Regions Financial (RF) 8-K Regulation FD Disclosure

Citigroup Beyond the Basics

Financial Services Forum

May 20, 2008

Exhibit 99.1

Source: US Census Bureau Reports

Housing Market

500

550

600

650

700

750

800

850

900

950

J07

F07

M07

A07

M07

J07

J07

A07

S07

O07

N07

D07

J08

F08

M08

$200,000

$210,000

$220,000

$230,000

$240,000

$250,000

$260,000

$270,000

New Home Sales

Median New Home Price

Industry Challenges

SUBPRIME

SIVs

/ CDOs

NON-TRADITIONAL

MORTGAGES

X

X

X

Regions has $100 million (0.1%)

of subprime loans

Regions has no option ARMs,

negative amortization, or loans

with teaser rates

Regions has no SIV exposure or

CDOs on the balance sheet

Areas of Focus

Commercial Real Estate

›

Homebuilders

›

Condominiums

Home Equity

Credit Quality Trends

1.25%

0.53%

0.20%

0.23%

0.27%

0.45%

0.62%

0.90%

0.62%

0.45%

0.48%

0.22%

0.22%

0.35%

0.37%

0.00%

0.20%

0.40%

0.60%

0.80%

1.00%

1.20%

1.40%

1Q07

2Q07

3Q07

4Q07

1Q08

NPAs/Loans and OREO

Net Charge-Offs/Average Loans

Delinquent Loans (90+ Past Due)

Loan Portfolio Overview (Risk View)

As of March 31, 2008.

Period End Loans

(Total $96.4 billion)

Nonperforming Loans

(Total $1.0 billion)

$ in billions

$ in millions

Commercial and

Industrial/Leases, 

$17.5

CRE -

Owner-Occupied

Mortgages,  $4.5

Commercial Real Estate -

Non-Owner-Occupied

Mortgages,  $9.1

Construction,  $11.5

Business and

Community Banking, 

$16.0

Alt-A,  $2.7

Residential First

Mortgage,  $14.0

Home Equity Lending, 

$15.0

Other Consumer,  $6.0

CRE -

Owner-Occupied

Mortgages,  $111

Commercial Real Estate -

Non-Owner-Occupied

Mortgages,  $208

Construction,  $447

Alt-A,  $14

Business and

Community Banking, 

$101

Residential First

Mortgage,  $42

Other Consumer,  $2

Commercial and

Industrial/Leases,  $89

Home Equity Lending, 

$12

Commercial Real Estate Portfolio -

$20.5 billion

CRE Portfolio by Product

CRE Portfolio Characteristics

Portfolio well-diversified by product type

$6.2 billion residential homebuilder portfolio is a subset of the Commercial Real Estate portfolio

with

the

majority

of

the

residential

homebuilder

portfolio

found

in

land

and

single

family

sectors

Proactively reducing certain concentrations

Land balances down $1.2 billion since December 2006

Condominium balances down $891 million since December 2006

Multi-Family, 13%

Single Family, 17%

Retail, 16%

Office, 9%

Industrial, 4%

Hotel, 3%

Other, 8%

Land, 24%

Condo , 6%

As of March 31, 2008.

Consumer Real Estate Portfolio -

$38 billion

Central, $294

Southwest, $30

Midwest, $89

Midsouth, $82

Other, $35

Florida, $838

As of March 31, 2008.

Condo Portfolio by Region

$ in millions

›

As of March 31, 2008, our condominium portfolio totaled $1.367 billion, down $891 million

from December 31, 2006.

›

Portfolio

is

running

off

due

to

payments

received

from

sales

and

closings

of

units.

›

Total nonperforming assets of $70 million, or 5.10% of total condo portfolio.

›

Despite difficult market factors, charge-offs have been manageable.

Residential Homebuilder Portfolio -

$6.2 billion

Land, $2,093

Residential

Spec, $1,875

Residential

Presold, $588

Lots, $1,417

National

Homebuilders,

$258

Product Breakout

$

%*

$

%*

$

%*

$

%*

$

%*

$

%*

90+ Past Due

2,883

0.17

428

0.07

6,596

0.35

3,764

0.18

102

0.04

13,273

0.21

Non-Accruing Loans

103,294

7.29

33,245

5.65

160,343

8.55

94,319

4.51

27,030

10.47

418,231

6.71

Average Note Size:

     Total Portfolio

250

-

416

-

245

-

673

-

521

-

340

-

      Central

270

-

213

-

214

-

513

-

221

-

270

-

      Florida

577

-

1,026

-

470

-

2,137

-

5,003

-

907

-

Outstandings

1,416,909

$

588,163

$ 

1,874,700

$

2,093,181

$

258,211

$ 

6,231,164

$

* Percentage of related product outstandings

National

Homebuilders

Total Portfolio

Lots

Residential

Presold

Residential Spec

Land

($ in thousands)

$ in millions

As of March 31, 2008.

Residential Homebuilder Portfolio -

$7.2 billion

Residential Homebuilder Portfolio -

$6.2 billion

Geographic Breakdown

500,000

1,000,000

1,500,000

2,000,000

2,500,000

1

Central consists of Alabama, Georgia, and South Carolina

2

Midsouth

consists of North Carolina, Virginia and Tennessee

3

Midwest consists of Arkansas, Illinois, Indiana, Iowa, Kentucky, Missouri, and Texas

4

Southwest consists of Louisiana and Mississippi

As of March 31, 2008.

($ in thousands)

Total

Total

Total

Total

Total

Total

Exit

Exit

Exit

Exit

Exit

Exit

Outstandings

Central

Florida

Midsouth

2

Midwest³

Southwest

4

Other

Total

Total Outstandings

2,153,823

1,535,909

1,377,197

678,468

337,889

147,878

6,231,164

Exit Credits

Non-accruing

142,728

138,572

58,102

59,137

8,226

11,466

418,231

Accruing

276,360

281,724

106,001

67,674

16,539

53,291

801,589

Total Exit Credits

419,088

420,296

164,103

126,811

24,765

64,757

1,219,820

1

Action Plan –

Residential Homebuilder

›

Centralized management of Homebuilder portfolio

by experienced real estate lenders

›

Internally focused on continuous risk identification

›

Strengthened and more frequent credit servicing of the portfolio

›

Management of all exit credits by Special Assets

Consumer Real Estate Portfolio -

$38 billion

Subprime Mortgage,

$0.1

Alt A Mortgage,  $2.7

Home Equity 1st Lien,

$6.1

Home Equity 2nd

Lien,  $8.8

Residential Prime

Mortgage,  $14.0

As of March 31, 2008.

Consumer Real Estate Portfolio -

$31.8 billion

$ in billions

Wgtd Avg.

Wgtd Avg.

Outstandings*

LTV

FICO

Home Equity Lending

15,034,850

$    

74%

733

76,946

$    

40%

0.57%

Residential 1st Mortgage

14,019,883

67%

725

175,149

100%

0.21%

Alt-A

2,743,467

72%

711

175,886

100%

0.31%

Total Consumer RE  Portfolio

31,798,200

$    

71%

728

122,882

$  

71%

0.38%

* $ in thousands

Avg. Loan

Size

% in 1st

Lien

1Q Losses

2,000,000

4,000,000

6,000,000

8,000,000

10,000,000

12,000,000

Consumer Real Estate Geographic Breakdown

1

Central consists of Alabama, Georgia, and South Carolina

2

Midsouth

consists of North Carolina, Virginia and Tennessee

3

Midwest consists of Arkansas, Illinois, Indiana, Iowa, Kentucky, Missouri, and Texas

4

Southwest consists of Louisiana and Mississippi

As of March 31, 2008.

($ in thousands)

Outstanding Balances

Central

1

Florida

Midsouth

2

Midwest

Southwest

4

Other

Total

Home Equity

3,434,572

5,025,662

3,064,212

1,652,011

1,596,710

261,684

15,034,850

Resid

First Mortgage

3,374,321

5,067,133

1,427,484

562,829

1,505,893

2,082,224

14,019,884

Alt-A

470,247

1,143,711

354,434

285,856

156,609

332,609

2,743,466

Non-Accruing %

Home Equity

0.04%

0.14%

0.06%

0.07%

0.04%

0.01%

0.08%

Resid

First Mortgage

0.10%

0.30%

0.10%

0.14%

0.36%

0.76%

0.30%

Alt-A

0.21%

0.82%

0.39%

0.70%

0.17%

0.11%

0.52%

3

Example of a Home Equity ‘Value’

Charge-off

If the first mortgage holder forecloses, there is no value left to satisfy our

Home Equity loan.  We must charge off

our balance of $140,000.

At Origination

Today

Appraised Value

1,000,000

$      

600,000

$       

Less:  First Mortgage

600,000

$         

600,000

$       

Equity Remaining

400,000

$         

-

$              

Less:  Home Equity Loan

140,000

$         

140,000

$       

Equity Remaining

260,000

$         

(140,000)

$     

Combined Loan-to-Value

74%

123%

Excellent Loss Experience versus Peers

NOTE:  Industry peers include FITB,  KEY, NCC, STI, USB, WFC, WM

Home Equity

Regions

0.24%

0.31%

0.31%

0.57%

Industry Peers

0.52%

0.67%

1.01%

1.85%

Residential First Mortgage

Regions

0.12%

0.13%

0.18%

0.23%

Industry Peers

0.26%

0.29%

0.80%

1.43%

Net Charge-offs

2Q07

3Q07          4Q07

1Q08

Action Plan –

Home Equity

Underwriting

›

Lending criteria has tightened in line with market conditions.

›

Loan-to-Value on new production is 71% and appraised value is based on

distressed market prices.  As Real Estate markets strengthen the

effective

loan-to-value will reduce.

›

We are a ‘through-the cycle’

lender.  New production since November

2006 has been underwritten to a 15-25 basis point loss range.

Collections

›

Additional staff has been added to ensure appropriate coverage.

›

Obtaining home valuations earlier in the process.  Adjusting collections

approach based on value.

›

Working with customers to keep them in their homes which may include

entering into a forbearance plan, payment deferments or a rewrite of the

loan.

Initiatives to Mitigate Risk

Exited subprime

Shut down Regions Funding

Segmented CRE and Small Business

Shut down International Lending

Focused on centrally managing our Homebuilder portfolio

Key Takeaways

Plain vanilla lender

Portfolios are performing as we expect, except

for Homebuilder, Condominium and Home Equity

portfolios

In the case of Homebuilder, Condominium

and Home Equity portfolios, we have focused

resources to help mitigate the risk of loss and

we are actively working these portfolios