Atlantic Union Bankshares Corporation · NYSE:AUB
Atlantic Union Bankshares — Union First Market Bankshares — Investor Presentation (May 2013)
27 slides from Atlantic Union Bankshares's investor presentation, May 7, 2013
Slide 1: Union First Market Bankshares Investor Presentation May/June 2013
Exhibit 99.1 UNION Union First Market Bankshares Investor Presentation May/June 2013
Slide 2: Overview, Financial Performance, Near-Term Outlook
UNION Union First Market Bankshares [Graphic Appears Here] Overview Financial Performance Near-Term Outlook 2
Slide 3: Forward-Looking Statements
F UNION Act statements and knowledge expressed to, inflation, not the update of effects its 1995. management changes or Union any are ofimplied Forward-looking of its often forward-looking and business First in characterized about the changes byMarket such stock and future in: forward-looking and op
Slide 4: Union First Market Bankshares
UNION 100 yearsUnion AssetsFirst of $4.1 Market Billion Bankshares Comprehensive One of the financial largestservices financialprovider servicesoffering organizations commercial headquartered and retailinbanking, Virginiamortgage, Holding company investment, formed trustin and 1993 insurance _ Banki
Slide 5: Union First Market Bankshares Strengths
U UNION commercial team, building Union activity, depth First household Successful Market Bankshares income acquirerlevels and nion integrator and First population Market_s Provengrowth Strengths financial in its performance Excellent footprintbranch Strong in both network, balance good and sheet co
Slide 6: Virginia footprint and banking markets
UNION UnionGROUP MORTGAGE Stable/GrowingFirst population Market Onlymarkets Bankshares community Economically Union bank with First diverse aMarketootprint presence markets in top 6 90 7 Virginia branch offices banking across markets Virginia Banking Closed market 8 branches rankinginincludes 2012 U
Slide 7: Market scale and franchise in Virginia
UNION PNFP 11,558,929 Market C&F Source: one state: TN Bkshs SNL Union 47 32 Financial 38.10 one Financial $4.9 Corp. First state: Source: Number Corp. Market (VA) 54 as of SNL 42 Scale (VA) inBankshares 6/30/12 1,550,994 Market Financial 11 Banks 430,596 Top ofand 5.11 Market [Graphic as 5 DMS
Slide 8: First Quarter Highlights
UNION from increased Q1_12 Union by and > First increased 1,000 Market in at the Bankshares anquarter; annualized anFirst annualized growth Quarter rate growth Highlights of 4.2% ratefrom Net of 4.4% income Q4_12 since Average of Q4_12 $9.0 million, deposits 8 anincreased increase $116.8 of $1.1m
Slide 9: First Quarter Highlights and Asset Quality
Fi UNIONdividend $177,000 quarterly inUnion the first First is quarter $.13 Market cents declined Bankshares per share year_over rst a 63% Quarter year increase and Highlights onover a linked the Asset prior quarter Quality year basis 9 continued Repurchased to improve and retired as nonperforming 5
Slide 10: Balance Sheet Performance
UNION$4,000,000 $2,000,000 $3,907 Union $1,500,000 First$3,500,000 Market $1,500,000 Bankshares $3,000,000 $1,000,000 Balance $2,587 $1,000,000 Sheet $2,500,000 Performance $500,000 $2,000,000 $2,967 $500,000 $1,500,000 $2,974 $0 $0$2,837 2009 $1,000,000 2010 $2,819 2011 $500,000 $3,298 2012$3,312 1
Slide 11: Loan Portfolio
UNION Family Commercial of Lines Loans Type of $131.8 $473.1 Construction, Union Credit , Personal 4.6% 15.9% First $0.9Based -0.4% Market Development, Land $230.2 on 0.3% Development, Bankshares call 7.7% Real report 6.2% Equity Estate, filings Loan Credit and Lines Second Portfolio Other ($Cards i
Slide 12: Deposits Composition
UNION Change accounts 100.0% (33,689) Union -6% 14%Savings Money First fromMarket 3/12 market accounts toBankshares 3/13 accounts 29%$% 7%945,273 Demand Deposit CDs < 28.5% Deposits Composition $100,000 CDs 101,181 > (68,013) $ in$100,000 18% Millions -12% NOWSavings Total 3/31/2013 accounts d
Slide 13: Asset Quality Trends
UNION 2009 2010 Union 2011First 2012Market 1Q 2013 Bankshares ALLL Charge-offs Adjusted Asset to Average Quality for Acquired Trends LoansLoans Allowance Provision Allowance for forLoan Loan to Losses Loans Losses(ALLL) to2.00% Average ALLL 160.00% Loans to Nonaccrual 140.00% NPLs to Loans 1.80% Loa
Slide 14: Nonperforming Loans by Type
UNIONand Construction 100.0% -45.5% Change Union Land and First 3/12 Land Development, Market toDevelopment 3/13Bankshares % of Commercial $ Portfolio $11.2 Nonperforming 48.7% Owner % ofCommercial Type Occupied Loans Construction -$2.5 by $4.3 Type 18.7% -1.5% and Other, Land -53.2% Commercial 1.7%
Slide 15: Community Bank Nonperforming Loans
UNION Community Occupied and Commercial LandUnion Development $0.0 $9.2 Owner 0.0% First 25.6% Occupied Market Owner $0.2 Other, Occupied, Bankshares 2.6% $0.0 0.0% 1.3% 0.0% Occupied, Consumer King [Graphic 0.0%Carter Consumer 0.0% Appears $2.5 Golf Construction 7.0% -$2.2 Community Here] 18.9% -5.
Slide 16: Capital Ratios
p UNION0.00% 2.00% authorization Unionis 2009 First 250,000 2010 Market shares 2011 Bankshares 2012 16 1Q 2013 Capital Total Ratios risk-based Union capital is Well Tangible Capitalized Equity/Tangible 14.70% 14.68%Assets 14.51% In the 14.57% first quarter, 14.44%Union 16.00% repurchased 14.00% 12.0
Slide 17: Union Historical Performance
UNION$0 $5,000 Union 2004First 2005Market 2006 2007 Bankshares 2008 2009 [Graphic 2010 2011 Appears 2012Here] 1Q 2013 $40,000 17 $35,411 $35,000 $30,445 $30,000 $25,992 $24,822 $25,000 $22,922 $19,756 $20,000 $17,925 $14,514 $15,000 $8,360 $8,983 $10,000
Slide 18: ROA, ROE and Efficiency Ratio Trends
UNION0.44% 6.00% 71.00% 70.00% Union0.46% First 69.00% Market 3.61% 67.55% 4.07% Bankshares 68.58% 0.50%ROA, 68.00% 5.00% ROE 0.40% 68.19% and 4.00% Efficiency 67.00% 0.30% 66.00% Ratio 3.00% Trends 66.86% 0.20% Return 65.00% 2.00% on 64.00% Average 0.10% 1.00% FY09 Assets0.00% FY10 (ROA) FY11 0.00%
Slide 19: Net Interest Margin
UNION FY09 FY10* UnionFY11* First Market FY12* Bankshares 1Q13* * Excludes Core Net acquisition Interest Margin accounting Best impact in Class19Net Interest Margin 5.00% 4.24% 4.37% 4.24% 4.18% 4.50% 4.00% 3.55% 3.50% 3.00% 2.50% 2.00% 1.50% 1.00% 0.50% 0.00%
Slide 20: Union Mortgage Group
UNION Union increased mortgage information by profitability flow $84First million, for Market decision-making Foror example, Bankshares ~45%, to UMG 20 $268 [Graphic ismillion implementing Appears from the Here] a prior newUnion loan year_s origination Mortgage first quarter, Group system but(UMG) t
Slide 21: Top-Tier Financial Performance Focus
UNION Union investment In 2012, First Union Marketdeveloped Bankshares keyTop-Tier financialFinancial performance Performance metrics benchmarked Focus Union is against committed top quartile to achieving peers Minimum top tier financial targets performance were set for ROA and providing (>1%),ou
Slide 22: Near-Term Outlook
UNION UnionatFirst improvements Union Market Mortgage Bankshares Group[Graphic Improving Appears ROA, Here] ROE and Stable Efficiency to growing Ratio economy 22 in footprint Mid-single digit loan growth Modest margin compression Continued asset quality improvement Operational
Slide 23: Investment Highlights
UNIONExperienced margin Attractive Union valuation First vs. Market management peer Bankshares groupteam 23 Successful [Graphic Appears acquirerHere] and integrator Branch footprint Proven financial is a competitive performance advantage in alland market brings environments a unique franchise Commit
Slide 24: Appendix
[Graphic Appears Here] UNION Union First Market Bankshares APPENDIX
Slide 25: Investment Portfolio
UNION243,797 3.46% 40.6% agency 75% securities Union General First Federal 0.5% Market Obligations 2,818 Home Bankshares Total Loan TXsecurities Bank and Investment VA stock only 100.0% _ states restricted Portfolio 601,173 >1.9% 10% Total Data 11,202 Investment Portfolio as of Corporate Q1 2013
Slide 26: Residential and Commercial Construction Loans
$UNION Residential 100.0% Builder -27.1% in millions $39.1 Lots Change Union Builder $1.8 3/31/2013 9.1% First 3/12 -0.4% Lots 26 Market to Raw 3/13 4.6% $42.8 Bankshares Land %Residential 9.2% of $$79.7 Portfolio Commercial Construction 17.1% Builder % Land ofConstruction Lots Type Development &
Slide 27: Commercial Real Estate Loans
UNION$3.8 Warehouse $1,196.2 Family Union 100.0% $98.3 -0.3% First Change 8.2% 3.1% Market Multi Hotel, 3/12 Bankshares Family toMotel, 3/13$127.4 % B&B Commercial of $10.7% Portfolio $1.7 Hotel, Real -0.1% % ofEstate Motel, Type 3.0%Loans B&B Owner Special [Graphic Occupied Use $57.6 $12.7
Union First Market Bankshares — Investor Presentation (May 2013) on 6ix