Navient Corporation · NASDAQ:NAVI
Navient — Corporate Update (October 2026)
13 slides from Navient's corporate update, Oct 21, 2026
Slide 1: Corporate Reorganization
October 21, 2026 Corporate Reorganization 1
Slide 2: Forward-Looking Statements and Non-GAAP Financial Measures
Forward-Looking Statements and Non-GAAP Financial Measures The following information is current as of June 30, 2026 (unless otherwise noted) and should be read in connection with Navient Corporation’s (“Navient”) Annual Report on 2025 Form 10-K for the year ended December 31, 2025 (the “2025 Form 10
Slide 3: New corporate structure
New corporate structure Legacy business: Navient LLC(1) Holds all legacy loans (FFELP and Legacy Private) and all Earnest loans originated through December 31, 2026 Files standalone financial statements with SEC Debt securities remain SEC-registered Separates Legacy and Continuing businesses into tw
Slide 4: Illustrative post-reorganization balance sheets at 6/30/26
Illustrative post-reorganization balance sheets at 6/30/26(3) Figures in $ millions (1) E Parent, Inc. (2) Earnest numbers exclude any required working capital (3) Navient Holdings, Inc.’s net assets agree to Navient’s June 30, 2026 total equity. Earnest’s net assets are the net assets that reside i
Slide 5: Objectives of new corporate structure
(1) Also includes Earnest loans originated through December 31, 2026 Objectives of new corporate structure 5 Legacy business Focus on maximizing cash flow generation from Navient’s portfolio of non-strategic legacy assets that we no longer originate(1) Principal metric: cash after unsecured debt ser
Slide 6: Legacy business: Navient LLC
Legacy business: Navient LLC Large portfolio, majority comprised of legacy assets that we no longer originate Run-off depresses earnings and ROE trends Run-off portfolios projected to generate robust discretionary cash Available for distribution to Holdings for growth or shareholder distributions As
Slide 7: Continuing business: Earnest
Originations are 2026 forecast; direct non-marketing operating expenses as % of originations is based on forecasted expenses and originations; all other metrics are 2026 actual through June 30, 2026 Weighted average for Refinance and In-School/Grad products Reflects Earnest’s direct non-marketing op
Slide 8: Adjusted Tangible Equity percentage and unsecured debt rating
Source: Moody’s, Rating Methodology – Finance Companies (July 18, 2024) As of June 30, 2026; item is a non-GAAP financial measure. See Appendix for further detail. ATE percentage 8 Adjusted Tangible Equity (“ATE”) percentage is a significant component of Navient’s unsecured debt rating Defined as ta
Slide 9: Impact of continued growth on ATE percentage
Item is a non-GAAP financial measure. See Appendix for further detail. Reconciliations of forward-looking non-GAAP financial measures are not provided because the company is unable to provide such reconciliations without unreasonable effort due to the uncertainty and inherent difficulty of predictin
Slide 10: Corporate reorganization improves future ATE trends
Corporate reorganization improves future ATE trends 10 Starting in 2027, a portion of newly securitized assets may be held on Holdings’ standalone balance sheet Expect to operate Navient LLC with ATE percentage significantly in excess of minimum
Slide 11: Other items
Other items 11 Exploring re-segmentation during 2027 Legacy activities Continuing activities Considering adopting Fair Value Option for additional products Evaluating further optimization of loan portfolios Classifying an additional $1.4 billion of Legacy loans to Held for Sale in Q3 2026
Slide 12: Appendix
Appendix 12
Slide 13: Non-GAAP Financial Measures
Non-GAAP Financial Measures In addition to financial results reported on a GAAP basis, Navient also provides certain performance measures which are non-GAAP financial measures. The definition for the non-GAAP financial measure and reconciliation found in this presentation is provided below: Adjusted