Synovus Financial (SNV) 8-K Synovus Announces Earnings for the Third Quarter 2019

Synovus								Exhibit 99.2
	INCOME STATEMENT DATA
	(Unaudited)	Nine Months Ended
	(Dollars in thousands, except per share data)	September 30,
		2019			2018			% Change
	Interest income	$	1,544,385		$	986,911		56.5	%
	Interest expense	347,850			136,431			155.0
	Net interest income	1,196,535			850,480			40.7
	Provision for loan losses	63,250			39,548			59.9
	Net interest income after provision for loan losses	1,133,285			810,932			39.8
	Non-interest income:
	Service charges on deposit accounts	65,805			60,521			8.7
	Fiduciary and asset management fees	42,743			40,881			4.6
	Card fees	34,334			31,640			8.5
	Brokerage revenue	30,502			26,125			16.8
	Mortgage banking income	23,313			15,177			53.6
	Capital markets income	21,557			3,826			463.4
	Income from bank-owned life insurance	15,605			11,720			33.1
	Investment securities losses, net	(5,502		)	(1,296		)	nm
	Gain on sale and fair value increase/(decrease) of private equity     investments	3,507			(2,659		)	nm
	Other non-interest income	26,081			26,166			(0.3	)
	Total non-interest income	257,945			212,101			21.6
	Non-interest expense:
	Salaries and other personnel expense	424,952			339,924			25.0
	Net occupancy and equipment expense	119,262			96,222			23.9
	Third-party processing expense	55,403			43,822			26.4
	Professional fees	25,379			18,087			40.3
	FDIC insurance and other regulatory fees	21,872			19,765			10.7
	Advertising expense	16,996			14,046			21.0
	Amortization of intangibles	8,702			875			nm
	Merger-related expense	57,493			6,684			nm
	Earnout liability adjustments	10,457			11,652			(10.3	)
	Loss on early extinguishment of debt, net	4,592			—			nm
	Valuation adjustment to Visa derivative	2,500			2,328			7.4
	Other operating expenses	85,239			66,126			28.9
	Total non-interest expense	832,847			619,531			34.4
	Income before income taxes	558,383			403,502			38.4
	Income tax expense	146,287			80,095			82.6
	Net income	412,096			323,407			27.4
	Less: Preferred stock dividends and redemption charge	14,591			14,848			(1.7	)
	Net income available to common shareholders	$	397,505		$	308,559		28.8	%
	Net income per common share, basic	2.53			2.61			(3.0	)%
	Net income per common share, diluted	2.51			2.60			(3.5	)
	Cash dividends declared per common share	0.90			0.75			20.0
	Return on average assets*	1.18		%	1.37			(19	)bps
	Return on average common equity*	12.09			14.65			(256	)
	Weighted average common shares outstanding, basic	156,819			118,096			32.8	%
	Weighted average common shares outstanding, diluted	158,595			118,847			33.4
	nm - not meaningful
	bps - basis points
	* - ratios are annualized

Synovus
	INCOME STATEMENT DATA
	(Unaudited)
	(Dollars in thousands, except per share data)	2019						2018			Third Quarter
		Third Quarter			Second Quarter		First Quarter	Fourth Quarter		Third Quarter	'19 vs '18
											% Change
	Interest income	$	523,415		516,131		504,839	357,394		343,942	52.2	%
	Interest expense	121,318			118,869		107,664	59,461		52,323	131.9
	Net interest income	402,097			397,262		397,175	297,933		291,619	37.9
	Provision for loan losses	27,562			12,119		23,569	12,148		14,982	84.0
	Net interest income after provision for loan losses	374,535			385,143		373,606	285,785		276,637	35.4
	Non-interest income:
	Service charges on deposit accounts	22,952			21,994		20,859	20,320		20,582	11.5
	Fiduciary and asset management fees	14,686			14,478		13,578	13,805		13,462	9.1
	Card fees	12,297			11,161		10,877	10,862		10,608	15.9
	Brokerage revenue	11,071			10,052		9,379	9,241		9,041	22.5
	Mortgage banking income	10,351			7,907		5,054	3,781		5,290	95.7
	Capital markets income	7,396			8,916		5,245	1,977		1,155	540.3
	Income from bank-owned life insurance	5,139			5,176		5,290	3,682		3,771	36.3
	Investment securities (losses)/gains, net	(3,731		)	(1,845	)	75	—		—	nm
	Gain on sale and fair value increase/(decrease) of private equity investments	1,194			1,455		858	(2,084	)	434	nm
	Other non-interest income	7,405			10,513		8,163	6,407		7,325	1.1
	Total non-interest income	88,760			89,807		79,378	67,991		71,668	23.8
	Non-interest expense:
	Salaries and other personnel expense	142,516			143,009		139,427	113,496		114,341	24.6
	Net occupancy and equipment expense	41,017			39,851		38,394	34,260		32,088	27.8
	Third-party processing expense	18,528			19,118		17,758	14,803		14,810	25.1
	Professional Fees	9,719			9,312		6,348	8,650		6,298	54.3
	FDIC insurance and other regulatory fees	7,242			7,867		6,761	4,728		6,430	12.6
	Advertising expense	5,950			5,923		5,123	6,834		3,735	59.3
	Amortization of intangibles	2,901			2,410		3,392	292		292	nm
	Merger-related expense	353			7,401		49,738	3,381		6,684	nm
	Earnout liability adjustments	10,457			—		—	—		11,652	(10.3	)
	Loss on early extinguishment of debt, net	4,592			—		—	—		—	nm
	Valuation adjustment to Visa derivative	2,500			—		—	—		—	nm
	Other operating expenses	30,535			29,235		25,469	23,478		23,967	27.4
	Total non-interest expense	276,310			264,126		292,410	209,922		220,297	25.4
	Income before income taxes	186,985			210,824		160,574	143,854		128,008	46.1
	Income tax expense	51,259			54,640		40,388	38,784		18,949	170.5
	Net income	135,726			156,184		120,186	105,070		109,059	24.5
	Less: Preferred stock dividends and redemption charge	8,291			3,150		3,150	3,151		9,729	(14.8	)
	Net income available to common shareholders	$	127,435		153,034		117,036	101,919		99,330	28.3
	Net income per common share, basic	$	0.84		0.97		0.73	0.88		0.85	(1.2	)%
	Net income per common share, diluted	0.83			0.96		0.72	0.87		0.84	(1.6	)
	Cash dividends declared per common share	0.30			0.30		0.30	0.25		0.25	20.0
	Return on average assets *	1.14		%	1.34		1.06	1.29		1.36	(22	)bps
	Return on average common equity *	11.36			13.90		10.98	14.25		13.95	(259	)
	Weighted average common shares outstanding, basic	152,238			157,389		160,927	116,303		117,241	29.9	%
	Weighted average common shares outstanding, diluted	154,043			159,077		162,760	116,986		118,095	30.4
	nm - not meaningful
	bps - basis points
	* - ratios are annualized

Synovus
	BALANCE SHEET DATA	September 30, 2019			December 31, 2018			September 30, 2018
	(Unaudited)
	(In thousands, except share data)
	ASSETS
	Cash and due from banks	$	611,496		$	468,426		$	436,540
	Interest-bearing funds with Federal Reserve Bank	480,913			641,476			515,493
	Interest earning deposits with banks	20,086			19,841			34,470
	Federal funds sold and securities purchased under resale agreements	69,975			13,821			25,430
	Cash and cash equivalents	1,182,470			1,143,564			1,011,933
	Investment securities available for sale, at fair value	6,892,162			3,991,632			3,883,574
	Mortgage loans held for sale, at fair value	129,415			37,129			37,276
	Loans	36,417,826			25,946,573			25,577,116
	Allowance for loan losses	(265,013		)	(250,555		)	(251,450		)
	Loans, net	36,152,813			25,696,018			25,325,666
	Cash surrender value of bank-owned life insurance	771,458			554,134			551,061
	Premises and equipment, net	487,053			434,307			431,012
	Goodwill	487,865			57,315			57,315
	Other intangible assets	58,572			9,875			10,166
	Other assets	1,499,374			745,218			767,117
	Total assets	$	47,661,182		$	32,669,192		$	32,075,120
	LIABILITIES AND SHAREHOLDERS' EQUITY
	Liabilities:
	Deposits:
	Non-interest-bearing deposits	$	9,586,148		$	7,650,967		$	7,628,736
	Interest-bearing deposits	27,846,922			19,069,355			18,804,922
	Total deposits	37,433,070			26,720,322			26,433,658
	Federal funds purchased and securities sold under repurchase agreements	197,419			237,692			191,145
	Other short-term borrowings	2,233,593			650,000			478,540
	Long-term debt	2,153,600			1,657,157			1,656,909
	Other liabilities	774,662			270,419			274,795
	Total liabilities	42,792,344			29,535,590			29,035,047
	Shareholders' equity:
	Preferred stock - no par value. Authorized 100,000,000 shares; 22,000,000 shares issued and outstanding at September 30, 2019, 8,000,000 shares issued and outstanding at December 31, 2018 and September 30, 2018	536,550			195,140			195,138
	Common stock - $1.00 par value. Authorized 342,857,143 shares; 166,201,048 issued at September 30, 2019, 143,300,449 issued at December 31, 2018, and 143,093,317 issued at September 30, 2018; 147,594,000 outstanding at September 30, 2019, 115,865,510 outstanding at December 31, 2018, and 116,714,463 outstanding at September 30, 2018	166,201			143,300			143,093
	Additional paid-in capital	3,801,158			3,060,561			3,049,233
	Treasury stock, at cost – 18,607,048 shares at September 30, 2019, 27,434,939 shares at December 31, 2018, and 26,378,854 shares at September 30, 2018	(680,081		)	(1,014,746		)	(974,478		)
	Accumulated other comprehensive income (loss), net	75,933			(94,420		)	(143,720		)
	Retained earnings	969,077			843,767			770,807
	Total shareholders’ equity	4,868,838			3,133,602			3,040,073
	Total liabilities and shareholders' equity	$	47,661,182		$	32,669,192		$	32,075,120

Synovus
	AVERAGE BALANCES AND YIELDS/RATES (1)
	(Unaudited)
	(Dollars in thousands)
		2019							2018
		Third			Second		First		Fourth		Third
		Quarter			Quarter		Quarter		Quarter		Quarter
	Interest Earning Assets
	Investment securities (2) (4)	$	6,831,036		6,955,386		6,536,199		4,073,685		4,061,328
	Yield	3.14		%	3.03		3.06		2.45		2.39
	Trading account assets (5)	$	5,519		4,853		2,049		7,493		16,646
	Yield	4.01		%	1.83		1.30		1.90		2.52
	Commercial loans (3) (4)	$	26,568,194		26,353,973		26,140,672		19,150,252		19,025,830
	Yield	5.09		%	5.13		5.16		5.13		4.98
	Consumer loans (3)	$	9,633,603		9,423,427		9,180,679		6,476,026		6,298,643
	Yield	5.08		%	5.17		5.10		4.85		4.80
	Allowance for loan losses	$	(258,024	)	(259,284	)	(252,815	)	(251,098	)	(251,684	)
	Loans, net (3)	$	35,943,773		35,518,116		35,068,536		25,375,180		25,072,789
	Yield	5.13		%	5.17		5.17		5.11		4.99
	Mortgage loans held for sale	$	99,556		70,497		34,913		36,477		49,030
	Yield	3.93		%	4.27		4.48		4.79		4.71
	Federal funds sold, due from Federal Reserve Bank, and other short-term investments	$	513,160		511,488		679,477		641,832		544,704
	Yield	2.08		%	2.37		2.45		2.20		1.90
	Federal Home Loan Bank and Federal Reserve Bank Stock (5)	$	254,994		234,949		211,408		162,369		163,568
	Yield	3.85		%	3.29		4.82		4.31		4.41
	Total interest earning assets	$	43,648,038		43,295,289		42,532,582		30,297,036		29,908,065
	Yield	4.78		%	4.79		4.80		4.69		4.58
	Interest-Bearing Liabilities
	Interest-bearing demand deposits	$	6,138,810		6,335,953		6,393,304		4,692,804		4,701,204
	Rate	0.69		%	0.71		0.68		0.41		0.38
	Money Market accounts	$	10,138,783		10,024,836		10,244,556		8,050,732		7,936,621
	Rate	1.26		%	1.23		1.18		0.89		0.72
	Savings deposits	$	900,366		904,183		901,059		815,588		824,935
	Rate	0.05		%	0.05		0.06		0.04		0.03
	Time deposits under $100,000	$	2,100,492		2,245,878		2,238,568		1,242,811		1,205,987
	Rate	1.39		%	1.39		1.24		1.16		0.99
	Time deposits over $100,000	$	5,957,691		6,331,665		6,211,067		2,478,649		2,273,582
	Rate	1.69		%	1.70		1.60		1.67		1.46
	Non-maturing brokered deposits	$	993,078		766,718		937,629		349,480		358,277
	Rate	2.47		%	2.46		2.60		2.46		2.10
	Brokered time deposits	$	2,119,149		1,985,589		1,845,819		1,275,276		1,414,700
	Rate	2.27		%	2.28		2.13		2.03		1.94
	Total interest-bearing deposits	$	28,348,369		28,594,822		28,772,002		18,905,340		18,715,306
	Rate	1.32		%	1.30		1.24		0.96		0.83
	Federal funds purchased and securities sold under repurchase agreements	$	221,045		300,168		233,076		194,370		230,504
	Rate	0.22		%	0.20		0.22		0.18		0.25
	Other short-term borrowings	$	1,307,370		1,090,581		517,456		112,228		146,794
	Rate	2.31		%	2.59		2.58		2.51		2.12
	Long-term debt	$	2,286,221		2,114,819		1,983,910		1,657,022		1,656,743
	Rate	3.32		%	3.53		3.33		3.06		2.87
	Total interest-bearing liabilities	$	32,163,005		32,100,390		31,506,444		20,868,960		20,749,347
	Rate	1.47		%	1.48		1.38		1.12		0.99
	Non-interest-bearing demand deposits	$	9,365,776		9,304,839		9,054,949		8,014,761		7,672,006
	Cost of funds	1.16		%	1.15		1.07		0.81		0.73
	Net interest margin	3.69		%	3.69		3.78		3.92		3.89
	Taxable equivalent adjustment	$	819		811		630		181		136
	(1) Yields and rates are annualized.
	(2) Excludes net unrealized gains and losses.
	(3) Average loans are shown net of unearned income. Non-performing loans are included.
	(4) Reflects taxable-equivalent adjustments, using the statutory federal income tax rate of 21%, in adjusting interest on tax-exempt loans and investment securities to a taxable-equivalent basis.
	(5) Included as a component of other assets on the consolidated balance sheet.

Synovus
LOANS OUTSTANDING BY TYPE
(Unaudited)
(Dollars in thousands)
	Total Loans			Total Originated Loans			Total Acquired Loans (1)		Total Loans (1)			Linked Quarter		Total Loans			Year/Year
Loan Type	September 30, 2019			September 30, 2019			September 30, 2019		June 30, 2019			% Change (2)		September 30, 2018			% Change
Commercial, Financial, and Agricultural	$	9,855,881		$	8,085,060		$	1,770,821	$	9,717,746		5.6	%	$	7,281,466		35.4	%
Owner-Occupied	6,589,391			5,588,970			1,000,421		6,529,797			3.6		5,221,828			26.2
Total Commercial & Industrial	16,445,272			13,674,030			2,771,242		16,247,543			4.8		12,503,294			31.5
Multi-Family	2,164,629			1,446,034			718,595		2,113,938			9.5		1,330,006			62.8
Hotels	1,267,790			778,882			488,908		1,244,512			7.4		760,885			66.6
Office Buildings	2,157,186			1,420,951			736,235		2,291,617			(23.3	)	1,368,608			57.6
Shopping Centers	1,683,848			939,346			744,502		1,677,555			1.5		815,696			106.4
Warehouses	676,202			580,015			96,187		696,692			(11.7	)	679,184			(0.4	)
Other Investment Property	985,108			893,131			91,977		980,786			1.7		711,311			38.5
Total Investment Properties	8,934,763			6,058,359			2,876,404		9,005,100			(3.1	)	5,665,690			57.7
1-4 Family Construction	221,905			168,918			52,987		219,032			5.2		183,044			21.2
1-4 Family Investment Mortgage	516,859			471,206			45,653		528,358			(8.6	)	524,152			(1.4	)
Total 1-4 Family Properties	738,764			640,124			98,640		747,390			(4.6	)	707,196			4.5
Commercial Development	124,213			61,209			63,004		138,840			(41.8	)	61,608			101.6
Residential Development	224,662			138,704			85,958		218,850			10.5		91,578			145.3
Land Acquisition	263,631			207,921			55,710		238,267			42.2		186,334			41.5
Land and Development	612,506			407,834			204,672		595,957			11.0		339,520			80.4
Total Commercial Real Estate	10,286,033			7,106,317			3,179,716		10,348,447			(2.4	)	6,712,406			53.2
Consumer Mortgages	5,470,730			3,398,720			2,072,010		5,407,762			4.6		2,843,244			92.4
Home Equity Lines	1,675,092			1,616,063			59,029		1,650,745			5.9		1,465,419			14.3
Credit Cards	267,874			267,874			—		258,283			14.7		245,149			9.3
Other Consumer Loans	2,295,486			2,285,319			10,167		2,249,337			8.1		1,831,385			25.3
Total Consumer	9,709,182			7,567,976			2,141,206		9,566,127			5.9		6,385,197			52.1
Unearned Income	(22,661		)	(22,661		)	—		(23,556		)	(15.1	)	(23,781		)	(4.7	)
Total	$	36,417,826		$	28,325,662		$	8,092,164	$	36,138,561		3.1	%	$	25,577,116		42.4	%
(1) On 1/1/19 $9.29 B of loans (at fair value) were acquired from FCB. The amounts presented in these columns are net of paydowns and payoffs since acquisition date.
(2) Percentage change is annualized.
NON-PERFORMING LOANS COMPOSITION (1)
(Unaudited)
(Dollars in thousands)	Total Non-performing Loans			Total Originated Non-performing Loans			Total Acquired Non-performing Loans (2)		Total Non-performing Loans (3)			Linked Quarter		Total Non-performing Loans			Year/Year
Loan Type	September 30, 2019			September 30, 2019			September 30, 2019		June 30, 2019			% Change		September 30, 2018			% Change
Commercial, Financial, and Agricultural	$	73,672		$	64,912		$	8,760	$	72,934		1.0	%	$	69,010		6.8	%
Owner-Occupied	9,222			9,222			—		13,465			(31.5	)	5,708			61.6
Total Commercial & Industrial	82,894			74,134			8,760		86,399			(4.1	)	74,718			10.9
Multi-Family	—			—			—		—			-		234			nm
Hotels	—			—			—		—			-		—			-
Office Buildings	290			238			52		300			(3.3	)	166			74.7
Shopping Centers	140			140			—		671			(79.1	)	89			57.3
Warehouses	—			—			—		—			-		—			-
Other Investment Property	—			—			—		7			nm		1,666			nm
Total Investment Properties	430			378			52		978			(56.0	)	2,155			(80.0	)
1-4 Family Construction	698			698			—		208			235.6		—			nm
1-4 Family Investment Mortgage	1,520			1,520			—		1,637			(7.1	)	3,139			(51.6	)
Total 1-4 Family Properties	2,218			2,218			—		1,845			20.2		3,139			(29.3	)
Commercial Development	87			87			—		—			-		42			107.1
Residential Development	1,526			1,526			—		1,253			21.8		3,184			(52.1	)
Land Acquisition	1,419			1,419			—		1,482			(4.3	)	1,603			(11.5	)
Land and Development	3,032			3,032			—		2,735			10.9		4,829			(37.2	)
Total Commercial Real Estate	5,680			5,628			52		5,558			2.2		10,123			(43.9	)
Consumer Mortgages	10,015			10,015			—		13,628			(26.5	)	5,313			88.5
Home Equity Lines	12,590			12,590			—		13,830			(9.0	)	14,498			(13.2	)
Other Consumer Loans	4,736			4,736			—		4,668			1.5		3,773			25.5
Total Consumer	27,341			27,341			—		32,126			(14.9	)	23,584			15.9
Total	$	115,915		$	107,103		$	8,812	$	124,083		(6.6	)%	$	108,425		6.9	%
(1) For purposes of this table, 2019 non-performing loans exclude acquired loans accounted for under ASC 310-30 that are currently accruing income.
(2) Represents loans acquired from FCB and designated as non-accrual, net of payments and dispositions since acquisition date
(3) June 30, 2019 total non-performing loans included $7.0 million of acquired non-performing loans, net of payments and dispositions since acquisition date.

Synovus
	CREDIT QUALITY DATA
	(Unaudited)
	(Dollars in thousands)	2019					2018		Third Quarter
		Third			Second	First	Fourth	Third	'19 vs '18
		Quarter			Quarter	Quarter	Quarter	Quarter	% Change
	Non-performing Loans (1)	$	115,915		124,083	143,976	106,733	108,425	6.9	%
	Other Real Estate and Other Assets	35,400			15,479	11,341	7,726	8,554	313.8	%
	Non-performing Assets (1)	151,315			139,562	155,317	114,459	116,979	29.4
	Allowance for Loan Losses	265,013			257,376	257,036	250,555	251,450	5.4
	Net Charge-Offs - Quarter	19,924			11,778	17,088	13,044	15,257
	Net Charge-Offs - YTD	48,791			28,867	17,088	50,410	37,366
	Net Charge-Offs / Average Loans - Quarter (2)	0.22		%	0.13	0.19	0.20	0.24
	Net Charge-Offs / Average Loans - YTD (2)	0.18			0.16	0.19	0.20	0.20
	Non-performing Loans / Loans (1)	0.32			0.34	0.40	0.41	0.42
	Non-performing Assets / Loans, ORE and specific other assets (1)	0.42			0.39	0.44	0.44	0.46
	Allowance / Loans	0.73			0.71	0.72	0.97	0.98
	Allowance / Non-performing Loans (1)	228.63			207.42	178.53	234.75	231.91
	Allowance / Non-performing Loans excluding impaired and acquired loans with no reserve (1)	363.63			282.51	291.62	297.68	288.21
	Past Due Loans over 90 days and Still Accruing (1)	$	15,660		5,851	4,486	3,798	4,856	222.5
	As a Percentage of Loans Outstanding	0.04		%	0.02	0.01	0.01	0.02
	Total Past Due Loans and Still Accruing (1)	$	88,219		80,792	88,135	56,927	78,323	12.6
	As a Percentage of Loans Outstanding	0.24		%	0.22	0.25	0.22	0.31
	Accruing Troubled Debt Restructurings (TDRs)	$	130,019		126,369	112,205	115,588	114,740	13.3
	(1) For purposes of this table, 2019 non-performing loans exclude acquired loans accounted for under ASC 310-30 that are currently accruing income.
	(2) Ratio is annualized.
	SELECTED CAPITAL INFORMATION (1)
	(Unaudited)
	(Dollars in thousands)
		September 30, 2019			December 31, 2018	September 30, 2018
	Tier 1 Capital	$	4,196,628		3,090,416	3,038,768
	Total Risk-Based Capital	5,023,138			3,601,376	3,550,686
	Common Equity Tier 1 Capital Ratio	8.96		%	9.95	9.90
	Common Equity Tier 1 Ratio (fully phased-in) (5)	8.95			9.92	9.86
	Tier 1 Capital Ratio	10.27			10.61	10.57
	Total Risk-Based Capital Ratio	12.30			12.37	12.36
	Tier 1 Leverage Ratio	9.02			9.60	9.58
	Common Equity as a Percentage of Total Assets (2)	9.09			8.99	8.87
	Tangible Common Equity Ratio (3) (5)	8.04			8.81	8.68
	Book Value Per Common Share (4)	$	29.35		25.36	24.38
	Tangible Book Value Per Common Share (3)	25.65			24.78	23.80
	(1) Current quarter regulatory capital information is preliminary.
	(2) Common equity consists of Total Shareholders' Equity less Preferred Stock.
	(3) Excludes the carrying value of goodwill and other intangible assets from common equity and total assets.
	(4) Book Value Per Common Share consists of Total Shareholders' Equity less Preferred Stock divided by total common shares outstanding.
	(5) See "Non-GAAP Financial Measures" of this report for applicable reconciliation.