kbwpres72909.htm

Forward-Looking Statements

This presentation may include forward-looking statements containing expectations about
future conditions and descriptions of future plans and strategies.

Whitney's ability to accurately predict the effects of future plans or strategies is
inherently limited such that actual results and performance could differ materially from
those set forth in the forward-looking statements.

Factors that could cause actual results to differ from those expressed in the forward-
looking statements are available in Whitney’s filings with the Securities and Exchange
Commission.

Whitney does not intend, and undertakes no obligation, to update or revise any forward-
looking statements, whether as a result of differences in actual results, changes in
assumptions or changes in other factors affecting such statements.

125 Years Strong

• A great New Orleans tradition since 1883

• One of the premier financial institutions
along the Gulf Coast

• $12 billion in assets

• Strong NIM

• Strong balance sheet

• Solid capital position

• Historically strong credit culture

• Operational resiliency

• Geographic diversification

• Over 150 banking locations

• Whitney Bankers --- the key to creating our
unique brand

– Personalized service in commercial,
business and personal banking

2Q09 Earnings - Overview

• $21 million net loss

• $.38 per diluted common share net loss

• Results include:

– $5.5 million pre-tax or $.04 per share after-tax charge
related to the industry-wide FDIC special assessment

• Core earnings drivers remained stable

– NIM compares favorably to peers

– Fee generating business lines grew

– Noncredit-related operating expenses remain
under control

• Lower valuations on residential real
estate-related credits in Florida and
coastal Alabama continued to
significantly impact credit quality
metrics

• Ongoing pressures associated with
problems in the overall economy
continued to affect various types of
credits serviced out of Texas and
Louisiana

	2Q09	1Q09	2Q08
(Period-end)
Total Assets	$12.0B	$12.0B	$11.0B
Total Loans	$8.8B	$9.0B	$8.0B
Total Deposits	$9.1B	$9.2B	$8.3B
Provision for Credit Losses	$74.0MM	$65.0MM	$35.0MM
Net Income (loss)	($21.3MM)	($11.1MM)	$12.9MM
Earnings (loss) per share (diluted)	($.38)	($.22)	$.20

Commercial and Business Banking Focus

• Total loans $8.8 billion

– Commercial portfolio 84%

– Consumer portfolio 16%

• Originated new loans or funded
commitments of $700 million in
2Q09

• Continue to actively look for
new and expanded relationships

• Loan demand weak in the
current environment, expect
trend to continue in the near
term

• Real Estate portfolio diversified
by geography

At 6/30/09

Fee Generating Business Line Growth

• Noninterest income of $32 million up
11% compared to 1Q09

– Significant increase in mortgage
originations

• Secondary mortgage market
income up approximately $1.3
million

– Other noninterest income
included a $1.8 million
distribution from a local SBIC
investment

– Bankcard fees and trust fees
increased during 2Q09

• Most recurring sources of fee
income increased during 2Q09

($s in millions)	2Q09	1Q09	2Q08
Service charges on deposit	$9.4	$9.8	$8.5
Bank card fees	4.6	4.4	4.5
Trust service fees	3.2	3.0	3.4
Secondary mortgage market operations	3.1	1.8	1.4
Other noninterest income	12.1	10.2	8.4
Total noninterest income	$32.4	$29.3	$26.2

At 6/30/09

Noncredit Operating Expenses Under Control

§ Noninterest expense increased $15
million or 15% from 1Q09

§ Majority of the increase came from:

§ $5.5 million FDIC special assessment charge

§ $4.4 million provision to increase valuation
allowance for ORE

§ Approximately $2 million in increased ORE
and collection costs

§ Uncontrollable expenses have and could
impact total expenses

§ Pension plans

§ FDIC increased assessments

§ Credit collection expenses

§ Will continue expense control measures
for the foreseeable future

($s in millions)	2Q09	1Q09	2Q08
Personnel Expense	$51.4	$49.9	$47.1
Net Occupancy Expense	9.6	9.7	8.5
Equipment & DP	6.5	6.4	6.2
FDIC Insurance & Regulatory Charges	9.9	3.6	1.1
Collection Costs for Problem Credits & ORE	9.6	3.4	.6
Other Noninterest Expense	24.8	23.8	22.1
Total Noninterest Expense	$111.8	$96.8	$85.6

At 6/30/09

Sound Capital Levels

• $1.5 billion total equity

• Company remains well-
capitalized

• Company’s tangible common
equity (TCE) ratio 6.42%

– 6.49% at December 31, 2008

• Leverage and TCE ratios at or
above average within peer group

• Comfortable with capital position

– Do not see the need to raise
“defensive” capital

	6/30/09	12/31/08
Tier I capital/risk- weighted assets	10.78% (estimate)	10.76%
Tangible common equity ratio	6.42%	6.49%
Leverage	9.21%	9.87%

Company ratios

At 6/30/09

Credit Story Now Two-Fold

• Continue to experience growth in criticized and
nonaccrual portfolios as a result of the recessionary
environment

• These issues are continuing to drive elevated
provision levels

• Story is now two-fold

– Valuation issues related to Florida and coastal Alabama
real estate continue to significantly impact credit metrics

– Signs of general economic stress are affecting various types
of credits serviced out of Texas and Louisiana

At 6/30/09

• Included in criticized loans are
$413 million of nonperforming
loans, up $47 million, net of
charge-offs

– Approximately $180 million in
construction, land and land
development mainly in Florida
and coastal Alabama

• Part 1 - Florida and coastal
Alabama added $58 million in new
larger criticized credit relationships

• Part 2 - Texas and Louisiana added
$16 million in new larger criticized
credits

Prompt Identification of Problem Loans

At 6/30/09

Provision For Credit Losses

• 2Q09 provision for credit losses = $74 million

– $2 million added to the reserve for unfunded commitments

– $25 million for newly impaired credits and unreserved charge-offs resulting
from declining collateral values, mainly from residential-related credits
within CRE in FL and coastal AL

– $27 million for addition of new criticized and downgrades within criticized

• Half from FL and coastal AL residential-related credits

• Half from various C&I and CRE credits in TX and LA

– $10 million for increase related to regular assessment of current economic
conditions and other quantitative and qualitative factors

– $7 million for consumer and other smaller credit charge-offs

– $2 million for changes to noncriticized credits

• Provision exceeded net charge-offs by $27 million and further strengthened
allowance for credit losses to 2.50%

At 6/30/09

Florida Loan Portfolio Facts

• Florida loan portfolio approximately $1.37 billion, or 16% of total
loans

– Approximately $530 million in panhandle

– Approximately $840 million in Tampa Bay area

• CRE portfolio totals $991 million

– Residential construction $52 million

– Commercial construction, land and land development $412 million

• Approximately $100 million undeveloped land; 50% residential, 50% commercial

• Approximately $160 million developed land, mainly residential

• 32% of total FL portfolio is criticized

– 52% of commercial construction, land and land development loans are
criticized

• Almost 60% of undeveloped land is criticized

• Almost 50% of developed land is criticized

• $268 million, or 65%, of total nonperforming loans are in Florida

At 6/30/09

Oil & Gas Portfolio

• Loans outstanding to oil & gas industry customers represent
approximately 12% of total loans

– Approximately 32% are related to E&P lending

– Approximately one-third related to services sector

– Balance related to transportation, drilling and pre-drilling
and other

• Approximately 7% of the portfolio was criticized

– Added only one new large oil & gas service company loan
to criticized during the quarter

• Until the outlook on commodity prices translates to increased
activity, expect continued stress on this portion of the loan
portfolio

At 6/30/09

Credit Outlook

• Cannot predict when we may see a turn or stabilization
in the level of problem credits

• Until we see a stabilization in real estate prices and a
positive turn in the general economy, we expect
criticized loans and credit costs to remain elevated

• Considering a variety of ways to manage problem assets,
however today we do not see bulk sales as an alternative
that will benefit the Company and our shareholders

At 6/30/09

Committed And Focused On Creating Long-Term Value

• Difficult year, but we will
persevere

• Terrific opportunities once the
market turns

• Committed and focused on
creating long-term value for
shareholders

Leveraging Our Position As The Hometown Bank

• Parish National

– 40 year-old bank headquartered on
the Northshore

– 17 locations

– Total loans:
$605 million (at 9/30/08)

– Total deposits:
$635 million (at 9/30/08)

– Transaction closed November 7, 2008

• Parish National merger provided
opportunity to strengthen our position
in the GNO market

– Parish’s Northshore market share:
9.1% (at June 30, 2008)

– Combined Northshore market share:
12.9% (at June 30, 2008)

– Combined New Orleans MSA market
share: 17.6% (at June 30, 2008)

Whitney locations

Parish locations

Source: www.FDIC.gov

Branch Rationalization - Closings

• Aligning branch network to optimize
Company’s use of capital

• Management concluded 9 branches
should be closed:

– Moss Bluff, (Lake Charles, LA)

– Patterson, (Morgan City, LA)

– Davis Highway, (Pensacola, FL)

– Clearwater, (Clearwater, FL)

– Foley, (Foley, AL)

– Northside, (Houston, TX)

– Waveland, (Waveland, MS)

– Country Club and West McNeese in Lake Charles will be
consolidated into a new branch

• Closed 6 overlapping branches

– Hammond, (Hammond, LA) (Whitney branch)

– Causeway, (Metairie, LA) (Parish branch)

– Kenner, (Kenner, LA) (Whitney branch)

– French Quarter, (New Orleans, LA) (Parish branch)

– Destin Commons, (Destin, FL) (Whitney branch)

– Fairhope LPO, (Fairhope, AL) (Parish location)

Branch Rationalization - Openings

• Opened 9 new branches over the
past 2 years

• Two branches currently under
construction

– Transcontinental (Metairie, LA)

– Lake Charles (Louisiana)

• Re-opened branches in every
market served prior to hurricane
Katrina except one

• Developing a plan to improve
and monitor remaining branches

Investing In Our Future

• New technology investments are a must

• Announced a new customer service initiative in May we
call Project Genesis

• Project is expected to benefit bankers, customers and
shareholders in a number of important ways

– Employees should be able to deliver faster service as well as
anticipate customer needs with better customer information

– Customers should enjoy faster service, better products and most
importantly, a better overall experience

– Shareholders are expected to benefit from both projected lower
ongoing operational costs and enhanced revenues

Today’s Environment Requires Focus & Discipline

• Credit discipline

• Focus on strategic market
segmentation

• Balance sheet management

• Focus on growing fee income

• Reduction of expenses

• Continued geographic
diversification

• Capital management

• We are positioning the company
to be ready to capitalize on the
terrific opportunities ahead

It Takes Whitney Bank

• Whitney has prospered for 125 years

– Whitney served its customers through the Great
Depression

– Whitney managed through losses in 1989-1991
related to the declines in the oil patch

– Whitney has been here for its customers and
communities after major hurricanes, including
Katrina and Rita

– Whitney has been and will continue to be here
for its customers through this economic crisis