SECOND QUARTER RESULTS PRESENTATION

2nd Quarter Results

June 30, 2009

Exhibit 99.2

Forward Looking Statements

This presentation includes “forward-looking statements” within the meaning of the federal securities laws. Words such as “believes,” “estimates,”

“plans,” “expects,” “should,” “may,” “might,” “could,” “outlook,” “potential,” “would” and “anticipates,” and the negative of these terms and

similar expressions, as they relate to The Colonial BancGroup, Inc. (BancGroup) (including its subsidiaries or its management), are intended to

identify forward-looking statements. The forward-looking statements in this presentation are subject to risks and uncertainties that could cause

actual results to differ materially from those expressed in or implied by such statements.

In addition to factors mentioned elsewhere in this presentation or previously disclosed in BancGroup’s SEC reports (accessible on the SEC’s website

at www.sec.gov or on BancGroup’s website at www.colonialbank.com), the following factors, among others, could cause actual results to differ

materially from forward-looking statements and future results could differ materially from historical performance. These factors are not exclusive:

•

continued deterioration in Colonial Bank’s financial condition, including losses in our loan portfolio greater than estimated or expected;

•

failure to close on the pending sale of 21 branch offices of Colonial Bank located in Nevada pursuant to the asset purchase agreement with

Global Consumer Acquisition Corporation;

•

an inability to raise additional capital on terms and conditions that are satisfactory, including failure to receive final approval and actual

funding from the U.S. Treasury Department’s Capital Purchase Program;

•

imposition of regulatory conditions or requirements on either BancGroup or the other parties to the transaction referenced above that could

make consummation of the transaction impracticable;

•

failure to comply with the recent regulatory orders and additional regulatory measures that could be imposed independently or as a result of

such failures;

•

possible inability of the Company to continue as a going concern;

•

the impact of current economic conditions and the results of our operations on our ability to borrow additional funds to meet our liquidity

needs;

•

economic conditions affecting real estate values and transactions in BancGroup’s market and/or general economic conditions, either nationally

or regionally, that are less favorable or take longer to recover than expected;

•

changes in the interest rate environment which expand or reduce margins or adversely affect critical estimates as applied, projected returns on

investments, and fair values of assets;

•

continued or sustained deterioration of market and economic conditions or business performance could increase the likelihood that we would

have an additional goodwill impairment charge;

Forward Looking Statements

•

deposit attrition, customer loss, or revenue loss in the ordinary course of business;

•

increases in competitive pressure in the banking industry and from non-banks;

•

costs or difficulties related to the integration of the businesses of BancGroup and institutions it acquires are greater than expected;

•

the inability of BancGroup to realize elements of its strategic and operating plans for 2009 and beyond, including a reduction of assets in

order to improve capital ratios;

•

the anticipated cost savings and revenue enhancements from the Colonial 1st program may not be achieved in their entirety or accomplished

within our expected time frame;

•

natural disasters in BancGroup’s primary market areas which result in prolonged business disruption or materially impair the value of

collateral securing loans;

•

management’s assumptions and estimates underlying critical accounting policies prove to be inadequate or materially incorrect or are not

borne out by subsequent events;

•

the impact of recent and future federal and state legislative and regulatory changes;

•

current or future litigation, regulatory investigations, proceedings, inquiries or directives;

•

strategies to manage interest rate risk may yield results other than those anticipated;

•

changes which may occur in the regulatory environment;

•

a significant rate of inflation (deflation);

•

unanticipated litigation or claims;

•

changes in the securities markets;

•

acts of terrorism or war; and

•

details of the recently enacted Emergency Economic Stabilization Act of 2008, the American Recovery and Reinvestment Act of 2009, the

Homeowner Affordability and Stability Plan and various announced and unannounced programs implemented by the U.S. Treasury

Department and bank regulators to address capital and liquidity concerns in the banking system are still being finalized and may have a

significant effect on the financial services industry and BancGroup.

Many of these factors are beyond BancGroup’s control. The reader is cautioned not to place undue reliance on any forward looking statements made

by or on behalf of BancGroup. Any such statement speaks only as of the date the statement was made or as of such date that may be referenced

within the statement. BancGroup does not undertake any obligation to update or revise any forward-looking statements.

Summary of Second Quarter 2009 Performance

Net loss of $3.02 per common share, or $606 million in the quarter; non-cash charges of $377

million, or $1.87 per common share, to establish a valuation allowance on its deferred tax assets

($302 million, or $1.50 per common share) and to write down goodwill ($75 million, or $0.37 per

common

share);

the

valuation

allowance

deferred

taxes

may

reversed

the

future

offset

taxable income;

Loan loss provision was $294 million, up 14% from the first quarter of $257 million. Net charge-offs

for the quarter were $244 million, or 7% annualized of average loans, an increase from $132 million,

3.72%

annualized

average

loans,

the

quarter

2009;

other

credit

costs

include

write

downs and expenses on foreclosed properties which were $43 million in the quarter up $36 million

from

the

quarter

2009;

The balance in the allowance for loan losses was $500 million, or 3.69% of net loans at June 30,

2009;

Nonperforming

assets

increased

$1.7

billion,

12.29%

net

loans,

other

real

estate

owned

and

repossessions at June 30, 2009, up $603 million from March 31, 2009; the increase in nonperforming

assets reflects the continued economic distress in our markets, primarily in Florida; the weakness in

the portfolio continued to be primarily in the construction-related sector, which comprised 72% of

Colonial’s nonperforming assets at June 30, 2009;

FDIC

insurance

and

other

regulatory

fees

were

$29.6

million,

$18.4

million

from

the

quarter

2009 due primarily to the FDIC’s special assessment charged to banks in the quarter of $12.2

million;

Pre-tax,

pre-credit,

results

excluding

goodwill

impairment

and

FDIC

insurance

and

other

regulatory

fees

was

profit

$19.0

million,

$0.09

per

common

the

quarter;

Strong

liquidity

position:

cash

and

interest

bearing

deposits

banks

and

the

Federal

Reserve

were

approximately $1.5 billion at June 30, 2009;

Unaudited

Total deposits increased 7.3% from December 31, 2008;

Colonial’s regulatory capital ratios at June 30, 2009 were:

Tangible book value per share of $1.29 at June 30, 2009;

Net

interest

margin

1.97%

for

the

quarter

compared

2.04%

the

quarter

2009,

primarily resulting from Colonial’s significant liquidity position, the impact of increasing

nonperforming assets, and continued customer preference for higher cost time deposits;

Core

noninterest

income

for

the

quarter

increased

$2.8

million,

6%,

from

the

quarter

2009 driven by a $2.1 million, or 17%, increase in retail mortgage banking fees; and

Core noninterest expenses, excluding FDIC insurance and other regulatory fees, losses and

expenses

other

real

estate

and

professional

fees,

for

the

quarter

were

down

from

the

quarter

2009.

Summary of Second Quarter 2009 Performance

Unaudited

Colonial BancGroup

Bank

Tier I Risk-Based Capital

5.44%

6.46%

Total Risk-Based Capital

9.43%

9.21%

Tier I Leverage Ratio

3.49%

4.18%

Short-Term

Borrowings

Reciprocal

Brokered

Time

Deposits

Long-Term

Debt

16%

CD's >

$100k

16%

Brokered

Time

Deposits

Core

Deposits

58%

Retail franchise provides the most important source of funding

•

Deposits comprise 82% of total funding and fund 79% of total assets

2Q09 Cost of Deposits: 2.19%

Loan to Deposit Ratio of 68%

No remaining corporate debt maturities in 2009

Deposit Composition / Liquidity

Time

Deposits

49%

Brokered

Time

Deposits

Interest

Bearing

Transaction

Accounts

24%

Noninterest

Bearing

Transaction

Accounts

17%

Reciprocal

Brokered

Time

Deposits

Total Deposits: $20.0 billion

at 6/30/09

Total Funding Position: $24.6 billion

at 6/30/09

June

30,

2009

Unaudited

Deposit Composition

Period End Deposits

(Dollars in thousands)

Unaudited

06/30/09

03/31/09

12/31/08

Regional banks

$16,140,145

$15,704,286

$14,796,166

$435,859

2.8%

Public Funds -

Regional banks

795,000

930,000

1,621,000

(135,000)

-14.5%

Mortgage warehouse lending

1,050,525

1,056,341

617,509

(5,815)

-0.6%

Subtotal

17,985,670

17,690,627

17,034,675

295,044

1.7%

Brokered time deposits

1,759,014

2,044,490

1,297,651

(285,476)

-14.0%

Reciprocal brokered

time deposits

268,615

482,941

268,319

(214,326)

-44.4%

Corporate

14,100

39,160

72,620

(25,060)

-64.0%

Total

$20,027,400

$20,257,218

$18,673,265

($229,818)

-1.1%

Change from Prior Quarter

Average Deposits

(Dollars in thousands)

Unaudited

Qtr 2 2009

Qtr 1 2009

Qtr 4 2008

Regional banks

$16,756,327

$16,375,188

$15,924,539

$381,140

2.3%

Mortgage warehouse lending

1,218,025

982,802

681,166

235,223

23.9%

Brokered time deposits

1,967,430

1,655,219

1,607,023

312,211

18.9%

Reciprocal brokered

time deposits

427,472

357,561

243,890

69,911

19.6%

Corporate

29,016

61,905

108,352

(32,889)

-53.1%

Total

$20,398,270

$19,432,675

$18,564,971

$965,595

5.0%

Change from Prior Quarter

Second Quarter 2009 Credit Overview

Aggressive management of problem loans

•

Sales of $75 million of problem assets in the quarter for cumulative losses of 54%

•

Charged off $244.1 million (net), 7.02% (annualized) of average net loans

•

Nonperforming

assets increased to 12.29% of net loans, other real estate and

repossessions

•

Cumulative

charge

downs

all

NPAs

approximately

23%

•

Cumulative charge downs on ORE assets is approximately 50%

Nonperforming assets remain concentrated in the construction related sector of

the loan portfolio (72% of total NPAs)

Unaudited

Review of Loan Portfolio at 6/30/09

($ in millions)

Dollars

Outstanding

% of Total

Portfolio

Change Since

3/31/09

Past Dues

6/30/09*

NPA's

% of

NPA's

Residential Construction

$1,305.4

9.6%

($376.9)

7.26%

$715.2

42.4%

Commercial Construction

1,886.6

13.9%

(374.9)

3.78%

505.1

29.9%

Seasoned Commercial Real Estate

4,791.7

35.4%

(168.2)

1.99%

301.8

17.9%

1-4 Family Permanent Real Estate

2,286.8

16.9%

(128.9)

3.20%

122.0

7.2%

Commercial & Industrial

747.6

5.5%

(100.2)

4.10%

23.7

1.4%

Mortgage Warehouse Lending

669.6

4.9%

6.6

0.00%

8.0

0.5%

Consumer & Other

378.1

2.9%

(31.9)

1.45%

12.8

0.7%

Total Performing Loans

$12,065.8

89.1%

(1,174.4)

3.24%

$1,688.6

100.0%

Nonaccrual Loans

1,475.3

10.9%

596.0

Total Loans

$13,541.1

100.0%

($578.4)

Nonaccrual Loans Held for Sale

$25.9

ORE/Repossessions

$174.0

Total Loans, Nonaccrual LHFS & ORE

$13,741.0

Data as of June 30, 2009.

* - Past due and still accruing.

restructured loans still accruing

** - Does not include $13.4MM of

interest.

Unaudited

Asset Quality Metrics

($ in millions)

Unaudited

6/30/09

Unaudited

3/31/09

12/31/08

6/30/09 vs

3/31/09

Total Loans

$13,541.1

$14,119.5

$14,530.0

(4.10%)

Allowance for Loan Losses (ALL)

500.0

450.0

325.0

11.11%

Net Charge-offs

244.1

132.2

415.0

84.64%

Provision Expense

294.1

257.2

455.0

14.35%

NPAs

1,688.6

1,085.4

710.5

55.57%

NPLs

to Total Loans

10.99%

6.24%

3.67%

76.12%

NPAs

to Total Loans and ORE

12.29%

7.58%

4.83%

62.14%

ALL to Loans

3.69%

3.19%

2.24%

15.67%

Net Charge-off Ratio (Annualized)

7.02%

3.72%

11.15%

88.71%

30-89 Days Past Due (Still Accruing)

3.07%

2.64%

2.65%

16.29%

90+ Days Past Due (Still Accruing)

0.17%

0.25%

0.29%

(32.00%)

Total Past Dues (Still Accruing)

3.24%

2.89%

2.94%

12.11%

Review of Loan Portfolio at 6/30/09

All Loans by Business Line and Location ($ in millions)

Commercial

Construction

$2,342.9

17.3%

C & I

$770.1

5.7%

Mortgage

Warehouse

$677.6

5.0%

Residential

$2,392.8

17.7%

Residential

Construction

$1,894.4

14.0%

Other

$157.4

1.1%

Consumer

$230.0

1.7%

Commercial

$5,075.9

37.5%

Georgia

$997.0

7.4%

Nevada

$766.1

5.7%

Texas

$1,371.9

10.1%

Other

$1,710.1

12.6%

Alabama

$1,514.2

11.2%

Florida

$7,181.8

53.0%

Business Line

Location

Unaudited

Commercial Construction

(Excluding Residential, Condominium Construction and Nonaccruals)

By Location and Property Type at 6/30/09

13.9% of total loan portfolio -

$1.886 billion

($ in millions)

Alabama

$123.6

6.6%

Texas

$434.1

23.0%

Other

$209.3

11.1%

Georgia

$202.1

10.7%

Nevada

$217.9

11.5%

Florida

$699.6

37.1%

Commercial

Development

$225.0

11.9%

Commercial Lot

Inventory

$145.2

7.7%

Industrial

$28.4

1.5%

Warehouse

$64.8

3.5%

Retail

$283.6

15.0%

Other

$50.7

2.7%

Healthcare

$49.2

2.6%

Multi-family

$91.3

4.9%

Office

$153.3

8.1%

Lodging

$193.0

10.2%

Commercial Land

$602.1

31.9%

Property Type

Location

Unaudited

Condo

Construction

$163

Res.

Development

$484

Res. Land

$252

Res. Spec

$145

Res. Presold

$88

Consumer

Lots

$78

Builder Lots

$95

Residential Construction

(Excluding Nonaccruals)

By Location and Property Type at 6/30/09

9.6%

total

loan

portfolio

$1.305

billion

($ in millions)

Total

Outstanding

Res.

Development

Builder

Lots

Consumer

Lots

Res.

Presold

Res. Spec

Res. Land

Condo

Construction

Florida

506

123

118

Texas

393

243

Georgia

160

Alabama

180

Nevada

Other

Total

1,305

484

145

252

163

Unaudited

Seasoned Commercial Real Estate

(Excluding Nonaccruals)

By Location and Property Type at 6/30/09

35.4%

total

loan

portfolio

$4.792

billion

($ in millions)

Alabama

$541.4

11.3%

Texas

$509.5

10.6%

Other

$433.8

9.1%

Georgia

$345.3

7.2%

Nevada

$217.7

4.5%

Florida

$2,744.0

57.3%

Healthcare

$441.3

9.2%

Lodging

$276.2

5.8%

Office

$1,038.0

21.7%

Multi-family

$465.1

9.7%

Retail

$1,106.4

23.1%

Warehouse

$654.5

13.7%

Other

$693.0

14.4%

Industrial

$117.2

2.4%

Property Type

Location

Unaudited

Other Loan Types

(Excluding Nonaccruals)

6/30/09

–

30.2%

total

portfolio

$4.082

billion

($ in millions)

Mortgage

Warehouse

Lending

$669.6

4.9%

1-4 Family

Permanent

Real Estate

$2,286.8

16.9%

Consumer &

Other

$378.1

2.9%

Commercial

& Industrial

$747.6

5.5%

Unaudited

Net Charge-Offs by Property Type and

Location

Six

Months

Ended

June

30,

2009

–

Total

$376.3

million

($ in millions)

Florida

$302.3

80.3%

Georgia

$27.4

7.3%

Nevada

$10.3

2.8%

Texas

$3.1

0.8%

Other

$6.0

1.6%

Alabama

$27.2

7.2%

Residential

Construction

$135.6

36.0%

Seasoned

Commercial

Real Estate

$62.9

16.7%

1-4 Family

Permanent

Real Estate

$72.6

19.3%

Commercial

Construction

$62.1

16.5%

Consumer &

Other

$7.6

2.0%

Mortgage

Warehouse

$3.0

0.9%

C & I

$32.5

8.6%

Business Line

Location

Unaudited

Florida

$61.0

16.2%

Nevada

$0.1

0.0%

Georgia

$0.2

0.1%

Alabama

$0.8

0.2%

Commercial

Land

$29.0

7.7%

Other

$5.5

1.4%

Warehouse

$6.4

1.7%

Retail

$5.1

1.3%

Lodging

$0.2

0.1%

Office

$1.0

0.3%

Commercial

Lots

$7.1

1.9%

Commercial

Development

$7.8

2.1%

Commercial Construction Net Charge-Offs

(Excluding Residential and Condominium Construction)

Six Months Ended June 30, 2009

Total $62.1 million (or 16.5% of total net charge-offs)

($ in millions)

note: percentages in above charts represent proportion to total net charge-offs

Property Type

Location

Unaudited

Florida

$104.5

27.8%

Georgia

$18.3

4.9%

Nevada

$3.6

0.9%

Texas

$1.6

0.4%

Other

$0.9

0.2%

Alabama

$6.7

1.8%

Residential Construction Net Charge-Offs

Six Months Ended June 30, 2009

Total $135.6 million (or 36.0% of total net charge-offs)

($ in millions)

note: percentages in above charts represent proportion to total net charge-offs

Builder Lots

$5.5

1.5%

Residential

Land

$22.7

6.0%

Residential

Spec and

Presold

$14.3

3.8%

Residential

Development

$66.4

17.6%

Consumer

Lots

$7.5

2.0%

Condo

Construction

$19.2

5.1%

Property Type

Location

Unaudited

Nonperforming Assets by Property Type

and Location

At 6/30/09 –

Total $1,688.6 million

($ in millions)

Florida

$1,025.8

60.8%

Georgia

$154.8

9.2%

Nevada

$176.4

10.4%

Texas

$94.5

5.6%

Other

$122.0

7.2%

Alabama

$115.1

6.8%

C & I

$23.7

1.4%

Mortgage

Warehouse

$8.0

0.5%

Residential

Construction

$715.2

42.4%

Seasoned

Commercial

Real Estate

$301.8

17.9%

1-4 Family

Permanent

Real Estate

$122.0

7.2%

Commercial

Construction

$505.1

29.9%

Consumer &

Other

$12.8

0.7%

Business Line

Location

Unaudited

Commercial

Land

$252.8

15.0%

Retail

$36.5

2.2%

Warehouse

$6.6

0.4%

Office

$28.3

1.7%

Other

$33.1

1.9%

Commercial

Lots

$27.5

1.6%

Commercial

Development

$120.3

7.1%

Florida

$281.5

16.7%

Nevada

$87.5

5.2%

Georgia

$4.8

0.3%

Texas

$12.1

0.7%

Other

$83.5

4.9%

Alabama

$35.7

2.1%

Commercial Construction NPAs

(Excluding Residential and Condominium Construction)

At 6/30/09 –

Total $505.1 million (or 29.9% of total nonperforming assets)

($ in millions)

note: percentages in above charts represent proportion to total NPAs

Property Type

Location

Unaudited

Florida

$382.1

22.6%

Georgia

$136.0

8.1%

Nevada

$81.1

4.8%

Texas

$41.9

2.5%

Other

$14.0

0.8%

Alabama

$60.1

3.6%

Residential Construction NPAs

At 6/30/09 –

Total $715.2 million (or 42.4% of total nonperforming assets)

($ in millions)

Builder Lots

$53.0

3.1%

Residential

Land

$93.4

5.5%

Residential

Spec and

Presold

$149.9

8.9%

Residential

Development

$313.3

18.6%

Consumer

Lots

$19.8

1.2%

Condo

Construction

$85.8

5.1%

Property Type

Location

note: percentages in above charts represent proportion to total NPAs

Unaudited

Industrial

$2.5

0.1%

Other

$48.2

2.9%

Warehouse

$25.7

1.5%

Retail

$22.9

1.4%

Multi-family

$120.8

7.2%

Office

$55.4

3.3%

Lodging

$26.0

1.5%

Healthcare

$0.3

0.0%

Alabama

$8.7

0.5%

Texas

$36.7

2.2%

Other

$19.9

1.2%

Georgia

$8.4

0.5%

Nevada

$3.9

0.2%

Florida

$224.2

13.3%

Seasoned Commercial Real Estate NPAs

At 6/30/09 –

Total $301.8 million (or 17.9% of total nonperforming assets)

($ in millions)

Property Type

Location

note: percentages in above charts represent proportion to total NPAs

Unaudited

Selected Average Balances

($ in millions)

2Q09

1Q09

2Q08

1Q09

2Q08

Earning Assets

24,369

23,680

24,576

-1%

Loans, Net of Unearned Income

13,939

14,409

15,798

-3%

-12%

Loans Held for Sale

2,796

2,452

2,953

14%

-5%

Securities

4,241

3,708

3,663

14%

16%

Resell Agreements and

Federal Funds Sold

1,565

1,695

2,155

-8%

-27%

Interest Bearing Deposits in Banks

1,828

1,416

29%

26014%

Total Assets

26,368

25,721

27,016

-2%

Total Deposits

20,398

19,433

18,973

Noninterest Bearing Deposits

3,506

3,189

3,067

10%

14%

Interest Bearing Transaction Accounts

4,788

5,037

6,309

-5%

-24%

Time Deposits

12,104

11,207

9,597

26%

Repurchase Agreements

321

411

522

-22%

-39%

S/T Borrowings and Fed Funds Purchased

476

-100%

L/T Debt

3,957

4,013

4,077

-1%

-3%

Shareholders' Equity

1,408

1,589

2,704

-11%

-48%

% Change

Unaudited

Noninterest Income

($ in millions)

Core noninterest income was used in the calculation

Unaudited

% Change

2Q09

1Q09

2Q08

1Q09

2Q08

Service Charges on Deposit Accounts

16.5

16.7

19.3

-1%

-15%

Electronic Banking

5.3

5.0

5.3

Other Retail Banking Fees

2.0

1.9

2.5

-20%

Retail Banking Fees

23.8

23.6

27.1

-12%

Mortgage Banking Origination and Sales

14.3

12.3

7.9

16%

81%

Wealth Management Services

4.3

5.1

-16%

Mortgage Warehouse Fees

2.2

1.4

1.2

57%

83%

Bank-Owned Life Insurance

4.0

3.9

5.2

-23%

Other Income

4.7

4.1

6.2

15%

-24%

Core Noninterest Income

53.3

50.4

52.7

Securities Gains (Losses), Net

(0.8)

3.0

100%

-100%

Total Noninterest Income

53.3

49.6

55.7

-4%

Annualized

Noninterest

Income

Average

Assets

0.81%

0.80%

0.78%

Noninterest

Income

Total

Revenue

31.2%

30.0%

23.2%

Noninterest Expense

($ in millions)

Core noninterest income and core noninterest expense were used in the calculation

Unaudited

% Change

2Q09

1Q09

2Q08

1Q09

2Q08%

Salaries and Employee Benefits

73.9

72.1

74.8

-1%

Occupancy Expense of Bank Premises, Net

23.3

23.7

24.1

-2%

-3%

Furniture and Equipment Expenses

15.0

15.6

15.1

-4%

-1%

Professional Services

15.1

10.4

7.8

45%

94%

FDIC Insurance and Other Regulatory Fees

29.6

11.2

4.4

164%

573%

Amortization of Intangible Assets

4.2

4.1

Electronic Banking and Other Retail Banking Expenses

3.7

3.3

4.1

12%

-10%

Losses and Expenses on Other Real Estate

43.1

7.0

4.1

516%

951%

Loan Closing Costs

1.9

2.0

1.1

-5%

73%

Communications

2.9

Advertising

1.6

2.7

2.4

-41%

-33%

Postage and Courier

2.0

2.3

-13%

Loss on Equity Investments

1.6

3.4

1.7

-53%

-6%

Travel

1.0

1.5

-33%

Other Expenses

8.6

8.2

9.1

-5%

Core Noninterest Expense

227.5

170.5

159.5

33%

43%

Goodwill Impairment

75.0

28.5

163%

100%

Severance Expense

0.6

-100%

Net Losses Related to the Early Extinguishment of Debt

(3.1)

(20.3)

4.1

-85%

-176%

Total Noninterest Expense

299.4

178.7

164.2

68%

82%

Efficiency

Ratio

131.60%

100.13%

69.59%

Annualized

Noninterest

Expense

Average

Assets

3.45%

2.65%

2.36%