EX-99.1 2 dex991.htm PRESENTATION Presentation
FNB
FNB
UNITED
UNITED
CORP
CORP
Investor Discussions
Investor Discussions
New York City
New York City
October 27, 2006
October 27, 2006
Yes You Can
®
Yes We Can
®
Exhibit 99.1

Forward-Looking Statements
FNB United Corp. has made forward-looking statements in the
accompanying presentation materials that are subject to risks
and uncertainties.  These statements are based on the beliefs
and assumptions of the management of FNB United Corp., and
on the information available to management at the time the
presentation materials were prepared.  These forward-looking
statements involve certain risks and uncertainties, including a
variety of factors that may cause FNB United Corp’s actual
results to differ materially from the anticipated results or other
expectations expressed in such forward-looking statements. 
Readers are cautioned not to place undue reliance on these
forward-looking statements and are advised to carefully review
the risk factors described in other documents that FNB United
Corp. files from time to time with the Securities and Exchange
Commission, including the Quarterly Reports on Form 10-Q, the
Annual Report on Form 10-K, and other required filings.
2

Overview
•About FNB United
•Business Plan
•Focus on Retention and Growth
•Improving Financial Performance
•Experienced Management Team
•Compelling Investment Opportunity
•Summary
3

About
FNB
UNITED
CORP.
Yes You Can
®
Yes We Can
®

About FNB UNITED
FNBN
NASDAQ Symbol:
Asheboro, North Carolina
Headquarters:
43 Banking Offices
31 Communities
17 Counties
Locations:
$1.4 Billion
Deposits:
$1.3 Billion
Loans:
$1.8 Billion
Assets:
8
th
Largest Financial Service Company
in North Carolina
5

Business Plan
Yes You Can
®
Yes We Can
®
Yes You Can
®
Yes We Can
®

Business Plan
•
Our Culture
•
Core Strategies
•
Building the Yes!
Bank Franchise
•
Current Position -
Recent Growth
•
Improving Financial Performance
7

Our Culture
•
Participative and Positive
•
Team Oriented
•
Performance
•
Service
•
Training
8

YES!
Branding
First National is the YES! Bank.  It is plainly stated in our
Yes you can
®
—Yes we can
®
trademarks.  It is reflected in the
design of our logo and corporate mascot, Jack.  And it is
repeated in our customer service programs, company spirit
campaigns and marketing messages.  But more than a motto,
YES!
is our promise to exceed your expectations through better
banking and outstanding service.  It empowers our employees
and describes who we are and what we do.  Yes Customers Can. 
Yes Communities Can.  Yes Schools Can.  Yes Your Future Can. 
Because We Can.
Participative and Positive
9

Team Oriented
Performance: Team Focus
10

Training
•
Full Time Staff –
5
•
Cultural Orientation
•
Customer Service
•
Product Knowledge and Compliance
•
In 2004 and 2005, spent average of $615 per
employee
11

Core Strategies
•
Credit Quality
•
Continue to Build Performance/Service Culture
•
Growth Strategy
•Increase Core Deposits
•
Increase Penetration of Current Markets
•
Complete Integration of Acquisitions
•
“Experience”
Retail
•
“Yes”
®
Branding –
Yes You Can®
Yes We Can®
12

Building The
Yes!
Bank
Franchise
Yes You Can
®
Yes We Can
®

Building The Yes!
Bank Franchise
•
Interstate Corridor Plan
•
Recent Acquisitions
•
Total Assets
•
Positives of Integrity Acquisition
•
Market Demographics
•
Current Position
14

The Yes!
Bank Franchise

FNB United Acquisitions
Offices
Assets
$666 MM
$151 MM
$25MM
$134MM
$126 MM
Integrity Financial Inc.
United Financial Inc.
Dover Mortgage
Rowan Bank
Richmond Savings Bank
17
May 2006
3
November 2005
7
February 2003
3
August 2002
5
April 2000
16

Total Assets
Acquired Assets
2004
2005
2002
2003
2000
2001
2006
YTD
17
$566
$594
$755
$773
$863
$1,102
$1,800

Positives of Integrity Acquisition
•
FNB -
Proven Acquirer and Integrator
•
Attractive New Customer Base
•
New Markets With Better Demographics
•
New Revenue Opportunities via Cross Sell
18

Positives of Integrity Acquisition
•
Adds Scale
•
IT and Platform Systems Compatibility
•
Franchise Will Accommodate Future
Acquisitions Following Integration
•
Enhances Shareholder Value Through
Increased Earnings and Growth Opportunities
19

Demographics
20
Total
Total
Counties
Deposit
Market
with
Branch
in Market
Share
#1 Market
Rank
Institution
Count
($000)
(%)
Share
1
Wachovia
80
5,713,394
$ 
21.85%
2
BB&T
74
4,374,447
$ 
16.73%
3
SunTrust Bank
56
2,450,667
$ 
9.37%
4
Bank of America
47
2,218,636
$ 
8.48%
Orange, Chatham
5
FNB United Corp. (NC)
43
1,406,420
$ 
5.38%
Randolph
6
RBC Centura
Bank
33
1,086,583
$ 
4.15%
7
First Citizens
35
1,076,597
$ 
4.12%
Ashe
8
First Bancorp (NC)
27
705,996
$    
2.70%
9
Yadkin Valley Bank
15
592,887
$    
2.27%
10
Peoples Bank
13
562,261
$    
2.15%
Alamance, Guilford, Iredell, Scotland, Wilkes
Catawba, Gaston, Moore, Richmond, Watauga

Current Position
•
Loan Portfolio
•
Funding Sources
•
Asset Quality
21

Current Position
8%
3%
26%
19%
25%
19%
Commercial/Industrial
Commercial Real Estate
RE Construction and
Development
Residential Real Estate
Home Equity Line
Consumer
Gross Loans: $1,297 Million
Approximately 85% secured by real estate
Variable rate loans account for approximately 64% of the total portfolio
Loan Portfolio
September 30, 2006
22

Current Position
12%
10%
15%
15%
48%
DDA
Now/Savings
IMMA
CD/IRA
Borrowings
Funding Sources
September 30, 2006
23

0.22%
164.49%
1.25%
0.76%
2005
0.47%
139.53%
1.12%
0.80%
2004
0.33%
102.99%
1.14%
1.10%
2003
0.26%
98.34%
1.22%
1.24%
2002
.40%
Annualized
Net Charge Offs
Average Loans
111.61%
Loan Loss Reserve
Nonperforming Loans
1.28%
Loan Loss Reserve
Total Loans Held for Investment
1.15%
Nonperforming Loans
Total Loans Held for Investment
2006
(third
quarter)
Asset Quality
Current Position
24

Focus On
Retention/Growth
Yes You Can
®
Yes We Can
®

Focus On Retention/Growth
Full Range of Products and Services
•
Traditional Banking Products
•
Commercial Expertise
•
Non-Traditional Investment Services
•
Wealth Management Integrated with Bank
•
Mortgage Services –
2 models –
“Relationship”
Model + Dover Mortgage
26

Focus On Retention/Growth
De Novo Branching
New and Existing Markets
Existing markets
New Customers
Grow wallet share
Current Customers
27

Improving
Financial
Performance
Yes You Can
®
Yes We Can
®

Improving Financial Performance
•Investment Portfolio Restructuring
•Revenue enhancement initiatives
•Expense reduction initiatives
29

Improving Financial Performance
Investment Portfolio Restructuring
•
Sold $123 million securities –
yield 3.59%
•
Incurred $1.3 million pre tax change
•
Reinvest proceeds –
yield 5.25-5.50%
•2-4 year final life
Or
•2-4 year average life
•
Improve annualized earnings $.05 to $.06
per diluted share
30

Improving Financial Performance
Revenue Enhancement
•
Depository Services
•
Discipline in Fee Collection/Waivers
•
Wealth Management
•
Lending Fees
•
Relationship Mortgage Banking
31

Improving Financial Performance
Expense Reduction Initiatives
•
Charter Merger –
Cultural Improvement
•
Credit Quality 
•
Operational Duplications
•
Review of Staffing Models
•
Economies of Scale
32

Experienced
Management
Team
Yes You Can
®
Yes We Can
®

Sales Support Management Team
MainStreet, FCTR,
Southern National Bk
55
27
<1
Treasurer
Bob B. Doby
49
21
21
SVP, Chief HR Ofc
Deborah B. Auman
Western Savings, Zions
Bancorporation
51
25
16
SVP, Chief Risk Ofc
Dean S. Tingey
Planters NB, Bank of
Candor
51
25
19
SVP, Chief Credit Ofc
William S. Bruton
63
22
22
SVP, Chief Fin Ofc
Jerry A. Little
CFO, First Charter
58
35
<1
EVP, Chief Admin Ofc
Robert O. Bratton
President, Richmond
Savings; Raleigh Fed,
Newport News Savings
61
35
6
EVP, Chief Mkt
Prod
R. Larry Campbell
Attorney, Corp and
Private Practice
55
21
21
Chrm, Pres. & CEO
Michael C. Miller
Previous
Experience
Age
Years
in
Banking
Years
at FNB
Title
Name
34

Sales Management Team
Dover Mortgage
53
22
3
Dover Mtg
President
W. Edward Joye
AmSouth, First Union
41
19
3
Regional President
William R. Wood, III
Wachovia
43
21
5
Regional President
J. Greg Spainhour
Wachovia
43
14
3
Regional President
J. Scott Kittrell
First Union/Wachovia
55
22
<1
Regional President
Don S. Harrison
Bank of America,
WesBanco
32
10
5
Chief Wealth Mgt
Timothy A. Britt
Wachovia
54
32
6
SVP Chief Lending
Ofc
Eddie A. Causey
Wachovia
48
26
5
EVP -
Chief Banking
Officer
R. Mark Hensley
Previous
Experience
Age
Years
in
Banking
Years
at
FNB
Title
Name
35

Compelling
Investment
Opportunity
Yes You Can
®
Yes We Can
®

•
Strong Dividend Yield
•
Discount to Peers
•
Opportunity For EPS Improvement
Investor Opportunity
37

Investor Opportunity
10.8
18.2
3.30
1.53
Current Dividend Yield (%)
Price / LTM EPS (X)
FNB United
Corp.
FNB United
Corp.
Peer Group*
Peer Group*
*SNL Data -
Nationwide Banks between $1 Billion and $2.5 billion as of 7/20/2006
38

Investor Opportunity
218.0
202.0
102.0
169.0
Price / Book (%)
Price / Tangible Book (%)
FNB United
Corp.
FNB United
Corp.
*SNL Data -
Nationwide Banks between $1 Billion and $2.5 billion as of 7/20/2006
Peer Group*
Peer Group*
39

Summary
•
Good Markets
•
Proven Integrator
•
Experienced Management Team
•
Focused on Performance Improvement
•
Compelling Investment Opportunity
40

Contact Information
Michael C. Miller
Chairman and President
mmiller@MyYesBank.com
FNB United Corp.
First National Bank and Trust Company
101 Sunset Avenue
PO Box 1328
Asheboro, NC  27204
336.626.8300
Yes You Can
®
Yes We Can
®
41