EX-99.1 2 dex991.htm FIFTH THIRD BANCORP PRESENTATION Fifth Third Bancorp Presentation
Lehman Brothers
Financial Services Conference
September 12, 2006
Christopher G. Marshall
Chief Financial Officer
Exhibit 99.1

Lehman Brothers Financial Services Conference, September 2006
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Agenda
Historical context
2006 trends
Open issues and decisions

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1990
2006
CAGR
Assets
$8 billion
$106 billion
18%
Net income
$120 million
$1.5 billion*
18%
Earnings per share
$0.41
$2.68*
13%
Market cap
$1.3 billion
$22 billion
#
20%
Branches
214
1,138
11%
ATMs
262    
2,034
14%
Rank, U.S.
# 50 -
60
# 11
*
1H06 annualized; diluted earnings per share as originally reported (split-adjusted).
#
as of 9/07/06.
Historical context: extraordinary growth

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2002
Stock price
$68.95
Market cap
$40B
ROE
18.4%
NIM
3.96%
Efficiency ratio
47.5%
2006
Stock price
$38.80*
Market cap
$22B*
ROE
16.0%
NIM
3.01%
Efficiency ratio
55.3%
Three year performance: challenging
*
as of 9/07/06.

Lehman Brothers Financial Services Conference, September 2006
5
0
5
10
15
20
25
30
2002
2003
2004
2005
2Q06
0
100
200
300
400
500
600
Avg. Securities  
Yield  
Wholesale borrowings*  
Margin pressure primarily related to fixed rate securities
funded with floating rate liabilities
Average Securities and Spread
*
Interest bearing liabilities excluding core deposits.
Recent performance: securities portfolio
Net Interest Margin
3.96
3.62
3.48
3.23
3.01
2002
2003
2004
2005
2Q06

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Strong core business results
(YTD 2006 vs. YTD 2005)
Source: SNL Financial.
*Median of top 20 banks (excluding trust banks, C, JPM);
median net income of six processing companies (FDC, ADS, FISV, GPN, TSS, FIS).
Fifth Third
Industry*
Loan growth
10%
9%
Core deposit growth
7%
7%
Processing fee growth
15%
8%
Credit card loan growth
19%
3%
Mortgage banking fees
1%
3%
Net interest income
-5%
6%

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Strong core business results
(Q2 2006 vs. Q2 2005)
-31%
5%
17%
29%
56%
-13%
6%
11%
12%
29%
Net Income Growth
Revenue Growth
Investment Advisors
Processing Solutions
Branch Banking
Commercial Banking
Consumer Lending
Source: Second quarter 2006 10-Q.

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New Locations Within 5/3 Footprint 6/04 –
6/05
(deposits in millions)
Avg.
Total
Deposits/
Holding Company
Deposits
Locations
Branch
Bank of America
588.7
33
16.9
Fifth Third
1062.4
65
16.3
TCF Financial
163.4
11
14.9
Independent Bank
145.8
10
14.6
Royal Bank of Canada
120.9
10
12.1
National City
268.1
24
11.2
Flagstar
254.3
23
11.1
AmSouth
153.6
14
11.0
Wachovia
258.8
26
10.0
SunTrust
234.0
27
8.7
Lasalle Bank
110.7
13
8.5
Regions Financial
96.2
12
8.0
JPMorgan Chase
370.7
63
5.9
KeyCorp
77.3
14
5.5
Royal Bank of Scotland
500.5
91
5.5
First Horizon Mutual
47.5
10
4.7
Washington Mutual
282.1
88
3.2
U.S. Bancorp
32.0
12
2.7
Strong deposit growth performance
Fifth Third’s deposit growth has
outpaced key peers in markets
where we compete
Deposit market share growth
has exceeded peer share growth
in 65% of counties
Deposits per/branch growth
has
exceeded peer growth in 66%
of counties
Fifth Third has also significantly out-
performed key competitors in denovo
results within its existing markets
2005 Growth
2005 Growth
# of
Market Share
Deposits/Branch
Peer
Counties
% Won
% Won
National City
102
59%
62%
US Bancorp
66
63%
65%
KeyCorp
46
67%
61%
Regions Financial
#
29
28%
70%
Comerica
20
80%
70%
BB&T
22
95%
82%
SunTrust
18
78%
78%
PNC
14
64%
64%
Weighted Avg.*
65%
66%
Source: SNL Financial, from FDIC data.
* Percentage won times number of Fifth Third and competitor branches.
# Regions includes effect of addition to market share of Union Planters branches.

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2.90
KEY
USB
RF
NCC
PNC
CMA
STI
BBT
FITB
4.00
USB
PNC
STI
CMA
BBT
FITB
KEY
NCC
MI
Deposit rates by product above peers…
Source: Company reports, if disclosed.
2.39
USB
PNC
STI
BBT
RF
FITB
Q206 Interest Checking Rates
Q206 Savings Rates
USB
RF
STI
NCC
KEY
CMA
PNC
FITB
Q206 MMDA Rates
Q206 Retail CD Rates
AVG.
AVG.
AVG.
AVG.
1.63
1.02
2.83
3.97
4.01

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Weighted interest-bearing core
deposit rates in line with peers
—
due to higher proportion of
5/3rd balances in lower cost transaction
accounts (vs. CDs)
…but in line overall given low-cost emphasis
3.08
USB
STI
RF
PNC
CMA
BBT
KEY
FITB
NCC
MI
Q206 Core Deposit Rates
AVG.
Source: Company reports, if disclosed.
2.88

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Tough decisions
*
Earnings effect vs. 1Q04 annualized; securities above 17.5% of earning assets, at spread calculated
as average securities yield less weighted average wholesale borrowing cost.
#
Actual expense base vs. expenses if grown at 5% inflation rate.
Est. Annual
Total
EPS Impact
Securities repositioning
$32B > $21B
2004 restructuring
(6.5B)
2005-06 securities run-off/sales
(4.5B)
Lost
spread
on
excess
securities
-
net*
($0.45 -
0.50)
IT/Risk/Audit
investments
#
($0.10 -
0.15)
Denovo investments
initial first year dilution (per 50 branches)
($0.02-0.03)
Senior management changes

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Mid-quarter update —
expectations
Core results slightly lower than 2Q06
Solid noninterest income, expense trends,
mitigated by higher  charge-offs
Net interest income expected to be relatively
flat; NIM down 3-5 bps
Loan growth in mid-high single digits vs. 3Q05
Deposit growth in mid-single digits vs. 3Q05
Charge-offs return to more normal mid-40s bps
range

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Balance sheet
rationalization
Mortgage/home equity
Indirect auto
Denovos
Credit cards
Open issues and decisions
Conservative, “vanilla”
capital structure
“Underwater”
securities, liability sensitivity
Share repurchases
Alternative financing structures to permit
more consistent activity and profitability
Broaden product mix
Review LTV parameters
Portfolio unrepresentative of market
position —
strategic plan for growth
How many; where

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Fifth Third: Moving forward
Achieving the proper balance between growth
and profitability
Capitalizing on our strengths and developing
plans to address areas of weakness
Communicating clearly with our investors
Delivering on our promises and returning to
above-par performance and shareholder return

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Cautionary statement
This presentation may contain forward-looking statements about Fifth Third Bancorp and/or the company as combined with acquired entities 
within the meaning of Sections 27A of the Securities Act of 1933, as amended, and Rule 175 promulgated thereunder, and 21E of the
Securities Exchange Act of 1934, as amended, and Rule 3b-6 promulgated thereunder, that involve inherent risks and uncertainties. This
presentation may contain certain forward-looking statements with respect to the financial condition, results of operations, plans, objectives,
future
performance
and
business
of
Fifth
Third
Bancorp
and/or
the
combined
company
including
statements
preceded
by,
followed
by
or
that
include the words or phrases such as "believes," "expects," "anticipates," "plans," "trend," "objective," "continue," "remain" or similar
expressions or future or conditional verbs such as "will," "would," "should," "could," "might," "can," "may" or similar expressions. There are a
number of important factors that could cause future results to differ materially from historical performance and these forward-looking
statements. Factors that might cause such a difference include, but are not limited to: (1) competitive pressures among depository institutions
increase significantly; (2) changes in the interest rate environment reduce interest margins; (3) prepayment speeds, loan origination and sale
volumes, charge-offs and loan loss provisions; (4) general economic conditions, either national or in the states in which Fifth Third and/or
combined
entities
do
business,
are
less
favorable
than
expected;
(5)
political
developments,
wars
or
other
hostilities
may
disrupt
or
increase
volatility
in
securities
markets
or
other
economic
conditions;
(6)
changes
and
trends
in
the
securities
markets;
(7)
legislative
or
regulatory
changes or actions, or significant litigation, adversely affect Fifth Third and/or acquired entities or the businesses in which Fifth Third and/or
combined entities are engaged; (8) difficulties in combining the
operations of acquired entities and (9) the impact of reputational risk created by
the developments discussed above on such matters as business generation and retention, funding and liquidity. We undertake no obligation to
release revisions to these forward-looking statements or reflect events or circumstances after the date of this release. Further information on
other
factors
which
could
affect
the
financial
results
of
Fifth
Third
are
included
in
Fifth
Third's
and/or
the
acquired
entity's
filings
with
the
Securities and Exchange Commission. These documents are available free of charge at the Commission's website at http://www.sec.gov
and/or from Fifth Third.
The financial information for affiliate operating segments in this presentation is reported on the basis used internally by the Bancorp’s
management
to
evaluate
performance
and
allocate
resources.
Allocations
have
been
consistently
applied
for
all
periods
presented.
The
performance measurement of the operating segments is based on the management structure of the Bancorp and is not necessarily
comparable with similar information for any other financial institution. The information presented is also not necessarily indicative of the
segments’
financial condition and results of operations if they were independent entities.