First Horizon Corporation · NYSE:FHN
First Horizon — First Horizon National — Goldman Sachs U.S. Financial Services Conference 2019
16 slides from First Horizon's conference presentation, Dec 11, 2019
Slide 1: First Horizon National Corp Goldman Sachs Financial Services Conference
First Horizon National Corp Goldman Sachs Financial Services Conference December 11, 2019
Slide 2: Disclaimer
Disclaimer Forward-Looking Statement This presentation contains certain “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933, as amended (the “Securities Act”), and Section 21E of the Securities Exchange Ac
Slide 3: FHN Delivers Strong Performance in 2019
FHN Delivers Strong Performance in 2019 Countercyclical Business Provide Delivering on Strategic Priorities Significant Earnings Contribution Delivered on financial targets communicated at Fixed income pre-tax income of $42mm in 2019 YTD 2018 Investor Day vs $4mm in 2018 YTD Strong 2019 earnin
Slide 4: FHN Balance Sheet Momentum in 2019
FHN Balance Sheet Momentum in 2019 Strategic focus on developing quality relationships with profitable customers Broad-based loan growth across specialty areas and key markets Continued positive shift in deposit funding mix with customer deposit growth replacing higher-cost market index deposi
Slide 5: Successful Execution Since Capital Bank Merger
Successful Execution Since Capital Bank Merger Established Strong Foundation for 2019 Results Current consensus analyst estimates for Credit performance of acquired loans has 2019 core EPS are $.13 ahead of exceeded expectations resulting in lower Earnings consensus analyst 2019 estimates following
Slide 6: First Horizon – IBERIABANK Merger of Equals Overview
First Horizon – IBERIABANK Merger of Equals Overview Combined $75Bn $57Bn $55Bn Company by the Numbers: IN ASSETS IN DEPOSITS IN LOANS COMPELLING STRATEGIC BENEFITS Strong cultural alignment with valued-based employee cultures, Proven strong credit culture and risk management practices exceptional r
Slide 7: Creating a Top-Tier Differentiated U.S. Banking Institution
Creating a Top-Tier Differentiated U.S. Banking Institution Long-Lived History, Common Culture & Shared Philosophy Position the Company for Success Premier Southern-Based Bank Complementary Market Position Diversified Business Mix Premier Southern banking institution Strengthens competitive posi
Slide 8: Attractive Scale, Profitability & Shareholder Value Creation from IBERIABANK Merger
Attractive Scale, Profitability & Shareholder Value Creation from IBERIABANK Merger Significant Pro Forma Scale Peer Leading Profitability Value of Cost Synergies Accrues to All Shareholders (2) Market Cap $9Bn+ ROAA (1) 1.4% $1Bn Assets $75Bn ROATCE (1) 18% Value of 44% Synergies (2) 56% Deposits $
Slide 9: Top Tier Profitability Profile
Top Tier Profitability Profile Increased Return Profile Supports Stronger Incremental Capital Generation Over Time ROATCE (2020E) (1) Efficiency Ratio (2020E) (1) 20% 70% 18%(2) 16% 16% Median: 15% 60% 60% Median: 58% 13% 55% 12% 51%(2) 50% 8% 4% 40% Pro Pro Forma Forma ROAA (2020E) (1) 2021E vs. 20
Slide 10: Branch Acquisition Strengthens Share in Key Growth Markets in North Carolina
Branch Acquisition Strengthens Share in Key Growth Markets in North Carolina Pro Forma - Top States Pro Forma - Top States • On November 8, 2019, First Horizon announced an agreement to acquire 30 branches from SunTrust that are being divested in WV VA connection with the previously announced merger
Slide 11: Merger & Branch Acquisition Update
Merger & Branch Acquisition Update • Employee engagement with town hall meetings across all markets for IBERIABANK merger and branch acquisition • Established Merger Project Offices for MOE and branch acquisition The First Month • Weekly discussions among senior leadership team to begin organization
Slide 12: Key Takeaways
Key Takeaways • Strong loan growth across markets and specialty areas • Solid core customer deposit growth with momentum in key markets • Good expense discipline with improved efficiency • Countercyclical businesses provide offsets in a declining rate environment • Continued sustainable underwriting
Slide 13: Additional Materials
ADDITIONAL MATERIALS 13
Slide 14: Complementary Franchises With Presence Across Attractive Markets
Complementary Franchises With Presence Across Attractive Markets Expansive Geographic Footprint Enhancing Our Presence in High Growth Markets Memphis, TN New Orleans, LA Nashville, TN WV VA KS MO KY NC TN OK SC AR GA Miami, FL Orlando, FL Houston, TX MS AL LA TX FHN FL IBKC Acquired Branches Atlanta
Slide 15: Strong Footprint in Large & Attractive Southern Markets
Strong Footprint in Large & Attractive Southern Markets Franchise Balanced Between High Growth Markets & Stable Markets Key Highlights Presence in 15 of Top 20 Southern MSAs (1) Population Leading position in high growth Southern markets # MSA Name (2019) (000s) 1 Dallas-Fort Worth-Arlington, TX
Slide 16: First Horizon National Corp Goldman Sachs Financial Services Conference
First Horizon National Corp Goldman Sachs Financial Services Conference December 11, 2019
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