U.s. Bancorp · NYSE:USB
U.s. Bancorp — 2020 RBC Capital Markets Global Financial Institutions Conference
20 slides from U.s. Bancorp's conference presentation, Mar 11, 2020
Slide 1: 2020 RBC Capital Markets Global Financial Institutions Conference
2020 RBC Capital Markets Global Financial Institutions Conference March 11, 2020 Terry Dolan Vice Chair and Chief Financial Officer Tim Welsh Vice Chair, Consumer and Business Banking Exhibit 99.1
Slide 2: Forward-looking Statements and Additional Information
Forward-looking Statements and Additional Information The following information appears in accordance with the Private Securities Litigation Reform Act of 1995: Today’s presentation contains forward-looking statements about U.S. Bancorp. Statements that are not historical or current facts, including
Slide 3: U.S. Bancorp Overview
U.S. Bancorp Overview NYSE TradedUSB Founded1863 Market Value$64B Branches2,795 ATMs4,459 Assets$495B Deposits$362B Loans$296B As of 12/31/19, except market value as of 3/5/20
Slide 4: Our Position In the Industry
Our Position In the Industry Source: company reports and Bloomberg Assets and deposits as of 12/31/19; market value as of 3/5/20 Assets Deposits Market Value Assets Deposits Market Value U.S. U.S. U.S. Rank Company $ in billions Rank Company $ in billions Rank Company $ in billions 1 J.P. Morgan $2,
Slide 5: Our Businesses
Our Businesses Payment Services 29% Retail Payment Solutions, Global Merchant Acquiring and Corporate Payment Systems Wealth Management & Investment Services 14% Wealth Management, Asset Management, Corporate Trust, Fund Services and Custody Corporate & Commercial Banking 17% Corporate Banking, Comm
Slide 6: Our Financial Performance, 4Q19
Our Financial Performance, 4Q19 Return on Average Common Equity Return on Average Assets Efficiency Ratio* Source: company reports; Peer banks include: BAC, FITB, JPM, KEY, PNC, RF, TFC and WFC; all ratios for USB and peers exclude one-time notable items. * Non-GAAP. See slide 19 of this presentatio
Slide 7: Our Strategy and Key Initiatives
Our Strategy and Key Initiatives We put our customers in the center of everything we do, staying ahead of their needs, desires and expectations to deliver exceptional experiences and create deeper, more valuable relationships. Building a strong digital foundation Transforming distribution Relocating
Slide 8: Pairing digital and teams to deliver for customers
Pairing digital and teams to deliver for customers Customer behavior continues to evolve… …with implications on how we design and engage
Slide 9: Digital First: Mobile Banking
Nearly 85% of insights viewed as valuable by customers Digital First: Mobile Banking Report Lost / Stolen Card Subscription management Premier loan shop and buy Micro-savings pilot Free credit score Reset Debit PIN Business Deposits shop and buy “My offers” Stop payments App enhancements since 2019
Slide 10: Digital First: Mortgage Lending
Digital First: Mortgage Lending We reimagined the home buying experience, simplifying and streamlining our mortgage application process to make meaningful improvements in customer experience and efficiency while driving market share gains. % pts Applications through portal* % pts Closings through po
Slide 11: Digital First: Business Lending
Digital First: Business Lending We continue to drive an integrated customer experience with our small business customers Fund My Business – booked loan production Expanding into bigger loans using nCino with more than 1,900 licenses on the platform following 8 month cycle from development to MVP imp
Slide 12: Creating fundamentally different interactions across channels
Creating fundamentally different interactions across channels Personalization Credit Score Visibility “Test Drive” (targeting Q3) Subscription Management Moving to pilot with MVPs across One Click Switch, Subscription banking, and Pre-approved loans through our mobile app
Slide 13: Transforming our distribution network
Transforming our distribution network Branch count as of 12/31 Optimizing Redesigning Deployment of Client Relationship Consultants across all branches focused on proactive customer engagement Added more than 300 Business Bankers in 4Q19 and 1Q20 More than 350 locations migrated to universal model i
Slide 14: Augmenting distribution with customer-centric alliances
Augmenting distribution with customer-centric alliances Common purpose and aligned values Leveraging strengths of the alliance team Over 19,000 State Farm agents U.S. Bank Digital and Product capabilities +
Slide 15: Summary
Summary We are transforming Consumer and Business Banking to be: More agile and digital to serve customers better, faster and where and how they choose More personal, with the advice and information customers want More available, in new markets More optimized and efficient We expect to realize: New
Slide 16: 1Q20 Guidance Update
1Q20 Guidance Update Fully taxable-equivalent net interest income Fee revenue Noninterest expense Credit quality Tax rate
Slide 17: Appendix
Appendix q] U.S. BANCORP | 17
Slide 18: Non-GAAP Financial Measures
Non-GAAP Financial Measures
Slide 19: Non-GAAP Financial Measures
Non-GAAP Financial Measures (1), (2), (3), (4) – see slide 20 for corresponding notes
Slide 20: Notes
Notes Based on a federal income tax rate of 21 percent for those assets and liabilities whose income or expense is not included for federal income tax purposes. Notable items related to noninterest income for the three months ended December 31, 2019 include: $140 million derivative liability charge
US Bancorp \de\ — 2020 RBC Capital Markets Global Financial Institutions Conference on 6ix