8-K

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 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) August 4, 2010

SunTrust Banks, Inc.

(Exact name of registrant as specified in its charter)

Georgia	001-08918	58-1575035
(State or other jurisdiction of incorporation)	(Commission File Number)	(IRS Employer Identification No.)
303 Peachtree St., N.E., Atlanta, Georgia		30308
(Address of principal executive offices)		(Zip Code)

Registrant’s telephone number, including area code (404) 588-7711

Not Applicable

(Former name or former address, if changed since 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 (see General Instruction A.2. below):

¨ 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 7.01 Regulation FD Disclosure.

Representatives of SunTrust Banks, Inc. (the “Registrant”, “SunTrust”, or the “Company”) are scheduled to meet with institutional investors at the offices of the Registrant on Wednesday, August 4, 2010. A copy of the slide package to be used at this meeting is furnished as Exhibit 99.1 to this Current Report on Form 8-K and is incorporated by reference herein. This meeting will be hosted by SunTrust Robinson Humphrey, the full-service corporate and investment banking arm of SunTrust Banks, Inc.

The information in the preceding paragraph, as well as Exhibit 99.1, shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934 (the “Exchange Act”), or otherwise subject to the liabilities of that section. It may only be incorporated by reference into another filing under the Exchange Act or Securities Act of 1933 if such subsequent filing specifically references Section 7.01 of this Current Report on Form 8-K. All information in the slide package speaks as of the date thereof and the Registrant does not assume any obligation to update said information in the future. In addition, the Registrant disclaims any inference regarding the materiality of such information which otherwise may arise as a result of its furnishing such information under Item 7.01 of this report on Form 8-K.

Item 9.01 Financial Statements and Exhibits.

(d) Exhibits

99.1 Slide package to be presented on August 4, 2010 (furnished with the Commission as a part of this Current Report on Form 8-K).

SIGNATURE

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, thereunto duly authorized.

	SUNTRUST BANKS, INC.
	(Registrant)
Date: August 4, 2010.	By:	/s/ David A. Wisniewski
		David A. Wisniewski,
		Associate General Counsel and Group Vice President

EX-99.1

SunTrust Banks, Inc.

Fixed Income Investor Presentation

August 4, 2010

Exhibit 99.1

1

Important Cautionary Statement About Forward-Looking Statements

The following should be read in conjunction with the financial statements, notes and other information contained in the Company’s 2009 Annual Report on Form 10-K, Quarterly Reports

on Form 10-Q, and Current Reports on Form 8-K. 

This presentation includes non-GAAP financial measures to describe SunTrust’s performance. The reconciliations of those measures to GAAP measures are provided within or in the

appendix of this presentation. In this presentation, net interest income and net interest margin are presented on a fully taxable-equivalent (“FTE”) basis, and ratios are presented on an

annualized basis. The FTE basis adjusts for the tax-favored status of income from certain loans and investments. The Company believes this measure to be the preferred industry

measurement of net interest income and provides relevant comparison between taxable and non-taxable amounts. 

This presentation contains forward-looking statements. Statements regarding future levels of net interest margin, future levels of and rates of change in delinquencies (including within the

consumer, commercial and industrial, and commercial real estate portfolios), future levels of charge-offs (including within the construction, higher risk  residential real estate secured and

construction, core mortgage, and commercial and industrial portfolios), future levels of the allowance for loan losses, future levels of service charge income, future performance of the

commercial and industrial and commercial real estate portfolios, and the number or rates of change in the number of residential or commercial real estate modifications, are forward-

looking statements. Also, any statement that does not describe historical or current facts, is a forward-looking statement. These statements often include the words “believes,” “expects,”

“anticipates,” “estimates,” “intends,” “plans,” “targets,” “initiatives,” “potentially,” “probably,” “projects,” “outlook” or similar expressions or future conditional verbs such as “may,” “will,”

“should,” “would,” and “could.” Forward-looking statements are based upon the current beliefs and expectations of management and on information currently available to management.

Such statements speak as of the date hereof, and we do not assume any obligation to update the statements made herein or to update the reasons why actual results could differ from

those contained in such statements in light of new information or future events. 

Forward-looking statements are subject to significant risks and uncertainties. Investors are cautioned against placing undue reliance on such statements. Actual results may differ

materially from those set forth in the forward-looking statements. Factors that could cause actual results to differ materially from those described in the forward-looking statements can be

found in Item 1A of Part I of our 10-K and in other periodic reports that we file with the SEC. Those factors include: difficult market conditions have adversely affected our industry; recent

levels of market volatility are unprecedented; we are subject to capital adequacy guidelines and, if we fail to meet these guidelines, our financial condition would be adversely affected;

recently enacted legislation, or legislation enacted in the future, or any proposed federal programs subject us to increased regulation and may adversely affect us; we have not yet

received permission to repay TARP funds; emergency measures designed to stabilize the U.S. banking system are beginning to wind down; we are subject to credit risk; weakness in the

economy and in the real estate market, including specific weakness within our geographic footprint, has adversely affected us and may continue to adversely affect us; weakness in the

real estate market, including the secondary residential mortgage loan markets, has adversely affected us and may continue to adversely affect us; as a financial services company,

adverse changes in general business or economic conditions could have a material adverse effect on our financial condition and results of operations; changes in market interest rates or

capital markets could adversely affect our revenue and expense, the value of assets and obligations, and the availability and cost of capital or liquidity; the fiscal and monetary policies of

the federal government and its agencies could have a material adverse effect on our earnings; we may be required to repurchase mortgage loans or indemnify mortgage loan purchasers

as a result of breaches of representations and warranties, borrower fraud, or certain borrower defaults, which could harm our liquidity, results of operations, and financial condition; we

may continue to suffer increased losses in our loan portfolio despite enhancement of our underwriting policies; depressed market values for our stock may require us to write down

goodwill; clients could pursue alternatives to bank deposits, causing us to lose a relatively inexpensive source of funding; consumers may decide not to use banks to complete their

financial transactions, which could affect net income; we have businesses other than banking which subject us to a variety of risks; hurricanes and other natural disasters may adversely

affect loan portfolios and operations and increase the cost of doing business; negative public opinion could damage our reputation and adversely impact business and revenues; we rely

on other companies to provide key components of our business infrastructure; the soundness of other financial institutions could adversely affect us; we rely on our systems, employees,

and certain counterparties, and certain failures could materially adversely affect our operations; we depend on the accuracy and completeness of information about clients and

counterparties; we are subject to certain litigation, and our expenses related to this litigation may adversely affect our results; regulation by federal and state agencies could adversely

affect the business, revenue, and profit margins; competition in the financial services industry is intense and could result in losing business or reducing margins; future legislation could

harm our competitive position; maintaining or increasing market share depends on market acceptance and regulatory approval of new products and services; we may not pay dividends

on your common stock; our ability to receive dividends from our subsidiaries accounts for most of our revenue and could affect our liquidity and ability to pay dividends; significant legal

actions could subject us to substantial uninsured liabilities; recently declining values of real estate, increases in unemployment, and the related effects on local economies may increase

our credit losses, which would negatively affect our financial results; deteriorating credit quality, particularly in real estate loans, has adversely impacted us and may continue to adversely

impact us; our allowance for loan losses may not be adequate to cover our eventual losses; we will realize future losses if the proceeds we receive upon liquidation of nonperforming

assets are less than the carrying value of such assets; disruptions in our ability to access global capital markets may negatively affect our capital resources and liquidity; in 2009 and

2010, credit rating agencies downgraded the credit ratings of SunTrust Bank and SunTrust Banks, Inc., and these downgrades and any subsequent downgrades could adversely impact

the price and liquidity of our securities and could have an impact on our businesses and results of operations; we have in the past and may in the future pursue acquisitions, which could

affect costs and from which we may not be able to realize anticipated benefits; we depend on the expertise of key personnel, and if these individuals leave or change their roles without

effective replacements, operations may suffer; we may not be able to hire or retain additional qualified personnel and recruiting and compensation costs may increase as a result of

turnover, both of which may increase costs and reduce profitability and may adversely impact our ability to implement our business strategy; our accounting policies and processes are

critical to how we report our financial condition and results of operations, and require management to make estimates about matters that are uncertain; changes in our accounting policies

or in accounting standards could materially affect how we report our financial results and condition; our stock price can be volatile; our disclosure controls and procedures may not

prevent or detect all errors or acts of fraud; our financial instruments carried at fair value expose us to certain market risks; our revenues derived from our investment securities may be

volatile and subject to a variety of risks; and we may enter into transactions with off-balance sheet affiliates or our subsidiaries.

2

I.    SUNTRUST OVERVIEW

II.

FINANCIAL PERFORMANCE

IV.  CAPITAL & LIQUIDITY

III.   ASSET QUALITY

Table of Contents

V.  APPENDIX

SunTrust Overview

4

•

Generating profitable

growth

•

Continuing to optimize

balance sheet and

business mix

•

Improving efficiency and

productivity

Large Diversified Franchise

•

High market share in attractive

growth markets

•

One of the nation’s largest banks

•

Diversified business mix

Stable Base Provides Solid Foundation for Future Growth

•

Diversified loan portfolio

•

Improved credit trends

•

Conservative commercial

real estate portfolio

Solid Capital Structure

Relative Credit Strength

•

Solid capital ratios

increased

•

Common capital ratios

compare favorably

•

Diversified funding with

large, stable deposit

base

Investment Thesis

Growth Initiatives

5

Projected

Population

Growth

4

1.

Source: SNL Financial, as of June 30, 2010 based on MSAs

2.

As of 6/30/2010

3.

Source: SNL Financial---projected household income change, 2010-2015, MSA + counties not in any MSA

4.

Source: SNL Financial---five-year population growth, 2010-2015, MSA + counties not in any MSA

SunTrust Footprint

Attractive Geographic Profile In Higher Growth Markets

0.6%

0.9%

1.5%

2.2%

2.9%

3.5%

3.7%

3.8%

4.5%

5.6%

6.2%

6.4%

MTB

PNC

CMA

KEY

FITB

MI

COF

USB

RF

BBT

STI

WFC

U.S. Average Growth:

3.9%

•

Ranked

top

3

in

20

of

the

top

25

SunTrust

markets

¹

–

Top 25 represents 86% of total MSA deposits

–

Top 25 average deposit market share is 14%

•

1,675 branches serving communities with attractive overall growth

prospects

²

•

Projected

household

income

growth

is

above

the

U.S.

average

³

Best Footprint in Banking

Financial Performance

7

Second Quarter Financial Highlights

Earnings loss of $56 million, or $0.11 per share, improved significantly compared to last year

and last quarter; net income before preferred dividends was positive for the quarter

Revenue increased sequentially from improved noninterest income and stable net interest

income

Favorable deposit volume and mix trends continued, and pace of loan decline slowed overall

Provision for credit losses declined

Expenses remain well managed 

On July 22, 2010, we stated that operatingtrends continue to be encouraging.  We remain

acutely focused on executing client satisfaction and retention initiatives to drive steadily

improving results

Economy appears to be slowly improving, while other environmental factors, such as

emerging regulation and the situation in the Gulf, present new challenges

8

($ in millions, except per share data)

Results Improved on Lower Provision and Higher Revenue

Net Interest Income (FTE)

Provision for Credit Losses

Noninterest Income

Total Revenue (FTE)

Total Noninterest Expense

Pre-Tax Income/(Loss)

Benefit for Income Taxes

Net Income/(Loss)

Preferred Dividends

Net Income Available to Common Shareholders

Net Income Per Average Common Diluted Share

% Change          % Change         

% Change

2Q 2010               1Q 2010             2Q 2009         YTD 2010         YTD 2009

$1,208

662

952

2,160

1,503

(37)

(50)

12

68

(56)

$(0.11)

$2,410

1,524

1,650

4,060

2,863

(392)

(244)

(148)

137

(285)

$(0.58)

1%

(23)%

36%

14%

10%

89%

74%

NM

0%

76%

76%

8%

(31)%

(11)%

(2)%

(2)%

89%

67%

NM

(5)%

66%

73%

9%

(22)%

(25)%

(8)%

(22)%

70%

19%

85%

(5)%

73%

79%

Income Statement Highlights

9

$32,503

14,973

3,274

26,783                              

15,091

5,544

6,946

1,064           

$106,178

$25,491                              

24,949        

37,703

4,093         

14,779     

9,445

116,460       

2,670       

$119,130

(2)%

(1)%

(20)%

0%

6%

4%

0%           

(1)%

(3)%        

4%

6%         

3%      

(10)%

1%       

(22)%       

1%

($ in millions, quarterly average balances)

Commercial

Real Estate Home Equity Lines

Real Estate Construction

Real Estate 1-4 Family

Real Estate Commercial

Consumer –

Direct

Consumer –

Indirect

Credit Card

Total

Loans

¹

Noninterest-Bearing Deposits

NOW Accounts

Money Market Accounts

Savings

Consumer Time

Other Time

Total Consumer and Commercial Deposits       

Brokered and Foreign Deposits

Total Deposits

2Q 2010

1Q 2010

1Q 2010

2Q 2009

Annualized

% Change

Improved Deposit Volume and Mix; Loan Demand Mixed

(7)%

(5)%

(79)%

(3)%                              

0%

22%

15%

(1)%           

(5)%

(10)%        

16%

25%         

10%      

(38)%

5%       

(89)%       

2%

(16)%

(5)%

(49)%

(4)%

8%

7%

9%           

(10)%

10%        

21%

12%         

(15)%      

(32)%

3%       

(60)%       

(1)%

Balance Sheet Summary

1.

Excludes $6.8 billion of nonaccrual and restructured loans

(1)%

(9)%

4%

4%

16%

10

2.94%

3.10%

3.27%

3.32%

3.33%

2Q 2009

3Q 2009

4Q 2009

1Q 2010

2Q 2010

Margin Remained Stable

•

Margin remained stable as

favorable deposit trends offset

slightly lower earning asset

yields

•

On July 22, 2010, we stated

“Margin expected to remain in a

range of 3.25%-3.35% during

the second half of 2010”

Net Interest Margin

11

($ in millions)

Provision Expense Declined; ALLL Maintained

Provision

for

Credit

Losses

¹

Net Charge-offs

Net Charge-off Ratio

Net

ALLL

Incr/(Decr)

²

Allowance

to

Loan

Ratio

²

2Q

2010

1Q

2010

4Q

2009

3Q

2009

2Q

2009

$962

$801

2.59%

$161

2.37%             

$1,134

$1,006

3.33%

$128

2.61%             

$974

$821

2.83%

$96

2.76%

$862

$821

2.91%

$56

2.80%

$662

$722

2.57%

$(20)

2.81%

Provision for Credit Losses

1.

Includes impacts of $40 million and $15 million reduction in unfunded commitment reserves in 2Q 2010 and 1Q 2010, respectively. 4Q 2009 includes $57 million in

provision for unfunded commitments . This expense was recorded in Other Expense prior to 4Q 2009 (see appendix for prior period amounts)

2.

Does not include unfunded commitment reserves

12

Noninterest Income   

Net Adjustments

¹

Adjusted Noninterest Income

($ in millions)

Noninterest Income Improved Sequentially in Every Category

%  Change      

2Q 2010      1Q 2010        2Q 2009        1Q 2010     2Q 2009

$698

(42) 

$740

$1,072

145 

$927

$952

121 

$831

36%

12%

(11)%

(10)%

Noninterest Income

1.

Adjustment

detail

included

in

appendix

includes

securities

gains

and

losses

13

0

20

40

60

80

100

120

140

1Q 2009

2Q 2009

3Q 2009

4Q 2009

1Q 2010

2Q 2010

New Requests (4Q 2008 = 100)

Pending requests (4Q 2008 = 100)

Vintages of repurchase requests expected to

shift

to

more

recent

production

²

…

…as

new

request

volume

increased

¹

…that has a lower risk profile

Charge-offs declined, but reserves increased…

0%

10%

20%

30%

40%

50%

60%

70%

80%

2Q 2009

3Q 2009

4Q 2009

1Q 2010

2Q 2010

2006 & Prior

2007

2008 & 2009

1.

Indexed view of quarterly new repurchase requests and quarter-end pending request population with 4Q 2008 values equal to 100

2.

Percent of each quarter’s repurchase request by vintage; totals 100% each quarter

3.

Percent of outstanding unpaid balance by vintage; totals 100%

Unpaid

Bal

%

Alt-A

%

Avg

FICO

Full Doc

%

Avg Orig

LTV %

2006 & prior

24%

25%

711

66%

74%

2007

22%

5%

715

77%

77%

2008 & 2009

2010

48%

6%

0%

0%

762

771

96%

100%

68%

68%

2Q 2009   3Q 2009   4Q 2009   1Q 2010   2Q 2010  

($ in millions)

Beginning Balance

93

92

123

200

210

Additions

62

136

220

128

148

Charge-Offs

(63)

(105)

(143)

(118)

(102)

Ending Balance

92

123

200

210

256

$

$

$

$

$

Mortgage Repurchase Trends

3

14

(2)%

3%

$35

6

14

12

32

$3

10%

6%

$77

34

10

9

53

$25

Expense Results

Noninterest Expense

Net

Adjustment

¹

Adjusted Noninterest Expense

Expense Analysis

Total Adjusted Incr/(Decr)

Credit-Related

Costs

²

Marketing                                                        

Outside Processing                                              

Subtotal of Expense Drivers

Net Expense

Expenses Up 3% versus Prior Year

Totals may not foot due to rounding

1.  Adjustment detail included in appendix

2.  Includes operating losses, credit and collections, other real estate expense, additions to mortgage re-insurance reserves but does not include additional personnel expense related to credit

administration or default management. Includes unfunded commitment reserve costs prior to 4Q 2009

Change

2Q 2010             1Q 2010            2Q 2009

1Q 2010

2Q 2009

% 

($ in millions)

$                       

Change

$1,528

124

$1,404

171

30

145

$1,361

(1)

$1,362

143

34

149

$1,503

63

$1,440

177

44

158

Noninterest Expense

Asset Quality

16

Second Quarter Credit Summary

•

Overall, asset quality continued to improve

•

Delinquencies were stable to down, except in the guaranteed loan portfolio; non-performing

loans and non-performing assets declined.  On July 22, 2010, we stated that we expect the pace

of improvement in delinquencies to slow until general economic conditions improve

•

Charge-offs declined overall, while construction related charge-offs increased

•

Consumer and mortgage asset quality metrics improved

•

Construction balances, delinquencies and non-performing loans were down, while related

charge-offs were up, as anticipated

•

TDR balances increased to $3.3 billion, with 73% current for interest and principal payments at

quarter-end; the amount of commercial TDRs increased

•

On July 22, 2010, we stated that charge-offs in the third quarter are currently expected to be

stable to modestly down compared to the second quarter, while construction charge-offs are

anticipated to remain elevated

•

We maintained reserve levels in light of continued economic and real estate uncertainties.

However, on July 22, 2010, we stated that the allowance for loan losses likely peaked in the first

quarter

17

Continued Favorable Asset Quality Trends

1.

Excludes reserve for unfunded commitments of $60 million in 2Q 2010, $100 million in 1Q 2010 and $115 million in 4Q 2009

2.

Includes $(40) million provision for unfunded commitment reserves in 2Q 2010 and $(15) million in 1Q 2010

3.

Q1 2010 includes $160 million in LHFS nonaccruals

($ in millions)

Asset Quality Metrics

2Q 2010

1Q 2010

4Q 2009

2Q10 vs

1Q10

1Q10 vs

4Q09

Total Loans at End of Period

$112,925

$113,979

$113,675

($1,054)

$304

Allowance

for

Loans

&

Lease

Losses

¹

3,156

3,176

3,120

(20)

56

Net Charge-offs

722

821

821

(99)

0

Provision

Expense

²

662

862

974

(200)

(112)

NPAs

³

5,463

6,043

6,101

(580)

(58)

NPLs

to Total Loans

4.16%

4.55%

4.75%

(0.39)

(0.20)

NPAs

to

Total

Loans

+

OREO/OA

³

4.81%

5.26%

5.33%

(0.45)

(0.07)

ALLL to Loans

2.81%

2.80%

2.76%

0.01

0.04

NCOs (annualized to Average Loans)

2.57%

2.91%

2.83%

(0.34)

0.08

30-89 Days Past Due

1.26%

1.19%

1.37%

0.07

(0.18)

30-89 Days Past Due

(excluding federally

guaranteed student loans and GNMA

repurchases)

0.98%

1.04%

1.19%

(0.06)

(0.15)

18

Credit  Metrics Continued to Improve; Construction Charge-offs Increased As Expected

($ in millions)

Loan Portfolio

Balance

% of

Balance

% of

C/O Ratio

C/O Ratio

30-89 DLQ%

30-89 DLQ

2Q10

Portfolio

1Q10

Portfolio

2Q10

1Q10

2Q10

1Q10

Commercial

$32,523

29%

$33,393

29%

1.06%

1.13%

0.21%

0.26%

Commercial Real Estate

15,134

13%

15,262

13%

0.33%

0.08%

0.81%

0.73%

Consumer -

Direct

1

5,711

5%

5,369

5%

0.87%

0.92%

6.09%

4.06%

Consumer -

Indirect

6,953

6%

6,678

6%

0.51%

0.98%

0.84%

0.88%

Credit Cards

1,031

1%

1,040

1%

7.92%

10.48%

2.44%

2.79%

Real Estate Home Equity Lines

15,443

14%

15,676

14%

3.55%

4.11%

1.25%

1.23%

Real

Estate

1-4

Family

31,126

28%

30,805

27%

3.81%

5.57%

1.79%

1.88%

Real Estate Construction

5,004

4%

5,756

5%

13.05%

6.30%

1.08%

1.37%

Total

$112,925

100%

$113,979

100%

2.57%

2.91%

1.26%

1.19%

0.98%

1.04%

30-89 DLQ% (excluding

federally guaranteed student

loans and GNMA repurchases)

   1.  Consumer - Direct includes approximately $3.7 billion of federally guaranteed student loans

19

Source:  SNL Financial

1. Includes other nonfarm/nonres RE, 1-4 family construction, other construction, land development and land loans as a percentage of loans as of 3/31/2010

Commercial Real Estate Comparison

36.1%

35.6%

33.7%

32.0%

30.6%

21.2%

20.6%

19.4%

17.9%

14.7%

10.4%

18.6%

COF

WFC

STI

PNC

USB

KEY

FITB

RF

CMA

MI

BBT

MTB

Relatively

Lower

Loan

Concentration

in

Commercial

Real

Estate

¹

20

Central

Group

32%

Mid-Atlantic

Group

43%

National

6%

Florida

Group

19%

Investor

Owned

41%

Owner

Occupied

59%

41% Investor Owned Portfolio is Well Diversified

Geography

18

12

4,547

1,208

59

0

1,000

2,000

3,000

4,000

5,000

<$1MM

$1MM-

10MM

$10MM-

20MM

$20MM-

30MM

>$30MM

# of Loans

$1.0 Million Avg Loan Size

Granularity

Retail

24%

Office

21%

Multifamily

18%

Warehouse/

Industrial

15%

Special Purpose

Real Estate

14%

Hotels/

Motels

8%

Property Type

$8.9B

$6.2B

Commercial Real Estate Portfolio

21

Commerical Real Estate

0.06%

0.18%

0.00%

0.05%

0.10%

0.15%

0.20%

SunTrust

Peer Average

1. 10-year timeframe: 1999-2008

Source: SNL

Peer Group: BB&T, Capital One, Comerica, Fifth Third, KeyCorp, M&T, Marshall & Ilsley, PNC, Regions, US Bancorp, and Wells Fargo

Construction and Land Development

0.18%

0.50%

0.00%

0.10%

0.20%

0.30%

0.40%

0.50%

0.60%

SunTrust

Peer Average

Historical Net Charge-Off Ratio

SunTrust’s

10-Year

Average

Annual

CRE

and

Construction

NCO

%

Is

Well

Below

Peer

Average

¹

22

Higher Risk Segment Loan Balances Reduced 35%

$0

$2,000

$4,000

$6,000

$8,000

$10,000

Construction

  Prime 2nd

  Home

Equity Loans

  Lot Loans

  Alt-A

  High LTV

  Broker

Originated

49%

Residential Mortgage

Home Equity Lines

12/31/2008

6/30/2010

Loan Balances (in millions)

31%

28%

33%

36%

12%

22%

Construction

Higher Risk Portfolio Segments Significantly Reduced

23

$0

$200

$400

$600

$800

$1,000

$1,200

$1,400

$1,600

1Q 2009

2Q 2009

3Q 2009

4Q 2009

1Q 2010

2Q 2010

Actual

SCAP Projection

$: Net Charge-Offs in Millions, %: Actual Net Charge-Offs to SCAP Estimates

41%

54%

68%

56%

56%

49%

Actual Losses Well Below SCAP Projections

75% of the Way Through SCAP and Actual Loan Losses are at 54% of SCAP Estimates

24

1%

99%

Loans

in

Florida

Panhandle

10%

12%

5%

73%

Real Estate

Cons.

Products

&

Services

Retailing

Other Industries

73%

27%

Consumer

Commercial

Total Loan Portfolio

Loan Portfolio in Florida

Panhandle

¹

Commercial Loan

Portfolio in Florida

Panhandle

$113.0B

$1.3B

²

$345MM

3

3

3

As of June 30, 2010

1.

Bay, Escambia, Franklin, Gulf, Okaloosa, Santa Rosa, Wakulla, and Walton Counties

2.

Excludes bank cards and student loans

3.

Industries Based on NAICS

1

Only 1% of Total Loans are in Florida Panhandle; Total Commercial Loans in Area = $345MM

Florida Panhandle Review

25

1.  Excludes $14 million of mark-to-market loans held for sale in 2Q 2010 and $19 million for 1Q 2010

2.  Does not include nonaccruals   

3.  GNMA  repurchases are FHA/VA guaranteed loans that were repurchased from GNMA securities

Residential Mortgages $31,126

Core Portfolio Asset Quality Improved

($ in millions)

Portfolio Profile

Credit Quality Metrics

Loan Type

06/30/10

Balance

03/31/10

Balance

06/30/2010          

$

Nonaccruals

¹

03/31/2010            06/30/10    

$

Nonaccruals

¹

60+

DLQ

²

03/31/10    

60+

DLQ

²

Core Portfolio

$24,412

$23,794

$1,570

$1,773

1.44%

1.54%

Home Equity Loans

1,798

1,894

62

64

1.00

0.95

Prime

2

nd

2,648

2,772

68

80

2.23

2.12

Lot Loans

935

1,032

214

261

3.18

2.68

Alt-A

1

st

588

630

176

209

3.61

4.81

Alt-A

2

nd

175

190

24

30

6.28

5.99

GNMA

Repurchases

³

570

493

-

-

-

-

Total

$31,126

$30,805

$2,114

$2,417

1.58%

1.70%

($ in millions)

Residential Mortgages

26

Home Equity Lines $15,443 

1.  Excludes 3rd party originated

2.  Excludes 3rd party originated and Florida CLTV > 80%

3.  Excludes 3rd party originated, Florida CLTV>80% and CLTV

90+%

4.  Annualized quarterly rate

Portfolio Profile

Credit Quality Metrics

Type

06/30/10

Balance

% of

Total

03/31/10

Balance

2Q 10

Charge-off

4

%

1Q 10

Charge-off

4

%

2Q 10

Nonaccrual

%

1Q 10

Nonaccrual

%

3

rd

Party

Originated

$1,446

9%

$1,504

10.50%

11.84%

3.80%

3.91%

CLTV

>

80%

¹

(Florida)

1,684

11

1,724

7.87

8.70

3.34

3.27

CLTV

>

90%

²

1,481

10

1,518

3.69

3.74

1.75

1.69

Core

Portfolio

³

10,832

70

10,930

1.85

2.43

1.44

1.36

Total

$15,443

100%

$15,676

3.55%

4.11%

1.88%

1.82%

Balances Declined; Asset Quality Stable

($ in millions)

Home Equity Lines

27

1. Annualized second quarter net charge-off ratio

($ in millions)

Charge-offs Increased; Balances, NPLs and Delinquencies Declined

Construction $5,004

Portfolio Profile

Credit Quality Metrics

Type

06/30/10

Balance

03/31/10

Balance

2Q 10

%

FL

2Q 10

C/O

¹

%

$

NPLs

FL

NPLs

%

2Q 10

30 +

DLQ

1Q 10

30 +

DLQ

Construction Perm

$591

$690

24%

28.19%

$150

36%

3.52%

5.42%

Residential

Construction

868

1,106

32

14.98

386

35

2.72

0.85

Residential A&D

948

1,135

19

17.84

445

19

1.98

2.08

Residential Land

426

444

36

15.44

163

32

1.09

0.77

Commercial

Construction

1,375

1,514

19

1.08

112

38

0.29

0.29

Commercial A&D

324

374

24

14.97

53

25

1.15

4.00

Commercial Land

472

493

28

3.21

52

23

1.54

2.18

Total

$5,004

$5,756

23%

13.05%

$1,360

29%

1.66%

1.81%

Construction

28

Accruing TDRs

Non-Accruing TDRs

Total TDRs

Payment

Status

6/30/10

Balance

¹

% of

Total

6/30/10

Balance

% of

Total

6/30/10

Balance

% of

Total

Current

$1,980

87%

$395

40%

$2,375

73%

30 DPD

155

7

75

8

230

7

60 DPD

86

4

58

6

144

4

90 DPD

43

2

50

5

92

3

120+ DPD

5

<1

408

41

414

13

Total

$2,269

100%

$986

100%

$3,255

100%

87% of Accruing TDRs are Current on Principal and Interest Payments, and 73% of Total

TDRs are Current

($ in millions)

Totals may not foot due to rounding

1.

Approximately 2% of accruing TDR balances are commercial-related 

TDR Composition and Performance

Capital & Liquidity

30

•

Capital ratios increased; 7.85% estimated Tier 1 common ratio was up by an estimated 15 basis

points over Q1.

Capital ratios remain strong relative to peers

•

Favorable deposit volume and mix trends continued

•

Securities portfolio concentrated in high quality, liquid securities

•

Prudent short-term liquidity position and access to significant contingent liquidity

•

Conservative debt maturity profile, with no holding company maturities until 2012

Second Quarter Capital and Liquidity Highlights

31

2Q 2010

1Q 2010

4Q 2009

3Q 2009

Estimate

Actual                 Actual               Actual

Capital Ratios Remained Solid

Tier 1 Common Ratio

Tangible

Common

Equity

Ratio

¹

Tier 1 Capital Ratio

Tier

1

Capital

Ratio

(Excl

TARP)

²

Total Capital Ratio

Book Value per Share                          

Tangible Common Book Value

per

Share

¹

1.

Please refer to the appendix for all non-GAAP reconcilement

2.

TARP

preferred

included

in

Tier

1

ratio

contributes

an

estimated

3.60%

to

the

6/30/10

Tier

1

capital

ratio,

3.50%

at

3/31/10,

3.40%

at

12/31/09,

and

3.27%

at

9/30/09

7.67%

6.73%

12.96%

9.56%

16.43%

$35.29

$22.59

7.70%

6.88%

13.13%

9.63%

16.68%

$35.40

$22.76

7.85%

7.18%

13.40%

9.80%

16.85%

$36.19

$23.58

7.49%

7.01%

12.58%

9.31%

15.92%

$36.06

$23.25

Capital Ratios

32

9.97%

9.63%

10.00%

8.17%

11.63%

7.41%

10.38%

10.30%

9.95%

9.93%

9.57%

3.43%

3.50%

2.92%

3.49%

3.68%

FITB

STI

KEY

RF

BBT

MI

CMA

PNC

USB

WFC

COF

Tier 1 ex. TARP

TARP portion of Tier 1

Strong Capital Position

TCE/TA

¹

and Tier 1 Common

¹

Tier 1

³

7.18%

7.70%

6.55%

7.22%

TCE/TA

²

Tier 1 Common Ratio

STI

Peer Median

Source:  SNL and company reports.   Peers include BBT, CMA, COF, FITB, KEY, MI, MTB, PNC, RF, USB and WFC.

1.      TCE/TA ratios as of 6/30/2010.  Tier 1 common ratios as of 3/31/2010.

2.      Please refer to the appendix for all non-GAAP reconcilement

3.      Where applicable, TARP portion of Tier 1 from company report if disclosed.  If not disclosed, calculated assuming TARP proceeds invested in 0% risk-weighted assets.

33

Tier 1 Common

TCE/TA

Capital Ratio Comparison

10.11%

8.30%

7.65%

7.18%

6.91%

6.76%

6.33%

6.26%

6.25%

6.14%

5.76%

5.75%

CMA

MI

KEY

STI

FITB

BBT

WFC

RF

PNC

COF

USB

MTB

9.57%

8.64%

7.90%

7.70%

7.51%

7.31%

7.13%

7.10%

7.09%

6.97%

6.54%

5.90%

CMA

BBT

PNC

STI

KEY

MI

RF

USB

WFC

FITB

COF

MTB

Source:  SNL and company reports.

Peers include BBT, CMA, COF, FITB, KEY, MI, MTB, PNC, RF, USB and WFC.

TCE/TA ratios as of 6/30/2010.  Tier 1 common ratios as of 3/31/2010.

34

SunTrust Maintains a Very Conservative Short-Term Liquidity Stance and Has Access to Plentiful

Contingent Liquidity

Short-Term Liquidity

Contingent Funding Sources

$0

$10

$20

$30

$40

$50

Jun-09

Jul-09

Aug-09

Sep-09

Oct-09

Nov-09

Dec-09

Jan-10

Feb-10

Mar-10

Apr-10

May-10

Jun-10

Discount Window

FHLB

Free Securities

Average Excess Reserves

SunTrust Bank average daily overnight borrowing position

0

2

4

6

8

10

12

14

35

SunTrust Conservatively Manages Refunding Risk by Laddering Its Debt Maturity Schedule

Debt Maturity Profile

SunTrust term wholesale funding balance and maturity schedule

$ millions

Funding product

6.30.10 Balance

2010

2011

2012

2013

2014

FHLB advances

$823

$39

$754

$4

$4

$7

Fixed

823

39

754

4

4

7

Floating

0

0

0

0

0

0

Wholesale CDs

$0

$0

$0

$0

$0

$0

Fixed

0

0

0

0

0

0

Floating

0

0

0

0

0

0

Bank notes

$9,171

$750

$4,173

$1,449

$0

$275

Fixed

5,127

0

3,102

0

0

0

Floating

4,044

750

1,071

1,449

0

275

Parent company notes

$2,642

$0

$0

$1,013

$0

$0

Fixed

1,130

0

0

437

0

0

Floating

1,512

0

0

576

0

0

Total

$12,636

$789

$4,927

$2,465

$4

$281

Maturities as share of 6.30.10 balance

6.2%

39.0%

19.5%

0.0%

2.2%

Maturities

36

Liability Management

SunTrust Has Supported Its Securities Via Active Liability Management

•

Commenced a tender offer for up to $750 million total of five subordinated bank notes

•

Liquidity event for investors at premiums to secondary market prices

•

Early tender period expires August 6 (final expiration date on August 20)

•

Waterfall structure priced on a fixed spread basis

Title of Notes

CUSIP Number

Acceptance

Priority Level

Principal Amount

Outstanding ($

thousands)

Reference Treasury

Security

Fixed Spread

(bps)

Early Tender Premium

(per $1,000 principal

amount)

5.45% Subordinated Notes Due 2017

86787GAC6

1

$474,500

3.50% Due 5/15/2020

190

$30

5.00% Subordinated Notes Due 2015

86787GAG7

2

$535,000

1.75% Due 7/31/2015

190

$30

5.20% Subordinated Notes Due 2017

86787GAD4

2

$340,000

3.50% Due 5/15/2020

180

$30

5.40% Subordinated Notes Due 2020

86787GAE2

2

$300,000

3.50% Due 5/15/2020

235

$30

7.25% Subordinated Notes Due 2018

86787EAM9

3

$375,000

3.50% Due 5/15/2020

250

$30

Total

$2,024,500

Including the current tender offer, SunTrust has supported investors by purchasing and retiring more

than $2.5 billion of its publicly-traded debt and hybrid capital securities during the past two years

37

•

Generating profitable

growth

•

Continuing to optimize

balance sheet and

business mix

•

Improving efficiency and

productivity

Large Diversified Franchise

•

High market share in attractive

growth markets

•

One of the nation’s largest banks

•

Diversified business mix

Stable Base Provides Solid Foundation for Future Growth

•

Diversified loan portfolio

•

Improved credit trends

•

Conservative commercial

real estate portfolio

Solid Capital Structure

Relative Credit Strength

•

Solid capital ratios

increased

•

Common capital ratios

compare favorably

•

Diversified funding with

large, stable deposit

base

Investment Thesis

Growth Initiatives

Appendix

39

($ in millions)

Noninterest Income Reconciliation

%                   %

Change        Change

2Q 2010     1Q 2010       2Q 2009      1Q 2010        2Q 2009

36%

12%

(11)%

(10)%

$698

2

(23)

(20)

(8)

7

-

-

(42)

$740

$952

57

1

63

2

(2)

-

-

121

$831

$1,072

(25)

(1)

(96)

(4)

2

157

112

145

$927

Total Noninterest Income

Securities Gains/(Losses)

Fair Market Write-downs – Trading                   

STI Debt Valuation-Trading

Fair Value Write-downs – Mortgage Production    

Auction Rate Securities –Trading        

LOCOM MSR (Impairment)/Recovery – Mtg Svcing

Visa Gain         

Net Adjustments

Adjusted Noninterest Income

40

Total Noninterest Expense

Net Loss/(Gain) on Debt Extinguishment

Visa Contract Termination

Visa Litigation Accrual

FDIC Special Assessment

Net Adjustments

Adjusted Noninterest Expense

Change

2Q 2010        1Q 2010        2Q 2009

1Q 2010

2Q 2009

%

($ in millions)

Noninterest Expense Reconciliation

$1,503

63

-

-

-

63

$1,440

$1,361

(9)

8

-

-

(1)

$1,362

$1,528

39

-

7

78

124

$1,404

10%

6%

(2)%

3%

41

Noninterest Income

Mortgage Repurchase Losses

Noninterest Expense

Unfunded

Commitment

Reserve

(Other

Exp)

¹

Mortgage Reinsurance

Operating Losses

Credit & Collections

Other Real Estate

Total Credit-Related

Additional Noninterest Income and Expense Disclosures

$

Change 

2Q 2010         1Q 2010        2Q 2009          1Q 2010

2Q 2009

($ in millions)

$(128)

-

9

14

74

46

$143

$(20)

-

-

2

(8)

40

$34

$(148)

-

9                              

16

66

86

$177

$(62)

(2)

25

33

66

49

$171

$(86)

2

(16)     

(17)

-

37

$6

Totals may not foot due to rounding

1.  Unfunded commitment reserve expense recorded in provision expense prospectively beginning in 4Q 2009

42

(As of 06/30/10, $ in millions)

Nonaccruals that have been through the

specific write-down process

Loan

Type

Balance

before

write-

down

-

Amount  

of write-

down

=

Non     

accruals with              

write-down

+

+

Non 

accruals

without   

specific

write-down  

=

Total

Non 

accruals

³

% Loss

Severity

Core

Portfolio

$1,266

$(495)

$771

$186

$523

$1,480

34.1%

Prime 2

nd

401

(401)

--

--

68                

68

100.0%

4

Lot

Loans

304

(177)

127

42

45

214

51.2%

Alt-A 1

st

160

(64)

96

11

69

176

37.5%  

Alt-A 2

nd

102

(92)

10

--

14

24

90.1%

Total

$2,232

$(1,229)

$1,003

$239

$719

$1,961

Residential Mortgage

Nonaccrual Balances Decreased; 63% of Nonaccruals Have Been Through the Write-Down

Process

Non   

accruals not

requiring 

write-down² 

1. Reserves have been established for residential mortgage loans that have not had specific write-downs as well as for incremental losses on loans carried at expected recoverable values

2. Nonaccruals not requiring write-downs include well-secured loans and loans with claims in process for individual and pool PMI policies

3. Excludes Home Equity nonaccruals of $62 million, $14 million of mark-to-market loans held for sale and $91 million of residential real estate loans managed on commercial  system

4. Does not reflect benefit of limited remaining mortgage insurance coverage

1

43

Reconciliation of Non GAAP Measures

($ in millions, except per share data)

June 30

March 31

December 31

September 30

June 30

2010

2010

2009

2009

2009

Total shareholders' equity               

$23,024

$22,620

$22,531

$22,908

$22,953

Goodwill, net of deferred taxes                    

(6,197)

(6,202)

(6,204)

(6,205)

(6,213)

Other intangible assets including MSRs, net of deferred taxes

(1,409)

(1,761)

(1,671)

(1,560)

(1,468)

MSRs

1,298

1,641

1,539

1,423

1,322

Tangible equity             

16,716

16,298

16,195

16,566

16,594

Preferred stock

(4,929)

(4,923)

(4,917)

(4,911)

(4,919)

Tangible common equity

$11,787

$11,375

$11,278

$11,655

$11,675

Total assets                

$170,668

$171,796

$174,165

$172,718

$176,735

Goodwill                

(6,323)

(6,323)

(6,319)

(6,314)

(6,314)

Other intangible assets including MSRs

(1,443)

(1,800)

(1,711)

(1,604)

(1,517)

MSRs

1,298

1,641

1,539

1,423

1,322

Tangible assets                

$164,200

$166,223

$170,226

Tangible equity to tangible assets             

10.18%

9.86%

9.66%

9.96%

9.75%

Tangible common equity to tangible assets

7.18%

6.88%

6.73%

7.01%

6.86%

Tangible book value per common share

$23.58

$22.76

$22.59

$23.35

$23.41

Three Months Ended

$165,314

$167,674