EX-99.1 2 exhibit99133122earningsrel.htm EX-99.1
Exhibit 99.1
FULTON FINANCIAL
CORPORATION
FOR IMMEDIATE RELEASE
Media Contact: Laura Wakeley (717) 291-2616
Investor Contact: Matt Jozwiak (717) 327-2657
Fulton Financial Announces First Quarter 2022 Results
(April 19, 2022) – Lancaster, PA – Fulton Financial Corporation (NASDAQ:FULT) (“Fulton” or the “Corporation”) reported net income available to common shareholders of $61.7 million, or $0.38 per diluted share, for the first quarter of 2022, an increase of $2.4 million, or 4.0%, in comparison to the fourth quarter of 2021.
"Overall, we are pleased with our first quarter results. Our consumer and commercial businesses had solid loan growth during the quarter despite the volatile rate environment. We again saw record income in our wealth management business. Our asset quality remained stable, and we saw a decline in operating expenses linked quarter" said E. Phillip Wenger, Chairman and CEO. "On the corporate front, we were pleased to be able to raise our quarterly dividend. And our announcement of our intent to acquire Prudential Bancorp, Inc. later this year will help grow Fulton's presence in Philadelphia, which is a strategically important market for us."
Net Interest Income and Balance Sheet
Net interest income for the first quarter of 2022 was $161.3 million, $4.3 million lower than the fourth quarter of 2021. The net interest margin for the first quarter of 2022 increased 1 basis point, to 2.78%, from 2.77% in the fourth quarter of 2021.
The linked-quarter decrease in net interest income was primarily due to a decrease in loan fees related to Paycheck Protection Program ("PPP") loans, which were $4.4 million in the first quarter of 2022 compared to $10.0 million in the fourth quarter of 2021, partially offset by lower interest expense. The linked-quarter increase in net interest margin was primarily due to an increase in average net loans to $18.4 billion from $18.2 billion coupled with a decrease in lower yielding other interest-earning assets to $1.3 billion from $2.1 billion. The PPP loan balance was $164.3 million and $301.3 million as of March 31, 2022 and December 31, 2021, respectively.
For the first quarter of 2022, net interest income was $161.3 million, a decrease of $3.1 million, or 1.9%, in comparison to the first quarter of 2021. The net interest margin for the first quarter of 2022 decreased 1 basis point, to 2.78% from 2.79% in the first quarter of 2021. The yield on average interest-earning assets declined 15 basis points and the rate on average interest-bearing liabilities declined 20 basis points in the first quarter of 2022 in comparison to the first quarter of 2021.
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The year-over-year decrease in net interest income was primarily due to a decline in interest income on loans of $14.4 million, from $165.5 million in the first quarter of 2021 compared to $151.1 million for the first quarter of 2022. The decline in interest income on loans was primarily due to a decline of $15.0 million in PPP loan fees. Interest expense on interest-bearing deposits and long-term borrowings declined by $4.0 million and $4.7 million, respectively, in the first quarter of 2022 in comparison to the first quarter of 2021. The decline in interest expense on interest-bearing deposits in the first quarter of 2022 was primarily due to a decrease in rate of 11 basis points. The decline in interest expense on long-term borrowings in the first quarter of 2022 was driven by a $661.3 million decrease in average balance due to the balance sheet restructuring in the first quarter of 2021, which included the prepayment of $536.0 million of long-term Federal Home Loan Bank ("FHLB") advances and the cash tender offer for $75 million and $60.0 million of the Corporation's outstanding subordinated and senior notes, respectively.
Total average interest-earning assets for the first quarter of 2022 was $23.9 billion, a decrease of $382.2 million from the fourth quarter of 2021, primarily due to a decrease of $842.2 million in average other interest-earning assets, partially offset by increases in average taxable investment securities and average net loans of $271.7 million and $162.6 million, respectively.
Total average interest-earning assets for the first quarter of 2022 decreased $388.2 million from the first quarter of 2021. Average net loans for the first quarter of 2022 were $18.4 billion, a decrease of $597.5 million from the same period in 2021. Included in average net loans for the first quarter of 2022 were PPP loans with an average balance of $226.1 million, a decrease of $1.5 billion from the first quarter of 2021. The decrease in average PPP loans for the first quarter of 2022 was partially offset by increases in average residential mortgage loans, average commercial mortgage loans and average real estate construction loans of $703.8 million, $165.9 million and $82.9 million, respectively. Average taxable investment securities increased $635.1 million for the first quarter of 2022 compared to the first quarter of 2021.
Total average interest-bearing liabilities decreased $374.6 million, to $15.1 billion, in the first quarter of 2022 compared to the fourth quarter of 2021, driven by decreases of $268.8 million in demand deposits and $59.6 million in time deposits.
Total average interest-bearing liabilities for the first quarter of 2022 decreased $1.2 billion from the first quarter of 2021, driven by a decrease in total interest-bearing deposits of $395.2 million and a decrease in long-term borrowings of $661.3 million. Average noninterest-bearing deposits increased $758.4 million for the first quarter of 2022 compared to the first quarter of 2021.
On March 21, 2022, the Corporation announced that its Board of Directors approved the repurchase of up to $75 million of shares of Fulton's common stock commencing on April 1, 2022 and expiring on December 31, 2022.
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Asset Quality
In the first quarter of 2022, a negative provision for credit losses of $7.0 million was recognized, as compared to a negative provision for credit losses of $5.0 million in the fourth quarter of 2021, and a negative provision for credit losses of $5.5 million in the first quarter of 2021. The negative provision for credit losses for the first quarter of 2022 was recorded to adjust the allowance for credit losses as a result of improved economic conditions.
Non-performing assets were $163.0 million, or 0.64% of total assets, at March 31, 2022, compared to $153.9 million, or 0.60% of total assets, and $156.1 million, or 0.60% of total assets, at December 31, 2021 and March 31, 2021, respectively.
Annualized net charge-offs (recoveries) for the quarter ended March 31, 2022, were (0.02)% of total average loans, compared to 0.07% and 0.13% for the quarters ended December 31, 2021 and March 31, 2021, respectively.
Non-interest Income
Non-interest income before investment securities gains in the first quarter of 2022 was $55.2 million, a decrease of $8.6 million, or 13.5%, from the fourth quarter of 2021. The decrease in non-interest income was primarily due to declines in income from equity method investments of $4.0 million reflected in other income, mortgage banking income of $2.7 million due to lower gains on sales, and capital markets income of $1.3 million primarily due to lower fee income from commercial customer interest rate swaps, partially offset by an increase of $1.1 million in wealth management income.
Compared to the first quarter of 2021, non-interest income before investment securities gains in the first quarter of 2022 decreased $6.7 million, or 10.8%, from $61.9 million. The decrease in non-interest income was primarily due to a $9.4 million decrease in mortgage banking income due to lower gains on sale, partially offset by a $2.1 million increase in wealth management income.
In the first quarter of 2021, Fulton completed balance sheet restructurings involving sales of investment securities and corresponding prepayments of FHLB advances, subordinated debt and senior notes. The balance sheet restructuring involved gains on sales of Visa, Inc. Class B restricted shares of $34.0 million that were offset in non-interest expense by debt extinguishment of costs of $33.2 million.
Non-interest Expense
Non-interest expense was $146.0 million in the first quarter of 2022, a decrease of $8.0 million, or 5.2%, compared to the fourth quarter of 2021. The decrease was primarily due to decreases in charitable contributions and donations of $2.2 million, state-related taxes of $1.7 million and a net gain for owned fixed assets of $1.5 million, all reflected in other expense. Additionally, the decrease in non-interest expense was also driven by decreases in other outside services of $1.5 million and salaries and benefits
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of $1.0 million. Included in non-interest expense was $0.4 million for merger-related expenses associated with the pending acquisition of Prudential Bancorp, Inc.
Compared to the first quarter of 2021, non-interest expense decreased $32.4 million, or 18.2%, in the first quarter of 2022, primarily due to debt extinguishment costs of $33.2 million related to the prepayment of FHLB advances, subordinated debt and senior notes during the first quarter of 2021.
Income Tax Expense
For the first quarter of 2022, the effective tax rate was moderately lower at 17.1%, compared to 17.6% for the full-year of 2021.
Additional information on Fulton is available on the Internet at www.fultonbank.com.
Safe Harbor Statement
This news release may contain forward-looking statements with respect to the Corporation’s financial condition, results of operations and business. Do not unduly rely on forward-looking statements. Forward-looking statements can be identified by the use of words such as "may," "should," "will," "could," "estimates," "predicts," "potential," "continue," "anticipates," "believes," "plans," "expects," "future," "intends," “projects,” the negative of these terms and other comparable terminology. These forward-looking statements may include projections of, or guidance on, the Corporation’s future financial performance, expected levels of future expenses, including future credit losses, anticipated growth strategies, descriptions of new business initiatives and anticipated trends in the Corporation’s business or financial results.
Forward-looking statements are neither historical facts, nor assurance of future performance. Instead, the statements are based on current beliefs, expectations and assumptions regarding the future of the Corporation’s business, future plans and strategies, projections, anticipated events and trends, the economy and other future conditions. Because forward-looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict and many of which are outside of the Corporation’s control, and actual results and financial condition may differ materially from those indicated in the forward-looking statements. Therefore, you should not unduly rely on any of these forward-looking statements. Any forward-looking statement is based only on information currently available and speaks only as of the date when made. The Corporation undertakes no obligation, other than as required by law, to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
A discussion of certain risks and uncertainties affecting the Corporation, and some of the factors that could cause the Corporation's actual results to differ materially from those described in the forward-looking statements, can be found in the sections entitled "Risk Factors" and "Management's Discussion and Analysis of Financial Condition and Results of Operations" in the Corporation’s Annual Report on Form 10-K for the year ended December 31, 2021 and other current and periodic reports, which have
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been or will be filed with the Securities and Exchange Commission (the "SEC"), including the risks, uncertainties and assumptions regarding the Corporation's pending acquisition of Prudential Bancorp, Inc. set forth under the heading "Safe Harbor Statement" in the Corporation's Current Report on Form 8-K filed on March 2, 2022, and are or will be available in the Investor Relations section of the Corporation's website (www.fultonbank.com) and on the SEC's website (www.sec.gov).
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Non-GAAP Financial Measures
The Corporation uses certain non-GAAP financial measures in this earnings release. These non-GAAP financial measures are reconciled to the most comparable GAAP measures in tables at the end of this release (GAAP: Generally Accepted Accounting Principles).

FULTON FINANCIAL CORPORATION |  |  |  |  |  |  |
SUMMARY CONSOLIDATED FINANCIAL INFORMATION (UNAUDITED) |  |  |  |  |  |  |
in thousands, except per-share data and percentages |  |  |  |  |  |  |
| Three months ended |
| Mar 31 |  | Dec 31 |  | Sep 30 |  | Jun 30 |  | Mar 31 |
| 2022 |  | 2021 |  | 2021 |  | 2021 |  | 2021 |
Ending Balances |  |  |  |  |  |  |  |  |  |
Investments | $ | 4,288,674 |  | $ | 4,167,774 |  | $ | 4,000,760 |  | $ | 3,921,658 |  | $ | 3,612,010 |
Net loans | 18,476,119 |  | 18,325,350 |  | 18,269,407 |  | 18,586,756 |  | 18,990,986 |
Total assets | 25,598,310 |  | 25,796,398 |  | 26,390,832 |  | 26,079,774 |  | 25,892,990 |
Deposits | 21,541,174 |  | 21,573,499 |  | 22,074,041 |  | 21,724,312 |  | 21,633,838 |
Shareholders' equity | 2,569,535 |  | 2,712,680 |  | 2,699,818 |  | 2,692,958 |  | 2,629,655 |
Average Balances |  |  |  |  |  |  |  |  |  |
Investments | $ | 4,228,827 |  | $ | 3,980,045 |  | $ | 3,914,627 |  | $ | 3,670,333 |  | $ | 3,448,166 |
Net loans | 18,383,118 |  | 18,220,550 |  | 18,414,153 |  | 18,906,556 |  | 18,980,586 |
Total assets | 25,622,462 |  | 26,136,536 |  | 26,440,876 |  | 26,017,542 |  | 26,082,816 |
Deposits | 21,480,183 |  | 21,876,938 |  | 22,123,480 |  | 21,765,601 |  | 21,117,024 |
Shareholders' equity | 2,688,834 |  | 2,713,198 |  | 2,722,833 |  | 2,669,413 |  | 2,637,098 |
Income Statement |  |  |  |  |  |  |  |  |  |
Net interest income | $ | 161,310 |  |  | $ | 165,613 |  |  | $ | 171,270 |  |  | $ | 162,399 |  |  | $ | 164,448 |  |
Provision for credit losses | (6,950) |  |  | (5,000) |  |  | (600) |  |  | (3,500) |  |  | (5,500) |  |
Non-interest income | 55,256 |  |  | 63,881 |  |  | 62,577 |  |  | 51,890 |  |  | 95,397 |  |
Non-interest expense | 145,978 |  |  | 154,019 |  |  | 144,596 |  |  | 140,831 |  |  | 178,384 |  |
Income before taxes | 77,538 |  |  | 80,475 |  |  | 89,851 |  |  | 76,958 |  |  | 86,961 |  |
Net income available to common shareholders | 61,726 |  |  | 59,325 |  |  | 73,021 |  |  | 62,402 |  |  | 70,472 |  |
Pre-provision net revenue(1) | 71,842 |  |  | 77,837 |  |  | 90,947 |  |  | 75,575 |  |  | 81,795 |  |
Per Share |  |  |  |  |  |  |  |  |  |
Net income available to common shareholders (basic) | $0.38 |  |  | $0.37 |  |  | $0.45 |  |  | $0.38 |  |  | $0.43 |  |
Net income available to common shareholders (diluted) | $0.38 |  |  | $0.37 |  |  | $0.45 |  |  | $0.38 |  |  | $0.43 |  |
Cash dividends | $0.15 |  |  | $0.22 |  |  | $0.14 |  |  | $0.14 |  |  | $0.14 |  |
Common shareholders' equity | $ | 14.79 |  |  | $ | 15.70 |  |  | $ | 15.53 |  |  | $ | 15.34 |  |  | $ | 14.99 |  |
Common shareholders' equity (tangible)(1) | $ | 11.44 |  |  | $ | 12.35 |  |  | $ | 12.21 |  |  | $ | 12.05 |  |  | $ | 11.69 |  |
Weighted average shares (basic) | 160,588 |  |  | 161,210 |  |  | 162,506 |  |  | 162,785 |  |  | 162,441 |  |
Weighted average shares (diluted) | 161,911 |  |  | 162,355 |  |  | 163,456 |  |  | 163,858 |  |  | 163,737 |  |
(1) Non-GAAP financial measure. Refer to the calculation on the page titled “Reconciliation of Non-GAAP Measures” at the end of this document. |

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| Three months ended |
| Mar 31 |  | Dec 31 |  | Sep 30 |  | Jun 30 |  | Mar 31 |
| 2022 |  | 2021 |  | 2021 |  | 2021 |  | 2021 |
Asset Quality |  |  |  |  |  |  |  |  |  |
Net (recoveries) charge offs to average loans (annualized) | (0.02) | % |  | 0.07 | % |  | (0.05) | % |  | 0.15 | % |  | 0.13 | % |
Non-performing loans to total loans | 0.87 | % |  | 0.83 | % |  | 0.82 | % |  | 0.83 | % |  | 0.80 | % |
Non-performing assets to total assets | 0.64 | % |  | 0.60 | % |  | 0.58 | % |  | 0.60 | % |  | 0.60 | % |
ACL - loans(2) to total loans | 1.32 | % |  | 1.36 | % |  | 1.41 | % |  | 1.37 | % |  | 1.40 | % |
ACL - loans(2) to non-performing loans | 151 | % |  | 164 | % |  | 171 | % |  | 166 | % |  | 174 | % |
Asset Quality, excluding PPP(1)(3) |  |  |  |  |  |  |  |  |  |
Net (recoveries) charge offs to adjusted average loans (annualized) | (0.02) | % |  | 0.07 | % |  | (0.05) | % |  | 0.16 | % |  | 0.14 | % |
Non-performing loans to total adjusted loans | 0.88 | % |  | 0.84 | % |  | 0.85 | % |  | 0.88 | % |  | 0.88 | % |
ACL - loans(2) to total adjusted loans | 1.33 | % |  | 1.38 | % |  | 1.45 | % |  | 1.46 | % |  | 1.54 | % |
Profitability |  |  |  |  |  |  |  |  |  |
Return on average assets | 1.02 | % |  | 0.94 | % |  | 1.13 | % |  | 1.00 | % |  | 1.14 | % |
Return on average common shareholders' equity | 10.03 | % |  | 9.34 | % |  | 11.45 | % |  | 10.01 | % |  | 11.73 | % |
Return on average common shareholders' equity (tangible)(1) | 12.88 | % |  | 11.89 | % |  | 14.56 | % |  | 12.93 | % |  | 15.00 | % |
Net interest margin | 2.78 | % |  | 2.77 | % |  | 2.82 | % |  | 2.73 | % |  | 2.79 | % |
Efficiency ratio(1) | 65.8 | % |  | 65.2 | % |  | 60.3 | % |  | 63.8 | % |  | 63.0 | % |
Non-interest expenses to total average assets(1) | 2.29 | % |  | 2.30 | % |  | 2.14 | % |  | 2.14 | % |  | 2.25 | % |
Capital Ratios |  |  |  |  |  |  |  |  |  |
Tangible common equity ratio(1) | 7.3 | % |  | 7.8 | % |  | 7.6 | % |  | 7.7 | % |  | 7.5 | % |
Tier 1 leverage ratio(4) | 8.9 | % |  | 8.6 | % |  | 8.4 | % |  | 8.5 | % |  | 8.2 | % |
Common equity Tier 1 capital ratio(4) | 10.0 | % |  | 9.9 | % |  | 10.1 | % |  | 10.0 | % |  | 9.7 | % |
Tier 1 risk-based capital ratio(4) | 10.9 | % |  | 10.9 | % |  | 11.1 | % |  | 11.0 | % |  | 10.7 | % |
Total risk-based capital ratio(4) | 13.8 | % |  | 14.1 | % |  | 14.4 | % |  | 14.5 | % |  | 14.3 | % |
(1) Non-GAAP financial measure. Refer to the calculation on the page titled "Reconciliation of Non-GAAP Measures" at the end of this document. |
(2) "ACL - loans" relates to the allowance for credit losses ("ACL") specifically on "Net Loans" and does not include the ACL related to off-balance-sheet ("OBS") credit exposures. |
(3) Asset quality information excluding Paycheck Protection Program ("PPP") loans. Refer to the calculation on the page titled "Reconciliation of Non-GAAP Measures" at the end of this document. |
(4) Regulatory capital ratios as of March 31, 2022 are preliminary and prior periods are actual. |

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FULTON FINANCIAL CORPORATION |  |  |  |  |  |
CONDENSED CONSOLIDATED ENDING BALANCE SHEETS (UNAUDITED) |  |  |  |  |  |
dollars in thousands |  |  |  |  |  |
|  |  |  |  |  |  |  |  |  |  |  | % Change from
|  | Mar 31 |  | Dec 31 |  | Sep 30 |  | Jun 30 |  | Mar 31 |  | Dec 31 |  | Mar 31
|  | 2022 |  | 2021 |  | 2021 |  | 2021 |  | 2021 |  | 2021 |  | 2021
ASSETS |  |  |  |  |  |  |  |  |  |  |  |
| Cash and due from banks | $ | 161,462 |  |  | $ | 172,276 |  |  | $ | 260,564 |  |  | $ | 143,002 |  |  | $ | 102,570 |  |  | (6.3) | % |  | 57.4 | %
| Other interest-earning assets | 1,054,232 |  |  | 1,523,973 |  |  | 2,271,738 |  |  | 1,823,688 |  |  | 1,625,515 |  |  | (30.8) | % |  | (35.1) | %
| Loans held for sale | 27,675 |  |  | 35,768 |  |  | 43,123 |  |  | 41,924 |  |  | 34,092 |  |  | (22.6) | % |  | (18.8) | %
| Investment securities | 4,288,674 |  |  | 4,167,774 |  |  | 4,000,760 |  |  | 3,921,658 |  |  | 3,612,010 |  |  | 2.9 | % |  | 18.7 | %
| Net loans | 18,476,119 |  |  | 18,325,350 |  |  | 18,269,407 |  |  | 18,586,756 |  |  | 18,990,986 |  |  | 0.8 | % |  | (2.7) | %
| Less: ACL - loans(1) | (243,705) |  |  | (249,001) |  |  | (256,727) |  |  | (255,032) |  |  | (265,986) |  |  | (2.1) | % |  | (8.4) | %
| Loans, net | 18,232,414 |  |  | 18,076,349 |  |  | 18,012,680 |  |  | 18,331,724 |  |  | 18,725,000 |  |  | 0.9 | % |  | (2.6) | %
| Net, premises and equipment | 218,257 |  |  | 220,357 |  |  | 228,179 |  |  | 228,353 |  |  | 229,035 |  |  | (1.0) | % |  | (4.7) | %
| Accrued interest receivable | 55,102 |  |  | 57,451 |  |  | 57,902 |  |  | 63,232 |  |  | 65,649 |  |  | (4.1) | % |  | (16.1) | %
| Goodwill and intangible assets | 537,877 |  |  | 538,053 |  |  | 536,697 |  |  | 536,847 |  |  | 536,544 |  |  | — | % |  | 0.2 | %
| Other assets | 1,022,617 |  |  | 1,004,397 |  |  | 979,189 |  |  | 989,346 |  |  | 962,575 |  |  | 1.8 | % |  | 6.2 | %
| Total Assets | $ | 25,598,310 |  |  | $ | 25,796,398 |  |  | $ | 26,390,832 |  |  | $ | 26,079,774 |  |  | $ | 25,892,990 |  |  | (0.8) | % |  | (1.1) | %
LIABILITIES AND SHAREHOLDERS' EQUITY |  |  |  |  |  |  |  |  |  |  |  |
| Deposits | $ | 21,541,174 |  |  | $ | 21,573,499 |  |  | $ | 22,074,041 |  |  | $ | 21,724,312 |  |  | $ | 21,633,838 |  |  | (0.1) | % |  | (0.4) | %
| Short-term borrowings | 452,440 |  |  | 416,764 |  |  | 468,967 |  |  | 533,749 |  |  | 520,989 |  |  | 8.6 | % |  | (13.2) | %
| Other liabilities | 478,667 |  |  | 472,110 |  |  | 520,620 |  |  | 501,542 |  |  | 482,101 |  |  | 1.4 | % |  | (0.7) | %
| Long-term borrowings | 556,494 |  |  | 621,345 |  |  | 627,386 |  |  | 627,213 |  |  | 626,407 |  |  | (10.4) | % |  | (11.2) | %
| Total Liabilities | 23,028,775 |  |  | 23,083,718 |  |  | 23,691,014 |  |  | 23,386,816 |  |  | 23,263,335 |  |  | (0.2) | % |  | (1.0) | %
| Shareholders' equity | 2,569,535 |  |  | 2,712,680 |  |  | 2,699,818 |  |  | 2,692,958 |  |  | 2,629,655 |  |  | (5.3) | % |  | (2.3) | %
| Total Liabilities and Shareholders' Equity | $ | 25,598,310 |  |  | $ | 25,796,398 |  |  | $ | 26,390,832 |  |  | $ | 26,079,774 |  |  | $ | 25,892,990 |  |  | (0.8) | % |  | (1.1) | %
LOANS, DEPOSITS AND SHORT-TERM BORROWINGS DETAIL: |  |  |  |  |  |  |  |  |  |
Loans, by type: |  |  |  |  |  |  |  |  |  |  |  |
| Real estate - commercial mortgage | $ | 7,289,376 |  |  | $ | 7,279,080 |  |  | $ | 7,145,115 |  |  | $ | 7,152,932 |  |  | $ | 7,142,137 |  |  | 0.1 | % |  | 2.1 | %
| Commercial and industrial | 3,992,285 |  |  | 3,906,791 |  |  | 3,863,154 |  |  | 3,870,462 |  |  | 3,986,858 |  |  | 2.2 | % |  | 0.1 | %
| Real estate - residential mortgage | 3,946,741 |  |  | 3,846,750 |  |  | 3,719,684 |  |  | 3,555,897 |  |  | 3,254,058 |  |  | 2.6 | % |  | 21.3 | %
| Real estate - home equity | 1,098,171 |  |  | 1,118,248 |  |  | 1,126,628 |  |  | 1,136,128 |  |  | 1,149,958 |  |  | (1.8) | % |  | (4.5) | %
| Real estate - construction | 1,210,340 |  |  | 1,139,779 |  |  | 1,111,487 |  |  | 1,070,755 |  |  | 1,083,494 |  |  | 6.2 | % |  | 11.7 | %
| Consumer | 481,551 |  |  | 464,657 |  |  | 458,595 |  |  | 448,433 |  |  | 451,857 |  |  | 3.6 | % |  | 6.6 | %
| Equipment lease financing | 253,521 |  |  | 236,344 |  |  | 242,967 |  |  | 252,158 |  |  | 260,907 |  |  | 7.3 | % |  | (2.8) | %
| Other(2) | 39,857 |  |  | 32,448 |  |  | 11,330 |  |  | (14,410) |  |  | (26,677) |  |  | 22.8 | % |  | N/M
| Net loans before PPP | 18,311,842 |  |  | 18,024,097 |  |  | 17,678,960 |  |  | 17,472,355 |  |  | 17,302,592 |  |  | 1.6 | % |  | 5.8 | %
| PPP | 164,277 |  |  | 301,253 |  |  | 590,447 |  |  | 1,114,401 |  |  | 1,688,394 |  |  | (45.5) | % |  | (90.3) | %
| Total Net Loans | $ | 18,476,119 |  |  | $ | 18,325,350 |  |  | $ | 18,269,407 |  |  | $ | 18,586,756 |  |  | $ | 18,990,986 |  |  | 0.8 | % |  | (2.7) | %
Deposits, by type: |  |  |  |  |  |  |  |  |  |  |  |
| Noninterest-bearing demand | $ | 7,528,391 |  |  | $ | 7,370,963 |  |  | $ | 7,434,155 |  |  | $ | 7,442,132 |  |  | $ | 7,046,116 |  |  | 2.1 | % |  | 6.8 | %
| Interest-bearing demand | 5,625,286 |  |  | 5,819,539 |  |  | 6,187,096 |  |  | 5,795,404 |  |  | 5,959,909 |  |  | (3.3) | % |  | (5.6) | %
| Savings | 6,479,196 |  |  | 6,403,995 |  |  | 6,401,619 |  |  | 6,276,554 |  |  | 6,244,513 |  |  | 1.2 | % |  | 3.8 | %
| Total demand and savings | 19,632,873 |  |  | 19,594,497 |  |  | 20,022,870 |  |  | 19,514,090 |  |  | 19,250,538 |  |  | 0.2 | % |  | 2.0 | %
| Brokered | 248,833 |  |  | 251,526 |  |  | 262,617 |  |  | 277,444 |  |  | 309,873 |  |  | (1.1) | % |  | (19.7) | %
| Time | 1,659,468 |  |  | 1,727,476 |  |  | 1,788,554 |  |  | 1,932,778 |  |  | 2,073,427 |  |  | (3.9) | % |  | (20.0) | %
| Total Deposits | $ | 21,541,174 |  |  | $ | 21,573,499 |  |  | $ | 22,074,041 |  |  | $ | 21,724,312 |  |  | $ | 21,633,838 |  |  | (0.1) | % |  | (0.4) | %
Short-term borrowings, by type: |  |  |  |  |  |  |  |  |  |  |  |
| Customer funding | $ | 452,440 |  |  | $ | 416,764 |  |  | $ | 468,967 |  |  | $ | 533,749 |  |  | $ | 520,989 |  |  | 8.6 | % |  | (13.2) | %
| Total Short-Term Borrowings | $ | 452,440 |  |  | $ | 416,764 |  |  | $ | 468,967 |  |  | $ | 533,749 |  |  | $ | 520,989 |  |  | 8.6 | % |  | (13.2) | %
(1) "ACL - loans" relates to the ACL specifically on "Net Loans" and does not include the ACL related to OBS credit exposures.
(2) Consists of overdrafts and net origination fees and costs.
| N/M - Not meaningful |  |  |  |  |  |  |  |  |  |  |  |  |

8

FULTON FINANCIAL CORPORATION |  |  |  |  |  |
CONDENSED CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED) |  |  |  |  |  |
dollars in thousands |  |  |  |  |  |
|  |  |  | Three Months Ended |  | % Change from |  |  |  |
|  |  |  | Mar 31 |  | Dec 31 |  | Sep 30 |  | Jun 30 |  | Mar 31 |  | Dec 31 |  | Mar 31 |  |  |  |
|  |  |  | 2022 |  | 2021 |  | 2021 |  | 2021 |  | 2021 |  | 2021 |  | 2021 |  |  |  |  |  |
Interest Income: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
| Interest income |  |  | $ | 173,001 |  |  | $ | 177,724 |  |  | $ | 184,079 |  |  | $ | 176,673 |  |  | $ | 184,937 |  |  | (2.7) | % |  | (6.5) | % |  |  |  |  |  |
| Interest expense |  |  | 11,691 |  |  | 12,111 |  |  | 12,809 |  |  | 14,274 |  |  | 20,488 |  |  | (3.5) | % |  | (42.9) | % |  |  |  |  |  |
| Net Interest Income |  |  | 161,310 |  |  | 165,613 |  |  | 171,270 |  |  | 162,399 |  |  | 164,449 |  |  | (2.6) | % |  | (1.9) | % |  |  |  |  |  |
| Provision for credit losses |  |  | (6,950) |  |  | (5,000) |  |  | (600) |  |  | (3,500) |  |  | (5,500) |  |  | 39.0 | % |  | 26.4 | % |  |  |  |  |  |
| Net Interest Income after Provision |  |  | 168,260 |  |  | 170,613 |  |  | 171,870 |  |  | 165,899 |  |  | 169,949 |  |  | (1.4) | % |  | (1.0) | % |  |  |  |  |  |
Non-Interest Income: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
| Commercial banking: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
| Merchant and card |  |  | 6,097 |  |  | 6,588 |  |  | 6,979 |  |  | 6,786 |  |  | 5,768 |  |  | (7.5) | % |  | 5.7 | % |  |  |  |  |  |
| Cash management |  |  | 5,428 |  |  | 5,318 |  |  | 5,285 |  |  | 5,341 |  |  | 4,921 |  |  | 2.1 | % |  | 10.3 | % |  |  |  |  |  |
| Capital markets |  |  | 1,676 |  |  | 2,982 |  |  | 2,063 |  |  | 1,536 |  |  | 2,800 |  |  | (43.8) | % |  | (40.1) | % |  |  |  |  |  |
| Other commercial banking |  |  | 2,807 |  |  | 3,592 |  |  | 2,411 |  |  | 3,466 |  |  | 2,853 |  |  | (21.9) | % |  | (1.6) | % |  |  |  |  |  |
| Total commercial banking |  |  | 16,008 |  |  | 18,480 |  |  | 16,738 |  |  | 17,129 |  |  | 16,342 |  |  | (13.4) | % |  | (2.0) | % |  |  |  |  |  |
| Consumer banking: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
| Card |  |  | 5,796 |  |  | 5,953 |  |  | 5,941 |  |  | 5,733 |  |  | 5,878 |  |  | (2.6) | % |  | (1.4) | % |  |  |  |  |  |
| Overdraft |  |  | 3,772 |  |  | 3,896 |  |  | 3,474 |  |  | 2,750 |  |  | 2,724 |  |  | (3.2) | % |  | 38.5 | % |  |  |  |  |  |
| Other consumer banking |  |  | 2,106 |  |  | 2,280 |  |  | 2,386 |  |  | 2,377 |  |  | 2,152 |  |  | (7.6) | % |  | (2.1) | % |  |  |  |  |  |
| Total consumer banking |  |  | 11,674 |  |  | 12,129 |  |  | 11,801 |  |  | 10,860 |  |  | 10,754 |  |  | (3.8) | % |  | 8.6 | % |  |  |  |  |  |
| Wealth management |  |  | 19,428 |  |  | 18,285 |  |  | 18,532 |  |  | 17,634 |  |  | 17,347 |  |  | 6.3 | % |  | 12.0 | % |  |  |  |  |  |
| Mortgage banking |  |  | 4,576 |  |  | 7,243 |  |  | 9,535 |  |  | 2,838 |  |  | 13,960 |  |  | (36.8) | % |  | (67.2) | % |  |  |  |  |  |
| Other |  |  | 3,551 |  |  | 7,739 |  |  | 5,971 |  |  | 3,393 |  |  | 3,518 |  |  | (54.1) | % |  | 0.9 | % |  |  |  |  |  |
| Non-interest income before investment securities gains |  |  | 55,237 |  |  | 63,876 |  |  | 62,577 |  |  | 51,854 |  |  | 61,921 |  |  | (13.5) | % |  | (10.8) | % |  |  |  |  |  |
| Investment securities gains, net |  |  | 19 |  |  | 5 |  |  | — |  |  | 36 |  |  | 33,475 |  |  | N/M |  | (99.9) | % |  |  |  |  |  |
| Total Non-Interest Income |  |  | 55,256 |  |  | 63,881 |  |  | 62,577 |  |  | 51,890 |  |  | 95,396 |  |  | (13.5) | % |  | (42.1) | % |  |  |  |  |  |
Non-Interest Expense: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
| Salaries and employee benefits |  |  | 84,464 |  |  | 85,506 |  |  | 82,679 |  |  | 78,367 |  |  | 82,586 |  |  | (1.2) | % |  | 2.3 | % |  |  |  |  |  |
| Net occupancy |  |  | 14,522 |  |  | 14,366 |  |  | 12,957 |  |  | 12,494 |  |  | 13,982 |  |  | 1.1 | % |  | 3.9 | % |  |  |  |  |  |
| Data processing and software |  |  | 14,315 |  |  | 14,612 |  |  | 14,335 |  |  | 13,932 |  |  | 13,561 |  |  | (2.0) | % |  | 5.6 | % |  |  |  |  |  |
| Other outside services |  |  | 8,167 |  |  | 9,637 |  |  | 7,889 |  |  | 8,178 |  |  | 8,490 |  |  | (15.3) | % |  | (3.8) | % |  |  |  |  |  |
| Equipment |  |  | 3,423 |  |  | 3,539 |  |  | 3,416 |  |  | 3,424 |  |  | 3,428 |  |  | (3.3) | % |  | (0.1) | % |  |  |  |  |  |
| FDIC insurance |  |  | 3,209 |  |  | 3,032 |  |  | 2,727 |  |  | 2,282 |  |  | 2,624 |  |  | 5.8 | % |  | 22.3 | % |  |  |  |  |  |
| Professional fees |  |  | 1,792 |  |  | 1,946 |  |  | 2,271 |  |  | 2,651 |  |  | 2,779 |  |  | (7.9) | % |  | (35.5) | % |  |  |  |  |  |
| Marketing |  |  | 1,320 |  |  | 1,477 |  |  | 1,448 |  |  | 1,348 |  |  | 1,002 |  |  | (10.6) | % |  | 31.7 | % |  |  |  |  |  |
| Intangible amortization |  |  | 176 |  |  | 146 |  |  | 150 |  |  | 178 |  |  | 115 |  |  | 20.5 | % |  | 53.0 | % |  |  |  |  |  |
| Debt extinguishment |  |  | — |  |  | 674 |  |  | — |  |  | 412 |  |  | 32,163 |  |  | (100.0) | % |  | (100.0) | % |  |  |  |  |  |
| Merger-related expenses |  |  | 401 |  |  | — |  |  | — |  |  | — |  |  | — |  |  | N/M |  | N/M |  |  |  |  |  |
| Other |  |  | 14,189 |  |  | 19,084 |  |  | 16,724 |  |  | 17,565 |  |  | 17,654 |  |  | (25.6) | % |  | (19.6) | % |  |  |  |  |  |
| Total Non-Interest Expense |  |  | 145,978 |  |  | 154,019 |  |  | 144,596 |  |  | 140,831 |  |  | 178,384 |  |  | (5.2) | % |  | (18.2) | % |  |  |  |  |  |
| Income Before Income Taxes |  |  | 77,538 |  |  | 80,475 |  |  | 89,851 |  |  | 76,958 |  |  | 86,961 |  |  | (3.6) | % |  | (10.8) | % |  |  |  |  |  |
| Income tax expense |  |  | 13,250 |  |  | 18,588 |  |  | 14,268 |  |  | 11,994 |  |  | 13,898 |  |  | (28.7) | % |  | (4.7) | % |  |  |  |  |  |
| Net Income |  |  | 64,288 |  |  | 61,887 |  |  | 75,583 |  |  | 64,964 |  |  | 73,063 |  |  | 3.9 | % |  | (12.0) | % |  |  |  |  |  |
| Preferred stock dividends |  |  | (2,562) |  |  | (2,562) |  |  | (2,562) |  |  | (2,562) |  |  | (2,591) |  |  | — | % |  | 1.1 | % |  |  |  |  |  |
| Net Income Available to Common Shareholders |  |  | $ | 61,726 |  |  | $ | 59,325 |  |  | $ | 73,021 |  |  | $ | 62,402 |  |  | $ | 70,472 |  |  | 4.0 | % |  | (12.4) | % |  |  |  |  |  |
PER SHARE: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
| Net income available to common shareholders: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
| Basic |  |  | $0.38 |  |  | $0.37 |  |  | $0.45 |  |  | $0.38 |  |  | $0.43 |  |  | 2.7 | % |  | (11.6) | % |  |  |  |  |  |
| Diluted |  |  | $0.38 |  |  | $0.37 |  |  | $0.45 |  |  | $0.38 |  |  | $0.43 |  |  | 2.7 | % |  | (11.6) | % |  |  |  |  |  |
| Cash dividends |  |  | $0.15 |  |  | $0.22 |  |  | $0.14 |  |  | $0.14 |  |  | $0.14 |  |  | (31.8) | % |  | 7.1 | % |  |  |  |  |  |
| Weighted average shares (basic) |  |  | 160,588 |  |  | 161,210 |  |  | 162,506 |  |  | 162,785 |  |  | 162,441 |  |  | (0.4) | % |  | (1.1) | % |  |  |  |  |  |
| Weighted average shares (diluted) |  |  | 161,911 |  |  | 162,355 |  |  | 163,456 |  |  | 163,858 |  |  | 163,737 |  |  | (0.3) | % |  | (1.1) | % |  |  |  |  |  |

9

FULTON FINANCIAL CORPORATION |  |  |  |  |  |
CONDENSED CONSOLIDATED AVERAGE BALANCE SHEET ANALYSIS (UNAUDITED) |  |  |  |  |
dollars in thousands |  |  |  |  |  |
|  | Three months ended
|  | March 31, 2022 |  | December 31, 2021 |  | March 31, 2021
|  | Average |  | Interest |  | Yield/ |  | Average |  | Interest |  | Yield/ |  | Average |  | Interest |  | Yield/
|  | Balance |  | (1) |  | Rate |  | Balance |  | (1) |  | Rate |  | Balance |  | (1) |  | Rate
ASSETS |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Interest-earning assets: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
| Net loans | $ | 18,383,118 |  |  | $ | 151,127 |  |  | 3.32 | % |  | $ | 18,220,550 |  |  | $ | 159,057 |  |  | 3.47 | % |  | $ | 18,980,586 |  |  | $ | 165,462 |  |  | 3.53 | %
| Taxable investment securities | 3,073,643 |  |  | 15,213 |  |  | 1.71 | % |  | 2,801,934 |  |  | 14,006 |  |  | 1.75 | % |  | 2,438,496 |  |  | 13,691 |  |  | 2.08 | %
| Tax-exempt investment securities | 1,152,709 |  |  | 9,038 |  |  | 3.13 | % |  | 1,120,263 |  |  | 8,418 |  |  | 3.00 | % |  | 911,648 |  |  | 7,156 |  |  | 3.13 | %
| Total Investment Securities | 4,226,352 |  |  | 24,251 |  |  | 2.29 | % |  | 3,922,197 |  |  | 22,424 |  |  | 2.29 | % |  | 3,350,144 |  |  | 20,847 |  |  | 2.49 | %
| Loans held for sale | 28,549 |  |  | 241 |  |  | 3.37 | % |  | 35,235 |  |  | 333 |  |  | 3.77 | % |  | 53,465 |  |  | 471 |  |  | 3.53 | %
| Other interest-earning assets | 1,258,174 |  |  | 671 |  |  | 0.22 | % |  | 2,100,392 |  |  | (905) |  |  | (0.19) | % |  | 1,900,199 |  |  | 1,136 |  |  | 0.24 | %
| Total Interest-Earning Assets | 23,896,193 |  |  | 176,290 |  |  | 2.98 | % |  | 24,278,374 |  |  | 180,909 |  |  | 2.96 | % |  | 24,284,394 |  |  | 187,916 |  |  | 3.13 | %
Noninterest-Earning assets: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
| Cash and due from banks | 162,320 |  |  |  |  |  |  | 211,958 |  |  |  |  |  |  | 120,181 |  |  |  |  |
| Premises and equipment | 219,932 |  |  |  |  |  |  | 226,319 |  |  |  |  |  |  | 230,649 |  |  |  |  |
| Other assets | 1,595,039 |  |  |  |  |  |  | 1,677,028 |  |  |  |  |  |  | 1,728,473 |  |  |  |  |
| Less: ACL - loans(2) | (251,022) |  |  |  |  |  |  | (257,143) |  |  |  |  |  |  | (280,881) |  |  |  |  |
| Total Assets | $ | 25,622,462 |  |  |  |  |  |  | $ | 26,136,536 |  |  |  |  |  |  | $ | 26,082,816 |  |  |  |  |
LIABILITIES AND SHAREHOLDERS' EQUITY |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Interest-Bearing liabilities: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
| Demand deposits | $ | 5,664,987 |  |  | $ | 728 |  |  | 0.05 | % |  | $ | 5,933,780 |  |  | $ | 756 |  |  | 0.05 | % |  | $ | 5,832,174 |  |  | $ | 1,160 |  |  | 0.08 | %
| Savings deposits | 6,436,548 |  |  | 1,021 |  |  | 0.06 | % |  | 6,413,638 |  |  | 992 |  |  | 0.06 | % |  | 6,137,084 |  |  | 1,526 |  |  | 0.10 | %
| Brokered deposits | 250,350 |  |  | 216 |  |  | 0.35 | % |  | 256,192 |  |  | 220 |  |  | 0.34 | % |  | 324,364 |  |  | 395 |  |  | 0.49 | %
| Time deposits | 1,697,063 |  |  | 3,640 |  |  | 0.87 | % |  | 1,756,672 |  |  | 3,928 |  |  | 0.89 | % |  | 2,150,570 |  |  | 6,521 |  |  | 1.23 | %
| Total Interest-Bearing Deposits | 14,048,948 |  |  | 5,605 |  |  | 0.16 | % |  | 14,360,282 |  |  | 5,896 |  |  | 0.16 | % |  | 14,444,192 |  |  | 9,602 |  |  | 0.27 | %
| Short-term borrowings | 423,949 |  |  | 121 |  |  | 0.12 | % |  | 474,022 |  |  | 128 |  |  | 0.11 | % |  | 570,775 |  |  | 188 |  |  | 0.13 | %
| Long-term borrowings | 609,866 |  |  | 5,966 |  |  | 3.91 | % |  | 623,073 |  |  | 6,088 |  |  | 3.91 | % |  | 1,271,170 |  |  | 10,698 |  |  | 3.38 | %
| Total Interest-Bearing Liabilities | 15,082,763 |  |  | 11,692 |  |  | 0.31 | % |  | 15,457,377 |  |  | 12,112 |  |  | 0.31 | % |  | 16,286,137 |  |  | 20,488 |  |  | 0.51 | %
Noninterest-Bearing liabilities: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
| Demand deposits | 7,431,235 |  |  |  |  |  |  | 7,516,656 |  |  |  |  |  |  | 6,672,832 |  |  |  |  |
| Other | 419,630 |  |  |  |  |  |  | 449,305 |  |  |  |  |  |  | 486,749 |  |  |  |  |
| Total Liabilities | 22,933,628 |  |  |  |  |  |  | 23,423,338 |  |  |  |  |  |  | 23,445,718 |  |  |  |  |
| Total Deposits/Cost of Deposits | 21,480,183 |  |  |  |  | 0.11 | % |  | 21,876,938 |  |  |  |  | 0.11 | % |  | 21,117,024 |  |  |  |  | 0.18 | %
| Total interest-bearing liabilities and non-interest bearing deposits ("Cost of Funds") | 22,513,998 |  |  |  |  | 0.21 | % |  | 22,974,033 |  |  |  |  | 0.21 | % |  | 22,958,969 |  |  |  |  | 0.36 | %
| Shareholders' equity | 2,688,834 |  |  |  |  |  |  | 2,713,198 |  |  |  |  |  |  | 2,637,098 |  |  |  |  |
| Total Liabilities and Shareholders' Equity | $ | 25,622,462 |  |  |  |  |  |  | $ | 26,136,536 |  |  |  |  |  |  | $ | 26,082,816 |  |  |  |  |
| Net interest income/net interest margin (fully taxable equivalent) |  |  | 164,598 |  |  | 2.78 | % |  |  |  | 168,797 |  |  | 2.77 | % |  |  |  | 167,428 |  |  | 2.79 | %
| Tax equivalent adjustment |  |  | (3,288) |  |  |  |  |  |  | (3,184) |  |  |  |  |  |  | (2,979) |  |  |
| Net Interest Income |  |  | $ | 161,310 |  |  |  |  |  |  | $ | 165,613 |  |  |  |  |  |  | $ | 164,449 |  |  |
| (1) Presented on a fully taxable-equivalent basis using a 21% federal tax rate and statutory interest expense disallowances.
| (2) "ACL - loans" relates to the ACL specifically on "Net Loans" and does not include the ACL related to OBS credit exposures.

10

FULTON FINANCIAL CORPORATION
AVERAGE LOANS, DEPOSITS AND SHORT-TERM BORROWINGS DETAIL (UNAUDITED):
dollars in thousands
|  | Three months ended |  | % Change from
|  | Mar 31 |  | Dec 31 |  | Sep 30 |  | Jun 30 |  | Mar 31 |  | Dec 31 |  | Mar 31
|  | 2022 |  | 2021 |  | 2021 |  | 2021 |  | 2021 |  | 2021 |  | 2021
Loans, by type: |  |  |  |  |  |  |  |  |  |  |  |  |
| Real estate - commercial mortgage | $ | 7,294,914 |  |  | $ | 7,157,906 |  |  | $ | 7,134,177 |  |  | $ | 7,177,622 |  |  | $ | 7,128,997 |  |  | 1.9 | % |  | 2.3 | %
| Commercial and industrial | 3,986,900 |  |  | 3,898,559 |  |  | 3,878,767 |  |  | 3,920,771 |  |  | 4,033,367 |  |  | 2.3 | % |  | (1.2) | %
| Real estate - residential mortgage | 3,887,428 |  |  | 3,773,156 |  |  | 3,642,822 |  |  | 3,396,690 |  |  | 3,183,585 |  |  | 3.0 | % |  | 22.1 | %
| Real estate - home equity | 1,106,319 |  |  | 1,122,042 |  |  | 1,128,076 |  |  | 1,139,558 |  |  | 1,175,218 |  |  | (1.4) | % |  | (5.9) | %
| Real estate - construction | 1,137,649 |  |  | 1,117,592 |  |  | 1,085,846 |  |  | 1,054,469 |  |  | 1,054,718 |  |  | 1.8 | % |  | 7.9 | %
| Consumer | 471,129 |  |  | 462,346 |  |  | 452,844 |  |  | 451,486 |  |  | 459,038 |  |  | 1.9 | % |  | 2.6 | %
| Equipment lease financing | 236,388 |  |  | 238,349 |  |  | 247,776 |  |  | 256,248 |  |  | 266,405 |  |  | (0.8) | % |  | (11.3) | %
| Other(1) | 36,277 |  |  | 15,558 |  |  | (6,773) |  |  | (14,677) |  |  | (9,455) |  |  | 133.2 | % |  | N/M
| Net loans before PPP | 18,157,004 |  |  | 17,785,508 |  |  | 17,563,535 |  |  | 17,382,167 |  |  | 17,291,873 |  |  | 2.1 | % |  | 5.0 | %
| PPP | 226,114 |  |  | 435,042 |  |  | 850,618 |  |  | 1,524,389 |  |  | 1,688,713 |  |  | (48.0) | % |  | (86.6) | %
| Total Net Loans | $ | 18,383,118 |  |  | $ | 18,220,550 |  |  | $ | 18,414,153 |  |  | $ | 18,906,556 |  |  | $ | 18,980,586 |  |  | 0.9 | % |  | (3.1) | %
Deposits, by type: |  |  |  |  |  |  |  |  |  |  |  |  |
| Noninterest-bearing demand | $ | 7,431,235 |  |  | $ | 7,516,656 |  |  | $ | 7,439,644 |  |  | $ | 7,203,696 |  |  | $ | 6,672,832 |  |  | (1.1) | % |  | 11.4 | %
| Interest-bearing demand | 5,664,987 |  |  | 5,933,780 |  |  | 6,168,908 |  |  | 5,979,855 |  |  | 5,832,174 |  |  | (4.5) | % |  | (2.9) | %
| Savings | 6,436,548 |  |  | 6,413,638 |  |  | 6,392,537 |  |  | 6,280,629 |  |  | 6,137,084 |  |  | 0.4 | % |  | 4.9 | %
| Total demand and savings | 19,532,770 |  |  | 19,864,074 |  |  | 20,001,089 |  |  | 19,464,180 |  |  | 18,642,090 |  |  | (1.7) | % |  | 4.8 | %
| Brokered | 250,350 |  |  | 256,192 |  |  | 270,168 |  |  | 297,815 |  |  | 324,364 |  |  | (2.3) | % |  | (22.8) | %
| Time | 1,697,063 |  |  | 1,756,672 |  |  | 1,852,223 |  |  | 2,003,606 |  |  | 2,150,570 |  |  | (3.4) | % |  | (21.1) | %
| Total Deposits | $ | 21,480,183 |  |  | $ | 21,876,938 |  |  | $ | 22,123,480 |  |  | $ | 21,765,601 |  |  | $ | 21,117,024 |  |  | (1.8) | % |  | 1.7 | %
Short-term borrowings, by type: |  |  |  |  |  |  |  |  |  |  |  |  |
| Customer funding | $ | 423,949 |  |  | $ | 474,022 |  |  | $ | 494,811 |  |  | $ | 514,025 |  |  | $ | 570,775 |  |  | (10.6) | % |  | (25.7) | %
| Total Short-Term borrowings | $ | 423,949 |  |  | $ | 474,022 |  |  | $ | 494,811 |  |  | $ | 514,025 |  |  | $ | 570,775 |  |  | (10.6) | % |  | (25.7) | %
(1) Consists of overdrafts and net origination fees and costs. |  |  |  |

11

FULTON FINANCIAL CORPORATION |  |  |  |  |  |  |  |  |
ASSET QUALITY INFORMATION (UNAUDITED) |  |  |  |  |  |  |  |  |
dollars in thousands |  |  |  |  |  |  |  |  |
|  | Three months ended |  |  |
|  | Mar 31 |  | Dec 31 |  | Sep 30 |  | Jun 30 |  | Mar 31 |  |  |  |  |
|  | 2022 |  | 2021 |  | 2021 |  | 2021 |  | 2021 |  |  |  |  |
Allowance for credit losses related to net loans: |  |  |  |  |  |  |  |  |  |  |  |  |
Balance at beginning of period | $ | 249,001 |  |  | $ | 256,727 |  |  | $ | 255,032 |  |  | $ | 265,986 |  |  | $ | 277,567 |  |  |  |  |  |
| Loans charged off: |  |  |  |  |  |  |  |  |  |  |  |  |  |
| Commercial and industrial | (227) |  |  | (9,417) |  |  | (647) |  |  | (954) |  |  | (4,319) |  |  |  |  |  |
| Real estate - commercial mortgage | (152) |  |  | (369) |  |  | (14) |  |  | (6,506) |  |  | (1,837) |  |  |  |  |  |
| Consumer and home equity | (1,052) |  |  | (828) |  |  | (504) |  |  | (1,130) |  |  | (847) |  |  |  |  |  |
| Real estate - residential mortgage | — |  |  | — |  |  | (602) |  |  | (496) |  |  | (192) |  |  |  |  |  |
| Real estate - construction | — |  |  | — |  |  | — |  |  | — |  |  | (39) |  |  |  |  |  |
| Equipment lease financing and other | (469) |  |  | (380) |  |  | (467) |  |  | (436) |  |  | (968) |  |  |  |  |  |
| Total loans charged off | (1,900) |  |  | (10,994) |  |  | (2,234) |  |  | (9,522) |  |  | (8,202) |  |  |  |  |  |
Recoveries of loans previously charged off: |  |  |  |  |  |  |  |  |  |  |  |  |  |
| Commercial and industrial | 1,980 |  |  | 5,795 |  |  | 2,330 |  |  | 693 |  |  | 769 |  |  |  |  |  |
| Real estate - commercial mortgage | 112 |  |  | 1,007 |  |  | 564 |  |  | 729 |  |  | 174 |  |  |  |  |  |
| Consumer and home equity | 454 |  |  | 767 |  |  | 504 |  |  | 634 |  |  | 440 |  |  |  |  |  |
| Real estate - residential mortgage | 222 |  |  | 89 |  |  | 86 |  |  | 105 |  |  | 95 |  |  |  |  |  |
| Real estate - construction | 32 |  |  | 77 |  |  | 697 |  |  | 254 |  |  | 384 |  |  |  |  |  |
| Equipment lease financing and other | 154 |  |  | 283 |  |  | 358 |  |  | 153 |  |  | 159 |  |  |  |  |  |
| Recoveries of loans previously charged off | 2,954 |  |  | 8,018 |  |  | 4,539 |  |  | 2,568 |  |  | 2,021 |  |  |  |  |  |
Net loans recovered (charged off) | 1,054 |  |  | (2,976) |  |  | 2,305 |  |  | (6,954) |  |  | (6,181) |  |  |  |  |  |
Provision for credit losses | (6,350) |  |  | (4,750) |  |  | (610) |  |  | (4,000) |  |  | (5,400) |  |  |  |  |  |
Balance at end of period | $ | 243,705 |  |  | $ | 249,001 |  |  | $ | 256,727 |  |  | $ | 255,032 |  |  | $ | 265,986 |  |  |  |  |  |
Net (recoveries) charge offs to average loans (annualized) | (0.02) | % |  | 0.07 | % |  | (0.05) | % |  | 0.15 | % |  | 0.13 | % |  |  |  |  |
Allowance credit losses related to OBS Credit Exposures(1) |  |  |  |  |  |  |  |  |  |
| Balance at beginning of period | $ | 14,533 |  |  | $ | 14,783 |  |  | $ | 14,773 |  |  | $ | 14,273 |  |  | $ | 14,373 |  |  |  |  |  |
| Provision for credit losses | (600) |  |  | (250) |  |  | 10 |  |  | 500 |  |  | (100) |  |  |  |  |  |
| Balance at end of period | $ | 13,933 |  |  | $ | 14,533 |  |  | $ | 14,783 |  |  | $ | 14,773 |  |  | $ | 14,273 |  |  |  |  |  |
NON-PERFORMING ASSETS: |  |  |  |  |  |  |  |  |  |  |  |  |
| Non-accrual loans | $ | 136,799 |  |  | $ | 143,666 |  |  | $ | 138,833 |  |  | $ | 147,864 |  |  | $ | 143,889 |  |  |  |  |  |
| Loans 90 days past due and accruing | 24,182 |  |  | 8,453 |  |  | 11,389 |  |  | 5,865 |  |  | 8,559 |  |  |  |  |  |
| Total non-performing loans | 160,981 |  |  | 152,119 |  |  | 150,222 |  |  | 153,729 |  |  | 152,448 |  |  |  |  |  |
| Other real estate owned | 2,014 |  |  | 1,817 |  |  | 1,896 |  |  | 2,779 |  |  | 3,664 |  |  |  |  |  |
| Total non-performing assets | $ | 162,995 |  |  | $ | 153,936 |  |  | $ | 152,118 |  |  | $ | 156,508 |  |  | $ | 156,112 |  |  |  |  |  |
NON-PERFORMING LOANS, BY TYPE: |  |  |  |  |  |  |  |  |  |  |  |  |
| Commercial and industrial | $ | 30,193 |  |  | $ | 30,629 |  |  | $ | 32,697 |  |  | $ | 33,522 |  |  | $ | 31,871 |  |  |  |  |  |
| Real estate - commercial mortgage | 64,190 |  |  | 54,044 |  |  | 52,100 |  |  | 53,693 |  |  | 54,164 |  |  |  |  |  |
| Real estate - residential mortgage | 39,308 |  |  | 39,399 |  |  | 37,077 |  |  | 38,185 |  |  | 36,152 |  |  |  |  |  |
| Consumer and home equity | 11,465 |  |  | 11,505 |  |  | 11,509 |  |  | 11,408 |  |  | 13,072 |  |  |  |  |  |
| Real estate - construction | 672 |  |  | 901 |  |  | 965 |  |  | 1,016 |  |  | 1,440 |  |  |  |  |  |
| Equipment lease financing and other | 15,153 |  |  | 15,641 |  |  | 15,874 |  |  | 15,905 |  |  | 15,749 |  |  |  |  |  |
| Total non-performing loans | $ | 160,981 |  |  | $ | 152,119 |  |  | $ | 150,222 |  |  | $ | 153,729 |  |  | $ | 152,448 |  |  |  |  |  |
(1) The allowance for credit losses related to OBS Credit Exposures is presented in "other liabilities" on the consolidated balance sheets. |  |  |  |  |

12

FULTON FINANCIAL CORPORATION |  |  |  |
RECONCILIATION OF NON-GAAP MEASURES (UNAUDITED) |  |  |  |
in thousands, except per share data and percentages |  |  |  |
Explanatory note: | This press release contains supplemental financial information, as detailed below, which has been derived by methods other than Generally Accepted Accounting Principles ("GAAP"). The Corporation has presented these non-GAAP financial measures because it believes that these measures provide useful and comparative information to assess trends in the Corporation's results of operations. Presentation of these non-GAAP financial measures is consistent with how the Corporation evaluates its performance internally and these non-GAAP financial measures are frequently used by securities analysts, investors and other interested parties in the evaluation of companies in the Corporation's industry. Management believes that these non-GAAP financial measures, in addition to GAAP measures, are also useful to investors to evaluate the Corporation's results. Investors should recognize that the Corporation's presentation of these non-GAAP financial measures might not be comparable to similarly-titled measures of other companies. These non-GAAP financial measures should not be considered a substitute for GAAP basis measures, and the Corporation strongly encourages a review of its condensed consolidated financial statements in their entirety. Reconciliations of these non-GAAP financial measures to the most directly comparable GAAP measure follow: |  |  |  |
|  |  |  |  |  |  | Three months ended |  |
|  |  |  |  |  |  | Mar 31 |  | Dec 31 |  | Sep 30 |  | Jun 30 |  | Mar 31 |  |  |  |
|  |  |  |  |  |  | 2022 |  | 2021 |  | 2021 |  | 2021 |  | 2021 |  |  |  |
Common shareholders' equity (tangible), per share |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Shareholders' equity |  |  | $ | 2,569,535 |  | $ | 2,712,680 |  | $ | 2,699,818 |  | $ | 2,692,958 |  | $ | 2,629,655 |  |  |  |
Less: Preferred stock |  |  | (192,878) |  | (192,878) |  | (192,878) |  | (192,878) |  | (192,878) |  |  |  |
Less: Goodwill and intangible assets |  |  | (537,877) |  | (538,053) |  | (536,697) |  | (536,847) |  | (536,544) |  |  |  |
Tangible common shareholders' equity (numerator) |  |  | $ | 1,838,780 |  | $ | 1,981,749 |  | $ | 1,970,243 |  | $ | 1,963,233 |  | $ | 1,900,233 |  |  |  |
Shares outstanding, end of period (denominator) |  |  | 160,669 |  | 160,490 |  | 161,429 |  | 162,988 |  | 162,518 |  |  |  |
Common shareholders' equity (tangible), per share |  |  | $ | 11.44 |  | $ | 12.35 |  | $ | 12.21 |  | $ | 12.05 |  | $ | 11.69 |  |  |  |
Return on average common shareholders' equity (tangible) |  |  |  |  |  |  |  |  |  |
Net income available to common shareholders |  |  | $ | 61,726 |  | $ | 59,325 |  | $ | 73,021 |  | $ | 62,402 |  | $ | 70,472 |  |  |  |
Plus: Merger-related expenses, net of tax |  |  |  | 317 |  | — |  | — |  | — |  | — |  |  |  |
Plus: Intangible amortization, net of tax |  |  | 138 |  | 114 |  | 118 |  | 140 |  | 90 |  |  |  |
Net income available to common shareholder's (numerator) |  | $ | 62,181 |  | $ | 59,439 |  | $ | 73,139 |  | $ | 62,542 |  | $ | 70,562 |  |  |  |
Average shareholders' equity |  |  | $ | 2,688,834 |  | $ | 2,713,198 |  | $ | 2,722,833 |  | $ | 2,669,413 |  | $ | 2,637,098 |  |  |  |
Less: Average preferred stock |  |  | (192,878) |  | (192,878) |  | (192,878) |  | (192,878) |  | (192,878) |  |  |  |
Less: Average goodwill and intangible assets |  |  | (537,976) |  | (536,638) |  | (536,772) |  | (536,470) |  | (536,601) |  |  |  |
Average tangible common shareholders' equity (denominator) |  | $ | 1,957,980 |  | $ | 1,983,682 |  | $ | 1,993,183 |  | $ | 1,940,065 |  | $ | 1,907,619 |  |  |  |
Return on average common shareholders' equity (tangible), annualized |  | 12.88% |  | 11.89% |  | 14.56% |  | 12.93% |  | 15.00% |  |  |  |
Tangible common equity to tangible assets (TCE Ratio) |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Shareholders' equity |  |  | $ | 2,569,535 |  | $ | 2,712,680 |  | $ | 2,699,818 |  | $ | 2,692,958 |  | $ | 2,629,655 |  |  |  |
Less: Preferred stock |  |  | (192,878) |  | (192,878) |  | (192,878) |  | (192,878) |  | (192,878) |  |  |  |
Less: Goodwill and intangible assets |  |  | (537,877) |  | (538,053) |  | (536,697) |  | (536,847) |  | (536,544) |  |  |  |
Tangible common shareholders' equity (numerator) |  |  | $ | 1,838,780 |  | $ | 1,981,749 |  | $ | 1,970,243 |  | $ | 1,963,233 |  | $ | 1,900,233 |  |  |  |
Total assets |  |  |  |  |  |  | $ | 25,598,310 |  | $ | 25,796,398 |  | $ | 26,390,832 |  | $ | 26,079,774 |  | $ | 25,892,990 |  |  |  |
Less: Goodwill and intangible assets |  |  | (537,877) |  | (538,053) |  | (536,697) |  | (536,847) |  | (536,544) |  |  |  |
Total tangible assets (denominator) |  |  | $ | 25,060,433 |  | $ | 25,258,345 |  | $ | 25,854,135 |  | $ | 25,542,927 |  | $ | 25,356,446 |  |  |  |
Tangible common equity to tangible assets |  |  | 7.34% |  | 7.85% |  | 7.62% |  | 7.69% |  | 7.49% |  |  |  |
Efficiency ratio |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Non-interest expense |  |  | $ | 145,978 |  | $ | 154,019 |  | $ | 144,596 |  | $ | 140,831 |  | $ | 178,384 |  |  |  |
Less: Amortization of tax credit investments |  |  | (696) |  | (1,547) |  | (1,546) |  | (1,563) |  | (1,531) |  |  |  |
Less: Merger-related expenses |  |  | (401) |  | — |  | — |  | — |  | — |  |  |  |
Less: Intangible amortization |  |  | (176) |  | (146) |  | (150) |  | (178) |  | (115) |  |  |  |
Less: Debt extinguishment costs |  |  | — |  | (674) |  | — |  | (412) |  | (32,163) |  |  |  |
Non-interest expense (numerator) |  |  | $ | 144,705 |  | $ | 151,652 |  | $ | 142,900 |  | $ | 138,678 |  | $ | 144,575 |  |  |  |
Net interest income |  |  | $ | 161,310 |  | $ | 165,613 |  | $ | 171,270 |  | $ | 162,399 |  | $ | 164,449 |  |  |  |
Tax equivalent adjustment |  |  | 3,288 |  | 3,184 |  | 3,114 |  | 3,018 |  | 2,979 |  |  |  |
Plus: Total non-interest income |  |  | 55,256 |  | 63,881 |  | 62,577 |  | 51,890 |  | 95,396 |  |  |  |
Less: Investment securities gains, net |  |  | (19) |  | (5) |  | — |  | (36) |  | (33,475) |  |  |  |
Total revenue (denominator) |  |  | $ | 219,835 |  | $ | 232,673 |  | $ | 236,961 |  | $ | 217,271 |  | $ | 229,349 |  |  |  |
Efficiency ratio |  |  | 65.8% |  | 65.2% |  | 60.3% |  | 63.8% |  | 63.0% |  |  |  |

13

|  |  |  |  |  |  | Three months ended |  |  |  |
|  |  |  |  |  |  | Mar 31 |  | Dec 31 |  | Sep 30 |  | Jun 30 |  | Mar 31 |  |  |  |
|  |  |  |  |  |  | 2022 |  | 2021 |  | 2021 |  | 2021 |  | 2021 |  |  |  |
Non-interest expenses to total average assets (annualized) |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Non-interest expense |  |  | $ | 145,978 |  | $ | 154,019 |  | $ | 144,596 |  | $ | 140,831 |  | $ | 178,384 |  |  |  |
Less: Amortization of tax credit investments |  |  | (696) |  | (1,547) |  | (1,546) |  | (1,563) |  | (1,531) |  |  |  |
Less: Intangible amortization |  |  | (176) |  | (146) |  | (150) |  | (178) |  | (115) |  |  |  |
Less: Merger-related expenses |  |  | (401) |  | — |  | — |  | — |  | — |  |  |  |
Less: Debt extinguishment costs |  |  | — |  | (674) |  | — |  | (412) |  | (32,163) |  |  |  |
Non-interest expense (numerator) |  |  | $ | 144,705 |  | $ | 151,652 |  | $ | 142,900 |  | $ | 138,678 |  | $ | 144,575 |  |  |  |
Total average assets (denominator) |  |  | $ | 25,622,462 |  |  | $ | 26,136,536 |  |  | $ | 26,440,876 |  |  | $ | 26,017,542 |  |  | $ | 26,082,816 |  |  |  |  |
Non-interest expenses to total average assets, (annualized) |  |  | 2.29 | % |  | 2.30 | % |  | 2.14 | % |  | 2.14 | % |  | 2.25 | % |  |  |  |
Asset Quality, excluding PPP |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Net loans recovered (charged-off) (numerator) |  |  | $ | 1,054 |  | $ | (2,976) |  | $ | 2,305 |  | $ | (6,954) |  | $ | (6,181) |  |  |  |
Average net loans |  |  | $ | 18,383,118 |  | $ | 18,220,550 |  | $ | 18,414,153 |  | $ | 18,906,556 |  | $ | 18,980,586 |  |  |  |
Less: Average PPP loans |  |  | (226,114) |  |  | (435,042) |  |  | (850,618) |  |  | (1,524,389) |  |  | (1,688,713) |  |  |  |  |
Total adjusted average loans (denominator) |  |  | $ | 18,157,004 |  | $ | 17,785,508 |  | $ | 17,563,535 |  | $ | 17,382,167 |  | $ | 17,291,873 |  |  |  |
Net charge-offs (recoveries) to adjusted average loans (annualized) |  |  | (0.02)% |  | 0.07% |  | (0.05)% |  | 0.16% |  | 0.14% |  |  |  |
Non-performing loans (numerator) |  |  | $ | 160,981 |  | $ | 152,119 |  | $ | 150,222 |  | $ | 153,729 |  | $ | 152,448 |  |  |  |
Net loans |  |  | $ | 18,476,119 |  | $ | 18,325,350 |  | $ | 18,269,407 |  | $ | 18,586,756 |  | $ | 18,990,986 |  |  |  |
Less: PPP loans |  |  | (164,277) |  | (301,253) |  | (590,447) |  | (1,114,401) |  | (1,688,394) |  |  |  |
Total adjusted loans (denominator) |  |  | $ | 18,311,842 |  | $ | 18,024,097 |  | $ | 17,678,960 |  | $ | 17,472,355 |  | $ | 17,302,592 |  |  |  |
Non-performing loans to total adjusted loans |  |  | 0.88% |  | 0.84% |  | 0.85% |  | 0.88% |  | 0.88% |  |  |  |
ACL - loans (numerator) |  |  | $ | 243,705 |  | $ | 249,001 |  | $ | 256,727 |  | $ | 255,032 |  | $ | 265,986 |  |  |  |
Net loans |  |  | $ | 18,476,119 |  | $ | 18,325,350 |  | $ | 18,269,407 |  | $ | 18,586,756 |  | $ | 18,990,986 |  |  |  |
Less: PPP loans |  |  | (164,277) |  |  | (301,253) |  |  | (590,447) |  | (1,114,401) |  | (1,688,394) |  |  |  |
Total adjusted loans (denominator) |  |  | $ | 18,311,842 |  | $ | 18,024,097 |  | $ | 17,678,960 |  | $ | 17,472,355 |  | $ | 17,302,592 |  |  |  |
ACL - loans to total adjusted loans |  |  | 1.33% |  | 1.38% |  | 1.45% |  | 1.46% |  | 1.54% |  |  |  |
Pre-provision net revenue |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Net interest income |  |  |  |  | $ | 161,310 |  | $ | 165,613 |  | $ | 171,270 |  | $ | 162,399 |  | $ | 164,449 |  |  |  |
Non-interest income |  |  |  |  | 55,256 |  | 63,881 |  | 62,577 |  | 51,890 |  | 95,396 |  |  |  |
Less: Investment securities gains, net |  |  |  |  | (19) |  | (5) |  | — |  | (36) |  | (33,475) |  |  |  |
Total revenue |  |  |  |  | $ | 216,547 |  | $ | 229,489 |  | $ | 233,847 |  | $ | 214,253 |  | $ | 226,370 |  |  |  |
Non-interest expense |  |  |  |  | $ | 145,978 |  | $ | 154,019 |  | $ | 144,596 |  | $ | 140,831 |  | $ | 178,384 |  |  |  |
Less: Amortization on tax credit investments |  |  |  |  | (696) |  | (1,547) |  | (1,546) |  | (1,563) |  | (1,531) |  |  |  |
Less: Merger-related expenses |  |  | (401) |  | — |  | — |  | — |  | — |  |  |  |
Less: Intangible amortization |  |  |  |  | (176) |  | (146) |  | (150) |  | (178) |  | (115) |  |  |  |
Less: Debt extinguishment |  |  |  |  | — |  | (674) |  | — |  | (412) |  | (32,163) |  |  |  |
Total non-interest expense |  |  |  |  | $ | 144,705 |  | $ | 151,652 |  | $ | 142,900 |  | $ | 138,678 |  | $ | 144,575 |  |  |  |
Pre-provision net revenue |  |  |  |  | $ | 71,842 |  | $ | 77,837 |  | $ | 90,947 |  | $ | 75,575 |  | $ | 81,795 |  |  |  |
Note: numbers may not sum due to rounding. |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |

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