First Horizon (FHN) 8-K Results of Operations and Financial Condition

Exhibit 99.1

FOURTH QUARTER 2016

FINANCIAL SUPPLEMENT

If you need further information, please contact:

Aarti Bowman, Investor Relations

901-523-4017

aagoorha@firsthorizon.com

FHN TABLE OF CONTENTS

	Page
First Horizon National Corporation Segment Structure	3
Performance Highlights	4
Consolidated Results
Income Statement
Income Statement	6
Other Income and Other Expense	7
Balance Sheet
Period End Balance Sheet	8
Average Balance Sheet	9
Net Interest Income	10
Average Balance Sheet: Yields and Rates	11
Capital Highlights	12
Business Segment Detail
Segment Highlights	13
Regional Banking	14
Fixed Income and Corporate	15
Non-Strategic	16
Asset Quality
Asset Quality: Consolidated	17
Asset Quality: Regional Banking and Corporate	19
Asset Quality: Non-Strategic	20
Portfolio Metrics	21
Non-GAAP to GAAP Reconciliation	22
Glossary of Terms	23
Other Information

This financial supplement contains forward-looking statements involving significant risks and uncertainties. A number of important factors could cause actual results to differ materially from those in the forward-looking information. Those factors include general economic and financial market conditions, including expectations of and actual timing and amount of interest rate movements including the slope of the yield curve, competition, customer and investor responses to these conditions, ability to execute business plans, geopolitical developments, recent and future legislative and regulatory developments, natural disasters, and items mentioned in this financial supplement and in First Horizon National Corporation’s (“FHN”) most recent press release, as well as critical accounting estimates and other factors described in FHN’s recent filings with the SEC. FHN disclaims any obligation to update any such forward-looking statements or to publicly announce the result of any revisions to any of the forward-looking statements to reflect future events or developments.

Use of Non-GAAP Measures and Regulatory Measures that are not GAAP

Certain measures are included in this financial supplement that are “non-GAAP,” meaning (under U.S. financial reporting rules) they are not presented in accordance with generally accepted accounting principles (“GAAP”) in the U.S. and also are not codified in U.S. banking regulations currently applicable to FHN. Although other entities may use calculation methods that differ from those used by FHN for non-GAAP measures, FHN’s management believes such measures are relevant to understanding the financial condition, capital position, and financial results of FHN and its business segments. Non-GAAP measures are reported to FHN’s management and Board of Directors through various internal reports.

Presentation of regulatory measures, some of which follow regulatory definitions rather than GAAP, provides a meaningful base for comparability to other financial institutions subject to the same regulations as FHN. Such measures are used by the various banking regulators in reviewing the performance, stability, and capital adequacy of financial institutions they regulate. Although not GAAP terms, these regulatory measures are not considered “non-GAAP” under U.S. financial reporting rules as long as their presentation conforms to regulatory standards. Regulatory measures used in this financial supplement include: common equity tier 1 capital, generally defined as common equity less goodwill, other intangibles, and certain other required regulatory deductions; tier 1 capital, generally defined as the sum of core capital (including common equity and instruments that cannot be redeemed at the option of the holder) adjusted for certain items under risk based capital regulations; risk weighted assets (“RWA”), which is a measure of total on- and off-balance sheet assets adjusted for credit and market risk, used to determine regulatory capital ratios; and pre-provision net revenue (“PPNR”), calculated by adding the provision/(provision credit) for loan losses to income before income taxes.

The non-GAAP measures presented in this financial supplement are return on average tangible common equity (“ROTCE”), tangible common equity (“TCE”) to tangible assets (“TA”), and tangible book value per common share.

Refer to the tabular reconciliation of non-GAAP to GAAP measures and presentation of the most comparable GAAP items on page 22 of this financial supplement.

2

FIRST HORIZON NATIONAL CORPORATION SEGMENT STRUCTURE  

3

FHN PERFORMANCE HIGHLIGHTS

Summary of Fourth Quarter 2016 Notable Items

	Segment	Item	Income Statement	Amount	Comments
•	Regional Banking & Non-Strategic	Litigation expense	Noninterest Expense: Litigation and regulatory matters	$4.7 million	Pre-tax loss accruals related to legal matters

Consolidated Results for Fiscal Year 2016 vs. 2015

• Net income available to common shareholders was $220.8 million, or $.94 per diluted share in 2016, compared to $79.7 million, or $.34 per diluted share in 2015

• Net interest income (“NII”) increased 12 percent in 2016 to $729.1 million from $653.7 million in 2015; Net interest margin (“NIM”) increased to 2.94 percent from 2.83 percent

• The increase in NII was the result of loan growth within the regional bank, the positive impact of higher market rates, lower long-term funding costs, and a larger investment securities portfolio, partially offset by the continued run-off of the non-strategic loan portfolios and lower cash basis interest income in 2016 relative to the prior year

• Higher market rates, lower long-term funding costs, a decrease in average excess cash held at the Fed during the year, and higher average balances of loans to mortgage companies contributed to the increase in NIM, but were somewhat mitigated by the continued run-off of the non-strategic loan portfolios and a decrease in cash basis interest income relative to 2015

• Noninterest income (including securities gains) increased to $552.4 million in 2016 from $517.3 million in 2015 primarily driven by higher fixed income sales revenue in 2016

• Provision expense was $11.0 million in 2016 compared to $9.0 million in 2015

• Noninterest expense decreased to $.9 billion in 2016 from $1.1 billion in 2015

• The decrease in noninterest expense was primarily the result of an 84 percent decline in loss accruals related to legal matters and the favorable impact of a $32.7 million reversal of repurchase and foreclosure provision primarily as a result of settlements/recoveries of certain repurchase claims, somewhat offset by an increase in personnel expenses within the regional banking and fixed income segments

• Period-end loans increased 11 percent to $19.6 billion; average loans were $18.3 billion in 2016 compared to $16.6 billion in 2015

• The increase in period-end and average loans was driven by the third quarter 2016 franchise finance loan purchase, as well as increases in loans to mortgage companies and other commercial loan portfolios within the regional bank, somewhat offset by the continued run-off of the non-strategic loan portfolios

• The positive impact of the $.5 billion third quarter 2016 franchise finance loan purchase on average loans was somewhat mitigated by the transaction’s timing

• Period-end core deposits increased 13 percent to $22.0 billion; average core deposits were $20.3 billion in 2016 compared to $18.4 billion in 2015

• Increase in period-end and average core deposits was driven by an increase in insured network deposits and other customer deposits

• The fourth quarter 2015 TrustAtlantic acquisition also contributed to the increase in average core deposits in 2016 compared to the prior year

Fourth Quarter 2016 vs. Third Quarter 2016

Consolidated

• Net income available to common shareholders was $53.3 million, or $.23 per diluted share in fourth quarter, compared to $63.2 million, or $.27 per diluted share in third quarter

• NII increased to $195.6 million in fourth quarter from $185.2 million in third quarter; NIM increased to 3.00 percent in fourth quarter from 2.96 percent in prior quarter

• NII was favorably impacted by loan growth within the regional bank and the positive impact of higher market rates

• The increase in NIM was primarily due to higher market rates, somewhat offset by an increase in average excess cash held at the Fed during fourth quarter relative to third quarter

• Noninterest income (including securities gains) was $124.1 million in fourth quarter compared to $148.5 million in prior quarter

• The decrease was primarily driven by lower fixed income sales revenue

• Noninterest expense increased to $237.9 million in fourth quarter from $233.6 million in third quarter primarily driven by a net increase in loss accruals related to legal matters

• Period-end loans were $19.6 billion in fourth and third quarters; average loans increased 4 percent to $19.4 billion in fourth quarter

• Period-end core deposits were $22.0 billion and $21.0 billion in fourth quarter and third quarter, respectively; average core deposits increased 5 percent linked quarter to $21.7 billion in fourth quarter

Regional Banking

• Pre-tax income was $98.5 million in fourth quarter compared to $102.1 million in third quarter; pre-provision net revenue was $103.2 million and $110.6 million in fourth and third quarters, respectively

• Period-end loans were $17.9 billion and $17.8 billion in fourth and third quarters, respectively; average loans increased 5 percent to $17.7 billion in fourth quarter

• The increase in average loans was primarily driven by the third quarter 2016 franchise finance loan purchase, as well as increases in other commercial loan portfolios

• Period-end core deposits increased to $18.7 billion in fourth quarter from $18.2 billion in third quarter; average core deposits increased 2 percent to $18.4 billion

• NII increased to $200.7 million in fourth quarter from $190.5 million in third quarter

• The increase in NII was largely the result of higher average balances of franchise finance loans, higher average balances of other commercial loans, and a higher earnings credit on deposits

• Provision expense was $4.7 million in fourth quarter compared to $8.5 million in the prior quarter

• Provision in fourth quarter was primarily driven by increased reserves as a result of commercial loan growth

• Net charge-offs declined by $1.5 million in fourth quarter to $2.0 million driven by a net recovery in the C&I portfolio of $1.6 million

• Noninterest income was $63.3 million in fourth quarter compared to $65.1 million in third quarter; the decrease was largely the result of the favorable impact on third quarter income of a $1.8 million gain on the sale of properties

• Noninterest expense increased to $160.8 million in fourth quarter from $145.0 million in third quarter primarily driven by a $7.0 million net increase in loss accruals related to legal matters

• Fourth quarter includes $2.7 million of loss accruals related to legal matters compared to a $4.3 million reversal in third quarter

• Higher personnel-related expenses associated with strategic hires in expansion markets and specialty areas and professional fees also contributed to the linked-quarter expense increase

4

FHN PERFORMANCE HIGHLIGHTS (continued)

Fourth Quarter 2016 vs. Third Quarter 2016 (continued)

Fixed Income

• Pre-tax income was $5.9 million in fourth quarter compared to $14.9 million in third quarter

• Noninterest income decreased to $52.1 million in fourth quarter from $72.1 million in the prior quarter

• Fixed income product revenue was $43.8 million in fourth quarter compared to $59.0 million in third quarter

• Fixed income product average daily revenue (“ADR”) was $718 thousand and $922 thousand in fourth and third quarters, respectively, the decrease was driven by market uncertainties, a sharp increase in rates and lower trading activity

• Other product revenue decreased $4.8 million to $8.3 million in fourth quarter driven by a decrease in fees from loan and derivative sales

• Noninterest expense decreased to $48.7 million in fourth quarter from $59.6 million in the prior quarter primarily due to lower variable compensation costs

Corporate

• Pre-tax loss was $27.5 million in fourth quarter compared to pre-tax loss of $27.9 million in prior quarter

• NII was negative $17.5 million and negative $18.2 million in fourth and third quarter, respectively

• Estimated effective duration of the securities portfolio was 4.8 years in fourth quarter compared to 2.5 years in third quarter

• Higher interest rates in fourth quarter provided an attractive entry point for further moderation of the balance sheet’s asset sensitivity. Part of this initiative included bond swaps executed in the fourth quarter to extend the duration of the investment portfolio. Higher interest rates also extended the duration of existing holdings in the investment portfolio

• Noninterest income (including net securities gains) was $4.7 million in fourth quarter compared to $5.1 million in third quarter

• Noninterest expense decreased to $14.6 million in fourth quarter from $14.8 million in prior quarter

Non-Strategic

• Pre-tax income was $4.8 million in fourth quarter compared to $7.0 million in third quarter

• NII was $9.8 million and $10.5 million in fourth and third quarter, respectively

• The provision credit was $4.7 million in fourth quarter compared to a provision credit of $4.5 million in third quarter

• The level of provision continues to reflect declining balances combined with stable performance within the legacy portfolio

• Noninterest income was $4.0 million in fourth quarter compared to $6.2 million in prior quarter

• Fourth quarter included a $1.5 million gain related to the reversal of a contingency accrual associated with prior sales of MSR, while third quarter included $4.4 million of gains primarily related to recoveries associated with prior legacy mortgage servicing sales

• Noninterest expense decreased to $13.7 million in fourth quarter from $14.2 million in third quarter driven by a $2.5 million net decline in loss accruals related to legal matters somewhat offset by an increase in legal fees

Asset Quality

• Allowance for loan losses increased to $202.1 million in fourth quarter from $201.6 million in third quarter; the allowance to loans ratio remained flat at 103 basis points in fourth quarter

• Reserves for the commercial portfolio increased $4.0 million which was partially offset by a $3.5 million decline in consumer portfolio reserves

• The increase in regional bank commercial reserves was primarily due to increased balances compared to third quarter

• Net recoveries were $.5 million in fourth quarter compared to net charge-offs (“NCOs”) of $2.3 million in third quarter

• Regional bank net charge-offs decreased $1.5 million to $2.0 million in fourth quarter due to a net recovery in C&I of $1.6 million; the net recovery was primarily driven by one credit

• Non-strategic net recoveries increased $1.3 million to $2.5 million in fourth quarter; the increase was driven by the consumer real estate portfolio

• Nonperforming loans (“NPLs”), excluding loans held-for-sale, decreased to $145.6 million in fourth quarter from $152.1 million in third quarter; the decrease was largely driven by the consumer real estate portfolio

• Nonperforming assets (“NPAs”), excluding loans held-for-sale, were $156.9 million compared to $165.7 million

• 30+ delinquencies as a percentage of total loans increased to 34 basis points in fourth quarter compared to 32 basis points in third quarter; the increase was primarily driven by the consumer portfolio

• TDRs decreased to $354.5 million in fourth quarter from $360.8 million in prior quarter

Taxes

• The effective tax rates for fourth and third quarters were 29.37 percent and 29.68 percent, respectively.

• The rates reflect the favorable effect from permanent benefits. Permanent benefits primarily consist of tax credit investments, life insurance, and tax-exempt interest

Capital and Liquidity

• Declared $.07 per common share quarterly dividend in fourth quarter, aggregating $16.3 million, which was paid on January 3, 2017

• Declared aggregate preferred quarterly dividend of $1.6 million in fourth quarter which was paid on January 10, 2017

• There were no repurchases of shares under the current share repurchase program in fourth quarter; $189.7 million remains in the stock purchase authorization first announced in 2014, currently scheduled to expire January 31, 2018

• Capital ratios (regulatory capital ratios calculated under the Basel III risk-based capital rules as phased-in; current quarter is an estimate)

• Total equity to total assets (GAAP) of 9.47 percent in fourth quarter compared to 9.65 percent in prior quarter

• Tangible common equity to tangible assets (Non-GAAP) of 7.42 percent in fourth quarter compared to 7.58 percent in prior quarter

• Common Equity Tier 1 of 9.94 percent in fourth quarter compared to 9.81 percent in prior quarter

• Tier 1 of 11.17 percent in fourth quarter compared to 11.03 percent in prior quarter

• Total Capital of 12.23 percent in fourth quarter compared to 12.09 percent in prior quarter

• Leverage of 9.35 percent in fourth quarter compared to 9.52 percent in prior quarter

5

FHN CONSOLIDATED INCOME STATEMENT

Quarterly/Annually, Unaudited

																4Q16 Changes vs.						Twelve months ended						2016 vs.
(Dollars in thousands, except per share data)	4Q16			3Q16			2Q16			1Q16			4Q15			3Q16			4Q15			2016			2015			2015
Interest income	$	219,897		$	206,972		$	197,376		$	193,664		$	187,620			6	%		17	%	$	817,909		$	736,405			11	%
Less: interest expense		24,346			21,777			21,112			21,590			20,968			12	%		16	%		88,825			82,685			7	%
Net interest income		195,551			185,195			176,264			172,074			166,652			6	%		17	%		729,084			653,720			12	%
Provision for loan losses		—			4,000			4,000			3,000			1,000			NM			NM			11,000			9,000			22	%
Net interest income after provision for loan losses		195,551			181,195			172,264			169,074			165,652			8	%		18	%		718,084			644,720			11	%
Noninterest income:
Fixed income		51,923			71,748			77,913			66,977			61,673			(28	)%		(16	)%		268,561			231,337			16	%
Deposit transactions and cash management		27,504			27,221			26,991			26,837			28,951			1	%		(5	)%		108,553			112,843			(4	)%
Brokerage, management fees and commissions		11,003			10,828			10,665			10,415			11,021			2	%		*			42,911			46,496			(8	)%
Trust services and investment management		7,053			6,885			7,224			6,565			6,873			2	%		3	%		27,727			27,577			1	%
Bankcard income (a)		6,353			6,260			6,558			5,259			5,607			1	%		13	%		24,430			22,238			10	%
Bank-owned life insurance		3,558			3,997			3,743			3,389			3,738			(11	)%		(5	)%		14,687			14,726			*
Securities gains/(losses), net		(132	)		(200	)		99			1,574			1,439			34	%		NM			1,341			1,378			(3	)%
Other (b)		16,815			21,806			12,321			13,289			12,930			(23	)%		30	%		64,231			60,730			6	%
Total noninterest income		124,077			148,545			145,514			134,305			132,232			(16	)%		(6	)%		552,441			517,325			7	%
Adjusted gross income after provision for loan losses		319,628			329,740			317,778			303,379			297,884			(3	)%		7	%		1,270,525			1,162,045			9	%
Noninterest expense:
Employee compensation, incentives, and benefits		137,324			145,103			143,370			137,151			136,000			(5	)%		1	%		562,948			511,633			10	%
Repurchase and foreclosure provision (c)		(1,104	)		(218	)		(31,400	)		—			—			NM			NM			(32,722	)		—			NM
Legal fees		6,038			4,750			5,891			4,879			4,601			27	%		31	%		21,558			16,287			32	%
Professional fees		4,827			4,859			4,284			5,199			4,859			(1	)%		(1	)%		19,169			18,922			1	%
Occupancy		12,818			12,722			12,736			12,604			13,853			1	%		(7	)%		50,880			51,117			*
Computer software (d)		11,909			10,400			11,226			11,587			11,432			15	%		4	%		45,122			44,724			1	%
Contract employment and outsourcing		2,696			2,443			2,497			2,425			3,159			10	%		(15	)%		10,061			14,494			(31	)%
Operations services		10,913			10,518			10,521			9,900			9,761			4	%		12	%		41,852			39,261			7	%
Equipment rentals, depreciation, and maintenance		7,959			6,085			7,182			6,159			8,568			31	%		(7	)%		27,385			30,864			(11	)%
FDIC premium expense		6,095			5,721			4,848			4,921			5,098			7	%		20	%		21,585			18,027			20	%
Advertising and public relations (e)		6,093			6,065			4,481			4,973			5,273			*			16	%		21,612			19,187			13	%
Communications and courier		3,593			3,883			3,039			3,750			4,089			(7	)%		(12	)%		14,265			15,820			(10	)%
Amortization of intangible assets		1,300			1,299			1,299			1,300			1,359			*			(4	)%		5,198			5,253			(1	)%
Other (b)		27,436			19,928			46,848			22,079			35,688			38	%		(23	)%		116,291			268,202			(57	)%
Total noninterest expense		237,897			233,558			226,822			226,927			243,740			2	%		(2	)%		925,204			1,053,791			(12	)%
Income before income taxes		81,731			96,182			90,956			76,452			54,144			(15	)%		51	%		345,321			108,254			NM
Provision for income taxes		24,008			28,547			30,016			24,239			2,715			(16	)%		NM			106,810			10,941			NM
Net income		57,723			67,635			60,940			52,213			51,429			(15	)%		12	%		238,511			97,313			NM
Net income attributable to noncontrolling interest		2,879			2,883			2,852			2,851			2,848			*			1	%		11,465			11,434			*
Net income attributable to controlling interest		54,844			64,752			58,088			49,362			48,581			(15	)%		13	%		227,046			85,879			NM
Preferred stock dividends		1,550			1,550			1,550			1,550			1,550			*			*			6,200			6,200			*
Net income available to common shareholders	$	53,294		$	63,202		$	56,538		$	47,812		$	47,031			(16	)%		13	%	$	220,846		$	79,679			NM
Common Stock Data
EPS	$	0.23		$	0.27		$	0.24		$	0.20		$	0.20			(15	)%		15	%	$	0.95		$	0.34			NM
Basic shares (thousands)		232,731			231,856			231,573			234,651			237,983			*			(2	)%		232,700			234,189			(1	)%
Diluted EPS	$	0.23		$	0.27		$	0.24		$	0.20		$	0.20			(15	)%		15	%	$	0.94		$	0.34			NM
Diluted shares (thousands)		235,590			234,092			233,576			236,666			240,072			1	%		(2	)%		235,292			236,266			*
Key Ratios & Other
Return on average assets (annualized) (f)		0.80	%		0.97	%		0.91	%		0.79	%		0.78	%								0.87	%		0.38	%
Return on average common equity (“ROE”) (annualized) (f)		9.00	%		10.80	%		10.04	%		8.53	%		8.23	%								9.60	%		3.64	%
Return on average tangible common equity (“ROTCE”) (annualized) (f) (g)		9.89	%		11.90	%		11.10	%		9.44	%		9.07	%								10.59	%		3.97	%
Fee income to total revenue (f)		38.84	%		44.54	%		45.21	%		43.55	%		43.97	%								43.05	%		44.11	%
Efficiency ratio (f)		74.40	%		69.94	%		70.51	%		74.45	%		81.94	%								72.27	%		90.09	%
Full time equivalent employees		4,248			4,246			4,228			4,241			4,260

Certain previously reported amounts have been reclassified to agree with current presentation.

NM - Not meaningful

* Amount is less than one percent.

(a)	2Q16 increase driven by a significant new relationship.
(b)	Refer to the Other Income and Other Expense table on page 7 for additional information.
(c)	Expense reversals driven by the settlements/recoveries of certain repurchase claims.
(d)	4Q16 expense increase largely driven by investments in the new digital banking platform.
(e)	4Q16 includes $1.1 million related to CRA initiatives; 3Q16 increase related to a promotional branding campaign.
(f)	See Glossary of Terms for definitions of Key Ratios.
(g)	This non-GAAP measure is reconciled to ROE (GAAP) in the Non-GAAP to GAAP reconciliation on page 22 of this financial supplement.

6

FHN OTHER INCOME AND OTHER EXPENSE

Quarterly/Annually, Unaudited

														4Q16 Changes vs.						Twelve months ended					2016 vs.
(Thousands)	4Q16		3Q16		2Q16			1Q16			4Q15			3Q16			4Q15			2016		2015			2015
Other Income
ATM and interchange fees	$	3,047	$	3,081	$	2,879		$	2,958		$	3,133			(1	)%		(3	)%	$	11,965	$	11,917			*
Electronic banking fees		1,301		1,398		1,381			1,397			1,474			(7	)%		(12	)%		5,477		5,840			(6	)%
Letter of credit fees		946		981		1,115			1,061			988			(4	)%		(4	)%		4,103		4,621			(11	)%
Mortgage banking (a)		2,820		5,524		598			1,273			1,149			(49	)%		NM			10,215		3,870			NM
Deferred compensation (b)		863		1,038		795			329			(58	)		(17	)%		NM			3,025		(1,369	)		NM
Gain/(loss) on extinguishment of debt (c)		—		—		—			—			(1	)		NM			NM			—		5,793			NM
Insurance commissions		680		1,262		552			487			769			(46	)%		(12	)		2,981		2,627			13	%
Other service charges		3,018		3,004		2,996			2,713			2,751			*			10	%		11,731		11,610			1	%
Other (d)		4,140		5,518		2,005			3,071			2,725			(25	)%		52	%		14,734		15,821			(7	)%
Total	$	16,815	$	21,806	$	12,321		$	13,289		$	12,930			(23	)%		30	%	$	64,231	$	60,730			6	%
Other Expense
Litigation and regulatory matters (e)	$	4,684	$	260	$	26,000		$	(475	)	$	14,185			NM			(67	)%	$	30,469	$	187,607			(84	)%
Tax credit investments (f)		1,024		788		831			706			3,199			30	%		(68	)%		3,349		4,582			(27	)%
Travel and entertainment		3,240		2,478		2,495			2,062			2,893			31	%		12	%		10,275		9,590			7	%
Employee training and dues		1,603		1,360		1,338			1,390			1,537			18	%		4	%		5,691		5,390			6	%
Customer relations		1,451		1,442		1,483			1,879			1,086			1	%		34	%		6,255		5,382			16	%
Miscellaneous loan costs		628		676		565			717			835			(7	)%		(25	)%		2,586		2,656			(3	)%
Supplies		1,320		1,158		930			1,026			1,046			14	%		26	%		4,434		3,827			16	%
Foreclosed real estate		648		815		(432	)		(258	)		475			(20	)%		36	%		773		2,104			(63	)%
Other insurance and taxes		1,939		2,625		3,014			3,313			2,874			(26	)%		(33	)%		10,891		12,941			(16	)%
Other (g)		10,899		8,326		10,624			11,719			7,558			31	%		44	%		41,568		34,123			22	%
Total	$	27,436	$	19,928	$	46,848		$	22,079		$	35,688			38	%		(23	)%	$	116,291	$	268,202			(57	)%

Certain previously reported amounts have been reclassified to agree with current presentation.

NM-Not meaningful

* Amount is less than one percent.

(a)	4Q16 includes a $1.5 million gain related to the reversal of a contingency accrual associated with prior sales of MSR; 3Q16 includes $4.4 million of gains primarily related to recoveries associated with prior legacy mortgage servicing sales
(b)	Amounts driven by market conditions and are mirrored by changes in deferred compensation expense which is included in employee compensation expense.
(c)	2015 gain related to the extinguishment of $206 million of junior subordinated notes underlying $200 million of trust preferred debt.
(d)	3Q16 includes a $1.8 million gain on the sales of properties; 2015 includes $3.7 million gain on the sale of properties.
(e)	2015 includes $162.5 million related to the settlement of potential claims related to FHN’s underwriting and origination of FHA-insured mortgage loans.
(f)	4Q15 includes $2.8 million of impairment related to a tax credit investment accounted for under the equity method.
(g)	2Q16 includes $2.5 million of negative valuation adjustments associated with derivatives related to prior sales of Visa Class B shares; 1Q16 includes $3.7 million of impairment related to branch closures.

7

FHN CONSOLIDATED PERIOD-END BALANCE SHEET

Quarterly, Unaudited

																4Q16 Changes vs.
(Thousands)	4Q16			3Q16			2Q16			1Q16			4Q15			3Q16			4Q15
Assets:
Investment securities	$	3,957,846		$	4,041,934		$	4,023,576		$	4,028,731		$	3,944,166			(2	)%		*
Loans held-for-sale		111,248			155,215			117,976			116,270			126,342			(28	)%		(12	)%
Loans, net of unearned income		19,589,520			19,555,787			18,589,337			17,574,994			17,686,502			*			11	%
Federal funds sold		50,838			27,097			40,570			34,061			114,479			88	%		(56	)%
Securities purchased under agreements to resell		613,682			802,815			881,732			767,483			615,773			(24	)%		*
Interest-bearing cash (a)		1,060,034			219,834			321,743			951,920			602,836			NM			76	%
Trading securities		897,071			1,320,535			1,162,959			1,226,521			881,450			(32	)%		2	%
Total earning assets		26,280,239			26,123,217			25,137,893			24,699,980			23,971,548			1	%		10	%
Cash and due from banks		373,274			327,639			283,648			280,625			300,811			14	%		24	%
Fixed income receivables (b)		57,411			91,997			219,939			114,854			63,660			(38	)%		(10	)%
Goodwill		191,371			191,371			191,307			191,307			191,307			*			*
Other intangible assets, net		21,017			22,317			23,616			24,915			26,215			(6	)%		(20	)%
Premises and equipment, net		289,385			279,178			279,676			274,347			275,619			4	%		5	%
Real estate acquired by foreclosure		16,237			18,945			20,053			24,521			33,063			(14	)%		(51	)%
Allowance for loan losses		(202,068	)		(201,557	)		(199,807	)		(204,034	)		(210,242	)		*			(4	)%
Derivative assets		121,654			160,736			196,989			165,007			104,365			(24	)%		17	%
Other assets		1,406,711			1,435,379			1,387,756			1,392,160			1,436,291			(2	)%		(2	)%
Total assets	$	28,555,231		$	28,449,222		$	27,541,070		$	26,963,682		$	26,192,637			*			9	%
Liabilities and Equity:
Deposits:
Savings	$	9,428,197		$	8,753,115		$	7,960,182		$	7,921,344		$	7,811,191			8	%		21	%
Other interest-bearing deposits		5,948,439			5,605,734			5,720,628			5,371,864			5,388,526			6	%		10	%
Time deposits		706,700			732,561			741,992			763,897			788,487			(4	)%		(10	)%
Total interest-bearing core deposits		16,083,336			15,091,410			14,422,802			14,057,105			13,988,204			7	%		15	%
Noninterest-bearing deposits		5,940,594			5,890,252			5,684,732			5,717,195			5,535,885			1	%		7	%
Total core deposits (c)		22,023,930			20,981,662			20,107,534			19,774,300			19,524,089			5	%		13	%
Certificates of deposit $100,000 and more		648,433			592,518			522,643			553,534			443,389			9	%		46	%
Total deposits		22,672,363			21,574,180			20,630,177			20,327,834			19,967,478			5	%		14	%
Federal funds purchased		414,207			538,284			508,669			588,413			464,166			(23	)%		(11	)%
Securities sold under agreements to repurchase		453,053			341,998			451,129			425,217			338,133			32	%		34	%
Trading liabilities		561,848			702,226			789,540			738,653			566,019			(20	)%		(1	)%
Other short-term borrowings (d)		83,177			792,736			543,033			96,723			137,861			(90	)%		(40	)%
Term borrowings (e)		1,040,656			1,065,651			1,076,943			1,323,749			1,312,677			(2	)%		(21	)%
Fixed income payables (b)		21,002			68,897			90,400			56,399			23,072			(70	)%		(9	)%
Derivative liabilities		135,897			144,829			170,619			146,297			108,339			(6	)%		25	%
Other liabilities		467,944			475,839			588,636			617,449			635,306			(2	)%		(26	)%
Total liabilities		25,850,147			25,704,640			24,849,146			24,320,734			23,553,051			1	%		10	%
Equity:
Common stock		146,015			145,772			145,012			145,342			149,117			*			(2	)%
Capital surplus		1,386,636			1,376,319			1,362,528			1,371,397			1,439,303			1	%		(4	)%
Undivided profits		1,029,032			992,264			945,663			905,595			874,303			4	%		18	%
Accumulated other comprehensive loss, net		(247,654	)		(160,828	)		(152,334	)		(170,441	)		(214,192	)		54	%		16	%
Preferred stock		95,624			95,624			95,624			95,624			95,624			*			*
Noncontrolling interest (f)		295,431			295,431			295,431			295,431			295,431			*			*
Total equity		2,705,084			2,744,582			2,691,924			2,642,948			2,639,586			(1	)%		2	%
Total liabilities and equity	$	28,555,231		$	28,449,222		$	27,541,070		$	26,963,682		$	26,192,637			*			9	%

NM - Not meaningful
*Amount is less than one percent.
(a)	Includes excess balances held at Fed.
(b)	Period-end balances fluctuate based on the level of pending unsettled trades.
(c)	4Q16 average core deposits were $21.7 billion.
(d)	4Q16 decrease due to repayment of FHLB borrowings as a result of an inflow of deposits; 3Q16 and 2Q16 increase related to higher FHLB borrowings as a result of increased loan demand.
(e)	In 2Q16 $250 million of FTBNA subordinated notes matured.
(f)	Consists of preferred stock of subsidiaries.

8

FHN CONSOLIDATED AVERAGE BALANCE SHEET
Quarterly/Annually, Unaudited
																4Q16 Changes vs.						Twelve months ended						2016 vs
(Thousands)	4Q16			3Q16			2Q16			1Q16			4Q15			3Q16			4Q15			2016			2015			2015
Assets:
Earning assets:
Loans, net of unearned income:
Commercial, financial, and industrial (C&I)	$	11,987,562		$	11,281,691		$	10,451,954		$	9,994,084		$	9,720,115			6	%		23	%	$	10,932,679		$	9,477,376			15	%
Commercial real estate		2,089,314			1,997,121			1,901,592			1,765,435			1,612,730			5	%		30	%		1,938,939			1,425,813			36	%
Consumer real estate		4,545,646			4,601,420			4,662,172			4,732,968			4,798,067			(1	)%		(5	)%		4,635,213			4,879,083			(5	)%
Permanent mortgage		429,914			436,952			435,521			447,800			455,299			(2	)%		(6	)%		437,524			489,190			(11	)%
Credit card and other		361,311			362,166			360,874			353,661			356,948			*			1	%		359,515			352,977			2	%
Total loans, net of unearned income (a)		19,413,747			18,679,350			17,812,113			17,293,948			16,943,159			4	%		15	%		18,303,870			16,624,439			10	%
Loans held-for-sale		127,484			132,434			114,859			122,146			122,046			(4	)%		4	%		124,262			128,950			(4	)%
Investment securities:
U.S. treasuries		100			100			100			100			100			*			*			100			100			*
U.S. government agencies		3,810,207			3,844,103			3,814,059			3,790,568			3,619,334			(1	)%		5	%		3,814,802			3,500,159			9	%
States and municipalities		4,344			4,516			5,830			5,823			8,881			(4	)%		(51	)%		5,124			12,747			(60	)%
Corporate bonds		10,000			10,000			10,000			10,000			1,522			*			NM			10,000			384			NM
Other		186,452			186,632			186,812			185,638			188,813			*			(1	)%		186,385			183,573			2	%
Total investment securities		4,011,103			4,045,351			4,016,801			3,992,129			3,818,650			(1	)%		5	%		4,016,411			3,696,963			9	%
Trading securities		1,283,407			1,155,776			1,269,909			1,142,215			1,307,102			11	%		(2	)%		1,212,864			1,294,308			(6	)%
Other earning assets:
Federal funds sold		19,323			28,049			20,825			25,454			19,832			(31	)%		(3	)%		23,414			27,635			(15	)%
Securities purchased under agreements to resell		792,156			808,861			891,973			817,963			804,000			(2	)%		(1	)%		827,590			776,302			7	%
Interest-bearing cash (b)		711,485			491,164			475,881			1,009,739			913,432			45	%		(22	)%		671,681			907,619			(26	)%
Total other earning assets		1,522,964			1,328,074			1,388,679			1,853,156			1,737,264			15	%		(12	)%		1,522,685			1,711,556			(11	)%
Total earning assets		26,358,705			25,340,985			24,602,361			24,403,594			23,928,221			4	%		10	%		25,180,092			23,456,216			7	%
Allowance for loan losses		(201,306	)		(200,654	)		(201,622	)		(208,884	)		(208,804	)		*			(4	)%		(203,105	)		(221,436	)		(8	)%
Cash and due from banks		334,168			320,549			310,691			316,467			320,147			4	%		4	%		320,506			321,602			*
Fixed income receivables		83,019			75,255			73,029			74,495			91,510			10	%		(9	)%		76,464			63,064			21	%
Premises and equipment, net		282,849			278,042			275,206			275,764			273,365			2	%		3	%		277,979			283,950			(2	)%
Derivative assets		138,451			170,546			147,561			117,815			131,479			(19	)%		5	%		143,653			130,790			10	%
Other assets		1,640,781			1,624,979			1,621,322			1,639,443			1,639,256			1	%		*			1,631,638			1,601,789			2	%
Total assets	$	28,636,667		$	27,609,702		$	26,828,548		$	26,618,694		$	26,175,174			4	%		9	%	$	27,427,227		$	25,635,975			7	%
Liabilities and equity:
Interest-bearing liabilities:
Interest-bearing deposits:
Savings	$	9,202,101		$	8,507,474		$	7,865,977		$	7,898,580		$	7,589,314			8	%		21	%	$	8,371,190		$	7,496,225			12	%
Other interest-bearing deposits		5,706,246			5,450,401			5,431,736			5,281,059			4,956,451			5	%		15	%		5,467,967			4,748,731			15	%
Time deposits		717,748			748,135			755,273			774,345			798,661			(4	)%		(10	)%		748,788			786,918			(5	)%
Total interest-bearing core deposits		15,626,095			14,706,010			14,052,986			13,953,984			13,344,426			6	%		17	%		14,587,945			13,031,874			12	%
Certificates of deposit $100,000 and more		623,304			518,630			545,436			511,975			389,682			20	%		60	%		549,952			393,109			40	%
Federal funds purchased		528,266			598,666			600,381			630,143			569,603			(12	)%		(7	)%		589,223			705,054			(16	)%
Securities sold under agreements to repurchase		378,837			387,486			490,449			445,964			337,893			(2	)%		12	%		425,452			370,097			15	%
Trading liabilities		745,011			752,270			828,629			758,739			768,721			(1	)%		(3	)%		771,039			733,189			5	%
Other short-term borrowings (c)		243,527			252,048			184,602			112,498			128,740			(3	)%		89	%		198,440			164,951			20	%
Term borrowings (d)		1,064,206			1,075,039			1,072,393			1,310,370			1,583,213			(1	)%		(33	)%		1,130,169			1,557,213			(27	)%
Total interest-bearing liabilities		19,209,246			18,290,149			17,774,876			17,723,673			17,122,278			5	%		12	%		18,252,220			16,955,487			8	%
Noninterest-bearing deposits		6,039,025			5,874,857			5,654,446			5,470,855			5,627,935			3	%		7	%		5,760,873			5,328,762			8	%
Fixed income payables		63,745			44,600			30,872			53,004			52,034			43	%		23	%		48,089			35,188			37	%
Derivative liabilities		123,460			146,063			129,260			122,378			120,728			(15	)%		2	%		130,315			118,473			10	%
Other liabilities		454,363			535,714			583,606			604,410			592,624			(15	)%		(23	)%		544,252			616,878			(12	)%
Total liabilities		25,889,839			24,891,383			24,173,060			23,974,320			23,515,599			4	%		10	%		24,735,749			23,054,788			7	%
Equity:
Common stock		145,902			145,362			145,226			147,287			149,401			*			(2	)%		145,943			147,031			(1	)%
Capital surplus		1,380,843			1,369,708			1,367,468			1,405,996			1,443,988			1	%		(4	)%		1,380,972			1,391,639			(1	)%
Undivided profits		1,015,742			967,872			924,822			889,209			860,778			5	%		18	%		949,642			830,989			14	%
Accumulated other comprehensive loss, net		(186,714	)		(155,678	)		(173,083	)		(189,173	)		(185,647	)		20	%		1	%		(176,134	)		(179,527	)		(2	)%
Preferred stock		95,624			95,624			95,624			95,624			95,624			*			*			95,624			95,624			*
Noncontrolling interest (e)		295,431			295,431			295,431			295,431			295,431			*			*			295,431			295,431			*
Total equity		2,746,828			2,718,319			2,655,488			2,644,374			2,659,575			1	%		3	%		2,691,478			2,581,187			4	%
Total liabilities and equity	$	28,636,667		$	27,609,702		$	26,828,548		$	26,618,694		$	26,175,174			4	%		9	%	$	27,427,227		$	25,635,975			7	%

Certain previously reported amounts have been reclassified to agree with current presentation.
NM-Not meaningful
* Amount is less than one percent.
(a)	Includes loans on nonaccrual status.
(b)	Includes excess balances held at Fed.
(c)	4Q16, 3Q16 and 2Q16 include higher FHLB borrowings as a result of increased loan demand.
(d)	In 2Q16 $250 million of FTBNA subordinated notes matured.
(e)	Consists of preferred stock of subsidiaries.

9

FHN CONSOLIDATED NET INTEREST INCOME (a)

Quarterly, Unaudited

																4Q16 Changes vs.
(Thousands)	4Q16			3Q16			2Q16			1Q16			4Q15			3Q16			4Q15
Interest Income:
Loans, net of unearned income (b)	$	187,158		$	176,511		$	165,550		$	160,687		$	154,959			6	%		21	%
Loans held-for-sale		1,602			1,445			1,198			1,261			1,305			11	%		23	%
Investment securities:
U.S. government agencies		23,110			22,517			22,801			23,273			22,349			3	%		3	%
States and municipalities		102			102			106			97			129			*			(21	)%
Corporate bonds		131			131			132			131			19			*			NM
Other		1,479			1,138			1,152			1,201			1,906			30	%		(22	)%
Total investment securities		24,822			23,888			24,191			24,702			24,403			4	%		2	%
Trading securities		8,616			7,110			8,374			8,185			9,360			21	%		(8	)%
Other earning assets:
Federal funds sold		52			70			57			80			56			(26	)%		(7	)%
Securities purchased under agreements to resell (c)		(186	)		169			322			226			(277	)		NM			33	%
Interest-bearing cash		1,027			604			574			1,252			636			70	%		61	%
Total other earning assets		893			843			953			1,558			415			6	%		NM
Interest income	$	223,091		$	209,797		$	200,266		$	196,393		$	190,442			6	%		17	%
Interest Expense:
Interest-bearing deposits:
Savings	$	6,333		$	4,939		$	4,146		$	4,190		$	2,930			28	%		NM
Other interest-bearing deposits		2,935			2,592			2,526			2,304			1,312			13	%		NM
Time deposits		1,033			1,117			1,148			1,112			1,200			(8	)%		(14	)%
Total interest-bearing core deposits		10,301			8,648			7,820			7,606			5,442			19	%		89	%
Certificates of deposit $100,000 and more		1,695			1,379			1,326			1,211			1,013			23	%		67	%
Federal funds purchased		731			779			762			797			428			(6	)%		71	%
Securities sold under agreements to repurchase		47			90			138			59			46			(48	)%		2	%
Trading liabilities		3,848			3,331			3,782			4,039			4,034			16	%		(5	)%
Other short-term borrowings		373			385			303			272			262			(3	)%		42	%
Term borrowings		7,351			7,165			6,981			7,606			9,743			3	%		(25	)%
Interest expense		24,346			21,777			21,112			21,590			20,968			12	%		16	%
Net interest income - tax equivalent basis		198,745			188,020			179,154			174,803			169,474			6	%		17	%
Fully taxable equivalent adjustment		(3,194	)		(2,825	)		(2,890	)		(2,729	)		(2,822	)		(13	)%		(13	)%
Net interest income	$	195,551		$	185,195		$	176,264		$	172,074		$	166,652			6	%		17	%

NM - Not meaningful
* Amount is less than one percent.
(a)	Net interest income adjusted to a fully taxable equivalent (“FTE”) basis assuming a statutory federal income tax of 35 percent and, where applicable, state income taxes.
(b)	Includes interest on loans in nonaccrual status.
(c)	4Q16 and 4Q15 driven by negative market rates on reverse repurchase agreements.

10

FHN CONSOLIDATED AVERAGE BALANCE SHEET: YIELDS AND RATES

Quarterly, Unaudited

	4Q16			3Q16			2Q16			1Q16			4Q15
Assets:
Earning assets (a):
Loans, net of unearned income (b):
Commercial loans		3.75	%		3.63	%		3.58	%		3.58	%		3.46	%
Consumer loans		4.06			4.08			4.08			4.07			3.98
Total loans, net of unearned income (c)		3.84			3.76			3.74			3.73			3.63
Loans held-for-sale		5.03			4.36			4.17			4.13			4.28
Investment securities:
U.S. government agencies		2.43			2.34			2.39			2.46			2.47
States and municipalities		9.39			9.01			7.27			6.70			5.81
Corporate bonds		5.25			5.25			5.25			5.25			4.98
Other		3.17			2.44			2.47			2.59			4.04
Total investment securities		2.48			2.36			2.41			2.48			2.56
Trading securities		2.69			2.46			2.64			2.87			2.86
Other earning assets:
Federal funds sold		1.07			0.99			1.11			1.26			1.12
Securities purchased under agreements to resell (d)		(0.09	)		0.08			0.15			0.11			(0.14	)
Interest-bearing cash		0.57			0.49			0.48			0.50			0.28
Total other earning assets		0.23			0.25			0.28			0.34			0.09
Interest income/total earning assets		3.37	%		3.30	%		3.27	%		3.23	%		3.17	%
Liabilities:
Interest-bearing liabilities:
Interest-bearing deposits:
Savings		0.27	%		0.23	%		0.21	%		0.21	%		0.15	%
Other interest-bearing deposits		0.20			0.19			0.19			0.18			0.10
Time deposits		0.57			0.59			0.61			0.58			0.60
Total interest-bearing core deposits		0.26			0.23			0.22			0.22			0.16
Certificates of deposit $100,000 and more		1.08			1.06			0.98			0.95			1.03
Federal funds purchased		0.55			0.52			0.51			0.51			0.30
Securities sold under agreements to repurchase		0.05			0.09			0.11			0.05			0.05
Trading liabilities		2.06			1.76			1.84			2.14			2.08
Other short-term borrowings (e)		0.61			0.61			0.66			0.97			0.81
Term borrowings (f)		2.76			2.67			2.60			2.32			2.46
Interest expense/total interest-bearing liabilities		0.51			0.47			0.48			0.49			0.49
Net interest spread		2.86	%		2.83	%		2.79	%		2.74	%		2.68	%
Effect of interest-free sources used to fund earning assets		0.14			0.13			0.13			0.14			0.14
Net interest margin		3.00	%		2.96	%		2.92	%		2.88	%		2.82	%

Yields are adjusted to a FTE basis assuming a statutory federal income tax rate of 35 percent and, where applicable, state income taxes.
(a)	Earning assets yields are expressed net of unearned income.
(b)	Includes loan fees and cash basis interest income.
(c)	Includes loans on nonaccrual status.
(d)	4Q16 and 4Q15 driven by negative market rates on reverse repurchase agreements.
(e)	4Q16, 3Q16 and 2Q16 rates driven by higher FHLB borrowings at a rate lower than other short-term borrowings.
(f)	Rates are expressed net of unamortized debenture cost for term borrowings.

11

FHN CAPITAL HIGHLIGHTS

Quarterly, Unaudited

																4Q16 Changes vs.
(Dollars and shares in thousands)	4Q16			3Q16			2Q16			1Q16			4Q15			3Q16			4Q15
Common equity tier 1 capital (a) (b)	$	2,377,986		$	2,326,207		$	2,260,722		$	2,226,621		$	2,278,580			2	%		4	%
Tier 1 capital (a) (b)		2,672,332			2,615,449			2,538,876			2,493,080			2,572,141			2	%		4	%
Total capital (a)		2,926,631			2,868,437			2,788,558			2,744,189			2,836,715			2	%		3	%
Risk-weighted assets (“RWA”) (a) (b)		23,931,220			23,716,102			22,503,305			21,559,035			21,812,015			1	%		10	%
Average assets for leverage (a) (b)		28,581,554			27,481,309			26,715,209			26,519,986			26,109,449			4	%		9	%
Common equity tier 1 ratio (a) (b)		9.94	%		9.81	%		10.05	%		10.33	%		10.45	%
Tier 1 ratio (a) (b)		11.17			11.03			11.28			11.56			11.79
Total capital ratio (a)		12.23			12.09			12.39			12.73			13.01
Leverage ratio (a) (b)		9.35			9.52			9.50			9.40			9.85
Total equity to total assets		9.47	%		9.65	%		9.77	%		9.80	%		10.08	%
Tangible common equity/tangible assets (“TCE/TA”) (c)		7.42	%		7.58	%		7.63	%		7.61	%		7.82	%
Period-end shares outstanding		233,624			233,235			232,019			232,547			238,587			*			(2	)%
Cash dividends declared per common share	$	0.07		$	0.07		$	0.07		$	0.07		$	0.06			*			17	%
Book value per common share	$	9.90		$	10.09		$	9.92		$	9.68		$	9.42
Tangible book value per common share (c)	$	9.00		$	9.17		$	8.99		$	8.75		$	8.51
Market capitalization (millions)	$	4,674.8		$	3,552.2		$	3,197.2		$	3,046.4		$	3,464.3

Certain previously reported amounts have been reclassified to agree with current presentation.
* Amount is less than one percent.
(a)	Current quarter is an estimate.
(b)	See Glossary of Terms for definition.
(c)	TCE/TA and Tangible book value per common share are non-GAAP measures and are reconciled to Total equity to total assets (GAAP) and to Book value per common share (GAAP), respectively, in the Non-GAAP to GAAP reconciliation on page 22 of this financial supplement.

12

FHN BUSINESS SEGMENT HIGHLIGHTS

Quarterly/Annually, Unaudited

																4Q16 Changes vs.						Twelve Months Ended						2016 vs.
(Thousands)	4Q16			3Q16			2Q16			1Q16			4Q15			3Q16			4Q15			2016			2015			2015
Regional Banking
Net interest income	$	200,719		$	190,510		$	178,321		$	172,313		$	169,600			5	%		18	%	$	741,863		$	655,164			13	%
Noninterest income		63,324			65,128			61,275			59,276			62,644			(3	)%		1	%		249,003			251,586			(1	)%
Total revenues		264,043			255,638			239,596			231,589			232,244			3	%		14	%		990,866			906,750			9	%
Provision for loan losses		4,692			8,544			10,883			14,767			5,856			(45	)%		(20	)%		38,886			34,545			13	%
Noninterest expense (a)		160,815			144,992			164,342			145,381			147,546			11	%		9	%		615,530			562,572			9	%
Income before income taxes		98,536			102,102			64,371			71,441			78,842			(3	)%		25	%		336,450			309,633			9	%
Provision for income taxes		35,415			37,086			22,444			25,415			28,131			(5	)%		26	%		120,360			110,589			9	%
Net income	$	63,121		$	65,016		$	41,927		$	46,026		$	50,711			(3	)%		24	%	$	216,090		$	199,044			9	%
Fixed Income
Net interest income	$	2,541		$	2,412		$	3,147		$	2,666		$	3,901			5	%		(35	)%	$	10,766		$	15,517			(31	)%
Noninterest income		52,061			72,073			78,083			67,122			61,991			(28	)%		(16	)%		269,339			231,314			16	%
Total revenues		54,602			74,485			81,230			69,788			65,892			(27	)%		(17	)%		280,105			246,831			13	%
Noninterest expense (b)		48,732			59,578			62,883			58,670			54,605			(18	)%		(11	)%		229,863			220,441			4	%
Income before income taxes		5,870			14,907			18,347			11,118			11,287			(61	)%		(48	)%		50,242			26,390			90	%
Provision for income taxes		1,873			5,458			6,754			3,874			3,971			(66	)%		(53	)%		17,959			8,885			NM
Net income	$	3,997		$	9,449		$	11,593		$	7,244		$	7,316			(58	)%		(45	)%	$	32,283		$	17,505			84	%
Corporate
Net interest income/(expense)	$	(17,503	)	$	(18,195	)	$	(15,850	)	$	(14,364	)	$	(19,221	)		4	%		9	%	$	(65,912	)	$	(71,688	)		8	%
Noninterest income		4,670			5,134			4,909			5,723			5,486			(9	)%		(15	)%		20,436			23,331			(12	)%
Total revenues		(12,833	)		(13,061	)		(10,941	)		(8,641	)		(13,735	)		2	%		7	%		(45,476	)		(48,357	)		6	%
Noninterest expense		14,622			14,812			16,038			13,442			17,736			(1	)%		(18	)%		58,914			57,943			2	%
Loss before income taxes		(27,455	)		(27,873	)		(26,979	)		(22,083	)		(31,471	)		1	%		13	%		(104,390	)		(106,300	)		2	%
Benefit for income taxes		(15,130	)		(16,727	)		(12,827	)		(11,240	)		(27,636	)		10	%		45	%		(55,924	)		(80,276	)		30	%
Net income/(loss)	$	(12,325	)	$	(11,146	)	$	(14,152	)	$	(10,843	)	$	(3,835	)		(11	)%		NM		$	(48,466	)	$	(26,024	)		(86	)%
Non-Strategic
Net interest income	$	9,794		$	10,468		$	10,646		$	11,459		$	12,372			(6	)%		(21	)%	$	42,367		$	54,727			(23	)%
Noninterest income (c)		4,022			6,210			1,247			2,184			2,111			(35	)%		91	%		13,663			11,094			23	%
Total revenues		13,816			16,678			11,893			13,643			14,483			(17	)%		(5	)%		56,030			65,821			(15	)%
Provision/(provision credit) for loan losses		(4,692	)		(4,544	)		(6,883	)		(11,767	)		(4,856	)		(3	)%		3	%		(27,886	)		(25,545	)		(9	)%
Noninterest expense (d)		13,728			14,176			(16,441	)		9,434			23,853			(3	)%		(42	)%		20,897			212,835			(90	)%
Income/(loss) before income taxes		4,780			7,046			35,217			15,976			(4,514	)		(32	)%		NM			63,019			(121,469	)		NM
Provision/(benefit) for income taxes		1,850			2,730			13,645			6,190			(1,751	)		(32	)%		NM			24,415			(28,257	)		NM
Net income/(loss)	$	2,930		$	4,316		$	21,572		$	9,786		$	(2,763	)		(32	)%		NM		$	38,604		$	(93,212	)		NM
Total Consolidated
Net interest income	$	195,551		$	185,195		$	176,264		$	172,074		$	166,652			6	%		17	%	$	729,084		$	653,720			12	%
Noninterest income		124,077			148,545			145,514			134,305			132,232			(16	)%		(6	)%		552,441			517,325			7	%
Total revenues		319,628			333,740			321,778			306,379			298,884			(4	)%		7	%		1,281,525			1,171,045			9	%
Provision for loan losses		—			4,000			4,000			3,000			1,000			NM			NM			11,000			9,000			22	%
Noninterest expense		237,897			233,558			226,822			226,927			243,740			2	%		(2	)%		925,204			1,053,791			(12	)%
Income before income taxes		81,731			96,182			90,956			76,452			54,144			(15	)%		51	%		345,321			108,254			NM
Provision for income taxes		24,008			28,547			30,016			24,239			2,715			(16	)%		NM			106,810			10,941			NM
Net income	$	57,723		$	67,635		$	60,940		$	52,213		$	51,429			(15	)%		12	%	$	238,511		$	97,313			NM

Certain previously reported amounts have been reclassified to agree with current presentation.
NM - Not meaningful
(a)	4Q16 includes $2.7 million of loss accruals related to legal matters; 3Q16 includes a $4.3 million reversal of loss accruals related to legal matters; 2Q16 includes $22.0 million of loss accruals related to legal matters.
(b)	2015 includes an $11.6 million charge to litigation and regulatory matters related to the resolution of a legal matter.
(c)	4Q16 includes a $1.5 million gain related to the reversal of a contingency accrual associated with prior sales of MSR; 3Q16 includes $4.4 million of gains primarily related to recoveries associated with prior legacy mortgage servicing sales.
(d)	4Q16 includes $2.0 million of loss accruals related to legal matters; 3Q16 includes $4.5 million of loss accruals related to legal matters; 2Q16 includes a $31.4 million reversal of repurchase and foreclosure provision as a result of the settlements/recoveries of certain repurchase claims, somewhat offset by $4.0 million of loss accruals related to legal matters; 4Q15 includes $14.2 million of loss accruals related to legal matters; 2015 includes $175.8 million of loss accruals related to legal matters, including $162.5 million associated with the settlement of potential claims related to FHN’s underwriting and origination of FHA-insured mortgage loans.

13

FHN REGIONAL BANKING

Quarterly, Unaudited

																4Q16 Changes vs.
	4Q16			3Q16			2Q16			1Q16			4Q15			3Q16			4Q15
Income Statement (thousands)
Net interest income	$	200,719		$	190,510		$	178,321		$	172,313		$	169,600			5	%		18	%
Provision for loan losses		4,692			8,544			10,883			14,767			5,856			(45	)%		(20	)%
Noninterest income:
NSF / Overdraft fees (a)		9,707			10,076			8,905			9,576			11,630			(4	)%		(17	)%
Cash management fees		8,659			7,947			8,612			8,760			8,637			9	%		*
Debit card income		3,516			3,496			3,464			3,221			3,302			1	%		6	%
Other		4,291			4,215			4,466			4,288			4,382			2	%		(2	)%
Total deposit transactions and cash management		26,173			25,734			25,447			25,845			27,951			2	%		(6	)%
Brokerage, management fees and commissions		11,003			10,828			10,665			10,415			11,021			2	%		*
Trust services and investment management		7,056			6,900			7,239			6,569			6,889			2	%		2	%
Bankcard income (b)		6,230			6,151			6,432			5,132			5,423			1	%		15	%
Other service charges		2,596			2,591			2,579			2,318			2,358			*			10	%
Miscellaneous revenue (c)		10,266			12,924			8,913			8,997			9,002			(21	)%		14	%
Total noninterest income		63,324			65,128			61,275			59,276			62,644			(3	)%		1	%
Noninterest expense:
Employee compensation, incentives, and benefits		58,627			56,440			53,413			52,173			51,507			4	%		14	%
Other (d)		102,188			88,552			110,929			93,208			96,039			15	%		6	%
Total noninterest expense		160,815			144,992			164,342			145,381			147,546			11	%		9	%
Income before income taxes	$	98,536		$	102,102		$	64,371		$	71,441		$	78,842			(3	)%		25	%
PPNR (e)		103,228			110,646			75,254			86,208			84,698			(7	)%		22	%
Efficiency ratio (f)		60.90	%		56.72	%		68.59	%		62.78	%		63.53	%
Balance Sheet (millions)
Average loans	$	17,692		$	16,844		$	15,859		$	15,224		$	14,760			5	%		20	%
Average other earning assets		37			46			42			47			42			(20	)%		(12	)%
Total average earning assets		17,729			16,890			15,901			15,271			14,802			5	%		20	%
Average core deposits		18,444			18,132			17,869			17,592			17,351			2	%		6	%
Average other deposits		578			472			498			461			338			22	%		71	%
Total average deposits		19,022			18,604			18,367			18,053			17,689			2	%		8	%
Total period-end deposits		19,348			18,742			18,674			18,534			18,077			3	%		7	%
Total period-end assets		18,772			18,562			17,434			16,280			16,394			1	%		15	%
Net interest margin (g)		4.57	%		4.55	%		4.57	%		4.60	%		4.61	%
Net interest spread		3.52			3.46			3.44			3.42			3.36
Loan yield		3.68			3.61			3.59			3.57			3.48
Deposit average rate		0.16			0.15			0.15			0.15			0.12
Key Statistics
Financial center locations		162			162			162			174			177			*			(8	)%

Certain previously reported amounts have been reclassified to agree with current presentation.
* Amount is less than one percent.
(a)	Variability is driven by changes in consumer behavior.
(b)	2Q16 increase driven by a significant new relationship.
(c)	3Q16 includes a $1.8 million gain on the sales of properties.
(d)	4Q16 includes $2.7 million of loss accruals related to legal matters; 3Q16 includes a reversal of loss accruals related to legal matters of $4.3 million; 2Q16 includes $22.0 million of loss accruals related to legal matters; 1Q16 includes $3.7 million of impairment related to branch closures.
(e)	Pre-provision net revenue is not a GAAP number but is used in regulatory stress test reporting. The presentation of PPNR in this Financial Supplement follows the regulatory definition.
(f)	Noninterest expense divided by total revenue.
(g)	Net interest margin is computed using total net interest income adjusted for FTE assuming a statutory federal income tax rate of 35 percent and, where applicable, state income taxes.

14

FHN FIXED INCOME

Quarterly, Unaudited

																4Q16 Changes vs.
	4Q16			3Q16			2Q16			1Q16			4Q15			3Q16			4Q15
Income Statement (thousands)
Net interest income	$	2,541		$	2,412		$	3,147		$	2,666		$	3,901			5	%		(35	)%
Noninterest income:
Fixed income product revenue		43,794			59,003			69,279			57,583			52,713			(26	)%		(17	)%
Other (a)		8,267			13,070			8,804			9,539			9,278			(37	)%		(11	)%
Total noninterest income		52,061			72,073			78,083			67,122			61,991			(28	)%		(16	)%
Noninterest expense		48,732			59,578			62,883			58,670			54,605			(18	)%		(11	)%
Income before income taxes	$	5,870		$	14,907		$	18,347		$	11,118		$	11,287			(61	)%		(48	)%
Efficiency ratio (b)		89.25	%		79.99	%		77.41	%		84.07	%		82.87	%
Fixed income product average daily revenue	$	718		$	922		$	1,082		$	944		$	850			(22	)%		(16	)%
Balance Sheet (millions)
Average trading inventory	$	1,281		$	1,153		$	1,267		$	1,138		$	1,303			11	%		(2	)%
Average other earning assets		818			831			893			822			805			(2	)%		2	%
Total average earning assets		2,099			1,984			2,160			1,960			2,108			6	%		*
Total period-end assets		1,817			2,516			2,540			2,361			1,779			(28	)%		2	%
Net interest margin (c)		0.57	%		0.55	%		0.64	%		0.63	%		0.82	%

Certain previously reported amounts have been reclassified to agree with current presentation.
* Amount is less than one percent.
(a)	3Q16 increase driven by higher fees from loan and derivative sales.
(b)	Noninterest expense divided by total revenue.
(c)	Net interest margin is computed using total net interest income adjusted for FTE assuming a statutory federal income tax rate of 35 percent and, where applicable, state income taxes.

FHN CORPORATE

Quarterly, Unaudited

																4Q16 Changes vs.
	4Q16			3Q16			2Q16			1Q16			4Q15			3Q16			4Q15
Income Statement (thousands)
Net interest income/(expense)	$	(17,503	)	$	(18,195	)	$	(15,850	)	$	(14,364	)	$	(19,221	)		4	%		9	%
Noninterest income excluding securities gains/(losses)		4,802			5,335			4,810			4,149			4,047			(10	)%		19	%
Securities gains/(losses), net		(132	)		(201	)		99			1,574			1,439			34	%		NM
Noninterest expense (a)		14,622			14,812			16,038			13,442			17,736			(1	)%		(18	)%
Loss before income taxes	$	(27,455	)	$	(27,873	)	$	(26,979	)	$	(22,083	)	$	(31,471	)		1	%		13	%
Average Balance Sheet (millions)
Average loans	$	86		$	91		$	96		$	103		$	110			(5	)%		(22	)%
Total earning assets	$	4,795		$	4,617		$	4,576		$	5,093		$	4,830			4	%		(1	)%
Net interest margin (b)		(1.44	)%		(1.55	)%		(1.40	)%		(1.14	)%		(1.56	)%

Certain previously reported amounts have been reclassified to agree with current presentation.
NM - Not meaningful
(a)	2Q16 includes $2.5 million of negative valuation adjustments associated with derivatives related to prior sales of Visa Class B shares; 4Q15 includes $2.8 million of impairment related to a tax credit investment accounted for under the equity method and $2.7 million of costs related to the TrustAtlantic acquisition.
(b)	Net interest margin is computed using total net interest income adjusted for FTE assuming a statutory federal income tax rate of 35 percent and, where applicable, state income taxes.

15

FHN NON-STRATEGIC

Quarterly, Unaudited

																4Q16 Changes vs.
	4Q16			3Q16			2Q16			1Q16			4Q15			3Q16			4Q15
Income Statement (thousands)
Net interest income	$	9,794		$	10,468		$	10,646		$	11,459		$	12,372			(6	)%		(21	)%
Provision/(provision credit) for loan losses		(4,692	)		(4,544	)		(6,883	)		(11,767	)		(4,856	)		(3	)%		3	%
Noninterest income (a)		4,022			6,210			1,247			2,184			2,111			(35	)%		91	%
Noninterest expense (b)		13,728			14,176			(16,441	)		9,434			23,853			(3	)%		(42	)%
Income/(loss) before income taxes	$	4,780		$	7,046		$	35,217		$	15,976		$	(4,514	)		(32	)%		NM
Average Balance Sheet (millions)
Loans	$	1,636		$	1,744		$	1,856		$	1,967		$	2,073			(6	)%		(21	)%
Loans held-for-sale		96			100			103			106			109			(4	)%		(12	)%
Trading securities		3			3			3			4			5			*			(40	)%
Allowance for loan losses		(50	)		(53	)		(59	)		(69	)		(76	)		(6	)%		(34	)%
Other assets		38			47			46			34			13			(19	)%		NM
Total assets		1,723			1,841			1,949			2,042			2,124			(6	)%		(19	)%
Net interest margin (c)		2.25	%		2.26	%		2.17	%		2.21	%		2.25	%
Efficiency ratio (d)		99.36	%		85.00	%		NM			69.15	%		NM

Certain previously reported amounts have been reclassified to agree with current presentation.
NM - Not meaningful
* Amount is less than one percent.
(a)	4Q16 includes a $1.5 million gain related to the reversal of a contingency accrual associated with prior sales of MSR; 3Q16 includes $4.4 million of gains primarily related to recoveries associated with prior legacy mortgage servicing sales.
(b)	4Q16 includes $2.0 million of loss accruals related to legal matters; 3Q16 includes $4.5 million of loss accruals related to legal matters; 2Q16 includes a $31.4 million reversal of repurchase and foreclosure provision as a result of the settlements/recoveries of certain repurchase claims, somewhat offset by $4.0 million of loss accruals related to legal matters; 4Q15 includes $14.2 million of loss accruals related to legal matters.
(c)	Net interest margin is computed using total net interest income adjusted for FTE assuming a statutory federal income tax rate of 35 percent and, where applicable, state income taxes.
(d)	Noninterest expense divided by total revenue excluding securities gains/(losses).

16

FHN ASSET QUALITY: CONSOLIDATED

Quarterly, Unaudited

																4Q16 Changes vs.
(Dollars in thousands)	4Q16			3Q16			2Q16			1Q16			4Q15			3Q16			4Q15
Allowance for Loan Losses Walk-Forward
Beginning reserve	$	201,557		$	199,807		$	204,034		$	210,242		$	210,814			1	%		(4	)%
Provision		—			4,000			4,000			3,000			1,000			NM			NM
Charge-offs		(11,369	)		(10,362	)		(18,296	)		(17,612	)		(16,614	)		10	%		(32	)%
Recoveries		11,880			8,112			10,069			8,404			15,042			46	%		(21	)%
Ending balance	$	202,068		$	201,557		$	199,807		$	204,034		$	210,242			*			(4	)%
Reserve for unfunded commitments		5,312			4,802			5,351			5,495			5,926			11	%		(10	)%
Total allowance for loan losses plus reserve for unfunded commitments	$	207,380		$	206,359		$	205,158		$	209,529		$	216,168			*			(4	)%
Allowance for Loan Losses
Regional Banking	$	154,082		$	151,397		$	146,351		$	143,088		$	137,586			2	%		12	%
Non-Strategic		47,986			50,160			53,456			60,946			72,656			(4	)%		(34	)%
Total allowance for loan losses	$	202,068		$	201,557		$	199,807		$	204,034		$	210,242			*			(4	)%
Nonperforming Assets
Regional Banking
Nonperforming loans	$	50,653		$	50,267		$	60,754		$	72,323		$	56,475			1	%		(10	)%
Foreclosed real estate (a)		5,081			5,811			7,031			11,045			16,298			(13	)%		(69	)%
Total Regional Banking	$	55,734		$	56,078		$	67,785		$	83,368		$	72,773			(1	)%		(23	)%
Non-Strategic
Nonperforming loans	$	93,808		$	100,572		$	114,947		$	120,335		$	120,946			(7	)%		(22	)%
Nonperforming loans held-for-sale after fair value adjustments		7,740			7,791	��		8,195			8,568			7,846			(1	)%		(1	)%
Foreclosed real estate (a)		6,155			7,867			7,119			6,415			8,679			(22	)%		(29	)%
Total Non-Strategic	$	107,703		$	116,230		$	130,261		$	135,318		$	137,471			(7	)%		(22	)%
Corporate
Nonperforming loans	$	1,186		$	1,211		$	896		$	927		$	1,677			(2	)%		(29	)%
Total nonperforming assets (a)	$	164,623		$	173,519		$	198,942		$	219,613		$	211,921			(5	)%		(22	)%
Net Charge-Offs
Regional Banking	$	2,007		$	3,499		$	7,620		$	9,265		$	(2,787	)		(43	)%		NM
Non-Strategic		(2,518	)		(1,249	)		607			(57	)		4,359			NM			NM
Total net charge-offs	$	(511	)	$	2,250		$	8,227		$	9,208		$	1,572			NM			NM
Consolidated Key Ratios (b)
30+ Delinq. % (c)		0.34	%		0.32	%		0.32	%		0.54	%		0.42	%
NPL %		0.74			0.78			0.95			1.10			1.01
NPA %		0.80			0.85			1.03			1.20			1.15
Net charge-offs %		NM			0.05			0.19			0.21			0.04
Allowance / loans %		1.03			1.03			1.07			1.16			1.19
Allowance / NPL		1.39	x		1.33	x		1.13	x		1.05	x		1.17	x
Allowance / NPA		1.29	x		1.22	x		1.05	x		0.97	x		1.03	x
Allowance / net charge-offs		NM			22.51	x		6.04	x		5.51	x		NM
Other
Loans past due 90 days or more (d)	$	38,299		$	36,562		$	34,175		$	36,958		$	40,591			5	%		(6	)%
Guaranteed portion (d)		14,664			13,645			13,822			16,279			16,631			7	%		(12	)%
Period-end loans, net of unearned income (millions)		19,590			19,556			18,589			17,575			17,687			*			11	%

NM - Not meaningful
* Amount is less than one percent.
(a)	Excludes foreclosed real estate from government-insured mortgages.
(b)	See Glossary of Terms for definitions of Consolidated Key Ratios.
(c)	30+ Delinquency % includes all accounts delinquent more than one month and still accruing interest.
(d)	Includes loans held-for-sale.

17

FHN ASSET QUALITY: CONSOLIDATED

Quarterly, Unaudited

																4Q16 Changes vs.
	4Q16			3Q16			2Q16			1Q16			4Q15			3Q16			4Q15
Key Portfolio Details C&I
Period-end loans ($ millions)	$	12,148		$	12,118		$	11,179		$	10,239		$	10,436			*			16	%
30+ Delinq. % (a) (b)		0.08	%		0.05	%		0.04	%		0.37	%		0.08	%
NPL %		0.27			0.25			0.27			0.38			0.25
Charge-offs % (qtr. annualized)		NM			0.04			0.24			0.23			NM
Allowance / loans %		0.74	%		0.72	%		0.72	%		0.79	%		0.71	%
Allowance / charge-offs		NM			17.23	x		3.21	x		3.50	x		NM
Commercial Real Estate
Period-end loans ($ millions)	$	2,136		$	2,066		$	1,969		$	1,849		$	1,675			3	%		28	%
30+ Delinq. % (a)		0.01	%		0.18	%		0.15	%		0.18	%		0.27	%
NPL %		0.13			0.17			0.40			0.51			0.52
Charge-offs % (qtr. annualized)		0.09			NM			NM			0.10			0.29
Allowance / loans %		1.59	%		1.57	%		1.54	%		1.39	%		1.50	%
Allowance / charge-offs		17.56	x		NM			NM			15.16	x		5.39	x
Consumer Real Estate
Period-end loans ($ millions)	$	4,524		$	4,578		$	4,641		$	4,690		$	4,767			(1	)%		(5	)%
30+ Delinq. % (a)		0.93	%		0.86	%		0.80	%		0.82	%		1.00	%
NPL %		1.83			1.95			2.31			2.43			2.33
Charge-offs % (qtr. annualized)		NM			NM			0.04			0.10			0.09
Allowance / loans %		1.11	%		1.16	%		1.27	%		1.44	%		1.69	%
Allowance / charge-offs		NM			NM			29.40	x		14.06	x		18.49	x
Permanent Mortgage
Period-end loans ($ millions)	$	423		$	436		$	439		$	443		$	454			(3	)%		(7	)%
30+ Delinq. % (a)		2.36	%		2.46	%		2.21	%		2.50	%		2.11	%
NPL %		6.42			6.67			6.97			6.83			6.97
Charge-offs % (qtr. annualized)		NM			0.12			NM			NM			NM
Allowance / loans %		3.85	%		3.80	%		4.01	%		4.24	%		4.17	%
Allowance / charge-offs		NM			31.11	x		NM			NM			NM
Credit Card and Other
Period-end loans ($ millions)	$	359		$	358		$	361		$	354		$	355			*			1	%
30+ Delinq. % (a)		1.17	%		1.04	%		1.19	%		1.13	%		1.08	%
NPL %		0.04			0.04			0.20			0.38			0.38
Charge-offs % (qtr. annualized)		3.25			2.95			2.73			2.86			2.56
Allowance / loans %		3.39	%		3.48	%		3.30	%		3.23	%		3.35	%
Allowance / charge-offs		1.04	x		1.17	x		1.21	x		1.13	x		1.30	x

NM - Not meaningful
* Amount is less than one percent.
(a)	30+ Delinquency % includes all accounts delinquent more than one month and still accruing interest.
(b)	1Q16 increase was driven by regional bank C&I but over half were favorably resolved in early second quarter 2016.

18

FHN ASSET QUALITY: REGIONAL BANKING

Quarterly, Unaudited

																4Q16 Changes vs.
	4Q16			3Q16			2Q16			1Q16			4Q15			3Q16			4Q15
Total Regional Banking
Period-end loans ($ millions)	$	17,935		$	17,789		$	16,703		$	15,570		$	15,571			1	%		15	%
30+ Delinq. % (a)		0.18	%		0.17	%		0.16	%		0.39	%		0.23	%
NPL %		0.28			0.28			0.36			0.46			0.36
Charge-offs % (qtr. annualized)		0.05			0.08			0.19			0.24			NM
Allowance / loans %		0.86	%		0.85	%		0.88	%		0.92	%		0.88	%
Allowance / charge-offs		19.30	x		10.88	x		4.78	x		3.84	x		NM
Key Portfolio Details
C&I
Period-end loans ($ millions)	$	11,728		$	11,698		$	10,759		$	9,818		$	10,015			*			17	%
30+ Delinq. % (a) (b)		0.08	%		0.05	%		0.04	%		0.37	%		0.08	%
NPL %		0.24			0.22			0.24			0.36			0.23
Charge-offs % (qtr. annualized)		NM			0.05			0.25			0.24			NM
Allowance / loans %		0.75	%		0.73	%		0.74	%		0.81	%		0.72	%
Allowance / charge-offs		NM			16.76	x		3.23	x		3.48	x		NM
Commercial Real Estate
Period-end loans ($ millions)	$	2,136		$	2,066		$	1,969		$	1,849		$	1,675			3	%		28	%
30+ Delinq. % (a)		0.01	%		0.18	%		0.15	%		0.18	%		0.27	%
NPL %		0.13			0.17			0.40			0.51			0.52
Charge-offs % (qtr. annualized)		0.11			NM			NM			0.10			0.31
Allowance / loans %		1.59	%		1.57	%		1.54	%		1.39	%		1.50	%
Allowance / charge-offs		14.28	x		NM			NM			14.23	x		4.99	x
Consumer Real Estate
Period-end loans ($ millions)	$	3,643		$	3,608		$	3,577		$	3,531		$	3,515			1	%		4	%
30+ Delinq. % (a)		0.49	%		0.46	%		0.40	%		0.46	%		0.52	%
NPL %		0.52			0.57			0.73			0.76			0.68
Charge-offs % (qtr. annualized)		—			0.01			NM			0.06			0.11
Allowance / loans %		0.52	%		0.56	%		0.68	%		0.75	%		0.83	%
Allowance / charge-offs		NM			57.14	x		NM			11.78	x		7.68	x
Credit Card, Permanent Mortgage, and Other
Period-end loans ($ millions)	$	428		$	417		$	398		$	372		$	366			3	%		17	%
30+ Delinq. % (a)		1.08	%		0.97	%		1.16	%		1.18	%		1.13	%
NPL %		0.09			0.10			0.10			0.28			0.29
Charge-offs % (qtr. annualized)		2.79			2.64			2.54			2.82			2.40
Allowance / loans %		3.09	%		3.19	%		3.07	%		3.06	%		3.04	%
Allowance / charge-offs		1.12	x		1.23	x		1.25	x		1.10	x		1.29	x
ASSET QUALITY: CORPORATE
Permanent Mortgage
Period-end loans ($ millions)	$	71		$	79		$	85		$	92		$	97			(10	)%		(27	)%
30+ Delinq. % (a)		4.37	%		4.37	%		4.92	%		3.66	%		2.92	%
NPL %		1.66			1.54			1.06			1.00			1.72
Charge-offs % (qtr. annualized)		NM			NM			NM			NM			NM
Allowance / loans %		NM			NM			NM			NM			NM
Allowance / charge-offs		NM			NM			NM			NM			NM

NM - Not meaningful

* Amount is less than one percent.

(a)	30+ Delinquency % includes all accounts delinquent more than one month and still accruing interest.
(b)	Over half of the loans driving the 1Q16 increase were favorably resolved in early second quarter 2016.

19

FHN ASSET QUALITY: NON-STRATEGIC

Quarterly, Unaudited

																4Q16 Changes vs.
	4Q16			3Q16			2Q16			1Q16			4Q15			3Q16			4Q15
Total Non-Strategic
Period-end loans ($ millions)	$	1,584		$	1,688		$	1,801		$	1,913		$	2,018			(6	)%		(22	)%
30+ Delinq. % (a)		1.94	%		1.76	%		1.56	%		1.59	%		1.77	%
NPL %		5.92			5.96			6.38			6.29			5.99
Charge-offs % (qtr. annualized)		NM			NM			0.13			NM			0.83
Allowance / loans %		3.03	%		2.97	%		2.97	%		3.19	%		3.60	%
Allowance / charge-offs		NM			NM			21.90	x		NM			4.20	x
Key Portfolio Details
Commercial
Period-end loans ($ millions)	$	420		$	420		$	420		$	421		$	422			*			*
30+ Delinq. % (a)		—	%		—	%		—	%		0.23	%		0.02	%
NPL %		0.98			0.99			1.00			0.83			0.83
Charge-offs % (qtr. annualized)		NM			NM			NM			0.03			3.87
Allowance / loans %		0.33	%		0.33	%		0.33	%		0.34	%		0.34	%
Allowance / charge-offs		NM			NM			NM			10.11	x		0.09	x
Consumer Real Estate
Period-end loans ($ millions)	$	881		$	970		$	1,064		$	1,160		$	1,251			(9	)%		(30	)%
30+ Delinq. % (a)		2.76	%		2.34	%		2.16	%		1.91	%		2.34	%
NPL %		7.26			7.09			7.59			7.52			6.97
Charge-offs % (qtr. annualized)		NM			NM			0.26			0.21			0.04
Allowance / loans %		3.56	%		3.40	%		3.27	%		3.51	%		4.12	%
Allowance / charge-offs		NM			NM			12.14	x		16.09	x		NM
Permanent Mortgage
Period-end loans ($ millions)	$	275		$	290		$	308			322		$	336			(5	)%		(18	)%
30+ Delinq. % (a)		2.29	%		2.36	%		1.66	%		2.22	%		1.88	%
NPL %		9.32			9.48			9.51			8.95			8.80
Charge-offs % (qtr. annualized)		NM			0.18			NM			NM			NM
Allowance / loans %		5.49	%		5.36	%		5.53	%		5.70	%		5.61	%
Allowance / charge-offs		NM			29.16	x		NM			NM			NM
Other Consumer
Period-end loans ($ millions)	$	8		$	8		$	9		$	10		$	9			*			(11	)%
30+ Delinq. % (a)		1.73	%		1.62	%		1.06	%		1.23	%		1.47	%
NPL %		1.82			1.83			7.98			7.70			7.28
Charge-offs % (qtr. annualized)		NM			NM			1.15			NM			5.37
Allowance / loans %		2.26	%		2.50	%		2.83	%		4.63	%		9.07	%
Allowance / charge-offs		NM			NM			2.41	x		NM			1.67	x

NM - Not meaningful

* Amount is less than one percent.

(a) 30+ Delinquency % includes all accounts delinquent more than one month and still accruing interest.  

20

FHN: PORTFOLIO METRICS

Unaudited

C&I Portfolio: $12.1 Billion (62.0% of Total Loans) as of December 31, 2016
	% OS
General Corporate, Commercial, and Business Banking Loans		78	%
Loans to Mortgage Companies		17	%
Trust Preferred Loans		3	%
Bank Holding Company Loans		2	%

Consumer Real Estate (primarily Home Equity) Portfolio: $4.5 Billion (23.1% of Total Loans)

Origination LTV and FICO for Portfolio as of December 31, 2016	Loan-to-Value
(excludes whole loan insurance)	<=60%			>60% - <=80%			>80% - 90%			>90%
FICO score greater than or equal to 740		11	%		24	%		17	%		13	%
FICO score 720-739		1	%		4	%		4	%		3	%
FICO score 700-719		1	%		3	%		3	%		2	%
FICO score 660-699		1	%		3	%		3	%		2	%
FICO score 620-659		—	%		1	%		1	%		1	%
FICO score less than 620		—	%		1	%		—	%		1	%

Origination LTV and FICO for Portfolio - Regional Bank as of December 31, 2016	Loan-to-Value
(excludes whole loan insurance)	<=60%			>60% - <=80%			>80% - 90%			>90%
FICO score greater than or equal to 740		11	%		25	%		17	%		14	%
FICO score 720-739		1	%		4	%		3	%		3	%
FICO score 700-719		1	%		3	%		2	%		2	%
FICO score 660-699		1	%		3	%		3	%		2	%
FICO score 620-659		—	%		1	%		1	%		1	%
FICO score less than 620		—	%		1	%		—	%		1	%

Origination LTV and FICO for Portfolio - Non-Strategic as of December 31, 2016	Loan-to-Value
(excludes whole loan insurance)	<=60%			>60% - <=80%			>80% - 90%			>90%
FICO score greater than or equal to 740		8	%		19	%		15	%		5	%
FICO score 720-739		2	%		6	%		6	%		2	%
FICO score 700-719		2	%		6	%		6	%		2	%
FICO score 660-699		2	%		5	%		4	%		4	%
FICO score 620-659		—	%		1	%		2	%		1	%
FICO score less than 620		—	%		—	%		—	%		2	%

Consumer Real Estate Portfolio Detail:
			Origination Characteristics
Vintage	Balances ($B)		W/A Age (mo.)		CLTV			FICO			% TN			% 1st lien
pre-2008	$	1.1		132		80	%		726			21	%		21	%
2008	$	0.2		103		75	%		745			74	%		51	%
2009	$	0.1		91		72	%		746			86	%		58	%
2010	$	0.1		77		78	%		752			92	%		71	%
2011	$	0.2		65		76	%		759			89	%		85	%
2012	$	0.5		54		76	%		764			89	%		92	%
2013	$	0.4		43		78	%		756			86	%		86	%
2014	$	0.5		30		82	%		757			86	%		90	%
2015	$	0.6		18		80	%		758			82	%		88	%
2016	$	0.8		6		80	%		761			85	%		90	%
Total	$	4.5		60		79	%		750	(a)		69	%		69	%

(a) 750 average portfolio origination FICO; 747 weighted average portfolio FICO (refreshed).

21

FHN NON-GAAP TO GAAP RECONCILIATION

Quarterly/Annually, Unaudited

																Twelve months ended
(Dollars and shares in thousands, except per share data)	4Q16			3Q16			2Q16			1Q16			4Q15			2016			2015
Tangible Common Equity (Non-GAAP)
(A) Total equity (GAAP)	$	2,705,084		$	2,744,582		$	2,691,924		$	2,642,948		$	2,639,586		$	2,705,084		$	2,639,586
Less: Noncontrolling interest (a)		295,431			295,431			295,431			295,431			295,431			295,431			295,431
Less: Preferred stock (a)		95,624			95,624			95,624			95,624			95,624			95,624			95,624
(B) Total common equity	$	2,314,029		$	2,353,527		$	2,300,869		$	2,251,893		$	2,248,531		$	2,314,029		$	2,248,531
Less: Intangible assets (GAAP) (b)		212,388			213,688			214,923			216,222			217,522			212,388			217,522
(C) Tangible common equity (Non-GAAP)	$	2,101,641		$	2,139,839		$	2,085,946		$	2,035,671		$	2,031,009		$	2,101,641		$	2,031,009
Tangible Assets (Non-GAAP)
(D) Total assets (GAAP)	$	28,555,231		$	28,449,222		$	27,541,070		$	26,963,682		$	26,192,637		$	28,555,231		$	26,192,637
Less: Intangible assets (GAAP) (b)		212,388			213,688			214,923			216,222			217,522			212,388			217,522
(E) Tangible assets (Non-GAAP)	$	28,342,843		$	28,235,534		$	27,326,147		$	26,747,460		$	25,975,115		$	28,342,843		$	25,975,115
Average Tangible Common Equity (Non-GAAP)
(F) Average total equity (GAAP)	$	2,746,828		$	2,718,319		$	2,655,488		$	2,644,374		$	2,659,575		$	2,691,478		$	2,581,187
Less: Average noncontrolling interest (a)		295,431			295,431			295,431			295,431			295,431			295,431			295,431
Less: Average preferred stock (a)		95,624			95,624			95,624			95,624			95,624			95,624			95,624
(G) Total average common equity	$	2,355,773		$	2,327,264		$	2,264,433		$	2,253,319		$	2,268,520		$	2,300,423		$	2,190,132
Less: Average intangible assets (GAAP) (b)		213,019			214,260			215,556			216,855			211,757			214,915			183,127
(H) Average tangible common equity (Non-GAAP)	$	2,142,754		$	2,113,004		$	2,048,877		$	2,036,464		$	2,056,763		$	2,085,508		$	2,007,005
Annualized Net Income Available to Common Shareholders
(I) Net income available to common shareholders (annualized)	$	212,017		$	251,434		$	227,395		$	192,299		$	186,590		$	220,846		$	79,679
Period-end Shares Outstanding
(J) Period-end shares outstanding		233,624			233,235			232,019			232,547			238,587			233,624			238,587
Ratios
(I)/(G) Return on average common equity (“ROE”) (GAAP)		9.00	%		10.80	%		10.04	%		8.53	%		8.23	%		9.60	%		3.64	%
(I)/(H) Return on average tangible common equity (“ROTCE”) (Non-GAAP)		9.89	%		11.90	%		11.10	%		9.44	%		9.07	%		10.59	%		3.97	%
(A)/(D) Total equity to total assets (GAAP)		9.47	%		9.65	%		9.77	%		9.80	%		10.08	%		9.47	%		10.08	%
(C)/(E) Tangible common equity to tangible assets (“TCE/TA”) (Non-GAAP)		7.42	%		7.58	%		7.63	%		7.61	%		7.82	%		7.42	%		7.82	%
(B)/(J) Book value per common share (GAAP)	$	9.90		$	10.09		$	9.92		$	9.68		$	9.42		$	9.90		$	9.42
(C)/(J) Tangible book value per common share (Non-GAAP)	$	9.00		$	9.17		$	8.99		$	8.75		$	8.51		$	9.00		$	8.51

(a)	Included in Total equity on the Consolidated Balance Sheet.
(b)	Includes goodwill and other intangible assets, net of amortization.

22

FHN GLOSSARY OF TERMS

Average Assets for Leverage:  The amount of assets a company uses to calculate the leverage ratio, which includes average total assets less disallowed portions of goodwill, other intangibles, and deferred tax assets, as well as certain other regulatory adjustments made to tier 1 capital.

Common Equity Tier 1 Ratio: Ratio consisting of common equity adjusted for certain unrealized gains/(losses) on available-for-sale securities, less disallowed portions of goodwill, other intangibles, and deferred tax assets as well as certain other regulatory deductions divided by risk-weighted assets.

Core Businesses:  Management considers regional banking, fixed income, and corporate as FHN’s core businesses. Non-strategic has significant legacy assets and operations that are being wound down.

Fully Taxable Equivalent (“FTE”): Reflects the amount of tax-exempt income adjusted to a level that would yield the same after-tax income had that income been subject to taxation.

Risk-Weighted Assets: A regulatory risk-based calculation that takes into account the broad differences in risks among a banking organization’s assets and off-balance sheet financial instruments.

Tier 1 Capital Ratio: Ratio consisting of shareholders’ equity adjusted for certain unrealized gains/(losses) on available-for-sale securities, plus qualifying portions of noncontrolling interests, less disallowed portions of goodwill, other intangible assets, and deferred tax assets as well as certain other regulatory deductions divided by risk-weighted assets.

Troubled Debt Restructuring (“TDR”):  A restructuring of debt whereby a creditor for economic or legal reasons related to the borrower’s financial difficulties grants a concession to the borrower that it would not otherwise consider. Such concession is granted in an attempt to protect as much of the creditor’s investment as possible by increasing the probability of repayment.

Key Ratios

Return on Average Assets: Ratio is annualized net income to average total assets.

Return on Average Common Equity: Ratio is annualized net income available to common shareholders to average common equity.

Return on Average Tangible Common Equity:  Ratio is annualized net income available to common shareholders to average tangible common equity.

Fee Income to Total Revenue:  Ratio is fee income excluding securities gains/(losses) to total revenue excluding securities gains/(losses).

Efficiency Ratio: Ratio is noninterest expense to total revenue excluding securities gains/(losses).

Leverage Ratio:  Ratio is tier 1 capital to average assets for leverage.

Asset Quality - Consolidated Key Ratios

NPL %:  Ratio is nonperforming loans in the loan portfolio to total period-end loans.

NPA %:  Ratio is nonperforming assets related to the loan portfolio to total period-end loans plus foreclosed real estate and other assets.

Net charge-offs %:  Ratio is annualized net charge-offs to total average loans.

Allowance / loans: Ratio is allowance for loan losses to total period-end loans.

Allowance / NPL:  Ratio is allowance for loan losses to nonperforming loans in the loan portfolio.

Allowance / NPA:  Ratio is allowance for loan losses to nonperforming assets related to the loan portfolio.

Allowance / charge-offs:  Ratio is allowance for loan losses to annualized net charge-offs.

23

First Horizon National Corporation Fourth Quarter 2016 Earnings January 13, 2017

2 ▪ Portions of this presentation use non - GAAP financial information. Each of those portions is so noted, and a reconciliation of that non - GAAP information to comparable GAAP information is provided in a footnote or in the appendix at the end of this presentation. ▪ This presentation contains forward - looking statements, which may include guidance, involving significant risks and uncertainties which will be identified by words such as “ believe”,“expect”,“anticipate”,“intend”,“estimate ”, “ should”,“is likely”,“will”,“going forward” and other expressions that indicate future events and trends and may be followed by or reference cautionary statements. A number of factors could cause actual results to differ materially from those in the forward - looking statements. These factors are outlined in our recent earnings and other press releases and in more detail in the most current 10 - Q and 10 - K. FHN disclaims any obligation to update any such forward - looking statements or to publicly announce the result of any revisions to any of the forward - looking statements to reflect future events or developments.

x Return on Tangible Common Equity (ROTCE) 1 at 10.6%, up 662 bps from 2015 x Consolidated revenue growth of 9% vs expense decrease of 12% 3 x Average loans up 10% and average core deposits up 11% from 2015 3 2016 Accomplishments Moving Toward Bonefish Profitability Targets All comparisons are FY 2015 vs FY 2016 unless otherwise noted. 1 ROTCE is Non - GAAP and is reconciled to ROE in the appendix. Segment revenue, expense, asset and equity levels reflect those which are specifically identifiable or which are allocated ba sed on an internal allocation method. 2 Current quarter is an estimate. 3 2015 includes $187.6mm in litigation expense compared to $30.5mm in 2016. 4 2015 includes $11.6 mm related to the resolution of legal matters. 5 Includes $0.02 per share commission. Diluted EPS $0.94 ROA 0.87% CET1 2 9.9% ROTCE 1 10.6% x Revenue up 13% while expenses increased 4% 4 x Fixed income product average daily revenue up 18% to $919k for full - year 2016 x ROA at 1.4% and ROE at 23% 1 Regional Banking Fixed Income Non - Strategic Capital Deployment x Revenue growth of 9%, NII increase of 13% x Average loan growth of 15%, including acquisition of franchise finance portfolio x Continued focus on improving returns with expansion of specialty areas such as franchise finance, specialty healthcare, equipment finance and music industry lending x Acquired franchise finance loan portfolio x Agreed to acquire Coastal Securities x Retired $250mm of debt x Repurchased ~7.4mm shares at an average price of $12.67 5 x Declared common dividends of $0.28 per share x Reduced to 8% of total loans, compared to 12% of total loans at 4Q15 x Mortgage repurchase reserve release of $33mm

FINANCIAL RESULTS 4

Consolidated Financial Results 5 Net Interest Income Fee Income Expense $ in millions Financial Results $196 $124 $238 $233 $53 4Q16 vs +17% - 6% - 2% +4% +13% $729 $552 $925 $920 $221 3Q16 +6% - 16% +2% * - 16% 4Q15 4Q16 Actuals ▪ Diluted EPS at $0.23 for 4Q16, $0.94 in FY 2016 ▪ Linked quarter solid performance driven by continued strong balance sheet growth, increased NII, and stable credit quality; partially offset by lower fixed income activity and legal settlement accruals ▪ Average loans up 15% 2 and core deposits up 14% YOY ▪ 4Q16 notable items included $4.7mm in litigation accruals Net Income Available to Common Shareholders (NIAC) * - Less than 1%. NM - Not Meaningful. LQ – 4Q16 vs 3Q16. YOY – 4Q16 vs 4Q15. Numbers may not add to total due to rounding. 1 Adjusted expense excludes notable items listed on slide 16. This number is Non - GAAP and is reconciled in the appendix. 2 Includes franchise finance portfolio acquisition. $82 +51% $345 - 15% Pretax Income $19.4 +15% $18.3 +4% Average Loans ($B) $21.7 +14% $20.3 +5% Average Core Deposits ($B) Total Revenue $320 +7% $1,282 - 4% $0.23 +15% $0.94 - 15% EPS +12% +7% - 12% +6% NM FY 2015 NM +10% +11% +9% NM FY 2016 vs FY 2016 Actuals Loan Loss Provision Adjusted Expense 1 $0 NM $11 NM +22%

Segment Highlights 6 Numbers may not add to total due to rounding. 1 Segment EPS impacts are Non - GAAP numbers and reconciled to consolidated (Total) EPS in the table. EPS impacts are calculated by dividing net income by the average diluted shares in each respective quarter: 4Q16 - 236mm; 3Q16 – 234mm; and 4Q15 – 240mm. 2 Corporate and total show net income available to common, which reflects $3mm of noncontrolling interest and $1.6mm of preferr ed stock dividends in each quarter. Regional Banking Fixed Income Corporate 2 Non - Strategic Total 2 Net Income / Per Share Impact 1 3Q16 4Q15 4Q16 $65mm / $0.28 $9mm / $0.04 $(16mm) / $(0.07) $4mm/ $0.02 $63mm / $0.27 $51mm / $0.21 $7mm / $0.03 $(8)mm / $(0.03) $(3)mm / ($0.01) $47mm / $0.20 $63mm / $0.27 $4mm / $0.02 $(17mm) / $(0.07) $3mm / $0.01 $53mm / $0.23 vs Prior - Year Quarter ▪ Regional Banking up significantly on strong balance sheet growth and operating leverage ▪ Corporate pretax impact relatively steady, with variance driven by significantly lower tax rate in 4Q15 vs Linked Quarter ▪ Regional Banking and Corporate steady ▪ Fixed Income down due to lower fixed income trading activity

7 Driving Positive Operating Leverage 2016 Expense Growth Driven by Revenue - Supported Costs & Investments All comparisons FY 2016 vs FY 2015. Numbers may not add to total due to rounding. All Non - GAAP numbers are reconciled in the appendix. Notable items are l isted on slide 16. 1 Adjusted expenses exclude $188mm and $6mm of notable items in 2015 and 2016 respectively. These numbers are Non - GAAP. 2 Adjusted segment expenses exclude the following notable item amounts. Fixed Income: $11mm in 2015; Regional Banking: $(4)mm i n 2 015 and $24mm in 2016; C orporate: $5mm in 2015 and $3mm in 2016; Non - Strategic: $177mm in 2015 and $(21)mm in 2016. These numbers are Non - GAAP. Adjusted Expense Increase Primarily Due to Revenue - Supported Activities 2015 Reported 2015 Adjusted¹ Fixed Income² Regional Banking² Corporate² Non- Strategic² 2016 Adjusted¹ 2016 Reported Consolidated Fixed Income Regional Banking Corporate Non-Strategic $1,054mm $866mm $920mm $925mm $20mm $25mm $6mm Fixed Income Regional Banking ▪ Revenue up $33mm, demonstrating solid positive operating leverage ▪ Revenue increased $84mm, delivering significant positive operating leverage ▪ Personnel spend in revenue - producing areas accounts for majority of increase in adjusted expense ▪ 2016 investments in specialty areas and growth markets will add net profitability going forward ▪ Franchise Finance – added 13 professionals; Specialty Healthcare – added 6 professionals; Equipment Finance – added 5 professionals; Music Industry – added 3 professionals ▪ Financial center count down ~10%, somewhat offsetting continued investment in digital banking FY Revenue FY Expense FY Adjusted Expense Up $110mm, or 9% Down $129mm, or 12% Up $54mm, or 6% 1 $9mm GAAP $53mm GAAP $(192)mm GAAP $3mm $1mm GAAP Corporate/ Non - Strategic ▪ Legal - related impacts primary drivers of change vs 2015

8 Net Interest Income Sensitivity Impact 1 Consolidated Net Interest Income and Net Interest Margin Strong NII Growth and Margin Expansion ▪ NII up 6% LQ, up $29mm or 17% YOY ▪ NIM at 3.00%, up 4 bps LQ and up 18 bps YOY ▪ Average loan growth of 4% LQ and 15% YOY ▪ Average core deposits up 5% LQ and 14% YOY ▪ Regional bank loan yields up 7 bps LQ and 20 bps YOY; deposit costs up 1 bps LQ and 4 bps YOY ▪ Asset sensitivity unchanged ▪ Floating rate loans comprise 68% of loan portfolio ▪ Securities portfolio duration extension offset by deposit growth NIM Expansion and Loan Growth Drive NII Increase NII and NIM Linked - Quarter Change Drivers LQ – 4Q16 vs 3Q16. YOY – 4Q16 vs 4Q15. Numbers may not add to total due to rounding. 1 NII sensitivity analysis uses FHN’s balance sheet as of 4Q16. Bps impact assumes increase in Fed Funds rate. $159 $157 $167 $164 $167 $172 $176 $185 $196 2.50% 2.75% 3.00% 3.25% $100 $125 $150 $175 $200 4Q14 1Q15 2Q15 3Q15 4Q15 1Q16 2Q16 3Q16 4Q16 NII (left axis) NIM (right axis) $200mm ($ in millions) NII NIM 3Q16 $185.2 2.96% Increase in Rates +$3.7 +6bp Higher Commercial Loan Volume +$6.3 - Higher Balances at Fed - - 2bp Other +$0.4 - 4Q16 $195.6 3.00% +1.3% +$10mm +2.6% +$20mm +4.7% +$37mm 0% 1% 2% 3% 4% 5% +25bps +50bps +100bps NII up 23%

4Q16 Actuals Adjusted Expense 2 Regional Banking Financial Results Strong Year - over - Year Balance Sheet, NII and PPNR Growth 9 Net Interest Income Fee Income Expense $ in millions Financial Results ▪ Positive YOY operating leverage, with total revenue up 14% and adjusted expense up 7% 2 ▪ Revenue up 3% LQ, driven by 5% NII increase ▪ NII increase driven by higher commercial loan balances ▪ Average loans up LQ and YOY from strong growth across multiple specialty areas and markets ▪ Expense up LQ and YOY ▪ Litigation expense in 4Q16 unfavorable by $2.7mm, compared to favorable $4.3mm in 3Q16 ▪ Higher incentive compensation related to strategic hires in expansion markets and specialty areas in 4Q16 Numbers may not add to total due to rounding. * - less than 1%. LQ – 4Q16 vs 3Q16. YOY – 4Q16 vs 4Q15. 1 Pre - provision net revenue is not a GAAP number but is used in regulatory stress test reporting. The presentation of PPNR follows the regulatory definition. 2 Adjusted Expense, Adjusted PPNR and Adjusted Pre - Tax Income exclude the impact of notable items listed on slide 16. These numbers are Non - GAAP and are reconciled to the comparable GAAP or regulatory numbers, Expense, PPNR and Pre - Tax Income in the appendix. Net Income Average Loans ($B) Average Core Deposits ($B) Loan Loss Provision PPNR 1 Pre - Tax Income Adjusted PPNR 1,2 Adjusted Pre - Tax Income 2 Total Revenue 4Q16 vs FY 2016 Actuals 3Q16 4Q15 FY 2015 FY 2016 vs $201 $63 $103 $161 $99 +18% +1% +22% +9% +25% $742 $249 $375 $616 $336 +5% - 3% - 7% +11% - 3% $5 - 20% $39 - 45% $17.7 +20% $16.4 +5% $18.4 +6% $18.0 +2% $264 +14% $991 +3% $63 +24% $216 - 3% +13% - 1% +9% +9% +9% +13% +15% +7% +9% +9% $158 +7% $591 +6% +4% $106 +25% $399 * +17% $101 +28% $361 +4% +18%

10 Profitable Growth Opportunities: Regional Banking Regional Banking Average Loan Growth by Lending Area LQ – 4Q16 vs 3Q16. YOY – 4Q16 vs 4Q15. Numbers may not add to total due to rounding. 1 Other includes Business Banking, Retail and the following specialty areas: ABL, Corporate, Energy, Equipment Finance, Healthc are , Loans to Mortgage Companies, Music, and Specialty Healthcare. $16.8 $17.7 $16.3 $16.5 $16.8 $17.0 $17.3 $17.5 $17.8 $18.0 3Q16 PC/WM Correspondent Other¹ CRE Commercial Franchise Finance 4Q16 $18.0 B $59mm $61mm $66mm $83mm $108mm $472mm ▪ Regional Banking average loan growth of 20% YOY and 5% LQ ▪ PE loans at $17.9B ▪ Average Commercial loans up 25% YOY and 6% LQ ▪ Includes Franchise Finance portfolio acquisition ▪ Continued strong loan growth in specialty areas and expansion markets ▪ Middle TN up 8% YOY; West TN up 2% YOY ▪ Mid - Atlantic up 14% YOY and 4% LQ ▪ Average Loans to Mortgage Companies flat LQ ▪ CRE growth of 4% LQ 4Q16 Average Regional Bank Commercial Loans Healthcare 3% Correspondent 3% Energy 1% Specialty Areas Commercial Real Estate 15% Loans to Mortgage Companies 17% Franchise Finance 4% Commercial 29% Asset Based Lending 12% Corporate 8%

Fixed Income - FTN Financial Solid Financial Results in Shifting Fixed Income Market ▪ Fixed income product average daily revenue (ADR) up 18% from 2015 to 2016 ▪ ADR at $718k in 4Q16 vs $922k in 3Q16 ▪ Fixed income product ADR LQ decrease driven by market uncertainties, a sharp increase in rates and lower trading activity ▪ Focused on investing in extensive fixed income distribution platform: ▪ Strategic hires to increase market share ▪ Agreed to acquire Coastal Securities, expanding product set to better serve customer base ▪ Maintained position as #1 underwriter of callable GSE debt for 2016, with increases in both number of issues and par volume underwritten ▪ Top 10 competitive municipal underwriter for 2016 LQ – 4Q16 vs 3Q16. 1 2015 Fixed Income expense includes $11.6mm related to the resolution of legal matters. 11 NII Fee Income $ in millions, except ADR Financial Results Net Income Expense 1 ADR Pretax Income 4Q16 vs 3Q16 4Q15 4Q16 Actuals FY 2015 FY 2016 vs FY 2016 Actuals $3 $52 $4 $6 - $1 - $10 - $3 - $5 $11 $269 $32 $50 +$0 - $20 - $5 - $9 $718k $919k $49 - $6 $230 - $11 - $5 +$38 +$15 +$24 +$9 - $132k - $204k +$ 138k Fixed Income Product Revenue and Expense $0 $500 $1,000 $1,500 $0 $25 $50 $75 $100 4Q15 1Q16 2Q16 3Q16 4Q16 Revenue Expense Column1 ADR Left Axis: Right Axis: $100mm 4Q16 Daily Fixed Income Product Revenue 0 5 10 15 20 25 < $250 $250 - $500k $500 - $750K $750k - $1mm $1mm - $1.25mm $1.25mm+ Number of Days 4Q16 3Q16

12 Allowance to Loans Ratio by Segment 1.19% 1.16% 1.07% 1.03% 1.03% 0.88% 0.92% 0.88% 0.85% 0.86% 3.60% 3.19% 2.97% 2.97% 3.03% 0.0% 1.0% 2.0% 3.0% 4.0% 5.0% 4Q15 1Q16 2Q16 3Q16 4Q16 Consolidated Regional Banking Non-Strategic Net Charge - Offs Asset Quality Stable Credit Trends Reflect Strong Underwriting Discipline 0.00% 0.13% 0.25% 0.38% 0.50% -$1 $5 $10 $15 4Q15 1Q16 2Q16 3Q16 4Q16 NCOs $ Provision $ NCO %¹ $15mm ▪ Net recoveries of $0.5mm vs net charge - offs of $2.3mm in 3Q16 ▪ Non - performing assets down to $165mm in 4Q16 vs $174mm in 3Q16 ▪ Decrease largely driven by improvement in consumer real estate portfolio ▪ 30+ delinquencies as a percentage of total loans at 34 bps in 4Q16 ▪ Regional bank delinquencies at 18 bps ▪ Non - strategic loans reduced to 8% of total average loans at 4Q16, down from 12% a year ago LQ – 4Q16 vs 3Q16. YOY – 4Q16 vs 4Q15. N umbers may not add to total due to rounding. 1 Net charge - off % is annualized. ($ in mm) 4Q15 1Q16 2Q16 3Q16 4Q16 Provision $1 $3 $4 $4 - Charge - offs $(17) $(18) $(18) $(10) $(11) Recovery $15 $8 $10 $8 $12 Asset Quality Highlights

13 2016 Consolidated Long - Term Targets ROTCE 1 10.6% 15.0%+ ROA 0.87% 1.10 – 1.30% CET1 2 9.9% 8.0 – 9.0% NIM 2.94% 3.25 – 3.50% NCO / Average Loans 0.05% 0.20 - 0.60% Fee Income / Revenue 43% 40 - 50% Efficiency Ratio 72% 60 - 65% 1 ROTCE is a Non - GAAP number and reconciled in the appendix. 2 CET1 is an estimate. Building Long - Term Earnings Power: Bonefish Targets Focused on Growing Our Company Selectively and Profitably While Positioning Our Balance Sheet for Sustainable, Higher Returns in the Long Term Risk Adjusted Margin Total Assets Earning Assets Pre-tax Income Tax Rate Annualized Net Charge-Offs 0.20% - 0.60% % Fee Income 40% - 50% Efficiency Ratio 60% - 65% Return on Tangible Common Equity 15%+ Equity / Assets Common Equity Tier 1 8% - 9% Return on Assets 1.10% - 1.30% Net Interest Margin 3.25% - 3.50%

14 2017 Priorities Utilizing Building Blocks to Move Toward Bonefish Targets Chart illustrates a quantified path to long - term goals; it contains no forecasts. Current Return/ Earnings Power Increased Fixed Income Activity Target Bonefish Return/ Earnings Power Growth Opportunities Economic Profit Improvement Optimize/ Redeploy Capital Continued Efficiencies ▪ Maintain P ositive Operating Leverage ▪ Non - Strategic W ind - Down ▪ Infrastructure Reductions ▪ Branch Network Rationalization ▪ Utilize EP Tools to Enhance Customer/Product Profitability ▪ Sales Productivity and Process Improvements ▪ Continued Strong Underwriting and Pricing Discipline ▪ Dividends ▪ Share Buybacks ▪ M&A ▪ Fixed Income Platform Capacity ▪ Agreement to Acquire Coastal Securities ▪ ADR at $1.0 - $1.5mm ▪ Leverage Specialty Areas ▪ Franchise Finance ▪ Specialty Healthcare ▪ Equipment Finance ▪ Music ▪ Mid - Atlantic ▪ Middle TN ▪ Houston ▪ Latent Income Embedded in Asset - Sensitive Balance Sheet ▪ Strong Deposit Franchise Capture Interest Rate Opportunities More Controllable Less Controllable Other Potential Drivers ▪ Corporate Ta x Reform ▪ Fed Funds Rate ▪ Economic Growth ▪ Regulatory Reform

APPENDIX 15

Notable Items 16 2015 Pre - Tax Amount Employee Benefit Plan Amendment $8.3mm Retirement of Trust Preferred Debt $5.8mm 1Q 2Q 3Q Refer to the financial supplement for further variance trend analysis. 1 Pre - tax loss associated with resolution of legal matters in the Fixed Income segment. 2 Pre - tax loss associated with legal matters in the Non - Strategic segment. 3 Pre - tax loss associated with legal matters in the Regional Banking segment ($22.0mm in 2Q16 and $2.7mm in 4Q16) and Non - Strategi c segment ($4.0mm in 2Q16 and $2.0mm in 4Q16). 4 Pre - tax expense reversal associated with legal matters in the Regional Banking segment. Litigation Accrual 1 $(11.6)mm 4Q Litigation Accrual 2 $(14.2)mm Impairment Related to Tax Credit Investment $(2.8)mm $(2.7)mm TrustAtlantic Acquisition Expenses 2016 Pre - Tax Amount $(1.1)mm TrustAtlantic Acquisition Expenses $(0.6)mm TrustAtlantic Acquisition Expenses Branch Impairment $(3.7)mm $(26.0)mm Litigation Accrual 3 Valuation Adjustment for Derivatives Related to Prior Sales of Visa Class B Shares Mortgage Repurchase Reserve Release $(2.5)mm $31.4mm Settlement with DOJ/HUD $(162.5)mm TrustAtlantic Acquisition Expenses $(0.6)mm $4.4mm Gain Primarily Related to Recoveries Associated with Prior Mortgage Servicing Sales Litigation Accrual 2 Litigation Accrual Reversal 4 $(4.5)mm $4.3mm Litigation Accrual 3 $(4.7)mm

17 4Q16 Credit Quality Summary by Portfolio Numbers may not add to total due to rounding. Data as of 4Q16. NM - Not meaningful. 1 Credit card, Permanent Mortgage, and Other. 2 Credit card, OTC, and Other Consumer. 3 Non - performing loan % excludes held - for - sale loans. 4 Net charge - offs are annualized. 5 Exercised clean - up calls on jumbo securitizations in 1Q13, 3Q12, 2Q11, and 4Q10, which are now on balance sheet in the Corporate segment. ($ in millions) CRE HE & HELOC Other 1 Total Permanent Mortgage Commercial (C&I & Other) HE & HELOC Permanent Mortgage Other 2 Total Period End Loans $11,728 $2,136 $3,643 $428$17,935 $71 $420 $881 $275 $8 $19,590 30+ Delinquency 0.08% 0.01% 0.49% 1.08% 0.18% 4.37% - 2.76% 2.29% 1.73% 0.34% Dollars $9 $0 $18 $5 $32 $3 - $24 $6 $0 $66 NPL 3 % 0.24% 0.13% 0.52% 0.09% 0.28% 1.66% 0.98% 7.26% 9.32% 1.82% 0.74% Dollars $29 $3 $19 $0 $51 $1 $4 $64 $26 $0 $146 Net Charge-offs 4 % NM 0.11% - 2.79% 0.05% NM NM NM NM NM NM Dollars -$2 $1 $0 $3 $2 NM $0 -$2 $0 $0 -$1 Allowance $88 $34 $19 $13 $154 NM $1 $31 $15 $0 $202 Allowance / Loans % 0.75% 1.59% 0.52% 3.09% 0.86% NM 0.33% 3.56% 5.49% 2.26% 1.03% Allowance / Charge-offs NM 14.28x NM 1.12x 19.30x NM NM NM NM NM NM Commercial (C&I & Other) FHNC Consol Regional Banking Corporate 5 Non-Strategic

18 Select C&I and CRE Portfolio Metrics Data as of 4Q16. Numbers may not add to total due to rounding. ▪ $12.1B C&I portfolio , diversified by industry ▪ $2.1B CRE portfolio, diversified by geography and product type, comprising 11% of period - end consolidated loans ▪ Commercial (C&I and CRE) net recoveries of $1.1mm for the quarter ▪ Gross charge - offs were $2.7mm with recoveries of $3.8mm $1.7 $1.5 $2.2 $2.5 $2.0 $1.2 $1.2 $1.6 $2.2 $2.2 $0.0 $0.5 $1.0 $1.5 $2.0 $2.5 4Q15 1Q16 2Q16 3Q16 4Q16 Period End Average C&I: Loans to Mortgage Companies CRE: Loan Type CRE: Collateral Type CRE: Geographic Distribution Retail 23% TN 28% NC 19% GA 13% Construction 23% Land 2% Mini - Perm/ Non - Construction 75% Industrial 10% Office 15% Multi - Family 32% Other 20% TX 8% SC 6% FL 6% $2.5B Hospitality 14% Land 1%

19 Core Banking Customers TN 69% CA 5% NC 3% VA 3% GA 3% Other 17% Consumer Portfolio Overview $1.1 $0.6 $0.0 $0.5 $1.0 $1.5 In Draw In Repayment HELOC Draw vs Repayment Balances Percent of Home Equity Portfolio: Months Left in Draw Period 20% 12% 7% 6% 6% 48% 0% 10% 20% 30% 40% 50% 60% 0-12 13-24 25-36 37-48 49-60 >60 Home Equity Portfolio Characteristics Home Equity Geographic Distribution 29.2% 31.7% 32.7% 32.0% 35.1% 20.0% 25.0% 30.0% 35.0% 40.0% $0.0 $0.5 $1.0 $1.5 4Q15 1Q16 2Q16 3Q16 4Q16 Period End Balance Constant Pre-Payment Rate (Right Axis) Non - Strategic Consumer Real Estate Run - Off $1.5B $1.5B Data as of 4Q16. Numbers may not add to total due to rounding. First Second Total Balance $3.2B $1.4B $4.5B Original FICO 756 736 750 Refreshed FICO 756 726 747 Original CLTV 78% 81% 79% Full Doc 96% 78% 90% Owner Occupied 96% 94% 95% HELOCs $0.6B $1.1B $1.7B Weighted Average HELOC Utilization 44% 51% 49%

($ in millions) 4Q15 1Q16 2Q16 3Q16 4Q16 Beginning Balance $115 $115 $114 $67 $67 Net Realized Losses $(0) $(1) $(16) $0 $0 Provision $0 $0 $(31) $(0) $(1) Ending Balance $115 $114 $67 $67 $66 $0 $100 $200 4Q15 1Q16 2Q16 3Q16 4Q16 GSE New Requests Other New Requests Resolved Pipeline 20 Agency & Non - Agency Update Total Pipeline of Repurchase Requests 1 $200mm Mortgage Repurchase Reserve Other Whole Loan Sales and Non - Agency ▪ Represent 83% of all active repurchase/make whole requests in 4Q16 pipeline ▪ Some non - Agency FHN loans were bundled with other companies’ loans and securitized by the purchasers ▪ Certain purchasers have requested indemnity related to FHN loans included in their securitizations Data as of 4Q16. Numbers may not add to total due to rounding. 1 Based on UPB. The pipeline represents active investor claims and mortgage insurance (MI) cancellations under review, both of whi ch could occur on the same loan. Excludes MI cancellation notices that have been reviewed and coverage has been lost. MI cancell ati ons that have resulted in lost coverage are included in management’s assessment of the adequacy of repurchase reserves. 4Q15, 1Q16, 2Q16, 3Q16 and 4Q16 pipeline includes $16.1mm, $15.8mm, $4.6mm , $ 2.3mm and $2.4mm in other claims, respectively, that pose no risk to the repurchase reserve but require formal acknowledgment with Fannie. Numbers may not add to total due to rounding. ▪ Pipeline decrease in 2Q16 reflects the settlement of certain repurchase claims

Reconciliation to GAAP Financials 21 Slides in this presentation use non - GAAP information of return on tangible common equity, adjusted noninterest expense, adjusted pre - provision net revenue and adjusted pre - tax income. That information is not presented according to generally accepted accounting principles (GAAP ) and is reconciled to GAAP information below. * - less than 1%. Numbers may not add to total due to rounding. 1 Pre - provision net revenue is not a GAAP number but is used in regulatory stress test reporting. The presentation of PPNR follows the regulatory definition. ($ in millions) Return on Tangible Common Equity (ROTCE) 2016 2015 Average Total Equity (GAAP) $2,691 $2,581 Less: Average Noncontrolling Interest (GAAP) $295 $295 Less: Preferred Stock (GAAP) $96 $96 Average Common Equity (GAAP) (a) $2,300 $2,190 Less: Average Intangible Assets (GAAP) $215 $183 Average Tangible Common Equity (Non-GAAP) (b) $2,086 $2,007 Net Income Available to Common (GAAP) (c) $221 $80 Return on Average Common Equity (ROE) (GAAP) (c/a) 9.6% 3.6% Return on Average Tangible Common Equity (ROTCE) (Non-GAAP) (c/b) 10.6% 4.0% Adjusted Regional Banking Noninterest Expense 4Q16 3Q16 4Q15 2016 2015 LQ YOY FY Regional Banking Noninterest Expense (GAAP) $161 $145 $148 $616 $563 11% 9% 9% Less: Notable Items (GAAP) $3 -$4 $0 $24 -$4 Adjusted Regional Banking Noninterest Expense (Non-GAAP) $158 $149 $148 $591 $567 6% 7% 4% Adjusted Regional Banking Pre-Provision Net Revenue (PPNR) Regional Banking Pre-Provision Net Revenue 1 (PPNR) $103 $111 $85 $375 $344 -7% 22% 9% Plus: Notable Items (GAAP) $3 -$4 $0 $24 -$4 Adjusted Regional Banking Pre-Provision Net Revenue 1 (PPNR) $106 $106 $85 $399 $340 * 25% 17% Adjusted Regional Banking Pre-Tax Income Regional Banking Pre-Tax Income (GAAP) $99 $102 $79 $336 $310 -3% 25% 9% Plus: Notable Items (GAAP) $3 -$4 $0 $24 -$4 Adjusted Regional Banking Pre-Tax Income (Non-GAAP) $101 $98 $79 $361 $306 4% 28% 18% Adjusted Consolidated Noninterest Expense Consolidated Noninterest Expense (GAAP) $238 $234 $244 $925 $1,054 2% -2% -12% Less: Notable Items (GAAP) $5 $0 $20 $6 $188 Adjusted Consolidated Noninterest Expense (Non-GAAP) $233 $233 $224 $920 $866 * 4% 6% Change

Reconciliation to GAAP Financials 22 Slides in this presentation use non - GAAP information of adjusted noninterest expense. That information is not presented according to generally accepted accounting principles (GAAP ) and is reconciled to GAAP information below. Refer to slide 16 for additional details on notable items. Numbers may not add to total due to rounding. ($ in millions) Adjusted Noninterest Expense Regional Banking Fixed Income Corporate Non-Strategic Consolidated Noninterest Expense (GAAP) $616 $230 $59 $21 $925 Less: Litigation Accruals (GAAP) $20 $0 $0 $10 $31 Less: Branch Impairment (GAAP) $4 $0 $0 $0 $4 Less: Derivatives Valuation Adjustment (GAAP) $0 $0 $3 $0 $3 Less: Mortgage Repurchase Reserve Release (GAAP) $0 $0 $0 -$31 -$31 Adjusted Noninterest Expense (Non-GAAP) $591 $230 $56 $42 $920 Noninterest Expense (GAAP) $563 $220 $58 $213 $1,054 Less: Litigation Accruals (GAAP) $0 $12 $0 $177 $188 Less: Acquisition Expense (GAAP) $0 $0 $5 $0 $5 Less: Employee Benefit Plan Amendment (GAAP) -$4 -$1 -$3 $0 -$8 Less: Tax Credit Investment Impairment (GAAP) $0 $0 $3 $0 $3 Adjusted Noninterest Expense (Non-GAAP) $567 $210 $53 $36 $866 2016 2015