Supplemental Financial Information

EX-99.2 3 dex992.htm SUPPLEMENTAL FINANCIAL INFORMATION Supplemental Financial Information

Exhibit 99.2

Unaudited

AmSouth Bancorporation

CONSOLIDATED QUARTERLY STATEMENTS OF EARNINGS

($ in thousands, except per share data)


	2006						2005
	September 30		June 30		March 31		December 31		September 30
INTEREST INCOME
Loans	$	632,556	$	598,190	$	558,610	$	524,840	$	481,387
Available-for-sale securities		73,297		72,156		69,301		71,646		69,887
Held-to-maturity securities		63,374		65,100		66,513		67,092		68,828
Trading securities		398		339		414		350		278
Loans held for sale		7,048		5,162		4,905		6,296		5,675
Other interest-earning assets		1,111		696		687		680		459

Total interest income		777,784		741,643		700,430		670,904		626,514

INTEREST EXPENSE
Interest-bearing demand		44,052		42,051		36,394		26,780		23,748
Money market and savings deposits		56,795		51,159		44,212		43,981		42,394
Time deposits		136,571		111,090		96,950		88,021		79,496
Foreign deposits		15,644		11,365		10,851		13,154		11,084
Federal funds purchased and securities sold under agreements to repurchase		44,273		40,878		38,655		30,926		23,497
Other borrowed funds		23,145		11,887		7,376		5,561		4,563
Long-term Federal Home Loan Bank advances		23,511		25,324		24,853		26,621		31,193
Other long-term debt		45,039		45,104		43,419		43,710		35,806

Total interest expense		389,030		338,858		302,710		278,754		251,781

NET INTEREST INCOME		388,754		402,785		397,720		392,150		374,733
Provision for loan and lease losses		25,500		24,000		27,300		20,850		34,800

NET INTEREST INCOME AFTER PROVISION FOR LOAN AND LEASE LOSSES		363,254		378,785		370,420		371,300		339,933

NONINTEREST REVENUES
Service charges on deposit accounts		102,938		103,308		95,105		95,388		95,141
Trust income		23,614		24,124		23,763		23,354		29,439
Consumer investment services income		23,109		24,139		21,942		18,312		18,668
Interchange income		26,235		25,714		24,735		24,657		22,884
Commercial credit fee income		12,231		10,768		11,480		10,478		12,178
Bank owned life insurance policies		11,290		11,294		10,983		10,793		11,386
Mortgage income		3,549		3,345		3,388		2,046		5,873
Portfolio income		2,495		203		592		684		301
Net gain on sale of mutual fund management unit		-0-		-0-		-0-		-0-		44,007
Other noninterest revenues		42,946		28,486		27,695		31,232		19,772

Total noninterest revenues		248,407		231,381		219,683		216,944		259,649

NONINTEREST EXPENSES
Salaries and employee benefits		193,106		192,446		184,152		174,027		174,055
Net occupancy		39,854		38,760		38,834		38,039		38,342
Equipment		31,643		31,763		31,358		31,200		31,876
Postage and office supplies		9,741		9,833		9,653		9,397		10,071
Marketing		8,471		12,002		13,260		7,609		10,698
Professional fees		4,999		8,019		6,342		13,990		12,130
Communications		6,123		5,971		6,120		6,038		6,027
Amortization of intangibles		419		487		541		613		637
Other noninterest expenses		41,346		40,274		39,742		39,646		53,069

Total noninterest expenses		335,702		339,555		330,002		320,559		336,905

INCOME BEFORE INCOME TAXES		275,959		270,611		260,101		267,685		262,677
Income taxes		88,303		85,930		79,110		85,552		82,349

NET INCOME	$	187,656	$	184,681	$	180,991	$	182,133	$	180,328

Weighted-average common shares outstanding - basic		343,295		344,647		345,433		347,201		349,346
Earnings per common share - basic	$	0.55	$	0.54	$	0.52	$	0.52	$	0.52
Weighted-average common shares outstanding - diluted		348,842		349,647		350,743		351,811		354,654
Earnings per common share - diluted	$	0.54	$	0.53	$	0.52	$	0.52	$	0.51

Unaudited

AmSouth Bancorporation

QUARTERLY AVERAGE DAILY BALANCES, REVENUE & EXPENSE SUMMARY, YIELDS & RATES

(Taxable equivalent basis, $ in thousands)


	Three Months Ended September 30, 2006							Three Months Ended June 30, 2006							Three Months Ended March 31, 2006							Three Months Ended December 31, 2005							Three Months Ended September 30, 2005
	Average Balance			Revenue/ Expense		Yield/ Rate		Average Balance			Revenue/ Expense		Yield/ Rate		Average Balance			Revenue/ Expense		Yield/ Rate		Average Balance			Revenue/ Expense		Yield/ Rate		Average Balance			Revenue/ Expense		Yield/ Rate
ASSETS
Interest-earning assets:
Commercial and commercial real estate	$	20,041,751		$	354,348	7.01	%	$	19,492,112		$	331,471	6.82	%	$	18,872,184		$	304,439	6.54	%	$	17,890,194		$	280,487	6.22	%	$	17,055,819		$	253,640	5.90	%
Residential first mortgages		6,218,410			84,542	5.39	%		6,078,445			80,488	5.31	%		6,070,856			79,599	5.32	%		5,914,872			77,532	5.20	%		5,685,620			72,459	5.06	%
Equity loans and lines		8,101,139			147,808	7.24	%		8,073,014			142,212	7.07	%		7,970,946			131,595	6.70	%		7,639,452			120,742	6.27	%		7,443,993			108,869	5.80	%
Dealer indirect		2,941,628			41,920	5.65	%		2,940,262			40,070	5.47	%		2,992,386			39,302	5.33	%		3,088,347			42,090	5.41	%		3,110,615			41,898	5.34	%
Other consumer		421,929			10,355	9.74	%		429,132			10,290	9.62	%		438,152			10,057	9.31	%		460,687			10,323	8.89	%		469,482			10,841	9.16	%

Total loans net of unearned income (1)		37,724,857			638,973	6.72	%		37,012,965			604,531	6.55	%		36,344,524			564,992	6.30	%		34,993,552			531,174	6.02	%		33,765,529			487,707	5.73	%
Available-for-sale securities, amortized cost		6,178,600			73,877	4.74	%		6,089,613			72,701	4.79	%		5,961,800			69,828	4.75	%		6,076,977			72,197	4.71	%		6,065,719			70,403	4.60	%
Market valuation on AFS securities		(238,066	)						(250,466	)						(168,590	)						(160,331	)						(74,193	)

Total available-for-sale securities (2)		5,940,534							5,839,147							5,793,210							5,916,646							5,991,526
Held-to-maturity securities		5,284,456			67,292	5.05	%		5,436,554			69,019	5.09	%		5,568,989			70,448	5.13	%		5,715,159			71,046	4.93	%		5,903,899			72,788	4.89	%

Total investment securities (3)		11,224,990			141,169	4.89	%		11,275,701			141,720	4.93	%		11,362,199			140,276	4.93	%		11,631,805			143,243	4.82	%		11,895,425			143,191	4.75	%
Other interest-earning assets		543,827			8,557	6.24	%		398,167			6,197	6.24	%		519,175			6,006	4.69	%		587,653			7,326	4.95	%		541,115			6,412	4.70	%

Total interest-earning assets (3)		49,493,674			788,699	6.29	%		48,686,833			752,448	6.17	%		48,225,898			711,274	5.96	%		47,213,010			681,743	5.71	%		46,202,069			637,310	5.46	%
Cash and due from banks		1,081,179							1,103,675							1,141,977							1,172,698							1,160,908
Other assets		3,824,407							3,748,418							3,699,438							3,671,435							3,640,629
Allowance for loan and lease losses		(360,619	)						(356,863	)						(358,606	)						(383,889	)						(368,025	)

	$	54,038,641						$	53,182,063						$	52,708,707						$	51,673,254						$	50,635,581

LIABILITIES AND SHAREHOLDERS’ EQUITY
Interest-bearing liabilities:
Interest-bearing demand	$	7,160,875			44,052	2.44	%	$	7,540,377			42,051	2.24	%	$	7,590,274			36,394	1.94	%	$	6,873,532			26,780	1.55	%	$	6,809,041			23,748	1.38	%
Money market and savings deposits		9,120,176			56,795	2.47	%		9,397,229			51,159	2.18	%		9,497,343			44,212	1.89	%		9,785,221			43,981	1.78	%		9,870,250			42,394	1.70	%
Time deposits (4)		11,799,817			136,571	4.59	%		10,742,768			111,090	4.15	%		10,284,695			96,950	3.82	%		9,790,672			88,021	3.57	%		9,520,049			79,496	3.31	%
Foreign deposits		1,713,603			15,644	3.62	%		1,438,551			11,365	3.17	%		1,417,848			10,851	3.10	%		1,717,237			13,154	3.04	%		1,649,554			11,084	2.67	%
Federal funds purchased and securities sold under agreements to repurchase		4,053,304			44,273	4.33	%		3,993,545			40,878	4.11	%		4,103,167			38,655	3.82	%		3,641,774			30,926	3.37	%		3,286,028			23,497	2.84	%
Other interest-bearing liabilities (4)		7,019,737			91,695	5.18	%		6,730,475			82,315	4.91	%		6,496,420			75,648	4.72	%		6,634,179			75,892	4.54	%		6,661,718			71,562	4.26	%

Total interest-bearing liabilities		40,867,512			389,030	3.78	%		39,842,945			338,858	3.41	%		39,389,747			302,710	3.12	%		38,442,615			278,754	2.88	%		37,796,640			251,781	2.64	%

Net interest spread (3)						2.51	%						2.76	%						2.84	%						2.83	%						2.82	%

Noninterest-bearing demand deposits		7,649,345							7,948,217							7,956,264							7,949,605							7,565,672
Other liabilities (4)		1,856,297							1,793,789							1,786,204							1,732,468							1,700,464
Shareholders’ equity		3,665,487							3,597,112							3,576,492							3,548,566							3,572,805

	$	54,038,641						$	53,182,063						$	52,708,707						$	51,673,254						$	50,635,581

Net interest income/margin on a taxable equivalent basis (3)					399,669	3.19	%					413,590	3.39	%					408,564	3.42	%					402,989	3.37	%					385,529	3.31	%

Taxable equivalent adjustment:(5)
Loans					6,417							6,341							6,382							6,334							6,320
Available-for-sale securities					580							545							527							551							516
Held-to-maturity securities					3,918							3,919							3,935							3,954							3,960
Total taxable equivalent adjustment					10,915							10,805							10,844							10,839							10,796

Net interest income				$	388,754						$	402,785						$	397,720						$	392,150						$	374,733

NOTES:

(1)	Loans net of unearned income includes nonaccrual loans for all periods presented.

(2)	Available-for-sale securities excludes certain noninterest-earning, marketable equity securities.

(3)	The yield calculation for available-for-sale securities, total investment securities, total interest-earning assets, net interest spread and net interest margin excludes the market valuation adjustment on available-for-sale securities.

(4)	Statement 133 valuation adjustments related to time deposits and other interest-bearing liabilites are included in other liabilities.

(5)	The taxable equivalent adjustment has been computed using a federal income tax rate of 35%, adjusted for applicable state income taxes net of the related federal tax benefit.

Unaudited

AmSouth Bancorporation

CONSOLIDATED PERIOD-END BALANCE SHEETS

($ in thousands)


	2006									2005
	September 30			June 30			March 31			December 31			September 30
ASSETS
Cash and due from banks	$	1,048,007		$	1,233,527		$	1,110,025		$	1,307,043		$	1,223,228
Trading securities		7,603			4,553			5,672			30,419			39,186
Available-for-sale securities		5,895,076			6,000,551			5,854,279			5,989,989			6,033,746
Held-to-maturity securities		5,230,239			5,388,911			5,540,409			5,679,494			5,821,967
Loans held for sale		495,348			371,034			276,420			406,553			460,816
Loans net of unearned income:
Commercial and industrial		6,167,426			6,046,262			6,068,331			6,173,403			6,041,712
Commercial loans - secured by real estate		3,312,202			3,207,313			2,921,517			2,700,353			2,489,973
Commercial leases		2,529,068			2,459,612			2,379,465			2,370,986			2,342,161
Commercial real estate mortgages		3,007,776			3,085,297			3,068,493			3,203,030			3,083,242
Real estate construction		5,320,873			5,005,958			4,827,188			4,085,369			3,508,763
Residential first mortgages		6,262,729			6,180,230			6,078,210			6,016,157			5,826,851
Equity loans and lines		8,070,447			8,113,323			8,022,254			7,859,133			7,479,750
Dealer indirect		2,935,549			2,941,639			2,960,112			3,047,117			3,116,305
Other consumer		404,901			414,459			412,378			442,391			446,412

Total loans net of unearned income		38,010,971			37,454,093			36,737,948			35,897,939			34,335,169
Allowance for loan and lease losses		(368,695	)		(359,092	)		(352,242	)		(366,695	)		(384,647	)
Other interest-earning assets		109,175			153,858			76,445			68,000			88,476
Premises and equipment, net		1,327,616			1,256,266			1,227,287			1,200,114			1,088,322
Cash surrender value - bank owned life insurance		1,190,729			1,179,535			1,167,701			1,156,265			1,144,048
Goodwill and other intangibles		293,147			294,344			295,736			296,582			298,205
Accrued interest receivable and other assets		1,033,584			952,234			918,482			941,407			956,869

	$	54,272,800		$	53,929,814		$	52,858,162		$	52,607,110		$	51,105,385

LIABILITIES AND SHAREHOLDERS’ EQUITY
Deposits and interest-bearing liabilities:
Deposits:
Noninterest-bearing demand	$	7,582,057		$	8,188,068		$	8,291,134		$	8,233,137		$	8,022,022
Interest-bearing demand		7,139,342			7,602,285			7,826,012			7,299,655			6,838,125
Money market and savings		8,957,921			9,226,388			9,561,009			9,513,548			9,928,034
Time		12,436,005			10,736,886			10,424,392			9,928,485			9,710,125
Foreign		1,487,576			1,683,873			1,016,771			1,373,557			1,181,819

Total deposits		37,602,901			37,437,500			37,119,318			36,348,382			35,680,125
Federal funds purchased and securities sold under agreements to repurchase		4,573,529			3,628,577			3,923,273			4,404,262			3,374,744
Other borrowed funds		1,486,790			1,839,609			493,673			511,625			681,618
Long-term Federal Home Loan Bank advances		1,677,302			1,828,225			1,930,927			1,958,730			2,388,222
Other long-term debt		3,144,206			3,717,683			3,947,960			4,025,941			3,634,730

Total deposits and interest-bearing liabilities		48,484,728			48,451,594			47,415,151			47,248,940			45,759,439
Accrued expenses and other liabilities		1,959,227			1,899,159			1,825,269			1,723,593			1,768,491

Total liabilities		50,443,955			50,350,753			49,240,420			48,972,533			47,527,930

Shareholders’ equity:
Preferred stock		-0-			-0-			-0-			-0-			-0-
Common stock		416,339			416,606			416,719			416,706			416,723
Additional paid-in capital		760,995			752,491			743,634			738,011			734,850
Retained earnings		4,086,913			3,999,804			3,917,314			3,844,183			3,755,478
Treasury stock		(1,295,036	)		(1,361,881	)		(1,267,610	)		(1,208,874	)		(1,196,160	)
Deferred compensation on restricted stock		-0-			-0-			-0-			(14,083	)		(14,733	)
Accumulated other comprehensive loss		(140,366	)		(227,959	)		(192,315	)		(141,366	)		(118,703	)

Total shareholders’ equity		3,828,845			3,579,061			3,617,742			3,634,577			3,577,455

	$	54,272,800		$	53,929,814		$	52,858,162		$	52,607,110		$	51,105,385

Unaudited

AmSouth Bancorporation

CREDIT QUALITY STATISTICS

($ in thousands)


	Three Months Ended
	2006									2005
*NET CHARGE-OFFS/(RECOVERIES)*	September 30			June 30			March 31			December 31			September 30
Commercial:
Commercial & industrial	$	8,595		$	10,789		$	6,760		$	29,154		$	5,674
Commercial loans - secured by real estate		374			(25	)		377			559			2
Commercial leases		-0-			(30	)		26,904			582			263

Total commercial		8,969			10,734			34,041			30,295			5,939

Commercial real estate:
Commercial real estate mortgages		546			229			580			(22	)		(9	)
Real estate construction		(527	)		32			2			(2	)		20

Total commercial real estate		19			261			582			(24	)		11

Consumer:
Residential first mortgages		349			572			379			648			239
Equity loans and lines		1,631			2,067			2,888			2,588			3,313
Dealer indirect		1,664			324			1,492			2,412			2,472
Other consumer		3,265			3,192			2,371			2,883			3,805

Total consumer		6,909			6,155			7,130			8,531			9,829

	$	15,897		$	17,150		$	41,753		$	38,802		$	15,779

*NET CHARGE-OFFS AS A PERCENT OF AVERAGE LOANS (Annualized)*
Commercial:
Commercial & industrial		0.56	%		0.71	%		0.45	%		1.91	%		0.38	%
Commercial loans - secured by real estate		0.05			0.00			0.05			0.09			0.00
Commercial leases		0.00			0.00			4.60			0.10			0.05

Total commercial		0.30			0.37			1.22			1.09			0.22

Commercial real estate:
Commercial real estate mortgages		0.07			0.03			0.08			0.00			0.00
Real estate construction		(0.04	)		0.00			0.00			0.00			0.00

Total commercial real estate		0.00			0.01			0.03			0.00			0.00

Consumer:
Residential first mortgages		0.02			0.04			0.03			0.04			0.02
Equity loans and lines		0.08			0.10			0.15			0.13			0.18
Dealer indirect		0.22			0.04			0.20			0.31			0.32
Other consumer		3.07			2.98			2.19			2.48			3.22

Total consumer		0.16			0.14			0.17			0.20			0.23

		0.17	%		0.19	%		0.47	%		0.44	%		0.19	%

Unaudited

AmSouth Bancorporation

CREDIT QUALITY STATISTICS (continued)

($ in thousands)


	2006						2005
NONPERFORMING LOANS*	September 30		June 30		March 31		December 31		September 30
Commercial:
Commercial & industrial	$	37,204	$	41,774	$	36,967	$	39,542	$	44,014
Commercial loans - secured by real estate		16,196		17,515		16,267		17,838		15,748
Commercial leases		15,571		3,438		1,689		27,374		1,871

Total commercial		68,971		62,727		54,923		84,754		61,633

Commercial real estate:
Commercial real estate mortgages		12,850		7,813		3,886		4,498		4,668
Real estate construction		6,560		4,080		7,681		2,946		2,121

Total commercial real estate		19,410		11,893		11,567		7,444		6,789

Consumer:
Residential first mortgages		10,388		18,547		15,871		8,817		10,542
Equity loans and lines		835		1,724		1,787		1,965		1,404
Dealer indirect		1		1		2		1		24
Other consumer		-0-		-0-		-0-		-0-		29

Total consumer		11,224		20,272		17,660		10,783		11,999

	$	99,605	$	94,892	$	84,150	$	102,981	$	80,421

_________

* Exclusive of accruing loans 90 days past due.

*ACCRUING LOANS 90 DAYS PAST DUE*	2006						2005
*ACCRUING LOANS 90 DAYS PAST DUE*	September 30		June 30		March 31		December 31		September 30
Commercial:
Commercial & industrial	$	495	$	334	$	269	$	1,258	$	1,665
Commercial loans - secured by real estate		238		41		476		36		1,023
Commercial leases		-0-		-0-		-0-		-0-		-0-

Total commercial		733		375		745		1,294		2,688

Commercial real estate:
Commercial real estate mortgages		-0-		41		187		656		72
Real estate construction		-0-		145		187		122		978

Total commercial real estate		-0-		186		374		778		1,050

Consumer:
Residential first mortgages		21,430		16,947		19,983		20,962		19,688
Equity loans and lines		27,431		23,671		25,684		26,762		25,279
Dealer indirect		1,738		1,438		1,483		3,065		2,644
Other consumer		881		925		939		1,144		1,055

Total consumer		51,480		42,981		48,089		51,933		48,666

	$	52,213	$	43,542	$	49,208	$	54,005	$	52,404

Unaudited

AmSouth Bancorporation

OTHER INFORMATION


	2006						2005
*REGULATORY CAPITAL RATIOS*	September 30*		June 30		March 31		December 31		September 30
Tier 1 capital ratio
AmSouth	7.82	%	7.51	%	7.66	%	7.71	%	7.90	%
AmSouth Bank	8.30		8.02		8.20		8.47		8.80

Total capital ratio
AmSouth	10.98	%	10.71	%	10.91	%	11.26	%	11.31	%
AmSouth Bank	11.01		10.75		10.97		11.45		11.97

Leverage ratio
AmSouth	6.90	%	6.62	%	6.68	%	6.74	%	6.72	%
AmSouth Bank	7.32		7.06		7.13		7.41		7.49

* Third quarter 2006 regulatory capital ratios based on preliminary data.