U.s. Bancorp · NYSE:USB
U.s. Bancorp — BancAnalysts Association of Boston Conference 2018
22 slides from U.s. Bancorp's conference presentation, Nov 9, 2018
Slide 1: BancAnalysts Association of Boston Conference 2018
BancAnalysts Association of Boston Conference 2018 November 9, 2018 Jeff von Gillern Vice Chairman, Technology and Operations Services Terry Dolan Vice Chairman and Chief Financial Officer Exhibit 99.1
Slide 2: Forward-looking statements
The following information appears in accordance with the Private Securities Litigation Reform Act of 1995: Today’s presentation contains forward-looking statements about U.S. Bancorp. Statements that are not historical or current facts, including statements about beliefs and expectations, are forwar
Slide 3: U.S. Bancorp
U.S. Bancorp As of 9/30/18, except market value as of 10/31/18 NYSE TradedUSB Founded 1863 Market Value $85B Assets $465B Deposits $331B Loans $281B Payment Services and Investment Services Corporate & Commercial Banking and Wealth Management & Investment Services
Slide 4: Our Businesses
Our Businesses Consumer & Business Banking, 40% Branch banking, small business banking, consumer lending, mortgage banking and omnichannel delivery Payment Services, 28% Retail payment solutions, global merchant acquiring and corporate payment systems Corporate & Commercial Banking, 18% Corporate ba
Slide 5: Our Strategy
Our Strategy We are creating the future now, embracing change and leveraging technology and innovation to meet our customers’ evolving expectations.
Slide 6: Our Approach to Technology
Our Approach to Technology We leverage technology to… Drive growth and returns Drive revenue Increase efficiency Minimize risk and loss … and we employ technology defensively and offensively.
Slide 7: Technology on Defense
Technology on Defense Defense minimizes risk and loss. Cybersecurity Fraud Risk and Compliance We take defensive technology a step further, strategically leveraging our investments in these areas to play offense as well.
Slide 8: Securely Enabling USB's Digital-first Strategy
Securely Enabling USB’s Digital-first Strategy As cybersecurity and fraud intelligence converge, we continue to innovate and leverage our investments in intelligence-driven, machine-speed information security techniques. 24/7 monitoring, dedicated data science, hunting and threat intelligence 4.9 bi
Slide 9: Technology on Offense
Technology on Offense Offense drives revenue and efficiency. Three key components of our offense work together to: Streamline processes Enhance products Improve the customer experience Deepen customer relationships Attract new customers Emerging technology Core technology Enabling technology Emergin
Slide 10: Core Technology
Core Technology Core technology keeps the lights on, drives efficiency and promotes agility. Our architecture enables us to implement changes and advance our technology with greater speed and efficiency. Data centers Automation Cloud computing Test Build Design Review Plan Launch Sprint 1 Test Build
Slide 11: Enabling Technology
Enabling Technology Enabling technology provides ready access to data with speed, control and security. Technology enables us to put data to work, delivering insights and intelligence that turn customer interactions and financial transactions into information-rich opportunities. Data analytics APIs
Slide 12: Emerging Technology
Emerging Technology Emerging technology allows us to seamlessly deliver the whole bank to our customers, serving them when, where and how they desire. Distributed ledger Artificial intelligence Fintech engagement We focus on bringing the most effective emerging technology to our customers, removing
Slide 13: It All Comes Together in Our Experience Studios
It All Comes Together in Our Experience Studios We are adopting agile across all of our businesses to transform the customer experience and accelerate time-to-impact. Cross-functional teams work together in our Experience Studios to rapidly deliver new and enhanced products. Experience Studio Agile
Slide 14: Our Home Buying Experience Studio
Our Home Buying Experience Studio We reimagined the home buying experience, streamlining our mortgage application process through a combination of fintech partnership and internally developed solutions. Easy application: we partnered with fintech Blend to deliver a simple-to-use, self-guided digital
Slide 15: The Result: Our Digital Mortgage Experience
The Result: Our Digital Mortgage Experience Pre-filled customer information Loan decision within minutes of application submission Proactive communications and automated follow-ups eConsent for electronic loan document delivery and eSignature capabilities Improved customer experience Substantial tim
Slide 16: Our Business Banking Experience Studio
Our Business Banking Experience Studio We leveraged digital capabilities to simplify and transform the way our customers fund their small businesses. Process change impacts Technology impacts Reduced the number of application fields by >70% More than doubled the rate of applications approved with no
Slide 17: Our Mobile App Experience Studio
Our Mobile App Experience Studio As mobile engagement continues to climb, a robust mobile app is a critical component of our digital-first strategy. Making opening, onboarding and accessing accounts fast and easy Offering a competitive set of features and functions Excelling at core banking tasks ou
Slide 18: We Are Embracing the Future of Banking
We Are Embracing the Future of Banking Customer acquisition Product development Business processes Delivery channels Customer service We are leveraging technology, innovating and modernizing our processes to optimize all aspects of our business. Increased revenue Greater efficiency Improved profitab
Slide 19: Improving on Our Industry-leading Returns
Improving on Our Industry-leading Returns As we leverage technology and innovation to drive growth and efficiency, we will continue to create value by driving improving returns. 17.5% 14.5% Industry-leading Returns 2017 Return on Average Common Equity vs Peers Full-year 2017 return on average common
Slide 20: Appendix
endix p p A gq
Slide 21: Non-GAAP Financial Measures
Non-GAAP Financial Measures
Slide 22: Non-GAAP Financial Measures
Non-GAAP Financial Measures (1) Notable items include: $910 million reduction in income tax expense due to tax reform legislation, $608 million legal and regulatory accrual, $105 million (after-tax) contribution to the U.S. Bank Foundation and $47 million (after-tax) one-time bonus to certain eligib
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