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): October 27, 2014

CITIZENS FINANCIAL GROUP, INC.

(Exact name of registrant as specified in its charter)

Delaware	001-36636	05-0412693
(State or other jurisdiction of incorporation )	(Commission File No.)	(IRS Employer Identification No.)

One Citizens Plaza Providence, RI	02903
(Address of principal executive offices)	(Zip code)

Registrant’s telephone number, including area code: (401) 456-7000

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:

¨ 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.

On October 27, 2014, Citizens Financial Group, Inc. issued a press release reporting third quarter 2014 earnings and posted on its website the press release, an earnings release presentation, and a financial supplement. Copies of the press release, earnings release presentation, and financial supplement are being furnished as Exhibits 99.1, 99.2 and 99.3, respectively.

Item 9.01 Financial Statements and Exhibits.

(d)	Exhibit 99.1	Citizens Financial Group, Inc. press release dated October 27, 2014
	Exhibit 99.2	Citizens Financial Group, Inc. earnings release presentation issued October 27, 2014
	Exhibit 99.3	Citizens Financial Group, Inc. financial supplement for third quarter 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.

CITIZENS FINANCIAL GROUP, INC.
By:	/s/ John Fawcett
	John Fawcett
	Chief Financial Officer

Date: October 27, 2014

EXHIBIT INDEX

Exhibit Number	Description
99.1	Citizens Financial Group, Inc. press release dated October 27, 2014
99.2	Citizens Financial Group, Inc. earnings release presentation issued October 27, 2014
99.3	Citizens Financial Group, Inc. financial supplement for third quarter 2014

EX-99.1

Exhibit 99.1

Citizens Financial Group, Inc., Reports Third Quarter Net Income of $189 Million, or $0.34 Diluted EPS

Adjusted net Income, excluding net restructuring charges and special items, of $202 million, or $0.36 diluted EPS*

Diluted EPS growth vs. prior year of 31%; 38% on an Adjusted basis*

Adjusted ROTCE of 6.2% in third quarter 2014 compared with 4.3% in third quarter 2013*

Good progress in driving growth and efficiency initiatives

PROVIDENCE, RI (October 27, 2014) Citizens Financial Group, Inc. (NYSE: CFG or “Citizens”) today reports third quarter net income of $189 million, or $0.34 per diluted common share, compared with $313 million, or $0.56 per diluted common share, for second quarter 2014, and $144 million, or $0.26 per diluted common share, for third quarter 2013. Third quarter 2014 results were reduced by $0.02 per diluted common share related to net restructuring charges and special items versus a $0.19 per diluted common share benefit in second quarter 2014 as detailed in the discussion of results portion of this release. Adjusted EPS of $0.36 in third quarter of 2014 compares with $0.37 in second quarter 2014, and $0.26 in third quarter 2013.

Citizens also announced that its board of directors has declared a quarterly cash dividend of $0.10 per common share. The dividend is payable on November 20, 2014 to shareholders of record at the close of business on November 6, 2014.

“Citizens delivered solid bottom line results this quarter, with positive momentum in our business performance and good execution across our growth and efficiency initiatives,” said Bruce Van Saun, Chairman and Chief Executive Officer. “We continue to make solid progress in key growth areas like auto and student lending, and in capital markets where we moved to a top five ranking in middle market loan syndications.”

Van Saun continued, “The initial public offering was a significant milestone for us as we work towards our aspiration of becoming a top-performing regional bank. We remain focused on delivering enhanced value for our customers, the communities we serve and for our shareholders.”

The Return on Average Tangible Common Equity* (“ROTCE”) was 5.81% in third quarter 2014 compared to 9.59% in second quarter 2014. The Adjusted ROTCE* for third quarter 2014 was 6.22% compared to 6.28% for second quarter 2014, as improvement in underlying pre-provision profit was offset by an increase in provision for credit losses from relatively low second quarter 2014 levels.

* These are non-GAAP financial measures. Please see Non-GAAP Reconciliation Tables at the end of this release for an explanation of our use of non-GAAP financial measures and their reconciliation to GAAP. All references to “Adjusted” results exclude restructuring charges and special items.

1

Citizens Financial Group, Inc.

Third quarter 2014 net income was reduced by $13 million after-tax, or $0.02 per share, of restructuring charges and special items, largely related to efforts to improve processes and enhance efficiencies, as well as rebranding and separation from The Royal Bank of Scotland Group plc (“RBS”). Second quarter 2014 results included a net $108 million after-tax benefit, or $0.19 per share, of restructuring charges and special items including a $180 million after-tax gain on the sale of the Chicago-area Charter One branches, small business and select middle market relationships (the “Chicago Divestiture”).

In addition to the restructuring charges and special items associated with the Chicago Divestiture that have been excluded from Adjusted Results*, the Chicago Divestiture also reduced quarterly results by the following estimated amounts: $13 million in net interest income, $12 million in noninterest income and $21 million in noninterest expense.

Key Highlights – Third Quarter 2014 vs. Second Quarter 2014

• Third quarter highlights include 6% year over year growth in loan assets, continued overall strong credit quality and good expense discipline.

Results

• Adjusted total revenue* of $1.16 billion was essentially flat with second quarter 2014, excluding the impact of the Chicago Divestiture.

• Net interest income of $820 million decreased $13 million, reflecting an estimated $13 million reduction from the Chicago Divestiture.

• Adjusted noninterest income* decreased $11 million, reflecting an estimated $12 million reduction from the Chicago Divestiture.

• Adjusted noninterest expense* decreased $44 million, driven by the estimated $21 million impact of the Chicago Divestiture, lower regulatory costs and the benefit of our efficiency initiatives.

• Adjusted efficiency ratio* of 68% improved over 200 basis points from second quarter 2014.

• Pre-provision profit was $351 million. Adjusted pre-provision profit* was up $20 million, driven by the decline in expenses.

• Provision for credit losses of $77 million increased $28 million, reflecting a return to a more normalized level from an unusually low second quarter.

Balance Sheet

• Average interest-earning assets increased $1.2 billion, or 1%, despite a $1.0 billion decrease in loans held for sale associated with the Chicago Divestiture. Adjusted for the Chicago Divestiture, growth was 1.9%.

• Average deposits and deposits held for sale decreased $490 million, or 1%, as a $4.5 billion decrease tied to the Chicago Divestiture was largely offset by underlying average deposit growth of $4 billion.

• Period-end deposits increased $1.8 billion driven by growth in Commercial.

• Nonperforming loans and leases decreased to 1.19% of total loans and leases from 1.35% as credit quality continues to improve. Allowance coverage of NPL’s increased to 111% in third quarter 2014 from 101% in second quarter 2014.

• Capital strength remained robust with a Tier 1 common equity ratio of 12.9%.

2

Citizens Financial Group, Inc.

• Two capital exchange transactions were recently completed with RBS. The first was a $333 million capital exchange transaction in August with associated sub-debt issuance. The second was a $334 million capital exchange transaction with RBS that included a 14.3 million share repurchase on October 8^th along with associated sub-debt issuance.

Initiatives

• Good progress continued on initiatives intended to drive growth and enhance efficiency:

• Efficiency program drove $14 million in savings during the quarter.

• Consumer household growth of approximately 46,000 since year end 2013.

• Commercial momentum remains strong, with Citizens ranked 5^th in the most recent U.S. middle-market book runner loan syndication league tables** by number of deals.

Earnings highlights

										3Q14 change from
($s in millions, except per share data)	3Q14			2Q14			3Q13			2Q14						3Q13
Earnings										$			%			$			%
Net interest income	$	820		$	833		$	770		$	(13	)		(2	)%	$	50			6	%
Noninterest income		341			640			383			(299	)		(47	)		(42	)		(11	)
Total revenue		1,161			1,473			1,153			(312	)		(21	)		8			1
Noninterest expense		810			948			788			(138	)		(15	)		22			3
Profit before provision for credit losses		351			525			365			(174	)		(33	)		(14	)		(4	)
Provision for credit losses		77			49			145			28			57			(68	)		(47	)
Net income	$	189		$	313		$	144		$	(124	)		(40	)%	$	45			31	%
After-tax restructuring charges and special items		(13	)		108			—			(121	)		(112	)		(13	)		NM
Net income, excluding restructuring charges and special items*	$	202		$	205		$	144		$	(3	)		(1	)%	$	58			40	%
Average common shares outstanding
Basic		559,998,324			559,998,324			559,998,324			—			—	%		—			—	%
Diluted		560,243,747			559,998,324			559,998,324			245,423			0	%		245,423			0	%
Diluted earnings per share	$	0.34		$	0.56		$	0.26		$	(0.22	)		(39	)%	$	0.08			31	%
Diluted earnings per share, excluding restructuring charges and special items*	$	0.36		$	0.37		$	0.26		$	(0.01	)		(3	)%	$	0.10			38	%
Financial ratios
Net interest margin		2.77	%		2.87	%		2.88	%		(10	) bps					(11	) bps
Noninterest income as a % of total revenue		29.4			43.4			33.2			(1,408	) bps					(385	) bps
Effective income tax rate		30.8			34.3			34.6			(346	) bps					(376	) bps
Efficiency ratio		70			64			68			551	bps					135	bps
Efficiency ratio, excluding restructuring charges and special items*		68			70			68			(221	) bps					(47	) bps
Return on average tangible common equity*		5.81			9.59			4.34			(378	) bps					147	bps
Return on average tangible common equity excluding restructuring charges and special items*		6.22			6.28			4.34			(6	) bps					188	bps
Return on average common equity		3.87			6.41			2.91			(254	) bps					96	bps
Return on average total assets		0.58			0.99			0.49			(41	) bps					9	bps
Return on average total tangible assets*		0.61	%		1.04	%		0.52	%		(43	) bps					9	bps
Capital adequacy1
Tier 1 common equity ratio		12.9	%		13.3	%		13.9	%
Total capital ratio		16.1			16.2			16.3
Leverage ratio		10.9	%		11.1	%		12.1	%
Asset quality
Total nonperforming loans and leases as a % of total loans and leases		1.19	%		1.35	%		1.98	%		(16	) bps					(79	) bps
Net charge-offs as a % of average loans and leases		0.38			0.31			0.61			7	bps					(23	) bps
Allowance for loan and lease losses as a % of loans and leases		1.32			1.36			1.43			(4	) bps					(11	) bps
Allowance for loan and lease losses as a % of nonperforming loans and leases		111.30	%		100.84	%		72.06	%		1,046	bps					3,924	bps

* These are non-GAAP financial measures. Please see Non-GAAP Reconciliation Tables at the end of this release for an explanation of our use of non-GAAP financial measures and reconciliation of those non-GAAP financial measures to GAAP. All references to Adjusted results exclude restructuring charges and special items.

1 Regulatory capital ratios are preliminary.

** Thomson Reuters

3

Citizens Financial Group, Inc.

Discussion of Results:

Net income of $189 million in third quarter 2014 decreased $124 million, or 40%, from second quarter 2014, and increased $45 million from third quarter 2013. Results included the following restructuring charges and special items which largely related to our separation from RBS and efforts to improve processes and enhance efficiency.

Restructuring charges and special items

	As of and for the three months ended
	September 30, 2014						June 30, 2014				increase/decrease
($s in millions, except per share data)	pre-tax			after-tax			pre-tax		after-tax		pre-tax			after-tax
Noninterest income special items:
Other income
Net Gain on Chicago Divestiture	$	—		$	—		$	288	$	180	$	(288	)	$	(180	)
Total noninterest income special items	$	—		$	—		$	288	$	180	$	(288	)	$	(180	)
Noninterest expense restructuring charges and special items:
Salaries and employee benefits
Chicago Divestiture	$	—		$	—		$	3	$	2	$	(3	)	$	(2	)
Efficiency initiatives		—			—			40		25		(40	)		(25	)
Non-compensation expense
Chicago Divestiture		—			—			14		9		(14	)		(9	)
Efficiency initiatives		4			3			46		28		(42	)		(25	)
Separation / IPO related		2			1			6		4		(4	)		(3	)
Other		15			9			6		4		9			5
Total noninterest expense restructuring charges and special items	$	21		$	13		$	115	$	72	$	(94	)	$	(59	)
Net restructuring charges and special items	$	(21	)	$	(13	)	$	173	$	108	$	(194	)	$	(121	)
EPS impact				$	(0.02	)			$	0.19				$	(0.21	)

Adjusted results*

							3Q14 change from
$s in millions	3Q14		2Q14		3Q13		2Q14						3Q13
							$			%			$			%
Net interest income	$	820	$	833	$	770	$	(13	)		(2	)%	$	50			6	%
Adjusted noninterest income *		341		352		383		(11	)		(3	)		(42	)		(11	)
Adjusted total revenue *		1,161		1,185		1,153		(24	)		(2	)		8			1
Adjusted noninterest expense *		789		833		788		(44	)		(5	)		1			—
Adjusted pre-provision profit*		372		352		365		20			6			7			2
Provision for credit losses		77		49		145		28			57			(68	)		(47	)
Adjusted pretax income *		295		303		220		(8	)		(3	)		75			34
Adjusted income tax expense *		93		98		76		(5	)		(5	)		17			22
Adjusted net income*	$	202	$	205	$	144	$	(3	)		(1	)%	$	58			40	%

Adjusted net income* of $202 million in third quarter 2014 decreased $3 million, or 1%, from second quarter 2014 as a $24 million decrease in revenue driven by the Chicago Divestiture and a $28 million increase in provision for credit losses were largely offset by $44 million decline in expenses, $21 million of which relates to the Chicago Divestiture. Adjusted pre-provision profit* increased $20 million from second quarter 2014 driven by lower noninterest expense, largely related to lower regulatory costs and incentives.

4

Citizens Financial Group, Inc.

Third quarter 2014 Adjusted net income* increased $58 million, or 40%, from $144 million in third quarter 2013, reflecting lower provision expense related to continued improvement in credit quality. Adjusted pre-provision profit* increased $7 million from third quarter 2013 as growth in net interest income and capital markets fees was largely offset by lower securities gains and service charges.

Net interest income

										3Q14 change from
($s in millions)	3Q14			2Q14			3Q13			2Q14						3Q13
										$			%			$			%
Interest income:
Interest and fees on loans and leases and loans held for sale	$	756		$	762		$	751		$	(6	)		(1	)%	$	5			1	%
Investment securities		155			154			120			1			1			35			29
Interest-bearing deposits in banks		2			1			2			1			100			—			—
Total interest income	$	913		$	917		$	873		$	(4	)		(0	)%	$	40			5	%
Interest expense:
Deposits and deposits held for sale	$	41		$	36		$	58		$	5			14	%	$	(17	)		(29	)%
Federal funds purchased and securities sold under agreement to repurchase		9			1			35			8			800			(26	)		(74	)
Other short-term borrowed funds		21			30			2			(9	)		(30	)		19			950
Long-term borrowed funds		22			17			8			5			29			14			175
Total interest expense	$	93		$	84		$	103		$	9			11	%	$	(10	)		(10	)%
Net interest income	$	820		$	833		$	770		$	(13	)		(2	)%	$	50			6	%
Net interest margin		2.77	%		2.87	%		2.88	%		(10	) bps					(11	) bps

Net interest income of $820 million in third quarter 2014 decreased $13 million, or 2%, compared with second quarter 2014 which included an estimated $20 million benefit related to loans and deposits associated with the Chicago Divestiture ($13 million) and higher commercial loan interest recoveries on prior period charge offs ($7 million). Net interest income excluding these items was up by $7 million, reflecting the benefit of higher earning assets, one additional business day in the quarter, deposit growth, and a reduction in pay-fixed swap costs, partially offset by increased borrowing costs on subordinated debt and lower deposit spreads.

Third quarter net interest income increased $50 million, or 6%, from third quarter 2013, as the benefit of growth in earning assets and a reduction in pay-fixed swap costs was partially offset by continued pressure from the relatively persistent low-rate environment, higher borrowing costs and the effect of the Chicago Divestiture.

Net interest margin declined ten basis points to 2.77% in third quarter 2014 from 2.87% in second quarter 2014. Second quarter 2014 results included an estimated four basis point benefit related to loans and deposits associated with the Chicago Divestiture and commercial loan recoveries. Excluding this four basis point impact, the decline in margin largely reflects lower loan yields given spread pressure in commercial, increased deposit costs related to growth in money market and term deposits, and higher borrowing costs related to the issuance of subordinated debt.

Compared to third quarter 2013, net interest margin decreased 11 basis points as the benefit of a reduction in pay-fixed swap costs and lower deposits costs was more than offset by a reduction in loan and investment portfolio spreads reflecting the impact of the relatively persistent low-rate environment on loan yields and higher borrowing costs related to the issuance of subordinated debt.

5

Citizens Financial Group, Inc.

Noninterest Income

							3Q14 change from
($s in millions)	3Q14		2Q14		3Q13		2Q14						3Q13
							$			%			$			%
Service charges and fees	$	144	$	147	$	163	$	(3	)		(2	)%	$	(19	)		(12	)%
Card fees		58		61		63		(3	)		(5	)		(5	)		(8	)
Trust and investment services fees		39		42		39		(3	)		(7	)		—			—
Foreign exchange and trade finance fees		26		22		25		4			18			1			4
Mortgage banking fees		21		14		20		7			50			1			5
Capital markets fees		22		26		11		(4	)		(15	)		11			100
Securities gains, net		2		—		25		2			NM			(23	)		(92	)
Other income		29		328		37		(299	)		(91	)		(8	)		(22	)
Noninterest income	$	341	$	640	$	383	$	(299	)		(47	)%	$	(42	)		(11	)%
Special items		—		288		—		(288	)		(100	)		—			NM
Noninterest income, excluding special items*	$	341	$	352	$	383	$	(11	)		(3	)%	$	(42	)		(11	)%

Noninterest income of $341 million in third quarter 2014 decreased $299 million from second quarter 2014 which included a net $288 million gain and an estimated $12 million of fee income associated with the Chicago Divestiture, as well as a $9 million gain on the sale of a student loan portfolio. Excluding these items, noninterest income increased approximately $10 million driven by growth in mortgage banking, service charges and fees and foreign exchange and trade finance fees. Results also reflected declines in leasing and capital markets fees from relatively high levels in second quarter 2014.

Noninterest income decreased $42 million from third quarter 2013 as an $11 million increase in capital markets fees was more than offset by a $23 million reduction in securities gains, and a net $24 million decrease in service charges and fees and card fees, which included the effect of a change in check posting order and the impact of the Chicago Divestiture.

Noninterest expense

							3Q14 change from
($s in millions)	3Q14		2Q14		3Q13		2Q14						3Q13
							$			%			$			%
Salaries and employee benefits	$	409	$	467	$	403	$	(58	)		(12	)%	$	6			1	%
Outside services		106		125		87		(19	)		(15	)		19			22
Occupancy		77		87		80		(10	)		(11	)		(3	)		(4	)
Equipment expense		58		65		69		(7	)		(11	)		(11	)		(16	)
Amortization of software		38		33		26		5			15			12			46
Other expense		122		171		123		(49	)		(29	)		(1	)		(1	)
Total noninterest expense	$	810	$	948	$	788	$	(138	)		(15	)%	$	22			3	%
Restructuring charges and special items		21		115		—		(94	)		(82	)		21			NM
Total noninterest expense, excluding restructuring charges and special items*	$	789	$	833	$	788	$	(44	)		(5	)	$	1			0

Noninterest expense of $810 million in third quarter 2014 decreased $138 million from second quarter 2014 driven by a $94 million reduction in restructuring charges and special items. Adjusted noninterest expense* decreased $44 million, largely driven by an estimated $21 million decrease related to the impact of the Chicago Divestiture, as well as lower regulatory costs, benefits from our efficiency initiatives, and a reduction in incentive expense.

6

Citizens Financial Group, Inc.

Noninterest expense in third quarter 2014 increased $22 million from third quarter 2013 driven by a $21 million increase in restructuring charges and special items as well as higher incentive costs, partially offset by the Chicago Divestiture. Adjusted noninterest expense* was in-line with third quarter 2013.

The company’s effective tax rate was 30.8% in the third quarter of 2014 compared to 34.3% in the second quarter of 2014, which included a higher marginal tax rate on the Chicago Divestiture gain, and 34.6% in the third quarter of 2013.

Consumer Banking Segment

										3Q14 change from
($s in millions)	3Q14			2Q14			3Q13			2Q14						3Q13
										$			%			$			%
Net interest income	$	532		$	546		$	543		$	(14	)		(3	)%	$	(11	)		(2	)%
Noninterest income		226			236			246			(10	)		(4	)		(20	)		(8	)
Total revenue		758			782			789			(24	)		(3	)		(31	)		(4	)
Noninterest expense		609			655			622			(46	)		(7	)		(13	)		(2	)
Profit before provision for credit losses		149			127			167			22			17			(18	)		(11	)
Provision for credit losses		66			59			87			7			12			(21	)		(24	)
Income before income tax expense		83			68			80			15			22			3			4
Income tax expense		29			24			28			5			21			1			4
Net income	$	54		$	44		$	52		$	10			23	%	$	2			4	%
Average balances
Total loans and leases (1)	$	47,848		$	47,368		$	44,766		$	480			1	%	$	3,082			7	%
Total deposits (1)		65,609			70,181			72,220			(4,572	)		(7	)%		(6,611	)		(9	)%
Key metrics
ROTCE (2)*		4.57	%		3.87	%		4.69	%		70	bps					(12	) bps
Efficiency ratio*		80	%		84	%		79	%		(319	) bps					159	bps

¹ Includes held for sale.

² Operating segments are allocated capital on a risk-adjusted basis considering economic and regulatory capital requirements. We approximate that regulatory capital is equivalent to a sustainable target level of common equity Tier 1 and then allocate that approximation to the segments based on economic capital.

Consumer Banking net income of $54 million for third quarter 2014 increased $10 million, or 23%, compared to second quarter 2014, driven by a $46 million decrease in noninterest expense, partially offset by a $24 million decline in total revenue. Net interest income declined $14 million, or 3%, from second quarter 2014 driven by an estimated $21 million decrease related to the Chicago Divestiture which more than offset the benefit of increased mortgage and auto balances and one additional business day in the quarter. Noninterest income decreased $10 million, or 4%, from the second quarter of 2014 which included a $9 million gain on the sale of a student loan portfolio as well as an estimated $11 million related to the Chicago Divestiture. Excluding these items, third quarter 2014 noninterest income growth of $10 million reflects the benefit of higher mortgage banking fee income and service charges and other fees. Noninterest expense of $609 million declined $46 million, or 7%, from second quarter 2014 driven by the impact of the Chicago Divestiture which reduced expenses by an estimated $20 million as well as lower regulatory costs and our efforts to improve efficiency. Provision for credit losses of $66 million increased $7 million, or 12%, from relatively low second quarter 2014 levels.

7

Citizens Financial Group, Inc.

Net income of $54 million for third quarter 2014 increased $2 million, or 4%, from third quarter 2013 driven by the benefit of expense discipline and a decrease in provision expense reflecting continued improvement in credit quality. Consumer Banking revenue decreased $31 million from third quarter 2013, largely reflecting the impact of the Chicago Divestiture, a change in check posting order which lowered service charges by an estimated $13 million, and the effect of the relatively persistent low-rate environment which also lowered net interest income. Noninterest expense decreased $13 million, reflecting the impact of the Chicago Divestiture, partially offset by investment in the business. Provision for credit losses of $66 million decreased $21 million, or 24%, from third quarter 2013 largely reflecting the benefit of continued improvement in credit quality.

Commercial Banking Segment

										3Q14 change from
($s in millions)	3Q14			2Q14			3Q13			2Q14						3Q13
										$			%			$			%
Net interest income	$	270		$	264		$	263		$	6			2	%	$	7			3	%
Noninterest income		104			107			93			(3	)		(3	)		11			12
Total revenue		374			371			356			3			1			18			5
Noninterest expense		162			157			156			5			3			6			4
Profit before provision for credit losses		212			214			200			(2	)		(1	)		12			6
Provision for credit losses		—			(2	)		3			2			NM			(3	)		NM
Income before income tax expense		212			216			197			(4	)		(2	)		15			8
Income tax expense		73			75			70			(2	)		(3	)		3			4
Net income	$	139		$	141		$	127		$	(2	)		(1	)%	$	12			9	%
Average balances
Total loans and leases (1)	$	37,787		$	37,389		$	34,510		$	398			1	%	$	3,277			9	%
Total deposits (1)		20,985			18,358			17,774			2,627			14	%		3,211			18	%
Key metrics
ROTCE (2)*		13.10	%		13.78	%		13.24	%		(68	) bps					(14	) bps
Efficiency ratio*		43	%		42	%		44	%		99	bps					(34	) bps

¹ Includes held for sale.

² Operating segments are allocated capital on a risk-adjusted basis considering economic and regulatory capital requirements. We approximate that regulatory capital is equivalent to a sustainable target level for common equity Tier 1 and then allocate that approximation to the segments based on economic capital.

Commercial Banking net income of $139 million in third quarter 2014 decreased $2 million from second quarter 2014 as the benefit of revenue growth was more than offset by higher other noninterest expense and provision for loan losses from unusually low second quarter levels. Net interest income grew $6 million, or 2%, driven by average loan growth in Asset Finance, Mid-Corporate, Commercial Real Estate, and Franchise Finance lines of businesses as well as the benefit of robust deposit growth and one additional business day in the quarter. Noninterest income decreased $3 million as growth in interest rate products, foreign exchange and trade finance fee income was more than offset by a decline in leasing income and capital markets fees from relatively high second quarter levels. Noninterest expense increased $5 million, or 3%, from second quarter 2014 largely reflecting a reversal of prior-period loss reserves in second quarter 2014 as well as continued investments in technology and hiring to drive future growth. The provision for credit losses was zero for third quarter 2014 as compared to a net recovery on charge-offs of $2 million in the prior quarter.

Third quarter 2014 net income increased $12 million, or 9%, compared to third quarter 2013 driven by an $18 million increase in total revenue. Net interest income increased $7 million, or 3%, from third quarter 2013 reflecting a $3.3 billion increase in loans and leases driven by strength in Mid-Corporate, Asset Finance, Commercial Real Estate, and Franchise Finance.

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Citizens Financial Group, Inc.

Noninterest income increased $11 million, or 12%, reflecting strong growth in capital markets particularly in loan syndications. Noninterest expense increased $6 million, or 4%, from third quarter 2013 driven by continued investments to enhance revenue growth including hiring and technology investments. Provision for credit losses decreased $3 million from third quarter 2013 reflecting improvement in credit quality.

Other

										3Q14 change from
($s in millions)	3Q14			2Q14			3Q13			2Q14						3Q13
										$			%			$			%
Net interest income (expense)	$	18		$	23		$	(36	)	$	(5	)		(22	)%	$	54			150	%
Noninterest income		11			297			44			(286	)		(96	)		(33	)		(75	)
Total revenue		29			320			8			(291	)		(91	)		21			263
Noninterest expense		39			136			10			(97	)		(71	)		29			290
Profit (loss) before provision for credit losses		(10	)		184			(2	)		(194	)		(105	)		(8	)		(400	)
Provision for credit losses		11			(8	)		55			19			238			(44	)		(80	)
Income (loss) before income tax expense (benefit)		(21	)		192			(57	)		(213	)		(111	)		36			63
Income tax expense (benefit)		(17	)		64			(22	)		(81	)		(127	)		5			23
Net income (loss)	$	(4	)	$	128		$	(35	)	$	(132	)		(103	)%	$	31			89	%
Average balances
Total loans and leases (1)	$	4,218		$	4,434		$	5,593		$	(216	)		(5	)%	$	(1,375	)		(25	)%
Total deposits (1)		5,082			3,627			3,149			1,455			40	%		1,933			61	%

¹ Includes held for sale.

Other recorded a net loss of $4 million in third quarter 2014 compared to net income of $128 million in second quarter 2014. Net interest income for third quarter 2014 of $18 million decreased $5 million from the prior quarter driven by continued runoff of the non-core loan portfolio, despite the benefit of one additional business day in the quarter. Noninterest expense of $39 million decreased $97 million from second quarter 2014 driven by a $94 million reduction in restructuring charges and special items. Noninterest income of $11 million decreased $286 million from second quarter 2014, reflecting the impact of the $288 million net gain on sale related to the Chicago Divestiture. Provision for credit losses in Other was $11 million in third quarter 2014 and included an $11 million reserve release. Third quarter provision for credit losses increased from a net benefit of $8 million in second quarter 2014, which included net recoveries on prior period charge-offs and a $19 million reserve release. Provision for credit losses within Other mainly represents the residual change in the consolidated allowance for credit losses after attributing the respective net charge-offs to the Consumer Banking and Commercial Banking segments, while also factoring in net charge-offs related to the non-core portfolio.

Other net loss of $4 million in the third quarter improved from a net loss of $35 million in the third quarter of 2013 driven by a $54 million increase in net interest income and $44 million decrease in provision, partially offset by lower security gains of $23 million. Excluding the restructuring charges and special items, Other net income of $9 million in third quarter 2014 increased $44 million from third quarter 2013. This was driven by higher net interest income and lower provision for credit losses, partially offset by lower noninterest income.

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Citizens Financial Group, Inc.

Consolidated balance sheet review⁽¹⁾

										3Q14 change from
($s in millions)	3Q14			2Q14			3Q13			2Q14						3Q13
										$			%			$			%
Total assets	$	131,341		$	130,279		$	120,074		$	1,062			1	%	$	11,267			9	%
Loans and leases and loans held for sale		90,957			89,091			85,800			1,866			2			5,157			6
Deposits		93,463			91,656			93,930			1,807			2			(467	)		(0	)
Average interest-earning assets (quarterly)		117,196			115,992			105,857			1,204			1			11,339			11
Tangible common equity*	$	12,900		$	13,098		$	12,861			(198	)		(2	)		39			0
Loan-to-deposit ratio (period-end)2		97.3	%		97.2	%		91.3	%		12	bps					598	bps
Tier 1 common equity ratio(3)		12.9			13.3			13.9
Total capital ratio(3)		16.1	%		16.2	%		16.3	%

¹  Represents period-end unless otherwise noted.

² Includes loans held for sale and deposits held for sale.

³  Regulatory capital ratios are preliminary.

Total assets of $131.3 billion increased $1.1 billion, or 1%, from June 30, 2014, driven by a $1.9 billion increase in loans and leases. Total assets increased $11.3 billion, or 9%, from September 30, 2013, reflecting growth in the securities portfolio and loans and leases.

Average interest-earning assets of $117.2 billion in third quarter 2014 increased $1.2 billion, or 1%, from the prior quarter, largely reflecting higher auto, residential mortgage and commercial real estate balances. Adjusted for the Chicago Divestiture, growth was 1.9%. Average interest-earning assets increased $11.3 billion, or 11%, from September 30, 2013, as higher investment securities, commercial loans and leases, automobile and mortgage balances were partially offset by the effect of higher refinancing payoffs on the home equity portfolios.

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Citizens Financial Group, Inc.

Interest-earning assets

							3Q14 change from
($s in millions)	3Q14		2Q14		3Q13		2Q14						3Q13
Period-end interest-earning assets							$			%			$			%
Investments and interest-bearing deposits	$	27,036	$	29,450	$	22,832	$	(2,414	)		(8	)%	$	4,204			18	%
Loans and leases
Commercial loans and leases		41,470		40,974		39,084		496			1			2,386			6
Retail loans		49,279		47,855		46,409		1,424			3			2,870			6
Total loans and leases		90,749		88,829		85,493		1,920			2			5,256			6
Loans held for sale		205		173		307		32			18			(102	)		(33	)
Other loans held for sale		3		89		—		(86	)		(97	)		3			NM
Total loans and leases and loans held for sale		90,957		89,091		85,800		1,866			2			5,157			6
Total period-end interest-earning assets	$	117,993	$	118,541	$	108,632	$	(548	)		(0	)%	$	9,361			9	%
Average interest-earning assets
Investments and interest-bearing deposits	$	27,343	$	26,801	$	20,988		542			2			6,355			30
Loans and leases
Commercial loans and leases		41,191		40,472		38,462		719			2			2,729			7
Retail loans		48,459		47,547		46,028		912			2			2,431			5
Total loans and leases		89,650		88,019		84,490		1,631			2			5,160			6
Loans held for sale		176		138		379		38			28			(203	)		(54	)
Other loans held for sale		27		1,034		—		(1,007	)		(97	)		27			NM
Total loans and leases and loans held for sale		89,853		89,191		84,869		662			1			4,984			6
Total average interest-earning assets	$	117,196	$	115,992	$	105,857	$	1,204			1	%	$	11,339			11	%

Investments and interest-bearing deposits totaled $27.0 billion as of September 30, 2014, down $2.4 billion from June 30, 2014, driven by a $2.4 billion reduction in interest-bearing deposits related to liquidity management strategies tied to the Chicago Divestiture. During third quarter 2014, we repositioned a portion of our agency mortgage-backed securities portfolio and recorded $2 million of securities gains. Investments and interest-bearing deposits increased $4.2 billion, or 18%, from September 30, 2013, largely related to the addition of high-quality, fixed-rate securities. At the end of third quarter 2014 the average duration of the securities portfolio was 4.0 years, which remained relatively stable with the end of the second quarter 2014, and decreased from 4.1 years at the end of third quarter 2013.

Period-end loans and leases were $90.7 billion at September 30, 2014, up $1.9 billion from $88.8 billion at June 30, 2014 and up $5.3 billion from $85.5 billion at September 30, 2013. The linked quarter increase was driven by $1.1 billion growth in auto, including $503 million in flow purchases, the purchase of $572 million in residential mortgages and commercial loan growth of $496 million. Year on year growth reflects higher commercial loans of $2.4 billion, as well as increased residential mortgage and auto loans.

Average loans and leases of $89.7 billion increased $1.6 billion from second quarter 2014 driven by increases in commercial loans, residential mortgages and auto loans. Results also reflected a $183 million decrease in the non-core portfolio. Average loans and leases were up $5.2 billion from third quarter 2013 reflecting commercial loan growth and an increase in residential mortgage and auto loans.

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Citizens Financial Group, Inc.

Deposits

							3Q14 change from
($s in millions)	3Q14		2Q14		3Q13		2Q14						3Q13
Period-end deposits							$			%			$			%
Demand deposits	$	25,877	$	26,670	$	25,919	$	(793	)		(3	)%	$	(42	)		(0	)%
Checking with interest		15,449		15,171		14,034		278			2			1,415			10
Savings		7,655		7,829		8,008		(174	)		(2	)		(353	)		(4	)
Money market accounts		32,870		31,687		34,034		1,183			4			(1,164	)		(3	)
Term deposits		11,612		10,299		11,935		1,313			13			(323	)		(3	)
Total deposits		93,463		91,656		93,930		1,807			2			(467	)		(0	)
Deposits held for sale		—		—		—		—			NM			—			NM
Total deposits and deposits held for sale	$	93,463	$	91,656	$	93,930	$	1,807			2	%	$	(467	)		(0	)%
Average deposits
Average deposits	$	91,676	$	87,623	$	93,143	$	4,053			5	%	$	(1,467	)		(2	)%
Deposits held for sale		—		4,543		—		(4,543	)		(100	)		—			NM
Total average deposits and deposits held for sale	$	91,676	$	92,166	$	93,143	$	(490	)		(1	)%	$	(1,467	)		(2	)%

Total deposits and deposits held for sale at September 30, 2014 increased $1.8 billion from June 30, 2014, reflecting growth in money market and term deposits. Third quarter 2014 period-end deposits decreased $467 million compared with third quarter 2013, driven by a $4.8 billion decrease related to the Chicago Divestiture. Third quarter 2014 average deposit balances decreased $1.5 billion from third quarter 2013, reflecting the Chicago Divestiture, partially offset by organic growth.

Borrowed funds

							3Q14 change from
($s in millions)	3Q14		2Q14		3Q13		2Q14						3Q13
Period-end borrowed funds							$			%			$		%
Federal funds purchased and securities sold under agreement to repurchase	$	5,184	$	6,807	$	3,424	$	(1,623	)		(24	)%	$	1,760		51	%
Other short-term borrowed funds		6,702		7,702		2		(1,000	)		(13	)		6,700		NM
Long-term borrowed funds		2,075		1,732		1,064		343			20			1,011		95
Total borrowed funds	$	13,961	$	16,241	$	4,490	$	(2,280	)		(14	)	$	9,471		211
Average borrowed funds	$	14,996	$	13,155	$	2,371	$	1,841			14	%	$	12,625		532	%

Total borrowed funds at September 30, 2014 decreased $2.3 billion from June 30, 2014, as we grew deposits and replaced repurchase agreement funding and other short-term borrowings. Borrowed funds increased $9.5 billion from the end of the third quarter of 2013, as we utilized borrowing capacity to fund balance sheet growth. Average borrowed funds increased $1.8 billion compared with second quarter 2014, and $12.6 billion from third quarter 2013.

Capital⁽¹⁾

										3Q14 change from
($s in millions)	3Q14			2Q14			3Q13			2Q14						3Q13
Period-end capital										$			%			$			%
Common stockholder’s equity	$	19,383		$	19,597		$	19,413		$	(214	)		(1	)%	$	(30	)		(0	)%
Tangible common equity*	$	12,900		$	13,098		$	12,861		$	(198	)		(2	)%	$	39			0	%
Tier 1 capital ratio		12.9	%		13.3	%		14.0	%
Total equity ratio		16.1			16.2			16.3
Leverage ratio		10.9			11.1			12.1
Tier 1 common equity ratio		12.9			13.3			13.9
Memo: pro forma Basel III common equity tier 1 capital ratio*		12.5	%		13.0	%		13.6	%

¹  Regulatory capital ratios are preliminary.

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Citizens Financial Group, Inc.

Capital ratios at September 30, 2014 remained well in excess of applicable regulatory requirements with a total risk-based capital ratio of 16.1% and a Tier 1 common equity ratio of 12.9%. The Tier 1 common equity ratio decreased from 13.3% at the end of the second quarter of 2014 and from 13.9% at the end of third quarter 2013. The change in this ratio reflects our objective to migrate our capital mix towards one comparable to that of our peer regional banks, while maintaining a strong capital base to support our growth aspirations, strategy and risk appetite.

During third quarter 2014, the company paid a $50 million common dividend to our majority shareholder, RBS, and issued $333 million of subordinated debt at a rate of 4.023% to RBS, in exchange for common equity which resulted in a 37 basis point decrease in our Tier 1 common equity ratio.

Subsequent to the close of the quarter, on October 8, 2014 we executed a capital exchange transaction with RBS which involved the issuance of $334 million of 10-year subordinated notes at a rate of 4.082% and the simultaneous repurchase of 14,297,761 shares of common stock owned by RBS at an average price per share of $23.36.

Credit quality review

										3Q14 change from
($s in millions)	3Q14			2Q14			3Q13			2Q14						3Q13
										$			%			$			%
Nonperforming loans and leases	$	1,079		$	1,200		$	1,691		$	(121	)		(10	)%	$	(612	)		(36	)%
Accruing loans past due 90 days or more		8			12			44			(4	)		(33	)		(36	)		(82	)
Net charge-offs		88			68			131			20			29			(43	)		(33	)
Provision for credit losses		77			49			145			28			57			(68	)		(47	)
Allowance for loan and lease losses	$	1,201		$	1,210		$	1,219		$	(9	)		(1	)%	$	(18	)		(1	)%
Total nonperforming loans and leases as a % of total loans and leases		1.19	%		1.35	%		1.98	%		(16	) bps					(79	) bps
Net charge-offs as % of total loans and leases		0.38			0.31			0.61			7	bps					(23	) bps
Allowance for loan and lease losses as a % of nonperforming loans and leases		111.30	%		100.84	%		72.06	%		1,046	bps					3,924	bps

Credit quality during the quarter remained strong with relatively low levels of charge-offs and nonperforming loans and leases. At September 30, 2014 nonperforming loans of $1.1 billion declined $121 million, or 10%, from June 30, 2014 driven by a $102 million decrease in retail and a $19 million decrease in commercial. Nonperforming loans and leases to total loans and leases improved to 1.19% at September 30, 2014 from 1.35% at June 30, 2014, and 1.98% at September 30, 2013.

Nonperforming non-core loans totaled $191 million in the third quarter of 2014 compared with $197 million in the second quarter of 2014 and $314 million in the third quarter of 2013. Nonperforming non-core loans to total non-core loans of 5.96% at September 30, 2014 compared with 5.84% at June 30, 2014 and 7.72% at September 30, 2013. Troubled debt restructured loans included $402 million of retail loans and $29 million of commercial loans, and represented 40% of total nonperforming loans and leases, compared to 41% for June 30, 2014 and 44% for September 30, 2013. Nonperforming assets decreased $620 million, or 36%, from third quarter 2013 driven by improvement in commercial real estate and residential mortgage.

Net charge-offs of $88 million in third quarter 2014 increased $20 million from second quarters levels, which were the lowest since second quarter 2006. Retail product net charge-offs of $84 million remained relatively stable compared to $81 million in the second quarter. Commercial product net charge-offs of $4 million in third quarter 2014 increased $17 million from a $13

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Citizens Financial Group, Inc.

million net recovery on prior period charge-offs in second quarter 2014. Non-core net charge offs, which are included in the product net charge-offs above, totaled $21 million in third quarter 2014 compared to $10 million in the second quarter of 2014 and $40 million in the third quarter of 2013. Annualized net charge-offs to total average loans and leases for third quarter 2014 of 38 basis points compared with relatively low 31 basis points in second quarter 2014 and 61 basis points in third quarter 2013. Annualized non-core net charge-offs to total average non-core loans and leases of 2.52% in third quarter 2014 compared with 1.13% in second quarter 2014 and 3.66% in third quarter 2013.

Provision for credit losses of $77 million in third quarter 2014 increased $28 million from second quarter 2014 moving back to more normalized levels and driving further improvement in all key coverage ratios. Third quarter 2014 results included an $11 million reserve release compared with a $19 million reserve release in second quarter 2014. Provision for credit losses decreased $68 million, or 47%, from third quarter 2013 reflecting improved credit quality. The total provision for credit losses includes the provision for loan and lease losses as well as the provision for unfunded commitments.

The allowance for loan and lease losses of $1.2 billion decreased $9 million, or 1%, from second quarter 2014, and remained relatively stable compared with third quarter 2013 reflecting continued improvement in overall credit quality, including a $34 million reduction in allowance for non-core loans from second quarter 2014. Allowance for loan and lease losses to non-performing loans and leases ratio was 111% as of September 30, 2014, up from 101% as of June 30, 2014, and 72% as of September 30, 2013. Excluding non-performing loans and leases that had been written down to a net realizable value, the allowance to nonperforming loans ratio was 262% at September 30, 2014, compared with 211% at June 30, 2014 and 113% for September 30, 2013.

Corresponding Financial Tables and Information

Investors are encouraged to review the foregoing summary and discussion of Citizens’ earnings and financial condition in conjunction with the detailed financial tables and other information available on the Investor Relations portion of the company’s website at www.citizensbank.com/about-us.

Media:     Jim Hughes - 781.751.5404

Investors: Ellen A. Taylor - 203.897.4240

Conference Call

CFG management will host a live conference call today with details as follows:

Time:                        8:30 am EDT

Dial-in:                     Individuals may call in by dialing 844-216-1659, conference ID 1646016

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Citizens Financial Group, Inc.

Webcast/Presentation: The live webcast will be available at http://www.citizensbank.com/investor-relations, under Events

Replay Information: A replay of the conference call will be available beginning at 12 pm EDT on October 27 through November 26. Please dial 888-266-2081 and enter access code # 1646016. The webcast replay will be available at http://www.citizensbank.com/investor-relations.

About Citizens Financial Group, Inc.

Citizens Financial Group, Inc. is one of the nation’s oldest and largest financial institutions, with $131.3 billion in assets as of September 30, 2014. Headquartered in Providence, Rhode Island, Citizens offers a broad range of retail and commercial banking products and services to individuals, small businesses, middle-market companies, large corporations and institutions. In Consumer Banking, Citizens helps its retail customers “bank better” with mobile and online banking, a 24/7 customer contact center and the convenience of approximately 3,200 ATMs and approximately 1,200 Citizens Bank and Charter One branches in 11 states in the New England, Mid-Atlantic and Midwest regions. Citizens also provides mortgage lending, auto lending, student lending and commercial banking services in select markets nationwide. In Commercial Banking, Citizens offers corporate, institutional and not-for-profit clients a full range of wholesale banking products and services including lending and deposits, capital markets, treasury services, foreign exchange and interest hedging, leasing and asset finance, specialty finance and trade finance.

Citizens operates through its subsidiaries Citizens Bank, N.A., and Citizens Bank of Pennsylvania. Additional information about Citizens and its full line of products and services can be found at www.citizensbank.com.

Non-GAAP Financial Measures

This document contains non-GAAP financial measures. The table below presents reconciliations of certain non-GAAP measures. These reconciliations exclude goodwill impairment, restructuring charges and/or special items, which are usually included, where applicable, in the financial results presented in accordance with GAAP. Special items include regulatory expenses and expenses related to our initial public offering.

The non-GAAP measures set forth below include “total revenue”, “noninterest income”, “ noninterest expense”, “income tax expense (benefit)”, “net income (loss)”, “salaries and employee benefits”, “outside services”, “occupancy”, “equipment expense”, “other operating expense”, “return of average common equity” and “return on average total assets”. In addition, we present computations for “return on average tangible common equity”, “return on average total tangible assets” and “efficiency ratio” as part of our non-GAAP measures.

We believe these non-GAAP measures provide useful information to investors because these are among the measures used by our management team to evaluate our operating performance and make day-to-day operating decisions. In addition, we believe goodwill impairment, restructuring charges and special items in any period do not reflect the operational performance of the business in that period and, accordingly, it is useful to consider these line items with and without goodwill impairment, restructuring charges and special items. We believe this presentation also increases comparability of period-to-period results.

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Citizens Financial Group, Inc.

We also consider pro forma capital ratios defined by banking regulators but not effective at each period end to be non-GAAP financial measures. Since analysts and banking regulators may assess our capital adequacy using these pro forma ratios, we believe they are useful to provide investors the ability to assess our capital adequacy on the same basis.

Other companies may use similarly titled non-GAAP financial measures that are calculated differently from the way we calculate such measures. Accordingly, our non-GAAP financial measures may not be comparable to similar measures used by other companies. We caution investors not to place undue reliance on such non-GAAP measures, but instead to consider them with the most directly comparable GAAP measure. Non-GAAP financial measures have limitations as analytical tools, and should not be considered in isolation, or as a substitute for our results as reported under GAAP.

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Citizens Financial Group, Inc.

Non-GAAP Reconciliation Table

Excluding restructuring charges and special items

$s in millions, except per share data

		QUARTERLY TRENDS
		3Q14			2Q14			1Q14			4Q13			3Q13
Noninterest income, excluding special items:
Noninterest income (GAAP)	A	$	341		$	640		$	358		$	379		$	383
Less: Special items - Chicago gain			—			288			—			—			—
Noninterest income, excluding special items (non-GAAP)	B	$	341		$	352		$	358		$	379		$	383
Total revenue, excluding special items:
Total revenue (GAAP)	C	$	1,161		$	1,473		$	1,166		$	1,158		$	1,153
Less: Special items - Chicago gain			—			288			—			—			—
Total revenue, excluding special items (non-GAAP)	D	$	1,161		$	1,185		$	1,166		$	1,158		$	1,153
Noninterest expense, excluding restructuring charges and special items:
Noninterest expense (GAAP)	E	$	810		$	948		$	810		$	818		$	788
Less: Restructuring charges and special expense items	HH		21			115			—			26			—
Noninterest expense, excluding restructuring charges and special items (non-GAAP)	F	$	789		$	833		$	810		$	792		$	788
Net income (loss), excluding restructuring charges and special
Net income (loss) (GAAP)	G	$	189		$	313		$	166		$	152		$	144
Add: Restructuring charges and special items, net of income			13			(108	)		—			17			—
Net income (loss), excluding restructuring charges and special items (non-GAAP)	H	$	202		$	205		$	166		$	169		$	144
Return on average common equity, excluding restructuring charges and special items:
Average common equity (GAAP)	I	$	19,411		$	19,607		$	19,370		$	19,364		$	19,627
Return on average common equity, excluding restructuring charges and special items (non-GAAP)	H/I		4.14	%		4.19	%		3.48	%		3.47	%		2.91	%
Return on average tangible common equity and return on average tangible common equity, excluding restructuring charges and special items:
Average common equity (GAAP)	I	$	19,411		$	19,607		$	19,370		$	19,364		$	19,627
Less: Average goodwill (GAAP)			6,876			6,876			6,876			6,876			6,876
Less: Average other intangibles (GAAP)			6			7			7			8			9
Add: Average deferred tax liabilities related to goodwill			384			369			351			342			325
Average tangible common equity (non-GAAP)	J	$	12,913		$	13,093		$	12,838		$	12,822		$	13,067
Return on average tangible common equity (non-GAAP)	G/J		5.81	%		9.59	%		5.24	%		4.71	%		4.34	%
Return on average tangible common equity, excluding restructuring charges and special items (non-GAAP)	H/J		6.22	%		6.28	%		5.24	%		5.24	%		4.34	%
Return on average total assets, excluding restructuring charges and special items:
Average total assets (GAAP)	K	$	128,691		$	127,148		$	123,904		$	120,393		$	117,386
Return on average total assets, excluding restructuring charges and special items (non-GAAP)	H/K		0.62	%		0.65	%		0.54	%		0.56	%		0.49	%
Return on average total tangible assets and return on average total tangible assets, excluding restructuring charges and
Average total assets (GAAP)	K	$	128,691		$	127,148		$	123,904		$	120,393		$	117,386
Less: Average goodwill (GAAP)			6,876			6,876			6,876			6,876			6,876
Less: Average other intangibles (GAAP)			6			7			7			8			9
Add: Average deferred tax liabilities related to goodwill			384			369			351			342			325
Average tangible assets (non-GAAP)	L	$	122,193		$	120,634		$	117,372		$	113,851		$	110,826
Return on average total tangible assets (non-GAAP)	G/L		0.61	%		1.04	%		0.57	%		0.53	%		0.52	%
Return on average total tangible assets, excluding restructuring charges and special items (non-GAAP)	H/L		0.66	%		0.68	%		0.57	%		0.59	%		0.52	%

17

Citizens Financial Group, Inc.

Non-GAAP Reconciliation Table

Excluding restructuring charges and special items

$s in millions, except per share data

		QUARTERLY TRENDS
		3Q14			2Q14			1Q14			4Q13			3Q13
Efficiency ratio and efficiency ratio, excluding restructuring charges and special items:
Net interest income (GAAP)		$	820		$	833		$	808		$	779		$	770
Add: Noninterest income (GAAP)			341			640			358			379			383
Total revenue (GAAP)	C	$	1,161		$	1,473		$	1,166		$	1,158		$	1,153
Efficiency ratio (non-GAAP)	E/C		69.84	%		64.33	%		69.43	%		70.62	%		68.49	%
Efficiency ratio, excluding restructuring charges and special items (non-GAAP)	F/D		68.02	%		70.23	%		69.43	%		68.35	%		68.49	%
Net income (loss) per average common share - basic and diluted, excluding restructuring charges and special items:
Average common shares outstanding - basic (GAAP)	M		559,998,324			559,998,324			559,998,324			559,998,324			559,998,324
Average common shares outstanding - diluted (GAAP)	N		560,243,747			559,998,324			559,998,324			559,998,324			559,998,324
Net income (loss) applicable to common stockholders (GAAP)	O		189			313			166			152			144
Net income (loss) per average common share - basic (GAAP)	O/M		0.34			0.56			0.30			0.27			0.26
Net income (loss) per average common share - diluted (GAAP)	O/N		0.34			0.56			0.30			0.27			0.26
Net income (loss) applicable to common stockholders, excluding restructuring charges and special items (non-GAAP)	P		202			205			166			169			144
Net income per average common share - basic, excluding restructuring charges and special items (non-GAAP)	P/M		0.36			0.37			0.30			0.30			0.26
Net income per average common share - diluted, excluding restructuring charges and special items (non-GAAP)	P/N		0.36			0.37			0.30			0.30			0.26
Pro forma Basel III common equity Tier 1 capital ratio:
Tier 1 common capital (regulatory)		$	13,330		$	13,448		$	13,460		$	13,301		$	13,489
Add: Change in DTA and other threshold deductions (GAAP)			(5	)		(7	)		(7	)		6			—
Basel III common equity Tier 1 (non-GAAP)	Q	$	13,335		$	13,455		$	13,467		$	13,295		$	13,489
Risk-weighted assets (regulatory general risk weight approach)			103,207			101,397			100,368			98,634			96,735
Net change in credit and other risk-weighted assets (GAAP)			3,207			2,383			2,450			2,687			2,768
Basel III standardized approach risk-weighted assets (non- GAAP)	R	$	106,414		$	103,780		$	102,818		$	101,321		$	99,503
Pro forma Basel III common equity Tier 1 capital ratio (non- GAAP)	Q/R		12.5	%		13.0	%		13.1	%		13.1	%		13.6	%
Salaries and employee benefits, excluding restructuring charges and special items:
Salaries and employee benefits (GAAP)	S	$	409		$	467		$	405		$	391		$	403
Less: Restructuring charges and special items			—			43			—			5			—
Salaries and employee benefits, excluding restructuring charges and special items (non-GAAP)	T	$	409		$	424		$	405		$	386		$	403
Outside services, excluding restructuring charges and special
Outside services (GAAP)	U	$	106		$	125		$	83		$	101		$	87
Less: Restructuring charges and special items			19			41			—			—			—
Outside services, excluding restructuring charges and special items (non-GAAP)	V	$	87		$	84		$	83		$	101		$	87
Occupancy, excluding restructuring charges and special items: Occupancy (GAAP)	W	$	77		$	87		$	81		$	83		$	80
Less: Restructuring charges and special items			2			9			—			11			—
Occupancy, excluding restructuring charges and special items (non-GAAP)	X	$	75		$	78		$	81		$	72		$	80
Equipment expense, excluding restructuring charges and special items:
Equipment expense (GAAP)	Y	$	58		$	65		$	64		$	68		$	69
Less: Restructuring charges and special items			—			3			—			7			—
Equipment expense, excluding restructuring charges and special items (non-GAAP)	Z	$	58		$	62		$	64		$	61		$	69

18

Citizens Financial Group, Inc.

Non-GAAP Reconciliation Table

Excluding restructuring charges and special items

$s in millions, except per share data

		QUARTERLY TRENDS
		3Q14			2Q14			1Q14			4Q13			3Q13
Other operating expense, excluding restructuring charges and special items:
Other operating expense (GAAP)	AA	$	122		$	171		$	146		$	143		$	123
Less: Restructuring charges and special items			—			19			—			3			—
Other operating expense, excluding restructuring charges and special items (non-GAAP)	BB	$	122		$	152		$	146		$	140		$	123
Pre-provision profit, excluding restructuring charges and special items:
Total revenue, excluding restructuring charges and special items (non-GAAP)	D	$	1,161		$	1,185		$	1,166		$	1,158		$	1,153
Less: Noninterest expense, excluding restructuring charges and special items (non-GAAP)	F		789			833			810			792			788
Pre-provision profit, excluding restructuring charges and special items (non-GAAP)	CC	$	372		$	352		$	356		$	366		$	365
Income before income tax expense (benefit), excluding restructuring charges and special items
Income before income tax expense (benefit) (GAAP)	DD	$	274		$	476		$	235		$	208		$	220
Less: Income before income tax expense (benefit) related to restructuring charges and special items (GAAP)			(21	)		173			—			(26	)		—
Income before income tax expense (benefit), excluding restructuring charges and special items (non-GAAP)	EE	$	295		$	303		$	235		$	234		$	220
Income tax expense (benefit), excluding restructuring charges and special items:
Income tax expense (benefit) (GAAP)	FF	$	85		$	163		$	69		$	56		$	76
Less: Income tax (benefit) related to restructuring charges and special items (GAAP)			(8	)		65			—			(9	)		—
Income tax expense (benefit), excluding restructuring charges and special items (non-GAAP)	GG	$	93		$	98		$	69		$	65		$	76
Restructuring charges and special expense items include:
Goodwill impairment			—			—			—			—			—
Restructuring charges			1			103			—			26			—
Special items			20			12			—			—			—
Restructuring charges and special expense items	HH	$	21		$	115			—		$	26			—
Tangible Common Equity (period-end):
Stockholders’ equity		$	19,383		$	19,597		$	19,442		$	19,196		$	19,413
Less: Goodwill			(6,876	)		(6,876	)		(6,876	)		(6,876	)		(6,876	)
Less: Other intangible assets			(6	)		(7	)		(7	)		(8	)		(9	)
Add: Deferred tax liabilities			399			384			366			350			333
Total tangible common equity	II	$	12,900		$	13,098		$	12,925		$	12,662		$	12,861

19

Citizens Financial Group, Inc.

Non-GAAP Measures by Segments

$s in millions

		Three Months Ended September 30, 2014												Three Months Ended June 30, 2014
		Consumer Banking			Commercial Banking			Other			Consolidated			Consumer Banking			Commercial Banking			Other			Consolidated
Net income (loss) (GAAP)	A	$	54		$	139		($	4	)	$	189		$	44		$	141		$	128		$	313
Return on average tangible common equity
Average common equity (GAAP)	B	$	4,685		$	4,205		$	10,521		$	19,411		$	4,640		$	4,129		$	10,838		$	19,607
Less: Average goodwill (GAAP)			—			—			6,876			6,876			—			—			6,876			6,876
Average other intangibles (GAAP)			—			—			6			6			—			—			7			7
Add: Average deferred tax liabilities related to goodwill (GAAP)			—			—			384			384			—			—			369			369
Average tangible common equity (non-GAAP)	C	$	4,685		$	4,205		$	4,023		$	12,913		$	4,640		$	4,129		$	4,324		$	13,093
Return on average tangible common equity (non-GAAP)	A/C		4.57	%		13.10	%		NM			5.81	%		3.87	%		13.78	%		NM			9.59	%
Efficiency ratio
Noninterest expense (GAAP)	D	$	609		$	162		$	39		$	810		$	655		$	157		$	136		$	948
Net interest income (GAAP)			532			270			18			820			546			264			23			833
Noninterest income (GAAP)			226			104			11			341			236			107			297			640
Total revenue	E	$	758		$	374		$	29		$	1,161		$	782		$	371		$	320		$	1,473
Efficiency ratio (non-GAAP)	D/E		80.42	%		43.35	%		NM			69.84	%		83.61	%		42.36	%		NM			64.33	%
		Three Months Ended March 31, 2014												Three Months Ended December 31, 2013
		Consumer Banking			Commercial Banking			Other			Consolidated			Consumer Banking			Commercial Banking			Other			Consolidated
Net income (loss) (GAAP)	A	$	32		$	141		($	7	)	$	166		$	50		$	123		($	21	)	$	152
Return on average tangible common equity
Average common equity (GAAP)	B	$	4,568		$	4,023		$	10,779		$	19,370		$	4,448		$	3,978		$	10,938		$	19,364
Less: Average goodwill (GAAP)			—			—			6,876			6,876			—			—			6,876			6,876
Average other intangibles (GAAP)			—			—			7			7			—			—			8			8
Add: Average deferred tax liabilities related to goodwill (GAAP)			—			—			351			351			—			—			342			342
Average tangible common equity (non-GAAP)	C	$	4,568		$	4,023		$	4,247		$	12,838		$	4,448		$	3,978		$	4,396		$	12,822
Return on average tangible common equity (non-GAAP)	A/C		2.81	%		14.17	%		NM			5.24	%		4.40	%		12.10	%		NM			4.71	%
Efficiency ratio
Noninterest expense (GAAP)	D	$	638		$	153		$	19		$	810		$	638		$	164		$	16		$	818
Net interest income (GAAP)			537			256			15			808			543			260			(24	)		779
Noninterest income (GAAP)			219			107			32			358			235			105			39			379
Total revenue	E	$	756		$	363		$	47		$	1,166		$	778		$	365		$	15		$	1,158
Efficiency ratio (non-GAAP)	D/E		84.39	%		42.13	%		NM			69.43	%		81.84	%		44.73	%		NM			70.62	%
		Three Months Ended September 30, 2013
		Consumer Banking			Commercial Banking			Other			Consolidated
Net income (loss) (GAAP)	A	$	52		$	127		($	35	)	$	144
Return on average tangible common equity
Average common equity (GAAP)	B	$	4,403		$	3,855		$	11,369		$	19,627
Less: Average goodwill (GAAP)			—			—			6,876			6,876
Average other intangibles (GAAP)			—			—			9			9
Add: Average deferred tax liabilities related to goodwill (GAAP)			—			—			325			325
Average tangible common equity (non-GAAP)	C	$	4,403		$	3,855		$	4,809		$	13,067
Return on average tangible common equity (non-GAAP)	A/C		4.69	%		13.24	%		NM			4.34	%
Efficiency ratio
Noninterest expense (GAAP)	D	$	622		$	156		$	10		$	788
Net interest income (GAAP)			543			263			(36	)		770
Noninterest income (GAAP)			246			93			44			383
Total revenue	E	$	789		$	356		$	8		$	1,153
Efficiency ratio (non-GAAP)	D/E		78.83	%		43.69	%		NM			68.49	%

20

Citizens Financial Group, Inc.

Forward-Looking Statements

This document contains forward-looking statements within the Private Securities Litigation Reform Act of 1995. Statements regarding potential future share repurchases and future dividends 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,” “goals,” “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. Our statements speak as of the date hereof, and we do not assume any obligation to update these statements or to update the reasons why actual results could differ from those contained in such statements in light of new information or future events. We caution you, therefore, against relying on any of these forward-looking statements. They are neither statements of historical fact nor guarantees or assurances of future performance. While there is no assurance that any list of risks and uncertainties or risk factors is complete, important factors that could cause actual results to differ materially from those in the forward-looking statements include the following, without limitation:

• negative economic conditions that adversely affect the general economy, housing prices, the job market, consumer confidence and spending habits which may affect, among other things, the level of nonperforming assets, charge-offs and provision expense;

• the rate of growth in the economy and employment levels, as well as general business and economic conditions;

• our ability to implement our strategic plan, including the cost savings and efficiency components, and achieve our indicative performance targets;

• our ability to remedy regulatory deficiencies and meet supervisory requirements and expectations;

• liabilities resulting from litigation and regulatory investigations;

• our capital and liquidity requirements (including under regulatory capital standards, such as the Basel III capital standards) and our ability to generate capital internally or raise capital on favorable terms;

• the effect of the current low interest rate environment or changes in interest rates on our net interest income, net interest margin and our mortgage originations, mortgage servicing rights and mortgages held for sale;

• changes in interest rates and market liquidity, as well as the magnitude of such changes, which may reduce interest margins, impact funding sources and affect the ability to originate and distribute financial products in the primary and secondary markets;

• the effect of changes in the level of checking or savings account deposits on our funding costs and net interest margin;

• financial services reform and other current, pending or future legislation or regulation that could have a negative effect on our revenue and businesses, including the Dodd-Frank Act and other legislation and regulation relating to bank products and services;

• a failure in or breach of our operational or security systems or infrastructure, or those of our third party vendors or other service providers, including as a result of cyber attacks;

21

Citizens Financial Group, Inc.

• management’s ability to identify and manage these and other risks; and

• any failure by us to successfully replicate or replace certain functions, systems and infrastructure provided by RBS.

In addition to the above factors, we also caution that the amount and timing of any future common stock dividends will depend on our financial condition, earnings, cash needs, regulatory constraints, capital requirements (including requirements of our subsidiaries), and any other factors that our Board of Directors deems relevant in making such a determination. Therefore, there can be no assurance that we will pay any dividends to holders of our common stock, or as to the amount of any such dividends. In addition, the timing and manner of the sale of RBS’s remaining ownership of our common stock remains uncertain, and we have no control over the manner in which RBS may seek to divest such remaining shares. Any such sale would impact the price of our shares of common stock.

More information about factors that could cause actual results to differ materially from those described in the forward-looking statements can be found under “Risk Factors” in our Registration Statement on Form S-1 filed with the United States Securities and Exchange Commission and declared effective on September 23, 2014.

Note: Percentage changes, per share amounts, and ratios presented in this document are calculated using whole dollars.

22

EX-99.2

3Q14 Financial Results

October 27, 2014

Exhibit 99.2

Forward-looking statements

1

Note: Percentage changes, per share amounts, and ratios presented in this document are calculated using whole dollars.

This document contains forward-looking statements within the Private Securities Litigation Reform Act of 1995. Statements regarding potential future share repurchases and future

dividends 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,” “goals,” “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. Our statements speak as

of the date hereof, and we do not assume any obligation to update these statements or to update the reasons why actual results could differ from those contained in such

statements in light of new information or future events. We caution you, therefore, against relying on any of these forward-looking statements. They are neither statements of

historical fact nor guarantees or assurances of future performance. While there is no assurance that any list of risks and uncertainties or risk factors is complete, important factors

that could cause actual results to differ materially from those in the forward-looking statements include the following, without limitation:

•

negative economic conditions that adversely affect the general economy, housing prices, the job market, consumer confidence and spending habits which may affect,

among other things, the level of nonperforming assets, charge-offs and provision expense;

•

the rate of growth in the economy and employment levels, as well as general business and economic conditions;

•

our ability to implement our strategic plan, including the cost savings and efficiency components, and achieve our indicative performance targets;

•

our ability to remedy regulatory deficiencies and meet supervisory requirements and expectations;

•

liabilities resulting from litigation and regulatory investigations;

•

our capital and liquidity requirements (including under regulatory capital standards, such as the Basel III capital standards) and our ability to generate capital internally or

raise capital on favorable terms;

•

the effect of the current low interest rate environment or changes in interest rates on our net interest income, net interest margin and our mortgage originations, mortgage

servicing rights and mortgages held for sale;

•

changes in interest rates and market liquidity, as well as the magnitude of such changes, which may reduce interest margins, impact funding sources and affect the ability to

originate and distribute financial products in the primary and secondary markets;

•

the effect of changes in the level of checking or savings account deposits on our funding costs and net interest margin;

•

financial services reform and other current, pending or future legislation or regulation that could have a negative effect on our revenue and businesses, including the Dodd-

Frank Act and other legislation and regulation relating to bank products and services;

•

a failure in or breach of our operational or security systems or infrastructure, or those of our third party vendors or other service providers, including as a result of cyber

attacks;

•

management’s ability to identify and manage these and other risks; and

•

any failure by us to successfully replicate or replace certain functions, systems and infrastructure provided by The Royal Bank of Scotland Group plc (RBS).

In addition to the above factors, we also caution that the amount and timing of any future common stock dividends will depend on our financial condition, earnings, cash needs,

regulatory constraints, capital requirements (including requirements of our subsidiaries), and any other factors that our Board of Directors deems relevant in making such a

determination. Therefore, there can be no assurance that we will pay any dividends to holders of our common stock, or as to the amount of any such dividends. In addition, the

timing and manner of the sale of RBS's remaining ownership of our common stock remains uncertain, and we have no control over the manner in which RBS may seek to divest

such remaining shares. Any such sale would impact the price of our shares of common stock.

More information about factors that could cause actual results to differ materially from those described in the forward-looking statements can be found under “Risk Factors” in our

Registration Statement on Form S-1 filed with the United States Securities and Exchange Commission and declared effective on September 23, 2014.

3Q14 highlights

2

Improving

profitability and

returns

GAAP EPS of $0.34; Adjusted EPS

1

of $0.36 up 38% from 3Q13

Adjusted ROTCE

1

of 6.2% vs. 4.3% in 3Q13

YoY average loan growth of 6% drives 6% growth in NII

Benefit of growth and efficiency initiatives driving underlying sequential quarter PPNR improvement

Strong capital,

liquidity, and

funding

Excellent credit

quality and

progress on risk

management

Driving growth

and efficiency

initiatives

Robust capital levels with a Tier 1 Common Equity Ratio of 12.9%

2

Period-end deposits increased $1.8 billion, or 2% vs. 2Q14; Loan-to-deposit ratio remained stable at 97%

Successfully executed remaining 2014 capital transactions; repurchased 14.3 million shares in early

4Q14

Strong balance sheet supports targeted future loan growth

Continued strong credit quality with NPLs down 10% from 2Q14 and

NPL coverage of 111%

Net

charge-off

ratio

of

0.38%,

up

7

bps

from

7-year

record

low

2Q14

levels;

down

23

bps

from

3Q13

Allowance for loan and lease losses of 1.32%

Continued progress in Mortgage, Business Banking and Wealth hiring

Leveraging Auto and Student platforms; launched attractive student loan re-finance product

Commercial lending momentum continues, #5 middle market book runner rank in 3Q14

Expense initiatives implementation on track

Regulatory capital ratios are preliminary.

2

Adjusted results are non-GAAP items and exclude the effect of net restructuring charges and special items associated with Chicago Divestiture, efficiency and effectiveness

programs and separation from RBS. See important information on use of Non-GAAP items on pages 27-31. “Chicago Divestiture“ refers to the sale of the Chicago-area

Charter One branches, small business and select middle market relationships.

1

3Q14 financial summary –

GAAP

3

1

Non-GAAP item. See important information on use of Non-GAAP items on pages 27-31.

2

Includes held for sale.

3

Return on average tangible common equity.

4

Return on average total tangible assets.

5

Full-time equivalent employees.

Linked Quarter:

Net income down 40% from 2Q14 which

included $108 million net benefit from

restructuring charges and special items

Net interest income down 2% as the benefit

of earning asset growth and one additional

business day in the quarter was more than

offset by effect of the Chicago Divestiture

and lower loan yields and deposit spreads

Chicago Divestiture reduced NII by an

estimated $13 million

Noninterest income down $299 million

driven by effect of 2Q14 Chicago

Divestiture net gain of $288 million

Chicago Divestiture reduced noninterest

income by an estimated $12 million

Expense management initiatives gaining

traction

Noninterest expense down $138

million; $94 million reduction in

restructuring charges and special items

Chicago Divestiture reduced noninterest

expense by an estimated $21 million

Prior Year Quarter:

Net income up 31%

NII up 6% from 3Q13

Provision lower by 47%

Highlights

3Q14 change from

$s in millions

3Q14

2Q14

3Q13

2Q14

3Q13

$

%

$

%

167

Net interest income

820

$   

833

$   

770

$   

(13)

$    

(2) %

50

$      

6  %

168

Noninterest income

341

640

383

(299)

(47) %

(42)

(11) %

169

Total revenue

1,161

1,473

1,153

(312)

(21) %

8

1  %

170

Noninterest expense

810

948

788

(138)

(15) %

22

3  %

171

Pre-provision profit

351

525

365

(174)

(33) %

(14)

(4) %

172

Provision for credit losses

77

49

145

28

57  %

(68)

(47) %

173

Income before income tax expense

274

476

220

(202)

(42) %

54

25  %

174

Income tax expense

85

163

76

(78)

(48) %

9

12  %

175

Net income (loss)

189

$   

313

$   

144

$   

(124)

$  

(40) %

45

$      

31  %

$s in billions

176

Average interest earning assets

117

$   

116

$   

106

$   

1

$        

1  %

11

$      

11  %

177

Average deposits

2

92

92

93

(0)

(1) %

(1)

(2) %

Key metrics

178

Net interest margin

2.77

%

2.87

%

2.88

%

(10)

bps

(11)

bps

109

Loan-to-deposit ratio (period-end)

2

97.32

%

97.20

%

91.34

%

12

bps

598

bps

180

ROTCE

1,3

5.81

%

9.59

%

4.34

%

(378)

bps

147

bps

181

ROTA

1,4

0.61

%

1.04

%

0.52

%

(43)

bps

9

bps

182

Efficiency ratio

1

70

%

64

%

68

%

551

bps

135

bps

183

FTEs

5

17,852

18,049

18,961

(197)

(1) %

(1,109)

(6) %

Per common share

156

Diluted earnings

0.34

$  

0.56

$  

0.26

$  

(0.22)

$

(39) %

0.08

$  

31  %

157

Tangible book value

23.04

$

23.39

$

22.97

$

(0.35)

$

(1) %

0.07

$  

—

%

158

Average diluted shares outstanding

(in millions)

560.2

560.0

560.0

0.2

—

%

0.2

—

%

Restructuring charges and special items

4

3Q14 results included restructuring charges and special items related to enhancing efficiencies and improving processes

across the organization and separation from The Royal Bank of Scotland Group plc (“RBS”).

Expect to utilize the balance of the gain to continue to reinvest to drive future growth, and to fund an additional $35-$45

million of further restructuring charges and special expense items in 4Q14, and $30-$40 million in 1H15.

As of and for the three months ended

Restructuring charges and special items

($s in millions, except per share data)

pre-tax

after-tax

pre-tax

after-tax

pre-tax

after-tax

Noninterest income special items:

Other income

Net Gain on Chicago Divestiture

—

$            

—

$            

288

$        

180

$        

(288)

$      

(180)

$      

Total noninterest income special items

—

$            

—

$            

288

$        

180

$        

(288)

$      

(180)

$      

Noninterest expense restructuring charges and special items:

Salaries and employee benefits

Chicago Divestiture

—

$            

—

$            

3

$              

2

$              

(3)

$            

(2)

$            

Efficiency initiatives

—

—

40

25

(40)

(25)

Non-compensation expense

Chicago Divestiture

—

—

14

9

(14)

(9)

Efficiency initiatives

4

3

46

28

(42)

(25)

Separation / IPO related

2

1

6

4

(4)

(3)

Other

15

9

6

4

9

5

Total noninterest expense restructuring charges and special items

21

$           

13

$           

115

$        

72

$           

(94)

$         

(59)

$         

Net restructuring charges and special items

(21)

$         

(13)

$         

173

$        

108

$        

(194)

$      

(121)

$      

EPS impact

(0.02)

$     

0.19

$      

(0.21)

$     

September 30, 2014

June 30, 2014

increase/decrease

Adjusted

3Q14

financial

summary

-

excluding

restructuring

charges

and

special

items

1

5

1

Non-GAAP item. Adjusted results exclude the effect of net restructuring charges and special items associated with Chicago Divestiture, efficiency

and effectiveness programs and separation from RBS. See important information on use of Non-GAAP items on pages 27-31.

2

Includes held for sale.

3

Return on average tangible common equity.

4

Return on average total tangible assets.

5

Full-time equivalent employees.

Linked quarter:

Adjusted net income down $3 million

largely driven by effect of unusually low

2Q14 provision expense

Adjusted pre-provision profit up 6%

Adjusted revenue down $24 million

driven by an estimated $25 million

related to Chicago Divestiture

Adjusted NII stable excluding the

impact of the Chicago Divestiture

Adjusted noninterest income down

$11 million driven by effect of

Chicago Divestiture and 2Q14 loan

sale gain

Adjusted noninterest expense down $44

million, driven by an estimated $21

million from the Chicago Divestiture as

well as lower regulatory costs and

incentives expense

Adjusted efficiency ratio improved 221

bps

Prior Year Quarter:

Net income up $58 million reflecting

positive operating leverage and a $68

million reduction in provision expense

Highlights

$106B

$109B

$113B

$116B

$117B

$770

$779

$808

$833

$820

3Q13

4Q13

1Q14

2Q14

3Q14

$s in billions

3Q13

4Q13

1Q14

2Q14

3Q14

210

Retail Loans

$46.0

$46.3

$46.4

$47.5

$48.5

211

Commercial Loans

38.5

39.5

39.7

40.5

41.2

212

Investments and interest

bearing deposits

21.0

22.9

25.2

26.8

27.3

213

Loans held for sale¹

0.4

0.3

1.2

1.2

0.2

214

Total interest-earning assets

$105.9

$109.0

$112.5

$116.0

$117.2

Net interest income

Linked quarter:

NII down $13 million driven by the effect of Chicago

Divestiture and higher 2Q14 loan recoveries

Estimated $13 million decrease related to Chicago

Divestiture and $7 million decrease related to 2Q14

commercial loan interest recoveries

Excluding the above decreases, NII growth of $7 million

reflects the benefit of a 2% increase in earning assets,

deposit growth, a reduction in pay-fixed swap costs and

one additional business day in the quarter

NIM decreased 10 bps to 2.77%

2Q14 included an estimated 4 bps benefit related to

the Chicago Divestiture and commercial loan interest

recoveries related to prior period charge-offs

Remaining 6 bps decrease largely reflects effect of the

relatively persistent low-rate environment, spread

compression in Commercial and issuance of sub-debt

partially offset by the benefit of lower pay-fixed swap

costs

6

Highlights

Net interest income

$s in millions

Average interest-earning assets

Average interest earning assets

Net interest income

Net interest margin

2.88%

2.83%

2.89%

2.87%

2.77%

$820

2

1

1Q14 and 2Q14 include other loans held for sale associated with Chicago Divestiture.

2

Represents estimated underlying net interest income adjusted for the effect of Chicago Divestiture.

$341

$352

$383

3Q14

2Q14

3Q13

Service charges and fees

Card fees

Trust and inv services

FX & trade finance fees

Mortgage banking fees

Capital markets fee income

Securities gains (losses)

Other income

Adjusted noninterest income –

excluding special items

Linked quarter:

Adjusted noninterest income down $11 million from

higher 2Q14 which included:

—

Estimated $12 million associated with Chicago

Divestiture including $6 million in service charges and

fees/$3 million card fees

—

$9 million gain on sale of student loans

Excluding these items, Adjusted noninterest income

was up around $10 million.

—

Underlying service charge growth reflecting

seasonality and the benefit of checking account

growth

—

Card fees were flat excluding the impact of the

Chicago Divestiture

—

Mortgage fees up $7 million reflecting the benefit of

MSR recapture as well as higher volume from growth

initiatives

—

Foreign exchange and trade finance fees up $4

million driven by improved cross-sell and market

conditions

—

Leasing and capital markets fees down from strong

2Q14

Prior year quarter:

Adjusted noninterest income down $42 million from

3Q13 as strength in capital markets was more than

offset by a $31 million decrease in securities gains

and other income, and lower service charges driven

by check-posting order changes

7

Highlights

1

Non-GAAP item. Adjusted results exclude the effect of net restructuring charges and special items associated with Chicago Divestiture,

efficiency and effectiveness programs and separation from RBS. See important information on use of Non-GAAP items on pages 27-31.

2

Other income includes interest rate product fees, leasing income, bank owned life insurance, and other income.

3

Non-GAAP item. Excludes impact of $288 million gain from Chicago Divestiture.

4

Excluding estimated impact of Chicago Divestiture.

2,3

$340

4

1

3Q14 change from

$s in millions

3Q14

2Q14

3Q13

2Q14

3Q13

$

%

$

%

215

Service charges and fees

144

$    

147

$    

163

$    

(3)

$       

(2) %

(19)

$    

(12) %

216

Card fees

58

61

63

(3)

(5) %

(5)

(8) %

217

Trust & investment services fees

39

42

39

(3)

(7) %

—

—

%

218

FX & trade finance fees

26

22

25

4

18  %

1

4  %

219

Mortgage banking fees

21

14

20

7

50  %

1

5  %

220

Capital markets fees

22

26

11

(4)

(15) %

11

100  %

221

Securities gains, net

2

—

25

2

NM    

(23)

(92) %

222

Adjusted other income

2,3

29

40

37

(11)

(28) %

(8)

(22) %

223

Adjusted noninterest income

1

341

$    

352

$    

383

$    

(11)

$    

(3) %

(42)

$    

(11) %

224

Chicago Divestiture net gain

—

288

—

(288)

(100) %

—

NM   

225

Noninterest income

341

$    

640

$    

383

$    

(299)

$  

(47) %

(42)

$    

(11) %

Adjusted noninterest expense –

excluding restructuring charges and special items

Adjusted noninterest expense down

$44 million driven by an estimated $21

million decrease tied to the Chicago

Divestiture as well as lower regulatory

costs and the benefit of efficiency

initiatives

—

Salaries and benefits down $15

million driven by an estimated $12

million impact from the Chicago

Divestiture as well as lower

incentive and benefits expense

—

FTEs down 197 reflecting the

benefits of our efficiency

initiatives

—

Outside services increased $3

million, primarily due to

investments to drive future expense

reductions

—

Adjusted other expense down $30

million primarily due to lower

regulatory costs

8

Highlights

2

2

$812

3

1

3Q14 change from

$s in millions

3Q14

2Q14

3Q13

2Q14

3Q13

$

%

$

%

235

Adjusted salary and benefits

1

409

$    

424

$    

403

$       

(15)

$    

(4) %

6

$         

1  %

236

Adjusted outside services

1,2

87

84

87

3

4  %

—

—

%

237

Adjusted occupancy

1

75

78

80

(3)

(4) %

(5)

(6) %

238

Adjusted equipment expense

1

58

62

69

(4)

(6) %

(11)

(16) %

239

Amortization of software

38

33

26

5

15  %

12

46  %

240

Adjusted other expense

1,3

122

152

123

(30)

(20) %

(1)

(1) %

241

Adjusted noninterest expense

1

789

$    

833

$    

788

$       

(44)

$    

(5) %

1

$         

0  %

242

Restructuring charges and special items

21

115

—

(94)

(82) %

21

NM   

243

Total noninterest expense

810

$    

948

$    

788

$       

(138)

$  

(15) %

22

$       

3  %

$789

$833

$788

68%

70%

68%

3Q14

2Q14

3Q13

Adjusted salary and benefits

Adjusted occupancy & equip

Adjusted all other

Adjusted efficiency ratio

1

Non-GAAP item. Adjusted results exclude the effect of net restructuring charges and special items associated with Chicago Divestiture, efficiency and effectiveness

programs and separation from RBS. See important information on use of Non-GAAP items on pages 27-31. Excludes restructuring charges and special items of: salaries 

and benefits of $43 million in 2Q14, outside services of $19 million in 3Q14 and $41 million in 2Q14, occupancy of $2 million in 3Q14 and $9 million in 2Q14, 

equipment of $3 million in 2Q14 and other expense of $19 million in 2Q14.

2

Excludes restructuring charges and special items.

3

Excluding estimated impact of Chicago Divestiture.

Consolidated 3Q14 average balance sheet

Total earning assets up 1% linked

quarter and 11% YoY despite $1.0

billion decrease from Chicago

Divestiture; underlying up 1.9% linked

quarter

—

Commercial loans up $719 million

from 2Q14, driven by strength in

Asset Finance, Mid-Corporate,

Commercial Real Estate, and

Franchise Finance lines of

businesses

—

Retail loans up $912 million driven

by growth in auto and mortgage

partially offset by a reduction in

non-core loans and the 2Q14 sale

of $398 million student loan

portfolio

Total deposits decreased 1% given $4.8

billion impact from Chicago Divestiture,

largely offset by organic growth

—

$1.1 billion increase in low-cost

core deposits

—

$3.0 billion increase in money

market and CDs driven by

commercial deposits

Borrowed funds up $1.8 billion driven

by balance sheet growth, sub-debt

issuance

9

Highlights

$117.2 billion

Interest-earning assets

$106.7 billion

Deposits/borrowed funds

Total

Consumer

42%

Total

Commercial

35%

1

Low-cost core deposits include demand, checking with interest, and regular savings.

2

Total deposits includes deposits held for sale.

CRE

Other

Comml

Residential

mortgage

Total home

equity

Automobile

Other

consumer

Investments

Retail /

Personal

Comml /

Municipal

Wholesale

3Q14 change from

$s in billions

3Q14

2Q14

3Q13

2Q14

3Q13

$

%

$

%

265

Investments and interest bearing

deposits

27.3

$  

26.8

$  

21.0

$  

0.5

$     

2  %

6.4

$     

30  %

266

Total commercial loans

41.2

40.5

38.5

0.7

2  %

2.7

7  %

267

Total retail loans

48.5

47.5

46.0

0.9

2  %

2.4

5  %

268

Total loans and leases

89.7

88.0

84.5

1.6

2  %

5.2

6  %

269

Loans held for sale

0.2

1.2

0.4

(1.0)

(83) %

(0.2)

(46) %

270

Total interest-earning assets

117.2

116.0

105.9

1.2

1  %

11.3

11  %

271

Total noninterest-earning assets

11.5

11.2

11.5

0.3

3  %

(0.0)

(0) %

272

Total assets

128.7

$

127.1

$

117.4

$

1.5

$     

1  %

11.3

$  

10  %

273

Low-cost core deposits

1

48.7

47.6

47.6

1.1

2  %

1.1

2  %

274

Money market deposits

32.4

30.6

34.2

1.8

6  %

(1.9)

(5) %

275

Term deposits

10.6

9.4

11.3

1.2

13  %

(0.7)

(6) %

Held for sale

—

4.5

—

(4.5)

(100) %

—

NM   

276

Total deposits

2

91.7

$  

92.2

$  

93.1

$  

(0.5)

$   

(1) %

(1.5)

$   

(2) %

277

Total borrowed funds

15.0

13.2

2.4

1.8

14  %

12.6

532  %

278

Total liabilities

109.3

$

107.5

$

97.8

$  

1.7

$     

2  %

11.5

$  

12  %

279

Total stockholders' equity

19.4

19.6

19.6

(0.2)

(1) %

(0.2)

(1) %

280

Total liabilities and equity

128.7

$

127.1

$

117.4

$

1.5

$     

1  %

11.3

$  

10  %

$44.8B

$44.8B

$46.2B

$47.4B

$47.8B

3.69%

3.68%

3.70%

3.69%

3.67%

3Q13

4Q13

1Q14

2Q14

3Q14

Total loans and leases

Loan yields

$34.5B

$35.7B

$36.6B

$37.4B

$37.8B

2.88%

2.74%

2.71%

2.67%

2.61%

3Q13

4Q13

1Q14

2Q14

3Q14

Total loans and leases

Loan yields

$5.6B

$5.6B

$4.6B

$4.4B

$4.2B

4.47%

4.28%

4.46%

4.99%

4.30%

3Q13

4Q13

1Q14

2Q14

3Q14

Total loans and leases

Loan yields

Total average loans and leases and LHFS

Linked Quarter:

Consumer Banking segment loans increased $480 million

despite $595 million decrease from Chicago Divestiture and

2Q14 sale of a $394 million student loan portfolio given

increases in auto and mortgage

Purchased $572 million and $395 million of residential

mortgages in 3Q14 and 2Q14, respectively

Purchased $503 million and $557 million in auto loans in

3Q14 and 2Q14, respectively

Consumer loan yields decreased 2 bps reflecting shift in

loan mix and the impact of the persistent low-rate

environment

Commercial Banking segment loans increased $398 million

on strength in Asset Finance, Mid-Corporate, Commercial

Real Estate, and Franchise Finance lines of businesses

Loan yields decreased 6 bps reflecting continued effect of

the low-rate environment and increased competition

Other loans decreased $216 million reflecting continued

runoff in the non-core portfolio

10

Highlights

2

Consumer Banking

Average loans

1

Commercial Banking

Average loans

1

Other

Average loans

1

1

Includes loans held for sale.

2

Excludes the impact of interest rate swaps.

$93.1B

$93.2B

$91.6B

$92.2B

$91.7B

0.25%

0.17%

0.16%

0.15%

0.18%

0.34%

0.24%

0.22%

0.22%

0.25%

3Q13

4Q13

1Q14

2Q14

3Q14

Term & time deposits

Checking with interest

Non int bearing deposits

Money market & savings

Int bearing HFS

Non-int bearing HFS

Total deposit costs

Int bearing deposit costs

Average deposits and rates

Total average deposits, including deposits held for sale,

decreased by $490 million as a $4.5 billion decrease related to

the Chicago Divestiture was largely offset by organic growth of

approximately 5%

Interest checking up $1.4 billion, money market & savings

up $1.7 billion and term deposits up $1.2 billion reflecting

particular strength in commercial

Total deposit costs increased three basis points to 0.18%

given this shift in mix

11

Highlights

1

1

Average deposits and

deposits held for sale

Capital and liquidity remain strong

12

Highlights

Loan-to-deposit ratio

5

Capital levels remain well above regional

peers

As part of plan to adjust capital mix we

completed $333 million capital

exchange transaction on August 1, 2014

and $334 million sub-debt issuance/

14.3 million share repurchase on

October 8th with RBS

3Q14 Basel III common equity tier 1 down

approximately 50 basis points from 2Q14:

Impact to CET1:

Net income: 18 bps increase

RWA growth: 32 bps decrease

Capital exchange: 32 bps decrease

Dividend/other: 5 bps decrease

LDR remains stable post Chicago Divestiture.

Already meet initial LCR requirement

4

Capital ratio trend

1

Regulatory capital ratios are preliminary.

2

Pro forma Basel III ratios assume that certain definitions impacting qualifying Basel III capital, which otherwise will phase in through 2018, are fully phased-in.

Ratios also reflect the required US Standardized methodology for calculating RWAs, effective January 1, 2015.

3

Non-GAAP item. See important information on use of Non-GAAP items on pages 27-31.

4

Based on the September 2014 release of the U.S. version of the Liquidity Coverage Ratio (LCR). Note that as a modified LCR company, CFG’s formal compliance

requirement of 90% does not begin until January 2016.

5

Includes held for sale.

$5

$18

($8)

($13)

$4

$100

$78

$80

$70

$75

$26

$19

$15

$11

$9

$131

$115

$87

$68

$88

0.61%

0.53%

0.41%

0.31%

0.38%

3Q13

4Q13

1Q14

2Q14

3Q14

Commercial

Retail

SBO

Net c/o ratio

$131

$115

$87

$68

$88

$145

$132

$121

$49

$77

$1.7B

$1.4B

$1.4B

$1.2B

$1.1B

3Q13

4Q13

1Q14

2Q14

3Q14

Net charge-offs

Provision

NPLs

Credit quality continues to improve

Overall credit quality remains strong

Net charge-offs were $88 million, or 0.38% of average loans

and leases

Allowance coverage for NPLs improved to 111%, up from

101% in 2Q14

Provision for credit losses of $77 million increased $28 million

vs. 2Q14 which included $13 million in net commercial

recoveries

NPLs to total loans down 16 bps to 1.19% from 1.35% in 2Q14

Results reflect reserve release of $11 million vs. $19

million in 2Q14

13

Highlights

Net charge-offs (recoveries)

Provision for credit losses, charge-offs, NPLs

Allowance for loan and lease losses

$s in millions

1

For credit

losses

1 Allowance for loan and lease losses to nonperforming loans and leases.

$1,219

$1,221

$1,259

$1,210

$1,201

72%

86%

92%

101%

111%

3Q13

4Q13

1Q14

2Q14

3Q14

Allowance for loan and lease losses

Coverage Ratio

Execution of key initiatives progressing well

Consumer initiatives showing good traction

—

Mortgage, Business Banking and Wealth hiring meeting expectations

—

Auto loan volume very strong -

$1.9 billion organic originations; ~$500 million in flow purchases

—

Education finance launched leading and very attractive re-finance product

—

Net household growth in lending and checking accounts of 46,000 YTD

Commercial initiatives remain on track in spite of competitive environment

—

14 new key hires in the quarter, including new head of Treasury Solutions

—

Loan growth of $505 million

—

Strong

quarter

in

capital

and

global

markets,

including

strength

in

interest

rate

and

FX

products

Expense initiatives are tracking to all implementation dates

—

Expect to have 25% of $200 million program goal in run rate by end 2014

Capital conversions of $1 billion for 2014 completed as of October 8

—

Capital mix now 78% CET1/22% capital securities vs. goal of 70%/30%

Balance

sheet

positioning

remains

more

asset

sensitive

than

peer

group

—

6.3%

benefit

from

200

bps

gradual

ramp

in

rates

at

September

30

vs.

6.6%

at

June

30

14

th

th

th

Making progress against key financial targets

15

Key Indicators

3Q13

3Q14

End 2016

targets

Adjusted return on average tangible common

equity

1

4.3%

6.2%

10%+

Adjusted return on average total tangible

assets

1

0.5%

0.7%

1.0%+

Adjusted efficiency ratio

1

68%

68%

~60%

Tier 1 common equity ratio

13.9%

12.9%

2

~11%

3

Delivering on our plan to improve returns

1

Non-GAAP item. Adjusted results exclude the effect of net restructuring charges and special items associated with Chicago Divestiture, efficiency and

effectiveness programs and separation from RBS. See important information on use of Non-GAAP items on pages 27-31.

2

Regulatory capital ratio is preliminary.

3

Target represents fully phased in Basel III.

4Q14 outlook

16

Net interest

income, net

interest margin

Anticipate 4Q14 loan growth of 2-3% vs. linked quarter

Project stable net interest margin

Operating

leverage,

efficiency ratio

Credit trends

and cost

Restructuring

costs

Capital, liquidity

and funding

Expect

modest

operating

leverage

and

slight

improvement

in

operating

efficiency

ratio

Asset quality trends expected to be stable

Currently do not expect commercial  recoveries nor reserve release in 4Q14

Restructuring costs of $35-$45 million projected for 4Q14; 1H15 balance estimated at

$30-$40 million

Year end Tier 1 common equity ratio projected at ~12.5%

Loan-to-deposit ratio at ~98%

Key messages

17

Successful completion of the largest commercial bank IPO in U.S.

history

Underlying business performance continues to strengthen

2014 is a transition year, with Chicago region gain funding various

initiatives to drive better performance over 2015/2016

Tracking well on all strategic and regulatory initiatives, maintain intense

focus on execution

Asset quality and capital ratios remain strong

Appendix

18

4.34%

6.22%

3Q13

3Q14

0.52%

0.66%

3Q13

3Q14

12.1%

10.9%

3Q13

3Q14

$144

$202

3Q13

3Q14

$365

$372

3Q13

3Q14

13.9%

12.9%

3Q13

3Q14

Prior year quarter results

19

Adjusted pre-provision profit

¹

$s in millions

Basel I tier 1 common equity

capital ratio

²

Adjusted return on average

tangible assets

¹

Adjusted net income

¹

$s in millions

Leverage ratio

²

120 bps

100 bps

2%

40%

14 bps

188 bps

Adjusted return on average

tangible

common

equity

¹

1

Adjusted results are non-GAAP items and exclude the effect of net restructuring charges and special items associated with Chicago Divestiture, efficiency and effectiveness

programs and separation from RBS. See important information on use of Non-GAAP items on pages 27-31.

2

Regulatory capital ratios are preliminary.

$352

$372

2Q14

3Q14

13.3%

12.9%

2Q14

3Q14

0.68%

0.66%

2Q14

3Q14

$205

$202

2Q14

3Q14

11.1%

10.9%

2Q14

3Q14

6.28%

6.22%

2Q14

3Q14

Linked quarter results

20

6 bps

2 bps

20 bps

40 bps

1%

6%

Adjusted pre-provision profit

¹

$s in millions

Basel I tier 1 common equity

capital ratio

²

Adjusted return on average

tangible assets

¹

Adjusted net income

¹

$s in millions

Leverage ratio

²

Adjusted return on average

tangible

common

equity

¹

1

Adjusted results are non-GAAP items and exclude the effect of net restructuring charges and special items associated with Chicago Divestiture, efficiency and effectiveness

programs and separation from RBS. See important information on use of Non-GAAP items on pages 27-31.

2

Regulatory capital ratios are preliminary.

Net interest margin

NIM% walk 3Q13 to 3Q14

NIM% walk 2Q14 to 3Q14

21

Consumer Banking segment

22

Highlights

1

Non-GAAP item. Adjusted results exclude the effect of net restructuring charges and special items associated with Chicago Divestiture,

efficiency and effectiveness programs and separation from RBS. See important information on use of Non-GAAP items on pages 27-31.

2

Includes held for sale.

3

Operating segments are allocated capital on a risk-adjusted basis considering economic and regulatory capital requirements. We

approximate that regulatory capital is equivalent to a sustainable target level for common equity Tier 1 and then allocate that

approximation to the segments based on economic capital.

Consumer Banking net income up $10

million with pre-provision profit up $22

million

Net interest income decreased $14

million driven by an estimated $21

million decrease related to the Chicago

Divestiture.

–

Period-end loans up $1.6 billion on

higher mortgage and auto balances

–

Period-end deposits relatively flat as

strength in DDA and CDs was largely

offset by lower savings, interest

checking and money market

balances including seasonal

decrease

Noninterest income decreased $10

million from higher 2Q14 levels that

included $11 million tied to the Chicago

Divestiture and a $9 million student

loan portfolio sale gain

–

Mortgage originations up 13%

Noninterest expense decreased $46

million driven by an estimated $20

million decrease related to the Chicago

Divestiture, the impact of a reduction in

regulatory costs and the impact of

efficiency initiatives

3Q14 change from

$s in millions

3Q14

2Q14

3Q13

2Q14

3Q13

$

%

$

%

310

Net interest income

532

$    

546

$    

543

$    

(14)

$    

(3) %

(11)

$    

(2) %

311

Noninterest income

226

236

246

(10)

(4) %

(20)

(8) %

312

Total revenue

758

782

789

(24)

(3) %

(31)

(4) %

313

Noninterest expense

609

655

622

(46)

(7) %

(13)

(2) %

314

Profit before provision for

credit losses

149

127

167

22

17  %

(18)

(11) %

315

Provision for credit losses

66

59

87

7

12  %

(21)

(24) %

316

Income before income tax

expense

83

68

80

15

22  %

3

4  %

317

Income tax expense

29

24

28

5

21  %

1

4  %

318

Net income

54

$      

44

$      

52

$      

10

$      

23  %

2

$        

4  %

Average balances

319

Total

loans

and

leases

²

47.8B

$

47.4B

$

44.8B

$

0.5B

$  

1  %

3.1B

$  

7  %

320

Total

deposits

²

65.6B

$

70.2B

$

72.2B

$

(4.6B)

$

(7) %

(6.6B)

$

(9) %

Mortgage Banking Metrics

Originations

1,018

$

904

$    

1,374

$

113

$    

13  %

(356)

$  

(26) %

Origination Pipeline

973

1,020

938

(47)

(5) %

35

4  %

Gain on sale of secondary

originations

1.69%

1.91%

0.59%

(22)

bps

110

bps

Performance metrics

321

ROTCE

¹

,

³

4.57%

3.87%

4.69%

70

bps

(12)

bps

322

Efficiency

ratio

¹

80%

84%

79%

(319)

bps

159

bps

Commercial Banking segment

Commercial Banking net income

decreased modestly from 2Q14 which

included the benefit of a $2 million net

recovery on prior period charge-offs

and reversal of prior period loss

reserves

Revenues up $3 million with net

interest income up $6 million on a 1%

increase in loans and 14% increase in

deposits

–

Strength in Asset Finance, Mid-

Corporate, Commercial Real Estate,

and Franchise Finance lines of

businesses

–

Deposits up $2.6 billion, or 14%

Noninterest income down $3 million as

growth in foreign exchange and trade

fees was more than offset by lower

leasing and capital markets fees from

relatively high 2Q14 levels

Noninterest expense up $5 million from

unusually low 2Q14 levels as well as

continued investments to drive growth

23

Highlights

1

Non-GAAP item. Adjusted results exclude the effect of net restructuring charges and special items associated with Chicago Divestiture, efficiency

and effectiveness programs and separation from RBS. See important information on use of Non-GAAP items on pages 27-31.

2

Includes held for sale.

3

Operating segments are allocated capital on a risk-adjusted basis considering economic and regulatory capital requirements. We approximate

that regulatory capital is equivalent to a sustainable target level for common equity Tier 1 and then allocate that approximation to the segments

based on economic capital.

3Q14 change from

$s in millions

3Q14

2Q14

3Q13

2Q14

3Q13

$

%

$

%

323

Net interest income

270

$    

264

$    

263

$    

6

$        

2  %

7

$        

3  %

324

Noninterest income

104

107

93

(3)

(3) %

11

12  %

325

Total revenue

374

371

356

3

1  %

18

5  %

326

Noninterest expense

162

157

156

5

3  %

6

4  %

327

Profit before provision for

credit losses

212

214

200

(2)

(1) %

12

6  %

328

Provision for credit losses

—

(2)

3

2

NM

(3)

NM

329

Income before income tax

expense

212

216

197

(4)

(2) %

15

8  %

330

Income tax expense

73

75

70

(2)

(3) %

3

4  %

331

Net income

139

$    

141

$    

127

$    

(2)

$       

(1) %

12

$      

9  %

Average balances

37.8B

$

37.4B

$

34.5B

$

0.4B

$  

1  %

3.3B

$  

9  %

21.0B

$

18.4B

$

17.8B

$

2.6B

$  

14  %

3.2B

$  

18  %

Performance metrics

13.10%

13.78%

13.24%

(68)

bps

(14)

bps

43%

42%

44%

99

bps

(34)

bps

Total

loans

and

leases

²

Total

deposits

²

ROTCE

¹

,

³

Efficiency

ratio

¹

3Q14 change from

$s in millions

3Q14

2Q14

3Q13

2Q14

3Q13

$

%

$

%

336

Net interest income (expense

18

$       

23

$       

(36)

$      

(5)

$        

(22) %

54

$       

150  %

337

Noninterest income

11

297

44

(286)

(96) %

(33)

(75) %

338

Total revenue

29

320

8

(291)

(91) %

21

263  %

339

Noninterest expense

39

136

10

(97)

(71) %

29

290  %

340

Profit (loss) before provision

for credit losses

(10)

184

(2)

(194)

(105) %

(8)

(400) %

341

Provision for credit losses

11

(8)

55

19

238  %

(44)

(80) %

342

Income (loss) before income

tax expense

(21)

192

(57)

(213)

(111) %

36

63  %

343

Income tax expense (benefit)

(17)

64

(22)

(81)

(127) %

5

23  %

344

Net income (loss)

(4)

$        

128

$     

(35)

$      

(132)

$   

(103) %

31

$       

89  %

Average balances

345

Total loans and leases¹

4.2B

$   

4.4B

$   

5.6B

$    

(0.2B)

$ 

(5) %

(1.4B)

$ 

(25) %

346

Total deposits¹

5.1B

$   

3.6B

$   

3.1B

$    

1.5B

$   

40  %

1.9B

$   

61  %

Other

Other net income down $132

million from 2Q14

Noninterest income

decreased $286 million driven

by a $288 million net gain on

sale of the Chicago

Divestiture in 2Q14

Noninterest expense

decreased $97 million from

2Q14 driven by a $94 million

reduction in restructuring

charges and special items

24

Highlights

1

Includes held for sale.

—

—

)

Restructuring charges and special items

25

3Q14 results included restructuring charges and special items related to enhancing efficiencies and improving processes

across the organization and separation from The Royal Bank of Scotland Group plc (“RBS”). This table shows impacts on

expense categories.

Expect to utilize the balance of the gain to continue to reinvest to drive future growth, and to fund an additional $35-$45

million of further restructuring charges and special expense items in 4Q14, and $30-$40 million in 1H15.

As of and for the three months ended

Restructuring charges and special items

($s in millions, except per share data)

pretax

after tax

pretax

after tax

pre-tax

after-tax

Noninterest income special items:

Other income

Net Gain on Chicago Divestiture

—

$             

—

$             

288

$         

180

$         

(288)

$       

(180)

$       

Total noninterest income restructuring charges and special items

—

—

288

180

(288)

(180)

Noninterest expense restructuring charges and special items:

Salaries and employee benefits

—

—

43

27

(43)

(27)

Outside services

19

12

41

25

(22)

(13)

Occupancy 

2

1

9

6

(7)

(5)

Equipment expense

—

—

3

2

(3)

(2)

Other operating expense

—

—

19

12

(19)

(12)

Total noninterest expense restructuring charges and special items

21

$            

13

$            

115

$         

72

$            

(94)

$          

(59)

$          

Net restructuring charges and special items

(21)

$          

(13)

$          

173

$         

108

$         

(194)

$       

(121)

$       

EPS impact

(0.02)

$      

0.19

$       

(0.21)

$      

September 30, 2014

June 30, 2014

increase/decrease

$4.1B

$3.8B

$3.6B

$3.4B

$3.2B

3Q13

4Q13

1Q14

2Q14

3Q14

Retail

Commercial

SBO

$2.3B

$2.2B

$2.1B

$2.0B

$1.9B

4.25%

3.37%

2.78%

2.11%

2.04%

3Q13

4Q13

1Q14

2Q14

3Q14

SBO balance

Charge-offs

Non-core

home

equity

portfolio

serviced

by

others

(SBO)

1

SBO balances by FICO

SBO balances by LTV

SBO balances and charge-offs

Top 5 SBO balances by state

Non-core period-end loans

SBO balances by product

SBO Lien Position

1st Lien

2nd Lien

< 69

70-79

80-89

90-99

100-119

120+

< 619

620-679

680-719

720-759

760+

HE Loan

HELOC

26

$s in millions

SBO gross balance distribution as of September 30, 2014. FICO scores updated quarterly.

1

a portion of the serviced by others portfolio is serviced by CFG.

$354

$121

$116

$115

$100

$615

$541

$0.6B

31%

Non-GAAP Financial Measures

27

This document contains non-GAAP financial measures.  The table below presents reconciliations of certain non-GAAP measures.  These reconciliations exclude goodwill

impairment, restructuring charges and/or special items, which are usually included, where applicable, in the financial results presented in accordance with GAAP.  Special

items include regulatory expenses and expenses relating to our initial public offering.

The non-GAAP measures set forth below include “total revenue”, “noninterest income”, “ noninterest expense”, “income tax expense (benefit)”, “net income (loss)”, “salaries

and employee benefits”, “outside services”, “occupancy”, “equipment expense”, “other operating expense”, “return of average common equity” and “return on average total

assets”. In addition, we present computations for “return on average tangible common equity”, “return on average total tangible assets” and “efficiency ratio” as part of our

non-GAAP measures. 

We believe these non-GAAP measures provide useful information to investors because these are among the measures used by our management team to evaluate our

operating performance and make day-to-day operating decisions. In addition, we believe goodwill impairment, restructuring charges and special items in any period do not

reflect the operational performance of the business in that period and, accordingly, it is useful to consider these line items with and without goodwill impairment,

restructuring charges and special items. We believe this presentation also increases comparability of period-to-period results.

We also consider pro forma capital ratios defined by banking regulators but not effective at each period end to be non-GAAP financial measures. Since analysts and banking

regulators may assess our capital adequacy using these pro forma ratios, we believe they are useful to provide investors the ability to assess our capital adequacy on the

same basis.

Other companies may use similarly titled non-GAAP financial measures that are calculated differently from the way we calculate such measures.  Accordingly, our non-GAAP

financial measures may not be comparable to similar measures used by other companies.  We caution investors not to place undue reliance on such non-GAAP measures, but

instead to consider them with the most directly comparable GAAP measure.  Non-GAAP financial measures have limitations as analytical tools, and should not be considered in

isolation, or as a substitute for our results as reported under GAAP.

Non-GAAP Reconciliation Table

28

(Excluding restructuring charges and special items)

$s in millions, except per share data

3Q14

2Q14

1Q14

4Q13

3Q13

Noninterest income, excluding special items:

Noninterest income (GAAP)

A

$341

$640

$358

$379

$383

Less: Special items - Chicago gain

—

288 

—

—

—

Noninterest income, excluding special items (non-GAAP)

B

$341

$352

$358

$379

$383

Total revenue, excluding special items:

Total revenue (GAAP)

C

$1,161

$1,473

$1,166

$1,158

$1,153

Less: Special items - Chicago gain

—

288 

—

—

—

Total revenue, excluding special items (non-GAAP)

D

$1,161

$1,185

$1,166

$1,158

$1,153

Noninterest expense, excluding restructuring charges and

special items:

Noninterest expense (GAAP)

E

$810

$948

$810

$818

$788

Less: Restructuring charges and special expense items

HH

21 

115 

—

26 

—

Noninterest expense, excluding restructuring charges and

special items (non-GAAP)

F

$789

$833

$810

$792

$788

Net income (loss), excluding restructuring charges and special

Net income (loss) (GAAP)

G

$189

$313

$166

$152

$144

Add: Restructuring charges and special items, net of income

13 

(108)

—

17 

—

Net income (loss), excluding restructuring charges and special

items (non-GAAP)

H

$202

$205

$166

$169

$144

Return on average common equity, excluding restructuring

charges and special items:

Average common equity (GAAP)

I

$19,411

$19,607

$19,370

$19,364

$19,627

Return on average common equity, excluding restructuring

charges and special items (non-GAAP)

H/I

4.14 %

4.19 %

3.48 %

3.47 %

2.91 %

Return on average tangible common equity and return on

average tangible common equity, excluding restructuring

charges and special items:

Average common equity (GAAP)

I

$19,411

$19,607

$19,370

$19,364

$19,627

Less: Average goodwill (GAAP)

6,876 

6,876 

6,876 

6,876 

6,876

Less: Average other intangibles (GAAP)

6 

7 

7 

8 

9

Add: Average deferred tax liabilities related to goodwill

384 

369 

351 

342 

325

Average tangible common equity (non-GAAP)

J

$12,913

$13,093

$12,838

$12,822

$13,067

Return on average tangible common equity (non-GAAP)

G/J

5.81 %

9.59 %

5.24 %

4.71 %

4.34 %

Return on average tangible common equity, excluding

restructuring charges and special items (non-GAAP)

H/J

6.22 %

6.28 %

5.24 %

5.24 %

4.34 %

Return on average total assets, excluding restructuring charges

and special items:

Average total assets (GAAP)

K

$128,691

$127,148

$123,904

$120,393

$117,386

Return on average total assets, excluding restructuring charges

and special items (non-GAAP)

H/K

0.62 %

0.65 %

0.54 %

0.56 %

0.49 %

Return on average total tangible assets and return on average

total tangible assets, excluding restructuring charges and

Average total assets (GAAP)

K

$128,691

$127,148

$123,904

$120,393

$117,386

Less: Average goodwill (GAAP)

6,876 

6,876 

6,876 

6,876 

6,876

Less: Average other intangibles (GAAP)

6 

7 

7 

8 

9

Add: Average deferred tax liabilities related to goodwill

384 

369 

351 

342 

325

Average tangible assets (non-GAAP)

L

$122,193

$120,634

$117,372

$113,851

$110,826

Return on average total tangible assets (non-GAAP)

G/L

0.61 %

1.04 %

0.57 %

0.53 %

0.52 %

Return on average total tangible assets, excluding restructuring

charges and special items (non-GAAP)

H/L

0.66 %

0.68 %

0.57 %

0.59 %

0.52 %

QUARTERLY TRENDS

Non-GAAP Reconciliation Table

29

(Excluding restructuring charges and special items)

$s in millions, except per share data

3Q14

2Q14

1Q14

4Q13

3Q13

Efficiency ratio and efficiency ratio, excluding restructuring

charges and special items:

Net interest income (GAAP)

$820

$833

$808

$779

$770

Add: Noninterest income (GAAP)

341 

640 

358 

379 

383

Total revenue (GAAP)

C

$1,161

$1,473

$1,166

$1,158

$1,153

Efficiency ratio (non-GAAP)

E/C

69.84 %

64.33 %

69.43 %

70.62 %

68.49 %

Efficiency ratio, excluding restructuring charges and special

items (non-GAAP)

F/D

68.02 %

70.23 %

69.43 %

68.35 %

68.49 %

Net income (loss) per average common share -  basic and

diluted, excluding restructuring charges and special items:

Average common shares outstanding - basic (GAAP)

M

559,998,324 

559,998,324 

559,998,324 

559,998,324 

559,998,324

Average common shares outstanding - diluted (GAAP)

N

560,243,747 

559,998,324 

559,998,324 

559,998,324 

559,998,324

Net income (loss) applicable to common stockholders (GAAP)

O

189 

313 

166 

152 

144

Net income (loss) per average common share -  basic (GAAP)

O/M

0.34 

0.56 

0.30 

0.27 

0.26

Net income (loss) per average common share -  diluted (GAAP)

O/N

0.34 

0.56 

0.30 

0.27 

0.26

Net income (loss) applicable to common stockholders,

excluding restructuring charges and special items (non-GAAP)

P

202 

205 

166 

169 

144

Net income per average common share -  basic, excluding

restructuring charges and special items (non-GAAP)

P/M

0.36 

0.37 

0.30 

0.30 

0.26

Net income per average common share -  diluted, excluding

restructuring charges and special items (non-GAAP)

P/N

0.36 

0.37 

0.30 

0.30 

0.26

Pro forma Basel III common equity Tier 1 capital ratio:

Tier 1 common capital (regulatory)

$13,330

$13,448

$13,460

$13,301

$13,489

Add: Change in DTA and other threshold deductions (GAAP)

(5)

(7)

(7)

6 

—

Basel III common equity Tier 1 (non-GAAP)

Q

$13,335

$13,455

$13,467

$13,295

$13,489

Risk-weighted assets (regulatory general risk weight approach)

103,207 

101,397 

100,368 

98,634 

96,735

Net change in credit and other risk-weighted assets (GAAP)

3,207 

2,383 

2,450 

2,687 

2,768

Basel III standardized approach risk-weighted assets (non-

GAAP)

R

$106,414

$103,780

$102,818

$101,321

$99,503

Pro forma Basel III common equity Tier 1 capital ratio  (non-

GAAP)

Q/R

12.5 %

13.0 %

13.1 %

13.1 %

13.6 %

Salaries and employee benefits, excluding restructuring

charges and special items:

Salaries and employee benefits (GAAP)

S

$409

$467

$405

$391

$403

Less: Restructuring charges and special items

—

43 

—

5 

—

Salaries and employee benefits, excluding restructuring

charges and special items (non-GAAP)

T

$409

$424

$405

$386

$403

Outside services, excluding restructuring charges and special

Outside services (GAAP)

U

$106

$125

$83

$101

$87

Less: Restructuring charges and special items

19 

41 

—

—

—

Outside services, excluding restructuring charges and special

items (non-GAAP)

V

$87

$84

$83

$101

$87

Occupancy, excluding restructuring charges and special items:

Occupancy (GAAP)

W

$77

$87

$81

$83

$80

Less: Restructuring charges and special items

2 

9 

—

11 

—

Occupancy, excluding restructuring charges and special items

(non-GAAP)

X

$75

$78

$81

$72

$80

Equipment expense, excluding restructuring charges and

special items:

Equipment expense (GAAP)

Y

$58

$65

$64

$68

$69

Less: Restructuring charges and special items

—

3 

—

7 

—

Equipment expense, excluding restructuring charges and

special items (non-GAAP)

Z

$58

$62

$64

$61

$69

QUARTERLY TRENDS

Non-GAAP Reconciliation Table

30

(Excluding restructuring charges and special items)

$s in millions, except per share data

3Q14

2Q14

1Q14

4Q13

3Q13

Other operating expense, excluding restructuring charges

and special items:

Other operating expense (GAAP)

AA

$122

$171

$146

$143

$123

Less: Restructuring charges and special items

—

19 

—

3 

—

Other operating expense, excluding restructuring charges

and special items (non-GAAP)

BB

$122

$152

$146

$140

$123

Pre-provision profit, excluding restructuring charges and

Special items:

Total revenue, excluding restructuring charges and special

items (non-GAAP)

D

$1,161

$1,185

$1,166

$1,158

$1,153

Less: Noninterest expense, excluding restructuring charges

and special items (non-GAAP)

F

789 

833 

810 

792 

788 

Pre-provision profit, excluding restructuring charges and

special items (non-GAAP)

CC

$372

$352

$356

$366

$365

Income before income tax expense (benefit), excluding

restructuring charges and special items

Income before income tax expense (benefit) (GAAP)

DD

$274

$476

$235

$208

$220

Less: Income before income tax expense (benefit) related to

restructuring charges and special items (GAAP)

(21)

173 

—

(26)

—

Income before income tax expense (benefit), excluding

restructuring charges and special items (non-GAAP)

EE

$295

$303

$235

$234

$220

Income tax expense (benefit), excluding restructuring charges

and special items:

Income tax expense (benefit) (GAAP)

FF

$85

$163

$69

$56

$76

Less: Income tax (benefit) related to restructuring charges

and special items (GAAP)

(8)

65 

—

(9)

—

Income tax expense (benefit), excluding restructuring

charges and special items (non-GAAP)

GG

$93

$98

$69

$65

$76

Restructuring charges and special expense items include:

Goodwill impairment

-

-

-

-

-

Restructuring charges

1 

103 

—

26 

—

Special items

20 

12 

—

—

—

Restructuring charges and special expense items

HH

$21

$115

-

$26

-

Tangible Common Equity (period-end):

Stockholders' equity

$19,383

$19,597

$19,442

$19,196

$19,413

Less: Goodwill

(6,876)

(6,876)

(6,876)

(6,876)

(6,876)

Less: Other intangible assets

(6)

(7)

(7)

(8)

(9)

Add: Deferred tax liabilities

399

384

366

350

333

Total tangible common equity

II

$12,900

$13,098

$12,925

$12,662

$12,861

QUARTERLY TRENDS

Non-GAAP Reconciliation Table

31

Consumer

Banking

Commercial

Banking

Other

Consolidated

Consumer

Banking

Commercial

Banking

Other

Consolidated

Consumer

Banking

Commercial

Banking

Other

Consolidated

Net income (loss) (GAAP)

A

$54

$139

($4)

$189

$44

$141

$128

$313

$32

$141

($7)

$166

Return on average tangible common equity

Average common equity (GAAP)

B

$4,685

$4,205

$10,521

$19,411

$4,640

$4,129

$10,838

$19,607

$4,568

$4,023

$10,779

$19,370

Less: Average goodwill (GAAP)

—

—

6,876

6,876

—

—

6,876

6,876

—

—

6,876

6,876

Average other intangibles (GAAP)

—

—

6

6

—

—

7

7

—

—

7

7

Add: Average deferred tax liabilities 

related to goodwill (GAAP)

—

—

384

384

—

—

369

369

—

—

351

351

Average tangible common equity (non-

GAAP)

C

$4,685

$4,205

$4,023

$12,913

$4,640

$4,129

$4,324

$13,093

$4,568

$4,023

$4,247

$12,838

Return on average tangible common

equity (non-GAAP)

A/C

4.57

%

13.10

%

NM

5.81

%

3.87

%

13.78

%

NM

9.59

%

2.81

%

14.17

%

NM

5.24

%

Efficiency ratio

Noninterest expense (GAAP)

D

$609

$162

$39

$810

$655

$157

$136

$948

$638

$153

$19

$810

Net interest income (GAAP)

532

270

18

820

546

264

23

833

537

256

15

808

Noninterest income (GAAP)

226

104

11

341

236

107

297

640

219

107

32

358

Total revenue

E

$758

$374

$29

$1,161

$782

$371

$320

$1,473

$756

$363

$47

$1,166

Efficiency ratio (non-GAAP)

D/E

80.42

%

43.35

%

NM

69.84

%

83.61

%

42.36

%

NM

64.33

%

84.39

%

42.13

%

NM

69.43

%

Consumer

Banking

Commercial

Banking

Other

Consolidated

Consumer

Banking

Commercial

Banking

Other

Consolidated

Net income (loss) (GAAP)

A

$50

$123

($21)

$152

$52

$127

($35)

$144

Return on average tangible common equity

Average common equity (GAAP)

B

$4,448

$3,978

$10,938

$19,364

$4,403

$3,855

$11,369

$19,627

Less: Average goodwill (GAAP)

—

—

6,876

6,876

—

—

6,876

6,876

Average other intangibles (GAAP)

—

—

8

8

—

—

9

9

Add: Average deferred tax liabilities 

related to goodwill (GAAP)

—

—

342

342

—

—

325

325

Average tangible common equity (non-

GAAP)

C

$4,448

$3,978

$4,396

$12,822

$4,403

$3,855

$4,809

$13,067

Return on average tangible common

equity (non-GAAP)

A/C

4.40

%

12.10

%

NM

4.71

%

4.69

%

13.24

%

NM

4.34

%

Efficiency ratio

Noninterest expense (GAAP)

D

$638

$164

$16

$818

$622

$156

$10

$788

Net interest income (GAAP)

543

260

(24)

779

543

263

(36)

770

Noninterest income (GAAP)

235

105

39

379

246

93

44

383

Total revenue

E

$778

$365

$15

$1,158

$789

$356

$8

$1,153

Efficiency ratio (non-GAAP)

D/E

81.84

%

44.73

%

NM

70.62

%

78.83

%

43.69

%

NM

68.49

%

Three Months Ended September 30, 2013

Three Months Ended September 30, 2014

Three Months Ended June 30, 2014

Three Months Ended March 31, 2014

Three Months Ended December 31, 2013

Non-GAAP

Reconciliation

–

Segments

$s

in

millions

32

EX-99.3

Exhibit 99.3

Citizens Financial Group, Inc.

Financial Supplement

Third Quarter 2014

1

Table of Contents	Page
Consolidated Financial Highlights		3
Consolidated Statements of Operations (unaudited)		5
Consolidated Balance Sheets (unaudited)		7
Loans and Deposits		8
Average Balance Sheets and Annualized Yields		9
Segment Financial Highlights		11
Credit-Related Information
Credit Exposure		22
Nonperforming Assets		23
Charge-offs, Recoveries and Related Ratios		24
Summary of Changes in the Allowances		26
Allowance Components		27
Capital and Ratios		28
Per-Share Related Information		29
Non-GAAP Financial Measures and Reconciliations		30
Forward-Looking Statements		37

2

CONSOLIDATED FINANCIAL HIGHLIGHTS

(dollars in millions, except per share and ratio data)

	QUARTERLY TRENDS																										FOR THE NINE MONTHS ENDED SEPTEMBER 30,
															3Q14 Change																	2014 Change
	3Q14			2Q14		1Q14			4Q13			3Q13			2Q14						3Q13						2014		2013			2013
															$			%			$			%								$			%
SELECTED OPERATING DATA
Total revenue	$	1,161		$	1,473	$	1,166		$	1,158		$	1,153		($	312	)		(21	)%	$	8			1	%	$	3,800	$	3,532		$	268			8	%
Noninterest expense		810			948		810			818			788			(138	)		(15	)		22			3			2,568		6,861			(4,293	)		(63	)
Profit (loss) before provision for credit losses		351			525		356			340			365			(174	)		(33	)		(14	)		(4	)		1,232		(3,329	)		4,561			137
Provision for credit losses		77			49		121			132			145			28			57			(68	)		(47	)		247		347			(100	)		(29	)
NET INCOME (LOSS)		189			313		166			152			144			(124	)		(40	)		45			31			668		(3,578	)		4,246			119
Net income, excluding restructuring charges and special items1		202			205		166			169			144			(3	)		(1	)		58			40			573		502			71			14
PER COMMON SHARE DATA
Basic earnings	$	0.34		$	0.56	$	0.30		$	0.27		$	0.26		($	0.22	)		(39	)%	$	0.08			31	%	$	1.19	($	6.39	)	$	7.58			119	%
Diluted earnings		0.34			0.56		0.30			0.27			0.26			(0.22	)		(39	)		0.08			31			1.19		(6.39	)		7.58			119
Basic earnings, excluding restructuring charges and special items1		0.36			0.37		0.30			0.30			0.26			(0.01	)		(3	)		0.10			38			1.02		0.89			0.13			15
Diluted earnings, excluding restructuring charges and special items1		0.36			0.37		0.30			0.30			0.26			(0.01	)		(3	)		0.10			38			1.02		0.89			0.13			15
Cash dividends declared and paid per share		0.68			0.61		0.04			0.67			0.68			0.07			11			—			—			1.34		1.45			(0.11	)		(8	)
Book value		34.61			35.00		34.72			34.28			34.67			(0.39	)		(1	)		(0.06	)		—			34.61		34.67			(0.06	)		—
Tangible book value		23.04			23.39		23.08			22.61			22.97			(0.35	)		(1	)		0.07			—			23.04		22.97			0.07			—
COMMON SHARES OUTSTANDING
Average: Basic		559,998,324			559,998,324		559,998,324			559,998,324			559,998,324			—			—	%		—			—	%		559,998,324		559,998,324			—			—	%
Diluted		560,243,747			559,998,324		559,998,324			559,998,324			559,998,324			245,423			—			245,423			—			560,081,031		559,998,324			82,707			—
Common shares at period-end		559,998,324			559,998,324		559,998,324			559,998,324			559,998,324			—			—			—			—			559,998,324		559,998,324			—			—
Closing share price	$	23.42		$	—	$	—		$	—		$	—		$	23.42			—		$	23.42			—		$	23.42		—		$	23.42			—
Market capitalization		13,115			—		—			—			—			13,115			—			13,115			—			13,115		—			13,115			—
SEGMENT NET INCOME (LOSS)
Consumer Banking	$	54		$	44	$	32		$	50		$	52		$	10			23	%	$	2			4	%	$	130	$	192		($	62	)		(32	)%
Commercial Banking		139			141		141			123			127			(2	)		(1	)		12			9			421		391			30			8
Other		(4	)		128		(7	)		(21	)		(35	)		(132	)		(103	)		31			89			117		(4,161	)		4,278			103
NET INCOME (LOSS)	$	189		$	313	$	166		$	152		$	144		($	124	)		(40	)	$	45			31		$	668	($	3,578	)	$	4,246			119

¹  These are non-GAAP financial measures. For further information on these measures, refer to pages 30-36.

3

CONSOLIDATED FINANCIAL HIGHLIGHTS, CONTINUED

(dollars in millions, except ratio and headcount data)

	QUARTERLY TRENDS																											FOR THE NINE MONTHS ENDED SEPTEMBER 30,
																3Q14 Change																		2014 Change
	3Q14			2Q14			1Q14			4Q13			3Q13			2Q14						3Q13						2014			2013			2013
																$			%			$			%									$			%
FINANCIAL RATIOS
Net interest margin		2.77	%		2.87	%		2.89	%		2.83	%		2.88	%		(10) bps			—			(11) bps			—			2.84	%		2.85	%		(1) bps			—
Return on average common equity		3.87			6.41			3.48			3.12			2.91			(254) bps			—			96 bps			—			4.59			(15.04	)		1,963 bps			—
Return on average common equity, excluding restructuring charges and special items1		4.14			4.19			3.48			3.47			2.91			(5) bps			—			123 bps			—			3.94			2.96			98 bps			—
Return on average tangible common equity1		5.81			9.59			5.24			4.71			4.34			(378) bps			—			147 bps			—			6.90			(25.54	)		3,244 bps			—
Return on average tangible common equity, excluding restructuring charges and special items1		6.22			6.28			5.24			5.24			4.34			(6) bps			—			188 bps			—			5.92			5.03			89 bps			—
Return on average total assets		0.58			0.99			0.54			0.50			0.49			(41) bps			—			9 bps			—			0.71			(2.82	)		353 bps			—
Return on average total assets, excluding restructuring charges and special items1		0.62			0.65			0.54			0.56			0.49			(3) bps			—			13 bps			—			0.61			0.55			6 bps			—
Return on average total tangible assets1		0.61			1.04			0.57			0.53			0.52			(43) bps			—			9 bps			—			0.74			(3.05	)		379 bps			—
Return on average total tangible assets, excluding restructuring charges and special items1		0.66			0.68			0.57			0.59			0.52			(2) bps			—			14 bps			—			0.64			0.60			4 bps			—
Efficiency ratio1		69.84			64.33			69.43			70.62			68.49			551 bps			—			135 bps			—			67.58			194.29			(12,671) bps			—
Efficiency ratio, excluding restructuring charges and special items1		68.02			70.23			69.43			68.35			68.49			(221) bps			—			(47) bps			—			69.23			68.70			53 bps			—
CAPITAL RATIOS - BASEL I PERIOD END (PRELIMINARY)
Tier 1 capital ratio		12.9	%		13.3	%		13.4	%		13.5	%		14.0	%
Total capital ratio		16.1			16.2			16.0			16.1			16.3
Leverage ratio		10.9			11.1			11.4			11.6			12.1
Tier 1 common equity ratio2		12.9			13.3			13.4			13.5			13.9
SELECTED BALANCE SHEET DATA (PERIOD END)
Total assets	$	131,341		$	130,279		$	126,892		$	122,154		$	120,074		$	1,062			1	%	$	11,267			9	%	$	131,341		$	120,074		$	11,267			9	%
Loans and leases:
Commercial		41,470			40,974			40,075			39,395			39,084			496			1			2,386			6			41,470			39,084			2,386			6
Retail		49,279			47,855			47,008			46,464			46,409			1,424			3			2,870			6			49,279			46,409			2,870			6
Total loans and leases		90,749			88,829			87,083			85,859			85,493			1,920			2			5,256			6			90,749			85,493			5,256			6
Deposits	$	93,463		$	91,656		$	87,462		$	86,903		$	93,930		$	1,807			2		($	467	)		—		$	93,463		$	93,930		($	467	)		—
Long-term borrowed funds		2,075			1,732			1,403			1,405			1,064			343			20			1,011			95			2,075			1,064			1,011			95
Total stockholders’ equity		19,383			19,597			19,442			19,196			19,413			(214	)		(1	)		(30	)		—			19,383			19,413			(30	)		—
Loans-to-deposits ratio (period-end balances)3		97.32	%		97.20	%		95.48	%		94.50	%		91.34	%		12 bps			—			598 bps			—			97.32	%		91.34	%		598 bps			—
Loans-to-deposits ratio (average balances)3		98.01			96.77			95.37			92.35			91.12			124 bps			—			689 bps			—			96.82			91.74			508 bps			—
Full-time equivalent employees		17,852			18,049			18,856			19,152			18,961			(197	)		(1	)		(1,109	)		(6	)		17,852			18,961			(1,109	)		(6	)

¹  These are non-GAAP financial measures. For further information on these measures, refer pages 30-36.

²  Tier 1 common capital represents Tier 1 capital, excluding qualifying restricted core capital elements. The Tier 1 common equity ratio is calculated as Tier 1 common capital divided by risk-weighted assets.

³  Ratios include both loans and leases held for sale and deposits held for sale.

4

CONSOLIDATED STATEMENTS OF OPERATIONS (unaudited)

(dollars in millions)

	QUARTERLY TRENDS																						FOR THE NINE MONTHS ENDED SEPTEMBER 30,
											3Q14 Change																	2014 Change
	3Q14		2Q14		1Q14		4Q13		3Q13		2Q14						3Q13						2014		2013			2013
											$			%			$			%								$			%
INTEREST INCOME:
Interest and fees on loans and leases	$	754	$	751	$	730	$	743	$	748	$	3			—	%	$	6			1	%	$	2,235	$	2,258		($	23	)		(1	)%
Interest and fees on loans held for sale		2		1		1		2		3		1			100			(1	)		(33	)		4		10			(6	)		(60	)
Interest and fees on other loans held for sale		—		10		12		—		—		(10	)		(100	)		—			—			22		—			22			—
Investment securities		155		154		149		129		120		1			1			35			29			458		348			110			32
Interest-bearing deposits in banks		2		1		1		2		2		1			100			—			—			4		9			(5	)		(56	)
Total interest income		913		917		893		876		873		(4	)		—			40			5			2,723		2,625			98			4
INTEREST EXPENSE:
Deposits		41		34		33		40		58		7			21			(17	)		(29	)		108		176			(68	)		(39	)
Deposits held for sale		—		2		2		—		—		(2	)		(100	)		—			—			4		—			4			—
Federal funds purchased and securities sold under agreements to repurchase		9		1		15		42		35		8			800			(26	)		(74	)		25		150			(125	)		(83	)
Other short-term borrowed funds		21		30		19		1		2		(9	)		(30	)		19			950			70		4			66			1,650
Long-term borrowed funds		22		17		16		14		8		5			29			14			175			55		16			39			244
Total interest expense		93		84		85		97		103		9			11			(10	)		(10	)		262		346			(84	)		(24	)
Net interest income		820		833		808		779		770		(13	)		(2	)		50			6			2,461		2,279			182			8
NONINTEREST INCOME:
Service charges and fees		144		147		139		152		163		(3	)		(2	)		(19	)		(12	)		430		488			(58	)		(12	)
Card fees		58		61		56		58		63		(3	)		(5	)		(5	)		(8	)		175		176			(1	)		(1	)
Trust and investment services fees		39		42		39		40		39		(3	)		(7	)		—			—			120		109			11			10
Foreign exchange and trade finance fees		26		22		22		24		25		4			18			1			4			70		73			(3	)		(4	)
Capital markets fees		22		26		18		18		11		(4	)		(15	)		11			100			66		35			31			89
Mortgage banking fees		21		14		20		20		20		7			50			1			5			55		133			(78	)		(59	)
Bank-owned life insurance income		13		12		11		13		12		1			8			1			8			36		37			(1	)		(3	)
Securities gains, net		2		—		25		25		25		2			—			(23	)		(92	)		27		119			(92	)		(77	)
Other income		16		316		28		29		25		(300	)		(95	)		(9	)		(36	)		360		83			277			334
Total noninterest income		341		640		358		379		383		(299	)		(47	)		(42	)		(11	)		1,339		1,253			86			7
TOTAL REVENUE		1,161		1,473		1,166		1,158		1,153		(312	)		(21	)		8			1			3,800		3,532			268			8
Provision for credit losses		77		49		121		132		145		28			57			(68	)		(47	)		247		347			(100	)		(29	)
NONINTEREST EXPENSE:
Salaries and employee benefits		409		467		405		391		403		(58	)		(12	)		6			1			1,281		1,261			20			2
Outside services		106		125		83		101		87		(19	)		(15	)		19			22			314		259			55			21
Occupancy		77		87		81		83		80		(10	)		(11	)		(3	)		(4	)		245		244			1			—
Equipment expense		58		65		64		68		69		(7	)		(11	)		(11	)		(16	)		187		207			(20	)		(10	)
Amortization of software		38		33		31		32		26		5			15			12			46			102		71			31			44
Goodwill impairment		—		—		—		—		—		—			—			—			—			—		4,435			(4,435	)		(100	)
Other operating expense		122		171		146		143		123		(49	)		(29	)		(1	)		(1	)		439		384			55			14
Total noninterest expense		810		948		810		818		788		(138	)		(15	)		22			3			2,568		6,861			(4,293	)		(63	)
Income before income tax expense (benefit)		274		476		235		208		220		(202	)		(42	)		54			25			985		(3,676	)		4,661			127
Income tax expense (benefit)		85		163		69		56		76		(78	)		(48	)		9			12			317		(98	)		415			423
NET INCOME (LOSS)	$	189	$	313	$	166	$	152	$	144	($	124	)		(40	)	$	45			31		$	668	($	3,578	)	$	4,246			119
Net income (loss), excluding restructuring charges and special items1	$	202	$	205	$	166	$	169	$	144	($	3	)		(1	)	$	58			40		$	573	$	502		$	71			14

¹  These are non-GAAP financial measures. For further information on these measures, refer to pages 30-36.

5

CONSOLIDATED STATEMENTS OF OPERATIONS (unaudited), CONTINUED

	QUARTERLY TRENDS																										FOR THE NINE MONTHS ENDED SEPTEMBER 30,
																3Q14 Change																	2014 Change
	3Q14			2Q14			1Q14			4Q13			3Q13			2Q14						3Q13					2014			2013			2013
																$			%			$		%									$		%
PER COMMON SHARE DATA
Basic earnings	$	0.34		$	0.56		$	0.30		$	0.27		$	0.26		($	0.22	)		(39	)%	$	0.08		31	%	$	1.19		($	6.39	)	$	7.58		119	%
Diluted earnings		0.34			0.56			0.30			0.27			0.26			(0.22	)		(39	)		0.08		31			1.19			(6.39	)		7.58		119
Basic earnings, excluding restructuring charges and special items1		0.36			0.37			0.30			0.30			0.26			(0.01	)		(3	)		0.10		38			1.02			0.89			0.13		15
Diluted earnings, excluding restructuring charges and special items1		0.36			0.37			0.30			0.30			0.26			(0.01	)		(3	)		0.10		38			1.02			0.89			0.13		15
FINANCIAL RATIOS
Return on average common equity		3.87	%		6.41	%		3.48	%		3.12	%		2.91	%		(254) bps			—			96 bps		—			4.59	%		(15.04	)%		1,963 bps		—
Return on average common equity, excluding restructuring charges and special items1		4.14			4.19			3.48			3.47			2.91			(5) bps			—			123 bps		—			3.94			2.96			98 bps		—
Return on average tangible common equity1		5.81			9.59			5.24			4.71			4.34			(378) bps			—			147 bps		—			6.90			(25.54	)		3,244 bps		—
Return on average tangible common equity, excluding restructuring charges and special items1		6.22			6.28			5.24			5.24			4.34			(6) bps			—			188 bps		—			5.92			5.03			89 bps		—
Return on average total assets		0.58			0.99			0.54			0.50			0.49			(41) bps			—			9 bps		—			0.71			(2.82	)		353 bps		—
Return on average total assets, excluding restructuring charges and special items1		0.62			0.65			0.54			0.56			0.49			(3) bps			—			13 bps		—			0.61			0.55			6 bps		—
Return on average total tangible assets1		0.61			1.04			0.57			0.53			0.52			(43) bps			—			9 bps		—			0.74			(3.05	)		379 bps		—
Return on average total tangible assets, excluding restructuring charges and special items1		0.66			0.68			0.57			0.59			0.52			(2) bps			—			14 bps		—			0.64			0.60			4 bps		—
Effective income tax rate		30.81			34.27			29.45			26.87			34.57			(346) bps			—			(376) bps		—			32.16			2.66			2,950 bps		—
Efficiency ratio1		69.84			64.33			69.43			70.62			68.49			551 bps			—			135 bps		—			67.58			194.29			(12,671) bps		—
Efficiency ratio, excluding restructuring charges and special items1		68.02			70.23			69.43			68.35			68.49			(221) bps			—			(47) bps		—			69.23			68.70			53 bps		—

¹  These are non-GAAP financial measures. For further information on these measures, refer to pages 30-36.

6

CONSOLIDATED BALANCE SHEETS (unaudited)

(dollars in millions)

PERIOD END BALANCES
	AS OF															SEPTEMBER 30, 2014 CHANGE
	Sept 30, 2014			June 30, 2014			Mar 31, 2014			Dec 31, 2013			Sept 30, 2013			June 30, 2014						Sept 30, 2013
																$			%			$			%
ASSETS:
Cash and due from banks	$	993		$	1,038		$	909		$	1,406		$	838		($	45	)		(4	%)	$	155			18	%
Interest-bearing cash and due from banks		1,896			4,318			1,942			1,351			1,744			(2,422	)		(56	)		152			9
Interest-bearing deposits in banks		292			309			300			233			236			(17	)		(6	)		56			24
Securities available for sale, at fair value		18,666			18,493			18,412			15,995			19,888			173			1			(1,222	)		(6	)
Securities held to maturity		5,289			5,382			5,457			4,315			—			(93	)		(2	)		5,289			—
Other investment securities		893			948			935			935			964			(55	)		(6	)		(71	)		(7	)
Loans held for sale, at fair value		205			173			131			176			307			32			18			(102	)		(33	)
Other loans held for sale		3			89			1,248			1,078			—			(86	)		(97	)		3			—
Loans and leases		90,749			88,829			87,083			85,859			85,493			1,920			2			5,256			6
Less: Allowance for loan and lease losses		(1,201	)		(1,210	)		(1,259	)		(1,221	)		(1,219	)		9			1			18			1
Net loans and leases		89,548			87,619			85,824			84,638			84,274			1,929			2			5,274			6
Derivative assets		547			635			626			650			742			(88	)		(14	)		(195	)		(26	)
Premises and equipment		541			560			574			592			648			(19	)		(3	)		(107	)		(17	)
Bank-owned life insurance		1,370			1,361			1,350			1,339			1,328			9			1			42			3
Goodwill		6,876			6,876			6,876			6,876			6,876			—			—			—			—
Due from broker		2,067			—			—			446			—			2,067			—			2,067			—
Other branch assets held for sale		—			—			40			46			—			—			—			—			—
Other assets		2,155			2,478			2,268			2,078			2,229			(323	)		(13	)		(74	)		(3	)
TOTAL ASSETS	$	131,341		$	130,279		$	126,892		$	122,154		$	120,074		$	1,062			1		$	11,267			9
LIABILITIES AND STOCKHOLDERS’ EQUITY:
LIABILITIES:
Deposits:
Noninterest-bearing	$	25,877		$	26,670		$	25,681		$	24,931		$	25,919		($	793	)		(3	%)	($	42	)		—	%
Interest-bearing		67,586			64,986			61,781			61,972			68,011			2,600			4			(425	)		(1	)
Total deposits		93,463			91,656			87,462			86,903			93,930			1,807			2			(467	)		—
Deposits held for sale		—			—			5,188			5,277			—			—			—			—			—
Federal funds purchased and securities sold under agreements to repurchase		5,184			6,807			6,080			4,791			3,424			(1,623	)		(24	)		1,760			51
Other short-term borrowed funds		6,702			7,702			4,950			2,251			2			(1,000	)		(13	)		6,700			NM
Derivative liabilities		638			747			828			939			1,008			(109	)		(15	)		(370	)		(37	)
Deferred taxes, net		354			403			319			199			147			(49	)		(12	)		207			141
Long-term borrowed funds		2,075			1,732			1,403			1,405			1,064			343			20			1,011			95
Due to broker		2,087			—			—			—			—			2,087			—			2,087			—
Other liabilities		1,455			1,635			1,220			1,193			1,086			(180	)		(11	)		369			34
TOTAL LIABILITIES		111,958			110,682			107,450			102,958			100,661			1,276			1			11,297			11
STOCKHOLDERS’ EQUITY:
Preferred stock:
$25.00 par value, 100,000,000 shares authorized, no shares outstanding for each of the periods presented		—			—			—			—			—			—			—			—			—
Common stock:
$.01 par value, 1,000,000,000 shares authorized, 559,998,324 shares issued and outstanding for each of the periods presented		6			6			6			6			6			—			—			—			—
Additional paid-in capital		18,660			18,603			18,603			18,603			18,589			57			—			71			—
Retained earnings		1,152			1,346			1,376			1,235			1,457			(194	)		(14	)		(305	)		(21	)
Accumulated other comprehensive loss		(435	)		(358	)		(543	)		(648	)		(639	)		(77	)		(22	)		204			32
TOTAL STOCKHOLDERS’ EQUITY		19,383			19,597			19,442			19,196			19,413			(214	)		(1	)		(30	)		—
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY	$	131,341		$	130,279		$	126,892		$	122,154		$	120,074		$	1,062			1		$	11,267			9
Memo: Total tangible common equity1	$	12,900		$	13,098		$	12,925		$	12,662		$	12,861		($	198	)		(2	)	$	39			—

¹  Total tangible common equity is a non-GAAP financial measure. For further information on these measures, refer to page 28.

7

LOANS AND DEPOSITS

(dollars in millions)

PERIOD END BALANCES
	AS OF										SEPTEMBER 30, 2014 CHANGE
	Sept 30, 2014		June 30, 2014		Mar 31, 2014		Dec 31, 2013		Sept 30, 2013		June 30, 2014						Sept 30, 2013
											$			%			$			%
LOANS AND LEASES:
Commercial	$	30,356	$	30,076	$	29,435	$	28,667	$	28,984	$	280			1	%	$	1,372			5	%
Commercial real estate		7,239		7,158		6,902		6,948		6,524		81			1			715			11
Leases		3,875		3,740		3,738		3,780		3,576		135			4			299			8
Total commercial		41,470		40,974		40,075		39,395		39,084		496			1			2,386			6
Residential, including originated home equity products		30,458		30,116		29,761		29,694		29,762		342			1			696			2
Home equity products serviced by others		1,870		1,972		2,075		2,171		2,281		(102	)		(5	)		(411	)		(18	)
Other secured retail		13,206		12,180		11,216		10,700		10,427		1,026			8			2,779			27
Unsecured retail		3,745		3,587		3,956		3,899		3,939		158			4			(194	)		(5	)
Total retail		49,279		47,855		47,008		46,464		46,409		1,424			3			2,870			6
Total loans and leases	$	90,749	$	88,829	$	87,083	$	85,859	$	85,493	$	1,920			2		$	5,256			6
Loans held for sale	$	205	$	173	$	131	$	176	$	307	$	32			18	%	$	(102	)		(33	)%
Other loans held for sale1		3		89		1,248		1,078		—		(86	)		(97	)		3			—
DEPOSITS:
Demand	$	25,877	$	26,670	$	25,681	$	24,931	$	25,919	($	793	)		(3	%)	($	42	)		—	%
Checking with interest		15,449		15,171		13,694		13,630		14,034		278			2			1,415			10
Regular savings		7,655		7,829		7,899		7,509		8,008		(174	)		(2	)		(353	)		(4	)
Money market accounts		32,870		31,687		30,689		31,245		34,034		1,183			4			(1,164	)		(3	)
Term deposits		11,612		10,299		9,499		9,588		11,935		1,313			13			(323	)		(3	)
Total deposits	$	93,463	$	91,656	$	87,462	$	86,903	$	93,930	$	1,807			2		($	467	)		—
Deposits held for sale1	$	—	$	—	$	5,188	$	5,277	$	—	$	—			—	%	$	—			—	%

¹  Consists primarily of loans and deposits held for sale as part of the Chicago branch sale.

8

AVERAGE BALANCE SHEETS AND ANNUALIZED YIELDS

(dollars in millions)

	QUARTERLY TRENDS																											FOR THE NINE MONTHS ENDED SEPT 30,
AVERAGE BALANCES																2Q14 Change																		2014 Change
	3Q14			2Q14			1Q14			4Q13			3Q13			2Q14						3Q13						2014			2013			2013
																$			%			$			%									$			%
ASSETS:
Interest-bearing cash and due from banks and deposits in banks	$	2,685		$	2,211		$	1,768		$	2,000		$	1,677		$	474			21		$	1,008			60		$	2,224		$	2,372		($	148	)		(6	)
Taxable investment securities		24,648			24,579			23,375			20,909			19,300			69			—			5,348			28			24,205			18,441			5,764			31
Non-taxable investment securities		10			11			11			11			11			(1	)		(9	)		(1	)		(9	)		11			12			(1	)		(8	)
Total investment securities		24,658			24,590			23,386			20,920			19,311			68			—			5,347			28			24,216			18,453			5,763			31
Commercial		30,186			29,674			29,108			29,058			28,522			512			2			1,664			6			29,666			28,519			1,147			4
Commercial real estate		7,216			7,082			6,898			6,859			6,435			134			2			781			12			7,067			6,469			598			9
Leases		3,789			3,716			3,723			3,619			3,505			73			2			284			8			3,743			3,410			333			10
Total commercial		41,191			40,472			39,729			39,536			38,462			719			2			2,729			7			40,476			38,398			2,078			5
Home equity lines of credit		16,163			16,190			16,250			16,801			16,961			(27	)		—			(798	)		(5	)		16,198			17,207			(1,009	)		(6	)
Residential mortgages		11,001			10,355			9,889			9,342			8,892			646			6			2,109			24			10,420			9,024			1,396			15
Home equity loans		5,060			5,403			5,685			5,883			6,102			(343	)		(6	)		(1,042	)		(17	)		5,380			6,481			(1,101	)		(17	)
Automobile		11,438			10,528			9,408			9,007			8,817			910			9			2,621			30			10,542			8,806			1,736			20
Student and other retail		3,136			3,424			3,532			3,545			3,586			(288	)		(8	)		(450	)		(13	)		3,366			3,693			(327	)		(9	)
Credit cards		1,661			1,647			1,639			1,702			1,670			14			1			(9	)		(1	)		1,647			1,657			(10	)		(1	)
Total retail		48,459			47,547			46,403			46,280			46,028			912			2			2,431			5			47,553			46,868			685			1
Total loans and leases		89,650			88,019			86,132			85,816			84,490			1,631			2			5,160			6			88,029			85,266			2,763			3
Loans held for sale		176			138			127			224			379			38			28			(203	)		(54	)		147			442			(295	)		(67	)
Other loans held for sale		27			1,034			1,092			12			—			(1,007	)		(97	)		27			—			714			2			712			NM
Interest-earning assets		117,196			115,992			112,505			108,972			105,857			1,204			1			11,339			11			115,330			106,535			8,795			8
Allowance for loan and lease losses		(1,202	)		(1,286	)		(1,238	)		(1,223	)		(1,205	)		84			7			3			—			(1,242	)		(1,217	)		(25	)		(2	)
Goodwill		6,876			6,876			6,876			6,876			6,876			—			—			—			—			6,876			9,800			(2,924	)		(30	)
Other noninterest-earning assets		5,821			5,566			5,761			5,768			5,858			255			5			(37	)		(1	)		5,634			5,908			(274	)		(5	)
Total noninterest-earning assets		11,495			11,156			11,399			11,421			11,529			339			3			(34	)		—			11,268			14,491			(3,223	)		(22	)
TOTAL ASSETS	$	128,691		$	127,148		$	123,904		$	120,393		$	117,386		$	1,543			1		$	11,305			10		$	126,598		$	121,026		$	5,572			5
LIABILITIES AND STOCKHOLDERS’ EQUITY:
LIABILITIES:
Checking with interest	$	15,155		$	13,805		$	13,317		$	13,925		$	13,997		$	1,350			10	%	$	1,158			8	%	$	14,099		$	14,154		($	55	)		—	%
Money market & savings		40,096			38,418			38,919			41,838			42,237			1,678			4			(2,141	)		(5	)		39,149			42,823			(3,674	)		(9	)
Term deposits		10,596			9,416			9,334			11,254			11,311			1,180			13			(715	)		(6	)		9,786			11,270			(1,484	)		(13	)
Total interest-bearing deposits		65,847			61,639			61,570			67,017			67,545			4,208			7			(1,698	)		(3	)		63,034			68,247			(5,213	)		(8	)
Interest-bearing deposits held for sale		—			3,675			4,233			—			—			(3,675	)		(100	)		—			—			2,621			—			2,621			—
Federal funds purchased and securities sold under agreements to repurchase1		6,305			5,709			5,707			4,100			1,634			596			10			4,671			286			5,908			1,827			4,081			223
Other short-term borrowed funds		6,740			6,027			3,637			412			16			713			12			6,724			NM			5,479			207			5,272			NM
Long-term borrowed funds		1,951			1,419			1,405			1,158			721			532			37			1,230			171			1,594			635			959			151
Total borrowed funds		14,996			13,155			10,749			5,670			2,371			1,841			14			12,625			532			12,981			2,669			10,312			386
Total interest-bearing liabilities		80,843			78,469			76,552			72,687			69,916			2,374			3			10,927			16			78,636			70,916			7,720			11
Total demand deposits		25,829			25,984			24,796			26,167			25,598			(155	)		(1	)		231			1			25,540			25,140			400			2
Demand deposits held for sale		—			868			997			—			—			(868	)		(100	)		—			—			618			—			618			—
Other liabilities		2,608			2,220			2,189			2,175			2,245			388			17			363			16			2,341			2,303			38			2
TOTAL LIABILITIES		109,280			107,541			104,534			101,029			97,759			1,739			2			11,521			12			107,135			98,359			8,776			9
STOCKHOLDERS’ EQUITY		19,411			19,607			19,370			19,364			19,627			(196	)		(1	)		(216	)		(1	)		19,463			22,667			(3,204	)		(14	)
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY	$	128,691		$	127,148		$	123,904		$	120,393		$	117,386		$	1,543			1		$	11,305			10		$	126,598		$	121,026		$	5,572			5
Memo: Total average tangible common equity2	$	12,913		$	13,093		$	12,838		$	12,822		$	13,067		($	180	)		(1	)	($	154	)		(1	)	$	12,948		$	13,343		($	395	)		(3	)
Total deposits (interest-bearing and demand)	$	91,676		$	92,166		$	91,596		$	93,184		$	93,143		($	490	)		(1	)	$	(1,467	)		(2	)	$	91,813		$	93,387		($	1,574	)		(2	)

¹  Balances are net of certain short-term receivables associated with reverse repurchase agreements; interest expense includes the full cost of the repurchase agreements and certain hedging costs.

²  Total average tangible common equity is a non-GAAP financial measure. For further information on these measures, refer to pages 30-36.

9

AVERAGE BALANCE SHEETS AND ANNUALIZED YIELDS, CONTINUED

(dollars in millions, except rates)

	QUARTERLY TRENDS																									FOR THE NINE MONTHS ENDED SEPT 30,
AVERAGE ANNUALIZED YIELDS & RATES	3Q14					2Q14					1Q14					4Q13					3Q13					2014					2013
	Rate			Income/ Expense		Rate			Income/ Expense		Rate			Income/ Expense		Rate			Income/ Expense		Rate			Income/ Expense		Rate			Income/ Expense		Rate			Income/ Expense
INTEREST-EARNING ASSETS:
Interest-bearing deposits in banks		0.23	%	$	2		0.23	%	$	1		0.23	%	$	1		0.33	%	$	1		0.36	%	$	2		0.23	%	$	4		0.49	%	$	9
Taxable investment securities		2.51			155		2.51			154		2.56			149		2.48			130		2.50			120		2.52			458		2.51			348
Non-taxable investment securities		2.59			—		2.60			—		2.60			—		2.60			—		2.60			—		2.60			—		2.68			—
Total investment securities		2.51			155		2.51			154		2.57			149		2.48			130		2.50			120		2.52			458		2.51			348
Commercial		2.89			223		3.05			229		3.01			219		3.03			225		3.20			233		2.98			671		3.12			674
Commercial real estate		2.46			46		2.49			45		2.58			45		2.62			46		2.62			43		2.51			134		2.69			132
Leases		2.68			25		2.74			25		2.84			26		2.84			26		3.01			26		2.75			77		3.12			80
Total commercial		2.80			294		2.95			299		2.92			290		2.94			297		3.08			302		2.88			882		3.04			886
Home equity lines of credit		2.87			117		2.85			115		2.85			114		2.85			121		2.83			121		2.86			347		2.83			364
Residential mortgage		3.92			108		4.08			106		3.98			98		3.86			90		3.91			87		3.99			312		3.99			270
Home equity loans		5.65			72		5.67			76		5.63			79		5.64			84		5.64			87		5.68			228		5.73			278
Automobile		2.57			74		2.54			67		2.54			59		2.57			58		2.56			57		2.53			200		2.68			177
Student and other installment loans		5.90			47		5.56			47		5.49			48		5.54			49		5.53			50		5.64			142		5.51			152
Credit cards		9.99			42		9.92			41		10.31			42		10.16			44		10.55			44		10.09			124		10.56			131
Total retail		3.78			460		3.81			452		3.85			440		3.82			446		3.84			446		3.80			1,353		3.91			1,372
Total loans and leases		3.33			754		3.40			751		3.41			730		3.42			743		3.50			748		3.38			2,235		3.52			2,258
Loans held for sale		3.46			2		3.40			1		3.29			1		3.45			2		3.23			3		3.30			4		2.99			10
Other loans held for sale		5.44			—		3.90			10		4.21			12		—			—		—			—		4.08			22		—			—
Total interest-earning assets		3.08			913		3.16			917		3.19			893		3.18			876		3.27			873		3.14			2,723		3.28			2,625
INTEREST-BEARING LIABILITIES:
Checking with interest		0.09			4		0.06			2		0.06			2		0.06			2		0.06			2		0.07			8		0.06			6
Money market & savings		0.21			21		0.17			16		0.17			16		0.19			20		0.22			24		0.18			54		0.26			85
Term deposits		0.61			16		0.67			16		0.65			15		0.64			18		1.13			32		0.63			46		1.01			85
Total interest-bearing deposits		0.25			41		0.22			34		0.22			33		0.24			40		0.34			58		0.23			108		0.34			176
Interest-bearing deposits held for sale		—			—		0.21			2		0.23			2		—			—		—			—		0.22			4		—			—
Federal funds purchased and securities sold under agreements to repurchase1		0.54			9		0.09			1		1.02			15		4.02			42		8.38			35		0.55			25		10.83			150
Other short-term borrowed funds		1.21			21		2.00			30		2.07			19		0.80			1		53.87			2		1.69			70		2.29			4
Long-term borrowed funds		4.39			22		4.63			17		4.61			16		4.70			14		4.42			8		4.51			55		3.38			16
Total borrowed funds		1.34			52		1.46			48		1.84			50		3.93			57		7.48			45		1.52			150		8.39			170
Total interest-bearing liabilities		0.45			93		0.43			84		0.45			85		0.52			97		0.57			103		0.44			262		0.64			346
INTEREST RATE SPREAD		2.63	%				2.73	%				2.74	%				2.66	%				2.70	%				2.70	%				2.64	%
NET INTEREST MARGIN		2.77					2.87					2.89					2.83					2.88					2.84					2.85
Memo: Total deposit costs		0.18			41		0.15			36		0.16			35		0.17			40		0.25			58		0.16			112		0.25			176

¹  Balances are net of certain short-term receivables associated with reverse repurchase agreements; interest expense includes the full cost of the repurchase agreements and certain hedging costs.

10

SEGMENT FINANCIAL HIGHLIGHTS - CONSOLIDATING

(dollars in millions, except ratios)

	THIRD QUARTER 2014												SECOND QUARTER 2014												CHANGE
																									3Q14 from 2Q14
	Consumer Banking			Commercial Banking			Other1			Consolidated			Consumer Banking			Commercial Banking			Other1			Consolidated			$			%
Net interest income	$	532		$	270		$	18		$	820		$	546		$	264		$	23		$	833		($	13	)		(2	)%
Noninterest income		226			104			11			341			236			107			297			640			(299	)		(47	)
Total revenue		758			374			29			1,161			782			371			320			1,473			(312	)		(21	)
Noninterest expense		609			162			39			810			655			157			136			948			(138	)		(15	)
Profit before provision for credit losses		149			212			(10	)		351			127			214			184			525			(174	)		(33	)
Provision for credit losses		66			—			11			77			59			(2	)		(8	)		49			28			57
Income (loss) before income tax expense (benefit)		83			212			(21	)		274			68			216			192			476			(202	)		(42	)
Income tax expense (benefit)		29			73			(17	)		85			24			75			64			163			(78	)		(48	)
Net income (loss)	$	54		$	139		($	4	)	$	189		$	44		$	141		$	128		$	313		($	124	)		(40	)
Average Balances
Total assets	$	49,012		$	38,854		$	40,825		$	128,691		$	48,556		$	38,022		$	40,570		$	127,148		$	1,543			1	%
Total loans and leases2		47,848			37,787			4,218			89,853			47,368			37,389			4,434			89,191			662			1
Deposits3		65,609			20,985			5,082			91,676			70,181			18,358			3,627			92,166			(490	)		(1	)
Interest-earning assets		47,885			37,927			31,384			117,196			47,397			37,505			31,090			115,992			1,204			1
Key Metrics
Net interest margin		4.40	%		2.82	%		NM			2.77	%		4.62	%		2.82	%		NM			2.87	%		(10) bps			—
Efficiency ratio4		80.42			43.35			NM			69.84			83.61			42.36			NM			64.33			551 bps			—
Loans-to-deposits ratio (average balances)		72.93			180.06			NM			98.01			67.49			203.67			NM			96.77			124 bps			—
Return on average total tangible assets4		0.44			1.42			NM			0.61			0.37			1.50			NM			1.04			(43) bps			—
Return on average tangible common equity4		4.57			13.10			NM			5.81			3.87			13.78			NM			9.59			(378) bps			—

¹  Includes the financial impact of non-core, liquidating loan portfolios and other non-core assets, our treasury activities, wholesale funding activities, securities portfolio, community development assets and other unallocated assets, liabilities, revenues, provision for credit losses and expenses not attributed to our Consumer Banking or Commercial Banking segments.

²  Includes loans and leases held for sale.

³  Includes deposits held for sale.

⁴  These are non-GAAP financial measures. For further information on these measures, refer to pages 30-36.

11

SEGMENT FINANCIAL HIGHLIGHTS - CONSOLIDATING, (CONTINUED)

(dollars in millions, except ratios)

	THIRD QUARTER 2014												THIRD QUARTER 2013												CHANGE
																									3Q14 from 3Q13
	Consumer Banking			Commercial Banking			Other1			Consolidated			Consumer Banking			Commercial Banking			Other1			Consolidated			$			%
Net interest income (expense)	$	532		$	270		$	18		$	820		$	543		$	263		($	36	)	$	770		$	50			6	%
Noninterest income		226			104			11			341			246			93			44			383			(42	)		(11	)
Total revenue		758			374			29			1,161			789			356			8			1,153			8			1
Noninterest expense		609			162			39			810			622			156			10			788			22			3
Profit (loss) before provision for credit losses		149			212			(10	)		351			167			200			(2	)		365			(14	)		(4	)
Provision for credit losses		66			—			11			77			87			3			55			145			(68	)		(47	)
Income (loss) before income tax expense (benefit)		83			212			(21	)		274			80			197			(57	)		220			54			25
Income tax expense (benefit)		29			73			(17	)		85			28			70			(22	)		76			9			12
Net income (loss)	$	54		$	139		($	4	)	$	189		$	52		$	127		($	35	)	$	144		$	45			31
Average Balances
Total assets	$	49,012		$	38,854		$	40,825		$	128,691		$	46,169		$	35,019		$	36,198		$	117,386		$	11,305			10	%
Total loans and leases2		47,848			37,787			4,218			89,853			44,766			34,510			5,593			84,869			4,984			6
Deposits3		65,609			20,985			5,082			91,676			72,220			17,774			3,149			93,143			(1,467	)		(2	)
Interest-earning assets		47,885			37,927			31,384			117,196			44,795			34,644			26,418			105,857			11,339			11
Key Metrics
Net interest margin		4.40	%		2.82	%		NM			2.77	%		4.81	%		3.02	%		NM			2.88	%		(11) bps			—
Efficiency ratio4		80.42			43.35			NM			69.84			78.83			43.69			NM			68.49			135 bps			—
Loans-to-deposits ratio (average balances)		72.93			180.06			NM			98.01			61.99			194.16			NM			91.12			689 bps			—
Return on average total tangible assets4		0.44			1.42			NM			0.61			0.45			1.46			NM			0.52			9 bps			—
Return on average tangible common equity4		4.57			13.10			NM			5.81			4.69			13.24			NM			4.34			147 bps			—

¹  Includes the financial impact of non-core, liquidating loan portfolios and other non-core assets, our treasury activities, wholesale funding activities, securities portfolio, community development assets and other unallocated assets, liabilities, revenues, provision for credit losses and expenses not attributed to our Consumer Banking or Commercial Banking segments.

²  Includes loans and leases held for sale.

³  Includes deposits held for sale.

⁴  These are non-GAAP financial measures. For further information on these measures, refer to pages 30-36.

12

SEGMENT FINANCIAL HIGHLIGHTS - CONSOLIDATING, (CONTINUED)

(dollars in millions, except ratios)

	NINE MONTHS ENDED SEPTEMBER 30, 2014											NINE MONTHS ENDED SEPTEMBER 30, 2013												CHANGE
																								2014 from 2013
	Consumer Banking			Commercial Banking			Other1		Consolidated			Consumer Banking			Commercial Banking			Other1			Consolidated			$			%
Net interest income (expense)	$	1,615		$	790		$	56	$	2,461		$	1,633		$	771		($	125	)	$	2,279		$	182			8	%
Noninterest income		681			318			340		1,339			790			284			179			1,253			86			7
Total revenue		2,296			1,108			396		3,800			2,423			1,055			54			3,532			268			8
Noninterest expense		1,902			472			194		2,568			1,884			471			4,506			6,861			(4,293	)		(63	)
Profit (loss) before provision for credit losses		394			636			202		1,232			539			584			(4,452	)		(3,329	)		4,561			137
Provision for credit losses		195			(7	)		59		247			243			(21	)		125			347			(100	)		(29	)
Income (loss) before income tax expense (benefit)		199			643			143		985			296			605			(4,577	)		(3,676	)		4,661			127
Income tax expense (benefit)		69			222			26		317			104			214			(416	)		(98	)		415			423
Net income (loss)	$	130		$	421		$	117	$	668		$	192		$	391		($	4,161	)	($	3,578	)	$	4,246			119
Average Balances
Total assets	$	48,398		$	37,951		$	40,249	$	126,598		$	46,546		$	34,938		$	39,542		$	121,026		$	5,572			5	%
Total loans and leases2		47,203			37,263			4,424		88,890			45,213			34,297			6,200			85,710			3,180			4
Deposits3		68,834			18,941			4,038		91,813			72,405			17,481			3,501			93,387			(1,574	)		(2	)
Interest-earning assets		47,236			37,395			30,699		115,330			45,241			34,418			26,876			106,535			8,795			8
Key Metrics
Net interest margin		4.57	%		2.82	%		NM		2.84	%		4.83	%		3.00	%		NM			2.85	%		(1) bps			—
Efficiency ratio4		82.82			42.62			NM		67.58			77.78			44.64			NM			194.29			(12,671) bps			—
Loans-to-deposits ratio (average balances)		68.58			196.74			NM		96.82			62.44			196.20			NM			91.74			508 bps			—
Return on average total tangible assets4		0.36			1.48			NM		0.74			0.55			1.51			NM			(3.05	)		379 bps			—
Return on average tangible common equity4		3.76			13.67			NM		6.90			5.86			13.59			NM			(25.54	)		3,244 bps			—

¹  Includes the financial impact of non-core, liquidating loan portfolios and other non-core assets, our treasury activities, wholesale funding activities, securities portfolio, community development assets and other unallocated assets, liabilities, revenues, provision for credit losses and expenses not attributed to our Consumer Banking or Commercial Banking segments.

²  Includes loans and leases held for sale.

³  Includes deposits held for sale.

⁴  These are non-GAAP financial measures. For further information on these measures, refer to pages 30-36.

13

SEGMENT FINANCIAL HIGHLIGHTS - CONSUMER BANKING

(dollars in millions, except ratios)

	QUARTERLY TRENDS																											FOR THE NINE MONTHS ENDED SEPTEMBER 30,
CONSUMER BANKING																3Q14 Change																		2014 Change
	3Q14			2Q14			1Q14			4Q13			3Q13			2Q14						3Q13						2014			2013			2013
																$			%			$			%									$			%
Net interest income	$	532		$	546		$	537		$	543		$	543		($	14	)		(3	)%	($	11	)		(2	)%	$	1,615		$	1,633		($	18	)		(1	)%
Noninterest income		226			236			219			235			246			(10	)		(4	)		(20	)		(8	)		681			790			(109	)		(14	)
Total revenue		758			782			756			778			789			(24	)		(3	)		(31	)		(4	)		2,296			2,423			(127	)		(5	)
Noninterest expense		609			655			638			638			622			(46	)		(7	)		(13	)		(2	)		1,902			1,884			18			1
Profit before provision for credit losses		149			127			118			140			167			22			17			(18	)		(11	)		394			539			(145	)		(27	)
Provision for credit losses		66			59			70			65			87			7			12			(21	)		(24	)		195			243			(48	)		(20	)
Income before income tax expense		83			68			48			75			80			15			22			3			4			199			296			(97	)		(33	)
Income tax expense		29			24			16			25			28			5			21			1			4			69			104			(35	)		(34	)
Net income	$	54		$	44		$	32		$	50		$	52		$	10			23		$	2			4		$	130		$	192		($	62	)		(32	)
Average Balances
Total assets	$	49,012		$	48,556		$	47,610		$	46,225		$	46,169		$	456			1	%	$	2,843			6	%	$	48,398		$	46,546		$	1,852			4	%
Total loans and leases1		47,848			47,368			46,154			44,790			44,766			480			1			3,082			7			47,203			45,213			1,990			4
Deposits2		65,609			70,181			70,769			71,423			72,220			(4,572	)		(7	)		(6,611	)		(9	)		68,834			72,405			(3,571	)		(5	)
Interest-earning assets		47,885			47,397			46,185			44,823			44,795			488			1			3,090			7			47,236			45,241			1,995			4
Key Metrics
Net interest margin		4.40	%		4.62	%		4.72	%		4.81	%		4.81	%		(22) bps			—			(41) bps			—			4.57	%		4.83	%		(26) bps			—
Efficiency ratio4		80.42			83.61			84.39			81.84			78.83			(319) bps			—			159 bps			—			82.82			77.78			504 bps			—
Loans-to-deposits ratio (average balances)		72.93			67.49			65.22			62.71			61.99			544 bps			—			1,094 bps			—			68.58			62.44			614 bps			—
Return on average total tangible assets4		0.44			0.37			0.27			0.42			0.45			7 bps			—			(1) bps			—			0.36			0.55			(19) bps			—
Return on average tangible common equity3,4		4.57			3.87			2.81			4.40			4.69			70 bps			—			(12) bps			—			3.76			5.86			(210) bps			—

¹  Includes loans and leases held for sale.

²  Includes deposits held for sale.

³  Operating segments are allocated capital on a risk-adjusted basis considering economic and regulatory capital requirements.

⁴  These are non-GAAP financial measures. For further information on these measures, refer to pages 30-36.

14

SEGMENT FINANCIAL HIGHLIGHTS - COMMERCIAL BANKING

(dollars in millions, except ratios)

	QUARTERLY TRENDS																											FOR THE NINE MONTHS ENDED SEPTEMBER 30,
COMMERCIAL BANKING																3Q14 Change																		2014 Change
	3Q14			2Q14			1Q14			4Q13			3Q13			2Q14						3Q13						2014			2013			2013
																$			%			$			%									$		%
Net interest income	$	270		$	264		$	256		$	260		$	263		$	6			2	%	$	7			3	%	$	790		$	771		$	19		2	%
Noninterest income		104			107			107			105			93			(3	)		(3	)		11			12			318			284			34		12
Total revenue		374			371			363			365			356			3			1			18			5			1,108			1,055			53		5
Noninterest expense		162			157			153			164			156			5			3			6			4			472			471			1		—
Profit before provision for credit losses		212			214			210			201			200			(2	)		(1	)		12			6			636			584			52		9
Provision for credit losses		—			(2	)		(5	)		14			3			2			100			(3	)		(100	)		(7	)		(21	)		14		67
Income before income tax expense		212			216			215			187			197			(4	)		(2	)		15			8			643			605			38		6
Income tax expense		73			75			74			64			70			(2	)		(3	)		3			4			222			214			8		4
Net income	$	139		$	141		$	141		$	123		$	127		($	2	)		(1	)	$	12			9		$	421		$	391		$	30		8
Average Balances
Total assets	$	38,854		$	38,022		$	36,955		$	36,094		$	35,019		$	832			2	%	$	3,835			11	%	$	37,951		$	34,938		$	3,013		9	%
Total loans and leases		37,787			37,389			36,577			35,684			34,510			398			1			3,277			9			37,263			34,297			2,966		9
Deposits		20,985			18,358			17,440			17,623			17,774			2,627			14			3,211			18			18,941			17,481			1,460		8
Interest-earning assets		37,927			37,505			36,716			35,820			34,644			422			1			3,283			9			37,395			34,418			2,977		9
Key Metrics
Net interest margin		2.82	%		2.82	%		2.83	%		2.88	%		3.02	%		—   bps			—			(20) bps			—			2.82	%		3.00	%		(18) bps		—
Efficiency ratio2		43.35			42.36			42.13			44.73			43.69			99 bps			—			(34) bps			—			42.62			44.64			(202) bps		—
Loans-to-deposits ratio (average balances)		180.06			203.67			209.74			202.49			194.16			(2,361) bps			—			(1,410) bps			—			196.74			196.20			54 bps		—
Return on average total tangible assets2		1.42			1.50			1.54			1.33			1.46			(8) bps			—			(4) bps			—			1.48			1.51			(3) bps		—
Return on average tangible common equity1,2		13.10			13.78			14.17			12.10			13.24			(68) bps			—			(14) bps			—			13.67			13.59			8 bps		—

¹  Operating segments are allocated capital on a risk-adjusted basis considering economic and regulatory capital requirements.

²  These are non-GAAP financial measures. For further information on these measures, refer to pages 30-36.

15

FINANCIAL HIGHLIGHTS - OTHER

(dollars in millions)

	QUARTERLY TRENDS																											FOR THE NINE MONTHS ENDED SEPTEMBER 30,
OTHER1																3Q14 Change																	2014 Change
	3Q14			2Q14			1Q14			4Q13			3Q13			2Q14						3Q13						2014		2013			2013
																$			%			$			%								$			%
Net interest income (expense)	$	18		$	23		$	15		($	24	)	($	36	)	($	5	)		(22	)%	$	54			150	%	$	56	($	125	)	$	181			145	%
Noninterest income		11			297			32			39			44			(286	)		(96	)		(33	)		(75	)		340		179			161			90
Total revenue		29			320			47			15			8			(291	)		(91	)		21			263			396		54			342			633
Noninterest expense		39			136			19			16			10			(97	)		(71	)		29			290			194		4,506			(4,312	)		(96	)
Profit (loss) before provision for credit losses		(10	)		184			28			(1	)		(2	)		(194	)		(105	)		(8	)		(400	)		202		(4,452	)		4,654			105
Provision for credit losses		11			(8	)		56			53			55			19			238			(44	)		(80	)		59		125			(66	)		(53	)
Income (loss) before income tax expense (benefit)		(21	)		192			(28	)		(54	)		(57	)		(213	)		(111	)		36			63			143		(4,577	)		4,720			103
Income tax expense (benefit)		(17	)		64			(21	)		(33	)		(22	)		(81	)		(127	)		5			23			26		(416	)		442			106
Net income (loss)	($	4	)	$	128		($	7	)	($	21	)	($	35	)	($	132	)		(103	)	$	31			89		$	117	($	4,161	)	$	4,278			103
Average Balances
Total assets	$	40,825		$	40,570		$	39,339		$	38,074		$	36,198		$	255			1	%	$	4,627			13	%	$	40,249	$	39,542		$	707			2	%
Total loans and leases		4,218			4,434			4,620			5,578			5,593			(216	)		(5	)		(1,375	)		(25	)		4,424		6,200			(1,776	)		(29	)
Deposits		5,082			3,627			3,387			4,138			3,149			1,455			40			1,933			61			4,038		3,501			537			15
Interest-earning assets		31,384			31,090			29,604			28,329			26,418			294			1			4,966			19			30,699		26,876			3,823			14

¹  Includes the financial impact of non-core, liquidating loan portfolios and other non-core assets, our treasury activities, wholesale funding activities, securities portfolio, community development assets and other unallocated assets, liabilities, revenues, provision for credit losses and expenses not attributed to our Consumer Banking or Commercial Banking segments.

16

FINANCIAL HIGHLIGHTS - CONSOLIDATED

(dollars in millions, except ratios)

	QUARTERLY TRENDS																											FOR THE NINE MONTHS ENDED SEPTEMBER 30,
CONSOLIDATED																3Q14 Change																		2014 Change
	3Q14			2Q14			1Q14			4Q13			3Q13			2Q14						3Q13						2014			2013			2013
																$			%			$			%									$			%
Net interest income	$	820		$	833		$	808		$	779		$	770		($	13	)		(2	)%	$	50			6	%	$	2,461		$	2,279		$	182			8	%
Noninterest income		341			640			358			379			383			(299	)		(47	)		(42	)		(11	)		1,339			1,253			86			7
Total revenue		1,161			1,473			1,166			1,158			1,153			(312	)		(21	)		8			1			3,800			3,532			268			8
Noninterest expense		810			948			810			818			788			(138	)		(15	)		22			3			2,568			6,861			(4,293	)		(63	)
Profit (loss) before provision for credit losses		351			525			356			340			365			(174	)		(33	)		(14	)		(4	)		1,232			(3,329	)		4,561			137
Provision for credit losses		77			49			121			132			145			28			57			(68	)		(47	)		247			347			(100	)		(29	)
Income (loss) before income tax expense (benefit)		274			476			235			208			220			(202	)		(42	)		54			25			985			(3,676	)		4,661			127
Income tax expense (benefit)		85			163			69			56			76			(78	)		(48	)		9			12			317			(98	)		415			423
Net income (loss)	$	189		$	313		$	166		$	152		$	144		($	124	)		(40	)	$	45			31		$	668		($	3,578	)	$	4,246			119
Average Balances
Total assets	$	128,691		$	127,148		$	123,904		$	120,393		$	117,386		$	1,543			1	%	$	11,305			10	%	$	126,598		$	121,026		$	5,572			5	%
Total loans and leases1		89,853			89,191			87,351			86,052			84,869			662			1			4,984			6			88,890			85,710			3,180			4
Deposits2		91,676			92,166			91,596			93,184			93,143			(490	)		(1	)		(1,467	)		(2	)		91,813			93,387			(1,574	)		(2	)
Interest-earning assets		117,196			115,992			112,505			108,972			105,857			1,204			1			11,339			11			115,330			106,535			8,795			8
Key Metrics
Net interest margin		2.77	%		2.87	%		2.89	%		2.83	%		2.88	%		(10) bps			—			(11) bps			—			2.84	%		2.85	%		(1) bps			—
Efficiency ratio3		69.84			64.33			69.43			70.62			68.49			551 bps			—			135 bps			—			67.58			194.29			(12,671) bps			—
Loans-to-deposits ratio (average balances)		98.01			96.77			95.37			92.35			91.12			124 bps			—			689 bps			—			96.82			91.74			508 bps			—
Return on average total tangible assets3		0.61			1.04			0.57			0.53			0.52			(43) bps			—			9 bps			—			0.74			(3.05	)		379 bps			—
Return on average tangible common equity3		5.81			9.59			5.24			4.71			4.34			(378) bps			—			147 bps			—			6.90			(25.54	)		3,244 bps			—

¹  Includes loans and leases held for sale.

²  Includes deposits held for sale.

³  These are non-GAAP financial measures. For further information on these measures, refer to pages 30-36.

17

SEGMENT FINANCIAL HIGHLIGHTS

(dollars in millions)

	QUARTERLY TRENDS																									FOR THE NINE MONTHS ENDED SEPTEMBER 30,
														3Q14 Change																	2014 Change
	3Q14			2Q14		1Q14		4Q13			3Q13			2Q14						3Q13						2014		2013			2013
														$			%			$			%								$			%
Net interest income:
Consumer Banking	$	532		$	546	$	537	$	543		$	543		($	14	)		(3	)%	($	11	)		(2	%)	$	1,615	$	1,633		($	18	)		(1	)%
Commercial Banking		270			264		256		260			263			6			2			7			3			790		771			19			2
Other		18			23		15		(24	)		(36	)		(5	)		(22	)		54			150			56		(125	)		181			145
Net interest income	$	820		$	833	$	808	$	779		$	770		($	13	)		(2	)	$	50			6		$	2,461	$	2,279		$	182			8
Noninterest income:
Consumer Banking	$	226		$	236	$	219	$	235		$	246		($	10	)		(4	)%	($	20	)		(8	)%	$	681	$	790		($	109	)		(14	)%
Commercial Banking		104			107		107		105			93			(3	)		(3	)		11			12			318		284			34			12
Other		11			297		32		39			44			(286	)		(96	)		(33	)		(75	)		340		179			161			90
Noninterest income	$	341		$	640	$	358	$	379		$	383		($	299	)		(47	)	($	42	)		(11	)	$	1,339	$	1,253		$	86			7
Total revenue:
Consumer Banking	$	758		$	782	$	756	$	778		$	789		($	24	)		(3	)%	($	31	)		(4	)%	$	2,296	$	2,423		($	127	)		(5	)%
Commercial Banking		374			371		363		365			356			3			1			18			5			1,108		1,055			53			5
Other		29			320		47		15			8			(291	)		(91	)		21			263			396		54			342			633
Total revenue	$	1,161		$	1,473	$	1,166	$	1,158		$	1,153		($	312	)		(21	)	$	8			1		$	3,800	$	3,532		$	268			8
Noninterest expense:
Consumer Banking	$	609		$	655	$	638	$	638		$	622		($	46	)		(7	)%	($	13	)		(2	%)	$	1,902	$	1,884		$	18			1	%
Commercial Banking		162			157		153		164			156			5			3			6			4			472		471			1			—
Other		39			136		19		16			10			(97	)		(71	)		29			290			194		4,506			(4,312	)		(96	)
Noninterest expense	$	810		$	948	$	810	$	818		$	788		($	138	)		(15	)	$	22			3		$	2,568	$	6,861		($	4,293	)		(63	)
Profit (loss) before provision for credit losses:
Consumer Banking	$	149		$	127	$	118	$	140		$	167		$	22			17	%	($	18	)		(11	)%	$	394	$	539		($	145	)		(27	)%
Commercial Banking		212			214		210		201			200			(2	)		(1	)		12			6			636		584			52			9
Other		(10	)		184		28		(1	)		(2	)		(194	)		(105	)		(8	)		(400	)		202		(4,452	)		4,654			105
Profit (loss) before provision for credit losses	$	351		$	525	$	356	$	340		$	365		($	174	)		(33	)	($	14	)		(4	)	$	1,232	($	3,329	)	$	4,561			137

18

SEGMENT FINANCIAL HIGHLIGHTS, CONTINUED

(dollars in millions)

	QUARTERLY TRENDS																											FOR THE NINE MONTHS ENDED SEPTEMBER 30,
	3Q14			2Q14			1Q14			4Q13			3Q13			3Q14 Change																		2014 Change
																2Q14						3Q13						2014			2013			2013
																$			%			$			%									$			%
Provision for credit losses:
Consumer Banking	$	66		$	59		$	70		$	65		$	87		$	7			12	%	($	21	)		(24	)%	$	195		$	243		($	48	)		(20	)%
Commercial Banking		—			(2	)		(5	)		14			3			2			100			(3	)		(100	)		(7	)		(21	)		14			67
Other		11			(8	)		56			53			55			19			238			(44	)		(80	)		59			125			(66	)		(53	)
Provision for credit losses	$	77		$	49		$	121		$	132		$	145		$	28			57		($	68	)		(47	)	$	247		$	347		($	100	)		(29	)
Income (loss) before income tax expense (benefit):
Consumer Banking	$	83		$	68		$	48		$	75		$	80		$	15			22	%	$	3			4	%	$	199		$	296		($	97	)		(33	)%
Commercial Banking		212			216			215			187			197			(4	)		(2	)		15			8			643			605			38			6
Other		(21	)		192			(28	)		(54	)		(57	)		(213	)		(111	)		36			63			143			(4,577	)		4,720			103
Income (loss) before income tax expense (benefit)	$	274		$	476		$	235		$	208		$	220		($	202	)		(42	)	$	54			25		$	985		($	3,676	)	$	4,661			127
Income tax expense (benefit):
Consumer Banking	$	29		$	24		$	16		$	25		$	28		$	5			21	%	$	1			4	%	$	69		$	104		($	35	)		(34	)%
Commercial Banking		73			75			74			64			70			(2	)		(3	)		3			4			222			214			8			4
Other		(17	)		64			(21	)		(33	)		(22	)		(81	)		(127	)		5			23			26			(416	)		442			106
Income tax expense (benefit)	$	85		$	163		$	69		$	56		$	76		($	78	)		(48	)	$	9			12		$	317		($	98	)	$	415			423
Net income (loss):
Consumer Banking	$	54		$	44		$	32		$	50		$	52		$	10			23	%	$	2			4	%	$	130		$	192		($	62	)		(32	)%
Commercial Banking		139			141			141			123			127			(2	)		(1	)		12			9			421			391			30			8
Other		(4	)		128			(7	)		(21	)		(35	)		(132	)		(103	)		31			89			117			(4,161	)		4,278			103
Net income (loss)	$	189		$	313		$	166		$	152		$	144		($	124	)		(40	)	$	45			31		$	668		($	3,578	)	$	4,246			119

19

SEGMENT FINANCIAL HIGHLIGHTS, CONTINUED

(dollars in millions)

	QUARTERLY TRENDS																						FOR THE NINE MONTHS ENDED SEPTEMBER 30,
AVERAGE BALANCES											3Q14 Change																2014 Change
	3Q14		2Q14		1Q14		4Q13		3Q13		2Q14						3Q13						2014		2013		2013
											$			%			$			%							$			%
Total assets:
Consumer Banking	$	49,012	$	48,556	$	47,610	$	46,225	$	46,169	$	456			1	%	$	2,843			6	%	$	48,398	$	46,546	$	1,852			4	%
Commercial Banking		38,854		38,022		36,955		36,094		35,019		832			2			3,835			11			37,951		34,938		3,013			9
Other		40,825		40,570		39,339		38,074		36,198		255			1			4,627			13			40,249		39,542		707			2
Total assets	$	128,691	$	127,148	$	123,904	$	120,393	$	117,386	$	1,543			1		$	11,305			10		$	126,598	$	121,026	$	5,572			5
Loans and leases1:
Consumer Banking	$	47,848	$	47,368	$	46,154	$	44,790	$	44,766	$	480			1	%	$	3,082			7	%	$	47,203	$	45,213	$	1,990			4	%
Commercial Banking		37,787		37,389		36,577		35,684		34,510		398			1			3,277			9			37,263		34,297		2,966			9
Other		4,218		4,434		4,620		5,578		5,593		(216	)		(5	)		(1,375	)		(25	)		4,424		6,200		(1,776	)		(29	)
Total loans and leases	$	89,853	$	89,191	$	87,351	$	86,052	$	84,869	$	662			1		$	4,984			6		$	88,890	$	85,710	$	3,180			4
Deposits2:
Consumer Banking	$	65,609	$	70,181	$	70,769	$	71,423	$	72,220	($	4,572	)		(7	)%	($	6,611	)		(9	)%	$	68,834	$	72,405	($	3,571	)		(5	)%
Commercial Banking		20,985		18,358		17,440		17,623		17,774		2,627			14			3,211			18			18,941		17,481		1,460			8
Other		5,082		3,627		3,387		4,138		3,149		1,455			40			1,933			61			4,038		3,501		537			15
Total deposits	$	91,676	$	92,166	$	91,596	$	93,184	$	93,143	($	490	)		(1	)	($	1,467	)		(2	)	$	91,813	$	93,387	($	1,574	)		(2	)
Interest-earning assets:
Consumer Banking	$	47,885	$	47,397	$	46,185	$	44,823	$	44,795	$	488			1	%	$	3,090			7	%	$	47,236	$	45,241	$	1,995			4	%
Commercial Banking		37,927		37,505		36,716		35,820		34,644		422			1			3,283			9			37,395		34,418		2,977			9
Other		31,384		31,090		29,604		28,329		26,418		294			1			4,966			19			30,699		26,876		3,823			14
Total interest-earning assets	$	117,196	$	115,992	$	112,505	$	108,972	$	105,857	$	1,204			1		$	11,339			11		$	115,330	$	106,535	$	8,795			8

¹  Includes loans and leases held for sale.

²  Includes deposits held for sale.

20

SEGMENT FINANCIAL HIGHLIGHTS, CONTINUED

	QUARTERLY TRENDS																							FOR THE NINE MONTHS ENDED SEPTEMBER 30,
KEY METRICS																3Q14 Change														2014 Change
	3Q14			2Q14			1Q14			4Q13			3Q13			2Q14				3Q13				2014			2013			2013
																bps				bps										bps
Net Interest Margin (NIM)
Consumer Banking		4.40	%		4.62	%		4.72	%		4.81	%		4.81	%		(22	)	—		(41	)	—		4.57	%		4.83	%		(26	)	—
Commercial Banking		2.82			2.82			2.83			2.88			3.02			—		—		(20	)	—		2.82			3.00			(18	)	—
Other		NM			NM			NM			NM			NM			—		—		—		—		NM			NM			—		—
NIM		2.77			2.87			2.89			2.83			2.88			(10	)	—		(11	)	—		2.84			2.85			(1	)	—
Efficiency Ratio3
Consumer Banking		80.42	%		83.61	%		84.39	%		81.84	%		78.83	%		(319	)	—		159		—		82.82	%		77.78	%		504		—
Commercial Banking		43.35			42.36			42.13			44.73			43.69			99		—		(34	)	—		42.62			44.64			(202	)	—
Other		NM			NM			NM			NM			NM			—		—		—		—		NM			NM			—		—
Efficiency Ratio		69.84			64.33			69.43			70.62			68.49			551		—		135		—		67.58			194.29			(12,671	)	—
Loans to Deposits Ratio (average balances) (LDR)1
Consumer Banking		72.93	%		67.49	%		65.22	%		62.71	%		61.99	%		544		—		1,094		—		68.58	%		62.44	%		614		—
Commercial Banking		180.06			203.67			209.74			202.49			194.16			(2,361	)	—		(1,410	)	—		196.74			196.20			54		—
Other		NM			NM			NM			NM			NM			—		—		—		—		NM			NM			—		—
LDR		98.01			96.77			95.37			92.35			91.12			124		—		689		—		96.82			91.74			508		—
Return on Average Total Tangible Assets (ROTA)3
Consumer Banking		0.44	%		0.37	%		0.27	%		0.42	%		0.45	%		7		—		(1	)	—		0.36	%		0.55	%		(19	)	—
Commercial Banking		1.42			1.50			1.54			1.33			1.46			(8	)	—		(4	)	—		1.48			1.51			(3	)	—
Other		NM			NM			NM			NM			NM			—		—		—		—		NM			NM			—		—
ROTA		0.61			1.04			0.57			0.53			0.52			(43	)	—		9		—		0.74			(3.05	)		379		—
Return on Average Tangible Common Equity (ROTCE)2,3
Consumer Banking		4.57	%		3.87	%		2.81	%		4.40	%		4.69	%		70		—		(12	)	—		3.76	%		5.86	%		(210	)	—
Commercial Banking		13.10			13.78			14.17			12.10			13.24			(68	)	—		(14	)	—		13.67			13.59			8		—
Other		NM			NM			NM			NM			NM			—		—		—		—		NM			NM			—		—
ROTCE		5.81			9.59			5.24			4.71			4.34			(378	)	—		147		—		6.90			(25.54	)		3,244		—

¹  Includes loans and leases and deposits held for sale.

²  Operating segments are allocated capital on a risk-adjusted basis considering economic and regulatory capital requirements.

³  These are non-GAAP financial measures. For further information on these measures, refer to pages 30-36.

21

CREDIT-RELATED INFORMATION

(dollars in millions)

	AS OF										SEPT 30, 2014 CHANGE
	Sept 30, 2014		June 30, 2014		Mar 31, 2014		Dec 31, 2013		Sept 30, 2013		June 30, 2014						Sept 30, 2013
											$			%			$			%
CREDIT EXPOSURE:
Commercial	$	30,356	$	30,076	$	29,435	$	28,667	$	28,984	$	280			1	%	$	1,372			5	%
Commercial real estate		7,239		7,158		6,902		6,948		6,524		81			1			715			11
Leases		3,875		3,740		3,738		3,780		3,576		135			4			299			8
Total commercial		41,470		40,974		40,075		39,395		39,084		496			1			2,386			6
Residential, including originated home equity products		30,458		30,116		29,761		29,694		29,762		342			1			696			2
Home equity products serviced by others		1,870		1,972		2,075		2,171		2,281		(102	)		(5	)		(411	)		(18	)
Other secured retail		13,206		12,180		11,216		10,700		10,427		1,026			8			2,779			27
Unsecured retail		3,745		3,587		3,956		3,899		3,939		158			4			(194	)		(5	)
Total retail		49,279		47,855		47,008		46,464		46,409		1,424			3			2,870			6
Total loans and leases		90,749		88,829		87,083		85,859		85,493		1,920			2			5,256			6
Derivative receivable - commercial		542		627		621		647		731		(85	)		(14	)		(189	)		(26	)
Derivative receivable - retail		5		8		5		3		11		(3	)		(38	)		(6	)		(55	)
Total derivative receivable		547		635		626		650		742		(88	)		(14	)		(195	)		(26	)
Total credit-related assets		91,296		89,464		87,709		86,509		86,235		1,832			2			5,061			6
Undrawn commitments to extend credit - commercial		29,182		28,236		27,522		27,617		26,790		946			3			2,392			9
Financial standby letters of credit		2,498		2,622		2,646		2,556		2,798		(124	)		(5	)		(300	)		(11	)
Performance letters of credit		94		118		135		149		154		(24	)		(20	)		(60	)		(39	)
Commercial letters of credit		74		56		61		64		65		18			32			9			14
Marketing rights		51		51		51		54		54		—			—			(3	)		(6	)
Risk participation agreements		16		20		16		17		21		(4	)		(20	)		(5	)		(24	)
Total commercial lending-related arrangements		31,915		31,103		30,431		30,457		29,882		812			3			2,033			7
Undrawn commitments to extend credit - retail		26,151		26,117		26,536		26,370		26,401		34			—			(250	)		(1	)
Residential mortgage loans sold with recourse		11		12		13		13		14		(1	)		(8	)		(3	)		(21	)
Total retail lending-related arrangements		26,162		26,129		26,549		26,383		26,415		33			—			(253	)		(1	)
Total lending-related arrangements		58,077		57,232		56,980		56,840		56,297		845			1			1,780			3
Total credit exposure	$	149,373	$	146,696	$	144,689	$	143,349	$	142,532	$	2,677			2		$	6,841			5
Memo: Total credit exposure by product category
Commercial exposure	$	73,927	$	72,704	$	71,127	$	70,499	$	69,697	$	1,223			2	%	$	4,230			6	%
Retail exposure		75,446		73,992		73,562		72,850		72,835		1,454			2			2,611			4
Total credit exposure	$	149,373	$	146,696	$	144,689	$	143,349	$	142,532	$	2,677			2		$	6,841			5

22

CREDIT-RELATED INFORMATION, CONTINUED

(dollars in millions, except ratios)

	AS OF															SEPT 30, 2014 CHANGE
	Sept 30, 2014			June 30, 2014			Mar 31, 2014			Dec 31, 2013			Sept 30, 2013			June 30, 2014						Sept 30, 2013
																$			%			$			%
NONPERFORMING ASSETS:
Commercial	$	93		$	63		$	73		$	96		$	102		$	30			48	%	($	9	)		(9	)%
Commercial real estate		83			130			155			169			238			(47	)		(36	)		(155	)		(65	)
Leases		—			2			2			—			—			(2	)		(100	)		—			—
Total commercial		176			195			230			265			340			(19	)		(10	)		(164	)		(48	)
Residential, including originated home equity products		770			876			973			981			1,169			(106	)		(12	)		(399	)		(34	)
Home equity products serviced by others		81			80			87			89			101			1			1			(20	)		(20	)
Other secured retail		22			18			23			26			26			4			22			(4	)		(15	)
Unsecured retail		30			31			50			55			55			(1	)		(3	)		(25	)		(45	)
Total retail		903			1,005			1,133			1,151			1,351			(102	)		(10	)		(448	)		(33	)
Nonperforming loans and leases1		1,079			1,200			1,363			1,416			1,691			(121	)		(10	)		(612	)		(36	)
Commercial		3			4			4			10			13			(1	)		(25	)		(10	)		(77	)
Retail		39			37			41			40			37			2			5			2			5
Other real estate owned		42			41			45			50			50			1			2			(8	)		(16	)
Nonperforming assets	$	1,121		$	1,241		$	1,408		$	1,466		$	1,741		($	120	)		(10	)	($	620	)		(36	)
NONPERFORMING ASSETS BY PRODUCT CATEGORY:
Commercial	$	179		$	199		$	234		$	275		$	353		($	20	)		(10	)%	($	174	)		(49	)%
Retail		942			1,042			1,174			1,191			1,388			(100	)		(10	)		(446	)		(32	)
Nonperforming assets	$	1,121		$	1,241		$	1,408		$	1,466		$	1,741		($	120	)		(10	)	($	620	)		(36	)
ASSET QUALITY RATIOS
Allowance for loan and lease losses to loans and leases		1.32	%		1.36	%		1.45	%		1.42	%		1.43	%		(4) bps			—			(11) bps			—
Allowance for loan and lease losses to nonperforming loans and leases		111.30			100.84			92.34			86.17			72.06			1,046 bps			—			3,924 bps			—
Nonperforming loans and leases to loans and leases		1.19			1.35			1.57			1.65			1.98			(16) bps			—			(79) bps			—
Nonperforming assets to total assets		0.85			0.95			1.11			1.20			1.45			(10) bps			—			(60) bps			—
1MEMO:
Accruing loans past due 90 days or more included above	$	8		$	12		$	42		$	33		$	44		($	4	)		(33	)%	($	36	)		(82	)%

23

CREDIT-RELATED INFORMATION, CONTINUED

(dollars in millions)

	QUARTERLY TRENDS																											FOR THE NINE MONTHS ENDED SEPTEMBER 30,
CHARGE-OFFS, RECOVERIES AND RELATED RATIOS																3Q14 Change																		2014 Change
	3Q14			2Q14			1Q14			4Q13			3Q13			2Q14						3Q13						2014			2013			2013
																$			%			$			%									$			%
GROSS CHARGE-OFFS:
Commercial	($	11	)	($	6	)	($	5	)	($	29	)	($	16	)	($	5	)		(83	)%	$	5			31	%	($	22	)	($	43	)	$	21			49	%
Commercial real estate		(5	)		(2	)		(1	)		(7	)		(7	)		(3	)		(150	)		2			29			(8	)		(29	)		21			72
Leases		—			—			—			—			—			—			—			—			—			—			—			—			—
Total commercial		(16	)		(8	)		(6	)		(36	)		(23	)		(8	)		(100	)		7			30			(30	)		(72	)		42			58
Residential, including originated home equity products		(45	)		(41	)		(52	)		(47	)		(70	)		(4	)		(10	)		25			36			(138	)		(186	)		48			26
Home equity products serviced by others		(17	)		(16	)		(21	)		(26	)		(33	)		(1	)		(6	)		16			48			(54	)		(120	)		66			55
Other secured retail		(24	)		(21	)		(20	)		(17	)		(20	)		(3	)		(14	)		(4	)		(20	)		(65	)		(57	)		(8	)		(14	)
Unsecured retail		(27	)		(31	)		(29	)		(35	)		(34	)		4			13			7			21			(87	)		(107	)		20			19
Total retail		(113	)		(109	)		(122	)		(125	)		(157	)		(4	)		(4	)		44			28			(344	)		(470	)		126			27
Total gross charge-offs	($	129	)	($	117	)	($	128	)	($	161	)	($	180	)	($	12	)		(10	)	$	51			28		($	374	)	($	542	)	$	168			31
GROSS RECOVERIES:
Commercial	$	7		$	18		$	6		$	10		$	7		($	11	)		(61	)%	$	—			—	%	$	31		$	36		($	5	)		(14	)%
Commercial real estate		5			3			8			8			10			2			67			(5	)		(50	)		16			32			(16	)		(50	)
Leases		—			—			—			—			1			—			—			(1	)		(100	)		—			1			(1	)		(100	)
Total commercial		12			21			14			18			18			(9	)		(43	)		(6	)		(33	)		47			69			(22	)		(32	)
Residential, including originated home equity products		16			10			14			16			16			6			60			—			—			40			39			1			3
Home equity products serviced by others		8			5			6			7			7			3			60			1			14			19			21			(2	)		(10	)
Other secured retail		4			8			2			—			3			(4	)		(50	)		1			33			14			12			2			17
Unsecured retail		1			5			5			5			5			(4	)		(80	)		(4	)		(80	)		11			15			(4	)		(27	)
Total retail		29			28			27			28			31			1			4			(2	)		(6	)		84			87			(3	)		(3	)
Total gross recoveries	$	41		$	49		$	41		$	46		$	49		($	8	)		(16	)	($	8	)		(16	)	$	131		$	156		($	25	)		(16	)
NET (CHARGE-OFFS) RECOVERIES:
Commercial	($	4	)	$	12		$	1		($	19	)	($	9	)	($	16	)		(133	)%	$	5			56	%	$	9		($	7	)	$	16			229	%
Commercial real estate		—			1			7			1			3			(1	)		(100	)		(3	)		(100	)		8			3			5			167
Leases		—			—			—			—			1			—			—			(1	)		(100	)		—			1			(1	)		(100	)
Total commercial		(4	)		13			8			(18	)		(5	)		(17	)		(131	)		1			20			17			(3	)		20			667
Residential, including originated home equity products		(29	)		(31	)		(38	)		(31	)		(54	)		2			6			25			46			(98	)		(147	)		49			33
Home equity products serviced by others		(9	)		(11	)		(15	)		(19	)		(26	)		2			18			17			65			(35	)		(99	)		64			65
Other secured retail		(20	)		(13	)		(18	)		(17	)		(17	)		(7	)		(54	)		(3	)		(18	)		(51	)		(45	)		(6	)		(13	)
Unsecured retail		(26	)		(26	)		(24	)		(30	)		(29	)		—			—			3			10			(76	)		(92	)		16			17
Total retail		(84	)		(81	)		(95	)		(97	)		(126	)		(3	)		(4	)		42			33			(260	)		(383	)		123			32
Total net (charge-offs) recoveries	($	88	)	($	68	)	($	87	)	($	115	)	($	131	)	($	20	)		(29	)	$	43			33		($	243	)	($	386	)	$	143			37

24

CREDIT-RELATED INFORMATION, CONTINUED

(dollars in millions, except rates)

	QUARTERLY TRENDS																											FOR THE NINE MONTHS ENDED SEPTEMBER 30,
																3Q14 Change																		2014 Change
	3Q14			2Q14			1Q14			4Q13			3Q13			2Q14						3Q13						2014			2013			2013
																$			%			$			%									$			%
ANNUALIZED NET (CHARGE-OFF) RECOVERY RATES:
Commercial		(0.04	)%		0.15	%		0.02	%		(0.25	)%		(0.12	)%		(19) bps			—			8 bps			—			0.04	%		(0.04	)%		8 bps			—
Commercial real estate		(0.06	)		0.06			0.43			0.02			0.19			(12) bps			—			(25) bps			—			0.14			0.07			7 bps			—
Leases		—			0.03			—			0.01			0.10			(3) bps			—			(10) bps			—			0.01			0.05			(4) bps			—
Total commercial		(0.04	)		0.12			0.09			(0.18	)		(0.05	)		(16) bps			—			1 bps			—			0.05			(0.01	)		6 bps			—
Residential, including originated home equity products		(0.38	)		(0.41	)		(0.53	)		(0.41	)		(0.72	)		3 bps			—			34 bps			—			(0.44	)		(0.65	)		21 bps			—
Home equity products serviced by others		(2.04	)		(2.11	)		(2.78	)		(3.37	)		(4.25	)		7 bps			—			221 bps			—			(2.32	)		(5.10	)		278 bps			—
Other secured retail		(0.67	)		(0.45	)		(0.69	)		(0.63	)		(0.67	)		(22) bps			—			—  bps			—			(0.60	)		(0.59	)		(1) bps			—
Unsecured retail		(2.44	)		(2.77	)		(2.54	)		(3.13	)		(2.98	)		33 bps			—			54 bps			—			(2.59	)		(3.15	)		56 bps			—
Total retail		(0.68	)		(0.68	)		(0.84	)		(0.83	)		(1.08	)		—   bps			—			40 bps			—			(0.73	)		(1.09	)		36 bps			—
Total loans and leases		(0.38	)		(0.31	)		(0.41	)		(0.53	)		(0.61	)		(7) bps			—			23 bps			—			(0.37	)		(0.61	)		24 bps			—
Memo: Average loans:
Commercial	$	30,186		$	29,674		$	29,108		$	29,058		$	28,522		$	512			2	%	$	1,664			6	%	$	29,666		$	28,519		$	1,147			4	%
Commercial real estate		7,216			7,082			6,898			6,859			6,435			134			2			781			12			7,067			6,469			598			9
Leases		3,789			3,716			3,723			3,619			3,505			73			2			284			8			3,743			3,410			333			10
Total commercial		41,191			40,472			39,729			39,536			38,462			719			2			2,729			7			40,476			38,398			2,078			5
Residential, including originated home equity products		30,316			29,933			29,711			29,814			29,553			383			1			763			3			29,986			30,126			(140	)		—
Home equity products serviced by others		1,908			2,015			2,113			2,212			2,402			(107	)		(5	)		(494	)		(21	)		2,012			2,586			(574	)		(22	)
Other secured retail		12,591			11,743			10,678			10,348			10,226			848			7			2,365			23			11,758			10,298			1,460			14
Unsecured retail		3,644			3,856			3,901			3,906			3,847			(212	)		(5	)		(203	)		(5	)		3,797			3,858			(61	)		(2	)
Total retail		48,459			47,547			46,403			46,280			46,028			912			2			2,431			5			47,553			46,868			685			1
Total loans and leases	$	89,650		$	88,019		$	86,132		$	85,816		$	84,490		$	1,631			2		$	5,160			6		$	88,029		$	85,266		$	2,763			3

25

CREDIT-RELATED INFORMATION, CONTINUED

(dollars in millions)

	QUARTERLY TRENDS																											FOR THE NINE MONTHS ENDED SEPTEMBER 30,
																3Q14 Change																		2014 Change
SUMMARY OF CHANGES IN THE COMPONENTS OF THE ALLOWANCE FOR CREDIT LOSSES	3Q14			2Q14			1Q14			4Q13			3Q13			2Q14						3Q13						2014			2013			2013
																$			%			$			%									$			%
Allowance for loan and lease losses - beginning	$	1,210		$	1,259		$	1,221		$	1,219		$	1,200		($	49	)		(4	)%	$	10			1	%	$	1,221		$	1,255		($	34	)		(3	)%
Charge-offs:
Commercial		(16	)		(8	)		(6	)		(36	)		(23	)		(8	)		(100	)		7			30			(30	)		(72	)		42			58
Retail		(113	)		(109	)		(122	)		(125	)		(157	)		(4	)		(4	)		44			28			(344	)		(470	)		126			27
Total charge-offs		(129	)		(117	)		(128	)		(161	)		(180	)		(12	)		(10	)		51			28			(374	)		(542	)		168			31
Recoveries:
Commercial		12			21			14			18			18			(9	)		(43	)		(6	)		(33	)		47			69			(22	)		(32	)
Retail		29			28			27			28			31			1			4			(2	)		(6	)		84			87			(3	)		(3	)
Total recoveries		41			49			41			46			49			(8	)		(16	)		(8	)		(16	)		131			156			(25	)		(16	)
Net charge-offs		(88	)		(68	)		(87	)		(115	)		(131	)		(20	)		(29	)		43			33			(243	)		(386	)		143			37
Provision for loan and lease losses:
Commercial		38			(32	)		21			32			(2	)		70			219			40			2,000			27			(51	)		78			153
Retail		41			51			104			67			94			(10	)		(20	)		(53	)		(56	)		196			329			(133	)		(40	)
Unallocated		—			—			—			31			58			—			—			(58	)		(100	)		—			72			(72	)		(100	)
Total provision for loan and lease losses		79			19			125			130			150			60			316			(71	)		(47	)		223			350			(127	)		(36	)
Sale/Other					—			—			(13	)		—			—			—			—			—			—			—			—			—
Allowance for loan and lease losses - ending	$	1,201		$	1,210		$	1,259		$	1,221		$	1,219		($	9	)		(1	)	($	18	)		(1	)	$	1,201		$	1,219		($	18	)		(1	)
Reserve for unfunded lending commitments - beginning	$	65		$	35		$	39		$	37		$	42		$	30			86	%	$	23			55	%	$	39		$	40		($	1	)		(3	)%
Provision for unfunded lending commitments		(2	)		30			(4	)		2			(5	)		(32	)		(107	)		3			60			24			(3	)		27			900
Reserve for unfunded lending commitments - ending		63			65			35			39			37			(2	)		(3	)		26			70			63			37			26			70
Total allowance for credit losses - ending	$	1,264		$	1,275		$	1,294		$	1,260		$	1,256		($	11	)		(1	)%	$	8			1	%	$	1,264		$	1,256		$	8			1	%

26

CREDIT-RELATED INFORMATION, CONTINUED

(dollars in millions)

	AS OF										SEPT 30, 2014 CHANGE
	Sept 30, 2014		June 30, 2014		Mar 31, 2014		Dec 31, 2013		Sept 30, 2013		June 30, 2014						Sept 30, 2013
ALLOWANCE COMPONENTS											$			%			$			%
ALLOWANCE FOR CREDIT LOSSES
Individually evaluated		14	$	23	$	22	$	23	$	36	($	9	)		(39	)%	($	22	)		(61	)%
Formula-based evaluation		591		550		540		514		456		41			7			135			30
Total commercial		605		573		562		537		492		32			6			113			23
Individually evaluated		116		116		116		108		110		—			—			6			5
Formula-based evaluation		543		586		616		615		493		(43	)		(7	)		50			10
Total retail		659		702		732		723		603		(43	)		(6	)		56			9
Unallocated		—		—		—		—		161		—			—			(161	)		(100	)
Total allowance for credit losses	$	1,264	$	1,275	$	1,294	$	1,260	$	1,256	($	11	)		(1	)	$	8			1

27

CAPITAL AND RATIOS

(dollars in millions, except ratios)

	AS OF															SEPT 30, 2014 CHANGE												FOR THE NINE MONTHS ENDED SEPTEMBER 30,
																																		2014 Change
CAPITAL AND RATIOS	Sept 30, 2014			June 30, 2014			Mar 31, 2014			Dec 31, 2013			Sept 30, 2013			June 30, 2014						Sept 30, 2013						2014			2013			2013
																$			%			$			%									$			%
CAPITAL RATIOS AND COMPONENTS1 (preliminary)
Tier 1 capital	$	13,330		$	13,448		$	13,460		$	13,301		$	13,499		($	118	)		(1	%)	($	169	)		(1	)%
Total capital		16,612			16,400			16,066			15,885			15,726			212			1			886			6
Tier 1 common capital2		13,330			13,448			13,460			13,301			13,489			(118	)		(1	)		(159	)		(1	)
Risk-weighted assets		103,207			101,397			100,368			98,634			96,735			1,810			2			6,472			7
Adjusted average assets3		122,521			121,276			118,075			114,422			111,824			1,245			1			10,697			10
Tier 1 capital ratio		12.9	%		13.3	%		13.4	%		13.5	%		14.0	%
Total capital ratio		16.1			16.2			16.0			16.1			16.3
Leverage ratio		10.9			11.1			11.4			11.6			12.1
Tier 1 common equity ratio2		12.9			13.3			13.4			13.5			13.9
Proforma Basel III common equity Tier 1 capital ratio4		12.5			13.0			13.1			13.1			13.6
TANGIBLE COMMON EQUITY (period-end):
Stockholders’ equity	$	19,383		$	19,597		$	19,442		$	19,196		$	19,413		($	214	)		(1	%)	($	30	)		—	%	$	19,383		$	19,413		($	30	)		—	%
Less: Goodwill		(6,876	)		(6,876	)		(6,876	)		(6,876	)		(6,876	)		—			—			—			—			(6,876	)		(6,876	)		—			—
Less: Other intangible assets		(6	)		(7	)		(7	)		(8	)		(9	)		1			14			3			33			(6	)		(9	)		3			33
Add: Deferred tax liabilities5		399			384			366			350			333			15			4			66			20			399			333			66			20
Total tangible common equity6	$	12,900		$	13,098		$	12,925		$	12,662		$	12,861		($	198	)		(2	)	$	39			—		$	12,900		$	12,861		$	39			—
TANGIBLE COMMON EQUITY (average):
Stockholders’ equity	$	19,411		$	19,607		$	19,370		$	19,364		$	19,627		($	196	)		(1	%)	($	216	)		(1	)%	$	19,463		$	22,667		($	3,204	)		(14	)%
Less: Goodwill		(6,876	)		(6,876	)		(6,876	)		(6,876	)		(6,876	)		—			—			—			—			(6,876	)		(9,800	)		2,924			30
Less: Other intangible assets		(6	)		(7	)		(7	)		(8	)		(9	)		1			14			3			33			(7	)		(10	)		3			30
Add: Deferred tax liabilities5		384			369			351			342			325			15			4			59			18			368			486			(118	)		(24	)
Total tangible common equity4	$	12,913		$	13,093		$	12,838		$	12,822		$	13,067		($	180	)		(1	)	($	154	)		(1	)	$	12,948		$	13,343		($	395	)		(3	)
INTANGIBLE ASSETS (period-end):
Goodwill	$	6,876		$	6,876		$	6,876		$	6,876		$	6,876		$	—			—	%	$	—			—	%	$	6,876		$	6,876		$	—			—	%
Trademark & patent		6			7			7			8			9			(1	)		(14	)		(3	)		(33	)		6			9			(3	)		(33	)
Total intangible assets	$	6,882		$	6,883		$	6,883		$	6,884		$	6,885		($	1	)		—		($	3	)		—		$	6,882		$	6,885		($	3	)		—

¹  Capital ratios and associated components are prepared on a Basel I basis, except as noted.

²  Tier 1 common capital represents Tier 1 capital, excluding qualifying restricted core capital elements. The Tier 1 common equity ratio is calculated as Tier 1 common capital divided by risk-weighted assets.

³  Adjusted average assets include quarterly average assets, less deductions for disallowed goodwill and other intangibles assets, net of deferred tax liabilities related to tax deductible goodwill, and the accumulated other comprehensive income impact related to the adoption of post-retirement benefit plan guidance under GAAP.

⁴  This is a non-GAAP financial measure. For further information on these measures, refer to pages 30-36.

⁵  Deferred tax liabilities relate to tax-deductible goodwill, which is netted against goodwill when calculating tangible common equity.

⁶  This is a non-GAAP financial measure.

28

PER-SHARE RELATED INFORMATION

(dollars in millions, except per share and ratio data)

	QUARTERLY TRENDS																											FOR THE NINE MONTHS ENDED SEPTEMBER 30,
																3Q14 Change																		2014 Change
	3Q14			2Q14			1Q14			4Q13			3Q13			2Q14						3Q13						2014			2013			2013
EARNINGS PER SHARE DATA																$			%			$			%									$			%
Basic earnings per share:
Net income (loss)	$	189		$	313		$	166		$	152		$	144		($	124	)		(40	)%	$	45			31	%	$	668		($	3,578	)	$	4,246			119	%
Less: Preferred stock dividends		—			—			—			—			—			—			—			—			—			—			—			—			—
Net income (loss) applicable to common equity		189			313			166			152			144			(124	)		(40	)		45			31			668			(3,578	)		4,246			119
Less: Dividends and undistributed earnings allocated to participating securities		—			—			—			—			—			—			—			—			—			—			—			—			—
Net income (loss) applicable to common stockholders	$	189		$	313		$	166		$	152		$	144		($	124	)		(40	)	$	45			31		$	668		($	3,578	)	$	4,246			119
Net income applicable to common stockholders, excluding restructuring charges and special items1	$	202		$	205		$	166		$	169		$	144		($	3	)		(1	)	$	58			40		$	573		$	502		$	71			14
Total weighted-average basic shares outstanding		559,998,324			559,998,324			559,998,324			559,998,324			559,998,324			—			—			—			—			559,998,324			559,998,324			—			—
Net income (loss) per share - basic	$	0.34		$	0.56		$	0.30		$	0.27		$	0.26		($	0.22	)		(39	)	$	0.08			31		$	1.19		($	6.39	)	$	7.58			119
Net income per share, excluding restructuring charges and special items - basic1	$	0.36		$	0.37		$	0.30		$	0.30		$	0.26		($	0.01	)		(3	)	$	0.10			38		$	1.02		$	0.89		$	0.13			15
Diluted earnings per share:
Net income (loss) applicable to common stockholders	$	189		$	313		$	166		$	152		$	144		($	124	)		(40	)	$	45			31		$	668		($	3,578	)	$	4,246			119
Net income applicable to common stockholders, excluding restructuring charges and special items1	$	202		$	205		$	166		$	169		$	144		($	3	)		(1	)	$	58			40		$	573		$	502		$	71			14
Total weighted-average basic shares outstanding		559,998,324			559,998,324			559,998,324			559,998,324			559,998,324			—			—			—			—			559,998,324			559,998,324			—			—
Add: Share-based awards		245,423			—			—			—			—			245,423			—			245,423			—			82,707			—			82,707			—
Total weighted-average diluted shares outstanding		560,243,747			559,998,324			559,998,324			559,998,324			559,998,324			245,423			—			245,423			—			560,081,031			559,998,324			82,707			—
Net income (loss) per share - diluted	$	0.34		$	0.56		$	0.30		$	0.27		$	0.26		($	0.22	)		(39	)	$	0.08			31		$	1.19		($	6.39	)	$	7.58			119
Net income per share, excluding restructuring charges and special items - diluted1	$	0.36		$	0.37		$	0.30		$	0.30		$	0.26		($	0.01	)		(3	)	$	0.10			38		$	1.02		$	0.89		$	0.13			15
COMMON SHARES OUTSTANDING
Common shares - at end of period		559,998,324			559,998,324			559,998,324			559,998,324			559,998,324			—			—	%		—			—	%		559,998,324			559,998,324			—			—	%
Cash dividends declared and paid per share	$	0.68		$	0.61		$	0.04		$	0.67		$	0.68		$	0.07			11		$	—			—		$	1.34		$	1.45		($	0.11	)		(8	)
Book value per share	$	34.61		$	35.00		$	34.72		$	34.28		$	34.67			(0.39	)		(1	)		(0.06	)		—			34.61			34.67			(0.06	)		—
Tangible book value per share	$	23.04		$	23.39		$	23.08		$	22.61		$	22.97			(0.35	)		(1	)		0.07			—			23.04			22.97			0.07			—
Dividend payout ratio		203	%		110	%		15	%		246	%		268	%		9,300 bps			8,455			(6,500) bps			(2,425	)		112	%		(23	)%		13,500 bps			58,696
SHARE PRICE
High	$	23.57		$	—		$	—		$	—		$	—		$	23.57			—	%	$	23.57			—	%	$	23.57		$	—		$	23.57			—	%
Low		21.35			—			—			—			—			21.35			—			21.35			—			21.35			—			21.35			—
Close		23.42			—			—			—			—			23.42			—			23.42			—			23.42			—			23.42			—
Market Capitalization		13,115			—			—			—			—			13,115			—			13,115			—			13,115			—			13,115			—

¹  These are non-GAAP financial measures. For further information on these measures, refer to pages 30-36.

29

NON-GAAP MEASURES (Excluding restructuring charges and special items)

(dollars in millions, except per-share data)

This document contains non-GAAP financial measures. The table below presents reconciliations of certain non-GAAP measures. These reconciliations exclude goodwill impairment, restructuring charges and/or special items, which are usually included, where applicable, in the financial results presented in accordance with GAAP. Special items include regulatory expenses and expenses relating to our initial public offering.

The non-GAAP measures set forth below include “total revenue”, “noninterest income”, “ noninterest expense”, “income tax expense (benefit)”, “net income (loss)”, “salaries and employee benefits”, “outside services”, “occupancy”, “equipment expense”, “other operating expense”, “return of average common equity” and “return on average total assets”. In addition, we present computations for “return on average tangible common equity”, “return on average total tangible assets” and “efficiency ratio” as part of our non-GAAP measures.

We believe these non-GAAP measures provide useful information to investors because these are among the measures used by our management team to evaluate our operating performance and make day-to-day operating decisions. In addition, we believe goodwill impairment, restructuring charges and special items in any period do not reflect the operational performance of the business in that period and, accordingly, it is useful to consider these line items with and without goodwill impairment, restructuring charges and special items. We believe this presentation also increases comparability of period-to-period results.

We also consider pro forma capital ratios defined by banking regulators but not effective at each period end to be non-GAAP financial measures. Since analysts and banking regulators may assess our capital adequacy using these pro forma ratios, we believe they are useful to provide investors the ability to assess our capital adequacy on the same basis.

Other companies may use similarly titled non-GAAP financial measures that are calculated differently from the way we calculate such measures. Accordingly, our non-GAAP financial measures may not be comparable to similar measures used by other companies. We caution investors not to place undue reliance on such non-GAAP measures, but instead to consider them with the most directly comparable GAAP measure. Non-GAAP financial measures have limitations as analytical tools, and should not be considered in isolation, or as a substitute for our results as reported under GAAP.

		QUARTERLY TRENDS																											FOR THE NINE MONTHS ENDED SEPTEMBER 30,
																	3Q14 Change																		2014 Change
		3Q14			2Q14			1Q14			4Q13			3Q13			2Q14						3Q13						2014			2013			2013
																	$			%			$			%									$			%
Noninterest income, excluding special items:
Noninterest income (GAAP)	A	$	341		$	640		$	358		$	379		$	383		($	299	)		(47	)%	($	42	)		(11	)%	$	1,339		$	1,253		$	86			7	%
Less: Special items - Chicago gain			—			288			—			—			—			(288	)		(100	)		—			—			288			—			288			—
Noninterest income, excluding special items (non-GAAP)	B	$	341		$	352		$	358		$	379		$	383		($	11	)		(3	)	($	42	)		(11	)	$	1,051		$	1,253		($	202	)		(16	)
Total revenue, excluding special items:
Total revenue (GAAP)	C	$	1,161		$	1,473		$	1,166		$	1,158		$	1,153		($	312	)		(21	)%	$	8			1	%	$	3,800		$	3,532		$	268			8	%
Less: Special items - Chicago gain			—			288			—			—			—			(288	)		(100	)		—			—			288			—			288			—
Total revenue, excluding special items (non-GAAP)	D	$	1,161		$	1,185		$	1,166		$	1,158		$	1,153		($	24	)		(2	)	$	8			1		$	3,512		$	3,532		($	20	)		(1	)
Noninterest expense, excluding restructuring charges and special items:
Noninterest expense (GAAP)	E	$	810		$	948		$	810		$	818		$	788		($	138	)		(15	)%	$	22			3	%	$	2,568		$	6,861		($	4,293	)		(63	)%
Less: Restructuring charges and special expense items	HH		21			115			—			26			—			(94	)		(82	)		21			—			136			4,435			(4,299	)		(97	)
Noninterest expense, excluding restructuring charges and special items (non-GAAP)	F	$	789		$	833		$	810		$	792		$	788		($	44	)		(5	)	$	1			—		$	2,432		$	2,426		$	6			—
Net income (loss), excluding restructuring charges and special items:
Net income (loss) (GAAP)	G	$	189		$	313		$	166		$	152		$	144		($	124	)		(40	)%	$	45			31	%	$	668		($	3,578	)	$	4,246			119	%
Add: Restructuring charges and special items, net of income tax expense (benefit)			13			(108	)		—			17			—			121			112			13			—			(95	)		4,080			(4,175	)		(102	)
Net income (loss), excluding restructuring charges and special items (non-GAAP)	H	$	202		$	205		$	166		$	169		$	144		($	3	)		(1	)	$	58			40		$	573		$	502		$	71			14
Return on average common equity, excluding restructuring charges and special items:
Average common equity (GAAP)	I	$	19,411		$	19,607		$	19,370		$	19,364		$	19,627		($	196	)		(1	)%	($	216	)		(1	)%	$	19,463		$	22,667		($	3,204	)		(14	)%
Return on average common equity, excluding restructuring charges and special items (non-GAAP)	H/I		4.14	%		4.19	%		3.48	%		3.47	%		2.91	%		(5) bps			—			123 bps			—			3.94	%		2.96	%		98 bps			—

30

NON-GAAP MEASURES (Excluding restructuring charges and special items) (CONTINUED)

(dollars in millions, except per-share data)

		QUARTERLY TRENDS																											FOR THE NINE MONTHS ENDED SEPTEMBER 30,
																	3Q14 Change																		2014 Change
		3Q14			2Q14			1Q14			4Q13			3Q13			2Q14						3Q13						2014			2013			2013
																	$			%			$			%									$			%
Return on average tangible common equity and return on average tangible common equity, excluding restructuring charges and special items:
Average common equity (GAAP)	I	$	19,411		$	19,607		$	19,370		$	19,364		$	19,627		($	196	)		(1	)%	($	216	)		(1	)%	$	19,463		$	22,667		($	3,204	)		(14	)%
Less: Average goodwill (GAAP)			6,876			6,876			6,876			6,876			6,876			—			—			—			—			6,876			9,800			(2,924	)		(30	)
Less: Average other intangibles (GAAP)			6			7			7			8			9			(1	)		(14	)		(3	)		(33	)		7			10			(3	)		(30	)
Add: Average deferred tax liabilities related to goodwill (GAAP)			384			369			351			342			325			15			4			59			18			368			486			(118	)		(24	)
Average tangible common equity (non-GAAP)	J	$	12,913		$	13,093		$	12,838		$	12,822		$	13,067		($	180	)		(1	)	($	154	)		(1	)	$	12,948		$	13,343		($	395	)		(3	)
Return on average tangible common equity (non-GAAP)	G/J		5.81	%		9.59	%		5.24	%		4.71	%		4.34	%		(378) bps			—			147 bps			—			6.90	%		(25.54	)%		3,244 bps			—
Return on average tangible common equity, excluding restructuring charges and special items (non-GAAP)	H/J		6.22	%		6.28	%		5.24	%		5.24	%		4.34	%		(6) bps			—			188 bps			—			5.92	%		5.03	%		89 bps			—
Return on average total assets, excluding restructuring charges and special items:
Average total assets (GAAP)	K	$	128,691		$	127,148		$	123,904		$	120,393		$	117,386		$	1,543			1	%	$	11,305			10	%	$	126,598		$	121,026		$	5,572			5	%
Return on average total assets, excluding restructuring charges and special items (non-GAAP)	H/K		0.62	%		0.65	%		0.54	%		0.56	%		0.49	%		(3) bps			—			13 bps			—			0.61	%		0.55	%		6 bps			—
Return on average total tangible assets and return on average total tangible assets, excluding restructuring charges and special items:
Average total assets (GAAP)	K	$	128,691		$	127,148		$	123,904		$	120,393		$	117,386		$	1,543			1	%	$	11,305			10	%	$	126,598		$	121,026		$	5,572			5	%
Less: Average goodwill (GAAP)			6,876			6,876			6,876			6,876			6,876			—			—			—			—			6,876			9,800			(2,924	)		(30	)
Less: Average other intangibles (GAAP)			6			7			7			8			9			(1	)		(14	)		(3	)		(33	)		7			10			(3	)		(30	)
Add: Average deferred tax liabilities related to goodwill (GAAP)			384			369			351			342			325			15			4			59			18			368			486			(118	)		(24	)
Average tangible assets (non-GAAP)	L	$	122,193		$	120,634		$	117,372		$	113,851		$	110,826		$	1,559			1		$	11,367			10		$	120,083		$	111,702		$	8,381			8
Return on average total tangible assets (non-GAAP)	G/L		0.61	%		1.04	%		0.57	%		0.53	%		0.52	%		(43) bps			—			9 bps			—			0.74	%		(3.05	)%		379 bps			—
Return on average total tangible assets, excluding restructuring charges and special items (non-GAAP)	H/L		0.66	%		0.68	%		0.57	%		0.59	%		0.52	%		(2) bps			—			14 bps			—			0.64	%		0.60	%		4 bps			—
Efficiency ratio and efficiency ratio, excluding restructuring charges and special items:
Net interest income (GAAP)		$	820		$	833		$	808		$	779		$	770		($	13	)		(2	)%	$	50			6	%	$	2,461		$	2,279		$	182			8	%
Add: Noninterest income (GAAP)			341			640			358			379			383			(299	)		(47	)		(42	)		(11	)		1,339			1,253			86			7
Total revenue (GAAP)	C	$	1,161		$	1,473		$	1,166		$	1,158		$	1,153		($	312	)		(21	)	$	8			1		$	3,800		$	3,532		$	268			8
Efficiency ratio (non-GAAP)	E/C		69.84	%		64.33	%		69.43	%		70.62	%		68.49	%		551 bps			—			135 bps			—			67.58	%		194.29	%		(12,671) bps			—
Efficiency ratio, excluding restructuring charges and special items (non-GAAP)	F/D		68.02	%		70.23	%		69.43	%		68.35	%		68.49	%		(221) bps			—			(47) bps			—			69.23	%		68.70	%		53 bps			—

31

NON-GAAP MEASURES (Excluding restructuring charges and special items) (CONTINUED)

(dollars in millions, except per-share data)

		QUARTERLY TRENDS																											FOR THE NINE MONTHS ENDED SEPTEMBER 30,
																	3Q14 Change																	2014 Change
		3Q14			2Q14			1Q14			4Q13			3Q13			2Q14						3Q13						2014		2013			2013
																	$			%			$			%								$			%
Net income (loss) per average common share - basic and diluted, excluding restructuring charges and special items:
Average common shares outstanding - basic (GAAP)	M		559,998,324			559,998,324			559,998,324			559,998,324			559,998,324			—			—	%		—			—	%		559,998,324		559,998,324			—			—	%
Average common shares outstanding - diluted (GAAP)	N		560,243,747			559,998,324			559,998,324			559,998,324			559,998,324			245,423			—			245,423			—			560,081,031		559,998,324			82,707			—
Net income (loss) applicable to common stockholders (GAAP)	O	$	189		$	313		$	166		$	152		$	144		($	124	)		(40	)	$	45			31		$	668	($	3,578	)	$	4,246			119
Net income (loss) per average common share - basic (GAAP)	O/M		0.34			0.56			0.30			0.27			0.26			(0.22	)		(39	)		0.08			31			1.19		(6.39	)		7.58			119
Net income (loss) per average common share - diluted (GAAP)	O/N		0.34			0.56			0.30			0.27			0.26			(0.22	)		(39	)		0.08			31			1.19		(6.39	)		7.58			119
Net income (loss) applicable to common stockholders, excluding restructuring charges and special items (non-GAAP)	P		202			205			166			169			144			(3	)		(1	)		58			40			573		502			71			14
Net income per average common share - basic, excluding restructuring charges and special items (non-GAAP)	P/M		0.36			0.37			0.30			0.30			0.26			(0.01	)		(3	)		0.10			38			1.02		0.89			0.13			15
Net income per average common share - diluted, excluding restructuring charges and special items (non-GAAP)	P/N		0.36			0.37			0.30			0.30			0.26			(0.01	)		(3	)		0.10			38			1.02		0.89			0.13			15
Pro forma Basel III common equity Tier 1 capital ratio:
Tier 1 common capital (regulatory)		$	13,330		$	13,448		$	13,460		$	13,301		$	13,489		($	118	)		(1	)%	($	159	)		(1	)%
Add: Change in DTA and other threshold deductions (GAAP)			(5	)		(7	)		(7	)		6			—			2			29			5			—
Basel III common equity Tier 1 (non-GAAP)	Q	$	13,335		$	13,455		$	13,467		$	13,295		$	13,489		($	120	)		(1	)	($	154	)		(1	)
Risk-weighted assets (regulatory general risk weight approach)			103,207			101,397			100,368			98,634			96,735			1,810			2			6,472			7
Net change in credit and other risk-weighted assets (GAAP)			3,207			2,383			2,450			2,687			2,768			824			35			439			16
Basel III standardized approach risk-weighted assets (non-GAAP)	R	$	106,414		$	103,780		$	102,818		$	101,321		$	99,503		$	2,634			3		$	6,911			7
Pro forma Basel III common equity Tier 1 capital ratio (non-GAAP)	Q/R		12.5	%		13.0	%		13.1	%		13.1	%		13.6	%
Salaries and employee benefits, excluding restructuring charges and special items:
Salaries and employee benefits (GAAP)	S	$	409		$	467		$	405		$	391		$	403		($	58	)		(12	)%	$	6			1	%	$	1,281	$	1,261		$	20			2	%
Less: Restructuring charges and special items			—			43			—			5			—			(43	)		(100	)		—			—			43		—			43			—
Salaries and employee benefits, excluding restructuring charges and special items (non-GAAP)	T	$	409		$	424		$	405		$	386		$	403		($	15	)		(4	)	$	6			1		$	1,238	$	1,261		($	23	)		(2	)
Outside services, excluding restructuring charges and special items:
Outside services (GAAP)	U	$	106		$	125		$	83		$	101		$	87		($	19	)		(15	)%	$	19			22	%	$	314	$	259		$	55			21	%
Less: Restructuring charges and special items			19			41			—			—			—			(22	)		(54	)		19			—			60		—			60			—
Outside services, excluding restructuring charges and special items (non-GAAP)	V	$	87		$	84		$	83		$	101		$	87		$	3			4		$	—			—		$	254	$	259		($	5	)		(2	)
Occupancy, excluding restructuring charges and special items:
Occupancy (GAAP)	W	$	77		$	87		$	81		$	83		$	80		($	10	)		(11	)%	($	3	)		(4	)%	$	245	$	244		$	1			—	%
Less: Restructuring charges and special items			2			9			—			11			—			(7	)		(78	)		2			—			11		—			11			—
Occupancy, excluding restructuring charges and special items (non-GAAP)	X	$	75		$	78		$	81		$	72		$	80		($	3	)		(4	)	($	5	)		(6	)	$	234	$	244		($	10	)		(4	)

32

NON-GAAP MEASURES (Excluding restructuring charges and special items) (CONTINUED)

(dollars in millions, except per-share data)

		QUARTERLY TRENDS																								FOR THE NINE MONTHS ENDED SEPTEMBER 30,
														3Q14 Change																	2014 Change
		3Q14			2Q14		1Q14		4Q13			3Q13		2Q14						3Q13						2014		2013			2013
														$			%			$			%								$			%
Equipment expense, excluding restructuring charges and special items:
Equipment expense (GAAP)	Y	$	58		$	65	$	64	$	68		$	69	($	7	)		(11	)%	($	11	)		(16	)%	$	187	$	207		($	20	)		(10	)%
Less: Restructuring charges and special items			—			3		—		7			—		(3	)		(100	)		—			—			3		—			3			—
Equipment expense, excluding restructuring charges and special items (non-GAAP)	Z	$	58		$	62	$	64	$	61		$	69	($	4	)		(6	)	($	11	)		(16	)	$	184	$	207		($	23	)		(11	)
Other operating expense, excluding restructuring charges and special items:
Other operating expense (GAAP)	AA	$	122		$	171	$	146	$	143		$	123	($	49	)		(29	)%	($	1	)		(1	)%	$	439	$	384		$	55			14	%
Less: Restructuring charges and special items			—			19		—		3			—		(19	)		(100	)		—			—			19		—			19			—
Other operating expense, excluding restructuring charges and special items (non-GAAP)	BB	$	122		$	152	$	146	$	140		$	123	($	30	)		(20	)	($	1	)		(1	)	$	420	$	384		$	36			9
Pre-provision profit, excluding restructuring charges and special items:
Total revenue, excluding restructuring charges and special items (non-GAAP)	D	$	1,161		$	1,185	$	1,166	$	1,158		$	1,153	($	24	)		(2	)%	$	8			1	%	$	3,512	$	3,532		($	20	)		(1	)%
Less: Noninterest expense, excluding restructuring charges and special items (non-GAAP)	F		789			833		810		792			788		(44	)		(5	)		1			—			2,432		2,426			6			—
Pre-provision profit, excluding restructuring charges and special items (non-GAAP)	CC	$	372		$	352	$	356	$	366		$	365	$	20			6		$	7			2		$	1,080	$	1,106		($	26	)		(2	)
Income before income tax expense (benefit), excluding restructuring charges and special items:
Income before income tax expense (benefit) (GAAP)	DD	$	274		$	476	$	235	$	208		$	220	($	202	)		(42	)%	$	54			25	%	$	985	($	3,676	)	$	4,661			127	%
Less: Income before income tax expense (benefit) related to restructuring charges and special items (GAAP)			(21	)		173		—		(26	)		—		(194	)		(112	)		(21	)		—			152		759			(607	)		80
Income before income tax expense (benefit), excluding restructuring charges and special items (non-GAAP)	EE	$	295		$	303	$	235	$	234		$	220	($	8	)		(3	)	$	75			34		$	833	($	4,435	)	$	5,268			119
Income tax expense (benefit), excluding restructuring charges and special items:
Income tax expense (benefit) (GAAP)	FF	$	85		$	163	$	69	$	56		$	76	($	78	)		(48	)%	$	9			12	%	$	317	($	98	)	$	415			423	%
Less: Income tax (benefit) related to restructuring charges and special items (GAAP)			(8	)		65		—		(9	)		—		(73	)		(112	)		(8	)		—			57		(355	)		412			116
Income tax expense (benefit), excluding restructuring charges and special items (non-GAAP)	GG	$	93		$	98	$	69	$	65		$	76	($	5	)		(5	)	$	17			22		$	260	$	257		$	3			1
Restructuring charges and special expense items include:
Goodwill impairment		$	—		$	—	$	—	$	—		$	—	$	—			—	%	$	—			—	%	$	—	$	4,435		($	4,435	)		(100	)%
Restructuring charges			1			103		—		26			—		(102	)		(99	)		1			—			104		—			104			—
Special items			20			12		—		—			—		8			67			20			—			32		—			32			—
Restructuring charges and special expense items	HH	$	21		$	115	$	—	$	26		$	—	($	94	)		(82	)	$	21			—		$	136	$	4,435		($	4,299	)		(97	)

33

NON-GAAP MEASURES - SEGMENTS

(dollars in millions)

		Three Months Ended September 30,												Three Months Ended June 30,											Three Months Ended March 31,
		2014												2014											2014
		Consumer Banking			Commercial Banking			Other			Consolidated			Consumer Banking			Commercial Banking			Other		Consolidated			Consumer Banking			Commercial Banking			Other			Consolidated
Net income (loss) (GAAP)	A	$	54		$	139		($	4	)	$	189		$	44		$	141		$	128	$	313		$	32		$	141		($	7	)	$	166
Return on average tangible common equity
Average common equity (GAAP)	B	$	4,685		$	4,205		$	10,521		$	19,411		$	4,640		$	4,129		$	10,838	$	19,607		$	4,568		$	4,023		$	10,779		$	19,370
Less: Average goodwill (GAAP)			—			—			6,876			6,876			—			—			6,876		6,876			—			—			6,876			6,876
Average other intangibles (GAAP)			—			—			6			6			—			—			7		7			—			—			7			7
Add: Average deferred tax liabilities related to goodwill (GAAP)			—			—			384			384			—			—			369		369			—			—			351			351
Average tangible common equity (non-GAAP)	C	$	4,685		$	4,205		$	4,023		$	12,913		$	4,640		$	4,129		$	4,324	$	13,093		$	4,568		$	4,023		$	4,247		$	12,838
Return on average tangible common equity (non-GAAP)	A/C		4.57	%		13.10	%		NM			5.81	%		3.87	%		13.78	%		NM		9.59	%		2.81	%		14.17	%		NM			5.24	%
Return on average total tangible assets
Average total assets (GAAP)	D	$	49,012		$	38,854		$	40,825		$	128,691		$	48,556		$	38,022		$	40,570	$	127,148		$	47,610		$	36,955		$	39,339		$	123,904
Less: Average goodwill (GAAP)			—			—			6,876			6,876			—			—			6,876		6,876			—			—			6,876			6,876
Average other intangibles (GAAP)			—			—			6			6			—			—			7		7			—			—			7			7
Add: Average deferred tax liabilities related to goodwill (GAAP)			—			—			384			384			—			—			369		369			—			—			351			351
Average tangible assets (non-GAAP)	E	$	49,012		$	38,854		$	34,327		$	122,193		$	48,556		$	38,022		$	34,056	$	120,634		$	47,610		$	36,955		$	32,807		$	117,372
Return on average total tangible assets (non-GAAP)	A/E		0.44	%		1.42	%		NM			0.61	%		0.37	%		1.50	%		NM		1.04	%		0.27	%		1.54	%		NM			0.57	%
Efficiency ratio
Noninterest expense (GAAP)	F	$	609		$	162		$	39		$	810		$	655		$	157		$	136	$	948		$	638		$	153		$	19		$	810
Net interest income (GAAP)			532			270			18			820			546			264			23		833			537			256			15			808
Noninterest income (GAAP)			226			104			11			341			236			107			297		640			219			107			32			358
Total revenue	G	$	758		$	374		$	29		$	1,161		$	782		$	371		$	320	$	1,473		$	756		$	363		$	47		$	1,166
Efficiency ratio (non-GAAP)	F/G		80.42	%		43.35	%		NM			69.84	%		83.61	%		42.36	%		NM		64.33	%		84.39	%		42.13	%		NM			69.43	%

34

NON-GAAP MEASURES - SEGMENTS (CONTINUED)

(dollars in millions)

		Three Months Ended December 31,												Three Months Ended September 30,
		2013												2013
		Consumer Banking			Commercial Banking			Other			Consolidated			Consumer Banking			Commercial Banking			Other			Consolidated
Net income (loss) (GAAP)	A	$	50		$	123		($	21	)	$	152		$	52		$	127		($	35	)	$	144
Return on average tangible common equity
Average common equity (GAAP)	B	$	4,448		$	3,978		$	10,938		$	19,364		$	4,403		$	3,855		$	11,369		$	19,627
Less: Average goodwill (GAAP)			—			—			6,876			6,876			—			—			6,876			6,876
Average other intangibles (GAAP)			—			—			8			8			—			—			9			9
Add: Average deferred tax liabilities related to goodwill (GAAP)			—			—			342			342			—			—			325			325
Average tangible common equity (non-GAAP)	C	$	4,448		$	3,978		$	4,396		$	12,822		$	4,403		$	3,855		$	4,809		$	13,067
Return on average tangible common equity (non-GAAP)	A/C		4.40	%		12.10	%		NM			4.71	%		4.69	%		13.24	%		NM			4.34	%
Return on average total tangible assets
Average total assets (GAAP)	D	$	46,225		$	36,094		$	38,074		$	120,393		$	46,169		$	35,019		$	36,198		$	117,386
Less: Average goodwill (GAAP)			—			—			6,876			6,876			—			—			6,876			6,876
Average other intangibles (GAAP)			—			—			8			8			—			—			9			9
Add: Average deferred tax liabilities related to goodwill (GAAP)			—			—			342			342			—			—			325			325
Average tangible assets (non-GAAP)	E	$	46,225		$	36,094		$	31,532		$	113,851		$	46,169		$	35,019		$	29,638		$	110,826
Return on average total tangible assets (non-GAAP)	A/E		0.42	%		1.33	%		NM			0.53	%		0.45	%		1.46	%		NM			0.52	%
Efficiency ratio
Noninterest expense (GAAP)	F	$	638		$	164		$	16		$	818		$	622		$	156		$	10		$	788
Net interest income (GAAP)			543			260			(24	)		779			543			263			(36	)		770
Noninterest income (GAAP)			235			105			39			379			246			93			44			383
Total revenue	G	$	778		$	365		$	15		$	1,158		$	789		$	356		$	8		$	1,153
Efficiency ratio (non-GAAP)	F/G		81.84	%		44.73	%		NM			70.62	%		78.83	%		43.69	%		NM			68.49	%

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NON-GAAP MEASURES - SEGMENTS (CONTINUED)

(dollars in millions)

		Nine Months Ended September 30,
		2014											2013
		Consumer Banking			Commercial Banking			Other		Consolidated			Consumer Banking			Commercial Banking			Other			Consolidated
Net income (loss) (GAAP)	A	$	130		$	421		$	117	$	668		$	192		$	391		($	4,161	)	($	3,578	)
Return on average tangible common equity
Average common equity (GAAP)	B	$	4,635		$	4,120		$	10,708	$	19,463		$	4,377		$	3,870		$	14,420		$	22,667
Less: Average goodwill (GAAP)			—			—			6,876		6,876			—			—			9,800			9,800
Average other intangibles (GAAP)			—			—			7		7			—			—			10			10
Add: Average deferred tax liabilities related to goodwill (GAAP)			—			—			368		368			—			—			486			486
Average tangible common equity (non-GAAP)	C	$	4,635		$	4,120		$	4,193	$	12,948		$	4,377		$	3,870		$	5,096		$	13,343
Return on average tangible common equity (non-GAAP)	A/C		3.76	%		13.67	%		NM		6.90	%		5.86	%		13.59	%		NM			(25.54	)%
Return on average total tangible assets
Average total assets (GAAP)	D	$	48,398		$	37,951		$	40,249	$	126,598		$	46,546		$	34,938		$	39,542		$	121,026
Less: Average goodwill (GAAP)			—			—			6,876		6,876			—			—			9,800			9,800
Average other intangibles (GAAP)			—			—			7		7			—			—			10			10
Add: Average deferred tax liabilities related to goodwill (GAAP)			—			—			368		368			—			—			486			486
Average tangible assets (non-GAAP)	E	$	48,398		$	37,951		$	33,734	$	120,083		$	46,546		$	34,938		$	30,218		$	111,702
Return on average total tangible assets (non-GAAP)	A/E		0.36	%		1.48	%		NM		0.74	%		0.55	%		1.51	%		NM			(3.05	)%
Efficiency ratio
Noninterest expense (GAAP)	F	$	1,902		$	472		$	194	$	2,568		$	1,884		$	471		$	4,506		$	6,861
Net interest income (GAAP)			1,615			790			56		2,461			1,633			771			(125	)		2,279
Noninterest income (GAAP)			681			318			340		1,339			790			284			179			1,253
Total revenue	G	$	2,296		$	1,108		$	396	$	3,800		$	2,423		$	1,055		$	54		$	3,532
Efficiency ratio (non-GAAP)	F/G		82.82	%		42.62	%		NM		67.58	%		77.78	%		44.64	%		NM			194.29	%

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Forward-Looking Statements

This document contains forward-looking statements. In addition, we may make forward-looking statements in our other documents filed or furnished with the SEC, and our management may make forward-looking statements orally to analysts, investors, representatives of the media and others. Statements regarding potential future share repurchases and future dividends 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,” “goals,” “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. Our statements speak as of the date hereof, and we do not assume any obligation to update these statements or to update the reasons why actual results could differ from those contained in such statements in light of new information or future events. We caution you, therefore, against relying on any of these forward-looking statements. They are neither statements of historical fact nor guarantees or assurances of future performance. While there is no assurance that any list of risks and uncertainties or risk factors is complete, important factors that could cause actual results to differ materially from those in the forward-looking statements include the following, without limitation:

• negative economic conditions that adversely affect the general economy, housing prices, the job market, consumer confidence and spending habits which may affect, among other things, the level of nonperforming assets, charge-offs and provision expense;

• the rate of growth in the economy and employment levels, as well as general business and economic conditions;

• our ability to implement our strategic plan, including the cost savings and efficiency components, and achieve our indicative performance targets;

• our ability to remedy regulatory deficiencies and meet supervisory requirements and expectations;

• liabilities resulting from litigation and regulatory investigations;

• our capital and liquidity requirements (including under regulatory capital standards, such as the Basel III capital standards) and our ability to generate capital internally or raise capital on favorable terms;

• the effect of the current low interest rate environment or changes in interest rates on our net interest income, net interest margin and our mortgage originations, mortgage servicing rights and mortgages held for sale;

• changes in interest rates and market liquidity, as well as the magnitude of such changes, which may reduce interest margins, impact funding sources and affect the ability to originate and distribute financial products in the primary and secondary markets;

• the effect of changes in the level of checking or savings account deposits on our funding costs and net interest margin;

• financial services reform and other current, pending or future legislation or regulation that could have a negative effect on our revenue and businesses, including the Dodd-Frank Act and other legislation and regulation relating to bank products and services;

• a failure in or breach of our operational or security systems or infrastructure, or those of our third party vendors or other service providers, including as a result of cyber attacks;

• management’s ability to identify and manage these and other risks; and

• any failure by us to successfully replicate or replace certain functions, systems and infrastructure provided by The Royal Bank of Scotland Group plc (RBS Group).

In addition to the above factors, we also caution that the amount and timing of any future common stock dividends will depend on our financial condition, earnings, cash needs, regulatory constraints, capital requirements (including requirements of our subsidiaries), and any other factors that our Board of Directors deems relevant in making such a determination. Therefore, there can be no assurance that we will pay any dividends to holders of our common stock, or as to the amount of any such dividends. In addition, the timing and manner of the sale of RBS Group’s remaining ownership of our common stock remains uncertain, and we have no control over the manner in which RBS Group may seek to divest such remaining shares. Any such sale would impact the price of our shares of common stock.

More information about factors that could cause actual results to differ materially from those described in the forward-looking statements can be found under “Risk Factors” in our Registration Statement on Form S-1 filed with the United States Securities and Exchange Commission and declared effective on September 23, 2014.

Any forward-looking statement made by us speaks only as of the date on which it is made. Factors or events that could cause our actual results to differ may emerge from time to time, and it is not possible for us to predict all of them. We undertake no obligation to publicly update any forward-looking statement, whether as a result of new information, future developments or otherwise, except as may be required by law.

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