The following presentation may contain forward-looking statements about Fulton Financial Corporation’s
financial condition, business, strategies, products and services. Forward-looking statements are encouraged
by the Private Securities Litigation Reform Act of 1995. Such forward-looking statements reflect the
Corporation’s current views and expectations based largely on information currently available to its
management, and on its current expectations, assumptions, plan, estimates, judgments, and projections about
its business and its industry, and they involve inherent risks, contingencies, uncertainties and other factors.
Although the Corporation believes that these forward-looking statements are based on reasonable estimates
and assumptions, the Corporation is unable to provide any assurance that its expectations will, in fact, occur
or that its estimates or assumptions will be correct and actual results could differ materially from those
expressed or implied by such forward-looking statements and such statements are not guarantees of future
performance. The Corporation undertakes no obligation to update or revise any forward-looking statements.
Accordingly, investors and others are cautioned not to place undue reliance on such forward-looking statements.
Many factors could affect future financial results including, without limitation, acquisition and growth
strategies; market risk; changes or adverse developments in economic, political or regulatory conditions; a
continuation or worsening of the current disruption in credit and other markets, including the lack of or
reduced access to, and the abnormal functioning of markets for mortgage and other asset-backed securities
and for commercial paper and other short-term borrowings; the effect of competition and interest rates on net
interest margin and net interest income; investment strategy and income growth; investment securities gains;
declines in the value of securities which may result in charges to earnings; changes in rates of deposit and
loan growth; asset quality and the impact on assets from adverse changes in the economy and in credit and
other markets and resulting effects on credit risk and asset values; balances of risk-sensitive assets to risk-
sensitive liabilities; salaries and employee benefits and other expenses; amortization of intangible assets;
goodwill impairment; capital and liquidity strategies; and other financial and business matters for future periods.
For a more complete discussion of certain risks and uncertainties affecting the Corporation, please see the
sections entitled “Risk Factors” and “Management’s Discussion and Analysis of Financial Condition and
Results of Operations” set forth in the Corporation’s filings with the Securities and Exchange Commission.
Forward-Looking Statement
Presentation Outline
Corporate Overview
Franchise and Markets
Capital
Credit
First Quarter Performance
Summary
Fulton Financial Profile
Mid-Atlantic regional financial holding company
A family of 10 community banks in 5 states
Fulton Financial Advisors
Fulton Mortgage Company
268 community banking offices
Asset size: $ 16.5 billion
3900 Team Members
Market capitalization: $ 1.2 billion
Book value per common share: $ 8.50
Tangible book value per common share: $ 5.33
Shares outstanding: 175 million
Capital
With CPP
Without CPP
GAAP Capital
$1.86 billion
$1.48 billion
Total Risk-Based Capital
$1.85 billion
$1.48 billion
Ratios:
With CPP
Without CPP
Total Risk-Based Capital
14.00%
11.10%
Tier 1 Risk-Based Capital
11.20%
8.40%
Leverage Capital
9.50%
7.10%
Tangible Common Equity
5.90%
5.90%
Tangible Common Equity
to Risk-Weighted Assets
7.00%
7.00%
Superior Customer Satisfaction
*Retail:
90% extremely/very satisfied
Commercial:
90% extremely/very satisfied
*Compared to national average of 63%
Source: American Banker/Gallup Consumer Survey
Customers’ satisfaction with FFC
Attribute
Q4/2007
Q4/2008
Employees are friendly and helpful
9.6
9.6
Bank seems easy to work with
9.5
9.6
Employees are knowledgeable
9.3
9.4
Wait times are brief
9.2
9.3
Wide range of products and services
9.1
9.3
Listens to my needs
9.1
9.3
Convenient branches and ATMs
9.1
9.0
Resolves problems quickly
8.7
9.2
Offers ability to conduct transactions on Internet
7.9
8.7
Fees are generally low
7.8
8.5
Competitive interest rates
7.8
8.4
Bank is involved in the community
7.7
8.5
Meeting the branch manager
6.8
8.5
*Source: SNL, Median HH Income, 2008 data
Serving PA’s Strongest Markets*
County
Rank
#
Branches
Projected Population
Change 2008-2013 (%)
Median HH
Income 2008 ($)
Projected HH
Income Change
2008-2013 (%)
Chester, PA
1
7
7.96
87,480
22.46
Montgomery, PA
2
3
2.34
79,875
22.45
Bucks, PA
3
5
3.78
79,610
22.28
Delaware, PA
4
1
0.70
66,587
17.73
Cumberland, PA
5
3
4.81
61,897
13.45
Northampton, PA
6
3
7.38
60,429
13.16
Lancaster, PA
8
27
4.08
59,151
12.98
Lehigh, PA
9
3
6.17
59,036
14.67
York, PA
10
15
7.74
58,782
12.58
Berks, PA
11
9
4.74
58,222
12.93
Average
4.97
67,107
16.47
Average of all
other (57)
0.80
44,312
15.54
FFC Affiliates in Affluent Markets*
*Source: SNL Financial, 2008
County
#
Branches
National
Ranking
Ranking in
State
Median HH
Ranking
Hunterdon, NJ
3
#3
#1
$109,245
Morris, NJ
6
#7
#2
$103,406
Somerset, NJ
7
#8
#3
$102,548
Howard, MD
9
#9
#1
$101,251
Montgomery, MD
3
#22
#2
$91,571
Loan Distribution by State (First Quarter)
Average
% of
09 v. 08
%
Balance
Total
Growth
Growth
(dollars in thousands)
Pennsylvania
6,466,000
$
53.7%
440,000
$
7%
New Jersey
2,496,000
20.7%
186,000
8%
Maryland
1,592,000
13.2%
30,000
2%
Virginia
1,140,000
9.5%
74,000
7%
Delaware
347,000
2.9%
16,000
5%
12,041,000
$
Residential Mortgage and HE Loans
Q1 2009
% of
Avg. Bal.
Total
Pennsylvania
1,375,000
$
51.8%
Maryland
459,000
17.3%
New Jersey
459,000
17.3%
Virginia
204,000
7.7%
Delaware
159,000
6.0%
2,656,000
$
(dollars in thousands)
Commercial Loans by Industry
Industry
%
Services
17.3
Manufacturing
13.4
RE - Rental and Leasing
12.4
Construction
11.2
Agriculture
8.8
Retail
8.8
Wholesale
8.5
Other
6.1
Health Care
5.9
Financial Services
3.1
Transportation
2.4
Arts and Entertainment
2.1
100.0
Commercial Loans by State
Q1 2009
% of
Avg. Bal.
Total
Pennsylvania
2,354,000
$
63.9%
Maryland
444,000
12.1%
New Jersey
548,000
14.9%
Virginia
306,000
8.3%
Delaware
30,000
0.8%
3,682,000
$
(dollars in thousands)
Construction Loans by State (March 31, 2009)
Ending
% of
NPL
Specific
Balance
Total
Balance
Allocations
(dollars in thousands)
Pennsylvania
330,000
$
27.4%
3,910
$
2,170
$
Maryland
322,000
26.7%
39,760
17,890
New Jersey
242,000
20.1%
20,180
4,660
Virginia
295,000
24.5%
29,570
7,220
Delaware
17,000
1.4%
-
130
1,206,000
$
93,420
$
32,070
$
CRE Loans by State (March 31, 2009)
Ending
% of
NPL
Specific
Balance
Total
Balance
Allocations
(dollars in thousands)
Pennsylvania
2,084,000
$
51.2%
21,110
$
9,170
$
New Jersey
1,183,000
29.1%
23,490
4,160
Maryland
345,000
8.5%
9,850
450
Virginia
328,000
8.1%
4,040
1,120
Delaware
128,000
3.1%
1,410
1,430
4,068,000
$
59,900
$
16,330
$
Loan Delinquency (Key Sectors)
Category
Total (%)
3/31/08
90-Days
3/31/08
Total (%)
3/31/09
90-Days
3/31/09
Commercial
Loans
1.48
.99
2.26
1.59
Consumer
Direct
.77
.33
1.27
0.54
Commercial
Mortgage
1.38
.83
1.88
1.27
Residential
Mortgage
5.49
3.14
6.88
3.20
Construction
3.30
2.05
8.78
7.65
Total
Portfolio
1.87
1.13
3.00
2.04
Net Charge-offs (Q1 2009)
Comm'l
Res. Mtg.
Comm'l
Mortgage
Constr.
and HE
Other
Total
(in thousands)
Pennsylvania
336
$
420
$
2,444
$
2,103
$
545
$
5,848
$
Maryland
209
1,880
7,406
451
108
10,054
New Jersey
2,333
1,067
696
186
317
4,599
Virginia
6,782
-
1,584
218
22
8,606
Delaware
58
583
-
296
30
967
9,718
$
3,950
$
12,130
$
3,254
$
1,022
$
30,074
$
Avg Loans
3,682,000
4,049,000
1,204,000
2,656,000
450,000
12,041,000
NCO %
1.06%
0.39%
4.03%
0.49%
0.91%
1.00%
Non-performing Loans* (March 31, 2009)
Comm'l
Res. Mtg.
Comm'l
Mortgage
Constr.
and HE
Other
Total
(in thousands)
Pennsylvania
19,272
$
21,107
$
3,907
$
5,902
$
3,984
$
54,172
$
Maryland
4,297
9,853
39,764
3,076
1,422
58,412
New Jersey
15,374
23,490
20,183
4,277
2,496
65,820
Virginia
11,214
4,037
29,571
16,465
1,569
62,856
Delaware
336
1,412
-
1,645
1,396
4,789
50,493
$
59,899
$
93,425
$
31,365
$
10,867
$
246,049
$
End Loans
3,654,000
4,068,000
1,205,000
2,622,000
461,000
12,010,000
NPL%
1.38%
1.47%
7.75%
1.20%
2.36%
2.05%
* Includes accruing loans > 90 days past due.
52 relationships with commitments to lend
of $20 million or more
Maximum individual commitment- $33
million
Maximum commitment land development-
$28 million
Average commercial lending relationship
size is $440,953
Loans and corresponding relationships are
within Fulton’s geographic market area
Summary of Larger Loans
Overview of First Quarter
Strong deposit growth
Robust residential mortgage activity
Good growth in other income
Reduced reliance on wholesale
funding
Improved efficiency
Controllable expenses flat
Loan portfolio challenges
Margin compression
2009 Financial Results (First Quarter)
2009
2008
Net income
13,080,000
$
41,500,000
$
Cost of preferred stock
(5,030,000)
-
Net income available
to common shareholders
8,050,000
$
41,500,000
$
Earnings per share
0.05
$
0.24
$
Return on tangible equity
3.88%
18.45%
Income Statement Summary (First Quarter)
2009
2008
$
%
(dollars in thousands)
Net Interest Income
124,120
$
125,900
$
(1,780)
$
-1%
Loan Loss Provision
(50,000)
(11,220)
(38,780)
346%
Other Income
44,000
36,430
7,570
21%
Securities Gains
2,920
1,250
1,670
134%
Other Expenses
(106,390)
(96,660)
(9,730)
10%
Pre-Tax Income
14,650
55,700
(41,050)
-74%
Income Taxes
(1,570)
(14,200)
12,630
-89%
Net Income
13,080
$
41,500
$
(28,420)
$
-68%
Income Summary Proforma (First Quarter)
2009
2008
$
%
(dollars in thousands)
Pre-tax Income
14,650
$
55,700
$
(41,050)
$
-74%
Loan Loss Provision
50,000
11,220
38,780
346%
Security Gains
(2,920)
(1,250)
(1,670)
134%
ARC Charges
6,160
-
6,160
-
Proforma
67,890
65,670
2,220
3%
International Bancshares Corporation
Old National Bancorp
South Financial Group, Inc.
Susquehanna Bancshares, Inc.
TCF Financial Corporation
Trustmark Corporation
UMB Financial Corporation
United Bankshares, Inc.
Valley National Bancorp
Whitney Holding Corporation
Wilmington Trust Corporation
Associated Banc-Corp
BancorpSouth, Inc.
Bank of Hawaii Corporation
BOK Financial Corporation
Citizens Republic Bancorp
City National Corporation
Colonial BancGroup, Inc.
Commerce Bancshares, Inc.
Cullen/Frost Bankers, Inc.
First Citizens BancShares, Inc.
First Midwest Bancorp, Inc.
First Merit Corporation
Peer Group
Other Income (First Quarter)
2009
2008
$
%
(dollars in thousands)
Mort. Sales Gains
8,590
$
2,310
$
6,280
$
272%
Overdraft & NSF Fees
8,440
7,690
750
10%
Invt Mgt & Trust
7,900
8,760
(860)
-10%
Service Charges
3,250
3,040
210
7%
Cash Mgt Fees
3,200
3,230
(30)
-1%
Success Card Fees
2,440
2,260
180
8%
Credit Card Fees
1,190
-
1,190
N/A
Other
8,990
9,140
(150)
-2%
Total
44,000
$
36,430
$
7,570
$
21%
Other Income (Linked Quarter)
Q1 09
Q4 08
$
%
(dollars in thousands)
Mort. Sales Gains
8,590
$
3,080
$
5,510
$
179%
Overdraft & NSF Fees
8,440
9,530
(1,090)
-11%
Invt Mgt & Trust
7,900
7,540
360
5%
Service Charges
3,250
3,300
(50)
-2%
Cash Mgt Fees
3,200
3,340
(140)
-4%
Success Card Fees
2,440
2,460
(20)
-1%
Credit Card Fees
1,190
1,150
40
N/A
Other
8,990
8,350
640
8%
Total
44,000
$
38,750
$
5,250
$
14%
Efficiency Ratio
61.0
62.1
62.1
50.0
52.0
54.0
56.0
58.0
60.0
62.0
64.0
93
94
95
96
97
98
99
00
01
02
03
04
05
06
07
08
3/09
FFC
Peer
Top 50
Other Expense (First Quarter)
2009
2008
$
%
(dollars in thousands)
Salaries & Benefits
55,320
$
55,200
$
120
$
0%
Occupancy & Equip.
14,100
13,970
130
1%
Operating Risk Loss
6,200
1,240
4,960
400%
Data Proc. & Software
4,630
4,660
(30)
-1%
FDIC Insurance
4,290
860
3,430
399%
Supplies & Postage
2,660
2,810
(150)
-5%
Marketing
2,570
2,910
(340)
-12%
Other Expenses
16,620
15,010
1,610
11%
Total
106,390
$
96,660
$
9,730
$
10%
Other Expense (Linked Quarter)
Q1 09
Q4 08
$
%
(dollars in thousands)
Salaries & Benefits
55,320
$
48,770
$
6,550
$
13%
Occupancy & Equip.
14,100
14,660
(560)
-4%
Operating Risk Loss
6,200
5,200
1,000
19%
Data Proc. & Software
4,630
4,740
(110)
-2%
FDIC Insurance
4,290
1,880
2,410
128%
Supplies & Postage
2,660
2,730
(70)
-3%
Marketing
2,570
3,750
(1,180)
-31%
Other Expenses
16,620
19,140
(2,520)
-13%
Total
106,390
$
100,870
$
5,520
$
5%
Allowance for Credit Losses
2009
2008
(dollars in thousands)
Beginning Balance
180,140
$
112,210
$
Loan Loss Provision
50,000
11,220
Net Charge-Offs
(30,080)
(4,360)
Ending Balance
200,060
$
119,070
$
Allowance to Loans
1.67%
1.05%
Nonperforming Assets to Assets
1.63%
0.90%
Net Charge-offs to Loans
1.00%
0.15%
Net Charge-Offs To Average Loans
1.00
0.94
1.40
0.00
0.30
0.60
0.90
1.20
1.50
91
92
93
94
95
96
97
98
99
00
01
02
03
04
05
06
07
08
3/09
FFC
Peer
Top 50
Investment Portfolio
ENDING
MODIFIED
BALANCE
DURATION
(in millions)
Agency mortgage-backed securities
1,120.5
$
4.38
Municipal bonds
513.3
4.15
Agency collateralized mortgage obligations
489.7
4.34
Auction rate securities
208.3
5.14
Corporate & trust preferred securities
152.0
9.98
U.S. Treasuries and agencies
87.8
2.28
FHLB & FRB stock
85.2
NA
Bank stocks
43.1
NA
Other investments
28.8
NA
Net unrealized loss
(3.9)
Total Investments
2,724.8
$
4.68
Status of the Corporation
Valuable geographic franchise
Positive market demographics
Strong capital
Deposit trends improving
Strong mortgage activity
Continued expense reduction
Positioned for economic rebound
