EX-99.1 2 a3q2022earningsrelease.htm 3Q2022 EARNINGS RELEASE

First Horizon Corporation Reports Third Quarter 2022 Net Income Available to Common Shareholders of
$257 Million, or EPS of $0.45; $252 Million, or $0.44, on an Adjusted Basis*
Pre-provision net revenue up 59% from the prior quarter and up 37% on an adjusted basis*
ROTCE of 18.2% and adjusted ROTCE of 17.9% with tangible book value per share of $9.72*
MEMPHIS, TN (October 18, 2022) – First Horizon Corporation (NYSE: FHN or “First Horizon”) today reported third quarter net income available to common shareholders ("NIAC") of $257 million, or earnings per share of $0.45, compared with second quarter 2022 NIAC of $166 million, or earnings per share of $0.29.
Third quarter 2022 results were impacted by a net $5 million after-tax, or $0.01 per share, increase in notable items compared with a net $29 million, or $0.05 per share, reduction in second quarter 2022. Excluding notable items, adjusted third quarter 2022 NIAC of $252 million, or $0.44 per share, increased from $195 million, or $0.34 per share in second quarter 2022. Results reflec t a $0.04 per share reduction tied to provision for credit losses as well as the impact of the suspension of share repurchases related to the proposed TD transaction.
"This quarter's results, highlighted by high-teens revenue growth, reflect the power of our asset-sensitive balance sheet and attractive mix of higher-growth geographies and specialty businesses,” said Chairman and Chief Executive Officer Bryan Jordan." The team continues to leverage the benefits of our completed integration to deliver value-added products with exceptional service which helped drive four percent loan growth before the impact of paycheck protection program and mortgage warehouse loans. While we are keeping a watchful eye on the macroeconomic landscape, credit quality remains strong, and we have great confidence in our future prospects associated with the proposed transaction with TD Bank Group.”
Notable Items

Notable Items |  |  |  |  |  |  |  |  |  |
Quarterly, Unaudited ($s in millions, except per share data) | 3Q22 |  | 2Q22 |  |  | 3Q21 |  |  |  |
Summary of Notable Items: |  |  |  |  |  |  |  |  |  |
Merger/acquisition/transaction-related items: |  |  |  |  |  |  |  |  |  |
IBKC: |  |  |  |  |  |  |  |  |  |
Other noninterest income | $ | — |  |  | $ | — |  |  |  | $ | — |  |  |  |  |
Merger/acquisition expense | (3) |  |  | (13) |  |  |  | (46) |  |  |  |  |
Total IBKC merger/acquisition- related items | (3) |  |  | (13) |  |  |  | (45) |  |  |  |  |
TD: |  |  |  |  |  |  |  |  |  |
Transaction-related expense | (21) |  |  | (25) |  |  |  | — |  |  |  |  |
Total TD transaction-related items | (21) |  |  | (25) |  |  |  | — |  |  |  |  |
Total Net Merger/acquisition/transaction- related items: | (24) |  |  | (38) |  |  |  | (45) |  |  |  |  |
Other notable items: |  |  |  |  |  |  |  |  |  |
Gain/(loss) on TruPS redemption (other noninterest income) | — |  |  | — |  |  |  | (23) |  |  |  |  |
Gain on mortgage servicing rights (mortgage banking and title) | — |  |  | 12 |  |  |  | — |  |  |  |  |
Gain on sale of title services business (other noninterest income) | 21 |  |  | — |  |  |  | — |  |  |  |  |
Gain related to equity securities investment (other noninterest income) | 10 |  |  | — |  |  |  | — |  |  |  |  |
Visa derivative valuation adjustment (other noninterest expense) | — |  |  | (12) |  |  |  | — |  |  |  |  |
Total net other notable items: | 31 |  |  | — |  |  |  | (23) |  |  |  |  |
Total Notable items (pre-tax) | $ | 7 |  |  | $ | (38) |  |  |  | $ | (68) |  |  |  |  |
Total Notable items (after-tax) | 5 |  |  | (29) |  |  |  | (51) |  |  |  |  |
EPS impact of notable items | $ | 0.01 |  |  | $ | (0.05) |  |  |  | $ | (0.09) |  |  |  |  |
Numbers may not foot due to rounding |  |  |  |  |  |  |  |  |  |

Third quarter pre-tax net notable items include TD transaction-related costs of $21 million, and IBKC merger-related expense of $3 million. Other notable items reflect a $21 million gain from the July 30th sale of the title services business and a $10 million equity securities investment gain.
*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 5 for information on our use of Non-GAAP measures and their reconciliation to GAAP beginning on page 22.
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Third Quarter 2022 Versus Second Quarter 2022 Highlights
•Total revenue of $875 million increased $132 million and adjusted revenue of $846 million increased $113 million, or 15%, reflecting strength in net interest income.
•Net interest income of $662 million increased $120 million, or 22%, despite a $6 million reduction in net merger-related and PPP benefits. Core net interest income was up $127 million as the benefit of higher rates, loan balances and investment portfolio income was partially offset by higher funding costs.
•Noninterest income of $213 million increased $12 million and included a $19 million increase in notable items. Adjusted noninterest income of $181 million decreased $7 million as higher deferred compensation income and other noninterest income was more than offset by reductions in mortgage banking, title and fixed income.
•Noninterest expense of $468 million decreased $21 million and reflected $25 million decrease in notable items. Adjusted noninterest expense of $444 million increased $6 million largely as a $16 million increase in deferred compensation expense was partially offset by a reduction in salaries and employee benefits and other noninterest expense.
•Provision expense of $60 million compared with $30 million in second quarter 2022 reflecting the impact of loan growth, revised macroeconomic outlook and a preliminary estimate of $20 million for potential losses related to Hurricane Ian.
•Average interest-earning assets of $76.0 billion decreased $3.8 billion largely as a $1.0 billion increase in loans was more than offset by a $4.6 billion decrease in interest-bearing deposits with banks.
•Average loans before the impact of PPP up $1.2 billion as an increase in commercial balances and consumer real estate was partially offset by a $574 million decrease in loans to mortgage companies ("LMC").
•Period-end loans before the impact of PPP remained increased $1.1 billion, or 2%, driven by a $677 million increase in commercial. Period-end commercial loans excluding PPP and LMC rose 3%.
•Average deposits of $68.1 billion decreased $3.8 billion, or 5%, driven by a $2.7 billion decrease in interest-bearing. Total deposit costs of 25 basis points increased 15 basis points.
•Allowance for credit losses ("ACL") to loans ratio of 1.31% remained relatively stable compared to 1.24% at June 30, 2022. The ACL to nonperforming loans ratio of 258% improved from 234% at June 30, 2022.
•Net charge-offs of $12 million in third quarter 2022 remained relatively stable; nonperforming loans of $292 million decreased 3% linked quarter and the nonperforming loan ratio of 0.51% improved from 0.53%.
•ROCE of 13.9%; ROTCE of 18.2%; Adjusted ROTCE of 17.9%; CET 1 ratio of 9.9%; and total capital ratio of 13.1%.
•Tangible book value per share of $9.72 at September 30, 2022 compared with $10.18 at June 30, 2022 and reflected a $0.87 reduction tied to the mark-to-market valuation adjustment on the available-for-sale securities portfolio and cash flow hedges.
Strategic Update
IBKC Merger
•On track to deliver approximately $200 million of targeted annualized IBKC merger net cost saves by 4Q22.
•Achieved $184 million of annualized net cost saves in 3Q22.
Proposed Acquisition by TD
•Expect deal to close in 1Q of TD’s 2023 fiscal year.
–Continued progress on integration planning and Legal Day One readiness
–Federal Reserve and OCC comment period closed with over 300 letters of support
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–Public meeting with Fed and OCC completed August 18, 2022
–Regulatory approval process remains on track
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SUMMARY RESULTS |  |  |  |  |  |  |  |  |  |  |  |  |  |
Quarterly, Unaudited |  |  |  |  |  |  |  |  |  |  |  |  |  |
|  |  |  |  |  |  |  | 3Q22 Change vs.
($s in millions, except per share and balance sheet data) |  | 3Q22 |  | 2Q22 |  | 3Q21 |  | 2Q22 |  | 3Q21
|  |  |  |  |  |  |  | $/bp |  | % |  | $/bp |  | %
Income Statement |  |  |  |  |  |  |  |  |  |  |  |  |  |
Interest income - taxable equivalent 1 |  | $ | 737 |  |  | $ | 586 |  |  | $ | 536 |  |  | $ | 151 |  |  | 26 | % |  | $ | 201 |  |  | 38 | %
Interest expense- taxable equivalent 1 |  | 71 |  |  | 41 |  |  | 41 |  |  | 30 |  |  | 73 |  |  | 30 |  |  | 73 |
Net interest income- taxable equivalent |  | 666 |  |  | 545 |  |  | 495 |  |  | 121 |  |  | 22 |  |  | 171 |  |  | 35 |
Less: Taxable-equivalent adjustment |  | 4 |  |  | 3 |  |  | 3 |  |  | 1 |  |  | 33 |  |  | 1 |  |  | 33 |
Net interest income |  | 662 |  |  | 542 |  |  | 492 |  |  | 120 |  |  | 22 |  |  | 170 |  |  | 35 |
Noninterest income |  | 213 |  |  | 201 |  |  | 247 |  |  | 12 |  |  | 6 |  |  | (34) |  |  | (14) |
Total revenue |  | 875 |  |  | 743 |  |  | 738 |  |  | 132 |  |  | 18 |  |  | 137 |  |  | 19 |
Noninterest expense |  | 468 |  |  | 489 |  |  | 526 |  |  | (21) |  |  | (4) |  |  | (58) |  |  | (11) |
Pre-provision net revenue 3 |  | 406 |  |  | 255 |  |  | 213 |  |  | 151 |  |  | 59 |  |  | 193 |  |  | 91 |
Provision for credit losses |  | 60 |  |  | 30 |  |  | (85) |  |  | 30 |  |  | 100 |  |  | 145 |  |  | NM
Income before income taxes |  | 346 |  |  | 225 |  |  | 298 |  |  | 121 |  |  | 54 |  |  | 48 |  |  | 16 |
Provision for income taxes |  | 78 |  |  | 48 |  |  | 63 |  |  | 30 |  |  | 63 |  |  | 15 |  |  | 24 |
Net income |  | 268 |  |  | 177 |  |  | 235 |  |  | 91 |  |  | 51 |  |  | 33 |  |  | 14 |
Net income attributable to noncontrolling interest |  | 3 |  |  | 3 |  |  | 3 |  |  | — |  |  | — |  |  | — |  |  | — |
Net income attributable to controlling interest |  | 265 |  |  | 174 |  |  | 232 |  |  | 91 |  |  | 52 |  |  | 33 |  |  | 14 |
Preferred stock dividends |  | 8 |  |  | 8 |  |  | 8 |  |  | — |  |  | — |  |  | — |  |  | — |
Net income available to common shareholders |  | $ | 257 |  |  | $ | 166 |  |  | $ | 224 |  |  | $ | 91 |  |  | 55 | % |  | $ | 33 |  |  | 15 | %
Adjusted net income 4 |  | $ | 263 |  |  | $ | 205 |  |  | $ | 286 |  |  | $ | 58 |  |  | 28 | % |  | $ | (23) |  |  | (8) | %
Adjusted net income available to common shareholders 4 |  | $ | 252 |  |  | $ | 195 |  |  | $ | 275 |  |  | $ | 57 |  |  | 29 | % |  | $ | (23) |  |  | (8) | %
Common stock information |  |  |  |  |  |  |  |  |  |  |  |  |  |
EPS |  | $ | 0.45 |  |  | $ | 0.29 |  |  | $ | 0.41 |  |  | $ | 0.16 |  |  | 54 | % |  | $ | 0.04 |  |  | 10 | %
Adjusted EPS 4 |  | $ | 0.44 |  |  | $ | 0.34 |  |  | $ | 0.50 |  |  | $ | 0.10 |  |  | 29 | % |  | $ | (0.06) |  |  | (12) | %
Diluted shares 8 |  | 570 |  |  | 569 |  |  | 550 |  |  | 1 |  |  | — | % |  | 20 |  |  | 4 | %
Key performance metrics |  |  |  |  |  |  |  |  |  |  |  |  |  |
Net interest margin |  | 3.49 | % |  | 2.74 | % |  | 2.41 | % |  | 75 | bp |  |  |  | 108 | bp |  |
Efficiency ratio |  | 53.56 |  |  | 65.76 |  |  | 71.21 |  |  | (1,220) |  |  |  |  | (1,765) |  |  |
Adjusted efficiency ratio 4 |  | 52.42 |  |  | 59.79 |  |  | 62.87 |  |  | (737) |  |  |  |  | (1,045) |  |  |
Effective income tax rate |  | 22.58 |  |  | 21.30 |  |  | 21.13 |  |  | 128 |  |  |  |  | 145 |  |  |
Return on average assets |  | 1.29 |  |  | 0.82 |  |  | 1.05 |  |  | 47 |  |  |  |  | 24 |  |  |
Adjusted return on average assets 4 |  | 1.27 |  |  | 0.95 |  |  | 1.28 |  |  | 32 |  |  |  |  | (1) |  |  |
Return on average common equity (“ROCE") |  | 13.9 |  |  | 9.1 |  |  | 11.4 |  |  | 473 |  |  |  |  | 242 |  |  |
Return on average tangible common equity (“ROTCE”)4 |  | 18.2 |  |  | 12.1 |  |  | 15.0 |  |  | 616 |  |  |  |  | 328 |  |  |
Adjusted ROTCE 4 |  | 17.9 |  |  | 14.2 |  |  | 18.4 |  |  | 374 |  |  |  |  | (47) |  |  |
Noninterest income as a % of total revenue |  | 24.30 |  |  | 27.06 |  |  | 33.39 |  |  | (276) |  |  |  |  | (909) |  |  |
Adjusted noninterest income as a % of total revenue 4 |  | 21.37 | % |  | 25.68 | % |  | 35.14 | % |  | (431) | bp |  |  |  | (1,377) | bp |  |
Balance Sheet (billions) |  |  |  |  |  |  |  |  |  |  |  |  |  |
Average loans |  | $ | 56.5 |  |  | $ | 55.6 |  |  | $ | 55.5 |  |  | $ | 1.0 |  |  | 2 | % |  | $ | 1.0 |  |  | 2 | %
Average deposits |  | 68.1 |  |  | 71.9 |  |  | 73.7 |  |  | (3.8) |  |  | (5) |  |  | (5.6) |  |  | (8) |
Average assets |  | 82.6 |  |  | 86.3 |  |  | 88.4 |  |  | (3.8) |  |  | (4) |  |  | (5.8) |  |  | (7) |
Average common equity |  | $ | 7.4 |  |  | $ | 7.3 |  |  | $ | 7.8 |  |  | $ | 0.1 |  |  | 1 | % |  | $ | (0.4) |  |  | (5) | %
Asset Quality Highlights |  |  |  |  |  |  |  |  |  |  |  |  |  |
Allowance for credit losses to loans and leases |  | 1.31 | % |  | 1.24 | % |  | 1.45 | % |  | 8 | bp |  |  |  | (14) | bp |  |
Net charge-off ratio |  | 0.08 |  |  | 0.09 |  |  | 0.02 |  |  | (1) |  |  |  |  | 6 |  |  |
Nonperforming loan and leases ratio |  | 0.51 | % |  | 0.53 | % |  | 0.63 | % |  | (2) | bp |  |  |  | (12) | bp |  |
Capital Ratio Highlights (current quarter is an estimate) |  |  |  |  |  |  |  |  |  |  |  |  |  |
Common Equity Tier 1 |  | 9.9 | % |  | 9.8 | % |  | 10.1 | % |  | 12 | bp |  |  |  | (16) | bp |  |
Tier 1 |  | 11.7 |  |  | 11.6 |  |  | 11.2 |  |  | 8 |  |  |  |  | 46 |  |  |
Total Capital |  | 13.1 |  |  | 13.0 |  |  | 12.6 |  |  | 13 |  |  |  |  | 45 |  |  |
Tier 1 leverage |  | 9.8 | % |  | 9.1 | % |  | 8.1 | % |  | 67 | bp |  |  |  | 165 | 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 21.
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Third Quarter 2022 versus Second Quarter 2022
Net interest income
Net interest income of $662 million increased $120 million despite a $6 million reduction tied to net merger-related and PPP benefits. Core net interest income increased $127 million as the benefit of higher rates, loan balances and investment portfolio income was partially offset by higher funding costs. Net interest margin of 3.49% improved 75 basis points largely as the benefit of higher rates, loan and securities portfolio growth and lower excess cash was partially offset by the impact of higher funding costs.
Noninterest income
Noninterest income of $213 million increased $12 million and included a $19 million increase in the benefit of notable items. Adjusted noninterest income of $181 million decreased $7 million as higher deferred compensation income and other noninterest income was more than offset by reductions in mortgage banking, title and fixed income. Fixed income average daily revenue of $524 thousand compared with $612 thousand in second quarter 2022 reflecting the impact of higher long-term rates, macro economic uncertainty and market volatility.
Noninterest expense
Noninterest expense of $468 million decreased $21 million and included a $25 million decrease in notable items. Adjusted noninterest expense of $444 million increased $6 million largely as a $16 million increase in deferred compensation expense was partially offset by a reduction in salaries and employee benefits and other noninterest expense. Linked quarter trends also reflect a $11 million benefit tied to incremental IBKC merger cost savings.
Loans and leases
Average loan and lease balances of $56.5 billion increased $1.0 billion reflecting a 1% increase in commercial and a 4% increase in consumer. Commercial loan growth reflected a $300 million increase in commercial real estate and a $157 million increase in commercial and industrial. Consumer loan growth driven by a $513 million increase in consumer real estate. Results reflect a $574 million reduction in loans to mortgage companies ("LMC") and a $274 million decrease in PPP loans. Loan trends excluding PPP increased $1.2 billion compared to the prior quarter, driven by a $0.7 billion increase in commercial. Period-end loans and leases of $57.4 billion increased $0.8 billion from second quarter 2022, reflecting a 1% increase in commercial and a 3% increase in consumer. Before the impact of PPP and LMC, period-end loans increased $1.8 billion, or 3%, driven by a $1.4 billion increase in all other commercial loans.
Deposits
Average deposits of $68.1 billion decreased $3.8 billion, or 5%. Period-end deposits of $66.0 billion decreased $4.5 billion reflecting a $3.2 billion decrease in interest-bearing and a $1.3 billion decrease in noninterest-bearing. Total deposit costs of 25 basis points increased 15 basis points with a 25 basis point increase in interest-bearing deposit costs.
Asset quality
Provision expense of $60 million compared with a $30 million in second quarter 2022 reflecting the impact of loan growth, revised macroeconomic outlook and a preliminary estimate of potential losses related to Hurricane Ian.
Net charge-offs of $12 million, or 8 basis points, remained relatively stable with second quarter 2022 levels.
Nonperforming loans of $292 million decreased $9 million. Third quarter 2022 ACL to nonperforming loans coverage ratio of 258% compared with 234% in second quarter 2022.
The ACL to loans ratio increased to 1.31% from 1.24% in the second quarter 2022.
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Capital
CET1 ratio of 9.9% in third quarter 2022 compared with 9.8% in second quarter 2022. Total capital ratio of 13.1% vs. 13.0% in second quarter 2022.
Income taxes
The third quarter 2022 effective tax rate of 22.6% compares with 21.3% in second quarter 2022. On an adjusted basis, the effective tax rate of 22.4% in the third quarter 2022 improved from 21.7% in second quarter 2022.
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.
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
6

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 22.
First Horizon Corp. (NYSE: FHN), with $80.3 billion in assets as of September 30, 2022, is a leading regional financial services company, dedicated to helping our clients, communities and associates unlock their full potential with capital and counsel. Headquartered in Memphis, TN, the banking subsidiary First Horizon Bank operates in 12 states across the southern U.S. The Company and its subsidiaries offer commercial, private banking, consumer, small business, wealth and trust management, retail brokerage, capital markets, fixed income, and mortgage banking services. First Horizon has been recognized as one of the nation's best employers by Fortune and Forbes magazines and a Top 10 Most Reputable U.S. Bank. More information is available at www.FirstHorizon.com.
Contact: Investor Relations - investorrelations@firsthorizon.com
Media Relations - Beth.Ardoin@firsthorizon.com
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CONSOLIDATED INCOME STATEMENT |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Quarterly, Unaudited |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
|  |  |  |  |  |  |  |  |  |  | 3Q22 Change vs. |  |  |  |  |  |
($s in millions, except per share data) | 3Q22 |  | 2Q22 |  | 1Q22 |  | 4Q21 |  | 3Q21 |  | 2Q22 |  | 3Q21 |  |  |  |  |  |  |  |
|  |  |  |  |  |  |  |  |  |  | $ |  | % |  | $ |  | % |  |  |  |  |  |  |  |
Interest income - taxable equivalent 1 | $ | 737 |  |  | $ | 586 |  |  | $ | 513 |  |  | $ | 534 |  |  | $ | 536 |  |  | $ | 151 |  |  | 26 | % |  | $ | 201 |  |  | 38 | % |  |  |  |  |  |  |  |
Interest expense- taxable equivalent 1 | 71 |  |  | 41 |  |  | 31 |  |  | 33 |  |  | 41 |  |  | 30 |  |  | 73 |  |  | 30 |  |  | 73 |  |  |  |  |  |  |  |  |
Net interest income- taxable equivalent | 666 |  |  | 545 |  |  | 482 |  |  | 502 |  |  | 495 |  |  | 121 |  |  | 22 |  |  | 171 |  |  | 35 |  |  |  |  |  |  |  |  |
Less: Taxable-equivalent adjustment | 4 |  |  | 3 |  |  | 3 |  |  | 3 |  |  | 3 |  |  | 1 |  |  | 33 |  |  | 1 |  |  | 33 |  |  |  |  |  |  |  |  |
Net interest income | 662 |  |  | 542 |  |  | 479 |  |  | 498 |  |  | 492 |  |  | 120 |  |  | 22 |  |  | 170 |  |  | 35 |  |  |  |  |  |  |  |  |
Noninterest income: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Fixed income | 46 |  |  | 51 |  |  | 73 |  |  | 82 |  |  | 96 |  |  | (5) |  |  | (10) |  |  | (50) |  |  | (52) |  |  |  |  |  |  |  |  |
Mortgage banking and title | 9 |  |  | 34 |  |  | 22 |  |  | 28 |  |  | 34 |  |  | (25) |  |  | (74) |  |  | (25) |  |  | (74) |  |  |  |  |  |  |  |  |
Brokerage, trust, and insurance | 34 |  |  | 36 |  |  | 37 |  |  | 36 |  |  | 37 |  |  | (2) |  |  | (6) |  |  | (3) |  |  | (8) |  |  |  |  |  |  |  |  |
Service charges and fees | 56 |  |  | 57 |  |  | 57 |  |  | 56 |  |  | 56 |  |  | (1) |  |  | (2) |  |  | — |  |  | — |  |  |  |  |  |  |  |  |
Card and digital banking fees | 21 |  |  | 23 |  |  | 20 |  |  | 19 |  |  | 21 |  |  | (2) |  |  | (9) |  |  | — |  |  | — |  |  |  |  |  |  |  |  |
Deferred compensation income | (3) |  |  | (17) |  |  | (4) |  |  | — |  |  | 3 |  |  | 14 |  |  | 82 |  |  | (6) |  |  | NM |  |  |  |  |  |  |  |
Other noninterest income | 50 |  |  | 16 |  |  | 24 |  |  | 25 |  |  | (1) |  |  | 34 |  |  | NM |  | 51 |  |  | NM |  |  |  |  |  |  |  |
Total noninterest income | 213 |  |  | 201 |  |  | 229 |  |  | 247 |  |  | 247 |  |  | 12 |  |  | 6 |  |  | (34) |  |  | (14) |  |  |  |  |  |  |  |  |
Total revenue | 875 |  |  | 743 |  |  | 707 |  |  | 745 |  |  | 738 |  |  | 132 |  |  | 18 |  |  | 137 |  |  | 19 |  |  |  |  |  |  |  |  |
Noninterest expense: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Personnel expense: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Salaries and benefits | 186 |  |  | 190 |  |  | 190 |  |  | 190 |  |  | 191 |  |  | (4) |  |  | (2) |  |  | (5) |  |  | (3) |  |  |  |  |  |  |  |  |
Incentives and commissions | 92 |  |  | 93 |  |  | 94 |  |  | 93 |  |  | 101 |  |  | (1) |  |  | (1) |  |  | (9) |  |  | (9) |  |  |  |  |  |  |  |  |
Deferred compensation expense | (2) |  |  | (18) |  |  | (5) |  |  | 7 |  |  | 4 |  |  | 16 |  |  | 89 |  |  | (6) |  |  | NM |  |  |  |  |  |  |  |
Total personnel expense | 275 |  |  | 265 |  |  | 280 |  |  | 290 |  |  | 296 |  |  | 10 |  |  | 4 |  |  | (21) |  |  | (7) |  |  |  |  |  |  |  |  |
Occupancy and equipment 2 | 71 |  |  | 73 |  |  | 72 |  |  | 74 |  |  | 75 |  |  | (2) |  |  | (3) |  |  | (4) |  |  | (5) |  |  |  |  |  |  |  |  |
Outside services | 66 |  |  | 70 |  |  | 84 |  |  | 81 |  |  | 89 |  |  | (4) |  |  | (6) |  |  | (23) |  |  | (26) |  |  |  |  |  |  |  |  |
Amortization of intangible assets | 13 |  |  | 13 |  |  | 13 |  |  | 14 |  |  | 14 |  |  | — |  |  | — |  |  | (1) |  |  | (7) |  |  |  |  |  |  |  |  |
Other noninterest expense | 44 |  |  | 68 |  |  | 44 |  |  | 70 |  |  | 52 |  |  | (24) |  |  | (35) |  |  | (8) |  |  | (15) |  |  |  |  |  |  |  |  |
Total noninterest expense | 468 |  |  | 489 |  |  | 493 |  |  | 528 |  |  | 526 |  |  | (21) |  |  | (4) |  |  | (58) |  |  | (11) |  |  |  |  |  |  |  |  |
Pre-provision net revenue 3 | 406 |  |  | 255 |  |  | 215 |  |  | 217 |  |  | 213 |  |  | 151 |  |  | 59 |  |  | 193 |  |  | 91 |  |  |  |  |  |  |  |  |
Provision for credit losses | 60 |  |  | 30 |  |  | (40) |  |  | (65) |  |  | (85) |  |  | 30 |  |  | 100 |  |  | 145 |  |  | NM |  |  |  |  |  |  |  |
Income before income taxes | 346 |  |  | 225 |  |  | 255 |  |  | 282 |  |  | 298 |  |  | 121 |  |  | 54 |  |  | 48 |  |  | 16 |  |  |  |  |  |  |  |  |
Provision for income taxes | 78 |  |  | 48 |  |  | 57 |  |  | 53 |  |  | 63 |  |  | 30 |  |  | 63 |  |  | 15 |  |  | 24 |  |  |  |  |  |  |  |  |
Net income | 268 |  |  | 177 |  |  | 198 |  |  | 229 |  |  | 235 |  |  | 91 |  |  | 51 |  |  | 33 |  |  | 14 |  |  |  |  |  |  |  |  |
Net income attributable to noncontrolling interest | 3 |  |  | 3 |  |  | 3 |  |  | 3 |  |  | 3 |  |  | — |  |  | — |  |  | — |  |  | — |  |  |  |  |  |  |  |  |
Net income attributable to controlling interest | 265 |  |  | 174 |  |  | 195 |  |  | 227 |  |  | 232 |  |  | 91 |  |  | 52 |  |  | 33 |  |  | 14 |  |  |  |  |  |  |  |  |
Preferred stock dividends | 8 |  |  | 8 |  |  | 8 |  |  | 8 |  |  | 8 |  |  | — |  |  | — |  |  | — |  |  | — |  |  |  |  |  |  |  |  |
Net income available to common shareholders | $ | 257 |  |  | $ | 166 |  |  | $ | 187 |  |  | $ | 219 |  |  | $ | 224 |  |  | $ | 91 |  |  | 55 | % |  | $ | 33 |  |  | 15 | % |  |  |  |  |  |  |  |
Common Share Data |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
EPS | $ | 0.48 |  |  | $ | 0.31 |  |  | $ | 0.35 |  |  | $ | 0.41 |  |  | $ | 0.41 |  |  | $ | 0.17 |  |  | 55 | % |  | $ | 0.07 |  |  | 17 | % |  |  |  |  |  |  |  |
Basic shares | 536 |  |  | 535 |  |  | 533 |  |  | 537 |  |  | 546 |  |  | 1 |  |  | — |  |  | (10) |  |  | (2) |  |  |  |  |  |  |  |  |
Diluted EPS | $ | 0.45 |  |  | $ | 0.29 |  |  | $ | 0.34 |  |  | $ | 0.40 |  |  | $ | 0.41 |  |  | $ | 0.16 |  |  | 54 |  |  | $ | 0.04 |  |  | 10 |  |  |  |  |  |  |  |  |
Diluted shares 8 | 570 |  |  | 569 |  |  | 550 |  |  | 542 |  |  | 550 |  |  | 1 |  |  | — | % |  | 20 |  |  | 4 | % |  |  |  |  |  |  |  |
Effective tax rate | 22.6 | % |  | 21.3 | % |  | 22.4 | % |  | 18.6 | % |  | 21.1 | % |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |

Numbers may not foot due to rounding. See footnote disclosures on page 21.
8

ADJUSTED 5 FINANCIAL DATA - SEE NOTABLE ITEMS ON PAGE 10
Quarterly, Unaudited

|  |  |  |  |  |  |  |  |  |  | 3Q22 Change vs. |  |  |  |  |  |
($s in millions, except per share data) | 3Q22 |  | 2Q22 |  | 1Q22 |  | 4Q21 |  | 3Q21 |  | 2Q22 |  | 3Q21 |  |  |  |  |  |  |  |
|  |  |  |  |  |  |  |  |  |  | $ |  | % |  | $ |  | % |  |  |  |  |  |  |  |
Net interest income (FTE)1 | $ | 666 |  |  | $ | 545 |  |  | $ | 482 |  |  | $ | 502 |  |  | $ | 495 |  |  | $ | 121 |  |  | 22 | % |  | $ | 171 |  |  | 35 | % |  |  |  |  |  |  |  |
Adjusted noninterest income: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Fixed income | 46 |  |  | 51 |  |  | 73 |  |  | 82 |  |  | 96 |  |  | (5) |  |  | (10) |  |  | (50) |  |  | (52) |  |  |  |  |  |  |  |  |
Mortgage banking and title | 9 |  |  | 22 |  |  | 22 |  |  | 28 |  |  | 34 |  |  | (13) |  |  | (59) |  |  | (25) |  |  | (74) |  |  |  |  |  |  |  |  |
Brokerage, trust, and insurance | 34 |  |  | 36 |  |  | 37 |  |  | 36 |  |  | 37 |  |  | (2) |  |  | (6) |  |  | (3) |  |  | (8) |  |  |  |  |  |  |  |  |
Service charges and fees | 56 |  |  | 57 |  |  | 57 |  |  | 56 |  |  | 56 |  |  | (1) |  |  | (2) |  |  | — |  |  | — |  |  |  |  |  |  |  |  |
Card and digital banking fees | 21 |  |  | 23 |  |  | 20 |  |  | 19 |  |  | 21 |  |  | (2) |  |  | (9) |  |  | — |  |  | — |  |  |  |  |  |  |  |  |
Deferred compensation income | (3) |  |  | (17) |  |  | (4) |  |  | — |  |  | 3 |  |  | 14 |  |  | 82 |  |  | (6) |  |  | NM |  |  |  |  |  |  |  |
Adjusted other noninterest income | 18 |  |  | 15 |  |  | 18 |  |  | 25 |  |  | 21 |  |  | 3 |  |  | 20 |  |  | (3) |  |  | (14) |  |  |  |  |  |  |  |  |
Adjusted total noninterest income | $ | 181 |  |  | $ | 188 |  |  | $ | 223 |  |  | $ | 246 |  |  | $ | 268 |  |  | $ | (7) |  |  | (4) | % |  | $ | (87) |  |  | (32) | % |  |  |  |  |  |  |  |
Total revenue (FTE)1 | $ | 846 |  |  | $ | 733 |  |  | $ | 704 |  |  | $ | 748 |  |  | $ | 763 |  |  | $ | 113 |  |  | 15 | % |  | $ | 83 |  |  | 11 | % |  |  |  |  |  |  |  |
Adjusted noninterest expense: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Adjusted personnel expense: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Adjusted salaries and benefits | $ | 185 |  |  | $ | 190 |  |  | $ | 188 |  |  | $ | 189 |  |  | $ | 191 |  |  | $ | (5) |  |  | (3) | % |  | $ | (6) |  |  | (3) | % |  |  |  |  |  |  |  |
Adjusted Incentives and commissions | 68 |  |  | 71 |  |  | 92 |  |  | 84 |  |  | 92 |  |  | (3) |  |  | (4) |  |  | (24) |  |  | (26) |  |  |  |  |  |  |  |  |
Deferred compensation expense | (2) |  |  | (18) |  |  | (5) |  |  | 1 |  |  | 4 |  |  | 16 |  |  | 89 |  |  | (6) |  |  | NM |  |  |  |  |  |  |  |
Adjusted total personnel expense | 251 |  |  | 244 |  |  | 275 |  |  | 274 |  |  | 286 |  |  | 7 |  |  | 3 |  |  | (35) |  |  | (12) |  |  |  |  |  |  |  |  |
Adjusted occupancy and equipment 2 | 70 |  |  | 72 |  |  | 72 |  |  | 73 |  |  | 74 |  |  | (2) |  |  | (3) |  |  | (4) |  |  | (5) |  |  |  |  |  |  |  |  |
Adjusted outside services | 64 |  |  | 61 |  |  | 59 |  |  | 66 |  |  | 65 |  |  | 3 |  |  | 5 |  |  | (1) |  |  | (2) |  |  |  |  |  |  |  |  |
Adjusted amortization of intangible assets | 12 |  |  | 12 |  |  | 12 |  |  | 13 |  |  | 13 |  |  | — |  |  | — |  |  | (1) |  |  | (8) |  |  |  |  |  |  |  |  |
Adjusted other noninterest expense | 48 |  |  | 50 |  |  | 37 |  |  | 46 |  |  | 42 |  |  | (2) |  |  | (4) |  |  | 6 |  |  | 14 |  |  |  |  |  |  |  |  |
Adjusted total noninterest expense | $ | 444 |  |  | $ | 438 |  |  | $ | 455 |  |  | $ | 474 |  |  | $ | 480 |  |  | $ | 6 |  |  | 1 | % |  | $ | (36) |  |  | (8) | % |  |  |  |  |  |  |  |
Adjusted pre-provision net revenue 3 | $ | 403 |  |  | $ | 295 |  |  | $ | 249 |  |  | $ | 274 |  |  | $ | 284 |  |  | $ | 108 |  |  | 37 | % |  | $ | 119 |  |  | 42 | % |  |  |  |  |  |  |  |
Adjusted provision for credit losses | $ | 60 |  |  | $ | 30 |  |  | $ | (40) |  |  | $ | (65) |  |  | $ | (85) |  |  | $ | 30 |  |  | 100 | % |  | $ | 145 |  |  | NM |  |  |  |  |  |  |  |
Adjusted net income available to common shareholders | $ | 252 |  |  | $ | 195 |  |  | $ | 211 |  |  | $ | 260 |  |  | $ | 275 |  |  | $ | 57 |  |  | 29 | % |  | $ | (23) |  |  | (8) | % |  |  |  |  |  |  |  |
Adjusted Common Share Data |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Adjusted diluted EPS | $ | 0.44 |  |  | $ | 0.34 |  |  | $ | 0.38 |  |  | $ | 0.48 |  |  | $ | 0.50 |  |  | $ | 0.10 |  |  | 29 | % |  | $ | (0.06) |  |  | (12) | % |  |  |  |  |  |  |  |
Diluted shares 8 | 570 |  |  | 569 |  |  | 550 |  |  | 542 |  |  | 550 |  |  | 1 |  |  | — | % |  | 20 |  |  | 4 | % |  |  |  |  |  |  |  |
Adjusted effective tax rate | 22.4 | % |  | 21.7 | % |  | 22.5 | % |  | 19.5 | % |  | 21.8 | % |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Adjusted ROTCE | 17.9 | % |  | 14.2 | % |  | 14.7 | % |  | 17.5 | % |  | 18.4 | % |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Adjusted efficiency ratio | 52.4 | % |  | 59.8 | % |  | 64.6 | % |  | 63.3 | % |  | 62.9 | % |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |

Numbers may not foot due to rounding.
See footnote disclosures on page 21.
9

NOTABLE ITEMS
Quarterly, Unaudited

(In millions) | 3Q22 |  | 2Q22 |  | 1Q22 |  | 4Q21 |  | 3Q21 |  |  |  |
Summary of Notable Items: |  |  |  |  |  |  |  |  |  |  |  |  |
Gain/(loss) on TRUPS redemption (other noninterest income) | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | (3) |  |  | $ | (23) |  |  |  |  |
IBKC Branch sale gain (other noninterest income) | — |  |  | — |  |  | — |  |  | 4 |  |  | 2 |  |  |  |  |
Gain on sale of title services business | 21 |  |  | — |  |  | — |  |  | — |  |  | — |  |  |  |  |
Gain related to equity securities investment | 10 |  |  | — |  |  | — |  |  | — |  |  | — |  |  |  |  |
Gain related to a fintech investment | — |  |  | — |  |  | 6 |  |  | — |  |  | — |  |  |  |  |
Gain on sale of mortgage servicing rights | — |  |  | 12 |  |  | — |  |  | — |  |  | — |  |  |  |  |
IBKC merger/acquisition expense | (3) |  |  | (13) |  |  | (28) |  |  | (38) |  |  | (46) |  |  |  |  |
TD transaction-related expense | (21) |  |  | (25) |  |  | (9) |  |  | — |  |  | — |  |  |  |  |
Other notable expenses* | — |  |  | (12) |  |  | — |  |  | (16) |  |  | — |  |  |  |  |
Total notable items | $ | 7 |  |  | $ | (38) |  |  | $ | (32) |  |  | $ | (54) |  |  | $ | (68) |  |  |  |  |
EPS impact of notable items | $ | 0.01 |  |  | $ | (0.05) |  |  | $ | (0.04) |  |  | $ | (0.08) |  |  | $ | (0.09) |  |  |  |  |

Numbers may not foot due to rounding
*2Q22 includes $12 million of Visa derivative valuation expense; 4Q21 includes $10 million of Visa derivative valuation expense and $6 million of deferred compensation expense.

IMPACT OF NOTABLE ITEMS:
Quarterly, Unaudited

(In millions) | 3Q22 |  | 2Q22 |  | 1Q22 |  | 4Q21 |  | 3Q21 |  |  |  |
Impacts of Notable Items: |  |  |  |  |  |  |  |  |  |  |  |  |
Noninterest income: |  |  |  |  |  |  |  |  |  |  |  |  |
Mortgage banking and title | $ | — |  |  | $ | (12) |  |  | $ | — |  |  | $ | — |  |  | $ | — |  |  |  |  |
Other noninterest income | (32) |  |  | — |  |  | (6) |  |  | — |  |  | 22 |  |  |  |  |
Total noninterest income | $ | (32) |  |  | $ | (13) |  |  | $ | (6) |  |  | $ | — |  |  | $ | 22 |  |  |  |  |
Noninterest expense: |  |  |  |  |  |  |  |  |  |  |  |  |
Personnel expenses: |  |  |  |  |  |  |  |  |  |  |  |  |
Salaries and benefits | $ | — |  |  | $ | 1 |  |  | $ | (2) |  |  | $ | — |  |  | $ | — |  |  |  |  |
Incentives and commissions | (24) |  |  | (22) |  |  | (2) |  |  | (9) |  |  | (10) |  |  |  |  |
Deferred compensation expense | — |  |  | — |  |  | — |  |  | (6) |  |  | — |  |  |  |  |
Total personnel expenses | (25) |  |  | (21) |  |  | (4) |  |  | (16) |  |  | (10) |  |  |  |  |
Occupancy and equipment 2 | (1) |  |  | (1) |  |  | — |  |  | — |  |  | (1) |  |  |  |  |
Outside services | (2) |  |  | (9) |  |  | (25) |  |  | (15) |  |  | (24) |  |  |  |  |
Amortization of intangible assets | (1) |  |  | (1) |  |  | (1) |  |  | (1) |  |  | (1) |  |  |  |  |
Other noninterest expense | 4 |  |  | (18) |  |  | (7) |  |  | (23) |  |  | (10) |  |  |  |  |
Total noninterest expense | $ | (25) |  |  | $ | (50) |  |  | $ | (37) |  |  | $ | (54) |  |  | $ | (46) |  |  |  |  |
Income before income taxes | $ | (7) |  |  | $ | 38 |  |  | $ | 32 |  |  | $ | 54 |  |  | $ | 68 |  |  |  |  |
Provision for income taxes | (2) |  |  | 9 |  |  | 7 |  |  | 13 |  |  | 17 |  |  |  |  |
Net income/(loss) available to common shareholders | $ | (5) |  |  | $ | 29 |  |  | $ | 24 |  |  | $ | 41 |  |  | $ | 51 |  |  |  |  |

Numbers may not foot due to rounding
10

FINANCIAL RATIOS |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Quarterly, Unaudited |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
|  |  |  |  |  |  |  |  |  |  | 3Q22 Change vs. |  |  |  |  |  |
| 3Q22 |  | 2Q22 |  | 1Q22 |  | 4Q21 |  | 3Q21 |  | 2Q22 | 3Q21 |  |  |  |  |
FINANCIAL RATIOS |  |  |  |  |  |  |  |  |  |  | $/bp |  | % |  | $/bp |  | % |  |  |  |  |  |  |  |
Net interest margin | 3.49 | % |  | 2.74 | % |  | 2.37 | % |  | 2.42 | % |  | 2.41 | % |  | 75 | bp |  |  |  | 108 | bp |  |  |  |  |  |  |  |  |  |
Return on average assets | 1.29 | % |  | 0.82 | % |  | 0.90 | % |  | 1.02 | % |  | 1.05 | % |  | 47 |  |  |  |  | 24 |  |  |  |  |  |  |  |  |  |  |
Adjusted return on average assets 4 | 1.27 | % |  | 0.95 | % |  | 1.02 | % |  | 1.21 | % |  | 1.28 | % |  | 32 |  |  |  |  | (1) |  |  |  |  |  |  |  |  |  |  |
Return on average common equity (“ROCE”) | 13.85 | % |  | 9.12 | % |  | 9.92 | % |  | 11.26 | % |  | 11.43 | % |  | 473 |  |  |  |  | 242 |  |  |  |  |  |  |  |  |  |  |
Return on average tangible common equity (“ROTCE”)4 | 18.23 | % |  | 12.07 | % |  | 12.98 | % |  | 14.72 | % |  | 14.95 | % |  | 616 |  |  |  |  | 328 |  |  |  |  |  |  |  |  |  |  |
Adjusted ROTCE 4 | 17.89 | % |  | 14.15 | % |  | 14.68 | % |  | 17.51 | % |  | 18.36 | % |  | 374 |  |  |  |  | (47) |  |  |  |  |  |  |  |  |  |  |
Noninterest income as a % of total revenue | 24.30 | % |  | 27.06 | % |  | 32.31 | % |  | 33.10 | % |  | 33.39 | % |  | (276) |  |  |  |  | (909) |  |  |  |  |  |  |  |  |  |  |
Adjusted noninterest income as a % of total revenue 4 | 21.37 | % |  | 25.68 | % |  | 31.63 | % |  | 32.95 | % |  | 35.14 | % |  | (431) |  |  |  |  | (1,377) |  |  |  |  |  |  |  |  |  |  |
Efficiency ratio | 53.56 | % |  | 65.76 | % |  | 69.66 | % |  | 70.88 | % |  | 71.21 | % |  | (1,220) |  |  |  |  | (1,765) |  |  |  |  |  |  |  |  |  |  |
Adjusted efficiency ratio 4 | 52.42 | % |  | 59.79 | % |  | 64.64 | % |  | 63.31 | % |  | 62.87 | % |  | (737) |  |  |  |  | (1,045) |  |  |  |  |  |  |  |  |  |  |
CAPITAL DATA |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
CET1 capital ratio* | 9.9 | % |  | 9.8 | % |  | 10.0 | % |  | 9.9 | % |  | 10.1 | % |  | 12 | bp |  |  |  | (16) | bp |  |  |  |  |  |  |  |  |  |
Tier 1 capital ratio* | 11.7 | % |  | 11.6 | % |  | 11.8 | % |  | 11.0 | % |  | 11.2 | % |  | 8 | bp |  |  |  | 46 | bp |  |  |  |  |  |  |  |  |  |
Total capital ratio* | 13.1 | % |  | 13.0 | % |  | 13.2 | % |  | 12.3 | % |  | 12.6 | % |  | 13 | bp |  |  |  | 45 | bp |  |  |  |  |  |  |  |  |  |
Tier 1 leverage ratio* | 9.8 | % |  | 9.1 | % |  | 8.8 | % |  | 8.1 | % |  | 8.1 | % |  | 67 | bp |  |  |  | 165 | bp |  |  |  |  |  |  |  |  |  |
Risk-weighted assets (“RWA”) (billions) | $ | 68.7 |  |  | $ | 67.3 |  |  | $ | 65.0 |  |  | $ | 64.2 |  |  | $ | 63.0 |  |  | $ | 1 |  |  | 2 | % |  | $ | 6 |  |  | 9 | % |  |  |  |  |  |  |  |
Total equity to total assets | 10.32 | % |  | 10.04 | % |  | 9.81 | % |  | 9.53 | % |  | 9.64 | % |  | 28 | bp |  |  |  | 68 | bp |  |  |  |  |  |  |  |  |  |
Tangible common equity/tangible assets (“TCE/TA”)4 | 6.64 | % |  | 6.55 | % |  | 6.44 | % |  | 6.73 | % |  | 6.80 | % |  | 9 | bp |  |  |  | (16) | bp |  |  |  |  |  |  |  |  |  |
Period-end shares outstanding (millions) | 537 |  |  | 536 |  |  | 535 |  |  | 534 |  |  | 542 |  |  | 1 |  |  | — | % |  | (5) |  |  | (1) | % |  |  |  |  |  |  |  |
Cash dividends declared per common share | $ | 0.15 |  |  | $ | 0.15 |  |  | $ | 0.15 |  |  | $ | 0.15 |  |  | $ | 0.15 |  |  | $ | — |  |  | — | % |  | $ | — |  |  | — | % |  |  |  |  |  |  |  |
Book value per common share | $ | 12.99 |  |  | $ | 13.50 |  |  | $ | 13.82 |  |  | $ | 14.39 |  |  | $ | 14.24 |  |  | $ | (0.51) |  |  | (4) | % |  | $ | (1.25) |  |  | (9) | % |  |  |  |  |  |  |  |
Tangible book value per common share 4 | $ | 9.72 |  |  | $ | 10.18 |  |  | $ | 10.46 |  |  | $ | 11.00 |  |  | $ | 10.88 |  |  | $ | (0.46) |  |  | (5) | % |  | $ | (1.16) |  |  | (11) | % |  |  |  |  |  |  |  |
SELECTED BALANCE SHEET DATA |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Loans-to-deposit ratio (period-end balances) | 86.88 | % |  | 80.13 | % |  | 74.23 | % |  | 73.25 | % |  | 74.65 | % |  | 675 | bp |  |  |  | 1,223 | bp |  |  |  |  |  |  |  |  |  |
Loans-to-deposit ratio (average balances) | 82.99 | % |  | 77.25 | % |  | 72.93 | % |  | 73.29 | % |  | 75.28 | % |  | 574 | bp |  |  |  | 771 | bp |  |  |  |  |  |  |  |  |  |
Full-time equivalent associates | 7,569 |  |  | 7,627 |  |  | 7,900 |  |  | 7,863 |  |  | 7,982 |  |  | (58) |  |  | (1) | % |  | (413) |  |  | (5) | % |  |  |  |  |  |  |  |

Certain previously reported amounts have been reclassified to agree with current presentation.
*Current quarter is an estimate.
See footnote disclosures on page 21.
11

CONSOLIDATED PERIOD-END BALANCE SHEET
Quarterly, Unaudited

|  |  |  |  |  |  |  |  |  |  | 3Q22 Change vs.
(In millions) | 3Q22 |  | 2Q22 |  | 1Q22 |  | 4Q21 |  | 3Q21 |  | 2Q22 |  |  | 3Q21
|  |  |  |  |  |  |  |  |  |  | $ |  | % |  |  | $ |  | % |
Assets: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Loans and leases: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Commercial, financial, and industrial (C&I) | $ | 31,620 |  |  | $ | 31,276 |  |  | $ | 30,798 |  |  | $ | 31,068 |  |  | $ | 31,516 |  |  | $ | 344 |  |  | 1 | % |  |  | $ | 104 |  |  | — | % |
Commercial real estate | 13,021 |  |  | 12,942 |  |  | 12,487 |  |  | 12,109 |  |  | 12,194 |  |  | 79 |  |  | 1 |  |  |  | 827 |  |  | 7 |  |
Total Commercial | 44,641 |  |  | 44,218 |  |  | 43,285 |  |  | 43,177 |  |  | 43,710 |  |  | 423 |  |  | 1 |  |  |  | 931 |  |  | 2 |  |
Consumer real estate | 11,864 |  |  | 11,441 |  |  | 10,874 |  |  | 10,772 |  |  | 10,787 |  |  | 423 |  |  | 4 |  |  |  | 1,077 |  |  | 10 |  |
Credit card and other 5 | 849 |  |  | 870 |  |  | 854 |  |  | 910 |  |  | 938 |  |  | (21) |  |  | (2) |  |  |  | (89) |  |  | (10) |  |
Total Consumer | 12,712 |  |  | 12,311 |  |  | 11,727 |  |  | 11,682 |  |  | 11,725 |  |  | 402 |  |  | 3 |  |  |  | 987 |  |  | 8 |  |
Loans and leases, net of unearned income | 57,354 |  |  | 56,529 |  |  | 55,012 |  |  | 54,859 |  |  | 55,435 |  |  | 825 |  |  | 1 |  |  |  | 1,919 |  |  | 3 |  |
Loans held for sale | 680 |  |  | 870 |  |  | 1,014 |  |  | 1,172 |  |  | 1,052 |  |  | (190) |  |  | (22) |  |  |  | (372) |  |  | (35) |  |
Investment securities | 10,103 |  |  | 9,628 |  |  | 9,943 |  |  | 9,419 |  |  | 8,798 |  |  | 475 |  |  | 5 |  |  |  | 1,305 |  |  | 15 |  |
Trading securities | 1,421 |  |  | 1,392 |  |  | 1,823 |  |  | 1,601 |  |  | 1,319 |  |  | 29 |  |  | 2 |  |  |  | 102 |  |  | 8 |  |
Interest-bearing deposits with banks | 3,241 |  |  | 9,475 |  |  | 13,548 |  |  | 14,907 |  |  | 14,829 |  |  | (6,234) |  |  | (66) |  |  |  | (11,587) |  |  | (78) |  |
Federal funds sold and securities purchased under agreements to resell | 690 |  |  | 712 |  |  | 640 |  |  | 641 |  |  | 361 |  |  | (22) |  |  | (3) |  |  |  | 329 |  |  | 91 |  |
Total interest earning assets | 73,489 |  |  | 78,606 |  |  | 81,980 |  |  | 82,600 |  |  | 81,794 |  |  | (5,117) |  |  | (7) |  |  |  | (8,305) |  |  | (10) |  |
Cash and due from banks | 1,193 |  |  | 1,133 |  |  | 1,225 |  |  | 1,147 |  |  | 1,197 |  |  | 60 |  |  | 5 |  |  |  | (4) |  |  | — |  |
Goodwill and other intangible assets, net | 1,757 |  |  | 1,782 |  |  | 1,795 |  |  | 1,808 |  |  | 1,822 |  |  | (26) |  |  | (1) |  |  |  | (65) |  |  | (4) |  |
Premises and equipment, net | 622 |  |  | 636 |  |  | 669 |  |  | 665 |  |  | 692 |  |  | (15) |  |  | (2) |  |  |  | (70) |  |  | (10) |  |
Allowance for loan and lease losses | (664) |  |  | (624) |  |  | (622) |  |  | (670) |  |  | (734) |  |  | (40) |  |  | (6) |  |  |  | 70 |  |  | 9 |  |
Other assets | 3,903 |  |  | 3,598 |  |  | 3,614 |  |  | 3,542 |  |  | 3,766 |  |  | 304 |  |  | 8 |  |  |  | 137 |  |  | 4 |  |
Total assets | $ | 80,299 |  |  | $ | 85,132 |  |  | $ | 88,660 |  |  | $ | 89,092 |  |  | $ | 88,537 |  |  | $ | (4,833) |  |  | (6) | % |  |  | $ | (8,239) |  |  | (9) | % |
Liabilities and Shareholders' Equity: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Deposits: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Savings | $ | 22,800 |  |  | $ | 24,376 |  |  | $ | 25,772 |  |  | $ | 26,457 |  |  | $ | 27,425 |  |  | $ | (1,576) |  |  | (6) | % |  |  | $ | (4,625) |  |  | (17) | % |
Time deposits | 2,671 |  |  | 2,888 |  |  | 3,165 |  |  | 3,500 |  |  | 3,920 |  |  | (217) |  |  | (7) |  |  |  | (1,249) |  |  | (32) |  |
Other interest-bearing deposits | 14,730 |  |  | 16,172 |  |  | 17,126 |  |  | 17,054 |  |  | 15,571 |  |  | (1,442) |  |  | (9) |  |  |  | (840) |  |  | (5) |  |
Total interest-bearing deposits | 40,202 |  |  | 43,436 |  |  | 46,063 |  |  | 47,012 |  |  | 46,916 |  |  | (3,234) |  |  | (7) |  |  |  | (6,715) |  |  | (14) |  |
Trading liabilities | 383 |  |  | 394 |  |  | 513 |  |  | 426 |  |  | 315 |  |  | (11) |  |  | (3) |  |  |  | 69 |  |  | 22 |  |
Short-term borrowings | 1,416 |  |  | 1,953 |  |  | 1,719 |  |  | 2,124 |  |  | 2,225 |  |  | (537) |  |  | (27) |  |  |  | (809) |  |  | (36) |  |
Term borrowings | 1,597 |  |  | 1,599 |  |  | 1,591 |  |  | 1,590 |  |  | 1,584 |  |  | (3) |  |  | — |  |  |  | 13 |  |  | 1 |  |
Total interest-bearing liabilities | 43,598 |  |  | 47,382 |  |  | 49,885 |  |  | 51,151 |  |  | 51,040 |  |  | (3,784) |  |  | (8) |  |  |  | (7,442) |  |  | (15) |  |
Noninterest-bearing deposits | 25,813 |  |  | 27,114 |  |  | 28,052 |  |  | 27,883 |  |  | 27,348 |  |  | (1,301) |  |  | (5) |  |  |  | (1,536) |  |  | (6) |  |
Other liabilities | 2,605 |  |  | 2,085 |  |  | 2,027 |  |  | 1,564 |  |  | 1,617 |  |  | 520 |  |  | 25 |  |  |  | 988 |  |  | 61 |  |
Total liabilities | 72,016 |  |  | 76,581 |  |  | 79,964 |  |  | 80,598 |  |  | 80,005 |  |  | (4,566) |  |  | (6) |  |  |  | (7,989) |  |  | (10) |  |
Shareholders' Equity: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Preferred stock | 1,014 |  |  | 1,014 |  |  | 1,014 |  |  | 520 |  |  | 520 |  |  | — |  |  | — |  |  |  | 494 |  |  | 95 |  |
Common stock | 335 |  |  | 335 |  |  | 334 |  |  | 333 |  |  | 339 |  |  | — |  |  | — |  |  |  | (3) |  |  | (1) |  |
Capital surplus | 4,812 |  |  | 4,791 |  |  | 4,769 |  |  | 4,742 |  |  | 4,866 |  |  | 22 |  |  | — |  |  |  | (54) |  |  | (1) |  |
Retained earnings | 3,254 |  |  | 3,079 |  |  | 2,996 |  |  | 2,891 |  |  | 2,754 |  |  | 175 |  |  | 6 |  |  |  | 500 |  |  | 18 |  |
Accumulated other comprehensive loss, net | (1,427) |  |  | (963) |  |  | (711) |  |  | (288) |  |  | (241) |  |  | (464) |  |  | (48) |  |  |  | (1,187) |  |  | NM |
Combined shareholders' equity | 7,987 |  |  | 8,255 |  |  | 8,400 |  |  | 8,199 |  |  | 8,237 |  |  | (268) |  |  | (3) |  |  |  | (250) |  |  | (3) |  |
Noncontrolling interest | 295 |  |  | 295 |  |  | 295 |  |  | 295 |  |  | 295 |  |  | — |  |  | — |  |  |  | — |  |  | — |  |
Total shareholders' equity | 8,283 |  |  | 8,551 |  |  | 8,696 |  |  | 8,494 |  |  | 8,533 |  |  | (268) |  |  | (3) |  |  |  | (250) |  |  | (3) |  |
Total liabilities and shareholders' equity | $ | 80,299 |  |  | $ | 85,132 |  |  | $ | 88,660 |  |  | $ | 89,092 |  |  | $ | 88,537 |  |  | $ | (4,833) |  |  | (6) | % |  |  | $ | (8,239) |  |  | (9) | % |
Memo: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Total Deposits | $ | 66,014 |  |  | $ | 70,550 |  |  | $ | 74,114 |  |  | $ | 74,895 |  |  | $ | 74,265 |  |  | $ | (4,535) |  |  | (6) | % |  |  | $ | (8,250) |  |  | (11) | % |
Unfunded Loan Commitments: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Commercial | $ | 23,706 |  |  | $ | 23,251 |  |  | $ | 21,813 |  |  | $ | 20,487 |  |  | $ | 19,019 |  |  | $ | 455 |  |  | 2 | % |  |  | $ | 4,687 |  |  | 25 | % |
Consumer | $ | 4,248 |  |  | $ | 3,972 |  |  | $ | 3,882 |  |  | $ | 3,936 |  |  | $ | 3,892 |  |  | $ | 276 |  |  | 7 | % |  |  | $ | 356 |  |  | 9 | % |

Numbers may not foot due to rounding. See footnote disclosures on page 21.
12

CONSOLIDATED AVERAGE BALANCE SHEET
Quarterly, Unaudited

|  |  |  |  |  |  |  |  |  |  | 3Q22 Change vs. |  |  |  |  |  |
(In millions) | 3Q22 |  | 2Q22 |  | 1Q22 |  | 4Q21 |  | 3Q21 |  | 2Q22 |  | 3Q21 |  |  |  |  |  |  |  |
|  |  |  |  |  |  |  |  |  |  | $ |  | % |  | $ |  | % |  |  |  |  |  |  |  |
Assets: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Loans and leases: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Commercial, financial, and industrial (C&I) | $ | 31,120 |  |  | $ | 30,963 |  |  | $ | 30,215 |  |  | $ | 30,780 |  |  | $ | 31,477 |  |  | $ | 157 |  |  | 1 | % |  | $ | (357) |  |  | (1) | % |  |  |  |  |  |  |  |
Commercial real estate | 12,926 |  |  | 12,626 |  |  | 12,229 |  |  | 12,220 |  |  | 12,264 |  |  | 300 |  |  | 2 |  |  | 662 |  |  | 5 |  |  |  |  |  |  |  |  |
Total Commercial | 44,046 |  |  | 43,589 |  |  | 42,445 |  |  | 43,001 |  |  | 43,741 |  |  | 457 |  |  | 1 |  |  | 305 |  |  | 1 |  |  |  |  |  |  |  |  |
Consumer real estate | 11,633 |  |  | 11,120 |  |  | 10,769 |  |  | 10,738 |  |  | 10,819 |  |  | 513 |  |  | 5 |  |  | 814 |  |  | 8 |  |  |  |  |  |  |  |  |
Credit card and other 5 | 864 |  |  | 867 |  |  | 869 |  |  | 943 |  |  | 948 |  |  | (3) |  |  | — |  |  | (84) |  |  | (9) |  |  |  |  |  |  |  |  |
Total Consumer | 12,496 |  |  | 11,987 |  |  | 11,638 |  |  | 11,681 |  |  | 11,767 |  |  | 509 |  |  | 4 |  |  | 729 |  |  | 6 |  |  |  |  |  |  |  |  |
Loans and leases, net of unearned income | 56,543 |  |  | 55,576 |  |  | 54,082 |  |  | 54,682 |  |  | 55,508 |  |  | 967 |  |  | 2 |  |  | 1,035 |  |  | 2 |  |  |  |  |  |  |  |  |
Loans held-for-sale | 761 |  |  | 1,027 |  |  | 1,156 |  |  | 1,252 |  |  | 992 |  |  | (266) |  |  | (26) |  |  | (231) |  |  | (23) |  |  |  |  |  |  |  |  |
Investment securities | 10,315 |  |  | 9,781 |  |  | 9,668 |  |  | 9,269 |  |  | 8,494 |  |  | 533 |  |  | 5 |  |  | 1,820 |  |  | 21 |  |  |  |  |  |  |  |  |
Trading securities | 1,342 |  |  | 1,509 |  |  | 1,594 |  |  | 1,552 |  |  | 1,171 |  |  | (167) |  |  | (11) |  |  | 171 |  |  | 15 |  |  |  |  |  |  |  |  |
Interest-bearing deposits with banks | 6,341 |  |  | 10,989 |  |  | 14,902 |  |  | 15,065 |  |  | 15,022 |  |  | (4,648) |  |  | (42) |  |  | (8,681) |  |  | (58) |  |  |  |  |  |  |  |  |
Federal funds sold and securities purchased under agreements to resell | 661 |  |  | 857 |  |  | 753 |  |  | 650 |  |  | 587 |  |  | (196) |  |  | (23) |  |  | 74 |  |  | 13 |  |  |  |  |  |  |  |  |
Total interest earning assets | 75,963 |  |  | 79,739 |  |  | 82,155 |  |  | 82,469 |  |  | 81,775 |  |  | (3,776) |  |  | (5) |  |  | (5,812) |  |  | (7) |  |  |  |  |  |  |  |  |
Cash and due from banks | 1,246 |  |  | 1,281 |  |  | 1,226 |  |  | 1,263 |  |  | 1,263 |  |  | (36) |  |  | (3) |  |  | (17) |  |  | (1) |  |  |  |  |  |  |  |  |
Goodwill and other intangibles assets, net | 1,767 |  |  | 1,789 |  |  | 1,802 |  |  | 1,815 |  |  | 1,829 |  |  | (21) |  |  | (1) |  |  | (62) |  |  | (3) |  |  |  |  |  |  |  |  |
Premises and equipment, net | 629 |  |  | 645 |  |  | 655 |  |  | 676 |  |  | 703 |  |  | (16) |  |  | (3) |  |  | (74) |  |  | (11) |  |  |  |  |  |  |  |  |
Allowances for loan and lease losses | (639) |  |  | (621) |  |  | (658) |  |  | (714) |  |  | (793) |  |  | (18) |  |  | (3) |  |  | 154 |  |  | 19 |  |  |  |  |  |  |  |  |
Other assets | 3,585 |  |  | 3,493 |  |  | 3,407 |  |  | 3,515 |  |  | 3,624 |  |  | 92 |  |  | 3 |  |  | (39) |  |  | (1) |  |  |  |  |  |  |  |  |
Total assets | $ | 82,551 |  |  | $ | 86,326 |  |  | $ | 88,587 |  |  | $ | 89,025 |  |  | $ | 88,401 |  |  | $ | (3,775) |  |  | (4) | % |  | $ | (5,850) |  |  | (7) | % |  |  |  |  |  |  |  |
Liabilities and shareholders' equity: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Deposits: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Savings | $ | 23,569 |  |  | $ | 24,841 |  |  | $ | 26,330 |  |  | $ | 26,731 |  |  | $ | 27,793 |  |  | $ | (1,272) |  |  | (5) | % |  | $ | (4,224) |  |  | (15) | % |  |  |  |  |  |  |  |
Time deposits | 2,759 |  |  | 3,040 |  |  | 3,343 |  |  | 3,695 |  |  | 4,121 |  |  | (281) |  |  | (9) |  |  | (1,362) |  |  | (33) |  |  |  |  |  |  |  |  |
Other interest-bearing deposits | 15,102 |  |  | 16,273 |  |  | 16,558 |  |  | 15,900 |  |  | 15,333 |  |  | (1,171) |  |  | (7) |  |  | (231) |  |  | (2) |  |  |  |  |  |  |  |  |
Total interest-bearing deposits | 41,431 |  |  | 44,154 |  |  | 46,230 |  |  | 46,326 |  |  | 47,248 |  |  | (2,723) |  |  | (6) |  |  | (5,816) |  |  | (12) |  |  |  |  |  |  |  |  |
Trading liabilities | 372 |  |  | 585 |  |  | 614 |  |  | 556 |  |  | 527 |  |  | (213) |  |  | (36) |  |  | (155) |  |  | (29) |  |  |  |  |  |  |  |  |
Short-term borrowings | 1,711 |  |  | 1,710 |  |  | 1,995 |  |  | 2,249 |  |  | 2,452 |  |  | 1 |  |  | — |  |  | (741) |  |  | (30) |  |  |  |  |  |  |  |  |
Term borrowings | 1,598 |  |  | 1,597 |  |  | 1,591 |  |  | 1,575 |  |  | 1,665 |  |  | 1 |  |  | — |  |  | (67) |  |  | (4) |  |  |  |  |  |  |  |  |
Total interest-bearing liabilities | 45,112 |  |  | 48,046 |  |  | 50,430 |  |  | 50,707 |  |  | 51,892 |  |  | (2,934) |  |  | (6) |  |  | (6,779) |  |  | (13) |  |  |  |  |  |  |  |  |
Noninterest-bearing deposits | 26,701 |  |  | 27,791 |  |  | 27,926 |  |  | 28,282 |  |  | 26,485 |  |  | (1,089) |  |  | (4) |  |  | 216 |  |  | 1 |  |  |  |  |  |  |  |  |
Other liabilities | 2,068 |  |  | 1,875 |  |  | 1,613 |  |  | 1,511 |  |  | 1,447 |  |  | 193 |  |  | 10 |  |  | 621 |  |  | 43 |  |  |  |  |  |  |  |  |
Total liabilities | 73,882 |  |  | 77,712 |  |  | 79,969 |  |  | 80,499 |  |  | 79,824 |  |  | (3,830) |  |  | (5) |  |  | (5,942) |  |  | (7) |  |  |  |  |  |  |  |  |
Shareholders' Equity: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Preferred stock | 1,014 |  |  | 1,014 |  |  | 695 |  |  | 520 |  |  | 520 |  |  | — |  |  | — |  |  | 494 |  |  | 95 |  |  |  |  |  |  |  |  |
Common stock | 335 |  |  | 335 |  |  | 334 |  |  | 336 |  |  | 342 |  |  | 1 |  |  | — |  |  | (6) |  |  | (2) |  |  |  |  |  |  |  |  |
Capital surplus | 4,802 |  |  | 4,778 |  |  | 4,753 |  |  | 4,811 |  |  | 4,936 |  |  | 24 |  |  | 1 |  |  | (134) |  |  | (3) |  |  |  |  |  |  |  |  |
Retained earnings | 3,175 |  |  | 3,051 |  |  | 2,938 |  |  | 2,819 |  |  | 2,673 |  |  | 124 |  |  | 4 |  |  | 502 |  |  | 19 |  |  |  |  |  |  |  |  |
Accumulated other comprehensive loss, net | (953) |  |  | (859) |  |  | (398) |  |  | (256) |  |  | (190) |  |  | (94) |  |  | (11) |  |  | (763) |  |  | NM |  |  |  |  |  |  |  |
Combined shareholders' equity | 8,373 |  |  | 8,318 |  |  | 8,323 |  |  | 8,230 |  |  | 8,281 |  |  | 55 |  |  | 1 |  |  | 92 |  |  | 1 |  |  |  |  |  |  |  |  |
Noncontrolling interest | 295 |  |  | 295 |  |  | 295 |  |  | 295 |  |  | 295 |  |  | — |  |  | — |  |  | — |  |  | — |  |  |  |  |  |  |  |  |
Total shareholders' equity | 8,669 |  |  | 8,614 |  |  | 8,619 |  |  | 8,526 |  |  | 8,577 |  |  | 55 |  |  | 1 |  |  | 92 |  |  | 1 |  |  |  |  |  |  |  |  |
Total liabilities and shareholders' equity | $ | 82,551 |  |  | $ | 86,326 |  |  | $ | 88,587 |  |  | $ | 89,025 |  |  | $ | 88,401 |  |  | $ | (3,775) |  |  | (4) | % |  | $ | (5,850) |  |  | (7) | % |  |  |  |  |  |  |  |
Memo: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Total Deposits | $ | 68,133 |  |  | $ | 71,945 |  |  | $ | 74,156 |  |  | $ | 74,608 |  |  | $ | 73,733 |  |  | $ | (3,813) |  |  | (5) | % |  | $ | (5,600) |  |  | (8) | % |  |  |  |  |  |  |  |

Numbers may not foot due to rounding. See footnote disclosures on page 21.
13

CONSOLIDATED NET INTEREST INCOME AND AVERAGE BALANCE SHEET: YIELDS AND RATES |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Quarterly, Unaudited |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
|  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 3Q22 Change vs. |  |  |  |  |  |  |  |
| 3Q22 |  | 2Q22 |  | 1Q22 |  | 4Q21 |  | 3Q21 |  | 2Q22 |  | 3Q21 |  |  |  |  |  |
(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 | $ | 496 |  |  | 4.47 | % |  | $ | 382 |  |  | 3.52 | % |  | $ | 339 |  |  | 3.24 | % |  | $ | 365 |  |  | 3.37 | % |  | $ | 372 |  |  | 3.37 | % |  | $ | 114 |  | 30 | % |  | $ | 124 |  | 33 | % |  |  |  |  |  |  |  |  |
Consumer | 124 |  |  | 3.94 |  |  | 112 |  |  | 3.74 |  |  | 108 |  |  | 3.71 |  |  | 110 |  |  | 3.77 |  |  | 112 |  |  | 3.83 |  |  | 12 |  | 11 |  |  | 12 |  | 11 |  |  |  |  |  |  |  |  |  |
Loans and leases, net of unearned income | 619 |  |  | 4.35 |  |  | 494 |  |  | 3.57 |  |  | 447 |  |  | 3.34 |  |  | 475 |  |  | 3.45 |  |  | 484 |  |  | 3.47 |  |  | 125 |  | 25 |  |  | 135 |  | 28 |  |  |  |  |  |  |  |  |  |
Loans held-for-sale | 9 |  |  | 4.91 |  |  | 10 |  |  | 3.89 |  |  | 10 |  |  | 3.51 |  |  | 11 |  |  | 3.49 |  |  | 8 |  |  | 3.25 |  |  | (1) |  | (10) |  |  | 1 |  | 12 |  |  |  |  |  |  |  |  |  |
Investment securities | 55 |  |  | 2.14 |  |  | 46 |  |  | 1.87 |  |  | 38 |  |  | 1.59 |  |  | 33 |  |  | 1.43 |  |  | 31 |  |  | 1.48 |  |  | 9 |  | 20 |  |  | 24 |  | 78 |  |  |  |  |  |  |  |  |  |
Trading securities | 15 |  |  | 4.55 |  |  | 13 |  |  | 3.43 |  |  | 11 |  |  | 2.75 |  |  | 10 |  |  | 2.50 |  |  | 6 |  |  | 2.07 |  |  | 2 |  | 15 |  |  | 9 |  | 147 |  |  |  |  |  |  |  |  |  |
Interest-bearing deposits with banks | 34 |  |  | 2.15 |  |  | 22 |  |  | 0.79 |  |  | 7 |  |  | 0.19 |  |  | 6 |  |  | 0.15 |  |  | 6 |  |  | 0.16 |  |  | 12 |  | 55 |  |  | 28 |  | NM |  |  |  |  |  |  |  |  |
Federal funds sold and securities purchased under agreements | 2 |  |  | 2.04 |  |  | 1 |  |  | 0.66 |  |  | — |  |  | (0.04) |  |  | — |  |  | (0.09) |  |  | — |  |  | (0.03) |  |  | 1 |  | 100 |  |  | 2 |  | NM |  |  |  |  |  |  |  |  |
Interest income | $ | 737 |  |  | 3.86 | % |  | $ | 586 |  |  | 2.95 | % |  | $ | 513 |  |  | 2.52 | % |  | $ | 534 |  |  | 2.58 | % |  | $ | 536 |  |  | 2.61 | % |  | $ | 151 |  | 26 | % |  | $ | 201 |  | 38 | % |  |  |  |  |  |  |  |  |
Interest bearing liabilities/Interest expense: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Interest-bearing deposits: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Savings | $ | 18 |  |  | 0.31 | % |  | $ | 5 |  |  | 0.08 | % |  | $ | 3 |  |  | 0.05 | % |  | $ | 4 |  |  | 0.06 | % |  | $ | 9 |  |  | 0.12 | % |  | $ | 13 |  | NM |  | $ | 9 |  | 110 | % |  |  |  |  |  |  |  |  |
Time deposits | 2 |  |  | 0.50 |  |  | 4 |  |  | 0.50 |  |  | 4 |  |  | 0.51 |  |  | 5 |  |  | 0.56 |  |  | 6 |  |  | 0.62 |  |  | (2) |  | (50) |  |  | (4) |  | (69) |  |  |  |  |  |  |  |  |  |
Other interest-bearing deposits | 21 |  |  | 0.56 |  |  | 9 |  |  | 0.22 |  |  | 4 |  |  | 0.09 |  |  | 4 |  |  | 0.10 |  |  | 5 |  |  | 0.12 |  |  | 12 |  | 133 |  |  | 16 |  | NM |  |  |  |  |  |  |  |  |
Total interest-bearing deposits | 42 |  |  | 0.41 |  |  | 18 |  |  | 0.16 |  |  | 11 |  |  | 0.10 |  |  | 13 |  |  | 0.11 |  |  | 20 |  |  | 0.17 |  |  | 24 |  | 133 |  |  | 22 |  | 113 |  |  |  |  |  |  |  |  |  |
Trading liabilities | 3 |  |  | 3.03 |  |  | 4 |  |  | 2.52 |  |  | 3 |  |  | 1.69 |  |  | 2 |  |  | 1.38 |  |  | 1 |  |  | 1.11 |  |  | (1) |  | (25) |  |  | 2 |  | 103 |  |  |  |  |  |  |  |  |  |
Short-term borrowings | 7 |  |  | 2.22 |  |  | 2 |  |  | 0.58 |  |  | 1 |  |  | 0.15 |  |  | 1 |  |  | 0.18 |  |  | 1 |  |  | 0.24 |  |  | 5 |  | NM |  | 6 |  | NM |  |  |  |  |  |  |  |  |
Term borrowings | 18 |  |  | 4.57 |  |  | 17 |  |  | 4.38 |  |  | 17 |  |  | 4.29 |  |  | 17 |  |  | 4.30 |  |  | 18 |  |  | 4.39 |  |  | 1 |  | 6 |  |  | — |  | (2) |  |  |  |  |  |  |  |  |  |
Interest expense | 71 |  |  | 0.63 |  |  | 41 |  |  | 0.34 |  |  | 31 |  |  | 0.25 |  |  | 33 |  |  | 0.26 |  |  | 41 |  |  | 0.31 |  |  | 30 |  | 73 |  |  | 30 |  | 73 |  |  |  |  |  |  |  |  |  |
Net interest income - tax equivalent basis | 666 |  |  | 3.23 |  |  | 545 |  |  | 2.61 |  |  | 482 |  |  | 2.27 |  |  | 502 |  |  | 2.32 |  |  | 495 |  |  | 2.30 |  |  | 121 |  | 22 |  |  | 171 |  | 35 |  |  |  |  |  |  |  |  |  |
Fully taxable equivalent adjustment | (4) |  |  | 0.26 |  |  | (3) |  |  | 0.13 |  |  | (3) |  |  | 0.10 |  |  | (3) |  |  | 0.10 |  |  | (3) |  |  | 0.11 |  |  | (1) |  | (33) |  |  | (1) |  | (36) |  |  |  |  |  |  |  |  |  |
Net interest income | $ | 662 |  |  | 3.49 | % |  | $ | 542 |  |  | 2.74 | % |  | $ | 479 |  |  | 2.37 | % |  | $ | 498 |  |  | 2.42 | % |  | $ | 492 |  |  | 2.41 | % |  | $ | 120 |  | 22 | % |  | $ | 170 |  | 35 | % |  |  |  |  |  |  |  |  |
Memo: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Total loan yield |  |  | 4.35 | % |  |  |  | 3.57 | % |  |  |  | 3.34 | % |  |  |  | 3.45 | % |  |  |  | 3.47 | % |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Total deposit cost |  |  | 0.25 | % |  |  |  | 0.10 | % |  |  |  | 0.06 | % |  |  |  | 0.07 | % |  |  |  | 0.11 | % |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Total funding cost |  |  | 0.39 | % |  |  |  | 0.22 | % |  |  |  | 0.16 | % |  |  |  | 0.16 | % |  |  |  | 0.21 | % |  |  |  |  |  |  |  |  |  |  |  |  |  |  |

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.
See footnote disclosures on page 21.
14

CONSOLIDATED NONPERFORMING LOANS AND LEASES ("NPL") |
Quarterly, Unaudited |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
|  | As of |  | 3Q22 change vs. |
(In millions, except ratio data) |  | 3Q22 |  | 2Q22 |  | 1Q22 |  | 4Q21 |  | 3Q21 |  | 2Q22 |  | 3Q21 |
|  |  |  |  |  |  |  |  |  |  |  | $ |  | % |  | $ |  | % |
Nonperforming loans and leases |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Commercial, financial, and industrial (C&I) |  | $ | 116 |  |  | $ | 129 |  |  | $ | 153 |  |  | $ | 125 |  |  | $ | 144 |  |  | $ | (12) |  |  | (10) | % |  | $ | (27) |  |  | (19) | % |
Commercial real estate |  | 10 |  |  | 11 |  |  | 12 |  |  | 9 |  |  | 58 |  |  | — |  |  | (2) |  |  | (48) |  |  | (82) |  |
Consumer real estate |  | 163 |  |  | 159 |  |  | 165 |  |  | 138 |  |  | 143 |  |  | 4 |  |  | 2 |  |  | 19 |  |  | 14 |  |
Credit card and other |  | 3 |  |  | 3 |  |  | 3 |  |  | 3 |  |  | 2 |  |  | — |  |  | 3 |  |  | 1 |  |  | 28 |  |
Total nonperforming loans and leases |  | $ | 292 |  |  | $ | 301 |  |  | $ | 332 |  |  | $ | 275 |  |  | $ | 347 |  |  | $ | (9) |  |  | (3) | % |  | $ | (55) |  |  | (16) | % |
Asset Quality Ratio |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Nonperforming loans and leases to loans and leases |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Commercial, financial, and industrial (C&I) |  | 0.37 | % |  | 0.41 | % |  | 0.50 | % |  | 0.40 | % |  | 0.46 | % |  |  |  |  |  |  |  |  |
Commercial real estate |  | 0.08 |  |  | 0.08 |  |  | 0.09 |  |  | 0.08 |  |  | 0.48 |  |  |  |  |  |  |  |  |  |
Consumer real estate |  | 1.37 |  |  | 1.39 |  |  | 1.52 |  |  | 1.29 |  |  | 1.33 |  |  |  |  |  |  |  |  |  |
Credit card and other |  | 0.31 |  |  | 0.29 |  |  | 0.32 |  |  | 0.31 |  |  | 0.22 |  |  |  |  |  |  |  |  |  |
Total nonperforming loans and leases to loans and leases |  | 0.51 | % |  | 0.53 | % |  | 0.60 | % |  | 0.50 | % |  | 0.63 | % |  |  |  |  |  |  |  |  |

Numbers may not foot due to rounding.

CONSOLIDATED LOANS AND LEASES 90 DAYS OR MORE PAST DUE AND ACCRUING |
Quarterly, Unaudited |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
|  | As of |  | 3Q22 change vs. |
(In millions) |  | 3Q22 |  | 2Q22 |  | 1Q22 |  | 4Q21 |  | 3Q21 |  | 2Q22 |  | 3Q21 |
|  |  |  |  |  |  |  |  |  |  |  | $ |  | % |  | $ |  | % |
Loans and leases 90 days or more past due and accruing |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Commercial, financial, and industrial (C&I) |  | $ | 1 |  |  | $ | 1 |  |  | $ | 6 |  |  | $ | 5 |  |  | $ | 1 |  |  | $ | 1 |  |  | 143 | % |  | $ | — |  |  | 22 | % |
Commercial real estate |  | — |  |  | — |  |  | — |  |  | — |  |  | 2 |  |  | — |  |  | (100) |  |  | (2) |  |  | (100) |  |
Consumer real estate |  | 17 |  |  | 14 |  |  | 14 |  |  | 33 |  |  | 12 |  |  | 3 |  |  | 20 |  |  | 5 |  |  | 40 |  |
Credit card and other |  | 6 |  |  | 3 |  |  | 3 |  |  | 2 |  |  | 2 |  |  | 3 |  |  | 102 |  |  | 4 |  |  | NM |
Total loans and leases 90 days or more past due and accruing |  | $ | 24 |  |  | $ | 17 |  |  | $ | 23 |  |  | $ | 40 |  |  | $ | 16 |  |  | $ | 6 |  |  | 36 | % |  | $ | 7 |  |  | 46 | % |

Numbers may not foot due to rounding.
15

CONSOLIDATED NET CHARGE-OFFS (RECOVERIES)
Quarterly, Unaudited |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
|  | As of |  | 3Q22 change vs. |
(In millions, except ratio data) |  | 3Q22 |  | 2Q22 |  | 1Q22 |  | 4Q21 |  | 3Q21 |  | 2Q22 |  | 3Q21 |
Charge-off, Recoveries and Related Ratios |  |  |  |  |  |  |  |  |  |  |  | $ |  | % |  | $ |  | % |
Gross Charge-offs |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Commercial, financial, and industrial (C&I) |  | $ | 13 |  |  | $ | 12 |  |  | $ | 13 |  |  | $ | 5 |  |  | $ | 12 |  |  | $ | 1 |  |  | 5 | % |  | $ | 1 |  |  | 11 | % |
Commercial real estate |  | 1 |  |  | — |  |  | — |  |  | — |  |  | 2 |  |  | — |  |  | NM |  | (2) |  |  | (78) |  |
Consumer real estate |  | 1 |  |  | 2 |  |  | 1 |  |  | 2 |  |  | 1 |  |  | (1) |  |  | (57) |  |  | — |  |  | 32 |  |
Credit card and other |  | 7 |  |  | 7 |  |  | 5 |  |  | 4 |  |  | 5 |  |  | — |  |  | 1 |  |  | 2 |  |  | 46 |  |
Total gross charge-offs |  | $ | 21 |  |  | $ | 21 |  |  | $ | 19 |  |  | $ | 11 |  |  | $ | 19 |  |  | $ | — |  |  | (1) | % |  | $ | 2 |  |  | 9 | % |
Gross Recoveries |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Commercial, financial, and industrial (C&I) |  | $ | (2) |  |  | $ | (1) |  |  | $ | (3) |  |  | $ | (3) |  |  | $ | (7) |  |  | $ | (1) |  |  | (59) | % |  | $ | 5 |  |  | 73 | % |
Commercial real estate |  | — |  |  | (1) |  |  | — |  |  | — |  |  | (2) |  |  | 1 |  |  | 91 |  |  | 2 |  |  | 96 |  |
Consumer real estate |  | (6) |  |  | (6) |  |  | (5) |  |  | (5) |  |  | (7) |  |  | — |  |  | (9) |  |  | 1 |  |  | 18 |  |
Credit card and other |  | (1) |  |  | (1) |  |  | (1) |  |  | (1) |  |  | — |  |  | — |  |  | (8) |  |  | (1) |  |  | NM |
Total gross recoveries |  | $ | (9) |  |  | $ | (9) |  |  | $ | (9) |  |  | $ | (10) |  |  | $ | (16) |  |  | $ | — |  |  | (5) | % |  | $ | 7 |  |  | 43 | % |
Net Charge-offs (Recoveries) |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Commercial, financial, and industrial (C&I) |  | $ | 11 |  |  | $ | 11 |  |  | $ | 10 |  |  | $ | 1 |  |  | $ | 5 |  |  | $ | — |  |  | (1) | % |  | $ | 6 |  |  | 128 | % |
Commercial real estate |  | — |  |  | (1) |  |  | — |  |  | — |  |  | — |  |  | 1 |  |  | NM |  | — |  |  | 37 |  |
Consumer real estate |  | (5) |  |  | (3) |  |  | (4) |  |  | (3) |  |  | (7) |  |  | (2) |  |  | (54) |  |  | 2 |  |  | 24 |  |
Credit card and other |  | 5 |  |  | 5 |  |  | 4 |  |  | 3 |  |  | 4 |  |  | — |  |  | (1) |  |  | 1 |  |  | 21 |  |
Total net charge-offs |  | $ | 12 |  |  | $ | 12 |  |  | $ | 10 |  |  | $ | 1 |  |  | $ | 3 |  |  | $ | (1) |  |  | (5) | % |  | $ | 9 |  |  | NM |
Annualized Net Charge-off (Recovery) Rates |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Commercial, financial, and industrial (C&I) |  | 0.14 | % |  | 0.14 | % |  | 0.13 | % |  | 0.01 | % |  | 0.06 | % |  |  |  |  |  |  |  |  |
Commercial real estate |  | 0.01 |  |  | (0.03) |  |  | (0.01) |  |  | (0.01) |  |  | 0.01 |  |  |  |  |  |  |  |  |  |
Consumer real estate |  | (0.17) |  |  | (0.12) |  |  | (0.15) |  |  | (0.10) |  |  | (0.24) |  |  |  |  |  |  |  |  |  |
Credit card and other |  | 2.46 |  |  | 2.49 |  |  | 1.85 |  |  | 1.26 |  |  | 1.86 |  |  |  |  |  |  |  |  |  |
Total loans and leases |  | 0.08 | % |  | 0.09 | % |  | 0.07 | % |  | 0.01 | % |  | 0.02 | % |  |  |  |  |  |  |  |  |

Numbers may not foot due to rounding.
16

CONSOLIDATED ALLOWANCE FOR LOAN AND LEASE LOSSES AND RESERVE FOR UNFUNDED COMMITMENTS |
Quarterly, Unaudited |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
|  | As of |  | 3Q22 Change vs. |
(In millions) |  | 3Q22 |  | 2Q22 |  | 1Q22 |  | 4Q21 |  | 3Q21 |  | 2Q22 |  | 3Q21 |
Summary of Changes in the Components of the Allowance For Credit Losses |  |  |  |  |  |  |  |  |  |  |  | $ |  | % |  | $ |  | % |
Allowance for loan and lease losses - beginning |  | $ | 624 |  |  | $ | 622 |  |  | $ | 670 |  |  | $ | 734 |  |  | $ | 815 |  |  | $ | 2 |  |  | — | % |  | $ | (191) |  |  | (23) | % |
Charge-offs: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Commercial, financial, and industrial (C&I) |  | (13) |  |  | (12) |  |  | (13) |  |  | (5) |  |  | (12) |  |  | (1) |  |  | (5) |  |  | (1) |  |  | (11) |  |
Commercial real estate |  | (1) |  |  | — |  |  | — |  |  | — |  |  | (2) |  |  | — |  |  | NM |  | 2 |  |  | 78 |  |
Consumer real estate |  | (1) |  |  | (2) |  |  | (1) |  |  | (2) |  |  | (1) |  |  | 1 |  |  | 57 |  |  | — |  |  | (32) |  |
Credit card and other |  | (7) |  |  | (7) |  |  | (5) |  |  | (4) |  |  | (5) |  |  | — |  |  | (1) |  |  | (2) |  |  | (46) |  |
Total charge-offs |  | (21) |  |  | (21) |  |  | (19) |  |  | (11) |  |  | (19) |  |  | — |  |  | 1 |  |  | (2) |  |  | (9) |  |
Recoveries: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Commercial, financial, and industrial (C&I) |  | 2 |  |  | 1 |  |  | 3 |  |  | 3 |  |  | 7 |  |  | 1 |  |  | 59 |  |  | (5) |  |  | (73) |  |
Commercial real estate |  | — |  |  | 1 |  |  | — |  |  | — |  |  | 2 |  |  | (1) |  |  | (91) |  |  | (2) |  |  | (96) |  |
Consumer real estate |  | 6 |  |  | 6 |  |  | 5 |  |  | 5 |  |  | 7 |  |  | — |  |  | 9 |  |  | (1) |  |  | (18) |  |
Credit card and other |  | 1 |  |  | 1 |  |  | 1 |  |  | 1 |  |  | — |  |  | — |  |  | 8 |  |  | 1 |  |  | NM |
Total Recoveries |  | 9 |  |  | 9 |  |  | 9 |  |  | 10 |  |  | 16 |  |  | — |  |  | 5 |  |  | (7) |  |  | (43) |  |
Provision for loan and lease losses: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Commercial, financial, and industrial (C&I) |  | 32 |  |  | (2) |  |  | (36) |  |  | (40) |  |  | (5) |  |  | 34 |  |  | NM |  | 37 |  |  | NM |
Commercial real estate |  | 8 |  |  | (12) |  |  | (3) |  |  | (9) |  |  | (48) |  |  | 19 |  |  | NM |  | 56 |  |  | 116 |  |
Consumer real estate |  | 5 |  |  | 16 |  |  | (3) |  |  | (18) |  |  | (31) |  |  | (11) |  |  | (68) |  |  | 36 |  |  | 117 |  |
Credit card and other |  | 7 |  |  | 12 |  |  | 4 |  |  | 3 |  |  | 6 |  |  | (4) |  |  | (38) |  |  | 1 |  |  | 15 |  |
Total provision for loan and lease losses: |  | 52 |  |  | 14 |  |  | (38) |  |  | (63) |  |  | (78) |  |  | 38 |  |  | NM |  | 130 |  |  | NM |
Allowance for loan and lease losses - ending |  | $ | 664 |  |  | $ | 624 |  |  | $ | 622 |  |  | $ | 670 |  |  | $ | 734 |  |  | $ | 40 |  |  | 6 | % |  | $ | (70) |  |  | (9) | % |
Reserve for unfunded commitments - beginning |  | $ | 80 |  |  | $ | 64 |  |  | $ | 66 |  |  | $ | 68 |  |  | $ | 75 |  |  | $ | 16 |  |  | 25 | % |  | $ | 5 |  |  | 7 | % |
Cumulative effect of change in accounting principle |  | — |  |  | — |  |  | — |  |  | — |  |  | — |  |  | — |  |  | NM |  | — |  |  | NM |
Acquired reserve for unfunded commitments |  | — |  |  | — |  |  | — |  |  | — |  |  | — |  |  | — |  |  | NM |  | — |  |  | NM |
Provision for unfunded commitments |  | 8 |  |  | 16 |  |  | (2) |  |  | (2) |  |  | (7) |  |  | (8) |  |  | (50) |  |  | 15 |  |  | NM |
Reserve for unfunded commitments - ending |  | $ | 88 |  |  | $ | 80 |  |  | $ | 64 |  |  | $ | 66 |  |  | $ | 68 |  |  | $ | 8 |  |  | 10 | % |  | $ | 20 |  |  | 29 | % |
Total allowance for credit losses- ending |  | $ | 752 |  |  | $ | 704 |  |  | $ | 686 |  |  | $ | 736 |  |  | $ | 802 |  |  | $ | 48 |  |  | 7 | % |  | $ | (50) |  |  | (6) | % |

Numbers may not foot due to rounding.
17

CONSOLIDATED ASSET QUALITY RATIOS - ALLOWANCE FOR LOAN AND LEASE LOSSES |  |  |  |  |  |  |  |  |  |  |
Quarterly, Unaudited |  |  |  |  |  |  |  |  |  |  |
|  | As of |
|  | 3Q22 |  | 2Q22 |  | 1Q22 |  | 4Q21 |  | 3Q21 |
Allowance for loans and lease losses to loans and leases |  |  |  |  |  |  |  |  |  |  |
Commercial, financial, and industrial (C&I) |  | 0.93 | % |  | 0.88 | % |  | 0.93 | % |  | 1.07 | % |  | 1.19 | % |
Commercial real estate |  | 1.14 | % |  | 1.09 | % |  | 1.21 | % |  | 1.27 | % |  | 1.33 | % |
Consumer real estate |  | 1.63 | % |  | 1.60 | % |  | 1.51 | % |  | 1.51 | % |  | 1.65 | % |
Credit card and other |  | 3.32 | % |  | 3.01 | % |  | 2.31 | % |  | 2.14 | % |  | 2.03 | % |
Total allowance for loans and lease losses to loans and leases |  | 1.16 | % |  | 1.10 | % |  | 1.13 | % |  | 1.22 | % |  | 1.32 | % |
Allowance for loans and lease losses to nonperforming loans and leases |  |  |  |  |  |  |  |  |  |  |
Commercial, financial, and industrial (C&I) |  | 253 | % |  | 213 | % |  | 188 | % |  | 268 | % |  | 261 | % |
Commercial real estate |  | 1,422 | % |  | 1,331 | % |  | 1,303 | % |  | 1,671 | % |  | 278 | % |
Consumer real estate |  | 119 | % |  | 115 | % |  | 99 | % |  | 118 | % |  | 125 | % |
Credit card and other |  | 1,070 | % |  | 1,021 | % |  | 730 | % |  | 699 | % |  | 926 | % |
Total allowance for loans and lease losses to nonperforming loans and leases |  | 228 | % |  | 207 | % |  | 187 | % |  | 244 | % |  | 211 | % |

18

REGIONAL BANKING
Quarterly, Unaudited

|  |  |  |  |  |  |  |  |  |  | 3Q22 Change vs. |  |  |  |
| 3Q22 |  | 2Q22 |  | 1Q22 |  | 4Q21 |  | 3Q21 |  | 2Q22 |  | 3Q21 |  |  |  |  |  |
|  |  |  |  |  |  |  |  |  |  | $/bp |  | % |  | $/bp |  | % |  |  |  |  |  |  |  |
Income Statement (millions) |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Net interest income | $ | 517 |  |  | $ | 465 |  |  | $ | 428 |  |  | $ | 449 |  |  | $ | 444 |  |  | $ | 52 |  |  | 11 | % |  | $ | 73 |  |  | 16 | % |  |  |  |  |  |  |  |
Noninterest income | 110 |  |  | 114 |  |  | 114 |  |  | 115 |  |  | 113 |  |  | (4) |  |  | (4) |  |  | (3) |  |  | (3) |  |  |  |  |  |  |  |  |
Total revenue | 627 |  |  | 579 |  |  | 541 |  |  | 564 |  |  | 557 |  |  | 48 |  |  | 8 |  |  | 70 |  |  | 13 |  |  |  |  |  |  |  |  |
Noninterest expense | 304 |  |  | 301 |  |  | 306 |  |  | 300 |  |  | 292 |  |  | 3 |  |  | 1 |  |  | 12 |  |  | 4 |  |  |  |  |  |  |  |  |
Pre-provision net revenue 3 | 323 |  |  | 277 |  |  | 235 |  |  | 263 |  |  | 265 |  |  | 46 |  |  | 17 |  |  | 58 |  |  | 22 |  |  |  |  |  |  |  |  |
Provision for credit losses | 43 |  |  | 52 |  |  | (30) |  |  | (60) |  |  | (52) |  |  | (9) |  |  | (17) |  |  | 95 |  |  | NM |  |  |  |  |  |  |  |
Income before income tax expense | 281 |  |  | 226 |  |  | 266 |  |  | 323 |  |  | 317 |  |  | 55 |  |  | 24 |  |  | (36) |  |  | (11) |  |  |  |  |  |  |  |  |
Income tax expense | 66 |  |  | 53 |  |  | 63 |  |  | 76 |  |  | 74 |  |  | 13 |  |  | 25 |  |  | (8) |  |  | (11) |  |  |  |  |  |  |  |  |
Net income | $ | 215 |  |  | $ | 173 |  |  | $ | 203 |  |  | $ | 248 |  |  | $ | 243 |  |  | $ | 42 |  |  | 24 | % |  | $ | (28) |  |  | (12) | % |  |  |  |  |  |  |  |
Average Balances (billions) |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Total loans and leases | $ | 40.1 |  |  | $ | 39.2 |  |  | $ | 38.0 |  |  | $ | 37.7 |  |  | $ | 38.5 |  |  | $ | 0.9 |  |  | 2 | % |  | $ | 1.6 |  |  | 4 | % |  |  |  |  |  |  |  |
Interest-earning assets | 40.1 |  |  | 39.2 |  |  | 38.0 |  |  | 37.8 |  |  | 38.5 |  |  | 0.9 |  |  | 2 |  |  | 1.6 |  |  | 4 |  |  |  |  |  |  |  |  |
Total assets | 42.8 |  |  | 42.0 |  |  | 40.5 |  |  | 40.0 |  |  | 40.9 |  |  | 0.8 |  |  | 2 |  |  | 1.9 |  |  | 5 |  |  |  |  |  |  |  |  |
Total deposits | 62.0 |  |  | 64.6 |  |  | 66.6 |  |  | 66.7 |  |  | 65.6 |  |  | (2.6) |  |  | (4) |  |  | (3.6) |  |  | (5) |  |  |  |  |  |  |  |  |
Key Metrics |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Net interest margin 6 | 5.15 | % |  | 4.78 | % |  | 4.58 | % |  | 4.75 | % |  | 4.60 | % |  | 37 | bp |  |  |  | 55 | bp |  |  |  |  |  |  |  |  |  |
Efficiency ratio | 48.47 | % |  | 52.05 | % |  | 56.51 | % |  | 53.25 | % |  | 52.41 | % |  | (358) | bp |  |  |  | (394) | bp |  |  |  |  |  |  |  |  |  |
Loans-to-deposits ratio (period-end balances) | 66.79 | % |  | 62.79 | % |  | 57.47 | % |  | 57.27 | % |  | 59.82 | % |  | 400 | bp |  |  |  | 697 | bp |  |  |  |  |  |  |  |  |  |
Loans-to-deposits ratio (average-end balances) | 64.70 | % |  | 60.71 | % |  | 56.97 | % |  | 58.78 | % |  | 61.48 | % |  | 399 | bp |  |  |  | 322 | bp |  |  |  |  |  |  |  |  |  |
Return on average assets (annualized) | 1.99 | % |  | 1.65 | % |  | 2.03 | % |  | 2.45 | % |  | 2.36 | % |  | 34 | bp |  |  |  | (37) | bp |  |  |  |  |  |  |  |  |  |
Return on allocated equity 7 | 23.93 | % |  | 19.63 | % |  | 23.54 | % |  | 27.95 | % |  | 26.85 | % |  | 430 | bp |  |  |  | (292) | bp |  |  |  |  |  |  |  |  |  |
Financial center locations | 417 |  |  | 417 |  |  | 417 |  |  | 427 |  |  | 438 |  |  | — |  |  | — | % |  | (21) |  |  | (5) | % |  |  |  |  |  |  |  |

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 21.
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.
19

SPECIALTY BANKING
Quarterly, Unaudited

|  |  |  |  |  |  |  |  |  |  | 3Q22 Change vs. |  |  |  |
| 3Q22 |  | 2Q22 |  | 1Q22 |  | 4Q21 |  | 3Q21 |  | 2Q22 |  | 3Q21 |  |  |  |  |  |
|  |  |  |  |  |  |  |  |  |  | $/bp |  | % |  | $/bp |  | % |  |  |  |  |  |  |  |
Income Statement (millions) |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Net interest income | $ | 138 |  |  | $ | 141 |  |  | $ | 144 |  |  | $ | 154 |  |  | $ | 154 |  |  | $ | (3) |  |  | (2) | % |  | $ | (16) |  |  | (10) | % |  |  |  |  |  |  |  |
Noninterest income | 64 |  |  | 96 |  |  | 105 |  |  | 120 |  |  | 142 |  |  | (32) |  |  | (33) |  |  | (78) |  |  | (55) |  |  |  |  |  |  |  |  |
Total revenue | 202 |  |  | 237 |  |  | 250 |  |  | 274 |  |  | 295 |  |  | (35) |  |  | (15) |  |  | (93) |  |  | (32) |  |  |  |  |  |  |  |  |
Noninterest expense | 104 |  |  | 113 |  |  | 132 |  |  | 128 |  |  | 138 |  |  | (9) |  |  | (8) |  |  | (34) |  |  | (25) |  |  |  |  |  |  |  |  |
Pre-provision net revenue 3 | 98 |  |  | 124 |  |  | 118 |  |  | 146 |  |  | 157 |  |  | (26) |  |  | (21) |  |  | (59) |  |  | (38) |  |  |  |  |  |  |  |  |
Provision for credit losses | 17 |  |  | (18) |  |  | (2) |  |  | (3) |  |  | (33) |  |  | 35 |  |  | NM |  | 50 |  |  | NM |  |  |  |  |  |  |  |
Income before income tax expense | 81 |  |  | 143 |  |  | 121 |  |  | 149 |  |  | 190 |  |  | (62) |  |  | (43) |  |  | (109) |  |  | (57) |  |  |  |  |  |  |  |  |
Income tax expense | 20 |  |  | 35 |  |  | 29 |  |  | 36 |  |  | 46 |  |  | (15) |  |  | (43) |  |  | (26) |  |  | (57) |  |  |  |  |  |  |  |  |
Net income | $ | 61 |  |  | $ | 108 |  |  | $ | 91 |  |  | $ | 113 |  |  | $ | 144 |  |  | $ | (47) |  |  | (44) | % |  | $ | (83) |  |  | (58) | % |  |  |  |  |  |  |  |
Average Balances (billions) |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Total loans and leases | $ | 15.9 |  |  | $ | 15.8 |  |  | $ | 15.5 |  |  | $ | 16.3 |  |  | $ | 16.3 |  |  | $ | 0.1 |  |  | 1 | % |  | $ | (0.4) |  |  | (3) | % |  |  |  |  |  |  |  |
Interest-earning assets | 18.6 |  |  | 19.1 |  |  | 19.0 |  |  | 19.8 |  |  | 19.2 |  |  | (0.5) |  |  | (3) |  |  | (0.6) |  |  | (3) |  |  |  |  |  |  |  |  |
Total assets | 19.7 |  |  | 20.2 |  |  | 20.2 |  |  | 21.0 |  |  | 20.5 |  |  | (0.5) |  |  | (2) |  |  | (0.8) |  |  | (4) |  |  |  |  |  |  |  |  |
Total deposits | 5.2 |  |  | 6.3 |  |  | 6.5 |  |  | 6.7 |  |  | 6.2 |  |  | (1.1) |  |  | (18) |  |  | (1.0) |  |  | (16) |  |  |  |  |  |  |  |  |
Key Metrics |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Fixed income product average daily revenue (thousands) | $ | 524 |  |  | $ | 612 |  |  | $ | 987 |  |  | $ | 1,123 |  |  | $ | 1,323 |  |  | $ | (88) |  |  | (14) | % |  | $ | (799) |  |  | (60) | % |  |  |  |  |  |  |  |
Net interest margin 6 | 2.96 | % |  | 2.97 | % |  | 3.07 | % |  | 3.10 | % |  | 3.18 | % |  | (1) | bp |  |  |  | (22) | bp |  |  |  |  |  |  |  |  |  |
Efficiency ratio | 51.39 | % |  | 47.60 | % |  | 52.74 | % |  | 46.74 | % |  | 46.83 | % |  | 379 | bp |  |  |  | 456 | bp |  |  |  |  |  |  |  |  |  |
Loans-to-deposits ratio (period-end balances) | 378 | % |  | 268 | % |  | 256 | % |  | 274 | % |  | 308 | % |  | 10,977 | bp |  |  |  | 6,988 | bp |  |  |  |  |  |  |  |  |  |
Loans-to-deposits ratio (average-end balances) | 307 | % |  | 250 | % |  | 239 | % |  | 266 | % |  | 293 | % |  | 5,707 | bp |  |  |  | 1,449 | bp |  |  |  |  |  |  |  |  |  |
Return on average assets (annualized) | 1.23 | % |  | 2.14 | % |  | 1.83 | % |  | 2.14 | % |  | 2.79 | % |  | (91) | bp |  |  |  | (156) | bp |  |  |  |  |  |  |  |  |  |
Return on allocated equity 7 | 14.95 | % |  | 26.13 | % |  | 22.84 | % |  | 25.31 | % |  | 31.41 | % |  | (1,118) | bp |  |  |  | (1,646) | 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 21.
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.
20

CORPORATE
Quarterly, Unaudited

|  | 3Q22 Change vs. |  |  |  |  |  |
| 3Q22 |  | 2Q22 |  | 1Q22 |  | 4Q21 |  | 3Q21 |  | 2Q22 |  | 3Q21 |  |  |  |  |  |
|  |  |  |  |  |  |  |  |  |  | $ |  | % |  | $ |  | % |  |  |  |  |  |  |  |
Income Statement (millions) |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Net interest income/(expense) | $ | 7 |  |  | $ | (64) |  |  | $ | (93) |  |  | $ | (104) |  |  | $ | (106) |  |  | $ | 71 |  |  | 111 | % |  | $ | 113 |  |  | 107 | % |  |  |  |  |  |  |  |
Noninterest income | 39 |  |  | (8) |  |  | 9 |  |  | 11 |  |  | (8) |  |  | 47 |  |  | NM |  | 47 |  |  | NM |  |  |  |  |  |  |  |
Total revenues | 45 |  |  | (73) |  |  | (84) |  |  | (93) |  |  | (114) |  |  | 118 |  |  | NM |  | 159 |  |  | 139 |  |  |  |  |  |  |  |  |
Noninterest expense | 61 |  |  | 75 |  |  | 55 |  |  | 100 |  |  | 95 |  |  | (14) |  |  | (19) |  |  | (34) |  |  | (36) |  |  |  |  |  |  |  |  |
Pre-provision net revenue 3 | (15) |  |  | (147) |  |  | (139) |  |  | (193) |  |  | (210) |  |  | 132 |  |  | 90 |  |  | 195 |  |  | 93 |  |  |  |  |  |  |  |  |
Provision for credit losses | — |  |  | (4) |  |  | (7) |  |  | (2) |  |  | — |  |  | 4 |  |  | 100 |  |  | — |  |  | NM |  |  |  |  |  |  |  |
Income before income tax expense | (15) |  |  | (144) |  |  | (132) |  |  | (191) |  |  | (210) |  |  | 129 |  |  | 90 |  |  | 195 |  |  | 93 |  |  |  |  |  |  |  |  |
Income tax expense (benefit) | (7) |  |  | (40) |  |  | (35) |  |  | (59) |  |  | (57) |  |  | 33 |  |  | 83 |  |  | 50 |  |  | 88 |  |  |  |  |  |  |  |  |
Net income/(loss) | $ | (8) |  |  | $ | (104) |  |  | $ | (97) |  |  | $ | (132) |  |  | $ | (152) |  |  | $ | 96 |  |  | 92 | % |  | $ | 144 |  |  | 95 | % |  |  |  |  |  |  |  |
Average Balance Sheet (billions) |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Interest bearing assets | $ | 17.3 |  |  | $ | 21.5 |  |  | $ | 25.2 |  |  | $ | 25.0 |  |  | $ | 24.0 |  |  | $ | (4.1) |  |  | (19) | % |  | $ | (6.7) |  |  | (28) | % |  |  |  |  |  |  |  |
Total assets | 20.0 |  |  | 24.1 |  |  | 27.8 |  |  | 27.9 |  |  | 27.0 |  |  | (4.2) |  |  | (17) |  |  | (7.0) |  |  | (26) |  |  |  |  |  |  |  |  |

Numbers may not add to total due to rounding.
Certain previously reported amounts have been reclassified to agree with current presentation.
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 22.
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 Third quarter and Second quarter 2022 includes 27.5 million shares related to the full impact of Series G convertible securities issued in connection with TD transaction; First quarter 2022 includes 9.8 million shares related to the one month average impact of these shares.
21

CONSOLIDATED NON-GAAP TO GAAP RECONCILIATION |  |  |  |  |  |  |  |  |  |  |  |  |  |
Quarterly, Unaudited |  |  |  |  |  |  |  |  |  |  |  |  |  |
($s in millions, except per share data) | 3Q22 |  | 2Q22 |  | 1Q22 |  | 4Q21 |  | 3Q21 |  |  |  |  |
Tangible Common Equity (Non-GAAP) |  |  |  |  |  |  |  |  |  |  |  |  |  |
(A) Total equity (GAAP) | $ | 8,283 |  |  | $ | 8,551 |  |  | $ | 8,696 |  |  | $ | 8,494 |  |  | $ | 8,533 |  |  |  |  |  |
Less: Noncontrolling interest (a) | 295 |  |  | 295 |  |  | 295 |  |  | 295 |  |  | 295 |  |  |  |  |  |
Less: Preferred stock (a) | 1,014 |  |  | 1,014 |  |  | 1,014 |  |  | 520 |  |  | 520 |  |  |  |  |  |
(B) Total common equity | $ | 6,974 |  |  | $ | 7,242 |  |  | $ | 7,387 |  |  | $ | 7,679 |  |  | $ | 7,717 |  |  |  |  |  |
Less: Intangible assets (GAAP) (b) | 1,757 |  |  | 1,782 |  |  | 1,795 |  |  | 1,808 |  |  | 1,822 |  |  |  |  |  |
(C) Tangible common equity (Non-GAAP) | $ | 5,217 |  |  | $ | 5,459 |  |  | $ | 5,592 |  |  | $ | 5,871 |  |  | $ | 5,895 |  |  |  |  |  |
Tangible Assets (Non-GAAP) |  |  |  |  |  |  |  |  |  |  |  |  |  |
(D) Total assets (GAAP) | $ | 80,299 |  |  | $ | 85,132 |  |  | $ | 88,660 |  |  | $ | 89,092 |  |  | $ | 88,537 |  |  |  |  |  |
Less: Intangible assets (GAAP) (b) | 1,757 |  |  | 1,782 |  |  | 1,795 |  |  | 1,808 |  |  | 1,822 |  |  |  |  |  |
(E) Tangible assets (Non-GAAP) | $ | 78,542 |  |  | $ | 83,350 |  |  | $ | 86,865 |  |  | $ | 87,284 |  |  | $ | 86,715 |  |  |  |  |  |
Period-end Shares Outstanding |  |  |  |  |  |  |  |  |  |  |  |  |  |
(F) Period-end shares outstanding | 537 |  |  | 536 |  |  | 535 |  |  | 534 |  |  | 542 |  |  |  |  |  |
Ratios |  |  |  |  |  |  |  |  |  |  |  |  |  |
(A)/(D) Total equity to total assets (GAAP) | 10.32 | % |  | 10.04 | % |  | 9.81 | % |  | 9.53 | % |  | 9.64 | % |  |  |  |  |
(C)/(E) Tangible common equity to tangible assets (“TCE/TA”) (Non-GAAP) | 6.64 | % |  | 6.55 | % |  | 6.44 | % |  | 6.73 | % |  | 6.80 | % |  |  |  |  |
(B)/(F) Book value per common share (GAAP) | $ | 12.99 |  |  | $ | 13.50 |  |  | $ | 13.82 |  |  | $ | 14.39 |  |  | $ | 14.24 |  |  |  |  |  |
(C)/(F) Tangible book value per common share (Non-GAAP) | $ | 9.72 |  |  | $ | 10.18 |  |  | $ | 10.46 |  |  | $ | 11.00 |  |  | $ | 10.88 |  |  |  |  |  |

(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.
22

CONSOLIDATED NON-GAAP TO GAAP RECONCILIATION
Quarterly, Unaudited
|  | 3Q22 |  | 2Q22 |  | 1Q22 |  | 4Q21 |  | 3Q21 |
($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 |  | $ | 733 |  | $ | 4 |  | $ | 737 |  |  | $ | 583 |  | $ | 3 |  | $ | 586 |  |  | $ | 510 |  | $ | 3 |  | $ | 513 |  |  | $ | 531 |  | $ | 3 |  | $ | 534 |  |  | $ | 533 |  | $ | 3 |  | $ | 536 |  |
Interest expense- FTE |  | 71 | — |  | 71 |  | 41 | — |  | 41 |  |  | 31 | — |  | 31 |  |  | 33 | — |  | 33 |  |  | 41 | — |  | 41 |  |
Net interest income- FTE |  | 662 | 4 |  | 666 |  | 542 | 3 |  | 545 |  |  | 479 | 3 |  | 482 |  |  | 498 | 3 |  | 502 |  |  | 492 | 3 |  | 495 |  |
Less: Taxable-equivalent adjustment |  | — |  | 4 |  | 4 |  |  | — |  | 3 |  | 3 |  |  | — |  | 3 |  | 3 |  |  | — |  | 3 |  | 3 |  |  | — |  | 3 |  | 3 |  |
Net interest income |  | 662 |  | — |  | 662 |  |  | 542 |  | — |  | 542 |  |  | 479 |  | — |  | 479 |  |  | 498 |  | — |  | 498 |  |  | 492 |  | — |  | 492 |  |
Noninterest income: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Fixed income |  | 46 |  | — |  | 46 |  |  | 51 |  | — |  | 51 |  |  | 73 |  | — |  | 73 |  |  | 82 |  | — |  | 82 |  |  | 96 |  | — |  | 96 |  |
Mortgage banking and title |  | 9 |  | — |  | 9 |  |  | 34 |  | (12) |  | 22 |  |  | 22 |  | — |  | 22 |  |  | 28 |  | — |  | 28 |  |  | 34 |  | — |  | 34 |  |
Brokerage, trust, and insurance |  | 34 |  | — |  | 34 |  |  | 36 |  | — |  | 36 |  |  | 37 |  | — |  | 37 |  |  | 36 |  | — |  | 36 |  |  | 37 |  | — |  | 37 |  |
Service charges and fees |  | 56 |  | — |  | 56 |  |  | 57 |  | — |  | 57 |  |  | 57 |  | — |  | 57 |  |  | 56 |  | — |  | 56 |  |  | 56 |  | — |  | 56 |  |
Card and digital banking fees |  | 21 |  | — |  | 21 |  |  | 23 |  | — |  | 23 |  |  | 20 |  | — |  | 20 |  |  | 19 |  | — |  | 19 |  |  | 21 |  | — |  | 21 |  |
Deferred compensation income |  | (3) |  | — |  | (3) |  |  | (17) |  | — |  | (17) |  |  | (4) |  | — |  | (4) |  |  | — |  | — |  | — |  |  | 3 |  | — |  | 3 |  |
Other noninterest income |  | 50 |  | (32) |  | 18 |  |  | 16 |  | — |  | 15 |  |  | 24 |  | (6) |  | 18 |  |  | 25 |  | — |  | 25 |  |  | (1) |  | 22 |  | 21 |  |
Total noninterest income |  | 213 |  | (32) |  | 181 |  |  | 201 |  | (13) |  | 188 |  |  | 229 |  | (6) |  | 223 |  |  | 247 |  | — |  | 246 |  |  | 247 |  | 22 |  | 268 |  |
Total revenue |  | 875 |  | (32) |  | 843 |  |  | 743 |  | (13) |  | 730 |  |  | 707 |  | (6) |  | 702 |  |  | 745 |  | — |  | 745 |  |  | 738 |  | 22 |  | 760 |  |
Noninterest expense: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Personnel expense: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Salaries and benefits |  | 186 |  | — |  | 185 |  |  | 190 |  | 1 |  | 191 |  |  | 190 |  | (2) |  | 188 |  |  | 190 |  | — |  | 189 |  |  | 191 |  | — |  | 191 |  |
Incentives and commissions |  | 92 |  | (24) |  | 68 |  |  | 93 |  | (22) |  | 71 |  |  | 94 |  | (2) |  | 92 |  |  | 93 |  | (9) |  | 84 |  |  | 101 |  | (10) |  | 92 |  |
Deferred compensation expense |  | (2) |  | — |  | (2) |  |  | (18) |  | — |  | (18) |  |  | (5) |  | — |  | (5) |  |  | 7 |  | (6) |  | 1 |  |  | 4 |  | — |  | 4 |  |
Total personnel expense |  | 275 |  | (25) |  | 251 |  |  | 265 |  | (21) |  | 244 |  |  | 280 |  | (4) |  | 275 |  |  | 290 |  | (16) |  | 274 |  |  | 296 |  | (10) |  | 286 |  |
Occupancy and equipment |  | 71 |  | (1) |  | 70 |  |  | 73 |  | (1) |  | 72 |  |  | 72 |  | — |  | 72 |  |  | 74 |  | — |  | 73 |  |  | 75 |  | (1) |  | 74 |  |
Outside services |  | 66 |  | (2) |  | 64 |  |  | 70 |  | (9) |  | 61 |  |  | 84 |  | (25) |  | 59 |  |  | 81 |  | (15) |  | 66 |  |  | 89 |  | (24) |  | 65 |  |
Amortization of intangible assets |  | 13 |  | (1) |  | 12 |  |  | 13 |  | (1) |  | 12 |  |  | 13 |  | (1) |  | 12 |  |  | 14 |  | (1) |  | 13 |  |  | 14 |  | (1) |  | 13 |  |
Other noninterest expense | 44 |  | 4 |  | 48 |  |  | 68 |  | (18) |  | 50 |  |  | 44 |  | (7) |  | 37 |  |  | 70 |  | (23) |  | 46 |  |  | 52 |  | (10) |  | 42 |  |
Total noninterest expense | 468 |  | (25) |  | 444 |  |  | 489 |  | (50) |  | 438 |  |  | 493 |  | (37) |  | 455 |  |  | 528 |  | (54) |  | 474 |  |  | 526 |  | (46) |  | 480 |  |
Pre-provision net revenue | 406 |  | (7) |  | 399 |  |  | 255 |  | 38 |  | 293 |  |  | 215 |  | 32 |  | 246 |  |  | 217 |  | 54 |  | 271 |  |  | 213 |  | 68 |  | 281 |  |
Provision for credit losses | 60 |  | — |  | 60 |  |  | 30 |  | — |  | 30 |  |  | (40) |  | — |  | (40) |  |  | (65) |  | — |  | (65) |  |  | (85) |  | — |  | (85) |  |
Income before income taxes | 346 |  | (7) |  | 339 |  |  | 225 |  | 38 |  | 263 |  |  | 255 |  | 32 |  | 286 |  |  | 282 |  | 54 |  | 336 |  |  | 298 |  | 68 |  | 365 |  |
Provision for income taxes | 78 |  | (2) |  | 76 |  |  | 48 |  | 9 |  | 57 |  |  | 57 |  | 7 |  | 64 |  |  | 53 |  | 13 |  | 65 |  |  | 63 |  | 17 |  | 80 |  |
Net income | 268 |  | (5) |  | 263 |  |  | 177 |  | 29 |  | 205 |  |  | 198 |  | 24 |  | 222 |  |  | 229 |  | 41 |  | 271 |  |  | 235 |  | 51 |  | 286 |  |
Net income attributable to noncontrolling interest | 3 |  | — |  | 3 |  |  | 3 |  | — |  | 3 |  |  | 3 |  | — |  | 3 |  |  | 3 |  | — |  | 3 |  |  | 3 |  | — |  | 3 |  |
Net income attributable to controlling interest | 265 |  | (5) |  | 260 |  |  | 174 |  | 29 |  | 202 |  |  | 195 |  | 24 |  | 219 |  |  | 227 |  | 41 |  | 268 |  |  | 232 |  | 51 |  | 283 |  |
Preferred stock dividends | 8 |  | — |  | 8 |  |  | 8 |  | — |  | 8 |  |  | 8 |  | — |  | 8 |  |  | 8 |  | — |  | 8 |  |  | 8 |  | — |  | 8 |  |
Net income available to common shareholders | $ | 257 |  | $ | (5) |  | $ | 252 |  |  | $ | 166 |  | $ | 29 |  | $ | 195 |  |  | $ | 187 |  | $ | 24 |  | $ | 211 |  |  | $ | 219 |  | $ | 41 |  | $ | 260 |  |  | $ | 224 |  | $ | 51 |  | $ | 275 |  |
Common Stock Data |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
EPS |  | $ | 0.48 |  | $ | 0.01 |  | $ | 0.47 |  |  | $ | 0.31 |  | $ | (0.05) |  | $ | 0.36 |  |  | $ | 0.35 |  | $ | (0.05) |  | $ | 0.40 |  |  | $ | 0.41 |  | $ | (0.08) |  | $ | 0.48 |  |  | $ | 0.41 |  | $ | (0.09) |  | $ | 0.50 |  |
Basic shares |  | 536 |  |  | 536 |  |  | 535 |  |  | 535 |  |  | 533 |  |  | 533 |  |  | 537 |  |  | 537 |  |  | 546 |  |  | 546 |  |
Diluted EPS |  | $ | 0.45 |  | $ | 0.01 |  | $ | 0.44 |  |  | $ | 0.29 |  | $ | (0.05) |  | $ | 0.34 |  |  | $ | 0.34 |  | $ | (0.04) |  | $ | 0.38 |  |  | $ | 0.40 |  | $ | (0.08) |  | $ | 0.48 |  |  | $ | 0.41 |  | $ | (0.09) |  | $ | 0.50 |  |
Diluted shares 8 |  | 570 |  |  | 570 |  |  | 569 |  |  | 569 |  |  | 550 |  |  | 550 |  |  | 542 |  |  | 542 |  |  | 550 |  |  | 550 |  |
Memo: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Total Revenue-FTE (Non-GAAP) |  | $ | 875 |  | $ | (28) |  | $ | 847 |  |  | $ | 743 |  | $ | (10) |  | $ | 733 |  |  | $ | 707 |  | $ | 3 |  | $ | 704 |  |  | $ | 745 |  | $ | 3 |  | $ | 748 |  |  | $ | 738 |  | $ | 24 |  | $ | 763 |  |
PPNR-FTE (Non-GAAP) |  | $ | 406 |  | $ | (3) |  | $ | 403 |  |  | $ | 255 |  | $ | 39 |  | $ | 295 |  |  | $ | 215 |  | $ | 34 |  | $ | 249 |  |  | $ | 217 |  | $ | 58 |  | $ | 274 |  |  | $ | 213 |  | $ | 71 |  | $ | 283 |  |

Amounts adjusted for notable items as detailed on page 10.
Numbers may not foot due to rounding.
23

CONSOLIDATED NON-GAAP TO GAAP RECONCILIATION |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Quarterly, Unaudited |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
($s in millions, except per share data) |  | 3Q22 |  | 2Q22 |  | 1Q22 |  | 4Q21 |  | 3Q21 |  |  |  |  |
Adjusted Diluted EPS |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Net income available to common shareholders ("NIAC") (GAAP) | a | $ | 257 |  |  | $ | 166 |  |  | $ | 187 |  |  | $ | 219 |  |  | $ | 224 |  |  |  |  |  |
Plus Tax effected notable items (Non-GAAP) (a) |  | (5) |  |  | 29 |  |  | 24 |  |  | 41 |  |  | 51 |  |  |  |  |  |
Adjusted net income available to common shareholders (Non-GAAP) | b | $ | 252 |  |  | $ | 195 |  |  | $ | 211 |  |  | $ | 260 |  |  | $ | 275 |  |  |  |  |  |
Diluted Shares (GAAP)8 | c | 570 |  |  | 569 |  |  | 550 |  |  | 542 |  |  | 550 |  |  |  |  |  |
Diluted EPS (GAAP) | a/c | $ | 0.45 |  |  | $ | 0.29 |  |  | $ | 0.34 |  |  | $ | 0.40 |  |  | $ | 0.41 |  |  |  |  |  |
Adjusted diluted EPS (Non-GAAP) | b/c | $ | 0.44 |  |  | $ | 0.34 |  |  | $ | 0.38 |  |  | $ | 0.48 |  |  | $ | 0.50 |  |  |  |  |  |
Adjusted Net Income ("NI") and Adjusted Return on Assets ("ROA") |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Net Income ("NI") (GAAP) |  | $ | 268 |  |  | $ | 177 |  |  | $ | 198 |  |  | $ | 229 |  |  | $ | 235 |  |  |  |  |  |
Plus Tax effected notable items (Non-GAAP) (a) |  | (5) |  |  | 29 |  |  | 24 |  |  | 41 |  |  | 51 |  |  |  |  |  |
Adjusted NI (Non-GAAP) |  | $ | 263 |  |  | $ | 206 |  |  | $ | 223 |  |  | $ | 270 |  |  | $ | 286 |  |  |  |  |  |
NI (annualized) (GAAP) | d | $ | 1,063 |  |  | $ | 709 |  |  | $ | 801 |  |  | $ | 910 |  |  | $ | 931 |  |  |  |  |  |
Adjusted NI (annualized) (Non-GAAP) | e | $ | 1,045 |  |  | $ | 823 |  |  | $ | 900 |  |  | $ | 1,074 |  |  | $ | 1,133 |  |  |  |  |  |
Average assets (GAAP) | f | $ | 82,551 |  |  | $ | 86,326 |  |  | $ | 88,587 |  |  | $ | 89,025 |  |  | $ | 88,401 |  |  |  |  |  |
ROA (GAAP) | d/f | 1.29 | % |  | 0.82 | % |  | 0.90 | % |  | 1.02 | % |  | 1.05 | % |  |  |  |  |
Adjusted ROA (Non-GAAP) | e/f | 1.27 | % |  | 0.95 | % |  | 1.02 | % |  | 1.21 | % |  | 1.28 | % |  |  |  |  |
Return on Average Common Equity ("ROCE")/ Return on Average Tangible Common Equity ("ROTCE")/ Adjusted ROTCE |  |  |  |
Net income available to common shareholders ("NIAC") (GAAP) | g | $ | 1,020 |  |  | $ | 666 |  |  | $ | 756 |  |  | $ | 868 |  |  | $ | 887 |  |  |  |  |  |
Adjusted Net income available to common shareholders (annualized) (Non-GAAP) | h | $ | 1,001 |  |  | $ | 781 |  |  | $ | 855 |  |  | $ | 1,032 |  |  | $ | 1,089 |  |  |  |  |  |
Average Common Equity (GAAP) | i | $ | 7,360 |  |  | $ | 7,305 |  |  | $ | 7,628 |  |  | $ | 7,710 |  |  | $ | 7,761 |  |  |  |  |  |
Intangible Assets (GAAP) (b) |  | 1,767 |  |  | 1,789 |  |  | 1,802 |  |  | 1,815 |  |  | 1,829 |  |  |  |  |  |
Average Tangible Common Equity (Non-GAAP) | j | $ | 5,593 |  |  | $ | 5,516 |  |  | $ | 5,826 |  |  | $ | 5,895 |  |  | $ | 5,932 |  |  |  |  |  |
ROCE (GAAP) | g/i | 13.85 | % |  | 9.12 | % |  | 9.92 | % |  | 11.26 | % |  | 11.43 | % |  |  |  |  |
ROTCE (Non-GAAP) | g/j | 18.23 | % |  | 12.07 | % |  | 12.98 | % |  | 14.72 | % |  | 14.95 | % |  |  |  |  |
Adjusted ROTCE (Non-GAAP) | h/j | 17.89 | % |  | 14.15 | % |  | 14.68 | % |  | 17.51 | % |  | 18.36 | % |  |  |  |  |

(a) Amounts adjusted for notable items as detailed on page 10.
(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 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
(In millions) |  | 3Q22 |  | 2Q22 |  | 1Q22 |  | 4Q21 |  | 3Q21 |  |  |  |  |
Adjusted Noninterest Income as a % of Total Revenue |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Noninterest income (GAAP) | k | $ | 213 |  |  | $ | 201 |  |  | $ | 229 |  |  | $ | 247 |  |  | $ | 247 |  |  |  |  |  |
Plus notable items (GAAP) (a) |  | (32) |  |  | (13) |  |  | (6) |  |  | — |  |  | 22 |  |  |  |  |  |
Adjusted noninterest income (Non-GAAP) | l | $ | 181 |  |  | $ | 188 |  |  | $ | 223 |  |  | $ | 246 |  |  | $ | 268 |  |  |  |  |  |
Revenue (GAAP) | m | $ | 875 |  |  | $ | 743 |  |  | $ | 707 |  |  | $ | 745 |  |  | $ | 738 |  |  |  |  |  |
Taxable-equivalent adjustment |  | 4 |  |  | 3 |  |  | 3 |  |  | 3 |  |  | 3 |  |  |  |  |  |
Revenue- Taxable-equivalent (Non-GAAP) |  | 879 |  |  | 746 |  |  | 710 |  |  | 748 |  |  | 741 |  |  |  |  |  |
Plus notable items (GAAP) (a) |  | (32) |  |  | (13) |  |  | (6) |  |  | — |  |  | 22 |  |  |  |  |  |
Adjusted revenue (Non-GAAP) | n | $ | 847 |  |  | $ | 733 |  |  | $ | 704 |  |  | $ | 748 |  |  | $ | 763 |  |  |  |  |  |
Noninterest income as a % of total revenue (GAAP) | k/m | 24.30 | % |  | 27.06 | % |  | 32.31 | % |  | 33.10 | % |  | 33.39 | % |  |  |  |  |
Adjusted noninterest income as a % of total revenue (Non-GAAP) | l/n | 21.37 | % |  | 25.68 | % |  | 31.63 | % |  | 32.95 | % |  | 35.14 | % |  |  |  |  |
Adjusted Efficiency Ratio |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Noninterest expense (GAAP) | o | $ | 468 |  |  | $ | 489 |  |  | $ | 493 |  |  | $ | 528 |  |  | $ | 526 |  |  |  |  |  |
Plus notable items (GAAP) (a) |  | (25) |  |  | (50) |  |  | (37) |  |  | (54) |  |  | (46) |  |  |  |  |  |
Adjusted noninterest expense (Non-GAAP) | p | $ | 444 |  |  | $ | 438 |  |  | $ | 455 |  |  | $ | 474 |  |  | $ | 480 |  |  |  |  |  |
Revenue (GAAP) | q | $ | 875 |  |  | $ | 743 |  |  | $ | 707 |  |  | $ | 745 |  |  | $ | 738 |  |  |  |  |  |
Taxable-equivalent adjustment |  | 4 |  |  | 3 |  |  | 3 |  |  | 3 |  |  | 3 |  |  |  |  |  |
Revenue- Taxable-equivalent (Non-GAAP) |  | 878 |  |  | 746 |  |  | 710 |  |  | 748 |  |  | 741 |  |  |  |  |  |
Plus notable items (GAAP) (a) |  | (32) |  |  | (13) |  |  | (6) |  |  | — |  |  | 22 |  |  |  |  |  |
Adjusted revenue (Non-GAAP) | r | $ | 847 |  |  | $ | 733 |  |  | $ | 704 |  |  | $ | 748 |  |  | $ | 763 |  |  |  |  |  |
Efficiency ratio (GAAP) | o/q | 53.56 | % |  | 65.76 | % |  | 69.66 | % |  | 70.88 | % |  | 71.21 | % |  |  |  |  |
Adjusted efficiency ratio (Non-GAAP) | p/r | 52.42 | % |  | 59.79 | % |  | 64.64 | % |  | 63.31 | % |  | 62.87 | % |  |  |  |  |

(a) Amounts adjusted for notable items as detailed on page 10.
(b) Includes goodwill and other intangible assets, net of amortization.
Numbers may not foot due to rounding.
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CONSOLIDATED NON-GAAP TO GAAP RECONCILIATION
Quarterly, Unaudited
($s in millions)
|  |  |  | 3Q22 vs 2Q22 |  |
NII/NIM Analysis |  | NII |  | % |  | NIM
3Q22 Reported (FTE) |  | $ | 666 |  |  |  |  | 3.49 |
Less: non-core items |  |  |  |  |  |
PPP coupon income and fees |  | 2 |  |  |  | — |
Loan Accretion |  | 12 |  |  |  | 0.07 |
IBKC Premium Amortization |  | (7) |  |  |  |  | (0.04) |
3Q22 Core (FTE) (Non-GAAP) |  | $ | 659 |  |  | 24 | % |  | 3.45 | %
2Q22 Reported (FTE) |  | $ | 545 |  |  |  |  | 2.74 | %
Less: non-core items |  |  |  |  |  |
PPP coupon income and fees |  | 7 |  |  |  | 0.02 |
Loan Accretion |  | 15 |  |  |  | 0.08 |
IBKC Premium Amortization |  | (8) |  |  |  |  | (0.04) |
2Q22 Core (FTE) (Non-GAAP) |  | $ | 532 |  |  |  |  | 2.69 | %

Numbers may not foot due to rounding.

|  | Period-end |  | Average
($s in millions) |  | 3Q22 |  | 2Q22 |  | 3Q22 vs 2Q22 |  | 3Q22 |  | 2Q22 |  | 3Q22 vs 2Q22
Loans excluding LMC & PPP |  |  |  |  |  | $ |  | % |  |  |  |  |  | $ |  | %
Total C& I excl. LMC & PPP |  | $ | 28,789 |  |  | $ | 27,459 |  |  | $ | 1,330 |  |  | 5 | % |  | $ | 28,000 |  |  | $ | 26,993 |  |  | $ | 1,007 |  |  | 4 | %
Total CRE |  | 13,021 |  | 12,942 |  | 79 |  |  | 1 | % |  | 12,926 |  |  | 12,626 |  |  | 300 |  |  | 2 | %
Total Commercial excl. LMC & PPP |  | 41,810 |  |  | 40,401 |  |  | 1,409 |  |  | 3 | % |  | 40,926 |  |  | 39,619 |  |  | 1,307 |  |  | 3 | %
Total Consumer |  | 12,712 |  | 12,311 |  | 401 |  |  | 3 | % |  | 12,496 |  | 11,987 |  | 509 |  |  | 4 | %
Total Loans excl. LMC & PPP |  | 54,522 |  | 52,712 |  | 1,810 |  |  | 3 | % |  | 53,422 |  | 51,606 |  | 1,816 |  |  | 4 | %
PPP |  | 121 |  | 375 |  | (254) |  |  | (68) | % |  | 204 |  | 478 |  | (274) |  |  | (57) | %
LMC |  | 2,710 |  | 3,441 |  | (731) |  |  | (21) | % |  | 2,917 |  | 3,492 |  | (574) |  |  | (16) | %
Total Loans |  | $ | 57,354 |  |  | $ | 56,529 |  |  | $ | 825 |  |  | 1 | % |  | $ | 56,543 |  |  | $ | 55,576 |  |  | $ | 967 |  |  | 2 | %
Loans excluding PPP |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Total Commercial excl. PPP |  | $ | 44,520 |  |  | $ | 43,842 |  |  | $ | 677 |  |  | 2 | % |  | $ | 43,843 |  |  | $ | 43,111 |  |  | $ | 732 |  |  | 2 | %
Total Consumer |  | 12,712 |  | 12,311 |  | 401 |  |  | 3 | % |  | 12,496 |  | 11,987 |  | 509 |  |  | 4 | %
Total Loans excl. PPP |  | 57,232 |  |  | 56,153 |  |  | 1,079 |  |  | 2 | % |  | 56,339 |  |  | 55,098 |  |  | 1,241 |  |  | 2 | %
PPP |  | 121 |  | 375 |  | (254) |  |  | (68) | % |  | 204 |  | 478 |  | (274) |  |  | (57) | %
Total Loans |  | $ | 57,354 |  |  | $ | 56,529 |  |  | $ | 825 |  |  | 1 | % |  | $ | 56,543 |  |  | $ | 55,576 |  |  | $ | 967 |  |  | 2 | %

Numbers may not foot due to rounding.
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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.
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