UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

			
Date of Report (Date of earliest event reported):	 	April 18, 2019	

SunTrust Banks, Inc.
__________________________________________
(Exact name of registrant as specified in its charter)

					
 	 	 	 	 	
Georgia	 	001-08918	 	58-1575035	
(State or other jurisdiction of incorporation)	 	(Commission File Number)	 	(I.R.S. Employer Identification No.)	

303 Peachtree Street, N.E., Atlanta, Georgia	 	 	 	30308	
(Address of principal executive offices)	 	 	 	(Zip Code)	

	
			
Registrant's telephone number, including area code:	 	(800) 786-8787	

	
					
 	 	Not Applicable	 	 	
Former name or former address, if changed since last report	

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):
þ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
¨ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
¨ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
¨ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Indicate by check mark whether the registrant is an emerging growth company as defined in as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
Emerging growth company     ¨
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ¨

Item 2.02 Results of Operations and Financial Condition.

Item 7.01 Regulation FD.
On April 18, 2019 , SunTrust Banks, Inc. (the “Registrant”) announced financial results for the period ended March 31, 2019 . A copy of the news release announcing such results is attached hereto as Exhibit 99.1 and is incorporated herein by reference. The Registrant intends to hold an investor call and webcast to discuss these results on April 18, 2019 , at 11:00 a.m. Eastern time. Additional presentation materials relating to such call are furnished hereto as Exhibit 99.2 and are incorporated herein by reference.
The foregoing information is furnished pursuant to Item 2.02, “Results of Operations and Financial Condition,” and Item 7.01, “Regulation FD.” Consequently, it is not deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934 or otherwise subject to the liabilities of that section. It may only be incorporated by reference into another filing under the Exchange Act or Securities Act of 1933 if such subsequent filing specifically references this Form 8-K. All information in the news release and presentation materials speak as of the date thereof and the Registrant does not assume any obligation to update said information in the future. In addition, the Registrant disclaims any inference regarding the materiality of such information which otherwise may arise as a result of its furnishing such information under Item 2.02 or Item 7.01 of this report on Form 8-K.

Item 9.01 Financial Statements and Exhibits.
(d) Exhibits

			
Exhibit Number	 	Description	
99.1	 	News release dated April 18, 2019 (furnished with the Commission as a part of this Form 8-K).	
 	 	 	
99.2	 	Presentation slides dated April 18, 2019 (furnished with the Commission as a part of this Form 8-K).	

Forward Looking Statements
This communication contains “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995 regarding the financial condition, results of operations, business plans and the future performance of BB&T and SunTrust. Words such as “anticipates,” “believes,” “estimates,” “expects,” “forecasts,” “intends,” “plans,” “projects,” “could,” “may,” “should,” “will” or other similar words and expressions are intended to identify these forward-looking statements. These forward-looking statements are based on BB&T’s and SunTrust’s current expectations and assumptions regarding BB&T’s and SunTrust’s businesses, the economy, and other future conditions. Because forward-looking statements relate to future results and occurrences, they are subject to inherent uncertainties, risks, and changes in circumstances that are difficult to predict. Many possible events or factors could affect BB&T’s or SunTrust’s future financial results and performance and could cause actual results or performance to differ materially from anticipated results or performance. Such risks and uncertainties include, among others: the occurrence of any event, change or other circumstances that could give rise to the right of one or both of the parties to terminate the definitive merger agreement between BB&T and SunTrust, the outcome of any legal proceedings that may be instituted against BB&T or SunTrust, delays in completing the transaction, the failure to obtain necessary regulatory approvals (and the risk that such approvals may result in the imposition of conditions that could adversely affect the combined company or the expected benefits of the transaction) and shareholder approvals or to satisfy any of the other conditions to the transaction on a timely basis or at all, the possibility that the anticipated benefits of the transaction are not realized when expected or at all, including as a result of the impact of, or problems arising from, the integration of the two companies or as a result of the strength of the economy and competitive factors in the areas where BB&T and SunTrust do business, the possibility that the transaction may be more expensive to complete than anticipated, including as a result of unexpected factors or events, diversion of management’s attention from ongoing business operations and opportunities, potential adverse reactions or changes to business or employee relationships, including those resulting from the announcement or completion of the transaction, the ability to complete the transaction and integration of BB&T and SunTrust successfully, and the dilution caused by BB&T’s issuance of additional shares of its capital stock in connection with the transaction. Except to the extent required by applicable law or regulation, each of BB&T and SunTrust disclaims any obligation to update such factors or to publicly announce the results of any revisions to any of the forward-looking statements included herein to reflect future events or developments. Further information regarding BB&T, SunTrust and factors which could affect the forward-looking statements contained herein can be found under the captions “Cautionary Statement Regarding Forward-Looking Statements” and “Risk Factors” in BB&T’s and SunTrust’s joint proxy statement/prospectus that forms part of the registration statement on Form S-4 filed by BB&T, in BB&T’s Annual Report on Form 10-K for the fiscal year ended December 31, 2018 and its other filings with the Securities and Exchange Commission (“SEC”), and in SunTrust’s Annual Report on Form 10-K for the fiscal year ended December 31, 2018 and its other filings with the SEC.

Additional Information about the Merger and Where to Find It
In connection with the proposed merger with SunTrust, BB&T has filed with the SEC a registration statement on Form S-4 to register the shares of BB&T’s capital stock to be issued in connection with the merger. The registration statement includes a joint proxy statement/prospectus, which will be sent to the shareholders of BB&T and SunTrust seeking their approval of the proposed transaction.

INVESTORS AND SECURITY HOLDERS ARE URGED TO READ THE REGISTRATION STATEMENT ON FORM S-4, THE JOINT PROXY STATEMENT/PROSPECTUS INCLUDED WITHIN THE REGISTRATION STATEMENT ON FORM S-4 AND ANY OTHER RELEVANT DOCUMENTS FILED OR TO BE FILED WITH THE SEC IN CONNECTION WITH THE PROPOSED TRANSACTION BECAUSE THESE DOCUMENTS DO AND WILL CONTAIN IMPORTANT INFORMATION ABOUT BB&T, SUNTRUST, AND THE PROPOSED TRANSACTION.

Investors and security holders may obtain copies of these documents free of charge through the website maintained by the SEC at www.sec.gov or from BB&T at its website, www.bbt.com, or from SunTrust at its website, www.suntrust.com. Documents filed with the SEC by BB&T will be available free of charge by accessing BB&T’s website at http://bbt.com/ under the tab “About BB&T” and then under the heading “Investor Relations” or, alternatively, by directing a request by telephone or mail to BB&T Corporation, 200 West Second Street, Winston-Salem, North Carolina 27101, (336) 733-3065, and documents filed with the SEC by SunTrust will be available free of charge by accessing SunTrust’s website at http://suntrust.com/ under the tab “Investor Relations,” and then under the heading “Financial Information” or, alternatively, by directing a request by telephone or mail to SunTrust Banks, Inc., 303 Peachtree Street, N.E., Atlanta, Georgia 30308, (877) 930-8971.
Participants in the Solicitation
BB&T, SunTrust and certain of their respective directors and executive officers may be deemed to be participants in the solicitation of proxies from the shareholders of BB&T and SunTrust in connection with the proposed transaction under the rules of the SEC. Certain information regarding the interests of these participants and a description of their direct and indirect interests, by security holdings or otherwise, are included in the joint proxy statement/prospectus regarding the proposed transaction and will be included in other relevant materials to be filed with the SEC when they become available. Additional information about BB&T, and its directors and executive officers, may be found in the definitive proxy statement of BB&T relating to its 2019 Annual Meeting of Shareholders filed with the SEC, and other documents filed by BB&T with the SEC. Additional information about SunTrust, and its directors and executive officers, may be found in the definitive proxy statement of SunTrust relating to its 2019 Annual Meeting of Shareholders filed with the SEC, and other documents filed by SunTrust with the SEC. These documents can be obtained free of charge from the sources described above.

SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

	
				
 	 	 	SUNTRUST BANKS, INC.	
 	 	 	(Registrant)	

Date:	April 18, 2019	 	By: /s/ R. Ryan Richards	
 	 	 	R. Ryan Richards,
Senior Vice President and Controller	

Exhibit 99.1

News Release

				
Contact:	 	 	 	
Investors	 	Media	 	
Ankur Vyas	 	Mike McCoy	 	
(404) 827-6714	 	(404) 588-7230	 	
For Immediate Release
April 18 , 2019

SunTrust Reports First Quarter 2019 Results
Improved Profitability and Strong Loan Growth Highlight 1Q Results
Planned Merger with BB&T On Track

ATLANTA -- For the first quarter of 2019 , SunTrust Banks, Inc. (NYSE: STI) reported net income available to common shareholders of $554 million , or $1.24 per average common diluted share, which includes $(0.09) per share of merger-related costs associated with the Company's previously announced proposed merger with BB&T Corporation . This compares to $1.40 for the prior quarter and $1.29 for the first quarter of 2018.

“Our performance continues to improve and this quarter was no exception, with earnings per share increasing by 3% year-over-year (excluding merger-related costs). Loan growth remains a bright spot, with average balances up 3% sequentially and 8% year-over-year, a reflection of the ongoing investments in our business and our clients’ optimistic outlook on the economy,” said William H. Rogers, Jr., chairman and CEO of SunTrust Banks, Inc. “More importantly, while our results this quarter highlight SunTrust’s individual strength, we know that after merging with BB&T, we will be even better positioned to enhance shareholder value, improve the client experience, and invest in our teammates, associates, and communities.”

1

First Quarter 2019 Financial Highlights
(Commentary is on a fully taxable-equivalent basis unless otherwise noted. Consistent with SEC guidance in Industry Guide 3 that contemplates the calculation of tax-exempt income on a tax equivalent basis, net interest income, net interest margin, total revenue, and efficiency ratios are provided on a fully taxable-equivalent basis, which generally assumes a 21% marginal federal tax rate as well as state income taxes, where applicable. We provide unadjusted amounts in the table on page 3 of this news release and detailed reconciliations and additional information in Appendix A on pages 21 and 22 .)

Income Statement

•	Net income available to common shareholders was $554 million , or $1.24 per average common diluted share, compared to $1.40 for the prior quarter and $1.29 for the first quarter of 2018 .	

◦	The first quarter of 2019 included $45 million , or $(0.09) per average common share of merger-related costs, comprised primarily of M&A advisory fees and legal costs associated with the Company's previously announced proposed merger with BB&T Corporation.	

◦	The prior quarter included a $(0.10) per share discrete charge associated with the settlement of a legacy pension plan.	

•	Total revenue was down 2% sequentially and up 4% year-over-year. The sequential decrease was driven primarily by lower noninterest income, while the year-over-year increase was driven by higher net interest income.	

•	Net interest margin was 3.27% in the current quarter, stable sequentially and up 3 basis points compared to the prior year quarter. The year-over-year increase was driven primarily by higher benchmark interest rates in addition to positive mix shift in the loans held for investment (“LHFI”) portfolio, offset partially by higher funding costs.	

•	Provision for credit losses increased $66 million sequentially and $125 million year-over-year, driven by strong loan growth and a stable allowance for loan and lease losses (“ALLL”) to period-end LHFI ratio (compared to declines in prior quarters).	

•	Noninterest expense increased $7 million sequentially and $72 million year-over-year. The current quarter included $45 million of aforementioned merger-related costs. The prior quarter included a $60 million pre-tax pension plan settlement charge. Excluding these discrete items, noninterest expense increased $22 million sequentially and $27 million year-over-year.	

•	The efficiency and tangible efficiency ratios for the current quarter were 63.4% and 62.7% , respectively, which were unfavorably impacted by the $45 million of merger-related costs. Excluding these costs, the adjusted tangible efficiency ratio was 60.8% for the current quarter, compared to 58.6% for the prior quarter and 62.1% for the prior year quarter.	

Balance Sheet

•	Average performing LHFI was up 3% compared to the prior quarter and up 8% year-over-year, driven by growth across most loan categories.	

•	Average consumer and commercial deposits decreased 1% compared to the prior quarter and remained relatively stable year-over-year, driven primarily by declines in money market accounts and demand deposits, offset largely by growth in NOW accounts and time deposits.	

Capital

•	Estimated capital ratios continue to be well above regulatory requirements. The Common Equity Tier 1 (“CET1”) ratio was estimated to be 9.1% as of March 31, 2019 , lower than the prior quarter due primarily to loan growth.	

•	During the quarter, the Company repurchased $250 million of its outstanding common stock. The Company does not expect to utilize the $500 million remaining share repurchase authorization available under its 2018 Capital Plan in view of the proposed merger .	

•	Book value per common share was $51.15 and tangible book value per common share was $37.22 , up 3% and 4% , respectively, from December 31, 2018 , driven primarily by growth in retained earnings and a decrease in accumulated other comprehensive loss.	

2

Asset Quality

•	Nonperforming loans (“NPLs”) decreased $4 million from the prior quarter and represented 0.34% of period-end LHFI at March 31, 2019 , compared to 0.35% of period-end LHFI at December 31, 2018 .	

•	Net charge-offs for the current quarter were $97 million , or 0.26% of total average LHFI on an annualized basis, compared to 0.26% during the prior quarter and 0.22% during the first quarter of 2018 .	

•	At March 31, 2019 , the ALLL to period-end LHFI ratio was 1.06% , stable compared to the prior quarter.	

•	Provision for credit losses increased $66 million sequentially and $125 million year-over-year, driven by strong loan growth and a stable ALLL to period-end LHFI ratio (compared to declines in prior quarters).	

	

Income Statement (Dollars in millions, except per share data)	1Q 2019	 	4Q 2018	 	3Q 2018	 	2Q 2018	 	1Q 2018	
Net interest income	$1,544	 	$1,547	 	$1,512	 	$1,488	 	$1,441	
Net interest income-FTE 1	1,567	 	1,570	 	1,534	 	1,510	 	1,461	
Net interest margin	3.22	%	 	3.22	%	 	3.22	%	 	3.23	%	 	3.20	%	
Net interest margin-FTE 1	3.27		 	3.27		 	3.27		 	3.28		 	3.24		
Noninterest income	$784	 	$818	 	$782	 	$829	 	$796	
Total revenue	2,328		 	2,365		 	2,294		 	2,317		 	2,237		
Total revenue-FTE 1	2,351		 	2,388		 	2,316		 	2,339		 	2,257		
Noninterest expense	1,489		 	1,482		 	1,384		 	1,390		 	1,417		
Provision for credit losses	153		 	87		 	61		 	32		 	28		
Net income available to common shareholders	554		 	632		 	726		 	697		 	612		
Earnings per average common diluted share	1.24		 	1.40		 	1.56		 	1.49		 	1.29		
 	 	 	 	 	 	 	 	 	 	
Balance Sheet   (Dollars in billions)	 	 	 	 	 	 	 	 	 	
Average LHFI		$154.3		 		$149.7		 		$146.0		 		$144.2		 		$142.9		
Average consumer and commercial deposits	159.9		 	161.6		 	159.3		 	159.0		 	159.2		
 	 	 	 	 	 	 	 	 	 	
Capital	 	 	 	 	 	 	 	 	 	
Basel III capital ratios at period end 2  :	 	 	 	 	 	 	 	 	 	
Tier 1 capital	10.16	%	 	10.30	%	 	10.72	%	 	10.86	%	 	11.00	%	
Common Equity Tier 1 ("CET1")	9.09		 	9.21		 	9.60		 	9.72		 	9.84		
Total average shareholders’ equity to total average assets	11.25		 	11.21		 	11.71		 	11.78		 	12.05		
 	 	 	 	 	 	 	 	 	 	
Asset Quality	 	 	 	 	 	 	 	 	 	
Net charge-offs to total average LHFI (annualized)	0.26	%	 	0.26	%	 	0.24	%	 	0.20	%	 	0.22	%	
ALLL to period-end LHFI 3	1.06		 	1.06		 	1.10		 	1.14		 	1.19		
NPLs to period-end LHFI	0.34		 	0.35		 	0.47		 	0.52		 	0.50		
1 See Appendix A on pages 21 and 22 for non-U.S. GAAP reconciliations and additional information.
2 Basel III capital ratios are calculated under the standardized approach using regulatory capital methodology applicable to the Company for each period presented, including the phase-in of transition provisions through January 1, 2018. Capital ratios at March 31, 2019 are estimated as of the date of this document.
3 LHFI measured at fair value were excluded from period-end LHFI in the calculation as no allowance is recorded for loans measured at fair value.

Consolidated Financial Performance Details
(Commentary is on a fully taxable-equivalent basis unless otherwise noted)
Revenue
Total revenue was $2.4 billion for the current quarter, a decrease of $37 million , or 2% , compared to the prior quarter, driven by lower noninterest income. Noninterest income decrease d $34 million sequentially due largely to lower commercial real estate-related income, investment banking income, and client transaction-related fees, offset partially by higher trading income and mortgage-related income. Compared to the first quarter of 2018 , total revenue increased $94 million , or 4% , driven by a $106 million increase in net interest income as a result of net interest margin expansion and strong growth in average earning assets, offset partially by lower noninterest income.

3

Net Interest Income
Net interest income was $1.6 billion for the first quarter of 2019 , a decrease of $3 million compared to the prior quarter due primarily to fewer days during the current quarter, largely offset by strong loan growth. The $106 million increase relative to the prior year was driven by a 3 basis point expansion in the net interest margin and 6% growth in average earning assets.
Net interest margin for the current quarter was 3.27% , which was stable compared to the prior quarter and 3 basis points higher than the prior year. The year-over-year increase was driven primarily by higher earning asset yields, offset partially by higher funding costs.
Noninterest Income
Noninterest income was $784 million for the current quarter, compared to $818 million for the prior quarter and $796 million for the first quarter of 2018 . The $34 million sequential decrease was due largely to lower commercial real estate-related income, investment banking income, and client transaction-related fees, offset partially by higher trading income and mortgage-related income. Compared to the prior year, noninterest income decreased $12 million driven primarily by lower other noninterest income, wealth-related income, and client transaction-related fees, offset partially by higher capital markets and mortgage-related income.
Client transaction-related fees (namely service charges on deposits, other charges and fees, and card fees) decreased $15 million sequentially and $6 million year-over-year due primarily to lower client transaction activity. The sequential decrease was also driven by fewer days during the current quarter .
Investment banking income was $130 million for the current quarter, compared to $146 million in the prior quarter and $133 million for the first quarter of 2018. The $16 million sequential decrease was due to lower syndicated finance and M&A activity.
Trading income was $60 million for the current quarter, compared to $24 million in the prior quarter and $42 million in the prior year. The $36 million sequential and $18 million year-over-year increases were due primarily to positive changes in mark-to-market valuations on corporate bond inventory in the current quarter in addition to increased client activity.
Mortgage-related income for the current quarter was $100 million , compared to $85 million for the prior quarter and $90 million for the first quarter of 2018 . The $15 million sequential and $10 million year-over-year increases were driven primarily by higher servicing-related income attributable to favorable net hedge performance and lower decay. The year-over-year increase was also favorably impacted by higher core servicing fees. At March 31, 2019 , the servicing portfolio totaled $169.3 billion , relatively stable compared to the prior quarter and a 3% increase year-over-year due to MSRs purchased in the first and third quarters of 2018.
Trust and investment management income was $71 million for the current quarter, compared to $74 million for the prior quarter and $75 million for the prior year quarter. The $3 million sequential and the $4 million year-over-year decreases were due primarily to lower fees arising from adverse market conditions, which led to reduced assets under management at the end of the fourth quarter of 2018.
Retail investment services income was $69 million for the current quarter, compared to $74 million for the prior quarter and $72 million for the prior year quarter. The $5 million sequential and $3 million year-over-year decreases were due primarily to reduced client transaction activity and adverse market conditions, which led to reduced assets under management at the end of the fourth quarter of 2018.
Commercial real estate-related income was $24 million for the current quarter, compared to $68 million for the prior quarter and $23 million for the prior year. The sequential decrease was driven primarily by seasonal declines in structured real estate, SunTrust Community Capital (tax credit-related income), and the Company's agency lending business.

4

Other noninterest income was $24 million for the current quarter, compared to $26 million in the prior quarter and $48 million in the first quarter of 2018 . The $24 million year-over-year decrease was due primarily to a $23 million remeasurement gain on an equity investment in a fintech company during the first quarter of 2018.
Noninterest Expense
Noninterest expense was $1.5 billion in the current quarter, up $7 million sequentially and $72 million compared to the first quarter of 2018 . The current quarter included $45 million in aforementioned merger-related costs. The prior quarter included a $60 million pre-tax pension plan settlement charge. Excluding these discrete items, noninterest expense increased $22 million sequentially and $27 million year-over-year. The sequential increase was driven primarily by seasonal increases in employee compensation and benefits, partially offset by lower operating losses. The year-over-year increase was driven by higher outside processing and software costs, offset partially by lower employee compensation and benefits and regulatory assessments.
Employee compensation and benefits expense was $824 million in the current quarter, compared to $857 million in the prior quarter and $853 million in the first quarter of 2018 . The $33 million sequential decrease was driven primarily by the $60 million legacy pension plan settlement charge recognized in the fourth quarter of 2018, offset partially by the seasonal increase in employee benefit costs and FICA taxes. The $29 million year-over-year decrease was primarily driven by lower contract labor costs in the current quarter.
Outside processing and software expense was $238 million in the current quarter, compared to $242 million in the prior quarter and $206 million in the first quarter of 2018 . The $32 million year-over-year increase was driven primarily by higher software-related costs resulting from the amortization of new and upgraded technology assets.
Net occupancy expense was $102 million in the current quarter, stable compared to the prior quarter and $8 million higher than the first quarter of 2018 . The year-over-year increase was driven primarily by higher rent expense and the absence of amortization of deferred gains on sale leaseback transactions following the adoption of the lease accounting standard during the first quarter of 2019.
Merger-related costs totaled $45 million for the current quarter. This represents a new income statement line item introduced to capture merger-related expenses associated with the Company's proposed merger with BB&T Corporation as announced on February 7, 2019. The current quarter costs were driven by M&A advisory fees and legal costs.
Marketing and customer development expense was $41 million in the current quarter, compared to $49 million in the prior quarter and $41 million in the first quarter of 2018 . The $8 million sequential decrease was driven by normal seasonality in advertising and client development costs.
Operating losses were $22 million in the current quarter, compared to $39 million in the prior quarter and $6 million in the first quarter of 2018 . The sequential decrease was driven primarily by higher legal and fraud-related costs recognized during the fourth quarter of 2018. The year-over-year increase was driven primarily by a $10 million net benefit from the progression of certain legal matters during the first quarter of 2018.
Regulatory assessments expense was $19 million in the current quarter, compared to $7 million in the prior quarter and $41 million in the prior year. The sequential increase was driven primarily by a $9 million regulatory assessment credit recognized during the fourth quarter of 2018. The year-over-year decrease was driven by the cessation of the FDIC Deposit Insurance Fund surcharge in the fourth quarter of 2018.
Other noninterest expense was $141 million in the current quarter, compared to $122 million in the prior quarter and $121 million in the first quarter of 2018 . The $19 million sequential and $20 million year-over-year increases were driven primarily by higher branch closure-related costs.

5

Income Taxes
For the first quarter of 2019 , the Company recorded a provision for income taxes of $104 million compared to $136 million for the prior quarter and $147 million for the first quarter of 2018 . The effective tax rate for the current quarter was 15% , compared to 17% in the prior quarter and 19% in the first quarter of 2018 . The first quarter of 2019 included $17 million of discrete tax benefits primarily related to the typical seasonal impact from stock-based compensation.
Balance Sheet
At March 31, 2019 , the Company had total assets of $220.4 billion and total shareholders’ equity of $24.8 billion , representing 11% of total assets. Book value per common share was $51.15 and tangible book value per common share was $37.22 , up 3% and 4% , respectively, compared to December 31, 2018 , driven primarily by growth in retained earnings and a decrease in accumulated other comprehensive loss.
Loans and Deposits
Average performing LHFI totaled $153.7 billion for the current quarter, up 3% compared to the prior quarter and up 8% compared to the prior year driven by broad-based growth across most loan categories, with the exception of commercial construction, residential home equity products, and residential construction.
Average consumer and commercial deposits totaled $159.9 billion for the current quarter, down 1% compared to the prior quarter and relatively stable compared to the first quarter of 2018 . These sequential and year-over-year changes were driven by declines in money market accounts and demand deposits, offset by growth in NOW accounts and time deposits.
Capital and Liquidity
The Company’s estimated capital ratios were well above current regulatory requirements with the Common Equity Tier 1 ratio estimated to be 9.1% at March 31, 2019 . The ratios of average total equity to average total assets and tangible common equity to tangible assets were 11.3% and 7.7% , respectively, at March 31 , 2019 . The Company continues to have substantial available liquidity in the form of cash, high-quality government-backed or government-sponsored securities, and other available contingency funding sources.
The Company declared a common stock dividend of $0.50 per common share and repurchased $250 million of its outstanding common stock in the first quarter of 2019 . The Company does not expect to utilize the $500 million remaining share repurchase authorization available under its 2018 Capital Plan in view of the proposed merger with BB&T Corporation .
Asset Quality
Overall asset quality performance continues to be strong. Nonperforming assets ("NPAs") totaled $648 million at March 31, 2019 , up $59 million from the prior quarter and down $130 million year-over-year. The ratio of NPLs to period-end LHFI was 0.34% , 0.35% , and 0.50% at March 31 , 2019 , December 31 , 2018 , and March 31 , 2018 , respectively. The year-over-year decrease was driven primarily by lower residential mortgage nonperforming loans due to loans transitioning from non-accruing (as a result of forbearance relief provided after hurricanes) back to accruing status. 
Net charge-offs totaled $97 million during the current quarter, stable compared to the prior quarter and an increase of $18 million compared to the first quarter of 2018 . The ratio of annualized net charge-offs to total average LHFI was 0.26% during the current quarter, compared to 0.26% during the prior quarter and 0.22% during the prior year quarter.

6

The provision for credit losses was $153 million in the current quarter, an increase of $66 million sequentially and $125 million year-over-year, driven by strong loan growth and a stable ALLL to period-end LHFI ratio (compared to declines in prior quarters). At March 31 , 2019 , the ALLL was $1.6 billion , which represented 1.06% of period-end loans, stable relative to December 31 , 2018 and a 13 basis point decline relative to March 31 , 2018 , driven by continued improvements in asset quality.
Early stage delinquencies decreased 9 basis points from the prior quarter and 4 basis points from March 31 , 2018 to 0.64% at March 31 , 2019 . Excluding government-guaranteed loans, early stage delinquencies were 0.21% , down 6 basis points compared to the prior quarter and down 1 basis point compared to the first quarter of 2018 .

In the current quarter, the Company transferred $465 million of accruing residential troubled debt restructured ("TDR") loans from LHFI to loans held for sale ("LHFS"), in anticipation of a sale in the second quarter of 2019. This resulted in a transfer of $31 million of the associated allowance transferring into the carrying value in LHFS. This transaction had no impact on the provision for loan losses in the first quarter.   

OTHER INFORMATION

About SunTrust Banks, Inc.
SunTrust Banks, Inc. (NYSE: STI) is a purpose-driven company dedicated to Lighting the Way to Financial Well-Being for the people, businesses, and communities it serves. SunTrust leads onUp, a national movement inspiring Americans to build financial confidence. Headquartered in Atlanta, the Company has two business segments: Consumer and Wholesale . Its flagship subsidiary, SunTrust Bank, operates an extensive branch and ATM network throughout the high-growth Southeast and Mid-Atlantic states, along with 24-hour digital access. Certain business lines serve consumer, commercial, corporate, and institutional clients nationally. As of  March 31, 2019 , SunTrust had total assets of  $220 billion  and total deposits of  $162 billion . The Company provides deposit, credit, trust, investment, mortgage, asset management, securities brokerage, and capital market services. Learn more at suntrust.com .
Business Segment Results
The Company has included its business segment financial tables as part of this release. Revenue and income amounts labeled "FTE" in the business segment tables are reported on a fully taxable-equivalent basis. For the business segments, net interest income is computed using matched-maturity funds transfer pricing and noninterest income includes federal and state tax credits that are grossed-up on a pre-tax equivalent basis. Further, provision/(benefit) for credit losses represents net charge-offs by segment combined with an allocation to the segments of the provision/(benefit) attributable to each segment's quarterly change in the allowance for loan and lease losses ("ALLL") and unfunded commitments reserve balances. SunTrust also reports results for Corporate Other, which includes the Treasury department as well as the residual expense associated with operational and support expense allocations. The Total Corporate Other results presented in this document also include Reconciling Items, which are comprised of differences created between internal management accounting practices and U.S. Generally Accepted Accounting Principles ("U.S. GAAP") and certain matched-maturity funds transfer pricing credits and charges. A detailed discussion of the business segment results will be included in the Company’s forthcoming Form 10-Q .
Corresponding Financial Tables and Information
Investors are encouraged to review the foregoing summary and discussion of SunTrust’s earnings and financial condition in conjunction with the detailed financial tables included in this release and the earnings presentation which SunTrust has also published today and SunTrust’s forthcoming Form 10-Q . Detailed financial tables and the earnings presentation are also available at investors.suntrust.com . This information is also included in a current report on Form 8-K furnished with the SEC today.

7

Conference Call
SunTrust management will host a conference call on April 18 , 2019 , at 11:00 a.m. (Eastern Time) to discuss the earnings results and business trends. Individuals may call in beginning at 10:30 a.m. (Eastern Time) by dialing 1-877-209-9920 (Passcode: SunTrust). Individuals calling from outside the United States should dial 1-612-332-1210 (Passcode: SunTrust). A replay of the call will be available approximately one hour after the call ends on April 18 , 2019 , and will remain available until May 18, 2019 , by dialing 1-800-475-6701 (domestic) or 1-320-365-3844 (international) (Passcode: 445929). Alternatively, individuals may listen to the live webcast of the presentation by visiting the SunTrust investor relations website at investors.suntrust.com. Beginning the afternoon of April 18 , 2019 , individuals may access an archived version of the webcast in the “Events & Presentations” section of the SunTrust investor relations website. This webcast will be archived and available for one year.
Non-GAAP Financial Measures
This news release includes non-GAAP financial measures to describe SunTrust’s performance. Additional information and reconciliations of those measures to GAAP measures are provided in the appendix to this news release beginning at page 21 .
In this news release, consistent with SEC Industry Guide 3, the Company presents total revenue, net interest income, net interest margin, and efficiency ratios on a fully taxable equivalent (“FTE”) basis, and ratios on an annualized basis. The FTE basis adjusts for the tax-favored status of net interest income from certain loans and investments using a federal tax rate of 21% , as well as state income taxes, where applicable, to increase tax-exempt interest income to a taxable-equivalent basis. The Company believes this measure to be the preferred industry measurement of net interest income and it enhances comparability of net interest income arising from taxable and tax-exempt sources. Total revenue-FTE equals net interest income-FTE plus noninterest income.
The Company presents the following additional non-GAAP measures because many investors find them useful. Specifically:
		
•	The Company presents certain capital information on a tangible basis, including Tangible equity, Tangible common equity, the ratio of Tangible equity to tangible assets, the ratio of Tangible common equity to tangible assets, Tangible book value per share, and the Return on tangible common shareholders’ equity, which removes the after-tax impact of purchase accounting intangible assets from shareholders' equity and removes related intangible asset amortization from Net income available to common shareholders. The Company believes these measures are useful to investors because, by removing the amount of intangible assets that results from merger and acquisition activity and amortization expense (the level of which may vary from company to company), they allow investors to more easily compare the Company’s capital position and return on average tangible common shareholders' equity to other companies in the industry who present similar measures. The Company also believes that removing these items provides a more relevant measure of the return on the Company's common shareholders' equity. These measures are utilized by management to assess capital adequacy and profitability of the Company.	
		
•	Similarly, the Company presents Efficiency ratio-FTE, Tangible efficiency ratio-FTE, and Adjusted tangible efficiency ratio-FTE. The efficiency ratio is computed by dividing Noninterest expense by Total revenue. Efficiency ratio-FTE is computed by dividing Noninterest expense by Total revenue-FTE. Tangible efficiency ratio-FTE excludes the amortization related to intangible assets and certain tax credits. The Company believes this measure is useful to investors because, by removing the impact of amortization (the level of which may vary from company to company), it allows investors to more easily compare the Company’s efficiency to other companies in the industry. Adjusted tangible efficiency ratio-FTE removes the pre-tax impact of merger-related costs recognized in the first quarter of 2019 as well as the pre-tax impact of the legacy pension plan settlement charge recognized in the fourth quarter of 2018 from the calculation of Tangible efficiency ratio-FTE. See slide 21 in the earnings presentation (Exhibit 99.2) as well as Appendix A in this news release for more details on these items. The Company believes this measure (adjusted tangible efficiency ratio-FTE) is useful to investors because it is more reflective of normalized operations as it reflects results that are primarily client relationship and client transaction driven. This measure is utilized by management to assess the efficiency of the Company and its lines of business.	

8

Important Cautionary Statement About Forward-Looking Statements
This news release contains forward-looking statements. Statements regarding the utilization of the Company's share repurchase authorization under its 2018 Capital Plan, its proposed merger with BB&T, including the benefits thereof, and the availability of liquidity to the Company are forward-looking statements. Also, any statement that does not describe historical or current facts is a forward-looking statement. These statements often include the words “believes,” “expects,” “anticipates,” “estimates,” “intends,” “plans,” “forecast,” “goals,” “targets,” “initiatives,” “opportunity,” “focus,” “potentially,” “probably,” “projects,” “outlook,” or similar expressions or future conditional verbs such as “may,” “will,” “should,” “would,” and “could.” Forward-looking statements are based upon the current beliefs and expectations of management and on information currently available to management. Our statements speak as of the date hereof, and we do not assume any obligation to update these statements or to update the reasons why actual results could differ from those contained in such statements in light of new information or future events.
Forward-looking statements are subject to significant risks and uncertainties. Investors are cautioned against placing undue reliance on such statements. Actual results may differ materially from those set forth in the forward looking statements. Additional factors that could cause actual results to differ materially from those described in the forward-looking statements can be found in Part I, “Item 1A. Risk Factors” in our Annual Report on Form 10-K for the year ended December 31, 2018 and in other periodic reports that we file with the SEC.
Additional Information about the Merger and Where to Find It
In connection with the Company’s proposed merger with BB&T, BB&T has filed with the SEC a registration statement on Form S-4 to register the shares of BB&T’s capital stock to be issued in connection with the merger. The registration statement includes a joint proxy statement/prospectus, which will be sent to the shareholders of BB&T and SunTrust seeking their approval of the proposed transaction.
INVESTORS AND SECURITY HOLDERS ARE URGED TO READ THE REGISTRATION STATEMENT ON FORM S-4, THE JOINT PROXY STATEMENT/PROSPECTUS INCLUDED WITHIN THE REGISTRATION STATEMENT ON FORM S-4 AND ANY OTHER RELEVANT DOCUMENTS FILED OR TO BE FILED WITH THE SEC IN CONNECTION WITH THE PROPOSED TRANSACTION BECAUSE THESE DOCUMENTS DO AND WILL CONTAIN IMPORTANT INFORMATION ABOUT BB&T, SUNTRUST, AND THE PROPOSED TRANSACTION.
Investors and security holders may obtain copies of these documents free of charge through the website maintained by the SEC at www.sec.gov or from BB&T at its website, www.bbt.com , or from SunTrust at its website, www.suntrust.com . Documents filed with the SEC by BB&T will be available free of charge by accessing BB&T’s website at http://bbt.com/ under the tab “About BB&T” and then under the heading “Investor Relations” or, alternatively, by directing a request by telephone or mail to BB&T Corporation, 200 West Second Street, Winston-Salem, North Carolina 27101, (336) 733-3065, and documents filed with the SEC by SunTrust will be available free of charge by accessing SunTrust’s website at http://suntrust.com/ under the tab “Investor Relations,” and then under the heading “Regulatory & Legal” or, alternatively, by directing a request by telephone or mail to SunTrust Banks, Inc., 303 Peachtree Street, N.E., Atlanta, Georgia 30308, (877) 930-8971.
Participants in the Solicitation
BB&T, SunTrust and certain of their respective directors and executive officers may be deemed to be participants in the solicitation of proxies from the shareholders of BB&T and SunTrust in connection with the proposed transaction under the rules of the SEC. Certain information regarding the interests of these participants and a description of their direct and indirect interests, by security holdings or otherwise, are included in the joint proxy statement/prospectus regarding the proposed transaction and will be included in other relevant materials to be filed with the SEC when they become available. Additional information about BB&T, and its directors and executive officers, may be found in the definitive proxy statement of BB&T relating to its 2019 Annual Meeting of Shareholders filed with the SEC, and other documents filed by BB&T with the SEC. Additional information about SunTrust, and its directors and executive officers, may be found in the definitive proxy statement of SunTrust relating to its 2019 Annual Meeting of Shareholders filed with the SEC, and other documents filed by SunTrust with the SEC. These documents can be obtained free of charge from the sources described above.

9

SunTrust Banks, Inc. and Subsidiaries
FINANCIAL HIGHLIGHTS

											
(Dollars in millions and shares in thousands, except per share data) (Unaudited) 	Three Months Ended March 31	 	%	
	2019		2018	 	 Change	
EARNINGS & DIVIDENDS	 		 	 	 	
Net income		$580		 		$643		 	(10	)%	
Net income available to common shareholders	554		 	612		 	(9	)	
Total revenue	2,328		 	2,237		 	4		
Total revenue-FTE  1	2,351		 	2,257		 	4		
Net income per average common share:	 	 	 	 	 	
Diluted		$1.24				$1.29		 	(4	)%	
Basic	1.25			1.31		 	(5	)	
Dividends declared per common share	0.50			0.40		 	25		
CONDENSED BALANCE SHEETS	 	 	 	 	 	
Selected Average Balances:	 	 	 	 	 	
Total assets		$217,403				$204,132		 	7	 %	
Earning assets	194,385			182,874		 	6		
Loans held for investment ("LHFI")	154,258			142,920		 	8		
Intangible assets including residential mortgage servicing rights ("MSRs")	8,394			8,244		 	2		
Residential MSRs	1,984			1,833		 	8		
Consumer and commercial deposits	159,921			159,169		 	—		
Total shareholders’ equity	24,466			24,605		 	(1	)	
Preferred stock	2,025			2,390		 	(15	)	
Period End Balances:	 	 	 	 	 	
Total assets		$220,425				$204,885		 	8	 %	
Earning assets	196,316			182,913		 	7		
LHFI	155,233			142,618		 	9		
Allowance for loan and lease losses ("ALLL")	1,643			1,694		 	(3	)	
Consumer and commercial deposits	161,092			161,357		 	—		
Total shareholders’ equity	24,823			24,269		 	2		
FINANCIAL RATIOS & OTHER DATA	 	 	 	 	 	
Return on average total assets	1.08	%		1.28	%	 	(16	)%	
Return on average common shareholders’ equity	10.06			11.23		 	(10	)	
Return on average tangible common shareholders’ equity 1	13.91			15.60		 	(11	)	
Net interest margin	3.22			3.20		 	1		
Net interest margin-FTE  1	3.27		 	3.24		 	1		
Efficiency ratio	63.97		 	63.35		 	1		
Efficiency ratio-FTE  1	63.35			62.77		 	1		
Tangible efficiency ratio-FTE  1	62.70			62.11		 	1		
Adjusted tangible efficiency ratio-FTE  1	60.78		 	62.11		 	(2	)	
Effective tax rate  	15			19		 	(21	)	
Basel III capital ratios at period end 2 :	 	 	 	 	 	
Common Equity Tier 1 ("CET1")	9.09	%	 	9.84	%	 	(8	)%	
Tier 1 capital	10.16		 	11.00		 	(8	)	
Total capital	11.84		 	12.90		 	(8	)	
Leverage	9.15		 	9.75		 	(6	)	
Total average shareholders’ equity to total average assets	11.25			12.05		 	(7	)	
Tangible equity to tangible assets  1	8.71			9.11		 	(4	)	
Tangible common equity to tangible assets 1	7.71		 	8.04		 	(4	)	
Book value per common share		$51.15				$47.14		 	9		
Tangible book value per common share  1	37.22			33.97		 	10		
Market capitalization	26,290			31,959		 	(18	)	
Average common shares outstanding:	 	 	 	 	 	
Diluted	446,662			473,620		 	(6	)	
Basic	443,566			468,723		 	(5	)	
Full-time equivalent employees	22,626			23,208		 	(3	)	
Number of ATMs	2,030			2,075		 	(2	)	
Full service banking offices	1,152			1,236		 	(7	)	

1  	See Appendix A for additional information and reconcilements of non-U.S. GAAP performance measures.	
		
2  	Basel III capital ratios are calculated under the standardized approach using regulatory capital methodology applicable to the Company for each period presented, including the phase-in of transition provisions through January 1, 2018 . Capital ratios at March 31, 2019 are estimated as of the date of this release.	

10

SunTrust Banks, Inc. and Subsidiaries
FIVE QUARTER FINANCIAL HIGHLIGHTS

																				
 	Three Months Ended	
 	March 31	 	December 31	 	September 30	 	June 30	 	March 31	
(Dollars in millions and shares in thousands, except per share data) (Unaudited)	2019	 	2018	 	2018	 	2018	 	2018	
EARNINGS & DIVIDENDS	 	 	 	 	 	 	 	 	 	
Net income		$580		 		$658		 		$752		 		$722		 		$643		
Net income available to common shareholders	554		 	632		 	726		 	697		 	612		
Total revenue	2,328		 	2,365		 	2,294		 	2,317		 	2,237		
Total revenue-FTE 1	2,351		 	2,388		 	2,316		 	2,339		 	2,257		
Net income per average common share:	 	 	 	 	 	 	 	 	 	
Diluted		$1.24		 		$1.40		 		$1.56		 		$1.49		 		$1.29		
Basic	1.25		 	1.41		 	1.58		 	1.50		 	1.31		
Dividends declared per common share	0.50		 	0.50		 	0.50		 	0.40		 	0.40		
CONDENSED BALANCE SHEETS	 	 	 	 	 	 	 	 	 	
Selected Average Balances:	 	 	 	 	 	 	 	 	 	
Total assets		$217,403		 		$212,934		 		$207,395		 		$204,548		 		$204,132		
Earning assets	194,385		 	190,742		 	186,344		 	184,566		 	182,874		
LHFI	154,258		 	149,708		 	145,995		 	144,156		 	142,920		
Intangible assets including residential MSRs	8,394		 	8,491		 	8,396		 	8,355		 	8,244		
Residential MSRs	1,984		 	2,083		 	1,987		 	1,944		 	1,833		
Consumer and commercial deposits	159,921		 	161,573		 	159,348		 	158,957		 	159,169		
Total shareholders’ equity	24,466		 	23,873		 	24,275		 	24,095		 	24,605		
Preferred stock	2,025		 	2,025		 	2,025		 	2,025		 	2,390		
Period End Balances:	 	 	 	 	 	 	 	 	 	
Total assets		$220,425		 		$215,543		 		$211,276		 		$207,505		 		$204,885		
Earning assets	196,316		 	192,497		 	188,141		 	185,304		 	182,913		
LHFI	155,233		 	151,839		 	147,215		 	144,935		 	142,618		
ALLL	1,643		 	1,615		 	1,623		 	1,650		 	1,694		
Consumer and commercial deposits	161,092		 	161,544		 	159,332		 	160,410		 	161,357		
Total shareholders’ equity	24,823		 	24,280		 	24,139		 	24,316		 	24,269		
FINANCIAL RATIOS & OTHER DATA	 	 	 	 	 	 	 	 	 	
Return on average total assets	1.08	%	 	1.23	%	 	1.44	%	 	1.42	%	 	1.28	%	
Return on average common shareholders’ equity	10.06		 	11.54		 	13.01		 	12.73		 	11.23		
Return on average tangible common shareholders’ equity 1	13.91		 	16.13		 	18.06		 	17.74		 	15.60		
Net interest margin	3.22		 	3.22		 	3.22		 	3.23		 	3.20		
Net interest margin-FTE  1	3.27		 	3.27		 	3.27		 	3.28		 	3.24		
Efficiency ratio	63.97		 	62.66		 	60.34		 	59.98		 	63.35		
Efficiency ratio-FTE 1	63.35		 	62.06		 	59.76		 	59.41		 	62.77		
Tangible efficiency ratio-FTE 1	62.70		 	61.13		 	58.94		 	58.69		 	62.11		
Adjusted tangible efficiency ratio-FTE  1	60.78		 	58.63		 	58.94		 	58.69		 	62.11		
Effective tax rate	15		 	17		 	11		 	19		 	19		
Basel III capital ratios at period end 2 :	 	 	 	 	 	 	 	 	 	
CET1	9.09	%	 	9.21	%	 	9.60	%	 	9.72	%	 	9.84	%	
Tier 1 capital	10.16		 	10.30		 	10.72		 	10.86		 	11.00		
Total capital	11.84		 	12.02		 	12.47		 	12.67		 	12.90		
Leverage	9.15		 	9.26		 	9.66		 	9.82		 	9.75		
Total average shareholders’ equity to total average assets	11.25		 	11.21		 	11.71		 	11.78		 	12.05		
Tangible equity to tangible assets  1	8.71		 	8.65		 	8.76		 	9.01		 	9.11		
Tangible common equity to tangible assets 1	7.71		 	7.63		 	7.72		 	7.96		 	8.04		
Book value per common share		$51.15		 		$49.57		 		$48.00		 		$47.70		 		$47.14		
Tangible book value per common share  1	37.22		 	35.73		 	34.51		 	34.40		 	33.97		
Market capitalization	26,290		 	22,541		 	30,632		 	30,712		 	31,959		
Average common shares outstanding:	 	 	 	 	 	 	 	 	 	
Diluted	446,662		 	452,957		 	464,164		 	469,339		 	473,620		
Basic	443,566		 	449,404		 	460,252		 	465,529		 	468,723		
Full-time equivalent employees	22,626		 	22,899		 	22,839		 	23,199		 	23,208		
Number of ATMs	2,030		 	2,082		 	2,053		 	2,062		 	2,075		
Full service banking offices	1,152		 	1,218		 	1,217		 	1,222		 	1,236		

1  	See Appendix A for additional information and reconcilements of non-U.S. GAAP performance measures.	
		
2  	Basel III capital ratios are calculated under the standardized approach using regulatory capital methodology applicable to the Company for each period presented, including the phase-in of transition provisions through January 1, 2018. Capital ratios at March 31, 2019 are estimated as of the date of this release.	

11

SunTrust Banks, Inc. and Subsidiaries
CONSOLIDATED STATEMENTS OF INCOME

															
 	Three Months Ended	 	Increase/(Decrease)	
(Dollars in millions and shares in thousands, except per share data) (Unaudited)	March 31	 		
	2019		2018	 	Amount	 	 % 4	
Interest income		$1,987				$1,668		 		$319		 	19	 %	
Interest expense	443			227		 	216		 	95		
NET INTEREST INCOME	1,544			1,441		 	103		 	7		
Provision for credit losses	153			28		 	125		 	NM		
NET INTEREST INCOME AFTER PROVISION FOR CREDIT LOSSES	1,391			1,413		 	(22	)	 	(2	)	
NONINTEREST INCOME	 	 	 	 	 	 	 	
Service charges on deposit accounts	137			146		 	(9	)	 	(6	)	
Other charges and fees 1	87		 	85		 	2		 	2		
Card fees	82			81		 	1		 	1		
Investment banking income 1	130			133		 	(3	)	 	(2	)	
Trading income	60			42		 	18		 	43		
Mortgage related income  2	100		 	90		 	10		 	11		
Trust and investment management income	71		 	75		 	(4	)	 	(5	)	
Retail investment services	69		 	72		 	(3	)	 	(4	)	
Commercial real estate related income	24		 	23		 	1		 	4		
Net securities gains/(losses)	—			1		 	(1	)	 	(100	)	
Other noninterest income	24			48		 	(24	)	 	(50	)	
Total noninterest income	784			796		 	(12	)	 	(2	)	
NONINTEREST EXPENSE	 		 	 	 	 	 	
Employee compensation and benefits	824			853		 	(29	)	 	(3	)	
Outside processing and software	238			206		 	32		 	16		
Net occupancy expense	102			94		 	8		 	9		
Merger-related costs	45		 	—		 	45		 	NM		
Equipment expense	42		 	40		 	2		 	5		
Marketing and customer development	41		 	41		 	—		 	—		
Operating losses	22			6		 	16		 	NM		
Regulatory assessments	19		 	41		 	(22	)	 	(54	)	
Amortization	15		 	15		 	—		 	—		
Other noninterest expense	141			121		 	20		 	17		
Total noninterest expense	1,489			1,417		 	72		 	5		
INCOME BEFORE PROVISION FOR INCOME TAXES	686			792		 	(106	)	 	(13	)	
Provision for income taxes	104			147		 	(43	)	 	(29	)	
NET INCOME INCLUDING INCOME ATTRIBUTABLE TO NONCONTROLLING INTEREST	582			645		 	(63	)	 	(10	)	
Less: Net income attributable to noncontrolling interest	2			2		 	—		 	—		
NET INCOME		$580				$643		 		($63	)	 	(10	)%	
NET INCOME AVAILABLE TO COMMON SHAREHOLDERS		$554				$612		 		($58	)	 	(9	)%	
Net interest income-FTE  3	1,567			1,461		 	106		 	7		
Total revenue	2,328		 	2,237		 	91		 	4		
Total revenue-FTE 3	2,351		 	2,257		 	94		 	4		
Net income per average common share:	 	 	 	 	 	 	 	
Diluted	1.24			1.29		 	(0.05	)	 	(4	)	
Basic	1.25			1.31		 	(0.06	)	 	(5	)	
Dividends declared per common share	0.50			0.40		 	0.10		 	25		
Average common shares outstanding:	 	 	 	 	 	 	 	
Diluted	446,662			473,620		 	(26,958	)	 	(6	)	
Basic	443,566			468,723		 	(25,157	)	 	(5	)	
 	 	 	 	 	 	 	 	
1 Beginning July 1, 2018, the Company began presenting bridge commitment fee income related to capital market transactions in Investment banking income on the Consolidated Statements of Income. For periods prior to July 1, 2018, this income was previously presented in Other charges and fees and has been reclassified to Investment banking income for comparability.
2 Beginning with the Company's Annual Report on Form 10-K for the year ended December 31, 2018, the Company began presenting Mortgage production related income and Mortgage servicing related income as a single line item on the Consolidated Statements of Income titled Mortgage related income. Prior periods have been conformed with this updated presentation for comparability.
3 See Appendix A for additional information and reconcilements of non-U.S. GAAP measures to the related U.S.GAAP measures.
4 “NM” - Not meaningful. Those changes over 100 percent were not considered to be meaningful.

12

SunTrust Banks, Inc. and Subsidiaries
FIVE QUARTER CONSOLIDATED STATEMENTS OF INCOME

																											
 	Three Months Ended	 	 	 	Three Months Ended	
(Dollars in millions and shares in thousands, except per share data)
(Unaudited)	March 31	 	December 31	 	Increase/(Decrease)	 	September 30	 	June 30	 	March 31	
	2019	 	2018	 	Amount	 	 % 4	 	2018	 	2018	 	2018	
Interest income		$1,987		 		$1,944		 		$43		 	2	 %	 		$1,834		 		$1,759		 		$1,668		
Interest expense	443		 	397		 	46		 	12		 	322		 	271		 	227		
NET INTEREST INCOME	1,544		 	1,547		 	(3	)	 	—		 	1,512		 	1,488		 	1,441		
Provision for credit losses	153		 	87		 	66		 	76		 	61		 	32		 	28		
NET INTEREST INCOME AFTER PROVISION FOR CREDIT LOSSES	1,391		 	1,460		 	(69	)	 	(5	)	 	1,451		 	1,456		 	1,413		
NONINTEREST INCOME	 	 	 	 	 	 	 	 	 	 	 	 	 	
Service charges on deposit accounts	137		 	146		 	(9	)	 	(6	)	 	144		 	144		 	146		
Other charges and fees 1	87		 	92		 	(5	)	 	(5	)	 	89		 	91		 	85		
Card fees	82		 	83		 	(1	)	 	(1	)	 	75		 	85		 	81		
Investment banking income 1	130		 	146		 	(16	)	 	(11	)	 	150		 	169		 	133		
Trading income	60		 	24		 	36		 	NM		 	42		 	53		 	42		
Mortgage related income 2	100		 	85		 	15		 	18		 	83		 	83		 	90		
Trust and investment management income	71		 	74		 	(3	)	 	(4	)	 	80		 	75		 	75		
Retail investment services	69		 	74		 	(5	)	 	(7	)	 	74		 	73		 	72		
Commercial real estate related income	24		 	68		 	(44	)	 	(65	)	 	24		 	18		 	23		
Net securities gains/(losses)	—		 	—		 	—		 	—		 	—		 	—		 	1		
Other noninterest income	24		 	26		 	(2	)	 	(8	)	 	21		 	38		 	48		
Total noninterest income	784		 	818		 	(34	)	 	(4	)	 	782		 	829		 	796		
NONINTEREST EXPENSE	 	 	 	 	 	 	 	 	 	 	 	 	 	
Employee compensation and benefits	824		 	857		 	(33	)	 	(4	)	 	795		 	802		 	853		
Outside processing and software	238		 	242		 	(4	)	 	(2	)	 	234		 	227		 	206		
Net occupancy expense	102		 	102		 	—		 	—		 	86		 	90		 	94		
Merger-related costs	45		 	—		 	45		 	NM		 	—		 	—		 	—		
Equipment expense	42		 	42		 	—		 	—		 	40		 	44		 	40		
Marketing and customer development	41		 	49		 	(8	)	 	(16	)	 	45		 	40		 	41		
Operating losses	22		 	39		 	(17	)	 	(44	)	 	18		 	17		 	6		
Regulatory assessments	19		 	7		 	12		 	NM		 	39		 	39		 	41		
Amortization	15		 	22		 	(7	)	 	(32	)	 	19		 	17		 	15		
Other noninterest expense	141		 	122		 	19		 	16		 	108		 	114		 	121		
Total noninterest expense	1,489		 	1,482		 	7		 	—		 	1,384		 	1,390		 	1,417		
INCOME BEFORE PROVISION FOR INCOME TAXES	686		 	796		 	(110	)	 	(14	)	 	849		 	895		 	792		
Provision for income taxes	104		 	136		 	(32	)	 	(24	)	 	95		 	171		 	147		
NET INCOME INCLUDING INCOME ATTRIBUTABLE TO NONCONTROLLING INTEREST	582		 	660		 	(78	)	 	(12	)	 	754		 	724		 	645		
Less: Net income attributable to noncontrolling interest	2		 	2		 	—		 	—		 	2		 	2		 	2		
NET INCOME		$580		 		$658		 		($78	)	 	(12	)%	 		$752		 		$722		 		$643		
NET INCOME AVAILABLE TO COMMON SHAREHOLDERS		$554		 		$632		 		($78	)	 	(12	)%	 		$726		 		$697		 		$612		
Net interest income-FTE  3	1,567		 	1,570		 	(3	)	 	—		 	1,534		 	1,510		 	1,461		
Total revenue	2,328		 	2,365		 	(37	)	 	(2	)	 	2,294		 	2,317		 	2,237		
Total revenue-FTE 3	2,351		 	2,388		 	(37	)	 	(2	)	 	2,316		 	2,339		 	2,257		
Net income per average common share:	 	 	 	 	 	 	 	 	 	 	 	 	 	
Diluted	1.24		 	1.40		 	(0.16	)	 	(11	)	 	1.56		 	1.49		 	1.29		
Basic	1.25		 	1.41		 	(0.16	)	 	(11	)	 	1.58		 	1.50		 	1.31		
Dividends declared per common share	0.50		 	0.50		 	—		 	—		 	0.50		 	0.40		 	0.40		
Average common shares outstanding:	 	 	 	 	 	 	 	 	 	 	 	 	 	
Diluted	446,662		 	452,957		 	(6,295	)	 	(1	)	 	464,164		 	469,339		 	473,620		
Basic	443,566		 	449,404		 	(5,838	)	 	(1	)	 	460,252		 	465,529		 	468,723		
 	 	 	 	 	 	 	 	 	 	 	 	 	 	
1 Beginning July 1, 2018, the Company began presenting bridge commitment fee income related to capital market transactions in Investment banking income on the Consolidated Statements of Income. For periods prior to July 1, 2018, this income was previously presented in Other charges and fees and has been reclassified to Investment banking income for comparability.
2 Beginning with the Company's Annual Report on Form 10-K for the year ended December 31, 2018, the Company began presenting Mortgage production related income and Mortgage servicing related income as a single line item on the Consolidated Statements of Income titled Mortgage related income. Prior periods have been conformed with this updated presentation for comparability.
3 See Appendix A for additional information and reconcilements of non-U.S. GAAP measures to the related U.S.GAAP measures.
4 “NM” - Not meaningful. Those changes over 100 percent were not considered to be meaningful.

13

SunTrust Banks, Inc. and Subsidiaries
CONSOLIDATED BALANCE SHEETS

															
 	March 31	 	(Decrease)/Increase	
(Dollars in millions and shares in thousands, except per share data) (Unaudited)	2019	 	2018	 	Amount	 	 % 2	
ASSETS	 	 	 	 	 	 	 	
Cash and due from banks		$4,521		 		$5,851		 		($1,330	)	 	(23	)%	
Federal funds sold and securities borrowed or purchased under agreements to resell	1,386		 	1,428		 	(42	)	 	(3	)	
Interest-bearing deposits in other banks	25		 	25		 	—		 	—		
Trading assets and derivative instruments	6,259		 	5,112		 	1,147		 	22		
Securities available for sale ("securities AFS")	31,853		 	30,934		 	919		 	3		
Loans held for sale ("LHFS")	1,781		 	2,377		 	(596	)	 	(25	)	
Loans held for investment ("LHFI"):	 	 	 	 	 	 	 	
Commercial and industrial ("C&I")	73,278		 	66,321		 	6,957		 	10		
Commercial real estate ("CRE")	7,889		 	5,352		 	2,537		 	47		
Commercial construction	2,562		 	3,651		 	(1,089	)	 	(30	)	
Residential mortgages - guaranteed	467		 	611		 	(144	)	 	(24	)	
Residential mortgages - nonguaranteed	28,461		 	27,165		 	1,296		 	5		
Residential home equity products	9,167		 	10,241		 	(1,074	)	 	(10	)	
Residential construction	167		 	256		 	(89	)	 	(35	)	
Consumer student - guaranteed	7,308		 	6,693		 	615		 	9		
Consumer other direct	11,029		 	8,941		 	2,088		 	23		
Consumer indirect	13,268		 	11,869		 	1,399		 	12		
Consumer credit cards	1,637		 	1,518		 	119		 	8		
Total LHFI	155,233		 	142,618		 	12,615		 	9		
Allowance for loan and lease losses ("ALLL")	(1,643	)	 	(1,694	)	 	(51	)	 	(3	)	
Net LHFI	153,590		 	140,924		 	12,666		 	9		
Goodwill	6,331		 	6,331		 	—		 	—		
Residential MSRs	1,883		 	1,916		 	(33	)	 	(2	)	
Other assets	12,796		 	9,987		 	2,809		 	28		
Total assets 1		$220,425		 		$204,885		 		$15,540		 	8	 %	
LIABILITIES	 	 	 	 	 	 	 	
Deposits:	 	 	 	 	 	 	 	
Noninterest-bearing consumer and commercial deposits		$40,345		 		$43,494		 		($3,149	)	 	(7	)%	
Interest-bearing consumer and commercial deposits:	 	 	 	 	 	 	 	
NOW accounts	48,964		 	46,672		 	2,292		 	5		
Money market accounts	48,855		 	50,627		 	(1,772	)	 	(4	)	
Savings	6,820		 	6,849		 	(29	)	 	—		
Consumer time	6,902		 	6,205		 	697		 	11		
Other time	9,206		 	7,510		 	1,696		 	23		
Total consumer and commercial deposits	161,092		 	161,357		 	(265	)	 	—		
Brokered time deposits	1,060		 	1,022		 	38		 	4		
Total deposits	162,152		 	162,379		 	(227	)	 	—		
Funds purchased	1,169		 	1,189		 	(20	)	 	(2	)	
Securities sold under agreements to repurchase	1,962		 	1,677		 	285		 	17		
Other short-term borrowings	7,259		 	706		 	6,553		 	NM		
Long-term debt	17,395		 	10,692		 	6,703		 	63		
Trading liabilities and derivative instruments	1,609		 	1,737		 	(128	)	 	(7	)	
Other liabilities	4,056		 	2,236		 	1,820		 	81		
Total liabilities	195,602		 	180,616		 	14,986		 	8		
SHAREHOLDERS' EQUITY	 	 	 	 	 	 	 	
Preferred stock, no par value	2,025		 	2,025		 	—		 	—		
Common stock, $1.00 par value	553		 	552		 	1		 	—		
Additional paid-in capital	8,938		 	8,960		 	(22	)	 	—		
Retained earnings	19,882		 	18,107		 	1,775		 	10		
Treasury stock, at cost, and other	(5,609	)	 	(3,853	)	 	1,756		 	46		
Accumulated other comprehensive loss, net of tax	(966	)	 	(1,522	)	 	(556	)	 	(37	)	
Total shareholders' equity	24,823		 	24,269		 	554		 	2		
Total liabilities and shareholders' equity		$220,425		 		$204,885		 		$15,540		 	8	 %	
 	 	 	 	 	 	 	 	
Common shares outstanding	443,713		 	469,708		 	(25,995	)	 	(6	)%	
Common shares authorized	750,000		 	750,000		 	—		 	—		
Preferred shares outstanding	20		 	20		 	—		 	—		
Preferred shares authorized	50,000		 	50,000		 	—		 	—		
Treasury shares of common stock	109,071		 	82,223		 	26,848		 	33		
1 Includes earning assets of $196,316 and $182,913 at March 31 , 2019 and 2018 , respectively.
2 “NM” - Not meaningful. Those changes over 100 percent were not considered to be meaningful.

14

SunTrust Banks, Inc. and Subsidiaries
FIVE QUARTER CONSOLIDATED BALANCE SHEETS

																											
(Dollars in millions and shares in thousands, except per share data) (Unaudited)	March 31	 	December 31	 	(Decrease)/Increase	 	September 30	 	June 30	 	March 31	
	2019	 	2018	 	Amount	 	 %	 	2018	 	2018	 	2018	
ASSETS	 	 	 	 	 	 	 	 	 	 	 	 	 	
Cash and due from banks		$4,521		 		$5,791		 		($1,270	)	 	(22	)%	 		$6,206		 		$5,858		 		$5,851		
Federal funds sold and securities borrowed or purchased under agreements to resell	1,386		 	1,679		 	(293	)	 	(17	)	 	1,374		 	1,365		 	1,428		
Interest-bearing deposits in other banks	25		 	25		 	—		 	—		 	25		 	25		 	25		
Trading assets and derivative instruments	6,259		 	5,506		 	753		 	14		 	5,676		 	5,050		 	5,112		
Securities AFS	31,853		 	31,442		 	411		 	1		 	30,984		 	30,942		 	30,934		
LHFS	1,781		 	1,468		 	313		 	21		 	1,961		 	2,283		 	2,377		
LHFI:	 	 	 	 	 	 	 	 	 	 	 	 	 	
C&I	73,278		 	71,137		 	2,141		 	3		 	68,203		 	67,343		 	66,321		
CRE	7,889		 	7,265		 	624		 	9		 	6,618		 	6,302		 	5,352		
Commercial construction	2,562		 	2,538		 	24		 	1		 	3,137		 	3,456		 	3,651		
Residential mortgages - guaranteed	467		 	459		 	8		 	2		 	452		 	525		 	611		
Residential mortgages - nonguaranteed	28,461		 	28,836		 	(375	)	 	(1	)	 	28,187		 	27,556		 	27,165		
Residential home equity products	9,167		 	9,468		 	(301	)	 	(3	)	 	9,669		 	9,918		 	10,241		
Residential construction	167		 	184		 	(17	)	 	(9	)	 	197		 	217		 	256		
Consumer student - guaranteed	7,308		 	7,229		 	79		 	1		 	7,039		 	6,892		 	6,693		
Consumer other direct	11,029		 	10,615		 	414		 	4		 	10,100		 	9,448		 	8,941		
Consumer indirect	13,268		 	12,419		 	849		 	7		 	12,010		 	11,712		 	11,869		
Consumer credit cards	1,637		 	1,689		 	(52	)	 	(3	)	 	1,603		 	1,566		 	1,518		
Total LHFI	155,233		 	151,839		 	3,394		 	2		 	147,215		 	144,935		 	142,618		
ALLL	(1,643	)	 	(1,615	)	 	28		 	2		 	(1,623	)	 	(1,650	)	 	(1,694	)	
Net LHFI	153,590		 	150,224		 	3,366		 	2		 	145,592		 	143,285		 	140,924		
Goodwill	6,331		 	6,331		 	—		 	—		 	6,331		 	6,331		 	6,331		
Residential MSRs	1,883		 	1,983		 	(100	)	 	(5	)	 	2,062		 	1,959		 	1,916		
Other assets	12,796		 	11,094		 	1,702		 	15		 	11,065		 	10,407		 	9,987		
Total assets 1		$220,425		 		$215,543		 		$4,882		 	2	 %	 		$211,276		 		$207,505		 		$204,885		
LIABILITIES	 	 	 	 	 	 	 	 	 	 	 	 	 	
Deposits:	 	 	 	 	 	 	 	 	 	 	 	 	 	
Noninterest-bearing consumer and commercial deposits		$40,345		 		$40,770		 		($425	)	 	(1	)%	 		$41,870		 		$44,755		 		$43,494		
Interest-bearing consumer and commercial deposits:	 	 	 	 	 	 	 	 	 	 	 	 		
NOW accounts	48,964		 	49,031		 	(67	)	 	—		 	45,745		 	45,430		 	46,672		
Money market accounts	48,855		 	49,868		 	(1,013	)	 	(2	)	 	49,960		 	49,176		 	50,627		
Savings	6,820		 	6,520		 	300		 	5		 	6,591		 	6,757		 	6,849		
Consumer time	6,902		 	6,583		 	319		 	5		 	6,499		 	6,316		 	6,205		
Other time	9,206		 	8,772		 	434		 	5		 	8,667		 	7,976		 	7,510		
Total consumer and commercial deposits	161,092		 	161,544		 	(452	)	 	—		 	159,332		 	160,410		 	161,357		
Brokered time deposits	1,060		 	1,045		 	15		 	1		 	1,046		 	1,038		 	1,022		
Total deposits	162,152		 	162,589		 	(437	)	 	—		 	160,378		 	161,448		 	162,379		
Funds purchased	1,169		 	2,141		 	(972	)	 	(45	)	 	3,354		 	1,251		 	1,189		
Securities sold under agreements to repurchase	1,962		 	1,774		 	188		 	11		 	1,730		 	1,567		 	1,677		
Other short-term borrowings	7,259		 	4,857		 	2,402		 	49		 	2,856		 	2,470		 	706		
Long-term debt	17,395		 	15,072		 	2,323		 	15		 	14,289		 	11,995		 	10,692		
Trading liabilities and derivative instruments	1,609		 	1,604		 	5		 	—		 	1,863		 	1,958		 	1,737		
Other liabilities	4,056		 	3,226		 	830		 	26		 	2,667		 	2,500		 	2,236		
Total liabilities	195,602		 	191,263		 	4,339		 	2		 	187,137		 	183,189		 	180,616		
SHAREHOLDERS’ EQUITY	 	 	 	 	 	 	 	 	 	 	 	 	 	
Preferred stock, no par value	2,025		 	2,025		 	—		 	—		 	2,025		 	2,025		 	2,025		
Common stock, $1.00 par value	553		 	553		 	—		 	—		 	553		 	552		 	552		
Additional paid-in capital	8,938		 	9,022		 	(84	)	 	(1	)	 	9,001		 	8,980		 	8,960		
Retained earnings	19,882		 	19,522		 	360		 	2		 	19,111		 	18,616		 	18,107		
Treasury stock, at cost, and other	(5,609	)	 	(5,422	)	 	187		 	3		 	(4,677	)	 	(4,178	)	 	(3,853	)	
Accumulated other comprehensive loss, net of tax	(966	)	 	(1,420	)	 	(454	)	 	(32	)	 	(1,874	)	 	(1,679	)	 	(1,522	)	
Total shareholders’ equity	24,823		 	24,280		 	543		 	2		 	24,139		 	24,316		 	24,269		
Total liabilities and shareholders’ equity		$220,425		 		$215,543		 		$4,882		 	2	 %	 		$211,276		 		$207,505		 		$204,885		
 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Common shares outstanding	443,713		 	446,888		 	(3,175	)	 	(1	)%	 	458,626		 	465,199		 	469,708		
Common shares authorized	750,000		 	750,000		 	—		 	—		 	750,000		 	750,000		 	750,000		
Preferred shares outstanding	20		 	20		 	—		 	—		 	20		 	20		 	20		
Preferred shares authorized	50,000		 	50,000		 	—		 	—		 	50,000		 	50,000		 	50,000		
Treasury shares of common stock	109,071		 	105,896		 	3,175		 	3		 	94,038		 	87,071		 	82,223		
1 Includes earning assets of $196,316 , $192,497 , $188,141 , $185,304 , and $182,913 at March 31 , 2019 , December 31 , 2018 , September 30 , 2018 , June 30 , 2018 , and March 31 , 2018 , respectively.

15

	
																																				
SunTrust Banks, Inc. and Subsidiaries
CONSOLIDATED DAILY AVERAGE BALANCES, INCOME/EXPENSE, AND AVERAGE YIELDS EARNED/RATES PAID	
 	Three Months Ended	 	Increase/(Decrease) From	
 	March 31, 2019	 	December 31, 2018	 	Sequential Quarter	 	Prior Year Quarter	
(Dollars in millions) (Unaudited)	Average
Balances  	 	Interest Income/
Expense	 	Yields/
Rates	 	Average
Balances	 	Interest Income/
Expense	 	Yields/
Rates	 	Average
Balances	 	Yields/
Rates	 	Average
Balances  	 	Yields/
Rates	
ASSETS	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Loans held for investment ("LHFI"): 1	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Commercial and industrial ("C&I")		$72,450				$730			4.08	%	 		$69,446		 		$695		 	3.97	%	 		$3,004		 	0.11		 		$6,181		 	0.48		
Commercial real estate ("CRE")	7,611			85			4.52		 	7,030		 	77		 	4.33		 	581		 	0.19		 	2,410		 	0.68		
Commercial construction	2,559			33			5.31		 	2,964		 	38		 	5.10		 	(405	)	 	0.21		 	(1,190	)	 	1.04		
Residential mortgages - guaranteed	481			4			2.91		 	476		 	4		 	3.04		 	5		 	(0.13	)	 	(156	)	 	(0.21	)	
Residential mortgages - nonguaranteed	28,588			282			3.95		 	28,268		 	278		 	3.93		 	320		 	0.02		 	1,725		 	0.16		
Residential home equity products	9,180			120			5.31		 	9,421		 	122		 	5.14		 	(241	)	 	0.17		 	(1,063	)	 	0.71		
Residential construction	164			2			5.24		 	180		 	1		 	3.34		 	(16	)	 	1.90		 	(97	)	 	0.77		
Consumer student - guaranteed	7,258			94			5.25		 	7,114		 	93		 	5.18		 	144		 	0.07		 	603		 	0.49		
Consumer other direct	10,792			160			6.01		 	10,363		 	150		 	5.76		 	429		 	0.25		 	1,988		 	0.93		
Consumer indirect	12,984			134			4.18		 	12,165		 	125		 	4.08		 	819		 	0.10		 	983		 	0.55		
Consumer credit cards	1,647			49			11.90		 	1,625		 	48		 	11.78		 	22		 	0.12		 	121		 	0.64		
Nonaccrual	544			4			3.13		 	656		 	4		 	2.32		 	(112	)	 	0.81		 	(167	)	 	0.88		
Total LHFI	154,258			1,697			4.46		 	149,708		 	1,635		 	4.33		 	4,550		 	0.13		 	11,338		 	0.49		
Securities available for sale ("securities AFS"):	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Taxable	31,268			217			2.78		 	31,197		 	216		 	2.77		 	71		 	0.01		 	419		 	0.17		
Tax-exempt	598			4			2.99		 	612		 	5		 	2.99		 	(14	)	 	—		 	(30	)	 	0.01		
Total securities AFS	31,866			221			2.77		 	31,809		 	221		 	2.78		 	57		 	(0.01	)	 	389		 	0.15		
Federal funds sold and securities borrowed or purchased under agreements to resell	1,271			7			2.28		 	1,514		 	8		 	2.12		 	(243	)	 	0.16		 	(63	)	 	1.10		
Loans held for sale ("LHFS")	1,211			13			4.41		 	2,037		 	34		 	6.60		 	(826	)	 	(2.19	)	 	(814	)	 	0.29		
Interest-bearing deposits in other banks	25			—			5.69		 	25		 	—		 	1.38		 	—		 	4.31		 	—		 	3.84		
Interest earning trading assets	4,950			43			3.47		 	5,064		 	41		 	3.25		 	(114	)	 	0.22		 	386		 	0.42		
Other earning assets	804		 	6		 	2.95		 	585		 	5		 	3.47		 	219		 	(0.52	)	 	275		 	(0.55	)	
Total earning assets	194,385			1,987			4.15		 	190,742		 	1,944		 	4.04		 	3,643		 	0.11		 	11,511		 	0.45		
Allowance for loan and lease losses ("ALLL")	(1,638	)		 	 	 	 	(1,633	)	 	 	 	 	 	(5	)	 	 	 	88		 	 	
Cash and due from banks	4,297			 	 	 	 	5,256		 	 	 	 	 	(959	)	 	 	 	(1,032	)	 	 	
Other assets	19,915			 	 	 	 	18,953		 	 	 	 	 	962		 	 	 	2,659		 	 	
Noninterest earning trading assets and derivative instruments	821			 	 	 	 	627		 	 	 	 	 	194		 	 	 	49		 	 	
Unrealized (losses)/gains on securities AFS, net	(377	)		 	 	 	 	(1,011	)	 	 	 	 	 	634		 	 	 	(4	)	 	 	
Total assets		$217,403			 	 	 	 		$212,934		 	 	 	 	 		$4,469		 	 	 		$13,271		 	 	
LIABILITIES AND SHAREHOLDERS’ EQUITY	 		 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Interest-bearing deposits:	 		 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
NOW accounts		$48,282				$89			0.74	%	 		$47,400		 		$79		 	0.66	%	 		$882		 	0.08		 		$1,692		 	0.35		
Money market accounts	49,187			92			0.76		 	49,863		 	87		 	0.69		 	(676	)	 	0.07		 	(1,356	)	 	0.37		
Savings	6,615			—			0.02		 	6,538		 	—		 	0.02		 	77		 	—		 	28		 	—		
Consumer time	6,747			21			1.29		 	6,546		 	19		 	1.15		 	201		 	0.14		 	662		 	0.42		
Other time	9,002			42			1.89		 	8,892		 	39		 	1.73		 	110		 	0.16		 	1,976		 	0.64		
Total interest-bearing consumer and commercial deposits	119,833			244			0.83		 	119,239		 	224		 	0.74		 	594		 	0.09		 	3,002		 	0.39		
Brokered time deposits	1,054			4			1.60		 	1,044		 	4		 	1.54		 	10		 	0.06		 	48		 	0.25		
Foreign deposits	197			1			2.51		 	15		 	—		 	2.44		 	182		 	0.07		 	146		 	1.09		
Total interest-bearing deposits	121,084			249			0.84		 	120,298		 	228		 	0.75		 	786		 	0.09		 	3,196		 	0.39		
Funds purchased	1,473			9			2.40		 	2,165		 	12		 	2.21		 	(692	)	 	0.19		 	597		 	0.95		
Securities sold under agreements to repurchase	1,605			9			2.25		 	1,861		 	10		 	2.07		 	(256	)	 	0.18		 	10		 	0.86		
Other short-term borrowings	7,144			42			2.35		 	2,701		 	12		 	1.82		 	4,443		 	0.53		 	5,060		 	1.24		
Long-term debt	15,955			125			3.19		 	14,898		 	123		 	3.29		 	1,057		 	(0.10	)	 	5,449		 	0.35		
Interest-bearing trading liabilities	1,201			9			3.13		 	1,421		 	12		 	3.27		 	(220	)	 	(0.14	)	 	91		 	0.29		
Total interest-bearing liabilities	148,462			443			1.21		 	143,344		 	397		 	1.10		 	5,118		 	0.11		 	14,403		 	0.52		
Noninterest-bearing deposits	40,088			 	 	 	 	42,334		 	 	 	 	 	(2,246	)	 	 	 	(2,250	)	 	 	
Other liabilities	3,976			 	 	 	 	2,693		 	 	 	 	 	1,283		 	 	 	1,477		 	 	
Noninterest-bearing trading liabilities and derivative instruments	411			 	 	 	 	690		 	 	 	 	 	(279	)	 	 	 	(220	)	 	 	
Shareholders’ equity	24,466			 	 	 	 	23,873		 	 	 	 	 	593		 	 	 	(139	)	 	 	
Total liabilities and shareholders’ equity		$217,403			 	 	 	 		$212,934		 	 	 	 	 		$4,469		 	 	 		$13,271		 	 	
Interest Rate Spread	 		 		2.94	%	 	 	 	 	 	2.94	%	 	 	 	—		 	 	 	(0.07	)	
Net Interest Income	 			$1,544			 	 	 	 		$1,547		 	 	 	 	 	 	 	 	 	 	
Net Interest Income-FTE 2	 	 		$1,567		 	 	 	 	 		$1,570		 	 	 	 	 	 	 	 	 	 	
Net Interest Margin  3	 		 		3.22	%	 	 	 	 	 	3.22	%	 	 	 	—		 	 	 	0.02		
Net Interest Margin-FTE  2, 3	 	 	 	 	3.27		 	 	 	 	 	3.27		 	 	 	—		 	 	 	0.03		
1 Interest income includes loan fees of $40 million and $45 million for the three months ended March 31, 2019 and December 31, 2018 , respectively.
2 See Appendix A for additional information and reconcilements of non-U.S. GAAP performance measures. Approximately 95% of the total FTE adjustment for both the three months ended March 31, 2019 and December 31, 2018 was attributed to C&I loans.
3 Net interest margin is calculated by dividing annualized Net interest income by average Total earning assets.

16

	
																																	
SunTrust Banks, Inc. and Subsidiaries
CONSOLIDATED DAILY AVERAGE BALANCES, INCOME/EXPENSE, AND AVERAGE YIELDS EARNED/RATES PAID, continued	
 	Three Months Ended	
 	September 30, 2018	 	June 30, 2018	 	March 31, 2018	
(Dollars in millions) (Unaudited)	Average
Balances  	 	Interest Income/
Expense	 	Yields/
Rates	 	Average
Balances  	 	Interest Income/
Expense	 	Yields/
Rates	 	Average
Balances  	 	Interest Income/
Expense	 	Yields/
Rates	
ASSETS	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
LHFI: 1	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
C&I		$67,632		 		$659		 	3.87	%	 		$67,211		 		$633		 	3.78	%	 		$66,269				$588			3.60	%	
CRE	6,418		 	68		 	4.19		 	5,729		 	58		 	4.06		 	5,201			49			3.84		
Commercial construction	3,300		 	40		 	4.76		 	3,559		 	40		 	4.58		 	3,749			40			4.27		
Residential mortgages - guaranteed	502		 	3		 	2.76		 	588		 	5		 	3.33		 	637			5			3.12		
Residential mortgages - nonguaranteed	27,584		 	268		 	3.89		 	27,022		 	258		 	3.81		 	26,863			254			3.79		
Residential home equity products	9,632		 	121		 	4.97		 	9,918		 	119		 	4.81		 	10,243			116			4.60		
Residential construction	193		 	2		 	4.75		 	216		 	3		 	5.26		 	261			3			4.47		
Consumer student - guaranteed	6,912		 	88		 	5.05		 	6,763		 	83		 	4.92		 	6,655			78			4.76		
Consumer other direct	9,726		 	135		 	5.49		 	9,169		 	120		 	5.26		 	8,804			110			5.08		
Consumer indirect	11,770		 	114		 	3.86		 	11,733		 	108		 	3.68		 	12,001			108			3.63		
Consumer credit cards	1,573		 	46		 	11.71		 	1,524		 	43		 	11.45		 	1,526			43			11.26		
Nonaccrual	753		 	5		 	2.70		 	724		 	6		 	3.35		 	711			4			2.25		
Total LHFI	145,995		 	1,549		 	4.21		 	144,156		 	1,476		 	4.11		 	142,920			1,398			3.97		
Securities AFS:	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Taxable	30,927		 	207		 	2.68		 	30,959		 	205		 	2.65		 	30,849			201			2.61		
Tax-exempt	625		 	5		 	2.99		 	637		 	5		 	2.99		 	628			5			2.98		
Total securities AFS	31,552		 	212		 	2.69		 	31,596		 	210		 	2.66		 	31,477			206			2.62		
Federal funds sold and securities borrowed or purchased under agreements to resell	1,426		 	7		 	1.79		 	1,471		 	6		 	1.58		 	1,334			4			1.18		
LHFS	2,022		 	22		 	4.40		 	2,117		 	24		 	4.54		 	2,025			21			4.12		
Interest-bearing deposits in other banks	25		 	—		 	3.90		 	25		 	—		 	2.32		 	25			—			1.85		
Interest earning trading assets	4,789		 	39		 	3.18		 	4,677		 	38		 	3.23		 	4,564			34			3.05		
Other earning assets	535		 	5		 	3.79		 	524		 	5		 	3.97		 	529		 	5		 	3.50		
Total earning assets	186,344		 	1,834		 	3.90		 	184,566		 	1,759		 	3.82		 	182,874			1,668			3.70		
ALLL	(1,665	)	 	 	 	 	 	(1,682	)	 	 	 	 	 	(1,726	)		 	 	 	
Cash and due from banks	4,575		 	 	 	 	 	4,223		 	 	 	 	 	5,329			 	 	 	
Other assets	18,192		 	 	 	 	 	17,573		 	 	 	 	 	17,256			 	 	 	
Noninterest earning trading assets and derivative instruments	668		 	 	 	 	 	512		 	 	 	 	 	772			 	 	 	
Unrealized (losses)/gains on securities AFS, net	(719	)	 	 	 	 	 	(644	)	 	 	 	 	 	(373	)		 	 	 	
Total assets		$207,395		 	 	 	 	 		$204,548		 	 	 	 	 		$204,132			 	 	 	
LIABILITIES AND SHAREHOLDERS’ EQUITY	 	 	 	 	 	 	 	 	 	 	 	 	 		 	 	 	
Interest-bearing deposits:	 	 	 	 	 	 	 	 	 	 	 	 	 		 	 	 	
NOW accounts		$45,345		 		$65		 	0.57	%	 		$45,344		 		$52		 	0.46	%	 		$46,590				$45			0.39	%	
Money market accounts	49,926		 	73		 	0.58		 	49,845		 	60		 	0.49		 	50,543			48			0.39		
Savings	6,658		 	—		 	0.02		 	6,805		 	1		 	0.03		 	6,587			—			0.02		
Consumer time	6,413		 	17		 	1.03		 	6,280		 	15		 	0.95		 	6,085			13			0.87		
Other time	8,357		 	33		 	1.55		 	7,643		 	27		 	1.41		 	7,026			22			1.25		
Total interest-bearing consumer and commercial deposits	116,699		 	188		 	0.64		 	115,917		 	155		 	0.54		 	116,831			128			0.44		
Brokered time deposits	1,041		 	4		 	1.54		 	1,029		 	4		 	1.46		 	1,006			3			1.35		
Foreign deposits	172		 	1		 	1.94		 	139		 	—		 	1.90		 	51			—			1.42		
Total interest-bearing deposits	117,912		 	193		 	0.65		 	117,085		 	159		 	0.55		 	117,888			131			0.45		
Funds purchased	1,352		 	7		 	1.94		 	1,102		 	5		 	1.73		 	876			3			1.45		
Securities sold under agreements to repurchase	1,638		 	8		 	1.85		 	1,656		 	7		 	1.71		 	1,595			5			1.39		
Other short-term borrowings	2,259		 	9		 	1.57		 	1,807		 	7		 	1.54		 	2,084			6			1.11		
Long-term debt	12,922		 	95		 	2.92		 	11,452		 	83		 	2.92		 	10,506			74			2.84		
Interest-bearing trading liabilities	1,233		 	10		 	3.33		 	1,314		 	10		 	3.12		 	1,110			8			2.84		
Total interest-bearing liabilities	137,316		 	322		 	0.93		 	134,416		 	271		 	0.81		 	134,059			227			0.69		
Noninterest-bearing deposits	42,649		 	 	 	 	 	43,040		 	 	 	 	 	42,338			 	 	 	
Other liabilities	2,465		 	 	 	 	 	2,309		 	 	 	 	 	2,499			 	 	 	
Noninterest-bearing trading liabilities and derivative instruments	690		 	 	 	 	 	688		 	 	 	 	 	631			 	 	 	
Shareholders’ equity	24,275		 	 	 	 	 	24,095		 	 	 	 	 	24,605			 	 	 	
Total liabilities and shareholders’ equity		$207,395		 	 	 	 	 		$204,548		 	 	 	 	 		$204,132			 	 	 	
Interest Rate Spread	 	 	 	 	2.97	%	 	 	 	 	 	3.01	%	 	 	 	 		3.01	%	
Net Interest Income	 	 		$1,512		 	 	 	 	 		$1,488		 	 	 	 			$1,441			 	
Net Interest Income-FTE 2	 	 		$1,534		 	 	 	 	 		$1,510		 	 	 	 	 		$1,461		 	 	
Net Interest Margin 3	 	 	 	 	3.22	%	 	 	 	 	 	3.23	%	 	 	 	 		3.20	%	
Net Interest Margin-FTE  2, 3	 	 	 	 	3.27		 	 	 	 	 	3.28		 	 	 	 	 	3.24		
1 Interest income includes loan fees of $43 million , $39 million , and $39 million for the three months ended September 30, 2018 , June 30, 2018 , and March 31, 2018 , respectively.
2 See Appendix A for additional information and reconcilements of non-U.S. GAAP performance measures. Approximately 95% of the total FTE adjustment for the three months ended September 30, 2018 , June 30, 2018 , and March 31, 2018 was attributed to C&I loans.
3 Net interest margin is calculated by dividing annualized Net interest income by average Total earning assets.

17

	
															
SunTrust Banks, Inc. and Subsidiaries
OTHER FINANCIAL DATA	 	 	 	 	 	 	 	
 	Three Months Ended	 	 	 	 	
 	March 31	 	(Decrease)/Increase	
(Dollars in millions) (Unaudited)	2019		2018	 	Amount	 	 % 5	
CREDIT DATA	 	 	 	 	 	 	 	
Allowance for credit losses, beginning of period		$1,684				$1,814		 		($130	)	 	(7	)%	
Benefit for unfunded commitments	(3	)		(10	)	 	7		 	(70	)	
Provision/(benefit) for loan losses:	 	 	 	 	 	 			
Commercial	84			(16	)	 	100		 	NM		
Consumer	72			54		 	18		 	33		
Total provision for loan losses	156			38		 	118		 	NM		
Charge-offs:	 	 	 	 	 	 	 	
Commercial	(33	)		(23	)	 	10		 	43		
Consumer	(92	)		(83	)	 	9		 	11		
Total charge-offs	(125	)		(106	)	 	19		 	18		
Recoveries:	 	 	 	 	 	 	 	
Commercial	5			6		 	(1	)	 	(17	)	
Consumer	23			21		 	2		 	10		
Total recoveries	28			27		 	1		 	4		
Net charge-offs	(97	)		(79	)	 	18		 	23		
Other 1	(31	)	 	—		 	31		 	NM		
Allowance for credit losses, end of period		$1,709				$1,763		 		($54	)	 	(3	)%	
Components:	 	 	 	 	 	 	 	
Allowance for loan and lease losses ("ALLL")		$1,643				$1,694		 		($51	)	 	(3	)%	
Unfunded commitments reserve	66			69		 	(3	)	 	(4	)	
Allowance for credit losses		$1,709		 		$1,763		 		($54	)	 	(3	)%	
Net charge-offs to average loans held for investment ("LHFI") (annualized):	 	 	 	 	 	 	 	
Commercial	0.14	%		0.09	%	 	0.05		 	56	 %	
Consumer	0.39			0.37		 	0.02		 	5		
Total net charge-offs to total average LHFI	0.26			0.22		 	0.04		 	18		
Period Ended	 	 	 	 	 	 	 	
Nonaccrual/nonperforming loans ("NPLs"):	 	 	 	 	 	 	 	
Commercial		$199		 		$262		 		($63	)	 	(24	)%	
Consumer	323		 	450		 	(127	)	 	(28	)	
Total nonaccrual/NPLs	522		 	712		 	(190	)	 	(27	)	
Other real estate owned ("OREO")	53		 	59		 	(6	)	 	(10	)	
Other repossessed assets	9		 	7		 	2		 	29		
Nonperforming loans held for sale ("nonperforming LHFS")	64		 	—		 	64		 	NM		
Total nonperforming assets ("NPAs")		$648		 		$778		 		($130	)	 	(17	)%	
Accruing restructured LHFI		$1,807		 		$2,476		 		($669	)	 	(27	)%	
Nonaccruing restructured LHFI 2	309		 	279		 	30		 	11		
Accruing LHFI past due > 90 days (guaranteed)	1,601		 	1,312		 	289		 	22		
Accruing LHFI past due > 90 days (non-guaranteed)	58		 	36		 	22		 	61		
Accruing LHFS past due > 90 days	2		 	3		 	(1	)	 	(33	)	
NPLs to period-end LHFI	0.34	%	 	0.50	%	 	(0.16	)	 	(32	)%	
NPAs to period-end LHFI plus OREO, other repossessed assets, and nonperforming LHFS	0.42		 	0.55		 	(0.13	)	 	(24	)	
ALLL to period-end LHFI 3, 4	1.06		 	1.19		 	(0.13	)	 	(11	)	
ALLL to NPLs 3, 4	3.17x		 	2.40x		 	0.77x		 	32		
 	 	 	 	 	 	 	 	
1 Represents the allowance for restructured loans transfered from LHFI to LHFS during the period in anticipation of sale in the second quarter of 2019.   
2 Nonaccruing restructured loans are included in total nonaccrual/NPLs.
3 This ratio is computed using the ALLL.
4 Loans measured at fair value were excluded from the calculation as no allowance is recorded for loans measured at fair value. The Company believes that this presentation more appropriately reflects the relationship between the ALLL and loans that attract an allowance.
5 "NM" - Not meaningful. Those changes over 100 percent were not considered to be meaningful.

18

	
																											
SunTrust Banks, Inc. and Subsidiaries
FIVE QUARTER OTHER FINANCIAL DATA	 	 	 	 	 	 	 	 	 	 	 	 	
 	Three Months Ended	 	 	 	 	 	Three Months Ended	
 	March 31	 	December 31	 	(Decrease)/Increase	 	September 30	 	June 30	 	March 31	
(Dollars in millions) (Unaudited)	2019	 	2018	 	Amount	 	 % 5	 	2018	 	2018	 	2018	
CREDIT DATA	 	 	 	 	 	 	 	 	 	 	 	 	 	
Allowance for credit losses, beginning of period		$1,684		 		$1,695		 		($11	)	 	(1	)%	 		$1,722		 		$1,763		 		$1,814		
(Benefit)/provision for unfunded commitments	(3	)	 	(3	)	 	—		 	—		 	—		 	3		 	(10	)	
Provision/(benefit) for loan losses:	 	 	 	 	 	 	 	 	 	 	 	 	 	
Commercial	84		 	49		 	35		 	71		 	36		 	17		 	(16	)	
Consumer	72		 	40		 	32		 	80		 	25		 	12		 	54		
Total provision for loan losses	156		 	89		 	67		 	75		 	61		 	29		 	38		
Charge-offs:	 	 	 	 	 	 	 	 	 	 	 	 	 	
Commercial	(33	)	 	(35	)	 	(2	)	 	(6	)	 	(51	)	 	(21	)	 	(23	)	
Consumer	(92	)	 	(88	)	 	4		 	5		 	(71	)	 	(80	)	 	(83	)	
Total charge-offs	(125	)	 	(123	)	 	2		 	2		 	(122	)	 	(101	)	 	(106	)	
Recoveries:	 	 	 	 	 	 	 	 	 	 	 	 	 	
Commercial	5		 	4		 	1		 	25		 	9		 	4		 	6		
Consumer	23		 	22		 	1		 	5		 	25		 	24		 	21		
Total recoveries	28		 	26		 	2		 	8		 	34		 	28		 	27		
Net charge-offs	(97	)	 	(97	)	 	—		 	—		 	(88	)	 	(73	)	 	(79	)	
Other 1	(31	)	 	—		 	31		 	NM		 	—		 	—		 	—		
Allowance for credit losses, end of period		$1,709		 		$1,684		 		$25		 	1	 %	 		$1,695		 		$1,722		 		$1,763		
Components:	 	 	 	 	 	 	 	 	 	 	 	 	 	
ALLL		$1,643		 		$1,615		 		$28		 	2	 %	 		$1,623		 		$1,650		 		$1,694		
Unfunded commitments reserve	66		 	69		 	(3	)	 	(4	)	 	72		 	72		 	69		
Allowance for credit losses		$1,709		 		$1,684		 		$25		 	1	 %	 		$1,695		 		$1,722		 		$1,763		
Net charge-offs to average LHFI (annualized):	 	 	 	 	 	 	 	 	 	 	 	 	 	
Commercial	0.14	%	 	0.15	%	 	(0.01	)	 	(7	)	 	0.22	%	 	0.09	%	 	0.09	%	
Consumer	0.39		 	0.37		 	0.02		 	5		 	0.27		 	0.34		 	0.37		
Total net charge-offs to total average LHFI	0.26		 	0.26		 	—		 	—		 	0.24		 	0.20		 	0.22		
Period Ended	 	 	 	 	 	 	 	 	 	 	 	 	 	
Nonaccrual/NPLs:	 	 	 	 	 	 	 	 	 	 	 	 	 	
Commercial		$199		 		$159		 		$40		 	25	 %	 		$299		 		$341		 		$262		
Consumer	323		 	367		 	(44	)	 	(12	)	 	396		 	414		 	450		
Total nonaccrual/NPLs	522		 	526		 	(4	)	 	(1	)	 	695		 	755		 	712		
OREO	53		 	54		 	(1	)	 	(2	)	 	52		 	53		 	59		
Other repossessed assets	9		 	9		 	—		 	—		 	7		 	6		 	7		
Nonperforming LHFS	64		 	—		 	64		 	NM		 	—		 	—		 	—		
Total NPAs		$648		 		$589		 		$59		 	10	 %	 		$754		 		$814		 		$778		
Accruing restructured LHFI		$1,807		 		$2,339		 		($532	)	 	(23	)%	 		$2,327		 		$2,418		 		$2,476		
Nonaccruing restructured LHFI 2	309		 	291		 	18		 	6		 	345		 	326		 	279		
Accruing LHFI past due > 90 days (guaranteed)	1,601		 	1,603		 	(2	)	 	—		 	1,440		 	1,201		 	1,312		
Accruing LHFI past due > 90 days (non-guaranteed)	58		 	49		 	9		 	18		 	42		 	41		 	36		
Accruing LHFS past due > 90 days	2		 	1		 	1		 	100		 	2		 	1		 	3		
NPLs to period-end LHFI	0.34	%	 	0.35	%	 	(0.01	)	 	(3	)%	 	0.47	%	 	0.52	%	 	0.50	%	
NPAs to period-end LHFI plus OREO, other repossessed assets, and nonperforming LHFS	0.42		 	0.39		 	0.03		 	8		 	0.51		 	0.56		 	0.55		
ALLL to period-end LHFI 3, 4	1.06		 	1.06		 	—		 	—		 	1.10		 	1.14		 	1.19		
ALLL to NPLs 3, 4	3.17x		 	3.10x		 	0.07x		 	2		 	2.35x		 	2.20x		 	2.40x		
 	 	 	 	 	 	 	 	 	 	 	 	 	 	
1 Represents the allowance for restructured loans transfered from LHFI to LHFS during the period in anticipation of sale in the second quarter of 2019.   
2 Nonaccruing restructured loans are included in total nonaccrual/NPLs.
3 This ratio is computed using the ALLL.
4 Loans measured at fair value were excluded from the calculation as no allowance is recorded for loans measured at fair value. The Company believes that this presentation more appropriately reflects the relationship between the ALLL and loans that attract an allowance.
5 "NM" - Not meaningful. Those changes over 100 percent were not considered to be meaningful.

19

	
												
SunTrust Banks, Inc. and Subsidiaries
OTHER FINANCIAL DATA, continued	 	 	 	 	 	
 	Three Months Ended March 31	
(Dollars in millions) (Unaudited)	Residential MSRs - Fair Value		Commercial Mortgage Servicing Rights and Other		Total	
OTHER INTANGIBLE ASSETS ROLLFORWARD	 	 	 	 	 	
Balance, beginning of period		$1,710				$81				$1,791		
Amortization	—			(5	)		(5	)	
Servicing rights originated	76			4			80		
Servicing rights purchased	74		 	—		 	74		
Fair value changes due to inputs and assumptions 1	111			—			111		
Other changes in fair value 2	(55	)		—			(55	)	
Balance, March 31, 2018		$1,916				$80				$1,996		
 	 	 	 	 	 	
Balance, beginning of period		$1,983				$79				$2,062		
Amortization	—			(3	)		(3	)	
Servicing rights originated	63			4			67		
Fair value changes due to inputs and assumptions 1	(110	)		—			(110	)	
Other changes in fair value 2	(52	)		—			(52	)	
Servicing rights sold	(1	)		—			(1	)	
Balance, March 31, 2019		$1,883				$80				$1,963		
1 Primarily reflects changes in discount rates and prepayment speed assumptions, due to changes in interest rates.
2 Represents changes due to the collection of expected cash flows, net of accretion, due to the passage of time.

	
															
 	Three Months Ended	
 	March 31	 	December 31	 	September 30	 	June 30	 	March 31	
(Shares in thousands) (Unaudited)	2019	 	2018	 	2018	 	2018	 	2018	
COMMON SHARES OUTSTANDING ROLLFORWARD	 	 	 	 	 	 	 	 	 	
Balance, beginning of period	446,888		 	458,626		 	465,199		 	469,708		 	470,931		
Common shares issued	1,404		 	165		 	471		 	402		 	3,615		
Repurchases of common stock	(4,579	)	 	(11,903	)	 	(7,044	)	 	(4,911	)	 	(4,838	)	
Balance, end of period	443,713		 	446,888		 	458,626		 	465,199		 	469,708		

20

	
																				
SunTrust Banks, Inc. and Subsidiaries
APPENDIX A TO THE EARNINGS RELEASE - RECONCILEMENT OF NON-U.S. GAAP MEASURES  1	
 	 	
 	Three Months Ended	
 	March 31	 	December 31	 	September 30	 	June 30	 	March 31	
(Dollars in millions) (Unaudited)	2019	 	2018	 	2018	 	2018	 	2018	
Net interest income		$1,544		 		$1,547		 		$1,512		 		$1,488		 		$1,441		
Fully taxable-equivalent ("FTE") adjustment	23		 	23		 	22		 	22		 	20		
Net interest income-FTE 2	1,567		 	1,570		 	1,534		 	1,510		 	1,461		
Noninterest income	784		 	818		 	782		 	829		 	796		
Total revenue-FTE 2		$2,351		 		$2,388		 		$2,316		 		$2,339		 		$2,257		
 	 	 	 	 	 	 	 	 	 	
Return on average common shareholders’ equity	10.06	 %	 	11.54	 %	 	13.01	 %	 	12.73	 %	 	11.23	 %	
Impact of removing average intangible assets and related pre-tax amortization, other than residential MSRs and other servicing rights	3.85		 	4.59		 	5.05		 	5.01		 	4.37		
Return on average tangible common shareholders' equity 3	13.91	%	 	16.13	%	 	18.06	%	 	17.74	%	 	15.60	%	
 	 	 	 	 	 	 	 	 	 	
Net interest margin	3.22	 %	 	3.22	 %	 	3.22	 %	 	3.23	 %	 	3.20	 %	
Impact of FTE adjustment	0.05		 	0.05		 	0.05		 	0.05		 	0.04		
Net interest margin-FTE 2	3.27	 %	 	3.27	 %	 	3.27	 %	 	3.28	 %	 	3.24	 %	
 	 	 	 	 	 	 	 	 	 	
Noninterest expense		$1,489		 		$1,482		 		$1,384		 		$1,390		 		$1,417		
Total revenue	2,328			2,365			2,294			2,317			2,237		
Efficiency ratio 4	63.97	%		62.66	%		60.34	%		59.98	%		63.35	%	
Impact of FTE adjustment	(0.62	)	 	(0.60	)	 	(0.58	)	 	(0.57	)	 	(0.58	)	
Efficiency ratio-FTE 2, 4	63.35		 	62.06		 	59.76		 	59.41		 	62.77		
Impact of excluding amortization related to intangible assets and certain tax credits	(0.65	)	 	(0.93	)	 	(0.82	)	 	(0.72	)	 	(0.66	)	
Tangible efficiency ratio-FTE 2, 5	62.70		 	61.13		 	58.94		 	58.69		 	62.11		
Impact of excluding merger-related costs as well as the legacy pension plan settlement charge	(1.92	)	 	(2.50	)	 	—		 	—		 	—		
Adjusted tangible efficiency ratio-FTE 2, 5, 6	60.78	%	 	58.63	%	 	58.94	%	 	58.69	%	 	62.11	%	
 	 	 	 	 	 	 	 	 	 	
1 Certain amounts in this schedule are presented net of applicable income taxes, calculated based on each subsidiary’s federal and state tax rates and are adjusted for any permanent differences.
2 The Company presents Net interest income-FTE, Total revenue-FTE, Net interest margin-FTE, Efficiency ratio-FTE, Tangible efficiency ratio-FTE, and Adjusted tangible efficiency ratio-FTE on a fully taxable-equivalent (“FTE”) basis. The FTE basis adjusts for the tax-favored status of Net interest income from certain loans and investments using a federal tax rate of 21% , as well as state income taxes where applicable to increase tax-exempt interest income to a taxable-equivalent basis. The Company believes this measure to be the preferred industry measurement of Net interest income and it enhances comparability of Net interest income arising from taxable and tax-exempt sources. Total revenue-FTE equals Net interest income-FTE plus Noninterest income.
3 The Company presents Return on average tangible common shareholders' equity, which removes the after-tax impact of purchase accounting intangible assets from average common shareholders' equity and removes related intangible asset amortization from Net income available to common shareholders. The Company believes this measure is useful to investors because, by removing the amount of intangible assets and related pre-tax amortization expense (the level of which may vary from company to company), it allows investors to more easily compare the Company’s return on average common shareholders' equity to other companies in the industry. The Company also believes that removing these items provides a more relevant measure of the return on the Company's common shareholders' equity. This measure is utilized by management to assess the profitability of the Company.
4 Efficiency ratio is computed by dividing Noninterest expense by Total revenue. Efficiency ratio-FTE is computed by dividing Noninterest expense by Total revenue-FTE.
5 The Company presents Tangible efficiency ratio-FTE and Adjusted tangible efficiency ratio-FTE, which remove the amortization related to intangible assets and certain tax credits from the calculation of Efficiency ratio-FTE. The Company believes these measures are useful to investors because, by removing the impact of amortization (the level of which may vary from company to company), it allows investors to more easily compare the Company’s efficiency to other companies in the industry. These measures are utilized by management to assess the efficiency of the Company and its lines of business.
6 The Company presents Adjusted tangible efficiency ratio-FTE, which removes the $45 million pre-tax impact of merger-related costs recognized in the first quarter of 2019 as well as the $60 million pre-tax impact of the legacy National Commerce Financial Corporation ("NCF") pension plan settlement charge recognized in the fourth quarter of 2018 from the calculation of Tangible efficiency ratio-FTE. The Company believes this measure is useful to investors because it is more reflective of normalized operations as it reflects results that are primarily client relationship and client transaction driven. Removing these items also allows investors to more easily compare the Company's tangible efficiency to other companies in the industry that may not have had similar items impacting their results. Additional detail on the Company's merger agreement with BB&T Corporation and the NCF pension plan settlement charge can be found in the Company's Annual Report on Form 10-K for the year ended December 31, 2018.

21

	
																				
SunTrust Banks, Inc. and Subsidiaries
APPENDIX A TO THE EARNINGS RELEASE - RECONCILEMENT OF NON-U.S. GAAP MEASURES, continued  1	
 	 	
 	March 31	 	December 31	 	September 30	 	June 30	 	March 31	
(Dollars in millions, except per share data) (Unaudited)	2019	 	2018	 	2018	 	2018	 	2018	
Total shareholders' equity		$24,823		 		$24,280		 		$24,139		 		$24,316		 		$24,269		
Goodwill, net of deferred taxes of $162 million, $160 million, $160 million, $159 million, and $159 million, respectively	(6,169	)	 	(6,171	)	 	(6,171	)	 	(6,172	)	 	(6,172	)	
Other intangible assets (including residential MSRs and other servicing rights)	(1,963	)	 	(2,062	)	 	(2,140	)	 	(2,036	)	 	(1,996	)	
Residential MSRs and other servicing rights	1,949		 	2,049		 	2,126		 	2,022		 	1,981		
Tangible equity 2	18,640		 	18,096		 	17,954		 	18,130		 	18,082		
Noncontrolling interest	(101	)	 	(103	)	 	(101	)	 	(103	)	 	(101	)	
Preferred stock	(2,025	)	 	(2,025	)	 	(2,025	)	 	(2,025	)	 	(2,025	)	
Tangible common equity 2		$16,514		 		$15,968		 		$15,828		 		$16,002		 		$15,956		
 	 	 	 	 	 	 	 	 	 	
Total assets		$220,425		 		$215,543		 		$211,276		 		$207,505		 		$204,885		
Goodwill	(6,331	)	 	(6,331	)	 	(6,331	)	 	(6,331	)	 	(6,331	)	
Other intangible assets (including residential MSRs and other servicing rights)	(1,963	)	 	(2,062	)	 	(2,140	)	 	(2,036	)	 	(1,996	)	
Residential MSRs and other servicing rights	1,949		 	2,049		 	2,126		 	2,022		 	1,981		
Tangible assets		$214,080		 		$209,199		 		$204,931		 		$201,160		 		$198,539		
Tangible equity to tangible assets 2	8.71	%	 	8.65	%	 	8.76	%	 	9.01	%	 	9.11	%	
Tangible common equity to tangible assets 2	7.71			7.63			7.72			7.96			8.04		
Tangible book value per common share 3		$37.22		 		$35.73		 		$34.51		 		$34.40		 		$33.97		
 	 	 	 	 	 	 	 	 	 	
1 Certain amounts in this schedule are presented net of applicable income taxes, calculated based on each subsidiary’s federal and state tax rates and are adjusted for any permanent differences.
2 The Company presents certain capital information on a tangible basis, including Tangible equity, Tangible common equity, the ratio of Tangible equity to tangible assets, and the ratio of Tangible common equity to tangible assets, which remove the after-tax impact of purchase accounting intangible assets from shareholders' equity. The Company believes these measures are useful to investors because, by removing the amount of intangible assets that result from merger and acquisition activity (the level of which may vary from company to company), it allows investors to more easily compare the Company’s capital adequacy to other companies in the industry. These measures are used by management to analyze capital adequacy and these measures are more consistent with regulatory capital definitions and calculations.
3 The Company presents Tangible book value per common share, which excludes the after-tax impact of purchase accounting intangible assets and also excludes Noncontrolling interest and Preferred stock from shareholders' equity. The Company believes this measure is useful to investors because, by removing the amount of intangible assets, noncontrolling interest, and preferred stock (the levels of which may vary from company to company), it allows investors to more easily compare the Company’s book value of common stock to other companies in the industry.

22

	
											
SunTrust Banks, Inc. and Subsidiaries
CONSUMER BUSINESS SEGMENT	
 	Three Months Ended	 	 	
 	March 31	 	 	
(Dollars in millions) (Unaudited)	2019	 	 2018 1	 	% Change	
Statements of Income:	 	 	 	 	 	
Net interest income		$1,076		 		$998		 	8	 %	
FTE adjustment	—		 	—		 	—		
Net interest income-FTE 2	1,076		 	998		 	8		
Provision for credit losses  3	83		 	58		 	43		
Net interest income-FTE - after provision for credit losses 2	993		 	940		 	6		
Noninterest income before net securities gains/(losses)	446		 	450		 	(1	)	
Net securities gains/(losses)	—		 	—		 	—		
Total noninterest income	446		 	450		 	(1	)	
Noninterest expense before amortization	1,017		 	1,001		 	2		
Amortization	—		 	—		 	—		
Total noninterest expense	1,017		 	1,001		 	2		
Income-FTE - before provision for income taxes 2	422		 	389		 	8		
Provision for income taxes	96		 	87		 	10		
Tax credit adjustment	—		 	—		 	—		
FTE adjustment	—		 	—		 	—		
Net income including income attributable to noncontrolling interest	326		 	302		 	8		
Less: Net income attributable to noncontrolling interest	—		 	—		 	—		
Net income		$326		 		$302		 	8	 %	
 	 	 	 	 	 	
Total revenue		$1,522		 		$1,448		 	5	 %	
Total revenue-FTE 2	1,522		 	1,448		 	5		
 	 	 	 	 	 	
Selected Average Balances:	 	 	 	 	 	
Total LHFI		$78,683		 		$74,840		 	5	 %	
Goodwill	4,390		 	4,262		 	3		
Other intangible assets excluding residential MSRs	2		 	3		 	(33	)	
Total assets	88,033		 	84,272		 	4		
Consumer and commercial deposits	112,245		 	109,469		 	3		
 	 	 	 	 	 	
Performance Ratios:	 	 	 	 	 	
Efficiency ratio	66.82	 %	 	69.16	 %	 	 	
Impact of FTE adjustment	—		 	—		 	 	
Efficiency ratio-FTE 2	66.82		 	69.16		 	 	
Impact of excluding amortization and associated funding cost of intangible assets	(1.18	)	 	(1.13	)	 	 	
Tangible efficiency ratio-FTE 2, 4	65.64	 %	 	68.03	 %	 	 	

1  	During the second quarter of 2018, certain of the Company's business banking clients were transferred from the Wholesale business segment to the Consumer business segment. For all periods prior to the second quarter of 2018, the corresponding financial results have been transferred to the Consumer business segment for comparability purposes.	
		
2  	Net interest income-FTE, Income-FTE, Total revenue-FTE, Efficiency ratio-FTE, and Tangible efficiency ratio-FTE are presented on a fully taxable-equivalent (“FTE”) basis. The FTE basis adjusts for the tax-favored status of Net interest income from certain loans and investments. The Company believes this measure to be the preferred industry measurement of Net interest income and it enhances comparability of Net interest income arising from taxable and tax-exempt sources. Total revenue-FTE equals Net interest income on an FTE basis plus Noninterest income.	
		
3  	Provision for credit losses represents net charge-offs by segment combined with an allocation to the segments for the provision attributable to quarterly changes in the Allowance for loan and lease losses and Unfunded commitment reserve balances.	
		
4  	A Tangible efficiency ratio is presented, which excludes the amortization related to intangible assets and certain tax credits. The Company believes this measure is useful to investors because, by removing the impact of amortization (the level of which may vary from company to company), it allows investors to more easily compare this segment's efficiency to other business segments and companies in the industry. This measure is utilized by management to assess the efficiency of the Company and its lines of business.	

23

	
											
SunTrust Banks, Inc. and Subsidiaries
CONSUMER BUSINESS SEGMENT, continued	 	 	 	 	 	
 	Three Months Ended	 	 	
 	March 31	 	 	
(Dollars in millions) (Unaudited)	2019	 	2018	 	% Change	
Residential Mortgage Production Data:	 	 	 	 	 	
Channel mix:	 	 	 	 	 	
Retail		$1,341		 		$1,700		 	(21	)%	
Correspondent	1,905		 	3,445		 	(45	)	
Total production		$3,246		 		$5,145		 	(37	)%	
Channel mix - percent:	 	 	 	 	 	
Retail	41	%	 	33	%	 	 	
Correspondent	59		 	67		 	 	
Total production	100	%	 	100	%	 	 	
Purchase and refinance mix:	 	 	 	 	 	
Refinance		$1,003		 		$1,884		 	(47	)%	
Purchase	2,243		 	3,261		 	(31	)	
Total production		$3,246		 		$5,145		 	(37	)%	
Purchase and refinance mix - percent:	 	 	 	 	 	
Refinance	31	%	 	37	%	 	 	
Purchase	69		 	63		 	 	
Total production	100	%	 	100	%	 	 	
Applications		$5,323		 		$7,016		 	(24	)%	
 	 	 	 	 	 	
Residential Mortgage Servicing Data (End of Period):	 	 	 	 	 	
Total unpaid principal balance ("UPB") of residential mortgages serviced		$169,260		 		$164,683		 	3	 %	
Total UPB of residential mortgages serviced for others	138,793		 	135,333		 	3		
Net carrying value of residential MSRs	1,883		 	1,916		 	(2	)	
Ratio of net carrying value of residential MSRs to total UPB of residential mortgages serviced for others	1.357	%	 	1.416	%	 	 	
 	 	 	 	 	 	
Assets Under Administration (End of Period):	 	 	 	 	 	
Trust and institutional managed assets		$44,924		 		$43,227		 	4	 %	
Retail brokerage managed assets	17,898		 	16,277		 	10		
Total managed assets	62,822		 	59,504		 	6		
Non-managed assets	98,051		 	97,387		 	1		
Total assets under advisement		$160,873		 		$156,891		 	3	 %	

24

	
											
SunTrust Banks, Inc. and Subsidiaries
WHOLESALE BUSINESS SEGMENT	
 	Three Months Ended	 	 	
 	March 31	 	 	
(Dollars in millions) (Unaudited)	2019		 2018  1	 	% Change 5	
Statements of Income:				 	 	
Net interest income		$546				$514		 	6	 %	
FTE adjustment	22			20		 	10		
Net interest income-FTE 2	568			534		 	6		
Provision/(benefit) for credit losses 3	70			(30	)	 	NM		
Net interest income-FTE - after provision/(benefit) for credit losses 2	498			564		 	(12	)	
Noninterest income before net securities gains/(losses)	364			340		 	7		
Net securities gains/(losses)	—			—		 	—		
Total noninterest income	364			340		 	7		
Noninterest expense before amortization	447			435		 	3		
Amortization	15			15		 	—		
Total noninterest expense	462			450		 	3		
Income-FTE - before provision for income taxes 2	400			454		 	(12	)	
Provision for income taxes	32			60		 	(47	)	
Tax credit adjustment	41		 	27		 	52		
FTE adjustment	22			20		 	10		
Net income including income attributable to noncontrolling interest	305			347		 	(12	)	
Less: Net income attributable to noncontrolling interest	—			—		 	—		
Net income		$305				$347		 	(12	)%	
 	 	 	 	 	 	
Total revenue		$910		 		$854		 	7	 %	
Total revenue-FTE 2	932			874		 	7		
 	 	 	 	 	 	
Selected Average Balances:	 	 	 	 	 	
Total LHFI		$75,488				$68,000		 	11	 %	
Goodwill	1,941			2,069		 	(6	)	
Other intangible assets excluding residential MSRs	78			77		 	1		
Total assets	90,122			81,726		 	10		
Consumer and commercial deposits	47,850			49,687		 	(4	)	
 	 	 	 	 	 	
Performance Ratios:	 	 	 	 	 	
Efficiency ratio	50.83	 %	 	52.70	 %	 	 	
Impact of FTE adjustment	(1.20	)	 	(1.20	)	 	 	
Efficiency ratio-FTE 2	49.63		 	51.50		 	 	
Impact of excluding amortization and associated funding cost of intangible assets	(2.24	)	 	(2.36	)	 	 	
Tangible efficiency ratio-FTE 2, 4	47.39	 %	 	49.14	 %	 	 	

1  	During the second quarter of 2018, certain of the Company's business banking clients were transferred from the Wholesale business segment to the Consumer business segment. For all periods prior to the second quarter of 2018, the corresponding financial results have been transferred to the Consumer business segment for comparability purposes.	
		
2  	Net interest income-FTE, Income-FTE, Total revenue-FTE, Efficiency ratio-FTE, and Tangible efficiency ratio-FTE are presented on a fully taxable-equivalent (“FTE”) basis. The FTE basis adjusts for the tax-favored status of Net interest income from certain loans and investments. The Company believes this measure to be the preferred industry measurement of Net interest income and it enhances comparability of Net interest income arising from taxable and tax-exempt sources. Total revenue-FTE equals Net interest income on an FTE basis plus Noninterest income.	
		
3  	Provision/(benefit) for credit losses represents net charge-offs by segment combined with an allocation to the segments for the provision/(benefit) attributable to quarterly changes in the Allowance for loan and lease losses and Unfunded commitment reserve balances.	
		
4  	A Tangible efficiency ratio is presented, which excludes the amortization related to intangible assets and certain tax credits. The Company believes this measure is useful to investors because, by removing the impact of amortization (the level of which may vary from company to company), it allows investors to more easily compare this segment's efficiency to other business segments and companies in the industry. This measure is utilized by management to assess the efficiency of the Company and its lines of business.	
		
5  	“NM” - Not meaningful. Those changes over 100 percent were not considered to be meaningful.	

25

	
											
SunTrust Banks, Inc. and Subsidiaries
TOTAL CORPORATE OTHER (including Reconciling Items)	
 	Three Months Ended	 	 	
 	March 31	 	 	
(Dollars in millions) (Unaudited)	2019	 	2018	 	 % Change 4	
Statements of Income:	 	 	 	 	 	
Net interest income/(expense) 1		($78	)	 		($71	)	 	(10	)%	
FTE adjustment	1		 	—		 	NM		
Net interest income/(expense)-FTE 2	(77	)	 	(71	)	 	(8	)	
Provision/(benefit) for credit losses 3	—		 	—		 	—		
Net interest income/(expense)-FTE - after provision/(benefit) for credit losses 2	(77	)	 	(71	)	 	(8	)	
Noninterest income/(expense) before net securities gains/(losses)	(26	)	 	5		 	NM		
Net securities gains/(losses)	—		 	1		 	(100	)	
Total noninterest income/(expense)	(26	)	 	6		 	NM		
Noninterest expense/(income) before amortization	10		 	(34	)	 	NM		
Amortization	—		 	—		 	—		
Total noninterest expense/(income)	10		 	(34	)	 	NM		
Income/(loss)-FTE - before provision/(benefit) for income taxes 2	(113	)	 	(31	)	 	NM		
Provision/(benefit) for income taxes	(24	)	 	—		 	NM		
Tax credit adjustment	(41	)	 	(27	)	 	(52	)	
FTE adjustment	1		 	—		 	NM		
Net income/(loss) including income attributable to noncontrolling interest	(49	)	 	(4	)	 	NM		
Less: Net income attributable to noncontrolling interest	2		 	2		 	—		
Net income/(loss)		($51	)	 		($6	)	 	NM		
 	 	 	 	 	 	
Total revenue		($104	)	 		($65	)	 	(60	)%	
Total revenue-FTE 2	(103	)	 	(65	)	 	(58	)	
 	 	 	 	 	 	
Selected Average Balances:	 	 	 	 	 	
Total LHFI		$87		 		$80		 	9	 %	
Securities available for sale	31,855		 	31,464		 	1		
Goodwill	—		 	—		 	—		
Other intangible assets excluding residential MSRs	(1	)	 	—		 	NM		
Total assets	39,248		 	38,134		 	3		
Consumer and commercial deposits	(174	)	 	13		 	NM		
 	 	 	 	 	 	
Other Information (End of Period):	 	 	 	 	 	
Duration of securities available for sale portfolio (in years)	4.2		 	4.7		 	 	
Net interest income interest rate sensitivity:	 	 	 	 	 	
% Change in net interest income under:	 	 	 	 	 	
Instantaneous 200 basis point increase in rates over next 12 months	3.0	 %	 	3.1	 %	 	 	
Instantaneous 100 basis point increase in rates over next 12 months	1.6	 %	 	1.7	 %	 	 	
Instantaneous 50 basis point decrease in rates over next 12 months	(1.3	)%	 	(1.1	)%	 	 	
 	 	 	 	 	 	
1 Net interest income/(expense) is driven by matched funds transfer pricing applied for segment reporting and actual Net interest income.
		
2  	Net interest income/(expense)-FTE, Income/(loss)-FTE, and Total revenue-FTE are presented on a fully taxable-equivalent (“FTE”) basis. The FTE basis adjusts for the tax-favored status of Net interest income from certain loans and investments. The Company believes this measure to be the preferred industry measurement of Net interest income and it enhances comparability of Net interest income arising from taxable and tax-exempt sources. Total revenue-FTE equals Net interest income on an FTE basis plus Noninterest income.	
		
3  	Provision/(benefit) for credit losses represents net charge-offs by segment combined with an allocation to the segments for the provision/(benefit) attributable to quarterly changes in the Allowance for loan and lease losses and Unfunded commitments reserve balances.	
		
4  	“NM” - Not meaningful. Those changes over 100 percent were not considered to be meaningful.	

26

	
											
SunTrust Banks, Inc. and Subsidiaries
CONSOLIDATED SEGMENT TOTALS	 	 	 	 	 	
 	Three Months Ended	 	 	
 	March 31	 	 	
(Dollars in millions) (Unaudited)	2019	 	2018	 	% Change 2	
Statements of Income:	 	 	 	 	 	
Net interest income		$1,544		 		$1,441		 	7	 %	
FTE adjustment	23		 	20		 	15		
Net interest income-FTE 1	1,567		 	1,461		 	7		
Provision for credit losses	153		 	28		 	NM		
Net interest income-FTE - after provision for credit losses 1	1,414		 	1,433		 	(1	)	
Noninterest income before net securities gains/(losses)	784		 	795		 	(1	)	
Net securities gains/(losses)	—		 	1		 	(100	)	
Total noninterest income	784		 	796		 	(2	)	
Noninterest expense before amortization	1,474		 	1,402		 	5		
Amortization	15		 	15		 	—		
Total noninterest expense	1,489		 	1,417		 	5		
Income-FTE - before provision for income taxes 1	709		 	812		 	(13	)	
Provision for income taxes	104		 	147		 	(29	)	
Tax credit adjustment	—		 	—		 	—		
FTE adjustment	23		 	20		 	15		
Net income including income attributable to noncontrolling interest	582		 	645		 	(10	)	
Less: Net income attributable to noncontrolling interest	2		 	2		 	—		
Net income		$580		 		$643		 	(10	)%	
 	 	 	 	 	 	
Total revenue		$2,328		 		$2,237		 	4	 %	
Total revenue-FTE 1	2,351		 	2,257		 	4		
 	 	 	 	 	 	
Selected Average Balances:	 	 	 	 	 	
Total LHFI		$154,258		 		$142,920		 	8	 %	
Goodwill	6,331		 	6,331		 	—		
Other intangible assets excluding residential MSRs	79		 	80		 	(1	)	
Total assets	217,403		 	204,132		 	7		
Consumer and commercial deposits	159,921		 	159,169		 	—		
 	 	 	 	 	 	
Performance Ratios:	 	 	 	 	 	
Efficiency ratio	63.97	 %	 	63.35	 %	 	 	
Impact of FTE adjustment	(0.62	)	 	(0.58	)	 	 	
Efficiency ratio-FTE 1	63.35		 	62.77		 	 	
Impact of excluding amortization and associated funding cost of intangible assets	(0.65	)	 	(0.66	)	 	 	
Tangible efficiency ratio-FTE 1	62.70	 %	 	62.11	 %	 	 	

1  	Net interest income-FTE, Income-FTE, Total revenue-FTE, Efficiency ratio-FTE, and Tangible efficiency ratio-FTE are presented on a fully taxable-equivalent (“FTE”) basis. The FTE basis adjusts for the tax-favored status of Net interest income from certain loans and investments. See Appendix A for additional information and reconcilements of non-U.S. GAAP performance measures.	
		
2  	“NM” - Not meaningful. Those changes over 100 percent were not considered to be meaningful.	

27

1Q 19 EARNINGS PRESENTATION April 18, 2019 © 2019 SunTrust Banks, Inc. SunTrust is a federally registered trademark of SunTrust Banks, Inc.

 

IMPORTANT CAUTIONARY STATEMENT This presentation should be read in conjunction with the financial statements, notes and other information contained in the Company’s 2018 Annual Report on Form 10-K, Quarterly Reports on Form 10-Q, and Current Reports on Form 8-K. Non-GAAP Financial Measures This presentation includes non-GAAP financial measures to describe SunTrust’s performance. The reconciliations of those measures to GAAP measures are provided within or in the appendix of this presentation beginning on slide 21. In this presentation, consistent with Securities and Exchange Commission Industry Guide 3, the Company presents total revenue, net interest income, net interest margin, and efficiency ratios on a fully taxable equivalent (“FTE”) and annualized basis. The FTE basis adjusts for the tax-favored status of net interest income from certain loans and investments using applicable federal and state income tax rates to increase tax-exempt interest income to a taxable-equivalent basis. The Company believes this measure to be the preferred industry measurement of net interest income, and it enhances comparability of net interest income arising from taxable and tax-exempt sources. Total revenue-FTE equals net interest income-FTE plus noninterest income. The Company presents the following additional non-GAAP measures because many investors find them useful. Specifically: • The Company presents certain capital information on a tangible basis, including tangible equity, tangible common equity, tangible book value per share, and return on average tangible common equity. These measures exclude the after-tax impact of purchase accounting intangible assets. The Company believes these measures are useful to investors because, by removing the effect of intangible assets that results from merger and acquisition activity (the level of which may vary from company to company), it allows investors to more easily compare the Company’s capital adequacy to other companies in the industry. These measures are used by management to analyze the capital adequacy and profitability of the Company. • Similarly, the Company presents Efficiency ratio-FTE, Tangible efficiency ratio-FTE, Adjusted efficiency ratio-FTE and Adjusted tangible efficiency ratio-FTE. The efficiency ratio is computed by dividing Noninterest expense by Total revenue. Efficiency ratio-FTE is computed by dividing Noninterest expense by Total revenue-FTE. Tangible efficiency ratio-FTE excludes the amortization related to intangible assets and certain tax credits. The Company believes this measure is useful to investors because, by removing the impact of amortization (the level of which may vary from company to company), it allows investors to more easily compare the Company’s efficiency to other companies in the industry. Adjusted efficiency ratio-FTE and adjusted tangible efficiency ratio-FTE remove the pre-tax impact of Form 8-K items announced on December 4, 2017 and the impacts of tax reform-related items or other income or expense items that are material and potentially non-recurring from the calculation of Efficiency ratio-FTE and Tangible efficiency ratio-FTE, respectively. The Company believes these measures are useful to investors because they are more reflective of normalized operations as they reflect results that are primarily client relationship and client transaction driven. These measures are utilized by management to assess the efficiency of the Company and its lines of business. • The Company presents the Basel III Common Equity Tier 1 (CET1) ratio, on a fully phased-in basis on slide 15. For December 31, 2017 and prior, fully-phased-in ratios considered a 250% risk-weighting for MSRs and deduction from capital of certain carryforward DTAs, the overfunded pension asset, and other intangible assets. For March 31, 2018 and later, the fully-phased-in ratio considers a 250% risk-weighting for MSRs, as contemplated in the FRB’s ‘Simplifications’ NPR. The Company believes this measure is useful to investors who wish to understand the impact of potential future regulatory requirements. Important Cautionary Note about Forward-Looking Statements This presentation contains forward-looking statements. Statements regarding (i) future levels of net interest margin, merger-related costs, effective income tax rates, efficiency ratios (including after the proposed merger with BB&T), net charge-off ratio, ALLL ratio, deposit mix shift, deposit costs, and capital ratios, (ii) the income statement impact of the sale of certain TDR portfolios in April 2019, (iii) the benefits and effects of our proposed merger with BB&T, including the future earnings potential of the combined company, the cost synergies to be achieved, the capacity to invest in technology, talent and innovation, and the combined company’s culture, (iv) the financial performance of SunTrust in 2019, (v) growth opportunities in our Wholesale segment, (vi) the benefits of various technology implementations, (vii) the optimism of clients about the economy and their commitments to making ongoing investments, (viii) the future growth, success and market share of our investment banking business and (ix) and potential preferred stock issuances, are forward- looking statements. Also, any statement that does not describe historical or current facts is a forward-looking statement. These statements often include the words “believes,” “expects,” “anticipates,” “estimates,” “intends,” “forecast”, “goals”, “plans,” “targets,” “initiatives,” “opportunity,” “focus”, “potentially,” “probably,” “projects,” “outlook,” or similar expressions or future conditional verbs such as “may,” “will,” “should,” “would,” and “could". Forward-looking statements are based on the current beliefs and expectations of management and on information currently available to management. Such statements speak as of the date of this presentation, and we do not assume any obligation to update such statements or to update the reasons why actual results could differ from those contained in such statements in light of new information or future events. Forward-looking statements are subject to significant risks and uncertainties. Investors are cautioned against placing undue reliance on such statements. Actual results may differ materially from those set forth in the forward-looking statements. Factors that could cause actual results to differ materially from those described in the forward-looking statements can be found in Part I, Item 1A., “Risk Factors,” in our Annual Report on Form 10-K for the year ended December 31, 2018 and in other periodic reports that we file with the SEC. Those factors include: failure to complete the merger with BB&T (the “Merger”) could negatively impact our stock price and our future business and financial results; we will be subject to uncertainties while the Merger is pending, which could adversely affect our business; the Merger Agreement may be terminated in accordance with its terms and the Merger may not be completed; because the market price of BB&T Common Stock may fluctuate, our shareholders cannot be certain of the precise value of the merger consideration they may receive in the Merger; our ability to complete the Merger is subject to the receipt of approval from various federal and state regulatory agencies, which may impose conditions that could adversely affect us or cause the Merger to be abandoned; shareholder litigation could prevent or delay the closing of the proposed Merger or otherwise negatively impact our business and operations; current or future legislation or regulation could require us to change our business practices, reduce revenue, impose additional costs, or otherwise adversely affect business operations or competitiveness; we are subject to stringent capital adequacy and liquidity requirements and our failure to meet these would adversely affect our financial condition; the monetary and fiscal policies of the federal government and its agencies could have a material adverse effect on our earnings; our financial results have been, and may continue to be, materially affected by general economic conditions, and a deterioration of economic conditions or of the financial markets may materially adversely affect our lending activity and other businesses, as well as our financial condition and results; changes in market interest rates or capital markets could adversely affect our revenue and expenses, the value of assets and obligations, as well as the availability and cost of capital and liquidity; interest rates on our outstanding and future financial instruments might be subject to change based on regulatory developments, which could adversely affect our revenue, expenses, and the value of those financial instruments; our earnings may be affected by volatility in mortgage production and servicing revenues, and by changes in carrying values of our servicing assets and mortgages held for sale due to changes in interest rates; disruptions in our ability to access global capital markets and other sources of wholesale funding may adversely affect our capital resources and liquidity; we are subject to credit risk; we may have more credit risk and higher credit losses to the extent that our loans are concentrated by loan type, industry segment, borrower type, or location of the borrower or collateral; we rely on the mortgage secondary market and GSEs for some of our liquidity; loss of customer deposits could increase our funding costs; any reduction in our credit rating could increase the cost of our funding from the capital markets; we are subject to litigation, and our expenses related to this litigation may adversely affect our results; we may incur fines, penalties and other negative consequences from regulatory violations, possibly even inadvertent or unintentional violations; we are subject to certain risks related to originating and selling mortgages and may be required to repurchase mortgage loans or indemnify mortgage loan purchasers as a result of breaches of representations and warranties, or borrower fraud, and this could harm our liquidity, results of operations, and financial condition; we face risks as a servicer of loans; consumers and small businesses may decide not to use banks to complete their financial transactions, which could affect our revenue; we have businesses other than banking which subject us to a variety of risks; negative public opinion could damage our reputation and adversely impact business and revenues; we may face more intense scrutiny of our sales, training, and incentive compensation practices; we rely on other companies to provide key components of our business infrastructure; competition in the financial services industry is intense and we could lose business or suffer margin declines as a result; we continually encounter technological change and must effectively develop and implement new technology; maintaining or increasing market share depends on market acceptance and regulatory approval of new products and services; we have in the past and may in the future pursue acquisitions, which could affect costs and from which we may not be able to realize anticipated benefits; we depend on the expertise of key personnel, and if these individuals leave or change their roles without effective replacements, operations may suffer; we may not be able to hire or retain additional qualified personnel and recruiting and compensation costs may increase as a result of changes in the marketplace, both of which may increase costs and reduce profitability and may adversely impact our ability to implement our business strategies; our framework for managing risks may not be effective in mitigating risk and loss to us; our controls and procedures may not prevent or detect all errors or acts of fraud; we are at risk of increased losses from fraud; our operational or communications systems or infrastructure may fail or may be the subject of a breach or cyber-attack that, if successful, could adversely affect our business or disrupt business continuity; a disruption, breach, or failure in the operational systems or infrastructure of our third party vendors or other service providers, including as a result of cyber-attacks, could adversely affect our business; natural disasters and other catastrophic events could have a material adverse impact on our operations or our financial condition and results; the soundness of other financial institutions could adversely affect us; we depend on the accuracy and completeness of information about clients and counterparties; our accounting policies and processes are critical to how we report our financial condition and results of operation, and they require management to make estimates about matters that are uncertain; depressed market values for our stock and adverse economic conditions sustained over a period of time may require us to write down all or some portion of our goodwill; our stock price can be volatile; we might not pay dividends on our stock; our ability to receive dividends from our subsidiaries or other investments could affect our liquidity and ability to pay dividends; and certain banking laws and certain provisions of our articles of incorporation may have an anti-takeover effect. 2

 

IMPORTANT CAUTIONARY STATEMENT (CONT.) Additional Information about the Merger and Where to Find It In connection with the Company’s proposed merger with BB&T, BB&T has filed with the SEC a registration statement on Form S-4 to register the shares of BB&T’s capital stock to be issued in connection with the merger. The registration statement includes a joint proxy statement/prospectus, which will be sent to the shareholders of BB&T and SunTrust seeking their approval of the proposed transaction. INVESTORS AND SECURITY HOLDERS ARE URGED TO READ THE REGISTRATION STATEMENT ON FORM S-4, THE JOINT PROXY STATEMENT/PROSPECTUS INCLUDED WITHIN THE REGISTRATION STATEMENT ON FORM S-4 AND ANY OTHER RELEVANT DOCUMENTS FILED OR TO BE FILED WITH THE SEC IN CONNECTION WITH THE PROPOSED TRANSACTION BECAUSE THESE DOCUMENTS DO AND WILL CONTAIN IMPORTANT INFORMATION ABOUT BB&T, SUNTRUST, AND THE PROPOSED TRANSACTION. Investors and security holders may obtain copies of these documents free of charge through the website maintained by the SEC at www.sec.gov or from BB&T at its website, www.bbt.com, or from SunTrust at its website, www.suntrust.com. Documents filed with the SEC by BB&T will be available free of charge by accessing BB&T’s website at http://bbt.com/ under the tab “About BB&T” and then under the heading “Investor Relations” or, alternatively, by directing a request by telephone or mail to BB&T Corporation, 200 West Second Street, Winston-Salem, North Carolina 27101, (336) 733-3065, and documents filed with the SEC by SunTrust will be available free of charge by accessing SunTrust’s website at http://suntrust.com/ under the tab “Investor Relations,” and then under the heading “Regulatory and Legal” or, alternatively, by directing a request by telephone or mail to SunTrust Banks, Inc., 303 Peachtree Street, N.E., Atlanta, Georgia 30308, (877) 930-8971. Participants in the Solicitation BB&T, SunTrust and certain of their respective directors and executive officers may be deemed to be participants in the solicitation of proxies from the shareholders of BB&T and SunTrust in connection with the proposed transaction under the rules of the SEC. Certain information regarding the interests of these participants and a description of their direct and indirect interests, by security holdings or otherwise, are included in the joint proxy statement/prospectus regarding the proposed transaction and will be included in other relevant materials to be filed with the SEC when they become available. Additional information about BB&T, and its directors and executive officers, may be found in the definitive proxy statement of BB&T relating to its 2019 Annual Meeting of Shareholders filed with the SEC, and other documents filed by BB&T with the SEC. Additional information about SunTrust, and its directors and executive officers, may be found in the definitive proxy statement of SunTrust relating to its 2019 Annual Meeting of Shareholders filed with the SEC, and other documents filed by SunTrust with the SEC. These documents can be obtained free of charge from the sources described above. 3

 

1Q 19 EPS OVERVIEW1 Quarterly & YoY Trends Merger-Related Costs $1.56 $1.49 $1.33 $1.40 $0.09 $1.29 $1.24 1Q 18 2Q 18 3Q 18 4Q 18 1Q 19 Solid Overall Continued Improvements Asset Quality & Capital Earnings in Profitability Remain Strengths • Reported EPS includes $0.09 merger-related • Continued efficiency progress • NCO ratio: 0.26% | NPL ratio: 0.34% costs; excluding this, EPS is $1.33 (up 3% YoY) → 1Q 19 reported efficiency ratio: 63.4%; → Strong asset quality performance → Sequential decline driven by higher adjusted tangible efficiency ratio (TER): reflects favorable operating provision expense and seasonal declines in 60.8%2 (excludes merger costs) environment and consistent noninterest income → Achieved 130 bps YoY improvement in underwriting discipline → Average loans up 3%, driven by broad- adjusted TER • 9.1% Basel III CET1 ratio based growth across most portfolios • Strong returns: ROE of 10.1%; ROTCE of 13.9%3 → Share repurchases suspended until proposed merger with BB&T closes → Excluding merger costs, ROTCE of 14.9% 1. All commentary reflects sequential (4Q 18 to 1Q 19) trends, unless otherwise noted. Total revenue, net interest income, efficiency ratio, and tangible efficiency ratio are reported on a fully-taxable equivalent (FTE) basis. Please refer to slide 21 of this presentation and page 21 of the earnings press release for GAAP reconciliations 4 2. Please refer to slide 21 for GAAP reconciliations 3. Please refer to page 21 of the earnings press release for GAAP reconciliations

 

NET INTEREST INCOME1 Net interest income (FTE) up 7% YoY ($ in millions) Prior Quarter Variance $1,570 $1,567 $1,534 • Net interest income (FTE) stable as strong loan $1,510 growth was offset by two fewer days in the quarter $1,461 • Net interest margin (FTE) stable 3.28% 3.27% 3.27% 3.27% → Benefit of December rate increase offset by 3.24% increased wholesale funding, given strong loan growth Prior Year Variance $1,547 $1,544 $1,488 $1,512 • Net interest income (FTE) increased $106 million, $1,441 or 7%, driven by NIM expansion and 8% average loan growth • Net interest margin (FTE) increased 3 bps, as a result of higher loan yields due to increases in short-term rates and positive mix shift, partially offset by higher funding costs 1Q 18 2Q 18 3Q 18 4Q 18 1Q 19 2 Net Interest Income Net Interest Income (FTE) NIM (FTE) 1. On this slide, net interest income is reported both on an unadjusted and fully taxable-equivalent (“FTE”) basis. The FTE basis adjusts for the tax-favored status of income from certain loans and investments. SunTrust believes this measure to be the preferred industry measurement of net interest income and provides relevant comparison between taxable and non-taxable amounts. Net interest margin (FTE) is calculated as net 5 interest income (FTE) divided by average earning assets (on an annualized basis). Please refer to page 21 of the earnings press release for a reconciliation of net interest margin to net interest margin (FTE) 2. Please refer to slide 21 for a reconciliation of net interest income to net interest income (FTE)

 

NONINTEREST INCOME Noninterest income pressured as a result of seasonality and market conditions ($ in millions) Prior Quarter Variance • Noninterest income decreased $34 million, or 4%, driven by: → $44 million decline in commercial real estate- related income due to seasonality → $16 million decline in investment banking income due to market conditions → Partially offset by a $36 million increase in trading income and a $15 million increase in $829 $818 mortgage-related income $796 $784 $782 Prior Year Variance • Noninterest income decreased $12 million, or 2% → 1Q 18 included a $23 million discrete gain related to a FinTech equity investment (other noninterest income) 1Q 18 2Q 18 3Q 18 4Q 18 1Q 19 6

 

NONINTEREST EXPENSE Continued focus on disciplined expense management ($ in millions) $1,489 $1,482 Prior Quarter Variance $60 $45 • Excluding non-core items, expenses increased $22 million, or 2% → Core employee compensation and benefits increased $27 million due to seasonality → Partially offset by lower operating losses Prior Year Variance $1,444 $1,417 $1,390 $1,384 $1,422 • Excluding non-core items, expenses increased $27 million, or 2% → 1Q 18 included $10 million net benefit from the progression of certain legal matters (operating losses) → Increase in outside processing and software costs offset by lower compensation expense 1Q 18 2Q 18 3Q 18 4Q 18 1Q 19 Non-core items1 7 1. Non-core items refers to $60 million pension settlement charge in 4Q 18 and $45 million in merger-related costs in 1Q 19. Please refer to slide 21 for a reconciliation of reported noninterest expense to adjusted noninterest expense

 

EFFICIENCY RATIO & TANGIBLE EFFICIENCY RATIO1  130 bps YoY improvement in adjusted TER  On track to achieve standalone medium-term TER Target  Proposed merger of equals with BB&T provides significantly more opportunity 5-Quarter Trends Annual Trends 72.0% 62.8% 61.4% 59.4% 59.8% 59.6% 67.4% 65.6% 63.7% 63.1% 62.6% 61.9% 60.3% 71.5% 62.1% 60.8% 58.7% 58.9% 58.6% 66.9% 65.3% 63.3% 62.6% 62.0% 61.0% 59.6% 56-58% 2 2 2 2 2 2 2 1Q 18 2Q 18 3Q 18 4Q 18 1Q 19 2011 2012 2013 2014 2015 2016 2017 2018 Medium- Term Standalone Efficiency Ratio (FTE) Tangible Efficiency Ratio (FTE) TER Target 1. The efficiency ratio and tangible efficiency ratio are reported on fully taxable-equivalent (“FTE”) basis. The FTE basis adjusts net interest income for the tax-favored status of income from certain loans and investments. Unadjusted net interest income can be found on slide 4. Please refer to slide 21 for the reconciliation to the GAAP efficiency ratio 8 2. 2012, 2013, 2014, 2017, 2018, 4Q 18, and 1Q 19 values represent the adjusted efficiency ratio and adjusted tangible efficiency ratio. Adjusted figures are intended to provide management and investors information on trends that are more comparable across periods and potentially more comparable across institutions. Please refer to slide 21 for reconciliations related to the GAAP efficiency ratio

 

CREDIT QUALITY Asset quality continues to be very strong ($ in millions) Net Charge-offs Nonperforming Loans  NCO and NPL ratios remain well below historical averages; reflects favorable operating environment and consistent underwriting discipline NCOs Total NCO Ratio (annualized) NPLs Total NPL Ratio $755 $712 $695 $97 $97 $88 $526 $522 $79 $73 0.24% 0.26% 0.26% 0.22% 0.20% 0.50% 0.52% 0.47% 0.35% 0.34% 1Q 18 2Q 18 3Q 18 4Q 18 1Q 19 1Q 18 2Q 18 3Q 18 4Q 18 1Q 19 Allowance for Loan and Lease Losses (ALLL) Provision for Credit Losses  Sequential increase in provision driven by strong loan growth and stable ALLL ratio (versus ALLL ratio declines in prior quarters) ALLL ALLL Ratio $1,694 $153 $1,650 $1,623 $1,615 $1,643 1.19% $87 1.14% 1.10% 1.06% 1.06% $61 $28 $32 1Q 18 2Q 18 3Q 18 4Q 18 1Q 19 1Q 18 2Q 18 3Q 18 4Q 18 1Q 19 9

 

BALANCE SHEET ($ in billions) ($ in billions, average balances) Average Performing Loans Average Client Deposits $159.2 $159.0 $159.3 $161.6 $159.9 $149.1 $153.7 $6.6 $6.8 $6.7 $6.5 $6.6 $142.2 $143.4 $145.2 $13.1 $13.9 $14.8 $15.4 $15.7 $32.7 $29.0 $29.2 $30.0 $31.3 $46.6 $45.3 $45.3 $47.4 $48.3 $38.4 $38.0 $37.7 $37.9 $38.3 $42.3 $43.0 $42.6 $42.3 $40.1 $75.2 $76.5 $77.4 $79.4 $82.6 $50.5 $49.8 $49.9 $49.9 $49.2 1Q 18 2Q 18 3Q 18 4Q 18 1Q 19 1Q 18 2Q 18 3Q 18 4Q 18 1Q 19 Commercial Residential Consumer Money Market DDA (Nonint bearing) NOW Time Savings Prior Quarter Variance Prior Quarter Variance • Average performing loans up 3%, driven by broad-based • Average client deposits down 1% (largely due to seasonal growth across most portfolios decline in public funds) → C&I up 4% | consumer indirect up 7% | CRE up 8% | • Interest-bearing deposit costs up 9 bps consumer direct up 4% → Compares to prior quarter increase of 10 bps Prior Year Variance Prior Year Variance • Average performing loans up 8%, driven by growth in C&I, • Average client deposits stable; mix shift towards higher CRE, and consumer direct, partially offset by declines in cost deposits home equity and commercial construction → $2.6 billion increase in time deposits offset by declines in noninterest bearing deposits and money market 10 Note: Totals may not foot due to rounding

 

CAPITAL POSITION Basel III Common Equity Tier 1 Ratio1 Basel III Tier 1 Capital Ratio1 11.0% 10.9% 10.7% 10.3% 10.2% 9.8% 9.7% 9.6% 9.2% 9.1% 1Q 18 2Q 18 3Q 18 4Q 18 1Q 19 1Q 18 2Q 18 3Q 18 4Q 18 1Q 19 Book Value / Tangible Book Value Per Share2 $49.57 $51.15 $47.14 $47.70 $48.00 $37.22 $35.73 $33.97 $34.40 $34.51 1Q 18 2Q 18 3Q 18 4Q 18 1Q 19 Book Value Per Share Tangible Book Value Per Share 11 1. Current quarter amounts are estimated at the time of this presentation and are subject to revision 2. Please refer to slide 22 for the reconciliation of book value per share to tangible book value per share

 

CONSUMER SEGMENT HIGHLIGHTS %Δ %Δ Prior Quarter Variance ($ in millions) 1Q 18 4Q 18 1Q 19 Prior Qtr Prior Yr Net Interest Income $998 $1,077 $1,076 (0%) 8% • Total revenue declined 1% → Loan growth momentum continues, partially Noninterest Income 450 457 446 (2%) (1%) offset by fewer days, lower service charges Total Revenue 1,448 1,534 1,522 (1%) 5% (seasonal), and wealth management-related Provision for Credit Losses 58 46 83 NM NM income (market conditions) • Ongoing expense discipline and improved operating Noninterest Expense 1,001 1,035 1,017 (2%) 2% losses drives 2% reduction in expenses Net Income $302 $351 $326 (7%) 8% Prior Year Variance Key Statistics ($ in billions) • Strong, broad-based balance sheet growth Total Loans (average) $74.8 $77.0 $78.7 2% 5% improves the Company’s overall loan mix and Client Deposits (average) $109.5 $112.2 $112.2 0% 3% provides attractive funding Managed Assets $59.5 $58.6 $62.8 7% 6% → 5% loan growth driven across most products Full-Service Branches 1,236 1,218 1,152 (5%) (7%) → 3% deposit growth driven by CD growth • Continued expense discipline drives 230 bp Efficiency Ratio¹ 69.2% 67.5% 66.8% improvement in efficiency ratio, creating capacity Tangible Efficiency Ratio¹ 68.0% 66.3% 65.6% for investments in digital platform Mortgage Data: → Branches down 7% Servicing Portfolio for Others $135.3 $140.8 $138.8 (1%) 3% → Mobile deposits up 9% Production Volume $5.1 $4.9 $3.2 (34%) (37%) → SmartGUIDE adoption: 82% → LightStream received two recognitions from Application Volume $7.0 $5.5 $5.3 (3%) (24%) NerdWallet for Best Personal Loan • Strong bottom-line results → 5% revenue growth, combined with 2% expense growth, results in 13% growth in pre- provision net revenue and 8% increase in net income 12 Note: NM = not meaningful 1. Please refer to page 23 of the earnings press release for a reconciliation of efficiency ratio to tangible efficiency ratio

 

WHOLESALE SEGMENT HIGHLIGHTS %Δ %Δ Prior Quarter Variance ($ in millions) 1Q 18 4Q 18 1Q 19 Prior Qtr Prior Yr Net Interest Income (FTE) $534 $584 $568 (3%) 6% • Loan growth momentum continues, partially offset by fewer days and seasonally lower deposits Noninterest Income 340 410 364 (11%) 7% • Noninterest income trends impacted by Total Revenue (FTE) 874 994 932 (6%) 7% investment banking (market conditions) and CRE- Provision/(Benefit) for Credit Losses (30) 41 70 NM NM related income (seasonal) Noninterest Expense 450 405 462 14% 3% • Expenses up primarily due to seasonal increases in Net Income $347 $418 $305 (27%) (12%) employee compensation and benefits Key Statistics ($ in billions) Prior Year Variance Total Loans (average) $68.0 $72.6 $75.5 4% 11% • 7% revenue growth coupled with strong expense Client Deposits (average) $49.7 $49.6 $47.9 (4%) (4%) discipline drives 11% growth in pre-provision net revenue Efficiency Ratio (FTE)¹ 51.5% 40.7% 49.6% → 190 bps improvement in efficiency ratio Tangible Efficiency Ratio (FTE)¹ 49.1% 38.0% 47.4% (FTE) • 11% loan growth and 7% growth in noninterest income validates success of advice-driven model, differentiated value proposition, and investments in growth → Expansion markets, aging services vertical, CRE capabilities, and capital markets revenues from non-CIB clients continue to be contributors to growth → Received four Greenwich Awards for Middle Market Banking • Increase in provision driven by strong loan growth and stable ALLL ratio (versus declines in prior quarters) → Asset quality remains very strong: 10 bps 13 Note: NM = not meaningful NCO ratio in 1Q 19 1. Please refer to page 25 of the earnings press release for a reconciliation of efficiency ratio to tangible efficiency ratio

 

Merger of Equals Update Highly Synergistic; Financially Compelling; Transformative Momentum Established Next Steps  New Executive Management Team (E14) meeting  FRB/FDIC public hearings in Charlotte (4/25) and weekly since late February to guide organizational Atlanta (5/3) design and oversee integration process  Submit joint capital plan / stress test (May)  Integration planning has commenced  Name additional business leads for top levels of o Named integration leads across businesses and leadership (2Q) functions o Engaged third-party consultants  Announce new name and brand (targeting late 2Q) o Significant focus on risk oversight to govern integration process  Finalize divestiture commitments and undertake  Merger applications and registration statement / marketing process merger proxy statement filed in early March  Shareholder vote (targeting early 3Q)  Engaged leading brand agency (Interbrand) for brand / naming process  Foundational work for new, integrated culture Continued confidence in achieving ~$1.6bn underway with teammate / associate engagement of cost synergies (net of investments)  Held listening session meetings with community organizations in various cities 14

 

APPENDIX

 

5-QUARTER FINANCIAL HIGHLIGHTS 1Q 18 2Q 18 3Q 18 4Q 18 1Q 19 EPS (diluted) 59.60% $1.29 $1.49 $1.56 $1.40 $1.24 Efficiency Ratio (FTE) 62.8% 59.4% 59.8% 62.1% 63.4% Tangible Efficiency Ratio (FTE)1 62.1% 58.7% 58.9% 61.1% 62.7% Adjusted Tangible Efficiency Ratio (FTE)1 62.1% 58.7% 58.9% 58.6% 60.8% Profitability Net Interest Margin (FTE) 3.24% 3.28% 3.27% 3.27% 3.27% Return on Average Assets 1.28% 1.42% 1.44% 1.23% 1.08% Return on Average Common Equity 11.2% 12.7% 13.0% 11.5% 10.1% Return on Average Tangible Common Equity2 15.6% 17.7% 18.1% 16.1% 13.9% Balance Average Performing Loans ($ in billions) $142.2 $143.4 $145.2 $149.1 $153.7 Sheet Average Client Deposits ($ in billions) $159.2 $159.0 $159.3 $161.6 $159.9 NPL Ratio 0.50% 0.52% 0.47% 0.35% 0.34% NCO Ratio 0.22% 0.20% 0.24% 0.26% 0.26% ALLL Ratio 1.19% 1.14% 1.10% 1.06% 1.06% Credit & Basel III Common Equity Tier 1 Ratio (transitional) 9.8% 9.7% 9.6% 9.2% 9.1% Capital Basel III Common Equity Tier 1 Ratio (fully phased-in)3 9.7% 9.6% 9.4% 9.2% 9.0% Book Value Per Share $47.14 $47.70 $48.00 $49.57 $51.15 Tangible Book Value Per Share4 $33.97 $34.40 $34.51 $35.73 $37.22 1. Please refer to slide 21 for the GAAP reconciliations 2. Please refer to page 21 of the earnings press release for GAAP reconciliations 16 3. The fully-phased-in ratio reflects a 250% risk-weighting for MSRs, as contemplated in the FRB’s ‘Simplifications’ NPR 4. Please refer to slide 22 for a reconcilement to book value per share

 

30-89 DAY DELINQUENCIES BY LOAN CLASS ($ in millions) Memo: 1Q 19 LOAN 30-89 Accruing Delinquencies 1Q 18 2Q 18 3Q 18 4Q 18 1Q 19 BALANCE Commercial & industrial 0.05% 0.05% 0.06% 0.09% 0.07% $73,278 Commercial real estate 0.03% 0.23% 0.03% 0.03% 0.02% $7,889 Commercial construction 0.00% 0.38% 0.00% 0.01% 0.06% $2,562 Total Commercial Loans 0.05% 0.08% 0.05% 0.08% 0.06% $83,729 Residential mortgages – guaranteed - - - - - $467 Residential mortgages – nonguaranteed 0.24% 0.19% 0.26% 0.24% 0.17% $28,461 Home equity products 0.65% 0.60% 0.72% 0.66% 0.65% $9,167 Residential construction 0.11% 0.16% 0.48% 1.37% 0.19% $167 Guaranteed student loans - - - - - $7,308 Other direct 0.39% 0.32% 0.38% 0.43% 0.42% $11,029 Indirect 0.71% 0.75% 0.83% 1.01% 0.59% $13,268 Credit cards 0.89% 0.84% 0.95% 1.02% 1.00% $1,637 Total Consumer Loans¹ 0.44% 0.40% 0.48% 0.51% 0.39% $71,504 Total SunTrust - excl. gov.-guaranteed delinquencies1 0.22% 0.22% 0.24% 0.27% 0.21% $147,458 Impact of excluding gov.-guaranteed delinquencies 0.46% 0.50% 0.50% 0.46% 0.43% $7,775 Total SunTrust - incl. gov.-guaranteed delinquencies2 0.68% 0.72% 0.74% 0.73% 0.64% $155,233 1. Excludes delinquencies on federally guaranteed mortgages and student loans 17 2. Excludes mortgage loans guaranteed by GNMA that SunTrust has the option, but not the obligation, to repurchase Note: Totals may not foot due to rounding

 

NONPERFORMING LOANS BY LOAN CLASS ($ in millions) Memo: 1Q 19 LOAN Nonperforming Loans 1Q 18 2Q 18 3Q 18 4Q 18 1Q 19 BALANCE Commercial & industrial $216 $296 $256 $157 $197 $73,278 Commercial real estate 46 45 43 2 2 $7,889 Commercial construction - - - - - $2,562 Total Commercial Loans $262 $341 $299 $159 $199 $83,729 Residential mortgages – guaranteed - - - - - $467 Residential mortgages - nonguaranteed 253 240 225 204 178 $28,461 Home equity products 169 150 149 138 124 $9,167 Residential construction 16 10 9 11 8 $167 Guaranteed student loans - - - - - $7,308 Other direct 8 8 7 7 8 $11,029 Indirect 4 6 6 7 5 $13,268 Credit cards - - - - - $1,637 Total Consumer Loans $450 $414 $396 $367 $323 $71,504 Total SunTrust $712 $755 $695 $526 $522 $155,233 NPLs / Total Loans 0.50% 0.52% 0.47% 0.35% 0.34% 18 Note: Totals may not foot due to rounding

 

NET CHARGE-OFF RATIOS BY LOAN CLASS ($ in millions) Memo: 1Q 19 LOAN Net Charge-off Ratio (annualized) 1Q 18 2Q 18 3Q 18 4Q 18 1Q 19 BALANCE Commercial & industrial 0.08 % 0.10 % 0.25 % 0.16 % 0.16 % $73,278 Commercial real estate 0.28 % (0.01)% (0.01)% 0.19 % 0.00 % $7,889 Commercial construction (0.02)% (0.00)% (0.00)% (0.00)% 0.00 % $2,562 Total Commercial Loans 0.09 % 0.09 % 0.22 % 0.15 % 0.14 % $83,729 Residential mortgages – guaranteed - - - - - $467 Residential mortgages – nonguaranteed 0.14 % 0.18 % 0.03 % 0.09 % 0.08 % $28,461 Home equity products 0.10 % 0.05 % (0.01)% 0.09 % 0.03 % $9,167 Residential construction 0.69 % 2.76 % 0.69 % (0.10)% 2.02 % $167 Guaranteed student loans - - - - - $7,308 Other direct 0.82 % 0.77 % 0.68 % 1.05 % 1.10 % $11,029 Indirect 0.67 % 0.41 % 0.52 % 0.54 % 0.56 % $13,268 Credit cards 3.21 % 3.22 % 3.13 % 3.17 % 3.64 % $1,637 Total Consumer Loans 0.37 % 0.34 % 0.27 % 0.37 % 0.39 % $71,504 Total SunTrust 0.22 % 0.20 % 0.24 % 0.26 % 0.26 % $155,233 19 Note: Totals may not foot due to rounding

 

NET CHARGE-OFFS BY LOAN CLASS ($ in millions) Memo: 1Q 19 LOAN Net Charge-offs 1Q 18 2Q 18 3Q 18 4Q 18 1Q 19 BALANCE Commercial & industrial $13 $17 $42 $28 $28 $73,278 Commercial real estate 4 - - 3 - $7,889 Commercial construction - - - - - $2,562 Total Commercial Loans $17 $17 $42 $31 $28 $83,729 Residential mortgages – guaranteed - - - - - $467 Residential mortgages – nonguaranteed 9 12 2 7 6 $28,461 Home equity products 3 1 (1) 2 1 $9,167 Residential construction - 2 - - 1 $167 Guaranteed student loans - - - - - $7,308 Other direct 18 17 16 27 29 $11,029 Indirect 20 12 16 17 17 $13,268 Credit cards 12 12 13 13 15 $1,637 Total Consumer Loans $62 $56 $46 $66 $69 $71,504 Total SunTrust $79 $73 $88 $97 $97 $155,233 20 Note: Totals may not foot due to rounding

 

RECONCILIATION: ADJUSTED EFFICIENCY RATIO (FTE) & ADJUSTED TANGIBLE EFFICIENCY RATIO (FTE) ($ in millions) 1Q 18 2Q 18 3Q 18 4Q 18 1Q 19 2011 2012 2013 2014 2015 2016 2017 2018 Reported (GAAP) Basis Net Interest Income 1,441 1,488 1,512 1,547 1,544 5,065 5,102 4,853 4,840 4,764 5,221 5,633 5,987 Noninterest Income 796 829 782 818 784 3,421 5,373 3,214 3,323 3,268 3,383 3,354 3,226 Revenue 2,237 2,317 2,294 2,365 2,328 8,486 10,475 8,067 8,163 8,032 8,604 8,987 9,213 Noninterest Expense¹ 1,417 1,390 1,384 1,482 1,489 6,194 6,284 5,831 5,543 5,160 5,468 5,764 5,673 Efficiency Ratio 63.3% 60.0% 60.3% 62.7% 64.0% 73.0% 60.0% 72.3% 67.9% 64.2% 63.6% 64.1% 61.6% Reconciliation: Net Interest Income 1,441 1,488 1,512 1,547 1,544 5,065 5,102 4,853 4,840 4,764 5,221 5,633 5,987 FTE Adjustment 20 22 22 23 23 114 123 127 142 142 138 145 88 Net Interest Income-FTE 1,461 1,510 1,534 1,570 1,567 5,179 5,225 4,980 4,982 4,906 5,359 5,778 6,075 Noninterest Income 796 829 782 818 784 3,421 5,373 3,214 3,323 3,268 3,383 3,354 3,226 Revenue-FTE 2,257 2,339 2,316 2,388 2,351 8,600 10,598 8,194 8,305 8,174 8,742 9,132 9,301 Efficiency Ratio-FTE 62.8% 59.4% 59.8% 62.1% 63.4% 72.0% 59.3% 71.2% 66.7% 63.1% 62.6% 63.1% 61.0% Adjustment Items (Noninterest Income): 3Q-4Q 12 student / Ginnie Mae loan sale (losses) (92) Securities gain related to the sale of Coca Cola stock 1,938 Pre-tax mortgage repurchase provision related to loans sold to GSEs prior to 2009 (371) GSE mortgage repurchase settlements (63) RidgeWorth sale 105 Premium Assignment Corporation sale 107 Securities & MSR losses in connection with tax reform-related actions (114) Adjusted Noninterest Income 796 829 782 818 784 3,421 3,898 3,277 3,218 3,268 3,383 3,361 3,226 Adjusted Revenue-FTE¹ 2,257 2,339 2,316 2,388 2,351 8,600 9,123 8,257 8,200 8,174 8,742 9,139 9,301 Noninterest Expense¹ 1,417 1,390 1,384 1,482 1,489 6,194 6,284 5,831 5,543 5,160 5,468 5,764 5,673 Adjustment Items (Noninterest Expense): Legacy affordable housing impairment 96 Charitable contribution of KO shares 38 Impact of certain legacy mortgage legal matters 323 324 Mortgage servicing advances allowance increase 96 Efficiency related charges as outlined in 12/4/17 8-K 36 Contribution to communities / teammates in connection with tax-reform 75 Legacy pension settlement charge 60 60 Merger-Related Costs 45 Adjusted Noninterest Expense¹ 1,417 1,390 1,384 1,422 1,444 6,194 6,150 5,412 5,219 5,160 5,468 5,653 5,613 Amortization Expense 15 17 19 22 15 43 46 23 25 40 49 75 73 Adjusted Tangible Expenses¹ 1,402 1,373 1,365 1,400 1,429 6,151 6,104 5,389 5,194 5,120 5,419 5,578 5,540 Adjusted Efficiency Ratio-FTE2 62.8% 59.4% 59.8% 59.6% 61.4% 72.0% 67.4% 65.6% 63.7% 63.1% 62.6% 61.9% 60.3% Adjusted Tangible Efficiency Ratio-FTE2 62.1% 58.7% 58.9% 58.6% 60.8% 71.5% 66.9% 65.3% 63.3% 62.6% 62.0% 61.0% 59.6% 1. In accordance with updated GAAP, amortization of affordable housing investments were reclassified and are now presented in provision for income taxes for 2013. Previously, the amortization was presented in other noninterest expense. Adjusted revenue and expenses are provided as they remove certain items that are material and potentially non-recurring. Adjusted figures are intended to provide management and investors information on trends that are more comparable across periods and potentially more comparable across institutions 21 2. Represents adjusted noninterest expense / adjusted revenue–FTE. Adjusted tangible efficiency ratio excludes amortization expense, the impact of which is (0.66%), (0.73%), (0.82%), (0.92%), (0.64%), (0.50%), (0.50%), (0.28%), (0.30%), (0.49%), (0.56%), (0.82%), (0.78%) for 1Q 18, 2Q 18, 3Q 18, 4Q 18, 1Q 19, 2011, 2012, 2013, 2014, 2015, 2016, 2017, and 2018 respectively

 

RECONCILIATION: OTHER NON-GAAP MEASURES ($ in billions, except per-share data) 1Q 18 2Q 18 3Q 18 4Q 18 1Q 19 Total Shareholders' Equity $24.3 $24.3 $24.1 $24.3 $24.8 Goodwill, Net of Deferred Taxes (6.2) (6.2) (6.2) (6.2) (6.2) Other Intangible Assets Including MSRs, Net of Deferred Taxes (2.0) (2.0) (2.1) (2.1) (2.0) MSRs 2.0 2.0 2.1 2.0 1.9 Tangible Equity $18.1 $18.1 $18.0 $18.1 $18.6 Noncontrolling Interest (0.1) (0.1) (0.1) (0.1) (0.1) Preferred Stock (2.0) (2.0) (2.0) (2.0) (2.0) Tangible Common Equity $16.0 $16.0 $15.8 $16.0 $16.5 Total Assets 204.9 207.5 211.3 215.5 220.4 Goodwill (6.3) (6.3) (6.3) (6.3) (6.3) Other Intangible Assets Including MSRs, Net of Deferred Taxes (2.0) (2.0) (2.1) (2.1) (2.0) MSRs 2.0 2.0 2.1 2.0 1.9 Tangible Assets $198.5 $201.2 $204.9 $209.2 $214.1 Book Value Per Common Share $47.14 $47.70 $48.00 $49.57 $51.15 Tangible Book Value Per Common Share $33.97 $34.40 $34.51 $35.73 $37.22 22 Note: Totals may not foot due to rounding