EX-99.2 3 a4q19investorpresenation.htm EXHIBIT 99.2
Full Year 2019 Todd Brice Chief Executive Officer Dave Antolik President Mark Kochvar Chief Financial Officer MEMBERMEMBER FDIC FDIC

Forward Looking Statement and Risk Factors This presentation contains or incorporates statements that we believe are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements generally relate to our financial condition, results of operations, plans, objectives, outlook for earnings, revenues, expenses, capital and liquidity levels and ratios, asset levels, asset quality, financial position, and other matters regarding or affecting S&T and its future business and operations. Forward looking statements are typically identified by words or phrases such as “will likely result”, “expect”, “anticipate”, “estimate”, “forecast”, “project”, “intend”, “ believe”, “assume”, “strategy”, “trend”, “plan”, “outlook”, “outcome”, “continue”, “remain”, “potential”, “opportunity”, “believe”, “comfortable”, “current”, “position”, “maintain”, “sustain”, “seek”, “achieve” and variations of such words and similar expressions, or future or conditional verbs such as will, would, should, could or may. Although we believe the assumptions upon which these forward-looking statements are based are reasonable, any of these assumptions could prove to be inaccurate and the forward- looking statements based on these assumptions could be incorrect. The matters discussed in these forward-looking statements are subject to various risks, uncertainties and other factors that could cause actual results and trends to differ materially from those made, projected, or implied in or by the forward-looking statements depending on a variety of uncertainties or other factors including, but not limited to: credit losses; cyber-security concerns; rapid technological developments and changes; sensitivity to the interest rate environment including a prolonged period of low interest rates, a rapid increase in interest rates or a change in the shape of the yield curve; a change in spreads on interest-earning assets and interest-bearing liabilities; regulatory supervision and oversight; legislation affecting the financial services industry as a whole, and S&T, in particular; the outcome of pending and future litigation and governmental proceedings; increasing price and product/service competition; the ability to continue to introduce competitive new products and services on a timely, cost-effective basis; managing our internal growth and acquisitions; the possibility that the anticipated benefits from acquisitions cannot be fully realized in a timely manner or at all, or that integrating the acquired operations will be more difficult, disruptive or costly than anticipated; containing costs and expenses; reliance on significant customer relationships; general economic or business conditions; deterioration of the housing market and reduced demand for mortgages; deterioration in the overall macroeconomic conditions or the state of the banking industry that could warrant further analysis of the carrying value of goodwill and could result in an adjustment to its carrying value resulting in a non-cash charge to net income; re- emergence of turbulence in significant portions of the global financial and real estate markets that could impact our performance, both directly, by affecting our revenues and the value of our assets and liabilities, and indirectly, by affecting the economy generally and access to capital in the amounts, at the times and on the terms required to support our future businesses. Many of these factors, as well as other factors, are described in our filings with the SEC. Forward-looking statements are based on beliefs and assumptions using information available at the time the statements are made. We caution you not to unduly rely on forward-looking statements because the assumptions, beliefs, expectations and projections about future events may, and often do, differ materially from actual results. Any forward-looking statement speaks only as to the date on which it is made, and we undertake no obligation to update any forward-looking statement to reflect developments occurring after the statement is made. Non-GAAP Financial Measures In addition to the results of operations presented in accordance with Generally Accepted Accounting Principles (GAAP), S&T management uses and this presentation contains or references certain non-GAAP financial measures, such as net interest income on a fully taxable equivalent basis. S&T believes these financial measures provide information useful to investors in understanding our operational performance and business and performance trends which facilitate comparisons with the performance of others in the financial services industry. Although S&T believes that these non-GAAP financial measures enhance investors’ understanding of S&T’s business and performance, these non-GAAP financial measures should not be considered an alternative to GAAP. The non-GAAP financial measures contained therein should be read in conjunction with the audited financial statements and analysis as presented in the Annual Report on Form 10-K as well as the unaudited financial statements and analyses as presented in the respective Quarterly Reports in Exhibit 99.1 of Form 8-K for S&T Bancorp, Inc. and subsidiaries. MEMBER FDIC 2

Corporate Profile • Headquartered in Indiana, PA • $8.8 billion in assets (as of 12.31.19) • $1.6 billion market cap (as of 12.31.19) • Locations in 5 markets • Stock symbol: STBA MEMBER FDIC 3

2019 Highlights MEMBER FDIC 4

2019 Highlights MEMBER FDIC 5

STBA Investment Thesis STBA Investment Thesis The Right Size • Above peer performance • Big enough to: • Demonstrated expense • Provide full complement of discipline and efficiency products and services • Organic growth • Access technology • Strategic and effective mergers • Access capital markets and expansion • Attract talent • Exposure to five regional • Expand - mergers and markets acquisitions/de novo • Small enough to: • Stay close to our customers • Understand our markets • Be responsive MEMBER FDIC 6

Strategic Goals • Remain a high performing, independent, regional community bank • Follow a disciplined approach focused on organic growth • Continue to enhance our market-based growth platform focused on the unique opportunities in our 5 distinct markets • Continue to improve the effectiveness and efficiency of our lines of business • Build on the S&T brand strength, drive demand, and enhance our digital capabilities • Pursue and integrate M&A opportunities that align with our strategic objectives MEMBER FDIC 7

Performance Return on Average Assets Return on Average Equity 1.8% 1.6% 1.50% 1.45%(3) 15.0% 1.4% 1.22%(2) 12.5% 11.60% (3) 1.2% 1.13% 1.08% 9.90%(2) 10.92% Peer(1) 8.94% 8.67% Peer(1) 1.0% 1.32% 10.0% 0.8% 1.03% 7.5% 9.98% 8.37% 0.6% 5.0% 0.4% 0.2% 2.5% 0.0% 0.0% 2015 2016 2017 2018 2019 2015 2016 2017 2018 2019 Return on Average Tangible Equity(4) 20.0% 17.14% (3) 15.08%(2) 15.76% 15.0% 14.39% 13.71% Peer(1) 10.0% 14.41% 12.77% 5.0% 0.0% 2015 2016 2017 2018 2019 (1) BHCPR Peer Group 2: Bank Holding Companies with $3-10 billion of assets through 3Q19. (2)This is a non-GAAP number that adjusts for the effects of a one-time, non-cash re-measurement of $13.4 million of our deferred tax asset in 2017. Refer to appendix for reconciliation of non-GAAP financial measures. (3) This is a non-GAAP number that adjust for $11.4 million of merger related expenses in 2019. Refer to appendix for reconciliation of these non-GAAP financial measures. MEMBER FDIC 8 (4)Refer to appendix for reconciliation of non-GAAP financial measures.

Expenses Noninterest Expense / Average Assets Efficiency Ratio(3) 3.0% 70% Peer(1) 2.5% 2.30% 2.17% (2) 2.10% 2.06% 2.09% Peer(1) 2.0% 60% 55.86% 54.06% 1.5% 51.77% (2) 50.60% 51.39% 1.0% 50% 0.5% 0.0% 40% 2015 2016 2017 2018 2019 2015 2016 2017 2018 2019 (1) BHCPR Peer Group 2: Bank Holding Companies with $3-10 billion of assets through 3Q19. (2) This is a non-GAAP number that adjust for $11.4 million of merger related expenses in 2019. Refer to appendix for reconciliation of these non-GAAP financial measures. (3)Refer to appendix for reconciliation of non-GAAP financial measures. MEMBER FDIC 9

Mergers and Expansion Northeast OH Eastern PA Eastern PA Upstate NY Central OH Eastern PA LPO opens in Independence, OH LPO Opens in Gr. Berks, PA Integrity Bank acquired LPO opens in Rochester, NY Branch opens in Hillard, OH Acquired DNB Financial Corp. August 13, 2018 November 4, 2019 March 4, 2015 March 24, 2015 March 4, 2019 (LPO 2014) November 30, 2019 Northeast OH Western PA Northeast OH Upstate NY Branch opens in Akron, OH LPO Opens in Pittsburgh, PA Branch Opens in Cuyahoga Falls, OH LPO Opens in Buffalo, NY Total Assets December 21, 2015 (LPO 2012) October 31, 2016 April 22, 2019 May 29, 2019 $9,000 $8,765 1,138 $8,500 $8,000 $7,500 7,627 $7,252 ) $7,060 s n $6,943 o $7,000 i l l i m ( $ $6,500 $6,318 n i 866 $6,000 $5,500 5,452 $5,000 $4,500 2015 2016 2017 2018 2019 S&TBank Integrity Bank DNB First MEMBER FDIC 10

Eastern PA Expansion DNB Financial Timeline • June 5, 2019 - S&T & DNB announced merger • November 30, 2019 - Merger is finalized • February 10, 2020 - All systems are converted and DNB starts operating under the name S&T Bank • DNB adds ◦ 14 Branches ◦ $900 million in Loans ◦ $991 million in Deposits LPO (2019) S&T Bank (Integrity 2015) S&T Bank (DNB Financial 2019) MEMBER FDIC 11

Markets S&T Operates in 5 Regional Markets Totals as of 12.31.19 Portfolio Loans - $7,137 Deposits - $7,037 Western PA Western PA Upstate NY 6% $408 52% 7% Other 6% 64% $3,689 Central OH $522 $426 $4,520 Upstate NY 0% $17 7% Central OH 1% $79 $492 Northeast OH 2% $111 Northeast OH 27% Eastern PA 28% $1,884 $2,026 Eastern PA Dollars in millions MEMBER FDIC 12

Loans Loan Mix as of 12.31.19 Amount % of Total CRE $3,416 48% C&I 1,721 24% Consumer 1,616 23% Construction 384 5% Total Portfolio Loans $7,137 100% Dollars in millions MEMBER FDIC 13

Deposits Deposit Mix as of 12.31.19 Amount % of Total Money Market $1,950 27% DDA 1,698 24% CD's 1,596 23% Int Bear DDA 962 14% Savings 831 12% Total Deposits $7,037 100% Amount % of Total Personal $4,117 59% Business 2,559 36% Brokered 361 5% Total $7,037 100% MEMBER FDIC 14 Dollars in millions

Senior Management Name Title Years in Banking Years with S&T Todd D. Brice CEO 34 34 David G. Antolik President & Chief Lending Officer 31 29 Mark Kochvar Chief Financial Officer 33 27 Ernest J. Draganza Chief Risk Officer 32 27 Patrick J. Haberfield Chief Credit Officer 32 9 David P. Ruddock Chief Operating Officer 34 34 Rebecca A. Stapleton Chief Banking Officer 31 31 MEMBER FDIC 15

Valuation Stock Performance Total Annualized Shareholder Return Includes reinvested dividends (Data as of 12.31.19) 1 YR 3 YR 5 YR 10 YR STBA 9.49% 3.55% 8.94% 12.04% S&P 600 Bank 22.83% 3.84% 11.39% 13.35% NASDAQ Bank 24.38% 3.21% 10.54% 11.52% S&P 500 31.48% 15.25% 11.68% 13.54% Source: Bloomberg Institutional Ownership 56.19% Insider Ownership 1.82% Source: NASDAQ MEMBER FDIC 16

Asset Quality Nonperforming Loans / Total Loans Net Charge Offs / Average Loans 1.00% 0.50% 0.77% 0.76% 0.76% 0.40% 0.75% 0.70% 0.30% 0.25% Peer(1) 0.50% 0.42% 0.22% 0.22% 0.18% 0.18% 0.20% 0.25% Peer(1) 0.10% 0.00% 0.00% 2015 2016 2017 2018 2019 2015 2016 2017 2018 2019 (1) BHCPR Peer Group 2: Bank Holding Companies with $3-10 billion of assets through 3Q19. MEMBER FDIC 17

CECL Estimated Allowance for Credit Losses (1) 12/31/2019 $62.2 1/1/2020 CECL Adoption $7.5-$9.0 DNB Acquired Loans $9.5-$11.0 Allowance for Credit Losses - 1/1/2020 $79.2-$82.2 Allowance for Credit Losses/Total Loans 1.11%-1.15% Financial Impact (1) CECL Change 12/31/2019 Retained Earnings ($13.4)-($15.8) $761 Tangible Common Equity/Tangible Assets (non-GAAP) (0.16%)-(0.18%) 9.68% Book Value/Share ($0.34)-($0.38) $30.13 Tangible Book Value/Share (non-GAAP) ($0.34)-($0.38) $20.52 Dollars in Millions (1)The ultimate impact of adoption will depend on the finalization of the purchase accounting for DNB which could impact the estimated range of potential outcomes noted above. MEMBER FDIC 18

Performance Performance Summary 2019 2017 2019 Excludes 2018 2017 Excludes DTA(3) 2016 2015 Merger Exp(2) Net Income (in thousands) $98,234 $107,478 $105,334 $72,968 $86,401 $71,392 $67,081 Diluted Earnings per Share $2.82 $3.09 $3.01 $2.09 $2.47 $2.05 $1.98 Dividends Declared per Share $1.09 $0.99 $0.82 $0.77 $0.73 Total Assets (in millions) $8,765 $7,252 $7,060 $6,943 $6,318 Total Loans (in millions) $7,142 $5,949 $5,766 $5,615 $5,063 Total Deposits (in millions) $7,037 $5,674 $5,428 $5,272 $4,877 Return on Average Assets 1.32% 1.45% 1.50% 1.03% 1.22% 1.08% 1.13% Return on Average Equity 9.98% 10.92% 11.60% 8.37% 9.90% 8.67% 8.94% Return on Tangible Equity(1) 14.41% 15.76% 17.14% 12.77% 15.08% 13.71% 14.39% Net Interest Margin (FTE)(1) 3.64% 3.64% 3.56% 3.47% 3.56% Nonperforming Assets/Loans+OREO 0.81% 0.83% 0.42% 0.77% 0.71% Allowance for Loan Losses/Total Portfolio Loans 0.87% 1.03% 0.98% 0.94% 0.96% Net Loan Charge-offs/Average Loans 0.22% 0.18% 0.18% 0.25% 0.22% Risk Based Capital-Total 13.22% 13.21% 12.55% 11.86% 11.60% Tangible Shareholder Equity/Tangible Assets(1) 9.68% 9.28% 8.72% 8.23% 8.24% (1) Refer to appendix for reconciliation of non-GAAP financial measures. (2These are non-GAAP numbers that adjust for $11.4 million of merger related expenses in 2019. Refer to appendix for reconciliation of these non-GAAP financial measures. (3)These are non-GAAP numbers that adjust for the effects of a one-time, non-cash re-measurement of $13.4 million of our deferred tax asset in 2017. Refer to appendix for reconciliation of non-GAAP financial measures. MEMBER FDIC 19

Financial Data Income Statement Balance Sheet 2017 2019 2018 2017 Excludes DTA(1) 2016 2015 2019 2018 2017 2016 2015 Net Interest Income $246,791 $234,438 $225,733 $203,259 $187,551 Securities $784,283 $684,872 $698,291 $693,487 $660,963 Noninterest Income 52,558 49,181 55,462 54,635 51,033 Interest-bearing Balances 124,491 82,740 61,965 87,201 41,639 Loans, Net 7,080,184 5,888,023 5,709,544 5,562,437 5,014,786 Total Revenue 299,349 283,619 281,195 257,894 238,584 Other 775,691 596,586 590,455 599,928 600,966 Noninterest Expense 155,766 145,445 147,907 143,232 136,717 Total Assets $8,764,649 $7,252,221 $7,060,255 $6,943,053 $6,318,354 Merger Expenses 11,350 — — — — Provision for Loan Losses 14,873 14,995 13,883 17,965 10,388 Deposits $7,036,576 $5,673,922 $5,427,891 $5,272,377 $4,876,611 Net Income Before Taxes 117,360 123,179 119,405 96,697 91,479 Borrowings 416,352 604,316 683,081 771,164 580,748 Taxes 19,126 17,845 46,437 $33,004 25,305 24,398 Other Liabilities 119,723 38,222 65,252 57,556 68,758 Net Income $98,234 $105,334 $72,968 $86,401 $71,392 $67,081 Equity 1,191,998 935,761 884,031 841,956 792,237 Diluted Earnings per Share $2.82 $3.01 $2.09 $2.47 $2.05 $1.98 Total Liabilities & Equity $8,764,649 $7,252,221 $7,060,255 $6,943,053 $6,318,354 Dollars in thousands, except per share data (1)These are non-GAAP numbers that adjust for the effects of a one-time, non-cash re-measurement of $13.4 million of our deferred tax asset in 2017. Refer to appendix for reconciliation of non-GAAP financial measures. MEMBER FDIC 20

Financial Data Net Interest Margin Loan Portfolio 2019 2018 2017 2016 2015 Dollars in thousands 2019 2018 2017 2016 2015 Commercial Securities - FTE 2.64% 2.62% 2.48% 2.41% 2.48% Commercial Real Estate $3,416,518 $2,921,832 $2,685,994 $2,498,476 $2,166,603 Commercial & Industrial 1,720,833 1,493,416 1,433,266 1,401,035 1,256,830 Loans - FTE 4.95% 4.72% 4.32% 4.08% 4.09% Construction 375,445 257,197 384,334 455,884 413,444 Total Interest-earning Assets - FTE 4.71% 4.48% 4.09% 3.87% 3.86% Total Commercial 5,512,796 4,672,445 4,503,594 4,355,395 3,836,877 Consumer Deposits 1.40% 1.01% 0.62% 0.51% 0.37% Residential Mortgage 998,585 726,679 698,774 701,982 639,372 Home Equity 538,348 471,562 487,326 482,284 470,845 Borrowings 2.76% 2.19% 1.27% 0.86% 0.71% Installment and Other Consumer 79,033 67,546 67,204 65,852 73,939 Total Costing Liabilities 1.51% 1.18% 0.72% 0.55% 0.40% Construction 8,390 8,416 4,551 5,906 6,579 Total Consumer 1,624,356 1,274,203 1,257,855 1,256,024 1,190,735 Total Portfolio Loans 7,137,152 5,946,648 5,761,449 5,611,419 5,027,612 Net Interest Margin – FTE(1) 3.64% 3.64% 3.56% 3.47% 3.56% Total Loans Held for Sale 5,256 2,371 4,485 3,793 35,321 Purchase Accounting NIM – FTE(1) 3.62% 3.62% 3.53% 3.41% 3.44% Total Loans $7,142,408 $5,949,019 $5,765,934 $5,615,212 $5,062,933 Asset Quality Capital Dollars in thousands 2019 2018 2017 2016 2015 2019 2018 2017 2016 2015 Total Nonperforming Loans $54,057 $46,073 $23,938 $42,635 $35,382 Tier 1 Leverage 10.29% 10.05% 9.17% 8.98% 8.96% Nonperforming Loans/ Total Loans 0.76% 0.77% 0.42% 0.76% 0.70% Common Tier 1 – Risk- Based Capital 11.43% 11.38% 10.71% 10.04% 9.77% Nonperforming Assets/ Total Loans + OREO 0.81% 0.83% 0.42% 0.77% 0.71% Net Charge-offs (Recoveries)/Average Tier 1 – Risk-Based Capital 11.84% 11.72% 11.06% 10.39% 10.15% Loans 0.22% 0.18% 0.18% 0.25% 0.22% Allowance for Loan Losses/Total Portfolio Total – Risk-Based Capital 13.22% 13.21% 12.55% 11.86% 11.60% Loans 0.87% 1.03% 0.98% 0.94% 0.96% Allowance for Loan Losses/Nonperforming Tangible Common Equity/ Loans 115% 132% 236% 124% 136% Tangible Assets(1) 9.68% 9.28% 8.72% 8.23% 8.24% (1)Refer to appendix for reconciliation of non-GAAP financial measures. MEMBER FDIC 21

Appendix APPENDIX – Non-GAAP Measures Tangible Shareholders' Equity/Tangible Assets (Non-GAAP) Net Interest Margin Rate (FTE) (Non-GAAP) 2019 2018 2017 2016 2015 2019 2018 2017 2016 2015 Total Shareholders’ Equity (GAAP basis) $1,191,998 $935,761 $884,031 $841,956 $792,237 Total interest income $320,484 $289,826 $260,642 $227,774 $203,548 Less: goodwill and other intangible assets (382,540) (290,047) (295,347) (296,580) (298,289) Less: interest expense (73,693) (55,388) (34,909) (24,515) (15,997) Tax effect of other intangible assets 2,293 546 1,287 1,719 2,284 Net interest income per consolidated 246,791 234,438 225,733 203,259 187,551 Tangible shareholders' equity (non-GAAP) 811,751 646,260 589,971 547,095 496,232 statements of net income Plus: taxable equivalent adjustment 3,757 3,804 7,493 7,043 6,123 Total assets (GAAP basis) 8,764,649 7,252,221 7,060,255 6,943,053 6,318,354 Net interest income (FTE) (non-GAAP) 250,548 238,242 233,226 210,302 193,674 Less: goodwill and other intangible assets (382,540) (290,047) (295,347) (296,580) (298,289) Purchase accounting adjustment (1,048) (1,242) (1,839) (2,952) (6,202) Tax effect of other intangible assets 2,293 546 1,287 1,719 2,284 Purchase accounting net interest income Tangible assets (non-GAAP) $8,384,402 $6,962,720 $6,766,195 $6,648,192 $6,022,349 (FTE) (non-GAAP) $249,500 $237,000 $231,387 $207,350 $187,472 Tangible shareholders' equity/tangible assets (non-GAAP) 9.68% 9.28% 8.72% 8.23% 8.24% Average interest earning assets $6,885,372 $6,549,679 $6,549,821 $6,067,151 $5,432,862 Net Interest Margin 3.58% 3.58% 3.45% 3.35% 3.45% Adjustment to FTE Basis 0.06% 0.06% 0.11% 0.12% 0.11% Net Interest Margin (FTE) (non-GAAP) 3.64% 3.64% 3.56% 3.47% 3.56% Return on Average Tangible Shareholders' Equity (Non-GAAP) Purchase accounting adjustment -0.02% -0.02% -0.03% -0.06% -0.12% 2019 2018 2017 2016 2015 Purchase accounting NIM – FTE (non-GAAP) 3.62% 3.62% 3.53% 3.41% 3.44% Net Income $98,234 $105,334 $72,968 $71,392 $67,081 Efficiency Ratio (YTD)(Non-GAAP) Plus: amortization of intangibles 836 861 1,233 1,615 1,818 Tax effect of amortization of intangibles (176) (181) (432) (565) (636) Efficiency ratio (YTD)(non-GAAP) 2019 2018 2017 2016 2015 Net income before amortization of intangibles 98,894 106,014 73,769 72,442 68,263 Noninterest expense $167,116 145,445 $147,907 $143,232 $136,717 Total average shareholders’ equity (GAAP Basis) 983,908 908,355 872,130 823,607 750,069 Less: merger related expenses (11,350) — — — — Less: average goodwill and other intangible assets (298,228) (290,380) (295,937) (297,377) (278,130) Noninterest income excluding nonrecurring items $155,766 $145,445 $147,907 $143,232 $136,717 Tax effect of other intangible assets 639 614 1,493 1,992 2,283 Tangible average shareholders' equity (non-GAAP) $686,319 $618,589 $577,686 $528,222 $474,222 Net interest income 246,791 234,438 225,733 203,259 187,551 Plus: taxable equivalent adjustment 3,757 3,804 7,493 7,043 6,123 Return on average tangible shareholders' equity (non-GAAP) 14.41% 17.14% 12.77% 13.71% 14.39% Net interest income (FTE) (non-GAAP) 250,548 238,242 233,226 210,302 193,674 Noninterest income 52,558 49,181 55,462 54,635 51,033 Less: securities (gains) losses, net 26 — (3,000) — 34 Net interest income (FTE) (non-GAAP) plus noninterest income $303,132 $287,423 $285,688 $264,937 $244,741 Efficiency ratio (YTD)(non-GAAP) 51.39% 50.60% 51.77% 54.06% 55.86% MEMBER FDIC 22

Appendix APPENDIX – Non-GAAP Measures Return on Average Equity Return on Tangible Shareholders' Equity Return on Average Equity Return on Tangible Shareholders' Equity 2019 2019 2017 2017 Net Income $98,234 Net Income $98,234 Net Income $72,968 Net Income $72,968 Adjust for merger related expenses 11,350 Adjust for merger related expenses 11,350 Plus: DTA re-measurement 13,433 Plus: DTA re-measurement 13,433 Tax effect of merger related expenses (2,106) Tax effect of merger related expenses (2,106) Adjusted net income (non-GAAP) 86,401 Adjusted net income (non-GAAP) 86,401 Adjusted net income (non-GAAP) 107,478 Adjusted net income (non-GAAP) 107,478 Average assets 872,130 Plus: amortization of intangibles 1,233 Average shareholders' equity 983,908 Plus: amortization of intangibles 836 Plus: DTA re-measurement 589 Tax effect of amortization of intangibles (432) Average shareholders' equity 983,908 Tax effect of amortization of intangibles (176) Adjusted net income before amortization of Average assets (non-GAAP) 872,719 intangibles 87,202 Adjusted net income before amortization of Return on average equity (non-GAAP) 10.92 % intangibles 108,138 Return on average equity (non-GAAP) 9.90% Average total shareholders' equity 872,130 Average total shareholders' equity 983,908 Plus: DTA re-measurement 589 Less: average goodwill and other intangible Less: average goodwill and other intangible assets (298,228) assets (295,937) Return on Average Assets Tax effect of average goodwill and other Return on Average Assets Tax effect of average goodwill and other intangible assets 639 intangible assets 1,493 2019 Average tangible equity (non-GAAP) $686,319 2017 Average tangible equity (non-GAAP) $578,275 Net Income $98,234 Return on average tangible equity (non-GAAP) 15.76 % Net Income $72,968 Return on average tangible equity (non-GAAP) 15.08% Adjust for merger related expenses 11,350 Plus: DTA re-measurement 13,433 Tax effect of merger related expenses (2,106) Net Income and Diluted Earnings Per Share Adjusted net income (non-GAAP) 86,401 Net Income and Diluted Earnings Per Share Adjusted net income (non-GAAP) 107,478 2019 2017 Average assets $7,435,536 Net Income $98,234 Average assets $7,060,232 Net Income $72,968 Average assets (non-GAAP) 7,435,536 Adjust for merger related expenses 11,350 Plus: DTA re-measurement 589 Plus: DTA re-measurement 13,433 Return on average assets (non-GAAP) 1.45 % Tax effect of merger related expenses (2,106) Average assets (non-GAAP) 7,060,821 Adjusted net income (non-GAAP) 86,401 Adjusted net income (non-GAAP) 107,478 Return on average assets (non-GAAP) 1.22% Average shares outstanding - diluted 34,955 Noninterest expense (non-GAAP)/ Average Assets 2019 Average shares outstanding - diluted 34,679 Diluted earnings per share (non-GAAP) $2.47 Noninterest expense $167,116 Diluted earnings per share (non-GAAP) $3.09 Less: merger related expenses (11,350) Noninterest income excluding nonrecurring items $155,766 Average assets $7,435,536 2.09% MEMBER FDIC 23

Full year 2019 MEMBERMEMBER FDIC FDIC