Regions Financial Corporation · NYSE:RF
Regions Financial — BancAnalysts Association of Boston Fall Conference 2016
17 slides from Regions Financial's conference presentation, Nov 3, 2016
Slide 1: BancAnalysts Association of Boston Fall Conference
BancAnalysts Association of Boston Fall Conference David Turner, CFO John Turner, Head of Corporate Banking Group November 4, 2016 Exhibit 99.1
Slide 2: YTD Performance - Evidence of successful strategic plan execution
Efficiency ratio(1) improvement YTD 0% 0% 0% 2% 2% 3% 4% 4% 5% 6% 8% 8% 9% 13% Peer #13 Peer #12 Peer #11 Peer #10 Peer #9 Peer #8 Peer #7 Peer #6 Peer #5 Peer #4 Peer #3 Peer #2 Peer #1 YTD Performance - Evidence of successful strategic plan execution Non-interest income(1) growth YTD -103 bps -102
Slide 3: Tangible Book Value Growth YTD
Tangible Book Value Growth YTD Considerable tangible book value improvement 15% 13% 12% 12% 10% 9% 9% 8% 7% 6% 6% 5% -5% -7% Peer #1 Peer #2 Peer #3 Peer #4 Peer #5 Peer #6 Peer #7 Peer #8 Peer #9 Peer #10 Peer #11 Peer #12 Peer #13 Calculations include dividends Peers include BBT, CMA, FHN, FITB, H
Slide 4: Committed to improving efficiencies
Committed to improving efficiencies Process Automation Digitization of Management Process Customer Self- Service Processes Technology Infrastructure Simplification Leveraging and improving technology to improve efficiencies Elimination of core expenses of $400 million through 2019 Represents ~11.5%
Slide 5: Well-positioned deposit base is a competitive advantage
36% 27% 21% 8% 8% Interest-free Money market Interest-bearing checking Time Savings $98B 56% 29% 11% 4% Consumer Segment Corporate Bank Segment Wealth Management Segment Other Well-positioned deposit base is a competitive advantage Deposits – Composition(1) Deposits – by Segment(1) (1) 3Q16 average
Slide 6: Prudently managing balance sheet
Prudently managing balance sheet Average loan and lease balances ($ in billions) Loan and lease balances up 1% YoY Business lending balances decreased 1% YoY Consumer lending balances increased 4% YoY The mix of consumer lending balances to total loans has increased 125 basis points YoY 62% 38% Busi
Slide 7: Consumer loans – steady growth
Consumer loans – steady growth Average loan and lease balances ($ in billions) Consumer lending balances increased 4% YoY Mortgage lending balances increased 5% YoY Indirect – other consumer balances increased 77% YoY; includes GreenSky point-of-sale initiative Indirect – vehicles balances increased
Slide 8: Business loans – maintaining a disciplined approach
Business loans – maintaining a disciplined approach Average loan and lease balances ($ in billions) 35.6 35.5 36.1 36.5 35.7 8.2 8.1 7.9 7.6 7.4 6.9 6.9 7.0 7.0 7.0 $50.7 $50.5 $51.0 $51.1 $50.1 3Q15 4Q15 1Q16 2Q16 3Q16 Commercial and Industrial Commercial Real Estate-OO Investor Real Estate 8 Busin
Slide 9: Corporate Bank – growing fee income contribution
Corporate Bank – growing fee income contribution Revenue Mix(1) Investing in business, people and products that will meet more customer needs HUD Placement FNMA Placement (DUS license) M&A Advisory FNMA Affordable Housing CMBS Origination Loan Sales and Trading Tax Credit Syndication Growing leaders
Slide 10: Asset quality remains stable
NPLs and coverage ratio(1) Criticized and classified loans(2) (1) Excludes loans held for sale (2) Includes commercial and investor real estate loans only ($ in millions) ($ in millions) ($ in millions) Net charge-offs and ratio Asset quality remains stable • Some stress in certain segments but over
Slide 11: Optimizing and effectively deploying capital
Optimizing and effectively deploying capital 6% 45% 46% 93% 99% 2012 2013 2014 2015 2016 YTD Capital returned to shareholders Dividends Organic Growth Strategic Investments Share Repurchases Capital priorities 11
Slide 12: Strategic initiatives
Strategic initiatives Optimize and Effectively Deploy Regulatory Capital Attractive ROA and Risk Adjusted Returns Return appropriate capital to shareholders Disciplined Expense Management $400mm in expense saves by 2019 Continuously focus on efficiency and effectiveness Generate positive o
Slide 13: Appendix
Appendix Mx REGIONS 13
Slide 14: Non-GAAP reconciliation continued: YTD efficiency ratio and operating leverage
Non-GAAP reconciliation continued: YTD Non- interest income, non-interest expense, efficiency ratio and operating leverage (1) See page 7 of the 3Q16 Financial Supplement for additional information regarding these adjustments. Nine Months Ended September 30 ($ amounts in millions) 2016 2015 2016 vs.
Slide 15: Forward-looking statements
Forward-looking statements This presentation may include forward-looking statements, as defined in the Private Securities Litigation Reform Act of 1995, which reflect Regions’ current views with respect to future events and financial performance. Forward-looking statements are not based on historica
Slide 16: Forward-looking statements continued
Forward-looking statements continued The foregoing list of factors is not exhaustive. For discussion of these and other factors that may cause actual results to differ from expectations, look under the captions “Forward-Looking Statements” and “Risk Factors" of Regions' Annual Report on Form 10-K fo
Slide 17: A. REGIONS
A. REGIONS
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