South Financial — Merger or Acquisition (May 2010)
15 slides from South Financial's merger presentation, May 17, 2010
Slide 1: TD Bank Agrees to Acquire The South Financial Group
TD Bank Agrees to Acquire The South Financial Group May 17, 2010
Slide 2: Caution regarding forward-looking statements
Caution regarding forward-looking statements From time to time, the Bank makes written and oral forward-looking statements, including in this presentation, in other filings with Canadian regulators or the U.S. Securities and Exchange Commission (SEC), and in other communications. In addition, repres
Slide 3: Additional Information
Additional Information The proposed merger transaction involving The Toronto-Dominion Bank and The South Financial Group, Inc. will be submitted to The South Financial Group, Inc.’s shareholders for their consideration. Shareholders are encouraged to read the proxy statement/prospectus regarding the
Slide 4: Highlights
Highlights ; Extends presence in attractive Florida market, establishes franchise in the Carolinas ; Strong South Financial management team in place since 2008 ; Loans appropriately marked given credit environment, credit risk well-understood and manageable ; Solid financial returns Opportunity to l
Slide 5: The South Financial Group: Overview
The South Financial Group: Overview About South Financial Balance Sheet US$ Assets1 $12.4B • Bank holding company Loans1 $8.0B headquartered in Greenville, SC Deposits1,2 $9.8B with 176 stores Stores • Operates as Carolina First Bank in South Carolina 83 North and South Carolina, and as Florida 66 M
Slide 6: Further Enhances Presence in Attractive Florida Market
Further Enhances Presence in Attractive Florida Market Pro Forma Rank in Florida1,2 # of Rank by Deposits Rank by Institution Stores Stores (US$MM) Deposits Wells Fargo & Co. 703 1 64,257 2 Bank of America Corp. 665 2 72,758 1 SunTrust Banks Inc. 565 3 39,903 3 Regions Financial Corp. 403 4 17,450 4
Slide 7: Establishes Strong Franchise Position in the Carolinas
Establishes Strong Franchise Position in the Carolinas Pro Forma Rank in South Carolina1 # of Rank by Deposits Rank by Institution Stores Stores (US$MM) Deposits First Citizens Bancorp. 172 1 5,499 5 Wells Fargo & Co. 151 2 11,463 1 Bank of America Corp. 116 3 8,076 2 BB&T Corp. 116 4 6,324 3 TD Pro
Slide 8: Leverage TD's Retail & Commercial Banking Model
Leverage TD’s Retail & Commercial Banking Model Leverage leading service and convenience model Best-in-market hours TMculture Introduce TD’s extensive banking product suite Greater product selection for retail and commercial customers Increase cross-sell of Wealth & Insurance products to deepen clie
Slide 9: Implementation Roadmap
Implementation Roadmap TD has a scalable platform and our management team has significant integration experience South Financial closing expected in fiscal Q3 2010 and systems conversion in 2011 — leaves adequate lead time to plan/complete conversion Business as usual for staff and customers of Sout
Slide 10: South Financial Loan Portfolio: Mix
South Financial Loan Portfolio1: Mix Effective, proactive portfolio CRE — Owner management over last 2 Occupied CRE — Income 16% years 26% 2 Extensive due diligence CRE — ADC 15% review Retail In-footprint lending focus 19% C & I Loans appropriately marked 24% given credit uncertainty Well understoo
Slide 11: Loan Portfolio: Credit Losses
Loan Portfolio: Credit Losses Balance Expected Remaining US$ billion Mar 31/101Lifetime Credit Losses2 C & I $1.9 $0.2 CRE – Income 2.1 0.2 8%9% CRE — Acq’n, Development, Construction 1.2 0.4 34% CRE — Owner-occupied 1.3 0.1 6% Total Commercial Loans $6.5 $0.8 13% Total Retail Loans $1.5 $0.2 15% To
Slide 12: Key terms and metrics
Key terms and metrics Value to South Financial common Approximately US$61 million, payable in cash (US$0.28 per share) or TD common shares shareholders: (0.004 TD common shares per South Financial share) at election of South Financial shareholders Value to U.S Treasury : US$347 million of South Fina
Slide 13: Conclusion
Conclusion ; Extends presence in attractive Florida market, establishes franchise in the Carolinas ; Strong South Financial management team in place since 2008 ; Loans appropriately marked given credit environment, credit risk well-understood and manageable ; Solid financial returns Opportunity to l
Slide 14: Appendix
Building the better ba every day ppendix
Slide 15: Appendix: Summary Transaction Terms
Appendix: Summary Transaction Terms Consideration to South Approximately $61 million in total value Financial Common Election to receive either: Shareholders • US$0.28 per South Financial common share in cash, OR • .004 shares of TD Common Stock for each South Financial common share Consideration to
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