EX-99.1 2 a1q2024earningsrelease.htm EX-99.1 Document

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First Horizon Corporation's Momentum Continues with Strong First Quarter 2024 Results
Net Income Available to Common Shareholders of $184 Million or EPS of $0.33;
$195 Million or $0.35 on an Adjusted Basis - up 9% Over Prior Quarter*

1Q24 ROTCE of 11.0% and Adjusted ROTCE of 11.6% with Tangible Book Value per Share of $12.16, up $0.03 QoQ*

MEMPHIS, TN (April 17, 2024) – First Horizon Corporation (NYSE: FHN or “First Horizon”) today reported first quarter net income available to common shareholders of $184 million or earnings per share of $0.33, compared with fourth quarter 2023 net income available to common ("NIAC") of $175 million or earnings per share of $0.31. First quarter 2024 results were reduced by a net $12 million after-tax or $0.02 per share of notable items compared with $3 million or $0.01 per share in fourth quarter 2023. Excluding notable items, adjusted first quarter 2024 NIAC of $195 million or $0.35 per share increased from $178 million or $0.32 per share in fourth quarter 2023.

“We reported a strong quarter with 10% growth in adjusted net income available to common shareholders from the fourth quarter. We achieved positive operating leverage versus the prior quarter, as revenue increased and expenses declined. Revenue growth was driven by margin expansion in the core banking franchise, as well as significant improvement in our counter-cyclical businesses,” said Chairman, President and Chief Executive Officer Bryan Jordan. “Credit quality remains stable, and our strong capital and liquidity position us to continue to win new client relationships and deepen existing ones.”

Jordan continued, “As we celebrate our 160th year in business, I remain confident in our ability to build on the value and earnings power of our long-standing organization to deliver exceptional results to our shareholders.”


Notable Items
Notable Items
Quarterly, Unaudited ($ in millions, except per share data)1Q244Q231Q23
Summary of Notable Items:
Net merger/acquisition/transaction-related items$— $— $(21)
Gain/(loss) related to equity securities investments (other noninterest income)— (6)— 
Net gain on asset disposition (other noninterest income less incentives)— 7 — 
FDIC special assessment (other noninterest expense)(10)(68)— 
Other notable expenses (5)— — 
Total notable items (pre-tax)$(15)$(67)$(21)
Total notable items (after-tax) **$(12)$(3)$(16)
Numbers may not foot due to rounding.
** 4Q23 includes a $48 million after-tax benefit primarily from the resolution of IberiaBank merger-related tax items.

First quarter pre-tax notable items include an FDIC special assessment of $10 million and $5 million of restructuring costs.









*References to "Adjusted" results exclude notable items and are Non-GAAP Financial Measures. All references to loans include leases. All references to earnings per share are based on diluted shares. Please see page 4 for information on our use of Non-GAAP measures and a reconciliation of these measures to GAAP beginning on page 20.
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SUMMARY RESULTS
Quarterly, Unaudited
1Q24 Change vs.
($s in millions, except per share and balance sheet data)1Q244Q231Q234Q231Q23
$/bp%$/bp%
Income Statement
Interest income - taxable equivalent1
$1,076 $1,090 $923 $(14)(1)%$153 17 %
Interest expense- taxable equivalent1
448 469 232 (21)(5)216 93 
Net interest income- taxable equivalent628 621 691 7 1 (63)(9)
Less: Taxable-equivalent adjustment4 4 4 — — — — 
Net interest income625 617 688 8 1 (63)(9)
Noninterest income194 183 171 11 6 23 14 
      Total revenue819 800 859 19 2 (40)(5)
Noninterest expense515 572 478 (57)(10)37 8 
Pre-provision net revenue3
304 227 381 77 34 (77)(20)
Provision for credit losses50 50 50 — — — — 
Income before income taxes254 177 331 77 43 (77)(23)
Provision for income taxes57 (11)75 68 NM (18)(24)
Net income197 188 256 9 5 (59)(23)
Net income attributable to noncontrolling interest5 5 4 — (2)1 22 
Net income attributable to controlling interest192 183 251 9 5 (59)(24)
Preferred stock dividends8 8 8 — 2 — 2 
Net income available to common shareholders$184 $175 $243 $9 5 %$(59)(24)%
Adjusted net income4
$208 $191 $271 $17 9 %$(63)(23)%
Adjusted net income available to common shareholders4
$195 $178 $259 $17 10 %$(64)(25)%
Common stock information
EPS$0.33 $0.31 $0.43 $0.02 6 %$(0.10)(23)%
Adjusted EPS4
$0.35 $0.32 $0.45 $0.03 9 %$(0.10)(22)%
Diluted shares8
558 561 572 (3)(1)%(14)(2)%
Key performance metrics
Net interest margin3.37 %3.27 %3.88 %10 bp(51)bp
Efficiency ratio62.92 71.14 55.67 (822)725 
Adjusted efficiency ratio4
60.78 62.84 52.98 (206)780 
Effective income tax rate22.48 (6.16)22.71 NM(23)
Return on average assets0.97 0.91 1.32 6 (35)
Adjusted return on average assets4
1.03 0.92 1.40 11 (37)
Return on average common equity (“ROCE")8.8 8.6 13.3 16 (458)
Return on average tangible common equity (“ROTCE”)4
11.0 10.9 17.4 6 (648)
Adjusted ROTCE4
11.6 11.1 18.6 60 (690)
Noninterest income as a % of total revenue23.72 23.33 19.90 39 382 
Adjusted noninterest income as a % of total revenue4
23.61 %22.32 %19.81 %129 bp380 bp
Balance Sheet (billions)
Average loans$61.2 $61.2 $58.1 $— — %$3.1 5 %
Average deposits65.4 66.9 62.2 (1.5)(2)3.2 5 
Average assets81.2 82.3 78.8 (1.1)(1)2.4 3 
Average common equity$8.4 $8.1 $7.4 $0.3 4 %$1.0 14 %
Asset Quality Highlights
Allowance for credit losses to loans and leases1.40 %1.40 %1.35 %— bp5 bp
Nonperforming loan and leases ratio0.82 %0.75 %0.72 %7 bp10 bp
Net charge-off ratio0.27 %0.23 %0.11 %4 bp15 bp
Net Charge-offs$40 $36 $16 $4 12 %$24 NM
Capital Ratio Highlights (current quarter is an estimate)
Common Equity Tier 111.3 %11.4 %10.4 %(9)bp95 bp
Tier 112.3 12.4 12.1 (10)21 
Total Capital13.9 14.0 13.6 (3)32 
Tier 1 leverage10.8 %10.7 %10.7 %13 bp13 bp
Numbers may not foot due to rounding.
Certain previously reported amounts have been reclassified to agree with current presentation.
See footnote disclosures on page 19.

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First Quarter 2024 versus Fourth Quarter 2023

Net interest income
Net interest income of $625 million increased $8 million and net interest margin of 3.37% increased 10 basis points from the benefit of loan and deposit repricing.

Noninterest income
Noninterest income of $194 million increased $11 million. Adjusted noninterest income of $194 million increased $15 million largely driven by higher fixed income production. Fixed income average daily revenue of $731 thousand increased 58% compared with $463 thousand in fourth quarter 2023, driven by the market's expectation that short-term rates have peaked and by improved liquidity conditions in the banking sector.

Noninterest expense
Noninterest expense of $515 million declined $57 million from the prior quarter. First quarter notable items included the $10 million FDIC special assessment, which is down from $68 million in fourth quarter, and $5 million of restructuring costs. Adjusted noninterest expense of $500 million decreased $2 million. A reduction in outside services, which included advertising and third-party services for strategic investment initiatives, was partially offset by an increase in personnel expense, which included the annual merit adjustment and higher incentives from higher revenue production.

Loans and leases
Average loan and lease balances of $61.2 billion were relatively flat compared to the prior quarter, with loans to mortgage companies (LMC) down $97 million due to seasonality. Period-end loans and leases of $61.8 billion increased $0.5 billion from fourth quarter 2023, with growth in LMC and CRE. Loan yields of 6.28% improved 9 basis points from wider spreads on new and renewing loans, as well as continued repricing of fixed rate cash flows.

Deposits
Average deposits of $65.4 billion decreased 2%, reflecting $0.6 billion lower brokered deposits and continued pressure on non-interest bearing balances. Period-end deposits of $65.7 billion were stable to the prior quarter, with 67% of balances FDIC insured or collateralized. Interest-bearing deposit costs improved 9 basis points from the prior quarter to 3.28%, while total deposits costs declined by 5 basis points from a full quarter benefit of repricing efforts in the fourth quarter.

Asset quality
Provision expense of $50 million remained unchanged from fourth quarter 2023 to first quarter. Net charge-offs were $40 million or 27 basis points. Nonperforming loans of $505 million increased $43 million. The ACL to loans ratio of 1.40% was consistent with the prior quarter. Modest grade migration continued in the first quarter, but overall credit performance is stable after normalizing from a prolonged benign environment.

Capital
CET1 ratio of 11.3% and total capital ratio of 13.9% in first quarter 2024, down from 11.4% and 14.0%, respectively in fourth quarter 2023 as excess capital was returned to shareholders through the share repurchase program. FHN repurchased 10.7 million shares of common stock in first quarter 2024 at a weighted average price of $14.39 under the share repurchase program authorized in first quarter 2024.

Income taxes
First quarter 2024 effective tax rate of 22.5% compared with -6.2% in fourth quarter 2023. On an adjusted basis, the effective tax rate for first quarter 2024 was 22.5% compared with 21.7% in fourth quarter 2023. Fourth quarter 2023 includes a $48 million benefit from after-tax notable items primarily related to the resolution of IberiaBank merger-related tax items.


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Forward-Looking Statements
This document contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933, as amended (the "Securities Act"), and Section 21E of the Securities Exchange Act of 1934, as amended (the "Exchange Act"). Forward-looking statements pertain to FHN's beliefs, plans, goals, expectations, and estimates. Forward-looking statements are not a representation of historical information, but instead pertain to future operations, strategies, financial results, or other developments. Forward-looking statements can be identified by the words “believe,” “expect,” “anticipate,” “intend,” “estimate,” “should,” “is likely,” “will,” “going forward,” and other expressions that indicate future events and trends.

Forward-looking statements are necessarily based upon estimates and assumptions that are inherently subject to significant business, operational, economic, and competitive uncertainties and contingencies, many of which are beyond FHN’s control, and many of which, with respect to future business decisions and actions (including acquisitions and divestitures), are subject to change and could cause FHN’s actual future results and outcomes to differ materially from those contemplated or implied by forward-looking statements or historical performance. Examples of uncertainties and contingencies include those mentioned: in this document; in Items 2.02 and 7.01 of FHN’s Current Report on Form 8-K to which this document has been filed as an exhibit; in the forepart, and in Items 1, 1A, and 7, of FHN’s most recent Annual Report on Form 10-K; and in the forepart, and in Item 1A of Part II, of FHN’s Quarterly Report(s) on Form 10-Q filed after that Annual Report.

FHN assumes no obligation to update or revise any forward-looking statements that are made in this document or in any other statement, release, report, or filing from time to time.

Use of Non-GAAP Measures and Regulatory Measures that are not GAAP

Certain measures included in this report are “non-GAAP,” meaning they are not presented in accordance with generally accepted accounting principles in the U.S. and also are not codified in U.S. banking regulations currently applicable to FHN. Although other entities may use calculation methods that differ from those used by FHN for non-GAAP measures, FHN’s management believes such measures are relevant to understanding the financial condition, capital position, and financial results of FHN and its business segments. Non-GAAP measures are reported to FHN’s management and Board of Directors through various internal reports.

The non-GAAP measures presented in this earnings release are fully taxable equivalent measures, pre-provision net revenue ("PPNR"), return on average tangible common equity (“ROTCE”), tangible common equity (“TCE”) to tangible assets (“TA”), tangible book value ("TBV") per common share, and various consolidated and segment results and performance measures and ratios adjusted for notable items.

Presentation of regulatory measures, even those which are not GAAP, provide a meaningful base for comparability to other financial institutions subject to the same regulations as FHN, as demonstrated by their use by banking regulators in reviewing capital adequacy of financial institutions. Although not GAAP terms, these regulatory measures are not considered “non-GAAP” under U.S. financial reporting rules as long as their presentation conforms to regulatory standards. Regulatory measures used in this financial supplement include: common equity tier 1 capital ("CET1"), generally defined as common equity less goodwill, other intangibles, and certain other required regulatory deductions; tier 1 capital, generally defined as the sum of core capital (including common equity and instruments that cannot be redeemed at the option of the holder) adjusted for certain items under risk based capital regulations; and risk-weighted assets, which is a measure of total on- and off-balance sheet assets adjusted for credit and market risk, used to determine regulatory capital ratios.

Refer to the tabular reconciliation of non-GAAP to GAAP measures and presentation of the most comparable GAAP items, beginning on page 20.
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Conference Call Information
Analysts, investors and interested parties may call toll-free starting at 8:15 a.m. CT on April 17, 2024 by dialing 1-833-470-1428 (if calling from the U.S.) or 404-975-4839 (if calling from outside the U.S) and entering access code 883096. The conference call will begin at 8:30 a.m. CT.

Participants can also opt to listen to the live audio webcast at https://ir.firsthorizon.com/events-and-presentations/default.aspx.

A replay of the call will be available beginning at noon CT on April 17 until midnight CT on May 1, 2024. To listen to the replay, dial 1-866-813-9403 (U.S. callers); the access code is 492536. A replay of the webcast will also be available on our website on April 17 and will be archived on the site for one year.

First Horizon Corp. (NYSE: FHN), with $81.8 billion in assets as of March 31, 2024, is a leading regional financial services company, dedicated to helping our clients, communities and associates unlock their full potential with capital and counsel. Headquartered in Memphis, TN, the banking subsidiary First Horizon Bank operates in 12 states across the southern U.S. The Company and its subsidiaries offer commercial, private banking, consumer, small business, wealth and trust management, retail brokerage, capital markets, fixed income, and mortgage banking services. First Horizon has been recognized as one of the nation's best employers by Fortune and Forbes magazines and a Top 10 Most Reputable U.S. Bank. More information is available at www.FirstHorizon.com.

Contact: Investor Relations - NRFlanders@firsthorizon.com
Media Relations - Beth.Ardoin@firsthorizon.com
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CONSOLIDATED INCOME STATEMENT
Quarterly, Unaudited
     1Q24 Change vs.
($s in millions, except per share data)1Q244Q233Q232Q231Q234Q231Q23
$ %$ %
Interest income - taxable equivalent1
$1,076 $1,090 $1,084 $1,019 $923 $(14)(1)%$153 17 %
Interest expense- taxable equivalent1
448 469 475 385 232 (21)(5)216 93 
Net interest income- taxable equivalent628 621 609 635 691 7 1 (63)(9)
Less: Taxable-equivalent adjustment4 4 4 4 4 — — — — 
Net interest income625 617 605 631 688 8 1 (63)(9)
Noninterest income:
Fixed income52 37 28 30 39 15 40 13 33 
Mortgage banking9 5 7 6 5 4 71 4 71 
Brokerage, trust, and insurance36 36 34 35 34 — (1)2 5 
Service charges and fees57 59 60 59 55 (2)(3)2 4 
Card and digital banking fees19 16 20 21 19 3 16 — (2)
Deferred compensation income9 6 — 8 3 3 42 6 NM
Gain on merger termination— — — 225 — — NM — NM
Other noninterest income14 23 25 17 15 (9)(38)(1)(6)
Total noninterest income194 183 173 400 171 11 6 23 14 
Total revenue819 800 778 1,031 859 19 2 (40)(5)
Noninterest expense:
Personnel expense:
Salaries and benefits200 190 188 191 188 10 5 12 6 
Incentives and commissions92 82 77 86 80 10 12 12 15 
Deferred compensation expense9 7 — 8 3 2 27 6 NM
Total personnel expense301 279 266 285 271 22 8 30 11 
Occupancy and equipment2
72 71 67 68 70 1 1 2 2 
Outside services65 84 69 71 66 (19)(22)(1)(1)
Amortization of intangible assets11 12 12 12 12 (1)(9)(1)(9)
Other noninterest expense67 127 60 119 59 (60)(48)8 13 
Total noninterest expense515 572 474 555 478 (57)(10)37 8 
Pre-provision net revenue3
304 227 304 475 381 77 34 (77)(20)
Provision for credit losses50 50 110 50 50 — — — — 
Income before income taxes254 177 194 425 331 77 43 (77)(23)
Provision for income taxes57 (11)52 96 75 68 NM (18)(24)
Net income197 188 142 329 256 9 5 (59)(23)
Net income attributable to noncontrolling interest5 5 5 5 4 — (2)1 22 
Net income attributable to controlling interest192 183 137 325 251 9 5 (59)(24)
Preferred stock dividends8 8 8 8 8 — 2 — 2 
Net income available to common shareholders$184 $175 $129 $317 $243 $9 5 %$(59)(24)%
Common Share Data
EPS$0.33 $0.31 $0.23 $0.59 $0.45 $0.02 6 %$(0.12)(27)%
Basic shares555 559 559 539 537 (4)(1)18 3 
Diluted EPS$0.33 $0.31 $0.23 $0.56 $0.43 $0.02 6 $(0.10)(23)
Diluted shares8
558 561 561 561 572 (3)(1)%(14)(2)%
Effective tax rate22.5 %(6.2)%26.7 %22.6 %22.7 %
Numbers may not foot due to rounding. See footnote disclosures on page 19.
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ADJUSTED5 FINANCIAL DATA - SEE NOTABLE ITEMS ON PAGE 8
Quarterly, Unaudited
     1Q24 Change vs.
($s in millions, except per share data)1Q244Q233Q232Q231Q234Q231Q23
$%$%
Net interest income (FTE)1
$628 $621 $609 $635 $691 $7 1 %$(63)(9)%
Adjusted noninterest income:
Fixed income52 37 28 30 39 15 40 13 33 
Adjusted mortgage banking9 5 7 6 5 4 71 4 71 
Brokerage, trust, and insurance36 36 34 35 34 — (1)2 5 
Service charges and fees57 59 60 59 55 (2)(3)2 4 
Card and digital banking fees19 16 20 21 19 3 16 — (2)
Deferred compensation income9 6 — 8 3 3 42 6 NM
Gain on merger termination— — — — — — NM — NM
Adjusted other noninterest income14 20 25 17 15 (6)(29)(1)(6)
Adjusted total noninterest income$194 $179 $173 $175 $171 $15 9 %$23 14 %
Total revenue (FTE)1
$823 $800 $782 $810 $863 $23 3 %$(40)(5)%
Adjusted noninterest expense:
Adjusted personnel expense:
Adjusted salaries and benefits$199 $190 $188 $187 $188 $9 5 %$11 6 %
Adjusted Incentives and commissions87 80 68 65 64 7 9 23 36 
Adjusted deferred compensation expense9 7 — 8 3 2 27 6 NM
Adjusted total personnel expense295 277 256 260 255 18 7 40 16 
Adjusted occupancy and equipment2
72 71 67 68 70 1 1 2 2 
Adjusted outside services65 84 69 68 63 (19)(22)2 4 
Adjusted amortization of intangible assets11 12 12 12 12 (1)(9)(1)(9)
Adjusted other noninterest expense57 59 60 53 58 (2)(4)(1)(3)
Adjusted total noninterest expense$500 $502 $465 $461 $457 $(2)— %$43 9 %
Adjusted pre-provision net revenue3
$323 $298 $318 $349 $406 $25 8 %$(83)(20)%
Provision for credit losses$50 $50 $110 $50 $50 $— — %$— — %
Adjusted net income available to common shareholders$195 $178 $150 $219 $259 $17 10 %$(64)(25)%
Adjusted Common Share Data
Adjusted diluted EPS$0.35 $0.32 $0.27 $0.39 $0.45 $0.03 9 %$(0.10)(22)%
Diluted shares8
558 561 561 561 572 (3)(1)%(14)(2)%
Adjusted effective tax rate22.5 %21.7 %20.1 %21.6 %22.9 %
Adjusted ROTCE11.6 %11.1 %9.2 %14.6 %18.6 %
Adjusted efficiency ratio60.8 %62.8 %59.4 %56.9 %53.0 %
Numbers may not foot due to rounding.
See footnote disclosures on page 19.

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NOTABLE ITEMS
Quarterly, Unaudited
(In millions)1Q244Q233Q232Q231Q23
Summary of Notable Items:
Gain on merger termination$— $— $— $225 $— 
Net merger/acquisition/transaction-related items— — — (30)(21)
Gain/(loss) related to equity securities investments (other noninterest income)— (6)— — — 
Net gain on asset disposition (other noninterest income less incentives)— 7 — — — 
FDIC special assessment (other noninterest expense)(10)(68)— — — 
Other notable expenses *(5)— (10)(65)— 
Total notable items (pre-tax)$(15)$(67)$(10)$130 $(21)
Tax-related notable items **$— $48 $(13)$— $— 
Numbers may not foot due to rounding
* 1Q24 includes $5 million of restructuring expenses; 3Q23 includes $10 million of restructuring expenses; 2Q23 includes $50 million contribution to First Horizon Foundation and $15 million of Visa derivative valuation expenses.
** 4Q23 includes a $48 million after-tax benefit primarily from the resolution of IberiaBank merger-related tax items; 3Q23 includes after-tax notable items of $24 million related to the surrender of approximately $214 million in book value of bank owned life insurance policies, partially offset by an $11 million benefit from merger-related tax items.

IMPACT OF NOTABLE ITEMS:
Quarterly, Unaudited
     
(In millions)1Q244Q233Q232Q231Q23
Impacts of Notable Items:
Noninterest income:
Gain on merger termination$— $— $— $(225)$— 
Other noninterest income— (4)— — — 
Total noninterest income$— $(4)$— $(225)$— 
Noninterest expense:
Personnel expenses:
Salaries and benefits$— $— $— $(4)$— 
Incentives and commissions(5)(2)(9)(21)(16)
Total personnel expenses(5)(2)(10)(25)(16)
Outside services— — — (4)(3)
Other noninterest expense(10)(68)— (66)(2)
Total noninterest expense$(15)$(70)$(10)$(95)$(21)
Income before income taxes$15 $67 $10 $(130)$21 
Provision for income taxes *3 64 (11)(33)6 
Net income/(loss) available to common shareholders$12 $3 $20 $(98)$16 
EPS impact of notable items$0.02 $0.01 $0.04 $(0.17)$0.03 
Numbers may not foot due to rounding
* 4Q23 includes a $48 million after-tax benefit primarily from the resolution of IberiaBank merger-related tax items; 3Q23 includes after-tax notable items of $24 million related to the surrender of approximately $214 million in book value of bank owned life insurance policies, partially offset by an $11 million benefit from merger-related tax items.
8


FINANCIAL RATIOS
Quarterly, Unaudited
     1Q24 Change vs.
1Q244Q233Q232Q231Q234Q231Q23
FINANCIAL RATIOS$/bp%$/bp%
Net interest margin3.37 %3.27 %3.17 %3.38 %3.88 %10 bp(51)bp
Return on average assets0.97 %0.91 %0.68 %1.60 %1.32 %6 (35)
Adjusted return on average assets4
1.03 %0.92 %0.78 %1.13 %1.40 %11 (37)
Return on average common equity (“ROCE”)8.76 %8.60 %6.28 %16.40 %13.34 %16 (458)
Return on average tangible common equity (“ROTCE”)4
10.95 %10.89 %7.95 %21.10 %17.43 %6 (648)
Adjusted ROTCE4
11.65 %11.05 %9.21 %14.59 %18.55 %60 (690)
Noninterest income as a % of total revenue23.72 %23.33 %22.23 %38.80 %19.90 %39 382 
Adjusted noninterest income as a % of total revenue4
23.61 %22.32 %22.11 %21.60 %19.81 %129 380 
Efficiency ratio62.92 %71.14 %60.96 %53.89 %55.67 %(822)725 
Adjusted efficiency ratio4
60.78 %62.84 %59.43 %56.92 %52.98 %(206)780 
Allowance for credit losses to loans and leases1.40 %1.40 %1.36 %1.35 %1.35 %— 5 
CAPITAL DATA
CET1 capital ratio*
11.3 %11.4 %11.1 %11.1 %10.4 %(9)bp95 bp
Tier 1 capital ratio*12.3 %12.4 %12.1 %12.1 %12.1 %(10)bp21 bp
Total capital ratio*13.9 %14.0 %13.6 %13.6 %13.6 %(3)bp32 bp
Tier 1 leverage ratio*10.8 %10.7 %10.5 %10.5 %10.7 %13 bp13 bp
Risk-weighted assets (“RWA”) (billions)$71.2 $71.1 $71.9 $71.5 $69.5 $0.2 — %$1.7 2 %
Total equity to total assets 11.21 %11.38 %10.65 %10.53 %11.02 %(17)bp19 bp
Tangible common equity/tangible assets (“TCE/TA”)4
8.33 %8.48 %7.76 %7.71 %7.41 %(15)bp92 bp
Period-end shares outstanding (millions)9
549 559 559 559 538 (10)(2)%11 2 %
Cash dividends declared per common share$0.15 $0.15 $0.15 $0.15 $0.15 $— — %$— — %
Book value per common share$15.23 $15.17 $14.28 $14.58 $14.11 $0.06 — %$1.12 8 %
Tangible book value per common share4
$12.16 $12.13 $11.22 $11.50 $10.89 $0.03 — %$1.27 12 %
SELECTED BALANCE SHEET DATA
Loans-to-deposit ratio (period-end balances)93.93 %93.18 %92.18 %93.68 %96.10 %75 bp(217)bp
Loans-to-deposit ratio (average balances)93.54 %91.53 %92.35 %97.52 %93.33 %201 bp21 bp
Full-time equivalent associates7,327 7,277 7,340 7,327 7,282 50 1 %45 1 %
Certain previously reported amounts have been reclassified to agree with current presentation.
*Current quarter is an estimate.
See footnote disclosures on page 19.
9


CONSOLIDATED PERIOD-END BALANCE SHEET
Quarterly, Unaudited 
     1Q24 Change vs.
(In millions)1Q244Q233Q232Q231Q234Q231Q23
Assets:$%$%
Loans and leases:      
Commercial, financial, and industrial (C&I)$32,911 $32,632 $33,163 $33,116 $32,172 $279 1 %$738 2 %
Commercial real estate14,426 14,216 14,121 13,891 13,397 210 1 1,029 8 
Total Commercial47,337 46,849 47,283 47,006 45,570 488 1 1,767 4 
Consumer real estate13,645 13,650 13,685 13,475 12,668 (5)— 977 8 
Credit card and other5
771 793 809 813 807 (22)(3)(37)(5)
Total Consumer14,416 14,443 14,494 14,289 13,475 (27)— 941 7 
Loans and leases, net of unearned income61,753 61,292 61,778 61,295 59,045 461 1 2,708 5 
Loans held for sale395 502 613 789 650 (107)(21)(255)(39)
Investment securities9,460 9,714 9,435 9,949 10,317 (254)(3)(857)(8)
Trading securities1,161 1,412 1,231 1,059 1,122 (251)(18)39 4 
Interest-bearing deposits with banks1,885 1,328 1,917 4,523 2,488 557 42 (603)(24)
Federal funds sold and securities purchased under agreements to resell817 719 416 282 309 98 14 509 NM
Total interest earning assets75,470 74,967 75,389 77,898 73,929 504 1 1,541 2 
Cash and due from banks749 1,012 1,022 1,137 987 (263)(26)(238)(24)
Goodwill and other intangible assets, net1,685 1,696 1,709 1,720 1,732 (11)(1)(47)(3)
Premises and equipment, net586 590 590 595 603 (4)(1)(16)(3)
Allowance for loan and lease losses(787)(773)(760)(737)(715)(14)(2)(72)(10)
Other assets4,094 4,169 4,584 4,458 4,193 (75)(2)(99)(2)
Total assets$81,799 $81,661 $82,533 $85,071 $80,729 $138 — %$1,069 1 %
Liabilities and Shareholders' Equity:
Deposits:
Savings$25,847 $25,082 $25,590 $23,733 $21,346 $765 3 %$4,502 21 %
Time deposits6,297 6,804 7,783 8,279 3,777 (507)(7)2,520 67 
Other interest-bearing deposits17,186 16,689 15,817 14,620 15,184 497 3 2,002 13 
Total interest-bearing deposits49,331 48,576 49,190 46,632 40,306 755 2 9,024 22 
Trading liabilities467 509 366 174 144 (42)(8)323 NM
Federal funds purchased and securities sold under agreements to repurchase2,137 2,223 2,015 2,169 1,621 (86)(4)516 32 
Short-term borrowings566 326 492 4,777 4,863 240 74 (4,297)(88)
Term borrowings1,165 1,150 1,157 1,156 1,605 15 1 (441)(27)
Total interest-bearing liabilities53,665 52,783 53,220 54,908 48,540 882 2 5,125 11 
Noninterest-bearing deposits16,410 17,204 17,825 18,801 21,134 (794)(5)(4,723)(22)
Other liabilities2,550 2,383 2,694 2,403 2,161 167 7 389 18 
Total liabilities72,626 72,370 73,740 76,112 71,835 256 — 791 1 
Shareholders' Equity:
Preferred stock520 520 520 520 1,014 — — (494)(49)
Common stock343 349 349 349 336 (6)(2)7 2 
Capital surplus5,214 5,351 5,337 5,324 4,863 (137)(3)351 7 
Retained earnings4,072 3,964 3,874 3,830 3,595 108 3 477 13 
Accumulated other comprehensive loss, net(1,271)(1,188)(1,582)(1,359)(1,208)(83)(7)(62)(5)
Combined shareholders' equity8,878 8,996 8,498 8,664 8,599 (118)(1)279 3 
Noncontrolling interest295 295 295 295 295 — — — — 
Total shareholders' equity9,173 9,291 8,794 8,960 8,895 (118)(1)279 3 
Total liabilities and shareholders' equity$81,799 $81,661 $82,533 $85,071 $80,729 $138 — %$1,069 1 %
Memo:
Total deposits$65,741 $65,780 $67,015 $65,433 $61,440 $(39)— %$4,301 7 %
Loans to mortgage companies$2,362 $2,019 $2,237 $2,691 $2,040 $343 17 %$322 16 %
Unfunded Loan Commitments:
Commercial$19,996 $21,328 $22,063 $22,134 $21,844 $(1,333)(6)%$(1,848)(8)%
Consumer$4,383 $4,401 $4,432 $4,400 $4,404 $(18)— %$(21)— %
Numbers may not foot due to rounding. See footnote disclosures on page 19.
10

CONSOLIDATED AVERAGE BALANCE SHEET
Quarterly, Unaudited 
     1Q24 Change vs.
(In millions)1Q244Q233Q232Q231Q234Q231Q23
Assets:$%$%
Loans and leases:      
Commercial, financial, and industrial (C&I)$32,389 $32,520 $33,042 $32,423 $31,558 $(131)— %$831 3 %
Commercial real estate14,367 14,210 13,999 13,628 13,290 157 1 1,077 8 
Total Commercial46,756 46,730 47,041 46,051 44,848 26 — 1,908 4 
Consumer real estate13,615 13,664 13,575 13,058 12,401 (49)— 1,215 10 
Credit card and other5
781 802 816 815 825 (21)(3)(44)(5)
Total Consumer14,396 14,466 14,391 13,873 13,226 (70)— 1,170 9 
Loans and leases, net of unearned income61,152 61,197 61,432 59,924 58,074 (44)— 3,079 5 
Loans held-for-sale454 547 782 731 596 (93)(17)(142)(24)
Investment securities9,590 9,394 9,811 10,192 10,263 196 2 (673)(7)
Trading securities1,245 1,225 1,099 1,110 1,284 20 2 (39)(3)
Interest-bearing deposits with banks1,793 2,556 2,867 3,110 1,468 (763)(30)325 22 
Federal funds sold and securities purchased under agreements to resell544 529 315 279 392 15 3 152 39 
Total interest earning assets74,778 75,448 76,306 75,346 72,076 (670)(1)2,701 4 
Cash and due from banks948 994 997 1,024 1,035 (46)(5)(87)(8)
Goodwill and other intangibles assets, net1,691 1,702 1,714 1,726 1,738 (11)(1)(48)(3)
Premises and equipment, net587 589 592 598 607 (2)— (20)(3)
Allowances for loan and lease losses(789)(772)(766)(728)(692)(17)(2)(96)(14)
Other assets4,028 4,352 4,377 4,338 4,076 (324)(7)(48)(1)
Total assets$81,243 $82,313 $83,220 $82,304 $78,841 $(1,069)(1)%$2,403 3 %
Liabilities and shareholders' equity:
Deposits:
Savings$25,390 $25,799 $24,963 $21,542 $21,824 $(409)(2)%$3,566 16 %
Time deposits6,628 7,372 8,087 5,520 3,336 (744)(10)3,291 99 
Other interest-bearing deposits16,735 16,344 15,329 14,719 14,790 391 2 1,945 13 
Total interest-bearing deposits48,753 49,515 48,379 41,781 39,950 (762)(2)8,802 22 
Trading liabilities462 386 276 216 324 76 20 137 42 
Federal funds purchased and securities sold under agreements to repurchase2,014 1,982 1,970 1,634 1,507 32 2 %507 34 %
Short-term borrowings537 437 1,790 6,365 2,188 100 23 (1,651)(75)
Term borrowings1,156 1,156 1,161 1,428 1,602 — — (446)(28)
Total interest-bearing liabilities52,921 53,475 53,575 51,424 45,572 (554)(1)7,350 16 
Noninterest-bearing deposits16,626 17,347 18,145 19,664 22,274 (721)(4)(5,648)(25)
Other liabilities2,445 2,585 2,522 2,187 2,289 (140)(5)157 7 
Total liabilities71,992 73,407 74,242 73,275 70,134 (1,415)(2)1,858 3 
Shareholders' Equity:
Preferred stock520 520 520 986 1,014 — — (494)(49)
Common stock 347 349 349 337 336 (2)(1)11 3 
Capital surplus5,301 5,343 5,330 4,891 4,851 (42)(1)450 9 
Retained earnings4,028 3,935 3,861 3,759 3,518 93 2 510 15 
Accumulated other comprehensive loss, net(1,240)(1,538)(1,378)(1,241)(1,307)298 19 67 5 
Combined shareholders' equity8,956 8,610 8,683 8,734 8,411 346 4 545 6 
Noncontrolling interest295 295 295 295 295 — — — — 
Total shareholders' equity9,251 8,905 8,978 9,029 8,707 346 4 544 6 
Total liabilities and shareholders' equity$81,243 $82,313 $83,220 $82,304 $78,841 $(1,069)(1)%$2,403 3 %
Memo:
Total deposits$65,379 $66,862 $66,523 $61,445 $62,224 $(1,483)(2)%$3,154 5 %
Loans to mortgage companies$1,842 $1,939 $2,353 $2,262 $1,875 $(97)(5)%$(33)(2)%
Numbers may not foot due to rounding. See footnote disclosures on page 19.
11

CONSOLIDATED NET INTEREST INCOME AND AVERAGE BALANCE SHEET: YIELDS AND RATES
Quarterly, Unaudited 
   1Q24 Change vs.
1Q244Q233Q232Q231Q234Q231Q23
(In millions, except rates)Income/ExpenseRateIncome/ExpenseRateIncome/ExpenseRateIncome/ExpenseRateIncome/ExpenseRateIncome/ExpenseIncome/Expense
$/bp%$/bp%
Interest earning assets/Interest income:   
Loans and leases, net of unearned income:
Commercial$782 6.73 %$783 6.65 %$779 6.58 %$727 6.34 %$668 6.04 %$(1)— %$114 17 %
Consumer173 4.80 171 4.71 165 4.55 153 4.39 141 4.26 2 1 32 23 
Loans and leases, net of unearned income955 6.28 954 6.19 944 6.10 880 5.89 809 5.64 1 — 146 18 
Loans held-for-sale9 7.80 11 8.34 15 7.88 14 7.58 11 7.08 (2)(21)(2)(21)
Investment securities61 2.54 61 2.62 62 2.54 63 2.49 63 2.45 — — (2)(4)
Trading securities20 6.48 20 6.63 19 7.03 19 6.69 20 6.21 — 1 — 1 
Interest-bearing deposits with banks24 5.46 35 5.46 39 5.34 40 5.13 17 4.60 (11)(30)7 43 
Federal funds sold and securities purchased under agreements7 5.16 7 5.32 4 5.06 3 4.85 4 4.35 — — 3 74 
Interest income$1,076 5.78 %$1,089 5.74 %$1,084 5.64 %$1,019 5.42 %$923 5.18 %$(13)(1)%$153 17 %
Interest bearing liabilities/Interest expense:
Interest-bearing deposits:
Savings$206 3.27 %$222 3.42 %$219 3.48 %$141 2.63 %$96 1.79 %$(16)(7)%$110 115 %
Time deposits73 4.42 82 4.42 89 4.35 49 3.56 16 1.96 (9)(11)57 NM
Other interest-bearing deposits119 2.86 116 2.81 102 2.64 75 2.06 58 1.59 3 2 61 105 
Total interest-bearing deposits398 3.28 420 3.37 409 3.36 265 2.55 171 1.73 (22)(5)227 133 
Trading liabilities5 4.31 4 4.59 3 4.20 2 3.82 3 3.83 1 24 2 65 
Federal funds purchased and securities sold under agreements to repurchase21 4.24 22 4.35 21 4.24 15 3.74 12 3.23 (1)(4)9 77 
Short-term borrowings7 5.43 6 5.41 24 5.42 83 5.25 26 4.79 1 21 (19)(72)
Term borrowings17 5.71 17 5.75 17 5.82 19 5.21 20 4.98 — (3)(3)(17)
Interest expense448 3.40 469 3.48 475 3.52 385 3.00 232 2.06 (21)(5)216 93 
Net interest income - tax equivalent basis628 2.38 621 2.26 609 2.12 635 2.42 691 3.11 7 1 (63)(9)
Fully taxable equivalent adjustment(4)0.99 (4)1.01 (4)1.05 (4)0.96 (4)0.76 — 4 — 4 
Net interest income$625 3.37 %$617 3.27 %$605 3.17 %$631 3.38 %$688 3.88 %$8 1 %$(63)(9)%
Memo:
Total loan yield6.28 %6.19 %6.10 %5.89 %5.64 %9 bp64 bp
Total deposit cost2.45 %2.49 %2.44 %1.73 %1.11 %(5)bp134 bp
Total funding cost2.59 %2.63 %2.63 %2.17 %1.38 %(4)bp121 bp
Average loans and leases, net of unearned income$61,152 $61,197 $61,432 $59,924 $58,074 $(44)— %$3,079 5 %
Average deposits65,37966,86266,52361,44562,224(1,483)(2)%3,154 5 %
Average funded liabilities69,54770,82271,72071,08867,846$(1,275)(2)%$1,702 3 %
Net interest income and yields are adjusted to a fully taxable equivalent (“FTE”) basis assuming a statutory federal income tax of 21 percent and, where applicable, state income taxes.
Earning assets yields are expressed net of unearned income.
Loan yields include loan fees, cash basis interest income, and loans on nonaccrual status.
Numbers may not foot due to rounding.
See footnote disclosures on page 19.
12

CONSOLIDATED NONPERFORMING LOANS AND LEASES ("NPL")
Quarterly, Unaudited 
As of 1Q24 change vs.
(In millions, except ratio data)1Q244Q233Q232Q231Q234Q231Q23
$%$%
Nonperforming loans and leases
Commercial, financial, and industrial (C&I)$206 $184 $123 $184 $204 $22 12 %$2 1 %
Commercial real estate157 136 125 73 63 21 15 94 NM
Consumer real estate140 139 145 144 155 1 1 (15)(10)
Credit card and other5
2 2 2 2 2 (1)(35)(1)(28)
Total nonperforming loans and leases$505 $462 $394 $402 $424 $43 9 %$81 19 %
Asset Quality Ratio
Nonperforming loans and leases to loans and leases
Commercial, financial, and industrial (C&I)0.63 %0.57 %0.37 %0.55 %0.63 %
Commercial real estate1.09 0.96 0.88 0.52 0.47 
Consumer real estate1.02 1.02 1.06 1.07 1.22 
Credit card and other5
0.20 0.30 0.26 0.27 0.29 
Total nonperforming loans and leases to loans and leases0.82 %0.75 %0.64 %0.66 %0.72 %
Numbers may not foot due to rounding.
See footnote disclosures on page 19.



CONSOLIDATED LOANS AND LEASES 90 DAYS OR MORE PAST DUE AND ACCRUING
Quarterly, Unaudited
As of1Q24 change vs.
(In millions)1Q244Q233Q232Q231Q234Q231Q23
$%$%
Loans and leases 90 days or more past due and accruing
Commercial, financial, and industrial (C&I)$— $1 $3 $1 $— $— (27)%$— 5 %
Commercial real estate— — — — — — NM — NM
Consumer real estate6 17 12 8 7 (11)(63)(1)(8)
Credit card and other5
3 3 3 5 5 — (8)(2)(34)
Total loans and leases 90 days or more past due and accruing$10 $21 $17 $14 $12 $(11)(53)%$(2)(18)%
Numbers may not foot due to rounding.
See footnote disclosures on page 19.
13


CONSOLIDATED NET CHARGE-OFFS (RECOVERIES)
Quarterly, Unaudited
As of1Q24 change vs.
(In millions, except ratio data)1Q244Q233Q232Q231Q234Q231Q23
Charge-off, Recoveries and Related Ratios$%$%
Gross Charge-offs
Commercial, financial, and industrial (C&I) *$28 $31 $92 $19 $14 $(3)(11)%$14 98 %
Commercial real estate12 2 5 8 2 10 NM 11 NM
Consumer real estate— 1 1 1 1 (1)(67)— (38)
Credit card and other5
6 6 7 5 5 — (4)— 7 
Total gross charge-offs$46 $41 $104 $33 $22 $5 13 %$24 NM
Gross Recoveries
Commercial, financial, and industrial (C&I)$(3)$(2)$(5)$(5)$(2)$(1)(36)%$— (20)%
Commercial real estate— — — (1)— — 76 — 55 
Consumer real estate(1)(2)(2)(3)(2)— 11 1 40 
Credit card and other5
(2)(1)(1)(1)(1)(1)(69)— (34)
Total gross recoveries$(6)$(5)$(9)$(9)$(6)$(1)(18)%$— 3 %
Net Charge-offs (Recoveries)
Commercial, financial, and industrial (C&I) *$25 $29 $86 $14 $12 $(4)(14)%$13 NM
Commercial real estate12 2 4 8 2 10 NM 11 NM
Consumer real estate(1)— (2)(2)(2)(1)NM 1 40 
Credit card and other5
4 5 6 3 4 (1)(20)— (2)
Total net charge-offs$40 $36 $95 $23 $16 $4 12 %$24 NM
Annualized Net Charge-off (Recovery) Rates
Commercial, financial, and industrial (C&I) *0.31 %0.36 %1.04 %0.18 %0.15 %
Commercial real estate0.35 0.06 0.12 0.23 0.05 
Consumer real estate(0.03)— (0.05)(0.06)(0.05)
Credit card and other5
1.98 2.36 2.77 1.65 1.93 
Total loans and leases0.27 %0.23 %0.61 %0.16 %0.11 %
Numbers may not foot due to rounding.
•3Q23 increase driven by a single credit from a company in bankruptcy.
See footnote disclosures on page 19.
14


CONSOLIDATED ALLOWANCE FOR LOAN AND LEASE LOSSES AND RESERVE FOR UNFUNDED COMMITMENTS
Quarterly, Unaudited
As of1Q24 Change vs.
(In millions)1Q244Q233Q232Q231Q234Q231Q23
Summary of Changes in the Components of the Allowance For Credit Losses$%$%
Allowance for loan and lease losses - beginning$773 $760 $737 $715 $685 $13 2 %$88 13 %
Cumulative effect of change in accounting principle:
Commercial, financial, and industrial (C&I)— — — — 1 — NM (1)NM
Commercial real estate— — — — — — NM — NM
Consumer real estate— — — — (7)— NM 7 NM
Credit card and other5
— — — — — — NM — NM
Total cumulative effect of change in accounting principles— — — — (6)— NM 6 NM
Allowance for loan and lease losses - beginning, adjusted$773 $760 $737 $715 $679 $13 2 %$94 14 %
Charge-offs:
Commercial, financial, and industrial (C&I) *(28)(31)(92)(19)(14)3 11 (14)(98)
Commercial real estate(12)(2)(5)(8)(2)(10)NM (11)NM
Consumer real estate— (1)(1)(1)(1)1 67 — 38 
Credit card and other5
(6)(6)(7)(5)(5)— 4 — (7)
Total charge-offs(46)(41)(104)(33)(22)(5)(13)(24)NM
Recoveries:
Commercial, financial, and industrial (C&I)3 2 5 5 2 1 36 — 20 
Commercial real estate— — — 1 — — (76)— (55)
Consumer real estate1 2 2 3 2 — (11)(1)(40)
Credit card and other5
2 1 1 1 1 1 63 — 29 
Total Recoveries6 5 9 9 6 1 17 — (4)
Provision for loan and lease losses:
Commercial, financial, and industrial (C&I) *34 33 96 15 27 — 1 7 24 
Commercial real estate21 6 14 16 6 15 NM 15 NM
Consumer real estate(3)5 5 10 15 (8)NM (19)NM
Credit card and other5
3 5 3 3 4 (3)(51)(1)(34)
Total provision for loan and lease losses:
54 49 118 45 52 5 10 2 4 
Allowance for loan and lease losses - ending$787 $773 $760 $737 $715 $14 2 %$72 10 %
Reserve for unfunded commitments - beginning$83 $82 $90 $85 $87 $1 1 %$(4)(5)%
Cumulative effect of change in accounting principle— — — — — — NM — NM
Acquired reserve for unfunded commitments— — — — — — NM — NM
Provision for unfunded commitments(4)1 (8)5 (2)(5)NM (2)(100)
Reserve for unfunded commitments - ending$79 $83 $82 $90 $85 $(4)(5)%$(6)(7)%
Total allowance for credit losses- ending$865 $856 $842 $827 $800 $10 1 %$65 8 %
Numbers may not foot due to rounding.
•3Q23 increase driven by a single credit from a company in bankruptcy.
See footnote disclosures on page 19.
15


CONSOLIDATED ASSET QUALITY RATIOS - ALLOWANCE FOR LOAN AND LEASE LOSSES
Quarterly, Unaudited
As of
1Q244Q233Q232Q231Q23
Allowance for loans and lease losses to loans and leases
Commercial, financial, and industrial (C&I)1.06 %1.04 %1.01 %0.98 %1.01 %
Commercial real estate1.26 %1.21 %1.19 %1.14 %1.12 %
Consumer real estate1.69 %1.71 %1.67 %1.64 %1.65 %
Credit card and other5
3.57 %3.63 %3.48 %3.79 %3.86 %
Total allowance for loans and lease losses to loans and leases1.27 %1.26 %1.23 %1.20 %1.21 %
Allowance for loans and lease losses to nonperforming loans and leases
Commercial, financial, and industrial (C&I)168 %184 %273 %177 %159 %
Commercial real estate115 %126 %135 %219 %238 %
Consumer real estate165 %168 %158 %154 %135 %
Credit card and other5
1,766 %1,202 %1,364 %1,384 %1,439 %
Total allowance for loans and lease losses to nonperforming loans and leases156 %167 %193 %183 %169 %
Allowance for credit losses ratios
Total allowance for credit losses to loans and leases4
1.40 %1.40 %1.36 %1.35 %1.35 %
Total allowance for credit losses to nonperforming loans and leases4
171 %185 %214 %206 %189 %
See footnote disclosures on page 19.
16

REGIONAL BANKING
Quarterly, Unaudited 
     1Q24 Change vs.
 1Q244Q233Q232Q231Q234Q231Q23
$/bp%$/bp%
Income Statement (millions)      
Net interest income$532 $548 $558 $586 $561 $(16)(3)%$(29)(5)%
Noninterest income105 106 106 106 104 (1)(1)1 1 
Total revenue637 655 664 691 665 (18)(3)(28)(4)
Noninterest expense324 335 312 315 313 (11)(3)11 4 
Pre-provision net revenue3
313 320 352 377 352 (7)(2)(39)(11)
Provision for credit losses28 28 112 35 37 — — (9)(24)
Income before income tax expense285 292 240 342 315 (7)(2)(30)(10)
Income tax expense67 68 56 80 74 (1)(1)(7)(9)
Net income$218 $224 $185 $261 $241 $(6)(3)%$(23)(10)%
Average Balances (billions)
Total loans and leases$40.6 $40.6 $40.6 $39.7 $38.7 $— — %$1.9 5 %
Interest-earning assets40.6 40.6 40.6 39.7 38.7 — — 1.9 5 
Total assets43.1 43.2 43.3 42.3 41.3 (0.1)— 1.8 4 
Total deposits57.8 58.6 58.0 55.2 56.9 (0.8)(1)0.9 2 
Key Metrics
Net interest margin6
5.30 %5.39 %5.48 %5.95 %5.90 %(9)bp(60)bp
Efficiency ratio 50.84 %51.17 %46.94 %45.49 %47.10 %(33)bp374 bp
Loans-to-deposits ratio (period-end balances)69.82 %68.76 %69.68 %70.22 %69.54 %106 bp28 bp
Loans-to-deposits ratio (average-end balances)70.18 %69.34 %70.03 %71.83 %68.02 %84 bp216 bp
Return on average assets (annualized)2.04 %2.05 %1.69 %2.48 %2.37 %(1)bp(33)bp
Return on allocated equity7
25.03 %25.78 %21.25 %30.33 %28.39 %(75)bp(336)bp
Financial center locations418 418 418 417 417 — 1 
Numbers may not add to total due to rounding.
Certain previously reported amounts have been reclassified to agree with current presentation.
See footnote disclosures on page 19.

Regional Banking segment: Offers financial products and services, including traditional lending and deposit taking, to consumer and commercial customers primarily in the southern and southeastern U.S. and other selected markets. Regional Banking also provides investment, wealth management, financial planning, trust and asset management services for consumer customers.
17


SPECIALTY BANKING
Quarterly, Unaudited 
     1Q24 Change vs.
 1Q244Q233Q232Q231Q234Q231Q23
$/bp%$/bp%
Income Statement (millions)      
Net interest income$153 $153 $161 $156 $151 $(1)— %$2 1 %
Noninterest income72 64 49 50 56 8 12 15 27 
Total revenue224 217 209 206 207 7 3 17 8 
Noninterest expense104 100 95 94 100 4 4 4 4 
Pre-provision net revenue3
120 117 114 112 107 4 3 13 12 
Provision for credit losses23 31 2 18 14 (8)(27)9 60
Income before income tax expense97 85 112 94 93 12 14 5 5 
Income tax expense24 21 27 23 23 3 14 1 6 
Net income$74 $65 $85 $71 $70 $9 14 %$3 5 %
Average Balances (billions)
Total loans and leases$20.2 $20.1 $20.4 $19.8 $18.9 $— — %$1.3 7 %
Interest-earning assets22.4 22.4 22.7 22.0 21.2 — — 1.2 6 
Total assets23.7 23.9 24.1 23.3 22.6 (0.2)(1)1.1 5 
Total deposits4.0 4.2 4.1 3.8 4.5 (0.2)(4)(0.5)(11)
Key Metrics
Fixed income product average daily revenue (thousands)$731 $463 $301 $348 $437 $268 58 %$294 67 %
Net interest margin6
2.74 %2.71 %2.81 %2.85 %2.87 %3 bp(13)bp
Efficiency ratio 46.38 %46.22 %45.43 %45.65 %48.26 %16 bp(188)bp
Loans-to-deposits ratio (period-end balances)539 %524 %493 %534 %467 %1,494 bp7,156 bp
Loans-to-deposits ratio (average-end balances)506 %482 %501 %521 %424 %2,328 bp8,210 bp
Return on average assets (annualized)1.25 %1.08 %1.40 %1.22 %1.26 %17 bp(1)bp
Return on allocated equity7
14.45 %12.53 %17.34 %15.46 %15.69 %192 bp(124)bp
Numbers may not add to total due to rounding.
Certain previously reported amounts have been reclassified to agree with current presentation.
See footnote disclosures on page 19.

Specialty Banking segment: Consists of lines of business that deliver product offerings and services with specialized industry knowledge. Specialty Banking’s lines of business include asset-based lending, mortgage warehouse lending, commercial real estate, franchise finance, correspondent banking, equipment finance, and mortgage. In addition to traditional lending and deposit taking, Specialty Banking also delivers treasury management solutions, loan syndications, and international banking. Additionally, Specialty Banking has a line of business focused on fixed income securities sales, trading, underwriting, and strategies for institutional clients in the U.S. and abroad, as well as loan sales, portfolio advisory services, and derivative sales.
18

CORPORATE
Quarterly, Unaudited
 1Q24 Change vs.
 1Q244Q233Q232Q231Q234Q231Q23
$%$%
Income Statement (millions)
Net interest income/(expense)$(60)$(85)$(113)$(111)$(24)$25 29 %$(36)NM
Noninterest income18 13 18 244 11 5 39 7 62 
Total revenues(43)(72)(95)133 (13)30 41 (30)NM
Noninterest expense87 137 67 147 65 (50)(36)22 34 
Pre-provision net revenue3
(130)(209)(162)(14)(78)80 38 (52)(67)
Provision for credit losses(1)(9)(5)(4)(1)8 90 — 17 
Income before income tax expense(129)(200)(158)(10)(77)71 36 (52)(68)
Income tax expense (benefit)(33)(100)(31)(7)(21)67 67 (12)(58)
Net income/(loss)$(95)$(100)$(127)$(3)$(56)$5 5 %$(40)(71)%
Average Balance Sheet (billions)    
Interest bearing assets$11.8 $12.4 $13.0 $13.7 $12.1 $(0.6)(5)%$(0.4)(3)%
Total assets14.4 15.2 15.9 16.7 14.9 (0.8)(5)(0.5)(4)
Numbers may not add to total due to rounding.
Certain previously reported amounts have been reclassified to agree with current presentation.


Corporate segment: Consists primarily of corporate support functions including risk management, audit, accounting, finance, executive office, and corporate communications. Shared support services such as human resources, properties, technology, credit risk and bank operations are allocated to the activities of Regional Banking, Specialty Banking, and Corporate. Additionally, the Corporate segment includes centralized management of capital and funding to support the business activities of the company including management of wholesale funding, liquidity, and capital management and allocation. Finally, the Corporate segment includes the revenue and expense associated with run-off businesses such as pre-2009 mortgage banking elements, run-off consumer and trust preferred loan portfolios, and other exited businesses.


FOOTNOTES
1 Taxable equivalent interest income and interest expense are non-GAAP measures and reconcile to net interest income (GAAP) in the table.
2 Occupancy and Equipment expense includes Computer Software Expense.
3 Pre-provision net revenue is a non-GAAP measure and is reconciled to income before income taxes (GAAP) in the table.
4 Represents a non-GAAP measure and is reconciled to the nearest GAAP measure in the non-GAAP to GAAP reconciliations beginning on page 20.
5 Credit card and other includes $180.9 million of commercial credit card balances at March 31, 2024.
6 Net interest margin is computed using total NII adjusted for FTE assuming a statutory federal income tax rate of 21 percent, and, where applicable state taxes.
7 Segment equity is allocated based on an internal allocation methodology.
8 2Q23 includes 19.7 million share impact of Series G convertible securities issued in connection with TD transaction based on the final conversion rate; 1Q23 includes 27.5 million shares based on the original maximum conversion rate.
9 2Q23 increase driven by the conversion of Series G convertible securities issued in connection with TD transaction.
19

CONSOLIDATED NON-GAAP TO GAAP RECONCILIATION
Quarterly, Unaudited
($s in millions, except per share data)1Q244Q233Q232Q231Q23
Tangible Common Equity (Non-GAAP)    
(A) Total equity (GAAP)$9,173 $9,291 $8,794 $8,960 $8,895 
Less: Noncontrolling interest (a)295 295 295 295 295 
Less: Preferred stock (a)520 520 520 520 1,014 
(B) Total common equity$8,358 $8,476 $7,978 $8,144 $7,586 
Less: Intangible assets (GAAP) (b)1,685 1,696 1,709 1,720 1,732 
(C) Tangible common equity (Non-GAAP)$6,673 $6,779 $6,270 $6,424 $5,853 
Tangible Assets (Non-GAAP) 
(D) Total assets (GAAP)$81,799 $81,661 $82,533 $85,071 $80,729 
Less: Intangible assets (GAAP) (b)1,685 1,696 1,709 1,720 1,732 
(E) Tangible assets (Non-GAAP)$80,114 $79,965 $80,825 $83,351 $78,997 
Period-end Shares Outstanding     
(F) Period-end shares outstanding549 559 559 559 538 
Ratios
(A)/(D) Total equity to total assets (GAAP)11.21 %11.38 %10.65 %10.53 %11.02 %
(C)/(E) Tangible common equity to tangible assets (“TCE/TA”) (Non-GAAP)8.33 %8.48 %7.76 %7.71 %7.41 %
(B)/(F) Book value per common share (GAAP)$15.23 $15.17 $14.28 $14.58 $14.11 
(C)/(F) Tangible book value per common share (Non-GAAP)$12.16 $12.13 $11.22 $11.50 $10.89 
(a)     Included in Total equity on the Consolidated Balance Sheet.
(b)     Includes goodwill and other intangible assets, net of amortization.
Numbers may not foot due to rounding.


20

CONSOLIDATED NON-GAAP TO GAAP RECONCILIATION
Quarterly, Unaudited
($s in millions, except per share data)1Q244Q233Q232Q231Q23
Adjusted Diluted EPS
Net income available to common shareholders ("NIAC") (GAAP)a$184 $175 $129 $317 $243 
Plus Tax effected notable items (Non-GAAP) (a)$12 $3 $20 $(98)$16 
Adjusted net income available to common shareholders (Non-GAAP)b$196 $178 $150 $219 $259 
Diluted Shares (GAAP)8
c558 561 561 561 572 
Diluted EPS (GAAP)a/c$0.33 $0.31 $0.23 $0.56 $0.43 
Adjusted diluted EPS (Non-GAAP)b/c$0.35 $0.32 $0.27 $0.39 $0.45 
Adjusted Net Income ("NI") and Adjusted Return on Assets ("ROA")
Net Income ("NI") (GAAP)$197 $188 $142 $329 $256 
Plus Tax effected notable items (Non-GAAP) (a)$12 $3 $20 $(98)$16 
Adjusted NI (Non-GAAP)$209 $191 $163 $231 $271 
NI (annualized) (GAAP)d$791 $746 $565 $1,320 $1,037 
Adjusted NI (annualized) (Non-GAAP)e$838 $757 $646 $928 $1,100 
Average assets (GAAP)f$81,243 $82,313 $83,220 $82,304 $78,841 
ROA (GAAP)d/f0.97 %0.91 %0.68 %1.60 %1.32 %
Adjusted ROA (Non-GAAP)e/f1.03 %0.92 %0.78 %1.13 %1.40 %
Return on Average Common Equity ("ROCE")/ Return on Average Tangible Common Equity ("ROTCE")/ Adjusted ROTCE
Net income available to common shareholders ("NIAC") (annualized) (GAAP)g$739 $695 $513 $1,270 $987 
Adjusted Net income available to common shareholders (annualized) (Non-GAAP)h$787 $706 $594 $878 $1,050 
Average Common Equity (GAAP)i$8,436 $8,090 $8,163 $7,747 $7,398 
Intangible Assets (GAAP) (b)1,691 1,702 1,714 1,726 1,738 
Average Tangible Common Equity (Non-GAAP)j$6,745 $6,388 $6,448 $6,021 $5,659 
ROCE (GAAP)g/i8.76 %8.60 %6.28 %16.40 %13.34 %
ROTCE (Non-GAAP)g/j10.95 %10.89 %7.95 %21.10 %17.43 %
Adjusted ROTCE (Non-GAAP)h/j11.65 %11.05 %9.21 %14.59 %18.55 %
(a)     Amounts adjusted for notable items as detailed on page 8.
(b)     Includes goodwill and other intangible assets, net of amortization.
Numbers may not foot due to rounding.


21

CONSOLIDATED NON-GAAP TO GAAP RECONCILIATION
Quarterly, Unaudited
(In millions)1Q244Q233Q232Q231Q23
Adjusted Noninterest Income as a % of Total Revenue
Noninterest income (GAAP)k$194 $183 $173 $400 $171 
Plus notable items (GAAP) (a)— (4)— (225)— 
Adjusted noninterest income (Non-GAAP)l$194 $179 $173 $175 $171 
Revenue (GAAP)m$819 $800 $778 $1,031 $859 
Taxable-equivalent adjustment4 4 4 4 4 
Revenue- Taxable-equivalent (Non-GAAP)823 804 782 1,035 863 
Plus notable items (GAAP) (a)— (4)— (225)— 
Adjusted revenue (Non-GAAP)n$823 $800 $782 $810 $863 
Securities gains/(losses) (GAAP)o$— $(5)$— $— $— 
Noninterest income as a % of total revenue (GAAP)(k-o)/ (m-o)23.72 %23.33 %22.23 %38.80 %19.90 %
Adjusted noninterest income as a % of total revenue (Non-GAAP)l/n23.61 %22.32 %22.11 %21.60 %19.81 %
Adjusted Efficiency Ratio
Noninterest expense (GAAP)p$515 $572 $474 $555 $478 
Plus notable items (GAAP) (a)(15)(70)(10)(95)(21)
Adjusted noninterest expense (Non-GAAP)q$500 $502 $465 $461 $457 
Revenue (GAAP)r$819 $800 $778 $1,031 $859 
Taxable-equivalent adjustment4 4 4 4 4 
Revenue- Taxable-equivalent (Non-GAAP)823 804 782 1,035 863 
Plus notable items (GAAP) (a)— (4)— (225)— 
Adjusted revenue (Non-GAAP)s$823 $800 $782 $810 $863 
Securities gains/(losses) (GAAP)t$— $(5)$— $— $— 
Efficiency ratio (GAAP)p/ (r-t)62.92 %71.14 %60.96 %53.89 %55.67 %
Adjusted efficiency ratio (Non-GAAP)q/s60.78 %62.84 %59.43 %56.92 %52.95 %
(a)     Amounts adjusted for notable items as detailed on page 8.
(b)     Includes goodwill and other intangible assets, net of amortization.
Numbers may not foot due to rounding.
22

CONSOLIDATED NON-GAAP TO GAAP RECONCILIATION
Quarterly, Unaudited
($s in millions)
Period-endAverage
1Q244Q231Q24 vs. 4Q231Q244Q231Q24 vs. 4Q23
Loans excluding LMC
Total Loans (GAAP)$61,753 $61,292 $461 1 %$61,152 $61,197 $(45)— %
LMC (GAAP)2,3622,019343 17 %1,8421,939(97)(5)%
Total Loans excl. LMC (Non-GAAP)59,391 59,273 118 — %59,310 59,258 52 — %
Total Consumer (GAAP)14,41614,443(27)— %14,39614,466(70)— %
Total Commercial excl. LMC (Non-GAAP)44,975 44,829 146 — %44,914 44,792 122 — %
Total CRE (GAAP)14,426 14,216 210 1 %14,367 14,210 157 1 %
Total C&I excl. LMC (Non-GAAP)$30,549 $30,613 $(64)— %$30,547 $30,581 $(34)— %
Numbers may not foot due to rounding.




1Q244Q233Q232Q231Q23
Allowance for credit losses to loans and leases and Allowance for credit losses to nonperforming loans and leases
Allowance for loan and lease losses (GAAP)A$787 $773 $760 $737 $715 
Reserve for unfunded commitments (GAAP)79 83 82 90 85 
Allowance for credit losses (Non-GAAP)B$865 $856 $842 $827 $800 
Loans and leases (GAAP)C$61,753 $61,292 $61,778 $61,295 $59,045 
Nonaccrual loans and leases (GAAP)D$505 $462 $394 $402 $424 
Allowance for loans and lease losses to loans and leases (GAAP)A/C1.27 %1.26 %1.23 %1.20 %1.21 %
Allowance for credit losses to loans and leases (Non-GAAP)B/C1.40 %1.40 %1.36 %1.35 %1.35 %
Allowance for loans and lease losses to nonperforming loans and leases (GAAP)A/D156 %167 %193 %183 %169 %
Allowance for credit losses to nonperforming loans and leases (Non-GAAP)B/D171 %185 %214 %206 %189 %
Numbers may not foot due to rounding.
23


GLOSSARY OF TERMS
Common Equity Tier 1 Ratio: Ratio consisting of common equity adjusted for certain unrealized gains/(losses) on available-for-sale securities, less disallowed portions of goodwill, other intangibles, and deferred tax assets as well as certain other regulatory deductions divided by risk-weighted assets.
 
Fully Taxable Equivalent (“FTE”): Reflects the amount of tax-exempt income adjusted to a level that would yield the same after-tax income had that income been subject to taxation.
 
TD Transaction: The acquisition of FHN by TD contemplated by a merger agreement signed in February 2022 and terminated in May 2023.

Tier 1 Capital Ratio: Ratio consisting of shareholders’ equity adjusted for certain unrealized gains/(losses) on available-for-sale securities, plus qualifying portions of noncontrolling interests, less disallowed portions of goodwill, other intangible assets, and deferred tax assets as well as certain other regulatory deductions divided by risk-weighted assets.

Key Ratios
Return on Average Assets: Ratio is annualized net income to average total assets.
 
Return on Average Common Equity: Ratio is annualized net income available to common shareholders to average common equity.
 
Return on Average Tangible Common Equity: Ratio is annualized net income available to common shareholders to average tangible common equity.
 
Noninterest Income as a Percentage of Total Revenue: Ratio is noninterest income excluding securities gains/losses to total revenue - taxable equivalent excluding securities gains/losses.
 
Efficiency Ratio: Ratio is noninterest expense to total revenue - taxable equivalent excluding securities gains/losses.
 
Leverage Ratio: Ratio is tier 1 capital to average assets for leverage.

Asset Quality - Consolidated Key Ratios
Nonperforming loans and leases ("NPL") %: Ratio is nonaccruing loans and leases in the loan portfolio to total period-end loans and leases.
 
Net charge-offs %: Ratio is annualized net charge-offs to total average loans and leases.
 
Allowance / loans and leases: Ratio is allowance for loan and lease losses to total period-end loans and leases.
 
Allowance / Nonperforming loans and leases: Ratio is allowance for loan and lease losses to nonperforming loans and leases in the loan portfolio.
 
Allowance / charge-offs: Ratio is allowance for loan and lease losses to annualized net charge-offs.

Operating Segments
Regional Banking segment: Offers financial products and services, including traditional lending and deposit taking, to consumer and commercial customers primarily in the southern and southeastern U.S. and other selected markets. Regional Banking also provides investment, wealth management, financial planning, trust and asset management services for consumer customers.

Specialty Banking segment: Consists of lines of business that deliver product offerings and services with specialized industry knowledge. Specialty Banking’s lines of business include asset-based lending, mortgage warehouse lending, commercial real estate, franchise finance, correspondent banking, equipment finance, and mortgage. In addition to traditional lending and deposit taking, Specialty Banking also delivers treasury management solutions, loan syndications, and international banking. Additionally, Specialty Banking has a line of business focused on fixed income securities sales, trading, underwriting, and strategies for institutional clients in the U.S. and abroad, as well as loan sales, portfolio advisory services, and derivative sales.

Corporate segment: Consists primarily of corporate support functions including risk management, audit, accounting, finance, executive office, and corporate communications. Shared support services such as human resources, properties, technology, creditFS Work risk and bank operations are allocated to the activities of Regional Banking, Specialty Banking, and Corporate. Additionally, the Corporate segment includes centralized management of capital and funding to support the business activities of the company including management of wholesale funding, liquidity, and capital management and allocation. Finally, the Corporate segment includes the revenue and expense associated with run-off businesses such as pre-2009 mortgage banking elements, run-off consumer and trust preferred loan portfolios, and other exited businesses.

24