Fifth Third Bancorp · NASDAQ:FITB
Fifth Third Bancorp — Goldman Sachs U.S. Financial Services Conference 2013
15 slides from Fifth Third Bancorp's conference presentation, Dec 11, 2013
Slide 1: Goldman Sachs U.S. Financial Services Conference
Exhibit 99.1 Goldman Sachs U.S. Financial Services Conference Tayfun Tuzun Executive Vice President & Chief Financial Officer December 11, 2013 Please refer to earnings release dated October 17, 2013 and 10-Q dated November 6, 2013 for further information. © Fifth Third Bank | All Rights Reserved
Slide 2: Strong year-to-date 2013 results
Strong year-to-date 2013 results YTD earnings per diluted share of $1.58 up 29% from prior year — Included $327MM of pre-tax gains on the sale of Vantiv shares and $116MM of positive Vantiv warrant valuation YTD return on assets of 1.6% (or 1.3% ex-Vantiv) and return on average tangible common equit
Slide 3: Strong capital position and capital generation support ability to return capital to shareholders
Strong capital position and capital generation support ability to return capital to shareholders Cumulative Payouts of CCAR BHCs FITB 2013 CCAR Distributions (1Q12 – 3Q13) (2Q13 – 1Q14) Trust banks $656MM repurchases announced in 4Q13¹ Coml banks $539MM repurchases² $207MM dividends 2013 CCAR (throu
Slide 4: Building shareholder value
Building shareholder value Common Shares Outstanding and Tangible Book Value 3Q13 Tier 1 common ratio¹ (Basel I) 9.9% Relative to 5.0% unofficial CCAR supervisory reference minimum 3Q13 Tier 1 common ratio¹ (Basel III) 9.5% Relative to 2015 Basel III minimum of 4.5% and 2019 Basel III buffered minim
Slide 5: Consumer bank evolution
Consumer bank evolution • Shift focus to full relationship approach away from single product, • Deposit Simplification initiative transaction-based banking – 2.1 million checking households converted to – Discontinued free checking new products – Began offering bundled products – 25 checking and 17
Slide 6: Next generation retail optimization
Next generation retail optimization 2013 2014 Integrated channel strategy for efficiency and enhanced customer experience — Redefine Branch Operating Model — New branch pilots and test concepts to streamline cost structure — Enhance POS technology and sales tools – Image ATMs across all affiliates —
Slide 7: Changing landscape of consumer bank
Changing landscape of consumer bank Deposit Transaction Volume by Channel Branch ATM Mobile 25% of consumer deposit transactions now through self-service channels; significant opportunity remains Total Teller Transactions Cost per Transaction relative to teller transaction 70% ofself-service teller
Slide 8: Integrated channel strategy to drive efficiency
Integrated channel strategy to drive efficiency Major Focus Areas In-Branch ATM Pilot Results in Representative Market Year-over-year change in teller deposits by month 1 Redefine branch operating model 2 Enhance multi-channel customer experience Migrate customers to 3 self-service and digital chann
Slide 9: Very favorable execution trends
Very favorable execution trends Cross Sell Ratio Single Service Households Alternative channel delivery Revenue Per Household % of checking households that use mobile banking Note: Retail cross sell service set includes Checking, Savings, CD, Home Equity, Direct/Indirect Loan, Mortgage (incl EHR), C
Slide 10: Investment thesis
Investment thesis Strong profitability approaching target range for normalized environment • Industry leader in earnings • Problem assets at very • Capital levels solid power with strong returns low levels and strong despite increased and efficient businesses reserve coverage payouts to shareholders
Slide 11: Cautionary statement
Cautionary statement This report contains statements that we believe are “forward-lookingstatements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Rule 175 promulgated thereunder, and Section 21E of the Securities Exchange Act of 1934, as amended, and Rule 3b-6 pro
Slide 12: Appendix
Appendix © Fifth Third Bank | All Rights Reserved
Slide 13: Pre-tax pre-provision earnings
Pre-tax pre-provision earnings 1 PPNR trend PPNR reconciliation ($ in millions) 3Q12 4Q12 1Q13 2Q13 3Q13 Income before income taxes (U.S. GAAP) (a) $503 $540 $591 $841 $605 Add: Provision expense (U.S. GAAP) (b) 65 76 62 64 51 PPNR (a) + (b) $568 $616 $653 $905 $655 Adjustments to remove (benefit) /
Slide 14: Regulation G Non-GAAP reconciliation
Regulation G Non-GAAP reconciliation Fifth Third Bancorp and Subsidiaries Regulation G Non-GAAP Reconcilation $ and shares in millions (unaudited) For the Three Months Ended September June March December September 2013 2013 2013 2012 2012 Income before income taxes (U.S. GAAP) $604 $841 $591 $540 $5
Slide 15: Regulation G Non-GAAP reconciliation
Regulation G Non-GAAP reconciliation Fifth Third Bancorp and Subsidiaries Regulation G Non-GAAP Reconcilation $ and shares in millions (unaudited) For the Three Months Ended September June March December September 2013 2013 2013 2012 2012 Total Bancorp shareholders' equity (U.S. GAAP) $14,641 $14,23
Fifth Third Bancorp — Goldman Sachs U.S. Financial Services Conference 2013 on 6ix