Navient Corporation · NASDAQ:NAVI

Navient — Q3 2017 Earnings Presentation

72 slides from Navient's earnings presentation, Oct 30, 2017

1. Slide 1: 2017 3rd Quarter Investor Deck

   2017 3rd Quarter Investor Deck October 30, 2017

2. Slide 2: Forward-Looking Statements; Non-GAAP Financial Measures

   Forward-Looking Statements; Non-GAAP Financial Measures The following information is current as of September 30, 2017 (unless otherwise noted) and should be read in connection with Navient Corporation’s (Navient) Annual Report on Form 10-K for the year ended December 31, 2016 (the “2016 Form 10-K”),

3. Slide 3: Navient company overview

   • Navient provides asset management and business processing solutions to education, healthcare, 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. - $107 billion education loan port

4. Slide 4: Operating Results, Core Earnings Basis

   Operating Results “Core Earnings” Basis (In millions, except per share amounts) Q3 17 Q2 17 Q3 16 Adjusted Core EPS before regulatory-related costs $0.56 $0.44 $0.51 Regulatory-related costs ($0.01) ($0.01) ($0.01) Reported Core EPS $0.55 $0.43 $0.50 Recognition of previously deferred revenue includ

5. Slide 5: Opportunities for Growth in 2017 and Beyond

   Opportunities for Growth in 2017 and Beyond Legacy Education Loans • Loan servicing • Portfolio acquisitions • Default prevention & portfolio management Business Processing Solutions • Healthcare • State and Municipal • Federal Asset Generation • Refinancing Education Loans • Non-compete for new Pri

6. Slide 6: High Quality, Well Seasoned Education Loan Portfolio

   High Quality, Well Seasoned Education Loan Portfolio FFELP Portfolio Private Education Loan Portfolio Total Education Loan Portfolio • Largest holder of FFELP loans with $107 Billion • Largest holder of Private Education nearly $84 billion outstanding loans with $23 billion outstanding 78% • Average

7. Slide 7: FFELP Loans Segment, Core Earnings Basis

   FFELP Loans Segment “Core Earnings” Basis ($ In millions) Q3 17 Q2 17 Q3 16 Net income $46 $57 $69 Average FFELP Loans $85,019 $85,321 $91,502 Net interest margin 1 0.71% 0.80% 0.87% Provision for loan losses $10 $10 $13 Charge-offs $10 $13 $13 Annualized charge-off rate 0.05% 0.08% 0.07% Total deli

8. Slide 8: FFELP Loans Segment Credit Quality

   FFELP Loans Segment Credit Quality “Core Earnings” Basis September 30, 2017 September 30, 2016 Balance % Balance % Loans in-school/grace/deferment 1 $5,199 $6,482 Loans in forbearance 2 11,866 10,516 Loans in repayment and percentage of each status Loans current 58,172 87.8% 64,023 88.7% Loans delin

9. Slide 9: Private Education Loans Segment, Core Earnings Basis

   Private Education Loans Segment “Core Earnings” Basis ($ In millions) Q3 17 Q2 17 Q3 16 Net income $60 $39 $60 Average Private Education Loans $24,348 $23,114 $24,948 Net interest margin 1 3.57% 3.28% 3.48% Provision for loan losses $95 $95 $92 Charge-offs $96 $122 $112 Annualized charge-off rate 1.

10. Slide 10: Private Education Loans Segment Credit Quality

    Private Education Loans Segment Credit Quality “Core Earnings” Basis ($'s in millions) Private Education Loan Portfolio September 30, 2017 September 30, 2016 Balance % Balance % Loans in-school/grace/deferment 1 $1,174 $1,539 Loans in forbearance 2 1,272 941 Loans in repayment and percentage of each

11. Slide 11: Private Education Loans Segment Default Performance

    Private Education Loans Segment Default Performance Private Education Loan Historical Defaults by Payments Made Private Education Loans Outstanding by Payments Made 100% 96% 98% 99% $20 100% 93% 94% 95% 95% 89% 91% Percent of Total Defaults 86% $17.4 82% $18 77% 68% $16 $14.4 $15.3 $14 $’s in billio

12. Slide 12: Private Education Loan Seasoning

    Private Education Loan Seasoning – “Core Earnings” Basis September 30, 2017 Traditional Portfolio ($ in Millions) Monthly Scheduled Payments Received Loan Status 0-12 payments 13-24 payments 25-36 payments 37-48 payments More than 48 payments Total Not Yet in Repayment $1,065 Loans in Forbearance $2

13. Slide 13: Private Education Loans Segment Credit Detail

    Private Education Loans Segment Credit Detail Delinquency & Forbearance Usage Allowance for Loan Loss 2 TDR Loans ($ in millions) 3Q 17 2Q 17 3Q 16 September 30, 2017 Ending Allow ance as Total delinquencies $1,010 $1,145 $1,259 ($ in millions) Allow ance Balance % of Ending Balance Total delinquenc

14. Slide 14: Private Education Loans Segment Recent Acquisition

    Private Education Loans Segment Recent Acquisition 1 • Founded in 2013, Earnest is a leading, data-driven and digitally focused consumer finance business • Technology-first platform uses software and algorithms in origination to enable competitive underwriting and pricing • Expected to originate nea

15. Slide 15: Business Services Segment, Core Earnings Basis

    Business Services Segment “Core Earnings” Basis (In Millions) Q3 17 Q2 17 Q3 16 Net income $105 $81 $81 Non-education fee revenue $56 $53 $43 Number of accounts serviced for Department of Education 6.1 6.0 6.2 Total federal loans serviced (in billions) $296 $293 $291 Contingent collections receivabl

16. Slide 16: Business Processing Solutions

    Business Processing Solutions Well-positioned for growth Business Services Revenue1 $800 • Strong business franchise - Capacity to process large volume of $700 transactions and manage complex $625 $595 administrative requirements $600 $543 - Robust compliance-driven culture driven by a $’s in millio

17. Slide 17: Business Services Segment Federal Loan Servicing

    Business Services Segment Federal Loan Servicing Total Federal Loans Serviced $325 $300 $’s in billions $275 $250 $225 2013 2014 2015 2016 3Q 2017 Confidential and proprietary information © 2017 Navient Solutions, LLC. All rights reserved. 17

18. Slide 18: Business Services Segment Recent Acquisition

    Business Services Segment Recent Acquisition 1 • Based in Milwaukee, Wisconsin, the company traces its roots back to 1936 • Approximately $55 million in annual revenues, the company serves clients in nearly 30 states • Offers a range of technology-enabled products and services to support its clients

19. Slide 19: Higher Education Industry

    Higher Education Industry Confidential and proprietary information © 2017 Navient Solutions, LLC. All rights reserved. 19

20. Slide 20: Navient Helps Borrowers Successfully Repay Their Loans

    In Its Role As Student Loan Servicer, Navient Helps Borrowers Successfully Repay Their Loans Confidential and proprietary information © 2017 Navient Solutions, LLC. All rights reserved. 20

21. Slide 21: 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 Less than $5,000 21% 18% $5,000-$9,999 $10,000-$19,999 $20,000-$39,999 $40,000 or more 18% 21% 21% College Board, "Distribution Of Borrowers By Amount Of Outstanding Education Debt, 2017,"

22. Slide 22: On an individual basis, student debt is more reasonable than may be evident

    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 payments ov

23. Slide 23: Borrowers who struggle most are often non-completers with low debt

    The borrowers who struggle the most are often non-completers with low levels of debt 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-average amounts than borrowers who earned a degree … of de

24. Slide 24: Recent college graduates have seen wages increase

    Recent college graduates have seen wages increase since the Great Recession Median wages for recent graduates by degree type • Median wages for recent college graduates have Bachelor’s degree High school diploma continued to rise since the +5.9% Great Recession, 45,000 increasing more than 5.9 40,00

25. Slide 25: Delinquency rates for the Class of 2016 are one-third that 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 6.5 31+ Days Delinquent 27 6.0 25 91+ Days Delinquent Unemployment Rate (%) 24 23 5.5

26. Slide 26: Navient's default prevention expertise and the national default rate

    Navient’s default prevention expertise was a key factor in the decline of 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 Navient's CDR is 37 percent l

27. Slide 27: 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 "Combined, the workers High School Diploma Bachelor’s Degree with a Bachelor’s degree or $ 1.2 M higher have accounted for Cumulative earnings (2014 USD) 73 percent (8.4

28. Slide 28: 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 College is a solid Employment status by level of education attained investment for those 4% 8% 3% 1% 1% 3% 2% 17% 12% 7% Employed full time who complete their 22% 4% 11% 3% 31% 9% Employed part time degree. 13% 7

29. Slide 29: Non-completers of college have the 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, with the exc

30. Slide 30: Today's repayment options are numerous and complex

    Today’s repayment options are numerous and complex Deferment Forbearance 1. School (1) Discretionary Forbearance 2. School Full-Time (2) • Hardship Forbearance 3. School Half-Time (2) Mandatory Forbearance 4. Post Enrollment (1) • Medical or Dental Internship Residency 5. Graduate Fellowship (3) • D

31. Slide 31: Funding & Liquidity

    Funding & Liquidity Confidential and proprietary information © 2017 Navient Solutions, LLC. All rights reserved. 31

32. Slide 32: 3rd Quarter 2017 Capital Markets Summary

    3rd Quarter 2017 Capital Markets Summary • Purchased $649 million of education loans - Available capacity under FFELP secured facilities is $3.0 billion - Available capacity under Private Education Loan secured facilities is $181 million • Issued two FFELP ABS transactions totaling $2.0 billion - FF

33. Slide 33: Secured Funding

    Secured Funding 2017 Issuance ($mm)1 • Navient is among the largest issuers of 1 AmeriCredit / GM Financial $11,725 Auto/Floorplan ABS globally, having issued over $280 2 Citigroup $9,775 Credit Card billion of Private Education and FFELP 3 Ford $7,744 Auto/Floorplan ABS transactions to date 4 AMEX

34. Slide 34: FFELP ABS Transactions

    FFELP ABS Transactions NAVSL 2017-5 NAVSL 2017-4 Pricing Date: September 6, 2017 July 18, 2017 Settlement Date: September 14, 2017 July 27, 2017 Issuance Amount: $1,028M $1,015M US Govt. Guaranteed US Govt. Guaranteed Collateral: FFELP Stafford, Plus and Consolidation Loans FFELP Stafford, Plus and

35. Slide 35: Private Education Loan ABS Transactions

    Private Education Loan ABS Transactions NAVSL Trust 2017-A NAVSL Trust 2016-A Pricing Date: October 12, 2017 January 28, 2016 Settlement Date: October 26, 2017 February 4, 2016 Issuance Amount: $662M $488M Collateral: Private Education Loans (including Refi) Private Education Loans Prepayment Speed

36. Slide 36: Managing Unsecured Debt Maturities

    Managing Unsecured Debt Maturities (par value, $ in billions) $2.4 $2.4 $2.1 $2.1 $2.1 $1.5 $1.5 $1.5 $1.7 $1.6 $1.4 $1.4 $1.3 $1.4 $1.4 $1.4 $0.8 $0.6 $0.0 $0.1 $0.0 $0.0 $0.0 $0.0 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028+ As of September 30, 2016 As of September 30, 2017 Long-te

37. Slide 37: Conservative Unsecured Debt Profile

    Conservative Unsecured Debt Profile Unsecured Debt Profile Highlights $35 Years Ending December 31 • Total education loan portfolio is 77% funded to term (par value, $ in billions) $30 $25 $23.0 $22.1 $20 $18.3 $17.5 $18.8 $17.2 $16.9 • Reduced unsecured debt outstanding by $548 $15.1 $13.9 $13.9 mi

38. Slide 38: Education Loan Portfolio Generates Significant Cash Flows

    Education Loan Portfolio Generates Significant Cash Flows Projected Life of Loan Cash Flows over ~20 Years Enhancing Cash Flows • Generated $2.4 billion of cash flows in YTD 2017 $’s in Billions FFELP Cash Flows 09/30/17 • Issued $1.4 billion of unsecured debt and paid down $1.4 Secured billion in Y

39. Slide 39: FFELP Cash Flows Highly Predictable

    FFELP Cash Flows Highly Predictable $’s in millions as of 9/30/2017 2017 2018 2019 2020 2021 2022 2023 2024 Projected FFELP Average Balance $81,808 $77,229 $69,472 $61,779 $54,576 $47,641 $40,963 $34,637 Projected Excess Spread $214 $873 $828 $747 $686 $657 $585 $517 Projected Servicing Revenue $134

40. Slide 40: Secured Cash Flow

    Secured Cash Flow $ in Millions 3Q17YTD 2016 2015 2014 FFELP Term Securitized Servicing (Cash Paid) $ 238 $ 342 $ 387 $ 407 Net Residual1 (Excess Distributions) 548 624 724 680 Other Secured FFELP 2, 3 Net Cash Flow 483 503 244 216 Total FFELP $ 1,269 $ 1,469 $ 1,354 $ 1,302 Private Credit Term Secu

41. Slide 41: FFELP ABS

    FFELP ABS Confidential and proprietary information © 2017 Navient Solutions, LLC. All rights reserved. 41

42. Slide 42: Recent FFELP ABS Issuance Characteristics

    Recent FFELP ABS Issuance Characteristics FFELP ABS Transaction Features Collateral Characteristics • Issue size of $500M to $1.0B • Insurance or guarantee of underlying collateral insulates bondholders from • Denominated in US$ most risk of loss of principal 1 • Triple-A rated senior notes make up

43. Slide 43: 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 N/A Federal Guarantee of Principal 97 - 100% 97 - 100% 97 - 100% 97 - 100% and Accrued In

44. Slide 44: 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

45. Slide 45: 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

46. Slide 46: Private Education Loan ABS

    Private Education Loan ABS Confidential and proprietary information © 2017 Navient Solutions, LLC. All rights reserved. 46

47. Slide 47: Recent Private Education Loan ABS Issuance Characteristics

    Recent Private Education Loan ABS Issuance Characteristics Private Education Loan ABS Transaction Features Collateral Characteristics • Issue size of $250M to $750M • Collateralized by loans made to students and parents to fund college tuition, room • Triple-A rated senior notes, Single-A rated and

48. Slide 48: Navient Private Education Loan Programs

    Navient Private Education Loan Programs Undergraduate/Graduate/ Smart Option Direct-to-Consumer (DTC) Consolidation (Legacy) Private Education Refi Med/Law/MBA Origination Channel School School Direct-to-Consumer Lender Lender Typical Borrower Student Student Student College Graduates College Gradua

49. Slide 49: Navient Private Education Trusts

    Navient Private Education Trusts Summary Information Sallie Mae Navient 2013- 2017YTD SLM SLM SLM SLM NAV NAV NAV NAV NAV NAV NAV Issuance Program 13-A 13-B 13-C 14-A 14-CT 14-A 15-A 15-B 15-C 16-A 17-A Bond Amount ($mil) 1,108 1,135 624 676 463 664 689 700 359 488 662 Initial AAA Enhancement (%) 26

50. Slide 50: Navient Portfolio Transition to Seasoned Collateral

    Navient Portfolio Transition to Seasoned Collateral • Securitized 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 September 2017, th

51. Slide 51: Private Education Loan Trusts Prepayment Analysis

    Navient Private Education Loan Trusts – Prepayment Analysis 14% Constant Prepayment Rate (CPR) 12% 10% 8% 6% 4% 2% 0% 2002-A 2003-A 2003-B 2003-C 2004-A 2004-B 2005-A 2005-B 2006-A 2006-B 2006-C 2007-A 2009-D 2009-CT 2010-A 2010-B 2010-C 2011-A 2011-B 2011-C 2012-A 2012-B 2012-C 2012-D 2012-E 2013-A

52. Slide 52: 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 such subsidiaries’ securitization criteria (including those criteria listed below): - Program types

53. Slide 53: 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

54. Slide 54: Cohort Default Triangles

    Cohort Default Triangles Undergraduate/Graduate1 Disbursed Principal Entering Periodic Defaults by Years in Repayment 2,3 Repayment Year Repayment ($m) 0 1 2 3 4 5 6 7 8 9 10 11 12 13 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 $28 0

55. Slide 55: Cohort Default Triangles

    Cohort Default Triangles Undergraduate/Graduate1 With Co-signer Disbursed Principal Entering Periodic Defaults by Years in Repayment 2,3 Repayment Year Repayment ($m) 0 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 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% 3

56. Slide 56: Cohort Default Triangles

    Cohort Default Triangles Undergraduate/Graduate1 Without Co-signer Disbursed Principal Entering Periodic Defaults by Years in Repayment 2,3 Repayment Year Repayment ($m) 0 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 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% 0.2

57. Slide 57: Cohort Default Triangles

    Cohort Default Triangles Undergraduate/Graduate1 Non-Profit Disbursed Principal Entering Periodic Defaults by Years in Repayment 2,3 Repayment Year Repayment ($m) 0 1 2 3 4 5 6 7 8 9 10 11 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%

58. Slide 58: Cohort Default Triangles

    Cohort Default Triangles Undergraduate/Graduate1 For-Profit Disbursed Principal Entering Periodic Defaults by Years in Repayment 2,3 Repayment Year Repayment ($m) 0 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 Total 1998 $0.41 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%

59. Slide 59: Cohort Default Triangles

    Cohort Default Triangles Undergraduate/Graduate1 Loans, FICO 740-8502 Disbursed Principal Entering Periodic Defaults by Years in Repayment 3,4 Repayment Year Repayment ($m) 0 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 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% 0.0%

60. Slide 60: Cohort Default Triangles

    Cohort Default Triangles Undergraduate/Graduate1 Loans, FICO 700-7392 Disbursed Principal Entering Periodic Defaults by Years in Repayment 3,4 Repayment Year Repayment ($m) 0 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 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% 0.0%

61. Slide 61: Cohort Default Triangles

    Cohort Default Triangles Undergraduate/Graduate1 Loans, FICO 670-6992 Disbursed Principal Entering Periodic Defaults by Years in Repayment 3,4 Repayment Year Repayment ($m) 0 1 2 3 4 5 6 7 8 9 10 11 12 13 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% 0.1%

62. Slide 62: Cohort Default Triangles

    Cohort Default Triangles Undergraduate/Graduate1 Loans, FICO 640-6692 Disbursed Principal Entering Periodic Defaults by Years in Repayment 3,4 Repayment Year Repayment ($m) 0 1 2 3 4 5 6 7 8 9 10 11 12 13 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% 0.0%

63. Slide 63: Cohort Default Triangles

    Cohort Default Triangles Private Consolidation Loans With Co-signer Disbursed Principal Entering Periodic Defaults by Years in Repayment 1,2 Repayment Year Repayment ($m) 0 1 2 3 4 5 6 7 8 9 10 11 Total 2006 $249 0.0% 0.1% 0.1% 0.5% 0.6% 0.6% 0.4% 0.3% 0.4% 0.4% 0.4% 0.3% 4.0% 2007 $675 0.0% 0.0% 0.

64. Slide 64: Cohort Default Triangles

    Cohort Default Triangles DTC With Co-signer Disbursed Principal Entering Periodic Defaults by Years in Repayment 1,2 Repayment Year Repayment ($m) 0 1 2 3 4 5 6 7 8 9 10 11 12 13 Total 2004 $10 0.0% 0.0% 0.1% 0.1% 0.4% 1.3% 0.6% 0.6% 0.0% 0.1% 0.0% 0.2% 0.1% 0.9% 4.4% 2005 $90 0.0% 0.2% 1.2% 0.9% 2.

65. Slide 65: Cohort Default Triangles

    Cohort Default Triangles DTC Loans, FICO 740-8501 Disbursed Principal Entering Periodic Defaults by Years in Repayment 2,3 Repayment Year Repayment ($m) 0 1 2 3 4 5 6 7 8 9 10 11 12 13 Total 2004 $5 0.0% 0.0% 0.1% 0.0% 0.0% 0.2% 0.4% 1.0% 0.0% 0.0% 0.0% 0.2% 0.0% 0.5% 2.3% 2005 $39 0.0% 0.2% 0.7% 1.

66. Slide 66: Cohort Default Triangles

    Cohort Default Triangles DTC Loans, FICO 670-6991 Disbursed Principal Entering Periodic Defaults by Years in Repayment 2,3 Repayment Year Repayment ($m) 0 1 2 3 4 5 6 7 8 9 10 11 12 13 Total 2004 $3 0.0% 0.0% 0.2% 0.9% 0.4% 3.0% 1.2% 1.7% 0.1% 0.5% 0.0% 0.0% 0.0% 0.0% 8.1% 2005 $25 0.0% 0.4% 2.0% 1.

67. Slide 67: Cohort Default Triangles

    Cohort Default Triangles Career Training Loans1 Disbursed Principal Entering Periodic Defaults by Years in Repayment 2,3 Repayment Year Repayment ($m) 0 1 2 3 4 5 6 7 8 9 10 11 12 13 14 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% 14.1% 2004 $510 0.0% 0.

68. Slide 68: Navient Corporation Appendix

    Navient Corporation Appendix Confidential and proprietary information © 2017 Navient Solutions, LLC. All rights reserved. 68

69. Slide 69: GAAP Results

    GAAP Results (In millions, except per share amounts) 3Q 17 2Q 17 3Q 16 Net income $176 $112 $230 EPS $0.64 $0.39 $0.73 Operating expenses $238 $230 $228 Provision $105 $105 $106 Average Student Loans $109,367 $108,435 $116,450 Confidential and proprietary information © 2017 Navient Solutions, LLC. A

70. Slide 70: Differences between Core Earnings and GAAP

    Differences between “Core Earnings” and GAAP Quarters Ended “Core Earnings” adjustments to GAAP: Sep. 30, Jun. 30, Sep. 30, (Dollars in Millions) 2017 2017 2016 “Core Earnings” net income $152 $123 $157 Net impact of derivative accounting 36 (15) 139 Net impact of goodwill and acquired intangible as

71. Slide 71: 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 - Qua

72. Slide 72: NAVIENT.

    NAVIENT.

Navient — Q3 2017 Earnings Presentation on 6ix