Synchrony Financial (SYF) 8-K Synchrony Financial Reports Fourth Quarter Net Earnings of $783 Million or $1.09 Per Diluted Share

Exhibit 99.2

SYNCHRONY FINANCIAL
FINANCIAL SUMMARY
(unaudited, in millions, except per share statistics)
	Quarter Ended																				Twelve Months Ended
	Dec 31, 2018			Sep 30, 2018			Jun 30, 2018			Mar 31, 2018			Dec 31, 2017			4Q'18 vs. 4Q'17					Dec 31, 2018			Dec 31, 2017			YTD'18 vs. YTD'17
EARNINGS
Net interest income	$	4,333		$	4,206		$	3,737		$	3,842		$	3,916		$	417		10.6	%	$	16,118		$	15,016		$	1,102		7.3	%
Retailer share arrangements	(855		)	(871		)	(653		)	(720		)	(779		)	(76		)	9.8	%	(3,099		)	(2,937		)	(162		)	5.5	%
Net interest income, after retailer share arrangements	3,478			3,335			3,084			3,122			3,137			341			10.9	%	13,019			12,079			940			7.8	%
Provision for loan losses	1,452			1,451			1,280			1,362			1,354			98			7.2	%	5,545			5,296			249			4.7	%
Net interest income, after retailer share arrangements and provision for loan losses	2,026			1,884			1,804			1,760			1,783			243			13.6	%	7,474			6,783			691			10.2	%
Other income	64			63			63			75			62			2			3.2	%	265			288			(23		)	(8.0	)%
Other expense	1,078			1,054			975			988			970			108			11.1	%	4,095			3,747			348			9.3	%
Earnings before provision for income taxes	1,012			893			892			847			875			137			15.7	%	3,644			3,324			320			9.6	%
Provision for income taxes	229			222			196			207			490			(261		)	(53.3	)%	854			1,389			(535		)	(38.5	)%
Net earnings	$	783		$	671		$	696		$	640		$	385		$	398		103.4	%	$	2,790		$	1,935		$	855		44.2	%
Net earnings attributable to common stockholders	$	783		$	671		$	696		$	640		$	385		$	398		103.4	%	$	2,790		$	1,935		$	855		44.2	%
Adjusted net earnings(1)	$	783		$	671		$	696		$	640		$	545		$	238		43.7	%	$	2,790		$	2,095		$	695		33.2	%
COMMON SHARE STATISTICS
Basic EPS	$	1.09		$	0.91		$	0.93		$	0.84		$	0.49		$	0.60		122.4	%	$	3.76		$	2.43		$	1.33		54.7	%
Diluted EPS	$	1.09		$	0.91		$	0.92		$	0.83		$	0.49		$	0.60		122.4	%	$	3.74		$	2.42		$	1.32		54.5	%
Adjusted diluted EPS(1)	$	1.09		$	0.91		$	0.92		$	0.83		$	0.70		$	0.39		55.7	%	$	3.74		$	2.62		$	1.12		42.7	%
Dividend declared per share	$	0.21		$	0.21		$	0.15		$	0.15		$	0.15		$	0.06		40.0	%	$	0.72		$	0.56		$	0.16		28.6	%
Common stock price	$	23.46		$	31.08		$	33.38		$	33.53		$	38.61		$	(15.15	)	(39.2	)%	$	23.46		$	38.61		$	(15.15	)	(39.2	)%
Book value per share	$	20.42		$	19.47		$	19.37		$	18.88		$	18.47		$	1.95		10.6	%	$	20.42		$	18.47		$	1.95		10.6	%
Tangible common equity per share(2)	$	17.41		$	16.51		$	16.84		$	16.55		$	16.22		$	1.19		7.3	%	$	17.41		$	16.22		$	1.19		7.3	%
Beginning common shares outstanding	718.7			746.6			760.3			770.5			782.6			(63.9		)	(8.2	)%	770.5			817.4			(46.9		)	(5.7	)%
Issuance of common shares	—			—			—			—			—			—			—	%	—			—			—			—	%
Stock-based compensation	0.1			2.4			0.3			0.2			0.1			—			—	%	3.0			0.4			2.6			NM
Shares repurchased	—			(30.3		)	(14.0		)	(10.4		)	(12.2		)	12.2			(100.0	)%	(54.7		)	(47.3		)	(7.4		)	15.6	%
Ending common shares outstanding	718.8			718.7			746.6			760.3			770.5			(51.7		)	(6.7	)%	718.8			770.5			(51.7		)	(6.7	)%
Weighted average common shares outstanding	718.7			734.9			752.2			763.7			778.7			(60.0		)	(7.7	)%	742.3			795.6			(53.3		)	(6.7	)%
Weighted average common shares outstanding (fully diluted)	720.9			738.8			758.3			770.3			784.0			(63.1		)	(8.0	)%	746.9			799.7			(52.8		)	(6.6	)%
(1) Adjusted net earnings and Adjusted diluted EPS are non-GAAP measures. These measures represent the corresponding GAAP measure, adjusted to exclude the effects to Provision for income taxes in the quarter ended December 31, 2017, resulting from the Tax Cuts and Jobs Act of 2017 (the “Tax Act”). The effects primarily relate to additional tax expense arising from the remeasurement of our net deferred tax asset to reflect the reduction in the U.S. corporate tax rate from 35% to 21%. For a corresponding reconciliation to a GAAP financial measure, see Reconciliation of Non-GAAP Measures and Calculations of Regulatory Measures.
(2) Tangible Common Equity ("TCE") is a non-GAAP measure. For corresponding reconciliation of TCE to a GAAP financial measure, see Reconciliation of Non-GAAP Measures and Calculations of Regulatory Measures.

1

SYNCHRONY FINANCIAL
SELECTED METRICS
(unaudited, $ in millions, except account data)
	Quarter Ended																				Twelve Months Ended
	Dec 31, 2018			Sep 30, 2018			Jun 30, 2018			Mar 31, 2018			Dec 31, 2017			4Q'18 vs. 4Q'17					Dec 31, 2018			Dec 31, 2017			YTD'18 vs. YTD'17
PERFORMANCE METRICS
Return on assets(1)	2.9		%	2.7		%	2.9		%	2.7		%	1.6		%				1.3	%	2.8		%	2.1		%				0.7	%
Return on equity(2)	21.5		%	18.5		%	19.4		%	18.2		%	10.5		%				11.0	%	19.4		%	13.4		%				6.0	%
Return on tangible common equity(3)	25.2		%	21.5		%	22.1		%	20.7		%	12.0		%				13.2	%	22.4		%	15.3		%				7.1	%
Adjusted return on assets(4)	2.9		%	2.7		%	2.9		%	2.7		%	2.3		%				0.6	%	2.8		%	2.3		%				0.5	%
Adjusted return on equity(4)	21.5		%	18.5		%	19.4		%	18.2		%	14.9		%				6.6	%	19.4		%	14.5		%				4.9	%
Adjusted return on tangible common equity(5)	25.2		%	21.5		%	22.1		%	20.7		%	17.0		%				8.2	%	22.4		%	16.6		%				5.8	%
Net interest margin(6)	16.06		%	16.41		%	15.33		%	16.05		%	16.24		%				(0.18	)%	15.97		%	16.35		%				(0.38	)%
Efficiency ratio(7)	30.4		%	31.0		%	31.0		%	30.9		%	30.3		%				0.1	%	30.8		%	30.3		%				0.5	%
Other expense as a % of average loan receivables, including held for sale	4.79		%	4.82		%	5.02		%	5.07		%	4.91		%				(0.12	)%	4.92		%	4.95		%				(0.03	)%
Effective income tax rate	22.6		%	24.9		%	22.0		%	24.4		%	56.0		%				(33.4	)%	23.4		%	41.8		%				(18.4	)%
CREDIT QUALITY METRICS
Net charge-offs as a % of average loan receivables, including held for sale	5.54		%	4.97		%	5.97		%	6.14		%	5.78		%				(0.24	)%	5.63		%	5.37		%				0.26	%
30+ days past due as a % of period-end loan receivables(8)	4.76		%	4.59		%	4.17		%	4.52		%	4.67		%				0.09	%	4.76		%	4.67		%				0.09	%
90+ days past due as a % of period-end loan receivables(8)	2.29		%	2.09		%	1.98		%	2.28		%	2.28		%				0.01	%	2.29		%	2.28		%				0.01	%
Net charge-offs	$	1,248		$	1,087		$	1,159		$	1,198		$	1,141		$	107		9.4	%	$	4,692		$	4,066		$	626		15.4	%
Loan receivables delinquent over 30 days(8)	$	4,430		$	4,021		$	3,293		$	3,521		$	3,831		$	599		15.6	%	$	4,430		$	3,831		$	599		15.6	%
Loan receivables delinquent over 90 days(8)	$	2,135		$	1,833		$	1,561		$	1,776		$	1,869		$	266		14.2	%	$	2,135		$	1,869		$	266		14.2	%
Allowance for loan losses (period-end)	$	6,427		$	6,223		$	5,859		$	5,738		$	5,574		$	853		15.3	%	$	6,427		$	5,574		$	853		15.3	%
Allowance coverage ratio(9)	6.90		%	7.11		%	7.43		%	7.37		%	6.80		%				0.10	%	6.90		%	6.80		%				0.10	%
BUSINESS METRICS
Purchase volume(10)	$	40,320		$	36,443		$	34,268		$	29,626		$	36,565		$	3,755		10.3	%	$	140,657		$	131,814		$	8,843		6.7	%
Period-end loan receivables	$	93,139		$	87,521		$	78,879		$	77,853		$	81,947		$	11,192		13.7	%	$	93,139		$	81,947		$	11,192		13.7	%
Credit cards	$	89,994		$	84,319		$	75,753		$	74,952		$	79,026		$	10,968		13.9	%	$	89,994		$	79,026		$	10,968		13.9	%
Consumer installment loans	$	1,845		$	1,789		$	1,708		$	1,590		$	1,578		$	267		16.9	%	$	1,845		$	1,578		$	267		16.9	%
Commercial credit products	$	1,260		$	1,353		$	1,356		$	1,275		$	1,303		$	(43	)	(3.3	)%	$	1,260		$	1,303		$	(43	)	(3.3	)%
Other	$	40		$	60		$	62		$	36		$	40		$	—		—	%	$	40		$	40		$	—		—	%
Average loan receivables, including held for sale	$	89,340		$	86,783		$	77,853		$	79,090		$	78,369		$	10,971		14.0	%	$	83,304		$	75,702		$	7,602		10.0	%
Period-end active accounts (in thousands)(11)	80,339			75,457			69,767			68,891			74,541			5,798			7.8	%	80,339			74,541			5,798			7.8	%
Average active accounts (in thousands)(11)	77,382			75,482			69,344			71,323			71,348			6,034			8.5	%	73,847			69,968			3,879			5.5	%
LIQUIDITY
Liquid assets
Cash and equivalents	$	9,396		$	12,068		$	15,675		$	13,044		$	11,602		$	(2,206	)	(19.0	)%	$	9,396		$	11,602		$	(2,206	)	(19.0	)%
Total liquid assets	$	14,822		$	18,214		$	21,491		$	18,557		$	15,087		$	(265	)	(1.8	)%	$	14,822		$	15,087		$	(265	)	(1.8	)%
Undrawn credit facilities
Undrawn credit facilities	$	4,375		$	5,125		$	6,500		$	6,000		$	6,000		$	(1,625	)	(27.1	)%	$	4,375		$	6,000		$	(1,625	)	(27.1	)%
Total liquid assets and undrawn credit facilities	$	19,197		$	23,339		$	27,991		$	24,557		$	21,087		$	(1,890	)	(9.0	)%	$	19,197		$	21,087		$	(1,890	)	(9.0	)%
Liquid assets % of total assets	13.88		%	17.42		%	21.68		%	19.42		%	15.75		%				(1.87	)%	13.88		%	15.75		%				(1.87	)%
Liquid assets including undrawn credit facilities % of total assets	17.98		%	22.32		%	28.24		%	25.70		%	22.01		%				(4.03	)%	17.98		%	22.01		%				(4.03	)%
(1) Return on assets represents net earnings as a percentage of average total assets.
(2) Return on equity represents net earnings as a percentage of average total equity.
(3) Return on tangible common equity represents net earnings as a percentage of average tangible common equity. Tangible common equity ("TCE") is a non-GAAP measure. For corresponding reconciliation of TCE to a GAAP financial measure, see Reconciliation of Non-GAAP Measures and Calculations of Regulatory Measures.
(4) Adjusted return on assets represents Adjusted net earnings as a percentage of average total assets. Adjusted return on equity represents Adjusted net earnings as a percentage of average total equity. Adjusted net earnings is a non-GAAP measure. For a corresponding reconciliation of Adjusted net earnings to a GAAP financial measure, see Reconciliation of Non-GAAP Measures and Calculations of Regulatory Measures.
(5) Adjusted return on tangible common equity represents Adjusted net earnings as a percentage of average tangible common equity. Both Adjusted net earnings and tangible common equity are non-GAAP measures. For corresponding reconciliations to a GAAP financial measure, see Reconciliation of Non-GAAP Measures and Calculations of Regulatory Measures.
(6) Net interest margin represents net interest income divided by average interest-earning assets.
(7) Efficiency ratio represents (i) other expense, divided by (ii) net interest income, after retailer share arrangements, plus other income.
(8) Based on customer statement-end balances extrapolated to the respective period-end date.
(9) Allowance coverage ratio represents allowance for loan losses divided by total period-end loan receivables.
(10) Purchase volume, or net credit sales, represents the aggregate amount of charges incurred on credit cards or other credit product accounts less returns during the period.
(11) Active accounts represent credit card or installment loan accounts on which there has been a purchase, payment or outstanding balance in the current month.

2

SYNCHRONY FINANCIAL
STATEMENTS OF EARNINGS
(unaudited, $ in millions)
	Quarter Ended																				Twelve Months Ended
	Dec 31, 2018			Sep 30, 2018			Jun 30, 2018			Mar 31, 2018			Dec 31, 2017			4Q'18 vs. 4Q'17					Dec 31, 2018			Dec 31, 2017			YTD'18 vs. YTD'17
Interest income:
Interest and fees on loans	$	4,774		$	4,617		$	4,081		$	4,172		$	4,233		$	541		12.8	%	$	17,644		$	16,219		$	1,425		8.8	%
Interest on investment securities	102			77			93			72			58			44			75.9	%	344			188			156			83.0	%
Total interest income	4,876			4,694			4,174			4,244			4,291			585			13.6	%	17,988			16,407			1,581			9.6	%
Interest expense:
Interest on deposits	350			314			273			249			233			117			50.2	%	1,186			848			338			39.9	%
Interest on borrowings of consolidated securitization entities	104			86			80			74			70			34			48.6	%	344			263			81			30.8	%
Interest on third-party debt	89			88			84			79			72			17			23.6	%	340			280			60			21.4	%
Total interest expense	543			488			437			402			375			168			44.8	%	1,870			1,391			479			34.4	%
Net interest income	4,333			4,206			3,737			3,842			3,916			417			10.6	%	16,118			15,016			1,102			7.3	%
Retailer share arrangements	(855		)	(871		)	(653		)	(720		)	(779		)	(76		)	9.8	%	(3,099		)	(2,937		)	(162		)	5.5	%
Net interest income, after retailer share arrangements	3,478			3,335			3,084			3,122			3,137			341			10.9	%	13,019			12,079			940			7.8	%
Provision for loan losses	1,452			1,451			1,280			1,362			1,354			98			7.2	%	5,545			5,296			249			4.7	%
Net interest income, after retailer share arrangements and provision for loan losses	2,026			1,884			1,804			1,760			1,783			243			13.6	%	7,474			6,783			691			10.2	%
Other income:
Interchange revenue	193			182			177			158			179			14			7.8	%	710			653			57			8.7	%
Debt cancellation fees	70			65			66			66			69			1			1.4	%	267			272			(5		)	(1.8	)%
Loyalty programs	(208		)	(196		)	(192		)	(155		)	(193		)	(15		)	7.8	%	(751		)	(704		)	(47		)	6.7	%
Other	9			12			12			6			7			2			28.6	%	39			67			(28		)	(41.8	)%
Total other income	64			63			63			75			62			2			3.2	%	265			288			(23		)	(8.0	)%
Other expense:
Employee costs(1)	353			365			351			358			330			23			7.0	%	1,427			1,304			123			9.4	%
Professional fees	231			232			177			166			159			72			45.3	%	806			629			177			28.1	%
Marketing and business development	166			131			110			121			156			10			6.4	%	528			498			30			6.0	%
Information processing	118			105			99			104			99			19			19.2	%	426			373			53			14.2	%
Other(1)	210			221			238			239			226			(16		)	(7.1	)%	908			943			(35		)	(3.7	)%
Total other expense	1,078			1,054			975			988			970			108			11.1	%	4,095			3,747			348			9.3	%
Earnings before provision for income taxes	1,012			893			892			847			875			137			15.7	%	3,644			3,324			320			9.6	%
Provision for income taxes	229			222			196			207			490			(261		)	(53.3	)%	854			1,389			(535		)	(38.5	)%
Net earnings attributable to common stockholders	$	783		$	671		$	696		$	640		$	385		$	398		103.4	%	$	2,790		$	1,935		$	855		44.2	%
(1) We have reclassified certain amounts within Employee costs to Other for all periods in 2017 to conform to the current period classifications.

3

SYNCHRONY FINANCIAL
STATEMENTS OF FINANCIAL POSITION
(unaudited, $ in millions)
	Quarter Ended
	Dec 31, 2018			Sep 30, 2018			Jun 30, 2018			Mar 31, 2018			Dec 31, 2017			Dec 31, 2018 vs. Dec 31, 2017
Assets
Cash and equivalents	$	9,396		$	12,068		$	15,675		$	13,044		$	11,602		$	(2,206	)	(19.0	)%
Debt securities	6,062			7,281			6,779			6,259			4,473			1,589			35.5	%
Loan receivables:
Unsecuritized loans held for investment	64,969			59,868			50,884			52,469			55,526			9,443			17.0	%
Restricted loans of consolidated securitization entities	28,170			27,653			27,995			25,384			26,421			1,749			6.6	%
Total loan receivables	93,139			87,521			78,879			77,853			81,947			11,192			13.7	%
Less: Allowance for loan losses	(6,427		)	(6,223		)	(5,859		)	(5,738		)	(5,574		)	(853		)	15.3	%
Loan receivables, net	86,712			81,298			73,020			72,115			76,373			10,339			13.5	%
Goodwill	1,024			1,024			1,024			991			991			33			3.3	%
Intangible assets, net	1,137			1,105			863			780			749			388			51.8	%
Other assets	2,461			1,769			1,761			2,370			1,620			841			51.9	%
Total assets	$	106,792		$	104,545		$	99,122		$	95,559		$	95,808		$	10,984		11.5	%
Liabilities and Equity
Deposits:
Interest-bearing deposit accounts	$	63,738		$	62,030		$	58,734		$	56,285		$	56,276		$	7,462		13.3	%
Non-interest-bearing deposit accounts	281			287			277			285			212			69			32.5	%
Total deposits	64,019			62,317			59,011			56,570			56,488			7,531			13.3	%
Borrowings:
Borrowings of consolidated securitization entities	14,439			14,187			12,170			12,214			12,497			1,942			15.5	%
Senior unsecured notes	9,557			9,554			9,551			8,801			8,302			1,255			15.1	%
Total borrowings	23,996			23,741			21,721			21,015			20,799			3,197			15.4	%
Accrued expenses and other liabilities	4,099			4,491			3,932			3,618			4,287			(188		)	(4.4	)%
Total liabilities	92,114			90,549			84,664			81,203			81,574			10,540			12.9	%
Equity:
Common stock	1			1			1			1			1			—			—	%
Additional paid-in capital	9,482			9,470			9,486			9,470			9,445			37			0.4	%
Retained earnings	8,986			8,355			7,906			7,334			6,809			2,177			32.0	%
Accumulated other comprehensive income	(62		)	(99		)	(93		)	(86		)	(64		)	2			(3.1	)%
Treasury Stock	(3,729		)	(3,731		)	(2,842		)	(2,363		)	(1,957		)	(1,772		)	90.5	%
Total equity	14,678			13,996			14,458			14,356			14,234			444			3.1	%
Total liabilities and equity	$	106,792		$	104,545		$	99,122		$	95,559		$	95,808		$	10,984		11.5	%

4

SYNCHRONY FINANCIAL
AVERAGE BALANCES, NET INTEREST INCOME AND NET INTEREST MARGIN
(unaudited, $ in millions)
	Quarter Ended
	Dec 31, 2018							Sep 30, 2018							Jun 30, 2018							Mar 31, 2018							Dec 31, 2017
				Interest		Average					Interest		Average					Interest		Average					Interest		Average					Interest		Average
	Average			Income/		Yield/		Average			Income/		Yield/		Average			Income/		Yield/		Average			Income/		Yield/		Average			Income/		Yield/
	Balance			Expense		Rate		Balance			Expense		Rate		Balance			Expense		Rate		Balance			Expense		Rate		Balance			Expense		Rate
Assets
Interest-earning assets:
Interest-earning cash and equivalents	$	10,856		$	62	2.27	%	$	7,901		$	39	1.96	%	$	13,097		$	59	1.81	%	$	12,434		$	47	1.53	%	$	13,591		$	43	1.26	%
Securities available for sale	6,837			40		2.32	%	7,022			38		2.15	%	6,803			34		2.00	%	5,584			25		1.82	%	3,725			15		1.60	%
Loan receivables:
Credit cards, including held for sale	86,131			4,695		21.63	%	83,609			4,538		21.53	%	74,809			4,010		21.50	%	76,181			4,099		21.82	%	75,389			4,161		21.90	%
Consumer installment loans	1,815			42		9.18	%	1,753			41		9.28	%	1,648			37		9.01	%	1,572			36		9.29	%	1,568			36		9.11	%
Commercial credit products	1,344			37		10.92	%	1,355			37		10.83	%	1,346			34		10.13	%	1,286			36		11.35	%	1,375			35		10.10	%
Other	50			—		—	%	66			1		NM		50			—		—	%	51			1		NM		37			1		NM
Total loan receivables, including held for sale	89,340			4,774		21.20	%	86,783			4,617		21.11	%	77,853			4,081		21.03	%	79,090			4,172		21.39	%	78,369			4,233		21.43	%
Total interest-earning assets	107,033			4,876		18.07	%	101,706			4,694		18.31	%	97,753			4,174		17.13	%	97,108			4,244		17.72	%	95,685			4,291		17.79	%
Non-interest-earning assets:
Cash and due from banks	1,320							1,217							1,161							1,197							1,037
Allowance for loan losses	(6,259		)					(5,956		)					(5,768		)					(5,608		)					(5,443		)
Other assets	3,688							3,482							3,068							3,010							3,219
Total non-interest-earning assets	(1,251		)					(1,257		)					(1,539		)					(1,401		)					(1,187		)
Total assets	$	105,782						$	100,449						$	96,214						$	95,707						$	94,498
Liabilities
Interest-bearing liabilities:
Interest-bearing deposit accounts	$	62,999		$	350	2.20	%	$	60,123		$	314	2.07	%	$	57,303		$	273	1.91	%	$	56,356		$	249	1.79	%	$	55,690		$	233	1.66	%
Borrowings of consolidated securitization entities	14,223			104		2.90	%	12,306			86		2.77	%	11,821			80		2.71	%	12,410			74		2.42	%	12,425			70		2.24	%
Senior unsecured notes	9,554			89		3.70	%	9,552			88		3.66	%	9,114			84		3.70	%	8,795			79		3.64	%	7,940			72		3.60	%
Total interest-bearing liabilities	86,776			543		2.48	%	81,981			488		2.36	%	78,238			437		2.24	%	77,561			402		2.10	%	76,055			375		1.96	%
Non-interest-bearing liabilities
Non-interest-bearing deposit accounts	284							275							270							300							218
Other liabilities	4,283							3,772							3,299							3,570							3,716
Total non-interest-bearing liabilities	4,567							4,047							3,569							3,870							3,934
Total liabilities	91,343							86,028							81,807							81,431							79,989
Equity
Total equity	14,439							14,421							14,407							14,276							14,509
Total liabilities and equity	$	105,782						$	100,449						$	96,214						$	95,707						$	94,498
Net interest income				$	4,333						$	4,206						$	3,737						$	3,842						$	3,916
Interest rate spread(1)						15.59	%						15.95	%						14.89	%						15.62	%						15.83	%
Net interest margin(2)						16.06	%						16.41	%						15.33	%						16.05	%						16.24	%
(1) Interest rate spread represents the difference between the yield on total interest-earning assets and the rate on total interest-bearing liabilities.
(2) Net interest margin represents net interest income divided by average interest-earning assets.

5

SYNCHRONY FINANCIAL
AVERAGE BALANCES, NET INTEREST INCOME AND NET INTEREST MARGIN
(unaudited, $ in millions)
	Twelve Months Ended Dec 31, 2018							Twelve Months Ended Dec 31, 2017
				Interest		Average					Interest		Average
	Average			Income/		Yield/		Average			Income/		Yield/
	Balance			Expense		Rate		Balance			Expense		Rate
Assets
Interest-earning assets:
Interest-earning cash and equivalents	$	11,059		$	207	1.87	%	$	11,707		$	129	1.10	%
Securities available for sale	6,566			137		2.09	%	4,449			59		1.33	%
Loan receivables:
Credit cards, including held for sale	80,219			17,342		21.62	%	72,795			15,941		21.90	%
Consumer installment loans	1,698			156		9.19	%	1,491			137		9.19	%
Commercial credit products	1,333			144		10.80	%	1,366			139		10.18	%
Other	54			2		3.70	%	50			2		4.00	%
Total loan receivables, including held for sale	83,304			17,644		21.18	%	75,702			16,219		21.42	%
Total interest-earning assets	100,929			17,988		17.82	%	91,858			16,407		17.86	%
Non-interest-earning assets:
Cash and due from banks	1,224							887
Allowance for loan losses	(5,900		)					(4,942		)
Other assets	3,315							3,304
Total non-interest-earning assets	(1,361		)					(751		)
Total assets	$	99,568						$	91,107
Liabilities
Interest-bearing liabilities:
Interest-bearing deposit accounts	$	59,216		$	1,186	2.00	%	$	53,173		$	848	1.59	%
Borrowings of consolidated securitization entities	12,694			344		2.71	%	12,179			263		2.16	%
Senior unsecured notes	9,257			340		3.67	%	7,972			280		3.51	%
Total interest-bearing liabilities	81,167			1,870		2.30	%	73,324			1,391		1.90	%
Non-interest-bearing liabilities
Non-interest-bearing deposit accounts	282							227
Other liabilities	3,733							3,129
Total non-interest-bearing liabilities	4,015							3,356
Total liabilities	85,182							76,680
Equity
Total equity	14,386							14,427
Total liabilities and equity	$	99,568						$	91,107
Net interest income				$	16,118						$	15,016
Interest rate spread(1)						15.52	%						15.96	%
Net interest margin(2)						15.97	%						16.35	%
(1) Interest rate spread represents the difference between the yield on total interest-earning assets and the rate on total interest-bearing liabilities.
(2) Net interest margin represents net interest income divided by average interest-earning assets.

6

SYNCHRONY FINANCIAL
BALANCE SHEET STATISTICS
(unaudited, $ in millions, except per share statistics)
	Quarter Ended
	Dec 31, 2018			Sep 30, 2018			Jun 30, 2018			Mar 31, 2018			Dec 31, 2017			Dec 31, 2018 vs. Dec 31, 2017
BALANCE SHEET STATISTICS
Total common equity	$	14,678		$	13,996		$	14,458		$	14,356		$	14,234		$	444	3.1	%
Total common equity as a % of total assets	13.74		%	13.39		%	14.59		%	15.02		%	14.86		%			(1.12	)%
Tangible assets	$	104,631		$	102,416		$	97,235		$	93,788		$	94,068		$	10,563	11.2	%
Tangible common equity(1)	$	12,517		$	11,867		$	12,571		$	12,585		$	12,494		$	23	0.2	%
Tangible common equity as a % of tangible assets(1)	11.96		%	11.59		%	12.93		%	13.42		%	13.28		%			(1.32	)%
Tangible common equity per share(1)	$	17.41		$	16.51		$	16.84		$	16.55		$	16.22		$	1.19	7.3	%
REGULATORY CAPITAL RATIOS(2)
	Basel III Transition(3)												Basel III Transition
Total risk-based capital ratio(4)	15.3		%	15.5		%	18.0		%	18.1		%	17.3		%
Tier 1 risk-based capital ratio(5)	14.0		%	14.2		%	16.6		%	16.8		%	16.0		%
Tier 1 leverage ratio(6)	12.3		%	12.3		%	13.6		%	13.7		%	13.8		%
Common equity Tier 1 capital ratio	14.0		%	14.2		%	16.6		%	16.8		%	16.0		%
	Basel III Fully Phased-in
Common equity Tier 1 capital ratio	14.0		%	14.2		%	16.6		%	16.8		%	15.8		%
(1) Tangible common equity ("TCE") is a non-GAAP measure. We believe TCE is a more meaningful measure of the net asset value of the Company to investors. For corresponding reconciliation of TCE to a GAAP financial measure, see Reconciliation of Non-GAAP Measures and Calculations of Regulatory Measures.
(2) Regulatory capital metrics at December 31, 2018 are preliminary and therefore subject to change.
(3) Amounts presented do not reflect certain modifications to the regulatory capital rules proposed by the federal banking agencies in September 2017, which among other things, may increase the risk weighting of certain deferred tax assets from 100% to 250% if the proposed rule becomes effective.
(4) Total risk-based capital ratio is the ratio of total risk-based capital divided by risk-weighted assets.
(5) Tier 1 risk-based capital ratio is the ratio of Tier 1 capital divided by risk-weighted assets.
(6) Tier 1 leverage ratio is the ratio of Tier 1 capital divided by total average assets, after certain adjustments. Tier 1 leverage ratios are based upon the use of daily averages for all periods presented.

7

SYNCHRONY FINANCIAL
PLATFORM RESULTS
(unaudited, $ in millions)
	Quarter Ended																				Twelve Months Ended
	Dec 31, 2018			Sep 30, 2018			Jun 30, 2018			Mar 31, 2018			Dec 31, 2017			4Q'18 vs. 4Q'17					Dec 31, 2018			Dec 31, 2017			YTD'18 vs. YTD'17
RETAIL CARD
Purchase volume(1)(2)	$	33,080		$	29,264		$	27,340		$	23,382		$	29,839		$	3,241		10.9	%	$	113,066		$	106,239		$	6,827		6.4	%
Period-end loan receivables	$	65,224		$	60,564		$	52,918		$	52,531		$	56,230		$	8,994		16.0	%	$	65,224		$	56,230		$	8,994		16.0	%
Average loan receivables, including held for sale	$	62,006		$	60,389		$	52,427		$	53,673		$	53,256		$	8,750		16.4	%	$	57,155		$	51,570		$	5,585		10.8	%
Average active accounts (in thousands)(2)(3)	61,275			59,846			54,092			55,927			56,113			5,162			9.2	%	58,223			55,142			3,081			5.6	%
Interest and fees on loans(2)	$	3,583		$	3,465		$	2,993		$	3,096		$	3,133		$	450		14.4	%	$	13,137		$	12,023		$	1,114		9.3	%
Other income(2)	$	55		$	51		$	48		$	65		$	49		$	6		12.2	%	$	219		$	212		$	7		3.3	%
Retailer share arrangements(2)	$	(835	)	$	(851	)	$	(644	)	$	(714	)	$	(771	)	$	(64	)	8.3	%	$	(3,044	)	$	(2,904	)	$	(140	)	4.8	%
PAYMENT SOLUTIONS
Purchase volume(1)	$	4,710		$	4,606		$	4,288		$	3,823		$	4,366		$	344		7.9	%	$	17,427		$	16,160		$	1,267		7.8	%
Period-end loan receivables	$	18,418		$	17,639		$	16,875		$	16,513		$	16,857		$	1,561		9.3	%	$	18,418		$	16,857		$	1,561		9.3	%
Average loan receivables	$	17,931		$	17,234		$	16,562		$	16,629		$	16,386		$	1,545		9.4	%	$	17,093		$	15,752		$	1,341		8.5	%
Average active accounts (in thousands)(3)	10,037			9,675			9,433			9,545			9,421			616			6.5	%	9,692			9,192			500			5.4	%
Interest and fees on loans	$	627		$	601		$	566		$	562		$	574		$	53		9.2	%	$	2,356		$	2,181		$	175		8.0	%
Other income	$	2		$	4		$	4		$	2		$	2		$	—		—	%	$	12		$	14		$	(2	)	(14.3	)%
Retailer share arrangements	$	(15	)	$	(17	)	$	(7	)	$	(4	)	$	(5	)	$	(10	)	NM		$	(43	)	$	(24	)	$	(19	)	79.2	%
CARECREDIT
Purchase volume(1)	$	2,530		$	2,573		$	2,640		$	2,421		$	2,360		$	170		7.2	%	$	10,164		$	9,415		$	749		8.0	%
Period-end loan receivables	$	9,497		$	9,318		$	9,086		$	8,809		$	8,860		$	637		7.2	%	$	9,497		$	8,860		$	637		7.2	%
Average loan receivables	$	9,403		$	9,160		$	8,864		$	8,788		$	8,727		$	676		7.7	%	$	9,056		$	8,380		$	676		8.1	%
Average active accounts (in thousands)(3)	6,070			5,961			5,819			5,851			5,814			256			4.4	%	5,932			5,634			298			5.3	%
Interest and fees on loans	$	564		$	551		$	522		$	514		$	526		$	38		7.2	%	$	2,151		$	2,015		$	136		6.7	%
Other income	$	7		$	8		$	11		$	8		$	11		$	(4	)	(36.4	)%	$	34		$	62		$	(28	)	(45.2	)%
Retailer share arrangements	$	(5	)	$	(3	)	$	(2	)	$	(2	)	$	(3	)	$	(2	)	66.7	%	$	(12	)	$	(9	)	$	(3	)	33.3	%
TOTAL SYF
Purchase volume(1)(2)	$	40,320		$	36,443		$	34,268		$	29,626		$	36,565		$	3,755		10.3	%	$	140,657		$	131,814		$	8,843		6.7	%
Period-end loan receivables	$	93,139		$	87,521		$	78,879		$	77,853		$	81,947		$	11,192		13.7	%	$	93,139		$	81,947		$	11,192		13.7	%
Average loan receivables, including held for sale	$	89,340		$	86,783		$	77,853		$	79,090		$	78,369		$	10,971		14.0	%	$	83,304		$	75,702		$	7,602		10.0	%
Average active accounts (in thousands)(2)(3)	77,382			75,482			69,344			71,323			71,348			6,034			8.5	%	73,847			69,968			3,879			5.5	%
Interest and fees on loans(2)	$	4,774		$	4,617		$	4,081		$	4,172		$	4,233		$	541		12.8	%	$	17,644		$	16,219		$	1,425		8.8	%
Other income(2)	$	64		$	63		$	63		$	75		$	62		$	2		3.2	%	$	265		$	288		$	(23	)	(8.0	)%
Retailer share arrangements(2)	$	(855	)	$	(871	)	$	(653	)	$	(720	)	$	(779	)	$	(76	)	9.8	%	$	(3,099	)	$	(2,937	)	$	(162	)	5.5	%
(1) Purchase volume, or net credit sales, represents the aggregate amount of charges incurred on credit cards or other credit product accounts less returns during the period.
(2) Includes activity and balances associated with loan receivables held for sale.
(3) Active accounts represent credit card or installment loan accounts on which there has been a purchase, payment or outstanding balance in the current month.

8

SYNCHRONY FINANCIAL
RECONCILIATION OF NON-GAAP MEASURES AND CALCULATIONS OF REGULATORY MEASURES(1)
(unaudited, $ in millions, except per share statistics)
	Quarter Ended															Twelve Months Ended
	Dec 31, 2018			Sep 30, 2018			Jun 30, 2018			Mar 31, 2018			Dec 31, 2017			Dec 31, 2017
COMMON EQUITY MEASURES
GAAP Total common equity	$	14,678		$	13,996		$	14,458		$	14,356		$	14,234
Less: Goodwill	(1,024		)	(1,024		)	(1,024		)	(991		)	(991		)
Less: Intangible assets, net	(1,137		)	(1,105		)	(863		)	(780		)	(749		)
Tangible common equity	$	12,517		$	11,867		$	12,571		$	12,585		$	12,494
Adjustments for certain deferred tax liabilities and certain items in accumulated comprehensive income (loss)	284			311			287			278			254
Basel III - Common equity Tier 1 (fully phased-in)	$	12,801		$	12,178		$	12,858		$	12,863		$	12,748
Adjustment related to capital components during transition													142
Basel III - Common equity Tier 1 (transition)													$	12,890
RISK-BASED CAPITAL
Common equity Tier 1	$	12,801		$	12,178		$	12,858		$	12,863		$	12,890
Add: Allowance for loan losses includible in risk-based capital	1,211			1,137			1,027			1,015			1,064
Risk-based capital	$	14,012		$	13,315		$	13,885		$	13,878		$	13,954
ASSET MEASURES
Total average assets	$	105,782		$	100,449		$	96,214		$	95,707		$	94,498
Adjustments for:
Disallowed goodwill and other disallowed intangible assets (net of related deferred tax liabilities) and other	(1,845		)	(1,836		)	(1,670		)	(1,560		)	(1,392		)
Total assets for leverage purposes	$	103,937		$	98,613		$	94,544		$	94,147		$	93,106
Risk-weighted assets - Basel III (fully phased-in)	$	91,725		$	85,941		$	77,322		$	76,509		$	80,526
Risk-weighted assets - Basel III (transition)													$	80,669
TANGIBLE COMMON EQUITY PER SHARE
GAAP book value per share	$	20.42		$	19.47		$	19.37		$	18.88		$	18.47
Less: Goodwill	(1.42		)	(1.42		)	(1.37		)	(1.30		)	(1.29		)
Less: Intangible assets, net	(1.59		)	(1.54		)	(1.16		)	(1.03		)	(0.96		)
Tangible common equity per share	$	17.41		$	16.51		$	16.84		$	16.55		$	16.22
ADJUSTED NET EARNINGS
GAAP net earnings	$	783		$	671		$	696		$	640		$	385		$	1,935
Adjustment for tax law change(2)	—			—			—			—			160			160
Adjusted net earnings	$	783		$	671		$	696		$	640		$	545		$	2,095
ADJUSTED DILUTED EPS
GAAP diluted EPS	$	1.09		$	0.91		$	0.92		$	0.83		$	0.49		$	2.42
Adjustment for tax law change(2)	—			—			—			—			0.21			0.20
Adjusted diluted EPS	$	1.09		$	0.91		$	0.92		$	0.83		$	0.70		$	2.62
(1) Regulatory measures at December 31, 2018 are presented on an estimated basis.
(2) Adjustment to exclude the effects to Provision for income taxes in the quarter ended December 31, 2017, resulting from the Tax Act.

9