| Loans and Allowance for Loan Losses | Note 3 - Loans and Allowance for Loan Losses Aging and Non-Accrual Analysis The following tables provide a summary of current, accruing past due, and non-accrual loans by portfolio class as of June 30, 2024 and December 31, 2023. June 30, 2024 (in thousands) Current Accruing 30-89 Days Past Due Accruing 90 Days or Greater Past Due Total Accruing Past Due Non-accrual with an ALL Non-accrual without an ALL Total Commercial, financial and agricultural $ 14,386,965 $ 10,292 $ 2,244 $ 12,536 $ 82,602 $ 37,505 $ 14,519,608 Owner-occupied 7,961,449 4,578 — 4,578 30,004 20,973 8,017,004 Total commercial and industrial (1) 22,348,414 14,870 2,244 17,114 112,606 58,478 22,536,612 Investment properties 11,238,010 78,115 356 78,471 10,004 1,564 11,328,049 1-4 family properties 548,220 1,267 — 1,267 2,878 182 552,547 Land and development 332,087 1,895 — 1,895 909 — 334,891 Total commercial real estate 12,118,317 81,277 356 81,633 13,791 1,746 12,215,487 Consumer mortgages 5,316,899 5,913 — 5,913 48,352 — 5,371,164 Home equity 1,787,853 10,107 33 10,140 14,947 — 1,812,940 Credit cards 175,418 1,665 1,806 3,471 — — 178,889 Other consumer loans 960,631 11,467 21 11,488 6,186 — 978,305 Total consumer 8,240,801 29,152 1,860 31,012 69,485 — 8,341,298 Loans, net of deferred fees and costs (2) $ 42,707,532 $ 125,299 $ 4,460 $ 129,759 $ 195,882 $ 60,224 $ 43,093,397 December 31, 2023 (in thousands) Current Accruing 30-89 Days Past Due Accruing 90 Days or Greater Past Due Total Accruing Past Due Non-accrual with an ALL Non-accrual without an ALL Total Commercial, financial and agricultural $ 14,355,414 $ 12,264 $ 1,797 $ 14,061 $ 66,400 $ 23,470 $ 14,459,345 Owner-occupied 8,041,573 6,056 149 6,205 70,784 20,586 8,139,148 Total commercial and industrial (1) 22,396,987 18,320 1,946 20,266 137,184 44,056 22,598,493 Investment properties 11,322,516 740 278 1,018 12,796 26,974 11,363,304 1-4 family properties 595,359 87 — 87 2,605 451 598,502 Land and development 353,477 671 — 671 804 — 354,952 Total commercial real estate 12,271,352 1,498 278 1,776 16,205 27,425 12,316,758 Consumer mortgages 5,359,153 6,462 — 6,462 46,108 — 5,411,723 Home equity 1,785,836 10,374 716 11,090 10,473 — 1,807,399 Credit cards 190,299 1,818 2,024 3,842 — — 194,141 Other consumer loans 1,053,587 15,574 89 15,663 6,697 29 1,075,976 Total consumer 8,388,875 34,228 2,829 37,057 63,278 29 8,489,239 Loans, net of deferred fees and costs (2) $ 43,057,214 $ 54,046 $ 5,053 $ 59,099 $ 216,667 $ 71,510 $ 43,404,490 (1) Includes senior housing loans of $3.02 billion and $3.28 billion at June 30, 2024 and December 31, 2023, respectively, which are primarily classified as owner-occupied in accordance with our underwriting process. (2) The amortized cost basis of loans, net of deferred fees and costs excludes accrued interest receivable of $249.9 million and $256.3 million at June 30, 2024 and December 31, 2023, respectively, which is presented as a component of other assets Pledged Loans Loans with carrying values of $25.09 billion and $24.31 billion, respectively, were pledged as collateral for borrowings and capacity at June 30, 2024 and December 31, 2023, respectively, to the FHLB and Federal Reserve Bank. Portfolio Segment Risk Factors The risk characteristics and collateral information of each portfolio segment are as follows: Commercial and Industrial Loans - The C&I loan portfolio is comprised of general middle market and commercial banking clients across a diverse set of industries. In accordance with Synovus' lending policy, each loan undergoes a detailed underwriting process, which incorporates uniform underwriting standards and oversight in proportion to the size and complexity of the lending relationship. These loans are secured by collateral such as business equipment, inventory, and real estate. Credit decisions on loans in the C&I portfolio are based on cash flow from the operations of the business as the primary source of repayment of the debt, with underlying real estate or other collateral being the secondary source of repayment. Commercial Real Estate Loans - CRE loans primarily consist of income-producing investment properties loans. Additionally, CRE loans include 1-4 family properties loans as well as land and development loans. Investment properties loans consist of construction and mortgage loans for income-producing properties and are primarily made to finance multi-family properties, hotels, office buildings, shopping centers, warehouses and other commercial development properties. 1-4 family properties loans include construction loans to homebuilders and commercial mortgage loans related to 1-4 family rental properties and are almost always secured by the underlying property being financed by such loans. These properties are primarily located in the markets served by Synovus. Land and development loans include commercial and residential development as well as land acquisition loans and are secured by land held for future development, typically in excess of one year. Properties securing these loans are substantially within markets served by Synovus, and our preference is to obtain some level of recourse from project sponsors. Loans in this portfolio are underwritten based on the LTV of the collateral and the capacity of the guarantor(s). Consumer Loans - The consumer loan portfolio consists of a wide variety of loan products offered through Synovus' banking network, including first and second residential mortgages, home equity, and consumer credit card loans, as well as home improvement loans, student, and personal loans from third-party lending ("other consumer loans"). Together, consumer mortgages and home equity comprise the majority of Synovus' consumer loans and are secured by first and second liens on residential real estate primarily located in the markets served by Synovus. The primary source of repayment for all consumer loans is generally the personal income of the borrower(s). Credit Quality Indicators The credit quality of the loan portfolio is reviewed and updated no less frequently than annually using the standard asset classification system utilized by the federal banking agencies. These classifications are divided into three groups: Not Criticized (Pass), Special Mention, and Classified or Adverse rating (Substandard, Doubtful, and Loss) and are defined as follows: Pass - loans which are well protected by the current net worth and paying capacity of the obligor (or guarantors, if any) or by the fair value, less cost to acquire and sell in a timely manner, of any underlying collateral. Special Mention - loans which have potential weaknesses that deserve management's close attention. These loans are not adversely classified and do not expose an institution to sufficient risk to warrant an adverse classification. Substandard - loans which are inadequately protected by the current net worth and paying capacity of the obligor or by the collateral pledged, if any. Loans with this classification are characterized by the distinct possibility that the institution will sustain some loss if the deficiencies are not corrected. Doubtful - loans which have all the weaknesses inherent in loans categorized as Substandard with the added characteristic that the weaknesses make collection or liquidation in full highly questionable and improbable on the basis of currently known facts, conditions, and values. Loss - loans which are considered by management to be uncollectible and of such little value that their continuance on the institution's books as an asset, without establishment of a specific valuation allowance or charge-off, is not warranted. Synovus fully reserves for any loans rated as Loss. In the following tables, consumer loans are generally assigned a risk grade similar to the classifications described above; however, upon reaching 90 days and 120 days past due, they are generally downgraded to Substandard and Loss, respectively, in accordance with the FFIEC Retail Credit Classification Policy. Additionally, in accordance with Interagency Supervisory Guidance, the risk grade classifications of consumer loans (consumer mortgages and home equity) secured by junior liens on 1-4 family residential properties also consider available information on the payment status of any associated senior liens with other financial institutions. The following table summarizes each loan portfolio class by risk grade and origination year as of June 30, 2024 and December 31, 2023 as required under CECL. June 30, 2024 Term Loans Amortized Cost Basis by Origination Year Revolving Loans (in thousands) 2024 2023 2022 2021 2020 Prior Amortized Cost Basis Converted to Term Loans Total Commercial, financial and agricultural Pass $ 626,567 $ 1,098,785 $ 911,677 $ 1,320,817 $ 730,590 $ 1,728,030 $ 7,468,133 $ 62,057 $ 13,946,656 Special Mention 333 8,268 5,942 17,953 858 10,710 143,327 1,807 189,198 Substandard 22,334 20,633 44,640 18,700 37,393 23,669 191,115 3,737 362,221 Doubtful — — — 9,911 390 — 10,684 — 20,985 Loss — — — — — — 548 — 548 Total commercial, financial and agricultural 649,234 1,127,686 962,259 1,367,381 769,231 1,762,409 7,813,807 67,601 14,519,608 Current YTD Period: Gross charge-offs 1,479 16,013 2,861 8,447 715 2,597 32,293 — 64,405 Owner-occupied Pass 314,814 947,696 1,545,933 1,369,707 906,405 1,909,641 653,228 — 7,647,424 Special Mention 1,110 1,839 5,249 21,824 34,531 58,147 — — 122,700 Substandard 193 4,939 39,397 29,460 48,691 71,850 35,944 — 230,474 Doubtful — — — — — — 16,406 — 16,406 Total owner-occupied 316,117 954,474 1,590,579 1,420,991 989,627 2,039,638 705,578 — 8,017,004 Current YTD Period: Gross charge-offs — 76 — — 1,538 6,303 — — 7,917 Total commercial and industrial 965,351 2,082,160 2,552,838 2,788,372 1,758,858 3,802,047 8,519,385 67,601 22,536,612 Current YTD Period: Gross charge-offs $ 1,479 $ 16,089 $ 2,861 $ 8,447 $ 2,253 $ 8,900 $ 32,293 $ — $ 72,322 Investment properties Pass 233,067 697,423 3,391,129 2,691,967 933,578 2,628,003 206,596 — 10,781,763 Special Mention 4 285 71,813 137,073 44,224 70,128 — — 323,527 Substandard — 2,975 16,159 135,707 2,054 65,859 — — 222,754 Loss — — — — — 5 — — 5 Total investment properties 233,071 700,683 3,479,101 2,964,747 979,856 2,763,995 206,596 — 11,328,049 Current YTD Period: Gross charge-offs — — — — — 3,738 — — 3,738 1-4 family properties Pass 67,911 115,810 109,798 109,112 30,592 66,683 46,728 — 546,634 Special Mention — — 711 491 179 92 — — 1,473 Substandard — 749 51 944 285 2,366 45 — 4,440 Total 1-4 family properties 67,911 116,559 110,560 110,547 31,056 69,141 46,773 — 552,547 Current YTD Period: Gross charge-offs — 103 — — — 133 — — 236 June 30, 2024 Term Loans Amortized Cost Basis by Origination Year Revolving Loans (in thousands) 2024 2023 2022 2021 2020 Prior Amortized Cost Basis Converted to Term Loans Total Land and development Pass 52,343 95,588 66,267 28,699 8,969 66,360 12,802 — 331,028 Special Mention — — 483 29 — 1,165 — — 1,677 Substandard — 561 — — 195 1,430 — — 2,186 Total land and development 52,343 96,149 66,750 28,728 9,164 68,955 12,802 — 334,891 Current YTD Period: Gross charge-offs — — — — — — — — — Total commercial real estate 353,325 913,391 3,656,411 3,104,022 1,020,076 2,902,091 266,171 — 12,215,487 Current YTD Period: Gross charge-offs $ — $ 103 $ — $ — $ — $ 3,871 $ — $ — $ 3,974 Consumer mortgages Pass 246,139 739,069 725,131 993,128 1,164,849 1,438,748 592 — 5,307,656 Substandard 287 1,880 3,521 6,332 17,396 34,060 — — 63,476 Loss — — — — — 32 — — 32 Total consumer mortgages 246,426 740,949 728,652 999,460 1,182,245 1,472,840 592 — 5,371,164 Current YTD Period: Gross charge-offs — — — — 25 109 — — 134 Home equity Pass — — — — — — 1,338,972 455,684 1,794,656 Substandard — — — — — — 11,874 6,161 18,035 Loss — — — — — — 165 84 249 Total home equity — — — — — — 1,351,011 461,929 1,812,940 Current YTD Period: Gross charge-offs — — — — — — — 32 32 Credit cards Pass — — — — — — 177,086 — 177,086 Substandard — — — — — — 524 — 524 Loss — — — — — — 1,279 — 1,279 Total credit cards — — — — — — 178,889 — 178,889 Current YTD Period: Gross charge-offs — — — — — — 3,892 — 3,892 Other consumer loans Pass 75,143 98,329 146,434 176,291 94,170 111,612 268,946 — 970,925 Substandard — 680 1,301 3,382 1,274 636 68 — 7,341 Loss — — 12 — — — 27 — 39 Total other consumer loans 75,143 99,009 147,747 179,673 95,444 112,248 269,041 — 978,305 Current YTD Period: Gross charge-offs 19 1,464 2,675 4,267 1,277 1,501 1,302 — 12,505 Total consumer 321,569 839,958 876,399 1,179,133 1,277,689 1,585,088 1,799,533 461,929 8,341,298 Current YTD Period: Gross charge-offs $ 19 $ 1,464 $ 2,675 $ 4,267 $ 1,302 $ 1,610 $ 5,194 $ 32 $ 16,563 Loans, net of deferred fees and costs $ 1,640,245 $ 3,835,509 $ 7,085,648 $ 7,071,527 $ 4,056,623 $ 8,289,226 $ 10,585,089 $ 529,530 $ 43,093,397 Current YTD Period: Gross charge-offs $ 1,498 $ 17,656 $ 5,536 $ 12,714 $ 3,555 $ 14,381 $ 37,487 $ 32 $ 92,859 December 31, 2023 Term Loans Amortized Cost Basis by Origination Year Revolving Loans (in thousands) 2023 2022 2021 2020 2019 Prior Amortized Cost Basis Converted to Term Loans Total Commercial, financial and agricultural Pass $ 1,078,790 $ 1,040,742 $ 1,408,178 $ 782,069 $ 636,341 $ 1,236,433 $ 7,623,255 $ 46,908 $ 13,852,716 Special Mention 5,298 8,276 20,027 1,950 2,552 8,412 141,580 — 188,095 Substandard 36,557 14,742 35,744 37,186 88,940 21,032 182,069 1,685 417,955 Loss — — — — — 355 224 — 579 Total commercial, financial and agricultural 1,120,645 1,063,760 1,463,949 821,205 727,833 1,266,232 7,947,128 48,593 14,459,345 Current YTD Period: Gross charge-offs 9,367 3,436 8,175 19,532 1,165 2,071 30,696 203 74,645 Owner-occupied Pass 859,887 1,521,469 1,501,405 958,620 710,634 1,401,416 782,180 — 7,735,611 Special Mention 1,709 9,114 22,562 2,593 4,689 48,640 79,031 — 168,338 Substandard 4,388 24,760 13,616 59,478 17,702 87,306 27,949 — 235,199 Total owner-occupied 865,984 1,555,343 1,537,583 1,020,691 733,025 1,537,362 889,160 — 8,139,148 Current YTD Period: Gross charge-offs — — 433 6,836 1,544 2,862 — — 11,675 Total commercial and industrial 1,986,629 2,619,103 3,001,532 1,841,896 1,460,858 2,803,594 8,836,288 48,593 22,598,493 Current YTD Period: Gross charge-offs $ 9,367 $ 3,436 $ 8,608 $ 26,368 $ 2,709 $ 4,933 $ 30,696 $ 203 $ 86,320 Investment properties Pass 593,540 3,140,041 2,863,327 1,161,697 1,052,638 1,900,744 261,737 — 10,973,724 Special Mention — 1,616 169,550 — 48,429 33,903 — — 253,498 Substandard 2,083 4,070 41,278 1,455 1,622 75,850 — — 126,358 Doubtful — — — — — 9,714 — — 9,714 Loss — — — — — 10 — — 10 Total investment properties 595,623 3,145,727 3,074,155 1,163,152 1,102,689 2,020,221 261,737 — 11,363,304 Current YTD Period: Gross charge-offs (1) 546 7,685 5,668 3,801 1,893 22,647 3,109 — 45,349 1-4 family properties Pass 167,729 142,930 119,054 31,928 29,740 55,243 42,099 — 588,723 Special Mention 3,104 947 — 184 — 311 1 — 4,547 Substandard 1,721 822 643 465 324 1,212 45 — 5,232 Total 1-4 family properties 172,554 144,699 119,697 32,577 30,064 56,766 42,145 — 598,502 Current YTD Period: Gross charge-offs — — — — — 24 — — 24 Land and development Pass 105,609 84,962 35,993 16,131 18,616 59,605 888 — 321,804 Special Mention — 496 — — — 774 — — 1,270 Substandard 29,204 411 74 — 593 1,596 — — 31,878 Total land and development 134,813 85,869 36,067 16,131 19,209 61,975 888 — 354,952 Current YTD Period: Gross charge-offs — — — 77 — — — — 77 Total commercial real estate 902,990 3,376,295 3,229,919 1,211,860 1,151,962 2,138,962 304,770 — 12,316,758 Current YTD Period: Gross charge-offs $ 546 $ 7,685 $ 5,668 $ 3,878 $ 1,893 $ 22,671 $ 3,109 $ — $ 45,450 December 31, 2023 Term Loans Amortized Cost Basis by Origination Year Revolving Loans (in thousands) 2023 2022 2021 2020 2019 Prior Amortized Cost Basis Converted to Term Loans Total Consumer mortgages Pass $ 757,485 $ 784,898 $ 1,044,442 $ 1,219,397 $ 410,511 $ 1,136,541 $ 35 $ — $ 5,353,309 Substandard 564 2,810 5,517 15,913 9,478 23,662 — — 57,944 Loss — — — — — 470 — — 470 Total consumer mortgages 758,049 787,708 1,049,959 1,235,310 419,989 1,160,673 35 — 5,411,723 Current YTD Period: Gross charge-offs — 108 251 403 402 965 5 — 2,134 Home equity Pass — — — — — — 1,308,934 482,679 1,791,613 Substandard — — — — — — 10,231 5,297 15,528 Loss — — — — — — 174 84 258 Total home equity — — — — — — 1,319,339 488,060 1,807,399 Current YTD Period: Gross charge-offs — — — — — 79 819 229 1,127 Credit cards Pass — — — — — — 192,217 — 192,217 Substandard — — — — — — 702 — 702 Loss — — — — — — 1,222 — 1,222 Total credit cards — — — — — — 194,141 — 194,141 Current YTD Period: Gross charge-offs — — — — — — 7,165 — 7,165 Other consumer loans Pass 134,969 181,455 219,415 114,006 28,256 112,724 277,368 — 1,068,193 Substandard 573 963 3,811 1,182 568 494 192 — 7,783 Total other consumer loans 135,542 182,418 223,226 115,188 28,824 113,218 277,560 — 1,075,976 Current YTD Period: Gross charge-offs (1) 627 6,040 24,231 3,625 1,971 2,026 2,358 — 40,878 Total consumer 893,591 970,126 1,273,185 1,350,498 448,813 1,273,891 1,791,075 488,060 8,489,239 Current YTD Period: Gross charge-offs $ 627 $ 6,148 $ 24,482 $ 4,028 $ 2,373 $ 3,070 $ 10,347 $ 229 $ 51,304 Loans, net of deferred fees and costs $ 3,783,210 $ 6,965,524 $ 7,504,636 $ 4,404,254 $ 3,061,633 $ 6,216,447 $ 10,932,133 $ 536,653 $ 43,404,490 Current YTD Period: Gross charge-offs $ 10,540 $ 17,269 $ 38,758 $ 34,274 $ 6,975 $ 30,674 $ 44,152 $ 432 $ 183,074 (1) Includes $31.3 million in gross charge-offs related to the transfer of certain loans to held for sale that sold during 2023. Collateral-Dependent Loans We classify a loan as collateral-dependent when our borrower is experiencing financial difficulty, and we expect repayment to be provided substantially through the operation or sale of collateral. Our commercial loans have collateral that is comprised of real estate and business assets. Our consumer loans have collateral that is substantially comprised of residential real estate. There were no material changes in the extent to which collateral secures our collateral-dependent loans during the three and six months ended June 30, 2024. Rollforward of Allowance for Loan Losses The following tables detail the changes in the ALL by loan segment for the three and six months ended June 30, 2024 and 2023. During the three and six months ended June 30, 2024, Synovus had no significant transfers to loans held for sale. During the three and six months ended June 30, 2023, Synovus charged-off $1.3 million and $7.9 million in previously established reserves for credit losses associated with the transfer of $3.8 million and $427.9 million, respectively, in certain third-party consumer loans to held for sale as part of our overall balance sheet management strategy. As Of and For the Three Months Ended June 30, 2024 (in thousands) Commercial & Industrial Commercial Real Estate Consumer Total Allowance for loan losses: Beginning balance at March 31, 2024 $ 213,482 $ 152,627 $ 126,552 $ 492,661 Charge-offs (34,379) (263) (7,649) (42,291) Recoveries 4,589 462 2,755 7,806 Provision for (reversal of) loan losses 37,038 (11,146) 1,033 26,925 Ending balance at June 30, 2024 $ 220,730 $ 141,680 $ 122,691 $ 485,101 As Of and For the Three Months Ended June 30, 2023 (in thousands) Commercial & Industrial Commercial Real Estate Consumer Total Allowance for loan losses: Beginning balance at March 31, 2023 $ 158,688 $ 160,392 $ 137,930 $ 457,010 Charge-offs (22,841) (5) (13,410) (36,256) Recoveries 6,402 378 3,080 9,860 Provision for (reversal of) loan losses 17,738 8,961 13,925 40,624 Ending balance at June 30, 2023 $ 159,987 $ 169,726 $ 141,525 $ 471,238 As Of and For the Six Months Ended June 30, 2024 (in thousands) Commercial & Industrial Commercial Real Estate Consumer Total Allowance for loan losses: Beginning balance at December 31, 2023 $ 218,970 $ 133,758 $ 126,657 $ 479,385 Charge-offs (72,322) (3,974) (16,563) (92,859) Recoveries 7,877 1,229 4,912 14,018 Provision for (reversal of) loan losses 66,205 10,667 7,685 84,557 Ending balance at June 30, 2024 $ 220,730 $ 141,680 $ 122,691 $ 485,101 As Of and For the Six Months Ended June 30, 2023 (in thousands) Commercial & Industrial Commercial Real Estate Consumer Total Allowance for loan losses: Beginning balance at December 31, 2022 $ 161,550 $ 143,575 $ 138,299 $ 443,424 Charge-offs (30,714) (101) (30,776) (61,591) Recoveries 9,878 662 6,105 16,645 Provision for (reversal of) loan losses 19,273 25,590 27,897 72,760 Ending balance at June 30, 2023 $ 159,987 $ 169,726 $ 141,525 $ 471,238 The ALL of $485.1 million and the reserve for unfunded commitments of $53.1 million, which is recorded in other liabilities, comprise the total ACL of $538.2 million at June 30, 2024. The ACL increased $1.5 million compared to the December 31, 2023 ACL of $536.6 million, which consisted of the ALL of $479.4 million and a reserve for unfunded commitments of $57.2 million. The ACL to loans coverage ratio of 1.25% at June 30, 2024 was 1 bp higher compared to 1.24% at December 31, 2023. The increase in the ACL from December 31, 2023 resulted primarily from credit performance that included downward migration and a qualitative adjustment, as well as net loan production. This was partially offset by improved economic inputs. The ACL is estimated using a two-year reasonable and supportable forecast period. To the extent the lives of the loans in the portfolio extend beyond the period for which a reasonable and supportable forecast can be made, the Company reverts on a straight-line basis back to the historical rates over a one-year period. Synovus utilizes multiple economic forecast scenarios sourced from a reputable third-party provider that are probability-weighted internally. The current scenarios include a consensus baseline forecast, an upside scenario reflecting an accelerated recovery, a downside scenario that reflects adverse economic conditions, and an additional adverse scenario that assumes consistent slow growth that is less optimistic than the baseline. At June 30, 2024, the unemployment rate is the input that most significantly impacts our estimate. The multi-scenario forecast used in our estimate includes a weighted average unemployment rate of 4.4% over the forecasted period at June 30, 2024, compared to 4.5% at December 31, 2023. Financial Difficulty Modifications When borrowers are experiencing financial difficulty, Synovus may make certain loan modifications as part of its loss mitigation strategies to maximize expected payment. See "Part II - Item 8. Financial Statements and Supplementary Data - Note 1 - Summary of Significant Accounting Policies" of Synovus' 2023 Form 10-K for additional information regarding accounting policies for FDMs. The following tables present the amortized cost of FDM loans by loan portfolio class that were modified during the three and six months ended June 30, 2024 and 2023. Three Months Ended June 30, 2024 (in thousands) Interest Rate Reduction Term Extension Payment Delay Total Percentage of Total by Financing Class Commercial, financial and agricultural $ — $ 9,109 $ — $ 9,109 0.1 % Total commercial and industrial — 9,109 — 9,109 — Total commercial real estate — — — — — Other consumer loans 58 211 — 269 — Total consumer 58 211 — 269 — Total FDMs $ 58 $ 9,320 $ — $ 9,378 — % Six Months Ended June 30, 2024 (in thousands) Interest Rate Reduction Term Extension Payment Delay Total Percentage of Total by Financing Class Commercial, financial and agricultural $ — $ 11,638 $ — $ 11,638 0.1 % Owner-occupied — 193 — 193 — Total commercial and industrial — 11,831 — 11,831 0.1 Investment properties — 2,236 — 2,236 — Total commercial real estate — 2,236 — 2,236 — Consumer mortgages 123 — 210 333 — Other consumer loans 179 463 — 642 0.1 Total consumer 302 463 210 975 — Total FDMs $ 302 $ 14,530 $ 210 $ 15,042 — % Three Months Ended June 30, 2023 (in thousands) Interest Rate Reduction Term Extension Principal Forgiveness and Term Extensions Interest Rate Reduction and Term Extension Total Percentage of Total by Financing Class Commercial, financial and agricultural $ 1,972 $ 7,464 $ 13,401 $ 1,187 $ 24,024 0.2 % Owner-occupied — 388 — — 388 — Total commercial and industrial 1,972 7,852 13,401 1,187 24,412 0.1 Investment properties — 660 — — 660 — 1-4 family properties — 1,680 — 382 2,062 0.3 Land and development — — — — — — Total commercial real estate — 2,340 — 382 2,722 — Consumer mortgages 695 — — — 695 — Home equity — 339 — 276 615 — Credit cards — — — — — — Other consumer loans 2 314 — 256 572 — Total consumer 697 653 — 532 1,882 — Total FDMs $ 2,669 $ 10,845 $ 13,401 $ 2,101 $ 29,016 0.1 % Six Months Ended June 30, 2023 (in thousands) Interest Rate Reduction Term Extension Principal Forgiveness and Term Extensions Interest Rate Reduction and Term Extension Total Percentage of Total by Financing Class Commercial, financial and agricultural $ 1,972 $ 22,297 $ 13,401 $ 1,428 $ 39,098 0.3 % Owner-occupied — 1,828 — 41,259 43,087 0.5 Total commercial and industrial 1,972 24,125 13,401 42,687 82,185 0.4 Investment properties — 660 — — 660 — 1-4 family properties — 3,006 — 382 3,388 0.6 Land and development — — — — — — Total commercial real estate — 3,666 — 382 4,048 — Consumer mortgages 807 — — — 807 — Home equity — 426 — 290 716 — Credit cards — — — — — — Other consumer loans 2 450 — 482 934 0.1 Total consumer 809 876 — 772 2,457 — Total FDMs $ 2,781 $ 28,667 $ 13,401 $ 43,841 $ 88,690 0.2 % The following tables present the financial effect of loan modifications made to borrowers experiencing financial difficulty during the three and six months ended June 30, 2024 and 2023. Three Months Ended June 30, 2024 Six Months Ended June 30, 2024 (dollars in thousands) Weighted Average Interest Rate Reduction Weighted Average Term Extension Weighted Average Interest Rate Reduction Weighted Average Term Extension Weighted Average Payment Delay Commercial, financial and agricultural — % 20 — % 19 — Owner-occupied — — — 60 — Investment properties — — — 12 — Consumer mortgages — — 2.3 — 7 Other consumer loans 7.5 66 4.0 71 — Three Months Ended June 30, 2023 Six Months Ended June 30, 2023 (dollars in thousands) Principal Forgiveness and Term Extensions Weighted Average Interest Rate Reduction Weighted Average Term Extension Principal Forgiveness and Term Extensions Weighted Average Interest Rate Reduction Weighted Average Term Extension Commercial, financial and agricultural $ 1,200 1.1 % 41 $ 1,200 1.2 % 28 Owner-occupied — — 17 — 1.7 9 Investment properties — — 30 — — 30 1-4 family properties — 0.3 12 — 0.3 12 Consumer mortgages — 1.9 — — 1.6 — Home equity — 0.4 250 — 0.5 262 Other consumer loans — 2.7 61 — 3.1 64 During the three and six months ended June 30, 2024, commercial, financial and agricultural loans of $3.1 million and $74.7 million, respectively, defaulted that were previously modified in the prior 12 months by receiving a term extension. During the three and six months ended June 30, 2023, there were no FDMs that subsequently defaulted. Defaults are defined as the earlier of the FDM being placed on non-accrual status or reaching 90 days past due with respect to principal and/or interest payments. As of June 30, 2024 and December 31, 2023, there were no commitments to lend a material amount of additional funds to any borrower whose loan was classified as a FDM. Synovus monitors the performance of FDMs to understand the effectiveness of its modification efforts. The following table provides a summary of current, accruing past due, and non-accrual loans on an amortized cost basis by loan portfolio class that have been modified during the 12 months prior to June 30, 2024. As of June 30, 2024 (in thousands) Current Accruing 30-89 Days Past Due Accruing 90 Days or Greater Past Due Non-accrual Total Commercial, financial and agricultural $ 40,022 $ 1,287 $ — $ 4,487 $ 45,796 Owner-occupied 31,892 317 — 260 32,469 Total commercial and industrial 71,914 1,604 — 4,747 78,265 Investment properties 2,544 — — — 2,544 1-4 family properties 33 — — — 33 Land and development 1,100 — — — 1,100 Total commercial real estate 3,677 — — — 3,677 Consumer mortgages 542 — — 1,553 2,095 Home equity — — — — — Credit cards — — — — — Other consumer loans 854 174 — 332 1,360 Total consumer 1,396 174 — 1,885 3,455 Total FDMs $ 76,987 $ 1,778 $ — $ 6,632 $ 85,397 The following table provides a summary of current, accruing past due, and non-accrual loans on an amortized cost basis by loan portfolio class that were modified on or after January 1, 2023, the date Synovus adopted ASU 2022-02, through June 30, 2023. As of June 30, 2023 (in thousands) Current Accruing 30-89 Days Past Due Accruing 90 Days or Greater Past Due Non-accrual (1) Total Commercial, financial and agricultural $ 25,697 $ — $ — $ 13,401 $ 39,098 Owner-occupied 43,087 — — — 43,087 Total commercial and industrial 68,784 — — 13,401 82,185 Investment properties 660 — — — 660 1-4 family properties 1,708 — — 1,680 3,388 Land and development — — — — — Total commercial real estate 2,368 — — 1,680 4,048 Consumer mortgages — — — 807 807 Home equity 716 — — — 716 Credit cards — — — — — Other consumer loans 386 — — 548 934 Total consumer 1,102 — — 1,355 2,457 Total FDMs $ 72,254 $ — $ — $ 16,436 $ 88,690 (1) |
