Navient Corporation · NASDAQ:NAVI
Navient — Q1 2018 Earnings Presentation
71 slides from Navient's earnings presentation, May 4, 2018
Slide 1: 2018 1st Quarter Investor Deck
NAVIENT. 2018 1St Quarter Investor Deck May 4, 2018
Slide 2: Forward-Looking Statements; Non-GAAP Financial Measures
Forward-Looking Statements; Non-GAAP Financial Measures The following information s current as of March 31, 2018 (unless otherwise noted) and should be read in connection with Navient Corporations (Navient) Annual Report on Form 10:K forthe year ended December 31, 2017 (the "2017 Form 10"), fled by
Slide 3: Navient company overview
NAVIENT. + Navient is a leading provider of asset management and business processing solutions for education, health care, and government clients at the federal, state, and local levels. We help our clients and millions of Americans achieve financial success through our services and support. - Servi
Slide 4: Operating Results
Operating Results “Core Earnings” Basis ($’s in millions, except per share ai18 417 Q117 amounts) Adjusted Core EPS * $0.43 $0.43 SS a0 eo. DTA Remeasurement Loss - ($0.85) Reported Core EPS $0.40 ($0.50) ‘Average common stock equivalent 269 263 Ending total education loans, net $102,326 $105,122 Av
Slide 5: Opportunities to Create Value in 2018 and Beyond
Opportunities to Create Value in 2018 and Beyond sam Federal Education Loans + Loan servicing & asset recovery + Default prevention & portfolio management Consumer Lending + Refinancing education loans + Non-compete for new in-school Private Education Loan originations ends December 31, 2018 Busines
Slide 6: Federal Education Loans Segment
Federal Education Loans Segment “Core Earnings” Basis | aii ai17 | Fy2017 FY 2016 FY 2015 0.83% 0.78% 0.79% 0.86% 0.84% $10 $10 $44 $46 $43 $i $13 $49 $54 $61 0.07% 0.07% 0.07% 0.07% 0.08% Total delinquency rate 13.1% 11.4% 12.7% 12.2% 15.2% Loans greater than 90-day delinquency rate 7.7% 6.2% 6.2%
Slide 7: FFELP Loans
FFELP Loans Credit Quality “GAAP and Core Earnings” Basis (8's in millions) FFELP Education Loan Portfolio March 31, 2018 March 31, 2017 Balance % Balance % Loans in-school/grace/deferment ' $4,701 $5,791 Loans in forbearance * 9,508 10,627 Loans in repayment and percentage of each status Loans curr
Slide 8: Consumer Lending Segment
Consumer Lending Segment “Core Earnings” Basis In this segment, Navient holds, originates and acquires consumer loans and performs set loan portf a ‘Segment net interest margin 3.23% 3.41% Private Education Loans (including Refinance Loans): Provision for loan losses $77 $95 $382 $383 $538 Charge-of
Slide 9: Private Education Loans
Private Education Loans Credit Quality “GAAP and Core Earnings” Basis ($'s in millions) Private Education Loan Portfolio March 31, 2018 March 31, 2017. Balance %o Balance % Loans in-school/grace/deferment * $1,029 $1,337 Loans in forbearance * 969 793 Loans in repayment and percentage of each status
Slide 10: Refinancing education loans is an attractive asset generating opportunity
Refinancing education loans is an attractive asset generating opportunity + Leverages our 40 years of data, analytics, capital markets and industry experience + Graduation, employment and proven cash flows meaningfully reduce credit risk * Opportunity to acquire assets from other originators + Expec
Slide 11: Typical Private Education Refi Borrower Profile
Typical Private Education Refi Borrower Profile We target technology first, financially responsible, digital native young professionals Typical Borrower More Accurate Assessment Weighted Underwriters assess loan Average applications down to the transaction-level where available Borrower Age 32 Month
Slide 12: Private Education Refinance Loans Generate Attractive Returns On Equity
Private Education Refinance Loans Generate Attractive Returns On Equity Over The Lifecycle Of The Loan ojected economics of 2018-A over the next five years Notable Items Date Be) Pa HA 2018-A consists of 100% Private Education Refinance Loans | with 3.2 year weighted average life Loan yield 5.0% 5.0
Slide 13: Consumer Lending Segment Credit Detail
Consumer Lending Segment Credit Detail Delinquency & Forbearance Usage Allowance for Loan Los: March 31, 2018 [rate | air | sai | 3 —— Total delinquencies $1,065 $1,045 $1,240 (S's in milions) Allowance _Balance % of Ending Balance Total delinquency rate as a%ofloans 11.6% 11.1% 13.0% in repayment N
Slide 14: Business Processing Segment
Business Processing Segment “Core Earnings” Basis In this segment, Navient performs business processing services for non-education related government and health care clients. Government Services $53 $28 ‘$134 ‘$106 $86 Healthcare RCM Services $20 $16 $78 $68 $13 Total Business Processing $73 $44 $21
Slide 15: Expanding our reach in growing markets
Expanding our reach in growing markets Navient business processing has grown from a student loan and tax-centric collections business to a revenue-cycle BPO business serving government and healthcare markets, realizing $212M in non- education related revenue in 2017. Market Opportunities & Potential
Slide 16: Strong Focus On Reducing Operating Expense
Strong Focus On Reducing Operating Expense Notable Items Impacting Total Expenses Federal Education Operating Expenses 50 $4 (S's in millions) a118 a117 $296 $401 Reported Total Expenses $282 $238 = z fC ae £ - 7 $300 Regulatory-Related Expenses $4 4 S 3 $250 Costs Related to Duncan & Eamest $29 = 2
Slide 17: Higher Education Industry
Higher Education Industry Confidential ane proprietary infamation © 2018 Navient Soluions, LLC: Allright reserved
Slide 18: Navient helps borrowers successfully repay their loans
In its role as a student loan servicer, Navient helps borrowers successfully repay their loans Servicers begin helping borrowers navigate repayment after important financial decisions about the total cost and experience of their education have already been made. Congress sets product terms and 's in
Slide 19: The majority of student loan balances are less than $20,000
The majority of student loan balances are less than $20,000 Distribution of borrowers by average balance, 2017 * Ml Less than $5,000 Hl $5,000-$9,999 Hl $10,000-$19,999 Hl $20,000-$39,999 fH $40,000 or more ‘Source: College Board, “Distribution Of Borrowers By Amount Of Outstanding Education Debt, 2
Slide 20: On an individual basis, student debt is more reasonable
On an individual basis, student debt is more reasonable than may be evident The average debt of bachelor's degree ... This translates to an increase in holders is $28,000 in real terms... monthly payments of about $64 compared to 1999-00 graduates. Average debt of four-year bachelor's Monthly paymen
Slide 21: Borrowers who struggle most are often non-completers
The borrowers who struggle the most are often non-completers with low levels of debt 2/3 of all defaults are on balances of less than $10,000 Borrowers who do not complete a degree ... As a result, borrowers who run into trouble default at a rate almost three times higher repaying usually have below
Slide 22: College graduates experience substantial earnings premium
College graduates continue to experience substantial earnings premium Median wages for recent graduates by degree type WB High School Diploma Ml Bachelor's Degree 45,000 5 40,000 + 35,000 + 30,000 - 25,000 + 20,000 + Dollars, $ (2017) aa) 2008 2017 ‘Source: Federal Reserve Bank Of New York, “The Lab
Slide 23: Delinquency rates for Class of 2016 are one-third of Class of 2010
Delinquency rates for the Class of 2016 are one-third that of the Class of 2010 Federal loan delinquency rates six months after end of grace period and unemployment for bachelor's degree holders —— Unemployment 30) 29 ll 31+ Days Delinquent pes 27 4 Ml 91+ Days Delinquent f 6.0 = 24 75.5 & s fo} 2 2
Slide 24: Default prevention expertise helps reduce national default rate
Navient's default prevention expertise helps reduce the national default rate + The cohort default rate (CDR) 2014 three-year cohort default rate measures the percent of borrowers 11.5% who defaulted on a student loan within three years of entering Sr eoeant leer repayment in FFY 2014. than all othe
Slide 25: Benefits of a college degree outweigh the costs
The benefits of obtaining a college degree outweigh the costs by a wide margin Cumulative earnings net of college repayment costs — High School Diploma —— Bachelor’s Degree $1.2M 4 $1.0M + +48.14% $0.8M + Cumulative earnings (2014 USD) $0.6M 4 $0.4M 4 $0.2M 4 Acollege degree pays for itself by age 3
Slide 26: 2017 Money Under 35 study reconfirms value of a college degree
The 2017 Money Under 35 study reconfirms the value of a college degree for young adults Employment status by level of education attained College is a solid investment for those 2% who complete their . 3% degree. 3 . + College degree holders are more likely to be employed and have higher incomes than
Slide 27: Non-completers have highest instances of poor financial health
Non-completers of college have the highest instances of poor financial health Average financial health index score by education level, 2017 — Excellent financial health — Poor financial health Self-reported financial 55 - — health scores increase with higher levels of 50 + | educational attainment,
Slide 28: Today's repayment options are numerous and complex
Today's repayment options are numerous and complex Forbearance Discretionary Forbearance + Hardship Forbearance Mandatory Forbearance + Medical or Dental Internship Residency + Department of Defense Student Loan Repayment Programs National Service ‘Active Miltary State Duty ‘Student Loan Debt Burden
Slide 29: Funding & Liquidity
Funding & Liquidity Confidential ane proprietary infmaton © 2018 Navient Solitons, LLC: Al igh reserved
Slide 30: 2018 Capital Markets Activity
2018 Capital Markets Activity > Acquired $824 million of education loans 4 Available capacity under FFELP secured facilities is $2.4 billion 4 Available capacity under Private Education Loan secured facilities is $0.7 billion > FFELP ABS Transactions 4 Issued 2 transactions for $2.0 billion with a w
Slide 31: Secured Funding
Secured Funding . Navient is among the largest issuers of es a ABS globally, having issued over $280 2 Ford $3,595 Auto “. * a 3. /AmeriGredit/ GM Financial. $3,283. Auto billion of Private Education and FFELP nl canuncer $3,203 Auto ABS transactions to date 5 Ally $3,112 Auto 6 Citibank $2,800 _ Cr
Slide 32: FFELP ABS Transactions
FFELP ABS Transactions NAVSL 2018: NAVSL 201: Pricing Date: March 20, 2018 January 23, 2018 Settlement Date: March 29, 2018 February 1, 2018 Issuance Amount: $999M $1,002M Coll . US Govt. Guaranteed US Govt. Guaranteed . FFELP Stafford, Plus and Consolidation Loans FFELP Stafford, Plus and Consolida
Slide 33: Private Education Loan ABS Transactions
Private Education Loan ABS Transactions NAVSL Trust 2018. NAVSL Trust 2017: October 12, 2017 October 26, 2017, Pricing Date: Settlement Date: Issuance Amount: Collateral: Prepayment Speed : Tranching: * Represents ratings by S&P and DBRS. February 13, 2018 February 22, 2018 $507M Private Education R
Slide 34: Long-term capital allocation philosophy
Long-term capital allocation philosophy Consistently balance capital adequacy with capital allocation opportunities, including organic growth, stock repurchases and acquisitions v Execute dynamic capital allocation policy to maintain appropriate leverage that supports our credit ratings and enhances
Slide 35: Managing Unsecured Debt Maturities
Managing Unsecured Debt Maturities 2018 maturities decrease to $0.0 after call of unsecured debt, as of April 30 (par value, $’s in billions) mAs of March 31, 2017 @As of March 31, 2018 $24 $2.3 $2.1 $2.1 $17 18 $1.6 $1.6 $1.2 $1.4 $1.4 $1.5) $1.5 $1.5 pasts 2018 2019 2020 2021 2022 2023 2024 2025 2
Slide 36: Education Loan Portfolio Generates Significant Cash Flows
Education Loan Portfolio Generates Significant Cash Flows $’s in billions FFELP Cash Flows 03/31/18 Secured Residual (including O/C) $7.1 Floor Income 1.6 Servicing 26 Total Secured $11.3 Unencumbered 0.7 Total FFELP Cash Flows $12.0 Private Credit Cash Flows Secured Residual (including O/C) $10.1 S
Slide 37: Education Loan Portfolio Generates Meaningful Cash Flows Over Five Years
Education Loan Portfolio Generates Meaningful Cash Flows Over The Next Five Years $2.0 $2.0 $1.8 $1.8 $1.6 $1.6 g 4 ge s4 S $1.2 & $12 B $1.0 B $1.0 £ © °° $0.8 ° $0.8 & $0.6 & $0.6 $0.4 $0.4 $0.2 $0.2 $0.0 $0.0 Remaining 2019 2020 2021 2022 Remaining 2019 2020 2021 2022 2018 2018 "Cash Flows assumi
Slide 38: FFELP Cash Flows Highly Predictable
FFELP Cash Flows Highly Predictable $'s in millions [ as of 03/31/2018 2018 2019 2020 2021 2022 2023 2024 2025 rojected FFELP Average Balance $76,145 $69,873 $62,457 $55,411 $48,751 $42,258 $36,100 $30,257 rojected Excess Spread $603 $808 $748 $685 $678 $606 $539 $486 rojected Servicing Revenue $276
Slide 39: Secured Cash Flow
Secured Cash Flow $'s in millions 1Q18YTD 2017 2016 2015 FFELP Term Securitized Servicing (Cash Paid) $ m4 $ 314 $ 342 $ 387 Net Residual ' (Excess Distributions) 99 643 624 724 Other Secured FFELP Net Cash Flow ?* 128 612 503 244 Total FFELP $ 300_ $ 4569 $1,469 $ 1,354 Private Credit Term Securiti
Slide 40: FFELP ABS
FFELP ABS Confidential ane proprietary infamation © 2018 Navient Soluions, LLC: Allright reserved
Slide 41: Recent FFELP ABS Issuance Characteristics
Recent FFELP ABS Issuance Characteristics FFELP ABS Transaction Features + Issue size of $500M to $1.0B * Denominated in US$ + Senior and subordinate notes * Floating rate tied to 1 month LIBOR + Amortizing tranches with 1 to 15(+) year average lives * Compliant with U.S. risk retention regulations
Slide 42: FFELP Loan Program Characteristics
FFELP Loan Program Characteristics Parameter Subsidized Stafford Unsubsidized Stafford PLUS/Grad PLUS | Consolidation Borrower Student Student Parents or Graduate Students Student or Parents Needs Based Yes No No NA rece canes oeibicoel 97 - 100% 97 - 100% 97 - 100% 97-10% Interest Subsidy Payments
Slide 43: Navient Stafford & PLUS Loan Prepayments
Navient Stafford & PLUS Loan Prepayments + Annualized CPRs for Stafford/PLUS ABS trusts have decreased from pre-2008 levels as incentives for borrowers to consolidate have declined + Higher prepayment activity in mid 2012 was related to the short term availability of the Special Direct Consolidation
Slide 44: Navient Consolidation Loan Prepayments
Navient Consolidation Loan Prepayments + CPRs for Consolidation ABS trusts declined significantly following legislation effective in 2006 that prevented in-school and re-consolidation of borrowers’ loans + Higher prepayment activity in mid 2012 was related to the short term availability of the Speci
Slide 45: Private Education Loan ABS
Private Education Loan ABS Confidential ane proprietary infamation © 2018 Navient Soluions, LLC: Allright reserved
Slide 46: Recent Private Education Loan ABS Issuance Characteristics
Recent Private Education Loan ABS Issuance Characteristics Private Education Loan ABS Transaction Features + Issue size of $250M to $750M + Senior and subordinate notes + Amortizing tranches with 1 to 10 year average lives + Fixed rate or floating rate tied to 1 month LIBOR * Compliant with U.S. ris
Slide 47: Navient Private Education Loan Programs
Navient Private Education Loan Programs ‘Additional Characteristics Lender College Graduates & Select Student Student Student College Graduates ndiien Parent Parent Parent Parent Parent $10k avg orig bal, 10 yr avg $50k-75k avg org bal, 5-20 term, in-school payments of $10k avg orig bal, 15 yrterm,
Slide 48: Navient Private Education Trusts
Navient Private Education Trusts 2014 - 2018YTD Issuance Program Navient NAV 15-8 NAV Bond Amount (Smil) 463 Initial AAA Enhancement (%) 30% Initial Enhancement (%) 17% Loan Program (%) Signature/Law/MBA/Med 0% ‘Smart Option 0% Consolidation 0% Private Education Refi 0% Direct to Consumer 0% Career
Slide 49: Navient Portfolio Transition to Seasoned Collateral
Navient Portfolio Transition to Seasoned Collateral * Securitized legacy collateral will continue to season given the company transitioned from originations to portfolio acquisition and management + Most defaults occur early in repayment; loan performance improves as loans season + As of March 2018,
Slide 50: Private Education Loan Trusts Prepayment Analysis
Navient Private Education Loan Trusts — Prepayment Analysis * Constant prepayment rates increased in 2007 due to the introduction of Private Education Consolidation loans, then declined following our decision to suspend our consolidation loan program in 2008 14% e = 8 x f 6% 4% 2% Constant Prepaymen
Slide 51: Cohort Default Triangles
Cohort Default Triangles * The following cohort default triangles provide loan performance information for certain Private Education Loans of Navient Corporation and its consolidated subsidiaries that meet such subsidiaries’ securitization criteria (including those criteria listed below): - Program
Slide 52: Cohort Default Triangles
Cohort Default Triangles + The cohort default triangles featured on subsequent slides are segmented by loan program type, FICO score, cosigner status, and school type + Terms and calculations used in the cohort default triangles are defined below: - Repayment Year — The calendar year loans entered r
Slide 53: Cohort Default Triangles
Cohort Default Triangles Undergraduate/Graduate * Disbursed Principal Entering Periodic Defaults by Years in Repayment ** Repayment Year _Repayment(§m) 0 1 2 3 4 #425 6 7 8 9 10 11 12 413 14 15 Total 1998 $11 0.0% 0.0% 0.0% 0.0% 0.0% 0.1% 0.4% 0.8% 0.4% 0.2% 1.5% 0.8% 0.4% 0.4% 0.0% 0.1% 5.2% 1999 $
Slide 54: Cohort Default Triangles
Cohort Default Triangles Undergraduate/Graduate ' With Co Disbursed Principal Entering Periodic Defaults by Years in Repayment *° Repayment Year Repayment(§m) 0 1 +2 «3 +4 +#«=5 6 7 68 9 10 1 ‘2 413 414 415 Total 1998 $6 0.0% 0.0% 0.0% 0.0% 0.0% 0.1% 0.6% 1.0% 0.4% 0.0% 0.2% 1.1% 0.1% 0.0% 0.0% 0.1%
Slide 55: Cohort Default Triangles
Cohort Default Triangles Undergraduate/Graduate ' Without Co-signer Disbursed Principal Entering Periodic Defaults by Years in Repayment *° Repayment Year _Repayment($m) 0 1 2 3 4 #25 6 7 8 9 0 1 12 13 14 415 Total 1998 $5 0.0% 0.0% 0.0% 0.0% 0.0% 0.2% 0.2% 0.6% 0.4% 0.4% 3.1% 0.5% 0.8% 0.9% 0.0% 0.
Slide 56: Cohort Default Triangles
Cohort Default Triangles Undergraduate/Graduate ‘ Non-Profit Disbursed Principal Entering Periodic Defaults by Years in Repayment *° Repayment Year _Repayment(m) 0 1 2 3 4 #5 6 7 8 9 10 1% 12 13 14 15 Total 1998 $11 0.0% 0.0% 0.0% 0.0% 0.0% 0.2% 0.4% 0.4% 0.4% 0.2% 1.1% 0.7% 0.3% 0.4% 0.0% 0.1% 4.2%
Slide 57: Cohort Default Triangles
Cohort Default Triangles dergraduate/Graduate ' For-Profit Disbursed Principal Entering Periodic Defaults by Years in Repayment *° Repayment Year _Repayment($m) 0 1 2 3 4 #5 6 7 8 9 10 1% 12 13 14 15 Total 1998 $0.4 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 11.7% 0.0% 0.0% 10.9% 3.5% 4.4% 0.0% 0.3% 0.0% 30
Slide 58: Cohort Default Triangles
Cohort Default Triangles Undergraduate/Graduate ' Loans, FICO 740-850 ? Disbursed Principal Entering Periodic Defaults by Years in Repayment ** Repayment Year Repayment ($m) 0 1 2 3 4 5 6 7 8 9 10,11 «12,~=«13'— 1415‘ Total 1998 $3 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.2% 0.0% 0.4% 0.4% 0.9% 0.9% 0.0% 0.0
Slide 59: Cohort Default Triangles
Cohort Default Triangles Undergraduate/Graduate ' Loans, FICO 700-739 ? Disbursed Principal Entering Periodic Defaults by Years in Repayment ** Repayment Year Repayment ($m) 0 1 2 3 4 5 6 7 8 9 10,11 «12,=«13'— 1415‘ Total 1998 $3 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.5% 2.2% 0.0% 0.0% 0.0% 0.0% 0.1% 0.8%
Slide 60: Cohort Default Triangles
Cohort Default Triangles Undergraduate/Graduate ' Loans, FICO 670-699 ? Disbursed Principal Entering Periodic Defaults by Years in Repayment ** Repayment Year Repayment ($m) 0 1 2. 3 4 #5 6 7 8 9 0 1 12 48 ‘14 ‘15 Total 1998 $3 0.0% 0.0% 0.0% 0.0% 0.0% 0.6% 0.6% 0.3% 0.5% 0.3% 2.8% 0.0% 0.5% 0.5% 0.
Slide 61: Cohort Default Triangles
Cohort Default Triangles Undergraduate/Graduate ' Loans, FICO 640-669 ? Disbursed Principal Entering Periodic Defaults by Years in Repayment ** Repayment Year Repayment ($m) 0 1 2. 3 4 #5 6 7 8 9 0 1 12 43 ‘14 ‘15 Total 1998 $2 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.3% 0.5% 0.8% 0.0% 2.9% 2.8% 1.3% 0.2% 0.
Slide 62: Cohort Default Triangles
Cohort Default Triangles Private Consolidation Loans With Co-signer Disbursed Principal Entering Periodic Defaults by Years in Repayment '? Repayment Year Repayment ($m) 0 1 2 3 4 #5 6 7 8 9 10 11 12 Total 2006 $249 00% 01% 01% 05% 06% 06% 04% 03% 04% 04% 0.4% 0.3% 0.1% 4.2% 2007 $675 0.0% 0.0% 0.2%
Slide 63: Cohort Default Triangles
Cohort Default Triangles DTC With Co-signer Disbursed Principal Entering Periodic Defaults by Years in Repayment '* Repayment Year__Repayment(Sm)_ 0 1 2 3 4 § 6 7 8 9 10 1 12 13 14 Total 2004 $10 (0.0% 0.0% 01% 01% 04% 1.3% 0.6% 0.6% 0.0% 0.1% 0.0% 0.2% 0.1% 0.9% 0.0% 44% 2005 $90 10.0% 0.2% 1.2% 0.
Slide 64: Cohort Default Triangles
Cohort Default Triangles DTC Loans, FICO 740-850 * Disbursed Principal Entering Periodic Defaults by Years in Repayment *° Repayment Year Repayment(Sm) 0 1 2 3 4 5 6 7 8 9 10 1 12 13 14 Total 2004 6 (0.0% 0.0% 0.1% 0.0% 0.0% 02% 04% 1.0% 0.0% 0.0% 0.0% 0.2% 0.0% 05% 0.0% 2.3% 2005 $39 0.0% 0.2% 0.7%
Slide 65: Cohort Default Triangles
Cohort Default Triangles Disbursed Principal Entering Periodic Defaults by Years in Repayment *° Repayment Year__Repayment(§m) 0 1 2 3 4 5 6 7 8 9 10 11 12 13 14 Total 2004 3 (0.0% 0.0% 0.2% 0.9% 04% 30% 12% 17% 01% 05% 0.0% 0.0% 0.0% 00% 00% 8.1% 2005 $25 0.0% 0.4% 2.0% 1.8% 30% 4.2% 26% 1.5% 21% 1
Slide 66: Cohort Default Triangles
Cohort Default Triangles Disbursed Principal Entering Periodic Defaults by Years in Repayment ** Repayment Year Repayment(§m) O 1 2 3 4 5 6 7 8 9 10 M1 12 13 14 15 Total 2003 $389 0.0% 0.6% 1.9% 2.1% 2.3% 1.7% 1.6% 1.2% 0.9% 0.6% 0.4% 0.3% 0.2% 0.1% 0.1% 0.0% 14.1% 2004 $510 0.0% 0.5% 2.0% 2.9% 2.1%
Slide 67: Appendix
Navient Corporation Appendix Confidential ane proprietary infamation © 2018 Navient Soluions, LLC: Allright reserved
Slide 68: GAAP Results
GAAP Results (In millions, except per share amounts) 1018 4017 1017 Net income EPS Operating expenses Provision Average Student Loans Confidential ane proprietary infamation © 2018 Navient Soluions, LLC: Allright reserved $126 $0.47 $275 $87 $104,555 ($84) ($0.32) $260 $109 $106,981 $88 $0.30 $238 $
Slide 69: Differences between Core Earnings and GAAP
Differences between “Core Earnings” and GAAP “Core Earnings” adjustments to GAAP: (Dollars in Millions) GAAP net income Net impact of derivative accounting Net impact of goodwill and acquired intangible assets Net income tax effect Total “Core Earnings” adjustments to GAAP “Core Earnings” net income
Slide 70: Investor Relations Website
Investor Relations Website www.navient.com/investors www.navient.com/abs + NAVI/ SLM student loan trust data (Debt/asset backed securities - NAVI / SLM Student Loan Trusts) Static pool information — detailed portfolio stratifications by trust as of the cutoff date Accrued interest factors Quarterly
Slide 71: Navient
NAVIENT