Regions Financial Corporation · NYSE:RF
Regions Financial — Bank of America Merrill Lynch Future of Financials 2017 Conference
23 slides from Regions Financial's conference presentation, Nov 15, 2017
Slide 1: Bank of America Merrill Lynch Conference “Future of Financials”
Bank of America Merrill Lynch Conference “Future of Financials” November 15, 2017 Scott Peters Consumer Services Group Head Logan Pichel Consumer Lending Group Head
Slide 2: Strategic initiatives
Strategic initiatives GROW AND DIVERSIFY REVENUE ® Leverage to grow customers and households and deepen existing relationships Prudently grow non-interest income Balance growth across geographies and businesses DISCIPLINED EXPENSE MANAGEMENT Majority of $400MM in expense saves by 2018 Cont
Slide 3: Consumer Bank leading the way
Consumer Bank leading the way Demonstrated track record of growth Consumer Total Revenue (1) Total Revenue(1,2) September YTD ($ millions) $2,429 $2,362 $2,316 Corporate Consumer 33% 56% 2015 2016 2017 Wealth 11% Consumer Pre-Tax Income (1) September YTD ($ millions) $668 Consumer Growth Metrics $60
Slide 4: Deposit advantage
Deposit advantage Deposits by Customer Non-Interest Bearing Deposits Interest Bearing Deposits Type(1) (Retail vs. Business) by Customer Type(1) by Customer Type(1) 3Q17 ($ in billions) ($ in billions) ($ in billions) Private Institutional Wealth* Trust* $1 Corporate Segment Consumer Segment Other S
Slide 5: Helping customers make better financial decisions
Helping customers make better financial decisions Consumers + Small Businesses DIGITAL ENHANCEMENTS Creating a seamless experience RESHAPE & EXPAND DISTRIBUTION Optimizing Network and Loan Portfolios REMOVE FRICTION & CREATE EFFICIENCIES Leveraging Innovation 5
Slide 6: Providing everything you need at your finger tips
Providing everything you need at your finger tips A seamless experience delivered in an Agile environment Digital Enhancements New responsive platform Optimized application and reduced abandonment Behaviorally targeted ads and advice Personalized product recommendations Driving adoption of
Slide 7: Meeting needs faster and smarter
Meeting needs faster and smarter At every point of customer interaction Addressable Marketing System Advice, Guidance, and Education Targeted and timely customer offers and messages Actively deploy advice, guidance and education across channels content to customers and prospects through digital
Slide 8: Comprehensive and expanding payment solutions
Comprehensive and expanding payment solutions Early participant in all payment networks LockIt TM Enhanced card security for both credit and debit Seamlessly turn transaction types on or off through mobile device Pilot rolled out Nov. 1 with full rollout in 2018 Secured Credit Card Launched
Slide 9: Comprehensive and expanding payment solutions (continued)
Comprehensive and expanding payment solutions Early participant in all payment networks (continued) NOW BANKING ® Providing unique payment solutions to meet customer needs Differentiated remote deposit options that allow for expedited availability of funds Enhanced person-to-person payments will
Slide 10: The right branches in the right places
The right branches in the right places Retail network strategy Retail Network Strategy • Critical component of our go to market strategy • Consolidate non-strategic and lower performing locations • Adding distribution in dense fast growing markets in our footprint • Goal: 10% decrease in branches an
Slide 11: Improving the customer experience in the branch
Improving the customer experience in the branch Making Banking Easier Making Banking Easier strives to move routine transactions out of the branch to other channels and increase the focus on high value interactions Historic 75% Routine Transactions Target 75% Customer Value Add State: 25% Customer V
Slide 12: Reducing friction while creating efficiencies
Reducing friction while creating efficiencies Journey of continuous improvement Continuous Improvement Launched responsive design for Regions.com allowing customers seamless access from any device Leveraging artificial intelligence to meet customer needs in contact center, while reducing headcou
Slide 13: Diversifying the consumer loan portfolio
Diversifying the consumer loan portfolio Loan Diversification Strategy and Accomplishments In 2010 high concentration of real-estate Needed to create better diversification in the portfolio Expanded indirect auto lending with dealerships Developed a point-of-sale relationship Purchased our
Slide 14: Innovation driving consumer loan growth
Innovation driving consumer loan growth Non-Real Estate Consumer Loan Balances GreenSky® / Indirect Lending Other ($ in millions) Originated $3.0B in production and $1.2B in balances since $5.8 program inception in December 2014 1.2 Completed first bulk purchase of $138MM in June 2017 Recently
Slide 15: Leveraging innovation with lending capabilities
Leveraging innovation with lending capabilities Fully Digital Loan Experience Our Quickest Loan Application. Designed Just for You. Regions.com ………. Online Banking • Changing customer expectations • Average time to complete • Create a better customer application: 5 minutes experience • Average decis
Slide 16: Our goal… make it easier for consumers to borrow
Our goal… make it easier for consumers to borrow and develop a more productive banker Creating a fully digital loan experience for all consumer loans New online application for mortgage and home equity loans/lines (Dec. 2017) Digital Servicing • Automated boarding • 48% fewer questions • Electronic
Slide 17: Providing enhanced solutions for wealth customers
Providing enhanced solutions for wealth customers Regions Wealth Platform Overview Enhanced Customer Experience • Partnered with SEI Global Services and selected their Wealth Platform Delivers a consistent and competitive client experience • Converted to the new platform in early October Simpler
Slide 18: Creating connectivity and efficiencies for our corporate customers
Creating connectivity and efficiencies for our corporate customers Overview TM • Adoption and roll out of a new online Treasury Management platform underway • New platform delivers significantly increased features and functionality • Provides enhanced opportunities to grow client relationships in th
Slide 19: Innovation strategy supports our strategic initiatives
Innovation strategy supports our strategic initiatives Grow and Disciplined Optimize and Diversify Expense Effectively Revenue Management Deploy Capital Making Banking Easier Optimized digital account Retail network strategy Addressable Marketing opening Website redesign and online Consu
Slide 20: A REGIONS
A REGIONS
Slide 21: Appendix
Appendix My REGIONS 21
Slide 22: Forward-looking statements
Forward-looking statements This presentation may include forward-looking statements as defined in the Private Securities Litigation Reform Act of 1995. The terms “Regions,” the “Company,” “we,” “us” and “our” mean Regions Financial Corporation, a Delaware corporation, and its subsidiaries when or wh
Slide 23: Forward-looking statements continued
Forward-looking statements continued • Our ability to execute on our strategic and operational plans, including our ability to fully realize the financial and non-financial benefits relating to our strategic initiatives. • The success of our marketing efforts in attracting and retaining customers. •
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