  |  | (2) |  |  |  | (2,057) |  |  | (4) |  |
Trading liabilities | 513 |  |  | 426 |  |  | 315 |  |  | 531 |  |  | 454 |  |  | 87 |  |  | 20 |  |  |  | 59 |  |  | 13 |  |
Short-term borrowings | 1,719 |  |  | 2,124 |  |  | 2,225 |  |  | 2,246 |  |  | 2,203 |  |  | (405) |  |  | (19) |  |  |  | (484) |  |  | (22) |  |
Term borrowings | 1,591 |  |  | 1,590 |  |  | 1,584 |  |  | 1,672 |  |  | 1,671 |  |  | 1 |  |  | — |  |  |  | (80) |  |  | (5) |  |
Total interest-bearing liabilities | 49,885 |  |  | 51,151 |  |  | 51,040 |  |  | 51,896 |  |  | 52,448 |  |  | (1,266) |  |  | (2) |  |  |  | (2,563) |  |  | (5) |  |
Noninterest-bearing deposits | 28,052 |  |  | 27,883 |  |  | 27,348 |  |  | 25,833 |  |  | 25,046 |  |  | 169 |  |  | 1 |  |  |  | 3,005 |  |  | 12 |  |
Other liabilities | 2,027 |  |  | 1,564 |  |  | 1,617 |  |  | 1,613 |  |  | 1,712 |  |  | 463 |  |  | 30 |  |  |  | 316 |  |  | 18 |  |
Total liabilities | 79,964 |  |  | 80,598 |  |  | 80,005 |  |  | 79,343 |  |  | 79,206 |  |  | (634) |  |  | (1) |  |  |  | 758 |  |  | 1 |  |
Shareholders' Equity: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Preferred stock | 1,014 |  |  | 520 |  |  | 520 |  |  | 520 |  |  | 470 |  |  | 494 |  |  | 95 |  |  |  | 543 |  |  | 115 |  |
Common stock | 334 |  |  | 333 |  |  | 339 |  |  | 344 |  |  | 345 |  |  | 1 |  |  | — |  |  |  | (11) |  |  | (3) |  |
Capital surplus | 4,769 |  |  | 4,742 |  |  | 4,866 |  |  | 4,997 |  |  | 5,036 |  |  | 26 |  |  | 1 |  |  |  | (268) |  |  | (5) |  |
Retained earnings | 2,996 |  |  | 2,891 |  |  | 2,754 |  |  | 2,613 |  |  | 2,402 |  |  | 105 |  |  | 4 |  |  |  | 594 |  |  | 25 |  |
Accumulated other comprehensive loss, net | (711) |  |  | (288) |  |  | (241) |  |  | (203) |  |  | (242) |  |  | (424) |  |  | (147) |  |  |  | (470) |  |  | NM |
Combined shareholders' equity | 8,400 |  |  | 8,199 |  |  | 8,237 |  |  | 8,270 |  |  | 8,012 |  |  | 202 |  |  | 2 |  |  |  | 389 |  |  | 5 |  |
Noncontrolling interest | 295 |  |  | 295 |  |  | 295 |  |  | 295 |  |  | 295 |  |  | — |  |  | — |  |  |  | — |  |  | — |  |
Total shareholders' equity | 8,696 |  |  | 8,494 |  |  | 8,533 |  |  | 8,566 |  |  | 8,307 |  |  | 202 |  |  | 2 |  |  |  | 389 |  |  | 5 |  |
Total liabilities and shareholders' equity | $ | 88,660 |  |  | $ | 89,092 |  |  | $ | 88,537 |  |  | $ | 87,908 |  |  | $ | 87,513 |  |  | $ | (432) |  |  | — | % |  |  | $ | 1,147 |  |  | 1 | % |
Memo: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Total Deposits | $ | 74,114 |  |  | $ | 74,895 |  |  | $ | 74,265 |  |  | $ | 73,281 |  |  | $ | 73,167 |  |  | $ | (780) |  |  | (1) | % |  |  | $ | 948 |  |  | 1 | % |
Unfunded Loan Commitments: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Commercial | $ | 21,813 |  |  | $ | 20,487 |  |  | $ | 19,019 |  |  | $ | 18,035 |  |  | $ | 16,759 |  |  | $ | 1,326 |  |  | 6 | % |  |  | $ | 5,054 |  |  | 30 | % |
Consumer | $ | 3,882 |  |  | $ | 3,936 |  |  | $ | 3,892 |  |  | $ | 4,031 |  |  | $ | 4,067 |  |  | $ | (54) |  |  | (1) | % |  |  | $ | (185) |  |  | (5) | % |

Numbers may not foot due to rounding. See footnote disclosures on page 20.
11

CONSOLIDATED AVERAGE BALANCE SHEET
Quarterly, Unaudited

|  |  |  |  |  |  |  |  |  |  | 1Q22 change vs. |  |  |  |  |  |
(In millions) | 1Q22 |  | 4Q21 |  | 3Q21 |  | 2Q21 |  | 1Q21 |  | 4Q21 |  | 1Q21 |  |  |  |  |  |  |  |
|  |  |  |  |  |  |  |  |  |  | $ |  | % |  | $ |  | % |  |  |  |  |  |  |  |
Assets: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Loans and leases: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Commercial, financial, and industrial (C&I) | $ | 30,215 |  |  | $ | 30,780 |  |  | $ | 31,477 |  |  | $ | 32,540 |  |  | $ | 33,279 |  |  | $ | (565) |  |  | (2) | % |  | $ | (3,064) |  |  | (9) | % |  |  |  |  |  |  |  |
Commercial real estate | 12,229 |  |  | 12,220 |  |  | 12,264 |  |  | 12,350 |  |  | 12,424 |  |  | 9 |  |  | — |  |  | (195) |  |  | (2) |  |  |  |  |  |  |  |  |
Total Commercial | 42,445 |  |  | 43,001 |  |  | 43,741 |  |  | 44,890 |  |  | 45,703 |  |  | (556) |  |  | (1) |  |  | (3,258) |  |  | (7) |  |  |  |  |  |  |  |  |
Consumer real estate | 10,769 |  |  | 10,738 |  |  | 10,819 |  |  | 10,926 |  |  | 11,400 |  |  | 31 |  |  | — |  |  | (631) |  |  | (6) |  |  |  |  |  |  |  |  |
Credit card and other 5 | 869 |  |  | 943 |  |  | 948 |  |  | 1,013 |  |  | 1,119 |  |  | (74) |  |  | (8) |  |  | (250) |  |  | (22) |  |  |  |  |  |  |  |  |
Total Consumer | 11,638 |  |  | 11,681 |  |  | 11,767 |  |  | 11,939 |  |  | 12,519 |  |  | (43) |  |  | — |  |  | (882) |  |  | (7) |  |  |  |  |  |  |  |  |
Loans and leases, net of unearned income | 54,082 |  |  | 54,682 |  |  | 55,508 |  |  | 56,829 |  |  | 58,222 |  |  | (599) |  |  | (1) |  |  | (4,140) |  |  | (7) |  |  |  |  |  |  |  |  |
Loans held-for-sale | 1,156 |  |  | 1,252 |  |  | 992 |  |  | 734 |  |  | 842 |  |  | (96) |  |  | (8) |  |  | 314 |  |  | 37 |  |  |  |  |  |  |  |  |
Investment securities | 9,668 |  |  | 9,269 |  |  | 8,494 |  |  | 8,401 |  |  | 8,320 |  |  | 399 |  |  | 4 |  |  | 1,347 |  |  | 16 |  |  |  |  |  |  |  |  |
Trading securities | 1,594 |  |  | 1,552 |  |  | 1,171 |  |  | 1,322 |  |  | 1,418 |  |  | 43 |  |  | 3 |  |  | 176 |  |  | 12 |  |  |  |  |  |  |  |  |
Interest-bearing deposits with banks | 14,902 |  |  | 15,065 |  |  | 15,022 |  |  | 13,051 |  |  | 9,269 |  |  | (163) |  |  | (1) |  |  | 5,633 |  |  | 61 |  |  |  |  |  |  |  |  |
Federal funds sold and securities purchased under agreements to resell | 753 |  |  | 650 |  |  | 587 |  |  | 648 |  |  | 599 |  |  | 103 |  |  | 16 |  |  | 153 |  |  | 26 |  |  |  |  |  |  |  |  |
Total interest earning assets | 82,155 |  |  | 82,469 |  |  | 81,775 |  |  | 80,984 |  |  | 78,670 |  |  | (314) |  |  | — |  |  | 3,484 |  |  | 4 |  |  |  |  |  |  |  |  |
Cash and due from banks | 1,226 |  |  | 1,263 |  |  | 1,263 |  |  | 1,267 |  |  | 1,250 |  |  | (37) |  |  | (3) |  |  | (24) |  |  | (2) |  |  |  |  |  |  |  |  |
Goodwill and other intangibles assets, net | 1,802 |  |  | 1,815 |  |  | 1,829 |  |  | 1,843 |  |  | 1,857 |  |  | (13) |  |  | (1) |  |  | (55) |  |  | (3) |  |  |  |  |  |  |  |  |
Premises and equipment, net | 655 |  |  | 676 |  |  | 703 |  |  | 714 |  |  | 755 |  |  | (21) |  |  | (3) |  |  | (100) |  |  | (13) |  |  |  |  |  |  |  |  |
Allowances for loan and lease losses | (658) |  |  | (714) |  |  | (793) |  |  | (884) |  |  | (949) |  |  | 56 |  |  | 8 |  |  | 291 |  |  | 31 |  |  |  |  |  |  |  |  |
Other assets | 3,407 |  |  | 3,515 |  |  | 3,624 |  |  | 3,635 |  |  | 3,817 |  |  | (108) |  |  | (3) |  |  | (410) |  |  | (11) |  |  |  |  |  |  |  |  |
Total assets | $ | 88,587 |  |  | $ | 89,025 |  |  | $ | 88,401 |  |  | $ | 87,559 |  |  | $ | 85,401 |  |  | $ | (438) |  |  | — | % |  | $ | 3,187 |  |  | 4 | % |  |  |  |  |  |  |  |
Liabilities and shareholders' equity: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Deposits: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Savings | $ | 26,330 |  |  | $ | 26,731 |  |  | $ | 27,793 |  |  | $ | 27,238 |  |  | $ | 27,370 |  |  | $ | (401) |  |  | (2) | % |  | $ | (1,040) |  |  | (4) | % |  |  |  |  |  |  |  |
Time deposits | 3,343 |  |  | 3,695 |  |  | 4,121 |  |  | 4,487 |  |  | 4,836 |  |  | (352) |  |  | (10) |  |  | (1,493) |  |  | (31) |  |  |  |  |  |  |  |  |
Other interest-bearing deposits | 16,558 |  |  | 15,900 |  |  | 15,333 |  |  | 16,029 |  |  | 15,491 |  |  | 658 |  |  | 4 |  |  | 1,067 |  |  | 7 |  |  |  |  |  |  |  |  |
Total interest-bearing deposits | 46,230 |  |  | 46,326 |  |  | 47,248 |  |  | 47,754 |  |  | 47,697 |  |  | (96) |  |  | — |  |  | (1,466) |  |  | (3) |  |  |  |  |  |  |  |  |
Trading liabilities | 614 |  |  | 556 |  |  | 527 |  |  | 560 |  |  | 518 |  |  | 58 |  |  | 10 |  |  | 96 |  |  | 19 |  |  |  |  |  |  |  |  |
Short-term borrowings | 1,995 |  |  | 2,249 |  |  | 2,452 |  |  | 2,248 |  |  | 2,280 |  |  | (255) |  |  | (11) |  |  | (285) |  |  | (13) |  |  |  |  |  |  |  |  |
Term borrowings | 1,591 |  |  | 1,575 |  |  | 1,665 |  |  | 1,672 |  |  | 1,670 |  |  | 15 |  |  | 1 |  |  | (80) |  |  | (5) |  |  |  |  |  |  |  |  |
Total interest-bearing liabilities | 50,430 |  |  | 50,707 |  |  | 51,892 |  |  | 52,233 |  |  | 52,164 |  |  | (277) |  |  | (1) |  |  | (1,735) |  |  | (3) |  |  |  |  |  |  |  |  |
Noninterest-bearing deposits | 27,926 |  |  | 28,282 |  |  | 26,485 |  |  | 25,404 |  |  | 23,284 |  |  | (356) |  |  | (1) |  |  | 4,641 |  |  | 20 |  |  |  |  |  |  |  |  |
Other liabilities | 1,613 |  |  | 1,511 |  |  | 1,447 |  |  | 1,463 |  |  | 1,603 |  |  | 103 |  |  | 7 |  |  | 10 |  |  | 1 |  |  |  |  |  |  |  |  |
Total liabilities | 79,969 |  |  | 80,499 |  |  | 79,824 |  |  | 79,100 |  |  | 77,052 |  |  | (531) |  |  | (1) |  |  | 2,917 |  |  | 4 |  |  |  |  |  |  |  |  |
Shareholders' Equity: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Preferred stock | 695 |  |  | 520 |  |  | 520 |  |  | 513 |  |  | 470 |  |  | 175 |  |  | 34 |  |  | 225 |  |  | 48 |  |  |  |  |  |  |  |  |
Common stock | 334 |  |  | 336 |  |  | 342 |  |  | 345 |  |  | 346 |  |  | (3) |  |  | (1) |  |  | (13) |  |  | (4) |  |  |  |  |  |  |  |  |
Capital surplus | 4,753 |  |  | 4,811 |  |  | 4,936 |  |  | 5,023 |  |  | 5,061 |  |  | (58) |  |  | (1) |  |  | (308) |  |  | (6) |  |  |  |  |  |  |  |  |
Retained earnings | 2,938 |  |  | 2,819 |  |  | 2,673 |  |  | 2,499 |  |  | 2,336 |  |  | 119 |  |  | 4 |  |  | 602 |  |  | 26 |  |  |  |  |  |  |  |  |
Accumulated other comprehensive loss, net | (398) |  |  | (256) |  |  | (190) |  |  | (217) |  |  | (161) |  |  | (141) |  |  | (55) |  |  | (237) |  |  | (147) |  |  |  |  |  |  |  |  |
Combined shareholders' equity | 8,323 |  |  | 8,230 |  |  | 8,281 |  |  | 8,164 |  |  | 8,054 |  |  | 93 |  |  | 1 |  |  | 269 |  |  | 3 |  |  |  |  |  |  |  |  |
Noncontrolling interest | 295 |  |  | 295 |  |  | 295 |  |  | 295 |  |  | 295 |  |  | — |  |  | — |  |  | — |  |  | — |  |  |  |  |  |  |  |  |
Total shareholders' equity | 8,619 |  |  | 8,526 |  |  | 8,577 |  |  | 8,459 |  |  | 8,349 |  |  | 93 |  |  | 1 |  |  | 269 |  |  | 3 |  |  |  |  |  |  |  |  |
Total liabilities and shareholders' equity | $ | 88,587 |  |  | $ | 89,025 |  |  | $ | 88,401 |  |  | $ | 87,559 |  |  | $ | 85,401 |  |  | $ | (438) |  |  | — | % |  | $ | 3,187 |  |  | 4 | % |  |  |  |  |  |  |  |
Memo: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Total Deposits | $ | 74,156 |  |  | $ | 74,608 |  |  | $ | 73,733 |  |  | $ | 73,158 |  |  | $ | 70,981 |  |  | $ | (452) |  |  | (1) | % |  | $ | 3,175 |  |  | 4 | % |  |  |  |  |  |  |  |

Numbers may not foot due to rounding. See footnote disclosures on page 20.
12

CONSOLIDATED NET INTEREST INCOME AND AVERAGE BALANCE SHEET: YIELDS AND RATES |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Quarterly, Unaudited |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
|  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 1Q22 change vs. |  |  |  |  |  |  |  |
| 1Q22 |  | 4Q21 |  | 3Q21 |  | 2Q21 |  | 1Q21 |  | 4Q21 |  | 1Q21 |  |  |  |  |  |
(In millions, except rates) | Income/Expense |  | Rate |  | Income/Expense |  | Rate |  | Income/Expense |  | Rate |  | Income/Expense |  | Rate |  | Income/Expense |  | Rate |  | Income/Expense |  | Income/Expense |  |  |  |  |  |  |  |
|  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | $ | % |  | $ | % |  |  |  |  |  |  |  |  |
Interest earning assets/Interest income: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Loans and leases, net of unearned income: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Commercial | $ | 339 |  |  | 3.24 | % |  | $ | 365 |  |  | 3.37 | % |  | $ | 372 |  |  | 3.37 | % |  | $ | 380 |  |  | 3.39 | % |  | $ | 382 |  |  | 3.39 | % |  | $ | (26) |  | (7) | % |  | $ | (43) |  | (11) | % |  |  |  |  |  |  |  |  |
Consumer | 108 |  |  | 3.71 |  |  | 110 |  |  | 3.77 |  |  | 112 |  |  | 3.83 |  |  | 118 |  |  | 3.98 |  |  | 127 |  |  | 4.09 |  |  | (2) |  | (2) |  |  | (19) |  | (15) |  |  |  |  |  |  |  |  |  |
Loans and leases, net of unearned income | 447 |  |  | 3.34 |  |  | 475 |  |  | 3.45 |  |  | 484 |  |  | 3.47 |  |  | 498 |  |  | 3.52 |  |  | 510 |  |  | 3.54 |  |  | (28) |  | (6) |  |  | (63) |  | (12) |  |  |  |  |  |  |  |  |  |
Loans held-for-sale | 10 |  |  | 3.51 |  |  | 11 |  |  | 3.49 |  |  | 8 |  |  | 3.25 |  |  | 7 |  |  | 3.94 |  |  | 7 |  |  | 3.16 |  |  | (1) |  | (8) |  |  | 3 |  | 50 |  |  |  |  |  |  |  |  |  |
Investment securities | 38 |  |  | 1.59 |  |  | 33 |  |  | 1.43 |  |  | 31 |  |  | 1.48 |  |  | 29 |  |  | 1.39 |  |  | 28 |  |  | 1.41 |  |  | 5 |  | 15 |  |  | 10 |  | 37 |  |  |  |  |  |  |  |  |  |
Trading securities | 11 |  |  | 2.75 |  |  | 10 |  |  | 2.50 |  |  | 6 |  |  | 2.07 |  |  | 7 |  |  | 2.03 |  |  | 7 |  |  | 2.03 |  |  | 1 |  | 13 |  |  | 4 |  | 53 |  |  |  |  |  |  |  |  |  |
Interest-bearing deposits with banks | 7 |  |  | 0.19 |  |  | 6 |  |  | 0.15 |  |  | 6 |  |  | 0.16 |  |  | 3 |  |  | 0.10 |  |  | 2 |  |  | 0.10 |  |  | 1 |  | 21 |  |  | 5 |  | NM |  |  |  |  |  |  |  |  |
Federal funds sold and securities purchased under agreements | — |  |  | (0.04) |  |  | — |  |  | (0.09) |  |  | — |  |  | (0.03) |  |  | — |  |  | (0.06) |  |  | — |  |  | (0.12) |  |  | — |  | 100 |  |  | — |  | 100 |  |  |  |  |  |  |  |  |  |
Interest income | $ | 513 |  |  | 2.52 | % |  | $ | 534 |  |  | 2.58 | % |  | $ | 536 |  |  | 2.61 | % |  | $ | 545 |  |  | 2.70 | % |  | $ | 555 |  |  | 2.85 | % |  | $ | (21) |  | (4) | % |  | $ | (42) |  | (8) | % |  |  |  |  |  |  |  |  |
Interest bearing liabilities/Interest expense: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Interest-bearing deposits: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Savings | $ | 3 |  |  | 0.05 | % |  | $ | 4 |  |  | 0.06 | % |  | $ | 9 |  |  | 0.12 | % |  | $ | 11 |  |  | 0.16 | % |  | $ | 13 |  |  | 0.19 | % |  | $ | (1) |  | (23) | % |  | $ | (10) |  | (76) | % |  |  |  |  |  |  |  |  |
Time deposits | 4 |  |  | 0.51 |  |  | 5 |  |  | 0.56 |  |  | 6 |  |  | 0.62 |  |  | 7 |  |  | 0.65 |  |  | 6 |  |  | 0.47 |  |  | (1) |  | (23) |  |  | (2) |  | (29) |  |  |  |  |  |  |  |  |  |
Other interest-bearing deposits | 4 |  |  | 0.09 |  |  | 4 |  |  | 0.10 |  |  | 5 |  |  | 0.12 |  |  | 6 |  |  | 0.15 |  |  | 6 |  |  | 0.16 |  |  | — |  | 4 |  |  | (2) |  | (33) |  |  |  |  |  |  |  |  |  |
Total interest-bearing deposits | 11 |  |  | 0.10 |  |  | 13 |  |  | 0.11 |  |  | 20 |  |  | 0.17 |  |  | 24 |  |  | 0.20 |  |  | 24 |  |  | 0.20 |  |  | (2) |  | (15) |  |  | (13) |  | (54) |  |  |  |  |  |  |  |  |  |
Trading liabilities | 3 |  |  | 1.69 |  |  | 2 |  |  | 1.38 |  |  | 1 |  |  | 1.11 |  |  | 2 |  |  | 1.17 |  |  | 1 |  |  | 0.73 |  |  | 1 |  | 55 |  |  | 2 |  | NM |  |  |  |  |  |  |  |  |
Short-term borrowings | 1 |  |  | 0.15 |  |  | 1 |  |  | 0.18 |  |  | 1 |  |  | 0.24 |  |  | 1 |  |  | 0.22 |  |  | 1 |  |  | 0.21 |  |  | — |  | — |  |  | — |  | (17) |  |  |  |  |  |  |  |  |  |
Term borrowings | 17 |  |  | 4.29 |  |  | 17 |  |  | 4.30 |  |  | 18 |  |  | 4.39 |  |  | 18 |  |  | 4.38 |  |  | 18 |  |  | 4.39 |  |  | — |  | — |  |  | (1) |  | (7) |  |  |  |  |  |  |  |  |  |
Interest expense | 31 |  |  | 0.25 |  |  | 33 |  |  | 0.26 |  |  | 41 |  |  | 0.31 |  |  | 45 |  |  | 0.34 |  |  | 45 |  |  | 0.34 |  |  | (2) |  | (6) |  |  | (14) |  | (30) |  |  |  |  |  |  |  |  |  |
Net interest income - tax equivalent basis | 482 |  |  | 2.27 |  |  | 502 |  |  | 2.32 |  |  | 495 |  |  | 2.30 |  |  | 500 |  |  | 2.36 |  |  | 511 |  |  | 2.51 |  |  | (20) |  | (4) |  |  | (29) |  | (6) |  |  |  |  |  |  |  |  |  |
Fully taxable equivalent adjustment | (3) |  |  | 0.10 |  |  | (3) |  |  | 0.10 |  |  | (3) |  |  | 0.11 |  |  | (3) |  |  | 0.11 |  |  | (3) |  |  | 0.11 |  |  | — |  | 5 |  |  | — |  | (1) |  |  |  |  |  |  |  |  |  |
Net interest income | $ | 479 |  |  | 2.37 | % |  | $ | 498 |  |  | 2.42 | % |  | $ | 492 |  |  | 2.41 | % |  | $ | 497 |  |  | 2.47 | % |  | $ | 508 |  |  | 2.62 | % |  | $ | (19) |  | (4) | % |  | $ | (29) |  | (6) | % |  |  |  |  |  |  |  |  |
Memo: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Total loan yield |  |  | 3.34 | % |  |  |  | 3.45 | % |  |  |  | 3.47 | % |  |  |  | 3.52 | % |  |  |  | 3.54 | % |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Total deposit cost |  |  | 0.06 | % |  |  |  | 0.07 | % |  |  |  | 0.11 | % |  |  |  | 0.13 | % |  |  |  | 0.14 | % |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Total funding cost |  |  | 0.16 | % |  |  |  | 0.16 | % |  |  |  | 0.21 | % |  |  |  | 0.23 | % |  |  |  | 0.24 | % |  |  |  |  |  |  |  |  |  |  |  |  |  |  |

Net interest income and yields are adjusted to a fully taxable equivalent (“FTE”) basis assuming a statutory federal income tax of 21 percent and, where applicable, state income taxes.
Earning assets yields are expressed net of unearned income.
Loan yields include loan fees, cash basis interest income, and loans on nonaccrual status.
Numbers may not foot due to rounding.
Certain previously reported amounts have been reclassified to agree with current presentation.
See footnote disclosures on page 20.
13

CONSOLIDATED NONPERFORMING LOANS AND LEASES ("NPL") |
Quarterly, Unaudited |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
|  | As of |  | 1Q22 change vs. |
(In millions, except ratio data) |  | 1Q22 |  | 4Q21 |  | 3Q21 |  | 2Q21 |  | 1Q21 |  | 4Q21 |  | 1Q21 |
|  |  |  |  |  |  |  |  |  |  |  | $ |  | % |  | $ |  | % |
Nonperforming loans and leases |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Commercial, financial, and industrial (C&I) |  | $ | 153 |  |  | $ | 125 |  |  | $ | 144 |  |  | $ | 122 |  |  | $ | 144 |  |  | $ | 28 |  |  | 23 | % |  | $ | 9 |  |  | 6 | % |
Commercial real estate |  | 12 |  |  | 9 |  |  | 58 |  |  | 70 |  |  | 67 |  |  | 2 |  |  | 26 |  |  | (56) |  |  | (83) |  |
Consumer real estate |  | 165 |  |  | 138 |  |  | 143 |  |  | 149 |  |  | 180 |  |  | 26 |  |  | 19 |  |  | (15) |  |  | (8) |  |
Credit card and other |  | 3 |  |  | 3 |  |  | 2 |  |  | 2 |  |  | 2 |  |  | — |  |  | (3) |  |  | — |  |  | 11 |  |
Total nonperforming loans and leases |  | $ | 332 |  |  | $ | 275 |  |  | $ | 347 |  |  | $ | 344 |  |  | $ | 394 |  |  | $ | 57 |  |  | 21 | % |  | $ | (62) |  |  | (16) | % |
Asset Quality Ratio |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Nonperforming loans and leases to loans and leases |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Commercial, financial, and industrial (C&I) |  | 0.50 | % |  | 0.40 | % |  | 0.46 | % |  | 0.38 | % |  | 0.42 | % |  |  |  |  |  |  |  |  |
Commercial real estate |  | 0.09 |  |  | 0.08 |  |  | 0.48 |  |  | 0.57 |  |  | 0.54 |  |  |  |  |  |  |  |  |  |
Consumer real estate |  | 1.52 |  |  | 1.29 |  |  | 1.33 |  |  | 1.37 |  |  | 1.63 |  |  |  |  |  |  |  |  |  |
Credit card and other |  | 0.32 |  |  | 0.31 |  |  | 0.22 |  |  | 0.24 |  |  | 0.22 |  |  |  |  |  |  |  |  |  |
Total nonperforming loans and leases to loans and leases |  | 0.60 | % |  | 0.50 | % |  | 0.63 | % |  | 0.61 | % |  | 0.67 | % |  |  |  |  |  |  |  |  |

Numbers may not foot due to rounding.

CONSOLIDATED LOANS AND LEASES 90 DAYS OR MORE PAST DUE AND ACCRUING |
Quarterly, Unaudited |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
|  | As of |  | 1Q22 change vs. |
(In millions) |  | 1Q22 |  | 4Q21 |  | 3Q21 |  | 2Q21 |  | 1Q21 |  | 4Q21 |  | 1Q21 |
|  |  |  |  |  |  |  |  |  |  |  | $ |  | % |  | $ |  | % |
Loans and leases 90 days or more past due and accruing |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Commercial, financial, and industrial (C&I) |  | $ | 6 |  |  | $ | 5 |  |  | $ | 1 |  |  | $ | 1 |  |  | $ | — |  |  | $ | 1 |  |  | 18 | % |  | $ | 5 |  |  | NM |
Commercial real estate |  | — |  |  | — |  |  | 2 |  |  | — |  |  | — |  |  | — |  |  | NM |  | — |  |  | NM |
Consumer real estate |  | 14 |  |  | 33 |  |  | 12 |  |  | 12 |  |  | 12 |  |  | (20) |  |  | (59) |  |  | 1 |  |  | 8 |  |
Credit card and other |  | 4 |  |  | 2 |  |  | 2 |  |  | 1 |  |  | — |  |  | 1 |  |  | 61 |  |  | 3 |  |  | NM |
Total loans and leases 90 days or more past due and accruing |  | $ | 23 |  |  | $ | 40 |  |  | $ | 16 |  |  | $ | 14 |  |  | $ | 13 |  |  | $ | (17) |  |  | (43) | % |  | $ | 10 |  |  | 73 | % |

Numbers may not foot due to rounding.
14

CONSOLIDATED NET CHARGE-OFFS (RECOVERIES)
Quarterly, Unaudited |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
|  | As of |  | 1Q22 change vs. |
(In millions, except ratio data) |  | 1Q22 |  | 4Q21 |  | 3Q21 |  | 2Q21 |  | 1Q21 |  | 4Q21 |  | 1Q21 |
Charge-off, Recoveries and Related Ratios |  |  |  |  |  |  |  |  |  |  |  | $ |  | % |  | $ |  | % |
Gross Charge-offs |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Commercial, financial, and industrial (C&I) |  | $ | 13 |  |  | $ | 5 |  |  | $ | 12 |  |  | $ | 2 |  |  | $ | 15 |  |  | $ | 8 |  |  | NM |  | $ | (2) |  |  | (16) | % |
Commercial real estate |  | — |  |  | — |  |  | 2 |  |  | — |  |  | 3 |  |  | — |  |  | (100) |  |  | (3) |  |  | (100) |  |
Consumer real estate |  | 1 |  |  | 2 |  |  | 1 |  |  | 1 |  |  | 1 |  |  | (1) |  |  | (60) |  |  | (1) |  |  | (43) |  |
Credit card and other |  | 5 |  |  | 4 |  |  | 5 |  |  | 3 |  |  | 3 |  |  | 1 |  |  | 17 |  |  | 2 |  |  | 62 |  |
Total gross charge-offs |  | $ | 19 |  |  | $ | 11 |  |  | $ | 19 |  |  | $ | 6 |  |  | $ | 23 |  |  | $ | 8 |  |  | 74 | % |  | $ | (4) |  |  | (19) | % |
Gross Recoveries |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Commercial, financial, and industrial (C&I) |  | $ | (3) |  |  | $ | (3) |  |  | $ | (7) |  |  | $ | (5) |  |  | $ | (6) |  |  | $ | — |  |  | 10 | % |  | $ | 3 |  |  | 48 | % |
Commercial real estate |  | — |  |  | — |  |  | (2) |  |  | (1) |  |  | (2) |  |  | — |  |  | 48 |  |  | 1 |  |  | 87 |  |
Consumer real estate |  | (5) |  |  | (5) |  |  | (7) |  |  | (8) |  |  | (6) |  |  | — |  |  | (1) |  |  | 2 |  |  | 24 |  |
Credit card and other |  | (1) |  |  | (1) |  |  | — |  |  | (2) |  |  | (1) |  |  | — |  |  | 25 |  |  | — |  |  | 29 |  |
Total gross recoveries |  | $ | (9) |  |  | $ | (10) |  |  | $ | (16) |  |  | $ | (16) |  |  | $ | (15) |  |  | $ | 1 |  |  | 8 | % |  | $ | 6 |  |  | 40 | % |
Net Charge-offs (Recoveries) |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Commercial, financial, and industrial (C&I) |  | $ | 10 |  |  | $ | 1 |  |  | $ | 5 |  |  | $ | (3) |  |  | $ | 10 |  |  | $ | 9 |  |  | NM |  | $ | — |  |  | 5 | % |
Commercial real estate |  | — |  |  | — |  |  | — |  |  | (1) |  |  | 2 |  |  | — |  |  | 46 |  |  | (2) |  |  | (112) |  |
Consumer real estate |  | (4) |  |  | (3) |  |  | (7) |  |  | (8) |  |  | (5) |  |  | (1) |  |  | (45) |  |  | 1 |  |  | 19 |  |
Credit card and other |  | 4 |  |  | 3 |  |  | 4 |  |  | 1 |  |  | 2 |  |  | 1 |  |  | 32 |  |  | 2 |  |  | 121 |  |
Total net charge-offs |  | $ | 10 |  |  | $ | 1 |  |  | $ | 3 |  |  | $ | (10) |  |  | $ | 8 |  |  | $ | 9 |  |  | NM |  | $ | 2 |  |  | 20 | % |
Annualized Net Charge-off (Recovery) Rates |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Commercial, financial, and industrial (C&I) |  | 0.13 | % |  | 0.01 | % |  | 0.06 | % |  | (0.04) | % |  | 0.12 | % |  |  |  |  |  |  |  |  |
Commercial real estate |  | (0.01) |  |  | (0.01) |  |  | 0.01 |  |  | (0.02) |  |  | 0.06 |  |  |  |  |  |  |  |  |  |
Consumer real estate |  | (0.15) |  |  | (0.10) |  |  | (0.24) |  |  | (0.28) |  |  | (0.18) |  |  |  |  |  |  |  |  |  |
Credit card and other |  | 1.85 |  |  | 1.26 |  |  | 1.86 |  |  | 0.51 |  |  | 0.65 |  |  |  |  |  |  |  |  |  |
Total loans and leases |  | 0.07 | % |  | 0.01 | % |  | 0.02 | % |  | (0.07) | % |  | 0.06 | % |  |  |  |  |  |  |  |  |

Numbers may not foot due to rounding.
15

CONSOLIDATED ALLOWANCE FOR LOAN AND LEASE LOSSES AND RESERVE FOR UNFUNDED COMMITMENTS |
Quarterly, Unaudited |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
|  | As of |  | 1Q22 Change vs. |
(In millions) |  | 1Q22 |  | 4Q21 |  | 3Q21 |  | 2Q21 |  | 1Q21 |  | 4Q21 |  | 1Q21 |
Summary of Changes in the Components of the Allowance For Credit Losses |  |  |  |  |  |  |  |  |  |  |  | $ |  | % |  | $ |  | % |
Allowance for loan and lease losses - beginning |  | $ | 670 |  |  | $ | 734 |  |  | $ | 815 |  |  | $ | 914 |  |  | $ | 963 |  |  | $ | (64) |  |  | (9) | % |  | $ | (293) |  |  | (30) | % |
Charge-offs: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Commercial, financial, and industrial (C&I) |  | (13) |  |  | (5) |  |  | (12) |  |  | (2) |  |  | (15) |  |  | (8) |  |  | NM |  | 2 |  |  | 16 |  |
Commercial real estate |  | — |  |  | — |  |  | (2) |  |  | — |  |  | (3) |  |  | — |  |  | 100 |  |  | 3 |  |  | 100 |  |
Consumer real estate |  | (1) |  |  | (2) |  |  | (1) |  |  | (1) |  |  | (1) |  |  | 1 |  |  | 60 |  |  | 1 |  |  | 43 |  |
Credit card and other |  | (5) |  |  | (4) |  |  | (5) |  |  | (3) |  |  | (3) |  |  | (1) |  |  | (17) |  |  | (2) |  |  | (62) |  |
Total charge-offs |  | (19) |  |  | (11) |  |  | (19) |  |  | (6) |  |  | (23) |  |  | (8) |  |  | (74) |  |  | 4 |  |  | 19 |  |
Recoveries: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Commercial, financial, and industrial (C&I) |  | 3 |  |  | 3 |  |  | 7 |  |  | 5 |  |  | 6 |  |  | — |  |  | (10) |  |  | (3) |  |  | (48) |  |
Commercial real estate |  | — |  |  | — |  |  | 2 |  |  | 1 |  |  | 2 |  |  | — |  |  | (48) |  |  | (1) |  |  | (87) |  |
Consumer real estate |  | 5 |  |  | 5 |  |  | 7 |  |  | 8 |  |  | 6 |  |  | — |  |  | 1 |  |  | (2) |  |  | (24) |  |
Credit card and other |  | 1 |  |  | 1 |  |  | — |  |  | 2 |  |  | 1 |  |  | — |  |  | (25) |  |  | — |  |  | (29) |  |
Total Recoveries |  | 9 |  |  | 10 |  |  | 16 |  |  | 16 |  |  | 15 |  |  | (1) |  |  | (8) |  |  | (6) |  |  | (40) |  |
Provision for loan and lease losses: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Commercial, financial, and industrial (C&I) |  | (36) |  |  | (40) |  |  | (5) |  |  | (60) |  |  | (1) |  |  | 3 |  |  | 9 |  |  | (35) |  |  | NM |
Commercial real estate |  | (3) |  |  | (9) |  |  | (48) |  |  | (22) |  |  | (8) |  |  | 6 |  |  | 68 |  |  | 5 |  |  | 66 |  |
Consumer real estate |  | (3) |  |  | (18) |  |  | (31) |  |  | (26) |  |  | (26) |  |  | 15 |  |  | 82 |  |  | 22 |  |  | 87 |  |
Credit card and other |  | 4 |  |  | 3 |  |  | 6 |  |  | — |  |  | (6) |  |  | 1 |  |  | 25 |  |  | 10 |  |  | NM |
Total provision for loan and lease losses: |  | (38) |  |  | (63) |  |  | (78) |  |  | (109) |  |  | (41) |  |  | 25 |  |  | 40 |  |  | 3 |  |  | 7 |  |
Allowance for loan and lease losses - ending |  | $ | 622 |  |  | $ | 670 |  |  | $ | 734 |  |  | $ | 815 |  |  | $ | 914 |  |  | $ | (48) |  |  | (7) | % |  | $ | (292) |  |  | (32) | % |
Reserve for unfunded commitments - beginning |  | $ | 66 |  |  | $ | 68 |  |  | $ | 75 |  |  | $ | 81 |  |  | $ | 85 |  |  | $ | (2) |  |  | (3) | % |  | $ | (19) |  |  | (22) | % |
Cumulative effect of change in accounting principle |  | — |  |  | — |  |  | — |  |  | — |  |  | — |  |  | — |  |  | NM |  | — |  |  | NM |
Acquired reserve for unfunded commitments |  | — |  |  | — |  |  | — |  |  | — |  |  | — |  |  | — |  |  | NM |  | — |  |  | NM |
Provision for unfunded commitments |  | (2) |  |  | (2) |  |  | (7) |  |  | (6) |  |  | (4) |  |  | — |  |  | — |  |  | 2 |  |  | 50 |  |
Reserve for unfunded commitments - ending |  | $ | 64 |  |  | $ | 66 |  |  | $ | 68 |  |  | $ | 75 |  |  | $ | 81 |  |  | $ | (2) |  |  | (3) |  |  | $ | (17) |  |  | (21) |  |
Total allowance for credit losses- ending |  | $ | 686 |  |  | $ | 736 |  |  | $ | 802 |  |  | $ | 890 |  |  | $ | 995 |  |  | $ | (50) |  |  | (7) | % |  | $ | (309) |  |  | (31) | % |

Numbers may not foot due to rounding.
16

CONSOLIDATED ASSET QUALITY RATIOS - ALLOWANCE FOR LOAN AND LEASE LOSSES |  |  |  |  |  |  |  |  |  |  |
Quarterly, Unaudited |  |  |  |  |  |  |  |  |  |  |
|  | As of |
|  | 1Q22 |  | 4Q21 |  | 3Q21 |  | 2Q21 |  | 1Q21 |
Allowance for loans and lease losses to loans and leases |  |  |  |  |  |  |  |  |  |  |
Commercial, financial, and industrial (C&I) |  | 0.93 | % |  | 1.07 | % |  | 1.19 | % |  | 1.18 | % |  | 1.30 | % |
Commercial real estate |  | 1.21 | % |  | 1.27 | % |  | 1.33 | % |  | 1.71 | % |  | 1.86 | % |
Consumer real estate |  | 1.51 | % |  | 1.51 | % |  | 1.65 | % |  | 1.87 | % |  | 2.00 | % |
Credit card and other |  | 2.31 | % |  | 2.14 | % |  | 2.03 | % |  | 1.71 | % |  | 1.63 | % |
Total allowance for loans and lease losses to loans and leases |  | 1.13 | % |  | 1.22 | % |  | 1.32 | % |  | 1.44 | % |  | 1.56 | % |
Allowance for loans and lease losses to nonperforming loans and leases |  |  |  |  |  |  |  |  |  |  |
Commercial, financial, and industrial (C&I) |  | 188 | % |  | 268 | % |  | 261 | % |  | 314 | % |  | 307 | % |
Commercial real estate |  | 1,303 | % |  | 1,671 | % |  | 278 | % |  | 300 | % |  | 345 | % |
Consumer real estate |  | 99 | % |  | 118 | % |  | 125 | % |  | 136 | % |  | 123 | % |
Credit card and other |  | 730 | % |  | 699 | % |  | 926 | % |  | 725 | % |  | 749 | % |
Total allowance for loans and lease losses to nonperforming loans and leases |  | 187 | % |  | 244 | % |  | 211 | % |  | 237 | % |  | 232 | % |

17

REGIONAL BANKING
Quarterly, Unaudited

|  |  |  |  |  |  |  |  |  |  | 1Q22 Change vs. |  |  |  |
| 1Q22 |  | 4Q21 |  | 3Q21 |  | 2Q21 |  | 1Q21 |  | 4Q21 |  | 1Q21 |  |  |  |  |  |
|  |  |  |  |  |  |  |  |  |  | $/bp |  | % |  | $/bp |  | % |  |  |  |  |  |  |  |
Income Statement (millions) |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Net interest income | $ | 425 |  |  | $ | 446 |  |  | $ | 441 |  |  | $ | 441 |  |  | $ | 430 |  |  | $ | (21) |  |  | (5) | % |  | $ | (5) |  |  | (1) | % |  |  |  |  |  |  |  |
Noninterest income | 114 |  |  | 115 |  |  | 113 |  |  | 109 |  |  | 100 |  |  | (1) |  |  | (1) |  |  | 14 |  |  | 14 | % |  |  |  |  |  |  |  |
Total revenue | 538 |  |  | 561 |  |  | 555 |  |  | 551 |  |  | 530 |  |  | (23) |  |  | (4) |  |  | 8 |  |  | 2 | % |  |  |  |  |  |  |  |
Noninterest expense | 310 |  |  | 306 |  |  | 300 |  |  | 277 |  |  | 270 |  |  | 4 |  |  | 1 |  |  | 40 |  |  | 15 | % |  |  |  |  |  |  |  |
Pre-provision net revenue 3 | 229 |  |  | 255 |  |  | 255 |  |  | 273 |  |  | 260 |  |  | (26) |  |  | (10) |  |  | (31) |  |  | (12) | % |  |  |  |  |  |  |  |
Provision for credit losses | (30) |  |  | (60) |  |  | (52) |  |  | (88) |  |  | (29) |  |  | 30 |  |  | 50 |  |  | (1) |  |  | (3) | % |  |  |  |  |  |  |  |
Income before income tax expense | 259 |  |  | 315 |  |  | 307 |  |  | 362 |  |  | 289 |  |  | (56) |  |  | (18) |  |  | (30) |  |  | (10) | % |  |  |  |  |  |  |  |
Income tax expense | 61 |  |  | 73 |  |  | 72 |  |  | 85 |  |  | 67 |  |  | (12) |  |  | (16) |  |  | (6) |  |  | (9) | % |  |  |  |  |  |  |  |
Net income | $ | 198 |  |  | $ | 242 |  |  | $ | 235 |  |  | $ | 277 |  |  | $ | 222 |  |  | $ | (44) |  |  | (18) | % |  | $ | (24) |  |  | (11) | % |  |  |  |  |  |  |  |
Average Balances (billions) |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Total loans and leases | $ | 38.0 |  |  | $ | 37.7 |  |  | $ | 38.5 |  |  | $ | 40.0 |  |  | $ | 40.2 |  |  | $ | 0.3 |  |  | 1 | % |  | $ | (2.2) |  |  | (5) | % |  |  |  |  |  |  |  |
Interest-earning assets | 38.0 |  |  | 37.7 |  |  | 38.5 |  |  | 40.0 |  |  | 40.2 |  |  | 0.3 |  |  | 1 |  |  | (2.2) |  |  | (5) |  |  |  |  |  |  |  |  |
Total assets | 40.5 |  |  | 39.9 |  |  | 40.7 |  |  | 42.2 |  |  | 42.4 |  |  | 0.6 |  |  | 2 |  |  | (1.9) |  |  | (4) |  |  |  |  |  |  |  |  |
Total deposits | 66.6 |  |  | 66.6 |  |  | 65.4 |  |  | 65.0 |  |  | 62.1 |  |  | — |  |  | — |  |  | 4.5 |  |  | 7 |  |  |  |  |  |  |  |  |
Key Metrics |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Net interest margin 6 | 4.55 | % |  | 4.72 | % |  | 4.57 | % |  | 4.45 | % |  | 4.35 | % |  | (17) | bp |  |  |  | 20 | bp |  |  |  |  |  |  |  |  |  |
Efficiency ratio | 57.50 | % |  | 54.54 | % |  | 54.03 | % |  | 50.35 | % |  | 50.94 | % |  | 296 | bp |  |  |  | 656 | bp |  |  |  |  |  |  |  |  |  |
Loans-to-deposits ratio (period-end balances) | 57.46 | % |  | 56.16 | % |  | 57.40 | % |  | 59.95 | % |  | 62.61 | % |  | 130 | bp |  |  |  | (515) | bp |  |  |  |  |  |  |  |  |  |
Loans-to-deposits ratio (average-end balances) | 57.04 | % |  | 56.71 | % |  | 58.92 | % |  | 61.61 | % |  | 64.69 | % |  | 33 | bp |  |  |  | (765) | bp |  |  |  |  |  |  |  |  |  |
Return on average assets (annualized) | 1.99 | % |  | 2.41 | % |  | 2.29 | % |  | 2.64 | % |  | 2.12 | % |  | (42) | bp |  |  |  | (13) | bp |  |  |  |  |  |  |  |  |  |
Return on allocated equity 7 | 22.96 | % |  | 20.17 | % |  | 20.05 | % |  | 23.50 | % |  | 18.70 | % |  | 279 | bp |  |  |  | 426 | bp |  |  |  |  |  |  |  |  |  |
Financial center locations | 417 |  |  | 427 |  |  | 438 |  |  | 490 |  |  | 490 |  |  | (10) |  |  | (2) | % |  | (73) |  |  | (15) | % |  |  |  |  |  |  |  |

Numbers may not add to total due to rounding.
Certain previously reported amounts have been reclassified to agree with current presentation.
See footnote disclosures on page 20.
Regional Banking segment: Offers financial products and services, including traditional lending and deposit taking, to consumer and commercial customers primarily in the southern and southeastern U.S. and other selected markets. Regional Banking also provides investment, wealth management, financial planning, trust and asset management services for consumer customers.
18

SPECIALTY BANKING
Quarterly, Unaudited

|  |  |  |  |  |  |  |  |  |  | 1Q22 Change vs. |  |  |  |
| 1Q22 |  | 4Q21 |  | 3Q21 |  | 2Q21 |  | 1Q21 |  | 4Q21 |  | 1Q21 |  |  |  |  |  |
|  |  |  |  |  |  |  |  |  |  | $/bp |  | % |  | $/bp |  | % |  |  |  |  |  |  |  |
Income Statement (millions) |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Net interest income | $ | 141 |  |  | $ | 152 |  |  | $ | 151 |  |  | $ | 151 |  |  | $ | 158 |  |  | $ | (11) |  |  | (7) | % |  | $ | (17) |  |  | (11) | % |  |  |  |  |  |  |  |
Noninterest income | 105 |  |  | 120 |  |  | 142 |  |  | 150 |  |  | 185 |  |  | (15) |  |  | (13) |  |  | (80) |  |  | (43) |  |  |  |  |  |  |  |  |
Total revenue | 246 |  |  | 272 |  |  | 293 |  |  | 301 |  |  | 343 |  |  | (26) |  |  | (10) |  |  | (97) |  |  | (28) |  |  |  |  |  |  |  |  |
Noninterest expense | 136 |  |  | 131 |  |  | 141 |  |  | 146 |  |  | 154 |  |  | 5 |  |  | 4 |  |  | (18) |  |  | (12) |  |  |  |  |  |  |  |  |
Pre-provision net revenue 3 | 110 |  |  | 141 |  |  | 152 |  |  | 155 |  |  | 189 |  |  | (31) |  |  | (22) |  |  | (79) |  |  | (42) |  |  |  |  |  |  |  |  |
Provision for credit losses | (2) |  |  | (3) |  |  | (33) |  |  | (21) |  |  | (7) |  |  | 1 |  |  | 33 |  |  | 5 |  |  | 71 |  |  |  |  |  |  |  |  |
Income before income tax expense | 112 |  |  | 144 |  |  | 185 |  |  | 175 |  |  | 196 |  |  | (32) |  |  | (22) |  |  | (84) |  |  | (43) |  |  |  |  |  |  |  |  |
Income tax expense | 27 |  |  | 35 |  |  | 45 |  |  | 42 |  |  | 47 |  |  | (8) |  |  | (23) |  |  | (20) |  |  | (43) |  |  |  |  |  |  |  |  |
Net income | $ | 85 |  |  | $ | 109 |  |  | $ | 141 |  |  | $ | 133 |  |  | $ | 148 |  |  | $ | (24) |  |  | (22) | % |  | $ | (63) |  |  | (43) | % |  |  |  |  |  |  |  |
Average Balances (billions) |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Total loans and leases | $ | 15.5 |  |  | $ | 16.3 |  |  | $ | 16.3 |  |  | $ | 16.0 |  |  | $ | 17.2 |  |  | $ | (0.8) |  |  | (5) | % |  | $ | (1.7) |  |  | (10) | % |  |  |  |  |  |  |  |
Interest-earning assets | 19.0 |  |  | 19.8 |  |  | 19.2 |  |  | 18.8 |  |  | 20.2 |  |  | (0.7) |  |  | (4) |  |  | (1.1) |  |  | (6) |  |  |  |  |  |  |  |  |
Total assets | 20.2 |  |  | 21.0 |  |  | 20.5 |  |  | 20.1 |  |  | 21.6 |  |  | (0.8) |  |  | (4) |  |  | (1.3) |  |  | (6) |  |  |  |  |  |  |  |  |
Total deposits | 6.5 |  |  | 6.7 |  |  | 6.2 |  |  | 5.5 |  |  | 5.3 |  |  | (0.2) |  |  | (2) |  |  | 1.2 |  |  | 22 |  |  |  |  |  |  |  |  |
Key Metrics |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Fixed income product average daily revenue (thousands) | $ | 987 |  |  | $ | 1,123 |  |  | $ | 1,323 |  |  | $ | 1,425 |  |  | $ | 1,885 |  |  | $ | (136) |  |  | (12) | % |  | $ | (898) |  |  | (48) | % |  |  |  |  |  |  |  |
Net interest margin 6 | 3.00 | % |  | 3.05 | % |  | 3.14 | % |  | 3.22 | % |  | 3.17 | % |  | (5) | bp |  |  |  | (17) | bp |  |  |  |  |  |  |  |  |  |
Efficiency ratio | 55.34 | % |  | 48.25 | % |  | 48.01 | % |  | 48.59 | % |  | 44.94 | % |  | 709 | bp |  |  |  | 1,040 | bp |  |  |  |  |  |  |  |  |  |
Loans-to-deposits ratio (period-end balances) | 256 | % |  | 264 | % |  | 274 | % |  | 308 | % |  | 318 | % |  | (801) | bp |  |  |  | (6,239) | bp |  |  |  |  |  |  |  |  |  |
Loans-to-deposits ratio (average-end balances) | 239 | % |  | 245 | % |  | 266 | % |  | 293 | % |  | 325 | % |  | (554) | bp |  |  |  | (8,548) | bp |  |  |  |  |  |  |  |  |  |
Return on average assets (annualized) | 1.71 | % |  | 2.06 | % |  | 2.72 | % |  | 2.65 | % |  | 2.79 | % |  | (35) | bp |  |  |  | (108) | bp |  |  |  |  |  |  |  |  |  |
Return on allocated equity 7 | 21.38 | % |  | 19.84 | % |  | 23.29 | % |  | 21.59 | % |  | 23.27 | % |  | 154 | bp |  |  |  | (189) | bp |  |  |  |  |  |  |  |  |  |

Numbers may not add to total due to rounding.
Certain previously reported amounts have been reclassified to agree with current presentation.
See footnote disclosures on page 20.
Specialty Banking segment: Consists of lines of business that deliver product offerings and services with specialized industry knowledge. Specialty Banking’s lines of business include asset-based lending, mortgage warehouse lending, commercial real estate, franchise finance, correspondent banking, equipment finance, mortgage, and title insurance. In addition to traditional lending and deposit taking, Specialty Banking also delivers treasury management solutions, loan syndications, and international banking. Additionally, Specialty Banking has a line of business focused on fixed income securities sales, trading, underwriting, and strategies for institutional clients in the U.S. and abroad, as well as loan sales, portfolio advisory services, and derivative sales.
19

CORPORATE
Quarterly, Unaudited

|  | 1Q22 Change vs. |  |  |  |  |  |
| 1Q22 |  | 4Q21 |  | 3Q21 |  | 2Q21 |  | 1Q21 |  | 4Q21 |  | 1Q21 |  |  |  |  |  |
|  |  |  |  |  |  |  |  |  |  | $ |  | % |  | $ |  | % |  |  |  |  |  |  |  |
Income Statement (millions) |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Net interest income/(expense) | $ | (87) |  |  | $ | (100) |  |  | $ | (101) |  |  | $ | (96) |  |  | $ | (80) |  |  | $ | 13 |  |  | 13 | % |  | $ | (7) |  |  | (9) | % |  |  |  |  |  |  |  |
Noninterest income | 9 |  |  | 11 |  |  | (8) |  |  | 25 |  |  | 12 |  |  | (2) |  |  | (18) |  |  | (3) |  |  | (25) |  |  |  |  |  |  |  |  |
Total revenues | (77) |  |  | (88) |  |  | (110) |  |  | (70) |  |  | (67) |  |  | 11 |  |  | 13 |  |  | (10) |  |  | (15) |  |  |  |  |  |  |  |  |
Noninterest expense | 47 |  |  | 91 |  |  | 85 |  |  | 74 |  |  | 120 |  |  | (44) |  |  | (48) |  |  | (73) |  |  | (61) |  |  |  |  |  |  |  |  |
Pre-provision net revenue 3 | (124) |  |  | (179) |  |  | (195) |  |  | (144) |  |  | (187) |  |  | 55 |  |  | 31 |  |  | 63 |  |  | 34 |  |  |  |  |  |  |  |  |
Provision for credit losses | (7) |  |  | (2) |  |  | — |  |  | (6) |  |  | (10) |  |  | (5) |  |  | NM |  | 3 |  |  | 30 |  |  |  |  |  |  |  |  |
Income before income tax expense | (117) |  |  | (177) |  |  | (195) |  |  | (138) |  |  | (178) |  |  | 60 |  |  | 34 |  |  | 61 |  |  | 34 |  |  |  |  |  |  |  |  |
Income tax expense (benefit) | (31) |  |  | (56) |  |  | (54) |  |  | (39) |  |  | (43) |  |  | 25 |  |  | 45 |  |  | 12 |  |  | 28 |  |  |  |  |  |  |  |  |
Net income/(loss) | $ | (86) |  |  | $ | (122) |  |  | $ | (141) |  |  | $ | (99) |  |  | $ | (135) |  |  | $ | 36 |  |  | 30 | % |  | $ | 49 |  |  | 36 | % |  |  |  |  |  |  |  |
Average Balance Sheet (billions) |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Interest bearing assets | $ | 25.2 |  |  | $ | 25.0 |  |  | $ | 24.0 |  |  | $ | 22.1 |  |  | $ | 18.3 |  |  | $ | 0.2 |  |  | 1 | % |  | $ | 6.8 |  |  | 37 | % |  |  |  |  |  |  |  |
Total assets | 27.9 |  |  | 28.1 |  |  | 27.2 |  |  | 25.3 |  |  | 21.5 |  |  | (0.2) |  |  | (1) |  |  | 6.4 |  |  | 30 | % |  |  |  |  |  |  |  |

Numbers may not add to total due to rounding.
Certain previously reported amounts have been reclassified to agree with current presentation.
See footnote disclosures on page 20.
Corporate segment: Consists primarily of corporate support functions including risk management, audit, accounting, finance, executive office, and corporate communications. Shared support services such as human resources, properties, technology, credit risk and bank operations are allocated to the activities of Regional Banking, Specialty Banking, and Corporate. Additionally, the Corporate segment includes centralized management of capital and funding to support the business activities of the company including management of wholesale funding, liquidity, and capital management and allocation. Finally, the Corporate segment includes the revenue and expense associated with run-off businesses such as pre-2009 mortgage banking elements, run-off consumer and trust preferred loan portfolios, and other exited businesses.
FOOTNOTES
1 Taxable equivalent interest income and interest expense are non-GAAP measures and reconcile to net interest income (GAAP) in the table.
2 Occupancy and Equipment expense includes Computer Software Expense.
3 Pre-provision net revenue is a non-GAAP measure and is reconciled to income before income taxes (GAAP) in the table.
4 Represents a non-GAAP measure and is reconciled to the nearest GAAP measure in the non-GAAP to GAAP reconciliations beginning on page 21.
5 Credit card and other includes an insignificant amount of commercial credit card balances.
6 Net interest margin is computed using total NII adjusted for FTE assuming a statutory federal income tax rate of 21 percent, and, where applicable state taxes.
7 Segment equity is allocated based on an internal allocation methodology.
8 First quarter 2022 includes 9.8 million shares related to the the one month average impact of Series G convertible securities issued in connection with the TD transaction..
20

CONSOLIDATED NON-GAAP TO GAAP RECONCILIATION |  |  |  |  |  |  |  |  |  |  |  |  |  |
Quarterly, Unaudited |  |  |  |  |  |  |  |  |  |  |  |  |  |
($s in millions, except per share data) | 1Q22 |  | 4Q21 |  | 3Q21 |  | 2Q21 |  | 1Q21 |  |  |  |  |
Tangible Common Equity (Non-GAAP) |  |  |  |  |  |  |  |  |  |  |  |  |  |
(A) Total equity (GAAP) | $ | 8,696 |  |  | $ | 8,494 |  |  | $ | 8,533 |  |  | $ | 8,566 |  |  | $ | 8,307 |  |  |  |  |  |
Less: Noncontrolling interest (a) | 295 |  |  | 295 |  |  | 295 |  |  | 295 |  |  | 295 |  |  |  |  |  |
Less: Preferred stock (a) | 1,014 |  |  | 520 |  |  | 520 |  |  | 520 |  |  | 470 |  |  |  |  |  |
(B) Total common equity | $ | 7,387 |  |  | $ | 7,679 |  |  | $ | 7,717 |  |  | $ | 7,750 |  |  | $ | 7,541 |  |  |  |  |  |
Less: Intangible assets (GAAP) (b) | 1,795 |  |  | 1,808 |  |  | 1,822 |  |  | 1,836 |  |  | 1,850 |  |  |  |  |  |
(C) Tangible common equity (Non-GAAP) | $ | 5,592 |  |  | $ | 5,871 |  |  | $ | 5,895 |  |  | $ | 5,914 |  |  | $ | 5,691 |  |  |  |  |  |
Tangible Assets (Non-GAAP) |  |  |  |  |  |  |  |  |  |  |  |  |  |
(D) Total assets (GAAP) | $ | 88,660 |  |  | $ | 89,092 |  |  | $ | 88,537 |  |  | $ | 87,908 |  |  | $ | 87,513 |  |  |  |  |  |
Less: Intangible assets (GAAP) (b) | 1,795 |  |  | 1,808 |  |  | 1,822 |  |  | 1,836 |  |  | 1,850 |  |  |  |  |  |
(E) Tangible assets (Non-GAAP) | $ | 86,865 |  |  | $ | 87,284 |  |  | $ | 86,715 |  |  | $ | 86,072 |  |  | $ | 85,663 |  |  |  |  |  |
Period-end Shares Outstanding |  |  |  |  |  |  |  |  |  |  |  |  |  |
(F) Period-end shares outstanding | 535 |  |  | 534 |  |  | 542 |  |  | 551 |  |  | 552 |  |  |  |  |  |
Ratios |  |  |  |  |  |  |  |  |  |  |  |  |  |
(A)/(D) Total equity to total assets (GAAP) | 9.81 | % |  | 9.53 | % |  | 9.64 | % |  | 9.74 | % |  | 9.49 | % |  |  |  |  |
(C)/(E) Tangible common equity to tangible assets (“TCE/TA”) (Non-GAAP) | 6.44 | % |  | 6.73 | % |  | 6.80 | % |  | 6.87 | % |  | 6.64 | % |  |  |  |  |
(B)/(F) Book value per common share (GAAP) | $ | 13.82 |  |  | $ | 14.39 |  |  | $ | 14.24 |  |  | $ | 14.07 |  |  | $ | 13.65 |  |  |  |  |  |
(C)/(F) Tangible book value per common share (Non-GAAP) | $ | 10.46 |  |  | $ | 11.00 |  |  | $ | 10.88 |  |  | $ | 10.74 |  |  | $ | 10.30 |  |  |  |  |  |

(a) Included in Total equity on the Consolidated Balance Sheet.
(b) Includes goodwill and other intangible assets, net of amortization.
Numbers may not foot due to rounding.
21

CONSOLIDATED NON-GAAP TO GAAP RECONCILIATION
Quarterly, Unaudited
|  | 1Q22 |  | 4Q21 |  | 3Q21 |  | 2Q21 |  | 1Q21 |
($s in millions, except per share data) |  | GAAP | Notable Items | Non-GAAP |  | GAAP | Notable Items | Non-GAAP |  | GAAP | Notable Items | Non-GAAP |  | GAAP | Notable Items | Non-GAAP |  | GAAP | Notable Items | Non-GAAP |
Interest income - FTE |  | $ | 510 |  | $ | 3 |  | $ | 513 |  |  | $ | 531 |  | $ | 3 |  | $ | 534 |  |  | $ | 533 |  | $ | 3 |  | $ | 536 |  |  | $ | 542 |  | $ | 3 |  | $ | 545 |  |  | $ | 552 |  | $ | 3 |  | $ | 555 |  |
Interest expense- FTE |  | 31 | — |  | 31 |  | 33 | — |  | 33 |  |  | 41 | — |  | 41 |  |  | 45 | — |  | 45 |  |  | 45 | — |  | 45 |  |
Net interest income- FTE |  | 479 | 3 |  | 482 |  | 498 | 3 |  | 502 |  |  | 492 | 3 |  | 495 |  |  | 497 | 3 |  | 500 |  |  | 508 | 3 |  | 511 |  |
Less: Taxable-equivalent adjustment |  | — |  | 3 |  | 3 |  |  | — |  | 3 |  | 3 |  |  | — |  | 3 |  | 3 |  |  | — |  | 3 |  | 3 |  |  | — |  | 3 |  | 3 |  |
Net interest income |  | 479 |  | — |  | 479 |  |  | 498 |  | — |  | 498 |  |  | 492 |  | — |  | 492 |  |  | 497 |  | — |  | 497 |  |  | 508 |  | — |  | 508 |  |
Noninterest income: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Fixed income |  | 73 |  | — |  | 73 |  |  | 82 |  | — |  | 82 |  |  | 96 |  | — |  | 96 |  |  | 102 |  | — |  | 102 |  |  | 126 |  | — |  | 126 |  |
Mortgage banking and title |  | 22 |  | — |  | 22 |  |  | 28 |  | — |  | 28 |  |  | 34 |  | — |  | 34 |  |  | 38 |  | — |  | 38 |  |  | 53 |  | — |  | 53 |  |
Brokerage, trust, and insurance |  | 37 |  | — |  | 37 |  |  | 36 |  | — |  | 36 |  |  | 37 |  | — |  | 37 |  |  | 35 |  | — |  | 35 |  |  | 33 |  | — |  | 33 |  |
Service charges and fees |  | 57 |  | — |  | 57 |  |  | 56 |  | — |  | 56 |  |  | 56 |  | — |  | 56 |  |  | 54 |  | — |  | 54 |  |  | 53 |  | — |  | 53 |  |
Card and digital banking fees |  | 20 |  | — |  | 20 |  |  | 19 |  | — |  | 19 |  |  | 21 |  | — |  | 21 |  |  | 21 |  | — |  | 21 |  |  | 17 |  | — |  | 17 |  |
Deferred compensation income |  | (4) |  | — |  | (4) |  |  | — |  | — |  | — |  |  | 3 |  | — |  | 3 |  |  | 7 |  | — |  | 7 |  |  | 3 |  | — |  | 3 |  |
Other noninterest income |  | 24 |  | (6) |  | 18 |  |  | 25 |  | — |  | 25 |  |  | (1) |  | 22 |  | 21 |  |  | 27 |  | 2 |  | 29 |  |  | 15 |  | (1) |  | 14 |  |
Total noninterest income |  | 229 |  | (6) |  | 223 |  |  | 247 |  | — |  | 246 |  |  | 247 |  | 22 |  | 268 |  |  | 285 |  | 2 |  | 287 |  |  | 298 |  | (1) |  | 297 |  |
Total revenue |  | 707 |  | (6) |  | 702 |  |  | 745 |  | — |  | 745 |  |  | 738 |  | 22 |  | 760 |  |  | 781 |  | 2 |  | 784 |  |  | 806 |  | (1) |  | 805 |  |
Noninterest expense: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Personnel expense: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Salaries and benefits |  | 190 |  | (2) |  | 188 |  |  | 190 |  | — |  | 189 |  |  | 191 |  | — |  | 191 |  |  | 191 |  | — |  | 191 |  |  | 196 |  | — |  | 195 |  |
Incentives and commissions |  | 94 |  | (2) |  | 92 |  |  | 93 |  | (9) |  | 84 |  |  | 101 |  | (10) |  | 92 |  |  | 109 |  | (16) |  | 93 |  |  | 120 |  | (21) |  | 99 |  |
Deferred compensation expense |  | (5) |  | — |  | (5) |  |  | 7 |  | (6) |  | 1 |  |  | 4 |  | — |  | 4 |  |  | 6 |  | — |  | 6 |  |  | 3 |  | — |  | 3 |  |
Total personnel expense |  | 280 |  | (4) |  | 275 |  |  | 290 |  | (16) |  | 274 |  |  | 296 |  | (10) |  | 286 |  |  | 306 |  | (16) |  | 290 |  |  | 318 |  | (21) |  | 297 |  |
Occupancy and equipment |  | 72 |  | — |  | 72 |  |  | 74 |  | — |  | 73 |  |  | 75 |  | (1) |  | 74 |  |  | 75 |  | — |  | 75 |  |  | 76 |  | (4) |  | 72 |  |
Outside services |  | 84 |  | (25) |  | 59 |  |  | 81 |  | (15) |  | 66 |  |  | 89 |  | (24) |  | 65 |  |  | 63 |  | (6) |  | 56 |  |  | 58 |  | (4) |  | 54 |  |
Amortization of intangible assets |  | 13 |  | (1) |  | 12 |  |  | 14 |  | (1) |  | 13 |  |  | 14 |  | (1) |  | 13 |  |  | 14 |  | (1) |  | 13 |  |  | 14 |  | (1) |  | 13 |  |
Other noninterest expense | 44 |  | (7) |  | 37 |  |  | 70 |  | (23) |  | 46 |  |  | 52 |  | (10) |  | 42 |  |  | 40 |  | (9) |  | 31 |  |  | 78 |  | (50) |  | 28 |  |
Total noninterest expense | 493 |  | (37) |  | 455 |  |  | 528 |  | (54) |  | 474 |  |  | 526 |  | (46) |  | 480 |  |  | 497 |  | (32) |  | 465 |  |  | 544 |  | (80) |  | 464 |  |
Pre-provision net revenue | 215 |  | 32 |  | 246 |  |  | 217 |  | 54 |  | 271 |  |  | 213 |  | 68 |  | 281 |  |  | 284 |  | 34 |  | 318 |  |  | 262 |  | 79 |  | 340 |  |
Provision for credit losses | (40) |  | — |  | (40) |  |  | (65) |  | — |  | (65) |  |  | (85) |  | — |  | (85) |  |  | (115) |  | — |  | (115) |  |  | (45) |  | — |  | (45) |  |
Income before income taxes | 255 |  | 32 |  | 286 |  |  | 282 |  | 54 |  | 336 |  |  | 298 |  | 68 |  | 365 |  |  | 399 |  | 34 |  | 433 |  |  | 307 |  | 79 |  | 386 |  |
Provision for income taxes | 57 |  | 7 |  | 64 |  |  | 53 |  | 13 |  | 65 |  |  | 63 |  | 17 |  | 80 |  |  | 88 |  | 8 |  | 96 |  |  | 71 |  | 19 |  | 90 |  |
Net income | 198 |  | 24 |  | 222 |  |  | 229 |  | 41 |  | 271 |  |  | 235 |  | 51 |  | 286 |  |  | 311 |  | 26 |  | 337 |  |  | 235 |  | 60 |  | 295 |  |
Net income attributable to noncontrolling interest | 3 |  | — |  | 3 |  |  | 3 |  | — |  | 3 |  |  | 3 |  | — |  | 3 |  |  | 3 |  | — |  | 3 |  |  | 3 |  | — |  | 3 |  |
Net income attributable to controlling interest | 195 |  | 24 |  | 219 |  |  | 227 |  | 41 |  | 268 |  |  | 232 |  | 51 |  | 283 |  |  | 308 |  | 26 |  | 334 |  |  | 233 |  | 60 |  | 292 |  |
Preferred stock dividends | 8 |  | — |  | 8 |  |  | 8 |  | — |  | 8 |  |  | 8 |  | — |  | 8 |  |  | 13 |  | — |  | 13 |  |  | 8 |  | — |  | 8 |  |
Net income available to common shareholders | $ | 187 |  | $ | 24 |  | $ | 211 |  |  | $ | 219 |  | $ | 41 |  | $ | 260 |  |  | $ | 224 |  | $ | 51 |  | $ | 275 |  |  | $ | 295 |  | $ | 26 |  | $ | 321 |  |  | $ | 225 |  | $ | 60 |  | $ | 284 |  |
Common Stock Data |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
EPS |  | $ | 0.35 |  | $ | (0.05) |  | $ | 0.40 |  |  | $ | 0.41 |  | $ | (0.08) |  | $ | 0.48 |  |  | $ | 0.41 |  | $ | (0.09) |  | $ | 0.50 |  |  | $ | 0.54 |  | $ | (0.05) |  | $ | 0.58 |  |  | $ | 0.41 |  | $ | (0.11) |  | $ | 0.51 |  |
Basic shares |  | 533 |  |  | 533 |  |  | 537 |  |  | 537 |  |  | 546 |  |  | 546 |  |  | 550 |  |  | 550 |  |  | 552 |  |  | 552 |  |
Diluted EPS |  | $ | 0.34 |  | $ | (0.04) |  | $ | 0.38 |  |  | $ | 0.40 |  | $ | (0.08) |  | $ | 0.48 |  |  | $ | 0.41 |  | $ | (0.09) |  | $ | 0.50 |  |  | $ | 0.53 |  | $ | (0.05) |  | $ | 0.58 |  |  | $ | 0.40 |  | $ | (0.11) |  | $ | 0.51 |  |
Diluted shares 8 |  | 550 |  |  | 550 |  |  | 542 |  |  | 542 |  |  | 550 |  |  | 550 |  |  | 556 |  |  | 556 |  |  | 557 |  |  | 557 |  |
Memo: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Total Revenue-FTE (Non-GAAP) |  | $ | 707 |  | $ | 3 |  | $ | 704 |  |  | $ | 745 |  | $ | 3 |  | $ | 748 |  |  | $ | 738 |  | $ | 24 |  | $ | 763 |  |  | $ | 781 |  | $ | 5 |  | $ | 787 |  |  | $ | 806 |  | $ | 2 |  | $ | 808 |  |
PPNR-FTE (Non-GAAP) |  | $ | 215 |  | $ | 34 |  | $ | 249 |  |  | $ | 217 |  | $ | 58 |  | $ | 274 |  |  | $ | 213 |  | $ | 71 |  | $ | 283 |  |  | $ | 284 |  | $ | 37 |  | $ | 321 |  |  | $ | 262 |  | $ | 82 |  | $ | 343 |  |

Amounts adjusted for notable items as detailed on page 9.
Numbers may not foot due to rounding.
22

CONSOLIDATED NON-GAAP TO GAAP RECONCILIATION |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Quarterly, Unaudited |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
($s in millions, except per share data) |  | 1Q22 |  | 4Q21 |  | 3Q21 |  | 2Q21 |  | 1Q21 |  |  |  |  |
Adjusted Diluted EPS |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Net income available to common shareholders ("NIAC") (GAAP) | a | $ | 187 |  |  | $ | 219 |  |  | $ | 224 |  |  | $ | 295 |  |  | $ | 225 |  |  |  |  |  |
Plus Tax effected notable items (Non-GAAP) (a) |  | 24 |  |  | 41 |  |  | 51 |  |  | 26 |  |  | 60 |  |  |  |  |  |
Adjusted net income available to common shareholders (Non-GAAP) | b | $ | 211 |  |  | $ | 260 |  |  | $ | 275 |  |  | $ | 321 |  |  | $ | 284 |  |  |  |  |  |
Diluted Shares (GAAP)8 | c | 550 |  |  | 542 |  |  | 550 |  |  | 556 |  |  | 557 |  |  |  |  |  |
Diluted EPS (GAAP) | a/c | $ | 0.34 |  |  | $ | 0.40 |  |  | $ | 0.41 |  |  | $ | 0.53 |  |  | $ | 0.40 |  |  |  |  |  |
Adjusted diluted EPS (Non-GAAP) | b/c | $ | 0.38 |  |  | $ | 0.48 |  |  | $ | 0.50 |  |  | $ | 0.58 |  |  | $ | 0.51 |  |  |  |  |  |
Adjusted Net Income ("NI") and Adjusted Return on Assets ("ROA") |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Net Income ("NI") (GAAP) |  | $ | 198 |  |  | $ | 229 |  |  | $ | 235 |  |  | $ | 311 |  |  | $ | 235 |  |  |  |  |  |
Plus Tax effected notable items (Non-GAAP) (a) |  | 24 |  |  | 41 |  |  | 51 |  |  | 26 |  |  | 60 |  |  |  |  |  |
Adjusted NI (Non-GAAP) |  | $ | 222 |  |  | $ | 271 |  |  | $ | 286 |  |  | $ | 337 |  |  | $ | 295 |  |  |  |  |  |
NI (annualized) (GAAP) | d | $ | 801 |  |  | $ | 910 |  |  | $ | 931 |  |  | $ | 1,247 |  |  | $ | 955 |  |  |  |  |  |
Adjusted NI (annualized) (Non-GAAP) | e | $ | 900 |  |  | $ | 1,074 |  |  | $ | 1,133 |  |  | $ | 1,353 |  |  | $ | 1,198 |  |  |  |  |  |
Average assets (GAAP) | f | $ | 88,587 |  |  | $ | 89,025 |  |  | $ | 88,401 |  |  | $ | 87,559 |  |  | $ | 85,401 |  |  |  |  |  |
ROA (GAAP) | d/f | 0.90 | % |  | 1.02 | % |  | 1.05 | % |  | 1.42 | % |  | 1.12 | % |  |  |  |  |
Adjusted ROA (Non-GAAP) | e/f | 1.02 | % |  | 1.21 | % |  | 1.28 | % |  | 1.54 | % |  | 1.40 | % |  |  |  |  |
Return on Average Common Equity ("ROCE")/ Return on Average Tangible Common Equity ("ROTCE")/ Adjusted ROTCE |  |  |  |
Net income available to common shareholders ("NIAC") (GAAP) | g | $ | 756 |  |  | $ | 868 |  |  | $ | 887 |  |  | $ | 1,182 |  |  | $ | 911 |  |  |  |  |  |
Adjusted Net income available to common shareholders (annualized) (Non-GAAP) | h | $ | 855 |  |  | $ | 1,032 |  |  | $ | 1,089 |  |  | $ | 1,288 |  |  | $ | 1,154 |  |  |  |  |  |
Average Common Equity (GAAP) | i | $ | 7,628 |  |  | $ | 7,710 |  |  | $ | 7,761 |  |  | $ | 7,651 |  |  | $ | 7,583 |  |  |  |  |  |
Intangible Assets (GAAP) (b) |  | 1,802 |  |  | 1,815 |  |  | 1,829 |  |  | 1,843 |  |  | 1,857 |  |  |  |  |  |
Average Tangible Common Equity (Non-GAAP) | j | $ | 5,826 |  |  | $ | 5,895 |  |  | $ | 5,932 |  |  | $ | 5,808 |  |  | $ | 5,726 |  |  |  |  |  |
ROCE (GAAP) | g/i | 9.92 | % |  | 11.26 | % |  | 11.43 | % |  | 15.45 | % |  | 12.01 | % |  |  |  |  |
ROTCE (Non-GAAP) | g/j | 12.98 | % |  | 14.72 | % |  | 14.95 | % |  | 20.36 | % |  | 15.90 | % |  |  |  |  |
Adjusted ROTCE (Non-GAAP) | h/j | 14.68 | % |  | 17.51 | % |  | 18.36 | % |  | 22.18 | % |  | 20.15 | % |  |  |  |  |

(a) Amounts adjusted for notable items as detailed on page 9.
(b) Includes goodwill and other intangible assets, net of amortization.
Numbers may not foot due to rounding.
23

CONSOLIDATED NON-GAAP TO GAAP RECONCILIATION |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Quarterly, Unaudited |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
(In millions) |  | 1Q22 |  | 4Q21 |  | 3Q21 |  | 2Q21 |  | 1Q21 |  |  |  |  |
Adjusted Noninterest Income as a % of Total Revenue |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Noninterest income (GAAP) | k | $ | 229 |  |  | $ | 247 |  |  | $ | 247 |  |  | $ | 285 |  |  | $ | 298 |  |  |  |  |  |
Plus notable items (GAAP) (a) |  | (6) |  |  | — |  |  | 22 |  |  | 2 |  |  | (1) |  |  |  |  |  |
Adjusted noninterest income (Non-GAAP) | l | $ | 223 |  |  | $ | 246 |  |  | $ | 268 |  |  | $ | 287 |  |  | $ | 297 |  |  |  |  |  |
Revenue (GAAP) | m | $ | 707 |  |  | $ | 745 |  |  | $ | 738 |  |  | $ | 781 |  |  | $ | 806 |  |  |  |  |  |
Taxable-equivalent adjustment |  | 3 |  |  | 3 |  |  | 3 |  |  | 3 |  |  | 3 |  |  |  |  |  |
Revenue- Taxable-equivalent (Non-GAAP) |  | 710 |  |  | 748 |  |  | 741 |  |  | 784 |  |  | 809 |  |  |  |  |  |
Plus notable items (GAAP) (a) |  | (6) |  |  | — |  |  | 22 |  |  | 2 |  |  | (1) |  |  |  |  |  |
Adjusted revenue (Non-GAAP) | n | $ | 704 |  |  | $ | 748 |  |  | $ | 763 |  |  | $ | 787 |  |  | $ | 808 |  |  |  |  |  |
Noninterest income as a % of total revenue (GAAP) | k/m | 32.31 | % |  | 33.10 | % |  | 33.39 | % |  | 36.43 | % |  | 37.00 | % |  |  |  |  |
Adjusted noninterest income as a % of total revenue (Non-GAAP) | l/n | 31.63 | % |  | 32.95 | % |  | 35.14 | % |  | 36.49 | % |  | 36.78 | % |  |  |  |  |
Adjusted Efficiency Ratio |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Noninterest expense (GAAP) | o | $ | 493 |  |  | $ | 528 |  |  | $ | 526 |  |  | $ | 497 |  |  | $ | 544 |  |  |  |  |  |
Plus notable items (GAAP) (a) |  | (37) |  |  | (54) |  |  | (46) |  |  | (32) |  |  | (80) |  |  |  |  |  |
Adjusted noninterest expense (Non-GAAP) | p | $ | 455 |  |  | $ | 474 |  |  | $ | 480 |  |  | $ | 465 |  |  | $ | 464 |  |  |  |  |  |
Revenue (GAAP) | q | $ | 707 |  |  | $ | 745 |  |  | $ | 738 |  |  | $ | 781 |  |  | $ | 806 |  |  |  |  |  |
Taxable-equivalent adjustment |  | 3 |  |  | 3 |  |  | 3 |  |  | 3 |  |  | 3 |  |  |  |  |  |
Revenue- Taxable-equivalent (Non-GAAP) |  | 710 |  |  | 748 |  |  | 741 |  |  | 784 |  |  | 809 |  |  |  |  |  |
Plus notable items (GAAP) (a) |  | (6) |  |  | — |  |  | 22 |  |  | 2 |  |  | (1) |  |  |  |  |  |
Adjusted revenue (Non-GAAP) | r | $ | 704 |  |  | $ | 748 |  |  | $ | 763 |  |  | $ | 787 |  |  | $ | 808 |  |  |  |  |  |
Efficiency ratio (GAAP) | o/q | 69.66 | % |  | 70.88 | % |  | 71.21 | % |  | 63.67 | % |  | 67.53 | % |  |  |  |  |
Adjusted efficiency ratio (Non-GAAP) | p/r | 64.64 | % |  | 63.31 | % |  | 62.87 | % |  | 59.17 | % |  | 57.49 | % |  |  |  |  |

(a) Amounts adjusted for notable items as detailed on page 9.
(b) Includes goodwill and other intangible assets, net of amortization.
Numbers may not foot due to rounding.
24

CONSOLIDATED NON-GAAP TO GAAP RECONCILIATION
Quarterly, Unaudited
($s in millions)
|  |  |  | 1Q22 vs 4Q21 |  |
NII/NIM Analysis |  | NII |  | % |  | NIM
1Q22 Reported (FTE) |  | $ | 482 |  |  |  |  | 2.37 | %
Less: non-core items |  |  |  |  |  |
PPP coupon income and fees |  | 12 |  |  |  | 0.04 |
Loan Accretion |  | 17 |  |  |  | 0.09 |
IBKC Premium Amortization |  | (10) |  |  |  |  | (0.05) |
1Q22 Core (FTE) (Non-GAAP) |  | $ | 462 |  |  | (1) | % |  | 2.29 | %
Less: day count impact |  | (7) |  |  |  |  | — |
1Q22 Core (FTE) ex. day count |  | $ | 469 |  |  |  |  | 2.29 | %
4Q21 Reported (FTE) |  | $ | 502 |  |  |  |  | 2.42 | %
Less: non-core items |  |  |  |  |  |
PPP coupon income and fees |  | 30 |  |  |  | 0.10 |
Loan Accretion |  | 15 |  |  |  | 0.08 |
IBKC Premium Amortization |  | (10) |  |  |  |  | (0.05) |
4Q21 Core (FTE) (Non-GAAP) |  | $ | 466 |  |  |  |  | 2.28 | %

Numbers may not foot due to rounding.

|  | Period-end |  | Average
($s in millions) |  | 1Q22 |  | 4Q21 |  | 1Q22 vs 4Q21 |  | 1Q22 |  | 4Q21 |  | 1Q22 vs 4Q21
Loans excluding LMC & PPP |  |  |  |  |  | $ |  | % |  |  |  |  |  | $ |  | %
Total C& I excl. LMC & PPP |  | $ | 26,262 |  |  | $ | 25,512 |  |  | $ | 750 |  |  | 3 | % |  | $ | 25,749 |  |  | $ | 24,668 |  |  | $ | 1,081 |  |  | 4 | %
Total CRE |  | 12,486 |  | 12,109 |  | 377 |  |  | 3 | % |  | 12,229 |  |  | 12,220 |  |  | 9 |  |  | — | %
Total Commercial excl. LMC & PPP |  | 38,748 |  |  | 37,621 |  |  | 1,127 |  |  | 3 | % |  | 37,978 |  |  | 36,888 |  |  | 1,090 |  |  | 3 | %
Total Consumer |  | 11,727 |  | 11,682 |  | 45 |  |  | — | % |  | 11,638 |  | 11,681 |  | (43) |  |  | — | %
Total Loans excl. LMC & PPP |  | 50,475 |  | 49,303 |  | 1,172 |  |  | 2 | % |  | 49,616 |  | 48,569 |  | 1,047 |  |  | 2 | %
PPP |  | 642 |  | 1,038 |  | (397) |  |  | (38) | % |  | 815 |  | 1,444 |  | (630) |  |  | (44) | %
LMC |  | 3,895 |  | 4,518 |  | (622) |  |  | (14) | % |  | 3,651 |  | 4,669 |  | (1,018) |  |  | (22) | %
Total Loans |  | $ | 55,012 |  |  | $ | 54,859 |  |  | $ | 153 |  |  | — | % |  | $ | 54,082 |  |  | $ | 54,682 |  |  | $ | (600) |  |  | (1) | %
Loans excluding PPP |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Total Commercial excl. PPP |  | $ | 42,642 |  |  | $ | 42,138 |  |  | $ | 504 |  |  | 1 | % |  | $ | 41,629 |  |  | $ | 41,557 |  |  | $ | 72 |  |  | — | %
Total Consumer |  | 11,727 |  | 11,682 |  | 45 |  |  | — | % |  | 11,638 |  | 11,681 |  | (43) |  |  | — | %
Total Loans excl. PPP |  | $ | 54,369 |  |  | $ | 53,820 |  |  | 549 |  |  | 1 | % |  | $ | 53,267 |  |  | $ | 53,238 |  |  | 29 |  |  | — | %
PPP |  | 642 |  | 1,038 |  | (397) |  |  | (38) | % |  | 815 |  | 1,444 |  | (630) |  |  | (44) | %
Total Loans |  | $ | 55,012 |  |  | $ | 54,859 |  |  | $ | 153 |  |  | — | % |  | $ | 54,082 |  |  | $ | 54,682 |  |  | (600) |  |  | (1) | %

Numbers may not foot due to rounding.
25

GLOSSARY OF TERMS

Common Equity Tier 1 Ratio: Ratio consisting of common equity adjusted for certain unrealized gains/(losses) on available-for-sale securities, less disallowed portions of goodwill, other intangibles, and deferred tax assets as well as certain other regulatory deductions divided by risk-weighted assets.
Fully Taxable Equivalent (“FTE”): Reflects the amount of tax-exempt income adjusted to a level that would yield the same after-tax income had that income been subject to taxation.
Tier 1 Capital Ratio: Ratio consisting of shareholders’ equity adjusted for certain unrealized gains/(losses) on available-for-sale securities, plus qualifying portions of noncontrolling interests, less disallowed portions of goodwill, other intangible assets, and deferred tax assets as well as certain other regulatory deductions divided by risk-weighted assets.

Key Ratios

Return on Average Assets: Ratio is annualized net income to average total assets.
Return on Average Common Equity: Ratio is annualized net income available to common shareholders to average common equity.
Return on Average Tangible Common Equity: Ratio is annualized net income available to common shareholders to average tangible common equity.
Noninterest Income as a Percentage of Total Revenue: Ratio is noninterest income to total revenue - taxable equivalent.
Efficiency Ratio: Ratio is noninterest expense to total revenue - taxable equivalent .
Leverage Ratio: Ratio is tier 1 capital to average assets for leverage.

Asset Quality - Consolidated Key Ratios

Nonperforming loans and leases ("NPL") %: Ratio is nonaccruing loans and leases in the loan portfolio to total period-end loans and leases.
Net charge-offs %: Ratio is annualized net charge-offs to total average loans and leases.
Allowance / loans and leases: Ratio is allowance for loan and lease losses to total period-end loans and leases.
Allowance / Nonperforming loans and leases: Ratio is allowance for loan and lease losses to nonperforming loans and leases in the loan portfolio.
Allowance / charge-offs: Ratio is allowance for loan and lease losses to annualized net charge-offs.

Operating Segments

Regional Banking segment: Offers financial products and services, including traditional lending and deposit taking, to consumer and commercial customers primarily in the southern and southeastern U.S. and other selected markets. Regional Banking also provides investment, wealth management, financial planning, trust and asset management services for consumer customers.
Specialty Banking segment: Consists of lines of business that deliver product offerings and services with specialized industry knowledge. Specialty Banking’s lines of business include asset-based lending, mortgage warehouse lending, commercial real estate, franchise finance, correspondent banking, equipment finance, mortgage, and title insurance. In addition to traditional lending and deposit taking, Specialty Banking also delivers treasury management solutions, loan syndications, and international banking. Additionally, Specialty Banking has a line of business focused on fixed income securities sales, trading, underwriting, and strategies for institutional clients in the U.S. and abroad, as well as loan sales, portfolio advisory services, and derivative sales.
Corporate segment: Consists primarily of corporate support functions including risk management, audit, accounting, finance, executive office, and corporate communications. Shared support services such as human resources, properties, technology, credit risk and bank operations are allocated to the activities of Regional Banking, Specialty Banking, and Corporate. Additionally, the Corporate segment includes centralized management of capital and funding to support the business activities of the company including management of wholesale funding, liquidity, and capital management and allocation. Finally, the Corporate segment includes the revenue and expense associated with run-off businesses such as pre-2009 mortgage banking elements, run-off consumer and trust preferred loan portfolios, and other exited businesses.
26