EX-99.2 3 snv033120208kexhibit991.htm EX-99.2 Document


SynovusExhibit 99.2
INCOME STATEMENT DATA
(Unaudited)
(Dollars in thousands, except per share data)20202019First Quarter
First QuarterFourth QuarterThird QuarterSecond QuarterFirst Quarter'20 vs '19
% Change
Interest income$483,897  506,253  523,415  516,131  504,839  (4.1)%
Interest expense110,637  106,985  121,318  118,869  107,664  2.8  
Net interest income373,260  399,268  402,097  397,262  397,175  (6.0) 
Provision for credit losses158,722  24,470  27,562  12,119  23,569  573.4  
Net interest income after provision for credit losses214,538  374,798  374,535  385,143  373,606  (42.6) 
Non-interest revenue:
Service charges on deposit accounts20,689  22,385  22,952  21,994  20,859  (0.8) 
Fiduciary and asset management fees15,174  15,645  14,686  14,478  13,578  11.8  
Card fees10,950  11,325  12,297  11,161  10,877  0.7  
Brokerage revenue12,398  11,106  11,071  10,052  9,379  32.2  
Mortgage banking income12,227  9,287  10,351  7,907  5,054  141.9  
Capital markets income 11,243  8,972  7,396  8,916  5,245  114.4  
Income from bank-owned life insurance6,038  5,620  5,139  5,176  5,290  14.1  
Investment securities gains/(losses), net8,734  (2,157) (3,731) (1,845) 75  nm
Fair value (decrease)/increase and gain on sale of private equity investments(4,255) 8,100  1,194  1,455  858  nm
Other non-interest revenue10,659  7,672  7,405  10,513  8,163  30.6  
Total non-interest revenue103,857  97,955  88,760  89,807  79,378  30.8  
Non-interest expense:
Salaries and other personnel expense149,678  145,084  142,516  143,009  139,427  7.4  
Net occupancy and equipment expense42,194  42,644  41,017  39,851  38,394  9.9  
Third-party processing and other services21,480  20,293  18,528  19,118  17,758  21.0  
Professional fees10,675  9,921  9,719  9,312  6,348  68.2  
FDIC insurance and other regulatory fees5,278  9,825  7,242  7,867  6,761  (21.9) 
Advertising expense4,752  4,375  5,950  5,923  5,123  (7.2) 
   Amortization of intangibles2,640  2,901  2,901  2,410  3,392  (22.2) 
Merger-related expense—  (913) 353  7,401  49,738  nm
Earnout liability adjustments—  —  10,457  —  —  nm
   Loss on early extinguishment of debt, net1,904  —  4,592  —  —  nm
   Valuation adjustment to Visa derivative —  1,111  2,500  —  —  nm
Restructuring charges 3,220  1,259  (66) 18  19  nm
Other operating expenses34,458  29,621  30,601  29,217  25,450  35.4  
Total non-interest expense276,279  266,121  276,310  264,126  292,410  (5.5) 
Income before income taxes42,116  206,632  186,985  210,824  160,574  (73.8) 
Income tax expense3,595  54,948  51,259  54,640  40,388  (91.1) 
Net income38,521  151,684  135,726  156,184  120,186  (67.9) 
Less: Preferred stock dividends8,291  8,291  8,291  3,150  3,150  163.2  
Net income available to common shareholders$30,230  143,393  127,435  153,034  117,036  (74.2)%
Net income per common share, basic$0.21  0.98  0.84  0.97  0.73  (71.8)%
Net income per common share, diluted0.20  0.97  0.83  0.96  0.72  (71.7) 
Cash dividends declared per common share0.33  0.30  0.30  0.30  0.30  10.0  
Return on average assets *0.32 %1.27  1.14  1.34  1.06  (74)bps
Return on average common equity *2.75  13.08  11.36  13.90  10.98  (823) 
Weighted average common shares outstanding, basic147,311  146,948  152,238  157,389  160,927  (8.5)%
Weighted average common shares outstanding, diluted148,401  148,529  154,043  159,077  162,760  (8.8) 
 nm - not meaningful
 bps - basis points
* - ratios are annualized





Synovus
BALANCE SHEET DATAMarch 31, 2020December 31, 2019March 31, 2019
(Unaudited)
(In thousands, except share data)
ASSETS
Cash and due from banks$652,451  $535,846  $519,681  
Interest-bearing funds with Federal Reserve Bank1,020,775  553,390  688,470  
Interest earning deposits with banks20,717  20,635  24,147  
Federal funds sold and securities purchased under resale agreements129,891  77,047  33,627  
Cash and cash equivalents1,823,834  1,186,918  1,265,925  
Investment securities available for sale, at fair value6,937,240  6,778,670  6,808,191  
Mortgage loans held for sale, at fair value119,841  115,173  55,970  
Loans, net of deferred fees and costs38,258,024  37,162,450  35,634,501  
Allowance for loan losses(493,452) (281,402) (257,036) 
Loans, net37,764,572  36,881,048  35,377,465  
Cash surrender value of bank-owned life insurance1,031,544  775,665  761,098  
Premises and equipment, net482,462  493,940  479,965  
Goodwill497,267  497,267  485,000  
Other intangible assets53,032  55,671  74,683  
Other assets1,909,793  1,418,930  1,321,728  
Total assets$50,619,585  $48,203,282  $46,630,025  
LIABILITIES AND SHAREHOLDERS' EQUITY
Liabilities:
Deposits:
Non-interest-bearing deposits$9,659,451  $9,439,485  $9,144,315  
Interest-bearing deposits30,167,134  28,966,019  28,930,875  
Total deposits39,826,585  38,405,504  38,075,190  
Federal funds purchased and securities sold under repurchase agreements312,776  165,690  314,383  
Other short-term borrowings1,175,000  1,753,560  853,000  
Long-term debt3,152,339  2,153,897  2,106,037  
Other liabilities1,087,680  782,941  683,662  
Total liabilities45,554,380  43,261,592  42,032,272  
Shareholders' equity:
Preferred stock - no par value. Authorized 100,000,000 shares; issued
22,000,000, 22,000,000, and 8,000,000
537,145  537,145  195,140  
Common stock - $1.00 par value. Authorized 342,857,143 shares; issued 167,359,689, 166,800,623, and 165,929,349; outstanding 147,266,662, 147,157,596, and 157,454,007167,360  166,801  165,929  
Additional paid-in capital3,821,357  3,819,336  3,794,262  
Treasury stock, at cost – 20,093,027, 19,643,027, and 8,475,342 shares(731,806) (715,560) (319,898) 
Accumulated other comprehensive income (loss), net256,911  65,641  (18,342) 
Retained earnings1,014,238  1,068,327  780,662  
Total shareholders’ equity5,065,205  4,941,690  4,597,753  
Total liabilities and shareholders' equity$50,619,585  $48,203,282  $46,630,025  






Synovus
AVERAGE BALANCES AND YIELDS/RATES (1)
(Unaudited)20202019
(Dollars in thousands)
FirstFourthThirdSecondFirst
QuarterQuarterQuarterQuarterQuarter
Interest Earning Assets
Investment securities (2) (4)
$6,680,047  6,696,768  6,831,036  6,955,386  6,536,199  
Yield
3.09 %3.12  3.14  3.03  3.06  
Trading account assets (5)
$6,306  7,986  5,519  4,853  2,049  
Yield
2.70 %2.69  4.01  1.83  1.30  
Commercial loans (3) (4)
$27,607,343  26,698,202  26,568,194  26,353,973  26,140,672  
Yield
4.57 %4.82  5.09  5.13  5.16  
Consumer loans (3)
$9,985,702  9,809,832  9,633,603  9,423,427  9,180,679  
Yield
4.60 %5.07  5.08  5.17  5.10  
Allowance for loan losses
$(368,033) (269,052) (258,024) (259,284) (252,815) 
Loans, net (3)
$37,225,012  36,238,982  35,943,773  35,518,116  35,068,536  
Yield
4.62 %4.93  5.13  5.17  5.17  
Mortgage loans held for sale
$86,415  117,909  99,556  70,497  34,913  
Yield
3.67 %3.77  3.93  4.27  4.48  
Federal funds sold, due from Federal Reserve Bank, and other short-term investments
$652,130  514,635  513,160  511,488  679,477  
Yield
1.02 %1.71  2.08  2.37  2.45  
Federal Home Loan Bank and Federal Reserve Bank Stock (5)
$284,082  278,586  254,994  234,949  211,408  
Yield
3.38 %2.85  3.85  3.29  4.82  
Total interest earning assets
$44,933,992  43,854,866  43,648,038  43,295,289  42,532,582  
Yield
4.33 %4.60  4.78  4.79  4.80  
Interest-Bearing Liabilities
Interest-bearing demand deposits
$6,445,986  6,381,282  6,138,810  6,335,953  6,393,304  
Rate
0.51 %0.60  0.69  0.71  0.68  
Money Market accounts
$11,548,014  10,526,296  10,138,783  10,024,836  10,244,556  
Rate
1.00 %1.13  1.26  1.23  1.18  
Savings deposits
$926,822  915,640  900,366  904,183  901,059  
Rate
0.05 %0.05  0.05  0.05  0.06  
Time deposits under $100,000
$1,761,741  1,873,350  2,100,492  2,245,878  2,238,568  
Rate
1.64 %1.27  1.39  1.39  1.24  
Time deposits over $100,000
$5,051,705  5,198,266  5,957,691  6,331,665  6,211,067  
Rate
2.04 %1.51  1.69  1.70  1.60  
Non-maturing brokered deposits
$1,376,669  1,156,131  993,078  766,718  937,629  
Rate
1.42 %1.84  2.47  2.46  2.60  
Brokered time deposits
$2,166,496  2,121,069  2,119,149  1,985,589  1,845,819  
Rate
2.11 %2.16  2.27  2.28  2.13  
Total interest-bearing deposits
$29,277,433  28,172,034  28,348,369  28,594,822  28,772,002  
Rate
1.18 %1.16  1.32  1.30  1.24  
Federal funds purchased and securities sold under repurchase agreements
$167,324  192,731  221,045  300,168  233,076  
Rate
0.30 %0.24  0.22  0.20  0.22  
Other short-term borrowings
$1,384,362  1,565,507  1,307,370  1,090,581  517,456  
Rate
1.66 %1.87  2.31  2.59  2.58  
Long-term debt
$2,678,651  2,153,983  2,286,221  2,114,819  1,983,910  
Rate
2.78 %3.07  3.32  3.53  3.33  
Total interest-bearing liabilities
$33,507,770  32,084,255  32,163,005  32,100,390  31,506,444  
Rate
1.30 %1.30  1.47  1.48  1.38  
Non-interest-bearing demand deposits
$9,409,774  9,706,784  9,365,776  9,304,839  9,054,949  
Cost of funds
1.04 %1.02  1.16  1.15  1.07  
Net interest margin
3.37 %3.65  3.69  3.69  3.78  
Taxable equivalent adjustment (4)
$786  769  819  811  630  
(1) Yields and rates are annualized.
(2) Excludes net unrealized gains and losses.
(3) Average loans are shown net of unearned income. Non-performing loans are included.
(4) Reflects taxable-equivalent adjustments, using the statutory federal income tax rate of 21%, in adjusting interest on tax-exempt loans and investment securities to a taxable-equivalent basis.
(5) Included as a component of other assets on the consolidated balance sheet.





Synovus
LOANS OUTSTANDING BY TYPE
(Unaudited)Total LoansTotal LoansLinked QuarterTotal LoansYear/Year
(Dollars in thousands)
Loan TypeMarch 31, 2020December 31, 2019
% Change (1)
March 31, 2019% Change
Commercial, Financial, and Agricultural$11,018,155  $10,252,859  30.0 %$9,566,403  15.2 %
Owner-Occupied6,643,287  6,529,811  7.0  6,542,506  1.5  
Total Commercial & Industrial17,661,442  16,782,670  21.1  16,108,909  9.6  
Multi-Family2,137,757  2,023,769  22.7  2,004,473  6.6  
Hotels1,314,053  1,284,291  9.3  1,179,395  11.4  
Office Buildings2,264,844  2,255,308  1.7  2,309,215  (1.9) 
Shopping Centers1,718,513  1,762,598  (10.1) 1,654,971  3.8  
Warehouses761,863  713,602  27.2  725,862  5.0  
Other Investment Property1,060,761  1,003,111  23.1  979,578  8.3  
Total Investment Properties9,257,791  9,042,679  9.6  8,853,494  4.6  
1-4 Family Construction268,695  284,594  (22.5) 289,607  (7.2) 
1-4 Family Investment Mortgage482,773  495,421  (10.3) 549,120  (12.1) 
Total 1-4 Family Properties751,468  780,015  (14.7) 838,727  (10.4) 
Commercial Development107,351  109,862  (9.2) 147,516  (27.2) 
Residential Development289,769  269,377  30.4  215,814  34.3  
Land Acquisition264,822  278,551  (19.8) 231,595  14.3  
Land and Development661,942  657,790  2.5  594,925  11.3  
Total Commercial Real Estate10,671,201  10,480,484  7.3  10,287,146  3.7  
Consumer Mortgages5,608,121  5,546,368  4.5  5,365,635  4.5  
Home Equity Lines1,778,862  1,713,157  15.4  1,606,227  10.7  
Credit Cards261,581  268,841  (10.9) 252,762  3.5  
Other Consumer Loans2,302,349  2,396,294  (15.8) 2,037,477  13.0  
Total Consumer9,950,913  9,924,660  1.1  9,262,101  7.4  
Unearned Income(25,532) (25,364) 2.7  (23,655) 7.9  
Total$38,258,024  $37,162,450  11.9 %$35,634,501  7.4 %
(1) Percentage change is annualized.
NON-PERFORMING LOANS COMPOSITION
(Unaudited)Total
Non-performing Loans
Total
Non-performing Loans
Linked QuarterTotal
Non-performing Loans
Year/Year
(Dollars in thousands)
Loan TypeMarch 31, 2020December 31, 2019% ChangeMarch 31, 2019% Change
Commercial, Financial, and Agricultural$99,287  $56,186  76.7 %$85,917  15.6 %
Owner-Occupied17,357  9,780  77.5  13,813  25.7  
Total Commercial & Industrial116,644  65,966  76.8  99,730  17.0  
Multi-Family356  385  (7.5) 1,503  (76.3) 
Hotels—  —   7,346  nm  
Office Buildings836  600  39.3  221  278.3  
Shopping Centers712  718  (0.8) 676  5.3  
Other Investment Property308  321  (4.0) —  nm  
Total Investment Properties2,212  2,024  9.3  9,746  (77.3) 
1-4 Family Construction278  698  (60.2) 445  (37.5) 
1-4 Family Investment Mortgage2,047  1,555  31.6  1,522  34.5  
Total 1-4 Family Properties2,325  2,253  3.2  1,967  18.2  
Commercial Development596  87  585.1  46  nm  
Residential Development561  395  42.0  1,569  (64.2) 
Land Acquisition1,043  628  66.1  1,035  0.8  
Land and Development2,200  1,110  98.2  2,650  (17.0) 
Total Commercial Real Estate6,737  5,387  25.1  14,363  (53.1) 
Consumer Mortgages13,571  12,545  8.2  11,556  17.4  
Home Equity Lines12,475  12,034  3.7  14,078  (11.4) 
Other Consumer Loans6,860  5,704  20.3  4,249  61.4  
Total Consumer32,906  30,283  8.7  29,883  10.1  
Total$156,287  $101,636  53.8 %$143,976  8.6 %





Synovus
CREDIT QUALITY DATA
(Unaudited)
(Dollars in thousands)20202019First Quarter
FirstFourthThirdSecondFirst'20 vs '19
QuarterQuarterQuarterQuarterQuarter% Change
Non-performing Loans (NPLs)$156,287  101,636  115,915  124,083  143,976  8.6 %
Other Real Estate and Other Assets33,679  35,810  35,400  15,479  11,341  197.0  
Non-performing Assets (NPAs)189,966  137,446  151,315  139,562  155,317  22.3  
Allowance for Loan Losses (ALL)493,452  281,402  265,013  257,376  257,036  92.0  
Reserve for Unfunded Commitments38,420  1,375  1,496  995  1,070  nm  
Allowance for Credit Losses (ACL)
531,872  282,777  266,509  258,371  258,106  106.1  
Net Charge-Offs - Quarter20,061  8,821  19,925  11,778  17,088  
Net Charge-Offs / Average Loans - Quarter (1)
0.21 %0.10  0.22  0.13  0.19  
NPLs / Loans0.41  0.27  0.32  0.34  0.40  
NPAs / Loans, ORE and specific other assets0.50  0.37  0.42  0.39  0.44  
ACL/Loans1.39  0.76  0.73  0.71  0.72  
ALL/Loans1.29  0.76  0.73  0.71  0.72  
ACL/NPLs340.32  278.23  229.92  208.22  179.27  
ALL/NPLs315.74  276.87  228.63  207.42  178.53  
Past Due Loans over 90 days and Still Accruing$6,398  15,943  15,660  5,851  4,486  42.6  
As a Percentage of Loans Outstanding0.02 %0.04  0.04  0.02  0.01  
Total Past Due Loans and Still Accruing$83,235  123,793  88,219  80,792  88,135  (5.6) 
As a Percentage of Loans Outstanding0.22 %0.33  0.24  0.22  0.25  
Accruing Troubled Debt Restructurings (TDRs)$160,128  133,145  130,019  126,369  112,205  42.7  
(1) Ratio is annualized.
SELECTED CAPITAL INFORMATION (1)
(Unaudited)
(Dollars in thousands)
March 31, 2020December 31, 2019March 31, 2019
Tier 1 Capital$4,290,634  4,280,604  3,985,533  
Total Risk-Based Capital5,298,113  5,123,381  4,803,639  
Common Equity Tier 1 Capital Ratio8.72 %8.95  9.52  
Tier 1 Capital Ratio9.97  10.23  10.01  
Total Risk-Based Capital Ratio12.31  12.25  12.06  
Tier 1 Leverage Ratio8.94  9.16  8.81  
Common Equity as a Percentage of Total Assets (2)
8.95  9.14  9.44  
Tangible Common Equity Ratio (3) (5)
7.94  8.08  8.34  
Book Value Per Common Share (4)
$30.75  29.93  27.96  
Tangible Book Value Per Common Share (3)
27.01  26.17  24.41  
(1) Current quarter regulatory capital information is preliminary.
(2) Common equity consists of Total Shareholders' Equity less Preferred Stock.
(3) Excludes the carrying value of goodwill and other intangible assets from common equity and total assets.
(4) Book Value Per Common Share consists of Total Shareholders' Equity less Preferred Stock divided by total common shares outstanding.
(5) See "Non-GAAP Financial Measures" of this report for applicable reconciliation.