EXHIBIT 99.2
SunTrust Banks, Inc. and Subsidiaries
FINANCIAL HIGHLIGHTS
- -------------------------------------------------------------------------------------------------------------------------
Three Months Ended Twelve Months Ended
------------------------- % ---------------------------- %
2002 2001 Change 2002 2001 Change
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EARNINGS & DIVIDENDS
Period Ended December 31
- ------------------------
(Dollars in millions except per share data)
Net income $ 340.3 $ 356.7 (4.6)% $ 1,331.8 $ 1,375.5 (3.2)%
Earnings per share
Diluted $ 1.20 $ 1.24 (3.2) $ 4.66 $ 4.72 (1.3)
Basic 1.21 1.25 (3.2) 4.71 4.78 (1.5)
Dividends paid per common share 0.43 0.40 7.5 1.72 1.60 7.5
Average shares outstanding (000s)
Diluted 283,595 289,319 (2.0) 286,052 291,584 (1.9)
Basic 280,364 285,645 (1.8) 282,495 287,702 (1.8)
KEY RATIOS
Return on average assets less net unrealized
gains on securities (4) 1.20 % 1.40 (14.3)% 1.26 % 1.37 % (8.0)%
Return on average total assets (4) 1.18 1.36 (13.2) 1.23 1.34 (8.2)
Return on average realized equity (4) 18.74 21.67 (13.5) 19.07 21.74 (12.3)
Return on average total equity (4) 15.30 16.98 (9.9) 15.26 17.04 (10.4)
Net interest margin(1) 3.26 3.56 (8.4) 3.41 3.58 (4.7)
Efficiency ratio 62.43 57.14 9.2 58.90 56.96 3.4
Period Ended December 31
- ------------------------
Book value per share 31.04 28.97 7.1
Equity to assets 7.47 7.98 (6.3)
Tier 1 capital ratio 7.50 (3) 8.02 (6.5)
Total capital ratio 11.70 (3) 12.18 (3.9)
Tier 1 leverage ratio 7.29 (3) 7.94 (8.2)
- ------------------------------------------------------------------------------------------------------------------------
CONDENSED BALANCE SHEET (Dollars in millions)
Average Balances
- ----------------
Securities available for sale $ 21,844 $ 19,011 14.9 % $ 20,030 $ 19,054 5.1 %
Loans held for sale 6,228 3,777 64.9 4,411 2,950 49.5
Loans 72,669 69,547 4.5 71,270 70,023 1.8
Other earning assets 3,707 2,876 28.9 3,391 2,708 25.2
Allowance for loan losses (930 (867) 7.3 (924) (876) 5.5
Intangible assets 1,570 800 96.3 1,498 817 83.4
Other assets 9,740 8,738 11.5 8,840 8,208 7.7
---------- ----------- ---------- -----------
Total assets $ 114,828 $ 103,882 10.5 $ 108,516 $ 102,884 5.5
========== =========== ========== ===========
Consumer and commercial deposits $ 67,830 $ 59,086 14.8 $ 65,430 $ 56,776 15.2
Purchased liabilities(2) 20,103 18,189 10.5 17,028 20,670 (17.6)
Long-term debt 11,733 12,871 (8.8) 11,960 12,497 (4.3)
Other liabilities 6,338 5,401 17.3 5,372 4,867 10.4
---------- ----------- ---------- --------------
Total liabilities 106,004 95,547 10.9 99,790 94,810 5.3
Realized shareholders' equity 7,205 6,531 10.3 6,985 6,328 10.4
Accumulated other comprehensive income 1,619 1,804 (10.3) 1,741 1,746 (0.3)
---------- ----------- ---------- --------------
Total liabilities and shareholders' equity $ 114,828 $ 103,882 10.5 $ 108,516 $ 102,884 5.5
========== =========== ========== ==============
Period Ended December 31
- ------------------------
Securities available for sale $ 23,445 $ 19,656 19.3
Loans held for sale 7,748 4,320 79.4
Loans 73,168 68,959 6.1
Other earning assets 2,820 3,025 (6.8)
Allowance for loan losses (930) (867) 7.3
Intangible assets 1,576 811 94.3
Other assets 9,496 8,837 7.5
---------- -----------
Total assets $ 117,323 $ 104,741 12.0
========== ===========
Consumer and commercial deposits $ 70,227 $ 62,281 12.8
Purchased liabilities(2) 21,251 17,012 24.9
Long-term debt 11,880 12,661 (6.2)
Other liabilities 5,195 4,428 17.3
---------- -----------
Total liabilities 108,553 96,382 12.6
Realized shareholders' equity 7,260 6,704 8.3
Accumulated other comprehensive income 1,510 1,655 (8.8)
---------- -----------
Total liabilities and shareholders' equity $ 117,323 $ 104,741 12.0
========== ===========
CREDIT DATA ($ in thousands)
Period Ended December 31
- ------------------------
Allowance for loan losses - beginning $ 929,320 $ 866,353 7.3 % $ 867,059 $ 874,547 (0.9)%
Allowance from acquisitions and other
activity - net - - - 15,531 (10,210) 252.1
Provision for loan losses 96,500 88,093 9.5 469,792 275,165 70.7
Net charge-offs
- ---------------
Business credit card 520 938 (44.6) 871 1,101 (20.9)
Consumer 48,384 21,563 124.4 126,814 65,192 94.5
Residential 6,047 2,669 126.6 13,454 8,591 56.6
Commercial 40,755 62,217 (34.5) 281,129 197,559 42.3
----------- ---------- ---------- ------------
Allowance for loan losses - ending $ 930,114 $ 867,059 7.3 $ 930,114 $ 867,059 7.3
=========== ========== ========== ============
Total net charge-offs $ 95,706 $ 87,387 9.5 $ 422,268 $ 272,443 55.0
Net charge-offs to average loans 0.52 % 0.50 % 4.0 0.59 % 0.39 % 51.3
Period Ended December 31
- ------------------------
Nonperforming loans $ 510,974 $ 558,101 (8.4)
Other real estate owned (OREO) 17,972 20,661 (13.0)
----------- ----------
Total nonperforming loans and OREO 528,946 578,762 (8.6)
Other repossessed assets 13,030 20,972 (37.9)
----------- ----------
Total nonperforming assets $ 541,976 $ 599,734 (9.6)
=========== ==========
Total nonperforming loans to total loans 0.70 % 0.81 % (13.6)
Total nonperforming assets to total loans
plus OREO and other repossessed assets 0.74 0.87 (14.9)
Allowance to period-end loans 1.27 1.26 0.8
Allowance to nonperforming loans 182.0 155.4 17.1
(1) Net interest income and net interest margin include the effects of
taxable-equivalent adjustments.
(2) Purchased liabilities include foreign and brokered deposits, funds
purchased and other short-term borrowings.
(3) Current period tier 1 capital, total capital and tier 1 leverage ratios are
estimated as of the press release date.
(4) SunTrust presents a return on average assets less net unrealized gains on
securities and a return on average realized equity.
These performance measures exclude the net unrealized gains on the
Company's securities portfolio. Due to its ownership of 48 million shares
of common stock of The Coca-Cola Company, the Company believes this is a
more indicative performance measure when being compared to other companies.
SunTrust Banks, Inc. and Subsidiaries
CONSOLIDATED BALANCE SHEET
(Dollars in thousands)
- ------------------------------------------------------------------------------------------------------------------------
As of December 31 Increase/(Decrease)
----------------------------------- --------------------------
2002 2001 Amount %
- ------------------------------------------------------------------------------------------------------------------------
ASSETS
Cash and due from banks $ 4,455,776 $ 4,229,074 $ 226,702 5.4 %
Interest-bearing deposits in other banks 10,238 185,861 (175,623) (94.5)
Trading account 1,717,774 1,343,602 374,172 27.8
Securities available for sale (1) 23,445,182 19,656,391 3,788,791 19.3
Funds sold and securities purchased under agreements
to resell 1,092,281 1,495,109 (402,828) (26.9)
Loans held for sale 7,747,793 4,319,594 3,428,199 79.4
Loans 73,167,935 68,959,222 4,208,713 6.1
Allowance for loan losses (930,114) (867,059) (63,055) 7.3
-------------- ---------------- ---------------
Net loans 72,237,821 68,092,163 4,145,658 6.1
Goodwill 963,761 440,497 523,264 118.8
Intangible assets 612,158 370,779 241,379 65.1
Other assets 5,039,739 4,607,574 432,165 9.4
-------------- ---------------- ---------------
Total Assets (2) $ 117,322,523 $ 104,740,644 $ 12,581,879 12.0
============== ================ ===============
LIABILITIES
Noninterest-bearing consumer and commercial deposits $ 18,080,496 $ 16,369,823 $ 1,710,673 10.5
Interest-bearing consumer and commercial deposits 52,146,314 45,911,419 6,234,895 13.6
-------------- ---------------- ---------------
Total consumer and commercial deposits 70,226,810 62,281,242 7,945,568 12.8
Brokered deposits 3,169,826 2,829,687 340,139 12.0
Foreign deposits 6,309,992 2,425,493 3,884,499 160.2
-------------- ---------------- ---------------
Total deposits 79,706,628 67,536,422 12,170,206 18.0
Funds purchased and securities sold under agreements
to repurchase 10,402,536 10,104,287 298,249 3.0
Other short-term borrowings 1,368,425 1,651,639 (283,214) (17.1)
Long-term debt 11,879,820 12,660,580 (780,760) (6.2)
Trading liabilities 930,645 512,052 418,593 81.7
Other liabilities 4,264,973 3,916,096 348,877 8.9
-------------- ---------------- ---------------
Total liabilities 108,553,027 96,381,076 12,171,951 12.6
-------------- ---------------- ---------------
SHAREHOLDERS' EQUITY
Preferred stock, no par value - - - -
Common stock, $1.00 par value 294,163 294,163 - -
Additional paid in capital 1,276,110 1,259,609 16,501 1.3
Retained earnings 6,322,217 5,479,951 842,266 15.4
Treasury stock and other (632,464) (329,408) (303,056) 92.0
-------------- ---------------- ---------------
Realized shareholders' equity 7,260,026 6,704,315 555,711 8.3
Accumulated other comprehensive income 1,509,470 1,655,253 (145,783) (8.8)
-------------- ---------------- ---------------
Total shareholders' equity 8,769,496 8,359,568 409,928 4.9
-------------- ---------------- ---------------
Total Liabilities and Shareholders' Equity $ 117,322,523 $ 104,740,644 $ 12,581,879 12.0
============== ================ ===============
Common shares outstanding 282,504,571 288,601,607 (6,097,036) (2.1)
Common shares authorized 750,000,000 750,000,000 - -
Treasury shares of common stock 11,658,186 5,561,150 6,097,036 109.6
(1) Includes net unrealized gains of: 2,421,562 2,632,266 (210,704) (8.0)
(2) Includes earning assets of: 104,759,641 93,327,513 11,432,128 12.2
SunTrust Banks, Inc. and Subsidiaries
CONSOLIDATED STATEMENT OF INCOME
(Dollars in thousands, except per share data)
- -------------------------------------------------------------------------------------------------------
Three Months Ended
------------------------------------------------------------
December 31 Increase/(Decrease)
------------------------------- ---------------------------
2002 2001 Amount %
- -------------------------------------------------------------------------------------------------------
Interest income $ 1,274,939 $ 1,391,098 $ (116,159) (8.4) %
Interest expense 447,838 571,087 (123,249) (21.6)
-------------- --------------- --------------
NET INTEREST INCOME 827,101 820,011 7,090 0.9
Provision for loan losses 96,500 88,093 8,407 9.5
NET INTEREST INCOME AFTER
-------------- --------------- --------------
PROVISION FOR LOAN LOSSES 730,601 731,918 (1,317) (0.2)
-------------- --------------- --------------
NONINTEREST INCOME
Trust and investment management income 119,429 117,236 2,193 1.9
Retail investment services 32,955 28,913 4,042 14.0
Service charges on deposit accounts 156,196 135,496 20,700 15.3
Other charges and fees 74,336 65,898 8,438 12.8
Mortgage production related income 103,254 58,359 44,895 76.9
Mortgage servicing related income (68,087) (10,941) (57,146) (522.3)
Credit card and other fees 29,924 29,429 495 1.7
Investment banking income 39,522 41,561 (2,039) (4.9)
Trading account profits and commissions 29,726 11,046 18,680 169.1
Other noninterest income 12,898 48,619 (35,721) (73.5)
Securities gains 39,547 32,074 7,473 23.3
-------------- --------------- --------------
Total noninterest income 569,700 557,690 12,010 2.2
-------------- --------------- --------------
NONINTEREST EXPENSE
Personnel expense 498,165 469,450 28,715 6.1
Net occupancy expense 61,743 53,574 8,169 15.2
Equipment expense 45,073 50,967 (5,894) (11.6)
Outside processing and software 56,970 56,971 (1) -
Marketing and customer development 20,835 32,690 (11,855) (36.3)
Amortization of intangible assets 17,455 8,561 8,894 103.9
Merger-related expenses (2) - - - -
Other noninterest expense 178,142 157,978 20,164 12.8
-------------- --------------- --------------
Total noninterest expense 878,383 830,191 48,192 5.8
-------------- --------------- --------------
INCOME BEFORE INCOME TAXES
AND EXTRAORDINARY GAIN 421,918 459,417 (37,499) (8.2)
Provision for income taxes 81,668 126,837 (45,169) (35.6)
-------------- --------------- --------------
INCOME BEFORE EXTRAORDINARY GAIN 340,250 332,580 7,670 2.3
Extraordinary gain, net of taxes (3) - 24,142 (24,142) (100.0)
-------------- --------------- --------------
NET INCOME $ 340,250 $ 356,722 $ (16,472) (4.6)
============== =============== ==============
Net interest income (taxable-equivalent)(1) 837,341 830,115 7,226 0.9
Earnings per share
Diluted
Income before extraordinary gain $ 1.20 $ 1.16 $ 0.04 3.4
Extraordinary gain - 0.08 (0.08) (100.0)
-------------- --------------- --------------
Net income 1.20 1.24 (0.04) (3.2)
Basic
Income before extraordinary gain 1.21 1.17 0.04 3.4
Extraordinary gain - 0.08 (0.08) (100.0)
-------------- --------------- --------------
Net income 1.21 1.25 (0.04) (3.2)
Cash dividends paid per common share 0.43 0.40 0.03 7.5
Average shares outstanding (000s)
Diluted 283,595 289,319 (5,724) (2.0)
Basic 280,364 285,645 (5,281) (1.8)
[WIDE TABLE CONTINUED]
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Twelve Months Ended
--------------------------------------------------------------------
December 31 Increase/(Decrease)
---------------------------------- --------------------------------
2002 2001 Amount %
- ---------------------------------------------------------------------------------------------------------------
Interest income $ 5,135,197 $ 6,279,574 $ (1,144,377) (18.2) %
Interest expense 1,891,488 3,026,974 (1,135,486) (37.5)
---------------- ---------------- ----------------
NET INTEREST INCOME 3,243,709 3,252,600 (8,891) (0.3)
Provision for loan losses 469,792 275,165 194,627 70.7
NET INTEREST INCOME AFTER
---------------- ---------------- ----------------
PROVISION FOR LOAN LOSSES 2,773,917 2,977,435 (203,518) (6.8)
---------------- ---------------- ----------------
NONINTEREST INCOME
Trust and investment management income 504,548 486,116 18,432 3.8
Retail investment services 136,659 107,758 28,901 26.8
Service charges on deposit accounts 612,918 510,249 102,669 20.1
Other charges and fees 296,860 240,284 56,576 23.5
Mortgage production related income 215,166 186,114 29,052 15.6
Mortgage servicing related income (110,088) (6,073) (104,015) (1,712.7)
Credit card and other fees 119,982 113,640 6,342 5.6
Investment banking income 176,960 108,486 68,474 63.1
Trading account profits and commissions 103,170 95,683 7,487 7.8
Other noninterest income 130,953 160,486 (29,533) (18.4)
Securities gains 204,547 153,080 51,467 33.6
---------------- ---------------- ----------------
Total noninterest income 2,391,675 2,155,823 235,852 10.9
---------------- ---------------- ----------------
NONINTEREST EXPENSE
Personnel expense 1,941,380 1,781,400 159,980 9.0
Net occupancy expense 229,258 210,436 18,822 8.9
Equipment expense 174,809 189,763 (14,954) (7.9)
Outside processing and software 225,169 199,093 26,076 13.1
Marketing and customer development 79,987 103,998 (24,011) (23.1)
Amortization of intangible assets 58,898 46,258 12,640 27.3
Merger-related expenses (2) 15,998 - 15,998 100.0
Other noninterest expense 616,769 582,590 34,179 5.9
---------------- ---------------- ----------------
Total noninterest expense 3,342,268 3,113,538 228,730 7.3
---------------- ---------------- ----------------
INCOME BEFORE INCOME TAXES
AND EXTRAORDINARY GAIN 1,823,324 2,019,720 (196,396) (9.7)
Provision for income taxes 491,515 650,501 (158,986) (24.4)
---------------- ---------------- ----------------
INCOME BEFORE EXTRAORDINARY GAIN 1,331,809 1,369,219 (37,410) (2.7)
Extraordinary gain, net of taxes (3) - 6,318 (6,318) (100.0)
---------------- ---------------- ----------------
NET INCOME $ 1,331,809 $ 1,375,537 $ (43,728) (3.2)
================ ================ ================
Net interest income (taxable-equivalent)(1) 3,283,231 3,293,364 (10,133) (0.3)
Earnings per share
Diluted
Income before extraordinary gain $ 4.66 $ 4.70 $ (0.04) (0.9)
Extraordinary gain - 0.02 (0.02) (100.0)
---------------- ---------------- ----------------
Net income 4.66 4.72 (0.06) (1.3)
Basic
Income before extraordinary gain 4.71 4.76 (0.05) (1.1)
Extraordinary gain - 0.02 (0.02) (100.0)
---------------- ---------------- ----------------
Net income 4.71 4.78 (0.07) (1.5)
Cash dividends paid per common share 1.72 1.60 0.12 7.5
Average shares outstanding (000s)
Diluted 286,052 291,584 (5,532) (1.9)
Basic 282,495 287,702 (5,207) (1.8)
(1) Net interest income includes the effects of taxable-equivalent adjustments
using a federal tax rate of 35% and state income taxes where applicable to
increase tax-exempt interest income to a taxable-equivalent basis.
(2) Results include merger-related expenses of $10.4 million, net of tax, for
the twelve months ended December 31, 2002, for the Company's acquisition of
the Florida franchise of Huntington Bancshares. All of these costs were
incurred in the first quarter of 2002.
(3) Results for the three months and twelve months ended December 31,2001,
include an extraordinary gain of $24.1 and $6.3 million, net of tax,
respectively for the early extinguishment of debt during the second and
fourth quarters of 2001.
SunTrust Banks, Inc. and Subsidiaries
SELECTED FINANCIAL INFORMATION
- ---------------------------------------------------------------------------------------------------------------------
4th QTR. 3rd QTR. 2nd QTR. 1st QTR.
2002 2002 2002 2002
- ---------------------------------------------------------------------------------------------------------------------
RESULTS OF OPERATIONS
- ---------------------
(in thousands, except per share data)
Net interest income $ 827,101 $ 805,114 $ 813,388 $ 798,106
Provision for loan losses 96,500 98,699 111,018 163,575
------------ ------------ ------------ -------------
Net credit income 730,601 706,415 702,370 634,531
Securities gains 39,547 45,813 55,737 63,450
Other noninterest income 530,153 535,057 570,086 551,832
------------ ------------ ------------ -------------
Net credit and noninterest income 1,300,301 1,287,285 1,328,193 1,249,813
Noninterest expense 878,383 808,139 818,118 837,628
------------ ------------ ------------ -------------
Income before income taxes
and extraordinary items 421,918 479,146 510,075 412,185
Provision for income taxes 81,668 136,153 166,390 107,304
------------ ------------ ------------ -------------
Income before extraordinary items 340,250 342,993 343,685 304,881
Extraordinary gain (loss), net of taxes - - - -
------------ ------------ ------------ -------------
Net Income $ 340,250 $ 342,993 $ 343,685 $ 304,881
============ ============ ============ =============
Net interest income (taxable-equivalent) 837,341 815,127 823,112 807,651
Earnings per share
Diluted
Income before extraordinary items $ 1.20 $ 1.20 $ 1.20 $ 1.06
Extraordinary gain (loss) - - - -
------------ ------------ ------------ -------------
Net income 1.20 1.20 1.20 1.06
Basic
Income before extraordinary items 1.21 1.21 1.22 1.07
Extraordinary gain (loss) - - - -
------------ ------------ ------------ -------------
Net income 1.21 1.21 1.22 1.07
Dividends paid per common share 0.43 0.43 0.43 0.43
Average shares outstanding (000s)
Diluted 283,595 285,991 287,288 287,375
Basic 280,364 282,310 283,293 284,055
- ---------------------------------------------------------------------------------------------------------------------
SELECTED AVERAGE BALANCES
- -------------------------
(in millions)
Total assets $ 114,828 $ 107,846 $ 106,492 $ 104,796
Earning assets 101,895 95,562 94,741 93,198
Unrealized gains on securities available for sale 2,553 2,904 2,878 2,591
Loans 72,669 71,696 70,985 69,695
Interest-bearing liabilities 83,437 78,275 77,998 76,828
Total deposits 75,159 71,098 70,646 67,644
Shareholders' equity 8,823 8,943 8,743 8,386
- ---------------------------------------------------------------------------------------------------------------------
SELECTED RATIOS
- ---------------
Net interest margin 3.26 % 3.38 % 3.48 % 3.51 %
Return on average assets less net unrealized gains
on securities 1.20 1.30 1.33 1.21
Return on average total assets 1.18 1.26 1.29 1.18
Return on average realized equity 18.74 19.18 19.97 18.37
Return on average total equity 15.30 15.22 15.77 14.74
- ---------------------------------------------------------------------------------------------------------------------
CREDIT DATA
- -----------
(Dollars in thousands)
Allowance for loan losses - beginning $ 929,320 $ 928,932 $ 927,603 $ 867,059
Allowance from acquisitions and other activity - net - - - 15,531
Provision for loan losses 96,500 98,699 111,018 163,575
Net charge-offs 95,706 98,311 109,689 118,562
------------ ------------ ------------ -------------
Allowance for loan losses - ending 930,114 929,320 928,932 927,603
============ ============ ============ =============
Net charge-offs to average loans 0.52 % 0.54 % 0.62 % 0.69 %
Period Ended
- ------------
Nonperforming loans $ 510,974 $ 553,812 $ 478,952 $ 534,225
Other real estate owned (OREO) 17,972 15,002 18,256 18,480
------------ ------------ ------------ -------------
Total nonperforming loans and OREO 528,946 568,814 497,208 552,705
Other repossessed assets 13,030 25,925 21,323 23,648
------------ ------------ ------------ -------------
Total nonperforming assets $ 541,976 $ 594,739 $ 518,531 $ 576,353
============ ============ ============ =============
Total nonperforming loans to total loans 0.70 % 0.76 % 0.67 % 0.75 %
Total nonperforming assets to total loans plus
OREO and other repossessed assets 0.74 0.82 0.72 0.81
Allowance to period-end loans 1.27 1.28 1.29 1.31
Allowance to nonperforming loans 182.0 167.8 194.0 173.6
[WIDE TABLE CONTINUED]
- -----------------------------------------------------------------------------------------------------
Twelve Months Ended
4th QTR. December 31
2001 2002 2001
- -----------------------------------------------------------------------------------------------------
RESULTS OF OPERATIONS
- ---------------------
(in thousands, except per share data)
Net interest income $ 820,011 $ 3,243,709 $ 3,252,600
Provision for loan losses 88,093 469,792 275,165
------------ ------------- --------------
Net credit income 731,918 2,773,917 2,977,435
Securities gains 32,074 204,547 153,080
Other noninterest income 525,616 2,187,128 2,002,743
------------ ------------- --------------
Net credit and noninterest income 1,289,608 5,165,592 5,133,258
Noninterest expense 830,191 3,342,268 3,113,538
------------ ------------- --------------
Income before income taxes
and extraordinary items 459,417 1,823,324 2,019,720
Provision for income taxes 126,837 491,515 650,501
------------ ------------- --------------
Income before extraordinary items 332,580 1,331,809 1,369,219
Extraordinary gain (loss), net of taxes 24,142 - 6,318
------------ ------------- --------------
Net Income $ 356,722 $ 1,331,809 $ 1,375,537
============ ============= ==============
Net interest income (taxable-equivalent) 830,115 3,283,231 3,293,364
Earnings per share
Diluted
Income before extraordinary items $ 1.16 $ 4.66 $ 4.70
Extraordinary gain (loss) 0.08 - 0.02
------------ ------------- --------------
Net income 1.24 4.66 4.72
Basic
Income before extraordinary items 1.17 4.71 4.76
Extraordinary gain (loss) 0.08 - 0.02
------------ ------------- --------------
Net income 1.25 4.71 4.78
Dividends paid per common share 0.40 1.72 1.60
Average shares outstanding (000s)
Diluted 289,319 286,052 291,584
Basic 285,645 282,495 287,702
- -------------------------------------------------------------------------------------------------------
SELECTED AVERAGE BALANCES
- -------------------------
(in millions)
Total assets $ 103,882 $ 108,516 $ 102,884
Earning assets 92,441 96,371 92,034
Unrealized gains on securities available for sale 2,770 2,732 2,700
Loans 69,547 71,270 70,023
Interest-bearing liabilities 75,988 79,150 76,452
Total deposits 65,354 71,157 64,569
Shareholders' equity 8,334 8,726 8,074
- -------------------------------------------------------------------------------------------------------
SELECTED RATIOS
- ---------------
Net interest margin 3.56 % 3.41 % 3.58 %
Return on average assets less net unrealized gains
on securities 1.40 1.26 1.37
Return on average total assets 1.36 1.23 1.34
Return on average realized equity 21.67 19.07 21.74
Return on average total equity 16.98 15.26 17.04
- -------------------------------------------------------------------------------------------------------
CREDIT DATA
- -----------
(Dollars in thousands)
Allowance for loan losses - beginning $ 866,353 $ 867,059 $ 874,547
Allowance from acquisitions and other activity - net - 15,531 (10,210)
Provision for loan losses 88,093 469,792 275,165
Net charge-offs 87,387 422,268 272,443
------------ ------------- --------------
Allowance for loan losses - ending 867,059 930,114 867,059
============ ============= ==============
Net charge-offs to average loans 0.50 % 0.59 % 0.39 %
Period Ended
- ------------
Nonperforming loans $ 558,101
Other real estate owned (OREO) 20,661
------------
Total nonperforming loans and OREO 578,762
Other repossessed assets 20,972
------------
Total nonperforming assets $ 599,734
============
Total nonperforming loans to total loans 0.81 %
Total nonperforming assets to total loans plus
OREO and other repossessed assets 0.87
Allowance to period-end loans 1.26
Allowance to nonperforming loans 155.4
SunTrust Banks, Inc. and Subsidiaries
CONSOLIDATED DAILY AVERAGE BALANCES
AND AVERAGE YIELDS EARNED AND RATES PAID
(Dollars in millions; yields on taxable-equivalent basis)
- --------------------------------------------------------------------------------------------------------------
Three Months Ended
---------------------------------------------------------------
December 31, 2002 December 31, 2001
- --------------------------------------------------------------------------------------------------------------
Average Yields/ Average Yields/
Balances Rates Balances Rates
-------------- ------------ ------------------ ------------
Assets
Loans:
Real estate 1-4 family $ 14,886.5 6.53 % $ 15,547.1 7.24 %
Real estate construction 3,821.2 5.14 3,557.8 6.18
Real estate equity 5,034.1 4.95 2,646.0 6.47
Real estate commercial 8,998.8 5.58 8,038.9 6.62
Commercial 27,690.4 4.17 28,493.9 4.93
Credit card 115.3 6.98 87.1 7.57
Consumer - direct 3,994.2 5.54 4,426.1 6.44
Consumer - indirect 7,583.2 7.52 6,245.6 8.29
Nonaccrual 545.1 3.87 504.6 2.81
---------------------------- --------------------------------
Total loans 72,668.8 5.35 69,547.1 6.14
Securities available for sale:
Taxable 18,891.3 4.10 15,798.9 6.00
Tax-exempt 399.5 6.67 441.7 7.05
---------------------------- --------------------------------
Total securities available for sale 19,290.8 4.15 16,240.6 6.02
Funds sold 1,488.1 1.58 1,193.8 2.38
Loans held for sale 6,228.4 5.92 3,777.0 6.94
Interest-bearing deposits 557.8 1.61 233.5 2.17
Trading account 1,661.6 1.26 1,448.9 1.91
---------------------------- --------------------------------
Total earning assets 101,895.5 5.00 92,440.9 6.01
Allowance for loan losses (930.4) (867.0)
Cash and due from banks 3,558.8 3,521.6
Premises and equipment 1,617.0 1,586.4
Other assets 6,133.7 4,430.0
Unrealized gains on securities
available for sale 2,552.9 2,770.1
---------------------------- --------------------------------
Total assets $114,827.5 $103,882.0
============================ ================================
Liabilities and Shareholders' Equity
Interest-bearing deposits:
NOW accounts $ 11,012.5 0.67 % $ 8,921.1 0.90 %
Money market accounts 21,451.2 1.40 18,003.9 2.24
Savings 6,230.3 1.13 5,989.4 1.88
Consumer time 9,161.2 3.39 8,556.8 4.53
Other time 3,745.2 2.33 3,457.0 4.42
---------------------------- --------------------------------
Total interest-bearing consumer
and commercial deposits 51,600.4 1.63 44,928.2 2.53
Brokered deposits 2,713.3 4.44 2,910.8 2.86
Foreign deposits 4,616.1 1.39 3,357.3 2.13
---------------------------- --------------------------------
Total interest-bearing deposits 58,929.8 1.75 51,196.3 2.53
Funds purchased 11,984.8 1.19 10,339.0 1.78
Other short-term borrowings 789.1 1.23 1,582.2 2.19
Long-term debt 11,733.2 5.06 12,870.5 5.84
---------------------------- --------------------------------
Total interest-bearing liabilities 83,436.9 2.13 75,988.0 2.98
Noninterest-bearing deposits 16,229.3 14,157.6
Other liabilities 6,338.0 5,401.9
Realized shareholders' equity 7,204.8 6,530.6
Accumulated other comprehensive income 1,618.5 1,803.9
---------------------------- --------------------------------
Total liabilities and
shareholders' equity $114,827.5 $103,882.0
============================ ================================
Interest rate spread 2.87 % 3.03 %
---------------------------- --------------------------------
Net Interest Margin 3.26 % 3.56 %
---------------------------- --------------------------------
- ------------------------------------------------------------------------------------------------------------------
Twelve Months Ended
------------------------------------------------------------------
December 31, 2002 December 31, 2001
- ------------------------------------------------------------------------------------------------------------------
Average Yields/ Average Yields/
Balances Rates Balances Rates
------------------ ----------- ------------------ -----------
Assets
Loans:
Real estate 1-4 family $ 14,965.0 6.88 % $ 16,173.6 7.48 %
Real estate construction 3,749.3 5.43 3,632.0 7.43
Real estate equity 4,193.7 5.08 2,400.7 7.95
Real estate commercial 8,705.8 5.87 7,796.4 7.44
Commercial 27,522.5 4.35 29,126.6 6.29
Credit card 97.6 7.65 81.0 8.44
Consumer - direct 4,382.4 5.83 4,448.7 7.46
Consumer - indirect 7,115.7 7.86 5,933.6 8.47
Nonaccrual 538.4 2.89 430.4 3.68
-------------------------------- -------------------------------
Total loans 71,270.4 5.60 70,023.0 7.06
Securities available for sale:
Taxable 16,890.3 4.85 15,904.8 6.50
Tax-exempt 408.3 6.85 448.7 7.95
-------------------------------- -------------------------------
Total securities available for sale 17,298.6 4.89 16,353.5 6.54
Funds sold 1,390.4 1.76 1,250.3 4.09
Loans held for sale 4,410.8 6.36 2,949.9 7.17
Interest-bearing deposits 404.7 1.73 167.6 3.43
Trading account 1,595.9 1.54 1,289.8 3.20
-------------------------------- -------------------------------
Total earning assets 96,370.8 5.37 92,034.1 6.87
Allowance for loan losses (924.3) (876.3)
Cash and due from banks 3,343.2 3,383.4
Premises and equipment 1,621.2 1,599.7
Other assets 5,373.4 4,043.3
Unrealized gains on securities
available for sale 2,731.8 2,700.0
-------------------------------- -------------------------------
Total assets $ 108,516.1 $ 102,884.2
================================ ===============================
Liabilities and Shareholders' Equity
Interest-bearing deposits:
NOW accounts $ 10,315.4 0.72 % $ 8,471.3 1.20 %
Money market accounts 20,470.9 1.60 15,830.1 3.33
Savings 6,310.0 1.35 6,066.6 2.83
Consumer time 9,342.4 3.72 9,092.6 5.16
Other time 3,722.8 2.74 3,823.9 5.25
-------------------------------- -------------------------------
Total interest-bearing consumer
and commercial deposits 50,161.5 1.87 43,284.5 3.40
Brokered deposits 2,537.2 5.13 2,617.7 4.40
Foreign deposits 3,190.4 1.62 5,175.4 4.39
-------------------------------- -------------------------------
Total interest-bearing deposits 55,889.1 2.00 51,077.6 3.55
Funds purchased 10,376.2 1.35 11,283.6 3.65
Other short-term borrowings 924.8 1.52 1,593.8 3.98
Long-term debt 11,960.0 5.18 12,497.2 5.91
-------------------------------- -------------------------------
Total interest-bearing liabilities 79,150.1 2.39 76,452.2 3.96
Noninterest-bearing deposits 15,268.1 13,491.1
Other liabilities 5,372.2 4,867.1
Realized shareholders' equity 6,984.6 6,328.0
Accumulated other comprehensive income 1,741.1 1,745.8
-------------------------------- -------------------------------
Total liabilities and
shareholders' equity $ 108,516.1 $ 102,884.2
================================ ===============================
Interest rate spread 2.98 % 2.91 %
-------------------------------- -------------------------------
Net Interest Margin 3.41 % 3.58 %
-------------------------------- -------------------------------
SunTrust Banks, Inc. and Subsidiaries
APPENDIX A TO THE PRESS RELEASE
(Dollars in thousands)
-----------------------------------------------------------------------------------------------------------------------------
4th QTR. 3rd QTR. 2nd QTR. 1st QTR. 4th QTR.
2002 2002 2002 2002 2001
-----------------------------------------------------------------------------------------------------------------------------
The following table reflects adjustments for unusual transactions for trend analysis purposes:
ADJUSTED NONINTEREST EXPENSE
----------------------------
Reported noninterest expense $ 878,383 $ 808,139 $ 818,118 $ 837,628 $ 830,191
Adjustments:
One Bank Initiative (1) 11,736 18,298 9,433 16,750 15,454
Merger-related expenses (2) - - 15,998 -
-------------- -------------- -------------- -------------- --------------
Total adjusted noninterest expense $ 866,647 $ 789,841 $ 808,685 $ 804,880 $ 814,737
============== ============== ============== ============== ==============
---------------------------------------------------------------------------------------------------------------------------
EXTRAORDINARY ITEM (3)
------------------
Pre-tax extraordinary gain $ - $ - $ - $ - $ 37,142
Provision for income taxes - - - - (13,000)
-------------- -------------- -------------- -------------- --------------
Total extraordinary gain, net of taxes $ - $ - $ - $ - $ 24,142
============== ============== ============== ============== ==============
1 Expenses primarily included in personnel expense and other noninterest
expense.
2 Results include merger-related expenses of $10.4 million, net of
tax, for the three months ended March 31, 2002, for the Company's
acquisition of the Florida franchise of Huntington Bancshares, Inc.
3 The extraordinary item was the result of early extinguishment of debt.