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

Exhibit 99.2

Synovus

INCOME STATEMENT DATA

(Unaudited)

(In thousands, except per share data)		2016			2015								1st Quarter
		First Quarter			Fourth Quarter		Third Quarter		Second Quarter		First Quarter		‘16 vs. ‘15 Change
Interest income	$		249,323			242,814		238,093		233,654		231,401		7.7	%
Interest expense			31,130			30,194		30,303		30,010		28,138		10.6
Net interest income			218,193			212,620		207,790		203,644		203,263		7.3
Provision for loan losses			9,377			5,021		2,956		6,636		4,397		113.3
Net interest income after provision for loan losses			208,816			207,599		204,834		197,008		198,866		5.0
Non-interest income:
Service charges on deposit accounts			19,710			20,522		20,692		19,795		19,133		3.0
Fiduciary and asset management fees			11,274			11,206		11,308		11,843		11,571		(2.6)
Brokerage revenue			6,483			6,877		6,946		6,782		7,251		(10.6)
Mortgage banking income			5,484			4,136		5,965		7,511		6,484		(15.4)
Bankcard fees			8,372			8,262		8,334		8,499		8,077		3.7
Investment securities gains, net			67			58		-		1,985		725		(90.8)
Other fee income			4,804			5,798		5,521		4,605		5,246		(8.4)
Other non-interest income			6,953			9,316		8,293		7,812		7,367		(5.6)
Total non-interest income			63,147			66,175		67,059		68,832		65,854		(4.1)
Non-interest expense:
Salaries and other personnel expense			101,358			95,524		94,341		94,565		96,488		5.0
Net occupancy and equipment expense			26,577			27,816		26,937		26,541		26,172		1.5
Third-party processing expense			11,116			10,993		10,844		10,672		10,343		7.5
FDIC insurance and other regulatory fees			6,719			6,776		6,591		6,767		6,957		(3.4)
Professional fees			6,369			8,265		6,371		6,417		5,594		13.9
Advertising expense			2,410			3,680		5,488		2,865		3,443		(30.0)
Foreclosed real estate expense, net			2,684			4,454		4,503		4,351		9,496		(71.7)
Visa indemnification charges			360			371		363		354		375		(4.0)
Loss on early extinguishment of debt			4,735			1,533		-		-		-		nm
Litigation contingency/settlement expenses			2,700			710		-		4,400		-		nm
Restructuring charges, net			1,140			69		69		5		(107)		nm
Other operating expenses			22,065			22,842		22,400		20,869		20,147		9.5
Total non-interest expense			188,233			183,033		177,907		177,806		178,908		5.2
Income before income taxes			83,730			90,741		93,986		88,034		85,812		(2.4)
Income tax expense			31,199			32,343		36,058		32,242		31,849		(2.0)
Net income			52,531			58,398		57,928		55,792		53,963		(2.7)
Dividends on preferred stock			2,559			2,559		2,559		2,559		2,559		-
Net income available to common shareholders	$		49,972			55,839		55,369		53,233		51,404		(2.8)	%
Net income per common share, basic	$		0.39			0.43		0.42		0.40		0.38		3.1	%
Net income per common share, diluted			0.39			0.43		0.42		0.40		0.38		3.2
Cash dividends declared per common share			0.12			0.12		0.10		0.10		0.10		20.0
Return on average assets *			0.73	%		0.81		0.81		0.80		0.80		(7)	bps
Return on average common equity *			7.06			7.67		7.64		7.39		7.16		(10)
Weighted average common shares outstanding, basic			127,227			130,354		131,516		132,947		134,933		(5.7)	%
Weighted average common shares outstanding, diluted			127,857			131,197		132,297		133,625		135,744		(5.8)

nm - not meaningful

bps - basis points

* - ratios are annualized

Synovus    

BALANCE SHEET DATA		March 31, 2016		December 31, 2015		March 31, 2015
(Unaudited)
(In thousands, except share data)
ASSETS
Cash and cash equivalents	$		352,060		367,092		429,338
Interest bearing funds with Federal Reserve Bank			908,527		829,887		1,263,886
Interest earning deposits with banks			21,686		17,387		6,871
Federal funds sold and securities purchased under resale agreements			76,300		69,819		80,772
Trading account assets, at fair value			4,801		5,097		20,002
Mortgage loans held for sale, at fair value			62,867		59,275		89,245
Investment securities available for sale, at fair value			3,582,244		3,587,818		3,130,041
Loans, net of deferred fees and costs			22,758,203		22,429,565		21,106,213
Allowance for loan losses			(254,516)		(252,496)		(253,371)
Loans, net			22,503,687		22,177,069		20,852,842
Premises and equipment, net			439,122		445,155		451,843
Goodwill			24,431		24,431		24,431
Other real estate			38,462		47,030		74,791
Deferred tax asset, net			464,242		511,948		589,190
Other assets			692,828		650,645		619,638
Total assets	$		29,171,257		28,792,653		27,632,890
LIABILITIES AND SHAREHOLDERS’ EQUITY
Liabilities:
Deposits:
Non-interest bearing deposits	$		6,896,547		6,732,970		6,251,393
Interest bearing deposits, excluding brokered deposits			15,348,863		15,434,171		14,251,510
Brokered deposits			1,204,518		1,075,520		1,604,946
Total deposits			23,449,928		23,242,661		22,107,849
Federal funds purchased and securities sold under repurchase agreements			203,979		177,025		125,323
Long-term debt			2,360,865		2,186,893		2,188,875
Other liabilities			203,217		185,878		180,208
Total liabilities			26,217,989		25,792,457		24,602,255
Shareholders’ equity:
Series C Preferred Stock - no par value, 5,200,000 shares outstanding at March 31, 2016, December 31, 2015, and March 31, 2015			125,980		125,980		125,980
Common stock - $1.00 par value. 125,849,939 shares outstanding at March 31, 2016, 129,547,032 shares outstanding at December 31, 2015 and 133,929,630 shares outstanding at March 31, 2015			140,794		140,592		140,329
Additional paid-in capital			2,989,854		2,989,981		2,976,882
Treasury stock, at cost - 14,943,977 shares at March 31, 2016, 11,045,377 shares at December 31, 2015, and 6,399,177 shares at March 31, 2015			(512,496)		(401,511)		(261,402)
Accumulated other comprehensive loss, net			(740)		(29,819)		(3,651)
Retained earnings			209,876		174,973		52,497
Total shareholders’ equity			2,953,268		3,000,196		3,030,635
Total liabilities and shareholders’ equity	$		29,171,257		28,792,653		27,632,890

Synovus

AVERAGE BALANCES AND YIELDS/RATES (1)

(Unaudited)

(Dollars in thousands)

	2016				2015
	First Quarter				Fourth Quarter			Third Quarter			Second Quarter			First Quarter
Interest Earning Assets
Taxable investment securities(2)	$	3,537,131				3,481,184			3,380,543			3,165,513			2,998,597
Yield		1.91		%		1.85			1.76			1.79			1.85
Tax-exempt investment securities(2) (4)	$	4,091				4,352			4,509			4,595			4,967
Yield (taxable equivalent)		6.37		%		6.16			6.21			6.15			6.21
Trading account assets	$	5,216				8,067			7,278			12,564			14,188
Yield		1.65		%		2.24			1.84			3.72			3.02
Commercial loans(3) (4)	$	18,253,169				17,884,661			17,522,735			17,297,130			17,176,641
Yield		4.03		%		3.97			3.99			4.01			4.06
Consumer loans(3)	$	4,334,817				4,233,061			4,105,639			3,986,151			3,929,188
Yield		4.37		%		4.27			4.31			4.37			4.45
Allowance for loan losses	$	(258,097	)			(252,049	)		(256,102	)		(254,177	)		(257,167	)
Loans, net(3)	$	22,329,889				21,865,673			21,372,272			21,029,104			20,848,662
Yield		4.15		%		4.08			4.10			4.14			4.19
Mortgage loans held for sale	$	63,339				50,668			69,438			90,419			64,507
Yield		3.72		%		3.84			3.82			3.39			3.92
Federal funds sold, due from Federal Reserve Bank, and other short-term investments	$	885,939				1,081,604			1,380,686			1,590,114			1,123,250
Yield		0.47		%		0.27			0.24			0.24			0.24
Federal Home Loan Bank and Federal Reserve Bank stock(5)	$	80,679				66,790			71,852			76,091			80,813
Yield		3.82		%		5.08			4.71			4.57			3.90
Total interest earning assets	$	26,906,284				26,558,338			26,286,578			25,968,400			25,134,984
Yield		3.73		%		3.63			3.60			3.61			3.73
Interest Bearing Liabilities
Interest bearing demand deposits	$	4,198,738				4,117,116			3,955,803			3,919,401			3,800,476
Rate		0.17		%		0.17			0.18			0.18			0.19
Money market accounts	$	7,095,778				7,062,517			6,893,563			6,466,610			6,210,704
Rate		0.32		%		0.35			0.36			0.35			0.32
Savings deposits	$	722,172				692,536			685,813			675,260			649,597
Rate		0.07		%		0.06			0.06			0.06			0.05
Time deposits under $100,000	$	1,279,811				1,307,601			1,338,994			1,351,299			1,324,513
Rate		0.65		%		0.65			0.66			0.68			0.61
Time deposits over $100,000	$	2,006,302				2,033,193			2,086,851			2,061,434			1,926,380
Rate		0.89		%		0.88			0.88			0.88			0.80
Non maturing brokered deposits	$	315,006				297,925			221,817			185,909			181,754
Rate		0.48		%		0.31			0.31			0.31			0.30
Brokered time deposits	$	780,232				887,168			1,135,346			1,370,022			1,413,068
Rate		0.83		%		0.76			0.71			0.67			0.63
Total interest bearing deposits	$	16,398,039				16,398,056			16,318,187			16,029,935			15,506,492
Rate		0.39		%		0.40			0.42			0.42			0.39
Federal funds purchased and securities sold under repurchase agreements	$	177,921				158,810			207,894			232,531			222,658
Rate		0.10		%		0.08			0.09			0.08			0.08
Long-term debt	$	2,361,973				2,007,924			2,073,185			2,173,595			2,207,215
Rate		2.52		%		2.63			2.46			2.39			2.41
Total interest bearing liabilities	$	18,937,933				18,564,790			18,599,266			18,436,061			17,936,365
Rate		0.66		%		0.65			0.65			0.65			0.63
Non-interest bearing demand deposits	$	6,812,223				6,846,200			6,541,832			6,436,167			6,108,558
Effective cost of funds		0.46		%		0.45			0.46			0.46			0.45
Net interest margin		3.27		%		3.18			3.14			3.15			3.28
Taxable equivalent adjustment	$	305				311			315			330			349

(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 35%, 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 AND NON-PERFORMING LOANS COMPOSITION

(Unaudited)

(Dollars in thousands)

		March 31, 2016
Loan Type		Total Loans			Loans as a% of Total Loans Outstanding				Total Non-performing Loans				Non-performing Loans as a% of Total Nonperforming Loans
Multi-Family	$		1,528,949			6.7	%	$		223		$		0.1	%
Hotels			718,640			3.2				369				0.2
Office Buildings			1,557,608			6.8				2,590				1.5
Shopping Centers			963,520			4.2				-				0.0
Commercial Development			88,251			0.4				7,919				4.4
Warehouses			568,662			2.5				1,150				0.6
Other Investment Property			561,614			2.5				11,498				6.5
Total Investment Properties			5,987,244			26.3				23,749				13.3
1-4 Family Construction			189,395			0.8				430				0.2
1-4 Family Investment Mortgage			783,256			3.4				7,255				4.1
Residential Development			161,941			0.7				9,673				5.4
Total 1-4 Family Properties			1,134,592			5.0				17,358				9.7
Land Acquisition			469,882			2.0				14,416				8.1
Total Commercial Real Estate			7,591,718			33.4				55,523				31.1
Commercial, Financial, and Agricultural			6,559,171			28.7				63,312				35.5
Owner-Occupied			4,272,218			18.8				18,582				10.5
Total Commercial & Industrial			10,831,389			47.6				81,894				46.0
Home Equity Lines			1,669,406			7.3				16,432				9.2
Consumer Mortgages			1,970,193			8.7				21,756				12.2
Credit Cards			232,554			1.1				-				-
Other Retail Loans			492,274			2.2				2,562				1.4
Total Retail			4,364,427			19.2				40,750				22.9
Unearned Income			(29,331	)		(0.1	)			-				nm
Total	$		22,758,203			100.0	%	$		178,167				100.0	%
LOANS OUTSTANDING BY TYPE COMPARISON (Unaudited) (Dollars in thousands)
Loan Type		Total Loans March 31, 2016			December 31, 2015				1Q16 vs. 4Q15 % change(1)				March 31, 2015			1Q16 vs. 1Q15 % change
Multi-Family	$		1,528,949			1,391,453				39.7	%	$		1,227,286			24.6	%
Hotels			718,640			703,825				8.5				634,894			13.2
Office Buildings			1,557,608			1,495,247				16.8				1,287,048			21.0
Shopping Centers			963,520			956,394				3.0				876,667			9.9
Commercial Development			88,251			92,809				(19.8)				123,679			(28.6)
Warehouses			568,662			563,217				3.9				531,234			7.0
Other Investment Property			561,614			548,686				9.5				536,086			4.8
Total Investment Properties			5,987,244			5,751,631				16.5				5,216,894			14.8
1-4 Family Construction			189,395			168,243				50.6				148,248			27.8
1-4 Family Investment Mortgage			783,256			786,797				(1.8)				793,672			(1.3)
Residential Development			161,941			154,814				18.5				169,696			(4.6)
Total 1-4 Family Properties			1,134,592			1,109,854				9.0				1,111,616			2.1
Land Acquisition			469,882			513,981				(34.5)				569,649			(17.5)
Total Commercial Real Estate			7,591,718			7,375,466				11.8				6,898,159			10.1
Commercial, Financial, and Agricultural			6,559,171			6,472,482				5.4				6,175,460			6.2
Owner-Occupied			4,272,218			4,318,950				(4.4)				4,141,229			3.2
Total Commercial & Industrial			10,831,389			10,791,432				1.5				10,316,689			5.0
Home Equity Lines			1,669,406			1,689,914				(4.9)				1,672,038			(0.2)
Consumer Mortgages			1,970,193			1,938,683				6.5				1,702,388			15.7
Credit Cards			232,554			240,851				(13.9)				242,257			(4.0)
Other Retail Loans			492,274			423,318				65.5				304,050			61.9
Total Retail			4,364,427			4,292,766				6.7				3,920,733			11.3
Unearned Income			(29,331)			(30,099)				(10.3)				(29,368)			(0.1)
Total	$		22,758,203			22,429,565				5.9	%		$	21,106,213			7.8	%

(1) Percentage change is annualized.

Synovus

  CREDIT QUALITY DATA

  (Unaudited)

(Dollars in thousands)		2016			2015								1st Quarter
		First Quarter			Fourth Quarter		Third Quarter		Second Quarter		First Quarter		‘16 vs. ‘15 Change
Non-performing Loans	$		178,167			168,370		157,640		173,638		194,232		(8.3	)	%
Other Loans Held for Sale(1)			-			-		-		-		1,082		(100.0	)
Other Real Estate			38,462			47,030		64,346		66,449		74,791		(48.6	)
Non-performing Assets			216,629			215,400		221,986		240,087		270,105		(19.8	)
Allowance for loan losses			254,516			252,496		250,900		254,702		253,371		0.5
Net Charge-Offs - Quarter			7,357			3,425		6,758		5,306		12,343		(40.4	)
Net Charge-Offs / Average Loans - Quarter(2)			0.13	%		0.06		0.12		0.10		0.23
Non-performing Loans / Loans			0.78			0.75		0.72		0.81		0.92
Non-performing Assets / Loans, Other Loans Held for Sale & ORE			0.95			0.96		1.01		1.11		1.28
Allowance / Loans			1.12			1.13		1.15		1.18		1.20
Allowance / Non-performing Loans			142.85			149.96		159.16		146.69		130.45
Allowance / Non-performing Loans (3)			173.64			189.47		205.90		202.08		197.55
Past Due Loans over 90 days and Still Accruing	$		3,214			2,621		2,998		4,832		5,025		(36.0	)	%
As a Percentage of Loans Outstanding			0.01	%		0.01		0.01		0.02		0.02
Total Past Due Loans and Still Accruing	$		63,852			47,912		39,350		50,860		57,443		11.2
As a Percentage of Loans Outstanding			0.28	%		0.21		0.18		0.24		0.27
Accruing Troubled Debt Restructurings (TDRs)	$		209,159			223,873		240,370		268,542		313,362		(33.3	)
(1) Represent impaired loans that are intended to be sold. Held for sale loans are carried at the lower of cost or fair value, less costs to sell.
(2) Ratio is annualized.
(3) Excludes non-performing loans for which the expected loss has been charged off.
SELECTED CAPITAL INFORMATION (1)
(Unaudited)
(Dollars in thousands)
		March 31, 2016			December 31, 2015		March 31, 2015
Tier 1 Capital	$		2,609,191			2,660,016		2,592,618
Total Risk-Based Capital			3,183,901			3,255,758		3,037,528
Common Equity Tier 1 Ratio (transitional)			10.05	%		10.37		10.80
Common Equity Tier 1 Ratio (fullyphased-in)			9.47			9.77		10.14
Tier 1 Capital Ratio			10.05			10.37		10.80
Total Risk-Based Capital Ratio			12.26			12.70		12.65
Tier 1 Leverage Ratio			9.15			9.43		9.66
Common Equity as a Percentage of Total Assets (2)			9.69			9.98		10.51
Tangible Common Equity as a Percentage of Tangible Assets (3)			9.62			9.90		10.43
Tangible Common Equity as a Percentage of Risk Weighted Assets(3)			10.79			11.11		11.99
Book Value Per Common Share(4)			22.47			22.19		21.69
Tangible Book Value Per Common Share (3)			22.27			21.99		21.50
(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.