8-K

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, DC 20549

FORM 8-K

CURRENT REPORT

Pursuant to Section 13 or 15(d) of

The Securities Exchange Act of 1934

Date of report (Date of earliest event reported): January 23, 2015

First Horizon National Corporation

(Exact Name of Registrant as Specified in Charter)

TN	001-15185	62-0803242
(State or other jurisdiction of incorporation)	(Commission File Number)	(IRS Employer Identification No.)

165 MADISON AVENUE MEMPHIS, TENNESSEE	38103 (Zip Code)
(Address of principal executive office)

Registrant’s telephone number, including area code: (901) 523-4444

(Former name or former address, if changed from last report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

¨ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

¨ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

¨ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

¨ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

ITEM 2.02. Results of Operations and Financial Condition.

ITEM 7.01. Regulation FD Disclosure.

Furnished as Exhibit 99.1 is a copy of First Horizon National Corporation Financial Supplement and Investor Slide Presentation for the quarter and year ended December 31, 2014, which was released today.

The foregoing information is furnished pursuant to Item 2.02, “Results of Operations and Financial Condition,” and Item 7.01, “Regulation FD Disclosure.” The exhibit speaks as of the date thereof and First Horizon National Corporation (“First Horizon”) does not assume any obligation to update said information in the future.

ITEM 9.01. Financial Statements and Exhibits.

(d) Exhibits

The following exhibit is furnished pursuant to Items 2.02 and 7.01, is not to be considered “filed” under the Securities Exchange Act of 1934, as amended (“Exchange Act”), and shall not be incorporated by reference into any of First Horizon’s previous or future filings under the Securities Act of 1933, as amended, or the Exchange Act.

Exhibit #	Description
99.1	First Horizon National Corporation Financial Supplement and Investor Slide Presentation for the quarter and year ended December 31, 2014.

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

	First Horizon National Corporation (Registrant)
Date: January 23, 2015	By:	/s/ William C. Losch III
	William C. Losch III
	Executive Vice President and Chief Financial Officer

EXHIBIT INDEX

The following exhibit is furnished pursuant to Items 2.02 and 7.01, is not to be considered “filed” under the Exchange Act, and shall not be incorporated by reference into any of First Horizon’s previous or future filings under the Securities Act of 1933, as amended, or the Exchange Act.

Exhibit #	Description
99.1	First Horizon National Corporation Financial Supplement and Investor Slide Presentation for the quarter and year ended December 31, 2014.

EX-99.1

Exhibit 99.1

FOURTH QUARTER 2014

FINANCIAL SUPPLEMENT

If you need further information, please contact:

Aarti Bowman, Investor Relations

901-523-4017

aagoorha@firsthorizon.com

FHN TABLE OF CONTENTS

	Page
First Horizon National Corporation Segment Structure	3
Performance Highlights	4
Consolidated Results
Income Statement
Income Statement	6
Other Income and Other Expense	7
Balance Sheet
Period End Balance Sheet	8
Average Balance Sheet	9
Net Interest Income	10
Average Balance Sheet: Yields and Rates	11
Capital Highlights	12
Business Segment Detail
Segment Highlights	13
Regional Banking	14
Capital Markets and Corporate	15
Non-Strategic	16
Asset Quality
Asset Quality: Consolidated	17
Asset Quality: Regional Banking and Corporate	19
Asset Quality: Non-Strategic	20
Portfolio Metrics	21
Non-GAAP to GAAP Reconciliation	22
Glossary of Terms	23

Other Information

This financial supplement contains forward-looking statements involving significant risks and uncertainties. A number of important factors could cause actual results to differ materially from those in the forward-looking information. Those factors include general economic and financial market conditions, including expectations of and actual timing and amount of interest rate movements including the slope of the yield curve, competition, customer and investor responses to these conditions, ability to execute business plans, geopolitical developments, recent and future legislative and regulatory developments, natural disasters, and items mentioned in this financial supplement and in First Horizon National Corporation’s (“FHN”) most recent press release, as well as critical accounting estimates and other factors described in FHN’s recent filings with the SEC. FHN disclaims any obligation to update any such factors or to publicly announce the result of any revisions to any of the forward-looking statements included herein or therein to reflect future events or developments.

Use of Non-GAAP Measures

Certain ratios are included in this financial supplement that are non-GAAP, meaning they are not presented in accordance with generally accepted accounting principles (“GAAP”) in the U.S. FHN’s management believes such ratios are relevant to understanding the capital position and results of the Company. The non-GAAP ratios presented in this financial supplement are tangible common equity (“TCE”) to tangible assets (“TA”), tangible book value per common share, tier 1 common to risk weighted assets (“RWA”), adjusted tangible common equity to risk weighted assets and pre-tax pre-provision net revenue (“PPNR”). These ratios are reported to FHN’s management and Board of Directors through various internal reports. Additionally, disclosure of non-GAAP capital ratios provides a meaningful base for comparability to other financial institutions as demonstrated by their use by the various banking regulators in reviewing the capital adequacy of financial institutions. Non-GAAP measures are not formally defined by GAAP or codified in currently effective federal banking regulations, and other entities may use calculation methods that differ from those used by FHN. Tier 1 capital is a regulatory term and is generally defined as the sum of core capital (including common equity and instruments that can not be redeemed at the option of the holder) adjusted for certain items under risk based capital regulations. Also a regulatory term, risk weighted assets includes total assets adjusted for credit risk and is 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 on page 22 of this financial supplement.

2

FIRST HORIZON NATIONAL CORPORATION SEGMENT STRUCTURE

3

FHN PERFORMANCE HIGHLIGHTS

Consolidated Results for Fiscal Year 2014 vs. 2013

• Net income available to common shareholders was $213.3 million, or $.90 per diluted share in 2014, compared to $23.8 million, or $.10 per diluted share in 2013

• Net interest income (“NII”) decreased 2 percent in 2014 to $627.7 million from $637.4 million in 2013; Net interest margin (“NIM”) decreased to 2.92 percent from 2.96 percent

• Noninterest income (including securities gains) was $550.0 million in 2014 compared to $584.6 million in 2013

• The decrease in noninterest income was primarily due to lower fixed income sales revenue within capital markets, partially offset by an increase in mortgage banking income as a result of gains on loan sales in third quarter and previously unrecognized servicing fees associated with servicing sales in first quarter

• Provision expense was $27.0 million in 2014 compared to $55.0 million in 2013

• Noninterest expense was $841.2 million in 2014 compared to $1.2 billion in 2013

• The decrease in expense was primarily driven by a decline in the mortgage repurchase provision related to settlements in 2013, a decline in net litigation loss accruals due to recoveries in 2014 of litigation expenses associated with the Sentinel lawsuit settlement and other legal matters in 2011 and prior years, and lower capital markets variable compensation

• Period-end loans increased 5 percent to $16.2 billion; average loans were $15.5 billion in 2014 compared to $15.7 billion in 2013

• Period-end core deposits increased 9 percent to $17.6 billion; average core deposits were $15.9 billion in 2014 compared to $15.8 billion in 2013

• Increase in period-end and average core deposits driven by an increase in insured network deposits and the acquisition of bank branches in fourth quarter

Fourth Quarter 2014 vs. Third Quarter 2014

Consolidated

• Net income available to common shareholders was $46.4 million, or $.20 per diluted share in fourth quarter, compared to $45.3 million, or $.19 per diluted share in prior quarter

• NII was $159.1 million in fourth quarter compared to $159.5 million in third quarter; NIM decreased to 2.86 percent in fourth quarter from 2.97 percent in prior quarter

• The decline in NIM was primarily driven by an increase in excess cash held at the Fed during the quarter

• Noninterest income (including securities gains) was $119.6 million in fourth quarter compared to $157.8 million in prior quarter

• The decrease in noninterest income was largely the result of gains associated with the sales of HFS mortgage loans recognized in third quarter

• Noninterest expense was $209.5 million in fourth quarter compared to $246.2 million in third quarter primarily due to a decrease in net litigation loss accruals

• Period-end loans grew 3 percent to $16.2 billion in fourth quarter; average loans were $15.9 billion and $15.8 billion in fourth and third quarters, respectively

• Period-end core deposits were $17.6 billion in fourth quarter compared to $15.7 billion in prior quarter; Average core deposits increased 8 percent to $16.6 billion in fourth quarter

Regional Banking

• Pre-tax income was $78.3 million in fourth quarter compared to $79.6 million in third quarter; PPNR was $83.9 million and $81.8 million in fourth and third quarters, respectively

• Average loans increased 2 percent, or $243.4 million to $13.1 billion in fourth quarter primarily driven by higher balances of commercial loans; period-end loans increased 4 percent to $13.6 billion

• Average core deposits were $15.3 billion in fourth quarter compared to $14.6 billion in third quarter; period-end core deposits increased 9 percent to $15.9 billion

• Increase in period-end and average core deposits was driven by an increase in customer deposits and the acquisition of bank branches in fourth quarter

• NII improved to $157.5 million in fourth quarter from $153.9 million in third quarter

• The increase in NII was primarily attributable to higher deposit and commercial loan balances, an increase in cash basis interest income, and loan fees, which were somewhat offset by lower commercial loan yields

• Provision for loan losses was $5.6 million in fourth quarter compared to $2.2 million in prior quarter

• Provision levels reflect continued favorable trends in the commercial portfolio including favorable grade migration, lower delinquencies, and historically low net charge-off levels; consumer asset quality trends remain relatively stable

• Noninterest income was relatively flat at $64.3 million in fourth quarter

• Noninterest expense was $138.0 million in fourth quarter compared to $136.3 million in third quarter

Capital Markets

• Fixed income revenue decreased to $39.0 million in fourth quarter from $41.2 million in third quarter

• Fixed income average daily revenue (“ADR”) was $630 thousand and $644 thousand in fourth and third quarters, respectively

• Noninterest expense was $46.2 million in fourth quarter compared to $47.9 million in the prior quarter

Corporate

• NII was negative $18.0 million in fourth quarter compared to negative $14.2 million in the prior quarter due in large part to the effect of the third quarter loan sale on funds transfer pricing (“FTP”) as well as the issuance of $400 million of senior notes in fourth quarter

• Estimated effective duration of the securities portfolio was 3.0 years in fourth quarter compared to 3.4 years in third quarter

• Estimated modified duration of the securities portfolio was 3.7 years in fourth quarter compared to 3.9 years in third quarter

• Noninterest income increased to $4.4 million in fourth quarter from $4.1 million in third quarter

• Noninterest expense was $16.3 million in fourth quarter compared to $18.8 million in prior quarter

• Decrease in expense driven by a smaller negative valuation adjustment associated with derivatives related to prior sales of Visa Class B shares in fourth quarter relative to the prior quarter

4

FHN PERFORMANCE HIGHLIGHTS (continued)

Fourth Quarter 2014 vs. Third Quarter 2014 (continued)

Non-Strategic

• Pre-tax income was $8.8 million in fourth quarter compared to $9.6 million in third quarter

• The provision for loan losses was $.4 million in fourth quarter compared to $3.8 million in third quarter

• Noninterest income was $2.4 million in fourth quarter, down from $39.6 million in prior quarter

• Decrease primarily driven by the gain on the sales of mortgage loans HFS recognized in third quarter

• Noninterest expense decreased to $9.0 million in fourth quarter from $43.2 million in third quarter

• The decrease was driven primarily by net loss accruals recognized in third quarter

• Third quarter also included a $4.3 million reversal of repurchase and foreclosure provision as a result of a settlement of certain repurchase claims

Asset Quality

• Allowance for loan losses declined to $232.4 million in fourth quarter from $238.6 million in third quarter; the allowance to loans ratio was 143 basis points in fourth quarter compared to 151 basis points in third quarter

• The decline in the allowance was primarily driven by a $5.5 million release of non-strategic consumer reserves

• Net charge-offs (“NCOs”) were $12.2 million in fourth quarter compared to $11.0 million in prior quarter; annualized net charge-offs increased to 30 basis points of average loans in fourth quarter from 28 basis points in prior quarter

• Total commercial net charge-offs increased to $2.9 million in the fourth quarter from $0 in the third quarter; total consumer net charge-offs decreased $1.7 million from the prior quarter

• Nonperforming loans (“NPLs”) in the portfolio declined to $203.4 million in the fourth quarter from $213.7 million in third quarter

• Both commercial and consumer NPLs declined from last quarter; commercial due to an $8.7 million decline in regional bank C&I and consumer due to a $4.1 million decline in non-strategic consumer real estate

• Nonperforming assets (“NPAs”), including loans held-for-sale, decreased to $241.5 million in fourth quarter from $256.9 million in the prior quarter

• Decrease due to declines in both nonperforming loans and foreclosed assets

• Total 30+ delinquencies improved to $75.8 million in fourth quarter compared to $86.3 million in prior quarter

• Commercial delinquencies declined by $6.4 million; driven by a $3.1 million decrease in regional bank C&I and a $2.4 million decrease in regional bank commercial real estate

• Consumer delinquencies declined by $4.2 million, primarily driven by non-strategic permanent mortgage decreasing by $6.5 million which more than offset the $3.5 million increase in non-strategic consumer real estate

• Troubled debt restructurings (“TDRs”) decreased to $411.3 million in fourth quarter from $429.1 million in prior quarter

• The decrease is primarily due to certain fourth quarter pay-offs of commercial and permanent mortgage TDRs

Taxes

• The effective tax rates for fourth quarter and third quarter were 19.44 percent and 23.66 percent, respectively. The effective tax rate for 2014 was 25.36 percent, while the effective tax rate for 2013 was negative. The rates reflect the favorable effect on the tax rate from permanent benefits

• Permanent benefits primarily consist of: tax credit investments, life insurance, tax-exempt interest, and a reversal of the capital loss deferred tax valuation allowances

• The 2014 and 2013 rates were favorably affected by $4.2 million and $8.2 million in discrete items, respectively

Capital and Liquidity

• Paid $0.05 per common share quarterly dividend on January 1, 2015; Approved $0.06 per common share quarterly dividend payable April 1, 2015

• Paid preferred quarterly dividend of $1.6 million on January 10, 2015

• Repurchased shares costing $14.5 million in fourth quarter under the $100 million share repurchase program announced in January 2014

• Cumulative shares repurchased since the program’s inception are $38.5 million with a volume weighted average price of $12.33 per share (before $.02 per share broker commission)

• Capital ratios (regulatory capital ratios estimated based on period-end balances)

• 7.94 percent for tangible common equity to tangible assets

• 14.44 percent for Tier 1

• 16.16 percent for Total Capital

• 11.41 percent for Tier 1 Common

• 11.43 percent for Leverage

5

FHN CONSOLIDATED INCOME STATEMENT

Quarterly/Annually, Unaudited

																4Q14 Changes vs.				Twelve months ended						2014 vs.
(Dollars in thousands, except per share data)	4Q14			3Q14			2Q14			1Q14			4Q13			3Q14		4Q13		2014			2013			2013
Interest income		$179,448			$178,858			$177,359			$173,584			$179,053			*		*		$709,249			$732,053			(3)%
Less: interest expense		20,398			19,317			20,591			21,225			21,918			6 %		(7)%		81,531			94,679			(14)%
Net interest income		159,050			159,541			156,768			152,359			157,135			*		1 %		627,718			637,374			(2)%
Provision for loan losses		6,000			6,000			5,000			10,000			15,000			*		(60)%		27,000			55,000			(51)%
Net interest income after provision for loan losses		153,050			153,541			151,768			142,359			142,135			*		8 %		600,718			582,374			3 %
Noninterest income:
Capital markets		48,486			47,589			47,680			56,840			59,653			2 %		(19)%		200,595			272,364			(26)%
Deposit transactions and cash management		29,038			28,546			27,911			26,456			29,194			2 %		(1)%		111,951			114,383			(2)%
Brokerage, management fees and commissions		11,647			12,333			12,843			12,276			11,505			(6)%		1 %		49,099			42,261			16%
Mortgage banking (a)		1,808			41,559			8,861			19,029			3,853			(96)%		(53)%		71,257			33,275			NM
Trust services and investment management		6,945			6,779			7,309			6,744			6,596			2 %		5 %		27,777			26,523			5 %
Bankcard income (b)		5,737			5,521			7,919			4,520			4,998			4 %		15%		23,697			20,482			16%
Bank-owned life insurance (c)		3,503			3,547			3,312			6,032			3,636			(1)%		(4)%		16,394			16,614			(1)%
Other service charges		2,830			3,064			3,143			2,845			3,144			(8)%		(10)%		11,882			13,440			(12)%
Insurance commissions		616			593			611			437			960			4 %		(36)%		2,257			3,023			(25)%
Securities gains/(losses), net		-			(862	)		(1,923	)		5,657			2,183			NM		NM		2,872			1,760			63%
Gain/(loss) on divestitures		-			-			-			-			(4	)		NM		NM		-			111			NM
Other (d)		8,988			9,146			9,235			4,894			9,325			(2)%		(4)%		32,263			40,341			(20)%
Total noninterest income		119,598			157,815			126,901			145,730			135,043			(24)%		(11)%		550,044			584,577			(6)%
Adjusted gross income after provision for loan losses		272,648			311,356			278,669			288,089			277,178			(12)%		(2)%		1,150,762			1,166,951			(1)%
Noninterest expense:
Employee compensation, incentives, and benefits		118,529			120,742			119,659			119,229			127,144			(2)%		(7)%		478,159			529,041			(10)%
Repurchase and foreclosure provision (e)		-			(4,300	)		-			-			(30,000	)		NM		NM		(4,300	)		170,000			NM
Legal and professional fees (f)		12,552			10,463			6,151			15,039			15,419			20%		(19)%		44,205			53,359			(17)%
Occupancy (g)		12,077			12,405			11,944			17,592			12,811			(3)%		(6)%		54,018			50,565			7 %
Computer software		10,574			10,614			11,087			10,656			10,197			*		4 %		42,931			40,327			6 %
Contract employment and outsourcing (h)		4,578			5,199			5,318			4,325			9,059			(12)%		(49)%		19,420			35,920			(46)%
Operations services		8,417			9,044			8,804			8,982			9,104			(7)%		(8)%		35,247			35,215			*
Equipment rentals, depreciation, and maintenance		7,523			7,150			7,442			7,849			8,431			5 %		(11)%		29,964			31,738			(6)%
FDIC premium expense (i)		2,881			3,456			1,136			3,991			4,477			(17)%		(36)%		11,464			20,156			(43)%
Advertising and public relations		4,077			4,386			4,312			5,908			4,685			(7)%		(13)%		18,683			18,239			2 %
Communications and courier		4,274			3,628			3,948			4,224			4,473			18%		(4)%		16,074			17,958			(10)%
Foreclosed real estate		492			788			439			784			1,050			(38)%		(53)%		2,503			4,299			(42)%
Amortization of intangible assets		1,225			982			981			982			1,128			25%		9 %		4,170			3,912			7 %
Other (d)		22,280			61,629			(15,889	)		20,653			79,119			(64)%		(72)%		88,673			147,872			(40)%
Total noninterest expense		209,479			246,186			165,332			220,214			257,097			(15)%		(19)%		841,211			1,158,601			(27)%
Income/(loss) before income taxes		63,169			65,170			113,337			67,875			20,081			(3)%		NM		309,551			8,350			NM
Provision/(benefit) for income taxes		12,278			15,421			32,157			18,645			(33,813	)		(20)%		NM		78,501			(32,169	)		NM
Income/(loss) from continuing operations		50,891			49,749			81,180			49,230			53,894			2 %		(6)%		231,050			40,519			NM
Income/(loss) from discontinued operations, net of tax		-			-			-			-			(6	)		NM		NM		-			548			NM
Net income/(loss)		50,891			49,749			81,180			49,230			53,888			2 %		(6)%		231,050			41,067			NM
Net income attributable to noncontrolling interest		2,980			2,875			2,859			2,813			2,934			4 %		2 %		11,527			11,465			1 %
Net income/(loss) attributable to controlling interest		47,911			46,874			78,321			46,417			50,954			2 %		(6)%		219,523			29,602			NM
Preferred stock dividends		1,550			1,550			1,550			1,550			1,550			*		*		6,200			5,838			6 %
Net income/(loss) available to common shareholders		$46,361			$45,324			$76,771			$44,867			$49,404			2 %		(6)%		$213,323			$23,764			NM
Common Stock Data
Diluted EPS		$0.20			$0.19			$0.32			$0.19			$0.21			5 %		(5)%		$0.90			$0.10			NM
Diluted shares (thousands) (j)		235,448			236,862			237,250			237,401			236,753			(1)%		(1)%		236,735			239,794			(1)%
Key Ratios & Other
Return on average assets (annualized) (k)		0.82	%		0.83	%		1.38	%		0.83	%		0.90	%
Return on average common equity (annualized) (k)		8.10	%		7.99	%		14.14	%		8.48	%		9.42	%
Fee income to total revenue (k)		42.92	%		49.86	%		45.11	%		47.90	%		45.81	%
Efficiency ratio (k)		75.18	%		77.36	%		57.89	%		75.30	%		88.66	%
Full time equivalent employees		4,250			4,193			4,216			4,251			4,309

NM - Not meaningful

* Amount is less than one percent.

(a) 3Q14 includes a $39.7 million gain on the sales of mortgage loans HFS; 2Q14 includes an $8.2 million positive fair value adjustment to the held-for-sale portfolio; 1Q14 increase reflects the receipt of previously unrecognized servicing fees in conjunction with transfers of servicing in 1Q14.

(b) 2Q14 includes $2.8 million of Visa volume incentives.

(c) 1Q14 includes $2.8 million of policy benefits received.

(d) Refer to the Other Income and Other Expense table on page 7 for additional information.

(e) 3Q14 and 4Q13 expense reversal associated with the settlement of certain repurchase claims.

(f) 2Q14 includes an $8.5 million expense reversal related to agreements with insurance companies for the recovery of Sentinel legal expenses.

(g) 1Q14 includes $4.6 million of lease abandonment expense.

(h) 1Q14 decline due to lower subservicing costs associated with the sales of servicing.

(i) 2Q14 includes the effect of $3.3 million of FDIC premium refunds.

(j) 4Q14 and 3Q14 decreases primarily relate to shares purchased under the share repurchase program.

(k) See Glossary of Terms for definitions of Key Ratios.

6

FHN OTHER INCOME AND OTHER EXPENSE

Quarterly/Annually, Unaudited

														4Q14 Changes vs.				Twelve months ended					2014 vs
(Thousands)	4Q14		3Q14			2Q14			1Q14			4Q13		3Q14		4Q13		2014			2013		2013
Other Income
ATM and interchange fees		$2,961	$	2,739		$	2,746		$	2,497		$	2,721		8 %		9 %		$10,943			$ 10,412		5 %
Electronic banking fees		1,561		1,560			1,535			1,534			1,535		*		2 %		6,190			6,289		(2)%
Letter of credit fees		1,111		917			1,173			1,663			1,215		21 %		(9)%		4,864			5,081		(4)%
Deferred compensation (a)		242		(41	)		1,184			657			1,210		NM		(80)%		2,042			4,685		(56)%
Gain /(loss) on extinguishment of debt (b)		184		-			-			(4,350	)		-		NM		NM		(4,166	)		-		NM
Other		2,929		3,971			2,597			2,893			2,644		(26)%		11 %		12,390			13,874		(11)%
Total		$8,988	$	9,146		$	9,235		$	4,894		$	9,325		(2)%		(4)%		$32,263			$ 40,341		(20)%
Other Expense
Litigation and regulatory matters (c)		$-	$	35,390		$	(38,200	)		$90		$	57,355		NM		NM		$(2,720	)		$ 63,654		NM
Other insurance and taxes		2,722		3,909			3,209			3,060			3,261		(30)%		(17)%		12,900			12,598		2 %
Tax credit investments		2,759		2,481			3,032			2,495			3,063		11 %		(10)%		10,767			12,103		(11)%
Travel and entertainment		2,462		2,164			2,645			1,824			2,339		14 %		5 %		9,095			8,959		2 %
Employee training and dues		1,258		1,194			1,200			866			1,327		5 %		(5)%		4,518			5,054		(11)%
Customer relations		1,397		1,406			1,680			1,243			1,179		(1)%		18 %		5,726			4,916		16 %
Miscellaneous loan costs		540		597			839			714			701		(10)%		(23)%		2,690			4,209		(36)%
Supplies		1,046		779			804			1,116			1,090		34 %		(4)%		3,745			3,800		(1)%
Other (d)		10,096		13,709			8,902			9,245			8,804		(26)%		15 %		41,952			32,579		29 %
Total		$22,280	$	61,629		$	(15,889	)	$	20,653		$	79,119		(64)%		(72)%		$88,673			$ 147,872		(40)%

NM - Not meaningful

* Amount is less than one percent.

(a) Amounts driven by market conditions and are mirrored by changes in deferred compensation expense which is included in employee compensation expense.

(b) 1Q14 loss associated with the collapse of two HELOC securitization trusts.

(c) 3Q14 includes $50.0 million of loss accruals related to legal matters, partially offset by $15.0 million of expense reversals associated with agreements with insurance companies for the recovery of expenses FHN incurred prior to 2012 related to litigation losses; 2Q14 includes $38.6 million related to the recovery of expenses related to the Sentinel litigation matter which was settled in 2011; 4Q13 includes $57.0 million of net loss accruals related to legal matters.

(d) 3Q14 and 1Q14 include $3.2 million and $2.3 million, respectively, of negative valuation adjustments associated with derivatives related to prior sales of Visa Class B shares.

7

FHN CONSOLIDATED PERIOD-END BALANCE SHEET

Quarterly, Unaudited

																4Q14 Changes vs.
(Thousands)	4Q14			3Q14			2Q14			1Q14			4Q13			3Q14		4Q13
Assets:
Investment securities		$3,560,905			$3,538,957			$3,580,821			$3,575,453			$3,398,457			1 %		5 %
Loans held-for-sale (a)		141,285			151,915			358,945			361,359			370,152			(7)%		(62)%
Loans, net of unearned income		16,230,166			15,812,017			15,795,709			15,119,461			15,389,074			3 %		5 %
Federal funds sold		63,080			55,242			51,537			16,555			66,079			14 %		(5)%
Securities purchased under agreements to resell		659,154			561,802			624,477			605,276			412,614			17 %		60 %
Interest-bearing cash (b)		1,621,967			275,485			255,920			685,540			730,297			NM		NM
Trading securities		1,194,391			1,338,022			1,150,280			1,194,749			801,718			(11)%		49 %
Total earning assets		23,470,948			21,733,440			21,817,689			21,558,393			21,168,391			8 %		11 %
Cash and due from banks		349,171			292,687			417,108			450,270			349,216			19 %		*
Capital markets receivables (c)		42,488			197,507			174,224			51,082			45,255			(78)%		(6)%
Mortgage servicing rights, net (d)		2,517			2,880			3,197			4,687			72,793			(13)%		(97)%
Goodwill (e)		145,932			141,943			141,943			141,943			141,943			3 %		3 %
Other intangible assets, net (e)		29,518			19,044			20,025			21,007			21,988			55 %		34 %
Premises and equipment, net (e)		302,996			295,833			300,533			299,183			305,244			2 %		(1)%
Real estate acquired by foreclosure (f)		39,922			47,996			57,552			66,035			71,562			(17)%		(44)%
Allowance for loan losses		(232,448	)		(238,641	)		(243,628	)		(247,246	)		(253,809	)		(3)%		(8)%
Derivative assets		134,088			137,742			162,067			166,465			181,866			(3)%		(26)%
Other assets		1,387,755			1,356,356			1,372,040			1,430,170			1,685,384			2 %		(18)%
Total assets		$25,672,887			$23,986,787		$	24,222,750		$	23,941,989		$	23,789,833			7 %		8 %
Liabilities and Equity:
Deposits:
Savings		$7,455,354			$6,371,156			$6,317,197			$6,630,142			$6,732,326			17 %		11 %
Other interest-bearing deposits		4,140,991			3,955,152			4,014,071			4,071,699			3,859,079			5 %		7 %
Time deposits		831,666			767,699			808,822			898,223			951,755			8 %		(13)%
Total interest-bearing core deposits		12,428,011			11,094,007			11,140,090			11,600,064			11,543,160			12 %		8 %
Noninterest-bearing deposits		5,195,656			4,603,826			4,513,800			4,534,245			4,637,839			13 %		12 %
Total core deposits (g)		17,623,667			15,697,833			15,653,890			16,134,309			16,180,999			12 %		9 %
Certificates of deposit $100,000 and more		445,272			446,938			503,597			538,434			553,957			*		(20)%
Total deposits		18,068,939			16,144,771			16,157,487			16,672,743			16,734,956			12 %		8 %
Federal funds purchased		1,037,052			928,159			947,946			1,135,665			1,042,633			12 %		(1)%
Securities sold under agreements to repurchase		562,214			479,384			475,530			411,795			442,789			17 %		27 %
Trading liabilities		594,314			532,234			706,119			667,257			368,348			12 %		61 %
Other short-term borrowings (h)		157,218			790,080			1,073,250			204,023			181,146			(80)%		(13)%
Term borrowings (i)		1,880,105			1,491,138			1,501,209			1,507,048			1,739,859			26 %		8 %
Capital markets payables (c)		18,157			329,960			95,299			39,510			21,173			(94)%		(14)%
Derivative liabilities		119,239			123,442			138,336			137,863			154,280			(3)%		(23)%
Other liabilities		644,681			545,678			501,423			621,948			603,898			18 %		7 %
Total liabilities		23,081,919			21,364,846			21,596,599			21,397,852			21,289,082			8 %		8 %
Equity:
Common stock (j)		146,387			147,030			148,217			147,866			147,731			*		(1)%
Capital surplus (j)		1,380,809			1,390,081			1,416,012			1,417,170			1,416,767			(1)%		(3)%
Undivided profits		860,963			826,610			792,978			728,165			695,207			4 %		24 %
Accumulated other comprehensive loss, net		(188,246	)		(132,835	)		(122,111	)		(140,119	)		(150,009	)		42 %		25 %
Preferred stock		95,624			95,624			95,624			95,624			95,624			*		*
Noncontrolling interest (k)		295,431			295,431			295,431			295,431			295,431			*		*
Total equity		2,590,968			2,621,941			2,626,151			2,544,137			2,500,751			(1)%		4 %
Total liabilities and equity		$25,672,887			$23,986,787		$	24,222,750		$	23,941,989		$	23,789,833			7 %		8 %

NM - Not meaningful

* Amount is less than one percent.

(a) 3Q14 decrease related to the sale of mortgage loans HFS.

(b) Includes excess balances held at Fed. 4Q14 increase driven by inflow of customer deposits and proceeds from the issuance of senior notes.

(c) Period-end balances fluctuate based on the level of pending unsettled trades.

(d) Decreases reflect transfers associated with an agreement to sell mortgage servicing rights entered into in 3Q13.

(e) Increase related to the acquisition of bank branches in fourth quarter 2014.

(f) 4Q14 includes $9.5 million of foreclosed assets related to government insured mortgages.

(g) 4Q14 average core deposits were $16.6 billion.

(h) 3Q14 and 2Q14 include increased FHLB borrowings as a result of loan growth and deposit fluctuations.

(i) In 4Q14 FTBNA issued $400 million of senior notes. In 1Q14 FHN resolved the collateralized borrowings for three previously on-balance sheet consumer loan securitizations.

(j) 4Q14 and 3Q14 decreases relate to shares purchased under the share repurchase program.

(k) Consists of preferred stock of subsidiaries.

8

FHN CONSOLIDATED AVERAGE BALANCE SHEET

Quarterly/Annually, Unaudited

											4Q14 Changes vs.				Twelve months ended				2014 vs
(Thousands)	4Q14		3Q14		2Q14		1Q14		4Q13		3Q14		4Q13		2014		2013		2013
Assets:
Earning assets:
Loans, net of unearned income:
Commercial, financial, and industrial (C&I)		$8,584,065		$8,395,553		$7,994,788		$7,639,584		$7,694,029		2 %		12 %		$8,156,750		$7,972,875		2 %
Commercial real estate		1,287,816		1,260,715		1,203,631		1,139,749		1,164,748		2 %		11 %		1,223,487		1,170,618		5 %
Consumer real estate		5,087,104		5,173,088		5,230,107		5,305,596		5,400,751		(2)%		(6)%		5,198,304		5,526,386		(6)%
Permanent mortgage		552,065		581,876		607,296		637,642		678,938		(5)%		(19)%		594,450		742,793		(20)%
Credit card and other		357,321		352,133		345,748		336,454		334,887		1 %		7 %		347,981		313,702		11 %
Total loans, net of unearned income (a)		15,868,371		15,763,365		15,381,570		15,059,025		15,273,353		1 %		4 %		15,520,972		15,726,374		(1)%
Loans held-for-sale (b)		144,061		318,743		355,822		367,899		368,373		(55)%		(61)%		296,079		381,969		(22)%
Investment securities:
U.S. treasuries		100		26,764		39,995		41,828		39,994		NM		NM		27,057		41,543		(35)%
U.S. government agencies		3,363,053		3,345,739		3,330,598		3,222,642		2,959,355		1 %		14 %		3,315,975		2,901,175		14 %
States and municipalities		14,493		17,458		19,430		19,425		15,155		(17)%		(4)%		17,688		15,261		16 %
Other		181,806		184,934		189,449		211,891		229,728		(2)%		(21)%		191,918		222,416		(14)%
Total investment securities		3,559,452		3,574,895		3,579,472		3,495,786		3,244,232		*		10 %		3,552,638		3,180,395		12 %
Trading securities		1,182,762		1,060,123		1,118,425		1,108,747		1,172,282		12%		1 %		1,117,560		1,248,616		(10)%
Other earning assets:
Federal funds sold		26,543		37,274		29,490		21,615		19,471		(29)%		36 %		28,767		24,708		16 %
Securities purchased under agreements to resell		672,764		644,022		664,194		622,466		581,798		4 %		16 %		650,980		658,232		(1)%
Interest-bearing cash (c)		1,011,983		288,192		363,674		972,537		614,628		NM		65 %		658,189		551,656		19 %
Total other earning assets		1,711,290		969,488		1,057,358		1,616,618		1,215,897		77 %		41%		1,337,936		1,234,596		8 %
Total earning assets		22,465,936		21,686,614		21,492,647		21,648,075		21,274,137		4 %		6 %		21,825,185		21,771,950		*
Allowance for loan losses		(238,850)		(240,433)		(246,779)		(249,733)		(250,074)		(1)%		(4)%		(243,909)		(259,485)		(6)%
Cash and due from banks		341,338		321,427		308,890		336,543		341,066		6 %		*		327,047		345,914		(5)%
Capital markets receivables		63,384		55,937		46,864		54,654		45,179		13 %		40 %		55,236		78,275		(29)%
Premises and equipment, net		301,512		297,636		299,899		301,065		307,285		1 %		(2)%		300,023		304,429		(1)%
Derivative assets		141,146		154,988		165,684		181,586		201,609		(9)%		(30)%		160,724		238,417		(33)%
Other assets		1,542,920		1,528,788		1,584,747		1,643,879		1,926,109		1 %		(20)%		1,574,679		1,930,156		(18)%
Total assets		$24,617,386		$23,804,957		$23,651,952		$23,916,069		$23,845,311		3 %		3 %		$23,998,985		$24,409,656		(2)%
Liabilities and equity:
Interest-bearing liabilities:
Interest-bearing deposits:
Savings		$6,929,750		$6,327,556		$6,427,265		$6,683,749		$6,642,159		10 %		4 %		$6,592,029		$6,678,529		(1)%
Other interest-bearing deposits		3,895,022		3,697,854		3,779,293		3,830,839		3,520,348		5 %		11 %		3,800,646		3,591,766		6 %
Time deposits		830,412		785,154		859,551		924,025		977,107		6 %		(15)%		849,352		1,001,626		(15)%
Total interest-bearing core deposits		11,655,184		10,810,564		11,066,109		11,438,613		11,139,614		8 %		5 %		11,242,027		11,271,921		*
Certificates of deposit $100,000 and more		451,669		464,792		512,527		545,845		580,760		(3)%		(22)%		493,371		558,855		(12)%
Federal funds purchased		1,137,909		1,028,852		1,080,347		1,161,594		1,236,763		11 %		(8)%		1,101,910		1,263,792		(13)%
Securities sold under agreements to repurchase		471,712		406,219		458,608		454,937		446,894		16 %		6 %		447,801		487,923		(8)%
Capital markets trading liabilities		634,375		621,880		671,930		607,114		567,531		2 %		12 %		633,867		665,095		(5)%
Other short-term borrowings (d)		302,353		1,093,014		540,389		184,721		219,593		(72)%		38 %		531,984		299,288		78 %
Term borrowings (e)		1,664,924		1,499,959		1,505,860		1,702,107		1,764,476		11 %		(6)%		1,592,855		1,944,675		(18)%
Total interest-bearing liabilities		16,318,126		15,925,280		15,835,770		16,094,931		15,955,631		2 %		2 %		16,043,815		16,491,549		(3)%
Noninterest-bearing deposits		4,974,748		4,602,292		4,547,838		4,536,080		4,559,023		8 %		9 %		4,666,268		4,509,413		3 %
Capital markets payables		40,273		36,762		34,293		33,144		32,896		10 %		22 %		36,139		51,563		(30)%
Derivative liabilities		124,530		130,997		138,282		152,596		159,575		(5)%		(22)%		136,509		174,934		(22)%
Other liabilities		498,353		467,406		526,581		563,045		666,312		7 %		(25)%		513,543		652,281		(21)%
Total liabilities		21,956,030		21,162,737		21,082,764		21,379,796		21,373,437		4 %		3 %		21,396,274		21,879,740		(2)%
Equity:
Common stock (f)		146,789		147,820		148,085		147,751		147,724		(1)%		(1)%		147,609		149,688		(1)%
Capital surplus (f)		1,387,116		1,408,682		1,416,811		1,417,642		1,414,810		(2)%		(2)%		1,407,482		1,435,000		(2)%
Undivided profits		856,283		820,543		744,221		714,988		691,958		4 %		24 %		784,496		730,181		7 %
Accumulated other comprehensive loss, net		(119,887)		(125,880)		(130,984)		(135,163)		(173,673)		(5)%		(31)%		(127,931)		(168,083)		(24)%
Preferred stock		95,624		95,624		95,624		95,624		95,624		*		*		95,624		87,785		9 %
Noncontrolling interest		295,431		295,431		295,431		295,431		295,431		*		*		295,431		295,345		*
Total equity		2,661,356		2,642,220		2,569,188		2,536,273		2,471,874		1 %		8 %		2,602,711		2,529,916		3 %
Total liabilities and equity		$24,617,386		$23,804,957		$23,651,952		$23,916,069		$23,845,311		3 %		3 %		$23,998,985		$24,409,656		(2)%

NM - Not meaningful

* Amount is less than one percent.

(a) Includes loans on nonaccrual status.

(b) Decrease related to the sale of mortgage loans HFS in third quarter.

(c) Includes excess balances held at Fed. 4Q14 increase driven by inflow of customer deposits and proceeds from the issuance of senior notes.

(d) 3Q14 and 2Q14 include increased FHLB borrowings as a result of loan growth and deposit fluctuations.

(e) In 4Q14 FTBNA issued $400 million of senior notes. In 1Q14 FHN resolved the collateralized borrowings for three previously on-balance sheet consumer loan securitizations.

(f) 4Q14 and 3Q14 decreases relate to shares repurchased under the share repurchase program.

9

FHN CONSOLIDATED NET INTEREST INCOME (a)

Quarterly, Unaudited

											4Q14 Changes vs.
(Thousands)	4Q14		3Q14		2Q14		1Q14		4Q13		3Q14		4Q13
Interest Income:
Loans, net of unearned income (b)		$148,078		$146,931		$144,975		$140,487		$147,322		1 %		1 %
Loans held-for-sale		1,483		3,263		3,209		3,215		3,253		(55)%		(54)%
Investment securities:
U.S. treasuries		-		5		7		5		4		NM		NM
U.S. government agencies		21,317		21,376		21,530		20,837		19,020		*		12 %
States and municipalities		159		109		97		117		21		46 %		NM
Other		1,875		1,866		2,103		2,281		2,307		*		(19)%
Total investment securities		23,351		23,356		23,737		23,240		21,352		*		9 %
Trading securities		8,701		7,944		7,839		8,222		8,878		10 %		(2)%
Other earning assets:
Federal funds sold		69		92		73		53		48		(25)%		44 %
Securities purchased under agreements to resell (c)		(217)		(363)		(218)		(192)		(99)		40 %		NM
Interest-bearing cash		611		134		182		546		343		NM		78 %
Total other earning assets		463		(137)		37		407		292		NM		59 %
Interest income		$182,076		$181,357		$179,797		$175,571		$181,097		*		1 %
Interest Expense:
Interest-bearing deposits:
Savings		$3,087		$2,600		$2,792		$3,083		$3,205		19 %		(4)%
Other interest-bearing deposits		760		754		746		818		772		1 %		(2)%
Time deposits		1,742		1,786		2,486		3,062		3,585		(2)%		(51)%
Total interest-bearing core deposits		5,589		5,140		6,024		6,963		7,562		9 %		(26)%
Certificates of deposit $100,000 and more (d)		513		685		869		1,023		873		(25)%		(41)%
Federal funds purchased		729		654		683		726		791		11 %		(8)%
Securities sold under agreements to repurchase		83		63		109		118		126		32 %		(34)%
Capital markets trading liabilities		3,950		3,782		4,087		3,571		3,442		4 %		15 %
Other short-term borrowings		388		548		403		261		222		(29)%		75 %
Term borrowings (e)		9,146		8,445		8,416		8,563		8,902		8 %		3 %
Interest expense		20,398		19,317		20,591		21,225		21,918		6 %		(7)%
Net interest income - tax equivalent basis		161,678		162,040		159,206		154,346		159,179		*		2 %
Fully taxable equivalent adjustment		(2,628)		(2,499)		(2,438)		(1,987)		(2,044)		(5)%		(29)%
Net interest income		$159,050		$159,541		$156,768		$152,359		$157,135		*		1 %

NM - Not meaningful

* Amount is less than one percent.

(a) Net interest income adjusted to a fully taxable equivalent (“FTE”) basis assuming a statutory federal income tax of 35 percent and, where applicable, state income taxes.

(b) Includes interest on loans in nonaccrual status.

(c) Driven by negative market rates on reverse repurchase agreements.

(d) Includes the effect of amortizing the valuation adjustment for acquired time deposits related to the branch and MNB acquisitions.

(e) 4Q14 increase related to the issuance of $400 million of senior notes.

10

FHN CONSOLIDATED AVERAGE BALANCE SHEET: YIELDS AND RATES

Quarterly, Unaudited

	4Q14			3Q14			2Q14			1Q14			4Q13
Assets:
Earning assets (a):
Loans, net of unearned income:
Commercial loans (b)		3.55	%		3.51	%		3.59	%		3.60	%		3.66	%
Retail loans		3.97			4.01			4.06			4.01			4.07
Total loans, net of unearned income (c)		3.71			3.70			3.78			3.77			3.83
Loans held-for-sale		4.12			4.09			3.61			3.50			3.53
Investment securities:
U.S. treasuries		NM			0.07			0.07			0.05			0.04
U.S. government agencies		2.54			2.56			2.59			2.59			2.57
States and municipalities (d)		4.38			2.50			1.99			2.41			0.56
Other		4.13			4.04			4.44			4.31			4.02
Total investment securities		2.62			2.61			2.65			2.66			2.63
Trading securities		2.94			3.00			2.80			2.97			3.03
Other earning assets:
Federal funds sold		1.02			0.98			1.00			0.99			0.98
Securities purchased under agreements to resell (e)		(0.13	)		(0.22	)		(0.13	)		(0.13	)		(0.07	)
Interest-bearing cash		0.24			0.19			0.20			0.23			0.22
Total other earning assets		0.11			(0.06	)		0.01			0.10			0.10
Interest income/total earning assets		3.22	%		3.33	%		3.35	%		3.27	%		3.39	%
Liabilities:
Interest-bearing liabilities:
Interest-bearing deposits:
Savings		0.18	%		0.16	%		0.17	%		0.19	%		0.19	%
Other interest-bearing deposits		0.08			0.08			0.08			0.09			0.09
Time deposits		0.83			0.90			1.16			1.34			1.46
Total interest-bearing core deposits		0.19			0.19			0.22			0.25			0.27
Certificates of deposit $100,000 and more (f)		0.45			0.59			0.68			0.76			0.60
Federal funds purchased		0.25			0.25			0.25			0.25			0.25
Securities sold under agreements to repurchase		0.07			0.06			0.10			0.11			0.11
Capital markets trading liabilities		2.47			2.41			2.44			2.39			2.41
Other short-term borrowings		0.51			0.20			0.30			0.57			0.40
Term borrowings (g)		2.20			2.25			2.24			2.01			2.02
Interest expense/total interest-bearing liabilities		0.50			0.48			0.52			0.53			0.55
Net interest spread		2.72	%		2.85	%		2.83	%		2.74	%		2.84	%
Effect of interest-free sources used to fund earning assets		0.14			0.12			0.14			0.14			0.14
Net interest margin		2.86	%		2.97	%		2.97	%		2.88	%		2.98	%

Yields are adjusted to a FTE basis assuming a statutory federal income tax rate of 35 percent and, where applicable, state income taxes.

NM - Not meaningful

(a) Earning assets yields are expressed net of unearned income.

(b) 4Q14 increase driven by higher loan fees and cash basis interest income.

(c) Includes loans on nonaccrual status.

(d) Increase beginning in 1Q14 driven by the yield on an HTM municipal bond.

(e) Driven by negative market rates on reverse repurchase agreements.

(f) Rate includes the effect of amortizing the valuation adjustment for acquired time deposits related to the branch and MNB acquisitions.

(g) Rates are expressed net of unamortized debenture cost for term borrowings.

11

FHN CAPITAL HIGHLIGHTS

Quarterly, Unaudited

																4Q14 Changes vs.
(Dollars and shares in thousands)	4Q14			3Q14			2Q14			1Q14			4Q13			3Q14		4Q13
Tier 1 capital (a) (b)		$2,813,504			$2,783,147			$2,751,933			$2,666,486			$2,618,976			1 %		7 %
Tier 2 capital (a)		334,833			338,212			340,279			381,619			444,655			(1)%		(25)%
Total capital (a) (b)		$3,148,337			$3,121,359			$3,092,212			$3,048,105			$3,063,631			1 %		3 %
Risk-weighted assets (“RWA”) (a)		$19,487,900			$19,238,109			$19,400,096			$18,694,719			$18,878,594			1 %		3 %
Tier 1 ratio (a)		14.44	%		14.47	%		14.19	%		14.26	%		13.87	%
Tier 2 ratio (a)		1.72	%		1.75	%		1.75	%		2.04	%		2.36	%
Total capital ratio (a)		16.16	%		16.22	%		15.94	%		16.30	%		16.23	%
Tier 1 common to risk-weighted assets (a) (c)		11.41	%		11.40	%		11.14	%		11.10	%		10.75	%
Leverage ratio (a)		11.43	%		11.72	%		11.67	%		11.19	%		11.04	%
Total equity to total assets		10.09	%		10.93	%		10.84	%		10.63	%		10.51	%
Adjusted tangible common equity to risk-weighted assets (“TCE/RWA”) (a) (c) (d)		10.29	%		10.74	%		10.61	%		10.65	%		10.37	%
Tangible common equity/tangible assets (“TCE/TA”) (c) (e)		7.94	%		8.69	%		8.62	%		8.37	%		8.24	%
Period-end shares outstanding (f)		234,220			235,249			237,147			236,586			236,370			*		(1)%
Cash dividends declared per common share		$0.05			$0.05			$0.05			$0.05			$0.05			*		*
Book value per common share		$9.39			$9.48			$9.42			$9.10			$8.93
Tangible book value per common share (c)		$8.64			$8.80			$8.74			$8.41			$8.23
Market capitalization (millions)		$3,180.7			$2,888.9			$2,812.6			$2,919.5			$2,753.7

Certain previously reported amounts have been reclassified to agree with current presentation.

* Amount is less than one percent.

(a) Current quarter is an estimate.

(b) All quarters presented include $200 million of tier 1 qualifying trust preferred securities. Beginning in 1Q15 a portion of these will begin phasing out.

(c) Refer to the Non-GAAP to GAAP Reconciliation on page 22 of this financial supplement.

(d) See Glossary of Terms for definition of ratio.

(e) Calculated using period-end balances.

(f) 4Q14 and 3Q14 decreases relate to shares purchased under the share repurchase program.

12

FHN BUSINESS SEGMENT HIGHLIGHTS

Quarterly/Annually, Unaudited

																4Q14 Changes vs.				Twelve Months Ended						2014 vs.
(Thousands)	4Q14			3Q14			2Q14			1Q14			4Q13			3Q14		4Q13		2014			2013			2013
Regional Banking
Net interest income	$	157,547		$	153,855		$	148,654		$	142,010		$	146,427			2 %		8 %	$	602,066		$	591,308			2 %
Noninterest income		64,320			64,159			66,226			59,992			62,806			*		2 %		254,697			247,718			3 %
Total revenues		221,867			218,014			214,880			202,002			209,233			2 %		6 %		856,763			839,026			2 %
Provision for loan losses		5,568			2,204			8,425			12,990			2,585			NM		NM		29,187			18,460			58 %
Noninterest expense		137,979			136,253			133,564			133,050			139,186			1 %		(1)%		540,846			531,808			2 %
Income before income taxes		78,320			79,557			72,891			55,962			67,462			(2)%		16 %		286,730			288,758			(1)%
Provision for income taxes		27,882			28,422			25,843			19,880			24,049			(2)%		16 %		102,027			103,970			(2)%
Net income	$	50,438		$	51,135		$	47,048		$	36,082		$	43,413			(1)%		16 %	$	184,703		$	184,788			*
Capital Markets
Net interest income	$	3,677		$	2,952		$	2,590		$	3,478		$	4,301			25 %		(15)%	$	12,697		$	16,177			(22)%
Noninterest income		48,506			49,895			47,564			56,758			59,509			(3)%		(18)%		202,723			268,435			(24)%
Total revenues		52,183			52,847			50,154			60,236			63,810			(1)%		(18)%		215,420			284,612			(24)%
Noninterest expense (a)		46,213			47,910			111			52,594			53,130			(4)%		(13)%		146,828			232,415			(37)%
Income before income taxes		5,970			4,937			50,043			7,642			10,680			21 %		(44)%		68,592			52,197			31 %
Provision for income taxes		2,063			1,697			19,146			2,845			3,981			22 %		(48)%		25,751			19,619			31 %
Net income	$	3,907		$	3,240		$	30,897		$	4,797		$	6,699			21 %		(42)%	$	42,841		$	32,578			32 %
Corporate
Net interest income/(expense)	$	(18,030	)	$	(14,235	)	$	(11,951	)	$	(9,910	)	$	(10,907	)		(27)%		(65)%	$	(54,126	)	$	(46,127	)		(17)%
Noninterest income		4,399			4,139			5,214			13,215			7,831			6 %		(44)%		26,967			26,055			4 %
Total revenues		(13,631	)		(10,096	)		(6,737	)		3,305			(3,076	)		(35)%		NM		(27,159	)		(20,072	)		(35)%
Noninterest expense		16,294			18,783			15,798			19,578			18,770			(13)%		(13)%		70,453			75,263			(6)%
Loss before income taxes		(29,925	)		(28,879	)		(22,535	)		(16,273	)		(21,846	)		(4)%		(37)%		(97,612	)		(95,335	)		(2)%
Benefit for income taxes		(21,062	)		(18,383	)		(17,821	)		(12,075	)		(19,195	)		(15)%		(10)%		(69,341	)		(64,463	)		(8)%
Net loss	$	(8,863	)	$	(10,496	)	$	(4,714	)	$	(4,198	)	$	(2,651	)		16 %		NM	$	(28,271	)	$	(30,872	)		8 %
Non-Strategic
Net interest income	$	15,856		$	16,969		$	17,475		$	16,781		$	17,314			(7)%		(8)%	$	67,081		$	76,016			(12)%
Noninterest income (b)		2,373			39,622			7,897			15,765			4,897			(94)%		(52)%		65,657			42,369			55 %
Total revenues		18,229			56,591			25,372			32,546			22,211			(68)%		(18)%		132,738			118,385			12 %
Provision/(provision credit) for loan losses		432			3,796			(3,425	)		(2,990	)		12,415			(89)%		(97)%		(2,187	)		36,540			NM
Noninterest expense (c)		8,993			43,240			15,859			14,992			46,011			(79)%		(80)%		83,084			319,115			(74)%
Income/(loss) before income taxes		8,804			9,555			12,938			20,544			(36,215	)		(8)%		NM		51,841			(237,270	)		NM
Provision/(benefit) for income taxes		3,395			3,685			4,989			7,995			(42,648	)		(8)%		NM		20,064			(91,295	)		NM
Income/(loss) from continuing operations		5,409			5,870			7,949			12,549			6,433			(8)%		(16)%		31,777			(145,975	)		NM
Income/(loss) from discontinued operations, net of tax		-			-			-			-			(6	)		NM		NM		-			548			NM
Net income/(loss)	$	5,409		$	5,870		$	7,949		$	12,549		$	6,427			(8)%		(16)%	$	31,777		$	(145,427	)		NM
Total Consolidated
Net interest income	$	159,050		$	159,541		$	156,768		$	152,359		$	157,135			*		1 %	$	627,718		$	637,374			(2)%
Noninterest income		119,598			157,815			126,901			145,730			135,043			(24)%		(11)%		550,044			584,577			(6)%
Total revenues		278,648			317,356			283,669			298,089			292,178			(12)%		(5)%		1,177,762			1,221,951			(4)%
Provision for loan losses		6,000			6,000			5,000			10,000			15,000			*		(60)%		27,000			55,000			(51)%
Noninterest expense		209,479			246,186			165,332			220,214			257,097			(15)%		(19)%		841,211			1,158,601			(27)%
Income/(loss) before income taxes		63,169			65,170			113,337			67,875			20,081			(3)%		NM		309,551			8,350			NM
Provision/(benefit) for income taxes		12,278			15,421			32,157			18,645			(33,813	)		(20)%		NM		78,501			(32,169	)		NM
Income/(loss) from continuing operations		50,891			49,749			81,180			49,230			53,894			2 %		(6)%		231,050			40,519			NM
Income/(loss) from discontinued operations, net of tax		-			-			-			-			(6	)		NM		NM		-			548			NM
Net income/(loss)	$	50,891		$	49,749		$	81,180		$	49,230		$	53,888			2 %		(6)%	$	231,050		$	41,067			NM

Certain previously reported amounts have been reclassified to agree with current presentation.

NM - Not meaningful

* Amount is less than one percent.

(a) 2Q14 includes $47.1 million related to agreements with insurance companies for the recovery of expenses FHN incurred in connection with the Sentinel litigation matter which was settled in 2011.

(b) 3Q14 includes $39.7 million of gains on the sales of HFS mortgage loans.

(c) 3Q14 includes $50.0 million of loss accruals related to legal matters, partially offset by $15.0 million of expense reversals related to agreements with insurance companies for the recovery of expenses FHN incurred prior to 2012 related to litigation losses; 4Q13 includes $57.0 million of net loss accruals related to legal matters, partially offset by a $30.0 million expense reversal related to the resolution of certain legacy and representation and warranty mortgage loan repurchase obligations to a government sponsored entity.

13

FHN REGIONAL BANKING

Quarterly, Unaudited

																4Q14 Changes vs.
	4Q14			3Q14			2Q14			1Q14			4Q13			3Q14		4Q13
Income Statement (thousands)
Net interest income	$	157,547		$	153,855		$	148,654		$	142,010		$	146,427			2 %		8 %
Provision for loan losses		5,568			2,204			8,425			12,990			2,585			NM		NM
Noninterest income:
NSF / Overdraft fees (a)		11,619			11,425			10,636			9,156			11,411			2 %		2 %
Cash management fees		8,719			8,522			8,537			8,916			9,063			2 %		(4)%
Debit card income		3,117			2,945			2,934			2,655			2,739			6 %		14 %
Other		4,655			4,705			4,850			4,864			5,112			(1)%		(9)%
Total deposit transactions and cash management		28,110			27,597			26,957			25,591			28,325			2 %		(1)%
Brokerage, management fees and commissions		11,647			12,333			12,844			12,276			11,505			(6)%		1 %
Trust services and investment management		6,960			6,794			7,325			6,760			6,612			2 %		5 %
Bankcard income (b)		5,557			5,346			7,740			4,365			4,815			4 %		15 %
Other service charges		2,567			2,802			2,848			2,559			2,873			(8)%		(11)%
Miscellaneous revenue		9,479			9,287			8,512			8,441			8,676			2 %		9 %
Total noninterest income		64,320			64,159			66,226			59,992			62,806			*		2 %
Noninterest expense:
Employee compensation, incentives, and benefits		52,110			51,991			51,870			50,318			50,921			*		2 %
Other		85,869			84,262			81,694			82,732			88,265			2 %		(3)%
Total noninterest expense		137,979			136,253			133,564			133,050			139,186			1 %		(1)%
Income before income taxes	$	78,320		$	79,557		$	72,891		$	55,962		$	67,462			(2)%		16 %
PPNR (Non-GAAP) (c)		83,888			81,761			81,316			68,952			70,047			3 %		20 %
Efficiency ratio (d)		62.19	%		62.50	%		62.16	%		65.87	%		66.52	%
Balance Sheet (millions)
Average loans	$	13,129		$	12,886		$	12,372		$	11,897		$	11,972			2 %		10 %
Average other earning assets		52			63			57			50			43			(17)%		21 %
Total average earning assets		13,181			12,949			12,429			11,947			12,015			2 %		10 %
Average core deposits		15,335			14,638			14,809			14,857			14,466			5 %		6 %
Average other deposits		452			465			512			546			581			(3)%		(22)%
Total average deposits		15,787			15,103			15,321			15,403			15,047			5 %		5 %
Total period-end deposits		16,373			15,120			15,418			15,723			15,480			8 %		6 %
Total period-end assets		14,352			13,697			13,702			12,891			13,019			5 %		10 %
Net interest margin (e)		4.81	%		4.79	%		4.87	%		4.88	%		4.90	%
Net interest spread		3.36			3.41			3.46			3.41			3.50
Loan yield		3.50			3.56			3.63			3.61			3.71
Deposit average yield		0.14			0.15			0.17			0.20			0.21
Key Statistics
Financial center locations (f)		178			172			172			172			172			3 %		3 %

NM - Not meaningful

* Amount is less than one percent.

(a) 1Q14 levels primarily attributable to seasonality in NSF fees.

(b) 2Q14 includes $2.8 million of Visa volume incentives.

(c) Pre-tax, pre-provision, net revenue is a Non-GAAP number and is calculated by adding the provision/(provision credit) for loan losses (GAAP) to Income before income taxes (GAAP).

(d) Noninterest expense divided by total revenue.

(e) Net interest margin is computed using total net interest income adjusted for FTE assuming a statutory federal income tax rate of 35 percent and, where applicable, state income taxes.

(f) Increase related to the acquisition of bank branches in fourth quarter 2014.

14

FHN CAPITAL MARKETS

Quarterly, Unaudited

																4Q14 Changes vs.
	4Q14			3Q14			2Q14			1Q14			4Q13			3Q14		4Q13
Income Statement (thousands)
Net interest income		$3,677			$2,952			$2,590			$3,478			$4,301			25 %		(15)%
Noninterest income:
Fixed income		39,030			41,216			40,457			49,614			50,937			(5)%		(23)%
Other		9,476			8,679			7,107			7,144			8,572			9 %		11 %
Total noninterest income		48,506			49,895			47,564			56,758			59,509			(3)%		(18)%
Noninterest expense (a)		46,213			47,910			111			52,594			53,130			(4)%		(13)%
Income before income taxes		$5,970			$4,937			$50,043			$7,642			$10,680			21 %		(44)%
Efficiency ratio (b)		88.56	%		90.66	%		NM			87.31	%		83.26	%
Fixed income average daily revenue		$630			$644			$642			$813			$822			(2)%		(23)%
Balance Sheet (millions)
Average trading inventory		$1,177			$1,054			$1,112			$1,102			$1,160			12 %		1 %
Average other earning assets		677			648			668			628			588			4 %		15 %
Total average earning assets		1,854			1,702			1,780			1,730			1,748			9 %		6 %
Total period-end assets		2,137			2,338			2,197			2,094			1,511			(9)%		41 %
Net interest margin (c)		0.85	%		0.75	%		0.61	%		0.82	%		1.02	%

(a) 2Q14 includes $47.1 million related to agreements with insurance companies for the recovery of expenses FHN incurred in connection with the Sentinel litigation matter which was settled in 2011.

(b) Noninterest expense divided by total revenue.

(c) Net interest margin is computed using total net interest income adjusted for FTE assuming a statutory federal income tax rate of 35 percent and, where applicable, state income taxes.

FHN CORPORATE

Quarterly, Unaudited

																4Q14 Changes vs.
	4Q14			3Q14			2Q14			1Q14			4Q13			3Q14		4Q13
Income Statement (thousands)
Net interest income/(expense)		$(18,030	)		$(14,235	)		$(11,951	)		$(9,910	)		$(10,907	)		(27)%		(65)%
Noninterest income excluding securities gains/(losses)		4,399			4,005			5,138			7,558			5,649			10%		(22)%
Securities gains/(losses), net (a)		-			134			76			5,657			2,182			NM		NM
Noninterest expense		16,294			18,783			15,798			19,578			18,770			(13)%		(13)%
Loss before income taxes		$(29,925	)		$(28,879	)		$(22,535	)		$(16,273	)		$(21,846	)		(4)%		(37)%
Average Balance Sheet (millions)
Average loans		$148			$153			$159			$169			$182			(3)%		(19)%
Total earning assets		$4,703			$3,999			$4,082			$4,617			$4,026			18%		17 %
Net interest margin (b)		(1.50	)%		(1.39	)%		(1.18	)%		(0.90	)%		(1.05	)%

Certain previously reported amounts have been reclassified to agree with current presentation.

NM - Not meaningful

(a) 1Q14 and 4Q13 include gains of $5.6 million and $3.3 million, respectively, on the sale of cost method investments; 4Q13 also includes a $1.1 million other-than-temporary impairment of an investment.

(b) Net interest margin is computed using total net interest income adjusted for FTE assuming a statutory federal income tax rate of 35 percent and, where applicable, state income taxes.

15

FHN NON-STRATEGIC

Quarterly, Unaudited

																4Q14 Changes vs.
	4Q14			3Q14			2Q14			1Q14			4Q13			3Q14		4Q13
Income Statement (thousands)
Net interest income		$15,856			$16,969			$17,475			$16,781			$17,314			(7)%		(8)%
Noninterest income:
Mortgage warehouse valuation (a)		1,240			41,287			8,213			1,045			(720	)		(97)%		NM
Miscellaneous revenue (b)		1,133			(670	)		1,684			14,720			5,617			NM		(80)%
Total noninterest income excluding securities gains/(losses)		2,373			40,617			9,897			15,765			4,897			(94)%		(52)%
Securities gains/(losses), net		-			(995	)		(2,000	)		-			-			NM		NM
Noninterest expense:
Repurchase and foreclosure provision (c)		-			(4,300	)		-			-			(30,000	)		NM		NM
Other expenses (d)		8,993			47,540			15,859			14,992			76,011			(81)%		(88)%
Total noninterest expense		8,993			43,240			15,859			14,992			46,011			(79)%		(80)%
Provision/(provision credit) for loan losses		432			3,796			(3,425	)		(2,990	)		12,415			(89)%		(97)%
Income/(loss) before income taxes		$8,804			$9,555			$12,938			$20,544			$(36,215	)		(8)%		NM
Average Balance Sheet (millions)
Loans		$2,592			$2,724			$2,851			$2,993			$3,119			(5)%		(17)%
Loans held-for-sale (e)		125			298			335			344			343			(58)%		(64)%
Trading securities		6			6			7			7			13			*		(54)%
Allowance for loan losses		(110	)		(111	)		(117	)		(126	)		(129	)		(1)%		(15)%
Other assets		72			78			102			186			471			(8)%		(85)%
Total assets		2,685			2,995			3,178			3,404			3,817			(10)%		(30)%
Net interest margin (f)		2.32	%		2.23	%		2.19	%		2.01	%		1.98	%
Efficiency ratio (g)		49.33	%		75.09	%		57.94	%		46.06	%		NM
Mortgage Warehouse - Period-end (millions)
Ending warehouse balance (loans held-for-sale) (e)		$115			$120			$330			$332			$336			(4)%		(66)%
Key Servicing Metric
Ending servicing portfolio (millions) (h) (i)		$1,013			$1,090			$1,456			$1,679			$9,943			(7)%		(90)%

Certain previously reported amounts have been reclassified to agree with current presentation.

NM - Not meaningful

* Amount is less than one percent.

(a) 3Q14 includes $39.7 million of gains on the sale of HFS mortgage loans; 2Q14 fair value adjustments reflect new information on market pricing for similar assets primarily related to the non-performing portion of the held-for-sale portfolio.

(b) 1Q14 increase reflects the receipt of previously unrecognized servicing fees in conjunction with transfers of servicing in 1Q14.

(c) 3Q14 and 4Q13 expense reversal associated with the settlement of certain repurchase claims.

(d) 3Q14 includes $50.0 million of loss accruals related to legal matters, partially offset by $15.0 million of expense reversals associated with agreements with insurance companies for the recovery of expenses FHN incurred prior to 2012 related to litigation losses; 4Q13 includes $57.0 million of net loss accruals related to legal matters.

(e) 4Q14 and 3Q14 decreases relate to the sale of mortgage loans HFS late in third quarter.

(f) Net interest margin is computed using total net interest income adjusted for FTE assuming a statutory federal income tax rate of 35 percent and, where applicable, state income taxes.

(g) Noninterest expense divided by total revenue excluding securities gains/(losses).

(h) Includes mortgage loans serviced from FHN’s legacy mortgage banking business, legacy equity lending serviced for others, and mortgage loans in portfolio and warehouse.

(i) In 3Q13 FHN signed a definitive agreement to sell substantially all remaining legacy mortgage servicing; transfers of servicing began in fourth quarter 2013 and were substantially completed in first quarter 2014.

16

FHN ASSET QUALITY: CONSOLIDATED

Quarterly, Unaudited

																4Q14 Changes vs.
(Thousands)	4Q14			3Q14			2Q14			1Q14			4Q13			3Q14		4Q13
Allowance for Loan Losses Walk-Forward
Beginning reserve		$238,641			$243,628			$247,246			$253,809			$255,710			(2)%		(7)%
Provision		6,000			6,000			5,000			10,000			15,000			*		(60)%
Charge-offs		(23,306	)		(23,684	)		(18,764	)		(24,692	)		(29,000	)		(2)%		(20)%
Recoveries		11,113			12,697			10,146			8,129			12,099			(12)%		(8)%
Ending balance		$232,448			$238,641			$243,628			$247,246			$253,809			(3)%		(8)%
Reserve for unfunded commitments		4,770			2,313			2,209			2,882			3,017			NM		58 %
Total allowance for loan losses plus reserve for unfunded commitments		$237,218			$240,954			$245,837			$250,128			$256,826			(2)%		(8)%
Allowance for Loan Losses
Regional Banking		$126,812			$127,873			$131,801			$128,234			$121,027			(1)%		5 %
Non-Strategic		105,636			110,768			111,827			119,012			132,782			(5)%		(20)%
Corporate (a)		NM			NM			NM			NM			NM			NM		NM
Total allowance for loan losses		$232,448			$238,641			$243,628			$247,246			$253,809			(3)%		(8)%
Nonperforming Assets
Regional Banking
Nonperforming loans		$64,654			$70,805			$89,191			$83,275			$87,324			(9)%		(26)%
Foreclosed real estate (b)		20,451			25,404			26,598			27,705			28,806			(19)%		(29)%
Total Regional Banking		$85,105			$96,209			$115,789			$110,980			$116,130			(12)%		(27)%
Non-Strategic
Nonperforming loans (c)		$135,740			$139,038			$138,789			$153,972			$163,104			(2)%		(17)%
Nonperforming loans held-for-sale after fair value adjustments (d)		7,643			7,931			69,184			61,631			61,139			(4)%		(87)%
Foreclosed real estate (b)		9,979			9,857			12,183			15,265			16,947			1 %		(41)%
Total Non-Strategic		$153,362			$156,826			$220,156			$230,868			$241,190			(2)%		(36)%
Corporate
Nonperforming loans		$3,045			$3,903			$3,636			$3,672			$4,598			(22)%		(34)%
Total nonperforming assets		$241,512			$256,938			$339,581			$345,520			$361,918			(6)%		(33)%
Net Charge-Offs
Regional Banking		$6,629			$6,132			$4,858			$5,783			$6,997			8 %		(5)%
Non-Strategic		5,564			4,855			3,760			10,780			9,904			15 %		(44)%
Total net charge-offs		$12,193			$10,987			$8,618			$16,563			$16,901			11 %		(28)%
Consolidated Key Ratios (e)
NPL %		1.25	%		1.35	%		1.47	%		1.59	%		1.66	%
NPA %		1.44			1.57			1.71			1.87			1.95
Net charge-offs %		0.30			0.28			0.22			0.45			0.44
Allowance / loans		1.43			1.51			1.54			1.64			1.65
Allowance / NPL		1.14	x		1.12	x		1.05	x		1.03	x		1.00	x
Allowance / NPA		0.99	x		0.96	x		0.90	x		0.87	x		0.84	x
Allowance / charge-offs		4.81	x		5.47	x		7.05	x		3.68	x		3.79	x
Other
Loans past due 90 days or more (f)		50,699			$57,786			$68,369			$63,747			$69,863			(12)%		(27)%
Guaranteed portion (f)		24,036			27,020			32,782			35,063			35,260			(11)%		(32)%
Foreclosed real estate from government insured loans		9,492			12,735			18,771			23,065			25,809			(25)%		(63)%
Period-end loans, net of unearned income (millions)		16,230			15,812			15,796			15,119			15,389			3 %		5 %

NM - Not meaningful

* Amount is less than one percent.

(a)  The valuation adjustment taken upon exercise of clean-up calls included expected losses.

(b)  Excludes foreclosed real estate from government-insured mortgages.

(c)  2Q14 decrease is primarily related to a TRUPS sale.

(d)  3Q14 decrease is related to the sale of held-for-sale mortgage loans.

(e)  See Glossary of Terms for definitions of Consolidated Key Ratios.

(f)  Includes loans held-for-sale.

17

FHN ASSET QUALITY: CONSOLIDATED

Quarterly, Unaudited

																4Q14 Changes vs.
	4Q14			3Q14			2Q14			1Q14			4Q13			3Q14		4Q13
Key Portfolio Details
C&I
Period-end loans ($ millions)		$9,007			$8,477			$8,403			$7,753			$7,924			6 %		14 %
30+ Delinq. % (a)		0.05	%		0.10	%		0.19	%		0.27	%		0.13	%
NPL %		0.36			0.49			0.58			0.68			1.01
Charge-offs % (qtr. annualized)		0.19			NM			0.20			0.22			0.21
Allowance / loans %		0.74	%		0.82	%		0.82	%		0.94	%		1.09	%
Allowance / charge-offs		4.05	x		NM			4.35	x		4.27	x		5.33	x
Commercial Real Estate
Period-end loans ($ millions)		$1,278			$1,278			$1,232			$1,152			$1,133			*		13 %
30+ Delinq. % (a)		0.14	%		0.33	%		1.10	%		1.61	%		0.90	%
NPL %		1.20			1.11			1.14			1.30			1.60
Charge-offs % (qtr. annualized)		NM			0.47			NM			0.12			NM
Allowance / loans %		1.45	%		1.21	%		1.28	%		1.35	%		0.94	%
Allowance / charge-offs		NM			2.64			NM			10.97	x		NM
Consumer Real Estate
Period-end loans ($ millions)		$5,048			$5,131			$5,219			$5,258			$5,333			(2)%		(5)%
30+ Delinq. % (a)		1.10	%		1.04	%		0.93	%		1.01	%		1.13	%
NPL %		2.39			2.41			2.51			2.51			2.20
Charge-offs % (qtr. annualized)		0.38			0.60			0.20			0.56			0.62
Allowance / loans %		2.24	%		2.31	%		2.26	%		2.35	%		2.38	%
Allowance / charge-offs		5.85	x		3.83	x		11.30	x		4.17	x		3.79	x
Permanent Mortgage
Period-end loans ($ millions)		$539			$573			$594			$622			$662			(6)%		(19)%
30+ Delinq. % (a)		1.72	%		2.73	%		1.71	%		1.44	%		2.62	%
NPL %		6.32			5.93			6.23			6.46			5.76
Charge-offs % (qtr. annualized)		1.00			0.25			0.12			1.04			1.46
Allowance / loans %		3.55	%		3.53	%		3.99	%		3.62	%		3.40	%
Allowance / charge-offs		3.46	x		14.17	x		31.85	x		3.39	x		2.27	x
Credit Card and Other
Period-end loans ($ millions)		$358			$353			$348			$334			$337			1 %		6 %
30+ Delinq. % (a)		1.42	%		1.44	%		1.39	%		1.30	%		1.35	%
NPL %		0.21			0.20			0.39			0.42			0.42
Charge-offs % (qtr. annualized)		3.33			3.19			3.35			3.71			3.05
Allowance / loans %		4.11	%		4.17	%		5.01	%		3.91	%		2.22	%
Allowance / charge-offs		1.24	x		1.31	x		1.51	x		1.05	x		0.73	x

NM - Not meaningful

(a)  30+ Delinquency % includes all accounts delinquent more than one month and still accruing interest.

18

FHN ASSET QUALITY: REGIONAL BANKING

Quarterly, Unaudited

																4Q14 Changes vs.
	4Q14			3Q14			2Q14			1Q14			4Q13			3Q14		4Q13
Total Regional Banking
Period-end loans ($ millions)		$13,568			$13,002			$12,853			$12,042			$12,167			4 %		12 %
30+ Delinq. % (a)		0.22	%		0.29	%		0.43	%		0.52	%		0.38	%
NPL %		0.48			0.54			0.69			0.69			0.72
Charge-offs % (qtr. annualized)		0.20			0.19			0.16			0.20			0.23
Allowance / loans %		0.93	%		0.98	%		1.03	%		1.06	%		0.99	%
Allowance / charge-offs		4.82	x		5.26	x		6.76	x		5.47	x		4.36	x
Key Portfolio Details
C&I
Period-end loans ($ millions)		$8,553			$8,022			$7,947			$7,287			$7,431			7 %		15 %
30+ Delinq. % (a)		0.05	%		0.09	%		0.20	%		0.26	%		0.14	%
NPL % (b)		0.24			0.37			0.57			0.55			0.59
Charge-offs % (qtr. annualized)		0.21			NM			0.09			0.07			0.24
Allowance / loans %		0.72	%		0.81	%		0.84	%		0.93	%		0.97	%
Allowance / charge-offs		3.62	x		NM			10.12	x		13.74	x		4.24	x
Commercial Real Estate
Period-end loans ($ millions)		$1,273			$1,274			$1,226			$1,145			$1,124			*		13 %
30+ Delinq. % (a) (c)		0.14	%		0.33	%		1.10	%		1.62	%		0.91	%
NPL %		1.14			1.04			1.06			1.05			1.35
Charge-offs % (qtr. annualized)		NM			0.49			NM			0.10			NM
Allowance / loans %		1.43	%		1.18	%		1.25	%		1.31	%		0.88	%
Allowance / charge-offs		NM			2.46	x		NM			13.38	x		NM
Consumer Real Estate
Period-end loans ($ millions)		$3,385			$3,356			$3,334			$3,280			$3,278			1 %		3 %
30+ Delinq. % (a)		0.57	%		0.61	%		0.64	%		0.62	%		0.65	%
NPL %		0.86			0.83			0.90			0.92			0.85
Charge-offs % (qtr. annualized)		0.11			0.39			0.18			0.18			0.12
Allowance / loans %		0.95	%		0.99	%		0.97	%		0.99	%		0.96	%
Allowance / charge-offs		8.55	x		2.55	x		5.32	x		5.42	x		7.72	x
Credit Card, Permanent Mortgage, and Other
Period-end loans ($ millions)		$357			$351			$346			$330			$334			2 %		7 %
30+ Delinq. % (a)		1.51	%		1.49	%		1.43	%		1.38	%		1.55	%
NPL %		0.14			0.15			0.14			0.27			0.16
Charge-offs % (qtr. annualized)		3.00			3.01			3.05			3.43			2.92
Allowance / loans %		4.06	%		4.07	%		4.98	%		3.91	%		2.21	%
Allowance / charge-offs		1.36	x		1.36	x		1.64	x		1.13	x		0.76	x
ASSET QUALITY: CORPORATE
Permanent Mortgage
Period-end loans ($ millions)		$136			$147			$155			$164			$175			(7)%		(22)%
30+ Delinq. % (a)		2.32	%		2.24	%		1.91	%		1.83	%		2.34	%
NPL %		2.25			2.65			2.34			2.24			2.63
Charge-offs % (qtr. annualized)		NM			NM			NM			NM			NM
Allowance / loans %		NM			NM			NM			NM			NM
Allowance / charge-offs		NM			NM			NM			NM			NM

NM - Not meaningful

* Amount is less than one percent.

(a)  30+ Delinquency % includes all accounts delinquent more than one month and still accruing interest.

(b)  3Q14 decrease is primarily related to loans returning to accrual.

(c)  1Q14 increase is primarily driven by 2 purchase credit impaired loans acquired from MNB.

19

FHN ASSET QUALITY: NON-STRATEGIC

Quarterly, Unaudited

																4Q14 Changes vs.
	4Q14			3Q14			2Q14			1Q14			4Q13			3Q14		4Q13
Total Non-Strategic
Period-end loans ($ millions)		$2,527			$2,663			$2,788			$2,913			$3,047			(5)%		(17)%
30+ Delinq. % (a)		1.67	%		1.73	%		1.24	%		1.38	%		1.70	%
NPL % (b)		5.37			5.22			4.98			5.28			5.35
Charge-offs % (qtr. annualized)		0.85			0.71			0.53			1.46			1.26
Allowance / loans %		4.18	%		4.16	%		4.01	%		4.08	%		4.36	%
Allowance / charge-offs		4.79	x		5.75	x		7.41	x		2.72	x		3.38	x
Key Portfolio Details
C&I
Period-end loans ($ millions)		$454			$456			$456			$466			$492			*		(8)%
30+ Delinq. % (a)		0.05	%		0.23	%		0.02	%		0.43	%		0.06	%
NPL % (b)		2.64			2.64			0.58			2.64			7.33
Charge-offs % (qtr. annualized)		NM			NM			1.99			2.48			NM
Allowance / loans %		1.10	%		1.01	%		0.38	%		1.02	%		2.87	%
Allowance / charge-offs		NM			NM			0.19	x		0.39	x		NM
Commercial Real Estate
Period-end loans ($ millions)		$5			$5			$5			$7			$9			*		(44)%
30+ Delinq. % (a)		-	%		-	%		-	%		-	%		-	%
NPL %		17.47			20.01			19.34			40.93			32.30
Charge-offs % (qtr. annualized)		6.91			NM			NM			3.46			3.72
Allowance / loans %		9.25	%		9.36	%		9.41	%		7.43	%		7.98	%
Allowance / charge-offs		1.27	x		NM			NM			1.80	x		2.00	x
Consumer Real Estate
Period-end loans ($ millions)		$1,663			$1,775			$1,885			$1,978			$2,055			(6)%		(19)%
30+ Delinq. % (a)		2.17	%		1.84	%		1.45	%		1.65	%		1.89	%
NPL %		5.51			5.40			5.35			5.14			4.36
Charge-offs % (qtr. annualized)		0.91			0.98			0.23			1.17			1.39
Allowance / loans %		4.86	%		4.79	%		4.54	%		4.60	%		4.64	%
Allowance / charge-offs		5.19	x		4.76	x		19.65	x		3.86	x		3.25	x
Permanent Mortgage
Period-end loans ($ millions)		$393			$415			$427			$446			$475			(5)%		(17)%
30+ Delinq. % (a)		1.40	%		2.88	%		1.59	%		1.21	%		2.59	%
NPL %		7.78			7.13			7.71			7.99			6.96
Charge-offs % (qtr. annualized)		1.44			0.29			0.15			1.46			2.04
Allowance / loans %		4.83	%		4.84	%		5.52	%		5.00	%		4.68	%
Allowance / charge-offs		3.30	x		16.57	x		35.18	x		3.36	x		2.25	x
Other Consumer
Period-end loans ($ millions)		$12			$12			$15			$16			$16			*		(25)%
30+ Delinq. % (a)		2.48	%		2.24	%		1.79	%		1.95	%		2.33	%
NPL %		6.22			5.38			9.16			9.03			8.66
Charge-offs % (qtr. annualized)		8.21			6.74			7.81			6.83			3.35
Allowance / loans %		3.43	%		4.48	%		2.94	%		2.12	%		2.25	%
Allowance / charge-offs		0.41	x		0.63	x		0.36	x		0.30	x		0.66	x

NM - Not meaningful

* Amount is less than one percent.

(a) 30+ Delinquency % includes all accounts delinquent more than one month and still accruing interest.

(b) 3Q14 increase related to interest deferral elected by an insurance TRUPS; 2Q14 and 1Q14 NPL decrease related to TRUPS sales.

20

FHN: PORTFOLIO METRICS

Unaudited

C&I Portfolio: $9.0 Billion (55.5% of Total Loans) as of December 31, 2014
						% OS
General Corporate, Commercial, and Business Banking Loans						82%
Loans to Mortgage Companies						13%
Trust Preferred Loans						4%
Bank Holding Company Loans						1%
Consumer Real Estate (primarily Home Equity) Portfolio: $5.0 Billion (31.1% of Total Loans)
Origination LTV and FICO for Portfolio as of December 31, 2014			Loan-to-Value
(excludes whole loan insurance)			<=60%	>60% - <=80%	>80% - 90%	>90%
FICO score greater than or equal to 740			11%	23%	17%	9%
FICO score 720-739			2%	4%	4%	2%
FICO score 700-719			1%	4%	3%	2%
FICO score 660-699			2%	4%	4%	3%
FICO score 620-659			-%	1%	1%	1%
FICO score less than 620			-%	1%	-%	1%
Origination LTV and FICO for Portfolio - Regional Bank as of December 31, 2014			Loan-to-Value
(excludes whole loan insurance)			<=60%	>60% - <=80%	>80% - 90%	>90%
FICO score greater than or equal to 740			12%	24%	18%	11%
FICO score 720-739			1%	4%	4%	3%
FICO score 700-719			1%	2%	2%	2%
FICO score 660-699			1%	4%	3%	2%
FICO score 620-659			1%	1%	1%	1%
FICO score less than 620			-%	1%	-%	1%
Origination LTV and FICO for Portfolio - Non-Strategic as of December 31, 2014			Loan-to-Value
(excludes whole loan insurance)			<=60%	>60% - <=80%	>80% - 90%	>90%
FICO score greater than or equal to 740			8%	21%	15%	5%
FICO score 720-739			2%	6%	6%	2%
FICO score 700-719			2%	6%	6%	2%
FICO score 660-699			2%	5%	4%	3%
FICO score 620-659			-%	1%	1%	1%
FICO score less than 620			-%	-%	-%	2%
Consumer Real Estate Portfolio Detail:
		Origination Characteristics
Vintage	Balances ($B)	W/A Age (mo.)	CLTV	FICO	% TN	% 1st lien
pre-2003	$0.1	156	78%	702	43%	31%
2003	$0.1	138	76%	718	31%	37%
2004	$0.3	125	80%	720	19%	27%
2005	$0.6	113	81%	728	16%	16%
2006	$0.4	102	79%	732	21%	17%
2007	$0.6	90	81%	737	26%	19%
2008	$0.3	79	75%	745	72%	50%
2009	$0.1	67	72%	748	87%	57%
2010	$0.2	53	80%	750	92%	73%
2011	$0.4	41	77%	759	89%	86%
2012	$0.7	30	77%	764	89%	91%
2013	$0.6	19	78%	756	86%	85%
2014	$0.6	6	81%	757	85%	89%
Total	$5.0	65	79%	743(a)	59%	56%
(a)    743 average portfolio origination FICO; 736 weighted average portfolio FICO (refreshed).

21

FHN NON-GAAP TO GAAP RECONCILIATION

Quarterly, Unaudited

(Dollars and shares in thousands, except per share data)	4Q14			3Q14			2Q14			1Q14			4Q13
Tangible Common Equity (Non-GAAP)
(A) Total equity (GAAP)		$2,590,968			$2,621,941			$2,626,151			$2,544,137			$2,500,751
Less: Noncontrolling interest (a)		295,431			295,431			295,431			295,431			295,431
Less: Preferred stock		95,624			95,624			95,624			95,624			95,624
(B) Total common equity		$2,199,913			$2,230,886			$2,235,096			$2,153,082			$2,109,696
Less: Intangible assets (GAAP) (b)		175,450			160,987			161,968			162,950			163,931
(C) Tangible common equity (Non-GAAP)		$2,024,463			$2,069,899			$2,073,128			$1,990,132			$1,945,765
Less: Unrealized gains/(losses) on AFS securities, net of tax		18,581			4,308			15,596			(1,762	)		(11,241	)
(D) Adjusted tangible common equity (Non-GAAP) (c)		$2,005,882			$2,065,591			$2,057,532			$1,991,894			$1,957,006
Tangible Assets (Non-GAAP)
(E) Total assets (GAAP)		$25,672,887			$23,986,787			$24,222,750			$23,941,989			$23,789,833
Less: Intangible assets (GAAP) (b)		175,450			160,987			161,968			162,950			163,931
(F) Tangible assets (Non-GAAP)		$25,497,437			$23,825,800			$24,060,782			$23,779,039			$23,625,902
Period-end Shares Outstanding
(G) Period-end shares outstanding		234,220			235,249			237,147			236,586			236,370
Tier 1 Common (Non-GAAP)
(H) Tier 1 capital (d) (e)		$2,813,504			$2,783,147			$2,751,933			$2,666,486			$2,618,976
Less: Noncontrolling interest - FTBNA preferred stock (a) (f)		294,816			294,816			294,816			294,816			294,816
Less: Preferred Stock		95,624			95,624			95,624			95,624			95,624
Less: Trust preferred (g)		200,000			200,000			200,000			200,000			200,000
(I) Tier 1 common (Non-GAAP)		$2,223,064			$2,192,707			$2,161,493			$2,076,046			$2,028,536
Risk Weighted Assets
(J) Risk weighted assets (d) (e)		$19,487,900			$19,238,109			$19,400,096			$18,694,719			$18,878,594
Ratios
(C)/(F) Tangible common equity to tangible assets (“TCE/TA”) (Non-GAAP)		7.94	%		8.69	%		8.62	%		8.37	%		8.24	%
(A)/(E) Total equity to total assets (GAAP)		10.09	%		10.93	%		10.84	%		10.63	%		10.51	%
(C)/(G) Tangible book value per common share (Non-GAAP)		$8.64			$8.80			$8.74			$8.41			$8.23
(B)/(G) Book value per common share (GAAP)		$9.39			$9.48			$9.42			$9.10			$8.93
(I)/(J) Tier 1 common to risk weighted assets (Non-GAAP) (d)		11.41	%		11.40	%		11.14	%		11.10	%		10.75	%
(H)/(E) Tier 1 capital to total assets (GAAP) (d)		10.96	%		11.60	%		11.36	%		11.14	%		11.01	%
(D)/(J) Adjusted tangible common equity to risk weighted assets (“TCE/RWA”) (Non-GAAP) (c) (d)		10.29	%		10.74	%		10.61	%		10.65	%		10.37	%

Certain previously reported amounts have been reclassified to agree with current presentation.

(a) Included in Total equity on the Consolidated Balance Sheet.

(b) Includes goodwill and other intangible assets, net of amortization.

(c) See Glossary of Terms for definition of ratio.

(d) Current quarter is an estimate.

(e) Defined by and calculated in conformity with bank regulations.

(f) Represents FTBNA preferred stock included in noncontrolling interest.

(g) Included in Term borrowings on the Consolidated Balance Sheet.

22

FHN GLOSSARY OF TERMS

Adjusted Tangible Common Equity to Risk Weighted Assets (“TCE/RWA”): Common equity excluding intangible assets and unrealized gains/losses on available-for-sale securities divided by risk weighted assets.

Core Businesses: Management considers regional banking, capital markets, and corporate as FHN’s core businesses. Non-strategic has significant legacy assets and operations that are being wound down.

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.

Insured Network Deposits: FDIC-insured deposit sweep program that enables participating banks to access cost-effective funding in large-dollar increments without collaterlization.

Purchase Credit Impaired (“PCI”) Loans: Acquired loans that have experienced deterioration of credit quality between origination and the time of acquisition and for which the timely collection of the interest and principal is no longer reasonably assured.

Troubled Debt Restructuring (“TDR”): A restructuring of debt whereby a creditor for economic or legal reasons related to the borrower’s financial difficulties grants a concession to the borrower that it would not otherwise consider. Such concession is granted in an attempt to protect as much of the creditor’s investment as possible by increasing the probability of repayment.

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.

Fee Income to Total Revenue: Ratio is fee income excluding securities gains/(losses) to total revenue excluding securities gains/(losses).

Efficiency Ratio: Ratio is noninterest expense to total revenue excluding securities gains/(losses).

Asset Quality - Consolidated Key Ratios

NPL %: Ratio is nonperforming loans in the loan portfolio to total period-end loans.

NPA %: Ratio is nonperforming assets related to the loan portfolio to total period-end loans plus foreclosed real estate and other assets.

Net charge-offs %: Ratio is annualized net charge-offs to total average loans.

Allowance / loans: Ratio is allowance for loan losses to total period-end loans.

Allowance / NPL: Ratio is allowance for loan losses to nonperforming loans in the loan portfolio.

Allowance / NPA: Ratio is allowance for loan losses to nonperforming assets related to the loan portfolio.

Allowance / charge-offs: Ratio is allowance for loan losses to annualized net charge-offs.

23

First Horizon National Corporation

Fourth Quarter 2014 Earnings

January 23, 2015

2

Portions of this presentation use non-GAAP financial information. Each of those portions is so noted, and a

reconciliation

of

that

non-GAAP

information

to

comparable

GAAP

information

is

provided

in

a

footnote

or

in

the

appendix at the end of this presentation.

This presentation contains forward-looking statements, which may include guidance, involving significant risks and

uncertainties which will be identified by words such as “believe”,“expect”,“anticipate”,“intend”,“estimate”,

“should”,“is

likely”,“will”,“going

forward”

and

other

expressions

that

indicate

future

events

and

trends

and

may

be

followed by or reference cautionary statements.

A number of factors could cause actual results to differ materially

from those in the forward-looking information.

These factors are outlined in our recent earnings and other press

releases

and

in

more

detail

in

the

most

current

10-Q

and

10-K.

FHN

disclaims

any

obligation

to

update

any

such

factors or to publicly announce the result of any revisions to any of the forward-looking statements included herein

or therein to reflect future events or developments.

Building Franchise Value

Executing “Blue Chip”

Priorities

Being easy to do business with

Providing differentiated customer service

Using the Bonefish to drive profitability

3

4Q13 annualized expense excludes $57mm of net loss accruals related to legal matters and a $30mm reversal to mortgage repurchase reserve.

4

2014 Accomplishments

Building Franchise Value

1

Solid progress toward achieving long-term bonefish profitability

Regional Banking average loans up 10% year over year

Regional Banking pre-provision net revenue (PPNR) up 20% year over year

Consolidated 4Q annualized expenses down 9%

Winding down non-strategic segment

Sold mortgage servicing with positive impact of ~$20mm

Executed 2 non-strategic loan sales with valuation gain of ~$48mm

Reached mortgage settlement with FHLMC in February 2014

Settled FHFA litigation in April 2014

Deploying capital

Acquired $440mm of deposits via branch acquisition in 4Q14

Agreed to acquire TrustAtlantic in 4Q14

Repurchased $301mm or 31 million total common shares since October 2011 at VWAP of

$9.54, reducing share count by 11%

1

This number is Non-GAAP and a reconciliation is provided in the appendix.

Building Franchise Value

Executing Profitable Growth Opportunities

1

Average Regional Banking loan growth from 4Q13 to 4Q14.

Regional

Bank

Year

Over

Year

Loan

Growth

Consolidated and Regional Banking average loan

growth of 4% and 10% year over year, respectively

Capitalizing on profitable growth opportunities in CRE,

ABL, Mid-Atlantic, and Middle Tennessee

CRE portfolio comprises 8% of average

consolidated loan portfolio

Key Markets:

Key Lending Areas:

Middle TN

Mid-Atlantic

CRE

ABL

Commercial

PC/WM

5

10%

25%

10%

15%

31%

10%

Regional Banking Loan Growth by Lending Area

Commercial

Business

PC/WM

Retail

Loans to

Mortgage Cos

+10%

$14B

CRE

Other

Specialty

ABL

4Q13

4Q14

$0

$2

$4

$6

$8

$10

$12

1

3

All else equal, a 200bps rate shock results in ~$78mm increase in Core Businesses annual NII (see slide 13), as Non-Strategic is interest rate neutral.

6

Core Businesses Relative Positioning

Balance Sheet Positioned to Benefit from Rising Rates

Returns

Key

Bonefish

Metrics

ROTCE

ROA

NIM

NCO %

Fee Income %

Efficiency Ratio

Significantly better than long-term

bonefish targets

FTN Financial significant differentiator

vs peers

In line with long-term bonefish

targets

Regional Banking efficiency ratio of 62%

Significant latent income embedded in

balance sheet

A 200bps rise in rates would have

improved NII by ~$78mm annually

and added ~39bps to Core NIM

FHN

Peers

4

Improving returns through solid risk-

adjusted loan growth, expense

discipline, and strong credit quality

12.28%

10.84%

0.95%

0.88%

3.04%

3.39%

0.18%

0.22%

46%

30%

73%

66%

2

2

3

2

1

Core Businesses include Regional Banking, Capital Markets, and Corporate. All Core data is Non-GAAP and is reconciled in the appendix.

4

Peer data is for the period 4Q13-3Q14 and asset-weighted as of 3Q14. Peers defined in appendix.

2

ROTCE, ROA, NIM, and NCOs are full-year 2014. ROTCE is Non-GAAP.

2

FINANCIAL RESULTS

7

4Q14 Consolidated Financial Results

8

Net Interest Income

Fee Income

Expense

EPS

$ in millions, except EPS

Financial Results

4Q14

$159

Loan Loss Provision

$120

$209

$6

$46

$0.20

4Q14 vs

+$2

-$15

-$48

-$9

-$3

-$0.01

3Q14

$160

$158

$246

$6

$45

$0.19

4Q13

$157

$135

$257

$15

$49

$0.21

3Q14

$0

-$38

-$37

$0

+$1

+$0.01

4Q13

Actuals

Numbers may not add to total due to rounding. All Non-GAAP numbers are reconciled in the appendix.

1

4Q13

excludes

$57mm

of

net

loss

accruals

related

to

legal

matters

and

a

$30mm

reversal

to

mortgage

repurchase

reserve.

3Q14

excludes

$35mm

in

legal

accruals

related

to

legal

matters

and

a

$4mm

mortgage

repurchase

reversal.

These

numbers

are

Non-GAAP.

2

Tier 1 Common: current quarter is an estimate and a Non-GAAP number.

Net income available to common of $46mm, with EPS of $0.20

Total average loans up 1% linked quarter and 4% year over year

Total

average

core

deposits,

including

branch

acquisition,

up

8%

linked

quarter

and

6%

year

over

year

Net interest income stable linked quarter and up 1% year over year

Loan loss provision of $6mm with NCOs of $12mm in 4Q14 vs $6mm of provision and $11mm of NCOs in 3Q14

Expense

down

3%

linked

quarter

and

9%

year

over

year

1

Tier

1

Common

of

11.4%

2

Net Income Available to Common Shareholders

Numbers may not add to total due to rounding.

4Q14 Segment Highlights

9

Drivers and Impacts

Net Income

$ in millions,

except EPS

4Q14

Per Share

Impact

Regional

Banking

Capital

Markets

Corporate

Non-

Strategic

Total

3Q14

$51

$3

$(15)

$6

$45

4Q13

$43

$7

$(7)

$6

$49

4Q14

$50

$4

$(13)

$5

$46

$0.21

$0.02

$(0.05)

$0.02

$0.20

Fixed income ADR of $630k in 4Q14 vs $644k in 3Q14

Expenses down 4% linked quarter and 13% year over year

Loan loss provision of $0.4mm in 4Q14 vs $4mm in 3Q14

3Q14 included +$40mm gain on sales of held-for-sale mortgage loans,

-$35mm net accruals related to legal matters, +$4mm mortgage

repurchase provision recovery

4Q13 included -$57mm net accruals related to legal matters, +$30mm

mortgage repurchase reversal

NII up 2% linked quarter and up 8% year over year

4Q14 provision of $6mm vs 3Q14 provision of $2mm

Average loans up 2% linked quarter and 10% year over year

Expense down 13% linked quarter and year over year

1

2

1

1

Segment EPS impacts are Non-GAAP numbers and reconciled in the table. EPS impacts are calculated using the 4Q14 net income column divided by the 235 million diluted shares outstanding.

2

Corporate and Consolidated show net income available to common, which reflects $3mm of noncontrolling interest and $1.6mm of preferred stock dividends in each quarter.

1

Regional Banking Financial Results

10

Net Interest Income

Fee Income

Expense

$ in millions

Financial Results

4Q14

$158

Loan Loss Provision

Pre-Provision

Net

Revenue

1

$64

$138

$84

$6

4Q14 vs

+$11

+$2

-$1

+$14

+$3

3Q14

$154

$64

$136

$82

$2

4Q13

$146

$63

$139

$70

$3

3Q14

+$4

$0

+$2

+$2

+$4

4Q13

Actuals

Average loans increased 2% linked quarter and 10% year over year

Revenues up 2% linked quarter and 6% year over year

NII up 2% from higher loan fees and increased loan volumes

Fee income flat linked quarter; strong year over year growth with trust fees up 5% and bankcard fees up 15%

Efficiency ratio improvement of 433

bps

year over year

4Q14

net

charge-offs

of

$7mm,

or

annualized

0.20%

of

average

loans,

compared

to

$6mm

in

3Q14

Net Income

$50

$51

$43

+$7

-$1

Numbers may not add to total due to rounding.

1

Regional Banking Pre-Provision Net Revenue is a Non-GAAP number and a reconciliation is provided in the appendix.

11

1

Average Regional Banking loan growth from 3Q14 to 4Q14.

Profitable Growth Opportunities: Regional Banking

Broad Product Offerings with Focus on

Specialty Lending Provide Growth Opportunities

Regional

Banking

Loan

Growth

by

Lending

Area

1

Regional Banking average loan growth of 10% year

over year and 2% linked quarter

Continued growth in specialty lending areas

CRE increase driven by customers funding up

commitments and growth in REITs and property

types such as retail, assisted living facilities, and

industrial

ABL up due to utilization rate improvement and

new customer growth

+2%

$14B

Mid-Atlantic

Middle TN

CRE

Commercial

Key Markets:

Key Lending Areas:

PC/WM

ABL

East TN

Regional

Bank

Areas

of

Linked

Quarter

Loan

Growth

1

Commercial

Business

PC/WM

Retail

Loans to

Mortgage Cos

CRE

ABL

Other

Specialty

5%

5%

2%

2%

3%

2%

1%

$3.21B

$3.26B

$0.76B

$0.76B

$1.82B

$1.86B

$2.12B

$2.10B

$1.30B

$1.37B

$1.55B

$1.61B

3Q14

4Q14

$0

$2

$4

$6

$8

$10

$12

$1.18B

$1.24B

$0.93B

$0.95B

12

Capital Markets

Solid Performance in a Challenging Environment

Capital Markets Revenue and Expense

Fixed income average daily revenue at $630k in 4Q14

Expenses down 4% linked quarter due to lower

variable expenses

Focused on investing in extensive fixed income

distribution platform:

Expansion of municipal products platform

Continued development of public finance capability

Fixed income business model highly adaptable to

various market conditions

$3mm

Left Axis:

Right Axis:

NII

Fee Income

$ in millions, except ADR

Financial Results

4Q14

$4

Pre-Tax Income

$49

$6

4Q14 vs

-$1

-$11

-$5

3Q14

$3

$50

$5

4Q13

$4

$60

$11

3Q14

+$1

-$1

+$1

4Q13

Actuals

Expense

$46

-$7

$48

$53

-$2

Average Daily Revenue (ADR)

$630k

$644k

$822k

-$192k

-$14k

$0

$1

$2

$0

$200

$400

$600

Revenue

Expense

ADR

$800mm

1

2011 excludes $36.7mm of expense associated with the Sentinel settlement. 2014 excludes the $47mm recovery of the Sentinel settlement expense and legal fees.   

Numbers may not add to total due to rounding.

These are Non-GAAP numbers and are reconciled in the appendix.

13

Net

Interest

Income

Sensitivity

Impact

1

NII and Net Interest Margin

Balance Sheet Positioned to Benefit from Rising Rates

Attractive and stable low-cost funding mix in Regional

Banking with 56% DDA and interest checking deposits

Deposits excluding branch acquisition up 5% linked

quarter

Regional Banking average deposit rate paid of 14bps in

4Q14 vs 15bps in 3Q14

Floating rate loans comprise 65% vs fixed rate loans at

35% of loan portfolio

Issued $400mm of debt in November 2014 to replace

maturity due in January 2015

NIM at 2.86% in 4Q14, down 11 bps from 3Q14 largely

due to significant excess cash balances at the Fed

Average Deposit Growth

4Q14

$159.1

2.86%

NII and NIM Change Drivers

NII

NIM 

($ in millions)

3Q14

$159.5

2.97%

Deposit Growth/Higher Fed Balances

Loan Fees & Cash Basis Income/Other

$2.9

4bps

Lower Commercial Loan Yields

Sales/Runoff of Non-Strategic Loans

-1bp

Pre-Funding of Debt Maturity

-$0.6

-1bp

Increased Commercial Loan Volumes

-$1.4

-$3.1

-10bps

-3bps

$1.8

+5%

+4%

-

-

+10%

+6%

Linked Quarter:

Year Over Year:

Consumer

Consumer

Commercial

Commercial

-1.5%

-$9mm

+1.4%

+$8mm

+6.6%

+$40mm

+12.7%

+$78mm

-3%

0%

3%

6%

9%

12%

15%

Long End

-50bps

Long End

+50bps

+100bps

+200bps

Numbers

may

not

add

to

total

due

to

rounding.

1

NII

sensitivity

analysis

uses

FHN’s

balance

sheet

as

of

4Q14

and

is

Non-GAAP.

Long

End

+50bps

assumes

yield

curve

spreads

widen

~50bps.

Long

end

-50bps

assumes

yield

curve

spreads

compress

~50bps.

Bps

impact

assumes

increase

in

Fed

Funds

rate.

Non-Strategic

is

interest

rate

neutral,

thus

nearly

all

the

sensitivity

impact

would

be

allocated

to

the

Core

Businesses.

14

Continued Efficiencies

Execution Capabilities Demonstrated

1

4Q11 excludes ~$45mm in mortgage repurchase provision and ~$1mm in legal expense. 4Q12 excludes ~$4mm in legal expense.

4Q13 excludes ~$57mm of net loss accruals related to legal matters and a ~$30mm reversal to mortgage repurchase reserve. All exclusions are within the Non-Strategic segment.

These are Non-GAAP numbers and a reconciliation is provided in the appendix.

Annualized

Noninterest

Expense

1

-9%

1

Noninterest

Expense

Trends

by

Segment

1

RB

Capital Markets

Corporate

Non-Strategic

-53%

4Q13

4Q14

$919mm

$838mm

-13%

-13%

-1%

Annualized

noninterest

expense

declined

21%

from

2011

1

Ongoing efficiency opportunities:

Continued wind-down of Non-Strategic segment (decreased legal, credit, and repurchase expense)

Streamline end-to-end processes

Reduce corporate real estate footprint

Right-size branch network as consumer usage shifts to FHN’s expanded digital banking platforms

Annualized

Annualized

15

Non-Performing Assets

$500mm

Net Charge-Offs

Asset Quality Trends

Continued Improvement in Credit Trends

Reserves

$280mm

$100mm

Annual net charge-off improvement to $48mm in 2014

vs $78mm in 2013

Annual net charge-off ratio improvement of 19 bps

to 0.31%

Net charge-offs of $12mm in 4Q14, compared to

$11mm in 3Q14 and $17mm in 4Q13

NPL levels at $211mm, down 5% linked quarter and

33% year over year

Commercial NPLs down 14% linked quarter and 

51% year over year

Numbers may not add to total due to rounding.

1

Net charge-off % is annualized.

0.00%

0.20%

0.40%

0.60%

0.80%

$0

$20

$40

$60

$80

2013

2014

NCOs $

Provision $

NCO %

1.0%

1.2%

1.4%

1.6%

1.8%

2.0%

$180

$200

$220

$240

$260

4Q13

1Q14

2Q14

3Q14

4Q14

Reserves $

Reserves / Loans %

$0

$100

$200

$300

$400

4Q13

1Q14

2Q14

3Q14

4Q14

NPLs

NPLs Held for Sale

ORE

¹

16

4Q14

Consolidated

Core

Businesses

3

Long-Term Targets

ROTCE

1

8.74%

10.36%

15.0 –

20.0%

ROA

1

0.82%

0.82%

1.25 -

1.45%

NIM

1

2.86%

2.94%

3.50 -

4.00%

Tier

1

Common

2

/

Allocated

Tier

1

Common

2

11.4%

9.7%

8.0 –

9.0%

NCO

/

Average

Loans

1

0.30%

0.20%

0.30 -

0.70%

Fee Income / Revenue

43%

45%

40 -

50%

Efficiency Ratio

75%

77%

60 -

65%

Equity / Assets

Return on Assets

1.25% - 1.45%

Risk Adjusted Margin

Return on Tangible

Common Equity

15% - 20%

Total Assets

Earning Assets

Pre-tax Income

Tax Rate

Efficiency Ratio

60% - 65%

Annualized Net Charge-Offs

0.30% - 0.70%

Net Interest Margin

3.50% - 4.00%

Tier 1 Common

8% - 9%

% Fee Income

40% - 50%

Building Long-Term Earnings Power: Bonefish Targets

Focused on Growing Our Company Selectively and Profitably While Positioning

Our Balance Sheet for Sustainable, Higher Returns in the Long Term

All

Non-GAAP

numbers

are

reconciled

in

the

appendix.

1

ROTCE,

ROA,

NIM,

and

NCO

/

Average

Loans

are

annualized.

ROTCE

is

a

Non-GAAP

number. 

2

Tier

1

Common:

Current

quarter

is

an

estimate

and

a

Non-GAAP

number.

Allocated

Tier

1

Common

refers

to

implied

Tier

1

Common

of

~9.7%.

3

Core

Businesses

include

Regional

Banking,

Capital

Markets,

and

Corporate

segments.

Core

data

is

Non-GAAP.

17

Closing the Gap to Bonefish Targets

Building a Foundation for Long-Term Earnings Power

Current

ROTCE /

EPS

Rise in

Interest

Rates

1

Target

Bonefish

ROTCE /

EPS

Growth

Opportunities

Economic

Profit

Improvement

Optimize/

Redeploy

Capital

Continued

Efficiencies

Non-Strategic

Wind-Down

Infrastructure

Reductions

Established

Market

Profitability/

Growth

Product/

Relationship

Profitability

Improvement

Sales

Productivity

Improvement

Process

Improvements

Branch

Network

Rationalization

Dividends

Share

Buybacks

M&A

Latent Income

Embedded in

Asset-Sensitive

Balance Sheet

Specialty

Lending

Mid-Atlantic 

Middle TN

Houston

Wealth /

Investments

Municipals (FTN

Financial)

1

Rise in interest rates represents cumulative growth rate in net interest income over a 3-year strategic time horizon.

Chart illustrates a quantified path to long-term goals; it contains no forecasts.

0.5% to 1.0%

1.0% to 1.5%

1.0% to 1.5%

1.0% to 1.5%

1.0% to 2.5%

3.0% to 3.8%

Latent Income

Embedded in

Fixed Income

Platform

Capacity

ADR at

$1.0-$1.5mm

Increased

Capital

Markets

Activity

18

Building a Foundation for Attractive Long-Term Earnings Power

Proven execution capabilities

Unique size, scope, and strengths

Focused

on

efficiency,

productivity,

economic

profitability,

and

growth

opportunities

Organizational alignment on the path to achieving long-term bonefish profitability

Breadth and depth of talent that will be able to profitably run and grow the company

Successfully Executing on Key Priorities

FHN Is Well Positioned For Attractive Long-Term Earnings Power

APPENDIX

19

2014 Notable Items

20

Impact

to

EPS

2

Previously Unrecognized

Servicing Fees Associated

with the MSR Sale

$12.3mm

After-Tax

Amount

1

$0.05

Securities Gain on an Equity

Investment

$3.4mm

$0.01

Notable Item

Pre-Tax Amount

$20.0mm

$5.6mm

Refer to financial supplements for other notable items. 

1

After-tax

impact

assumes

a

tax

rate

of

~38.6%

in

1Q14,

~33.3%

in

2Q14,

and

~37%

in

3Q14.

2

EPS

impact

calculated

by

dividing

the

after-tax

impact

by

the

237mm

diluted

shares

outstanding

in

1Q14-3Q14.

Lease Abandonment & Other

Restructuring Charges

($3.5)mm

$(0.01)

$(5.7)mm

Held-for-Sale (Primarily NPL)

Portfolio Valuation Adjustment

$5.5mm

$0.02

$8.2mm

Net Impact from Resolution/

Collapse of On-Balance Sheet

Consumer Securitizations

($3.9)mm

$(0.02)

$(6.4)mm

Litigation Expense Recovery

$31.4mm

$0.13

$47.1mm

Gains on Sales of Held-for-

Sale Loans in Non-Strategic

Portfolio

$25.2mm

$0.11

$39.7mm

Loss Accruals Related to Legal

Matters

$(31.5)mm

$(0.13)

$(50.0)mm

Litigation Expense Recovery

$9.5mm

$0.04

$15.0mm

$(35.0)mm

$(22.0)mm

$(0.09)

Net Loss Accruals Related

to Legal Matters

None

21

4Q14 Credit Quality Summary by Portfolio

($ in millions)

CRE

HE &

HELOC

Other

1

Total

Permanent

Mortgage

Commercial

(C&I & Other)

CRE

HE &

HELOC

Permanent

Mortgage

Other

Total

Period End Loans

$8,553

$1,273

$3,385

$357

$13,568

$136

$454

$5

$1,663

$393

$12

$16,230

30+ Delinquency

0.05%

0.14%

0.57%

1.51%

0.22%

2.32%

0.05%

0.00%

2.17%

1.40%

2.48%

0.47%

Dollars

$4

$2

$19

$5

$30

$3

$0

$0

$36

$5

$0

$76

NPL %

0.24%

1.14%

0.86%

0.14%

0.48%

2.25%

2.64%

17.47%

5.51%

7.78%

6.22%

1.25%

Dollars

$21

$15

$29

$1

$65

$3

$12

$1

$92

$31

$1

$203

Net

Charge-offs

3

%

0.21%

NM

0.11%

3.00%

0.20%

NM

NM

6.91%

0.91%

1.44%

8.21%

0.30%

Dollars

$4

-$1

$1

$3

$7

NM

$0

$0

$4

$1

$0

$12

Allowance

$62

$18

$32

$14

$127

NM

$5

$0

$81

$19

$0

$232

Allowance / Loans %

0.72%

1.43%

0.95%

4.06%

0.93%

NM

1.10%

9.25%

4.86%

4.83%

3.43%

1.43%

Allowance / Charge-offs

3.62x

NM

8.55x

1.36x

4.82x

NM

NM

1.27%

5.19x

3.30x

0.41x

4.81x

Regional Banking

Corporate

4

Non-Strategic

Commercial

(C&I & Other)

4

Exercised

clean-up

calls

on

jumbo

securitizations

in

1Q13,

3Q12,

2Q11,

and

4Q10,

which

are

now

on

balance

sheet

in

the

Corporate

segment.

3

Net charge-offs are annualized.

1

Credit card, Permanent Mortgage, and Other. ²Credit card, OTC, and Other Consumer.

Numbers may not add to total due to rounding. Data as of 4Q14. NM: Not meaningful.

2

22

C&I and CRE Portfolio Detail

$9.0B C&I portfolio, diversified by industry, managed

primarily in Regional Banking

$1.3B CRE portfolio, comprising 8% of period-end

consolidated loans

Commercial (C&I and CRE) net charge-offs were $3mm

for the quarter

Charge-offs were $6mm with recoveries of $3mm

Data as of 4Q14. Numbers may not add to total due to rounding.

CRE: Loan Type

CRE: Collateral Type

C&I: Loans to Mortgage Companies

Land 4%

$0.0

$0.5

$1.0

$1.5

4Q13

1Q14

2Q14

3Q14

4Q14

Period End

Average

Retail

24%

Multi-Family

30%

Office

15%

Industrial

12%

Land

4%

Other

7%

Hospitality

8%

Construction

25%

Mini-

Perm/Non-

Construction

70%

23

Home Equity Overview

Data as of 4Q14. Numbers may not add to total due to rounding.

HELOC Draw vs Repayment Balances

Percent of Portfolio: Months Left in Draw Period

Portfolio Characteristics

Geographic Distribution

First

Second

Total

Balance

$2.8B

$2.2B

$5.0B

Original FICO

752

735

743

Refreshed FICO

752

723

736

Original CLTV

77%

81%

79%

Full Doc

92%

74%

84%

Owner Occupied

93%

95%

94%

HELOCs

$0.7B

$1.8B

$2.5B

Weighted Average

HELOC Utilization

47%

57%

54%

Core

Banking

Customers

TN

59%

CA

9%

VA

3%

GA

3%

Other

26%

$1.8

$0.7

$0.0

$0.5

$1.0

$1.5

$2.0

In Draw

In Repayment

21%

15%

17%

10%

5%

31%

0%

5%

10%

15%

20%

25%

30%

35%

0-12

13-24

25-36

37-48

49-60

>60

24

Wind-down of Non-Strategic on track with reduced balances and stable credit quality

Positive marks on loan sales of $315mm UPB

Recognized a valuation gain of ~$8mm in 2Q14 and ~$40mm in 3Q14

Non-Strategic comprised 16% of total average loans in 4Q14, down from 20% in 4Q13

Non-Strategic Revenue Components

Non-Strategic loan

portfolio includes    

floating rate loans      

of 72% vs fixed      

rate loans of 28%

4Q14 Total Revenue: $18mm

Non-Strategic Consumer Real Estate Run-Off

$2.5B

Non-Strategic Update

Data as of 4Q14. Numbers may not add to total due to rounding. 

15%

18%

21%

24%

27%

30%

$0.0

$0.5

$1.0

$1.5

$2.0

4Q13

1Q14

2Q14

3Q14

4Q14

Period End Balance

Constant Pre-Payment Rate (Right Axis)

18%

19%

19%

21%

25%

NII

$16

Fee

Income

$2

25

Agency & Non-Agency Update

Repurchase Resolution Agreements with Both GSEs

Total Pipeline of Repurchase Requests

1

$600mm

Mortgage Repurchase Reserve

($ in millions)

Beginning Balance

Net Realized Losses

Ending Balance

Provision

1Q13

$165

$(20)

$145

$0

2Q14

$145

$(4)

$141

$0

3Q14

$141

$(13)

$126

$(4)

4Q13

$294

$(98)

$165

$(30)

Other Whole Loan Sales and Non-Agency

Represent 45% of all active repurchase/make whole

requests in 4Q14 pipeline

Some non-Agency FHN loans were bundled with other

companies’

loans and securitized by the purchasers

Non-Agency HUD/FHA Investigation

HUD and US DOJ have investigated FHA insurance claims on

insured loans originated by FHN

4Q14

$126

$(6)

$120

$0

Loan Sales

$0

$0

$2

$0

$0

$0

$200

$400

4Q13

1Q14

2Q14

3Q14

4Q14

GSE New Requests

Other New Requests

Resolved

Pipeline

Data as of 4Q14. Numbers may not add to total due to rounding.  1 Based on UPB. The pipeline represents active investor claims and mortgage insurance (MI) cancellations under review, both of which 

could occur on the same loan. Excludes MI cancellation notices that have been reviewed and coverage has been lost. MI cancellations that have resulted in lost coverage are included in management’s 

  assessment of the adequacy of repurchase reserves. 4Q13, 1Q14, 2Q14, 3Q14, and 4Q14 resolutions include $128mm, $13.7mm, $6.5mm, $4.8mm and $4.2mm in other claims, respectively, that pose 

HUD has reviewed a small sample of loans from the covered

period

HUD and DOJ could seek up to treble and special damages

under the False Claims Act and other laws

Discussions are continuing. FHN does not have the ability

now to estimate a range of reasonably possible losses

From 1/1/06 through 8/31/08 FHN originated ~48,000 loans

with original UPB of ~$8.2B

FHA originations declined substantially after FHN’s mortgage

business divestiture on 8/31/08

Certain purchasers have requested indemnity related to FHN

loans included in their securitizations

Loan file review process regarding certain bundled FHN loans

has been initiated

A trustee for a bundler has commenced a legal action seeking

repurchase of FHN loans

no

risk

to

the

repurchase

reserve

but

require

formal

acknowledgment

with

Fannie.

FH Proprietary Securitizations Litigation

Certificate Breakdown

26

$554mm

based

on

the

purchase

price

stated

in

the

complaints.

All

other

metrics

prorated

based

on

the

ratio

of

purchase

price

to

the

total

original

UPB

of

the

entire

tranche.

2

Royal

Park

is

asking

for

indemnification

on

$100mm

of

the

$190mm

tranche

as

stated

in

the

indemnification

request.

3

60D+

Delinquent

defined

as

a

delinquency

status

of

60

days

or

more

and

also

bankruptcies,

foreclosures

and

REO

in

such

status

for

60

days

or

more.

4

Excluded

from

this

table

is

FHAMS

2005-FA9,

which

is

the

subject

of

an

indemnification

claim

related

to

the

Commonwealth

of

Virginia

ex

rel.

Integra

REC

LLC

case

in

the

Circuit

Court

for

the

City

of

Richmond

(No.

CL14-399).

FHN

does

not

know

which

certificate(s)

the

plaintiff

allegedly

purchased

in

whole

or

part.

Paid Off

59%

Performing UPB

30%

60D+ Delinquent

³

6%

Cumulative Loss 6%

($ in millions)

Deal

FHASI 2005-AR5

1

(Schwab)

Senior

$30.0

$19.7

$10.3

$9.7

$0.7

$0.0

FHASI 2007-AR2

1

(Schwab)

Senior

$50.0

$33.0

$14.7

$13.0

$1.7

$2.3

FHAMS 2006-FA6

(FDIC Alabama)

Senior

$11.1

$3.2

$6.6

$5.4

$1.2

$1.3

FHAMS 2006-FA6

(FDIC Alabama)

Senior

$15.2

$4.8

$9.2

$7.4

$1.7

$1.2

FHAMS 2006-FA7

(FDIC Alabama)

Senior

$20.7

$6.5

$11.8

$9.7

$2.1

$2.4

FHAMS 2007-FA4

1

(FDIC Alabama)

Senior

$14.4

$3.8

$8.7

$7.1

$1.6

$1.8

FHAMS 2007-FA1

(FDIC New York)

Senior

$44.5

$14.0

$24.7

$20.0

$4.7

$5.8

FHAMS 2007-FA2

(FDIC New York)

Senior

$34.9

$11.9

$18.6

$15.1

$3.5

$4.3

FHAMS 2005-FA8

(FHLB Indemnification)

Senior

$100.0

$78.8

$20.9

$18.3

$2.6

$0.3

FHAMS 2007-FA3

(MetLife Indemnification)

Senior

$103.0

$60.6

$34.0

$28.4

$5.6

$8.4

FHAMS 2005-FA10

2

(Royal Park Indemnification)

Senior

$100.0

$65.6

$30.6

$26.5

$4.1

$3.8

FHAMS 2006-FA2

1

(Royal Park Indemnification)

Senior

$30.0

$23.3

$5.5

$4.7

$0.9

$1.2

Total

4

$553.7

$325.1

$195.7

$165.3

$30.4

$32.8

Cumulative

Loss

Certificate

Original

UPB

Paid

Off

Current

UPB

Performing

UPB

60D+

Delinquent

Numbers

and

percentages

may

not

add

to

total

due

to

rounding.

Data

source:

December

2014

Trustee

Reports.

The

complainants

only

purchased

a

portion

of

these

tranches.

Original

UPB

estimated

1

Reconciliation to GAAP Financials

27

Slides in this presentation use non-GAAP information of risk weighted assets, tangible common equity, net income, non-controlling

interest,

average

common

equity,

intangibles,

and

various

ratios

using

those

measures.

That

information

is

not

presented

according

to

generally

accepted

accounting

principles

(GAAP)

and

is

reconciled

to

GAAP

information

below.

Numbers may not add to total due to rounding.

1

Core Businesses include the Regional Banking, Capital Markets, and Corporate segments.

Peer group includes UBSI, ONB, TRMK, IBKC, BXS, UMBF, BOH, VLY, FULT, FCNCA, WTFC, TCB, SUSQ, HBHC, WBS, CBSH, CFR, ASB, SNV, BOKF,

FNFG.  Peer data is as of 3Q14 and excludes a $1.1B goodwill impairment charge by FNFG in that quarter.

($ in millions)

4Q14

3Q14

2Q14

1Q14

2014

Core Businesses Return On Tangible Common Equity  

(Segment equity based on internal risk-based methodology)

Corporate Average Equity (GAAP)

$1,021

$889

$848

$835

$899

Less: Corporate Non-Controlling Interest (GAAP)

$295

$295

$295

$295

$295

Less: Corporate Preferred Stock (GAAP)

$96

$96

$96

$96

$96

Corporate Average Common Equity (GAAP)

$630

$498

$457

$444

$508

Regional Banking Average Common Equity (GAAP)

$951

$980

$989

$1,006

$982

Capital Markets Average Common Equity (GAAP)

$152

$151

$154

$153

$152

Core Businesses

1

Average Common Equity (Non-GAAP)

$1,734

$1,629

$1,599

$1,604

$1,642

Non-Strategic Average Common Equity (GAAP)

$537

$622

$579

$541

$570

FHN Average Common Equity (GAAP)

$2,270

$2,251

$2,178

$2,145

$2,212

Regional Banking Average Intangible Assets (GAAP)

$52

$47

$47

$47

$48

Capital Markets Average Intangible Assets (GAAP)

$114

$114

$115

$116

$115

Coporate Average Intangible Assets (GAAP)

$0

$0

$0

$0

$0

Core Businesses

1

Average Intangible Assets (Non-GAAP)

$166

$161

$162

$163

$163

Non-Strategic Average Intangible Assets (GAAP)

$0

$0

$0

$0

$0

FHN Average Intangible Assets (GAAP)

$166

$161

$162

$163

$163

FHN Average Common Equity (GAAP)

$2,270

$2,251

$2,178

$2,145

$2,212

Less: FHN Average Intangible Assets (GAAP)

$166

$161

$162

$163

$163

FHN Average Tangible Common Equity (Non-GAAP)

$2,105

$2,090

$2,016

$1,982

$2,048

Core Businesses

1

Average Common Equity (Non-GAAP)

$1,734

$1,629

$1,599

$1,604

$1,642

Less: Core Businesses

1

Average Intangible Assets (Non-GAAP)

$166

$161

$162

$163

$163

Core Businesses

1

Average Tangible Common Equity (Non-GAAP)

$1,568

$1,467

$1,437

$1,440

$1,478

Core Businesses Net Income Available to Common

Corporate Net Income (GAAP)

-$9

-$10

-$5

-$4

-$28

Less: Corporate Non-Controlling Interest (GAAP)

$3

$3

$3

$3

$12

Less: Corporate Preferred Stock Dividends (GAAP)

$2

$2

$2

$2

$6

Corporate Net Income Available to Common (GAAP)

-$13

-$15

-$9

-$9

-$46

Regional Banking Net Income (GAAP)

$50

$51

$47

$36

$185

Capital Markets Net Income (GAAP)

$4

$3

$31

$5

$43

Core Businesses

1

Net Income Available to Common (Non-GAAP)

$41

$39

$69

$32

$182

Non-Strategic Net Income Available to Common (GAAP)

$5

$6

$8

$13

$32

FHN Net Income Available to Common (GAAP)

$46

$45

$77

$45

$213

Core Businesses Return on Tangible Common Equity

FHN Annualized Return on Average Common Equity (Non-GAAP)

8.74%

8.61%

15.28%

9.18%

10.41%

Core Businesses

1

Annualized Return on Average Common Equity (Non-GAAP)

10.36%

10.67%

19.21%

9.10%

12.28%

Reconciliation to GAAP Financials

Slides in this presentation use non-GAAP information of net interest income, FTE adjustments, earning assets, and various ratios

using one or more of those measures. That information is not presented according to generally accepted accounting principles

(GAAP) & is reconciled to GAAP information below.

28

1

Core Businesses include the Regional Banking, Capital Markets, and Corporate segments.

2

All else equal, a 200bps rate shock results in ~$78mm increase in Core Businesses annual NII (see slide 13), as Non-Strategic is interest rate neutral.

Net

Interest

Margin

($ in millions)

4Q14

3Q14

2Q14

1Q14

4Q13

Regional Banking Net interest income (GAAP)

$158

$154

$149

$142

$146

Regional Banking FTE adjustment

$2

$2

$2

$2

$2

Regional Banking Net interest income adjusted for impact of FTE (Non-GAAP)

$160

$156

$151

$144

$148

Capital Markets Net interest income (GAAP)

$4

$3

$3

$3

$4

Capital Markets FTE adjustment

$0

$0

$0

$0

$0

Capital Markets Net interest income adjusted for impact of FTE (Non-GAAP)

$4

$3

$3

$4

$4

Corporate Net interest income (GAAP)

-$18

-$14

-$12

-$10

-$11

Corporate FTE adjustment

$0

$0

$0

$0

$0

Corporate Net interest income adjusted for impact of FTE (Non-GAAP)

-$18

-$14

-$12

-$10

-$11

Core

Businesses

Net

interest

income

(Non-GAAP)¹

$143

$143

$139

$136

$140

Core

Businesses

FTE

adjustment

(Non-GAAP)

$3

$2

$2

$2

$2

Core

Businesses

Net

interest

income

adjusted

for

impact

of

FTE

(Non-GAAP)

$146

$145

$142

$138

$142

Non-Strategic Net interest income (GAAP)

$16

$17

$17

$17

$17

Non-Strategic FTE adjustment

$0

$0

$0

$0

$0

Non-Strategic  Net interest income  adjusted for impact of FTE (Non-GAAP)

$16

$17

$17

$17

$17

Consolidated Net interest income (GAAP)

$159

$160

$157

$152

$157

Consolidated FTE adjustment

$3

$2

$2

$2

$2

Consolidated Net interest income adjusted for impact of FTE (Non-GAAP)

$162

$162

$159

$154

$159

Average Earning Assets

4Q14

Regional Banking Earning Assets (GAAP)

$13,181

Capital Markets Earning Assets (GAAP)

$1,854

Corporate Earning Assets (GAAP)

$4,703

Core Businesses Earning Assets (Non-GAAP)¹

$19,738

Non-Strategic Earning Assets (GAAP)

$2,728

Consolidated Earning Assets (GAAP)

$22,466

Core

Businesses

NIM

with

200bps

Rate

Shock

4Q14

Annualized Core Businesses Net interest income adjusted for impact of FTE (Non-GAAP)

a

$579

Core Businesses

Average Earning Assets (Non-GAAP)

b

$19,738

Core Businesses NIM (Non-GAAP)

a/b

2.94%

Core Businesses Additional Annual NII from a 200bps Rate Shock (Non-GAAP)²

c

$78

Core Businesses NIM with 200bps Rate Shock (Non-GAAP)

(a+c)/b

3.33%

Annualized Consolidated Net interest income adjusted for impact of FTE (Non-GAAP)

d

$641

Consolidated Average Earning Assets (GAAP)

e

$22,466

Consolidated NIM (GAAP)

d/e

2.86%

Consolidated Additional Annual NII from a 200bps Rate Shock (Non-GAAP)²

f

$78

Consolidated NIM with 200bps Rate Shock (Non-GAAP)

(d+f)/e

3.20%

1

1

1

Numbers may not add to total due to rounding.

Reconciliation to GAAP Financials

29

Slides in this presentation use non-GAAP information of equity, assets, tier 1 capital, risk weighted assets, and various ratios using

one

or

more

of

those

measures.

That

information

is

not

presented

according

to

generally

accepted

accounting

principles

(GAAP)

and is reconciled to GAAP information below.

Numbers may not add to total due to rounding.

1

Includes goodwill and other intangible assets, net of amortization.                             

2

Current quarter is an estimate.                             

($ in millions)

4Q14

3Q14

2Q14

1Q14

4Q13

2014

Tangible Common Equity (Non-GAAP)

Total equity (GAAP)

$2,591

$2,622

$2,626

$2,544

$2,501

Less: Noncontrolling interest

$295

$295

$295

$295

$295

Less: Preferred stock

$96

$96

$96

$96

$96

Total common equity

$2,200

$2,231

$2,235

$2,153

$2,110

Less: intangible assets (GAAP)

1

$175

$161

$162

$163

$164

Tangible common equity (Non-GAAP)

$2,024

$2,070

$2,073

$1,990

$1,946

Less: unrealized gains on AFS securities, net of tax

$19

$4

$16

-$2

-$11

Adjusted tangible common equity (Non-GAAP)

$2,006

$2,066

$2,058

$1,992

$1,957

Tangible Assets (Non-GAAP)

Total assets (GAAP)

$25,673

$23,987

$24,223

$23,942

$23,790

Less: intangible assets (GAAP)

1

$175

$161

$162

$163

$164

Tangible assets (Non-GAAP)

$25,497

$23,826

$24,061

$23,779

$23,626

Tier 1 Common (Non-GAAP)

Tier 1 capital²

$2,814

$2,783

$2,752

$2,666

$2,619

Less: noncontrolling interest -

FTBNA preferred stock

$295

$295

$295

$295

$295

Less: Preferred stock

$96

$96

$96

$96

$96

Less: trust preferred

$200

$200

$200

$200

$200

Tier 1 common (Non-GAAP)²

$2,223

$2,193

$2,161

$2,076

$2,029

Risk Weighted Assets

Risk weighted assets²

$19,488

$19,238

$19,400

$18,695

$18,879

Ratios

Tangible common equity to tangible assets (TCE/TA) (Non-GAAP)

7.94%

8.69%

8.62%

8.37%

8.24%

8.40%

Total equity to total assets (GAAP)

10.09%

10.93%

10.84%

10.63%

10.51%

10.62%

Tier 1 common ratio to risk weighted assets (Non-GAAP)²

11.41%

11.40%

11.14%

11.10%

10.75%

11.26%

Tier 1 capital to total assets (GAAP)²

10.96%

11.60%

11.36%

11.14%

11.01%

11.27%

Tangible common equity to risk weighted assets (TCE/RWA) (Non-GAAP)²

10.39%

10.76%

10.69%

10.65%

10.31%

10.62%

Tangible common equity plus reserves to risk weighted assets (Non-GAAP)²

11.58%

12.00%

11.94%

11.97%

11.65%

11.87%

Total equity plus reserves to total assets (GAAP)

11.00%

11.93%

11.85%

11.66%

11.58%

11.61%

30

Slides in this presentation use non-GAAP information of expense, revenue, repurchase provision, and various ratios using one or

more of those measures. That information is not presented according to generally accepted accounting principles (GAAP) and is

reconciled to GAAP information below.

Numbers may not add to total due to rounding.

1

Core Businesses include the Regional Banking, Capital Markets, and Corporate segments.

2

ROA and Net charge-offs / Average loans are annualized for 4Q14.

Reconciliation to GAAP Financials

($ in millions)

4Q14

3Q14

4Q13

Regional Banking Pre-Provision Net Revenue

$222

$218

$209

$138

$136

$139

$84

$82

$70

Core Businesses Expense

$138

$136

$139

$46

$48

$53

$16

$19

$19

$200

$203

$211

Non-Strategic Expense (GAAP)

$9

$43

$46

Consolidated Expense (GAAP)

$209

$246

$257

2014

2011

Capital Markets Noninterest Expense  (GAAP)

$147

$321

Sentinel Noninterest Expense/(Recovery) (GAAP)

($47)

$37

Adjusted Capital Markets Noninterest Expense (Non-GAAP)

$194

$284

Adjusted Consolidated Noninterest Expense

4Q14

4Q13

4Q12

4Q11

4Q13

4Q11

$209

$257

$271

$312

-19%

-33%

$0

($30)

$0

$45

$0

$57

$4

$1

$209

$230

$267

$266

-9%

-21%

$838

$919

$1,068

$1,065

Return

on

Assets

2

Net Interest

Margin

Regional Banking (GAAP)

1.45%

4.81%

Capital Markets (GAAP)

0.72%

0.85%

Corporate (GAAP)

-0.59%

-1.50%

Core Businesses (Non-GAAP)

0.82%

2.94%

Non-Strategic (GAAP)

0.80%

2.32%

Consolidated (GAAP)

0.82%

2.86%

Regional Banking (GAAP)

1.39%

4.84%

Capital Markets (GAAP)

2.07%

0.76%

Corporate (GAAP)

-0.51%

-1.24%

Core Businesses (Non-GAAP)

0.95%

3.04%

Non-Strategic (GAAP)

1.04%

2.18%

Consolidated (GAAP)

0.96%

2.92%

0.31%

0.90%

Net Charge-Offs/

Average

Loans

2

Fee Income /

Total Revenue

NM

0.18%

0.20%

0.00%

NM

0.20%

0.85%

Less: Legal Expense Accrual (GAAP)

Adjusted Consolidated Noninterest expense (Non-GAAP)

0.30%

0.19%

0.00%

Adjusted Annualized Noninterest Expense (Non-GAAP)

75%

63%

68%

NM

Efficiency

Ratio

62%

89%

NM

77%

73%

61%

72%

29%

93%

NM

45%

13%

43%

30%

94%

NM

46%

49%

47%

49%

Regional Banking Total Revenue (GAAP)

Regional Banking Total Expense (GAAP)

Regional Banking Pre-Provision Net Revenue (Non-GAAP)

Regional Banking Expense (GAAP)

Capital Markets Expense (GAAP)

Corporate Expense (GAAP)

Core

Businesses

Expense

1

(Non-GAAP)

4Q14 Changes vs

Consolidated Noninterest Expense (GAAP)

Less: Mortgage Repurchase Provision (GAAP)

Adjusted Capital Markets