Slide 1: First Quarter 2012 Earnings Conference Call
Best Bank In Town Since 1872 First Quarter 2012 Earnings Conference Call April 19, 2012 Kelly S. King Chairman and Chief Executive Officer Daryl N. Bible Chief Financial Officer Clarke R. Starnes Chief Risk Officer Exhibit 99.4
Slide 2: Forward-Looking Information
Forward-Looking Information This presentation contains forward-looking statements with respect to the financial condition, results of operations and businesses of BB&T. Statements that are not historical or current facts or statements about beliefs and expectations are forward-looking statements. Wo
Slide 3: 2012 First Quarter Performance Highlights
2012 First Quarter Performance Highlights 1 Net income2 totaled $431 million, up 91.6% vs. 1Q11 EPS totaled $0.61, up 90.6% vs. 1Q11 Strongest quarterly earnings since before the crisis Adjusted net revenue3,5 totaled $2.4 billion, up 19.2% vs. 4Q11 Record mortgage banking income Average
Slide 4: Unusual Items Affecting Earnings
Unusual Items Affecting Earnings $ in millions, except per share impact Pretax After Tax EPS Tax-related items, net1 $(42) $ (50) (0.07) L Leveraged d lease l write-downs it d (15) (10) (0 01) (0.01) Merger-related and restructuring charges2 (12) (7) (0.01) Securities losses, net (9) (6) (0.01) 1 In
Slide 5: Continued Strong Loan Growth
Continued Strong Loan Growth Average Loans Held for Investment ($ in billions) $108 $107.5 Average Loan Growth Highlights1 ($ in millions) $105.8 $106 1Q12 vs. 4Q11 1Q12 vs. 4Q11 1Q12 $ Annualized % $103.9 Average Increase Increase $104 Balance (Decrease) (Decrease) $102.8 $102.6 C&I $ 36,021 $ 789
Slide 6: Driving Growth in Lower Cost Deposits
Driving Growth in Lower Cost Deposits Average Deposits ($ in billions) $130 1.00% $124.6 Average Deposit Growth Highlights $121.9 ($ in millions) 0.82% $120 $115.1 0.80% 1Q12 vs. 4Q11 1Q12 vs. 4Q11 0.72% Annualized % 1Q12 $ Average Increase Increase $110 0.65% Balance (Decrease) (Decrease) $105.6 $1
Slide 7: Excellent Stress Test Results
Excellent Stress Test Results 6.8% Strongest Tier 1 Common Among Our Peers1 6.4% 6.4% 6.3% Average of 19 Participant Holding Companies was 6.2% 6.0% 6.0% 5.9% 5.9% Excluding announced capital 5.7%1 issuance, BB&T had the strongest 5.6% 5.4% capital under stress scenario among 5.3% 5.2% Regulatory
Slide 8: Excellent Stress Test Results
Excellent Stress Test Results Lowest C&I Loss Rate Among Our Peers1 12.0% 10.8% 10.0% Average of 19 Participant Holding The stress test results indicated that Companies was 8.2% 8.1% 8.2% 8.7% BB&T had the lowest commercial 8.0% 7.7% loss rate among traditional banks 6.2% 6.7% 7.0% under stress 6.
Slide 9: NPAs Decrease 7.9%
NPAs Decrease 7.9%1 Lowest Levels Since 4Q08 Q Total Nonperforming Assets1 Down ($ in millions) $4,000 41.6% vs. $3,863 1Q11 $3,500 $3,353 7.9% % reduction in NPAs vs. 4Q11, Q eight sequential quarterly declines $2,969 $3,000 Substantial reduction in early delinquencies $2,500 $2,450 ≥ 90 days
Slide 10: Aggressive OREO Reduction Strategy Proves Effective
Aggressive OREO Reduction Strategy Proves Effective Sales and Inflows of Foreclosed Real Estate1 ($ in millions) $350 Foreclosed Real Estate inflows $247 $255 d decreased d Significant Si ifi t reduction d ti iin fforeclosed l d $250 $214 $213 59.8% vs. 1Q11 real estate, down 29.5% vs. 4Q11 $182 $
Slide 11: Lower Losses and Strong Reserve Position
Lower Losses and Strong Reserve Position 1 Net Charge-offs / Average Loans 2.00% 1Q12 net charge-offs of 1.28%, a 11.3% decrease in total losses 0.34% compared with 4Q11, consistent with 1.50% previous guidance 1.00% Net charge-offs are at the lowest 1.65% 1.46% 1.44% 1.46% levels in three years
Slide 12: Margin Remains Strong
Margin Remains Strong N t IInterest Net t t Margin M i 4.50% Excluding the impact of covered 4.15% assets,, the net interest margin g is 4.09% 4.01% 4.02% stable, benefiting from declining cost 4.00% 3.93% of funds, offset by lower yields on earning assets Expect margin to decline to the 3.50% 3
Slide 13: Fee Income
Fee Income Fee Income Ratio1 48 0% 48.0% Noninterest Income 44.0% ($ in millions) 40.8% 41.0% 1Q12 v. 1Q12 v. 40.1% 4Q112 1Q11 39.3% 40 0% 40.0% 38 4% 38.4% Increase Increase 1Q12 (Decrease) (Decrease) Insurance income $ 271 26.9% 8.4% 36.0% Service charges on deposits 137 (14.2) 1.5 Mortgage bankin
Slide 14: Noninterest Expenses and Efficiency
Noninterest Expenses and Efficiency Efficiency Ratio1 60.0% Noninterest Expense ($ in millions) 57.1% 1Q12 v. 1Q12 v. 4Q112 1Q11 55.8% Increase Increase 54.6% 1Q12 (Decrease) (Decrease) 55.0% 53.5% Personnel expense $ 730 30.2% 5.2% 52.0% Foreclosed property expense 92 NM (35.7) Occupancy and equipm
Slide 15: Capital Strength
Capital Strength 1 Tier 1 Common Ratio 11.0% 10.0% 10.0% 9.8% 9.7% 9.6% 9.3% 9.0% BB&T’s estimated Basel III Tier 1 Common Ratio improved to 9.2% 8.0% 1Q11 2Q11 3Q11 4Q11 1Q12 We continue to be one of the strongest capitalized institutions in the industry Tier 1 Capital Ratio 14.5% Our O 2012
Slide 16: Community Banking Segment
Community Banking Segment Inc/(Dec) Inc/(Dec) ($ in millions) 1Q12 4Q11 1Q11 Comments Net Interest Income $862 $(25) $ (37) Direct Retail lending increased by $977 million, Noninterest Income1 307 25 81 or 7.2%, 2% compared with 1Q11 and grew 15.1% 1 1% compared with 4Q11 Loan Loss provision 255 1
Slide 17: Residential Mortgage Banking Segment
Residential Mortgage Banking Segment Retains and services mortgage g g loans originated g by y the Community y Bankingg segment g as well as those purchased from various correspondent originators Inc/(Dec) Inc/(Dec) ($ in millions) 1Q12 4Q11 1Q11 Comments Net N t Interest I t t Income I $ 87 8 $ 2 $
Slide 18: Dealer Financial Segment
Dealer Financial Segment Primarily originates indirect to consumers on a prime and nonprime basis for the purchase of automobiles and other vehicles through approved dealers both in BB&T’s market and nationally (through Regional Acceptance Corporation) Inc/(Dec) Inc/(Dec) ($ in millions) 1Q12 4Q11 1
Slide 19: Specialized Lending Segment
Specialized Lending Segment Provides specialty lending including: commercial finance finance, mortgage warehouse lending lending, tax-exempt governmental finance, equipment leasing, commercial mortgage banking, insurance premium finance, dealer-based equipment financing, and direct consumer finance
Slide 20: Insurance Segment
Insurance Segment Provides property and casualty casualty, life life, and health insurance to business and individual clients. clients It also provides workers compensation and professional liability, as well as surety coverage and title insurance Inc/(Dec) Inc/(Dec) ($ in millions) 1Q12 4Q11 1Q11 C
Slide 21: Financial Services Segment
Financial Services Segment Provides trust services, wealth management, investment counseling, asset management, estate t t planning, l i employee l b benefits, fit corporate t bbanking, ki and d capital it l market k t services i tto iindividuals, di id l corporations, governments, and other organiz
Slide 22: Our Best Days Are Ahead!
Investing to drive revenue growth Underlying fundamentals in loan and deposit growth exceptionally strong Successfully accomplishing our diversification and risk mitigation strategies Re-conceptualizing our business to drive revenue and expense optimization Providing best value proposition in our ma
Slide 23: Best Bank In Town
Best Bank In Town Since 1872 23
Slide 24: Appendix
Appendix
Slide 25: Non-GAAP Capital Measures
Non-GAAP Capital Measures (Dollars in millions) As of / Quarter Ended March 31 Dec. 31 Sept. 30 June 30 March 31 2012 2011 2011 2011 2011 Selected Capital Information 1 Risk-based capital Tier 1 $ 15 15,205 205 $ 14,913 14 913 $ 14 14,696 696 $ 14 14,363 363 $ 14 14,100 100 Total 19,343 18,802 18,83
Slide 26: Non-GAAP Capital Measures
Non-GAAP Capital Measures (Dollars in millions) As of / Quarter Ended March 31 Dec. 31 Sept. 30 June 30 March 31 2012 2011 2011 2011 2011 Calculations of Tier 1 common equity and tangible assets and related measures: Tier 1 equity $ 15,205 $ 14,913 $ 14,696 $ 14,363 $ 14,100 Less: Qualifying restric
Slide 27: Non-GAAP Capital Measures
Non-GAAP Capital Measures March 31 December 31 September 30 (Dollars in millions) 20121 20111 20111 Tier 1 common equity under Basel 1 definition $ 11,955 $ 11,663 $ 11,447 Adjustments: Other comprehensive income related to AFS securities, defined benefit pension and other postretirement employee be
Slide 28: Non-GAAP Reconciliations
Non-GAAP Reconciliations 1 March 31 December 31 % Change (Dollars in millions) 2012 2011 Annualized Total revenue - fully taxable equivalent $ 2,344 $ 2,411 (11.2)% (Gains)/losses on securities 9 (103) Write-downs of affordable housing investments 42 Offset for provision for covered assets (6) (39)
Slide 29: Non-GAAP Reconciliations
Non-GAAP Reconciliations As of / Quarter Ended March 31 Dec.31 Sept. 30 June 30 March 31 2012 2011 2011 2011 2011 Asset Quality Ratios (including amounts related to covered loans and covered foreclosed property) p p y) Loans 30-89 days past due and still accruing as a percentage of total loans and l
Slide 30: Non-GAAP Reconciliations
Non-GAAP Reconciliations As of / Quarter Ended March 31 Dec. 31 Sept. 30 June 30 March 31 2012 2011 2011 2011 2011 Asset Quality Ratios (excluding amounts related to covered loans and covered foreclosed property)3 Loans 30-89 days past due and still accruing as a percentage of total loans and leases
Slide 31: Non-GAAP Reconciliations
Non-GAAP Reconciliations Quarter Ended March 31 Dec, 31 Sept. 30 June 30 March 31 2012 2011 2011 2011 2011 Efficiency ratio – GAAP 59.0 % 67.1 % 66.1 % 64.1 % 67.4 % Effect of securities gains (losses), net (0.2) 2.4 (1.0) - - Effect of merger-related and restructuring charges, net (0.5) (0.7) - (0.
Slide 32: Best Bank In Town
Best Bank In Town Since 1872 32