Fulton Financial Corporation · NASDAQ:FULT
Fulton Financial — Investor Presentation (February 2006)
22 slides from Fulton Financial's investor presentation, Feb 9, 2006
Slide 1: Overview of Fulton Financial Corporation
Overview of Fulton Kitancial Corporation Creaung Value tor You and Your Clients Hulton Financial Corporation Rk. Scott Smith, Jr. Chairman, President & CEO)
Slide 2: Forward-Looking Statement
Forward-Looking Statement Mi The following presentation may contain forwardJooking statements about Fulton Financial Corporation's growth and acquisition strategies, new products and services, and future financial performance, including earnings and dividends per share, returnion average assets, ret
Slide 3: Fulton Financial Profile
Fulton Financial Profile =) Regional financial holding company (formed in 1982) =) 15 community banks and 3 financial services attiliates) in 5 states =) 254 community banking offices = Asset size: $13.7 billion =| Market capitalization: $2.7 billion
Slide 4: What have we accomplished?
What have we accomplished? = Proven business model = Consistent performance = 3.6% compounded annual growth rate in carmings per share = 24 consecutive years of record carnings = 31 consecutive years of dividend increases = 10.2% compounded annual growth rate in dividends per share
Slide 5: Fulton Financial Corporation affiliate banks
|ANCIAL iON RPORAT FULTON Fir ‘COK § 8 2 A 8 x g ifae gi i é a |B Lebanon Valley Farmers Bank 1 Lafayecte Ambassador Banke The Peoples Bank of Eton i j 2 I 3 3 3 € a i Hagerstown Trust
Slide 6: Mission Statement
Mission Statement =) We will increase shancholder value and enrich the communities we serve by creating financial success together with our customers and career success together with our cinployccs, We will conduct all of our business with lionesty and) integrity.
Slide 7: Stock Performance (1982 - 2005)
Stock Performance (49s2 - 2005) =) WITHOUT dividend reinvestment 14% compounded annual rate of return =) WITH dividend remvyestment 13% compounded annual rate of return
Slide 8: Corporate Strategic Initiatives
Corporate Strategic Initiatives Above average, long term shareholder retums Driving EPS growth organically Diversification of revenue stream Creating, financial success together witli our clients Creating, career success together witli our employees Enriching the communities we serve anage tisk comp
Slide 9: Acquisitions In New Markets
Acquisitions In New Markets What changes? Whaat stays the same? (oan teview: =) Banik name: inwestanemts | Board of Directors Assevliability management ™) Vanagement team =) Employees’ Common operating, plattomm Audit a a a =) Compliance it it = Accounting
Slide 10: Our Business Model
Our Business Model a Affiliate knows local markets best m Maintains established local brand value m Prestigious jobs with empowerment 11 local markets = Pricing autonomy = Affiliate driven goals and execution = Decisions made here!
Slide 11: Product Availability
Product Availability Debit/credit cards Residential mortgages Specialized lending (leasing and indirect) International services Correspondent banking “investment management “Brokerage services S insurance Gwhole life, termi life; long-term care through advisors) “Cash management On-line banking
Slide 12: Our Relationship Strategy
Our Relationship Strategy 4 Long-term 4 Long-term 4 Long-term successiul ——» successful — >» successful employees customers shareholders People First! It’s not just a rate, it’s a relationship!
Slide 13: Retention Strategy
Retention Strategy Seavics Relationships) Experience High Customer Satisfaction
Slide 14: Customer Satisfaction
Customer Satisfaction @ * Retail: + 90% exiremely/very satisfied # Commercial; + 90% exiremely/very satisfied S Fulton Financial Advisors: + 804% very satisfied/satisfied M Fulton Mortgage Company: + 99% of expectations met/exceeded! * 98% would recommend FMC to others: *compared to national average
Slide 15: Capital Markets Outlook
Capital Markets Outlook Summary (Full Texan Yours Handouts) Fulton Financial Advisors
Slide 16: Capital Markets Outlook
Capital Markets Outlook = The Economy: = Flat yield curve likely to persist = Core rate of inflation remains low = slower economic growth tor 2006 = little inflationary pressure = Rate of protit growth 7-8% = Rates should peak mid-year leading to stronger bond market in late 2006 and 2007
Slide 17: Capital Markets Outlook
Capital Markets Outlook = Equitics = Looking for positive retums in 2006 = Favor large cap growth stocks = Rate cycle peak should be positive catalyst for equity markets = Corporate America in fine shape with protits up neatly 14% im 2005 = In 2006, expect market multiples of 16.5 —17 times earings:
Slide 18: Outlook for Bank Stocks 2006
Outlook for Bank Stocks 2006 =) Stab é to slightly rising net interest margins m=) Overall) deposit growth between 5-3% =) Overall loan growth between 6-10% a Cred it quality remains strong — some upward Pressure Cn provisions = Cont = Prod inued growth in fee income ent expense control =| Growth in
Slide 19: Nationwide Bank M&A Trends
Nationwide Bank M&A Trends: 000 Commercial Banks $297 Decrease 013.2% Number of Branches 63,487 Increase of 9.2% 004 7,614 69,360
Slide 20: Lehigh Valley Trends
Lehigh Valley Trends Vibrant commercial /residentiallreal estate markets Upper middle market owner/operated businesses abound Growth in new economy businesses academio community Healthoare is largest resionall employer and likely to remain so, Population growih and density increasing = influx tromme
Slide 21: Opportunities for You and Your Clients
Opportunities for Yow and Your Clients We are aggressively seelang good-quality loans - longer terms available om select credits: Residential mortgages and home equity loans: On-line banking — consumers and businesses: Financial planning — holistic and relationship oriented. Health Savings Accounts
Slide 22: Questions
Questions
Fulton Financial — Investor Presentation (February 2006) on 6ix